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HomeMy WebLinkAbout2020-07-16; Clean Energy Alliance JPA; ; Clean Energy Alliance Inclusive & Sustainable Workforce PolicyClean Energy Alliance JOINT POWERS AUTHORITY Staff Report DATE: July 16, 2020 TO: Clean Energy Alliance Board of Directors FROM: Barbara Boswell, Interim Chief Executive Officer ITEM 6: Clean Energy Alliance Inclusive & Sustainable Workforce Policy RECOMMENDATION: Review, provide input and approve Clean Energy Alliance (CEA) Inclusive & Sustainable Workforce Policy. BACKGROUND AND DISCUSSION: At its special meeting on May 7, 2020, the CEA Board of Directors provided input to staff regarding drafting of an Inclusive & Sustainable Workforce Policy (Policy) (Attachment A) to be brought back to the Board for consideration at its July meeting. The Board referenced the Peninsula Clean Energy (PCE) Inclusive & Sustainable Workforce Policy (Attachment B), with direction that the PCE policy be used as a starting point and that it be revised to ensure conformity with the CEA Joint Powers Authority (JPA) Agreement Recital 6f which states: Pursue the procurement of local generation of renewable power developed by or within member jurisdictions with an emphasis on local jobs, where appropriate, without limiting fair and open competition for projects or programs implemented by the Authority; Additional information was provided by the Board, which had been received from the Sierra Club and IBEW 569 (Attachment C) suggesting edits to the PCE Inclusive & Sustainable Workforce Policy. In drafting the proposed CEA Policy staff and CEA General Counsel took into consideration Board comments from the May 7, 2020 special meeting, the CEA JPA Agreement, the PCE Policy and the edits provided by Sierra Club and IBEW 569. Changes reflected in the proposed CEA Policy for consistency with the JPA Agreement include: • Added language from JPA Agreement related to the policy not limiting fair and open competition; • Edited language such as "shall" and "will" to strive; • Edited language such as "require" to "encourage"; • Removed language that refers to project labor agreements. The Policy as proposed reflects efforts to meet the requests and concerns expressed by the Board, conformity with the JPA Agreement and suggestion provided by the Sierra Club and IBEW 569. July 16, 2020 Page 1 of 14 July 16, 2020 CEA Inclusive/Sustainable Policy Page 2 of 2 FISCAL IMPACT There is no fiscal impact by this action. ATTACHMENTS: Attachment A - Clean Energy Alliance Inclusive & Sustainable Workforce Policy Attachment B - Peninsula Clean Energy Inclusive & Sustainable Workforce Policy Attachment C — Updated Proposed CEA Inclusive and Sustainable Workforce Policy from Sierra Club and IBEW 569 July 16, 2020 Item #6 Page 2 of 14 Clean Energy Alliance Attachment A JOINT POWERS AUTHORITY INCLUSIVE & SUSTAINABLE WORKFORCE POLICY The Clean Energy Alliance (CEA) Board of Directors desires to establish a policy that supports local jobs, sustainable and inclusive workforce opportunities, local economic sustainability, and diversity through contracting for power sources, procuring goods and services, and implementing hiring initiatives where appropriate, without limiting fair and open competition for projects or programs implemented by CEA. CEA Staff CEA relies on its employees to provide clean, cost-effective, alternative energy to its customers. These customers live in diverse communities and an inclusive workforce of staff who reflect and are invested in these communities allows CEA to serve them more effectively. An inclusive staff also provides good jobs for people from diverse communities. To help maintain and strengthen CEA's inclusive staff, CEA will strive to: 1. Engage in broad outreach efforts in diverse communities, including disadvantaged and low-income communities, to ensure a diverse pool of candidates for open positions; 2. Provide fair compensation that aligns with regional market indicators for compensation levels for each position; 3. Be transparent about these practices and lessons learned; and 4. Provide contact information for staff who can answer questions about this policy. Supply Chain CEA also strives for inclusion in its supply chain. Where and from whom CEA purchases good and services have important consequences for businesses, customers, and their communities. Where appropriate, an inclusive supply chain is an important driver for successful delivery of CEA's services to its customers, and of fair and equitable economic development generally. Where appropriate, and without limiting fair and open competition, to support an inclusive supply chain, CEA will strive to: 1. Use local businesses and provide fair compensation in the purchase of services and supplies; 2. Proactively seek services from local businesses that are taking steps to protect the environment; City of Carlsbad I City of Del Mar I City of Solana Beach July 16, 2020 Item 6 Attachment A Item #6 Page 3 of 14 3. Engage in efforts to reach diverse communities