Resolution No. 89421 RESOLUTION NO. 8942
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A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
3 VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A
4 METHOD OF SERVICE STUDY AGREEMENT BY AND BETWEEN
THE CITY OF VERNON AND SOUTHERN CALIFORNIA EDISON
5 COMPANY REGARDING THE LAGUNA BELL-LEONIS NO. 1 66
KV INTERCONNECTION
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7 WHEREAS, the City of Vernon owns and operates its own
8 electric system which services the City's constituents; and
9 WHEREAS, both the City of Vernon and Southern California
10 Edison Company ("SCE") are Participating Transmission Owners ("PTO")
11 with the California Independent System Operator ("ISO"); and
12 WHEREAS, the City's Light & Power Department has determined
13 that a method of service study needs to be performed to determine the
14 facilities and upgrades required for the City to have an additional
15 Point of interconnection to SCE's electrical system via the tapping of
16 the existing Laguna Bell-Leonis No. 1 66 kV line (the "Point of
17 Interconnection") out of the Laguna Bell system; and
18 WHEREAS, the City of Vernon anticipates using the Point of
19 Interconnection at Heliotrope Avenue just north of 52nd Place in
20 Maywood, California to provide service to a new customer substation
21 that will have a maximum future loading of 30 mW; and
22 'WHEREAS, the City's requested in-service date for the
23 interconnection is July 1, 2006; and
24 WHEREAS, the City's Light & Power Department desires to
engage the services of SCE to y
25perform the necessary method of service
26 study in accordance with the terms and conditions of a Method of
27 Service Study Agreement (the "Agreement"); and
28 WHEREAS, in order to perform the study, SCE is requiring the
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City to pay costs in advance in an estimated amount of $50,000.00; and
WHEREAS, the City Council of the City of Vernon has
determined that, pursuant to the provisions of subsection (a) of
Section 2.27 of the Vernon City Code, it is in the public interest and
necessity to enter into an agreement with SCE.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the recitals contained hereinabove are true
land correct.
SECTION 2: The City Council of the City of Vernon hereby
approves the Method of Service Study Agreement (66 kV Interconnection)
with the Southern California Edison Company, -a copy of which is
attached hereto as Exhibit A and incorporated by reference, and
approves the payment of costs in advance in the sum of $50,000.00.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the Mayor Pro Tem to execute said Agreement for, and on
behalf of, the City of Vernon and the Acting City Clerk is hereby
authorized to attest thereto.
SECTION 4: The City Council of the City of Vernon hereby
directs the Acting City Clerk, or his designee, to send by January 6,
2006, one fully executed Agreement together with the deposit of
$50,000.00 to:
Southern California Edison Company
Attn. Robert J. Lugo, Mgr., Grid Interconnection &
Contract Development
2244 Walnut Grove.Avenue
Rosemead, CA 91770
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SECTION 5: The Acting 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 4th day of January, 2006.
ATTEST:
l
BRUCE MALKENHORST, JR.
Acting City Clerk
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THOMAS A. Y ARRA, Mayor Pro Tem
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STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
)
ss
I, BRUCE V. MALKENHORST, JR., Acting City Clerk of the City of
Vernon, do hereby certify that the foregoing Resolution, being
Resolution No. 8942, was duly adopted by the City Council of the City
of Vernon at an adjourned regular meeting of the City Council duly held
on Wednesday, January 4, 2006, and thereafter was duly signed by the
Mayor Pro Tem of the City of Vernon.
(SEAL)
l
BRUC . MALKENHORST, JR.
Acting City Clerk
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EXHIBIT
VI&
CITY OF VERNON —
SOUTHERN CALIFORNIA EDISON COMPANY
METHOD OF SERVICE STUDY AGREEMENT
(66 kV Interconnection)
1. Summary: The City of Vernon ("Vernon") has requested an additional point of
interconnection to Southern California Edison Company's ("SCE") electrical system
via the tapping of the existing Laguna Bell - Leonis No. 166 kV line ("Point of
Interconnection") out of the Laguna Bell system. The Point of Interconnection will be
located on Heliotrope Avenue just north of 52"d Place in Maywood, California.
