HomeMy WebLinkAboutRESO 9871
6055297
Resolution No. 9871
Resolution Amending Utility Rate Schedule E-15 (Electric Service
Connection Charges), and Approving Updates to the City’s
Program for use of Revenues from the Sale of Low Carbon Fuel
Standard Credits
RECITALS
A. In October 2016 City Council approved Palo Alto’s first Low Carbon Fuel Standards
(LCFS) Program; and
B. In January 2019 the California Air Resources Board adopted updated LCFS program
regulations and extended the state’s LCFS program until 2030; and
C. In light of CARB’s updated LCFS regulations and the City’s experience in
implementing the Council approved-LCFS program in Palo Alto since 2016, staff
seeks to update the City’s existing Program for the Use of Revenues from the Sale
of Low Carbon Fuel Standard Credits; and
D. In order to permit more efficient program administration, staff also seeks to
amend Utility Rate Schedule E-15 (Electric Service Connection Charges) to remove
language about LCFS program credit amounts and eligibility requirements. The
credits themselves will remain available and information about them will continue
to be provided on CPAU’s website.
The Council of the City of Palo Alto does Hereby RESOLVE, as follows:
SECTION 1. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utility
Rate Schedule E-15 (Electric Service Connection Charges) of the Palo Alto Utilities Rates
and Charges (Attachment A), is hereby amended to read as attached and incorporated.
The foregoing Utility Rate Schedule, as amended, shall become effective January 1,
2020.
SECTION 2. The Council of the City of Palo Alto hereby approved the updated Low
Carbon Fuel Standard Program for Use of Revenues from the Sale of Low Carbon Fuel
Standard Credits (Attachment B).
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DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
6055297
SECTION 3. The Council finds that the adoption of this resolution does not meet the
California Environmental Quality Act’s definition of a “project” under Public Resources
Code 21065, thus environmental review is not required.
INTRODUCED AND PASSED: December 2, 2019
AYES: CORMACK, DUBOIS, FILSETH, FINE, KNISS, KOU, TANAKA
NOES:
ABSENT:
ABSTENTIONS:
ATTEST: APPROVED:
________________________________ ________________________________
City Clerk Mayor
________________________________ ________________________________
Assistant City Attorney City Manager
________________________________
Director of Utilities
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment A to Resolution
ELECTRIC SERVICE CONNECTION CHARGES
UTILITY RATE SCHEDULE E-15
CITY OF PALO ALTO UTILITIES
Issued by the City Council
Supersedes Sheet No. E-15-1 Sheet No.E-15-1
dated 11-01-16 Effective 09-01-2019
A. APPLICABILITY:
This Rate Schedule applies to all connections, interconnections, expansions, and upgrades to the City's
Electric Distribution System, except connections that serve street lighting or traffic signals.
B. TERRITORY:
This Rate Schedule applies anywhere the City of Palo Alto provides Electric Service.
C. CHARGES:
All Charges must be pre-paid by the Applicant prior to the scheduling of any construction or
connections to the City's Electrical Distribution System.
1. ADVANCE ENGINEERING FEES
The Applicant must pay all Advance Engineering Fees to start the engineering process which are non-
refundable. The Advance Engineering Fees will be credited against the estimated job cost prior to the
collection of construction fees. For Service connections that do not require a job estimate, CPAU will
not require Advance Engineering Fees.
2. UNDERGROUND SYSTEMS
(A) Service Connection Charges:
Service Connection Charges are required when the City connects any Customer to the City’s
electrical Distribution System. A one-time waiver of this fee may be granted for Services
connected during the construction of an underground conversion district.
(1) Residential - Single Family
These fees apply to a development in which Electric Metering will be on a single-family
basis.
(a) For a 250 volt maximum, 200 amp or less service .......................................$1,040
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment A to Resolution
ELECTRIC SERVICE CONNECTION CHARGES
UTILITY RATE SCHEDULE E-15
CITY OF PALO ALTO UTILITIES
Issued by the City Council
Supersedes Sheet No. E-15-2 Sheet No.E-15-2
dated 11-01-16 Effective 09-01-2019
(b) For any connection requiring greater capacity the fee shall be CPAU’s
estimate of the installation cost or $1040, whichever is greater.
(c) For a 250 volt maximum, 200 amp max service from a rear
easement.................................................................................. ........................$2,330
(d) For any rear easement connection requiring greater capacity the fee shall be
CPAU’s estimate of the installation cost or $2330, whichever is greater.
(2) Commercial/Industrial
These fees apply to commercial, industrial, and multi-family residential services.
(a) For a 250 volt maximum, 200 amp or less service .......................................$1,420
(b) For any connection requiring greater capacity, the fee shall be CPAU’s estimate of
the installation costs or $1420, whichever is greater.
