HomeMy WebLinkAboutOrdinance #4227 ORDINANCE NO. 4227
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
HUNTINGTON BEACH AUTHORIZING THE IMPLEMENTATION OF A
COMMUNITY CHOICE AGGREGATION PROGRAM
The City Council of the City of Huntington Beach does hereby ordain as follows:
SECTION 1. FINDINGS.
1. The City of Huntington Beach has been actively investigating options to provide electric
services to constituents within its service area with the intent of achieving greater local
involvement over the provisions of electric services and promoting competitive retail
choice.
2. Assembly Bill 117 (Stat. 2002, ch. 838; see California Public Utilities Code § 366.2 et
seq.; hereinafter referred to as the "Act") authorizes any California city or county, whose
governing body so elects, to combine the electricity load of its residents and businesses in
a community-wide electricity aggregation program known as Community Choice
Aggregation ("CCA")
3. The Act expressly authorizes participation in a CCA program through a joint powers
agency, and to this end, the City of Huntington Beach has been evaluating a countywide
CCA program.
4. Through Docket No. R.03-10-003, the California Public Utilities Commission
("Commission") has issued various decisions and rulings addressing the implementation
of CCA programs, including establishing a procedure by which the Commission will
review implementation plans, which are required to be submitted under the Act as the
means of describing the CCA program and ensuring compliance with the Act.
5. The City has elected to form a joint powers authority that would specify the terms and
conditions by which participants may participate as a group in energy programs,
including, but not limited to, the implementation of a CCA program with the following
benefits:
a. Providing customers a choice of power providers;
b. Increasing local control over energy rates and other energy-related matters;
C. Providing electric rates that are competitive with those provided by the incumbent
utility;
d. Improving the local economy by increasing local and regional renewable
generation capacity and energy conservation and efficiency projects and
programs;
e. Increasing regional energy self-sufficiency; and
f. Reducing greenhouse gas emissions arising from electricity use in the City.
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6. The Joint Powers Agreement creating the Authority will govern and operate the CCA
program on behalf of its member jurisdictions. The City may participate in the Authority
by approving the execution of the Joint Powers Agreement and adoption of a CCA
ordinance required by Public Utilities Code § 366.2(c)(12). The City's participation in
the Authority will include membership on the Board of Directors of the Authority as
provided in the Joint Powers Agreement.
7. The Authority will enter into agreements with electric power suppliers and other services
providers and, based on these agreements, the Authority plans to provide power to
residents and businesses at rates that are competitive with those of the incumbent utility.
Once the Commission approves the implementation plan prepared by the Authority, the
Authority may provide service to customers within the City and those cities that choose
to participate in the Authority.
8. Under Public Utilities Code § 366.2, customers have the right to opt-out of a CCA
program and continue to receive service from the incumbent utility. Customers who
desire to continue to receive service from the incumbent utility will be able to do so at
any time.
9. On December 10, 2020 the City Council held a public meeting at which time interested
persons had an opportunity to testify either in support or in opposition to implementation
of the CCA program within the City.
10. This ordinance is exempt from the requirements of the California Environmental Quality
Act ("CEQA")pursuant to State CEQA Guidelines, as it is not a"project" and has no
potential to result in a direct or reasonably foreseeable indirect physical change to the
environment because it is merely the formation of an organization. 14 Cal. Code Regs. §
15378(a). The ordinance is also exempt from CEQA because it is an organizational or
administrative activity of governments that will not result in direct or indirect physical
change in the environment. 14 Cal. Code Regs. § 15378(b)(5). The ordinance is also
exempt from CEQA because it is merely a change in organization of local agencies. 14
Cal. Code Regs. § 15320. Further, the ordinance is exempt from CEQA because there is
no possibility that the ordinance or its implementation, which would only result in the
formation of a governmental organization, would have a significant negative effect on the
environment. 14 Cal. Code Regs. § 15061(b)(3). The City Manager shall cause a Notice
of Exemption to be filed as authorized by CEQA and the State CEQA Guidelines.
SECTION 2. AUTHORIZATION TO IMPLEMENT A COMMUNITY CHOICE
AGGREGATION PROGRAM. Based upon the foregoing, and in order to provide businesses
and residents within the City with a choice of power providers, the City hereby elects to
implement a community choice aggregation program within the jurisdiction of the City by
participating in the CCA program of the Authority, as described in the Joint Powers Agreement.
SECTION 3. SEVERABILITY. If any section, subsection, sentence, clause, phrase or portion
of this ordinance is held for any reason to be invalid or unconstitutional by a decision of any
court of competent jurisdiction, such decision shall not affect the validity of the remaining
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Ordinance No. 4227
portions of this ordinance. The City Council hereby declares that it would have adopted this
ordinance and each section, subsection, clause, phrase or portion thereof, irrespective of the fact
that any one or more sections, subsections, sentences, clauses, phrases or portions be declared
invalid or unconstitutional.
SECTION 4. EFFECTIVE DATE. That this Ordinance shall become effective thirty (30) days
after its adoption.
PASSED AND ADOPTED at a regular meeting of the City Council of the City of
Huntington Beach on this 21st day of December , 2020
G
May
rV EDNDCAVED: APPROVED AS TO FORM:
City Manager City Attorney
INITIATED AND APPROVED:
4L
Assistant City Mana er
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Ord. No. 4227
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss:
CITY OF HUNTINGTON BEACH )
I, ROBIN ESTANISLAU, the duly elected, qualified City Clerk of the
City of Huntington Beach, and ex-officio Clerk of the City Council of said City, do
hereby certify that the whole number of members of the City Council of the City of
Huntington Beach is seven; that the foregoing ordinance was read to said City Council at
a Special meeting thereof held on December 10, 2020, and was again read to said City
Council at a Regular meeting thereof held on December 21,2020, and was passed and
adopted by the affirmative vote of at least a majority of all the members of said City
Council.
AYES: Kalmick, Carr, Posey, Moser, Delgleize
NOES: Peterson, Ortiz
ABSENT: None
ABSTAIN: None
1,Robin Estanislau,CITY CLERK of the City of Huntington
Beach and ex-officio Clerk of the City Council,do hereby
certify that a synopsis of this ordinance has been published in
the Huntington Beach Wave on December 31,2020. e
In accordance with the City Charter of said City.
Robin Estanislau, Ci . Clerk City Clerk and ex-officio Clerk
Deputy city Clerk of the City Council of the City
of Huntington Beach, California