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HomeMy WebLinkAboutMINUTES - 03051996 - SD2 SD. 2 CONTRA COSTA COUNTY BOARD OF SUPERVISORS Adopted this Resolution on March 5, 1996 , by the following vote: AYES: Supervisors Rogers, Torlakson, DeSaulnier and Smith NOES: None. ABSENT: Supervisor Bishop. ABSTAIN: None'..;' RESOLUTION NO. 96/ 0 8 9 (Government Code § 25350) In the Matter of Authorizing Contra Costa ) County's Participation in the Association of ) Bay Area Governments' (ABAG) Power ) Purchasing Pool Program for Natural Gas ) and Electricity ) WHEREAS, Contra Costa County is currently purchasing natural gas and related transportation and distribution services from Pacific Gas and Electric (PG&E) an entity providing natural gas to Contra Costa County under the jurisdiction of the California Public Utilities Commission (CPUC); and WHEREAS,deregulation of the natural gas industry in 1986 and CPUC Decisions Nos. 91- 02-040, 94-04-027 and 95-07-048, end regulation promulgated thereunder, permit utility customers, including local governments, to purchase natural gas and specified related support services from third parties through a "core transport agent;" and WHEREAS, bulk purchasing of natural gas has proven itself to be a legal and cost- effective means to achieve reductions in energy costs; and WHEREAS, Contra Costa County is a member of the Association of Bay Area Governments (ABAG); and WHEREAS, ABAG proposes to (1) form a Power Purchasing Pool Program to aggregate natural gas needs of interested ABAG members and cooperating members and (2) act as a core transport agent on behalf of such members and (3) deliver, or cause to be delivered, natural gas and related services (including invoicing and gas management) to such members and (4) form a Power Purchasing Pool Committee comprised of representatives from each participating member or cooperating member and grant it the power to oversee the Program; and WHEREAS, ABAG may issue short-term debt in order to finance security deposit requirements and/or cash flow deficits incurred by ABAG in operating the Power Purchasing Pool Program which debt may be secured by the assignment, encumbrance or hypothecation of the Natural Gas Sales and Aggregation Agreement between ABAG and Contra Costa County. NOW, THEREFORE, BE IT RESOLVED, that the Board of Supervisors of Contra Costa County hereby authorizes the participation of Contra Costa County in the ABAG Power Purchasing Pool to undertake a bulk purchasing program for natural gas on behalf of Contra Costa County and other ABAG members or cooperating members. i RESOLUTION NO. 96/ 089 Page 1 of 2 SD. 2 BE IT FURTHER RESOLVED, that Contra Costa County's Director of General Services, or his designee, is authorized to enter into the following Agreements: (1) the Utility's Customer Authorization for Core Gas Transportation Services, Attachment A, and (2) the Natural Gas Sales and Aggregation Agreement with ABAG, in substantially the form set forth in Attachment B appointing ABAG as the core transport agent for Contra Costa County in procuring the purchase and transportation of natural gas and related services. BE IT FURTHER RESOLVED, that Contra Costa County consents to the assignment, encumbrance or hypothecation of the Natural Gas Sales and Aggregation Agreement with ABAG for the sole purpose of securing short-term financing of the security deposit requirement and/or cash flow deficits incurred by ABAG in implementing the Power Purchasing Pool Program. FINALLY, BE IT ALSO RESOLVED, that the Deputy General Services Director is appointed Contra Costa County's representative on ABAG's Power Purchasing Pool Committee to oversee the operation of Power Purchasing Pool Program. PHIL BATCHELOR, Clerk of the Board of Supervisors and County istrator By Deputy Clerk Contact: Barton J. Gilbert(313-7100) Orig. Dept.: General Services cc: GSD-Administration County Administrator Auditor-Controller County Counsel RESOLUTION NO. 96/ 0 8 9 Page 2 of 2 C� GENERAL SERVICES DEPARTMENT 1220 Morello Avenue, Suite 200 Martinez, California Extension 3-7100 FAX 3-7108 DATE: February 14, 1996 TO: Board of Supervisors FROM: Barton J. Gilbert, I�i r of General Services By: Kathy Brown, General Services Director SUBJECT: Resolution to Join ABAG's Power Purchasing Pool Recommendation The Director of General Services recommends that the Board adopt the attached resolution to enter into an Agreement with ABAG to join its Power Purchasing Pool. This Agreement provides for: (1) a Natural Gas Sales and Aggregation Agreement appointing ABAG as the Core Transport Agent for the County in procuring the purchase and transportation of natural gas; (2) Pacific Gas and Electric's (PG&E's) Customer Authorization for Core Gas Transportation Service; (3) delegation of authority to the Director of General Services, or his designee, to enter into and sign the Agreement; and (4) appointment of the Deputy General Services Director to be the County representative on ABAG's Power Purchasing Pool Committee. Background In October 1995, the Board adopted a resolution authorizing: (1) the County's participation in ABAG's Power Purchasing Pool and (2) the Director of General Services Department to sign an agreement with ABAG to conduct a Request for Proposal process for natural gas on the County's behalf and to negotiate both a natural gas supply contract and transportation agreement for the County's review and execution. ABAG has successfully negotiated a natural gas price for ABAG members that is 5.5 percent below PG&E's cost of gas (gas only) and 2.3 percent below PG&E's bundled rate for natural gas and* transportation, but because ABAG changed its proposed Power Purchasing Pool a new Board Resolution is required. SD.Z Board of Supervisors February 14, 1996 Page -2- The Agreement between ABAG and the County is "substantially different" than initially presented to the Board in that ABAG is joining with a current Agreement for natural gas purchase, School Project for Utility Rate Reduction (SPURR). ABAG now intends to use the Agreements as security in a short-term financing to raise funds to cover both security deposits required by PG&E and cash flow deficits to be incurred by ABAG. The Agreement will be effective for 15 months from April 1, 1996 - June 30, 1997. Discussion ABAG Rates for Natural Gas: In order to secure the best possible price for natural gas, ABAG chose to "piggy-back" on a RFP/bid process conducted by (SPURR), a natural gas aggregation program for school districts. The low bidder, Enserch Gas Marketing, Inc., initially was to extend its low bid to ABAG members; however, after further negotiation, Enserch offered additional price concessions to bring the total reduction in the price of gas to 5.5 percent of PG&E's cost of gas. In addition, ABAG will be able to achieve additional cost savings through commodity management techniques such as pipeline rebrokering, storage, and brokerage fees. These savings are equal to