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Resolution No. 2014-030RESOLUTION NO. 2014-30 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON ADOPTING ELECTRIC RATE SCHEDULES NOS. CS, D, GS-1, GS-2, LS-1, LS-2, OL-1, PA-1, PA-2, PA-TOU, TC-1, TOU GS-1, TOU GS-2, TOU PA-1, TOU-D, TOU-G, TOU-I AND TOU-V WHEREAS, the City Council of the City of Vernon adopted Ordinance No. 1030 on May 16, 1995, providing that rates to be charged for electrical energy distributed and supplied by the City within its boundaries shall be set by resolution; and WHEREAS, the City has engaged Crossborder Energy, a rate consulting firm, to study the City's electric rates; and WHEREAS, Crossborder Energy has presented to the City an electric rate design study recommending a 6.3% rate adjustment to meet the revenue requirement for fiscal year 2015;, and WHEREAS, said study was discussed at the Advisory Committee on Electric Rates meeting on April 2, 2014 and May 7, 2014; and WHEREAS, by memorandum dated June 17, 2014, the Director of Gas & Electric has recommended that the City Council adopt the rate schedules attached hereto as Exhibit A and incorporated herein by reference; and WHEREAS, the City Council of the City of Vernon held a public hearing on June 17, 2014 regarding the proposed rate schedules and finds that all persons have had the opportunity to be heard or to file written comments; and WHEREAS, the City Council of the City of Vernon has heard and considered all evidence, both written and oral, presented in consideration of the proposed amended electric rates schedules; and WHEREAS, the City Council of the City of Vernon desires to adopt the rate schedules as proposed. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the above recitals are true and correct. SECTION 2: The City Council of the City of Vernon finds that this action is.not subject to the California Environmental Quality Act (CEQA), in accordance with CEQA Guidelines section 15273, because CEQA does not apply to "rates, tolls, fares, and other charges by public entities"; and that even if it were subject to CEQA, it would be exempt pursuant to section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment. SECTION 3: The City Council of the City of Vernon hereby adopts Rate Schedule Nos. CS, D, GS-1, GS-2, LS-1, LS-2, OL-1, PA-1, PA-2, PA-TOU, TC-1, TOU GS-1, TOU GS-2, TOU PA-1, TOU-D, TOU-G, TOU-I and TOU-V, attached hereto as Exhibit A, as the City's rates for the distribution of electrical energy supplied by the City for certain classes of service to be effective July 1, 2014. Each of these rate schedules shall supersede the any existing rate schedule with the same schedule number. Any other rate schedules of the City shall remain unchanged. SECTION 4: The rates established by this resolution are not taxes because they are charges for electric services provided by the City that do not exceed the City's estimated reasonable cost of providing the electric service to the ratepayer. - 2 - SECTION 5: The City Clerk, or Deputy City Clerk, of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk, or Deputy City Clerk, of the City of Vernon shall cause this resolution and the City Clerk's, or Deputy City Clerk's, certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 17th day of June, 2014 ATTEST: Ana arcia -eitp— / Deputy City Clerk APPROVED AS TO FORM: C9�lZC, h�h� Scott E. Porter, Deputy City Attorney .1 6 Mark''E. Mandell, Esq. Mandell Municipal Counseling Special Counsel to City - 3 - i Name: W. Michael McCormick Title: Mayor / STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I Aria Barcia r_'Q�Y Deputy City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2014-30, 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 Tuesday, June 17, 2014, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this �q day of June, 2014, at Vernon, California. (SEAL) Ana arcia Deputy City Clerk - 4 - EXHIBIT A CITY OF VERNON GAS & ELECTRIC DEPARTMENT Schedule No. CS Returned Check Charge: $ 20.00 Late Charge: 5% of Unpaid Balance (Final Notice) Re -connect Charge: Monday -Thursday 7:30 a.m. — 3:00 p.m. $ 142.47 All other hours $ 502.82 Electric Meter Test: $ 419.02 (Refundable if meter in error greater than 2%) Temporary Power Pole: $ 670.43 Plus Single -Phase Transformer: $1,676.07 Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 -Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES Per Meter Per Month Customer Charge .................................................... $2.95 Energy Charge (to be added to Customer Charge): All kWh, per kWh ....................................... 8.5630 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. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule D Page 2 3. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 4. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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 $ 13.76 $ 13.76 20.8820 19.4210 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-Rav 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. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule No. GS-1 Page 2 3. 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. 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. 