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HomeMy WebLinkAbout1998-05-19 City Council (8)BUDGET ’98- ’99 City of Palo Alto City Manager’s Report TO:HONORABLE CITY COUNCIL.. ATTENTION: FINANCE COMMITTEE FROM:CITY MANAGER DEPARTMENT: UTILITIES DATE:MAY 19, 1998 CMR:196:98 SUBJECT:PROPOSED REVISIONS TO UTILITIES RULES AND REGULATIONS REPORT IN BRIEF The staff has completed a comprehensive review and evaluation of the Rules and Regulations which define the conditions for providing utilities services throughout the City. This report recommends Council approval of the attached Resolution to amend and update the Utilities Rules and Regulations. The revisions of significance include : (1). amend Rule 7 - Deposits to return deposits to customers with a sound payment record after three years instead of holding such deposits indefinitely; (2) amend Rule 11 - Billing, Adjustments, and Payment of Bills to set limits for the historical period in which a customer will be retroactively billed or refunded; (3) amend Rule 16 - Line Extensions to eliminate the economic justification clause applicable to electric line extensions or reinforcement of electric facilities to accommodate development; amend Rule 23 - Special Wastewater Utility Regulations proposes to’ limit annual rate adjustments for large dischargers which are caused .by chemical sample results to 25 .percent. The proposed revisions would become effective July 1, 1998. CMR:196:98 Page 1 of 9 RECOMMENDATION - Staff recommends Council approval of the attached resolution amending Utilities Rules and Regulations 1-26. BACKGROUND Presently there are 25 Utilities Rules and Regulations which set forth the conditions for providing utility services in the City. The rules address a wide range of operating procedures, conditions, and customer requirements including the rendering and payment of bills, replacement of overhead with underground distribution facilities, customer deposits, refuse collection, electric voltage and frequency control, the use of fire hydrants, and reasons for discontinuance of service. Water, gas, electric, storm drain, wastewater collection, and refuse regulations are addressed in the rules. Many of the rules were developed prior to 1941, while others have since been introduced or revised. The last major revision was in 1992 (CMR:257:92). However, there is an ongoing need to add new provisions or delete rules which no longer apply as well as to revise fees-for-service calls to recover costs. A number of rifles have been amended to address the changes evolving with electric deregulation, including the establishment of a direct access nile. In 1998, additional changes may be proposed as rules are developed to address further changes in the gas and electric industries, or new business practices and customer services are implemented because of the new Utilities Customer Information System (CIS). The proposed ,rule revisions .in this report are based on meeting, at least .one of, the, following criteria: Clarification for the customer and staff of existing tales and-practices.~ Compliance with the latest federal, state, and local laws and codes as well as new City Council policies and the City’s Comprehensive Plan. Consistency with industry.standards, direction, and practices. More accurate reflection of current operations and practicesby the City of Palo Alto Utilities (CPAU)_.. Routine revisions of a minor nature, such as updating staff’position rifles or to revise outdated language. DISCUSSION CMR: 196:98 Page 2 of 9 There are a number of minor changes as well as significant revisions to the Utilities Rules and Regulations proposed by staff. Some rules have been consolidated to centralize related subject matter. Other rules have been amended or expanded. In some cases, a new rule and title has been established (i.e. Access to Premises, Telecommunications, Contracts), All rule sequence numbers have been revised. The proposed revisions are shown in bold in the attached rules. The remainder of this report summarizes the significant rule changes. Rule and Regulation 1: Adoption of Rules Description: New rule degcribes rule approval process and penalty for violation of rules. Significant Changes: Codifies the process for rule adoption and includes sections from the Palo Alto Municipal Code dealing with violation of Utilities Rules and Regulations. The provision related to criminal prosecution is primarily intended to discourage illegal water use and energy theft. Rule and Regulation 2: Defmitions and Abbreviations Description: Provides a list of defmitions of utilities terms and acronyms often used in the rules. Significant Changes: The number of terms defined has been expanded threefold. Rule and Regulation 3: Description of Services Description: Identifies basic types of utilities services available in Palo Alto. Indicates service delivery voltages, gas pressures, water and wastewater treatment, frequency of refuse collection, and calculation of storm drain fees. Significant Changes: Adds provisions to clarify location for point of delivery of electricity at customer’s site and expands rule to include fiber optic services. Sets forth responsibility of customers to protect their equipment from possible fluctuations in, voltage or frequency, ~- ,~, - ........ Rule and Regulation 4: Application of Service Description: Provides information requirements for a prospective customer, including information required to establish credit of a customer. Provides.requirements regarding a change in customer’s operation or facility. Significant Changes: Adds a provision to ensure consistency between utilities service modifications and requirements by City of Palo Alto building codes and zoning ordinances. CMR:196:98 Page 3 of 9 o, Rule and Regulation 5: Contracts Description: New rule describes special conditions which may require a customer contract. Significant Changes: Expands current list of conditions, requiring contracts to include Direct Access requirements and long-term customer contracts. Identifies Council approved policy guidelines for entering contracts with utility customers (CMR:370:97). Rule and Regulation 6: Establishment and Reestablishment of Credit Description: Sets forth conditions under which customer’s credit is established. Significant Changes: Adds customer credit rating system section to address practice established in 1996. Rule and Re_malafion 7; Deposits Description: Establishes size of customer deposit and conditions under which deposit is waived or returned to customer. Significant Changes: Changes procedure of retaining commercial deposits indefmitely to returning deposit to customer after three years service. Adds indemnity bond and certificate of deposit as options available to customers in-lieu of providing a cash deposit. Adds provision indicating circumstances in which deposit may be waived. Rule and Regulation 8: Access to Premises Description: Establishes fight for Utilities to be granted access to its equipment and facilities located on customer property. Significant Changes: This is a new rule that incorporates and expands on sections from current roles. The revisions address specific problems encountered by field staff in reading or repairing meters. Provisions reinforce that meters are property of the Utilities, that staffhas the right of access to its equipment, andthatCity employees have certain responsibilities when on the customer’s premises. Adds provision that service may be terminated if customer refuses to allow access or refuses to allow that the. meter may be relocated to enable reading of the meter. Rule and Regulation 9: Discontinuance and Restoration of Service Description: Establishes the circumstances under which service is discontinued, including nonpayment of bills, unsafe conditions, fraud, and energy theft. Also includes consumer protection provisions which have been adopted statewide and notification requirements by the Utilities before terminating service. CMR: 196:98 Page 4 of 9 Significant Changes: Identifies reasons for discontinuance of service by utilities, such as energy theft, returned checks, access to meter denied by customer, and use of equipment by customer that adversely affects reliability of the distribution system, consistent with current practice. Adds section recognizing availability of ratepayer financial assistance programs, such as the Residential Rate Assistance Program and ProjectPLEDGE; as well as a willingness of the Utilities Department to enter into an extended payment agreement with the customer to avoid disconnection of service. Identifies current practices that are consistent with industry standards for notif36ng customers before disconnection can occur. Rule and Regulation 10: Meter Reading Description: Defines how often water, gas, and electric meters will be read, under what circumstances meter reads will be estimated, how meter reading errors are handled, and how the "Customer Reads Own Meter" Program works. Significant Changes: Adds section identifying current practice of customers sending meter reads to the Utilities Department over the Internet and expands on responsibilities of customers participating in the "Customer Reads Own Meters" Program. Rule and Regulation 