approximately 2.3 percent below PG&E's bundled price for natural gas and transportation. Agreement No. 1: Gas Sales and Aggregation Agreement: The Gas Sales and Aggregation Agreement authorizes ABAG to serve as the Core Transport Agent for the County, and asks the County to acknowledge that ABAG may, in order to fund PG&E-required security deposits and cash flow deficits, incur short-term debt secured by this Agreement. The California Public Utilities Commission (CPUC) and PG&E regulations require all customers who want to aggregate their gas requirements to sign an Agreement with a Core Transport Agent. A Core Transport Agent purchases natural gas on behalf of a group of customers. It also provides other services such as nomination and delivery of gas supplies, treatment of gas imbalances, management of gas storage inventories, and other procurement-related activities. The Core Transport Agent is responsible for billing for services and collecting payments from the customers. After evaluating options, ABAG decided that ABAG, rather than a gas supplier, should play this critical function with the assistance of a joint venture firm of Diablo Energy Consultants and IQ Solutions. . sD2 Board of Supervisors February 14, 1996 Page -3- This Agreement provides information on ABAG's fees for this service. ABAG will collect one cent ($0.01) per therm consumed by the County as an operating fee to pay for the services described above. In addition, ABAG will collect one-third of one cent ($0.003) per therm -consumed to offset its own administrative costs and the costs associated with start-up activities conducted by New Energy Ventures. Savings discussed above are net of these fees. Agreement No. 2: PG&E Customer Authorization for Core Gas Transportation Service: This Agreement, authorizes PG&E to recognize ABAG as the County's Core Transport Agent and to bill ABAG for the County's transportation services. The County continues to be responsible for payment to PG&E for its transportation bills. PG&E will continue to provide to the County all existing services except for procurement of natural gas. These include meter readings, routine service calls, and emergency response. In addition to the bill sent by ABAG, PG&E will provide the County with an "information-only" invoice, displaying the County's actual meter readings for the purpose of confirming ABAG's bill. Fiscal Impact The County spends an estimated $1,005,307 per year for natural gas services. Based on ABAG's estimate of 2.3 percent discount below the PG&E rate, the County annually will save approximately $18,663. According to ABAG, estimated savings can increase as further deregulation of natural gas transportation is planned. KB:dp Attachment A - Customer Authorization for Core Gas Transportation Service Attachment B -Natural Gas Sales and Aggregation Agreement Attachment C -ABAG's Savings Plan Attachment D - Estimated Savings for Contra Costa County cc: GSD-Administration County Administrator Auditor-Controller County Counsel f'.. For PG&E use only CTA Group No.: Contract No.: Date Received: Effective.Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s)begin Core Gas Transportation Service. Address City Account Number 1 875 EL PUEBLO AVE PITTSBURG BJC3712401 2 500 SCHOOL ST PITTSBURG BJC3760102 3 550 SCHOOL ST PITTSBURG BJC3760222 4 1644 N BROADWAY WALNUT CREEK BJG6541302 5 3020 GRANT ST CONCORD BJG7315602 6 1030 DETROIT AVE CONCORD BJGNG00401 7 45 CIVIC AVE PITTSBURG CJC4011101 8 80 POWER ST PITTSBURG CJC4011804 9 202 GLACIER DR MARTINEZ CJG3910401 10 220 GLACIER DR#A MARTINEZ CJG3910562 11 202 GLACIER DR MARTINEZ CJG3910602 12 255 GLACIER DR MARTINEZ CJG3946703 13 1960 MUIR RD MARTINEZ CJG3946981 14 1980 MUIR RD MARTINEZ CJG3947101 15 2047 ARNOLD INDUSTRIAL CONCORD CJG7451083 16 2480 PACHECO ST CONCORD CJG7666905 17 2476 PACHECO ST CONCORD CJG7667002 18 2495 SALVIO ST#2 CONCORD CJG7668408 19 2495 SALVIO ST#1 CONCORD CJG7668500 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts, omissions, or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of_ sD2 For PG&E use only CTA Group No.: Contract No.: Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s) begin Core Gas Transportation Service. 20 2495 SALVIO ST#3 CONCORD CJG7668604 21 2495 SALVIO ST#4-5 CONCORD CJG7668706 22 4333 PACHECO BLVD MARTINEZ CJG7714002 23 401 ESCOBAR ST MARTINEZ DJG2057903 24 610 MARINA VISTA MARTINEZ DJG2061201 25 620 MARINA VISTA MARTINEZ DJG2061304 26 20 ALLEN ST MARTINEZ DJG2157402 27 50 DOUGLAS DR MARTINEZ DJG2790404 28 40 DOUGLAS DR MARTINEZ DJG2790562 29 30 DOUGLAS DR MARTINEZ DJG2790682 30 10 DOUGLAS DR MARTINEZ DJG2790702 31 1236 ESCOBAR ST MARTINEZ DJG3110002 32 1139 ESCOBAR ST MARTINEZ DJG3118701 33 821 ESCOBAR ST MARTINEZ DJG3119302 34 724 ESCOBAR ST MARTINEZ DJG3128842 35 624 FERRY ST#A MARTINEZ DJG3129942 36 624 FERRY ST#B MARTINEZ DJG3130042 37 822 MAIN ST MARTINEZ DJG3137803 38 826 MAIN ST MARTINEZ DJG3138000 39 740 COURT ST MARTINEZ DJG3141001 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts,omissions,or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of— sD,2 For PG&E use only CTA Group No.: Contract No.: Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s) begin Core Gas Transportation Service. 40 '834 COURT ST MARTINEZ DJG3141302 41 1020 WARD ST MARTINEZ DJG3141842 42 725 COURT ST MARTINEZ DJG3141901 43 1111 WARD ST MARTINEZ DJG3142101 44 1215 MAIN ST MARTINEZ DJG3144301 45 611 PINE ST MARTINEZ DJG3144401 46 620 COURT ST MARTINEZ DJG3145004 47 627 FERRY ST MARTINEZ DJG3150162 48 4849 IMHOFF DR MARTINEZ DJG3608101 49 2475 WATERBIRD WY MARTINEZ DJG3608901 50 4785 BLUM RD MARTINEZ DJG3609401 51 2467 WATERBIRD WY MARTINEZ DJG3609741 52 4639 PACHECO BLVD MARTINEZ DJG3636001 53 2500 ALHAMBRA AVE MARTINEZ DJG4508021 54 333 C ST MARTINEZ DJG4508541 55 2500 ALHAMBRA AVE MARTINEZ DJG4511721 56 30 M U I R RD MARTINEZ DJG4680002 57 40 MUIR RD MARTINEZ DJG4680202 58 1000 WARD ST MARTINEZ DJG5457102 59 1000 WARD ST MARTINEZ DJG5457201 ❑ Check box if additional listings of accounts are attached. Note:. Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts, omissions, or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of_ For PG&E use only : CTA Group No.: Contract No.: Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s)begin Core Gas Transportation Service. 60 524 MAIN ST MARTINEZ DJG7311905 61 900 THOMPSON ST MARTINEZ DJG7355903 62 829 LAS JUNTAS MARTINEZ DJG7356806 63 805 LAS JUNTAS MARTINEZ DJG7356906 64 730 LAS JUNTAS MARTINEZ DJG7357302 65 1619 SHELL AVE MARTINEZ DJG9813401. 