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RES-2013-116 RESOLUTION NO. 2013 -116 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ANAHEIM MODIFYING THE RATES, RULES AND REGULATIONS FOR THE SALE AND DISTRIBUTION OF ELECTRICITY AS ADOPTED BY RESOLUTION NO. 71 -478 AND MOST RECENTLY AMENDED BY RESOLUTION NO. 2013 -002. WHEREAS, the City of Anaheim ( "Anaheim ") maintains an electric generation and distribution system for the furnishing of electricity to residents and businesses of the City of Anaheim and has adopted Electric 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 services and fees and charges for providing electric services; and WHEREAS, on May 2, 2013 and May 9, 2013, a Notice of the public hearing to modify the Electric Rates, Rules and Regulations was published in the Anaheim Bulletin and proof thereof is on file with the Secretary of the Public Utilities Board of the City of Anaheim ( "Public Utilities Board "); and WHEREAS, on May 7, 2013 and May 14, 2013, a Notice of the public hearing to modify the Electric Rates, Rules and Regulations was published in the Orange County Register and proof thereof is on file with the Secretary of the Public Utilities Board; and WHEREAS, the Public Utilities Board held a public hearing on May 22, 2013, and evidence was presented in support of the modifications to the Electric Rates, Rules and Regulations; and WHEREAS, the Public Utilities Board considered the proposals of the Anaheim Public Utilities Department ( "Anaheim Public Utilities ") and considered the evidence presented at the public hearing; and WHEREAS, the Public Utilities Board made the following findings with respect to the need for the proposed modifications to the Electric Rates, Rules and Regulations: 1. Section 1221 of the City Charter provides that utility rates charged to a class of customers shall be uniform within the class and shall be based on the cost of service revenue requirement for the class. 2. Section 1221 of the City Charter requires that the utility rates shall be sufficient in order to allow the utility to pay for operations and maintenance of the system; for payment of principal and interest on debt; for creation and maintenance of financial reserves adequate to assure debt service on bonds outstanding; for capital construction of new facilities and improvements of existing facilities, or maintenance of a reserve fund for that purpose; and for payments to the general fund of the City in the amounts set forth in the City Charter. 3. Section 1221 of the City Charter also provides that the City Council shall periodically review rates to insure that financial goals are being accomplished. 4. Section 1221 of the City Charter provides that the City Council may establish and revise ratepayer discounts and other programs to assist residential customers in the payment of their utility bills. 5. In setting rates, it is reasonable and appropriate to recognize the benefits that Anaheim Public Utilities customers will realize through having rates for domestic and non - domestic customers remain competitive with other local providers. 6. It is reasonable and appropriate to create new developmental rate schedules to provide greater rate options for existing and potential customers of Anaheim, which will, in turn, assist in the economic development and growth in Anaheim. 7. It is reasonable and appropriate to create the Developmental Schedule D -TOU -L (Time -of -Use - Large) for large commercial and industrial customers with at least 4 MW of demand that also have a load factor of at least 65% because these customers consistently use large amounts of energy more efficiently, which allows Anaheim Public Utilities to rely on reduced infrastructure and generation costs so those cost savings should be passed on to those customers. 8. It is reasonable and appropriate to create a Developmental Schedule D -EV (Domestic Electric Vehicles) to encourage eligible residential customers to charge electric vehicles during off -peak hours in order to mitigate impacts on the distribution system that may arise from electric vehicles charging during times of high energy demand. 9. It is reasonable and appropriate to modify Developmental Schedule D -FIT (Feed -in Tariff) to comply with state law (Senate Bill 1332), which mandates that public utilities consider not only the market costs of the power and related renewable attributes, but also any "avoided costs" that Anaheim Public Utilities would otherwise pay if the energy were to come from more traditional power generation facilities. 10. It is reasonable and appropriate to modify and update Rule Nos. 1 (Definitions) and 12 (Rates, Operational Rates, and Developmental Rate Schedules) to add and update definitions and conditions applicable to the new developmental rate schedules to encourage customer participation supported by the developmental rate schedules. WHEREAS, the proposed creation and modification of the developmental rate schedules as well as the modifications and updates to Rule Nos. 1 and 12 as set forth in Attachment A, and as more fully set forth in the text of each of the respective developmental rate schedules and Rule Nos. 1 and 12, all of which are on file with the Office of the City Clerk, are necessary and appropriate to meet the requirements of the City Charter as the modifications will ensure adequate revenues necessary to meet power supply costs, operations and maintenance expenses, capital expenditures, debt service requirements, reserve amounts, and other necessary costs; and WHEREAS, the Public Utilities Board considered the requirements of the California Environmental Quality Act ( "CEQA ") and found that matters covered above come within Section 21080 (b)(8) of the Public Resources Code of the State of California and in accordance with Title 14 of the California Administrative Code, Sections 15273(a) and 15061(b)(3). Thus, the creation and modification of these developmental rate schedules as well as the modifications and updates of Rule Nos. 1 and 12 are exempt under CEQA; and WHEREAS, based on the findings hereinabove made, the Public Utilities Board recommends to the City Council that the City Council adopt the findings of the Public Utilities Board with respect to the matters contained herein and adopt the additions and modifications to the Electric Rates, Rules and Regulations as reflected in Attachment A and as more fully set forth in the text of each of the respective developmental rate schedules and Rule Nos. 1 and 12, all of which are on file with the Office of the City Clerk; and WHEREAS, based on the findings hereinabove made, the Public Utilities Board recommends to the City Council that the City Council certify that the additions and modifications to the Electric Rates, Rules and Regulations are exempt under CEQA, Public Resources Code, Section 21080 (b)(8), in accordance with Title 14 of the California Administrative Code, Sections 15273(a) and 15061(b)(3); and WHEREAS, the City Council has considered the evidence and concurs with the findings of the Public Utilities Board as set forth herein above. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Anaheim as follows: 1. The findings as set forth herein are hereby adopted by the City Council of the City of Anaheim. 2. The City Council of the City of Anaheim hereby determines and finds that, in accordance with CEQA and the CEQA Guidelines, the additions to and modifications of the Electric Rates, Rules and Regulations by the City Council are exempt under CEQA pursuant to Section 21080 (b)(8) of the Public Resources Code of the State of California and Title 14 of the California Administrative Code, Sections 15273(a) and 15061(b)(3), because CEQA does not apply to the establishment, modification, restructuring, or approval of rates and other charges by public agencies for purposes such as those set forth herein and /or it can be seen with certainty that there is no possibility that the respective developmental rate schedules and Rule Nos. 1 and 12 will have a significant effect on the environment. 3. The additions and modifications to the Electric Rates, Rules and Regulations shall be, and are hereby adopted by the City Council of the City of Anaheim with the newly created and modified developmental rate schedules to become effective August 1, 2013, and the updated and modified Rule Nos. 1 and 12 to become effective August 1, 2013, as reflected in Attachment A, and as more fully set forth in the text of each of the respective developmental rate schedules and Rule Nos. 1 and 12, all of which are on file with the Office of the City Clerk. 4. The Anaheim Public Utilities General Manager is authorized and directed to prepare, promulgate, publish, and take any and all actions necessary to implement changes to the Electric Rates, Rules and Regulations as set forth herein. THE FOREGOING RESOLUTION is approved and adopted by the City Council of the City of Anaheim this 23rd day of July _, 2013, by the following roll call vote: AYES: Mayor Tait, Council Members Eastman, Murray, Brandman and Kring NOES: None ABSENT: None ABSTAIN: None CITY OF ANAHEIM P- ?Z_ r1 /7 MAYOR OF THE CITY OF ANAHEIM ATTEST: Or of CITY CLERK OF THE CITY OF ANAHEIM 95841 Attachment A Rate Schedules and Rules effective August 1, 2013 CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.14.1 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -TOU -L DEVELOPMENTAL TIME -OF -USE - LARGE APPLICABILITY Applicable to three -phase electric service of Customers whose monthly maximum demand was 4000 kW or greater with a Load Factor of 65% or greater for any three months during the preceding 12 months or, if no prior billing history is available, whose total connected lighting and equipment load is 6000 kW or greater. Applicable to Customers who meet eligibility requirements prior to installation of load management and conservation measures included in the Utility's demand side management programs. Only approved and applicable Rate Schedules may be applied in conjunction with the Developmental Time -of -Use - Large rate. This developmental rate schedule shall be closed once a permanent Time -of -Use - Large Rate Schedule is developed. AVAILABILITY Service under this developmental rate schedule is subject to Meter availability. Per Meter Per Meter RATES Summer Winter Service delivered at voltages of 50 kV and below Customer Charge: $696.83 $696.83 Demand Charge (added to Customer Charge): Non time related maximum demand, per kW $ 7.32 $ 7.32 Plus all on -peak billing demand, per kW $ 25.46 N/A Plus all mid -peak billing demand, per kW $ 16.21 $ 16.21 Plus all off -peak billing demand, per kW N/A NIA Energy Charge (added to Demand Charge): All on -peak energy, per kWh 9.45¢ N/A Plus all mid -peak energy, per kWh 4.33¢ 4.88¢ Plus all off -peak energy, per kWh 2.68¢ 2.68¢ The minimum charge is the monthly Customer Charge. Service delivered at voltages above 50 kV Customer Charge: $696.83 $696.83 Demand Charge (added to Customer Charge): Non -time related maximum demand, per kW $ 2.78 $ 2.78 Plus all on -peak billing demand, per kW $ 24.10 N/A Plus all mid -peak billing demand, per kW $ 15.36 $ 15.34 Plus all off -peak billing demand, per Kw N/A N/A Energy Charge (added to Demand Charge): All on -peak energy, per kWh 8.95¢ N/A Plus all mid -peak energy, per kWh 4.10¢ 4.62¢ Plus all off-peak energy, per kWh 2.54¢ 2.54¢ The minimum charge is the monthly Customer Charge. (Continued) ISSUED BY: Effective: by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: Dated: General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.14.2 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D - TOU - DEVELOPMENTAL TJME - OF - USE - LARGE SPECIAL CONDITIONS A. Service voltage per Rules and regulations. B. Time periods are defined as follows: On -Peak 1:00 p.m. to 5:00 p.m.; summer weekdays except holidays. Mid -Peak: 8:00 a.m. to 1:00 p.m. and 5:00 p.m. to 10:00 p.m.; summer weekdays except holidays. 7:00 a.m. to 9:00 p.m.; winter weekdays except holidays. Off -Peak: All other hours. Holidays are New Year's Day, Washington's Birthday, Memorial Day, Independence Day, Labor Day, Veterans Day, Thanksgiving Day, and Christmas. When any holiday listed above falls on Sunday, the following Monday will be recognized as an off -peak period. No change in off -peak hours will be made for holidays falling on Saturday. Adjustments to on -peak, mid -peak, and off -peak time periods may be shifted in instances where market pricing conditions affect the energy costs or the time of day when market prices are highest. In such instances, Customers shall be notified thirty (30) days in advance of an adjustment to the time period, and the Utility is limited to such adjustments no more than once every twelve (12) months. The summer season shall commence at 12:00 a.m. on June 1 and continue until 12:00 a.m. on October 1 in each year. The winter season shall commence at 12:00 a.m. on October 1 of each year and continue until 12:00 a.m. on June 1 of the following year. C. Billing Demand