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Home My WebLink About83-65 ? $ 9 10 11 12 13 14 15 16 17 18 19 2O 21 22 23 24 25 RESOLUTION NO. 83-65 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF UKIAH AUTHORIZING AMENDING AGREEMENT FOR SALE OF ELECTRIC CAPACITY AND ENERGY BY PACIFIC GAS AND ELECTRIC COMPANY TO THE CITY OF UKIAH WHEREAS, the City of Ukiah now purchases capacity and energy from the Western Area Power Administration pursuant to Contract No. DE-MS65-82WP59017, which power is delivered to Ukiah by Pacific Gas and Electric Company pursuant to Contract No. 2948A; and WHEREAS, the City of Ukiah also has purchased energy generated by the Turlock Irrigation District; and WHEREAS, Pacific Gas and Electric Company desires, and the City of Ukiah agrees, that it is desirable to amend the power supply agreement between the City of Ukiah and PGandE to specifically recognize Western Power and TID Energy deliveries; and WHEREAS, Pacific Gas and Electric Company has forwarded to the City of Ukiah an executed copy of a proposed amendment to recognize the Western and TID deliveries. NOW, THEREFORE, BE IT RESOLVED that the City of Ukiah execute the contract amendments prepared by Pacific Gas and Electric Company and executed on PGandE's behalf by Mr. Stearns, with the express limitation that the City of Ukiah is not agreeing that the method of accounting for Western Power set forth in the amendment is either dictated by Contract No. 2948A or would be just or reason- able under all operating conditions; and BE IT FURTHER RESOLVED, that copies of such executed amendments be forwarded to Miller, Balis & O'Neil, P.C., Washington, D.C. 20005 for retransmittal to PGandE, with instruction that a written acknowledgement be 26 ///// 27 ///// 28 ///// - 1 - 1 2 3 4 6 ? 8 10 11 12 13 14 15 16 17 'i 18 19 21 22 23 25 26 27 2~ .. obtained from PGandE that by executing said amendments Ukiah is reserving its right to renegotiate the Western Power accounting provisions should changed operating circumstances render them unreasonable. PASSED AND ADOPTED this 18th day of May , 1983 by the following roll call vote' AYES- Councilrnembers Kelley, Dickens, Hickey, Myers, Feibusch NOES' None ABSENT' None l~eodor Feibusch, Mayor ATTEST' -2- AMENDING AGREEMENT FOR SALE OF ELECTRIC CAPACITY AND ENERGY BY PACIFIC GAS AND ELECTRIC COMPANY TO THE CITY OF UKIAH AMENDING AGREEMENT FOR SALE ' OF ELECTRIC CAPACITY AND ENERGY BY PACIFIC GAS AND ELECTRIC COMPANY TO THE CITY OF UKIAH THIS AMENDING AGREEMENT is entered into by and between CITY OF UKIAH, a California municipal corporation, situated in the County of Mendocino, State of California (Ukiah) and PACIFIC GAS AND ELECTRIC COMPANY, a California corporation (PGandE) (individually, Party; collectively, Parties). RECITALS: A. Ukiah owns and operates an electric system for the distribution and sale of electric capacity and energy (Power). Ukiah now purchases Power for resale at 12 KV from PGandE in accordance with an agreement dated November 14, 1955, as amended (1955 Agreement). B. Ukiah will begin purchasing Power from the United States of America, Department of Energy, Western Area Power Administration (Western), March 1, 1982 as part of Western's Central Valley Project Firm Load. C. The initial Contract Rate of Delivery (CRD) available to Ukiah from Western is to be 6,000 KW. D. As a Firm Load customer of Western, power purchases by Ukiah from Western are to be provided pursuant to Contract No. 14-06-200-2948A (Contract 2948A) between Western and PGandE and will be delivered by PGandE under a separate agreement between PGandE and Western. E. Ukiah is a member of the Northern California Power Agency (NCPA). PGandE and NCPA are negotiating for a coordination, inter-connection and transmission contract. F. NCPA and certain member cities, including Ukiah, have entered into an agreement to purchase surplus energy from the Turlock Irrigation District (TID Energy). G. Ukiah has contracted with NCPA to allow NCPA or its agent to act on Ukiah's behalf in arranging with PGandE for the transmission of TID Energy from Turlock's established delivery point to PGandE's electric delivery point for Ukiah. H. NCPA has entered into a contract (PGandE-NCPA Interruptible Transmission Service Contract-TID Energy) dated June 24, 1982, for interruptible transmission service -2- for such TID Energy to NCPA member cities in amounts determined under provisions of that contract. I. The Parties desire to further amend the 1955 Agreement to accommodate the delivery of TID energy and Western capacity and energy. NOW, THEREFORE, IT IS MUTUALLY AGREED THAT THE 1955 AGREEMENT SHALL BE AMENDED AS FOLLOWS: 1. Section 5(b) is deleted and the following new subsection (b) is substituted therefore: "(b) A monthly bill based on the total metered quantity of Power delivered by PGandE to Ukiah in excess of that sold to Ukiah by Western as provided for under Contract 2948A will be prepared under PGandE's Federal Energy Regulatory Commission (FERC) tariffs. The bill shall be for Demand Supplied By PGandE and Energy Supplied By PGandE during the billing period, less any then applicable credits for TID Energy. Because precise information regarding deliveries of TID Energy to designated members will not be made available to PGandE by NCPA during the instant billing period, any credits due Ukiah as provided in the PGandE-NCPA Interruptible Transmission Service Contract-TID Energy will be applied to PGandE's next regular -3- monthly Power bill to Ukiah following receipt of such information. Such credits will be based on the rates and charges in effect during the billing period during which the deliveries of TID Energy were supplied to Ukiah. PGandE shall arrange for a pro rata utilization of metering equipment with Western, except for certain equipment necessary to accommodate metering facilities which shall be installed by Ukiah. When used herein, the below-listed terms shall be defined as follows: (i) UKIAH DEMAND--For any half-hour interval Ukiah Demand shall be equal to the average power taken during the half hour. (ii) UKIAH ENERGY--For any billing period Ukiah Energy shall be the energy in kilowatthours delivered during the billing period. (iii) DEMAND SUPPLIED BY WESTERN--For any half-hour in any billing period, the Demand Supplied By Western shall be equal to Ukiah Demand for that half hour multiplied by the quotient, not to exceed unity, of the then effective CRD divided by the maximum Ukiah Demand for the billing period. -4- (iv) ENERGY SUPPLIED BY WESTERN--For any half hour in any billing period, the Energy Supplied By Western shall be equal to Ukiah Energy for that half hour multiplied by the quotient, not to exceed unity, of the then effective CRD divided by the maximum Ukiah Demand for the billing period. Energy Supplied By Western during the billing period shall be the summation of the half-hour energy amounts determined above. (v) CONTRACT RATE OF DELIVERY (CRD)--The maximum rate of delivery of Power in kilowatts made available to Ukiah as a Firm Load customer of Western under provisions of Contract 2948A during the billing period. (vi) DEMAND SUPPLIED BY PGandE--The average demand, not less than zero, for any half hour in the billing period obtained by subtracting Demand Supplied By Western from the metered demand for that half hour. (vii) ENERGY SUPPLIED BY PGandE--The energy, not less than zero, for any half hour in the billing period obtained by subtracting Energy Supplied by Western for that half hour from metered energy delivered during the half hour. Energy Supplied By PGandE during the billing period shall be the summation of the half-hourly amounts determined above." -5- 2. Section 7 on page 5 is deleted and the following new Section 7 is substituted therefor: "7. PGandE shall sell and deliver to Ukiah, and Ukiah shall purchase and receive from PGandE all Power required by Ukiah in excess of that sold to Ukiah as a Firm Load customer of Western as provided for under Contract 2948A, except for such TID Energy as may from time to time be delivered by PGandE to Ukiah under the provisions of the PGandE-NCPA Interruptible Transmission Service Contract-TID Energy." 3. PGandE shall file this Amending Agreement with FERC in a timely manner and shall diligently prosecute such proceedings. 4. Nothing contained herein shall be construed as affecting in any way the right of PGandE, in furnishing service under provisions of the 1955 Agreement, unilaterally to make application to FERC for a change in rates under Section 205 of the Federal Power Act and pursuant to FERC's Rules and Regulations promulgated thereunder. Nothing contained herein shall be construed as affecting in any way the right of PGandE to put into effect any changes in rates, or as preventing in any way a 'change in rate from becoming effective, on an interim basis or otherwise, under said Section and pursuant to said Rules and Regulations. -6- 5. (a) This Amending Agreement shall be effective on March 1, 1982 if permitted to become effective on that date by FERC; provided, that this Agreement is expressly conditioned upon FERC's acceptance of all provisions hereof, without change or condition, and will not become effective unless so accepted. (b) This Amending Agreement, once effective, shall remain in effect coincident with the 1955 Agreement. 6. Nothing contained herein shall be construed as affecting in any way the rights or positions of the parties with respect to other matters in dispute, including specifically the delivery of Northwest energy during the period May 1 - September 30, 1982 pursuant to the Western/NCPA contract dated May 28, 1982, and PGandE's obligation to accommodate deliveries of TID Energy and Western capacity and energy in the event the Amending -7- Agreement does not become effective pursuant to Article 5 hereof. 19 83 Agreed to this ]8th day of May , City Clerk CITY OF UKIAH PACIFIC GAS AND ELECTRIC COMPANY .z F" '~. '", ~ '< "7"~-~ '-~'-", ' -,- Manager~Co~.r~l ai~ Department · -8-