66 1619 SHELL AVE MARTINEZ DJG9813701 67 1619 SHELL AVE MARTINEZ DJG9813901 68 595 CENTER AVE MARTINEZ FJG7191202 69 1220 MORELLO AVE#101A MARTINEZ FJG7559402 70 1220 MORELLO AVE#101 B MARTINEZ FJG7559502 71 1220 MORELLO AVE MARTINEZ FJG7559702 72 1220 MORELLO AVE#201A MARTINEZ FJG7559802 73 1220 MORELLO AVE#103 MARTINEZ FJG7559902 74 1220 MORELLO AVE#202 MARTINEZ FJG7560002 75 1220 MORELLO AVE#201 B MARTINEZ FJG7560102 76 100 MONTGOMERY ST SAN RAMON FJN3118523 77 716 W 10TH ST ANTIOCH GJC2484402 78 501 W 18TH ST ANTIOCH GJC7956103 79 1700 OAK PARK BLVD PLEASANT HL GJG5851602 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an . individual or company that contracts withPG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAs operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts, omissions, or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of_ For PG&E use only 3• ° .: CTA Group No.: Contract No.. Date Received: Effective Service Date: Termination Date: "s? ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s)begin Core Gas Transportation Service. 80 1756 OAK PARK BLVD PLEASANT HL GJG5852301 81 640 YGNACIO VALLEY RD WALNUT CREEK HJG7715903 82 630 YGNACIO VALLEY RD WALNUT CREEK HJG7716003 83 2020 N BROADWAY WALNUT CREEK HJG7716404 r; 84 OAKLEY OFFICE OAKLEY KJC3667501 85 2 IRWIN WY ORINDA KJG7423801 86 61 ARLINGTON AVE KENSINGTON KJR4135302 87 1500 ST MARYS RD MORAGA LJG2859002 88 952 MORAGA RD LAFAYETTE MJG8032501 89 4300 GARDEN RD EL SOBRANTE MJT6361106 90 4191 APPIAN WY EL SOBRANTE MJT6361201 91 3630 SAN PABLO DAM RD EL SOBRANTE MJT6851803 92 825 HARTZ WY DANVILLE PJG4185701 93 151 LINUS PAULING DR HERCULES PJT9023901 94 S END OF BIXLER ON E/S BYRON QJC5125001 95 CORP YARD BRENTWOOD QJC6037701 96 220 PACIFIC AVE RODEO QJT3343301 97 189 PARKER AVE RODEO QJT3742306 98 199 PARKER AVE RODEO QJT3742404 99 2935 PINOLE VALLEY RD PINOLE QJT6044201 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is"an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's.acts,omissions,or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of— For PG&E use only CTA Group No.: Contract No.: Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s) begin Core Gas Transportation Service. 100 850 POMONA ST CROCKETT QJT6542803 101 991 LORING AVE CROCKETT QJT8010401 102 751 3RD ST BRENTWOOD RJCO232001 103 2586 APPIAN WY PINOLE RJT01.12902 104 NS HILLTOP DR E/ RICHMOND RJT1543805 105 3045 RESEARCH DR RICHMOND . RJT1547702 106 3095 RICHMOND PKWY RICHMOND RJT1553904 107 5555 GIANT RD RICHMOND RJT1670501 108 790 SAN PABLO AVE PINOLE RJT4524501 109 3431 MACDONALD AVE RICHMOND RJT9048504 110 2366 STANWELL CIR CONCORD SJG1261121 111 2355 STANWELL CIR CONCORD SJG1261343 112 2425 BISSO LN#100 CONCORD SJG1264081 113 2425 BISSO LN CONCORD SJG1264162 114 2425 BISSO LN#100 CONCORD SJG1264321 115 2371 STANWELL DR CONCORD SJG1276704 116 2371 STANWELL DR CONCORD SJG1276745 117 2371 STANWELL DR CONCORD SJG1276762 118 2301 STANWELL DR CONCORD SJG1277104 119 171 JOHN GLENN DR CONCORD SJG1478501 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts, omissions, or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of— SD.2 For PG&E use only CTA Group No.. Contract No.. Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s) begin Core Gas Transportation Service. 140 1950 PARKSIDE DR CONCORD WJG0160421 141 2970 WILLOW PASS RD CONCORD WJG7309601 142 3018 WILLOW PASS RD#B CONCORD WJG7310602 143 2025 SHERMAN DR PLEASANT HL WJG8029803 144 1313 CUTTING BLVD RICHMOND WJT3128106 145 1301 CUTTING BLVD RICHMOND WJT3128306 146 1303 MACDONALD AVE RICHMOND WJT7541603 147 4545 DELTA FAIR BLVD ANTIOCH XJC5515302 148 232 BROADWAY RICHMOND XJT0526306 149 256 24TH ST RICHMOND XJT0542801 150 1014 FLORIDA AVE RICHMOND XJT2010002 151 6510 STOCKTON AVE EL CERRITO XJT8523801 152 5050 HARTNETT AVE RICHMOND YJT2034503 153 1820 PEERLESS AVE EL CERRITO YJT2551105 154 SO 28TH & MAIN AVE RICHMOND YJT7716302 155 327 E LELAND RD PITTSBURG ZJC1878108 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts, omissions,or presentations. Form No. 79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of_ For PG&E use only CTA Group No.: Contract No.: Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORATION SERVICE Customer requests that the following PG&E gas account(s)begin Core Gas Transportation Service. 120 12TH ST S/LAKE S PABLO SAN PABLO SJT1050002 121 2555 EL PORTAL DR SAN PABLO SJT4042002 122 4061 PORT CHICAGO HWY CONCORD TJG1696383 123 2661 OAK GROVE RD WALNUT CREEK TJG4110203 124 1911 SAN MIGUEL DR WALNUT CREEK TJG4533607 125 1911 SAN MIGUEL DR WALNUT CREEK TJG4533802 126 1911 SAN MIGUEL.DR WALNUT CREEK TJG4533906 127 1601 N JADE ST RICHMOND TJT3128602 128 2101 MARKET AVE SAN PABLO TJT4050202 129 847 BROOKSIDE DR RICHMOND TJT9837003 130 847 BROOKSIDE DR RICHMOND TJT9838001 131 845-847 BROOKSIDE DR RICHMOND TJT9838901 132 845 BROOKSIDE DR RICHMOND TJT9839101 133 3505 LONE TREE WY#4 ANTIOCH VJC2552204 134 3811 BISSELL AVE#A RICHMOND VJT8546201 135 100 37TH ST RICHMOND VJT8547201 136 100 37TH ST RICHMOND VJT8547503 137 205 41ST ST RICHMOND VJT8549302 138 31ST& MAC DONALD AVE RICHMOND VJT9551502 139.2900 SALVIO ST CONCORD WJG0160321 ❑ Check box if additional listings of accounts are attached. Note: Under PG&E's CPUC-approved tariffs governing Core Gas Transportation Service, a CTA is "an individual or company that contracts with PG&E and participating core gas transportation service Customers as the responsible agent to manage natural gas deliveries to PG&E on behalf of a Core Transport Group." CTAS operate independent of PG&E. They are not agents of PG&E, and PG&E is not liable for any of the CTA's acts,omissions,or presentations. Form No.79-845-Attachment A Pricing and Regulatory Support August 18, 1995 Page 3 of_ SD.Z Distribution: For PG&E use only OPG&E Program Administrator(original) CTA Group No.: OCTA Contract No.: ❑Customer Date Received: Effective Service Date: Termination Date: ATTACHMENT A CUSTOMER AUTHORIZATION FOR CORE GAS TRANSPORTATION SERVICE By this Authorization for Core Gas Transportation Service (Authorization), (Customer, I, my), a(n), whose business address is requests Core Gas Transportation service from Pacific Gas and Electric Company (PG&E), a California Corporation and authorizes Association of Bay Area Governments (CTA), a(n) California joint powers agency ,whose business address is 101 Eighth Street Oakland CA 94607-4756 to act as CTA for the purpose of establishing and administering core gas transportation service on my behalf in accordance with the rules and regulations of the California Public Utilities Commission(CPUC). CTA is authorized to do any and all things both proper and necessary in establishing and administering such service for and on my behalf, including (by way of illustration and not limitation) the purchase, nomination and delivery of gas supplies, treatment of gas imbalances, management of gas storage inventories, and all procurement-related transactions for my PG&E accounts contained in this Authorization. Core Gas Transportation Service will begin no later than 90 days from the date PG&E receives this Authorization. The effective service date for the Authorization will be the first day of the month following its execution by PG&E (or the first meter reading date of the month following its execution by PG&E, if earlier). Each PG&E account will begin Core Gas Transportation Service on the normal meter reading date in the effective