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Resolution No. 2010-030RESOLUTION NO. 2010-30 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A SCHEDULE A TO THE MASTER SERVICES CONTRACT WITH THE SOUTHERN CALIFORNIA GAS COMPANY RELATING TO INTRASTATE TRANSMISSION SERVICE WHEREAS, on April 13, 2005, the City Council of the City of Vernon adopted Resolution No. 8719 ratifying a Master Services Contract dated January 27, 2005, Master Services Contract Schedule A- Intrastate Transmission Service Transportation Services Addendum (Order Control Code V08) executed on March 22, 2005, and Master Services Contract Schedule A Intrastate Transmission Service dated February 8, 2005, with Southern California Gas Company ("SoCalGas") setting forth the terms and conditions under which SoCalGas provides natural gas services to the City pursuant to applicable Tariff Rate Schedules and Tariff Rules which have been filed with the Public Utilities Commission of the State of California; and WHEREAS, on March 30, 2009, the City Council of the City of Vernon adopted Resolution No. 9903 approving the renewal of the Master Services Contract Schedule A Intrastate Transmission Service for the term April 1, 2009 through April 1, 2011; and WHEREAS, the City of Vernon and SoCalGas desire to enter into a new Master Services Contract Schedule A Intrastate Transmission Service ("MSC Schedule A") for the period February 1, 2010 through February 1, 2013 setting forth the terms and conditions under which SoCalGas transports gas, or transports and procures gas, for the City pursuant to applicable Tariff Rate Schedules and Tariff Rules on file with the Public Utilities Commission of the State of California as are in effect from time to time; and WHEREAS, the new MSC Schedule A will extend for three years, instead of two years; and WHEREAS, under the new MSC Schedule A, SoCalGas will provide transportation, or transportation and procurement, services in accordance with a new rate schedule allowing wholesale customers such as the City to elect a "Daily Reservation Quantity" paid at a lower rate; and WHEREAS, by Staff Report dated February 17, 2010, the City Administrator has recommended that the MSC Schedule A with SoCalGas be approved; and WHEREAS, the City Council of the City of Vernon has determined that, pursuant to the provisions of subsections (b)(1) and (b)(3) of Section 2.27 of the Vernon City Code, it is in the public interest and necessity to enter into the MSC Schedule A with SoCalGas to facilitate the purchase and transportation of natural gas on the SoCalGas system. 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 does hereby find and determine that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby approves the MSC Schedule A, a copy of which is attached hereto as Exhibit A and incorporated by reference. SECTION 3: The City Council of the City of Vernon hereby authorizes the Director of Light & Power to execute said MSC Schedule A for, and on behalf of, the City of Vernon and the City Clerk, or Deputy City Clerk, is hereby authorized to attest thereto. - 2 - SECTION 4: The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to take whatever action is deemed necessary or desirable for the purpose of implementing and carrying out the purposes of this Resolution and the transactions herein approved or authorized. SECTION 5: The City Council of the City of Vernon hereby directs the City Clerk, or her designee, to send the executed. MSC Schedule A to SoCalGas. SECTION 6: The City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk of the City of Vernon shall cause this resolution and the City Clerk's certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 22Id day of February, 2010. ATTEST: /"�- F4ANUELA GIRON, tity Clerk Name: Hilario Gonzales Title: Mayor / ta�Pro-T� - 3 - 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. 