11; Billing, Adjustments, and P~lyment of Bills Description: Establishes bill preparation and payment process, including when payment is due, late charges, budget billing procedures; also clarifies circumstances under which a customer’s bill may be adjusted to reflect current Utilities Department practice, and the applicable adjustment period for backbilling customers. Significant Changes: Combines provisions related to billing found in other rules such as disputed bill procedures, preparation of bills, and bill adjustments. Identifies the types of billing errors due to human mistakes such as incorrect meter reads; therm factors, meter multipliers, and other clerical errors. The most significant change relates to the revised cut-off date that the Ul~ties Department will calculate back to in the event of a billing undercharge or overcharge. On an average, mistakes by Utilities Department staff necessitating a refund or backbill coveting more than 12 months arise infrequentlyand affect two to .three customers a year. This is not unusual for utilities which do not have a fully automated workflow process established, free from possible human error. The most common backbilling example is upon setting a meter (perhaps 5 or 10 years ago), an incorrect meter multiplier was communicated from the field for billing purposes. A multiplier is often used on large meters and is an arithmetic factor needed to compute consumption accurately. Given that it is a City oversight, customers become understandably upset when advised that they CMR: 196:98 Page 5 of 9 " owe the Citya significant sum for prior years service, even though the Utilities Department offers to amortize payments over a reasonable period. The current-rule (Rule 12C) states, "When it is found that an error in billing has occurred, the date and cause of which can be reliably established, the overcharge or undercharge will be computed back to, but not beyond, that date." In accordance with this rule, the Utilities Depaxtment has no option but to require full payment. _In this proposed rule, staff recommends that the period that a customer is backbilled or refunded shall not exceed 6 months or 12 months respectively. In comparison, Pacific Gas & Electric Company (PG&E) calculates the amount of an overcharge for up to three years for refimds and for an undercharge will calculate the amount owed for a period of three months and three years for residential and nonresidential customers respectively. Rule and Regulation 15: Metering Description: Establishes requirements for meter locations, meter testing for accuracy, meter ownership, and exceptions to requirement for separate metering of facilities shared by more than one tenant or business. Significant Changes: Adds section clarifying that the Utihties Department shall own and maintain meters in response to the deregulation of energy. Rule and Regulation 16: Line Extensions Description: Establishes the conditions for extension of major distribution facilities to ’ provide service new customers and developments. Significant Changes: Eliminates economic justification clause applicable to extension or reinforcement of electric facilities constructed to accommodate a subdivision or other development. Historically, the economic justification clause was established to help subsidize growth and new development in the City. The clause provided that the Electric Utility would cover some amount of the construction costs for new service based on a formula that credits the customer with 2.5 years of net annual revenue. In recent years, the estimated cost to the Ul~ty and ratepayers.has been approximately $125,000- $200,000 annually. From a cost of service standpoint it is recommended that this subsidy be eliminated and customers receiving the direct benefit be responsible for all such costs to connect and serve their facilities. As a result, the revenue collected will offset the Utility’s costs and help maintain a competitive distribution charge. Rule and Regulation 18: Electrical Service Connections and Facilities on Customer’s Premises Description: Establishes the technical .specifications and requirements to connect a service lateral to the City’s electrical distribution system. CMR: 196:98 Page 6 of 9 Significant Changes: Specifies overhead service as the standard service in areas outside an underground district but at a customer’s request and expense, an underground service will be provided. The rule change is requested because the Utility and the customer are investing in underground facilities that have to be altered or reinstalled when an underground district is