HomeMy WebLinkAboutReso 2016-114 RESOLUTION NO. 2016-114
RESOLUTIOI�' OF THE CITY COUIVCIL OF THE CITl' OF
CHULA VISTA APPROVII�'G CONTII�'UATION OF THE
ELECTRICITY COMMODITY PliRCHASES FROM SHELL
ENERGY AND AUTHORIZING THE CITY A4ANAGER TO
E,l'ECUTE ALL DOCUA4ENTS I?�' COI�T.TUI�'CTION �l'ITH THE
PURCH.ASES
N%HEREAS; the Califomia Public Utilities Commission began implementation of
Assembl�� Bill 1890 in 1998 to mal;e the generation of electricit� more competiti��e in California
throush the creation of"Direct Access Sen�ices:' and
�4�HEREAS. Direct Access allo�vs commercial. industrial, and aericultural customers to
purchase electricit�� from a third-part�� Electric Sen'ice Pro�ider_ instead of from the local
Investor-O��mer Utilit��: and
��'HEREAS. Direct Access allo���s these customers to potentiall�� negotiate better
electricit}' commodity rates or higher reneH�able enero�� po���er mi�es from the open market: and
i1�HEREAS. the Citv oF Chula Vista has four electricit�• accounts that are under Direct
.Access Service N�ith Shell Ener�v: and
��'1-IEREAS. under the contract with Shell Enerev. the Cit�- `9ocks-in" electricitv
procurement rates for certain time periods throu�h a Confirmation Letter to minimize utilit�� cost
fluctuations: and
W7IEREAS. the City's current Confirmation Letter and associated rates are ezpirine; and
W7IEREAS. the ne��� rates aze similar to last ��ear and appro�imatelv 30% lo«�er than
historical commodin� prices.
NO�V. THEREFORE. the Citv Council of the Citv of Chula Vista does hereb�� resoh=e
that it:
1. Approves continuation of electricit�� commodity purchases from Shell Energy; and
2. Authorizes the Cit}� 1�lanaser. or designee; to eaecute an up to 3-year Confirmation
letter �iith rates not to e�ceed $46.00 per Mega�i�att Hour, in the form presented; with
such modifications as ma�� be appro�-ed or required b� the Citv Attome��; to be kept
on file in the office of the Cit�� Attorne��. and authorizes and directs the Mavor to
execute same.
Resolution No. 2016-114
Paee No. 2
Presented by Approved as to form by
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ric C. Crockett Glen R. (`i' ogi s
Director of Economic Development it A ey
PASSED, APPROVED, and ADOPTED by the Ciry Council of the CiTy of Chula Vista,
Califomia, this 14th day of June 2016 by the following vote:
AYES: Councilmembers: Aguilar. Bensoussan, McCann, and Salas
NAYS: Councilmembers: None
ABSENT: Councilmembers: Miesen
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Mary las, Mayor
ATTEST:
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Donna R. Norris, CMC, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN DIEGO )
CITY OF CHULA VISTA )
I, Donna R. Norris, City Clerk of Chula Vista, Califomia, do hereby certify that the foregoing
Resolution No. 2016-114 was duly passed, approved, and adopted by the City Council at a
regular meetine of the Chula Vista City Council held on the 14th day of June 2016.
Eaecuted this 14th day of June 2016.
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Donna R. Norris, CMC, City Clerk