Resolution No. 6604
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RESOLUTION NO. 6604
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION
OF A LETTER POWER SALE AGREEMENT WITH THE
CALIFORNIA DEPARTMENT OF WATER RESOURCES IN
ACCORDANCE WITH SERVICE SCHEDULE C OF THE
WESTERN SYSTEMS POWER POOL AGREEMENT
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WHEREAS, the California Department of Water Resources
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("DWR") is a member of the Western Systems Power Pool ("WSPP")
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Agreement; and
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WHEREAS, the City of Vernon is a member of the WSPP; and
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WHEREAS, DWR has offered to provide capacity and firm
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energy to the City of Vernon beginning May 1, 1995 and extending
through September 30, 1995; and
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WHEREAS, the City of Vernon believes that purchasing such
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capacity and firm energy would be economically beneficial to the
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City of Vernon's electric customers.
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NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
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SECTION 1: The City Council of the City of Vernon does
20 hereby find and determine that the recitals contained hereinabove
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are true and correct.
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SECTION 2: The City Council of the City of Vernon hereby
23 approves the Letter Power Sale Agreement, a copy of which has been
24 presented to the City Council concurrently with this resolution,
25 and the City Council hereby orders said Letter Agreement to be
26 received and filed by the City Clerk.
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SECTION 3: The City Council of the City of Vernon hereby
28 authorizes the Mayor Pro Tem and the City Clerk to execute said
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Letter Agreement for, and on behalf of, the City of Vernon.
SECTION 4: The City Clerk of the City of Vernon shall
certify to the passage of this resolution and thereupon and
thereafter the same shall be in full force and effect.
APPROVED AND ADOPTED this 28th day of March, 1995.
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STATE OF CALIFORNIA )
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COUNTY OF LOS ANGELES )
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I, BRUCE V. MALKENHORST, City Clerk of the city of
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Vernon, do hereby certify that the foregoing Resolution, being
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Resolution No. 6604, was duly adopted by the City Council of the
City of Vernon at an adjourned regular meeting of the City Council
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duly held on Tuesday, March 28. 1995, and thereafter was duly
signed by the Mayor Pro Tem of the City of Vernon.
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BRUCE V. MALKENHORST,
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(SEAL)
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STATE OF CALIFORNIA-THE RESOURCES AGENCY
PETE WILSON, Governor
DEPARTMENT OF WATER RESOURCES
1416 NINTH STREET, P.O. BOX 942836
SACRAMENTO, CA 94236-0001
(916) 653-5791
March 28, 1995
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Mr. Kenneth J. DeDario
Diredtor of Light & Power
City of Vernon
4305 Santa Fe Avenue
Vernon, California 90058
Dear Mr. DeDario:
Subject: Firm Power Sale Agreement for May through September,
1995
This Agreement sets forth the terms and conditions under
which the California Department of Water Resources will provide
capacity and firm energy to the City of Vernon beginning May 1/
1995 and extending through September 30/ 1995. This Agreement is
in accordance with Service Schedule C of the Western Systems
Power Pool Agreement.
1. TERM: Service under this Agreement shall commence on
May 1, 1995 and shall extend through September 30/ 1995
except as provided in Section 7 below.
2. POINT OF DELIVERY: The Point of Delivery will be
Sylmar Substation. The POD may be changed when both
Parties schedulers or dispatchers agree to the change.
3. POWER SALES:
3.1 For the month of May DWR shall make available to
Vernon and Vernon shall accept from and pay DWR
for firm capacity and associated energy as follow:
3.1.1
30 MWh/hour/ hour ending 0100 to hour
ending 0900; 40 MWh/hour, hour ending
1000 to hour ending 2300; 30 MWh/hour/
hour ending 2400, Monday through Friday
except Holidays.
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Mr. Kenneth J. DeDario
March 28, 1995
Page Two
3.1.2
30 MWhjhour, hour ending 0100 to hour
ending 2400, Saturday, Sunday, and
Holidays.
3.2
For the month of June DWR shall make available to
Vernon and Vernon shall accept from and pay DWR for
firm capacity and associated energy at a rate of 40
MWhjhour, hour ending 0100 to hour ending 2400 each
day.
. 3.3 For the months of July through September DWR shall make
available to Vernon and Vernon shall accept from and
pay DWR for firm capacity and associated energy at a
rate of 35 MWhjhour, hour ending 1000 to hour ending
2300, Monday through Friday except Holidays.
Holidays are defined as Memorial Day, Independence Day,
and Labor Day.
When any holiday listed above falls on Sunday, the
following Monday will be recognized as a holiday.
4. SCHEDULING: By 1000 hours Pacific Prevailing Time on each
Workday, Vernon shall notify DWR's schedulers of the planned
schedule for the next Workday(s) .
5. CHARGES: For the capacity and firm energy delivered by DWR
to Vernon, Vernon shall pay as follows:
5.1 For the month of May and June $12jMWh.
5.2 For the month of July $21jMWh.
5.3 For the month of August and September $22jMWh.
6. CURTAILMENT PROVISIONS:
6.1 DWR's obligation to make available firm capacity and
associated energy to Vernon as detailed in Section 3 is
a firm obligation, contingent only upon Uncontrollable
Forces (defined in Section 11 of the California
Department of Water Resources and the City of Vernon
Power Sale Agreement No.4) .
6.2 If Vernon is unable to receive or DWR is unable to
deliver the full amount of associated energy during any
hour due to Uncontrollable Forces, Vernon's obligation
to pay for energy shall be reduced by the amount of
such energy not delivered.
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Mr. Kenneth J. DeDario
March 28, 1995
Page Two
6.3 In the event it becomes necessary for DWR to curtail
service to Vernon, DWR shall use its best efforts to
notify Vernon as far in advance of the curtailment as
possible.
7. NOTICE O~ TERMINATION:
-'7 . 1 Vernon may terminate the Agreement prior to the
effective date if Southern California Edison does not
approve this resource as a Special Condition 12
resource in order for Vernon to receive capacity
credit.
7.2 Vernon may also reduce by 10 MWh/hour during the months
of May and June, and 5 MWh/hour during the months of
July through September the amount of capacity and
associated energy, if Vernon is not able to obtain from
SCE the necessary firm transmission service from the
Point of Delivery to the Vernon City Gate.
7.3 To terminate the Agreement, (per Section 7.1) or reduce
the monthly amounts (per Section 7.2), Vernon must
provide written notice to DWR prior to April 26, 1995i
however, DWR may extend the above date to April 30,
1995.
All other provisions contained in the WSPP Agreement
shall be applicable to this Agreement.
Mr. Kenneth J. DeDario
March 28, 1995
Page Three
If the above accurately reflects your understanding of the
terms of the Agreement reached by representatives of Vernon and
DWR, please so indicate by signing both originals of this
Agreement in the space provided below and return one fully
executed original to me.
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,If you have any questions, please call me at (916) 653-8854
or c~ll Coe Hall at (916) 653-6284.
Sincerely,
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Ron McAfee, Chief
Project Operations Center
Division of Operations
and Maintenance
ACCEPTED:
CITY OF VERNON
By:
~V0.Va.;j~
WdrldBl let j Itk/JI'rI;1/lt Thomas A. Ybarra
Title:
Mayor Pro Tern
Date:
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Bruce V. Malkenhorst
City Clerk
ATTEST:
Approved as to Form:
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David B. Brearley ,
City Attorney