constructed. This results in increased costs for the underground districts. Rule and Regulation 19: Direct Access Description: Establishes terms and conditions under which the Electric Utility shall render distribution services under Direct Access. Sets forth requirements and responsibilities for customers who elect direct access and are served by another Energy Service Provider (ESP). Significant Changes: This rule was-recently established by Council on December 1, 1997. This proposed revision clarifies the customerresponsibilities for compensating the Electric Utility in the event their ESP defaults and the Electric Utility purchases and supplies energy to assure continuance of service. Rule and Regulation 23: Special Wastewater Utility Regulations Description: Establishes requirements for discharge of hauled liquid wastes, delineation of responsibility for the collection system and sewer laterals, and sampling of industrial discharges. Significant Changes: A significant change proposed is establishing a limit to the increase or decrease to be applied to bills of the largest dischargers (eleven) due to discharge sampling results. In accordance with a complex formula mandated by the State which applies to large dischargers of 25;000 gallons per day or more, the City bills such customers on quality as well as quantity of discharge. For purposes of determining quality, staff at the Water Quality Control Plant obtain chemical samples from each of the eleven customer sites two or three times annually to determine billing determinants for suspended solids, chemical oxygen demand, ammonium nitrate, etc. Based on these updated sample results, bills for such customers change annually, regardless if whether there is a system-wide rate adjustment. The sample results vary from year to year and if taken more often, concentrations found in samples would often be found to vary day to day or week to week. Thus, sample results may not necessarily present an accurate perspective of a plant facilities’ discharge year-round. However, depending on the sample results, some customer bills have increased by i 72 percent or decreased by as much as 85 percent in one year. In order to provide some rate stability to our customers and in recognition of the fact that sampling results may not accurately reflect- concentrations on a yearound basis, staff proposes to establish limits for bill adjustments CMR: 196:98 Page 7 of 9 due to sampling effects. In this regard, staff recommends that the amount of change in a - customer’s bill due to updated sampling may not exceed 25 percent annually. This limitation is independent of any change in a customer’s bill due to a system-wide rate change. Rule and Regulation 24: Special Recycling and Refuse Utility Regulations Description: In general terms, sets forth the regulations related to refuse and recycling pickups by the City’s contractor. Significant Changes: Adds provisions adopted by Council Ordinance Number 4451 on October 6, 1997, that pertain to the collection, removal, and disposal of solid waste and recyclable materials. Revisions reflect new automatic container service levels and better defmitions of the exclusions for collecting solid waste and recyclables in Palo Alto. Adds new section to cover recycling in Palo Alto and provides administrative authority to City to exempt a customer from paying for refuse pickup if no such refuse is generated. Rule and Regulation 26; Fiber Optics Description: Sets forth requirements and service connection procedures for fiber optic service. Establishes customer and Electric Utility responsibilities as well as Utility ownership of the infrastructure. Significant Changes: This is a new rule that establishes the necessary Operating procedures to provide fiber optic services in Palo Alto. RESOURCE IMPACT The most significant resource impact is likely to be an increase in Electric Utility revenue of approximately $125,000 to $200,000 annually due to elimination of the economic justification.clause in ,Rule, 16 - Lirte,Extensions../Proposed revisions which impact customer bills, such as Rule 11 Billing, Adjustments, and Payment of Bills and Rule 23 Special Wastewater Utility Regulations, are not expected to have any significant impact on Utilities revenues~,as some bills=may rise and others may decline_- POLICY IMPLICATIONS There are a number of nile revisions which have policy implications. Rule 7 - Deposits proposes to return deposits to customers with a sound payment record after three years instead of holding such deposits indefinitely. Rule 11 - Billing, Adjustments, and Payment of Bills proposes to set