to ensure an inclusive pool of potential suppliers; 4. Collect information from suppliers and contractors on the inclusivity of their workforce; 5. Include questions about supplier inclusivity in requests for proposals (RFPs) for services; 6. Encourage reporting from developers and vendors on inclusivity in business ownership and staff; 7. Be transparent about these practices and lessons learned; and 8. Provide contact information for staff who can answer questions about this policy. Inclusive Business Practices To fulfill its goals of providing a range of energy product and programs, available to all CEA communities and customers, that best serve their needs and their local communities, and support local sustainability efforts, CEA will strive to: 1. Provide information in the multiple languages commonly spoken in CEA's service area (including mailers, tabling materials, customer service, call center, workshops and outreach events, advertisements, and other means of customer engagement); 2. Conduct marketing and outreach in diverse communities to increase awareness of CEA's services and programs; 3. Attend multi-cultural community events with multi-lingual materials and speakers; 4. Share information about activities and initiatives that promote inclusion, access, and diverse engagement in the community. Non-Discrimination Pledge CEA will not discriminate, and will strive to work with suppliers that do not discriminate, on the basis of race, color, national origin, ancestry, age, disability (physical or mental), sex, sexual orientation, gender identity, marital or domestic partner status, religion, political beliefs or affiliation, familial or parental status (including pregnancy), medical condition (cancer-related), military service, or genetic information. Sustainable Workforce Support of local businesses, fair compensation, apprenticeship and pre-apprenticeship programs that create employment opportunities, without limiting fair and open competition, are important components of building and sustaining healthy and sustainable communities. It is in the interest of CEA to provide fair compensation and sustainable workforce opportunities, within a framework of fair and open competition and the promotion of renewable energy, energy efficiency and greenhouse gas reduction. CEA recognizes the importance of locally-generated renewable energy (local is defined as within the San Diego County region) in assuring that California is provided with (1) adequate Clean Energy Alliance Inclusive & Sustainable Workforce Policy Draft July 16, 2020 July 16, 2020 Item 6 Attachment A Item #6 Page 4 of 14 supplies of renewable energy for economic growth, (2) sustained local job opportunities and job creation, and (3) effective means to reduce the impacts of greenhouse gas emissions. CEA also recognizes the opportunities that energy efficiency programs provide for local workforce training and employment. CEA encourages fair compensation in direct hiring, renewable development projects, energy efficiency programs and in procurement of CEA services and supplies. CEA also encourages use of State of California approved apprenticeship and pre-apprenticeship training programs in construction craft occupations to foster long-term, fairly compensated employment opportunities for program graduates. Where appropriate, without limiting fair and open competition, CEA will strive to accomplish the following objectives: 1. Support for and direct use of local businesses; 2. Support for and direct use of green and sustainable businesses; 3. Encourage the use of skilled and trained workers who receive fair compensation; 4. Encourage the use of State of California approved apprenticeship programs, and pre- apprenticeship programs within CEA's service territory. CEA Power Purchase Agreements with Third Parties CEA will encourage the submission of information from respondents to any bidding and/or RFP/RFQ process regarding planned efforts by project developers and their contractors to achieve the following goals: • Employ workers and use businesses from the San Diego county area. • Employ properly licensed (A, B, C10, C7, C46) contractors and California Certified electricians. • Utilize local apprentices, particularly graduates of San Diego County pre-apprenticeship programs. • Pay workers prevailing wage for each craft, classification and type of work performed. • Display a poster at jobsites informing workers of prevailing wage requirements. • Provide workers compensation coverage to on-site workers. • Support and use State of California approved apprenticeship programs. Relevant information submitted by proposers will be used to evaluate potential impact on local jobs and workforce of the planned project. CEA Owned Generation Projects Each construction contractor or subcontractor performing work on any CEA-owned project is encouraged to use local labor and apprenticeship programs and follow fair compensation Clean Energy Alliance 3 Inclusive & Sustainable Workforce Policy Draft July 16, 2020 July 