HomeMy WebLinkAboutAgenda Report - January 5, 1983 (22)T 'CIT
Y. COUNCIL MEETING
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JANUARY S, 1983<
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Agenda item k-2 - "Approve Arbitration Agreement betw;�en
_ p G & E and 11 -r -PA" was intro luc�Yi by City 1Larkagi r Glaves.
L'lI1 N.;� iO`J Follaai ng discussion, Cc,mcil on motion o.' Council hk mber
Snider, P1,rphy second, adopted Resolution No. 83-2 approving
F1', I an /arbitration Agreei-�-nt br2tween P G & E and «' A to r( -solve
t+.tiL ^iCPA all differences between P G & E and NV -PA over the inter-
�'1PP"r 3V!J connection Agreement, consistent with the terns of the
Diablo Canyon license conditions, such agre,-lnnt to submit
to binding arbitration subject to approval by attorneys
before signature, and auUhorizing the Mayor and City Clerk
PILS .11-). 83-2 to execute the subject Agreelaen t on behalf of the City. 'Ilie
m. tion carried by unanirious vote.
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NorthernU��
California Power Agency'
8421 Auburn Boulevard. Suite 160 Citrus Heights, California 95610
ROBERT LGRIAASHAW �-�' f G!-r���
_.._. � a. rife......
General Manager
Members of the NCPA Commission
Gail Sipple
Arbitration Agreement Between PG&E and NCPA
Enclosed is a copy of the Arbitration Agreement between PG&E and NCPA which
has been approved by both parties.
Per Executive Committee action of December G, 1982 (minutes attached) this
agreement must be approved by each NCPA member. Mr. Grimshaw stresses the
urgency for approval of this agreement and, therefore, it would be appreciated
if you would expedite the approval process.
Upon approval by your Council/Board, please sign at the last signature block
on page 7 and return to me as soon ds possible.
By copy of this letter I am also forwarding this document to your City Clerk
for processing. Thank you for your attention to this matter.
0 0
NORTHERN CALIFORNIA POWER AGENCY
Executive Committee Meeting
December 6, 1982
MINUTES
Committee members present: Don Von Raesfeld
Arch Pugh
Mike McDonald
Fred Eyerly
Committee members absent: Hays Hickey
Motion: It was moved by Don Von Raesfeld and seconded by Arch Pugh to
authorize the General Manager to execute a binding Arbitration
Agredment to resolve all differences between PG&E and NCPA over
the Interconnection Agreement, consistent with the terms of the
Diablo Canyon license conditions, such agreement to submit to
binding arbitration subject to approval by attorneys before
signature. Also, authorize the General Manager to recommend
that all members separately agree to be bound by the results
of the arbitration through their governing bodies.
Motion passed unanimously.
WNW
PZSW CN NO. 83-2
I� TI'IW 'APPF0VIW AN AIGITPATICN
AIF BLI'WF. `P -G i E .AICD NCPA :.
AND AUTHMIZING W MAYOR AND CITY CLERK
TO HSC UTZ THE SUBJWr AGREE CSI
BF2iAIF OF TFB;" CITY
RE90LVE0, that the City. Council of the City of Lodi does hereby
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approve an Arbitration Agreement between P G 6 E and NMA, a copy of
which is attached hereto, marked Exhibit A, and thereby made a part
hereof.
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BE IT FURTf M FWMVED, that the City Council of the City of Lodi
does hereby authorize the Mayor and City Clerk to execute the subject
agreeiront on behalf of the City.'
Dated; . January 5,' 1983
I iez+ehy bertify `that.µ Aesolutioc No. 83-2 was
passed and adapted by"the City Council of the
City of Lodi in a regular meeting held January
=
5, 1983 by the following vote=
Ayes: Council Members - Olson, Snider,: Rulphy,
Pinkerton, and `Plaid :(Mayor) _
>.
Cov l Members - None :.
Absents Council Members - Nome
Alice, M.' Aeimghe
City'Clerk..