limits for the historical period in which a customer will be retroactively billed or refunded. Currently, a customer may be liable for charges resulting fi:om an oversight by Utilities for an indefinite period of time. Rule 16 - Line Extensions proposes to eliminate the economic justification clause applicable to electric. CMR:196:98 Page 8 of 9 line extensions or reinforcement of electric facilities to accommodate development. The proposed change will shift costs to the developer from all ratepayers. Rule 23 - Special Wastewater Utility Regulations proposes to limit annual rate adjustments for large dischargers which are caused by chemical sample results to 25 percent. Currently, there are no limits and customer bills may decrease by as much as 85 percent or increase by as much as 172 percent. ENVIRONMENTAL REVIEW Approval of revisions to these Utility Rules and Regulations does not constitute a project under the California Environmental Quality Act. Therefore, an environmental assessment is not required. ATTACHMENTS Resolution Rule and Regulations Numbers 1-26 Prepared by:Randy Baldschun, Assistant Director of Utilities Administrative Services DEPARTMENT HEAD REVIEW: EDWARD J~vIRIZEK DIRECTOR OF UTILITIES CITY MANAGER APPROVAL: CMR: 196:98 Page 9 of 9 RESOLUTION NO. RESOLUTION OF THE COUNCIL OF THE CITY OF PALO ALTO APPROVING AND ADOPTING RULES AND REGULATIONS~ GOVERNING UTILITY SERVICES AND FEES AND CHARGES EFFECTIVE JULY i, 1998 WHEREAS, pursuant to Chapter 12.20 of the Palo Alto Municipal Code the City Council may by resolution adopt rules and regulations governing utility services and the fees and charges therefore; and WHEREAS, the City Council has determined to revise the existing rules and regulations and to adopt new rules and regula- tions, to be effective July i, 1998; NOW, THEREFORE, the Council of the City of Palo Alto does hereby RESOLVE as follows: SECTION i. Pursuant to Section 12.20.010 of the Palo Alto Municipal Code, the amended and new rules and regulations governing utility services, and the fees and charges therefore, attached hereto and incorporated herein, are hereby approved and adopted. Except as specifically amended by this resolution, all existing utility rules and reg~.lations remain in full force and effect as ofthe date of their orlginal adoption. SECTION 2. This Council finds that none of the provisions of this resolution will have a significant environmental impact. SECTION 3. July I, 1998. The foregoing changes shall become effective INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST:APPROVED: City Clerk APPROVED AS TO FORM: Mayor APPROVED: Senior Asst. City Attorney CityManager Actin~ Director of Adminlstrative Services Director of Utilities 980408 ~n 00713~ RULES AND REGULATIONS City of Palo Alto Utilities Table of Contents Rule 1 Rule 2 Rule 3 Rule 4 Rule 5 Rule 6 Rule 7 Rule 8 Rule 9 Rule 10 Rule 11 Rule 12 Rule 13 Rule 14 Rule 15 Rule 16 Rule 17 Rule 18 Rule 19 Rule 20 Rule 21 Rule 22 Rule 23 Rule 24 Rule 25 Rule 26 Adoption of Rules Definitions and Abbreviations Description of Services Application for Service Contracts Establishment and Reestablishment of Credit Deposits Access to Premises Discontinuance and Restoration of Service Meter Reading Billing, Adjustments, and Payment of Bills "Intentionally left blank for future rule on Gas Deregulation" Shortage of Supply and Interruption of Delivery Emergency Energy Usage Restrictions Metering Line Extensions Conversion to Underground Electrical Service Connections and Facilities on Customer’s Premises Direct Access Special Electric Utility Regulations Special Water Utility Regulations Special Gas Utility Regulations Special Wastewater Utility Regulations Special Recycling and Refuse Utility Regulations Special Storm and Surface Water Drainage Utility Regulations Special Fiber Optic Regulations - CITY OF PALO ALTO UTILITIES Issued by the City council Effective 7-1-98. CITY OF PALO ALTO UTILITIES Sheet No. 1 ADOPTION OF RULES RULE AND REGULATION 1 A. ADOPTION OF RULES: Co These Rules and Regulations, and any amendments thereto, are approved and adopted by resolution of the Palo Alto City Council and copies are available to the general public at the Utilities Customer Service Center, Second Floor, 250 Hamilton Avenue, Palo Alto, CA 93401. CONFLICT: In case of an apparent inconsistency or conflict between a provision of any rate schedule or Rule and Regulation, the provision of the rate schedule shall apply. In the event a conflict occurs between the interpretation of one Rule and Regulation with another Rule and Regulation, contract, or rate schedule, the Director