HomeMy WebLinkAboutStaff Report 5.D 06/02/2014(i)
DATE: June 2, 2014
TO: Honorable Mayor and Members of the CltyCOLincil
FROM: John C. Brown, City Mana
Agenda Item #5.D
SUBJECT: Discussion and Voting Direction to the City's Delegation Attending the June
2014 Mayors' & Councilmembers' Association Meeting, Regarding Assembly
Bill 2145.
RECOMMENDATION
It is recommended that the City Council provide voting instructions to its delegation attending
the June 2014 meeting of the Mayors' and Councilmembers' Association regarding Support for
or Opposition to Assembly Bill 2145.
BACKGROUND
Under existing law, the Public Utilities Conumission (PUC) has regulatory authority over public
utilities. The Public Utilities Act authorizes a community choice aggregator (CCA) to aggregate
the electrical load of interested electricity consumers within its boundaries, file an
implementation plan with the PUC, and requires that the plan include certain disclosures.
Currently, the Act requires the CCA to provide each customer an opportunity to opt out of
bis/her community's aggregation program and unless a negative declaration is made by the
customer regarding participation, the customer shall automatically be served by the community
choice aggregation program.
At its last meeting, the Sonoma County Mayors' and Council mem hers' Association Legislative
Committee considered a package of pending legislation, for the purpose of establishing
recommendations for the Association to support or oppose. The Legislative Committee was
unable to reach a consensus for a recommendation on Assembly Bill 2145 and will refer that Bill
to the Association for consideration and a supporting or opposing vote, at its June 2014 meeting.
DISCUSSION
Contrary to existing law, Assembly Bill 2145 (AB 2145) would instead provide each customer
be given an opportunity to opt in to his/her community's aggregation program, and would
require a positive declaration from a customer for participation in the CCA program and a
customer's right to opt -in. Additionally, AB 2145 would require that the implementation plan
filed by the CCA would completely describe other matter required to be disclosed under existing
Agenda Review:
City Attorney Finance Director City Manager
law. Because the bill would impose requirements regarding conununication by a CCA with its
potential customers, a violation of which would be a crime, this bill would impose a state -
mandated local program. The Bill does not provide any State reimbursements to local agencies
for associated costs.
During the City Council's previous conversations regarding Community Choice Aggregation,
Council members have discussed the desirability of a process that requires an affirmative opt -in
on the part of a potential customer, rather than one that automatically enrolls a customer in the
program and requires an action to opt -out on the part of those who do not wish to participate.
The Council appeared to view this process as more fair to the customer, and respectful of a
customer's right to choose. If that continues to be the case for the majority of the Council, it is
recommended that direction be given to its delegation attending the June meeting of the Mayor's
and Councilmembers Association to vote in support of AB 2145 when that matter is taken up for
consideration.
FINANCIAL IMPACTS
It does not appear that there are any direct financial impacts to the City of Petaluma associated
with AB 2145. It appears the City would not be subject to the unfunded costs of mandated
notification to customers required by the Bill, unless the City was to establish a CCA of its own.
Sonoma Clean Power would be subject to the costs associated with that section of this
legislation, if enacted; such costs would presumably be incorporated into its rate structure.
ATTACHMENTS
Assembly Bill 2145 (as amended April 20, 2014)
X
AMENDED IN ASSEMBLY APRIL 10, 2014
CALIFORNIA LEGISLATURE -2013-14 REGULAR SESSION
ASSEMBLY BILL No. 2145
Introduced by Assembly Member Bradford
February 20, 2014
An act to amend Section 366.2 of the Public Utilities Code, relating
to electricity.
LEGISLATIVE COUNSEL'S DIGEST
AB 2145, as amended, Bradford. Electricity: community choice
aggregation.
Under existing law, the Public Utilities Commission has regulatory
authority over public utilities, including electrical corporations, as
defined.Existing lacy The Public Utilities Act authorizes a community
choice aggregator, as defined, to aggregate the electrical load of
interested electricity consumers within its boundaries and requires a
community choice aggregator to file an implementation plan with the
commission and requires that the plan include disclosures of certain
information and describe other matter. Existing 1 The act requires
the community choice aggregator to provide each customer an
opportunity to opt out of his or her community's aggregation program.