service month. The initial term of this Authorization will be (12) consecutive months from the effective service date and thereafter . will continue month-to-month unless Customer closes its business, until Authorization is_canceled by PG&E as specified in Rule 23, or either Customer or CTA executes and submits to PG&E Attachment E, Termination of Customer Authorization for Core Gas Transportation Service. Unless otherwise specified, Termination received by the first of the month will become effective for each account on the normal meter reading date in the following month. Customer authorizes PG&E to release to CTA by written or electronic transfer the current and historical gas-usage information for PG&E accounts contained in this Authorization. Customer releases, holds harmless, and indemnifies PG&E from any liability, claims, demands, causes of action, damages, or expenses resulting from unauthorized use of this information. PG&E will provide its services to Customer as established in the terms and conditions of Schedule G-CT, Rule 23, and other rules and regulations and any modifications thereto as authorized from time to time by the CPUC. Customer will continue to be responsible for payment of PG&E transportation bills, even if Customer authorizes PG&E to send its bill to CTA for payment. Customer is responsible for franchise fees under Schedule G-SUR and any Utility User's Tax that may be required as a result of receiving gas commodity through CTA. The CPUC does not regulate CTA, and any disputes with CTA will be Customer's sole responsibility. Billing disputes between Customer and PG&E will be resolved as specified in Rule 10 and Rule 23. Form No.79-845-Attachment A. Pricing&Regulatory Support August 18, 1995 Pagel Check one: ❑ 1 request that PG&E bill me directly for its services at my current billing address(es). PG&E may provide CTA with an information-only statement of my PG&E charges. ❑ 1 request that PG&E send my PG&E bill to CTA for payment, subject to approval by PG&E. If PG&E approves the CTA for this billing option, I will receive an information-only statement of my PG&E charges, sent by PG&E to my current billing address(es). PG&E must receive one completed and signed original of Authorization. Facsimiles or photocopies must be accompanied by an original. COMMUNICATIONS PG&E will use the following addresses to send formal notices, tariffs, PG&E service information and executed agreements to Parties. This will not change the current billing address on PG&E accounts. To Customer: To CTA: To PG8JE: Association of Bay Area Gov'ts Pacific Gas&Electric Company (Customer Company Name) (CTA Company Name) Mailing Address: Mailing Address: Mailing Address: 3201 Danville Blvd Suite 275 P.O. Box 770000 Alamo CA 94507 Mail Code H28H San Francisco CA 94177 Service Address: Service Address: Service Address: 3201 Danville Blvd Suite 275 123 Mission Street Alamo CA 94507 Mail Code H28H San Francisco CA 94105 Attention: Attention: Attention: ABAG Coordinator Core Transport Program Admin. Telephone Number: Telephone Number: Telephone Number: ( L ( 510 ) 743-7877 (415)973-3059 Telecopy Number: Telecopy Number: Telecopy Number: ( ) 510 ) 743-1014 (415)973-2384 (Please Type or Print Clearly) Signed by: Accepted b - (Signature of duly authorized representative) (Signat of duly au orized represent ati e) For: For: Association of Bay Area Governments (Customer Company Name) (CTA Company Name) Eugene Y. Leong (Print Name) (Print Name) Executive Director (Title) (Title) (Date) (Date) Form No.79-845-Attachment A Pricing&Regulatory Support August 18, 1995 Page 2 ATTACHMENT B NATURAL GAS SALES AND AGGREGATION AGREEMENT By and Between ABAG and County of Contra Costa For service within the territory of Pacific Gas & Electric Company NATURAL GAS SALES AND AGGREGATION AGREEMENT This Natural Gas Sales and Aggregation Agreement, hereinafter "Agreement", is made and entered into as of this day of _199—, by and between the Association of Bay Area Governments, a California joint powers agency, hereinafter "ABAG", and County of Contra Costa, a California General Law County, hereinafter "Public Agency". The parties hereby agree as follows: 1. Eligibility: Public Agency is a member or cooperating member of ABAG. ABAG shall provide directly, or at its option, shall contract to provide coordination services for the purchase and management of a natural gas program.for members and cooperating members of ABAG participating in said program [Participant(s)]. 2. Authorities: Public Agency is a customer of an entity providing natural gas services, hereinafter "Utility", under the jurisdiction of the California Public Utilities Commission, hereinafter "CPUC." Public Agency appoints ABAG as its exclusive agent to coordinate its participation in the Utility's Natural Gas Aggregation Program for core transport customers, hereinafter "Program", on behalf of Public Agency for the facilities listed in Exhibit A, which is attached hereto and incorporated herein. All parties understand and agree that the authority for the Program is granted by and subject to the CPUC, as initially authorized by CPUC Decision No. 91-02-040 and modified through CPUC Decision No. 94-04-027 and Decision No. 95-07-048. This agreement is pursuant to the Utility Aggregation Tariff Rate Schedule(s), Tariff Rules and terms and conditions set forth in such agreement. Public Agency represents and warrants that-any prior aggregator authorizations which Public Agency may have executed will be terminated effective no later than the date of this authorization. 3. Services: ABAG shall deliver, or cause to delivered, the following services to Public Agency: 3.1 Analyze and evaluate natural gas supply and transportation strategies; 3.2 Negotiate and implement natural gas purchase, transportation and other similar gas services for Participants; 3.3 Forecast estimated monthly gas requirements of Public Agency; 3.4 Negotiate prices and quantities for natural gas purchases by Public Agency which may include a bid or request for proposal process; 3.5 Perform nominations of gas purchased and transportation services for Public Agency; -1- SU.Z 3.6 Monitor gas account imbalances with transporters; 3.7 Provide for the delivery of natural gas to Participants' facilities as listed in Exhibit A and for storage as permitted by the Utility. 3.8 Generate gas purchase, transportation and storage invoices showing: 3.8.1 For each facility listed in Exhibit A, the meter cycle, monthly usage, gas charges, which include utility transportation charges, operational fees, ABAG administrative fees and any utility charges. . 3.8.2 The status of the account identifying the prior account balance, any payments since the previous invoice, current charges plus any applicable late payment charges and credit balances as calculated pursuant to Paragraph 9.3; and 3.9 Provide general consultation services. 