16, 2020 Item 6 Attachment A Item #6 Page 5 of 14 practices including proper assignment of work to crafts that traditionally perform the work. Contractors and subcontractors shall pay at least prevailing rate of wages, as defined in Article 2 (commencing with Section 1770) of Chapter 1 of Part 7 of Division 2 of the California Labor Code and encouraged to use a skilled and trained workforce, as defined in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the California Public Contract Code. CEA Feed-In Tariff Projects CEA will encourage construction contractors or subcontractors performing work on any CEA Feed-In Tariff project utilize local businesses and local apprenticeship programs, and fair compensation practices including proper assignment of work to crafts that traditionally perform the work. CEA encourages contractors and subcontractors performing work on any CEA Feed-In-Tariff project to pay at least prevailing rate of wages, as defined in Article 2 (commencing with Section 1770) of Chapter 1 of Part 7 of Division 2 of the California Labor Code and encouraged to use a skilled and trained workforce, as defined in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the California Public Contract Code. CEA Energy Efficiency Projects CEA will strive to support local businesses and apprenticeship programs, in the implementation of its energy efficiency programs. CEA will encourage construction contractors or subcontractors performing work on any CEA energy efficiency program utilize local businesses and apprenticeship programs and fair compensation practices including proper assignment of work to crafts that traditionally perform the work. Union Neutrality Pledge CEA will remain neutral regarding whether its employees choose to join or support labor unions and will not interfere with decisions by its contractors' and suppliers' employees about whether to join or support labor unions. Clean Energy Alliance Inclusive & Sustainable Workforce Policy Draft July 16, 2020 July 16, 2020 Item 6 Attachment A Item #6 Page 6 of 14 Attachment B PENINSULA CLEAN ENERGY Policy Number: 10 Original Adoption Date: December 15, 2016 Revised: October 25, 2018 MAW Subject: Inclusive and Sustainable Workforce Policy Policy: One of PCE's strategic goals is to "foster a work environment that espouses sustainable business practices and cultivates a culture of innovation, diversity, transparency, integrity, and commitment to the organization's mission and the communities it serves." PCE recognizes that an inclusive and sustainable workforce helps PCE meet its core mission and goals more effectively, serve its customers in a more culturally sensitive manner, and reflect the businesses we partner with and the community we serve more comprehensively. PCE strives to have a workforce that is as inclusive as the community it serves. Inclusive Workforce PCE Staff PCE relies on its employees to provide clean, cost-effective, alternative energy to its customers. These customers live in diverse communities, and an inclusive workforce comprised of staff who reflect and are invested in these communities allows PCE to serve them more effectively. An inclusive staff also provides good jobs for people from diverse communities. To help maintain and strengthen PCE's inclusive staff, PCE will: (1) Engage in broad outreach efforts in diverse communities, including disadvantaged and low-income communities, to ensure a diverse pool of candidates for open positions; (2) Provide fair compensation that aligns with regional market indicators for compensation levels for each position; (3) Be transparent about these practices and lessons learned; and (4) Provide contact information for staff who can answer questions about this policy. Supply Chain PCE's commitment to inclusion also extends to its supply chain. Where and from whom PCE purchases goods and services have important consequences for businesses, customers, and their communities. An inclusive supply chain is an important driver for successful delivery of PCE's services to its customers, and of fair and equitable economic development generally. To help ensure an inclusive supply chain, PCE will: Juiv(11,2bWye to use local businesses and provide fair compensqt-iyA ift the PPRIPiserf 14 Item 6 Attachment B of services and supplies; (2) Proactively seek services from local businesses and from businesses that have been Green Business certified and/or are taking steps to protect the environment; (3) Engage in efforts to reach diverse communities to ensure an inclusive pool of potential suppliers; (4) Collect information from suppliers and contractors on the inclusivity of their workforce; (5) Include questions about supplier inclusivity in requests for proposals (RFPs) for services; (6) Require reporting from developers and large vendors on inclusivity in business ownership and staff; (7) Be transparent about these practices and lessons learned; and (8) Provide contact information for staff who can answer questions about this policy. Inclusive Business