PeninsulaCleanEnergyBoardofDirectorsMee7ng

September22,2016

June23,2016

AgendaCalltoorder/RollcallPublicCommentAc7ontosettheagendaandapproveconsentitems

Agenda

1. ChairReport(Discussion)

RegularAgenda

MunicipalAccountsandECO100

ConfirmedtoOpt-Up•  Atherton•  Brisbane•  FosterCity•  Millbrae•  MenloPark•  PortolaValley•  RedwoodCity•  Woodside

ExpressedInterest•  HalfMoonBay•  Hillsborough•  SanMateo•  SanMateoCounty

RegularAgenda

2. CEOReport(Discussion)

Welcometoournewhires!

•  AnneBartoleF,BoardClerk/ExecuKveAssistanttoCEO

•  DanLieberman,DirectorofMarkeKngandPublicAffairs

•  GeorgeWiltsee,DirectorofPowerResourcesandEnergyProgram

PlusfromtheCountyCounsel’soffice...•  NiritEriksson,DeputyCountyCounsel

ThankyoutotheOOSteam!

•  JimEggemeyer,DirectorofOOS•  KirstenPringle,leavingOOSandjoiningMWHGlobalInc.inSacramento

•  CarolynRaider,movingintotheClimateAdaptaKongroupinOOS

•  GordonTong,promotedtoManageroftheWasteReducKonGroupinOOS

PCELaunch

• WELAUNCHONOCTOBER3!!!

•  PressconferenceatCountyCenter•  October5,11:00am

ResourceProcurement

•  IssuingRFPforlong-termrenewableresources– RFPissued:weekofOctober3– OfferssubmiaedtoPCE:endofOctober– UpdatetoPCEboardonprogressofRFO:November17boardmeeKng

–  IniKalselecKonofsuppliers:lateNovember– Boardapprovalofselectedsuppliers:December15boardmeeKng

– ExecutePPAs:endofDecember

FinanceandBanking

•  Banking– SeFngupseparateaccountforPCE

•  FinanceandAccounKng– ContracKngwithMaherAccountancyforfinancesupport

•  ClientsincludeMCEandSCP

Expenditures

•  Computersfornewemployees•  SecureBoxaccountforPCEelectronicfiles

•  ITconsultanttosetupITinnewspace

•  InterestpaymentstoBarclay’s•  PrinKngandpostageforenrollmentnoKces

•  ResourceAdequacy

CalCCA•  CalCCAisthenew501(c)(6)organizaKonrepresenKngtheCCAcommunity

•  Website:cal-cca.org•  KeyobjecKves:

1.  AdvocateforlegislaKveandregulatorypoliciesthatsupportcorevaluesandinterestsofCCAs

2.  ProvideinformaKononCaliforniaCCAs•  PCEisoneofthefoundingmembersandontheboardofCalCCA,alongwithMCE,SCP,LCE,andCPSF

•  MembershipthisyearforPCEis$15,000•  CalCCAPolicySummitonOctober20inSF

BoardMee7ngSchedule

•  Goingforward...– TransiKontoonemeeKngpermonth,onthefourthThursdayofthemonth

BoardRetreat

•  BoardRetreatonNovember12or19

– MissionStatement– Discussionaboutlong-termstrategies

RegularAgenda

3.ResourceAdequacy(Ac7on)

OverviewofResourceAdequacy

•  OverviewofResourceAdequacybyDirectEnergy

•  DiscussionandAcKononpurchaseofaddiKonalResourceAdequacyfromtwomoresuppliers

Proprietary -Use pursuant to company policy. 17

RAisneededto:

•  EnsureenoughgeneraKoncapacityexistsandisundercontractsothatCAISOcanmeetitsoperaKonalneedsandmaintaingridreliability

•  ProvideageneraKon‘reserve’sothatelectricityisavailableduringKmesofextremedemand

•  IncenKvizetheconstrucKonofnewgeneraKoninareasthatareconstrained(localRA)

•  Ensurethatthereisenoughflexible‘fastresponse’generaKontosupportgirdreliabilitywiththebuildoutofrenewablesto50%by2030

ResourceAdequacy(RA)

Proprietary -Use pursuant to company policy. 18

ResourceAdequacy(RA)•  Consistsofthreerequirements:

–  SystemRA(effecKveJune1,2006)•  SourcedfromwithintheCAISObalancingarea•  MonthlyrequirementbasedoneachLoadServingEnKty’s(LSE’s)CECadjustedmonthlyforecastplus15%reservemargin