2010-30, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, February 22, 2010, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this Z�� day of February, 2010, at Vernon, California. (SEAL) MANUELA GIRON, City Clerk 4 - EXHIBIT A MASTEIR SERY]CES CONTRACT SCHEDULE A INTRASTATE TRANSMISSION Sr;MCE This Agreement Is entered into by and between Southern California Gas Company ("Utility") and City Of Vernon ("Customer") as of the = day of February, 2010. This Agreement shall be deemed attached to and Incorporated as a Schedule In the Master Services Contract ("MSC") executed by the Parties, NOW THEREFORE, in consideration of the promises and mutual undertakings set forth herein, the parties agree as follows: Section 1 - Scope A. Intent This Agreement sets forth the general terms and conditions under which Utility will transport gas, or transport and procure gas, for Customer In California pursuant to Utility's opplloable Tariff Rate Schedules and Tariff Rules ("Tariffs") on file with the Public Utilities Commission of the State of California ("CPUC"), as are In effect from time to time. To the extent not Inconsistent herewith, the provisions of the MSC are Incorporated by reference In this Agreement. All tariffed transmission services by Utility shall be paid for by Customer at the rates specified In the applicable Tariffs, except as otherwise specified herein, Nothing In this Agreement shall be construed as preventing Utility and Customer from mutually agreeing to conditions which are more stringent than set forth in the Tariffs, B. Effective Date/Term (1) The Effective Date of this Agreement shall be as of 12:00 AM on February 9st, 2010, (2) The Initial Term of this Agreement shall extend from the Effective Date and and on Mruary Ist�Ist. 2D 3. C. Renewals/Amenoments (1) Upon the expiration of any Billi'rg Sonedule Sequence term In Section 2, such Sequence shall automatically continue at the Otherwise Applicable Rate for the renewal period shown, unless that Set,uenoe or this Agreement is amended or terminated by written notice from one party to the other given not less than twenty (20) days prlorto the last day of the Initial Sequence/Agreement term or any subsequent term thereafter. (2) The Otherwise Applicable Rates and renewal periods shown in Section 2 are subject to change pursuant to Utility's applicable Tariffs. Sea ion 2 - Services Provided and Redelivery Locations Customer has requested and agreed to pay for, and Utility has determined that Customer Is qualified for transmission services to the following locations (the data provided will be utilized by Utility in determinations regarding curtailment): Form 6597-1 ReAsed 1112009 1 MSC # 220772 Contract #265512 f FacilityA Facility Name: City Of Vernon Account Number: 095-680-6306 Address: 51018 Downey Rd Los Angeles, CA 90058.3747 fMail copy of Bill to this Facility: NO Facility Mailing Address: Measurement Location(s): GNN GNN Service Address 1260363700 3664 Bandini 131vd, Los Angeles, CA 90058 956806300 5101 S Downey Rd, Los Angeles, CA 90058 Full Requirements: YES (Noncore only) Facility Customer Contacts Operations Emergency Name: Mr. Dan Christensen Name: Operator on Duty Title: Plant Manager Title: Shift Operator Address: 4305 Santa Fe Ave. Address: Vernon, CA 90058 Vernon CA 90058 Tel, No: (323) 58$88.11 813 Tel. No: (323) 826.1461 Fax No: {323) 826-1425 Fax No: (323) 585-3119 Wireless Phone: (661) 301.3360 Wireless Phone: E-mail: dchristensen@ci.vernon.ca.us E-mall: I Customer shall notify Utility In the event of any change In the gas requirements or notification designations for this facility. ., _ 7.i ;a�:,-r:�„ ..�l,l�...a..,�J`!'h,., ::�f!.:.-.fE,. 'yea arJii-:'.j;•:`••e;;:!;:•.;;;:,,;: .aY:4�'.:�9.Y.i.•`.'"'�. t�i314 Otherwise Net Transmission Rates Applicable Rate Schedule Priority Billed Tariff/Negotiated Rate GT-10RS N/A NIA -TARIFF- GT-10RS The term of this sequence Is for 3 Year(g), and shall automatically continue thereafter on the Otherwise Applicable Rate Schedule specified With automatic renewal periods of 3 r s . UAILY 6UM_UUL1z_U QUAN I I I Y (l HERMS) 249,250 , or L�.YC 0 ^��NOW,FJ�� January NIA July NIA February NIA August NIA March NIA September NIA April NIA October NIA May NIA November NIA June N/A December NIA Annual Quantity N/A Customer's regular days for operations under this sequence are: M x T x W x Th x F Use or Pay