97-235A RESOLUTION OF
AMENDING RATES,
DISTRIBUTION OF
NO. 71R -478 AND
NOS. 97R -97.
RESOLUTION NO. 97R -235
THE CITY COUNCIL OF THE CITY OF ANAHEIM
RULES AND REGULATIONS FOR THE SALE AND
ELECTRICITY AS ADOPTED BY RESOLUTION
MOST RECENTLY AMENDED BY RESOLUTION
WHEREAS, the City of Anaheim (Anaheim) maintains electric
generation and distribution systems for the distribution of
electricity to residents and inhabitants of Anaheim and has
adopted Rates, Rules and Regulations for the sale and
distribution of electricity; and
WHEREAS, the Anaheim Municipal Code authorizes the City
Council to approve reasonable Rates, Rules and Regulations
governing electric service and fees for providing electric
service; and
WHEREAS, Section 385 of the California Public Utilities Code
requires that each local publicly owned electric utility
establish a nonbypassable usage based charge to fund investments
by the utility and others for certain enumerated public benefit
purposes, which charge shall be collected from all electric
service customers of Anaheim's electric utility, regardless of
the customer's energy supplier; and
WHEREAS, those statutorily- enumerated purposes are 1) cost
effective demand -side management services, 2) new investment in
renewable energy resources and technologies consistent with
existing statutes and regulations which promote those resources
and technologies, 3) research, development and demonstration
programs for the public interest to advance science or technology
which is not adequately provided by competitive and regulated
markets, and 4) services provided for low- income electricity
customers, including but not limited to, targeted energy
efficiency service and rate discounts; and
WHEREAS, the statute requires that the amount of the charge
by local publicly owned electric utilities shall be based on
expenditures, on a percentage of revenue basis, for the
enumerated purposes by the investor owned utilities in
California; and
WHEREAS, at its meeting on October 16, 1997, the Public
Utilities Board recommended approval of the Public Benefit
Program and Rule 25 of the Electric Rates, Rules and Regulations
establishing a nonbypassable CA Public Benefit Fee for all
electric service customers; and
WHEREAS, the City Council further finds and determines that
revision of the text of the Rules and Regulations is exempt from
the California Environmental Quality Act pursuant to Section
21080(b)(8) of the California Public Resources Code.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Anaheim as follows:
1. Rule 25 of the Electric Rates, Rules and Regulations as
set forth in Appendix A establishing a CA Public Benefit Fee
shall be, and is hereby, adopted and shall be effective January
1, 1998.
2. The Public Benefit Program shall be, and is hereby,
approved.
3. That the Public Utilities General Manager is authorized
and directed to implement and administer the Public Benefit
Program and CA Public Benefit Fee as necessary to comply with
statutory requirements and to prepare, promulgate, publish and
take all actions necessary to implement Rule 25 of the Electric
Rates, Rules and Regulations as necessary to comply with
statutory requirements and as forth herein.
THE FOREGOING RESOLUTION is approved and adopted by the
City Council of the City of Anaheim this 9day of Dec. 1997.
CITY CLERK OF THE CITY OF ANAHEIM
24474 \lmoses \November 24, 1997
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MAYO OF THE CIT OF ANAH 1
CITY OF ANAHEIM
Utilities Financial Services
201 S. Anaheim Blvd.
Anaheim, CA 92805
ISSUED BY:
Edward K. Aghjayan
General Manager
ELECTRIC RATES, RULES
AND REGULATIONS
RULE NO. 25
CA PUBLIC BENEFIT FEE
Page No. 3.25.1
A. GENERAL
AB 1890 is California's comprehensive electric restructuring legislation which was sign
into law on September 23, 1996; and became effective immediately. Article 8, which
applies to all publicly owned utilities, is a requirement to collect a separate charge.
