HomeMy WebLinkAbout2003/07/11 - Agenda Packet - Spec Joint (SCE) AGENDA
I~kNCHO CUCAMONGA
}PMENT AGENCY~ FIRE
PROTECTION DISTRICT AND
CITY COUNCIL
SPECIAL JOINT MEETING
.... ,~:,~ . /:,,,,,: 4- 4:00 p.m.
Rancho Cucamonga City Hall 4- Council Chambers
10500 Civic Center Drive 4- Rancho Cucamonga, CA 91730-3801
A. CALL TO ORDER
1. Pledge of Allegiance
2. Roll Call:
Alexander __, Gutierrez , Howdyshell , Kurth , Williams__
B. COMMUNICATIONS FROM THE PUBLIC
This is the time and place for the general public to address the Redevelopment Agency,
Fire Protection District and the City Council. State law prohibits the Agency/Board/
Council from addressing any issue not previously included on the agenda. The
Agency/Board/Council may receive testimony and set the matter for a subsequent meeting.
Comments are to be limited to five minutes per individual.
C. REDEVELOPMENT AGENCY ITEM OF BUSINESS
1. Approval of a Resolution authorizing the execution of a Corporate Guaranty Agreement in
connection with the Interconnection Facilities Agreement with Southern California Edison
Company (CO RA 03-025) for the construction of the SCE-owned portion of the Arbors
Electric Substation to be located at Rochester Avenue and Stadium Parkway. (Page 1)
RESOLUTION NO. RA 03-010 (Page 3)
A RESOLUTION OF THE RANCHO CUCAMONGA REDEVELOPMENT
AGENCY, RANCHO CUCAMONGA, CALIFORNIA, AUTHORIZING THE
CHAIRMAN TO EXECUTE A CORPORATE GUARANTY ON BEHALF
OF THE CiTY OF RANCHO CUCAMONGA FOR PAYMENT FOR
CONSTRUCTION OF ELECTRIC DISTRIBUTION FACILITIES
AGENDA
' RANCHO CUCAMONGA
REDEVELOPMENT AGENCY, Frae
PROTECTION DISTRICT AND
CITY COUNCIL
D. CITY COUNCIL ITEM(S) OF BUSINESS
1. Approval to authorize the execution of an I nterconnection Facilities Agreement with Southern
California Edison Company (CO 03-070) by the City Manager or his duly-appointed
representative, for the construction of the SCE-owned portion of the Arbors Electric
Substation to be located at Rochester Avenue and Stadium Parkway, authorize the posting of
a deposit in the amount of $891,000 to reimburse SCE for all related costs, to be funded from
Acc. No. 10250015603, and approve an appropriation of $891,000 to Acct. No.
10250015603. (Page 5)
2. Approval to authorize the execution of a Service Agreement for Wholesale Distribution
Service with Southern California Edison Company (CO 03-071 ) by the City Manager, or his
duly-appointed representative for the provision of retail electric service by the Rancho
Cucamonga Municipal Utility to new development within the Victoria Arbors Master Plan and
immediately adjacent commercially zoned areas. (Page 7)
THE REDEVELOPMENT AGENCY AND FIRE PROTECTION DISTRICT WILL ADJOURN
TO A CLOSED SESSION TO DISCUSS:
CONFERENCE WITH PROPERTY NEGOTIATORS PER GOVERNMENT CODE
SECTION 54956.6 FOR PROPERTY GENERALLY LOCATED NORTH OF FOOTHILL
BOULEVARD, WEST OF 1-15 FREEWAY, FOREST CITY DEVELOPMENT CA, INC. &
LEWIS INVESTMENT CO., LLC; LINDA D. DANIELS, RDA DIRECTOR, NEGOTIATING
PARTY, REGARDING TERMS OF AGREEMENT - RDA
LABOR NEGOTIATIONS PER GOVERNMENT CODE SECTION 54957.6 TO GIVE
GEORGE RIVERA, ADMINISTRATIVE SERVICES MANAGER; PAMELA EASTER,
DEPUTY CITY MANAGER; AND LARRY TEMPLE, ADMINISTRATIVE SERVICES
DIRECTOR, DIRECTION IN REGARDS TO THE MEET AND CONFER PROCESS - FIRE
I, Debra J. Adams, City Clerk of the City of Rancho Cucamonga, hereby certify that a
true, accurate copy of the foregoing agenda was posted on July 10, 2003, per
Government Code 54954.2 at 10500 Civic Center Drive, Rancho Cucamonga,
California.