4. Enrollment Notification of Changes: Public Agency shall through the attached Exhibit A, which is incorporated herein, submit to ABAG its list of accounts to be served hereunder. Public Agency represents and warrants that all facilities listed in Exhibit A distribute natural gas used by Public Agency and that none of the facilities will be serviced by another core transport agent as of the Start Date as defined in Paragraph 9.5. Public Agency shall also notify ABAG of.changes in Public Agency's facilities or operations which are reasonably expected to increase or decrease the consumption of natural gas more than ten percent (10%) as compared to historical levels. Public Agency may add facilities to Exhibit A upon prior written notice to ABAG and the submission of a "Customer Authorization for Core Gas Transportation Service" form (or Utility authorized equivalent) to the Utility. Public Agency may delete facilities from Exhibit A only upon written consent by ABAG, which consent shall not be unreasonably withheld, except that Public Agency may delete facilities without ABAG's consent if Public Agency abandons the facility or transfers the facility to another entity. 5. Agency Relationship: Public Agency authorizes ABAG to act as its exclusive agent for the Program and does hereby constitute and appoint an authorized officer or agent of ABAG to act on its behalf as its lawful agent for the implementation of the Program. This authorization shall include the right to do and perform all acts, with full power to execute all documents requisite and necessary to be done in all matters relating to the purchase, sale, and transportation of natural gas. Therefore, Public Agency authorizes ABAG to take actions appropriate to establish and implement the Program, including, but not limited to: 5.1 Aggregating the gas supplies and services of Public Agency with those of other Participants in conjunction with providing such gas supplies and services to Public Agency and pursuant to the terms and conditions of the Program; -2- S.P2- 5.2 Executing local distribution company riders and other documentation on behalf of Public Agency; 5.3 Nominating gas supplies on behalf of Public Agency; 5.4 Handling gas imbalances, gas storage, and all other operational transactions with the Utility in order to deliver gas to the Utility for subsequent redelivery to Public Agency; and 5.5 Arranging for payment of Program bills for natural gas, transportation and other Utility charges. Public Agency understands and agrees that in the event of nonpayment by ABAG, Public Agency will be responsible for payment of Public Agency's bills for gas and services, even if the Public Agency has already made payment to ABAG for those gas quantities and services. Public Agency understands that if ABAG's contract with the Utility terminates for any reason, on Public Agency's receipt of notice from Utility, Public Agency will receive gas service for Exhibit A accounts under core procurement service from the Utility commencing on the first day of Public Agency's next billing cycle pursuant to the terms and conditions of the applicable core procurement Tariff Rate Schedule for each Public Agency's accounts for the remainder of the Contract Year. 6. Title: All purchase, transportation and other gas service contracts shall be in the name of ABAG. 7. Term: Subject to the provisions of Paragraphs 12 or 13 hereof, and receipt of timely notifications of alternative arrangements, this Agreement shall be in full force and effect from the date first written above until June 30, 1997. Subject to Paragraph 13, the term of this Agreement shall be automatically extended for additional one-year periods upon ABAG's submission to Public Agency of written notice no later than June 1 of each year and stating all proposed fees for the extension period. 8. Fees: The operational fees for all the services described in Paragraphs 3 and 5 above will be one cent ($.01) per therm used by Public Agency until June 30, 1997. An administrative fee of three- tenths of one cent ($.003) per therm used by Public Agency will also be charged until June 30, 1997. 9. Payment: 9.1 On a monthly basis, unless otherwise approved by Public Agency, ABAG will provide, or cause to be provided, to Public Agency a consolidated invoice for the Public Agency's facilities serviced under this Agreement. Invoices will be directed to and payment is to be made directly by Public Agency to the escrow account designated pursuant to Paragraph 10 of this Agreement. Payment is due immediately upon receipt of the invoice. Late payment charges at the rate of one and a half percent (1.5%) per month calculated daily on the outstanding balance will be imposed commencing on the thirty-first (31st) day after the mailing date of the invoice. Late payment charges may, at ABAG's sole discretion, be debited against Public Agency's Credit Account as defined in Paragraph 9.3. -3- SD,2 9.2 ABAG will invoice Public Agency, and Public Agency will pay, in fifteen (15) monthly installments sums representing payments in advance for the natural gas and services provided under this Agreement (Invoiced Amounts). Initially, Invoiced Amounts will be based on ABAG's estimate of Public Agency's consumption of natural gas for the month leveled to eliminate extreme consumption fluctuations but adjusted to reflect moderated seasonal fluctuations. Each invoice will also identify the costs, if any, of natural gas, transportation, utility charges, operational fees and administration fees charged to Public Agency for the period identified in the invoice (Actual Charges). Any disputes between the parties regarding the amount of any Actual Charges shall be resolved pursuant to Section H of Exhibit B to this Agreement and the Credit Account, as defined in Paragraph 9.3 will be adjusted as soon as practicable to reflect the resolution of the dispute. 9.3 For each invoice, ABAG will calculate (a) the difference between the Invoiced Amount and the Actual Charges, and (b) the difference between the cumulative total of the Invoiced Amounts and the cumulative total of Actual Charges, adjusted pursuant to Paragraphs 9.1 and 9.2 (Credit Account). Public Agency recognizes that the Credit Account is a calculation of payments, credits, debits and charges made pursuant to this Agreement and that ABAG will not be required to establish actual fund accounts on behalf of, or in the name of Public Agency, with monies. 9.4 In accordance with the terms of Paragraph 10, ABAG will first apply the Invoiced Amounts to the payment of Actual Charges. Public Agency acknowledges that during the term of this Agreement ABAG has the right to use monies in the amount reflected in the Credit Account to pay Actual Charges incurred by other Participants in the Program as such Actual Charges become due. Such use of the monies will not be a debit against the Credit Account and will not obviate, eliminate or modify ABAG's obligation to pay Public Agency the Credit Account amount pursuant to Paragraph 13.3. ABAG retains the right to modify Invoiced Amounts to increase the sum of Credit Accounts in the Program in order to timely pay Actual Charges as they become due. 9.5 The initial invoice will be dated March 1, 1996 and must be paid by April 1, 1996 (Start Date), or this Agreement terminates on April 1, 1996. Upon prior written notice to Public Agency, ABAG may delay the Start Date to accommodate Program requirements. 