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Resolution No. 96971 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 RESOLUTION NO. 9697 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON TO ESTABLISH AND IMPLEMENT AN AMENDED ELECTRIC ENERGY FUEL COST ADJUSTMENT FACTOR, PROCEDURE AND COMPUTATION METHOD WHICH ESTABLISHES A FUEL COST ADJUSTMENT TO BE BILLED UNDER ALL RATE SCHEDULES FOR ENERGY TRANSMITTED, DISTRIBUTED, AND SUPPLIED TO CITY OF VERNON ELECTRICAL CONSUMERS WHEREAS, on June 2, 2008, the City Council of the City of Vernon adopted Resolution No. 9633 establishing an electric energy Fuel Cost Adjustment Billing Factor ("FCABF") effective July 1, 2008, and amending existing rate schedules to implement the FCABF; and WHEREAS, the City Council of the City of Vernon desires to approve, establish and implement an amended electric energy FCABF; and WHEREAS, the City Council of the City of Vernon finds that such adjustment is necessary for the sound financial position of the Light and Power operating funds; and WHEREAS, the implementation of the amended FCABF will be computed solely based on natural gas fuel costs, both purchased gas and embedded in purchased wholesale electric energy; and WHEREAS, the City Council of the City of Vernon intends to approve the amended FCABF effective September 1, 2008, in accordance with this Resolution and all of the exhibits attached hereto; and WHEREAS, the adoption of the amended FCABF shall continue until rescinded or amended by resolution of the City Council of the City of Vernon. 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 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 finds and determines that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby approves and adopts the Procedures attached hereto as Exhibit A and incorporated by reference and the Computation Sheets of the amended FCABF attached hereto as Exhibit B and incorporated by reference. SECTION 3: The effective date of the implementation of the amended FCABF shall be September 1, 2008, and shall continue until rescinded or amended by resolution of the City Council of the City of Vernon. SECTION 4: The amended FCABF shall be computed each month based on the City's actual prevailing natural gas cost for that month. Such cost may be from a combination of daily, monthly, and long-term prices. That cost will be measured against the base of $7.50 per MMBtu. Billing for the amended FCABF will be applied based on actual costs for the second previous month. For example, the amended FCABF applied to November bills will be based on actual costs from September. SECTION 5: All existing rate schedules have been amended to provide for the implementation of the amended FCABF, a copy of said rate schedules are attached hereto as Exhibit C and incorporated by reference._ SECTION 6: All resolutions, or parts of resolutions, specifically Resolution No. 9633, not consistent with or in conflict with this resolution are hereby repealed. - 2 - 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 SECTION 7: 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 18th day of August, 2008. ATTE T: MAN ELA GIRON, Cit Clerk Name: Hilario Gonzales Title:-r / Mayor Pro-Tem - 3 - 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 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) .I, MANUELA GIRON, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 9697, was duly adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, August 18, 2008, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. (SEAL) MANUELA G 0 , City Clerk - 4 - EXHIBIT A City of Vernon Procedures for Calculating the Fuel Cost Adjustment Billing Factor The Fuel Cost Adjustment Billing Factor (FCABF) will be applied based on kWh billed under all schedules to reflect changes in the cost of natural gas (Fuel) consisting of gas purchased from the Vernon Natural Gas Financing Authority; gas used for generation, including gas used at the Malburg Generation Station and the embedded cost (fuel cost) in purchased energy. The FCABF, expressed to the nearest $0.0001per kilowatt-hour (kWh), is to be calculated pursuant to the following equation: FCABF = FC + C Se Where, FCABF = Fuel cost Adjustment Billing Factor per Kilowatt Hour sold FC = Fuel cost and embedded fuel cost in purchased energy for the previous period C = Adjustment for Interruptible Service Under Recovery Se = Kilowatt Hours sold in the previous period FCABF Computation Sheet Schedule FCA-1 is attached to provide the computation sheet for all period once implementation is completed. Fuel Cost (FC) Items 1 through 4 represent the fuel cost and embedded fuel cost in purchased power which are to be used in computing the period's FCABF. This is the costs the City incurred in the second -previous month. Line 1 represents the incremental cost associated with the prepay gas program above the $7.50 per MMBtu base, including amounts payable to the Vernon Natural Gas Financing Authority and debt service on City obligations allocable to the payment of costs of the prepay gas program. Line 2 represents incremental gas cost for MGS generation, adjusted for the commodity swap, above the $7.50 per MMBtu base. Line 3 represents incremental gas cost for self -generation above the $7.50 per MMBtu base. Line 4 represents the embedded fuel cost in purchased power on the wholesale power market to serve load. It is computed by converting the MWhs purchased into equivalent MMBtu. It represents the cost of equivalent gas cost above the $7.50 per MMBtu base. Adjustment for Interruptible Service Under -Recovery ( C ) Represents the revenue short -fall from limiting the cost impact to Interruptible Service to 2.5 % increase over the prevailing average billing rate. EXHIBIT B FCA - I City of Vernon Fuel Cost Adjustment Computation Sheet For the Month of , 20 Fnal (net 1. Prepay Gas Program a. Volume of Pre -pay gas, MMBtu b. Variable cost per MMBtu under the Gas Supply Contract with VNGFA c. Base rate per MMBtu $7.50 d. Incremental Cost to be recovered,[ a * (b - c)] _ 2. MGS Gas Cost e. Volume of gas, MMBtu f. Market Index price per MMBtu g. Vernon base rate per MMBtu $7.50 h. Incremental cost before commodity swap,[ (e - a) * (f - g)] i. Commodity Swap Index Price per MMBtu j. Commodity Swap base rate per MMBtu $7.093 k. Commodity Swap cost adjustment [(a* 0.25)*(i j)] 1. Total Incremental Cost of MGS, [(h +k)] 3. Incremental Gas Cost for Self -Generation m. Volume of gas, MMBtu n. Market Index price per MMBtu o. Vernon base rate per MMBtu $7.50 p. Cost of incremental gas,[ m * (n - o)] 4. Embedded fuel cost in Purchased Power, Balance of Load q. Additional Power Purchased, MWh r. Average Market Heat Rate, MMBtu per MWh s. Equivalent Volume of gas, MMBtu, (q * r) t. Market Index price per MMBtu u. Vernon base rate per MMBtu $7.50 v. Cost of embedded fuel cost in purchased power,[ s * (t — u)] Adjustment for Interruptible Service Under -Recovery w. Fuel Cost (1+2+3+4) x. Total Kilowatt Hours Sold (Se) y. Prevailing Billing Rate (Interruptible), per KWh $ z. Interruptible Service Kilowatt Hours Sold aa. Under Recovery, ((w/x) - 0.025* y)*z Calculation of Factor bb. Fuel Cost, (1+2+3 +4) cc. Interruptible Service Under -Recovery, aa. dd. Kilowatt Hours Sold (Se) ee. Fuel Cost Adjustment Billing Factor, (bb + cc)/dd CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. D DOMESTIC SERVICE APPLICABILITY Applicable to domestic service including lighting, heating, cooking and power or combination thereof in a single-family accommodation. TERRITORY Within the city limits of the City of Vernon. RATES Per Meter Per Month Customer Charge .................................................... $1.85 Energy Charge (to be added to Customer Charge): All kWh, per kWh ....................................... 5.3640 Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. SPECIAL CONDITIONS 1. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 2. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. Schedule D Page 2 3. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Resolution No. 7062 Resolution No. 7557 Resolution No. 7638 Resolution No. 7689 Resolution No. 7747 Effective 12/06/83 Effective 01/01/98 Effective 07/01/00 Effective 10/01/00 Effective 01/01/01 Effective 05/01/01 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 _ Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. GS-1 GENERAL SERVICE APPLICABILITY Applicable to single- and three-phase general service including lighting and power. TERRITORY Within the city limits of the City of Vernon. RATES Customer Charge ............................................. Energy Charge All kWh, per kWh ................ ................ . Per Meter Per Month Summer Winter $8.62 $8.62 13.0820 12.1670 Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. SPECIAL CONDITIONS 1. Voltage: Service will be supplied at one standard voltage. 2. X-Ray Installations: Where the Utility installs the standard transformer capacity requested by a customer to service separately an X-ray installation, the billing will be increased by $1.03 per kVA of transformer capacity requested. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer prior to resuming service within twelve months after such service was discontinued will be required to pay all charges which would have been billed if service had not been discontinued. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule No. GS-1 Page 2 4., In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 5. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 6. Excess Transformer Capacity: The amount of transformer capacity requested by a customer which is in excess of the applicable standard transformer size determined by the Utility as required to serve the customer's measurable kilowatt demand. Excess transformer capacity shall be available to all customers under this schedule and shall be billed at $1.03 per kVA per month. 