The act provides that customer participation is the community choice
aggregation program does not require a positive written declaration
for participation, but each customer shall be informed of his or her
right to opt out of the program. The act provides that if no negative
declaration is made by time customer regarding participation, the
customer shall be served by the conununio) choice aggregation programn.
The act requires an electrical corporation to cooperate fully with any
community choice aggregator that investigates, pursues, or implements
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Attachment 1
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community choice aggregation programs, including providing
appropriate billing and electrical load data. Existing law The act requires
an electrical corporation, when requested by, and at the expense of, a
community choice aggregator, to install, maintain, and calibrate metering
devices at mutually agreeable locations within or adjacent to the
community choice aggregator's political boundaries. Existing- law The
act requires a community choice aggregator to register with the
corrunission, which may require additional information to ensure
compliance with basic consumer protection rules and other procedural
matters.
This bill would instead provide that each customer be given an
opportunity to opt in to his or her comnnmity's aggregation program.
The bill would require a positive declaration from a customer for
participation in the conmumity choice aggregation program and that
each customer be informed of his ar her right to opt in to the program.
The bill would provide that a customer shall be served by the connnunity
choice aggregationprogr•anu ifan gfinnative declaration is made. The
bill ivould require solicitations of customers by a connnmit)r choice
aggregator contain, and communication by the community choice
aggregator to the public or prospective and existing customers to be
consistent with, specified information and would require the
implementation plan to include the disclosure of those specified
information. The bill would require that the implementation plan filed
by a commmunity choice aggregatemakefull diselosttfe oF eeftai
infami-`ion an completely describe other matter required to be
disclosed under existing law. The bill would authorize the conunission
to require that a community choice aggregator, when registering with
the commission, provide additional information to ensure compliance
with basic consumer protection and other rules and other procedural
matters. The bill would make other technical, nonsubstantive revisions
to the community choice aggregator provisions.
Under evisting law, a violation of die Public Utilities Act or any order;
decision, rule, direction, demand, or requirement of the commission is
a crime.
Because the bill would impose requirements regarding communication
by a community choice aggregator, a violation of which would be a
crime, this bill would impose a state -mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the state.
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AB 2145
Stalutwy provisions establish procedures for making that
reimbursement.
This bill wouldprovide that no rennbusement is required by this act
_Jor a specked reason.
Vote: majority. Appropriation: no. Fiscal committee: tt&.yes.
State -mandated local program: ttayes.
The people of the State of California do enact as follows:
I SECTION 1. Section 366.2 of the Public Utilities Code is
2 amended to read:
3 366.2. (a) (1) Customers shall be entitled to aggregate their
4 electric loads as members of their local community with
5 corrummity choice aggregators.
6 (2) Customers may aggregate their loads through a public
7 process with community choice aggregators, if each customer is
8 given an opportunity to opt-aut-of in to his or her community's
9 aggregation program.
10 (3) If a customer -opts -ani -of does not opt in to a community
11 choice aggregator's program, or has no community choice
12 aggregation program available, that customer shall -have -the -right
13 to continue to be served by the existing electrical corporation or
14 its successor in interest.
15 (4) The implementation of a community choice aggregation
16 program shall not result in a shifting of costs between the customers
17 of the community choice aggregator and the bundled service
18 customers of an electrical corporation.
19 (5) A community choice aggregator shall be solely responsible
20 for all generation procurement activities on behalf of the
21 community choice aggregator's customers, except where other
22 generation procurement arrangements are expressly authorized by
23 statute.
24 (b) If a public agency seeks to serve as a community choice
25 aggregator, it shall offer the opportunity to purchase electricity to
26 all residential customers within its jurisdiction.
27 (c) (1) Notwithstanding Section 366, a community choice
28 aggregator is hereby authorized to aggregate the electrical load of
29 interested electricity consumers within its boundaries to reduce
30 transaction costs to consumers, provide consumer protection, and
31 leverage the negotiation of contracts. However, the community
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1 choice aggregator may not aggregate electrical load if that load is
2 served by a local publicly owned electric utility. A community
3 choice aggregator may group retail electricity customers to solicit
4 bids, broker, and contract for electricity and energy services for
5 those customers. The community choice aggregator may enter into
6 agreements for services to facilitate the sale and purchase of
7 electricity and other related services. Those service agreements
8 may be entered into by an entity authorized to be a community
9 choice aggregator, as defined in Section 331.1.
