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HomeMy WebLinkAbout10 Power Source Disclosure Approval 2019 AGENDA ITEM #10 Page 1 of 2 MEETING DATE: April 7, 2021 TO: Board of Directors FROM: Joe Horvath P.E., Electric Utility Director/Assistant GM SUBJECT: Consideration of Resolution 2021-06, Approving Submission and Attesting to the Veracity of the 2019 Power Source Disclosure Report and Power Content Label APPROVED BY______________________________ Brian C. Wright, Interim General Manager RECOMMENDATION: Adopt Resolution 2021-06 (Attachment 1) approving the submission and attesting to the veracity of the 2019 Power Source Disclosure Report and Power Content Label. BACKGROUND: California Senate Bill (SB) 1305, approved in 1997, directs all California retail suppliers of electricity to disclose to consumers the sources of energy used to provide the electric service in an accurate and easy to understand manner. The SB 1305 Report is better known as the Power Source Disclosure (PSD) Report. The District submits an annual PSD Report to the California Energy Commission (CEC) by June 1st of each year. The information contained in the PSD Report is subsequently used to prepare the annual Power Content Label (PCL) using a PCL template provided each year by the CEC. The PCL is made available to our customers around November of each year and posted on the District’s website, and on the CEC’s website. In 2017, the CEC regulation implementing SB 1305 was updated with important changes that directly affected all electric utilities. The changes included a provision that requires utilities to engage a third-party certified public accountant (CPA) to perform an audit to verify the specific purchases and self-consumption of energy by fuel type. The regulation includes an exemption from the audit requirement for publicly owned electric utilit ies (POUs), if the governing board of the POU approves the submission and the veracity of the reports sent to the CEC. District staff has compiled the data for the 2019 PSD based on information provided and verified by our electric suppliers including the Utah Associated Power Systems (UAMPS), Western Area Power Administration (WAPA) and Western Electricity Coordinating Council (WECC). In addition, the District contracts with a third-party verifier to prepare a report for Page 2 of 2 all electricity transactions and submit this report annually to California Air Resources Board (CARB) in compliance with State regulations and CARB Greenhouse Gas Emissions reporting requirements. Staff has further reviewed this information and are confident in the accuracy of the information being reported. The proposed Resolution 2021-06 approves the 2019 PSD Report and PCL submission and provides the attestation on the veracity of the reports as required by the CEC for exemption from the third-party CPA audit requirement. The 2019 PSD Report and PCL are included in Resolution 2021-06 as Exhibits A and B, respectively. Staff anticipates submitting the District’s annual PSD report for calendar year 2020 to the CEC in May , 2021, and providing the 2020 PCL to electric customers around Novemb er, 2021. Staff also anticipates bringing a similar resolution to approve the 2020 reports for Board consideration by November, 2021 for timely compliance with CEC requirements. This item is in support of the following objectives and goals identified by t he District. 1.05.020 Objectives: 1. Responsibly serve the public. 5. Manage the District in an environmentally sound manner. 1.05.030 Goals: 1.1. Conduct the District’s business in a legal, ethical, open, and transparent manner. 5.4. Conduct District business in an environmentally lawful manner. FISCAL IMPACT: There is no fiscal impact associated with approving the submission and attesting to the veracity of the 2019 Power Source Disclosure Report and Power Content Label. ATTACHMENTS: 1. Resolution 2021-06, Approving Submission and Attesting to the Veracity of the 2019 Power Source Disclosure Report and the Power Content Label