Aggregator (Yes/No) NO x Sat x Sun x Form 6597-1 Revised 1112009 2 MSC # 220772 Contract # 255512 . . . . . . . . . . H (Q2 --x 1,14 MR agg Otherwise Net Transmission Rates Applicable Rate Schedule Priority Billed TaTifflNegotlated Rate GT-10NV N/A -TARIFF- GT-10NV' The term of this sequence Is for 1 Month(§ , and shall automatically continue thereafter on the otherwise [Applicable Rate SohedulB specified with automatic renewal periods of i-Mot Qs, DAILY 6GHF=UULEL) WAN I I I Y (I hf�KM) N/A _, or 71i WYE-77-4 RUD-55 M'7550—, January 1 July February 1 August March 1 September April 1 October May 1 November June 1 December Annual Quantity 12 Use or Pay Aggregator (Yes/No) XQ Customers regular days for operations under this sequence are: M - x T x W x Th x F x Sat x Sun x 41 L Otherwise Net Transmission Rates Applicable Rate Schedule Priority Billed Tarlff/Negotiated Rate . N/A Firm N/A -TARIFF- N/A. The term of this sequence Is for 3 Year(s), and shall automatically continue thereafter on the Otherwise jApplicable Rate Schedule specified with automatic renewal periods of aY-ema"s - I DAII Y qC.HF:DULr-r) 01 JANTITY (THFRMM WA nr -.77MR-,MH �Y Ff Hd A January 9,798,697 July 8,921,831 February 8,666,392 August 8,880,012 March 9,460,208 September 8,611,380 April 9,260,010 October 9,012,351 May 8,901,247 November 8,526,150 June 8,623,710 December 8,686,256 Annual Quantity 107.248.244 Use or Pay Aggregator (Yes/No) Customer's regular days for operations under this sequence are: M x T x W x Th x F x Sat x Sun x Form 6597-1 Revised 1112009 3 MSC #220772 Oonlract#266512 .... .......... . .. Section 3 - other Existing 'Transportation/Exchange Arrangements (1) Customer has existing Intrastate transportationlexchange arrangements with Utility: NO (2) Date of Arrangement: (3) Term of Arrangement: (4) This Agreement shall have no Impact on such existing arrangement except: Section 4 -Transportation Services Customers "Order Control Code" (OCC) for gas transportation by Utility Is: V0a in the event Customer has elected Transportation Services herein, a Transportation Services Addendum must be completed to Indicate the speclfic account to which any applicable Imbalance charges pursuant to imbalance service provided under Tariff Schedule G•1MB shall be applled, Additional elections may be made by Customer, Including but not limited to the use of Agent or Contracted Marketer services. Any eleetlons, or ohanges thereto, Made on the Transportation Services Addendum shall be applicable to all Customer Agreements and facllltles utilizing the same Order Control Code. ;Section 5 • Billing and Payment Billing and Payment for services hereunder shall be as provided In Utlllty's Tariff Rule No, 9. Any special billing Instructions should be noted In Section 7(E). Section 6 - Transfer of -Rights Subject to Section 7(A), this Agreement and the rights and obligations hereunder shall only be transferred or assigned with the prior written consent of Utility which shall not be withheld unreasonably, provided that any successor first establishes Its "creditworthiness" and assumes such 'contractual rights and obligations in writing. Section 7 - Miscellaneous A. Use or Pay Airdreaator: WA Use or Pay Aggregators will automatically be authorized to access Customer's meter usage. Customer must have completed and executed MSC Schedule B, Form No. 6597-2 (Including.the terms and conditions thereof) and such Form Is Incorporated by reference (as supplemented from time to time) Into this Agreement. B. CoontAgIslNglices: Any written notices from one party to the other affecting this Agreement shall be sent to the following locations (unless changed by seven days prior written notice): Customer City of Vernon Light & Power Department 4305 Santa Fe Avenue Vernon CA 90068 Attn: Mr. Donal O'Callaghan Title: Director of Light & Power E-mail: docallaghan&l.vernon.ca,us Form 6597-1 Revised 11/2009 S?T Southern California Gas Comnan 555 West Fifth Street GT 22AI Los Angeles CA 90013 Attn: Paul D Borkovich Title: Market Segment Manager E-mail: pborkovichD-semprautilllities.com M80#220772 Conlrad#255512 C. Definitions, All