The Billing Demand in any month shall be based on electric consumption indicated or recorded by instruments supplied, owned, and maintained by the City at the City's expense upon the Customer's Premises. Separate Billing Demand shall be determined for the maximum demand, and for the on -peak and mid -peak time periods. The Billing Demands for the maximum demand and for the on -peak and mid -peak periods shall be the maximum rate of consumption of electric energy measured in any 15- minute interval during the monthly Billing Period. Billing Demand shall be determined to the nearest kW. Where the demand is intermittent or subject to extreme fluctuations, the maximum demand may be based on a shorter interval. (Continued) ISSUED BY: Effective: by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: Dated: General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.14.3 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -TOU -L DEVELOPMENTAL TIME -OF -USE - LARGE SPECIAL CONDITIONS (Continued) D. Power Factor Adjustment The charges will be adjusted each month for the power factor as follows: The charges will be increased by 31 cents per kilovar of reactive demand. The lcilovars 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 may be installed on the kilovar -hour Meter to prevent its reversal operation on leading power factor. E. Voltage Discount The charges, excluding the Customer Charge, Power Factor and Rate Stabilization Adjustment, will be reduced by 3% for service delivered at voltages from 2 or 10 kV; by 6% for service delivered at voltages from 11KV to 50KV; Customer equipment and metering shall be per Utility standards. For service delivered at levels above 50 kV all charges will be assessed as set forth in the developmental rate schedule above. F. Temporary Discontinuance of Service Where the use of energy is seasonal or intermittent, no adjustment will be made for a temporary reduction of load. Any Customer who resumes service within twelve (12) months must pay all charges that would have been billed had service been continuous. G. Rate Stabilization Adjustment The rates above are subject to adjustment as provided for in Schedule RSA. The applicable billing factor set forth therein will be applied to all kilowatt-hours billed under this developmental rate schedule. H. Applicable to this Rate Schedule only, if after twelve (12) months of service the Customer would have preferred service under another applicable Rate Schedule, appropriate billing adjustments for the twelve- month period will be made and the Customer will be returned to the other applicable Rate Schedule. I. General Manager As with all developmental rate schedules, the Public Utilities General Manager, at his or her sole discretion, may implement, modify, restrict, or close this developmental rate schedule upon notification and approval of City Council. This developmental rate schedule shall be implemented per Rule No. 12. (Continued) ISSUED BY: Effective: by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: Dated: General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.14.4 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -TOU -L DEVELOPMENTAL TIME -OF -USE - LARGE SPECIAL CONDITIONS (Continued) J. Failure of Demand Shifting Equipment Should Customer demand shifting equipment, such as Thermal Energy Storage equipment or other type of equipment, fail for a period of 30 continuous days and be repaired or replaced within 60 days of initial failure with Customer proof satisfactory to the Public Utilities General Manager, appropriate demand charge billing adjustments will be made to the Customer's bill as if that equipment had been operational. If the Public Utilities General Manager does not receive satisfactory proof within this time frame, the Customer will be charged the rates included in this developmental rate schedule without any billing adjustments. The Customer may choose another applicable Rate Schedule for future service, but may not return to this developmental rate schedule within a twelve (12) month period. K. Totalized Metering and Billing Should the Customer have multiple Meters for a single Premises, the Meters may be totalized for billing purposes at the convenience of the Utility. Totalized billing shall include a single Customer Charge for all Meters, totalized demand, which is the concurrent demand of all Meters, and totalized energy, which is the sum of all energy measured for all Meters. ISSUED BY: Effective: by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: Dated: General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.17.1 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -EV DEVELOPMENTAL DOMESTIC ELECTRIC VEHICLES APPLICABILITY Applicable to charging ofelect is vehicles ( "EV ") on a Meter provided by the Utility in single family accommodations concurrently serviced on a separate Meter under a Domestic Service schedule. The Customer is responsible for all costs associated with the equipment required. This developmental rate schedule shall be closed once a permanent Domestic Electric Vehicles Rate Schedule is developed. AVAILABILITY Service under this developmental rate schedule is subject to Meter availability or other constraints related to this developmental rate schedule. Per Meter Per Meter RATES Summer Winter Customer Charge: $3.37 $3.37 Energy Charge: All on -peak energy, per kWh 24.34¢ 23.63¢ Plus all off -peak energy, per kWh 9.82¢ 9.21¢ The minimum charge is the monthly Customer Charge. SPECIAL CONDITIONS A. Service voltage per Rules and regulations. B. Time periods are defined as follows: On -Peak: 12:00 p.m. to 7:00 p.m. all year, every day Off -Peak: All other hours The summer season shall commence at 12:00 a.m. on June 1 and continue until 12:00 a.m. on October 1 of each year. The winter season shall commence at 12:00 a.m. on October 1 of each year and continue until 12:00 a.m. on June 1 of the following year. C. Metering The Customer's equipment must include provisions to separately meter EV charging facilities. The Customer shall supply, at no expense to the Utility, a suitable location for Meters and associated equipment used for billing, subject to the approval of the Utility. Charges associated with supplying service shall be per Rule No. 16. (Continued) ISSUED BY: Effective: by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: Dated: General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.17.2 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -EV DEVELOPMENTAL DOMESTIC