HomeMy WebLinkAboutCC RESO 2004 - 124RESOLUTION NO. 2004 — 124
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY
URGING THE CALIFORNIA PUBLIC UTILITIES COMMISSION
TO REJECT THE DEPARTMENT OF WATER RESOURCES'
ALLOCATION SETTLEMENT AGREEMENT,
OPPOSE THE $1 BILLION DOLLAR COST SHIFT,
AND ADOPT A MORE EQUITABLE SOLUTION
FOR CALIFORNIA ELECTRICITY CUSTOMERS
WHEREAS, the City of National City has evaluated the Department of
Water Resources (DWR) allocation proposal and urges the California Public Utilities
Commission (CPUC) to reject the settlement agreement, oppose the $1 billion dollar
cost shift and adopt a more equitable solution for all California electricity customers; and
WHEREAS, the CPUC is considering how to permanently allocate the
cost of the State's long-term energy contracts to the customers of San Diego Gas &
Electric (SDG&E), Southern California Edison (SCE), and Pacific Gas & Electric (PG&E)
for years 2004 through the remaining life of the contracts in the current DWR's Revenue
Requirement proceeding; and
WHEREAS, this issue has the potential to significantly impact electricity
rates in the County of San Diego; and
WHEREAS, SCE, PG&E and The Utility Reform Network have proposed a
limited settlement agreement that would shift more than $1 billion dollars in additional
costs over the next eight years to electricity customers in the San Diego region; and
WHEREAS, SDG&E has requested several times and was denied the
right to provide direct testimony and sponsor a witness rebutting the proposed
settlement agreement and illustrating the devastating potential rate impacts of this new
allocation on San Diego's customers; and
WHEREAS, the original DWR allocation adopted over two years ago by
the CPUC calls for all Californians, regardless of where they live, to pay their fair share;
and
WHEREAS, the original DWR allocation does not shift additional costs to
San Diego, and
WHEREAS, SDG&E has requested that the CPUC adopt a fair and
equitable proposal that avoids shifting any additional costs or placing unfair burdens on
the backs of San Diego electricity consumers, and
WHEREAS, the City of National City supports the San Diego Region and
SDG&E's efforts to ensure that a fair and equitable solution is reached by providing for
a full evidentiary review of this new methodology.
Resolution No. 2004 —124
July 20, 2004
Page Two
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City
of National City has evaluated the DWR allocation proposal and urges the CPUC to
reject the settlement agreement, oppose the $1 billion dollar cost shift and adopt a more
equitable solution for all California electricity customers.
PASSED and ADOPTED this 20th day of July, 2004.
ATTEST:
Olt
Mich el DaII , Cij Clerk
APPROVED AS TO FORM:
Its
George H. Eiser, III
City Attorney
Nick Inzun -a, - or