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HomeMy WebLinkAboutAgenda Report - April 3, 1985 (88)However, this EM service involves the Park owner providing submetering and wiring service to each individual mobile home unit. The former EM rate schedule provided a discount for this service of $5.29 per mobile home space wired for service, per month. This discount amount was not changed when the rate was revised. Information regarding the discount has been obtained and analyzed. _. The California Public Utilities Code, Section 739.5, states that a master -meter customer (mobile home park owner) be given an allowance to allow recovery of the reasonable average costs for providing a submetered service to individual rib e home residents. The recoverable cost (allowance) may not exceed the average cost the serving utility would have incurred in providing comparable services beyond the master -meter. Decision 83-12-068 of the Public Utilities Cb mission of the State of California (December 22, 1983) determined, .among other things, that the ultimate issues in the continuing controversy regarding .recovery of reasonable average costs for a master --meter customer are (1) the size of the discount, and (2) what form it should take. Evidence adduced during the CPUC hearing led to the decision that a flat discount be adopted, noting that it is less controversial and is easily applied; a method to determine the appropriate average cost was adopted for PG&E; and a special condition recommended that would require the mobile home park owner to notify the utility when the number of customers changed. The presently approved CPUC discount for such service (as incorporated in PG&E rate No. Dr - Nbbile Hone Park Service, effective January 1, 1985) is $7.34 per dwelling unit. Review of the foregoing material regarding the discount would suggest that (1) the discount is a recognized way to allow recovery of associated costby the mobile home park owner, (2) a monthly discount of $7.34 per dwelling unit is applicable on the periphery otne Lodi service area, (3) our present BI rate schedule properly notes by "special condition" the responsibility of the Park owner to notify the City of any change in units taking service. Therefore, the Schedule EM - Mobile Home Park master -meter rate sheet should reflect a discount of $7.34 per dwelling per month within the City of Lodi electric service area. Following discussion with questions being directed to Staff, Council, on motion of Mayor Pro Tempore Hinchman, Reid second, adopted Urgency Ordinance No. 1350 adjusting the mobile hone park utility discount thereby reflecting a discount of $7.34 per dwelling per month within the City of Lodi electric service area. The motion carried by unanimous vote. ,ra TO: THE CITY COUNCIL FROM: THE CITY MANAGFR'S OFFICE UNCIL COINIMUNICATIAN SUBJECT: DISCOUNT TO MOBILE HOME PARK OWNER.S DATE March 26, 1985 NO. New City of Lodi electric rates were adopted by City Ordinance No. 1348 to become effective March 1, 1985. Schedule EM which covers service to mobile home parks through a master -meter was appropriately adjusted to reflect residential service. However, this EM service involves the Park owner providing submetering and wiring service to each individual mobile home unit. The former EM rate schedule provided a discount for this service of $5.29 per mobile home space wired for service, per month. This discount amount was not changed when the rate was revised. Information regarding the discount has been obtained and analyzed. The California Public Utilities Code, Section 739.5, states that a master -meter customer (mobile home park owner) be given an allowance to allow recovery of the reasonable average costs for providing a submetered service to individual mobile home residents. The recoverable cost (allowance) may not exceed the average cost the serving utility would have incurred in providing comparable services beyond the master -meter. Decision 83-12-068 of the Public Utilities Commission of the State of California (December 22, 1983) determined, among other things, that the ultimate issues in the continuing controversy regarding recovery of reasonable average costs for a master -meter customer are (1) the size of the discount, and (2) what form it should take. Evidence adduced during the CPUC hearing led to the decision that a flat discount