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Resolution No. 6784 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION 6784 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON CHANGING THE ENERGY COST ADJUSTMENT BILLING FACTOR CHARGED FOR ELECTRICAL ENERGY DISTRIBUTED AND SUPPLIED TO ITS ELECTRICAL CUSTOMERS WHEREAS, Ordinance No. 911 provides for an Energy Cost Adjustment Billing Factor ("ECABF") and for changes in such billing factor to be made from time to time by resolutions of the. City Council of the City of Vernon, when, in the city Council's opinion, such changes are necessary for the sound financial position of the Light and Power Operating Funds; and WHEREAS, the ECABF adopted in previous Resolution No. 6742 has produced a surplus in the energy cost adjustment account; and WHEREAS, Resolution No. 5342, adopted by the City Council of the City of Vernon on December 16, 1986, provides a methodology to compute the ECABF that reduces the degree of rate fluctuations, includes data from Vernon's resources, and provides a stable ECABF rate level; and WHEREAS, the City Council of the City of Vernon hereby intends to approve a new ECABF for future time periods in accordance with Resolution No. 5342 in order to allow the customers of the City of Vernon to project their future financial needs in a reasonable manner. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: That the City Council of the City of 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Vernon finds that the recitals contained and determines hereinabove are true and correct. SECTION 2: That the City Council of the City of Vernon does hereby adopt an ECABF of negative $0.03186 per kilowatt hour on electrical energy sold to its electrical consumers. SECTION 3: That the effecti ve date of said ECABF shall be May 7, 1996 and shall continue until rescinded or amended by resolution of the City Council of the City of Vernon. SECTION 4: That effective May 7, 1996 this resolution rescinds existing ECABF Resolution No. 6742. SECTION 5: That 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 7th day of May 1996. ~ 'e~ .~ ~kf...z> A ; .;r~~. /~',t . ~ "EO~IS C. MALB G, Mayo ATTEST: d /~ BRUCE V. MALKENHORST, City Clerk 1 2 3 4 5 6 7 8 9 ro U 12 13 U 15 16 17 18 W 20 21 ~ ~ 24 ~ 26 27 ~ STATE OF CALIFORNIA ) ) COUNTY OF LOS ANGELES) ~ I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 6784 was duly adopted by the City Council of the City of Vernon, at a regular meeting of the City Council duly held on Tuesday, May 7th 1996 and thereafter signed by the Mayor of the City of Vernon. ~ BRUCE v. (SEAL) j ~. " City of Vernon Energy Cost Adjustment Billing Factor Computation Sheet For Three Month Period - MAY 1 - JULY 311996 1. Estimated Energy Costs 2. 3. 4. 5. Purchased Power from SCE a. Energy Charge b. Energy Cost Adjustment $148,020.00 ($63.000.00) GenlReplacement Costs $93,522.00 $347,148.92 $747,181.88 $2,361,913.08. Cost of Interruptible Purchases Cost of Energy Associated with the purchase of Firm Power Total Energy Costs (1+2+3+4) $3.549.765.89 Correction Factor 6. Actual Energy Expenses for the Previous $3,405,611.46 Three Month Period (JANUARY, FEBRUARY, MARCH) 7. Balance ofthe Unrecovered (Over-Recovered) ($420,494.29) Energy Expenses at the Start of the Previous Three Month Period 8. Less: Revenue Billed - Base Rate and ECA $3,294,182.61 from the Previous Three Month Period 9. Unrecovered (Over-Recovered) Energy Expenses at the ($309,065.44) Termination of the Previous Three Month Period (6+7-8) 10. Unrecovered (Over-Recovered) Energy Cost Estimate for $210,783.71 the Month of (APRIL) 11. Total Cost to be Recovered (5+9+10) $3,451,484.15 Calculation of Factor 12. 13. 14. 15. 16. 17. Estimated KWH Sales 96.74% of Purchases 278,379,024 9,455,357 287,834,381 $0.01199 $0.04385 ($0.03186) Adjustment for Billing Losses Total KWH Sales Total Energy Cost per KWh (11/14) Less: Amount in Base Rates Energy Cost Adjustment Billing Factor (15-16) .q .:-:.:.;.;.;,;.;.:.:,:.:.:.: .. ..,.,.,....... ..,.,......'..,.......,.....,...,........... . . . . . . . . . . . . . .. . . . . . Actual Expense Actual Revenue Over/(Under) This Period Total Over/(Under) at End of Period Actual Expense Actual Revenue Over/(Under) This Period Total Over/(Under) at End of Period Actual Expense Actual Revenue Over/(Under) This Period Total Over/(Under) at End of Period Actual Expense Actual Revenue Over/(Under) This Period TotaIOver/(Urider) at End of Period Actual Expense Actual Revenue Over/(Under) This Period TotaIOver/(Under) at End of Period Period 1 Jan - Mar Period 2 ~e~ :.