HomeMy WebLinkAbout2021-09-30; Clean Energy Alliance JPA; ; Clean Energy Alliance Treasurer's Report-I!. +:k &.
CLEAN ENERGY ALLIANCE
Staff Report
DATE: September 30, 2021
TO: Clean Energy Alliance Board of Directors
FROM: Marie Marron Berkuti, Interim Treasurer
ITEM 1: Clean Energy Alliance Treasurer's Report
RECOMMENDATION
Receive and File Clean Energy Alliance (CEA) Interim Treasurer's Report for August 2021.
BACKGROUND AND DISCUSSION
This report provides the Board with the following financial information through August 31, 2021:
• Statement of Financial Position (Unaudited) -Reports assets, liabilities, and financial
position of the CEA as of August 31, 2021.
• Statement of Revenues, Expenses and Changes in Net Position (Unaudited) for the
two months ended August 31, 2021.
• Budget to Actuals Comparison Schedule (Unaudited) -Reports actual revenues and
expenditures compared to the adopted budget as of August 31, 2021.
• . Budget Reconciliation to Statement of Revenues, Expenses and Changes in Net
Position
• List of Payments Issued -Reports payments issued for August 2021.
As of August 31, 2021, liabilities represent invoices received for services, but not yet paid. The
noncurrent accounts payable are amounts due to the cities of Carlsbad, Del Mar and Solana
Beach for the $150,000 advance made by each member agency for start-up costs and services
provided to CEA for the period December 2019 to June 2020. These invoices are scheduled to be
paid three years from the time CEA is operational.
AUGUST 31, 2021, REPORTS
STATEMENT OF FINANCIAL POSITION (Unaudited)
CLEAN ENERGY ALLIANCE
STATEMENT OF NET POSITION
As of August 31, 2021
ASSETS
Current Assets
Cash Operating Account
Lockbox Account
A/R Customers
A/R NEMS
Total Current Assets
Noncurrent Assets
Deposits
CCA Bond
CAISO Collateral Deposit
SDG&E Collateral Deposits
Total Noncurrent Assets
Tota I Assets
Current Liabilities
LIABILITIES
Accounts Payable
Accrued Liabilities
Electric Energy Surcharge
Total Current Liabilities
Noncurrent Liabilities
Due to Member Agencies
Due to City of Carlsbad
Due to City of Del Mar
Due to City of Solana Beach
Total Due to Member Agencies
JPMorgan Revolving Credit Agreement
Total Noncurrent Liabilities
Total Liabilities
NET POSITION
Unrestricted (deficit)
Total Net Position
September 30, 2021
CEA Treasurer's Report
Page 2 of 6
$ 2,550,484.47
1,303,425.16
6,804,272.85
473,847.34
$
11,132,029.82
147,000.00
500,000.00
585,000.00
1,232,000.00
12,364,029.82
3,641,662.75
58,697.96
49,271.88
3,749,632.59
186,571.79
151,892.97
165,552.69
504,017.45
5,750,000.00
6,254,017.45
10,003,650.04
2,360,379.78
2,360,379.78
September 30, 2021
CEA Treasurer's Report
Page 3 of 6
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION (Unaudited)
CLEAN ENERGY ALLIANCE
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN NET POSITION
For the two months ended August 31, 2021
Operating Revenues
Operating Expenses
Power Supply
Data Manager
Staffing/Consultants
Legal Services
Professional Services
Software & Licenses
Membership Dues
Print/Mail Services
Bank Fees
Miscellaneous
Total Operating Expenses
Operating Income (Loss)
Non-Operating Expenses
Interest Expense.
Change in Net Position
Net Position at beginning of period
Net Position at end of period
BUDGET TO ACTUALS COMPARISON SCHEDULE
$ 10,512,647.16
$ 4,939,752.36
141,134.00
23,737.50
46,311.81
126,799.50
716.00
28,399.50
43,028.61
369.38
488.74
5,350,737.40
5,161,909.76
(24,301.04)
5,137,608.72
(2,777,228.94)
$ 2,360,379.78
CEA received its first customer revenue in June 2021 and revenue has been increasing as CEA
ramps ups it service to customers.
At its January 21, 2021, board meeting, the CEA Board approved a Credit Agreement with
JPMorgan for $6MM to provide start-up funding for cash flow needs and a line of credit.should
the need arise. Drawdowns through June 30, 2021, equaled $5MM. A drawdown was made on
July 12, 2021, in the amount of $250,000 and on August 9, 2021, in the amount of $500,000 for
a total borrowing of $5,750,000.
At its June 24, 2021, board meeting, the CEA Board adopted the Fiscal Year (FY) 2021/22 budget
approving $51,547,500 in total operating expenses and uses of funds. Through August 2021,
$5,375,038.44 has been expended, leaving $46,172,461.56.
The Budget to Actuals Comparison Schedule is shown on the next page.