definitions set forth in the Tariffs, Including without limitation Utility Rule No.1, are incorporated herein by reference as If set forth in full D. Miscellaneous Legal Provislogs: This Agreement incorporates by reference all terms and condltions of the MSC. E. Special Conditions: The following special conditions of service are applicable hereto: Billing Schedule Sequence 01: Customer has elected the "Reservation Rate Option" accordingto Schedule No. GT.TLS. "DAILY SCHEDULED QUANTITY (THERMS)" means the same as "Dally Reservation Quantity" or "DRQ" for the purpose of Schedule No. GT-TLS, more specifically "Rate GT-90RS, Wholesale -City of Vernon." Monthly charges for the "Dally Reservation Rate" and "Usage Charge for RS" shall be calculated based on this DRQ and Customer's usage up to the DRQ. Billing Schedule 02: Above the DRQ, Customer shall pay a volumetric charge for each Therm according to "GT-10NV, Wholesale -City of Vernon." The "'I" values shown for each month are only space holders, 'The volumetric charga will be based on Customer's actual usage above the DRQ. j Billing Schedule Sequence 03: Customer has elected Firm Noncore Service. This requires total monthly quantities to be established above which service shall be Interruptible for the purpose of Curtailment. in the event of Curtailment under Rule No. 23, quantities In this Billing Schedule shall be used. IN WITNESS WHEREOF, the authorized representatives of the parties have executed two duplicate orlginal copies hereof. Customer Utility City Of Vernon Southern California Gas Company Signature: Signature: Name: Mr, Donal O'Callaghan Name: Mr. Richard M Morrow Title: Director of Light & Power Title: VP - Customer Services ATTEST: MANUELA GIRON, City Clerk APPROVED AS TO FORM: LAURENCE S. WIENER, City Attorney Form 6597-1 Revised 1112009 6 1450 # 220772 Cantraot# 255612 0 Paul D. Borkovich Electric Generation & Wholesale Dj Market Segment Manager VIEL MAR 1.5 2010 Southern CITY ATTORNEY�P California Gas Company A Sempra Energy umity March 10, 2010 Southern California Gas Company Mr. Willard Yamaguchi.iss W. Fifth street, Chief Deputy City Attorney/Risk Manager GT22AI Office of the City Clerk Los Angeles, CA City of Vernon 90013-1040 4305 Santa Fe Avenue Tel: 213-244-3691 Vernon CA 90058 Fax: 213-244-8222 Email: Re: Executed Copy of Gas Service Agreement for the City of Vernon. hboi*ovich@semprat,ti(ities.coni Dear Willard: Please find enclosed one fully executed copy of the Schedule A Gas Transmission Service Agreement for the City of Vernon. The agreement has been executed on behalf of SoCalGas by Anne Smith, Senior Vice President - Customer Services who has signature authority exceeding that of Rick Morrow, Vice President - Customer Services. Many thanks for your continued use of our service. If you have any questions or concerns, please call me at (213) 244-3691 Sincerely, Paul D. Borkovich Energy Markets Segment Manager CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: March 15, 2010 TO: Donal O' Callaghan, City Administrator/Director of Light & Power FROM: Willard Yamaguchi, City Clerk ��6 RE: Resolution No. 2010-30 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Execution of a Schedule A to the Master Services Contract with the Southern California Gas Company Relating to Intrastate Transmission Service Transmitted herewith is a copy of the fully executed Schedule A and a copy of Resolution No. 2010-30, referenced above, which was approved by City Council on February 22, 2010. Thank you. WY:dj c: Resolution No. 2010-30 Agreement 10-016 MASTER SERVICES CONTRACT SCHEDULE A INTRASTATE TRANSMISSION SERVICE This Agreement is entered Into by and between Southern California Gas Company ("Utility") and City Of Vernon ("Customer") as of the 22nd day of February. 