HomeMy WebLinkAbout2021-05-27; Clean Energy Alliance JPA; Resolution 2021-011DocuSign Envelope ID: 3EA09192-042F-473F-81FE-4665C34DEIDEB
CLEAN ENERGY ALLIANCE
RESOLUTION NO. 2021-011
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CLEAN ENERGY
ALLIANCE APPROVING NEW MEMBER ADDITION POLICY
WHEREAS, the Clean Energy Alliance (CEA) is a joint powers agency, formed in November
2019, by founding members cities of Carlsbad, Del Mar and Solana Beach; and
WHEREAS, Community Choice Aggregation (CCA) authorized by Assembly Bill 117, is a state
law that allows cities, counties, and other authorized entities to aggregate electricity demand within
their jurisdictions in order to purchase and/or generate alternative energy supplies for residents and
businesses within their jurisdiction while maintaining the existing electricity provider for transmission
and distribution services; and
WHEREAS, CEA Board desires to establish a policy related to consideration and addition of
new members.
NOW, THEREFORE, BE IT RESOLVED, by the Board of Directors of the Clean Energy Alliance, as
follows:
Section 1. The Board of Directors of the Clean Energy Alliance hereby approves CEA-17 New
Member Addition Policy (Attachment A).
The foregoing Resolution was passed and adopted this 27th day of May 2021, by the following
vote:
AYES:
NOES:
ABSENT:
APPROVED:
f—DocuSIgned by:
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Kristi Becker, Chair
ATTEST:
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Sheila Cobian, Board Secretary
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CLEAN ENERGY ALLIANCE
CEA-017
NEW MEMBER ADDITION POLICY
Clean Energy Alliance (CEA) will consider the addition of any incorporated city or county within
San Diego Gas & Electric territory if it meets the requirements as established in the following
policy.
Authority
Section 2.4 of CEA's Joint Powers Agreement (JPA) establishes the authority for CEA to add new
agencies under the following conditions:
1.Adoption of a resolution by a two-thirds vote of the entire Board authorizing
membership in CEA;
2.Adoption by the proposed member of a CCA ordinance, as required by Public Utilities
Code Section 366.2(0(12) and approval and execution of the CEA JPA and other
necessary program agreements;
3.Payment of a membership fee, if any, as may be required by the Board to cover CEA
costs incurred in connection with adding the new agency;
4.Satisfaction of any other conditions established by the Board.
Policy
CEA will consider membership of a city or county within SDG&E territory, pursuant to the
conditions above, if:
•The analysis of the proposed member usage data results in a positive feasibility study
using CEA's financial pro forma model;
•The addition of the proposed member does not create an undue risk or financial burden
to CEA;
•Does not create an undue risk to the achievement of the goals of CEA, including the
achievement of the Climate Action Plan goals of the current Members.
Costs to New Members
Condition 3 above specifies that the proposed member may be required to cover CEA costs
incurred in connection with adding the new agency. Examples of costs that may be incurred
include:
Costs of adding new member:
New Member Addition Policy
Proposed May 27, 2021
•Cost of analysis of historical usage data using CEA's financial pro forma model to
determine impact to CEA of the proposed member; and
•Preparation of an Amended Implementation Plan and related activities of the
expansion, as required by the California Public Utilities Commission.
The proposed member will be responsible to cover the CEA direct costs related to the addition
of the proposed member and will be eligible for reimbursement of the costs paid by the
proposed member within three years of CEA serving customers within the proposed member
territory.
Costs of CCE implementation into new member territory:
•Direct costs related to the implementation of the CCE program in the proposed member
territory, such as increased resource adequacy requirements and preparation and
mailing of customer notices.
CEA will consider using reserves, to the extent available, or other financing sources for costs
related to the implementation of CCE service in the new member territory, if the CEA pro forma
reflects sufficient revenue is generated within the new member territory to reimburse CEA for
those costs within three years.
The CEA Board may waive certain criteria or add additional requirements as it deems
appropriate in considering the addition of a proposed member.
New Member Addition Policy 2
Adopted May 27, 2021