ELECTRIC VEHICLES SPECIAL CONDITIONS (Continued) D. Terms of Service A Customer receiving service under this developmental rate schedule may elect to change to another applicable Rate Schedule but only after receiving service on this developmental rate schedule for at least 12 consecutive months. If a Customer elects to discontinue service on this developmental rate schedule, the Customer will not be permitted to return to this developmental rate schedule for a period of one year from the discontinued service date. E. Interconnection Customers taking service under this developmental rate schedule shall have electrical interconnections only upon approval by the Utility for billing purposes, and by the City Planning Department for building code compliance. The electrical interconnection shall be configured in order to prevent or protect against adverse conditions on the Utility's system that may cause harm to persons, equipment damage, electric service degradation, or result in metering errors. F. Rate Stabilization Adjustment The rates above are subject to adjustment as provided for in Schedule RSA. The applicable billing factor set forth therein will be applied to all on peak kilowatt-hours billed under this developmental rate schedule and not applied to off peak kilowatt- hours. G. General Manager As with all developmental rate schedules, the Public Utilities General Manager, at his or her sole discretion, may implement, modify, restrict, or close this developmental rate schedule upon notification and approval of City Council. This developmental rate schedule shall be implemented per Rule No. 12. ISSUED BY: Effective: by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: Dated: General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.12.1 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -FIT DEVELOPMENTAL FEED -IN TARIFF APPLICABILITY Applicable to owners and operators of electric generation facilities located within the City's service territory who wish to sell to the City the renewable power output from an eligible small -scale Distributed Generation Resource, with capacity of not more than 3 MW. This developmental rate schedule shall be closed once a permanent Feed -In Tariff is developed. AVAILABILITY This developmental rate schedule is available on a first -come, first- served basis until the combined rated generation capacity within the City's service territory reaches 8 MW. RATES Once both parties have executed a Standard Form Feed -In Tariff Power Purchase Agreement ( "Agreement "), the City shall pay the owner or operator ( "Distributed Generator ") for each megawatt-hour ( "MWh ") of energy and associated capacity delivered to the City during each contract year for the delivery terra. The rate shall be calculated each Fiscal Year based on the sum of the annual average California Independent System Operator ( "CAISO ") Integrated Forward Market South of Path 15 ( "SP 15 ") Generation Hub price ( "GHP "), or its successor, the average premium for delivered renewable energy reported to the Department of Energy ( "DOE ") by utilities within the Western Electric Coordinating Council ( "WECC "), and the CAISO High Voltage Access Charge, or its successor, effectih e July 1 of the current year. The annual offer price ( "AOP ") determined by this calculation as well as the components of the calculation shall be posted on the City's website. The formula used to determine the AOP shall be as follows: AOP = Average SP 15 GHP + Average Premium for Delivered Renewable Energy Reported to DOE by WECC 4 CAISO High Voltage Access Charge The above calculation shall then be applied to the following table based on the time the energy is delivered to the City's electric distribution system. Time of Delivery Periods & Factors Season On -Peak Mid -Peak Off-Peak Sununer 1.50 1.00 0.60 Winter N/A 1.00 0.60 Time periods are defined as follows: On -Peak: 1:00 p.m. to 5:00 p.m.; summer weekdays except holidays. Mid -Peak: 8:00 a.m. to 1:00 p.m. and 5:00 p.m. to 10:00 p.m.; sununer weekdays except holidays. 7:00 a.m. to 9:00 p.m.; winter weekdays except holidays. Off -Peak: All other hours. Holidays are New Year's Day, Washington's Birthday, Memorial Day, Independence Day, Labor Day, Veterans Day, Thanksgiving Day, and Christmas. (Continued) ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2010 -196 Dated: 11 -09 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 2.12.2 Anaheim, CA 92805 DEVELOPMENTAL SCHEDULE D -FIT DEVELOPMENTAL FEED -IN TARIFF AVAILABILITY (Continued) When any holiday listed above falls on Sunday, the following Monday shall be recognized as an off -peak period. No change in off -peak hours shall be made for holidays falling on Saturday. The summer season shall commence at 12:00 a.m. on June 1 and continue until 12:00 a.m. on October 1 in each year. The winter season shall commence at 12:00 a.m. on October 1 of each year and continue until 12:00 a.m. on June 1 of the following year. SPECIAL CONDITIONS A. Distributed Generators that develop Distributed Generation Resources to sell renewable power to the City under this developmental rate schedule shall execute an Agreement with the City. B. The developmental rate schedule shall be offered for Agreement durations of 10, 15, or 20 years at the option of the Distributed Generator. C. Distributed Generators seeking this developmental rate schedule are not eligible and may not also obtain benefits from any of the following: 1. A power purchase agreement with the City for deliveries from the same facility; 2. Incentives from the City under customer programs implemented in compliance with requirements of Senate Bill 1 (Murray) or such successor statutes as amended from time to time, or similar programs; or 3. The net metering option for energy deliveries from the same facility. D. A Distributed Generation Resource eligible under this developmental rate schedule shall deliver to the City both the energy generated and any environmental attributes associated with that energy. E. Distributed Generation Resources eligible under this developmental rate schedule shall be interconnected within the City's service territory and shall be required to comply with the City's process for interconnection. Any resources not meeting these requirements shall not be eligible for this developmental rate schedule. F. Distributed Generation Resources eligible under this developmental rate schedule shall comply with all applicable rules in installing a Meter appropriate for full buy /sell or