9. 6 In the event Public Agency fails to make timely payment, consistent with the terms employed by ABAG, in addition to any other remedy it may have hereunder and notwithstanding the existence of any late payment penalty, ABAG may declare Public Agency to be in default and terminate the agreement. ABAG is further authorized to bill Public Agency for reasonable charges associated with demands for payment on late accounts as well as reasonable charges associated with suspension and resumption of service hereunder. -4- sD.Z r" 10. Disbursement of Funds: Subject to the terms and conditions of this Agreement, ABAG agrees to provide for sale and delivery, and Public Agency agrees to receive and to pay ABAG for natural gas . Further, Public Agency agrees to pay for the Actual Charges. 10.1 An escrow account for the purposes of receiving payments by Participants and making payments to the Utilities, the gas supplier and other payees as authorized by ABAG will be established. 10.2 The instructions for this escrow account have been approved by ABAG, and shall include a list of the authorized recipients of payments from the account. 10.3 Only ABAG may authorize release of funds from the escrow account, and such shall only be to those payees identified in the escrow instructions. 11. Gas Program Pricing: The gas charges to the participants will include the gas commodity per therm rate which shall be equal to ninety-four and one-half percent (94.5%) of the Utility's core subscription weighted average cost of gas (WACOG) multiplied by Public Agency's gas usage plus the applicable utility transportation charges. Any storage injection charges or storage withdraw credits will be calculated at the gas commodity per therm rate for the applicable month. The gas commodity price stated in this paragraph shall remain in effect until June 30, 1997 . 12. Change of Regulations: Any.future change in law, rule or regulation, or utility practice which prohibits or frustrates ABAG or the Public Agency from carrying out the terms of this Agreement shall excuse both parties from their obligations, other than the obligation of Public Agency to make payments due for gas and services received. 13. Cancellation of Service: 13.1 Cancellation by Public Agency: Commencing in 1997, Public Agency may only withdraw or cancel this Agreement consistent with the rules and regulations promulgated by the CPUC and in a manner which releases ABAG from all responsibility and liability related to the subject matter of the Agreement. Public Agency may cancel the contract by giving ABAG written notice by June 15 of its intent to terminate on June 30 of that current year. ABAG may limit a Public Agency's ability to cancel at dates other than June 30. 13.2 Cancellation by ABAG: Actions by the utilities and/or CPUC to develop rules which are in conflict with sound business practices, or impose unnecessary risk on either party to this Agreement, or substantially prevent ABAG from performing its functions under this Agreement may result in the cancellation of this Agreement by ABAG. ABAG shall give Public Agency written notice ninety (90) days prior to such cancellation and both parties shall work diligently to minimize the negative effects on ABAG and the Public Agency of such cancellation. -5- sD z 4 13.3 Credit Account Payout: Within ninety (90) days after cancellation, ABAG will pay to Public Agency the amount of its Credit Account as modified pursuant to Paragraph 9.2, less any debits imposed pursuant to Paragraph 9.1 and less any outstanding Actual Charges owed by Public Agency. 14. Power Purchasing Pool Committee: (Public Agency Representative), shall be the Public Agency's representative to the Power Purchasing Pool Committee to the ABAG Executive Board. The Power Purchasing Pool Committee shall provide policy direction for the Program. The Committee's powers shall include admission of new Participants and the extension of any contracts for the purchase of natural gas and/or related services under rules and procedures adopted by the Committee. 15. Approvals: The Public Agency Representative may grant any approval, or give any direction required by this Agreement, in writing or orally. Written approvals or directions may be transmitted physically, by facsimile or electronically. Oral approvals will be confirmed in writing by either party. 16. Attorneys' Fees: In the event either party invokes its right to arbitration under Section H of Exhibit B due to an alleged breach of this Agreement, the prevailing party shall be entitled to recover reasonable attorneys' fees and costs as determined by the arbitrator. 17. Ownership of Files, Reports. Photographs, and Related Documents: Upon termination of the Agreement, any and all files, reports, photographs, plans, specifications, drawings, data, maps, models and related documents respecting in any way the subject matter of this Agreement, whether prepared by ABAG, the Public Agency or third parties and in whatever media they are stored shall remain or shall become the property of the Public Agency and the Public Agency shall acquire title to, and copyright ownership of, all such documents. The Public Agency hereby grants to ABAG an irrevocable license to retain a copy of all records covered by this section for ABAG's files. 18. Indemnity: Public Agency shall indemnify and hold harmless ABAG, its directors, its member agencies, its agents and its employees from and against all claims, damages, losses and expenses including attorney's fees, arising out of or resulting from the performance or non-performance of the services required by this Agreement, unless such is caused by the negligence of ABAG, its directors, its member agencies, its agents or its employees. 19. Assignment/Security Arrangements: Public Agency hereby acknowledges that ABAG may, in order to finance security deposit and cash flow deficits.incurred in connection with the operation with this Program, incur short-term debt which may be secured by an assignment, encumbrance or hypothecation of this Agreement and/or payments due hereunder. -6- SD. Z 20. Notices: The following addresses for the giving of notices and billings shall be: Public Agency Notices Name: Address: Telephone No.: Facsimile No.: Email: Attn. Public Agency Billing Address Name: Address: Telephone No.: Facsimile No.: Email: Attn. ABAG Notices ABAG 3201 Danville Blvd., Suite 275 Alamo, CA 94507 ABAG Program Coordinator Telephone No: 510-743-7877 Facsimile No: 510-743-1014 -7- 21. Severability: If any provision of this Agreement or the application of any such provision shall be held by a court of competent jurisdiction to be invalid, void, or unenforceable to any extent, the remaining provisions of this Agreement and the application thereof shall remain in full force and effect and shall not be affected, impaired, or invalidated. 