be adopted, noting that it is less controversial and is easily applied; a method to determine the appropriate average cost was adopted for PG&E; and a special condition recommended that would require the mobile home park owner to notify the utility when the number of customers changed. The presently approved CPUC discount for such service (as incorporated in PG&E rate No. DT - Mobile Home Park Service, effective January 1, 1985) is $7.34 per dwelling unit. Review of the foregoing material regarding the discount would suggest that (1) the discount is a recognized way to allow recovery of associated most by the mobile home park owner, (2) a monthly discount of $7.34 per dwelling unit is applicable on the periphery of the Lodi service area, (3) our present EM rate schedule properly notes by "special condition" the responsibility of the Park owner to notify the City of any change in units taking service. Therefore, the Schedule EM - Mobile Home Park master -meter rate sheet should reflect a discount of $7.34 per dwelling per month within the City of Lodi electric service area. e Henry J. .i e Utility Director Attach. (3) Operative Effect and Repeal section 7,f9._, by its own terms, beca-Mcs inoperative on July 1, 1988, and is repealed on Jar.. 1, 1989. $ 734 5 Residential gas or electric service: provision by master meter customer through submeter service system; rates; rebates; customer services; maintenance; itemized billing; notice (a) she commission shall require that, whenever ' ' ' gas or ' ' electric service, or both, is 'f providers' by a master -meter customer to users who are tenants of a mobilehom. e park, apartment A build:-_. or similar residential complex, the master -meter customer ' ' ' shall charge each user of the sen:ce at the same rate which would be applicable if the user were receiving ' gas or ;:; electricity, or both, directly from the gas or electrical corporation. The commission shall require the corporation furnishing service to the mats er-meter customer to establish uniform rates for master-met.er service at a level which will provide a sufficient differential to cover the reasonable-"-.'' average costs to master -meter customers of providing ' ' submeter service, except that these .w costs shall not exceed the average cost that the corporation would have incurred in providitg _•:.,i�,. comb -able services directly to the users of the service. (b) Every master -meter customer of a gas or electrical corporation subject to subdivision (a) on or after January 1, 1978, receives any rebate from the corporation shall distribute to, or credit to, the account of, each current user served by the master -meter customer that portion of the rebate' '£y' which the amount of gas or electricity, or beth, consumed by the user during the last billing period; •' bears to the Ata! amount furnished by the corporation io the master -meter customer during that: =ter, perioiL Y . (c) An electrical or gats co-vorntion furnishing service to a master -meter customer shall furnish each user of the service within a strbmeter'ed system every public safety customer service which it provires beyond the meter to its other residential customers. The corporation shall furnish a list of �: s those services to the master --meter customer who shall oos_ the list in a conspicuous place accessible to all users. Every corporatioa shall urovide these public safety customer services to each user of elecL=i-al or gas service under a s::bmetered system without ac:ditional charge unless the corporation s has include the average cost of these services in the rate dif eren.ial provided to the master -meter 't'` custc- er on January 1, 1984, in which case the comrnission shall deduct the average cost of provi_,fp� ` these public safety customer services when approving rase differentials for master meter customers- - i(d) Every master -meter customer is responsible for maintenance and repair of its submeter it; faci' ties beyond the master meter, and nothing in this ection requires art electrical or gals p„ eor`+oration to make repairs to or perform maintenance on the submeter systern. .r PIT �r •m>`; :C.4 9� 1 !S Z nrsc stem avn e+ae ffna: 1 MM •-' tt,sa• ;Ni van is tFm �t ace TW Icr �mcferfne"indicates cMnges or additions by WnWoWneek 72 PUBLIC t;TI1.ITIES CODE (( Le urov d with more than one single party line if any family member residing at and thea' shat, tier Lde .