Vernon will use the Point of Interconnection to provide service from the Laguna Bell —
Leonis No. 166 kV line to a new customer substation that will have a maximum future
loading of 30 MW. SCE has determined that a method of service study is required to
determine the facilities and upgrades required to accommodate Vernon's request
("Study'). Accordingly, SCE and Vernon desire to enter into this Method of Service
Study Agreement ("Agreement") providing the terms for SCE to perform such Study.
2. Study Scone and Content: The Study will consist of the following:
a. Planning and design of the 66 kV line arrangements.
b. Protection analysis.
c. Load flow analysis.
d. A determination of whether the project is subject to General Order (G.O.) 131-D
requirements.
e. The identification of the equipment, .engineering, procurement and construction
work required on SCE's electrical system to accommodate the request.
f An , engineering, procuremen an
construction work to be charged to Vernon, and (ii) the time required to complete
construction of such equipment and work. The cost estimate will include an
estimate of the facilities cost (capital cost of the facilities) and one-time cost
(expenses not capitalized).
3. Assumptions: The assumptions utilized in performing the Study shall be as follows:
a. The Point of Interconnection will be located on Heliotrope Avenue just north of
52nd Place in the City of Maywood, California and will be used by Vernon to
provide service from the Laguna Bell — Leonis No. 166 kV line to a new customer
substation that will have a future maximum loading of 30 MW.
b. Vernon shall construct a new 66 kV substation within the City of Vernon,
approximately seventy (70) feet east of the Heliotrope Avenue.
c. Vernon shall install a 66/16 kV 30 MVA transformer.
d. SCE shall construct the required facilities from tap point on the Laguna Bell —
Leonis No. 166 kV line to the Point of Interconnection, unless SCE otherwise
determines though the Study process that SCE's construction is required to extend
to the new substation.
e. The technical data supplied by Vernon are complete and accurate.
f. A Vernon -requested in-service date of July 1, 2006; however, such assumption
shall be subject to change after Study results, permitting requirements, design, land
issues and material lead times are known, so that a more accurate determination
can be made. If SCE determines that the G.O. 131-D process is required for this
-2-
project, the in-service date of the project may be delayed for a minimum of two
years.
4. Time to Complete Study: SCE will use due diligence to complete the Study within
ninety (90) calendar days following receipt of a fully executed copy of this Agreement
and payment pursuant to Sections 10 and 12 of this Agreement.
— 5. Additional Time For Completion: At any time that SCE determines that the Study
cannot be completed within the time period specified in Section 3 of this Agreement,
SCE shall notify Vernon and provide an estimated completion date, along with an
explanation -of the reasons why additional time is required to complete the Study.
6. Exchange of Information: SCE and Vernon shall confer with one another as
necessary to exchange information that will provide for the most accurate analysis
possible with the information available at the time the Study is performed.
7. Third Party Review: The Study results will not reflect any review or analysis by any
third party.
8. Results Based on Information Available at Time of Study: Substantial portions of
technical data and assumptions used to perform the Study, such as system conditions,
existing and planned generation, and unit modeling, may change after SCE provides
the Study results to Vernon. Study results will reflect available data at the time SCE
provides the Study to Vernon. SCE shall not be responsible for any additional costs
(including, without limitation, costs of new or additional facilities, system upgrades, or
schedule changes) that may be incurred by Vernon as a result of changes in such data
or assumptions which occur following provision of this Study.
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9. New Study at Vernon's Costs: In the event that a new Study, or revision or
reconsideration of the Study, is required (a) as a result of information received from
any entity regarding any potential impact to a party's electrical system, or (b) to reflect
changes which occur following provision of this Study, then Vernon shall enter into a
separate agreement providing that it shall reimburse SCE for the costs of such new or
revised study.
10. Payment: Vernon shall pay the full cost for SCE to perform the Study as follows:
a. Vernon shall reimburse SCE for SCE's actual cost of performing the Study,
including labor and associated labor burden costs, materials and supplies, outside
services, and administrative and general expenses. SCE estimates that the cost of
the Study will be $50,000.
b. Vernon shall advance to SCE $50,000 for the Study upon execution of this
Agreement. SCE shall refund to Vernon, without interest, any amounts received
by SCE which exceed the cost of the Study. In the event that the actual costs to
perform the Study exceed $50,000, Vernon shall pay, without interest, any amounts
owed by Vernon within twenty (20) calendar days of receipt of SCE's notification
of the final Study costs and the associated invoice.