10 (2) Under community choice aggregation, customer participation
11 may no shall require a positive written-deelsis� declaration
12 and each customer shall be informed of his or her right to opt -out
13 o€in to the community choice aggregation program. If-tto-neg-a+�
14 an affirmative declaration is made by a customer, that customer
15 shall be served through the community choice aggregation
16 program. If an existing customer moves the location of his or her
17 electric service within the jurisdiction of the community choice
18 aggregator, the customer shall retain the same subscriber status as
19 prior to the move, unless the customer affirmatively changes his
20 or her subscriber status. If the customer is moving from outside to
21 inside the jurisdiction of the community choice aggregator,
22 customer participation shallnorequire a positive written
23 deelafation, bttt declaration and the customer shall be informed
24 of his or her right to cleet tot to feeeive service through the
25 eommtutity choice aggfegatot opt in to the connnunity choice
26 aggregation program.
27 (3) A community choice aggregator establishing electrical load
28 aggregation pursuant to this section shall develop an
29 implementation plan detailing the process and consequences of
30 aggregation. The implementation plan, and any subsequent changes
31 to it, shall be considered and adopted at a duly noticed public
32 hearing. The implementation plan shall contain all of the following:
33 (A) An organizational structure of the program, its operations,
34 and its funding.
35 (B) Ratesetting and other costs to participants.
36 (C) Provisions for full disclosure of all infbrmation specified
37 in paragraph (15) and due process in setting rates and allocating
38 costs among participants.
39 (D) The methods for entering and terminating agreements with
40 other entities.
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1 (E) The rights and responsibilities of program participants,
2 including, but not limited to, consumer protection procedures,
3 credit issues, and shutoff procedures.
4 (F) Termination of the program.
5 (G) A description of the third parties that will be supplying
6 electricity under the program, including, but not limited to,
7 complete information about financial, technical, and operational
8 capabilities.
9 (4) A community choice aggregator establishing electrical load
10 aggregation shall prepare a statement of intent with the
11 implementation plan. Any community choice load aggregation
12 established pursuant to this section shall provide for the following:
13 (A) Universal access.
14 (B) Reliability.
15 (C) Equitable treatment of all classes of customers.
16 (D) Any requirements established by state law or by the
17 commission concerning aggregated service, including, but not
18 limited to, those rules adopted by the commission pursuant to
19 paragraph (3) of subdivision (b) of Section 8341 for the application
20 of the greenhouse gases emission performance standard to
21 community choice aggregators.
22 (5) In order to detennine the cost -recovery mechanism to be
23 imposed on the community choice aggregator pursuant to
24 subdivisions (d), (e), and (f) that shall be paid by the customers of
25 the community choice aggregator to prevent shifting of costs, the
26 community choice aggregator shall file the implementation plan
27 with the commission, and any other information requested by the
28 commission that the commission determines is necessary to develop
29 the cost -recovery mechanism in subdivisions (d), (e), and (f).
30 (6) The commission shall notify any electrical corporation
31 serving the customers proposed for aggregation that an
32 implementation plan initiating community choice aggregation has
33 been filed, within 10 days of the filing.
34 (7) Within 90 days after the community choice aggregator
35 establishing load aggregation files its implementation plan, the
36 commission shall certify that it has received the implementation
37 plan, including any additional information necessary to determine
38 a cost -recovery mechanism. After certification of receipt of the
39 implementation plan and any additional information requested,
40 the conunission shall then provide the community choice
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1 aggregator with its findings regarding any cost recovery that must
2 be paid by customers of the community choice aggregator to
3 prevent a shifting of costs as provided for in subdivisions (d), (e),
4 and (f).
