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Resolution No. 6185 . ' . ( .' " t: ". ~. 1 RESOLUTION NO. 6185 2 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A LETTER AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND CITY OF SEATTLE (SEATTLE) FOR THE PURCHASE, EXCHANGE, OR SALE OF CAPACITY AND/OR ENERGY 4 5 6 7 WHEREAS, Seattle, from time to time, has available 8 surplus capacity andlor energy to sell to public entities within 9 the State of California; and 10 WHEREAS, the City of Vernon, from time to time, has 11 available surplus capacity andlor energy to sell to public 12 entities within the State of California; and 13 WHEREAS, the City of Vernon is interested in purchasing 14 surplus capacity andlor energy or selling surplus capacity andlor 15 energy with Seattle at competitive market-based prices; and 16 WHEREAS, the execution of an agreement would permit the 17 City of Vernon and Seattle to purchase and sell said surplus 18 capacity and/or energy. 19 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE 20 CITY OF VERNON AS FOLLOWS: 21 SECTION 1: That the City Council of the city of Vernon 22 does hereby find and determine that the recitals contained 23 hereinabove are true and correct. 24 SECTION 2: The City Council of the City of Vernon hereby 25 approves the Letter Agreement by and between the City of Seattle 26 and the City of Vernon, a copy of which has been presented to the 27 City Council concurrently with this resolution, and the City 28 Council hereby orders said Letter Agreement to be received and . , ,. . . t- "" . 1 filed by the City Clerk. 2 SECTION 3: The City Council of the City of Vernon hereby 3 authorizes the Mayor and City Clerk to execute said Letter 4 Agreement for, and on behalf of, the city of Vernon. 5 SECTION 4: The City Clerk of the City of Vernon shall 6 certify to the passage of this resolution and thereupon and 7 thereafter the same shall be in full force and effect. 8 APPROVED AND ADOPTED this 1st day of December, 1992. ~~ 9 10 11 12 13 ATTEST: _ ~~ h--/~ BRUCE V. MALKENHORST, city Clerk 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -2- 4 . , < . ' 3 I, BRUCE V. MALKENHORST, City Clerk of the City of the Mayor of the City of Vernon. 9 10 II ( SEAL) 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Vernon, do hereby certify that the foregoing Resolution, being 5 Resolution No. 6185, was duly adopted by the City Council of the 6 City of Vernon at a regular meeting of the City Council duly held 7 on Tuesday, December 1. 1992, and thereafter was duly signed by 8 1 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) 2 4 4- '~' ~ ..~-=7 BRUCE V. MALKENHORST, City Clerk -3- \ ) Seattle City Light ~9~n.:... ~i~i} - Roberta Palm Bradley, Acting Superintendent Norman B. Rice, Mayor October 13, 1992 Jorge Somoano Light and Power Department City of Vernon 4305 Santa Fe Ave. Vernon, CA 90058 Dear Mr. Somoano: Letter of Agreement After discussion between our respective staffs, it was agreed that there be an enabling agreement between the City of Seattle, City Light Department (Seattle) and the City of Vernon, Light and Power Department (Vernon) for the exchange or sale of energy. This Letter of Agreement (Agreement) is to confirm arrangements and conditions relating to this exchange or sale of energy between Seattle and Vernon. 1. This Agreement provides for exchange or sale, by Seattle or Vernon of such energy as each party determines is surplus to its needs. Such energy is interruptible and schedules may be terminated or curtailed, with as much notice provided as possible, at the discretion of either party. 2. All transactions carried out under this Agreement will be in accordance with normally accepted utility practice, for scheduling, accounting, billing and payment. 3. Delivery of energy pursuant to this Agreement shall be at the points of interconnection mutually agreed to by the parties' schedulers or dispatchers. Seattle shall be responsible for all transmission charges and losses required to provide service under this Agreement to the designated point of interconnection with Seattle. Vernon shall be responsible for all transmission charges and losses required to provide service from the point of interconnection to Vernon. 4. Energy scheduled shall be subject to return if notification to that effect is given at the time the schedule is made. Energy exchange imbalances shall be settled at a time mutually agreed upon by the parties' schedulers or dispatchers. 5. If energy return is not required, the price of such energy shall be mutually agreed upon by both parties' schedulers or dispatchers prior to delivery. An Equal Employment Opportunity Affirmative Action Employer City of Seattle - City Light Department, 10 15 Third A venue. Seattle. Washington 98104-1198. Telephone: (206) 625-3000, FAX: (206) 625-3709 Printed on recycled paper \ ~ Jorge Somoano Page 2 October 13, 1992 6. Bills will be submitted within approximately 15 days after the end of each month in which transactions were made under this Agreement and shall be paid within 30 days upon receipt of the. bill. Interest of one and one half percent per month (1.5%) shall accrue on bills unpaid after 30 days from receipt. 7. This Agreement shall be effective when it has been signed by both parties and shall remain in effect until terminated by either Seattle or Vernon. Immediate termination may be exercised by either party by telephone if promptly followed by a written notice to the other party. All obligations prior to termination shall be satisfied in accordance to paragraphs four and/or six above. Please sign all three originals of this Agreement and return two to my attention. The third original is for your files. Sincerely, M. J. Macdonald Acting Superintendent Power Resources Branch AR:sjt ACCEPTED: CITY OF VERNON V/e/iJl.r/ri f.ig)1tf if-rJJIJlcfv{e/i /i}Qt>/rlt1r*'I1 t ~ By " --- eonis C. Malb rg. . , Mayor Title {)lb?.ntiev .1. 1992.- _/ Date 17 ./ /L-- /~~~ ATTEST: Bruce V. Malkenhorst City Clerk Approved as to Form: \:) ~ \S ( \),Jte4- D ~ - David B. Brearley =~~ City Attorney "An Equal Employment Opportunity Affirmative Action Employer" _ City of Seattle _ City Light Department, 1015 Third Avenue, Seattle, Washington 98104-1198, Telephone: (206) 625-3000, FAX: (206) 62,-3709 Printed on recycled paper