–  LocalRA(effecKveJan1,2007)•  SourcedwithinaLocalCapacityArea•  AnnualrequirementbasedonanannualCAISOstudy•  July–Dectrue-upbasedonloadmigraKon

–  FlexibleRA(effecKveJan1,2015)•  ResourceisabletorespondtodispatchinstrucKonsandmanagevariaKonsinloadandvariableenergyresourcesoutput

•  MonthlyrequirementbasedonannualCAISOstudythatlooksatlargestthree-hourrampneeded

•  NolocaKonalrequirements,flexibleRAcanbeSystemorLocalRA.

Proprietary -Use pursuant to company policy. 19

ResourceAdequacy(RA)ResourceAdequacy(RA):•  CustomersinPG&E’sterritoryhavesystem,

flexibleandlocalRAcomplianceobligaKons–  NorthSystem–  GreaterBayArea–  PG&EOther

•  ObligaKonsbasedon115%ofpeakmonthly

demandwithnon-coincidentpeakadjustment

•  Bilaterallytradedwithverylimitedpricetransparency

•  (PotenKal)regulatorydevelopments:mulK-

yearrequirementandacentralizedmarket

Proprietary -Use pursuant to company policy. 20

•  RequiresLSE’stosubmityear-aheadandmonth-aheadcompliancefilingstodemonstratesufficientcapacityhasbeenprocuredtomeetitsshareofthepeakloadplusthereservemargin

•  Year-aheadfilingdeadlineislastbusinessdayofOctober–  i.e.Oct31,2016for2017complianceyear

•  Month-aheadfilingdeadlineis45calendardaysbeforethecompliancemonth–  i.e.Nov17,2016forJanuary2017compliance

•  Year-aheadshowingsmustdemonstrate:–  100%LocalRAprocurementforallmonths–  90%FlexibleRAprocurementforallmonths–  90%SystemRAprocurementforMay–September

•  Month-aheadshowingsmustdemonstrate100%complianceforsystem,localandflexibleRArequirements.

ResourceAdequacy(RA)

RegularAgenda

3.a.AdoptaResoluKondelegaKngauthoritytotheChiefExecuKveOfficertoexecuteaConfirmaKonAgreementwithShellEnergyNorthAmericaforResourceAdequacywithtermsconsistentwiththosepresented,inaformapprovedbytheGeneralCounselandforatermendingDecember31,2017(AcKon)

RegularAgenda

3.b.AdoptaResoluKondelegaKngauthoritytotheChiefExecuKveOfficertoexecuteaConfirmaKonAgreementandaMasterAgreementwithSiliconValleyPowerforResourceAdequacywithtermsconsistentwiththosepresented,inaformapprovedbytheGeneralCounselandforatermendingDecember31,2017(AcKon)

4. Marke7ngandOutreach(Discussion)

RegularAgenda

PastPresenta7ons(lastmonth)Belmont—HarborIndustrialAssociaKonBrisbane–CommunityWorkshopBurlingame—CommunityWorkshopDalyCity–CommunityWorkshopDalyCity—DalyCityReKredEmployeesAssociaKonEastPaloAlto—CityCouncilUpdateEastPaloAlto—RotaryClubFosterCity–AdmiraltyHOAPacifica—PacificaArKculaKonCommiaeeRedwoodCity–RedwoodShoresCommunityAssociaKonRedwoodCity—CommunityWorkshopSanCarlos–CommunityWorkshopSanMateo–CommunityWorkshopUnincorporated–PescaderoMunicipalAdvisoryCouncilOther:BusinessSeminarforSouthCountyBusinesses

UpcomingPresenta7onsSouthSanFranciscoCommunityWorkshop

September26th,6:30pm@33ArroyoDriveMenloParkCommunityWorkshop

October1st,10am@700AlmaStFosterCityCommunityWorkshop

October13th,6:30pm@650ShellBlvdSpecialDistrictsAssocia7onQuarterlyMee7ng

October25th7pm@525VeteransBlvd,RedwoodCityCityofSanMateoCommunityWorkshop

November1st,7pm@55West3rdAvenue

Recap

•  68presentaKonsconductedthusfarin2016– 27toCityCouncilsorLocalGovernmentGroups

– 23toCommunityGroups– 4toBusinessGroupsorOrganizaKons– 14PCECommunityWorkshopsheld

