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HomeMy WebLinkAboutAgenda Report - August 19, 1992 (103)CW CITY . LODI AGENDA TITLE: Approve Execution of the Bonneville Power Administration/Northern California Power Agency Enabling Agreement (Umbrella Agreement) MEETING DATE: August 19, 1992 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: That the City Council adopt the attached resolution which authorizes the execution of the Bonneville Power Administration/Northern California Power Agency Enabling Agreement (Umbrella Agreement) on file in the office of the City Clerk BACKGROUND INFORMIATION: The purpose of the Enabl inq Agreement (Umbrella Agreement) is to duly recognize Bonneville as the Pacific Northwest "Marketing and Transfer" agency for all transfers of power out of the Northwest. Transfers it power and energy from Canadian power agencies and Northwest agencies all require formal agreement and acceptance by Bonneville. This Enabling Agreement, authorized by Bonneville, allows Northern California Power Agency to transfer power and energy with the Northwest on behalf of its members for a twenty-year period. Approval of the Enabling Agreement pursuant to the attached Resolution will ensure proper execution of the necessary documents to assure timely participation in the power exchange with the City of Seattle and any other services economically available in the Northwest. FUNDING: Not applicable. Henry J. R i cle Electric Utility Director c: City Attorney Manager, Rates 6 Resources APPROVED THOMAS A PETERSON City Manager l CC:.BPA/C0. COM Cc-, U RESOLUTION NO, 92-136 asaaaasaaaasasa;aaaaa A RESOLUTION OF THE LODI CITY COUNCIL APPROVING SXBCUTION OF THE BONNEVILLE POWER AiflilNiSTRATION/NpRTHRRP CALIFORNIA POWER AGENCY ENABLING AGREMCWT (UMRELLA AGRZFM TP) aaaassaaaaas=::�aaa:a�e-a:yea::ass:xaaar-------sass---M----..-:-4----- =--= WHEREAS, Bonneville Power Administration (SPAY is a power marketing agency within the Department of Energy which controls and administers all power transactions into and out of the Pacific Northwest; and NHERBAS, northern California Power Agency (NCPA), of which Lodi is a participant, has found that it would be economical for its participating members to seasonally exchange capaicity•and energy with a Pacific Northwest utility; and WHERZ%S, Seattle City Light (SCL) is a department of the City of Seattle, a Washington State municipal corporation that has contracted with NCPA to provide power exchanges which require a contractual mechanism recognizing BPA as the Pacific Northwest power marketing agent for such purposes; and WKKREAS, NCPA conteMlates future purchases and sales of surplus energy (firm, noniirm and/or provisional) and other services which may from time to time become available in the Pacific Northwest; and WHRRSA.S, this 20 -year agreement with BPA to make purer exchanges with Pacific northwest power entities will enable NCPA to "do business" with SCL and other Pacific Northwest companies; and 1P1MKvAS, K P A Counsel and the NCPA Commission have reviewed the Agreement and recomMAL�nd its approval by the participants. NOW, THEREFORE, B-9 IT RESOLVED that the City Council hereby authorizes participation in the SPA/NCPA Umbrella Agreemenr. BF IT FURTHER RBSOLVXD that the City Manager is authorized to execute the Agreement. Dated: August 19, 1992 a:aa---- assaaa-----wa--- =--- ----as=:a:=ams=��raava=r. zsesmisas i..:z�==ascaaa I hereby certify that Resolution No. 92-136 was passed and adopted by the Lodi City Council in a regular meeting held August 19, 1992 by the following vote: Ayes: Council Members - Noes: Council timbers - Absent: Council Members Alice M. Reimche City Clerk 92-135 RES92136/TXTA.0'.V RESOLUTION NO. 92-136 A RESOLUTION OF THE LODI CITY COUNCIL APPROVING EXNCUTION OF THE BONNEVILLE POWER ADKINISTRATIONMORTHER11 CALIFORNIA POWERAGENCY ENABLING AGREEMNT (UMBRELLA AGREEMENT) zzziszar:sssazzzzatszsszrtss sfrzzzftz sot aezzz�ezzzzaz:azz:zzz:zzzzzzzyJzsaszszss MMRSAS, Bonneville Power Administration (BPA) is a power marketing agency within the Department of Energy which controls and administers all power transactions into and out of the Pacific No::thwest; and WHEREJAS, Northers- California Power Aqency (NCPA), of which Lodi