Publicly owned utilities are allowed to spend the money collected in any of four
categories cited in Public Utilities Code Section 385, which states that:
"Each local publicly owned electric utility shall establish a nonbypassable, usage based
charge on local distribution service of not less than the lowest expenditure level of the
three largest electrical corporation in California on a percent of revenue basis calculated
from each utility's total revenue requirement for the year ended December 31, 1994, and
each utility's total annual expenditure under paragraphs (1), (2), and (3) of subdivision
(c) of Section 381 and Section 382, to fund investments by the utility and other parties in
any or all of the following:
(1) Cost effective demand -side management services to promote energy
efficiency and energy conservation.
(2) New investment in renewable energy resources and technologies consistent
with existing statues and regulations which promote those resources and technologies.
(3) Research, development and demonstration programs for the public interest to
advance science or technology which is not adequately provided by competitive and
regulated markets.
(4) Services provided for low- income electricity customer, including but not
limited to, targeted energy efficiency service and rate discounts."
B. CA PUBLIC BENEFIT FEE
The lowest percentage of the three investor owned utilities is the minimum charge to be
collected by publicly owned utilities. Based on the formula and numbers supplied by the
California Energy Commission, there is a statewide public utility consensus that the
appropriate number for publicly owned utilities is a 2.85% for total revenue requirement
collected in 1998 through 2000, and 2.7% in 2001. (AB 1890 allows lower expenditures
for an investor owned utility in 2001.) Publicly owned utilities should initiate collection
of the Public Benefit Fee coincident with the start date imposed on investor -owned
utilities, which is January 1, 1998.
Effective: 01 -01 -98 by Resolution No.: 97R-
Superseding Resolution No.:
Dated:
Dated:
CITY OF ANAHEIM
Utilities Financial Services
201 S. Anaheim Blvd.
Anaheim, CA 92805
ISSUED BY:
Edward K. Aghjayan
General Manager
ELECTRIC RATES, RULES
AND REGULATIONS
RULE NO. 25
CA PUBLIC BENEFIT FEE
Page No. 3.25.2
Since the charge is a "nonbypassable" charge on the local distribution service, it is
collected from all customers connected to the Anaheim Public Utilities distribution
system, regardless of the customer's energy supplier.
C. ADJUSTMENT OF ELECTRIC BILLS
The City Council, by Resolution, has enacted the statutory mandated Public Utilities
Public Benefit Program and enacted the CA Public Benefit Fee to be effective January 1,
1998. The CA Public Benefit Fee of 2.85% shall appear as a line item on the customers'
bills. The Fee will be collected on the electric revenues of all customers tied to the
distribution system. The Fee is collected over a four year period from January 1, 1998
through December 31, 2001. These funds shall be maintained in a separate account and
disbursed for Public Benefit Program.
Effective: 01 -01 -98 by Resolution No.: 97R-
Superseding Resolution No.:
Dated:
Dated:
STATE OF CALIFORNIA
COUNTY OF ORANGE ss.
CITY OF ANAHEIM
I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing
Resolution No. 97R -235 was introduced and adopted at a regular meeting provided by law, of
the Anaheim City Council held on the 9th day of December, 1997, by the following vote of the
members thereof:
AYES: MAYOR /COUNCIL MEMBERS: McCracken, Lopez, Daly
NOES: MAYOR /COUNCIL MEMBERS: Tait, Zemel
ABSENT: MAYOR /COUNCIL MEMBERS: None
AND I FURTHER CERTIFY that the Mayor of the City of Anaheim signed said Resolution
No. 97R -235 on the 9th day of December, 1997.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City
of Anaheim this 9th day of December, 1997.
(SEAL)
I, LEONORA N. SOHL, City Clerk of the City of Anaheim, do hereby certify that the foregoing
is the original of Resolution No. 97R -235 was duly passed and adopted by the City Council of
the City of Anaheim on December 9th, 1997.
CITY CLERK OF THE CITY OF ANAHEIM
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CITY CLERK OF THE CITY OF ANAHEIM