22 . Captions: The captions appearing in this Agreement are inserted as a matter of convenience and in no way define or limit the provisions of this Agreement. 23. Other Contract Provisions: This Agreement shall be subject to the other standard provisions which are set forth in the attached Exhibit B, which is incorporated by this reference. IN WITNESS WHEREOF, the parties have hereunto set their hands effective the date and year first above written. ASSOCIATION OF BAY AREA GOVERNMENTS By: r===. Date: Eu e Y.,JZong, Executive ector Approved as to legal form and content: By: Date: . Moy, Legal Counsel PUBLIC AGENCY By: Date: Approved as to legal form and content: By: Date: Account Number -8- SDI EXHIBIT B STANDARD CONTRACT PROVISIONS A. Time of Essence. Time is of the essence in this Agreement. B. Waiver. The waiver by either party of a breach by the other of any provision of this Agreement shall not constitute a continuing waiver or a waiver of any subsequent breach either of the same or a different provision of this Agreement. C. Controlling Law. This Agreement and all matters relating to it shall be governed by the laws of the State of California. D. Binding on Successors. Etc. This Agreement shall be binding upon the successors, assigns, or transferees of ABAG or Public Agency as the case may be. This provision shall not be construed as an authorization to assign, transfer, hypothecate, or pledge this Agreement other than as provided above. E. Records/Audit. ABAG shall keep complete and accurate books and records of all financial aspects of its relationship with Public Agency in accordance with generally-accepted accounting principles. ABAG shall permit authorized representatives of Public Agency and/or any of Public Agency's governmental grantors to inspect, copy, and audit all data and records of ABAG relating to its performance of services under this Agreement. ABAG shall maintain all such data and records intact for a period of three (3) years after the date that services are completed hereunder or this Agreement is otherwise terminated. F. Prohibited Interest. ABAG's officers, employees or agents shall neither solicit nor accept gratuities, favors or anything of monetary value from contractors, potential contractors, or parties to subcontracts. G. Insurance Requirements. (1) ABAG shall, at its own expense, obtain and maintain in effect at all times during the life of this Agreement the following insurance: (a). Workers' compensation insurance as required by law. (b) Comprehensive general liability insurance coverage of One Million Dollars ($1,000,000) in the aggregate for products and/or completed operations and One Million Dollars ($1,000,000) per occurrence for automobiles. (c) Professional liability insurance with minimum liability limits of Two Million Dollars ($2,000,000) in the aggregate. i (2) All ABAG's insurance policies shall contain an endorsement providing that written notice shall be given to Public Agency at least thirty (30) days prior to termination, cancellation, or reduction of coverage in the policy or policies, and all policies shall be carried by an insurance company or companies acceptable to Public Agency. (3) In addition, each policy or policies of insurance described in subparagraph (2) above shall contain an endorsement providing for inclusion of Public Agency and its directors, officers, agents, and employees as additional insureds with respect to the work or operations in connection with this Agreement and providing that such insurance is primary insurance and that no insurance of Public Agency will be called upon to contribute to a loss. (4) . Promptly upon execution of this Agreement, ABAG shall deliver to Public Agency certificates of insurance evidencing the above insurance coverages. Such certificates shall make reference to all provisions or endorsements required herein and shall be signed on behalf of the insurer by an authorized representative thereof. ABAG agrees that at any time upon written request by Public Agency to make available copies of such policies certified by an authorized representative of the insured. (5) The foregoing requirements as to types and limits of insurance coverage to be maintained by ABAG and approval of policies by Public Agency are not intended to, and shall not, in any manner limit or qualify the liabilities and obligations otherwise assumed by ABAG pursuant to this Agreement, including, but not limited to, liability assumed pursuant to ABAG's insurance policies under Subsections (1)(b) of this section. (6) ABAG shall require all subcontractors to comply with the insurance requirements described in Section G(1)(a)-(c), inclusive. H. Arbitration. Any dispute between ABAG and the Public Agency regarding the interpretation, effects, alleged breach or powers and duties arising out of this Agreement shall be submitted to binding arbitration. The arbitrator shall be selected by agreement between the parties by lot from a list of up to six (6) arbitrators with each party submitting up to three (3) arbitrators. 2 s1�2 ATTACHMENT C • ' 0 ABAG'S POWER PURCHASING POOL ABAG's Savings Plan ABAG is pleased to offer Pool participants a natural gas purchase program that will result in an estimated 2.3% reduction in PG&E's actual natural gas charges. , )+��c w a..ia�'L!`+y .- l.5- x��.-. ,orb sT 54�. To understand ABAG's Savings Plan, it•s unportant>to�remembefAt only tl eggas pwo�rvhonrof>°PG&E,s �a A �A,yj'Z1S`t r z•1� T t �6 �"l✓w w 7' h �a;.Rays? `r �h��<y n fl'��$yy,5�.,4.G'4 �`���aATtf•� 'moi Ai{`i�' 'Y Y' �a i i+. natural�gasservicehas�been.deregulated and that the cost of gas represents onlyone thud ofPG&E s a� ibundled rates The table below shows ABAG s estimated savings]nth as a percentage of the cost of gas -' - ad as a percentage of PG&E's actual natural gas charges. Estimated Savings for Pool Participants Savings DiscouLd Discount (cents/therm) off Gas off Total only* Gas Bill** Commodity 0.93 5.5% 2.0% Commodity Management 1.50 8.9% 3.0% Transportation(Same as PG&E) 0.00 0.0% 0.0% Savings before Service Fees 2.43 14.4% 4.6% ABAG Fees 1.30 7.6% 2.6% TOTAL ESTIMATED SAVINGS 1.13 6.7% 2.3% *The cost of gas is only one-third of PG&E's total bundled rate. **Savings in this chart are calculated as a percentage of PG&E's cost of gas plus PG&E's average transportation costs. ABAG savings are,acluevedin two ways ;FFtp�artcipantswill`p`urchase natural gas ata puce fixed 5 5' j percentless,than PG&E�s true'rcost of natural gas, asdetermuiedby�PG&E'�s monthl`y Core�Subscnption.'