September 30, 2021
CEA Treasurer's Report
Page 4 of 6
CLEAN ENERGY ALLIANCE
BUDGET TO ACTUALS COMPARISON SCHEDULE
For the two months ended August 31, 2021
ADOPTED
BUDGET ACTUALS VARIANCE
Operating Revenues
Energy Sales $ 53,573,000.00 $10,512,647.16 $ 43,060,352.84
Total Operating Revenue 53,573,000.00 10,512,647.16 43,060,352.84
Operating Expenses
Power Supply 48,700,000.00 4,939,752.36 43,760,247.64
Data Manager 811,000.00 141,134.00 669,866.00
Staffing/Consultants 235,700.00 23,737.50 211,962.50
Legal Services 510,000.00 46,311.81 463,688.19
Professional Services
Technical 283,200.00 47,200.00 236,000.00
Schedule Coordinator 155,400.00 23,400.00 132,000.00
Marketing 115,000.00 15,783.16 99,216.84
SDGE Service Fees 270,000.00 39,541.34 230,458.66
Other Professional Services 25,000.00 875.00 24,125.00
848,600.00 126,799.50 721,800.50
Audit Services 25,000.00 25,000.00
Software & Licenses 9,100.00 716.00 8,384.00
Membership Dues 116,000.00 28,399.50 87,600.50
Print/Mail Services 43,100.00 43,028.61 71.39
Advertising 15,000.00 15,000.00
Insurance 7,000.00 7,000.00
Bank Fees 2,000.00 369.38 1,630.62
Miscellaneous 488.74 (488.74)
Total Operating Expenses 51,322,500.00 5,350,737.40 45,971,762.60
Operating Income (Loss) 2,250,500.00 5,161,909.76 (2,911,409.76)
Non-Operating Expenses
Interest Expense 225,000.00 24,301.04 200,698.96
Other Sources and Uses
Sources
JPMorgan Revolving Credit Agreement 750,000.00 (750,000.00)
Total Sources 750,000.00 (750,000.00)
Net Increase (Decrease) in Available Fund Balance $ 2,025,500.00 $ 5,887,608.72 $ (3,862,108.72)
Total Operating and Non-Operating Expenses and Uses
of Funds $ 51,547,500.00 $ 5,375,038.44 $ 46,172,461.56
September 30, 2021
CEA Treasurer's Report
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BUDGET RECONCILIATION TO STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET
POSITION
CLEAN ENERGY ALLIANCE
BUDGET RECONCILIATION TO STATEMENT OF
REVENUES, EXPENSES, AND CHANGES IN NET POSITION
For the two months ended August 31, 2021
Net Increase (Decrease) in Available Fund Balance
per Budgetary Comparison Schedule $ 5,887,608.72
Adjustments needed to reconcile to the changes
in Net Position in the Statement of Revenues,
Expenses, and Changes in Net Position
Subtract Advances-JPMorgan Revolving Credit Agreement
Change in Net Position
LIST OF PAYMENTS ISSUED
(750,000.00}
$ 5,137,608.72
The report on the following page provides the detail of payments issued by CEA for August 2021.
All payments were within approved budget.
Date Via Vendor
08/02/21 WIRE JPMorgan
08/02/21 WIRE JPMorgan
08/02/21 WIRE Powerex
08/02/21 WIRE The Energy Authority (TEA)
08/02/21 WIRE Neyenesch Printers
08/02/21 ACH CalCCA
08/03/21 ACH USPS
08/09/21 WIRE JPMorgan
08/09/21 WIRE The Energy Authority (TEA)
08/09/21 ACH OneStream Networks, LLC
08/13/21 WIRE JPMorgan
08/16/21 WIRE The Energy Authority (TEA)
08/19/21 ACH USPS
08/20/21 WIRE Powerex
08/20/21 WIRE Direct Energy
08/20/21 WIRE SDG&E
08/23/21 WIRE The Energy Authority (TEA)
08/25/21 WIRE Powerex
08/25/21 ACH USPS
08/30/21 WIRE The Energy Authority (TEA)
Clean Energy Alliance
List of Payments Issued August 2021
Description
1-Jul-2021 l-Aug-202132 days $500,000.00 3.700000%
6-Jul-20215-Aug-202131 days $1,500,000.00 3.700000%
PCC2 Prepayment (#'s 1 & 2 of 6)(2021)
07/09/21-07/15/21
Payments through 07 /31/21 .
Ql FY 21-22
08/03/21 Mailing
7-Jul-20218-Aug-202133 days $3,000,000.00 3.700000%
07 /16/21-07 /22/21
Jul 2021 Telephone
12-Jul-202111-Aug-202131 days $250,000.00 3.700000%
07/23/21-07/29/21
08/19/21 Mailing
Jul 2021 Carbon Free Energy Sales
July 2021 PWR-CAP CAPACITY
July 2021 RA Sales
07/30/21-08/05/21
PCC2 Prepayment(# 3 of 6)(2021)
08/25/21 Mailing
08/06/21-08/12/21
Total August Payments-Operating Account
08/20/21 WIRE Shell Oil North America June 2021 Power Sale
08/20/21 WIRE Morgan Stanley Capital Group, Inc. June 2021 Power Sale
Total August Payments-Lockbox Account
Amount
$ 1,644.44
4,779.17
249,083.33
276,901.80
4,001.07
28,399.50
1,252.31
10,175.00
304,508.02
283.29
796.53
331,077.22
302.35
80,132.50
254,500.00
623,837.80
267,805.06
124,541.67
13,924.96
192,244.80
$2,770,190.82
$1,892,176.19
964,853.74
$2,857,029.93
FISCAL IMPACT
There is no fiscal impact associated with these items.
September 30, 2021
CEA Treasurer's Report
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