� the prdr=:; :.: place i,j tesidcuce receives universal teL•1?hone service. ti •.- (l;) A; used in this section, •'residential" means residential use and excludes industrial, c•ommercial. and ever., other category of end use. fi iaa Universal Telephone Service Fund shall be created and administered pursuant to Part 22 (commencing with Section 44000) o. Divis:on 2 of the Revenue and Taxation Code. i Thi section shall become inoperative on July 1. 1998, and, as of January 1, 1989, is re pealed. un!est� a later enacted statute, which becomes effective on or before January 1, 1989, deletes or w extends the dates en which it becomes inoperative and is reocaled. y: `'??j,<i%tr.>h: F .:�"•y' (added *y Stats.19M, c. 1143, p. —, § 2, irnd. of f. Sept. 28, 1953.) Operative Effect and Repeal section 7,f9._, by its own terms, beca-Mcs inoperative on July 1, 1988, and is repealed on Jar.. 1, 1989. $ 734 5 Residential gas or electric service: provision by master meter customer through submeter service system; rates; rebates; customer services; maintenance; itemized billing; notice (a) she commission shall require that, whenever ' ' ' gas or ' ' electric service, or both, is 'f providers' by a master -meter customer to users who are tenants of a mobilehom. e park, apartment A build:-_. or similar residential complex, the master -meter customer ' ' ' shall charge each user of the sen:ce at the same rate which would be applicable if the user were receiving ' gas or ;:; electricity, or both, directly from the gas or electrical corporation. The commission shall require the corporation furnishing service to the mats er-meter customer to establish uniform rates for master-met.er service at a level which will provide a sufficient differential to cover the reasonable-"-.'' average costs to master -meter customers of providing ' ' submeter service, except that these .w costs shall not exceed the average cost that the corporation would have incurred in providitg _•:.,i�,. comb -able services directly to the users of the service. (b) Every master -meter customer of a gas or electrical corporation subject to subdivision (a) on or after January 1, 1978, receives any rebate from the corporation shall distribute to, or credit to, the account of, each current user served by the master -meter customer that portion of the rebate' '£y' which the amount of gas or electricity, or beth, consumed by the user during the last billing period; •' bears to the Ata! amount furnished by the corporation io the master -meter customer during that: =ter, perioiL Y . (c) An electrical or gats co-vorntion furnishing service to a master -meter customer shall furnish each user of the service within a strbmeter'ed system every public safety customer service which it provires beyond the meter to its other residential customers. The corporation shall furnish a list of �: s those services to the master --meter customer who shall oos_ the list in a conspicuous place accessible to all users. Every corporatioa shall urovide these public safety customer services to each user of elecL=i-al or gas service under a s::bmetered system without ac:ditional charge unless the corporation s has include the average cost of these services in the rate dif eren.ial provided to the master -meter 't'` custc- er on January 1, 1984, in which case the comrnission shall deduct the average cost of provi_,fp� ` these public safety customer services when approving rase differentials for master meter customers- - i(d) Every master -meter customer is responsible for maintenance and repair of its submeter it; faci' ties beyond the master meter, and nothing in this ection requires art electrical or gals p„ eor`+oration to make repairs to or perform maintenance on the submeter systern. .r PIT �r •m>`; :C.4 9� 1 !S Z nrsc stem avn e+ae ffna: 1 MM •-' tt,sa• ;Ni van is tFm �t ace TW Icr �mcferfne"indicates cMnges or additions by WnWoWneek 72 . ^ f.-.. :. �.F i- ..ac^•'9 •�' � tt. v. -anti a4r f{J•a T* ..7i ' :" .f`. ` ', rr 5 .�y'=rp1. dr RZ _ n 1 -{c'.i ext Z� L`le . )/ '�h a� .. S 6• ✓�4i `i,`.A4R"+ 4^Y,2- �'" �r-yl 1y�� fir+ .. 4,.ay'�•;t t� N y "' - 1 s ,...- y y.w i�+ M .Ys5'5f i. '�'S'Z'•�% Via,. a i .. r .yes,.7+ ...� s�:�:"2s��"=.�' �.i-.......,�..F_:�.x:�._...._:..s_.. ...._.r-�.�_:_-x.s.:. w.;.4'_'�" 'S.