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. 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. 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012.98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule No. GS-1 Page 3 10. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/O1/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES Demand Charge: All kW of billing demand, per kW* .................................. Energy Charge (to be added to Demand Charge): All kWh, per kWh .................................................... *(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 $227.77. SPECIAL CONDITIONS Voltage: Service will be supplied at one standard voltage. Per Meter Per Month $ 19.054 12.0460 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. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule No. GS-2 Page 2 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. Power Factor Adiustment: 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. 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. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/O1/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/01/14 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 Charee: 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. 13. Recordine 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation, Sheet FCA-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule No. GS-2 Page 4 16. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/O1/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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 $15.18 $14.15 $10.47 9,500 Lumens 17.60 15.74 10.76 16,000 Lumens 21.98 19.09 11.74 22,000 Lumens 25.74 21.83 12.42 25,500 Lumens 28.14 23.51 12.51 47,000 Lumens 39.78 31.71 13.09 Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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 Equ1�ment: 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. Enerev 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 City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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. 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. 8. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 9. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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 $51.04 $66.33 $29.70 $36.08 Per Meter Per Month ......................... $ 8.81 ......................... $ 23.46 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 Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 14.3700 Schedule No. LS-2 Page 2 Lamp Rating Lumens Lamn Tyne 1,000* Incandescent Extended Service 2,500* Incandescent Extended Service 4,000* Incandescent Extended Service 6,000* Incandescent Extended Service 10,000* Incandescent Extended Service 3,500* Mercury Vapor 7,000* Mercury Vapor I1,000* Mercury Vapor 20,000* Mercury Vapor 35,000* Mercury Vapor 55,000* Mercury Vapor 5,800 High Pressure Sodium Vapor 9,500 High Pressure Sodium Vapor 16,000 High Pressure Sodium Vapor 22,000 High Pressure Sodium Vapor 25,500 High Pressure Sodium Vapor 47,000 High Pressure Sodium Vapor 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 Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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: wcE PRESSURE h CURY 34DRM VAPOR PRESSURE VULI PLE INCANDESCENT SERIES GROUP GROUP EXTEME REPLACEbffiM EX'IEME D D LSlNIENS UaW AR awm eraA w $y$ REGULAR M an MULT.. SERIE a 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 M *Closed to new installation as of November 1, 1997. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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 Rats B. 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 Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule No. LS-2 Page 5 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. 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. 10. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 11. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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. 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 $15.70 $14.76 $10.56 9,500 Lumens $18.37 $16.68 $10.85 22,000 Lumens $27.42 $23.66 $12.51 POLE CHARGE (to be added to Luminaire Charge): Per Pole Per Month For each additional new wood pole installed: $5.07 Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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. 8. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule OL-1 Page 3 9. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council Authorized by the City of Vemon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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. 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 ................................................ $ 1.95 Energy Charge to be added to Service Charge -Rate All kWh, per kWh ................................................ 19.2680 Minimum Charge: The monthly minimum charge shall be the monthly Service Charge. SPECIAL CONDITIONS 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. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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. 