7. Seasons: The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. Removal or Modification of Equipment: Where transformers or facilities for services are ordered removed or modified by a customer and such services are restored within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal or modification of the transformers or facilities of the prior installation and the estimated cost of such reinstallation. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. GS-2 GENERAL SERVICE APPLICABILITY Applicable to single- and three-phase general service including lighting and power. This schedule is not applicable to customers with demands of 500 kW or higher for any three months during the preceding twelve months and for whom time of use recording meters have been installed. TERRITORY Within the city limits of the City of Vernon. RATES Per Meter Per Month Demand Charge: All kW of billing demand, per kW* ................................... $11.937 Energy Charge (to be added to Demand Charge): All kWh, per kWh ..................................................... 7.547¢ *(Subject to Contract Demand. See Special Condition No. 9.) Minimum Charge: The Demand Charge plus the Energy Charge shall be subject to a monthly minimum charge of $200.85. SPECIAL CONDITIONS 1. Voltage: Service will be supplied at one standard voltage. 2. Billing Demand: Billing demand shall be the kilowatts of maximum demand, determined to the nearest kW. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/61/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule No. GS-2 Page 2 3. Maximum Demand: The maximum demand in any month shall be the measured maximum average kilowatt input, indicated or recorded by instruments to be supplied by the Utility, during any 15-minute interval in the month. 4. _Voltage Discount: The charges including adjustment will be reduced by 3% for service delivered and metered at voltages of from 2 kV through 10 kV; by 4% for service delivered and metered at voltages of from 11 kV through 50 kV; except that when only one transformation from a transmission voltage level is involved, a customer normally entitled to a 3% discount will be entitled to a 4% discount. 5. Power Factor Adjustment: When the billing demand has exceeded 200 kW for three consecutive months, a kilovar-hour meter will be installed as soon as practical, and, thereafter, until the billing demand has been less than 150 kW for twelve consecutive months, the charges will be adjusted each month for power factor, as follows: The charges. will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 33 percent of the maximum number of kilowatts. The kilovars of reactive demand shall be calculated by multiplying the kilowatts of measured maximum demand by the ratio of the kilovar-hours to the kilowatt-hours. Demands in kilowatts and kilovars shall be determined to the nearest unit. A ratchet device will be installed on the kilovar-hour meter to prevent its reverse operation on leading power factors. 6. X-Ray Installations: Where the Utility installs the standard transformer capacity requested by a customer to serve separately an X-Ray installation, the minimum charge will be increased by $1.03 per kVA of transformer capacity requested. 7. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer prior to resuming service within twelve months after such service was discontinued will be required to pay all charges which would have been billed if service had not been discontinued. 8. Excess Transformer Capacity: The transformer capacity in excess of a customer's contract demand either required by the Utility because of the nature of the customer's load or requested by the customer. Excess transformer capacity shall be billed at $1.03 per kVA per month. Authorized by the City of Vernon Ordinance No. `940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule No. GS-2 Page 3 9. Contract Demand: A contract demand will be established by the Utility, based upon applicant's demand , requirements for any customer newly requesting service on this schedule and for any customer of record on this schedule who requests an increase or decrease in transformer capacity in accordance with the Light and Power Department Rules for Electric Service. A contract demand arrangement is available upon request for all customers of record on this schedule. Contract demand is based upon the nominal kilovolt - ampere rating of the Utility's serving transformer(s) or the standard transformer size determined by the kilowatt demand, whichever is less and is expressed in kilowatts. 10. Minimum Demand Charge: Where a contract demand is established, the monthly minimum demand charge shall be $1.03 per kilowatt of contract demand. 11. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 12. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 13. Recording Meters: A recording -type meter shall be installed for all customers purchasing under this schedule and having peak requirements of 500 kW or more. Customers having recording -type meters are not eligible to purchase under this schedule and must be transferred to Schedule No. TOU-V. 14. Removal or Modification of Equipment: Where transformers or facilities for services are ordered removed or modified by a customer and such services are restored within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal or modification of the transformers or facilities of the prior installation and the estimated cost of such reinstallation. 15. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. LS-1 LIGHTING -STREET AND HIGHWAY UTILITY -OWNED SYSTEM APPLICABILITY Applicable to street and highway lighting service supplied from overhead lines where the Utility owns and maintains the street lighting equipment. TERRITORY Within the city limits of the City of Vernon. RATES Energy Curtailment Service All Night Service Midnight or Per Lamp Per Equivalent Service Facilities Charge Lamp Size -Lumens Month Per Lamp Per Month Per Lamp Per Month High Pressure Sodium Vapor Lamps 5,800 Lumens $ 9.51 $ 8.87 $ 6.56 9,500 Lumens 11.02 9.86 6.74 16,000 Lumens 13.77 11.96 7.35 22,000 Lumens 16.13 13.68 7.78 25,500 Lumens 17.63 14.73 7.84 47,000 Lumens 24.92 19.87 8.20 Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 Schedule,No. LS-1 Page 2 SPECIAL CONDITIONS 1. Standard Equipment Furnished: Bracket or mast arm construction will be furnished. Where feasible with existing facilities, center suspension construction may be furnished. Enclosed luminaires will be furnished for lamps of 2,500 lumens, or larger, and open reflector lighting units will be furnished for lamps of 1,000 lumens. Such standard lighting equipment will be attached to wood poles. 2. Other than Standard Equipment: Where the customer requests the installation of other than the standard equipment furnished by the Utility and such requested equipment is acceptable to the Utility, the Utility will install the requested equipment provided the customer agrees to advance the estimated difference in cost installed between such equipment and standard equipment. Advances made in connection with such agreements become and remain the sole property of the Utility; as do the said equipment. 3. Hours of Service: Under the Utility's standard all night operating schedule approximately 4,140 hours of service per year will be furnished. 4. Removal or Modification of Equipment: Where street lighting service and facilities were ordered removed or modified by a customer and such services and facilities, or their equivalent, are ordered reinstalled within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of such reinstallation a nonrefundable amount equal to the cost of removal or modification of the prior facilities and the estimated cost of such reinstallation. Facilities removed or installed remain the sole property of the Utility. 5. Energy Curtailment Service: a. Where the Customer requests the installation and/or removal of equipment in order to obtain Energy Curtailment Service, and such request is acceptable to the Utility, the Utility will comply with such request provided the customer first agrees to pay to the Utility the estimated installation cost for any additional equipment required and/or the removal cost of any equipment currently installed. Such payments will not be refunded and shall be paid in advance or in installments acceptable to Utility over a period of not to exceed three years. Facilities installed in connection with such request become and remain the sole property of the Utility. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule No. LS-1 Page 3 b. Under the Utility's midnight (PST) or equivalent service operating schedule, approximately 2,090 hours of service per year will be furnished. c. Facilities charges shall be applicable under this schedule only when the Utility has been requested to discontinue the existing service by the customer and the customer has stipulated that the facilities are to be left in place for future use. 6. In -Lieu of Tax and Franchise Pam: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 7. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. b. Under the Utility's midnight (PST) or equivalent service operating schedule, approximately 2,090 hours of service per year will be furnished. c. Facilities charges shall be applicable under this schedule only when the Utility has been requested to discontinue the existing service by the customer and the customer has stipulated that the facilities are to be left in place for future use. 6. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 7. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 8. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. LS-2 LIGHTING -STREET AND HIGHWAY CUSTOMER -OWNED INSTALLATION APPLICABILITY Applicable to service for the lighting of streets, highways, other public thoroughfares, and publicly -owned and publicly -operated automobile parking lots which are open to the general public, where the customer owns the street lighting equipment. TERRITORY Within the city limits of the City of Vernon. RATES RATE A-UNMETERED SERVICE: For each kW of lamp load, per kW RATE B-METERED SERVICE: Meter Charge: Multiple Service Series Service Per Month All Night Service Midnight Service Multiple Series Multiple Series $31.97 $41.56 $18.61 $22.60 Per Meter Per Month ......................... $ 5.52 ......................... $14.70 Energy Charge (to be added to Meter Charge): All kWh, per kWh ......................... RATE C-MAINTENANCE SERVICE -OPTIONAL: In addition to the Rate A or Rate B charges. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 9.0030 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 Schedule No. LS-2 Page 2 Lamp Rating Per Lamp Lumens Lamp Type Per Month 1,000* Incandescent Extended Service .................................... $0.36 2,500* Incandescent Extended Service .................................... 0.41 4,000* Incandescent Extended Service .................................... 0.43 6,000* Incandescent Extended Service .................................... 0.45 10,000* Incandescent Extended Service .................................... 0.48 3,500* Mercury Vapor .................................... 0.39 7,000* Mercury Vapor .................................... 0.36 11,000* Mercury Vapor .................................... 0.43 20,000* Mercury Vapor .................................... 0.39 35,000* Mercury Vapor .................................... 0.59 55,000* Mercury Vapor .................................... 0.53 5,800 High Pressure Sodium Vapor .................................... 0.86 9,500 High Pressure Sodium Vapor .................................... 0.86 16,000 High Pressure Sodium Vapor .................................... 0.84 22,000 High Pressure Sodium Vapor .................................... 0.85 25,500 High Pressure Sodium Vapor .................................... 0.85 47,000 High Pressure Sodium Vapor .................................... 0.87 SPECIAL CONDITIONS 1. Ownership of Facilities: a. For multiple systems, the Utility will deliver service 120/240 volt overhead circuits. For series systems the Utility will furnish and maintain constant current regulating transformers and deliver service at the secondary side of such transformers. b. The customer will furnish and maintain all utilization equipment beyond the point of delivery except for maintenance service provided by the Utility in accordance with Special Condition 3. c. Meter locations for multiple systems shall be at points mutually agreed upon. Meter locations for series systems shall be on the primary supply circuit to the constant current regulating transformer at a point acceptable to the Utility. *Closed to new installation as of November 1, 1997 Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule No. LS-2 Page 3 2. Lamp Load: The lamp load for regular (general purpose) multiple incandescent lamps shall be the manufacturers' lamp rating in watts. The lamp load in watts for lumen rated street lighting lamps shall be as follows: HIGH PRESSURE MERCURY SODIUM VAPOR PRESSURE INCANDESCENT MULTIPLE SERIES GROUP GROUP EXTENDE REPLACEMENT EXTENDE D D LUMENS REGULAR REPLACEMENT sys. REGULAR Svc. sys. MULT.. SERIE s Watts Watts Watts Watts Watts Watts Watts Watts Watts 600* 55 58 42 45 800* -- -- -- 57 -- -- 1000* 85 92 103 62 65 73 2500* 175 189 202 143 152 164 3500* -- -- 327 -- -- -- 125 4000* 268 295 -- 210 -- 251 -- 5800* -- -- -- -- 220 -- 82 85 6000* 370 405 448 310 325 364 -- -- -- 7000* -- -- -- -- -- -- 208 -- -- 9500 -- -- -- -- -- -- -- 140 121 10000* 575 620 690 525 558 605 -- -- -- 11000* -- -- -- 292 15000* 800 860 755 822 447 16000 -- -- -- -- -- 202 174 20000* 447 -- -- 22000 -- -- 248 233 25000* 1,275 -- -- 25500 -- -- 320 35000* 753 -- 47000 -- 485 55000* 1,058 -- Total lamp load shall be determined to the nearest 1/10 kW. *Closed to new installation as of November 1, 1997. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 8294 Effective 11/01/03 Resolution No. 8746 Effective 06/01/05 Resolution No. 9054 Effective 11/01/06 Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule No. LS-2 Page 4 3. Maintenance Service: Maintenance service furnished by the Utility under Rate C for the lamps specified shall include the following: a. Renewal of lamps after the original installation by the customer. b. Regular inspection. C. Periodic cleaning of globes. d. Labor of replacing lamps and globes. Incandescent lamps furnished under this provision will be extended service lamps only. Mercury vapor lamps and high pressure sodium vapor lamps furnished under this provision will be as specified by the Utility. Globes for renewal shall be furnished by the customer. Maintenance service will be furnished only where, in the opinion of the Utility, no undue hazard or expense will result because of location, mounting height, or other reasons. 4. Switching Facilities: For all night or midnight (Pacific Standard Time) service under the Utility's standard operating schedules, the Utility will furnish, maintain, and operate the necessary switching facilities. For other operating schedules, the customer shall furnish, maintain, and operate switching facilities as specified by'the Utility and take metered service under Rate B. 5. Hours of Service: Under the Utility's standard all night operating schedule, approximately 4,140 hours of service per year will be furnished and under the Utility's standard midnight (Pacific Standard Time) operating schedule approximately 2,090 hours of service per year will be furnished. 6. Removal of Equipment: Where street lighting service and facilities were ordered removed by a customer and such service and facilities, or their equivalent, are ordered reinstalled within 36 months from the date of the order to remove, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal of the prior facilities and the estimated cost of such reinstallation. Utility -owned facilities removed or installed remain the sole property of the Utility. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule No. LS-2 Page 5 7. Energy Curtailment Service: Where the customer requests the installation and/or removal of equipment in order to curtail energy requirements, and such request is acceptable to the Utility, the Utility will comply with such request provided the customer first agrees to pay to Utility the estimated cost installed or any additional equipment required and/or the removal cost of any equipment currently installed. Such payments will not be refunded and shall be paid in advance or in installments acceptable to Utility over a period of not to exceed three years. Facilities installed in connection with such requests become and remain the sole property of the Utility. 8. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 9. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 10. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. OL-1 OUTDOOR AREA LIGHTING SERVICE APPLICABILITY Applicable to outdoor area lighting service, other than street and highway lighting service, supplied from overhead lines where the Utility owns and maintains the area lighting equipment. TERRITORY Within the city limits of the City of Vernon. RATES LUMINAIRE CHARGE: Energy Curtailment Service Midnight or All Night Service Equivalent Service Facilities Charge Lamp Size -Lumens Per Lamp Per Month Per Lamp Per Month Per Lamp Per Month High -Pressure Sodium Vapor Lamps 5,800 Lumens $ 9.83 $ 9.25 $6.61 9,500 Lumens $11.51 $10.45 $6.80 22,000 Lumens $17.18 $14.82 $7.84 POLE CHARGE (to be added to Luminaire Charge): Per Pole PPr Mnnth For each additional new wood pole installed: $3.17 Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule OL-1 Page 2 SPECIAL CONDITIONS 1. Hours of Service: Area all night lighting service will be furnished from dusk to dawn, approximately 4,140 hours per year, by Utility -owned luminaires supplied from the Utility's existing 120/240 volt overhead circuits and mounted on existing Utility -owned wood poles as standard equipment. 2. Other Than Standard Equipment: Where the customer requests the installation of other than the standard equipment furnished by the Utility and such requested equipment is acceptable to the Utility, the Utility will install the requested equipment provided the customer agrees to advance the estimated difference in installation cost installed between such equipment and standard equipment. Advances made for this purpose will not be refunded. Facilities installed in connection with such agreements become and remain the sole property of the Utility. Utility will provide customer with adjusted per lamp charges and customer will pay such charges. 3. Service and Facilities Furnished: This service will be in accordance with Utility's specifications as to the equipment, installation, maintenance, and operation. 4. Replacement of Lamps: The Utility will replace lamps on a scheduled basis, and individual lamps will be replaced upon service failure, as soon as practical after notification by customer, subject to Utility's operating schedules. 5. Contract: A written contract for a term of three year will be required by the Utility when service is first established under this schedule. 6. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 7. Public Benefits Charge: A_mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 8. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. PA-1 POWER -AGRICULTURAL AND PUMPING CONNECTED LOAD BASIS APPLICABILITY Applicable to power service for general agricultural purposes or for general water or sewerage pumping. TERRITORY Within the city limits of the City of Vernon. RATES Horsepower of Connected Load Monthly Service Charge Per Meter Per Meter Per hp 2 and over ................................................ $1.22 Energy Charge to be added to Service Charge -Rate All kWh, per kWh ................................................ 12.0700 Minimum Charge: The monthly minimum charge shall be the monthly Service Charge. SPECIAL CONDITIONS 1. Voltage: Service will be supplied at one standard power voltage. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 8746 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9054 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9430 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9633 Effective 09/01/08 Schedule PA-1 Page 2 2. Connected Load: Connected load is the sum of the rated capacities of all of the customer's equipment that it is possible to connect to the Utility's lines at the same time, determined to the nearest 1/10 hp. In no case will charges be based on less than 2 hp for single-phase service or no less than 3 hp for three-phase service. The rated capacity of the customer's equipment will be the rated horsepower output of standard rated motors, and the rated kilovolt -ampere input capacity of other equipment, with each kilovolt -ampere of input considered equal to one horsepower. Normally such ratings will be based on the manufacturer's rating as shown on the nameplate or elsewhere but may, at the option of the Utility, be based on tests or other reliable information. 3. Overloaded Motors: Whenever, upon test, any motor under normal operating conditions is found to be delivering more than 115 percent of its capacity as indicated by its nameplate rating, the Utility may disregard the nameplate rating and base its charges upon the output as calculated from test. Any motor which is billed on a basis in excess of its nameplate rating in accordance with this special condition shall be rested at intervals to be determined by the Utility or upon notification by the customer of a permanent change in operating conditions. 4. Temporary Reduction of Connected Load: Where the use of energy is seasonal or intermittent, no adjustment will be made for any temporary reduction of connected load. Any customer, prior to resuming service on such connected load within 12 months after it was disconnected, will be required to pay all charges which would have been billed if the temporary reduction of connected load had not been made. 5. In -Lieu Tax and Franchise Pam: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 6. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 7. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B., Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 8746 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9054 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9430 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9633 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. PA-2 POWER -AGRICULTURAL AND PUMPING DEMAND BASIS APPLICABILITY Applicable to power service for general agricultural purposes for general water or sewerage pumping. Service under this schedule is subgect to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES Per Meter Per Month Demand Charge: First 75 kW or less of billing demand $642.92 All excess kW of billing demand, per kW $ 8.572 Energy Charges (to be added to Demand Charge): All kWh per kWh 9.276¢ Minimum Charge: The monthly minimum charge shall be the monthly Demand Charge. SPECIAL CONDITIONS 1. Voltage: Service will be supplied at one standard voltage. 2. Billing Demand: The billing demand shall be the kilowatts of maximum demand but not less than 50% of the highest maximum demand established in the preceding eleven months, however, in no case shall the billing demand be less than 75 kW. Billing demand shall be determined to the nearest kW. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule PA-2 Page 2 3. Maximum Demand: The maximum demand in any month shall be the measured maximum average kilowatt input, indicated or recorded by instruments to be supplied by the Utility, during any 15-minute metered interval in the month. Where demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used. 4. Power Factor Adjustment: When the billing demand has exceeded 200 kW for three consecutive months, a kilovar-hour meter will be installed as soon as practical, and, thereafter, until the billing demand has been less than 150 kW for twelve consecutive months, the charges will be adjusted each month for power factor, as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 33 percent of the maximum number of kilowatts. The kilovars of reactive demand shall be calculated by multiplying the kilowatts of measured maximum demand by the ratio of the kilovar-hours to the kilowatt- hours. Demand in kilowatts and kilovars shall be determined to the nearest unit. A ratchet device will be installed on the kilovar-hour meter to prevent its reverse operation on leading power factors. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer, prior to resuming service within twelve months after such service was discontinued, will be required to pay all charges which would have been billed if service had not been discontinued. 6. In -Lieu of Tax and Franchise Pam: The base rates and charges have been increased by 3` percent to reflect payments in -lieu of tax and franchise payments. 7. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. Excess Transformer. Capacity: The transformer capacity in excess of a customer's contract demand which is either required by the Utility because of the nature of the customer's load or requested by the customer. Excess transformer capacity shall be billed at $1.03 per kVA per month. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule PA-2 Page 3 9. Contract Demand: A contract demand will be established by the Utility, based on applicant's demand requirements for any customer of record on this schedule who requests an increase or decrease in transformer capacity in accordance with the Light and Power Department Rules for Electric Service. A contract demand arrangement is available upon request for all customers of record on this schedule. Contract demand is based upon the nominal kilovolt -ampere rating of the Utility's serving transformer(s) or the standard transformer size determined by the Utility as required to serve the customer's stated measurable kilowatt demand, whichever is less and is expressed in kilowatts. 10. Minimum Demand Charge: Where a contract demand is established, the monthly minimum demand charge shall be $1.03 per kilowatt of contract demand. 11. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. PA-TOU POWER -AGRICULTURAL AND PUMPING TIME -OF -USE APPLICABILITY Applicable to power service for general agricultural purposes for general water or sewerage pumping. Service under this schedule is elective for customers with a monthly maximum demand that exceeds 100 kW for three months during the preceding twelve months but are less than 500 kW for any nine months during the preceding twelve months. Service under this schedule is subject to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES Customer Charge Per Meter Per Month $189.64 Demand Charge (to be added to Customer Charge): All kW of on -peak maximum billing demand, per kW $ 12.644 Plus all kW of mid -peak maximum billing demand, per kW $ 1.962 Plus all kW of off-peak billing demand, per kW No Charge* Energy Charge (to be added to Demand Charge): All on -peak kWh, per kWh 6.3640 Plus all mid -peak kWh, per kWh 5.9660 Plus all off-peak kWh, per kWh 5.3690 *(Subject to Minimum Demand Charge. See Special Condition No. 11.) Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule PA-TOU Page 2 SPECIAL CONDITIONS Time Period: Time Periods are defined as follows: On -Peak: 1:00 p.m. to 7:00 p.m. Summer Weekdays except holidays 5:00 p.m. to 10:00 p.m. Winter weekdays except holidays Mid -Peak 9:00 a.m. to 1:00 p.m. and 7:00 p.m. to 11:00 p.m. Summer weekdays except holidays 8:00 a.m. to 5:00 p.m. Winter weekdays except holidays Off -Peak: All other hours: Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off-peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. 2. Voltage: Service will be supplied at one standard voltage. Billing Demand: The billing demand shall be the kilowatts of maximum demand but not less than 25% of the highest maximum demand established in the preceding eleven months, however, in no case shall the billing demand be less than 50 kW. Billing demand shall be determined to the nearest kW. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 - Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule PA-TOU Page 3 4. Maximum Demand: The maximum demand in any month shall be the measured maximum average kilowatt input, indicated or recorded by instruments to be supplied by the Utility, during any 15-minute metered interval in the month. Where demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used. 5. Power Factor Adjustment: When the billing demand has exceeded 200 kW for three consecutive months, a kilovar-hour meter will be installed as soon as practical, and, thereafter, until the billing demand has been less than 150 kW for twelve consecutive months, the charges will be adjusted each month for power factor, as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 33 percent of the maximum number of kilowatts. The kilovars of reactive demand shall be calculated by multiplying the kilowatts of measured maximum demand by the ratio of the kilovar-hours to the kilowatt-hours. Demand in kilowatts and kilovars shall be determined to the nearest unit. A ratchet device will be installed on the kilovar-hour meter to prevent its reverse operation on leading power factors. 6. Temporary Discontinuance of Service: Where the use of energy seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer, prior to resuming service within twelve months after such service was discontinued, will be required to pay all charges which would have been billed if service had not been discontinued. 7. In -Lieu of Tax and Franchise Pam: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 8. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 9. Excess Transformer Capacity: The transformer capacity in excess of a customer's contract demand which is either required by the Utility because of the nature of the customer's load or requested by the customer. Excess transformer capacity shall be billed at $1.03 per kVA per month. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule PA-TOU Page 4 10. Contract Demand: A contract demand will be established by the Utility, based on applicant's demand requirements for any customer of record on this schedule who requests an increase or decrease in transformer capacity in accordance with the Light and Power Department Rules for Electric Service. A contract demand arrangement is available upon request for all customers of record on this schedule. Contract demand is based upon the nominal kilovolt -ampere rating of the Utility's serving transformer(s) or the standard transformer size determined by the Utility as required to serve the customer's stated measurable kilowatt demand, whichever is less and is expressed in kilowatts. 11. Minimum Demand Charge: Where a contract demand is established, the monthly minimum demand charge shall be $1.03 per kilowatt of contract demand. 12. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TC-1 TRAFFIC CONTROL SERVICE APPLICABILITY Applicable to single-phase service for traffic -directional signs or traffic -signal systems located on streets, highways and other public thoroughfares and to railway crossing and track signals. TERRITORY Within the city limits of the City of Vernon. RATES Per Meter Per Month Customer Charge: ............................................ $5.82 Energy Charge (to be added to Customer Charge): All kWh, per kWh ............................................ 10.7400 Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. SPECIAL CONDITIONS 1. Voltage: Service will be supplied at one standard voltage not in excess of 240 volts or, at the option of the Utility, at 240/480 volts, three -wire, single-phase. 2. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 3. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 4. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 8294 Effective 11/01/03 Resolution No. 7062 Effective 01/01/98 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU GS-1 GENERAL SERVICE APPLICABILITY Applicable to single and three-phase general service including lighting and power. Service under this schedule is elective for all customers taking service under Schedule GS-1. Service under this schedule is subject to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct July, August, Sept Nov. thru April Customer Charge $8.62 $8.62 $8.62 Meter Charge $7.25 $7.25 $7.25 Energy Charge: All on -peak kWh, per kWh 17.9660 29.5790 11.8550 Plus all mid -peak kWh, per kWh 12.6530 15.7920 11.3300 Plus all off-peak kWh, per kWh 9.534¢ 11.5080 9.503¢ Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. SPECIAL CONDITIONS 1. Time Period: Time Periods are defined as follows: On -Peak Mid -Peak Off -Peak 1:00 p.m. to 7:00 p.m. 9:00 a.m. to 1:00 p.m. and All other hours Summer Weekdays except holidays 7:00 p.m. to 11:00 p.m. 5:00 p.m. to 10:00 p.m. Summer weekdays except holidays Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 0 Schedule TOU GS-1 Page 2 Winter weekdays except holidays 8:00 a.m. to 5:00 p.m. Winter weekdays except holidays Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off-peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. 2. Voltage: Service will be supplied at one standard voltage. 3. X-Ray Installations: Where the Utility installs the standard transformer capacity requested by a customer to service separately an X-ray installation, the billing will be increased by $1.03 per kVA of transformer capacity requested. 4. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer prior to resuming service within twelve months after such service was discontinued will be required to pay all charges which would have been billed if service had not been discontinued. 5. In -Lieu of Tax and Franchise Pam: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 6. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 7. Excess Transformer Capacity: The amount of transformer capacity requested by a customer which is in excess of the applicable standard transformer size determined by the Utility as required to serve the customer's measurable kilowatt demand. Excess transformer capacity shall be available to all customers under this schedule and shall be billed at $1.03 per kVA per month. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU GS-1 Page 3 8. Removal or Modification of Equipment: Where transformers or facilities for services are ordered removed or modified by a customer and such services are restored within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal or modification of the transformers or facilities of the prior installation and the estimated cost of such reinstallation. 9. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU GS-2 GENERAL SERVICE APPLICABILITY Applicable to single- and three-phase general service including lighting and power. Service under this schedule is elective for all customers taking service under Schedule GS-2. This schedule is not applicable to customers with demands of 500 kW or higher for any three months during the preceding twelve. Service under this schedule is subject to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct July, August, t, Sept Nov. thru April Meter Charge $ 17.33 $ 17.33 $17.33 Demand Charge (per kW):. $11.936 $11.936 $11.936 Energy Charge: All on -peak kWh, per kWh 8.295¢ 9.8810 8.600¢ Plus all mid -peak kWh, per kWh 7.9700 8.768¢ 7.896¢ Plus all off-peak kWh, per kWh 6.1740 7.046¢ 6.8250 *(Subject to Contract Demand. See Special Condition No. 9.) Minimum Charge: The Demand Charge plus the Energy Charge shall be subject to a monthly minimum charge of $210.90. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 SPECIAL CONDITIONS 1. Time Period: Time Periods are defined as follows: On -Peak Mid -Peak 1:00 p.m. to 7:00 p.m. Summer Weekdays except holidays 5:00 p.m. to 10:00 p.m. Winter weekdays except holidays 9:00 a.m. to 1:00 p.m. and 7:00 p.m. to 11:00 p.m. Summer weekdays except holidays 8:00 a.m. to 5:00 p.m. Winter weekdays except holidays Schedule TOU GS-2 Page 2 Off -Peak All other hours Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When' any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off --peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. 2. Voltage: Service will be supplied at one standard voltage. 3. Billing Demand: Billing demand shall be the kilowatts of maximum demand, determined to the nearest kW. 4. Billing Demand: Billing demand shall be the kilowatts of maximum demand, determined to the nearest kW. 5. Maximum Demand: The maximum demand in any month shall be the measured maximum average kilowatt input, indicated or recorded by instruments to be supplied by the Utility, during any 15-minute interval in the month. 6. Voltage Discount: The charges including adjustment will be reduced by 3% for service delivered and metered at voltages of from 2 kV through 10 kV; by 4% for service delivered and metered at voltages of from 11 kV through 50 kV; except that when only one transformation from a transmission voltage Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU GS-2 Page 3 level is involved, a customer normally entitled to a 3% discount will be entitled to a 4% discount. 7. Power Factor Adjustment: When the billing demand has exceeded 200 kW for three consecutive months, a kilovar-hour meter will be installed as soon as practical, and, thereafter, until the billing demand has been less than 150 kW for twelve consecutive months, the charges will be adjusted each month for power factor, as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 33 percent of the maximum number of kilowatts. The kilovars of reactive demand shall be calculated by multiplying the kilowatts of measured maximum demand by the ratio of the kilovar-hours to the kilowatt-hours. Demands in kilowatts and kilovars shall be determined to the nearest unit. A ratchet device will be installed on the kilovar-hour meter to prevent its reverse operation on leading power factors. 8. X-Ray Installations: Where the Utility installs the standard transformer capacity requested by a customer to serve separately an X-Ray installation, the minimum charge will be increased by $1.03 per kVA of transformer capacity requested. 9. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer prior to resuming service within twelve months after such service was discontinued will be required to pay all charges which would have been billed if service had not been discontinued. 10. Excess Transformer Capacity: The transformer capacity in excess of a customer's contract demand either required by the Utility because of the nature of the customer's load or requested by the customer. Excess transformer capacity shall be billed at $1.03 per kVA per month. 11. Contract Demand: A contract demand will be established by the Utility, based upon applicant's demand requirements for any customer newly requesting service on this schedule and for any customer of record on this schedule who requests an increase or decrease in transformer capacity in accordance with the Light and Power Department Rules for Electric Service. A contract demand arrangement is available upon request for all customers of record on this schedule. Contract demand is based upon the nominal kilovolt - ampere rating of the Utility's serving transformer(s) or the standard transformer size determined by the kilowatt demand, whichever is less and is expressed in kilowatts. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU GS-2 Page 4 12. Minimum Demand Charge: Where a contract demand is established, the monthly minimum demand charge shall be $1.03 per kilowatt of contract demand. 13. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 14. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 15. Removal or Modification of Equipment: Where transformers or facilities for services are ordered removed or modified by a customer and such services are restored within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal or modification of the transformers or' facilities of the prior installation and the estimated cost of such reinstallation. 16. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU PA-1 POWER -AGRICULTURAL AND PUMPING CONNECTED LOAD BASIS APPLICABILITY Applicable to power service for general agricultural purposes or for general water or sewerage pumping. Service under this schedule is elective for all customers taking service under Schedule PA-1. Service under this schedule is subject to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct JulAugust, Sept Nov. thru April Customer Charge (per Horse Power of Connected Load) $ 1.23 $ 1.23 $ 1.23 Meter Charge $17.33 $17.33 $17.33 Demand Charge: Energy Charge: All on -peak kWh, per kWh 17.5670 29.1800 11.4560 Plus all mid -peak kWh, per kWh 12.2540 15.3930 10.9310 Plus all off-peak kWh, per kWh 9.1350 11.1090 9.104¢ Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU PA-1 Page 2 SPECIAL CONDITIONS Time Period: 1. Time Periods are defined as follows: On -Peak Mid -Peak Off -Peak 1:00 p.m. to 7:00 p.m. 9:00 a.m. to 1:00 p.m. and All other hours Summer Weekdays except holidays 7:00 p.m. to 11:00 p.m. 5:00 p.m. to 10:00 p.m. Summer weekdays except holidays Winter weekdays except holidays 8:00 a.m. to 5:00 p.m. Winter weekdays except holidays Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off-peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. 2. Voltage: Service will be supplied at one standard power voltage 3. Connected Load: Connected load is the sum of the rated capacities of all of the customer's equipment that it is possible to connect to the Utility's lines at the same time, determined to the nearest 1/10 hp. In no case will charges be based on less than 2 hp for single-phase service or no less than 3 hp for,,three-phase service. The rated capacity of the customer's equipment will be the rated horsepower output of standard rated motors, and the rated kilovolt -ampere input capacity of other equipment, with each kilovolt -ampere of input considered equal to one horsepower. Normally such ratings will be based on the manufacturer's rating as shown on the nameplate or elsewhere but may, at the option of the Utility, be based on tests or other reliable information. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU PA-1 Page 3 4. Overload Motors: Whenever, upon test, any motor under normal operating conditions is found to be delivering more than 115 percent of its capacity as indicated by its nameplate rating, the Utility may disregard the nameplate rating and base its charges upon the output as calculated from test. Any motor which is billed on a basis in excess of its nameplate rating in accordance with this special condition shall be rested at intervals to be determined by the Utility or upon notification by the customer of a permanent change in operating conditions. 5. Temporary Reduction of Connected Load: Where the use of energy is seasonal or intermittent, no adjustment will be made for any temporary reduction of connected load. Any customer, prior to resuming service on such connected load within 12 months after it was disconnected, will be required to pay all charges which would have been billed if the temporary reduction of connected load had not been made. 6. In -Lieu and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 7. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 8. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU-D DOMESTIC SERVICE APPLICABILITY Applicable to domestic service including lighting, heating, cooking and power or combination thereof in a single-family accommodation. Service under this schedule is elective for all customers taking service under Schedule D. Service under this schedule is subject to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct JulAugust, Sept Nov. thru April Customer Charge $1.85 $1.85 $1.85 Meter Charge $3.15 $3.15 $3.15 Energy Charge: All on -peak kWh, per kWh 16.7650 16.7060 3.9590 Plus all mid -peak kWh, per kWh 3.9590 3.959¢ 3.9590 Plus all off-peak kWh, per kWh 3.9590 3.959¢ 3.9590 The monthly minimum charge shall be the monthly Customer Charge. SPECIAL CONDITIONS 1. Time Period: Time Periods are defined as follows: - ,-, - 1 1:00 p.m. to 7:00 p.m. Summer Weekdays except holidays 5:00 p.m. to 10:00 p.m. Winter weekdays except holidays Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Mid -Peak 9:00 a.m. to 1:00 p.m. and 7:00 p.m. to 11:00 p.m. Summer weekdays except holidays 8:00 a.m. to 5:00 p.m. Off -Peak All other hours .Schedule No. TOU-D Page 2 Winter weekdays except holidays Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off-peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. 2. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 3. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 4. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU-G GENERAL SERVICE -LARGE APPLICABILITY Applicable to single- and three-phase general service including lighting and power. Service under this schedule is elective for customers served under Schedule No. GS-2 with a monthly maximum demand that exceeds 100 kW for three months during the preceding twelve months but is less than 500 kW for any nine months during the preceding twelve months. Service under this schedule is elective for all existing customers with time of use metering who have been taking service under Schedule TOU- V with a monthly maximum demand that exceeds 100 kW for three months during the preceding twelve months but is less than 500 kW for any nine months during the preceding 12 months. Service under this schedule is subject to meter availability. TERRITORY Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct July. August, Sept Nov. thru April Customer Charge $189.64 $189.64 $189.64 Demand Charge (to be added to Customer Charge): All kW of on -peak maximum billing demand, per kW $ 10.699 $ 12.645 $ 10.699 Plus all kW of mid -peak maximum billing demand, Per kW 1.962 1.962 1.962 Plus all kW of off-peak billing demand, per kW No Charge* No Charge* No Charge* Energy Charge (to be added to Demand Charge): All on -peak kWh, per kWh 6.337¢ 7.900¢ 6.3770 Plus all mid -peak kWh, per kWh 5.9390 7.5020 5.939¢ Plus all off-peak kWh, per kWh 5.3420 6.1540 5.342¢ *(Subject to Minimum Demand Charge. See Special Condition No. 9.) Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7248 Effective 01/01/99 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 7841 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 10/01/01 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 Schedule TOU-G Page 2 SPECIAL CONDITIONS 1. Time Period: Time Periods are defined as follows: On -Peak 1:00 p.m. to 7:00 p.m. Summer Weekdays except holidays 5:00 p.m. to 10:00 p.m. Winter weekdays except holidays Mid -Peak 9:00 a.m. to 1:00 p.m. and 7:00 p.m. to 11:00 p.m. Summer weekdays except holidays 8:00 a.m. to 5:00 p.m. Winter weekdays except holidays Off -Peak All other hours: Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off-peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November 1 and continue through April 30 of the following year. 2. Billing Demand: Separate billing demands for the on -peak, mid -peak, and off-peak time periods shall be established for each monthly billing period. The billing demand for each time period shall be the maximum demand for that time period occurring during the respective monthly billing period. The billing demand shall be determined to the nearest kW. 3. Maximum Demand: The maximum demands shall be established for the on -peak, mid -peak, and off-peak periods. The maximum demand for each period shall be the measured maximum average kilowatt input indicated or recorded by instruments during any 15-minute metered interval. Where the demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7248 Effective 01/01/99 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 7841 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 10/01/01 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 Schedule TOU-G Page 3 4. Voltage Discount: The charges including adjustment will be reduced by 3% for service delivered and metered at voltages of from 2 kV through 10 kV; by 4% for service delivered and metered at voltages of from 11 kV through 50 kV; and by 5% for service delivered and metered at voltages over 50 kV; except that when only one transformation from a transmission voltage level is involved, a customer normally entitled to a 3% discount will be entitled to a 4% discount. 5. Power Factor Adjustment: a. Service Delivered and Metered at 4 IN or Greater: The charges will be adjusted each month for reactive demand as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 20 percent of the maximum number of kilowatts. The maximum reactive demand shall be the highest measured maximum average kilovar demand indicated or recorded by metering to be supplied by the Utility during any 15-minute metered interval in the month. The kilovars shall be determined to the nearest unit. A ratchet device will be installed on each kilovar meter to prevent reverse operation of the meter. b. Service Delivered and Metered at Less than 4 kV: The charges will be adjusted each month for the power factor as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 20 percent of the maximum number of kilowatts. The kilovars of reactive demand shall be calculated by multiplying the kilowatts of measured maximum demand by the ratio of the kilovar-hours to the kilowatt-hours. Demand in kilowatts and kilovars shall be determined to the nearest unit. A rachet device will be installed on the kilovar-hour meter to prevent its reverse operation on leading power factors. 6. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer, prior to resuming service within twelve months after such service was discontinue, will be required to pay all charges which would have been billed if service had not been discontinued. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7841 Effective 10/01/01 Resolution No. 7062 Effective 01/01/98 Resolution No. 8294 Effective 11/01/03 Resolution No. 7248 Effective 01/01/99 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule TOU-G Page 4 7. Excess Transformer Capacity: A transformer capacity in excess of a customer's contract demand which is either required by the Utility because of the nature of the customer's load or requested by the customer. Excess transformer capacity shall be billed at $1.03 kVA per month. 8. Contract Demand: A contract demand will be established by the Utility, based upon applicant's demand requirements for any customer newly requesting service on this schedule and for any customer of record on this schedule who requests an increase or decrease in transformer capacity in accordance with the Light and Power Department Rules for Electric Service. A contract demand arrangement is available upon request for all customers of record on this schedule. Contract demand is based upon the nominal kilovolt -ampere rating of the Utility's serving transformer(s) or the standard transformer size determined by the Utility as required to serve the customer's stated measurable kilowatt demand, whichever is less and is expressed in kilowatts. 9. Minimum Demand Charge: Where a non -time related maximum demand or contract demand is established, a monthly minimum demand charge shall be $1.03 per kilowatt of contract demand. 10. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 11. In -Lieu of Tax and Franchise Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 12. Voltage: Service will be supplied at one standard voltage. 13. Removal or Modification of Equipment: Where transformers or facilities for services are ordered removed or modified by a customer and such services are restored within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal or modification of the transformers or facilities of the prior installation and the estimated cost of such reinstallation. 14. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7841 Effective 10/01/01 Resolution No. 7062 Effective 01/01/98 Resolution No. 8294 Effective 11/01/03 Resolution No. 7248 Effective 01/01/99 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU-I GENERAL SERVICE -LARGE INTERRUPTIBLE APPLICABILITY This schedule is optional for all customers eligible for service under Schedule TOU- V who commit to curtail at least 50 percent of such customers maximum demand, which shall not be less than 7,500 kW per Period of Interruption. In addition, the following conditions shall apply: 1. Service Voltage must be greater than 50 kV; and 2. The customer's Maximum Demand must be 12,500 kW or above; and 3. This schedule is in effect until suspended by the Light & Power Department when in their judgment there is no additional need for Interruptible Demand. TERRITORY Within the city limits of the City of Vernon. RATES All charges and provisions of schedule TOU-V shall apply as follows: In accordance with the terms and conditions of this schedule the customer's bill will be credited $3.94 per kW month for all kW in excess of the customer's specified Firm Demand Level. The bill credit will be based on the difference between the customer's on -peak Maximum Demand recorded during the monthly billing period and the customer's specified Firm Demand Level. Charges for Excess Demand may apply under certain conditions, as provided in Special Condition 8. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU-I Page 2 SPECIAL CONDITIONS 1. Interruptible Demand: The Interruptible Demand shall be the measured difference between the customer's demand, at the time of interruption, and the customer's Firm Demand Level. 2. Firm Demand Level: The Firm Demand Level is the Maximum Demand the Department is expected to supply during a Period of Interruption. 3. Excess Demand: The Excess Demand shall be the measured demand which exceeds the Firm Demand Level during each Period of Interruption. 4. Interruptible Service Agreement: To receive interruptible service under this schedule a customer shall sign an agreement for a specified term and Firm Demand Level. Eligible customer shall comply with all the provisions of the Agreement. 5. Notice of Interruption: The Department will give the customer a minimum 30 minutes notice of a Period of Interruption to enable the customer to disconnect the necessary load to prevent Excess Demand. Communication procedures shall be specified in the Interruptible Service Agreement. 6. Period of Interruption: A Period of Interruption shall be an interval which commences thirty minutes after Notice of Interruption and which ends upon notification from the Department. During which the customer will be required to disconnect sufficient load to reduce the demand on the system to the Firm Demand Level. A Period of Interruption can occur: a. Upon the notification from the Independent System Operator (ISO) requiring the Department to shed load. b. Upon the unscheduled outage of the Malburg Generating Station or any other generating unit internal to the Department system. 7. Frequencies and Duration of Interruption: The Periods of Interruption will not exceed ten per month or twenty-four per year nor last longer than 12 hours. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 Schedule TOU-I Page 3 8. Excess Demand Charge: Upon the first occurrence of Excess demand during a period of interruption, such excess demand shall be billed at $7.50 per M Upon the second occurrence of Excess demand during a Period of Interruption, such excess demand shall be billed at $11.25 per kW . Upon the third occurrence of Excess demand during a Period of Interruption, within the same 12-month period, , the customer will be disqualified from further interruptible rate service. 9. Verification of Ability to Interrupt: Interruptible Rate Service customers shall periodically be required to demonstrate ability and willingness to disconnect all load except the specified Firm Demand Level within a Notice of Interruption Period. Testing procedures for such verification shall be specified in the Interruptible Service Agreement terms. 10. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the City of Vernon Resolution No. 9430 Effective 12/01/07 Resolution No. 9633 Effective 07/01/08 Resolution No. 9697 Effective 09/01/08 CITY OF VERNON LIGHT AND POWER DEPARTMENT Schedule No. TOU-V GENERAL SERVICE -LARGE APPLICABILITY This schedule is applicable for all customers with demands of 500 kW or higher for any three months during the preceding twelve months and for whom time of use meters have been installed. TERRITORY Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May. June. Oct Julv. Aueust. Seut Nov. thru ADrll Customer Charge $189.64 $189.64 $189.64 Demand Charge (to be added to Customer Charge): All kW of on -peak maximum billing demand, per kW ...... $ 10.019 $ 12.240 $ 7.938 Plus all kW of mid -peak maximum billing demand, per kW $ 1.899 $ 1.899 $ 1.899 Plus all kW of off-peak billing demand, per kW No Charge* No Charge* No Charge* Energy Charge (to be added to Demand Charge): All on -peak kWh, per kWh ....................... 6.020¢ 7.5640 6.020¢ Plus all mid -peak kWh, per kW .................... 5.6330 7.1780 5.6330 Plus all off-peak kWh, per kWh .................... 5.0550 5.8440 5.055¢ *(Subject to Minimum Demand Charge. See Special Condition No. 9.) Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7248 Effective 01/01/99 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 7841 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 10/01/01 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 SPECIAL CONDITIONS 1. Time Period: Time Periods are defined as follows: On -Peak 1:00 p.m. to 7:00 p.m. Summer Weekdays except holidays 5:00 p.m. to 10:00 p.m. Winter weekdays except holidays Mid -Peak 9:00 a.m. to 1:00 p.m. and 7:00 p.m. to 11:00 p.m. Summer weekdays except holidays 8:00 a.m. to 5:00 p.m. Winter weekdays except holidays Schedule TOU-V Page 2 Off -Peak All other hours: Off -Peak Holidays are: New Year's Day (January 1), Washington's Birthday (third Monday in February), Memorial Day (last Monday in May), Independence Day (July 4), Labor Day (first Monday in September), Veteran's Day (November 11), Thanksgiving Day (fourth Thursday in November), and Christmas Day (December 25). When any holiday listed above falls on Sunday, the following Monday will be recognized as an off-peak period. No change in off-peak will be made for holidays falling on Saturday. The summer season time periods shall commence at 12:01 a.m. May 1 and continue through October 31 of each year and the winter season time periods shall commence at 12:01 a.m. November'l and continue through April 30 of the following year. 2. Billing Demand: Separate billing demands for the on -peak, mid -peak, and off-peak time periods shall be established for each monthly billing period. The billing demand for each time period shall be the maximum demand for that time period occurring during the respective monthly billing period. The billing demand shall be determined to the nearest kW. 3. Maximum Demand: The maximum demands shall be established for the on -peak, mid -peak, and off-peak periods. The maximum demand for each period shall be the measured maximum average kilowatt input indicated or recorded by instruments during any 15-minute metered interval. Where the demand is intermittent or subject to violent fluctuations, a 5-minute interval may be used. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7062 Effective 01/01/98 Resolution No. 7248 Effective 01/01/99 Resolution No. 7557 Effective 07/01/00 Resolution No. 7638 Effective 10/01/00 Resolution No. 7689 Effective 01/01/01 Resolution No. 7747 Effective 05/01/01 Resolution No. 7841 Resolution No. 8294 Resolution No. 8746 Resolution No. 9054 Resolution No. 9430 Resolution No. 9633 Resolution No. 9697 Effective 10/01/01 Effective 11/01/03 Effective 06/01/05 Effective 11/01/06 Effective 12/01/07 Effective 07/01/08 Effective 09/01/08 Schedule TOU-V Page 3 4. Voltage Discount: The charges including adjustment will be reduced by 3% for service delivered and metered at voltages of from 2 kV through 10 kV; by 4% for service delivered and metered at voltages of from 11 kV through 50 kV; and by 5% for service delivered and metered at voltages over 50 kV; except that when only one transformation from a transmission voltage level is involved, a customer normally entitled to a 3% discount will be entitled to a 4% discount. 