Practices To fulfill its core mission to provide energy choices to the diverse residents and communities of San Mateo County, PCE must ensure that its services and information are accessible to all communities. Accordingly, PCE will: (1) Strive to provide information on PCE's services in the multiple languages commonly spoken in PCE's service area (including mailers, tabling materials, customer service, call center, workshops and outreach events, advertisements, and other means of customer engagement); (2) Conduct marketing and outreach in diverse communities (including advertising in minority-owned media, establishing partnerships with community organizations, and using various media, such as radio and television) to increase awareness of PCE's services and programs; (3) Strive to attend important multi-cultural community events with multi-lingual materials and speakers; (4) Share information about activities and initiatives that promote inclusion, access, and diverse engagement in the community. Non-Discrimination Pledge PCE will not discriminate, and will require that its suppliers do not discriminate, on the basis of race, color, national origin, ancestry, age, disability (physical or mental), sex, sexual orientation, gender identity, marital or domestic partner status, religion, political beliefs or affiliation, familial or parental status (including pregnancy), medical condition (cancer-related), military service, or genetic information. July 16, 2020 Item #6 Page 8 of 14 Item 6 Attachment B Sustainable Workforce Support of local businesses, union labor and apprenticeship and pre-apprenticeship programs that create employment opportunities are important components of building and sustaining healthy and sustainable communities. It is in the interest of Peninsula Clean Energy in San Mateo County (PCE) to provide fair compensation and sustainable workforce opportunities within a framework of competitive service and the promotion of renewable energy, energy efficiency and greenhouse gas reduction. PCE Recognizes the importance of locally-generated renewable energy in assuring that California is provided with (1) adequate supplies of renewable energy for economic growth, (2) sustained local job opportunities and job creation, and (3) effective means to reduce the impacts of greenhouse gas emissions. PCE also recognizes the opportunities that energy efficiency programs provide for local workforce training and employment. PCE supports fair compensation in direct hiring, renewable development projects, energy efficiency programs and in procurement of PCE services and supplies. PCE also supports quality State of California approved apprenticeship and pre-apprenticeship training programs in construction craft occupations to foster long-term, fairly compensated employment opportunities for program graduates and believes that local apprenticeship and pre- apprenticeship programs are an efficient vehicle for delivering quality training in construction industry craft occupations. PCE therefore desires to facilitate and accomplish the following objectives: (1) Support for and direct use of local businesses; (2) Support for and direct use of union members from multiple trades; (3) Support for and use of training and State of California approved apprenticeship programs, and pre-apprenticeship programs from within PCE's service territory; and (4) Support for and direct use of green and sustainable businesses. "Local" is defined as 1.) San Mateo County; 2.) Nine Bay Area Counties (Alameda, Contra Costa, Mann, Napa, San Mateo, San Francisco, Santa Clara, Solano, Sonoma); 3.) Northern California; 4.) California. Preference will be give first to San Mateo County; second, to the Nine Bay Area Counties; third, to Northern California; fourth, to California. July 16, 2020 Item #6 Page 9 of 14 Item 6 Attachment B PCE will support the objectives stated above in the following ways: PCE Power Purchase Agreements with Third Parties PCE shall collect information from respondents to any bidding and/or RFP/RFQ process regarding past, current and/or planned efforts by project developers and their contractors to: • Employ workers and use businesses from the PCE service territory. • Employ properly licensed (A, B, C10, C7, C46) contractors and California Certified electricians. • Utilize multi-trade project labor agreements on the proposed project or any prior project developments. • Utilize local apprentices, particularly graduates of local pre-apprenticeship programs. • Pay workers the correct prevailing wage rates for each craft, classification and type of work performed. • Display a poster at jobsites informing workers of prevailing wage requirements. • Provide workers compensation coverage to on-site workers. • Support and use State of California approved apprenticeship programs. Relevant information submitted by proposers will be used to evaluate potential workforce impacts of proposed projects with the goal of promoting fair compensation, fair worker treatment, multi-trade collaboration, and