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. In -Lieu Tax and Franchise Pay ents: 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. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-I that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule PA-1 Page 3 8. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012.98 Effective 07/01/13- Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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 subject to meter availability. Within the city limits of the City of Vernon. RATES Demand Charge: Per Meter Per Month First 75 kW or less of billing demand $ 1,026.27 All excess kW of billing demand, per kW $ 13.68 Energy Charges (to be added to Demand Charge): All kWh per kWh 14.8080 Minimum Charge: The monthly minimum charge shall be the monthly Demand Charge. SPECIAL CONDITIONS 1. Voltaee: Service will be supplied at one standard voltage. 2. Billina 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. 2011.112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012.98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule PA-2 Page 2 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 Adiustment: 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. 5. 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 Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 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. 8. 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. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/01/14 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 12. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES Per Meter Per Month Customer Charge $302.72 Automated Meter Reading (AMR) Meter Charge ($/Mo) $12.76 Demand Charge (to be added to Customer Charge): All kW of on -peak maximum billing demand, per kW $ 20.18 Plus all kW of mid -peak maximum billing demand, per kW $ 3.13 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 Plus all mid -peak kWh, per kWh Plus all off-peak kWh, per kWh *(Subject to Minimum Demand Charge. See Special Condition No. 11.) Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 10.1580 9.5220 8.570¢ 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. 3. 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 City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule PAJOU 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 Payments: The base rates and charges have been increased by 3 percent to reflect payments in -lieu of tax and franchise payments. 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. 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. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/O1/14 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 13. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112. Effective O1/O1/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/O1/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/O1/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES Per Meter Per Month Customer Charge: ............................................ $9.29 Energy Charge (to be added to Customer Charge): All kWh, per kWh ............................................ 17.1430 Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. SPECIAL CONDITIONS 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. 4. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TC-1 Page 2 5. Renewable Energv Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/O1/14 CITY OF VERNON GAS & ELECTRIC 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. 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 $ 13.76 $ 13.76 $ 13.76 Meter Charge $ 11.57 $ 11.57 $ 11.57 Energy Charge All on -peak kWh, per kWh 28.6780 47.2160 18.9240 Plus all mid -peak kWh, per kWh 20.1970 25.2080 18.0860 Plus all off-peak kWh, per kWh 15.2190 18.3700 15.1690 Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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 GS-1 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 I 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. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012.98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU GS-1 Page 3 5. 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. 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. 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. 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 10. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct July, August, Sent Nov. thru April Meter Charge $ 27.66 $ 27.66 $ 27.66 Demand Charge (per kW): $ 19.05 $ 19.05 $ 19.05 Energy Charge All on -peak kWh, per kWh 13.2410 15.7730 13.7280 Plus all mid -peak kWh, per kWh 12.7220 13.9960 12.6040 Plus all off-peak kWh, per kWh 9.8550 11.2471E 10.8940 *(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 $227.77. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 SPECIAL CONDITIONS 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. 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. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU GS-2 Page 3 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 level is involved, a customer normally entitled to a 3% discount will be entitled to a 4% discount. 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. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU GS-2 Page 4 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. 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. 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU GS-2 Page 5 17. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/O1/13 Resolution No. Effective 07/O1/14 CITY OF VERNON GAS & ELECTRIC 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 July, August, Sent Nov. thru Anril Customer Charge (per Horse Power of Connected Load) $ 1.96 $ 1.96 $ 1.96 Meter Charge $ 27.66 $ 27.66 $ 27.66 Demand Charge: Energy Charge: All on -peak kWh, per kWh 28.0410 46.5790 18.2870 Plus all mid -peak kWh, per kWh 19.5610 24.5710 17.4490 Plus all off-peak kWh, per kWh 14.5820 17.7330 14.5320 Minimum Charge: The monthly minimum charge shall be the monthly Customer Charge. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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. 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 Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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. 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. 8. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 9. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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 July. August,Sept Nov. thru April Customer Charge $ 2.95 $ 2.95 $ 2.95 Meter Charge $ 5.03 $ 5.03 $ 5.03 Energy Charge: All on -peak kWh, per kWh 26.7610 26.6670 6.3200 Plus all mid -peak kWh, per kWh 6.3200 6.320� 6.3200 Plus all off-peak kWh, per kWh 6.3200 6.320¢ 6.320¢ The monthly minimum charge shall be the monthly Customer Charge. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012.98 Effective 07/01/13 Resolution No. Effective 07/01/14 i . 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 Schedule No. TOU-D Page 2 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. 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. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule No. TOU-D Page 3 4. Fuel Cost Adjustment: Fuel cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 5. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/O1/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/O1/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/O1/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES Customer Charge Automated Meter Reading (AMR) Meter Charge ($/Mo) PER METER PER MONTH Summer Winter May, June, Oct July, August Sent Nov. thm Anril $302.72 $302.72 $302.72 $12.76 $12.76 $12.76 Demand Charge (to be added to Customer Charge): All kW of on -peak maximum billing demand, per kW $ 17.08 $ 20.18 $ 17.08 Plus all kW of mid -peak maximum billing demand, Per kW 3.13 3.13 3.13 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 10.1161E 12.6100 10.1160 Plus all mid -peak kWh, per kWh 9.4800 11.9750 9.4800 Plus all off-peak kWh, per kWh 8.5280 9.8220 8.5280 *(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. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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-G 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. Billine 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. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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 20% 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 Adiustment: 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 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. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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. 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1-that have been approved by the City Council. 15. Renewable Energy Cost Adjustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011.112 Effective O1/O1/12 Resolution No. 2012.98 Effective 07/O1/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012.98 Effective 07/O1/13 Resolution No. Effective 07/01/14 Schedule TOU-G Page 5 Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective O1/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/O1/14 CITY OF VERNON GAS & ELECTRIC 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 Vernon Gas & Electric 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 per the following rate schedule 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. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Rate Schedule Interruption Capacity Credits ($/kW -month) Summer May, June. Oct July. August,Sept On -Peak 4.56 13.65 Mid -Peak 2.24 6.21 Schedule TOU4 Page 2 Winter Nov, thru April 0.26 0.59 Charges for Excess Demand may apply under certain conditions, as provided in Special Condition 8. SPECIAL CONDITIONS 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. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU-I Page 3 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. 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. 