is a participant, has found that it would be economical for its participating members to seasonally exchaixge capacity and energy vith a Pacific Northwest utility; and f[H UU AS, Seattle City Light (SCL) is a department of the City of Seattle, a Washington State municipal corporation that has contracted with NCPA to provide? power exchanges vhich require a contractual mechanism recognizing BPA as the Pacific Northwest power marketing agent for such purposes; and WHEREAS, NCPA contemplates future purchases and sales of surplus energy (firm, noofirm and/or provisional) and other services which may from time to ti w beccme available in the Pacific Northwest; and WHEREAS, this 20 -year agreement vith BPA to make power exchanges with Pacific Northwest power entities will enable NCPA to "do business" with SGL and other Pacific Northwest companies; and WHEREAS, NCPA Counsel and the NCPA Commission have reWewed the Agreement and recommend its approval by the participants. NOW, THEREFORE, BE IT RESOLVED that the City council hereby authorizes participation in the BPA/NCPA Umbrella Agreement. BE IT FURTHER RESOLVED that the City Manager is authorized to execute the Agreement. Dated: August 19, 1992 si�tzwzzzzskis:szzzzzia�isszazaazaz�zzz::zzzzazzswzaz�axalzi:�az�f�:sasses I hereby certify that Resolution No. 92-136 was passed and adopted by the Lodi City Council in a regular meeting held August 19, 1992 by the following vote: Ayes: Council Members - Hinchman, Pennino, Sieglock, Snider and Pinkerton (Mayor) Noes: Council Members None Absent: Council Members (tone Alice M- Reimche City Clerk 92-1.36 RES92136/TXTA.02J In reov,ete to. PMCE Mr. Michael H. McDonald. Northern Callfornla Power 180 Clrby Hay Rosevllle, CA 95678 Dear Mr. McDonald: Department of Energy Bonneville Power Administration P.O. Box 3621 Portland. Oregon 97208-3621 June 23, 1992 General Manager Agency (0RCEkF THE ApMNYISTRAIOR Contract No. DIE-MS79-89BPy,vl9 Thls letter constitutes an Agreem^.nt among the United States of' America. Department of Energy, acting by and through the Bonnevllle Power Adtmini,tration (Bonneville), the Northern Callfornla Power Agency (NCPA), and certain members of NCPA. which are the Cltles of Alameda, Biggs, Grldley, Healdsburg. Lodl. Lompoc. Palo Alto, Rosevllle, and Uklah, and Plumas-Sierra Electric Cooperative, herelnafter sometimes referred to lndivldually as "Party" and collectively as "Partles". to provlde a contractual mechanism for future purchases and sales of surplus energy (firm, nonflrrn and/or provisional), surplus capaclty, power exchanges. and other services which the Parties may agree from time to time to make avallable and purchase or exchange for short-term perlods as specified below. Thls Agreement Is not a present sale of such surplus power nor a present exchange, and does not constitute any advance agreement or obligation for any Party ro make avallable or to purchase or exchange any speclflc amount of such power or services. Therefore. Bonneville proposes the following terms and conditions: 1. Term of Agreement. Thls Agreement shall become effective at 2400 hours on the date of execution, and shall remain in force and effect unless terminated by a Party by glving at least 12 -months' written notice to the other Partles: but in no event shall the term of this Agreement extend beyond 20 years from the date of execution. All obligations and liabilities accrued hereunder are hereby preserved untll satisfled. 2 Exp W U The following exhibits are attached hereto and made part of this Agreement Exhlblt A - (Wholesale Power Rate Schedules and General Rate Schedule Provisions) and Exhibit B - (General Contract Provisions (Form PSC (SN) -1)) 3 NAPA Ao Asim Agent for its Members A,1 day-to-day functions under sections 4, 5. 6, and 7 of this Agreement shall be the responsibility of NCPA. acting as agent for its members. These functions shall include, but shall not be llmlted to, scheduling, accounting, billing lts members, rendering bllls to Bonnevllle. and collection of payments from the members and forwarding payments to Bonneville on bills rendered by Bonnevllle. 