R A N C H O C U C A M O N GA
F, NC, INI~I~DING DI~DAI~T~ ~.NT
DA~E: July 11, 2003
TO:. Chairman and Members of the Redevelopment Agency
Jack Lam, AICP, City Manager
FROM: William J. O'Neil, City Engineer
BY: Robert Lemon, Assistant Engineer
SU&IEC'r: Approval of a resolution authorizing the execution of a Corporate Guaranty
Agreement in connection with the Intemonnection Facilities Agreement with
Southern California Edison Company for the construction of the SCE-owned
portion of the Arbors electric substation to be located at Rochester Avenue
and Stadium Parkway
RECOMMENDATION:
it is recommended the Redevelopment Agency approve a resolution authorizing the
execution of a Corporate Guaranty Agreement in connection with the Intemonnection
Facilities Agreement with Southern California Edison Company for the construction of the
SCE-owned portion of the Arbors electric substation to be located at Rochester Avenue
and Stadium Parkway.
BACKGROUND/ANALYSIS:
In response to the unstable energy situation in the State of California, the City of Rancho
Cucamonga on August 31, 2001, authorized the creation and operation of a municipally
owned utility for the purpose of providing various utility services. The purpose of this
formation was to enable the City to explore options in dealing with energy issues at the
local level. Subsequently, on August 21, 2002, the Redevelopment Agency authorized the
filing of a Wholesale Distribution Access Tariff (WDAT) Application with Southern California
Edison Company (Edison) for the potential provision of electric service to the Victoria
Arbors development area by the Rancho Cucamonga Municipal Utility. Since the time, the
City has entered into various agreements with Edison including two System Impact Study
Agreements, a Facilities Study Agreement, and a Letter Service Agreement for the
engineering, design, and procurement of related materials for the Edison-owned portion of
the Arbors electric substation to be located at Rochester Avenue and Stadium Parkway.
The final two agreements required to complete the WDAT process, an Intemonnection
Facilities Agreement and a Service Agreement for Wholesale Distribution Service, have
CITY COUNCIL STAFF REPORT
CORPORATE GUARANTY FOR INTERCONNECTION FACILITIES AGREEMENT WITH SOUTHERN
CALIFORNIA EDISON
JULY 11, 2003
PAGE 2
been drafted and are being presented to the City Council as Consent Calendar items at the
City Council meeting of July 11,2003.
The Interconnection Facilities Agreement includes a provision requiring a corporate
guaranty from a parent corporation with a suitable credit rating. As the City does not have
a parent corporation nor a credit rating, due to an absence of indebtedness, Edison has
indicated that it will accept a Corporate Guaranty from the Rancho Cucamonga
Redevelopment Agency to fulfill this requirement. The Redevelopment Agency's credit
rating, established as part of its 2001 bond issuance, meets all the necessary
requirements.
It is recommended the Redevelopment Agency approve a resolution authorizing the
execution of a Corporate Guaranty Agreement in connection with the Intemonnection
Facilities Agreement with Southern California Edison Company for the construction of the
SCE-owned portion of the Arbors electric substation to be located at Rochester Avenue
and Stadium Parkway.
Respectfully Submitted,
William J. O'Neil
City Engineer
RESOLUTION NO. RA-03- ~/~
n RESOLUTION OF THE RANCHO CUCAMONGA
REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN
TO EXECUTE A CORPORATE GUARANTY ON BEHALF OF
THE CITY OF RANCHO CUCAMONGA FOR PAYMENT FOR
CONSTRUCTION OF ELECTRIC DISTRIBUTION FACILITIES
THE RANCHO CUCAMONGA REDEVELOPMENT AGENCY HEREBY
FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. Southern California Edison Company ("Edison") has requested that
thc City of Rancho Cucamonga ("City") provide a guaranty for its payment obligation to
Edison for the construction of electric distribution facilities.
Section 2. Edison has agreed that the Rancho Cucamonga Redevelopment
Agency ("Agency") may provide the guaranty to Edison for the City's payment
obligation, and has requested that the Agency execute a Corporate Guaranty Agreement
to guarantee the City's payment obligation.
Section 3. The Chairman of the Agency is hereby authorized to execute the
Corporate Guaranty Agreement which is attached hereto as Exhibit A to this Resolution.
Section 4. The Agency Secretary shall certify to the passage and adoption of this
Resolution, and this Resolution shall thereupon take effect and be in full force.
PASSED, APPROVED, AND ADOPTED this th day of July, 2003.
AYES:
NOES:
ABSENT:
ABSTAINED:
William J. Alexander, Chairman
ATTEST:
Jack Lam, Secretary
11244\0001\739745-1
I, JACK LAM, Secretary of the Rancho Cucamonga Redevelopment Agency of
the City of Rancho Cucamonga, California, do hereby certify that the foregoing
Resolution was duly passed, approved, and adopted by the Redevelopment Agency of the
City of Rancho Cucamonga, California, at a Regular Meeting of said Redevelopment
Agency held on the __th day of July, 2003.