5 (8) No entity proposing community choice aggregation shall
6 act to furnish electricity to electricity consumers within its
7 boundaries until the commission determines the cost recovery that
8 must be paid by the customers of that proposed cormnunity choice
9 aggregation program, as provided for in subdivisions (d), (e), and
10 (f). The commission shall designate the earliest possible effective
11 date for implementation of a community choice aggregation
12 program, taking into consideration the impact on any annual
13 procurement plan of the electrical corporation that has been
14 approved by the commission.
15 (9) An electrical corporation shall cooperate fully with any
16 community choice aggregators that investigate, pursue, or
17 implement community choice aggregation programs. Cooperation
18 shall include providing the entities with appropriate billing and
19 electrical load data, including, but not limited to, electrical
20 consumption data as defined in Section 8380 and other data
21 detailing electricity needs and patterns of usage, as determined by
22 the cormnission, and in accordance with procedures established
23 by the commission. The commission shall exercise its authority
24 pursuant to Chapter 11 (commencing with Section 2100) to enforce
25 the requirements of this paragraph when it finds that the
26 requirements of this paragraph have been violated. Electrical
27 corporations shall continue to provide all metering, billing,
28 collection, and customer service to retail customers thatparticipate
29 in community choice aggregation programs. Bills sent by the
30 electrical corporation to retail customers shall identify the
31 community choice aggregator as providing the electrical energy
32 component of the bill. The commission shall determine the terms
33 and conditions under which the electrical corporation provides
34 services to community choice aggregators and retail customers.
35 (10) If the commission 'finds that an electrical corporation or
36 cornnnnrity choice aggregator has violated this section, the
37 commission shall eensidef the impnet aF the violation upon
38 . order appropriate corrective
39 action.
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1 (11) The commission shall proactively expedite the complaint
2 process for disputes regarding an electrical corporation's or
3 eonnnuniry choice aggregator's violation of its obligations pursuant
4 to this section in order to provide for timely resolution of
5 complaints matle by eaninurnity choicea
6 complaints, so that all complaints are resolved in no more than
7 180 days following the filing of a
8 aggfegation
9 eleettieal eefporatiort7 complaint. This deadline may only be
10 extended under either of the following circumstances:
11 (A) Upon agreement of all of the parties to the complaint.
12 (B) The commission makes a written determination that the
13 deadline cannot be met, including findings for the reason for this
14 determination, and issues an order extending the deadline. A single
15 order pursuant to this subparagraph shall not extend the deadline
16 for more than 60 days.
17 (12) (A) An entity authorized to be a community choice
18 aggregator, as defined in Section 331.1, that elects to implement
19 a community choice aggregation program within its jurisdiction
20 pursuant to this chapter, shall do so by ordinance. A city, county,
21 or city and county may request, by affirmative resolution of its
22 governing council or board, that another entity authorized to be a
23 community choice aggregator act as the community choice
24 aggregator on its behalf. If a city, county, or city and county, by
25 resolution, requests another authorized entity be the community
26 choice aggregator for the city, county, or city and county, that
27 authorized entity shall be responsible for adopting the ordinance
28 to implement the community choice aggregation program on behalf
29 of the city, county, or city and county.
30 (B) Two or more entities authorized to be a community choice
31 aggregator, as defined in Section 331.1, may participate as a group
32 in a community choice aggregation program pursuant to this
33 chapter, through a joint powers agency established pursuant to
34 Chapter 5 (commencing with Section 6500) of Division 7 of Title
35 1 of the Goverment Code, if each entity adopts an ordinance
36 pursuant to subparagraph (A). Pursuant to Section 6508.1 of the
37 Goverment Code, members of a joint powers agency that is a
38 community choice aggregator may specify in their joint powers
39 agreement that, unless otherwise agreed by the members of the
40 agency, the debts, liabilities, and obligations of the agency shall
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MIM
1 not be the debts, liabilities, and obligations, either jointly or
2 severally, of the members of the agency. The commission shall
3 not, as a condition of registration or otherwise, require an agency's
4 members to voluntarily assume the debts, liabilities, and obligations
5 of the agency to the electrical corporation unless the cormmission
6 finds that the agreement by the agency's members is the only
7 reasonable means by which the agency may establish its
8 creditworthiness under the electrical corporation's tariff to pay
9 charges to the electrical corporation under the tariff.