�'3.L�..: PUBLIC 1_77MMES COBS _ § 740.1 ti EYI� �- ftj '!'rte co>nmnsion shalt tpauire that every electrical and ea -s corporation shall notify each m er• never c,.:swmer ei :rs resoonsibi;:-Jes to its users under Leis section. { %dried by Stats.1_376, c. '? , p: 2109, § 3, urgency. eff. Sept. 14, !M. Amended by Stats.1977, c. rt}a 194, p. 711, t 1; Sty*s.13S;i, c. 622: p. ,s 147f I�g{ai>#Soat Library Rerer"ces Lzosbuive findings and declarations of Stats 1976, c 923, Electricity d. s'tx p. 2109. we note under Civil Code § 789.7b. Gas Ci.S. E ectticity I A . IS 17 Amewdmaet. Added subds. (b) and (e). C.3.S. (las § 1! e•. seq. . }� 1993 Aares dna t. Rewrote the section which had read: The commission shall require that, whenrrrr domes- tic gas or domestic electric service, or both. is provided by a No" of Deelsdona stmsta-ruse£ cvstooxr to users through a submeter service In gest I system the ttsastcr-rrxter customer prov ding suet submeter path XMcharges2 service whether such castomer is a mobilehome park. an t apatrtmcm houses or a similar establishment. shall charge each nun at the same rate which would be applicable it the . user were receiving such gas or electricity or both, directly 1. In genersi 7�. from the serving utility. The commission shall require the In view of emphasis or this section upon "average costs- _'' _ i,6 serving utility to establish uniform rates for each sice and rods fx "xmpatabk secvicn", the :ectipn requires m 'a- sc.Wuk arcs for raxat—metcr service at a level which will that apartment houses and mobile -home parks be considered S provide a sutficitnt diffctential- to covet the rrawnxbfc separately in establishing rate differentials Mauer Ycter [. average costs to master -meter customers of providing such Gas and Electric Utility Customen (1979) 1 Ca1.P.0-C-2d submeter service pro-,ided. however, that such cross shall 172. not exceed the average cost that the serving utility would This section provides that a master meter customer pro- _ have Incurred in providing comparable t-mces beyond the viding submeter service half charge each user the applicable . mastermeter to the submeter tenants. gas or electric utility rata App, of SDG&E Co. (1977) 82 'W Every caster -meter customer subject to subdivision Cs1.P.U.C. 291. (a) who, on or after January h, t978. receives any rebase 2. Rates and charom r� from the serving utility shall distribute to or credit to the Pursuant to this section, the utility rate established for account or, etch currant user served by the maurr-meter master meter service must be at a level to cover the reason- custorner that portion of the rcbeir which the amount of Sas able average Cost to provide submeter service provided such or cucctriaty, or both consigned by the user during the Ener costs do not exceed the average cost the meter would have ;{ b4ling period bars to the total amount used by the master- in to provide comoarabie service. beyond the master { rnerer ctutoutter during such periodverted litter - meter. Maintenance of st3ch differential will benefit tenants '(c) Serving utilities shell notify each master -meter cur of mobile home parks by enabling them to have the full 'i tomer subjwi to subdivision (b) of the master -meter custom- bairrit of lifeline rates. App. of SDG & E Co. (1977) 82 cn- responsibilities under that subdivision,"Ca:.?.U.C. 291. k, 3 730.1. Guidelines for evaluating research, development and demonstration programs tThe commission shall consider the following guidelines in evaluating the research, development, and demonstration programs proposed by electrical and gas corporations: (a) Projects should offer a reasonable probability of providing benefits to ratepayers. p. (b) Expenditures on projects which have a low probability for success should be minimized. Y i. (c) Projects should be consistent with the corporation's resource plan. (d) Projects should not unnecessarily duplicate research currently, previously, or imminently undertaken by other electrical or gas corporations or research Organizations. (e) Each project should also support one or more of the following objectives: (1)Environme.ital improvement. 4' ' (2) Public and employee safety. (3) Conservation by efficient resource use or by reducing or shifting system toad. ?