4. Sale of Surolus Enerav and Suralus CADAC Lty. At any time during the term of thls Agreement, elther Bonnevllle or NCPA may offer to sell to the other Party or request to purchase from the other Party avallable amounts of surplus energy (firm, nonfirm, and/or provisional) and surplus capaclty for short-term purchase. Any sale of such capaclty or energy shall be promptly conflrmed In wrlting. 5. Power Exchanges or Other Siii"vices . Elther Bonneville or NCPA may request the exchange of capacity or energy or other servlces. Upon such request. the Partles shall endeavor to negotlate mutually agreeable terms and conditions for such arrangement. Any agreement for a speclflc exchange of capaclty cr energy or other servlce shall be promptly confirmed In wrlting. b- 109 tQ DF-L1Verv. All Bonnevllle deltverles to NCPA. and all NCPA dellverles to Bonneville, under thls Agreement shall be at the California -Oregon border, the Nevada -Oregon border, or to another polnt as shall be mutually agreed upon by the Partles. Unless otherwlse agreed, the receiving Party shall not be responsible for costs Incurred by the dellvering Party in any dellveries of energy or capacity to the polnt of dellvery. NCPA shall arrange for transmission service to or from the polnt of dellvery at the California -Oregon or Nevada -Oregon border. Bonneville. NCPA, and any other necessary entlty shall exchange mutually agreed upon schedules for NCPA's accounts. Unless otherwlse agreed. Bonneville and NCPA shall each be solely responslble for the provision of its support servlces for the lntegratlon of power dellvered or received at the point of dellvery under thls Agreement. (a) Bonnevllle shall submit a power bill to NCPA each month for any surplus energy or capaclty sales at the applicable rate llsted in Bonneville's Wholesale Power Rate Schedules or its successor rate schedules, or at the rate negotlated pursuant to such rate schedules, and in accordance with the General Rate Schedule Provlslons. NCPA shall collect payments from its members and forward a single payment to Bonnevllle in accordance wlth the terms of such rate schedule and the General Rate Schedule Provlslons. Power bills which are not paid In full by NCPA when due shall thereafter bear Interest at the dally rate of interest specified in the then current General Rate Schedule Provlslons. assessed on the unpaid balance on a dally basls until payment is received by Bonneville 3 I (b) NCPA shall submit a power blll to Bonneville by the tOnth (10th) day of the month following the month of sale for sales at the rate agreed to by the Parties. Bonnevllle shall pay wlthln 20 days after the date of the blll. Bills shall reference the contract number of thls Agreement and shall be sent to: Bonnevllle Power Adminlstratlon Chlef. Program and Contract Review Section - OSAC P.O. Box 3621 Portland, OR 97208-3621 Payment of the blll by Bonneville shall be accomplished byeelectronic transfer within the 20 -day period. Bllls not pald in full on or before the dose of buslness on the due date shall bear lnterest at the rate consistent wlth the Prompt Payment Act Renegotlatlon Board's lnterest rate published in the Federal Reglster. assessed on the unpald balance on a dally basis until payment is received by NCPA. (c) Any agreement for power exchanges or other services between Bonnevllle and NCPA may specify other appropriate related provlslons. Unless otherwise stated in wrlting. payment and other related provlslons shall be in accordance wlth the General Rate Schedule Provlslons. (d) As necessary, Bonneville and NCPA shall identify individual(s) and address(es) for receipt of offlclal notices. bllls. scheduling procedures. and all other offlclal communications relating to each transaction in any written conflrmatlon of a transactlon. 8. Applicable law. All sales and exchanges under this Agreement shall be subject to statutes governing the surplus power marketing activitles of Bonneville. lncluding but not llmlted to Public Law 88-552 (the Act of August 31, 1964. 16 U.S.C. 837), and Sections 5(f) and 9(c) of Public Law 96-501 (Northwest Electric Power Planning and Conservatlon Act. 16 U.S.C. 839). 9. Rajjf1_cai:ion of . All Parties to this Agreement ereby acknowledge and ratify any and all short-term power transactlons conducted between Bonneville and NCPA on cr after January 1. 