8. Excess Demand Charge: Upon the first occurrence of Excess demand during a period of interruption, such excess demand shall be billed at $14.20 per M Upon the second occurrence of Excess demand during a Period of Interruption, such excess demand shall be billed at $21.30 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 Interrgp : 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 CITY OF VERNON GAS & ELECTRIC 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. Within the city limits of the City of Vernon. RATES PER METER PER MONTH Summer Winter May, June, Oct July, August, Sent Nov. thru April Customer Charge $ 302.72 $ 302.72 $ 302.72 Automated Meter Reading (AMR) Meter Charge ($/Mo) $ 12.76 $ 12.76 $ 12.76 Demand Charge (to be added to Customer Charge): All kW of on -peak maximum billing demand, per kW ...... $ 15.99 $ 19.54 $ 12.67 Plus all kW of mid -peak maximum billing demand, per kW $ 3.03 $ 3.03 $ 3.03 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 ....................... 9.609¢ 12.0740 9.6090 Plus all mid -peak kWh, per kW .................... 8,9910 11.4570 8.9910 Plus all off-peak kWh, per kWh .................... 8.0690 9.3290 8.0690 *(Subject to Minimum Demand Charge. See Special Condition No. 9.) Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU-V Page 2 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 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. 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 Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 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 20% 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 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 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. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU-V Page 4 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. 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 the Procedures for Calculating the Fuel Cost Adjustment Billing Factor (FCABF Procedure) Authorized by the City of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective 01/01/12 Resolution No. 2012-98 Effective 07/01/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 Schedule TOU-V Page 5 and the Fuel Cost Adjustment Calculation Sheet FCA-1 that have been approved by the City Council. 15. Renewable Energy Cost Adiustment: Renewable energy cost adjustment charge will be assessed pursuant to the Procedures for Calculating the Renewable Energy Cost Adjustment Factor (RECAF Procedure) and the Renewable Energy Cost Adjustment Calculation Sheet REC-1 that have been approved by the City Council. Authorized by the Citv of Vernon Ordinance No. 940 Effective 12/06/83 Resolution No. 2011-112 Effective O1/01/12 Resolution No. 2012-98 Effective 07/O1/12 Resolution No. 2012-98 Effective 01/01/13 Resolution No. 2012-98 Effective 07/01/13 Resolution No. Effective 07/01/14 TRANSMITTAL COMMUNICATION CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: June 24, 2014 TO: Carlos Fandino, Director of Gas & Electric rl FROM: Deborah Juarez, Records Management Assistant I l 11 RE: Resolution No. 2014-30 — A Resolution of the City Council of the City of Vernon Adopting Rate Schedule Nos. CS, D, GS-1, GS-2, LS-1, LS-2, OL-1, PA-1, PA-2, PA- TOU, TC-1, TOU GS-1, TOU GS-2, TOU PA-1, TOU-D, TOU-G, TOU-I and TOU-V Transmitted herewith is a copy of Resolution No. 2014-30 referenced above, which was approved by City Council on June 17, 2014. Thank you. MMMITMOW c: Abraham Alemu Anthony Serrano Resolution No. 2012-98 STAFF REPORT RECEIVED JUN 10 2014 CITY ADMINISTRATION RECEIVED STAFF REPORT JUN 1 1 2014 CITY CLERK'S OFFICE GAS & ELECTRIC DEPARTMENT DATE: June 17, 2014 TO: Honorable Mayor and City Council Al FROM: Carlos Fandino, Director of Gas & Electric RE: Electric Rate Adjustment for rate schedules CS, D, GS-1, GS-2, LS-1, LS-2, OL-1, PA-1, PA-2, PA-TOU, TC-1, TOU GS-1, TOU GS-2, TOU PA-1, TOU- D, TOU-G, TOU-I and TOU-V Recommendation It is recommended that the City Council: 1. Find that this action is not subject to the California Environmental Quality Act (CEQA), in accordance with CEQA Guidelines section 15273, because CEQA does not apply to "rates, tolls, fares, and other charges by public entities"; and that even if it were subject to CEQA, it would be exempt pursuant to section 15061(b)(3), the general rule that CEQA only applies to projects that may have an effect on the environment; and 2. Approve a resolution, which, among other things, adopts rate schedules which includes a 5% rate adjustment for electric customers effective July 1, 2014. Background The Gas and Electric Department (Department) retained Crossborder Energy, a rate consulting firm, to prepare an electric rate design study. The study concluded that a 6.3% rate adjustment is needed to meet the Department's revenue requirement for fiscal year 2015. The Electric Rate advisory committee discussed the study on April 2, 2014 and May 7, 2014. Staff recommends a rate adjustment lower than the consultant. Consultant's Recommendation This 6.3% rate adjustment represents a 4.8% rate adjustment to match expected fiscal year 2015 revenues and expenses plus a 1.5% rate adjustment to recover revenue losses associated with voltage discounts and interruptible service credits. The study recommended increasing the voltage discount for 66 kV customers from the current 5% to 20% to close the gap between SCE and Vernon rates for similar customers. The City could review the recommended 20% voltage discount level after