�= tariff(G CSP) Second, ABAG estimates part icipantsswillfreceive ankacld ttonal8 9'percent:discount on the_costs of natural gas through commodity management activities_such as;pipeline;rebrokenng,;storage, ' ,and brokeragefees.; ABAG'anticipates these savings will grow over the next two years as further deregulation of the transportation portion is implemented. W iA'G-fees.to be deducted ineludd: 1) an operational fee of$0.01 per therm to cover the costs of issuing a consolidatedinonthly bi1T and managing the Pool's gas supply.requirements and 2) an administrative fee of$0.003 per therm to cover administrative costs. See page 2 for additional information about ABAG rates. Questions? Please call Patty Spangler at (510) 464-7933 or Tom Solberg at Diablo Energy Consultants at (510) 743-7877. Additional Information about ABAG Rates What are the ajor difference between PG&E's rates and ABAG's rates? PG&E's rates are based on a forecasted price of gas for a two year period, while ABAG's rates reflect the actual price of as in the month of use. For example, PG&E's will charge 17 cents per therm for everytherm used by stonier for a two year period,and then refund any overcharges or undercharges in the next two-year cycl through a discount or fee call the Purchased Gas Adjustment(PGA). ABAG's rates will vary month t month, but will always be 5.5% less than PG&E's charge after the PGA adjustments. Will ABAG fees ever exceed a ABAG discount? As the chart below shows, ABAG vings vary with the price of gas. The average price of gas in 1994- 95.was 15 cents per therm. PG&E is orecasting the average 1996 price to be 17 cents per therm. As the price of gas climbs in winter months, AG savings will grow to 3%. Gas (cents/therm) SM XU &U &U &U SJA 5-.12 M SU2 SQ $m Fix Gas Discount 0.6 0.6 0.7 0.7 0.8 0.8 0.9 0.9 1.0 1.0 1.1 1.2 1.2 Com. Man. Savings 1.5 1.5 1.5 1.5 5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 Total Savings 2.1 2.1 2.2 2.2 2. 2.3 2.4 2.4 2.5 2.5 2.6 2.7 2.7 Fees 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 Savings (Net of Fees) 0.8 0.8, 0.9 0.9 1.0 .0 1.1 1.1 1.2 1.2 1.3 1.4 1.4 Percent of PG&E 1% 2% 2% 2% 2% 2° 2% 2% 2% 2% 3% 3% 3% How much money will ABAG,New Energy Ventures, and Dia o Energy Consultants receive from fees remitted by participants and what do these fees pay for? Total fees will vary with the number of participants and the annual unt of gas purchased. ABAG estimates the final pool size will between 5 and 10 million therms annuall Total fees for these amounts are shown below. Pool Size(in millions) Total Value Total Fee 5,000,000 $ 850,000 $ 65,000 7,500,000 $ 1,275,000 $ 97,500 10,000,000 $ 1,700,000 $ 130,000 Seventy-seven percent of the fee pays for the cost of billing and commodity management ctivities to be performed by Diablo Energy Consultants and IQ Solutions. The remaining 23% of the fee pays for costs incurred by ABAG and New Energy Ventures to pay suppliers, manage both the escrow account and databases, and for ongoing liaison with participants. ABAG estimates its administrative costs will exceed its portion of fee revenues by a significant amount in the start-up year of the Program. . --- - - ATTACHMENT D SP 7 Estimated Natural Gas Costs, Savings, Fees, and First Month.Payment for Your Jurisdiction or Agency According to data submitted by PG&E to ABAG, your 1994-95 natural gas usage and costs were: COUNTY OF CONTRA COSTA Actual PG&E Usage Cost 1994-95 Jul 75,168 $39,568 Aug 67,487 $37,381 Sep 72,219 $39,951 Oct 92,596 $52,560 Nov 195,194 $136,650 Dec 237,776 $170,571 Jan 191,667 $140,826 Feb 150,359 $110,974 Mar 142,976 $102,761 Apr 118,905 $68,365 May 100,274 $56,644 Jun 86,424 $49,056 TOTAL 1,531,045 $1,005,307 Projected ABAG Savings $18,663 This is net savings with all administrative costs deducted. This estimate was calculated by multiplying your anticipated 1996 PG&E bills by the ABAG projected savings of 2.3 percent. Estimated First Month Payment $78,625 This payment is approximately one-fifteenth of the total value of your estimated natural gas consumption for the 15-mo period April 1, 1995 - June 30, 1997. In order to participate in the ABAG program, you must remit this amount by April 1, 1996 (An invoice will be sent on March 1 st). sD 2 Additional Information about ABAG Rates What are the major difference between PG&E's rates and ABAG's rates? PG&E's rates are based on a forecasted price of gas for a two year period, while ABAG's rates reflect the actual price of gas in the month'of use. For example, PG&E's will charge 17 cents per therm for every therm used by customer for a two year period, and then refund any overcharges or undercharges in the next two-year cycle through a discount or fee call the Purchased Gas Adjustment:(PGA). ABAG's rates will vary month to month, but will always be 5.5% less than PG&E's charge after the PGA adjustments. Will ABAG fees ever exceed the ABAG discount? As the chart below shows, ABAG savings vary with the price of gas. The average price of gas in 1994- 95.was 15 cents per therm. PG&E is forecasting the average 1996 price to be 17 cents per therm. As the price of gas climbs in winter months,ABAG savings will grow to 3%. Gas (cents/therm) S.0 X11 LU LU S14 $.0 Sj¢ LU $J1$ J12 Fix Gas Discount 0.6 0.6 0.7 . 0.7 0.8 0.8 0.9 0.9 1.0 1.0 1.1 1.2 1.2 Com. Man. Savings 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 1.5 Total Savings 2.1 2.1 2.2 2.2 2.3 2.3 2.4 2.4 2.5 2.5 2.6 2.7 2.7 Fees 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 1.3 Savings (Net of Fees) 0.8 0.8 0.9 0.9 1.0 1.0 1.1 1.1 1.2 1.2 1.3 1.4 1.4 Percent of PG&E 1% 2% 2% 2% 2% 2% 2% 2% 2% 2% 3% 3% 3% How much money will ABAG,New Energy Ventures, and Diablo Energy Consultants receive from fees remitted by participants and what do these fees pay for? Total fees will vary with the number of participants and the annual amount of gas purchased. ABAG estimates the final pool size will_between 5 and 10 million therms annually. Total fees for these amounts are shown below. Pool Size (in millions) Total Value Total Fee 5,000,000 $ 850,000 $ 65,000 7,500,000 $ 1,275,000 $ 97,500 10,000,000 $ 1,700,000 $ 130,000 Seventy-seven percent of the fee pays for the cost of billing and commodity management activities to be performed by Diablo Energy Consultants and IQ Solutions. The remaining 23% of the fee pays for costs incurred by ABAG and New Energy Ventures to pay suppliers, manage both the escrow account and databases, and for ongoing liaison with participants. ABAG estimates its administrative costs will exceed its portion of fee revenues by a significant amount in the start-up year of the Program. DATE: - ^` 9 REQUEST. TO SPEAK FORM _ THREE (3) MINUTE LIMIT Complete this form and place it in the box near the speakers' rostrum before addressing the Board. NAME: Dr) A-L�� �,JE�F.�L. PHONE: ( 74 ' 6Y94 ADDRESS: 10- !n ber(2,0i-r CITY: C04yC af-o ,I am speaking formyself OR organization: P6- � NAME OF ORGANIZATION) Check one: . I wish to speak on Agenda Item # Sb Z My comments will be: general for against I wish to speak on the subject of I do not wish to speak but leave these comments for the Board to consider.