Executed this ~ day of July, 2003, at Rancho Cucamonga, California.
Jack Lam, Secretary
11244\0001\739745-1
R A N C H O C U C A M O N G a
]~ N G IN EI~I~IN G DI~PAI~TM E N T
Staff Relmrt
DATE: July 11, 2003
TO: Mayor and Members of the City Council
Jack Lam, AICP, City Manager
FROM: William J. O'Neil, City Engineer
BY: Robert Lemon, Assistant Engineer
SUBJECT: Authorize the execution of an Intemonnection Facilities Agreement with
Southern California Edison company by the city manager or his duly
appointed representative for the construction of the SCE-owned portion of the
Arbors electric substation to be located at Rochester Avenue and Stadium
Parkway, and authorize the posting of a deposit in the amount of $891,000 to
reimburse SCE for all related costs, to be funded from Acct. No.
10250015603, and appropriate $891,000 to Acct. No. 10250015603
RECOMMENDATION:
It is recommended the City Council authorize the execution of an Intemonnection Facilities
Agreement with Southern California Edison Company by the City Manager or his duly
appointed representative for the construction of the SCE-owned portion of the Arbors
electric substation to be located at Rochester Avenue and Stadium Parkway, and authorize
the posting of a deposit in the amount of $891,000 to reimburse SCE for all related costs,
to be funded from Acct. No. 10250015803, and appropriate $891,000 to Acct. No.
10250015603.
BACKGROUND/ANALYSIS:
In response to the unstable energy situation in the State of California, the City of Rancho
Cucamonga on August 31, 2001, authorized the creation and operation of a municipally
owned utility for the purpose of providing various utility services. The purpose of this
formation was to enable the City to explore options in dealing with energy issues at the
local level. Subsequently, on August 21, 2002, the Redevelopment Agency authorized the
filing of a Wholesale Distribution Access Tariff (WDAT) Application with Southern California
Edison Company (Edison) for the potential provision of electric service to the Victoria
Arbors development area by the Rancho Cucamonga Municipal Utility. Since the time, the
City has entered into various agreements with Edison including two System Impact Study
Agreements, a Facilities Study Agreement, and a Letter Service Agreement for the
CITY COUNCIL STAFF REPORT
INTERCONNECTION FACILITIES AGREEMENT WITH SOUTHERN CALIFORNIA EDISON
JULY 11, 2003
PAGE 2
engineering, design, and procurement of related materials for the Edison-owned portion of
the Arbors electric substation to be located at Rochester Avenue and Stadium Parkway.
The execution of the Letter Service Agreement and posting of a previous deposit of
$1,991,000, which was approved by Council on April 16, 2003, allowed Edison to expedite
the design process for the City's project and begin work on the initial stages of the
substation while the subsequent Interconnection Facilities Agreement (IFA) was drafted
and negotiated.
The drafting and negotiation of the IFA has now been completed and is presented to the
Council for its approval. Edison has submitted a cost estimate of $891,000 for all related
construction costs and the City is required to post a deposit in this amount prior to Edison
initiating services. All actual costs will be tracked and applied against this deposit and the
City will incur only those actual expenditures realized by Edison.
This IFA represents one of two final agreements required to complete the WDAT process.
The other final and complementary agreement, the Service Agreement for Wholesale
Distribution Service, has also been placed as a Consent Calendar item on the Agenda of
the same City Council meeting at which the IFA is being considered.
It is recommended that City Council authorize the execution of an Interconnection Facilities
Agreement with Southern California Edison Company by the City Manager or his duly
appointed representative for the construction of the SCE-owned portion of the Arbors
electric substation to be located at Rochester Avenue and Stadium Parkway, and authorize
the posting of a deposit in the amount of $891,000 to reimburse SCE for all related costs,
to be funded from Acct. No. 10250015603, and appropriate $891,000 to Acct. No.
10250015603.
Respectfully Submitted,
William J. O'Neil
City Engineer
R A N C h 0 C U C A M 0 N G A
]~ N G IN E E E~I N G DE PA~TMI~N T
Staff Report
DATE~ July 11,2003
TO: Mayor and Members of the City Council
Jack Lam, AICP, City Manager
FROM: William J. O'Neil, City Engineer
BY: Robert Lemon, Assistant Engineer
SUBJECI': Authorize the execution of an Service Agreement for Wholesale Distribution
Service with Southern California Edison Company by the city manager or his
duly appointed representative for the provision of retail electric service by the
Rancho Cucamonga Municipal Utility to new development within the Victoria
Arbors Master Plan and immediately adjacent commemially zoned areas
RECOMMENDATION:
It is recommended the City Council authorize the execution of an Service Agreement for
Wholesale Distribution Service with Southern California Edison Company by the City
Manager or his duly appointed representative for the provision of retail electric service by
the Rancho Cucamonga Municipal Utility to new development within the Victoria Arbom
Master Plan and immediately adjacent commemially zoned areas.
BACKGROUND/ANALYSIS:
In response to the unstable energy situation in the State of California, the City of Rancho
Cucamonga on August 31, 2001, authorized the creation and operation of a municipally
owned utility for the purpose of providing various utility services. The purpose of this
formation was to enable the City to explore options in dealing with energy issues at the
local level. Subsequently, on August 21, 2002, the Redevelopment Agency authorized the
filing of a Wholesale Distribution Access Tariff (WDAT) Application with Southern California
Edison Company (Edison) for the potential provision of electric service to the Victoria
Arbors development area by the Rancho Cucamonga Municipal Utility. Since the time, the
City has entered into various agreements with Edison including two System Impact Study
Agreements, a Facilities Study Agreement, and a Letter Service Agreement for the
engineering, design, and procurement of related materials for the Edison-owned portion of
the Arbors electric substation to be located at Rochester Avenue and Stadium Parkway.
The execution of the Letter Service Agreement and posting of a previous deposit of
$1,991,000, which was approved by Council on April 16, 2003, allowed Edison to expedite
7
CITY COUNCIL STAFF REPORT
SERVICE AGREEMENT FOR WHOLESALE DISTRIBUTION SERVICE WITH SOUTHERN CALIFORNIA
EDISON
JULY 11,2003
PAGE 2
the design process for the City's project and begin work on the initial stages of the
substation while the subsequent Interconnection Facilities Agreement (IFA) and Service
Agreement for Wholesale Distribution Service was drafted and negotiated.
The. drafting and negotiation of the Service Agreement now been completed and is
presented to the Council for its approval. This agreement establishes the terms and
conditions of service for the receipt of energy via Edison transmission system. This Service
Agreement represents one of two final agreements required to complete the WDAT
process. The other final and complementary agreement, the Interoonnection Facilities
Agreement, has also been placed as a Consent Calendar item on the Agenda of the same
City Council meeting at which the Service Agreement is being considered.
It is recommended the City Council authorize the execution of an Service Agreement for
Wholesale Distribution Service with Southern California Edison Company by the City
Manager or his duly appointed representative for the provision of retail electric service by
the Rancho Cucamonga Municipal Utility to new development within the Victoria Arbors
Master Plan and immediately adjacent commercially zoned areas.
Respectfully Submitted,
William J. O'Neil
City Engineer
RESOLUTION NO. RA-03- O/b
A RESOLUTION OF THE RANCHO CUCAMONGA
REDEVELOPMENT AGENCY AUTHORIZING THE CHAIRMAN
TO EXECUTE A CORPORATE GUARANTY ON BEHALF OF
THE CITY OF RANCHO CUCAMONGA FOR PAYMENT FOR
CONSTRUCTION OF ELECTRIC DISTRIBUTION FACILITIES
THE RANCHO CUCAMONGA REDEVELOPMENT AGENCY HEREBY
FINDS, DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. Southern California Edison Company ("Edison") has requested that
the City of Rancho Cucamonga ("City") provide a guaranty for its payment obligation to
Edison for the construction of electric distribution facilities.
Section 2. Edison has agreed that the Rancho Cucamonga Redevelopment
Agency ("Agency") may provide the guaranty to Edison for the City's payment
obligation, and has requested that the Agency execute a Corporate Guaranty Agreement
to guarantee the City's payment obligation.
Section 3. The Chairman of the Agency is hereby authorized to execute the
Corporate Guaranty Agreement which is attached hereto as Exhibit A to this Resolution.
Section 4. The Agency Secretary shall certify to the passage and adoption of this
Resolution, and this Resolution shall thereupon take effect and be in full force.
PASSED, APPROVED, AND ADOPTED this th day of July, 2003.
AYES:
NOES:
ABSENT:
ABSTAINED:
William J. Alexander, Chairman
ATTEST:
Jack Lam, Secretary
11244\0001\739745-1
I, JACK LAM, Secretary of the Rancho Cucamonga Redevelopment Agency of
the City of Rancho Cucamonga, California, do hereby certify that the foregoing
Resolution was duly passed, approved, and adopted by the Redevelopment Agency of the
City of Rancho Cucamonga, California, at a Regular Meeting of said Redevelopment
Agency held on the __th day of July, 2003.
Executed this__t~ day of July, 2003, at Rancho Cucamonga, California.
Jack Lam, Secretary
11244\0001\739745-1