•  Tabledat6communityevents

AdvocatesTrainingWorkshops

•  2workshops•  Trained30+volunteers

•  Featuredlocalbusinessowners

MerchantWalks•  Volunteerssigneduptowalkin15ciKes(somewithmulKplelocaKons•  7merchantwalkscompletedthusfar:

–  Belmont,ElCamino–  Belmont,Ralston–  Burlingame,Broadway–  Burlingame,BurlingameAve–  MenloPark,Downtown–  MenloPark,AlamedadelasPulgas–  Millbrae,Downtown–  RedwoodCity,Downtown–  SanCarlos,LaurelSt.–  SanMateo,3rdAvenue

•  Needvolunteersfor:–  DalyCity,MissionStreets–  HalfMoonBay,MainStreet–  RedwoodCity,WoodsideRd.–  SanBruno,TanforanMall+BayhillShoppingCenter

AdCampaignMetrics

AdCampaignMetricsWEBSITE(SEPT9-15)•  2,538views•  44.1%returning;55.9%new•  Increasein“direct”trafficfromprint,TVandtransitshelteradsFACEBOOKCAMPAIGN•  SpanishandGeneralAudienceAdsperformingthebest•  Both“regular”andvideoadsOTHER•  Onlineads:RunningfromAugust15th–October3rd•  TV:Runningfrommid-SeptembertoearlyOctober•  Print:RunningfromSept15-October3rd•  TransitShelterAds:RunningfromSept15-October3rd

UpcomingOutreach

•  3moreenrollmentnoKcesforPhase1–  #3willgooutstarKngFriday–  #4&#5willbe“welcome”noKces–  Usingpostcardformattoreducecosts

•  OctoberLaunch– Enhancedonline/socialmediapresence– Press+mediaoutreach:Mediakit,pressreleases,pressconference

– Updatemessagingonwebsite•  ECOBusinessDirectory•  PlanningforPhase2launch

SocialMedia

Opt-Outs

Opt-Ups

RegularAgenda

5.a.RequestapprovalofCiKzensAdvisoryCommiaee(CAC)ExtensionandMeeKngSchedulefor2016(AcKon)

Ci7zensAdvisoryCommi_ee

•  Extendthroughcalendaryear2016•  ChangemeeKngKmetoThursdaybeforeboardmeeKngstarKngOctober2016

RegularAgenda

5.b.ProvideDirecKononFutureRoleandMembershipofCAC(AcKon)

Ci7zensAdvisoryCommi_ee

•  Discussfuturerole:– WhenandwhereCACmeets– Topicsfordiscussion– SelecKon,number,andcomposiKonofmembers

RegularAgenda

6. RegulatoryUpdate(Discussion)

KeyRegulatoryCaseDevelopments

PG&E’sDiabloCanyonPowerPlantClosure(A.16-08-006)•  ApplicaKonfiledAugust11•  Proposesnew,significantnon-bypassablecharges•  ProtestsfiledSeptember15PG&E’s2015ERRAForecastApplica7on(A.14-05-024)•  AddressesthemethodforcalculaKngcustomervintagingfor

purposesofapplyingthePCIA.•  ExpectedtobevotedoutSeptember29IntegratedResourcePlanning(IRP)R.16-02-007)•  Processkickingoff•  StaffworkshoponSeptember26SD&ErequesttoestablishaMarke7ngAffiliate

RegularAgenda

7. CorrectedRates(Discussion)

BACKGROUND:OnJune23,2016,thePCEBoardofDirectorsadoptedtheretailratesforPCEcustomersthatwillbechargedatincepKonofservicetocustomers.ApresentaKonwasmadebyPCE’sconsultantsPacificEnergyAdvisorstotheboardexplainingtheratesfortheECOplusandECO100products.

RECOMMENDATION:PCEstaffseektheBoard’sapprovaloftwoCorrectedRateCalculaKonsandtheRateScheduleupdatedtoreflectthosecorrecKons

RegularAgenda

8.BoardMembers’Reports(Discussion)

RegularAgenda

ClosedSession9.CONFERENCEWITHREALPROPERTYNEGOTIATORS

Property:800ElCaminoReal,MenloParkAgencyNegoKators:JanPepper,DavidSilbermanNegoKaKngParty:LongitudeCapitalUnderNegoKaKon:Price/termsoflease

RegularAgenda

Adjourn