excess sale agreements, and which can be read by electronic means acceptable to the City. The Distributed Generator shall be responsible for procuring and maintaining any communication link required by the City for retrieving Meter data. G. The City shall pay the eligible Distributed Generator the applicable price for metered energy delivered during the time periods specified for the chosen Agreement term and start year. The start year is the fiscal year in which commercial operation actually begins. H. When determining the average premium for delivered renewable energy reported to the Department of Energy ( "DOE ") by utilities within the Westem Electric Coordinating Council ( "WECC "), where a range of prices is reported, the high end of the range will be used in the annual offer price ( "AOP ") calculation. I. General Manager As with all developmental rate schedules, the Public Utilities General Manager, at his or her sole discretion, may implement, modify, restrict, or close this developmental rate schedule upon notification and approval of City Council. This developmental rate schedule shall be implemented per Rule No. 12. ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2010 -196 Dated: 11 -09 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.1 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS For the purpose of these tariff schedules, the terms and expressions listed below shall have the meaning set forth opposite them: Added Facilities: The facilities provided by the Utility al the request of the customer which are over and above the Utility's standard facilities, including but not limited to Preferred/Emergency Service. Agricultural Power Service: Agricultural power service is that portion of electric energy and service used by a person in connection with the production, harvesting, and preparation for market of agricultural and horticultural products, including poultry and livestock, on land owned and/or operated by such person for the production of agricultural products, but does not apply to processing of products raised by others. APU: Anaheim Public Utilities. Applicant: The person, association, corporation or governmental agency applying for electric service. Application: A request to the Utility for service as distinguished from an inquiry as to the availability of or charges for such service. Billing Demand: The load or demand used for computing charges under rate schedules based on the size of the customer's load or demand. It may be the connected load, the measured maximum demand, or a modification of either as provided for by applicable rate schedules. Billing Period: The time interval between gathering the data used for billing purposes. City: The City of Anaheim, a municipal corporation. City Council: The City Council of the City of Anaheim, California. Class of Service: Different classes of service are: General Lighting, Multiple -Phase Lighting, Combination Lighting and Power, Emergency Lighting, Single -Phase Power, Polyphase Power, Welding, X -ray, Fire Pump, Fire Alarm, and Stand -by Power (permitted only where stand -by and normal circuit conductors are in separate raceways and enclosures). Commercial Developments: Consist of two or more enterprises engaged in trade or the furnishing of services; e.g., shopping centers, sales enterprises, business offices, professional offices, and educational or governmental complexes. Connected Load: The sum of the rated capacities of all of the customer's equipment that can be connected to the utility's lines at one time as more completely described in the rate schedules. (Continued) ISSUED BY: Effective: 05 -01 -10 by Resolution No.: 2010 -036 Dated: 04- 13-10 Marcie L. Edwards Superseding Resolution No.: 99R -142 Dated: 06 -22 -99 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.2 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS Customer: The person in whose name service is rendered as evidenced by the contract or agreement for that service, or, in the absence of a signed instrument, by the receipt of bills regularly issued in his name regardless of the identity of the actual user of the service. A customer may also be a party with whom the City of Anaheim is doing business, with or without a billing relationship, or who is receiving benefit of utility service under another party's name. Customer's Mailing Address: The address specified in a Customer's application or contract, or any other address subsequently given to the Utility by the customer, to which any notice or other communication is to be mailed. Data Acquisition Agent (DAA): The entity that collects meter data associated with Customer Choice customer usage on the Utility's behalf and provides such data to the Utility and each ESP after being validated in accordance with the requirements of the Utility's Electric Rates, Rules and Regulations and in compliance with Independent System Operator requirements. Date of Presentation: The date upon which a bill or notice is mailed or delivered by the Utility to the customer. Debt Service: Cash required over a given period of time for the repayment of interest and principal on borrowed funds. Distributed Generation Resource: A source of electricity utilizing small -scale renewable power generation technologies including, but not limited to, solar panels on the roofs of buildings and small wind turbines, which provide an alternative to or an enhancement of a traditional electric power system and reduce the amount of energy lost in transmitting electricity since power is generated near where it is used. Distribution Lines: Overhead pole lines and/or underground facilities consisting of conduit and cable which are operated at nominal distribution voltages. Domestic Service: Service for residential use at a dwelling premises. Any service for other than residential use at a dwelling premises may be served through the domestic service meter only where such nondomestic connected load does not exceed 300 watts for lighting or 2 hp for power. Eligible Customer - Generator. Any Customer who uses a solar or wind turbine electrical generating facility or a hybrid system of both that is located on the Customer- generator's Premises, is interconnected and operates in parallel with the City's transmission and distribution facilities, and is intended primarily to offset part or all of the Customer - generator's own electrical requirements on the Premises. Energy Service Provider (ESP): The party that contracts with the end -use customer to provide commodity