~.~~.!. Period 3 Jul - Sep ........ ..... .... .' .. ...:.................:.....:..:... .:.:.; i~i~~)iir:~tt:j~?(jt:r~:i(:tffr\iii!i!:/~::;~;~/:.:-:-:.:.:.:.;.:.:.:.::~:~:::::~~:~::~:~:i:~:::~:::~t:~:i~:i;~:~:~;~:~:i~r:: Period 4 Oct - Dee .................................. ....... ..... .................. 1992 $5,598,749 $5,606,071 $7,322 1992 1992 $5,716,352 5,928,387 $5,495,538 5,880,390 ($220,814) ($47,997) ($280,951) . ($328,948 1993 1993 $5,305,297 $6,016,873 $4,740,503 $4,965,966 ($564,794) ($1,050,907) 1992 $5,783,980 $6,283,260 * $499,280 $170,332 1993 $5,599,276 $6,391,873 $792,596 $674,113 ($941,588) ($148,992 1994 $5,109,884 $5,366,277 $256,392 245,284 1995 $4,227,466 $4,673,308 $445,842 $420,4941 1996 , 1993 $5,195,373 $5,699,153 $503,781 $109,319 1994 1994 $5,280,682 $4,866,537 $5,203,876 $5,453,396 ($76,806) $586,859 ($225,798) $361,061 1995 1995 $4,411,608 $3,842,555 $4,336,403 $3,914,292 ($75,205) $71,737 $170,079 $241,816 1996 1996 $3,405,611 $3,294,183 ($111,429) $309,065 1994 $5,657,379 $5,285,209 ($372,170) ($11, 1 09) 1995 $4,786,904 $4,519,740 ($267,164) ($25,348) 1996 * -Includes $116,772.01 of over recovered revenue found during an audit of ECABF calculations. , . - ~ l- (/) 0 () ..... ,.....,.....,..... ...-...-(0 Nm"", MNN ~ 000 cicici ;:) foI'tfol't foI't , ,.....,.....,..... ...-...-(0 Nm"", MNN W 000 Z cicici I ;:) foI't foI'tfol't , ~ .... ..... - ~ ,.....,.....,..... 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ACTUAL REVENUES JANUARY FE8RUARY MARCH Total ECABF ($0.02576) ($0.03278) ($0.03278) KWH 78,664,196 83,735,840 83,783,219 246,183,255 BASE $3,449,424.99 $3,671,816.58 $3,673,894.15 $10,795,135.73 ECABF ($2,026,389.69) ($2,744.860.84) ($2,746,413.92) ($7,517,664.44) SUB-TOTAL SALES $ $1,423,035.31 $926,955.75 $927,480.23 $3,277,471.29 ADJUSTMENTS KWH 148,112 176,718 204,306 529,136 BASE $ $6,494.71 $7,749.08 $8,958.82 $23,202.61 ECABF $ ($3,945.26) $761.10 $89.06 ($3,095.10) CORRECTIONS $ $0.00 $0.00 ($3,396.19) ($3.396.19) SUB-TOTAL SALES $ $2,549.45 $8,510.18 $5,651.69 $16,711.32 TOTALS TOTAL KWH 78,812,308 83,912,558 83,987,525 246,712,391 TOTAL BASE $ $3,455,919.71 $3,679,565.67 $3,682,852.97 $10,818,338.35 TOTAL ECABF $ ($2,030,334.95) ($2,744,099.74) ($2,746,324.86) ($7,520,759.54) TOTAL CORRECTION $ $0.00 . $0.00 ($3,396.19) ($3,396.19) TOTAL SALES $ . $1,425,584.76 $935,465.93 $933,131.92 $3,294,182.61 Average difference in purchases and generation to retail (KWH) is 3.26 lag. For Previous Three Month: Available (KWH) Recorded Retail (KWH) 264,253,269 246,183,255 Retail projected 96.74% of 264,253,269 = 255,638,612 Adjustment For Billing Losses 255,638,612 246,183,255 = 9,455,357 Correction from Previous Period - Revenue ." 3. ESTIMATED ENERGY REQUIREMENT AND TOTAL ENERGY COST FOR APRIL "S.C.E" ON MID OFF TOTAL ENERGY (KWH) UNIT COST COST($) ($/KWH) ($) APRIL APRIL APRIL 0 $0.03217 $0.00 0 $0.02917 $0.00 2 000 000 $0.02467 $49 340.00 2,000,000 $49,340.00 RESOURCE FORECASTED ECABF ($0.01000 $20000.00 .. .:,:::,:,:,:,:,:,:::::<:::::::(::::::,::: ~:::::"":'::"::~)S~~:~:;,~~0::::;:g~g::: .......::.:.:.:.:.?::::::::;=;=;=;=;:;=;:::;=;:::::::::;:;: ;:;:;:;;f':':.:-::/:::}:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:;:::;:::;:::;:;:;:;:::; . ". . . ':}":'. :.::;;:' :;';;.' ..:'::;::\;. :.::(.: ':: {:{.:::::;:;:::.::::;:::::;:;:......: NON-FIRM ON 0 $0.00 MID 0 $0.00 ,,"::~~::;::::;::~Z!i~;;~.:. 3,800,651" .. ..... "$6~00909 $34,533.91 ..........:....:...:.:.:.:.::.:........................~,.?.~9..,~~6. . .. ....... $0. 02?~~. ..........,......~? 4~,.~~.?:.!5..1... ..............:_.:..:....:........::::;:~:~:;:;;;~;~;~;~;~;~;~;~;~;~[~~~~~~~i11j~~~~jjjjj~~~~[~~~f~fff~[jfff~1j~Ij~jJ~~~~jjfjfffjjjjjjjjjffffft~fffjijjjjjj~jjji~jj[jlfjj~~jj~Ij~j~jji~jjjIjj[tj~j~jjijjjj~j~jjjjj~j )/(/:1/:::{r':}:I~':,~r:::~::~~::,~1~,::~~:: ::::: . :::.. ::::;:::.:::;:::;:::::::: ::::::[:::::::::::[:::::::::::::::::[~:lli:~::lli:~:ili:i:ili:i[~::;::: $0.00 $1,163,895.21 FORECAST REVENUE KWH BASE(0.04385) ECABF ($0.03278) 86,098,600 $3,775,423.61 ($2,822,312.11) $953,111.50 $210,783.71 ESTIMATED UNRECOVERED (OVER-RECOVERED) ENERGY COST .