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HomeMy WebLinkAboutcc min 2007/03/26 MINUTES OF AN ADJOURNED REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA March 26, 2007 4:00 P.M. An Adjourned Regular Meeting of the City Council of the City of Chula Vista was called to order at 4:03 p.m. in the Council Chambers, located in City Hall, 276 Fourth Avenue, Chula Vista, California. ROLL CALL: PRESENT: Councilmembers: Castaneda, McCann (arrived at 6:05 p.m.), Ramirez, Rindone, and Mayor Cox ABSENT: Councilmembers: None ALSO PRESENT: Interim City Manager Thomson, City Attorney Moore, and Deputy City Clerk Bennett PLEDGE OF ALLEGIANCE TO THE FLAG AND MOMENT OF SILENCE PUBLIC COMMENTS There were none. WORKSHOP I. PRESENTATION AND SUB COMMITTEE REPORT REGARDING THE SOUTH BAY POWER PLANT DECOMMISSIONING AND DISMANTLING The purpose of the workshop was to provide the Council and public with additional information regarding the regulatory process associated with decommissioning and dismantling the existing South Bay power plant; as well as provide an opportunity to hear directly from stakeholders who did not present at the January 18, 2007 workshop regarding their recommendations and participation in the process to address resource adequacy and remove the "reliability must run" (RMR) status from the existing plant. The meeting also provided the Council subcommittee with an opportunity to provide a progress report on its activities since the committee was established at the January 18, 2007 workshop. Mayor Cox introduced Port Commissioner Mike Najera; Randa Coniglio, Real Estate Manager, Port of San Diego; and Conservation and Environmental Services Director Michael Meacham. At 4:06 p.m., she announced that she would leave the dais briefly to meet with the Charter Review Commission. Director Meacham presented a report on the process and strategy for decommissioning and dismantling the existing South Bay power plant. Ms. Coniglio reported that as a result of actions taken by the Council at a joint meeting with the Port on February 20, 2007, the Board of Port Commissioners directed Port staff to continue to fulfill the Port District's obligations under current agreements, to cooperate and assist LS Power in the development of a replacement generation plant off Port tidelands, and to bring back a resolution to that effect at the next Port meeting on April 10, 2007. WORKSHOP (Continued) Mayor Cox returned to the dais at 4: I 0 p.m. Laura Hunter, representing the Environmental Health Coalition, introduced Paul Fenn, Executive Director, and Robert Freehling, Research Director, representing Local Power, who presented green energy options for the South Bay power plant. Ms. Hunter then presented proposed recommendations on specific alternatives to remove the power plant. She also suggested that the City join with other stakeholders to create a working group to decide the South Bay's energy future. Mike Niggli, Chief Operating Officer, Sempra Energy Utilities, gave a presentation on issues associated with long-term energy planning. Deputy Mayor Rindone referenced the report by Mr. Niggli, noting that the removal of the 138kV bayfront lines and structures was dependent on the decommissioning of the South Bay power plant, per the California Independent System Operator (CAISO). He stated that it was his understanding that, per negotiations between the City and SDG&E, this was not a condition for removing the lines and structures. Mr. Niggli responded that CAISO would feel uncomfortable taking the structures down and changing the reliability to the area until a resolution regarding the power plant facility was reached. Deputy Mayor Rindone asked Mr. Niggli to provide the Council with further information regarding the growth rate of electric load use over the past 10 years. Scott Alevy, representing the San Diego Regional Chamber of Commerce, spoke of the need for sustainable energy and stated that redevelopment strategies for the bayfront would be virtually impossible to implement unless CAISO blessed the removal of the existing power plant. On behalf of the Chamber, he urged the Council to support the Sunrise power link. Lisa Cohen, representing the Chula Vista Chamber of Commerce, spoke in support of the Sunrise power link as a solution to the problem of removing the existing, aging power plant from the bayfront. Patricia Aguilar, representing Crossroads II, stated that the South Bay power plant had been an environmental and visual blight on the City for too long, and that it was time to remove the plant from the bayfront and use the land for purposes that people could enjoy. Denis Trafecanty, a resident of Santa Isabel, spoke about SDG&E's interest in solar, wind, and renewables, although she said it has yet to establish geothermal at the Southwest power link that it talked about 22 years ago. He further stated that what currently exists on the South""est power link in Mexicali is polluting, dirty power. He commented that SDG&E does not claim to have solar on any of its own facilities and he, therefore, felt unsure about its statement about renewables. Mr. Trafecanty also questioned whether the Sunrise power link would obtain approval in the future, and he spoke of the need to resolve energy needs locally. Page 2 - Council Minutes http://www .ch ulavistaca. !!OV March 26, 2007 WORKSHOP (Continued) Mayor Cox updated the Council regarding several subcorrunittee meetings she and Councilmember Castaneda attended regarding the power plant. She provided details from their meeting with the California Public Utilities Commission (CPUC) regarding the need for a long- term vision for the San Diego region, including base load and peaker power, and the CPUC's commitment to competitive generation in California. Additionally, she reported that CPUC staff stated that a power plant with adequate generation to ensure CAISO and CPUC agreement for decommissioning does not need to be on the bayfront; however, a new site would take up to two years to plan, followed by construction. Councilmember Castaneda also reported on the power plant subcorrunittee meetings with CAISO and the CPUC, stating that CAISO confirmed that on or about February 2010, an operational base load power plant of approximately 550 - 600 megawatts located in the San Diego service area would be adequate to remove RMR from the South Bay power plant. Additionally, when the Otay Mesa generating plant comes online, approximately 500 megawatts of RMR contract power could be removed from the service area, which includes the South Bay power plant. He then spoke of the need to work diligently with all entities to ensure the removal ofRMR as soon as possible. Mayor Cox stated that the subcommittee would look for continued direction from all entities involved in the process in both the private and public sectors. She thanked the speakers present at the meeting. Councilmember McCann stated that the number one priority continued to be the removal of RMR status on South Bay power plant, followed by looking at renewable energy sources. No action was taken by Council. ADJOURNMENT At 6:24 p.m., Mayor Cox adjourned the meeting to the regular meeting of March 27, 2007 at 6:00 p.m. in the Council Chambers. ---/ ..----' Lorraine Bennett, CMC, Deputy City Clerk Page 3 - Council Minutes http://www.chulavistaca.gov March 26, 2007