- (4) Development of new resources and processes, particu'.arly renewaale resources and processes which further supply technologies. (5) Improve operating efficiency and reliability or otherwise reduce operating costs. iAdded by Stats.1984, c. 1713, p. --, § 2.) Asterisks ' ' Indkste deletions by amendment sr ut.c«ts- t 73 .. -. 1985 P.P. FIN US Decision 83-I2-068 December 22, 1.983 BEFORE THE PUBLIC UTILITIES COM"^ISSION OF THE STATE OF CALIFORNIA Application of PACIFIC GAS AND ) ELECTRIC COMPANY for authority, among ? other things, to increase its rates ) Application 82-12-48 and charges for electric and gas ) (Filed December 20, 1982) service. ) (Electric and Gas) ) (For appearances see Appendix C.) 44 _ 1 _ �� ^i..'<' • _ �� <.,r, � . � -. /,..tet ,,—�. ALJ/rr/bg. PG& -hould propose at least one TOU rate structure along the lines of thoae presented by TGC in this proceeding. ?G &E should also consider changing the winter on -peak period and/or ;mplementing a summer -winter pricing differential. Alternatively, a variation in the or. -peak and off-peak periods by climate zones may be desirable to target the on -peak prating incentives to the periods when customers have the largest discretionary alectric loads. 4. Master Meter Discounts Public Utilities (PU) Code Section 739.5 states that a master meter customer (mobile home park owner) be given an allowance to allow recovery of the reasonable- costs for providing a submetered service to individual mobile hone residents. The recoverable cost may not exceed the average cost the serving utility (PG&Z) would have incurred in providing comparable services beyond the master meter. The two schedules involved a -a DT for electric service and GT for gas service. The ultimate issues in this continuing controverpy are I) the size -of the- for= it--should•--take-: - - - - - PG&E testifies and Western Mobi'_ehome Association (WMA) concurs that the comparable cost for providjrig gas submetered service in '984 would be $6.44 per month per mobilehome space. The major issue in calculating the average electric cost is the weighting Factor used to account for overhead versus underground service. PG&E shows that thF, cost for overhead service will be $7.41 per month per space and $9.60 for underground service. PG&E shows.that it serves approximately 93%. -Of -the mobilehome parks - with overhead service (from PG&E to master meter). WMA shows that about 94p of the individual mobilehome spaces (master meter to mobilehome) have underground service. Thus the issue is how the average cost should be determined. - 385 - ..i'' We adopt thee PG&E method. ,�i oe PG&E provides the i � majority of secondary distr bution service to the master meter in overhead _``ashion, it is reaso^ab'_e to assume that if PG&E extendeoei =he service beyond the master meter it would also use overhead servic°°��"� Therefore we adopt the fj ure of p g 7 per space per month for the ~' electric master meter allowance. The next issue is what form the allowance should=x take. Presently it is a percentage discount of lifeline sales. PG&� �r proposes to maintain this form of the discount. its chief attribute is that it prevents overpaying mobilehome parks due to vacant spaces. Its major drawback is that the percentage discount needs to be 1 recalculated at every rate change and this presents an additional issue subject to contest during each offset proceeding, ;G--.` The WMA proposes that the flat rate discount be 1 '•�`_ adopted, noting that it is much less controversial and is then easily s applied. It also notes that there are special conditions in both the DT -and GT sc':edules that require the mob; le home park owner to notify y; PG&E whenthe number of. customers, change.- - We---will--adopt.--the--proposed. - e := flat rate discount and encourage PG&E to strengthen its reporting ; requirements and penalty provisions for failure to report changes in number of customers by advice letter filing. The other "master meter" schedule J.S. should be - resolved similarly with the discount provided on a flat rate basis av r using PG&E's computation of the discount. V_ B. Light and Power Rate Design � Light and power customers comprise approximately 59% of k PG&E's sales but only about 10' of its customers. Approximately 90% o,, the light and g power customers are classified as small Light and power E F. and have demand levels below 500 kW. The medium '{ght and power class consists of about 9.41 of light and. power customers who have demand-`