I
Hof thern California Power .Agency^. DN
8421 Auburn Boulevard. Suite 160 Citrus Heights. California 95610
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ROBERT E. GRIMSHAw C, 1_Y CLERK
General Manager Ct ! Y O. LNI!
(916) 722-7815
December 13, 1982
To: Members of the NCPA Commission
FROM. : Gail Sipple
SUBJECT: 'Arbitration Agreement Between PG&E and NCPA
Committee members present:
Committee members absent:
Don Von.Raesfeld
Arch Pugh.
Mike"McDonald
Fred Fyerly
Hays Hickey
Motion: .1t.Was,moved.by Don Von Raesfeld and seconded by -Arch. Pugh to
authorize the•'General Manager'to'execute at. binding Arbitration
Agreement ,to.resolve, all. differences. between,:PG&E and, NCPA over
the' Interconnection _Agreement;' consistent with tte: -arms'. of the
piablo,Canyon Lcense.conditions, such agreement to submit to
binding arbitration subject to approval by attorneys before `
-;signature. .Also, 4uthorize' the General. Manager= to recommend_
hat; all members. sepamrately agree to be bound by' the `results`
of the arbttration through their.. governing bodies.
Notion passed unanimously.
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Pacific Gas and Electric Company (PGandE) and the
Northern California.Power Agency (NCPA), by and through
their undersigned representatives, hereby agree that:
Whereas_PGandE.and NCPA desire to perfect an
Interconnection Agreemfntj and
eta perform:any:act-Which by''the express terms
of the. 8tanislaus�:CokmLtiaents PGandB ; is not
obligated-�:to perform, except this provision
shall not disaDiethe Abtrator`from requirin S
31ore Ahan one., poiint" 'of "teicaonnection if ,
3n bis discretion:``and'`btterwise consistent:'
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With ,th s_" agreement • sue C I)Mvision `1 s deemed
.
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tiij S"The �►rbitrator shall t iAot 'cb{ange contract' terms }
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;} greed • to` by < the :parties 'without their eonsieat
nor aball-sterse br `"less favorable
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pastytb tha�oorrespordnq term 'demanded by
" the bppoe iAS 'party in the' Offer or MA)hteroiler.
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i TheAooatraat:;;terms ehall'beF �eut ao8 reason-
able : as between the les, ' ehallN iaot
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-adversely affect the reliable and economic
operation of either partye s ,
lectric system#.
nor cause either party to violate any applicable"
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decision in writing no later than 45 days after
the matter is deemed submitted for arbitration,
which may, in the discretion of the Arbitrator, be
extended for one additional 45 -day period, unless
;otherwise agreed to by the parties. The Arbitrator
may or may not, in his discretion, provide explana-
tion, for said decision. Said decision will be
-expressed in terms that permit installation in the
format oU the Offer and Counteroffer.-
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ounteroffer.3SUpon`*receipt of the Arbitrator's decision, the
parties 'will,priomptly undertake to prepare an agreement for
acceptance -by the -'parties and filing with the Federal Energy
Regulatory'Commission (FERC) that contains the terms agreed
to b. the' . parties and those establishedy
y` through arbitration.
Disputd,9 sAaii be resolved by the Arbitrator. The parties
8ha114'promptly execute and be bound by said Interconnection
Agreement whieh will then be promptly filed with FERC.
The"parties shall take all reasonable action necessary
4. If the C.., :.fornia Public Utilities` mmission
(CPUC) determines that said Interconnection Agreement, its
operation or effect is unlawful, unreasonable, imprudent or
otherwise not in the public interest, then PGandE shall be
entitled to file with the FERC changes in the Interconnection
Agreement which it believes would eliminate said CPUC deter-
mination, subject to Section 206 of the Federal Power Act.
NCPA shall be entitled, within 30 days of PGandE's filing,
to fill a request for further change which will preserve
for each party the balance of benefits established by the
Interconnection Agreement. Neither party ahall.be barred by
the Sierra -Mobile doctrine. Both parties shall request that
the FERC determine in a single proceeding the justness and
reasonableness of the requested modifications and_place the
resultant determination in effect pursuant to'the provisions
of Section 206 of the Federal Power Act.
