HomeMy WebLinkAboutResolutions - No. 2006-204RESOLUTION NO. 2006-204
A RESOLUTION OF THE LODI CITY COUNCIL
AUTHORIZING THE CITY MANAGER AND ELECTRIC
UTILITY DIRECTORTO PROCURE ENERGYAND/OR
NATURAL GAS FOR FISCAL YEAR 2007-08 AT A COST
NOT TO EXCEED $25 MILLION
WHEREAS, the City of Lodi must procure wholesale energy in order to
economically meet its load serving obligations to its customers for fiscal year 2007-08
with the projected amount of wholesale energy that must be procured equaling
approximately 65% of Lodi's total load serving obligation; and
WHEREAS, to begin reducing Lodi's exposure to this market volatility, staff
recommends procurement of electricity and/or natural gas to reduce or eliminate Lodi's
net open position for fiscal year 2007-08; and
WHEREAS, it is expected that Lodi's purchases under this Resolution will be
made through the procurement activities of the Northern California Power Agency and
could occur in various amounts and timeframes through the end of fiscal year 2007-08;
and
WHEREAS, Lodi's purchases under this Resolution will conform to the accepted
transaction types and other provisions of the City of Lodi Energy Risk Management
Policies adopted by the City Council on January 18, 2006 (Resolution 2006-19).
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
authorize the City Manager and Electric Utility Director to procure energy and/or natural
gas to reduce Lodi Electric Utility's open position to meet load -serving obligations for
fiscal year 2007-08 in accordance with the City of Lodi Energy Risk Management
Policies at a cost not to exceed $25 million.
Dated: November 15,2006
hereby certify that Resolution No. 2006-204 was passed and adopted by the
Lodi City Council in a regular meeting held November 15,2006, by the following vote:
AYES: COUNCIL MEMBERS —Beckman, Hansen, Johnson, Mounce,
and Mayor Hitchcock
NOES: COUNCIL MEMBERS— None
ABSENT: COUNCIL MEMBERS— None
ABSTAIN: COUNCIL MEMBERS— None
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RANDIJOHL
City Clerk
2006-204