11. Records and Accounts: SCE shall maintain records and accounts of all costs incurred
in performing the Study in sufficient detail to allow verification of all costs incurred,
including, but not limited to, labor and associated labor burden costs, materials and
supplies, outside services, and administrative and general expenses. Vernon shall have
the right, upon reasonable notice, within a reasonable time at SCE's offices and at its
, own expense, to audit SCE's records as necessary and as appropriate in order to verify
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costs incurred by SCE. Any audit requested by Vernon shall be completed, and written
notice of any audit dispute provided to SCE's representative, within one hundred
eighty (180) calendar days following receipt by Vernon of SCE's notification of the
final Study costs.
12. Signature Clause: - This Agreement shall become effective on the date the fully
executed Agreement and payment pursuant to Section 10 of this Agreement are
received by SCE. If SCE does not receive the fully executed Agreement and payment
within fifteen (15) calendar, days of Vernon's receipt, then the offer reflected in this
Agreement will expire and this Agreement will be of no effect.
SOUTHERN CALIFORNIA EDISON COMPANY
Arrnvv w
STEPHEN E. PICKETT
Sr. Vice President and �-----
Gene CourtiseI By:
Ronald L. Litzinger
By Senior Vice President
ACCEPTED AND AGREED to this 4th day of
CITY OF VERNON
Name: Leonis C . Malburg
Title: Mayor
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January 2006
ATTEST:
By:
Bruce V. Malkenhorst, Jr.
Acting City Clerk
APPROVED AS TO FORM:
Eric T. Fresch, City Attorney
SUPPORTING
DOCUMENTS
r
CITY OF VERNON —
SOUTHERN CALIFORNIA EDISON COMPANY
METHOD OF SERVICE STUDY AGREEMENT
(66 kV Interconnection)
1. Summary: The City of Vernon ("Vernon") has requested an additional point of
interconnection to Southern California Edison Company's ("SCE") electrical system
via the tapping of the existing Laguna Bell - Leonis No. 166 kV line ("Point of
Interconnection") out of the Laguna Bell system. The Point of Interconnection will be
located on Heliotrope Avenue just north of 52nd Place in Maywood, California.
Vernon will use the Point of Interconnection to provide service from the Laguna Bell —
Leonis No. 166 kV line to a new customer substation that will have a maximum future
loading of 30 MW. SCE has determined that a method of service study is required to
determine the facilities and upgrades required to accommodate Vernon's request
("Study"). Accordingly, SCE and Vernon desire to enter into this Method of Service
Study Agreement ("Agreement") providing the terms for SCE to perform such Study.
2. Study Scope and Content: The Study will consist of the following:
a. Planning and design of the 66 kV line arrangements.
b. Protection analysis.
c. Load flow analysis.
d. A determination of whether the project is subject to General Order (G.O.) 131-D
requirements.
e. The identification of the equipment, engineering, procurement and construction
work required on SCE's electrical system to accommodate the request.
f. An estimate of (i) the cost of the equipment, engineering, procurement and
construction work to be charged to Vernon, and (ii) the time required to complete
construction of such equipment and work. The cost estimate will include an
estimate of the facilities cost (capital cost of the facilities) and one-time cost
(expenses not capitalized).
3. Assumutions: The assumptions utilized in performing the Study shall be as follows:
a. The Point of Interconnection will be located on Heliotrope Avenue just north of
52nd Place in the City of Maywood, California and will be used by Vernon to
provide service from the Laguna Bell — Leonis No. 166 kV line to a new customer
substation that will have a future maximum loading of 30 MW.
b. Vernon shall construct a new 66 kV substation within the City of Vernon,
approximately seventy (70) feet east of the Heliotrope Avenue.
c. Vernon shall install a 66/16 kV 30 MVA transformer.
d. SCE shall construct the required facilities from tap point on the Laguna Bell —
Leonis No. 166 kV line to the Point of Interconnection, unless SCE otherwise
determines though the Study process that SCE's construction is required to extend
to the new substation.
e. The technical data supplied by Vernon are complete and accurate.
f. A Vernon -requested in-service date of July 1, 2006; however, such assumption
shall be subject to change after Study results, permitting requirements, design, land
issues and material lead times are known, so that a more accurate determination
can be made. If SCE determines that the G.O. 131-D process is required for this
-2-
project, the in-service date of the project may be delayed for a minimum of two
years.