10 (13) Following adoption of aggregation through the ordinance
11 described in paragraph (12), the program shall allow any retail
12 customer to opt out and to Banti_.._ ._ ___ ed as _ bundle
13 service eustomef by the existing eleetrieal corporation, of its
14 sueeessof in ifttefest_. in to the conannnaity choice aggregation
15 progrmn. Delivery services shall be provided at the same rates,
16 terms, and conditions, as approved by the commission, for
17 community choice aggregation customers and customers that have
18 entered into a direct transaction where applicable, as determined
19 by the cormnission. Once enrolled in the aggregated entity, any
20 ratepayer that chooses to opt out within 60 days or two billing
21 cycles of the date of enrollment may do so without penalty and
22 shall be entitled to receive default service pursuant to paragraph
23 (3) of subdivision (a). Customers that return to the electrical
24 corporation for procurement services shall be subject to the same
25 terms and conditions as are applicable to other returning direct
26 access customers from the same class, as determined by the
27 commission, as authorized by the commission pursuant to this
28 code or any other provision of law, except that those customers
29 shall be subject to no more than a 12 -month stay requirement with
30 the electrical corporation. Any reentry fees to be imposed after the
31 opt -out period specified in this paragraph, shall be approved by
32 the commission and shall reflect the cost of reentry. The
33 commission shall exclude any amounts previously determined and
34 paid pursuant to subdivisions (d), (e), and (f) from the cost of
35 reentry.
36 (14) Nothing in this section shall be construed as authorizing
37 any city or any community choice retail load aggregator to restrict
38 the ability ofretail electricity customers to obtain orreceive service
39 from any authorized electric service provider in a manner consistent
40 with law.
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puf�tittflt to stfbpafagraph (A).
The opt otit may take the fattn aFa self addre .,d P..
(15) Evwy solicitation of customers by a convmmnity choice
aggregator shall contain, and communication by the community
choice aggregator to the public or to a prospective or ecisting
customer shall be consistent with, the following in formation:
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(A) The electric supply rate for the customer if the customer
remains with the electrical corporation compared to the electric
supply rate it -the customer chooses to be served by the community
choice aggregator. Rates shall be specific to the customer class
of that customer and shall be provided for the naw five years of
service. The electrical corporation shall provide its projected
electric supply rate to the community choice aggregator:
(B) The anmal greenhouse gas emissions rate for electricity
actually delivered to customers for the previous hvo years if the
community choice aggregator has been serving customers and the
projected arcual greenhouse gas emissions rate for electricity to
be aclually delivered in the ne-vt five years ofservice. The projected
greenhouse gas emissions rate_for each year shall be calculated
using the regulations and prolocols established by the State Air
Resources Board, and for previous years using the greenhouse
gas emissions reported pnusuant to Article 2 (commencing with
Section 95100) of Subchapter 10 of Chapter 1 of Division 3 of
Title 17 oJ'the California Code of Regulations. The greenhouse
gas emissions rate shall include any emissions otherwise
attributable to any first importer supplying electricity to the
community choice aggregator, whether or not the eonnnnunit))
choice aggregator is a first deliverer as defined in paragraph (175)
of subdivision (a) of Section 95102 of'Title 17 of the California
Code of Regulations.
(16) A community choice aggregator shall have an operating
service agreement with the electrical corporation prior to furnishing
electric service to consumers within its jurisdiction. The service
agreement shall include performance standards that govern the
business and operational relationship between the community
choice aggregator and the electrical corporation. The commission
shall ensure that any service agreement between the community
choice aggregator and the electrical corporation includes equitable
responsibilities and remedies for all parties. The parties may
negotiate specific terms of the service agreement, provided that
the service agreement is consistent with this chapter.
(17) The community choice aggregator shall register with the
conunission, which may require additional information to ensure
compliance with basic consumer protection and other rules and
other procedural matters.
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I (18) Once the community choice aggregator's contract is signed,
2 the conummity choice aggregator shall notify the applicable
3 electrical corporation that community choice service will
4 commence within 30 days.
5 (19) Once notified of a community choice aggregator program,
6 the electrical corporation shall transfer all applicable accounts to
7 the new supplier within a 30 -day period from the date of the close
8 of the electrical corporation's normally scheduled monthly
9 metering and billing process.