(B) On-site Distribution System Charges:
Where CPAU installs or will install the underground conductors (primary or secondary),
switches or transformers in and on facilities provided by the developer within the boundaries
of a sub-division or other development, an on-site distribution system fee shall be charged,
based on CPAU’s estimate of all applicable installation costs.
(C) Off-Site Distribution System Charges:
Where CPAU installs or will install an Electric Distribution system, system extension, or
system reinforcement outside the boundaries of a sub-division or other development to be
served, an off-site distribution system fee shall apply, based on CPAU’s estimate of all
applicable installation costs.
3. OVERHEAD SYSTEMS
Connection Charges shall apply for all new Services or Service upgrades exceeding 200 amps.
(A) Overhead Service Connection Replacement Charges:
(1) Residential – Single Family
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment A to Resolution
ELECTRIC SERVICE CONNECTION CHARGES
UTILITY RATE SCHEDULE E-15
CITY OF PALO ALTO UTILITIES
Issued by the City Council
Supersedes Sheet No. E-15-3 Sheet No.E-15-3
dated 11-01-16 Effective 09-01-2019
These fees apply to development in which Electric Metering will be on a single-family
basis.
(a) For a 250 volt maximum, 200 amp or less, 3 and 4 wire services,
100 feet in length maximum services ........................................................$1,040
(b) For a 250 volt maximum, 200 amp or less, 3 and 4 wire services,
100 feet in length maximum services, mid-span connection .....................$2,370
(c) For all others the fee shall be CPAU’s estimate of the installation cost or $1040,
whichever is greater.
(2) Commercial/Industrial
These fees apply to commercial, industrial, multi-family residential Services.
(a) For a 250 volt maximum, 200 amp or less, 3 and 4 wire services,
100 feet in length maximum service ..........................................................$1,440
(b) For all others the fee shall be CPAU’s estimate of the installation cost or
$1440, whichever is greater.
(3) Charges for replacement of Overhead Services not described above, shall be based on
CPAU’s estimate of applicable costs.
4. TEMPORARY SERVICE
(A) Overhead Temporary Service Charges:
(1) For a 250 volt, 200 amp, 3 wire service,
100 feet in length maximum service ...................................................................$1,190
(2) Fees for a Temporary Service of greater length and capacity or voltage shall be based
on CPAU’s estimate of all applicable installation and removal costs, or $1,190,
whichever is greater.
(B) Underground Temporary Service Charges:
(1) For a 250 volt, 200 amp, 3-wire maximum service,
If a Service box is available at the property .......................................................$1,190
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment A to Resolution
ELECTRIC SERVICE CONNECTION CHARGES
UTILITY RATE SCHEDULE E-15
CITY OF PALO ALTO UTILITIES
Issued by the City Council
Supersedes Sheet No. E-15-4 Sheet No.E-15-4
dated 11-01-16 Effective 09-01-2019
(2) If a Service box is not available at the property, the Customer will be responsible for
fees to provide a Service box.
(3) Fees for a Temporary Service of greater length and capacity or Voltage shall be based
on CPAU’s estimate of the installation and removal costs, or $1190, whichever is
greater.
5. GENERATOR INTERCONNECTION
CPAU shall charge a fee for evaluation of Generator Interconnection Applications performed
pursuant to Rule and Regulation 27.
(A) Advance Engineering Fees:
(1) Net Energy Metering projects or projects with a size less than or equal to 10 kW taking
Service under the Net Energy Metering Successor Program .......................................$0
(2) All Projects not covered under section 4(A)(1), which are greater than 10 kW and less
than 100 kW in capacity ........................................................................................$840
(3) All Projects not covered under section 4(A)(1), which are greater than or equal to 100
kW and less than 500 kW in capacity .................................................................$5,550
(4) All Projects not covered under section 4(A)(1), which are 500 kW or greater in capacity
............................................................................................................................$10,700
(B) Detailed Study:
(1) Net Energy Metering projects or projects with a size less than or equal to 10 kW taking
Service under the Net Energy Metering Successor Program) .....................................$0
(2) Detailed Study fees for all Projects not covered under section 4(B)(1) shall be based on
CPAU’s estimate.
(C) Interconnection Charges:
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment A to Resolution
ELECTRIC SERVICE CONNECTION CHARGES
UTILITY RATE SCHEDULE E-15
CITY OF PALO ALTO UTILITIES
Issued by the City Council
Supersedes Sheet No. E-15-5 Sheet No.E-15-5
dated 11-01-16 Effective 09-01-2019
(1) Net Energy Metering projects or projects taking Service under the Net Energy Metering
Successor Program) .....................................................................................................$0
(2) All projects less than or equal to 10 kW not under section 4(C)(1) ........................$152
(3) Interconnection fees for all Projects not covered under section 4(C)(1) or 4(C)(2) will
be based on CPAU’s estimate.