4. Time to Complete Stud*: SCE will use due diligence to complete the Study within
ninety (90) calendar days following receipt of a fully executed copy of this Agreement
and payment pursuant to Sections 10 and 12 of this Agreement.
5. Additional Time For Completion: At any time that SCE determines that the Study
cannot be completed within the time period specified in Section 3 of this Agreement,
SCE shall notify Vernon and provide an estimated completion date, along with an
explanation of the reasons why additional time is required to complete the Study.
6. Exchange of Information: SCE and Vernon shall confer with one another as
necessary to exchange information that will provide for the most accurate analysis
possible with the information available at the time the Study is performed.
7. Third Party Review: The Study results will not reflect any review or analysis by any
third party.
8. Results Based on Information Available at Time of Study: Substantial portions of
technical data and assumptions used to perform the Study, such as system conditions,
existing and planned generation, and unit modeling, may change after SCE provides
the Study results to Vernon. Study results will reflect available data at the time SCE
provides the Study to Vernon. SCE shall not be responsible for any additional costs
(including, without limitation, costs of new or additional facilities, system upgrades, or
schedule changes) that may be incurred by Vernon as a result of changes in such data
or assumptions which occur following provision of this Study.
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9. New Study at Vernon's Costs: In the event that a new Study, or revision or
reconsideration of the Study, is required (a) as a result of information received from
any entity regarding any potential impact to a party's electrical system, or (b) to reflect
changes which occur following provision of this Study, then Vernon shall enter into a
separate agreement providing that it shall reimburse SCE for the costs of such new or
revised study.
10. Payment: Vernon shall pay the full cost for SCE to perform the Study as follows:
a. Vernon shall reimburse SCE for SCE's actual cost of performing the Study,
including labor and associated labor burden costs, materials and supplies, outside
services, and administrative and general expenses. SCE estimates that the cost of
the Study will be $50,000.
b. Vernon shall advance to SCE $50,000 for the Study upon execution of this
Agreement. SCE shall refund to Vernon, without interest, any amounts received
by SCE which exceed the cost of the Study. In the event that the actual costs to
perform the Study exceed $50,000, Vernon shall pay, without interest, any amounts
owed by Vernon within twenty (20) calendar days of receipt of SCE's notification
of the final Study costs and the associated invoice.
11. Records and Accounts: SCE shall maintain records and accounts of all costs incurred
in performing the Study in sufficient detail to allow verification of all costs incurred,
including, but not limited to, labor and associated labor burden costs, materials and
supplies, outside services, and administrative and general expenses. Vernon. shall have
the right, upon reasonable notice, within a reasonable time at SCE's offices and at its
own expense, to audit SCE's records as necessary and as appropriate in order to verify
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costs incurred by SCE. Any audit requested by Vernon shall be completed, and written
notice of any audit dispute provided to SCE's representative, within one hundred
eighty (180) calendar days following receipt by Vernon of SCE's notification of the
final Study costs.
12. Signature Clause: This Agreement shall become effective on the date the fully
executed Agreement and payment pursuant to Section 10 of this Agreement are
received by SCE. If SCE does not receive the fully executed Agreement and payment
within fifteen (15) calendar days of Vernon's receipt, then the offer reflected in this
Agreement will expire and this Agreement will be of no effect.
SOUTHERN CALIFORNIA EDISON COMPANY
APPROVEv
STEFHEN E. PICt{ETT �
Sr. Vice President and
Gene Counsel By:
Ronald L. Litzinger
By „��, Senior Vice President
ACCEPTED AND AGREED to this 4th day of January , 2006
CITY OF VERNON
Name: I-
Thomas A. Ybarra
Title: Mayor pro-Tem
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ATT ST:
By:
Bruce V. Malkenhorst, Jr.