1985. whether concluded or contlnulnq. and each Party deems any such obllyatlons as transactlons under this Agreement. Any contlnuing transactlon is deemed to be an obligatlon undor thls Agreement. All such obllgations lncurred shall be preserved untll satlsfled. All prlor dellverles of power which have been completed as of the date of execution of thls Agreement. and all prlor payments made by elther Bonnevllle or NCPA for such deliverles. are hereby expressly accepted and ratified by all Partles. All dellverles of energy under any exchanges which have been completed by Bonnevllle and NCPA are also hereby expressly ratlfled. All Parttes agree that no obllgatlon remalns under any such prior completed transactlons and expressly agree that all obllgatlons incurred by any Party to another Party under such prior completed transactions have been fully satisfied 4 10. Signature Clause. Each Party hereto represents that it hab the authority to execute this Agreement and that it has been duly authorized to enter into this Agreement. 11. Execution by Counterpart. This Agreement may be executed in a number of counterparts and shall be deemed to constitute a single document with the same force and effect as if the Parties hereto having signed a single counterpart. had signed all counterparts. Each Party shall deliver an executed counterpart to Bonneville. and Bonneville shall prepare a conformed copy of this Agreement and deliver it to each Party. This Agreement shall become effective at such time as it is executed by all Parties. If the foregoing terms are acceptable to NCPA and its members. please sign and return one copy of this Agreement with a certified copy of an authorizing resolution for each NCPA member signing. The remaining copy is for your files. Sincerely„ r Edward N. Sienkiewicz, Jr. Senior Assistant Adminlstratot NORTHERN CALIFORNIA POWER AGENCY By Name (Print/Type) Title Date ATTEST: By #large (Print/Type) Title _- Date CITY CF AUMEDA By Nam (Print/Type) Title Date ATTEST: BY name (Print/Type) T t t I e Date CITY OF GRIDLEY BY Rase (Print/Type) Title Date ATTEST: BY Name (Print/Type) Title Date CITY CF BIGGS BY Name (Print/Type) Tttle Date ATTEST: By I Name (Print/Type) T t t I e Date CITY CF HEALDSBURG By _ Name (Print/Type) Title Date ATTEST: By Name (Print /Type) Title Date 5 Approved as to form W McNatt, City Attorney Attest: ak r . 711 Al ir-ca M_ CITY OF LODI By .0 . Name A. Petersm (Print/Type) Title MY Mwmger DateAugust 19, 1992 ATTEST: By Name (Print/Type) Title Date CITY CE PALO ALTO By Name (Print/Type) Title Date ATTEST: By Name (Print/Type) Title Date I CITY OF LOMPOC By Name -- (Print/Type) Title Date ATTEST: By Name (Print/Type) Title Date CITY Of ROSEVILLE By flame (Print/Type) Title Date ATTEST: By Name (Print/Type) Title Date 6 C I N OF UKIAH By Name (Print/Type) Title Date ATTEST: BY Name (Print/Type) Title Date ( its 10-PI4CE-4088c ) k 7 PLUMS -SIERRA ELEIRIC COOPERATIVE By Name (Print/Type) Title Date ATTEST: By Name (Print/Type) Title Date NCPA APU-*c #QW" Northern California Power Agency I so coby w,y. %ftv i. Calibrra VWe MICHAEL W. McDONALD (916)781-4223 July 31, 1992 W. Henry Rice City of Lodi 221 W.Pine 3taeet P.O. BcK 3006 Lodi, CA 95241-1910 S&ject BonnevrMe Power Adminis=tion/ NCPA Umbrella Agreement Dear Mr. R i a: As you may know, the BPA/NCPA enabling agreement (Umbrella Agreement) was approved at the July Commission meeting. Duplicate originals of the subject Agreement are enclosed for execution by your authorized representative. The Agreement has alreadybeen cxccuted by BPA, ul -m aWroval by your City Council, please arrange execution of both originals. Please return one of the originals along with an originally signed resolution authorizing execution of the Agreement BPA, beim the bureaucracy that it is, stresses that they need both an originally signed agreement and resolution in order to "authenticate" the Agreement Please return these to Ms. Gail Sipple. NCPA will forward the duplicate original and resolution from each member toBPA for their authentication procrss. A fully authenticated copy will be returned to you for your records. Sincerely, l l THOMAS C. GREEN Power ContractsEngineez TCG/d6 cc: Michael W. McDonald Gail Sipple City Clerks of Partic rating Members