10 (20) An electrical corporation shall recover from the community
11 choice aggregator any costs reasonably attributable to the
12 community choice aggregator, as determined by the commission,
13 of implementing this section, including, but not limited to, all
14 business and information system changes, except for
15 transaction -based costs as described in this paragraph. Any costs
16 not reasonably attributable to a community choice aggregator shall
17 be recovered from ratepayers, as determined by the commission.
18 All reasonable transaction -based costs of notices, billing, metering,
19 collections, and customer communications or other services
20 provided to an aggregator or its customers shall be recovered from
21 the aggregator or its customers on terms and at rates to be approved
22 by the commission.
23 (21) At the request and expense of any community choice
24 aggregator, an electrical corporation shall install, maintain, and
25 calibrate metering devices at mutually agreeable locations within
26 or adjacent to the community choice aggregator's political
27 boundaries. The electrical corporation shall read the metering
28 devices and provide the data collected to the community choice
29 aggregator at the aggregator's expense. To the extent that the
30 community choice aggregator requests a metering location that
31 would require alteration or modification of a circuit, the electrical
32 corporation shall only be required to alter or modify a circuit if
33 that alteration or modification does not compromise the safety,
34 reliability, or operational flexibility of the electrical corporation's
35 facilities. All costs incurred to modify circuits pursuant to this
36 paragraph, shall be borne by the community choice aggregator.
37 (d) (1) It is the intent of the Legislature that each retail end-use
38 customer that has purchased power from an electrical corporation
39 on or after February 1, 2001, should bear a fair share of the
40 Department of Water Resources' electricity purchase costs, as well
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1 as electricity purchase contract obligations incurred as of the
2 effective date of the act adding this section, that are recoverable
3 from electrical corporation customers in commission -approved
4 rates. It is further the intent of the Legislature to prevent any
5 shifting of recoverable costs between customers.
6 (2) The Legislature finds and declares that this subdivision is
7 consistent with the requirements of Division 27 (commencing with
8 Section 80000) of the Water Code and Section 360.5 of this code,
9 and is therefore declaratory of existing law.
10 (e) A retail end-use customer that purchases electricity from a
11 community choice aggregator pursuant to this section shall pay
12 both of the following:
13 (1) A charge equivalent to the charges that would otherwise be
14 imposed on the customer by the corn mission to recover
15 bond -related costs pursuant to any agreement between the
16 commission and the Department of Water Resources pursuant to
17 Section 80110 of the Water Code, which charge shall be payable
18 until any obligations of the Department of Water Resources
19 pursuant to Division 27 (commencing with Section 80000) of the
20 Water Code are fully paid or otherwise discharged.
21 (2) Any additional costs of the Department of Water Resources,
22 equal to the customer's proportionate share of the Department of
23 Water Resources' estimated net unavoidable electricity purchase
24 contract costs as determined by the commission, for the period
25 commencing with the customer's purchases of electricity from the
26 cormmunity choice aggregator, through the expiration of all then
27 existing electricity purchase contracts entered into by the
28 Department of Water Resources.
29 (1) A retail end-use customer purchasing electricity from a
30 community choice aggregator pursuant to this section shall
31 reimburse the electrical corporation that previously served the
32 customer for all of the following:
33 (1) The electrical corporation's unrecovered past
34 undercollections for electricity purchases, including any financing
35 costs, attributable to that customer, that the commission lawfully
36 determines may be recovered in rates.
37 (2) Any additional costs ofthe electrical corporation recoverable
38 in commission -approved rates, equal to the share of the electrical
39 corporation's estimated net unavoidable electricity purchase
40 contract costs attributable to the customer, as determined by the
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I commission, for the period commencing with the customer's
2 purchases of electricity from the community choice aggregator,
3 through the expiration of all then existing electricity purchase
4 contracts entered into by the electrical corporation.
5 (g) Estimated net unavoidable electricity costs paid by the
6 customers of a community choice aggregator shall be reduced by
7 the value of any benefits that remain with bundled service
8 customers, unless the customers of the community choice
9 aggregator are allocated a fair and equitable share of those benefits.
