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Resolution No. 6149 1 2 3 4 5 6 7 8 No. 924 9 Project RESOLUTION NO. 6149 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON AMENDING RESOLUTION NO. 5985 AND APPROVING AND AUTHORIZING THE EXECUTION OF THE MEAD-PHOENIX AND MEAD-ADELANTO PROJECT AGREEMENTS BY AND BETWEEN THE CITY OF VERNON AND VARIOUS PUBLIC AND PRIVATE AGENCIES IN CALIFORNIA AND ARIZONA WHEREAS, the City Council of the City of Vernon by Ordinance on February 16, 1982, approved the terms and conditions of a Development Agreement for the Mead-Phoenix DC Intertie 10 11 between Phoenix, Arizona, and Southern ("Mead-Phoenix Project") Nevada; and 12 WHEREAS, the City Council by Resolution No. 5154 on December 18, 1984, approved the terms and conditions of a Project Planning 13 14 Agreement for the Mead/Mccullough-Victorville/Adelanto Transmission 15 Project ("Mead-Adelanto Project") between Southern California and 16 17 Southern Nevada; and WHEREAS, the City Council by Resolution No. 5985 on 18 September 23, 1991, approved the Composite Development Agreement 19 which reconstituted the Mead-Phoenix Project and the Mead-Adelanto 20 Project as two separate 500 Kv AC transmission systems in order to 21 22 23 24 coordinate and interconnect the projects at a new, jointly-owned substation called the Marketplace Substation in Southern Nevada near the existing McCullough Substation and Mead substation; and WHEREAS, the preliminary project agreements were received 25 26 27 28 subject to certain conditions set forth in the Composite Development Agreement, which conditions have been met, including minor changes approved by the project committees and the addition of new parties to the agreement; and 1 WHEREAS, the execution copies of said agreements have been 2 received and Resolution No. 5985 can be amended to provide that the 3 preliminary copies be discarded; and 4 WHEREAS, the owners and project participants which will be 5 executing the project agreements consist of the following: 6 Arizona Public service Company 7 City of Anaheim 8 City of Azusa 9 10 11 12 13 14 15 16 Department of Water and Power of the City of Los Angeles 17 M-S-R Public Power Agency 18 Salt River Project Agricultural Improvement and Power 19 District 20 Southern California Public Power Authority 21 Tucson Electric Power Company 22 United States Department of Energy, Western Area Power 23 Administration 24 WHEREAS, the City of Vernon will own a 6.25% share 25 (approximately 75 MW)of the Mead-Adelanto Project and the following 26 shares of the various components in the Mead-Phoenix Project: 27 Westwing-Mead Component, 2.1538% (approximately 28 MW); Mead 28 City of Banning City of Burbank City of Colton City of Glendale City of Pasadena city of Riverside City of Vernon -2- 1 Substation Component, 3.7934% (approximately 48 MW) ; and 2 Mead-Marketplace Component, 4.0497% (approximately 75 MW); and 3 WHEREAS, the overall construction costs to the ci ty of 4 Vernon for said projects is estimated at $25,000,000 during the next 5 four years, and the annual ownership and operation costs will be 6 assessed after construction of the projects; and 7 WHEREAS, the City of Vernon will participate in either a 8 separate project or a transmission service contract to interconnect 9 its interest in the Mead-Adelanto Project to the Southern California 10 Edison control area, and for that purpose the Adelanto-Lugo Project, 11 Adelanto-Lugo Transmission Line, Adelanto switching station, 12 Interconnection Agreement was approved by Resolution No. 5985 in case 13 such an interconnection becomes necessary, but said agreement will 14 not be executed until the Adelanto-Lugo Project participation 15 Agreement is ready for execution; and 16 WHEREAS, approval of this resolution will authorize 17 execution of the following project agreements, copies of which have 18 been submitted to the City Council concurrently herewith: 19 (a) Mead-Phoenix Project: 20 Mead-Phoenix Joint Ownership Agreement 21 Mead-Phoenix Fiscal Agency Agreement 22 Mead-Phoenix Construction Management Agreement 23 Mead-Phoenix Operation Agreement 24 Mead-Phoenix Land Rights