support of the existing wage base in local communities where contracted projects will be located. PCE Owned Generation Projects Any PCE-owned renewable development project shall use local businesses, union labor, and apprenticeship programs through multi-trade agreements and/or through multiple agreements for work. Each construction contractor or subcontractor performing work on any PCE-owned project shall use a combination of local labor, union labor and apprenticeship programs, and shall follow fair compensation practices including proper assignment of work to crafts that traditionally perform the work. For each renewable energy project, PCE or its construction contractor shall require of its regular workforce that at least 50% of all "journey level" employees shall be graduates of a State of California approved apprenticeship program and at least 20% shall be enrolled and participating in a local State of California approved apprenticeship program. Apprenticeship programs must be approved by the State Department of Apprenticeship Standards. July 16, 2020 Item #6 Page 10 of 14 Item 6 Attachment B PCE Feed-In Tariff Price Projects PCE shall use best efforts to ensure each construction contractor or subcontractor performing work on any PCE Feed-in Tariff project utilize local businesses, union labor, multi-trade agreement, apprenticeship programs, and fair compensation practices including proper assignment of work to crafts that traditionally perform the work. PCE Energy Efficiency Projects PCE shall use best efforts to support local businesses, union labor, and local apprenticeship programs in the implementation of its energy efficiency programs. PCE shall use best efforts to ensure each construction contractor or subcontractor performing work on any PCE energy efficiency program utilize local businesses, union labor, local apprenticeship, and fair compensation practices in program implementation including proper assignment of work to crafts that traditionally perform the work. July 16, 2020 Item #6 Page 11 of 14 Item 6 Attachment B Attachment C 1. Adopt the Peninsula Clean Energy (PCE) Inclusive and Sustainable Workforce Policy Oct 25, 2018 presented in staff report. 2. Update Peninsula's policy with the additional Job Quality and Workforce provisions outlined below. Note: PCE has been replaced with CEA throughout. 1. Insert new section regarding Union Neutrality: Union Neutrality Pledge Clean Energy Alliance (CEA) will remain neutral regarding whether its employees choose to join or support labor unions and will not interfere with decisions by its contractors' and supplier's employees about whether to join or support labor unions. 2. Amend these sections as follows: Sustainable Workforce Support of local businesses, fair compensationfunion labor and apprenticeship and pre-apprenticeship programs that create employment opportunities are important components of building and sustaining healthy and sustainable communities. It is in the interest of CEA to provide fair compensation and sustainable workforce opportunities within a framework of competitive service and the promotion of renewable energy, energy efficiency and greenhouse gas reduction. CEA Recognizes the importance of locally-generated renewable energy in assuring that California is provided with (1) adequate supplies of renewable energy for economic growth, (2) sustained local job opportunities and job creation, and (3) effective means to reduce the impacts of greenhouse gas emissions. CEA also recognizes the opportunities that energy efficiency programs provide for local workforce training and employment. CEA supports fair compensation in direct hiring, renewable development projects, energy efficiency programs and in procurement of CEA services and supplies. CEA also supports quality State of California approved apprenticeship and pre-apprenticeship training programs in construction craft occupations to foster long-term, fairly compensated employment opportunities for program graduates and believes that local apprenticeship and preapprenticeship programs are an efficient vehicle for delivering quality training in construction industry craft occupations. CEA therefore desires to facilitate and accomplish the following objectives: (1) Support for and direct use of local businesses; (2) Support for and direct use of skilled and trained workers who receive fair compensationunion members from multiple trades; (3) Support for and use of training and State of California approved apprenticeship programs, and pre- apprenticeship programs from within CEA's service territory; and July 16, 2020 Item 6 Attachment C Item #6 Page 12 of 14 (4) Support for and direct use of green and sustainable businesses. "Local" is defined as 1.) Clean Energy Alliance Service Territory; 2.) San Diego County; 3.) Imperial County; 4.) Adjacent California Counties; 5.) California. Preference will be given first to CEA Service territory; second to San Diego County; third to Imperial County; fourth to adjacent CA Counties; fifth