2010, This Agreement shall be deemed attached to and Incorporated as a Schedule In the Master Services Contract ("MSC") executed by the Parties, NOW THEREFORE, In of the promises and mutual undertakings set forth herein, the parties agree as follows: Section 1 - Scope A. Inten This Agreement sets forth the general terms and conditions under which Utility will transport gas, or transport and procure gas, for Customer In California pursuant to Utility's applicable Tariff Rate Schedules and Tariff Rules ("Tariffs") on file with the Public Utilities Commission of the State of California ("CPUC"), as are in effect from time to time. To the extent not Inconsistent herewith, the provisions of the MSC are Incorporated by reference In this Agreement. All tariffed transmission services by Utility shall be paid for by Customer at the rates specified In the applicable Tariffs, except as otherwise specified herein. Nothing In this Agreement shall be construed as preventing Utility and Customer from mutually agreeing to conditions which are more stringent than set forth In the Tariffs. B. Effective Date/Term (1) The Effective Date of this Agreement shall be as of 12:00 AM on February 1st, 2010. (2) The Initial Term of this Agreement shall extend from the Effective Date and end on February 1st. 2013. C. Renewals/Amendments (1) Upon the expiration of any Blllh ig Schedule Sequence term In Section 2, such Sequence shall automatically continue at the Otherwise Applicable Rate for the renewal period shown, unless that Setuence or this Agreement is amended or terminated by written notice from one party to the other given not less than twenty (20) days prior to the last day of the Initial Sequence/Agreement term or any subsequent term thereafter. (2) The Otherwise Applicable Rates and renewal periods shown in Section 2 are subject to change pursuant to Utility's applicable Tariffs. Section 2 - Services Provided and Redelivery Locations Customer has requested and agreed to pay for, and Utility has determined that Customer is qualified for transmission services to the following locations (the data provided will be utilized by Utility in determinations regarding curtailment): Form 6597-1 Revised 11/2009 1 MSC # 220772 Contract # 255512 Facility A Facility Name: City Of Vernon Account Number: 095-680-6306 Address: 5101 S Downey Rd Los Angeles, CA 90058 - 3747 Mail copy of Bill to this Facility: NO Facility Mailing Address: Measurement Location(s): GNN GNN Service Address 1250363700 3664 Bandini Blvd, Los Angeles, CA 90058 956806300 5101 S Downey Rd, Los Angeles, CA 90058 Full Requirements: YES (Noncore only) Facility Customer Contacts Operations Emergency Name: Mr. Dan Christensen Name: Operator on Duty Title: Plant Manager Title: Shift Operator Address: 4305 Santa Fe Ave. Address: Vernon, CA 90058 Vernon CA 90058 Tel. No: (323) 583-8811 813 Tel. No: (323) 826-1461 Fax No: (323) 826-1425 Fax No: (323) 585-3119 Wireless Phone: (661) 301-3360 Wireless Phone: E-mail: dchristensen@ci.vernon.cams E-mail: Customer shall notify Utility In the event of any change in the gas requirements or notification designations for this facility. Otherwise Net Transmission Rates Applicable Rate Schedule Priority Billed Tariff/Negotiated Rate GT-10RS N/A N/A -TARIFF- GT-10RS The term of this sequence is for 3 Y ar s , and shall automatically continue thereafter on the Otherwise Applicable Rate Schedule specified With automatic renewal periods of 3 e r . DAILY SCHEDULED QUANTITY (THERMS) 249,250 , or MONTHLY SCHE:DU.LEl7 :QUANTITY (,THERMS) January N/A July N/A February N/A August N/A March N/A September N/A April N/A : October N/A May N/A November N/A June N/A December N/A Annual Quantity N A Customer's regular days for operations under this sequence are: M x T x W x Th x F Form 6597-1 Revised 11/2009 2 Use or Pay Aggregator (Yes/No) NO x Sat x Sun x MSC #220772 Contract # 255512 - - BIDING SOHEDULE5EQl7ENC)= Q2 = _ _ - " Otherwise Net Transmission Rates. Applicable Rate Schedule Priority Billed TarifflNegotlated Rate GT-10NV N/A TARIFF- GT-10NV The term of this sequence Is for 1 Month s , and shall automatically continue thereafter on the Otherwise Applicable Rate Schedule specified with automatic renewal periods of 1 s . DAILY SCHEDULED QUANTITY (THERMS) N/A ; or MQNTHLYSCHEDULD QUANTITX (THERMS}. - January 1 July 1 February 1 August 1 March 1 September 1 April 1 October 1 May 1 November 1 June 1 December 1 Annual Quantity 1_2 Use or Pay