10 (h) (1) Any charges imposed pursuant to subdivision (e) shall
11 be the property of the Department of Water Resources. Any charges
12 imposed pursuant to subdivision (f) shall be the property of the
13 electrical corporation. The commission shall establish mechanisms,
14 including agreements with, or orders with respect to, electrical
15 corporations necessary to ensure that charges payable pursuant to
16 this section shall be promptly remitted to the party entitled to
17 payment.
18 (2) Charges imposed pursuant to subdivisions (d), (e), and (f)
19 shall be nonbypassable.
20 (i) The commission shall authorize community choice
21 aggregation only if the commission imposes a cost -recovery
22 mechanism pursuant to subdivisions (d), (e), (f), and (h). Except
23 as provided by this subdivision, this section shall not alter the
24 suspension by the commission of direct purchases of electricity
25 from alternate providers other than by community choice
26 aggregators, pursuant to Section 365.1.
27 0) (1) The commission shall not authorize community choice
28 aggregation until it implements a cost -recovery mechanism,
29 consistent with subdivisions (d), (e), and (f), that is applicable to
30 customers that elected to purchase electricity from an alternate
31 provider between February 1, 2001, and January 1, 2003.
32 (2) The cormnission shall not authorize community choice
33 aggregation until it has adopted rules for implementing community
34 choice aggregation.
35 (k) (1) Except for nonhypassable charges imposed by the
36 commission pursuant to subdivisions (d), (e), (f), and (h), and
37 programs authorized by the commission to provide broader
38 statewide or regional benefits to all customers, electric service
39 customers of a community choice aggregator shall not be required
40 to pay nonbypassable charges for goods, services, or programs
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1 that do not benefit either, or where applicable, both, the customer
2 and the community choice aggregator serving the customer.
3 (2) The commission, Energy Commission, electrical corporation,
4 or third -party administrator shall administer any program funded
5 through a nonbypassable charge on a nondiscriminatory basis so
6 that the electric service customers of a community choice
7 aggregator may participate in the program on an equal basis with
8 the customers of an electrical corporation.
9 (3) Nothing in this subdivision is intended to modify, or prohibit
10 the use of, charges funding programs for the benefit of low-income
11 customers.
12 (1) (1) An electrical corporation shall not terminate the services
13 of a community choice aggregator unless authorized by a vote of
14 the full commission. The commission shall ensure that prior to
15 authorizing a termination of service, that the conummity choice
16 aggregator has been provided adequate notice and a reasonable
17 opportunity to be heard regarding any electrical corporation
18 contentions in support of termination. If the contentions made by
19 the electrical corporation in favor of termination include factual
20 claims, the community choice aggregator shall be afforded an
21 opportunity to address those claims in an evidentiary hearing.
22 (2) Notwithstanding paragraph (1), if the Independent System
23 Operator has transferred the community choice aggregator's
24 scheduling coordination responsibilities to the incumbent electrical
25 corporation, an administrative lawjudge or assigned commissioner,
26 after providing the aggregator with notice and an opportunity to
27 respond, may suspend the aggregator's service to customers
28 pending a full vote of the commission.
29 (in) Any meeting of an entity authorized to be a connnunity
30 choice aggregator, as defined in Section 331.1, for the purpose of
31 developing, implementing, or administering a program of
32 community choice aggregation shall be conducted in the manner
33 prescribed by the Ralph M. Brown Act (Chapter 9 (commencing
34 with Section 54950) of Part 1 of Division 2 of Title 5 of the
35 Government Code).
36 (n) .4mendments to this section made by Assembly Bill 2145 of
37 the 2013-14 Regular Session do not q#ect the enrollment status
38 of a customer already enrolled in a comnnmity choice aggregation
39 program prior to January 1, 2015.
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SEC. 2. No reimbursement is required by this act pursuant !o
Section 6 of ArticleX111B ofthe California Constitution because
the only costs that may be incurred by a local agency or school
district will be incurred because this act creates a new crime or
nfraction, eliminates a crime or infraction, or changes the penalq,
for a crime or infraction, within the meaning of Section 17556 of
the Government Code, or changes the definition of a crime within
the meaning of Section 6 of Article 1171IB of the Califm-nia
Constitution.
Col
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