Agreement 25 Interconnection at Mead Substation of the Mead-Phoenix 26 Project 27 III 28 -3- 1 (b) Mead-Adelanto Project: 2 Mead-Adelanto Joint ownership Agreement 3 Mead-Adelanto Fiscal Agency Agreement 4 Mead-Adelanto Construction Management Agreement 5 Mead-Adelanto Operation Agreement 6 Mead-Adelanto Project, Marketplace-Adelanto 7 Transmission Line, Adelanto switching station 8 Interconnection Agreement 9 Los Angeles-Vernon, Adelanto-Victorville/Lugo, Firm 10 Transmission Service Agreement 11 (c) Mead-Phoenix Project and Mead-Adelanto Project: 12 Marketplace Substation Participation Agreement 13 Marketplace Static Var compensator, Adelanto Switching 14 Station, Interconnection Agreement 15 WHEREAS, the agreement for the Interconnection at Mead 16 Substation of the Mead-Phoenix Project requires a certificate that 17 the City of Vernon has approved said agreement by resolution, and a 18 certified copy of this resolution will be attached thereto as 19 evidence of approval; and 20 WHEREAS, the Los Angeles-Vernon, Adelanto-victorville/Lugo, 21 Firm Transmission Service Agreement requires a certificate that all 22 necessary local, state and Federal regulatory authorizations and 23 approvals have been obtained, and a copy of a certificate stating 24 that no such approvals are required in order for the city of Vernon 25 to execute said agreement is attached hereto as Exhibit A for 26 execution by the Chief Executive Officer of Light and Power; and 27 28 III -4- 1 WHEREAS, completion of said projects will require the 2 preparation, approval, and execution of agreements to interconnect 3 the Mead-Phoenix Project at the Westwing Substation near Phoenix, 4 Arizona, and to interconnect the Marketplace Substation to the nearby 5 McCullough Substation in Southern Nevada, which agreements are 6 currently being negotiated and will be submitted to the City Council 7 for approval at a later date. 8 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE 9 CITY OF VERNON AS FOLLOWS: 10 SECTION 1: The City Council of the City of Vernon hereby 11 finds and determines that the recitals contained hereinabove are true 12 and correct. 13 SECTION 2: The City Council hereby approves the Mead- 14 Phoenix Project and the Mead-Phoenix Project Agreements, copies of 15 which have been presented to it concurrently with this resolution as 16 set forth below; the City Council hereby orders said copies to be 17 received and filed by the City Clerk and the preliminary copies 18 received pursuant to Resolution No. 5985 to be discarded; and the 19' City council authorizes the Mayor and the City Clerk to execute said 20 agreements and to submit the requisite number of executed signature 21 pages to the addressee listed on Exhibit A: 22 Mead-Phoenix Joint Ownership Agreement 23 Mead-Phoenix Fiscal Agency Agreement 24 Mead-Phoenix Construction Management Agreement 25 Mead-Phoenix Operation Agreement 26 Mead-Phoenix Land Rights Agreement 27 III 28 -5- 1 Interconnection at Mead Substation of the Mead-Phoenix 2 project 3 SECTION 3: The City Council hereby approves the 4 Mead-Adelanto Project and the Mead-Adelanto Project Agreements, 5 copies of which have been presented to it concurrently with this 6 resolution as set forth below; the City council hereby orders said 7 copies to be received and filed by the City Clerk and the preliminary 8 copies received pursuant to Resolution No. 5985 to be discarded; and 9 the City council authorizes the Mayor and the City Clerk to execute 10 said agreements and to submit the requisite number of executed 11 signature pages to the addressee listed on Exhibit A: 12 Mead-Adelanto Joint Ownership Agreement 13 Mead-Adelanto Fiscal Agency Agreement 14 Mead-Adelanto Construction Management Agreement 15 Mead-Adelanto operation Agreement 16 Mead-Adelanto Project, Marketplace-Adelanto 17 Transmission Line, Adelanto switching station 18 Interconnection Agreement 19 Los Angeles-Vernon, Adelanto-Victorville/Lugo, Firm 20 Transmission Service Agreement 21 SECTION 4: The City Council also approves the following 22 proj ect agreements which pertain to the Marketplace Substation and 23 its equipment which will be jointly