RES-2024-028RESOLUTION NO.2024- 028
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
ANAHEIM (1) APPROVING AND AUTHORIZING THE
EXECUTION AND DELIVERY OF (A) A CLEAN ENERGY
PURCHASE CONTRACT FOR PREPAID RENEWABLE
ENERGY AND (B) SUPPORTING AGREEMENTS,
CONSISTING OF TWO LIMITED ASSIGNMENTS OF
EXISTING RENEWABLE POWER PURCHASE
AGREEMENTS, A CUSTODIAL AGREEMENT, AND A
LETTER AGREEMENT; AND (II) AUTHORIZING THE CITY
OF ANAHERvI'S PARTICIPATION IN THE TRANSACTIONS
CONTEMPLATED BY THE FOREGOING AGREEMENTS.
WHEREAS, the City of Anaheim ("City") has participated with other members of the
Southern California Public Power Authority ("SCPPA") in examining alternative means by which
to finance the purchase of critically necessary renewable energy for compliance with the State's
renewable energy requirements and to fulfill the City's electric generation responsibilities to its
citizens; and
WHEREAS, the City has examined and considered the advantages of utilizing a
prepayment structure through SCPPA for the financing of renewable energy; and
WHEREAS, the City and SCPPA each independently concluded their examinations of the
proposed renewable energy prepayment financing structure and selected a renewable energy
supplier (J. Aron & Company LLC, `J. Aron") to implement the proposal; and
WHEREAS, in connection with such financing, it is contemplated that the City will assign
to SCPPA certain rights and obligations of the City in its Renewable Power Purchase and Sale
Agreement (the `Bowerman PPA") with Bowerman Power LEG, LLC (`Bowerman") and its
Consolidated, Amended and Restated Power Purchase Agreement (the `Brea PPA" and together
with the Bowerman PPA, the "Assigned PPAs") with Brea Generation LLC and Brea Power 11,
LLC (together, "Brea"), including the City's right and obligation to purchase electric energy under
the Assigned PPAs; and
WHEREAS, a Clean Energy Purchase Contract between the City and SCPPA (the "Clean
Energy Purchase Contract") will provide for terms under which the City will pay for and be entitled
to the energy provided by SCPPA relating to the Assigned PPAs; and
WHEREAS, the City desires to participate in the proposed renewable energy prepayment
financing structure to finance the purchase of renewable energy, comply with State renewable
energy requirements, and fulfill its responsibilities to provide reliable electric energy to its citizens,
and desires to enter into the Prepay Agreements (as defined below).
NOW, THEREFORE BE IT RESOLVED, by the City Council of the City of Anaheim:
1. In accordance with the City Charter and the laws of the City, the City Council
hereby approves, in substantial form, the following five agreements (collectively, the "Prepay
Agreements"), each of which in substantial form is on file with the City Clerk:
a. A Limited Assignment Agreement with SCPPA, assigning to SCPPA certain of the
City's rights and obligations to receive and pay for renewable energy and associated resources
under the Bowerman PPA;
b. A Limited Assignment Agreement with SCPPA, assigning to SCPPA certain of the
City's rights and obligations to receive and pay for renewable energy and associated resources
under the Brea PPA;
c. A Clean Energy Purchase Contract with SCPPA by which SCPPA will sell to the
City at discounted prices the prepaid renewable energy and associated resources generated by the
Assigned PPAs;
d. A Custodial Agreement with J. Aron and U.S. Bank Trust Company, National
Association, as custodian, to establish bank accounts for and administer payments to Bowerman
and Brea in satisfaction of performance under their respective PPAs; and
e. A Letter Agreement with SCPPA, providing that the parties may terminate the
Limited Assignment Agreements only upon certain specified events.
2. The City Council hereby authorizes each of the following officers of Anaheim
Public Utilities to execute and deliver each of the Prepay Agreements with such changes,
insertions, and omissions as shall be approved by the executing officer (such approval to be
conclusively evidenced by such execution): the General Manager; the Assistant General Manager -
Finance and Energy Resources; and the Assistant General Manager --Electric Services
(collectively, "APU Officers").
3. The City Council hereby authorizes each of the APU Officers to execute and deliver
any and all other agreements, undertakings, documents, and instruments and to do and cause to be
done any and all acts and things necessary or advisable for (1) carrying out the transactions
contemplated by the Prepay Agreements and this Resolution, including actions needed to facilitate
SCPPA in its financing of the prepayment for the City's benefit, and (2) complying with and
performing the City's obligations under the Prepay Agreements.
4. The City Council authorizes the City Clerk to attest such APU Officers' signatures.
5. This Resolution shall become effective immediately.
This Resolution is approved and adopted at the regular meeting of the City Council of the
City of Anaheim thisj_L day of April, 2024.
AYES: Mayor Aitken and Council Members Kurtz, Diaz,
Leon, Rubalcava, Faessel and Meeks
NOES: None
ABSTAIN: None
ABSENT: None
CITY OF ANAHEIM
YO THE CITY OF ANAHEIM
A
C E C OF THE CITY OP ANAHEIM
(13W767M.//151355)
CLERK'S CERTIFICATE
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) as.
CITY OF ANAHEIM )
I, THERESA BASS, City Clerk of the City of Anaheim, do hereby certify that the foregoing is the
original Resolution No. 2024-028 adopted at a regular meeting provided by law, of the Anaheim
City Council held on the W day of April. 2024 by the following vote of the members thereof:
AYES: Mayor Aitken and Council Members Kurtz, Diaz, Leon, Rubalcava, Faessel and
Meeks
NOES: None
ABSTAIN: None
ABSENT: None
IN WITNESS WHEREOF, I have hereunto set my hand this W day of April. 2024.
1
CITY CLE K OF THE CITY OF ANAHEIM
(SEAL)