Acting City Clerk
APPROVED AS TO FORM:
c I- O�
Eric T. Friesch, Cit Attorney
fie
s
Ci T 7 CLEWS OFFICE
ICE
INTER -DEPARTMENT MEMORANDUM
DATE: December 29, 2005
TO: Sharon Johnson, Acting City Treasurer
FROM: Nelly Giron, Deputy City Clerk
RE: Southern California Edison
Method of Service Study Agreement - Matheson Tri-Gas
A request for approval of a Method of Service Study Agreement with
Southern California Edison for the 66kV Interconnection to provide
service to the Matheson Tri-Gas is on the agenda of the Council
Meeting of January 4, 2006. This agreement requires a payment of
$50,000.00 payable to Southern California Edison and is due on January
6, 2006.
Please have an early check ready upon approval of the City Council.
:ng
WTI SOUTHERN CALIFORNIA
ED1SON®
An EDISON INTERNATIONAL® Company
December 21, 2005
Mr. Jorge Somoano
Engineering Operations Manager
City of Vernon
4305 Santa Fe Avenue
Vernon, California 90058
Re: Method of Service Study Agreement for the 66 kV Interconnection
Dear Mr. Somoano:
Robert J. Lugo
Mgr., Grid Interconnection
& Contract Development
Agaµ
d 4 (0�
Enclosed, for execution by the City of Vernon ("Vernon"), is a Method of Service Study
Agreement ("Agreement") associated with your request for an additional point of interconnection
to Southern California Edison Company's ("SCE") electrical system via the tapping of the existing
Laguna Bell — Leonis No. 166 kV line. Such interconnection will be located in SCE's territory in
Maywood, California. Vernon will use this additional point of interconnection to provide service
to a new customer substation with a maximum future loading of 30 MW. The Method of Service
Study will determine the facilities and upgrades required for SCE to accommodate Vernon's
request. Vernon's requested in-service date for the interconnection is July 1, 2006.
Please have both originals of the Agreement signed and dated, keep one original and return the
other original to me along with a $50,000 payment deposit. Pursuant to Section 12 of the
Agreement, the executed Agreement and deposit are due to SCE by January 6, 2006.
If you have any questions regarding this letter, please contact Ms. Teri Kondo at (626) 302-8703.
Sincerely,
Robert J. Lugo
enclosures
P.O. Box 800
2244 Walnut Grove Ave.
Rosemead, CA 91770
626-302-8501/PAX 28501
Fax 626-302-1152
robert.lugo@sce.com
CITY OF VERNON
LIGHT & POWER
4305 SANTA FE AVENUE
VERNON, CALIFORNIA 90058-0805
(323) 583-9811
FOLIO NUMBER
502365
THE SM T DSU0MIS I0cts
PAY TO SOUTHERN CALIFORNIA EDISON
THE
ORDER OF
Bank of America CHECK
16/66 NUMBER 502365
u'50236518 1:1220006611: 116""059581'
cAuVrA cc ♦vc . vcDklr%kJ rAltPnOMIAannrp-mnS
CHECK DATE
01 1 03 06
CHECK AMOUNT
$50,000.00
VOID AFTER 90 DAYS
yr YICR1,1V1N
'ENDOR NO.
IL.v..• a. • - - -
VENDOR NAME
DATE CHECK ISSUED
CHECK NO.
002504
SOUTHERN CALIFORNIA EDISON
01/03/06
502365
CITY ACCOUNT NUMBER
YOUR INV. NO.
YOUR INV. DATE
PAYMENT DESCRIPTION
DISC. TAKEN
NET AMT. PAID
METHOD OF SERVICE STUDY AGREEMEM
501000.0(
MATHESON TRI GAS
FILE DATE: 01/08/06cm
City Clerk's Of f ice
Interoffice Memorandum
TO: Tony Baldere, Light & Power Consultant
g=cm: Nelly Giron, Deputy City Clerk
Data January 4, 2006
Re Southern California Edison Company
Method of Service Study Agreement
Dear Tony,
Attached is a fully executed original agreement, as referenced above,
approved by the Vernon City Council on January 41 2006. Also included
is Light & Power check no. 502365 in the amount of $50,000.00 in
accordance with Section 10.b of said agreement.
Please ensure proper transmittal in order to meet the deadline of
January 6, 2006.
:ng
Donal O'Callaghan
Resolution No. 8942
Agreement File No. 06-001