Aggregator (Yes/No) NO Customer's regular days for operations under this sequence are: M x T x W x Th x F x Sat x Sun x BIhLING SCH,EDULEiSEQl1ENCE 03 Otherwise Net Transmission Rates Applicable Rate Schedule Prlority Billed TarifflNegotlated Rate N/A Firm N/A -TARIFF- N/A The term of this sequence is for 33 Yearfs), and shall automatically continue thereafter on the Otherwise Applicable Rate Schedule specified with automatic renewal periods of e r s . DAILY SCHEDULEU WAN I I I Y ( I M-KMO) - N/A , or MQNTHLY'SCHEDULED:QUANTITY (THERMS} _ January 9,798,697 July 8,921,831 February 8,666,392 August 8,880,012 March 9,460,208 September 8,611,380 April 9,260,010 October 9,012,351 May 8,901,247 November 8,626,160 June 8,623,710 December 8,586,256 Annual Quantity 107.248,244 Use or Pay Aggregator (Yes/No) NO Customer's regular days for operations under this sequence are: M x T x W x Th x F x Sat x Sun x Form 6597-1 Revised 1112009 3 MSC 1i 220772 Contract # 266512 Section 3 Other Existing Transportation/Exchange Arrangements (1) Customer has existing Intrastate transportation/exchange arrangements with Utility: NO (2) Date of Arrangement: (3) Term of Arrangement: (4) This Agreement shall have no impact on such existing arrangement except: Section 4 - Transportation Services Customers "Order Control Code" (OCC) for gas transportation by Utility Is: V08 In the event Customer has elected Transportation Services herein, a Transportation Services Addendum must be completed to Indicate the specific account to which any applicable Imbalance charges pursuant to Imbalance service provided under Tariff Schedule G-IMB shall be applied, Additional elections may be made by Customer, Including but not limited to the use of Agent or Contracted Marketer services, Any elections, 'or changes thereto, made on the Transportation Services Addendum shall be applicable to all Customer Agreements and facilities utilizing the same Order Control Code. Section 5 - Billing and Payment Billing and Payment for services hereunder shall be as provided in Utility's Tariff Rule No. 9. Any special billing Instructions should be noted In Section 7(E). Section 6 - Transfer of Rights Subject to Section 7(A), this Agreement and the rights and obligations hereunder shall only be transferred or assigned with the prior written consent of Utility which shall not be withheld unreasonably, provided that any:successor first establishes Its "creditworthiness" and assumes such contractual rights and obligations in writing. Section 7 - Miscellaneous A. Use or Pay Aggregator: NIA Use or Pay Aggregators will automatically be authorized to access Customer's meter usage. Customer must have completed and executed MSC Schedule B, Form No. 6597-2 (Including the terms and conditions thereof) and such Form is Incorporated by reference (as supplemented from time to time) Into this Agreement. B. Contacts/Notices: Any written notices from one party to the other affecting this Agreement shall be sent to the following locations (unless changed by seven days prior written notice): Customer City Of Vernon Light & Power Department 4305 Santa Fe Avenue Vernon CA 90058 Attn: Mr. Donal O'Callaghan Title: Director of Light & Power E-mail: docallaghan@ci.vernon.ca.us Utility Southern California Gas Compan 555 West Fifth Street GT 22A1 Los Angeles CA 90013 Attn: Paul D Borkovich Title: Market Segment Manager E-mail: ' pborkovich@.semprautliilities.com Form 6597-1 Revised 1112009 4 MSC # 220772 Contract # 255512 C. Definitions; All definitions set forth In the Tariffs, Including without Ilmitation Utility Rule No. 1, are Incorporated herein by reference as If set forth In full. D. Miscellaneous Legal Provisions: This Agreement incorporates by reference all terms and conditions of the MSC. E. Special Conditions: The following special conditions of service are applicable hereto: Billing Schedule Sequence 01: Customer has elected the "Reservation Rate Option" according to Schedule No. GT-TLS. "DAILY SCHEDULED QUANTITY (THERMS)" means the same as "Daily Reservation Quantity" or "DRQ" for the purpose of Schedule No. GT-TLS, more specifically "Rate