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Resolution No. 6186 . . " . 1 RESOLUTION NO. 6186 2 3 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A LETTER OF AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND EUGENE WATER & ELECTRIC BOARD (EWEB) FOR THE PURCHASE, EXCHANGE, OR SALE OF CAPACITY ANDIOR ENERGY 4 5 6 7 WHEREAS, EWEB from time to time, has available surplus 8 capacity and/or energy to sell to public entities within the State 9 of California; and 10 WHEREAS, the City of Vernon, from time to time, has II 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 EWEB at competitive market-based prices; and 16 WHEREAS, the execution of an agreement would permit the 17 City of Vernon and EWEB to purchase and sell said surplus capacity 18 andlor 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 of Agreement by and between the Eugene Water & 26 Electric Board and the City of Vernon, a copy of which has been 27 presented to the City Council concurrently with this resolution, 28 and the City Council hereby orders said Letter of Agreement to be . ' ~ 1 received and filed by the City Clerk. SECTION 3: The City Council of the City of Vernon hereby authorizes the Mayor and City Clerk to execute said Letter of 2 3 4 Agreement for, and on behalf of, the City of Vernon. 5 6 SECTION 4: The City Clerk of the city of Vernon shall 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 ATTEST: ~ d ~~ ;?f7 /~_._- r,/~ ~ BRUCE V. MALKENHORST, City Clerk 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -2- / 1 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) 2 3 4 I, BRUCE V. MALKENHORST, City Clerk of the City of 5 6 Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 6186, was duly adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Tuesday, December 1. 1992, and thereafter was duly signed by 7 8 9 the Mayor of the City of Vernon. ~_/~ BRUCE V. MALKENHORST, City Clerk 10 11 12 13 14 (SEAL) 15 16 17 18 19 20 21 22 23 24 25 26 27 28 -3- wr", Commissioners Sarah Hendnckson Susie Smith Mike Dyer Dorothy Anderson Glen Gibbons. Jr General Manager Randy L. Berggren .,.."c..di...=<;.....~""-. ..----...~~ ............. .. -.-.-..--" ..~.:;.., .~ ~.,... -<' .5' -..- --~..-. -~~- _.._...._----~--- n__ ~".__." . __ ... m Eugene Water & Electric Board 500 East 4th Avenue Post Office Box 10148 Eugene. Oregon 97440-2148 503.484.2411 Fax 503.484.3762 EWEB October 9, 1992 Mr. Jorge C. Somoano Resource Planning Mgr. city of Vernon 4305 Santa Fe, Avenue Vernon, CA 90058 Dear Mr. Somoano: Letter of Aqreement After discussions between our respective staffs, it was agreed that there be an enabling agreement between Eugene Water & Electric Board (EWEB) and the city of Vernon (Vernon) for the sale of energy. 1. This Letter Agreement provides for sale, by E~B or Vernon, of such energy as each 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. EWEB shall be responsible for all transmission charges and losses required to provide service under this agreement north of COB or NOB. Vernon shall be responsible for all transmission charges and losses required to provide service under this agreement south of COB or NOB. 4. The price and hourly quantities of such energy shall be mutually agreed upon by both parties' schedulers, dispatchers, or designee prior to delivery. 5. Bills shall be submitted within approximately 15 days after the end of each month in which transactions were made under this agreement and will be due within 20 days upon receipt of the bill. Any delinquent payments will be assessed an interest penalty of 1 1/2 percent per month on the unpaid balance. 6. This Letter Agreement shall be effective when it has been signed by both parties and shall remain in effect until terminated by either EWEB or Vernon. Immediate termination may be exercised by either party by telephone promptly followed by a written notice to the other party. All obligations incurred prior to termination shall be satisfied in accordance with paragraph 5 hereof. " P" Page 2 Enclosed are two signed originals of this Letter Agreement. Please sign and return one copy t~ Eugene Water & Electric Board, Attention: Mr. V. W. Scales; retain the other copy for your files. Sincerely, 14/~ Roger E. Nelson Power Schedu~ing Supervisor ACCEPTED: By Date October 9, 1992 CITY OF VERNOR BY~' ,..... ,'" eonis C. Hal urg '- Title Mayor Date lfJig~/AiJe/~ ltic;y ATTEST: 4---- //;t:;~:;/~?~ Bruce V. Malkenhorst City Clerk Approve as to Form: t~,,,. . \. . .' . ".~ \-.) d,.L~I. '\l:/ I \l-:>,/'\jA1-vLj Davi B. Brearley r City Attorney