to California. CEA will support the objectives stated above in the following ways: CEA Power Purchase Agreements with Third Parties CEA shall collect information from respondents to any bidding and/or RFP/RFQ process regarding past, current and/or planned efforts by project developers and their contractors to: • Employ workers and use businesses from the CEA service territory. • Employ properly licensed (A, B, C10, C7, C46) contractors and California Certified electricians. • Utilize multi-trade project labor agreements on the proposed project or any prior project developments. • Utilize local apprentices, particularly graduates of local pre-apprenticeship programs. • Pay workers the correct prevailing wage rates for each craft, classification and type of work performed. • Display a poster at jobsites informing workers of prevailing wage requirements. • Provide workers compensation coverage to on-site workers. • Support and use State of California approved apprenticeship programs. Relevant information submitted by proposers will be used to evaluate potential workforce impacts of proposed projects and priority will be given to those proposals that best serve CEA'sSPCP's with the goal of promoting fair compensation, fair worker treatment, multi-trade collaboration, and support of the existing wage base in local communities where contracted projects will be located. CEA Owned Generation Projects Any-CEA-owned renewable development projects shall make use of use local businesses, union labor, and apprenticeship programs and project labor agreements that include the taxpayer protection provisions of Public Contract Code Section 2500 to ensure fair and open competition through multi trade agreements and/or through multiple agreements for work. Each construction contractor or subcontractor performing work on any CEA-owned project shall use a combination of local labor, union labor and apprenticeship programs, and shall follow fair compensation practices including proper assignment of work to crafts that traditionally perform the work. All contractors and subcontractors shall pay at least the prevailing rate of wages, as defined in Article 2 (commencing with Section 1770) of Chapter 1 of Part 7 of Division 2 of the California Labor Code and use a skilled and trained workforce, as defined in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the California Public Contract Code. For each renewable energy project, CEA or its construction July 16, 2020 Item 6 Attachment C Item #6 Page 13 of 14 contractor shall require of its regular workforce that at I ast 50% of all "journey level" employees shall be . • . - A * e approved by the Statc Department of Apprenticeship Standards. CEA Feed-In Tariff Price Projects CEA shall require, as a condition of eligibility for Feed-in-Tariffs, that applicants agree that all contractors and subcontractors performing work on the energy generating capacity shall pay at least the prevailing rate of wages, as defined in Article 2 (commencing with Section 1770) of Chapter 1 of Part 7 of Division 2 of the California Labor Code and use a skilled and trained workforce, as defined in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the California Public Contract Code. CEA shall use best efforts to ensure each construction contractor or subcontractor performing work on any CEA Feed-in Tariff project utilizes local businesses and union labor, multi trade agreement, apprenticeship programs, and fair compensation practices including proper assignment of work to crafts that traditionally perform the work. Any project labor agreements required by CEA shall include the taxpayer protection provisions of Public Contract Code Section 2500 to ensure fair and open competition. CEA Energy Efficiency Projects CEA shall require, as a condition of eligibility for CEA funding or financing for energy efficiency projects, that applicants agree that all contractors and subcontractors performing work on the project shall pay at least the prevailing rate of wages, as defined in Article 2 (commencing with Section 1770) of Chapter 1 of Part 7 of Division 2 of the California Labor Code and use a skilled and trained workforce, as defined in Chapter 2.9 (commencing with Section 2600) of Part 1 of Division 2 of the California Public Contract Code. CEA shall use best efforts to support local businesses, union labor, and local apprenticeship programs in the implementation of its energy efficiency programs. CEA shall use best efforts to ensure each construction contractor or subcontractor performing work on any CEA energy efficiency program utilizes local businesses and union labor, local apprenticeship programs, and fair compensation practices in program implementation including proper assignment of work to crafts that traditionally perform the work. Any project labor agreements required by CEA shall include the taxpayer protection provisions of Public Contract Code Section 2500 to ensure fair and open competition. July 16, 2020 Item 6 Attachment C Item #6 Page 14 of 14