GT-10RS, Wholesale -City of Vernon." Monthly charges for the "Daily Reservation Rate" and "Usage Charge for RS" shall be calculated based on this DRQ and Customer's usage up to the DRQ. Billing Schedule 02: Above the DRQ, Customer shall pay a volumetric charge for each Therm according to "GT-10NV, Wholesale -City of Vernon." The "1" values shown for each month are only space holders. The volumetric charge will be based on Customer's actual usage above the DRQ. Billing Schedule Sequence 03: Customer has elected Firm Noncore Service. This requires total monthly quantities to be established above which service shall be Interruptible for the purpose of Curtailment. In the event of Curtailment under Rule No. 23, quantities in this Billing Schedule shall be used. IN WITNESS WHEREOF, the authorized representatives of the partles have executed two duplicate original copies hereof. Customer Utility „i CItV Of Vernon Southern California 00s Company/7i� Signature. Signature: Name: Mr. Donal O'Callaghan Name; kIr.,Rlchard M Morrow Title: Director of Light & Power Title: VP - Customer Services AT,T ESTf Z�e� MANUELA GIRON, i -y 'Clerk APPR UEl) 0 FORMA) LAURENCE S. WIENER, City Attorney Form 6597-1 Revised 11/2009 5 MSC # 220772 Contract # 255512 4C 0- OFFICE OF THE CITY CLERK 4305 Santa Fe Avenue, Vernon, California 90058 Telephone (323) 583-8811 February 24, 2010 Mr. Paul Borkavich Market Segment Manager, Wholesale Markets Southern California Gas Company 555 W. 5tn Street, GT22A1 Los Angeles, CA 90013-1040 Re: Schedule A to the Master Services Contract Relating to Intrastate Transmission Service Dear Mr. Borkavich: Transmitted herewith are two partially executed agreements of the above -listed, approved by City Council on February 22, 2010, through Resolution No. 2010-30. Please ensure that a fully executed original agreement is returned to the attention of the undersigned. If you have any questions regarding this matter, please call Mr. Donal O'Callaghan, at (323) 583-8811 ext. 834. V ry truly yours, Willard Ya g chi Chief Deput City Attorney/Risk Manager WY:dj c: Donal O'Callaghan Resolution Nos. 2010-30 Agreement File No. 10-016 ET-cfusivefy Industrial APPROVED FEN 2< '10 CITY OUNCk. yE[3 j1: 7 2010 IF CITY CLEWS OFFICE STAFF REPORT Light & Power Department DATE: February 17, 2010��.�L� TO: Honorable Mayor and City Council FROM: Donal O'Callaghan, City Administrator RE: Gas Transportation Agreement with SoCalGas` The attached agreement is presented to City Council for approval. This is a CPUC-approved, form agreement provided by Southern California Gas Company (SoCalGas). The purpose of the agreement is to cover wholesale transportation services provided by SoCalGas to move Vernon's gas across the SoCalGas system into Vernon This agreement has a three year term commencing February 1, 2010. SoCalGas requests that it be executed sometime during February. This agreement is slightly different than previous versions in place with the City. This agreement extends for three years instead of two years, and more significantly, SoCalGas has provided a new rate schedule allowing wholesale customers such as the City to elect a "Daily Reservation Quantity" paid at a lower rate. Reserved capacity is paid for whether or not used. The rate for excess use above the reserved amount is higher. Staff has optimized its elected "Daily Reservation Quantity" to the City's greatest benefit. This agreement is approved as to form by the City Attorney. The memo is attached: DO:db - Attachments - cc: Nelly Giron, (original) Judy Lehr Document Control FEB 1 7 2010 BY: .2 r to ,r CITY ATTORNEY'S OFFICE MEMORANDUM To: Dan Bergmann, Natural Gas Manager FROM: Diana H. Varat, Assistant City Attorney CC: Laurence S. Wiener, City Attorney Gena M. Stinnett, Assistant City Attorney DATE: February 13, 2010 SUBJECT: Southern California Gas Company Transmission Service Contract - Approved as to Form The City Attorney's Office has reviewed the Intrastate Transmission Service Contract, Schedule A to the Master Services Contract with the Southern California Gas Company, and has approved it as to form. 12720-0005\1204672v1.doc