owned by the Mead-Phoenix Project 24 and the Mead-Adelanto Project, copies of which agreements have been 25 presented to it concurrently with this resolution as set forth below; 26 the City Council hereby orders said copies to be received and filed 27 by the City Clerk and the preliminary copies received pursuant to 28 -6- . , 1 Resolution No. 5985 to be discarded; and the City Council authorizes 2 the Mayor and the City Clerk to execute said agreements and to submit 3 the requisi te number of executed signature pages to the addressee 4 listed on Exhibit A: 5 6 7 8 9 this Marketplace Substation Participation Agreement Marketplace Static Var compensator, Adelanto switching station, Interconnection Agreement SECTION 5: The City Clerk is directed to attach a copy of resolution to the agreement entitled "Interconnection at Mead 10 Substation of the Mead-Phoenix project" and to submit the requisite 11 number of copies of this resolution to the addressee listed on 12 Exhibit A as evidence of the approval of said agreement. 13 SECTION 6: Bruce V. Malkenhorst as Chief Executive Officer 14 of Light and Power is directed to execute the certif icate of 15 Regulatory Authorizations and Approvals, a copy of which is attached 16 hereto as Exhibit A, and to submit the requisite number of copies to 17 the addressee listed thereon. 18 SECTION 7: The City Clerk of the City of Vernon shall 19 certify to the passage of this resolution, and thereupon and 20 thereafter the same shall be in full force and effect. 21 APPROVED AND ADOPTED this 18th day of August, 1992. 22 23 ATT%- 25 BRUCE V. MALKENHORST, 24 ~}. .- EONIS C. MALa G,Ma or 26 27 28 -7- . . , . , 1 STATE OF CALIFORNIA ) )ss 2 COUNTY OF LOS ANGELES ) 3 I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, 4 do hereby certify that the foregoing Resolution, being Resolution No. 5 6149, was dUly adopted by the City council of the city of Vernon at 6 a regular meeting of the city Council duly held on Tuesday, August 7 18, 1992, and thereafter was duly signed by the Mayor of the city of 8 Vernon. ~ 9 10 11 (SEAL) 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 BRUCE V. -8- ~ .. EXHIBIT A CERTIFICATE OF AUTHORIZATIONS AND APPROVALS Set forth below is the list of all local, state and Federal regulatory authorizations and approvals which are required for the City of Vernon to execute and deliver the Mead-phoenix Project Agreements and Mead-Adelanto Project Agreements: No local, state and Federal regulatory authorizations and approvals are required for the city of Vernon to execute and deliver the above- named agreement. The city council of the city of Vernon by Resolution No. 6149 on August 18, 1992 authorized the execution of the following named project agreements and this certificate. A copy of said resolution is enclosed and is currently in force and effect. (a) Mead-phoenix Project: Mead-Phoenix Joint Ownership Agreement Mead-Phoenix Fiscal Agency Agreement Mead-Phoenix Construction Management Agreement Mead-Phoenix operation Agreement Mead-Phoenix Land Rights Agreement Interconnection at Mead substation of the Mead-phoenix project (b) Mead-Adelanto Project: Mead-Adelanto Joint Ownership Agreement Mead-Adelanto Fiscal Agency Agreement Mead-Adelanto Construction Management Agreement Mead-Adelanto operation Agreement Mead-Adelanto Project, Marketplace-Adelanto Transmission Line, Adelanto switching station Interconnection Agreement Los Angeles-Vernon, Adelanto-Victorville/Lugo, Firm Transmission Service Agreement (c) Mead-Phoenix Project and Mead-Adelanto project: Marketplace Substation participation Agreement Marketplace Static Var compensator, Adelanto switching station, Interconnection Agreement I hereby state that the City of Vernon is authorized to deliver the above-named agreements in accordance with the provisions of the composite Development Agreement for Mead-phoenix project and Mead- Adelanto Project, which agreement is dated December 17, 1991. CITY OF VERNON By: Chief Executive Officer of Light & power Date: Send to: Attention: Edward W. Long Mudge, Rose, Guthrie, Alexander & Ferdon 333 South Grand Avenue, suite 2030 Los Angeles, California 90071