electric service. Environmental Mitigation: Measures taken to decrease the negative impacts on the natural environment resulting from activities associated with the provision of electric services, including procurement, generation, transmission, and distribution of power. General Manager: General Manager of the City of Anaheim, Public Utilities Department or a designee. General Service: Service to any lighting or power installation except those eligible for service on single - family or multi- family domestic, street lighting, outdoor area lighting, municipal, or standby schedules. Greenhouse Gas: Any gas that absorbs and/or emits infra -red radiation in the atmosphere, including carbon dioxide, methane, nitrous oxide, perfluorocarbons, sulfur hexafluoride, and hydrofluorocarbons, or as may be defined in applicable state or federal law. Housing Project: A building or group of buildings located on a single premises and containing residential dwelling units for which master metering of electric service at one location has been installed in accordance with tariffs in effect at the time of installation. Industrial Developments: Consist of two or more enterprises engaged in a process which creates a product or changes materials into another form or product. (Continued) ISSUED BY: Effective: 12 -01 -10 by Resolution No.: 2010 -193 Dated: 11 -09 -10 Marcie L. Edwards Superseding Resolution No.: 2010 -036 Dated: 04 -13 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.3 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS Intermittent Service: Service which, in the opinion of the Utility, is subject to discontinuance for a time or at intervals. Independent System Operator (ISO): A California, State chartered, nonprofit public benefit corporation charged with operating the majority of California's high - voltage wholesale power grid and balancing the demand for electricity with an equal supply of megawatts. Lighting Service: Service to any apparatus transforming electric energy into light for all visual purposes except those specified under "Power Service ". Line Extension: All facilities required to extend electric service from the utility's existing permanent facilities to the Point of Delivery. Load Factor: The actual energy consumed divided by the peak electric demand multiplied by the total hours of consumption. Mailed: Any notice or other communication will be considered "mailed" when it is enclosed in a sealed envelope, properly addressed, and deposited in any United States Post Office Box, postage prepaid. Maximum Demand: The average kilowatts during the specified time interval when the customer's use is greatest in the billing period as indicated or recorded by the utility's meter. Meter: The instrument used for measuring the electricity delivered to the Customer. Month: A thirty -day period. Multi - family Accommodation: An apartment building, duplex, mobilehome park, court group, or any other group of residential units located upon a single premises, providing the residential units therein meet the requirements for a single - family accommodation. Hotels, guest or resort ranches, tourist camps, motels, auto courts, and trailer courts, consisting primarily of guest rooms and/or transient accommodations, are not classed as multi- family accommodations. Municipal Service: Utility Services supplied to City of Anaheim departments. Nominal Voltage: The nominal voltage of a circuit is the approximate voltage between conductors in a circuit or system of a given class, assigned for the purpose of convenient designation. For any specific nominal voltage, the operating voltage actually existing at various points and at various times on the system is subject to normal distribution variation. Participating Apartment Owner: An apartment owner who has signed an agreement with the City of Anaheim to participate in a plan whereby utility service at his various units will automatically be established in his name as they become vacant. Permanent Service: Service which, in the opinion of the Utility, is of a permanent and established character. This service may be continuous, intermittent, or seasonal in nature. (Continued) ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2010 -193 Dated: 11 -09 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.4 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS Person: Any individual, partnership, corporation, public agency, or other organization operating as a single entity. Point of Delivery: The point as determined by the Utility where conductors of the Utility are connected to the conductors of the customer, regardless of the location of the Utility's meters or transformers. Utility conductors may be owned, leased, or under license by the Utility, and the conductors of the customer may be owned, leased, or under license by the customer. Power Exchange (PX): A California, State chartered, nonprofit corporation or its successor charged with providing an efficient, competitive auction to meet electric loads of exchange customers. Power Factor: The ratio of the revenue producing current in a circuit to the total current in that circuit. In terms of power quantities, power factor is the ratio of kw (real power) to the total kva (total power). Power Service: Service to apparatus or equipment used for purposes other than lighting shall be considered as power service. Lamps or lights used for purposes which, in the opinion of the Utility, are not general illumination purposes are classed as power service. Preferred/Emergency Service: Added Facilities required to provide redundant service from an alternate utility source, and the equipment to transfer load from a preferred or normal source to an emergency or backup source. Premises: All of the real property and apparatus employed in a single enterprise on an integral parcel of land undivided, excepting in the case of industrial, agricultural, oil field, resort enterprises, and public or quasi- public institutions, by a dedicated street, highway, or other public thoroughfare, or a railway. Automobile parking lots constituting a part of and adjacent to a single enterprise may be separated by an alley from the remainder of the premises served. Public Utilities Board: The Public Utilities Board as appointed by the City of Anaheim City Council. Pull Box: An enclosure for joining conductors which also provides by its size, arrangement, and location the necessary facilities for pulling the conductors into place. (Continued) ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2010 -036 Dated: 04 -13 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.5 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS Quasi -public Institutions: Public utilities, educational institutions, and hospitals, whether publicly or privately owned, where the property, campus or hospital grounds extend over relatively large areas through which public streets may run. Rate Charges: Charges in the Rate Schedules may include the following: Added Facilities Charge: The fee collected by the Utility for the installation and use of Added Facilities equipment. Customer Charge: That portion of the charge for service which is a fixed amount without regard to connected load, demand, or energy consumption in accordance with the Rate Schedule. Demand Charge: That portion of the charge for service which varies with the billing demand in accordance with the Rate Schedule. Energy Charge: That portion of the charge for service which varies with the quantity of energy consumed in accordance with the Rate Schedule. Minimum Charge: The least amount for which service will be rendered in accordance with the Rate Schedule. Service Charge: That portion of the charge for service which is a fixed amount based on connected load in accordance with the Rate Schedule. Standby Charge: That portion of the charge for standby service which is a fixed amount based on the maximum load the Utility stands ready to supply in accordance with the Rate Schedule. Rate Schedule: May be one or more tariff pages setting forth the charges and conditions for a particular class or type of service at a given location. A Rate Schedule, as referred to herein, shall include all the wording on the applicable tariff page or pages, including but not limited to, the following: Schedule Number, Class of Service, Character or Applicability, Territory, Rates, Conditions, and reference to a Rule or Rules. Required Net Energy Meter: A single meter capable of registering the flow of electricity in two directions. Residential Unit: A residential dwelling unit consisting of a room or group of rooms which do not qualify as single - family dwellings: Residential Units may be used as permanent primary dwellings, as transient tenant accommodations, and by organizations or groups of persons. When a Residential Unit is used as a permanent primary residence, use shall be domestic service. When such units are used by a transient tenant, an organization, or a group of persons, use shall be nondomestic or general service. Revenue: Amount realized from the selling of goods or services before customer discounts or uncollectible write -offs are applied. This does not include amounts collected from sources that are to be deferred in accordance with Financial Accounting Standard number 71. (Continued) ISSUED BY: Effective: 12 -01 -10 by Resolution No.: 2010 -193 Dated: 11 -09 -10 Marcie L. Edwards Superseding Resolution No.: 2010 -036 Dated: 04 -13 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.6 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS Rules: Tariff pages which set forth the application of all rates, charges and services when such applicability is not set forth in and as a part of the rate schedules. Service Wires or Connection: The group of conductors, whether overhead or underground, necessary to connect the service entrance conductors of the customer to the Utility's supply line, regardless of the location of the Utility's meters or transformers. An overhead service connection, sometimes referred to as a "service drop ", is the group of conductors between the customer's building or other permanent support and the Utility's adjacent pole. Service Extension: Consists of the service wires or connections from the Point of Delivery to the Customer's equipment. Single Enterprise: A separate business or other individual activity carried on by a customer. The term does not apply to associations or combinations of customers. Single - Family Dwelling or Accommodation: A house, apartment, flat, or any other residential unit which contains cooking facilities (not necessarily electric) and which is used as a residence by a single family. Standby Service: Service supplied to customers who normally obtain their power requirements from sources other than the Utility. Under this service the Utility provides a permanent service connection to supply the customer's contracted load in accordance with the provisions of the standby schedule. Street Lighting Service: Service to any lighting apparatus used primarily for the illumination of streets, alleys, highways, or other public ways. Swimming Pool: A permanently installed swimming pool, above or below ground, with permanently installed pump, motor, filtering equipment and automatic timer to control the operation of the pumping equipment. The pump motor must be rated at a minimum of 314 horsepower. Tariff Page: An individual page of the tariff schedules. Tariff Schedules: The entire body of effective rates, rentals, charges, and rules collectively of the Utility, as set forth herein, and including title page, preliminary statement, rate schedules, and rules. (Continued) ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2010 -036 Dated: 04 -13 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.1.7 Anaheim, CA 92805 RULE NO. 1 DEFINITIONS Temporary Service: Service for enterprises or activities which are temporary in character or where it is known in advance that service will be of limited duration. Service, which in the opinion of the Utility, is for operations of a speculative character or the permanency of which has not been established, also is considered temporary service. Tract or Subdivision: An area which may be identified by filed subdivision plans or as an area in which a group of dwellings may be constructed about the same time, either by a large scale builder or by several builders working on a coordinated basis. Utility: The City of Anaheim - Public Utilities Department. Utility's Operating Convenience: The term refers to the utilization, under certain circumstances, of facilities or practices not ordinarily employed which contribute to the overall efficiency of the Utility's operations; it does not refer to customer convenience or to the use of facilities or adoption of practices required to comply with applicable laws, ordinances, rules or regulations, or similar requirements of public authorities. ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2010 -036 Dated: 04 -13 -10 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.12.1 Anaheim, CA 92805 RULE NO. 12 RATES, OPTIONAL RATES, AND DEVELOPMENTAL RATE SCHEDULES A. EFFECTIVE RATES The rates cha?ed by the Utility for electric service are those on file with the Public Utilities General Manager, City of Anaheim, and legally in effect. A copy of complete tariff schedules, as filed with the Public Utilities General Manager, shall be maintained for public inspection at APU. B. OPTIONAL RATES 1. Where there are two or more Rate Schedules, rates, or optional provisions applicable to the class of service requested by the applicant, the Utility or its authorized employees will call applicant's attention, at the time application is made, to the several schedules, and the applicant must designate which Rate Schedule, rate, or optional provision is desired. When the Customer notifies the Utility of any material change in the size, character, or extent of the Customer's metered equipment or operations, in accordance with Section C of Rule No. 3, the Utility will, within a reasonable time, advise the Customer of the resulting rate options. In the absence of the notification provided for in Section C of Rule No. 3, the Utility assumes no responsibility for advising the Customer of lower optional rates under other existing schedules, rates, or optional provisions available as a result of the Customer's changes in equipment or operations. 2. When an applicant for new service has applied for service under a mutually agreed upon Rate Schedule, the Rate Schedule will remain in effect for a minimum of three billing periods to determine the accuracy of the application of the rate. C. DEVELOPMENTAL RATE SCHEDULES 1. Developmental rate schedules are contained in the Electric Rates, Rules and Regulations. A developmental rate schedule is an optional rate for Customers that meet the criteria established in the Applicability and Special Conditions sections of the specified developmental rate schedule. A developmental rate schedule is temporary and generally closes once a permanent Rate Schedule is effective. If a Customer determines that a developmental rate schedule is not beneficial or is otherwise undesirable, the Customer may choose an otherwise applicable tariff offered by APU subject to applicable limitations or otherwise applicable Rates, Rules and Regulations. 2. In those instances where the Public Utilities General Manager, at his or her sole discretion, is granted the requisite authority, the Public Utilities General Manager may immediately suspend a developmental rate schedule to new Customers and/or suspend a developmental rate schedule to all Customers (hereinafter "actions "). The Public Utilities General Manager shall ensure that applications for developmental rate schedules include notification of the suspension provisions. In order to suspend a developmental rate schedule to existing Customers under that schedule, the Public Utilities General Manager shall provide written notice of the following: 1) the developmental rate schedule shall be suspended effective 10 calendar days from the date of the written notice to the Customer and the Customer's account shall be transferred to an otherwise applicable tariff; 2) the time period of the suspension shall be no longer than 120 calendar days from the date of the written notice after which either a) the developmental rate schedule shall be amended and reinstated, or b) the developmental rate schedule shall be closed; 3) the estimated impact, if any, on the Customer's bill; and 4) once ascertained by APU, the affected Customers shall be notified of the date, time, and location of the meeting during which the City Council shall consider the actions taken by the Public Utilities General Manager. At the earliest feasible City Council meeting, the Public Utilities General Manager shall notify the City Council of the actions taken and seek approval for such actions. (Continued) ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2008 -181 Dated:10 -28 -08 General Manager CITY OF ANAHEIM ELECTRIC RATES, RULES Utilities Financial Services AND REGULATIONS 201 S. Anaheim Blvd. Page No. 3.12.2 Anaheim, CA 92805 RULE NO. 12 RATES, OPTIONAL RATES. AND DEVELOPMENTAL RATE SCHEDULES 3. Developmental rate schedules and the Utility's costs related to serving Customers on developmental rate schedules shall be analyzed by the Utility biannually. Should it be determined that the rates being charged were in excess of the underlying costs based on the analysis, the Utility shall, at its option, provide appropriate refunds or bill credits not to exceed the prior 24 months in which the Customer was affected by the developmental rate schedule. D. NEW OR REVISED RATES Should new or revised rates be established after the time application is made, the Utility will, within a reasonable time, use such means as may be practicable to bring them to the attention of those of its Customers who may thereby be affected. E. CHANGE OF RATE SCHEDULE 1. A change to another applicable Rate Schedule, rate, or optional provision will be made where the Customer elects to make such change or where, in the opinion of APU, another Rate Schedule is more applicable. 2. Should a Customer so elect, the change will be made provided: a. A change has not been made effective during the past twelve -month period; or b. The change is made to, or from, a new or revised Rate Schedule; or c. There has been a change in the Customer's operating conditions for that service which, in the opinion of the Utility, justifies the change; and d. The change is not made more often than once in twelve months where service is being supplied under a schedule containing an annual fixed charge or an annual minimum charge; and e. The Customer has made the request by written notice to the Utility. 3. The change will become effective for the billing period during which the Customer has requested the change and is not subject to a retroactive adjustment except when such change is the result of a Utility error, in accordance with Rule 17, C.1. F. INTERCONNECTION Unless otherwise stated in the Rate Schedule, the Rate Schedules of the Utility are applicable only for service supplied entirely by the Utility without interconnection with any other source of supply, except that interconnection may be double -throw switch where necessary to meet the minimum requirements for emergencies. ISSUED BY: Effective: 07 -01 -13 by Resolution No.: Dated: Marcie L. Edwards Superseding Resolution No.: 2008 -181 Dated:10 -28 -08 General Manager