6. PALO ALTO CLEAN LOCAL ENERGY ACCESSIBLE NOW PROGRAM
Meter maintenance and administrative service Charge for Generators participating in the Palo Alto
Clean Local Energy Accessible Now (CLEAN) Program ......................................................$34.73
G. CREDITS:
Electric Vehicle Supply Equipment (EVSE) Credit:
Rebates or credits may be available to defray Electric Service connection charges, if the Service
upgrade is needed to support higher electrical loads that are the result of Electric Vehicle charging.
For additional information visit: https://www.cityofpaloalto.org/gov/depts/utl/ or call 650-329-
2241.
H. NOTES:
1. These Charges apply to all vacant land except where the Charges are recorded as previously paid.
2. CPAU can generally provide service availability from 30 to 45 days after all Charges are paid
except when long lead-time equipment or materials are required. Consult the City for estimated
lead-times.
3. CPAU is not responsible for delays in Service connection caused by conditions beyond its control,
including, but not limited to, delays in the arrival of equipment such as transformers, switches and
cable.
{End}
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment B to Resolution
6055298
CITY OF PALO ALTO PROGRAM FOR USE OF REVENUES FROM THE SALE OF LOW
CARBON FUEL STANDARD CREDITS (Updated December 2019)
Low Carbon Fuel Standard (LCFS) credits are allocated to the City of Palo Alto by the California
Air Resources Board (CARB) based on the estimated amount of electricity used by electric
vehicles (EVs) served by City of Palo Alto Utilities (CPAU), the amount of electricity dispensed by
EV chargers owned and operated by the City, and Compressed Natural Gas (CNG) dispensed at
the Municipal Service Center for CNG-fueled vehicles. This document outlines programs the City
intends to promote to benefit current and future EV drivers, in compliance with the state’s LCFS
regulations.1
A.Use of Revenues from the Sale of LCFS Credits for Electric Vehicles
CPAU may use LCFS credit sales revenue to provide rebates, discounts or funding
for any of the following purposes:
1.Rebates for the installation of Electric Vehicle Supply Equipment (EVSE), focusing on
multi-family residential buildings and shared parking areas.
2.Rebate or Credit Electric Service Connection Charges related to the installation of
EVSE.
3.Rebates for the purchase of EVs, including, but not limited to participation in
statewide EV rebate programs, regional Light Electric Vehicle (LEV) rebate programs
which may include electric scooters and bicycles, or targeted income-qualified
customer programs.
4.Discounts to residential off-peak electricity rates for customers with registered EVs,
who elect to be on a time-of-use electricity rate.
5.Incentives for EV owners willing to provide CPAU access to EV charging
information or willing to participate in grid-interactive EV charging programs.
6.Funding for CPAU programs designed to lower the cost of electric utility services for
EV charging or enable EV owners to modulate charging patterns to lower charging
cost.
7.Support for pilot-scale programs to expedite EV adoption.
8.Education and outreach activities to accelerate EVSE installations and EV
adoption.
B.Use of Revenues from the Sale of LCFS Credits for CNGVs
The City may use LCFS credit sales revenues to facilitate CNG vehicle adoption in the
following order of preference:
1.Fund capital and maintenance costs associated with the CNG station at the Municipal
Service Center to facilitate expanding the CNG vehicle customer base.
2.Fund activity to dispense carbon neutral CNG (e.g. use of certified environmental off-
sets or renewable natural gas supplies).
3.Reduce the CNG retail rate charged for vehicles.
1 CARB regulations currently require CPAU’s LCFS revenues generated from non-metered residential EV charging to be used to: 1)benefit current and
future electric vehicle drivers in California; 2) educate the public and customers on the benefits of EV transportation, and 3) provide rate options
that encourage off-peak charging and minimize adverse grid impacts (17 CCR Sec. 95491(d)(3)(A)(2) – (4)). CARB’s LCFS program overview is provided here: http://www.arb.ca.gov/fuels/lcfs/lcfs.htm.
DocuSign Envelope ID: E8DD3C26-1B61-4676-92CF-7D6010DACF7F
Attachment C to Resolution
6055298
C. City Manager Authority
1. The actual rebate and discount amounts and individual program budgets shall be based
on funds available and customer demand for programs, and shall be determined by the
City Manager. The CNG retail rate, including the discount offered based on available LCFS
sales revenue available, shall be determined by the City Manager.
2. The City Manager is authorized to:
a. Annually make changes to the programs and implementation details to optimally
utilize the revenues to benefit of EV and CNG vehicle owners.
b. Suspend customer programs if funds are depleted or if a program is found to be
ineffective at meeting stated program goals or regulatory requirements.
D. Program Term and Reporting Requirements
1. This Program shall be in place until December 31, 2030, unless revised by Council.
2. The Council shall be provided annual reports on LCFS credit sales revenues and
customer program expenditures.
3. The rebate amounts and related detailed guidelines shall be published on the
City’s website.
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