5. Power Factor Adjustment: a. Service Delivered and Metered at 4 kV or Greater: The charges will be adjusted each month for reactive demand as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the Utility in excess of 20 percent of the maximum number of kilowatts. The maximum reactive demand shall be the highest measured maximum average kilovar demand indicated or recorded by metering to be supplied by the Utility during any 15-minute metered interval in the month. The kilovars shall be determined to the nearest unit. A ratchet device will be installed on each kilovar meter to prevent reverse operation of the meter. b. Service Delivered and Metered at Less than 4 M The charges will be adjusted each month for the power factor as follows: The charges will be increased by 20.6 cents per kilovar of maximum reactive demand imposed on the ,Utility in excess of 20 percent of the maximum number of kilowatts. The kilovars of reactive demand shall be calculated by multiplying the kilowatts of measured maximum demand by the ratio of the kilovar-hours to the kilowatt-hours. Demand in kilowatts and kilovars shall be determined to the nearest unit. A rachet device will be installed on the kilovar-hour meter to prevent its reverse operation on leading power factors. 6. Temporary Discontinuance of Service: Where the use of energy is seasonal or intermittent, no adjustments will be made for a temporary discontinuance of service. Any customer, prior to resuming service within twelve months after such service was discontinued, will be required to pay all charges which would have been billed if service had not been discontinued. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7841 Effective 10/01/01 Resolution No. 7062 Effective 01/01/98 Resolution No. 8294 Effective 11/01/03 Resolution No. 7248 Effective 01/01/99 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 Schedule TOU-V Page 4 7. Excess Transformer Capacity: A transformer capacity in excess of a customer's contract demand which is either required by the Utility because of the nature of the customer's load or requested by the customer. Excess transformer capacity shall be billed at $1.03 kVA per month. 8. Contract Demand: A contract demand will be established by the Utility, based upon applicant's demand requirements for any customer newly requesting service on this schedule and for any customer of record on this schedule who requests an increase or decrease in transformer capacity in accordance with the Light and Power Department Rules for Electric Service. A contract demand arrangement is available upon request for all customers of record on this schedule. Contract demand is based upon the nominal kilovolt -ampere rating of the Utility's serving transformer(s) or the standard transformer size determined by the Utility as required to serve the customer's stated measurable kilowatt demand, whichever is less and is expressed in kilowatts. 9. Minimum Demand Charge: Where a non -time related maximum demand.or contract demand is established, a monthly minimum demand charge shall be $1.03 per kilowatt of contract demand. 10. Public Benefits Charge: A mandatory Public Benefits Charge has been assessed pursuant to Assembly Bill 1890, signed into law by the Governor on September 20, 1996. The charge is 2.85 percent of the total bill before any special fees or charges. In accordance with the mandates of Assembly Bill 995, the Public Benefits Charge of 2.85 percent will be assessed through January 1, 2012. 11. In -Lieu of Tax and Franchise Pam: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 12. Voltage: Service will be supplied at one standard voltage. 13. Removal or Modification of Equipment: Where transformers or facilities for services are ordered removed or modified by a customer and such services are restored within 36 months from the date of the order to remove or to modify, the customer shall pay to the Utility in advance of reinstallation a nonrefundable amount equal to the cost of removal or modification of the transformers or facilities of the prior installation and the estimated cost of such reinstallation. 14. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to Exhibit A and Exhibit B. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 7841 Effective 10/01/01 Resolution No. 7062 Effective 01/01/98 Resolution No. 8294 Effective 11/01/03 Resolution No. 7248 Effective 01/01/99 Resolution No. 8746 Effective 06/01/05 Resolution No. 7557 Effective 07/01/00 Resolution No. 9054 Effective 11/01/06 Resolution No. 7638 Effective 10/01/00 Resolution No. 9430 Effective 12/01/07 Resolution No. 7689 Effective 01/01/01 Resolution No. 9633 Effective 07/01/08 Resolution No. 7747 Effective 05/01/01 Resolution No. 9697 Effective 09/01/08 CERTIFICATE STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES) I, Manuela Giron, City'Clerk of the City of Vernon, County of Los Angeles, State of California, hereby certify that the attached is a full and complete copy of: RESOLUTION NO. 9697 - A Resolution of the City Council of the City of Vernon to Establish and Implement an Amended Electric Energy Fuel Cost Adjustment Factor, Procedure and Computation Method Which Establishes a Fuel Cost Adjustment to be Billed Under All Rate Schedules for Energy Transmitted, Distributed, and Supplied to City of Vernon Electrical Consumers IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official Seal of the City of Vernon, County of Los Angeles, State of California, on this 20th day of August 2008. SEAL: Manuela Giron City Clerk FUEL COST ADJUSTMENT BILLING FACTOR STAFF REPORT Early this year, natural gas prices started a relatively steady climb to an average level of $11/MMBtu. This is an increase of over 50% in just a few months. This significant increase in natural gas prices and associated power costs, cost the City approximately $8,000,000 in additional operating expenses by the end of June 2008. A similar rapid climb in natural gas prices occurred in the latter part of 2005. During such period, natural gas prices remained high for five or six months. That single "blip" in natural gas costs resulted in Vernon Light & Power incurring millions of dollars in additional operating expenses that were not recovered from the City's electric customers. The City of Vernon Light & Power Department must make prompt adjustments to ensure the sound financial position of the Light and Power Departments operating funds by limiting the negative impacts generated by extraordinary high natural gas and electricity prices. Since this current natural gas price run-up is predicted to be similar to the "blip" in 2005, the City of Vernon Light & Power Department is proposing to amend the existing "Fuel Cost Adjustment" billing factor to its electric rate structure. The Light and Power Department has considered four market exposed areas associated with natural gas and electricity purchases. These areas are as follows: 1 - Natural gas purchased from the market for electricity generation above the pre -pay natural gas supplied through the Vernon Natural Gas Financing Authority. 2 - Natural gas that is at a discount to index under a commodity swap associated with the pre -paid natural gas program 3 - The embedded fuel cost in purchased power on the wholesale power market. The price for power in the wholesale market place is directly impacted by the cost of natural gas. 4 - Variable costs for the gas purchased under the Gas Supply Contract with the Vernon Natural Gas Financing Authority including amounts payable to the Vernon Natural Gas Financing Authority and debt service on City obligations allocable to the payment of costs of the prepay gas program The "Fuel Cost Adjustment" for the commodity swap (item 2 above) will be computed each month based on publication of Gas Daily's daily posting for SoCal Border deliveries and the National Gas Intelligence (NGI) for SoCal Border deliveries. However, that may change based on the City's economic purchasing decisions. The "Fuel Cost Adjustment" for power purchased from the market will be converted to MMBtu's using established market heat rate. The base case or starting point at which the "Fuel Cost Adjustment" would take effect is $7.50. Computation of the FCABF will be in accordance with the Fuel Cost Adjustment Tariff attached as Exhibit A and Exhibit B. All existing electric rate schedules have been amended to provide for the FCABF assessment. The "Fuel Cost Adjustment" billing factor will be based on actual costs, Recommendation: The City of Vernon Light and Power Department recommends the following; 1. The inclusion of the FCABF clause to all electric rate schedules be approved. 2. The Amended Fuel Cost Adjustment Tariff as attached be approved and be effective September 1, 2008. 3. The proposed Fuel Cost Adjustment be a separate charge on customer's bill in cents per kilowatt-hour consumed. 4. The Fuel Cost Adjustment starting point be $7.50 -2- CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: August 26, 2008 TO: Donal O'Callaghan, Director of Light & Power FROM Nelly Giron, City Clerk RE: Resolution No. 9697 - A Resolution of the City Council of the City of Vernon to Establish and Implement an Amended Electric Energy Fuel Cost Adjustment Factor, Procedure and Computation Method Which Establishes a Fuel Cost Adjustment to be Billed Under All Rate Schedules for Energy Transmitted, Distributed, and Supplied to City of Vernon Electrical Consumers Herewith for your transmittal is a copy of Resolution No. 9697, referenced above, which was approved by City Council on August 18, 2008. Thank you. NG:dr c: Resolution No. 9697