HomeMy WebLinkAboutResolutions 2011-078 N.C.S. 05/16/2011Resolution No. 2011 -078 N.C.S.
of the City of Petaluma, California
APPROVING LETTER OF SUPPORT FOR SENATE BILL 790 (SB 790), WHICH
AMENDS SECTIONS OF THE PUBLIC UTILITIES CODE RELATING TO
ELECTRICITY AND COMMUNITY CHOICE AGGREGATION
WHEREAS, in 1996, the California Legislature passed AB 1890 to restructure and
deregulate the electric industry, which ended the service monopoly of utilities and authorized
retail customers to purchase energy directly from suppliers; and,
WHEREAS, Community Choice Aggregation (CCA) programs are governmental
entities formed by cities and counties to serve the energy requirements of their local residents
and businesses by enabling them to purchase power on behalf of their communities; and,
WHEREAS, the California Legislature enacted AB 117 in 2001 that authorized the
creation of CCAs, described essential program elements and services, and established methods to
protect existing utility customers from liabilities they might incur if a portion of the electrical
corporation's customers transferred their energy services to a CCA; and,
WHEREAS, Senate Bill 790 (SB 790) seeks to strengthen existing law by clarifying,
amending and adding key provisions that enable CCAs to function as originally intended and to
allow jurisdictions to pursue CCAs without undue barriers and excessive burdens.
NOW, THEREFORE, BE IT RESOLVED THAT the Petaluma City Council does
hereby approve and authorize the Mayor to sign the letter of support for SB 790.
Under the power and authority conferred upon this Council by the Charter of said City.
REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the ( A�p
Jed as to
Council of the City of Petaluma at a Regular meeting on the 16 day of May, 2011, o m:
by the following vote:
AYES: Albertson, Barrett, Mayor Glass, Harris, Vice Mayor Healy, Kearney, Renee
NOES: None
ABSENT: None
ABSTAIN
ATTEST:
City
Resolution No. 2011-078 N.C.S. Page I
ATTACHMENT
May 16, 201 1
Senator Mark Leno
Attn: Barry Steinhart via fax (916) 445 -4722
RE: SB 790 -SUPPORT
Dear Senator Leno,
The City of Petaluma supports California Senate Bill 790 to strengthen existing law related to
Community Choice Aggregation (CCA), foster fair competition and allow local jurisdictions to
pursue CCA without undue barriers and excessive burdens.
CCA programs procure electricity for their customers and partner with existing electrical
corporations for power transmission and distribution, line maintenance, and customer billing.
Local governments would like to use CCA programs as a tool to foster healthy competition, to
increase the use of renewable power resources, to achieve substantial reductions in greenhouse
gas emissions, and to create new local jobs. These programs support state goals in the energy
sector and state law should facilitate the expansion of Community Choice Aggregation by local
governments.
Although existing law requires utilities to cooperate fully with communities seeking to establish a
CCA, utility corporations have consistently blocked their formation. Since the passage of the law
enabling CCAs in 2001, only one local government has successfully launched a CCA while
others have tried and failed. In fact, the California Public Utilities Commission recently found that
utility opposition to CCA has forced some CCA efforts to be abandoned altogether. The defeat
of state Proposition 16 in June 2010 reaffirmed the public's support of the right to form CCA
programs.
Existing CCA law giving local governments the right to pursue Community Choice Aggregation
has not worked. Reforms are needed to make CCA more viable, encourage customer choice,
increase the use of renewable energy, and to allow healthy competition to improve electric
service for all customers.
Sincerely,
David Glass
Mayor
Resolution No. 2011 -078 N.C.S. Page 2