it gains experience with revenues at this discount level, and after it has a chance to examine a revised marginal cost -based rate structure for all customers. The study also recommended that the City revise its TOU-I rate to provide capacity credits for interruptible service that differ by Time -of -Use period and season, similar to SCE's Base Interruptible Program (BIP). This arrangement would result in less interruptible credits compared to the current credit based on a flat rate. Vernon has historically subsidized voltage discounts and interruptible service credits using operating reserves. While the City will continue to subsidize a portion of these revenue losses from available operating reserve, the City will recover these revenue losses through a rate adjustment. Staff Recommendation Notwithstanding the consultant's recommendation of a 6.3% rate adjustment, City Staff recommends a 5% rate adjustment, effective July 1, 2014. To meet the revenue requirement for fiscal year 2015, City Staff proposes the use of up to $1.8 million from operating reserves to subsidize electric rates, and to defer some capital improvement work and implement operating and maintenance work cost reduction measures. This rate adjustment is necessary: 1. To offset the increases in the Department's operating costs; 2. To meet the City's long term debt covenants; and, 3. To fund upcoming necessary capital improvements to the electric system. The amended electric rate schedules to be approved are attached to the proposed resolution. Fiscal Impact• The recommended rate increases will meet the Gas & Electric Department revenue requirements for fiscal year 2015. CF: AA Attachments City of Vernon NOTICE OF PUBLIC HEARINGS 4305 Santa Fe Avenue Vernon, CA 90058 (323)583-8811 The City Council of the City of Vernon will conduct four (4) public hearings, which you may attend. PLACE: Vernon City Hall City Council Chambers 4305 Santa Fe Avenue Vernon, CA 90058 DATE & Tuesday, June 17, 2014 at 9:00 a.m. TIME: (or as soon thereafter as the matter can be heard) SUBJECTS: Consider Adoption of the Fiscal Year 2014-2015: 1) Proposed City -Wide Budget 2) Gann Governmental Appropriation Limit 3) General Fee Schedule for Services Provided by City 4) Adjustments to Retail Electric Rates REQUEST: All parties are invited to be present and to submit statements orally or in writing before or during the applicable public hearing(s). REVIEW OF Subject documents are available for inspection by the public at THE FILE: Vernon City Hall, City Clerk Department, 4305 Santa Fe Avenue, Vernon, California 90058, Monday thru Thursday, 7:00 a.m. to 5:30 p.m. and on the City's website at: hgp://www.cityofvemon.org/governmgnt/public- meetings/city-council. PROPOSED Staff plans to recommend that the Vernon City Council determine that CEQA the proposals will not have a significant effect on the environment and are FINDING: exempt from the California Environmental Quality Act (CEQA). If you desire to challenge the actions taken by the City Council or any portion thereof in court, you may be limited to raising only those issues you or someone else raised at the applicable hearings described in this notice or in written correspondence delivered to the City of Vernon during, or before, the hearing. Each of the hearings may be continued or adjourned or cancelled and rescheduled to a stated time and place without further official public notice of thep_ublir;hearings. Dated: OL311, This space is for the County Clerk's Filing Stamp The Only All Hispanic Owned Chain of Bilingual Newspapers 111 S. Avenue 59, Los Angeles, CA 90042-4211 Ph 323.341-7970 - Fax 323.341-7976 - www.egpnews.com PROOF OF PUBLICATION (2015.5 C.C.P.) ' STATE OF CALIFORNIA, COUNTY OF LOS ANGELES I am a citizen of the United States and a resident of the County aforementioned; I am over the age of eighteen years, and not a party to or interested in the above -entitled matter. I am the principal clerk of the printer of EASTERN GROUP PUBLICATIONS' EASTSIDE SUN. MEXICAN AMERICAN SUN NORTHEAST SUN, BELL GARDENS SUN VERNON SUN, COMMERCE COMET CITY TERRACE COMET, MONTEBELLO COMET MONTEREY PARK COMET, E.L.A. BROOKLYN BELVEDERE COMET AND WYVERNWOOD CHRONICLE newspapers of general circulation, printed and published THURSDAYS in the County of Los Angeles, and which newspaper has been adjudicated a newspaper of general circulation by the Superior Court of the County of Los Angeles, State of California, under the date of JUNE 21, 1966, CASE NUMBER 884861; that the notice, of which the annexed is a printed copy (set in type not smaller than nonpareil), has been published in each regular and entire issue of said newspaper and not in any supplement thereof on the following dates, to -wit: JUNE 05 & 12, all in the year 2014. I certify (or declare) under penalty of perjury that the foregoing is true and correct. Dated at LOS ANGELES, California, this 12111day of JUNE, 2014. __X Signature CITY OF VERNON Proof of Publication of City of Vernon Notice of Public Hearings Consider Adoption of the Fiscal Year 2014- 2015 — 1) Proposed City -Wide Budget: 2) Gann Governmental Appropriation Limit: 3 General Fee Schedule for Services Provided by City: and 4) Adjustments to Retail Electric Rates