A copy of the Interconnection Agreementprepared in
accordance with paragraph 3 shall be submitted to,the
Director, Office of Nuclear ReacL•or Regulation of NRC.
(Director) .
.. .. �•%.r sty
If within 30 days of receipt thereof Director
notifies the parties in writing that said Interconnection
Agreement is inconsistent with the Stanislaus Commitments,
then the arbitration proceeding shall be reopened,for_
further consideration by the Arbitrator in accordance with
this arbitration agreement.
-4-
5.- Ambiguities in the wording of this agreement shall
not be construed for or against either party, but shall be
construed in a manner which most accurately reflects the
intent of the parties.
6. In order to proceed expeditiously and avoid the
delay inherent in obtaining the explicit ratification of NCPA
member customers (City of Alameda, City of Biggs, City of
Gridley, City of Healdsburg, City of Lodi, City of Lompoc,
City of Palo Alto, City of Redding, City of Rcseville, City
of Santa Clara, City of Ukiah, and Plumas Sierra Rural
Electric Cooperative) prior to execution of this arbitration
agreement, PGandE and NCPA further agree as follows:
.Prior to the Arbitrator's advising the parties of his
decision, and in no event later than 35 days after the
mattarla,doemed submitted for arbitration, each NCPA member
customer shall, through its appropriate procedures, ratify
this arbitration agreement and agree to be bound by its
terms:as if each were an original signatory to -this
arbitration agreement. Each NCPA member customer shall,
through aduly._authorized'representative and within the time
period set .,forth above, execute a counterpart copy of this
'arbitration agreement, delivering the original to the
Arbitrator and certified copies to PGandE and NCPA. If"any
NCPA, member customer fails to comply with the foregoing
requirements, at PGandE's option this arbitration agreement
may be..voided and no decision rendered by the Arbitrator or
this arbitration agreement may remain in full force and
.-effect-as between PGandE, NCPA and those NCPA member customers
r 1
which complied wiY-_the foregoing requirements. Time is of
the essence to this provision. For purposes of this arbitra-
tion agreement, NCPA and those NCPA member customers which
comply with the foregoing requirements shall be deemed one
party and PGandE shall be deemed one party.
7. It is understood and agreed that the sole subject
of this arbitration agreement is an Interconnection Agreement
between PGandE and NCPA. The City of Santa Clara has expressed
a desire for a separate contract with PGandE. It is agreed
that ratification of this arbitration agreement by Santa
Clara will not foreclose Santa Clara from requesting and
receiving a separate interconnection agreement pursuant to
the Stanislaus Commitments, nor will the terms of a PGandE-
Santa Clara contract be prescribed by this arbitration
agreement or. the Interconnection•Agreement developed there-
under.
S. The actions of the Arbitrator under this
agreement, including but not.limited to the Arbitrator's
decision, do not constitute an official act by`the'FERC or
of any individualCommissioner thereof: the parties agree
that the Arbitrator; shall not be liable to them for: any 'r
act or omission arising out of or related to this arbitration s
agreement or the performance of his duties as Arbitrator
thereunder.
9. Both parties recognize that this arbitration
agreement and the Interconnection Agreement which may result
therefrom is, for a variety of reasons, unique and in the
nature of a settlement agreement, and it shall not serve as
a. precedent, any future negotiations,W agreements either
between the parties or between one of the parties and another -
entity.
The signators below represent and warrant that they are
fully authorized to execute this agreement on behalf of the
party indicated.
Pacific Gas and Electric Company
Dates �' C '� 0 T82
Georg A. Man at s
Execu ive.Vi a President
Facilities i Electric Resources
Development, Pacific Gas and
Electric Company
Northern Ca fornia Power Agency Date: Q L
dft
Title:
Entity:
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their undersigned representatives, hereby agree that the
Arbitration Agreement dated December, 1982, is amended and
modified as follows: