CC RESOLUTION 4129RESOLUTION NO. 4129
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF EL SEGUNDO, CALIFORNIA,
URGING THE CALIFORNIA LEGISLATURE TO AMEND THE STATE'S ELECTRIC
DEREGULATION LAW, CHAPTER 854 OF 1996, SECTIONS 366(A) AND (B) TO AUTHROIZE
EL SEGUNDO AND ANY OTHER CALIFORNIA MUNICIPAL CORPORATION, UPON A
MAJORITY VOTE OF ITS GOVERNING BODY OR REGISTERED VOTERS, TO DESIGNATE
ITSELF AS THE AUTOMATIC AGGREGATOR OF ELECTRICITY OF BEHALF OF ITS
RESIDENTS AND BUSINESSES, SUCH THAT RESIDENTS AND BUSINESSES SHALL BE
AUTOMATICALLY INCLUDED IN THE JURISDICTIONS COMMUNITY AGGREGATED
ELECTRICITY BUYERS' GROUP, UNLESS EXERCISING A CHOICE FOR THE EXISTING
ELECTRICAL CORPORATION OR ANOTHER PROVIDER.
WHEREAS, The state's electric deregulation law, Chapter 854 of 1996, came into effect on
January 1, 1998; and
WHEREAS, Electricity choice has not followed the deregulation of the state's electric industry,
with less that one (1) percent of California residents and businesses participating in or benefiting as
consumers from the deregulated electricity marketplace more that a year after deregulation officially went
into effect; and
WHEREAS, Residents and the vast majority of businesses in the City of El Segundo will not
enjoy a meaningful choice of electricity service unless that are organized in aggregate to pool their
electricity demand as a large volume, buyer; and
WHEREAS, The citizens of the City of El Segundo may be best be able to influence the price,
terms and conditions of electricity sold within its boundaries of the City of El Segundo is able to play a role
as a aggregator of electric consumers within it jurisdiction; and
WHEREAS, Section 366 (b) of Chapter 854 of 1996 deregulating California's electricity industry
prohibits any local government, even upon a majority vote of its citizens, City Council, or Board of
Supervisors, from automatically aggregating residents and businesses who do not select an alternative
power supplier to Pacific Gas and Electric Company; and
WHEREAS, The City of El Segundo has a direct interest in the proliferation of energy efficiency
and renewable energy technology within its communities for purpose of job creation and environmental
protection; and
WHEREAS, as an aggregated purchaser of electricity and marketplace participant, the City of El
Segundo could award points or condition it contracts for electricity with requirements for renewable
energy, conservation, anti- discrimination, local and first- source hiring to move residents from welfare to
work; and
WHEREAS, The Commonwealth of Massachusetts and the State of Ohio have recently passed
legislation for effective local government aggregation of electricity consumers, while ensuring that any
customer who wishes to select his or her own electric supplier be allowed to opt -out of the community
aggregation program, a process know as "Community Choice ":
NOW THEREFORE BE IT RESOLVED, That the City of El Segundo requests the California
Legislature to amend the State's electric deregulation law, Chapter 854 of 1996, Sections 366 (a) and (b),
as well as any other applicable sections, to authorize El Segundo and any other California Municipal
Corporation, upon a majority vote of its governing body or registered voter, to designate itself as the
automatic community aggregator of electricity on behalf of its residents and business, such that residents
and businesses shall be automatically included in the jurisdiction's aggregated electricity buyers' group,
unless exercising a choice for the existing electrical corporation or another provider.
RESOLUTION NO. 4129
DEREGULATION OF ELECTRICITY A
PAGE NO. 1
September 7, 1999 10:01 AM
R
PASSED, APPROVED AND ADOPTED this 7'b f Septerber, 1999.
Mike Gordon, Mayor
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Cindy Mortesen, City Clerk of the City of El Segundo, California, do hereby certify that the whole
number of members of the City Council of said City is five; that the foregoing Resolution No. 412 9 was
duly passed and adopted by said City Council, approved and signed by the Mayor of said City, and attested
to by the City Clerk of said City, all at a regular meeting of said Council held on the 7t' day of September,
1999, and the same was so passed and adopted by the following vote:
AYES: Gordon, Jacobs, Gaines, McDowell, Wernick
NOES: None
ABSENT:None
ABSTAIN: None
indy Morten, ity Cl k
APPROVED AS TO FORM:
Mark Hensley, City Attorney
RESOLUTION NO. 4129
DEREGULATION OF ELECTRICITY A
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August 20, 1999 9:50 AM