of Utilities, with concurrence of the City Attorney, shall provide the correct interpretation. PENALTY FOR VIOLATION OF RULES AND REGULATIONS: Every individual supplied utility services by CPAU shall be considered as having expressed consent to be bound by CPAU Rules and Regulations. It is unlawful for any individual to disobey or fail to observe any Rule and Regulation. It is unlawful for a Customer to knowingly provide incorrect, inaccurate, false, or misleading information of any kind to CPAU in connection with an application for CPAU service (Rule and Regulation 4) or with regard to responding to any request for information made by CPAU. Any person or business violating any CPAU Rule and Regulation is guilty of a misdemeanor subject to a fine of not more than one thousand dollars or by imprisonment in the county jail for a period not exceeding six months, or both fine and imprisonment. : (END) CITY OF PALO ALTO UTILITIE.S Issued by the City Council Effective 7-1-98 Original Sheet CITY OF PALO ALTO UTILITIES Sheet No. - 1 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 ABBREVIATIONS: AMR - Btu ccf CPAU DA DASPA ERU - ESP - kVar - kVarh - kW - kWh - MW - PAMC - RWQCP - UUT - Automated Meter Reading British Thermal Unit hundred cubic feet City of Palo Alto Utilities Direct Access Direct Access Service Provider Agreement Equivalent Residential Unit " Energy Service Provider Kilovar Kilovar-hours Kilowatt Kilowatt-hour Megawatt Palo Alto Municipal Code Regional Water Quality Control Plant Utilities Users Tax B. GENERAL DEFINITIONS: Account The identification number in CPAU’s billing system for utility services. Applicant An individual, corporation, partnership, agency, or other legal entity or authorized agent of same, requesting CPAU to supply any or all of the following: 1.Electric Service -~ 2.Water Service 3.Gas Service 4.Sewage Collection 5.Refuse and Recycling Collection 6.Storm Drain Service 7.Fiber Optic Service Billing Period CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 Also "service period" or "billing cycle". The normal billing cycle for CPAU Customers is monthly. The number of days in the billing cycle or billing period is determined by the number of days between meter reads. A Customer’s meters are read approximately every 27-33 days. On an average basis, a billing period is 30 days. Billing Therms The number of billing units for natural gas that is based on the metered consumption (in ccf) multiplied by the product of an altitude pressure adjustment and a Btu factor (heating content of natural gas which varies monthly). One (1) therm equals 100,000 Btu. City of Palo Alto Also "City". The government of the City of Palo Alto, a chartered city and a municipal corporation duly organized and validly existing under the Laws of the State of California, with a principal place of business located at 250 Hamilton Avenue, Palo Alto, County of Santa Clara. City of Palo Alto Utilities The term CPAU shall mean all utilities operated by the City of Palo Alto. Such utilities shall include, but not be limited to, water, gas, electric, sewage collection, refuse collection, storm drain, and fiber optics. The City of Palo Alto is the legal entity which owns and is responsible for the City of Palo Alto Utilities. Code The words "the Code" or this Code" shall mean the Palo Alto Municipal Code. Core Market Customer A customer who purchases full gas service from CPAU under one rate schedule that includes gas supply, distribution services from CPAU, and pipeline transportation services. Commercial Service Commercial utility service is provided to businesses, non-profit organizations, and industrial customers. In addition, applies to utilities services through a master meter serving multi-family residential dwellings. Customer The person, corporation, agency, or entity in whose name service is rendered for a particular account as evidenced by the signature on the application, contract, or agreement for service. In CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 the absence of a signed instrument, a customer shall be identified by the receipt of ax!y payment of bills regularly issued in the name of the person, corporation, or agency regardless of the identity of the actual user of the service. Customer Fiber Customer single mode and/or multi-mode fiber optic cables that can be installed to interconnect to locations within City of Palo Alto limits, but outside of CPAU established single mode network path. Customer-Owned Generation An electric generator owned by the Customer, interconnected with and operating in parallel with CPAU facilities. Dark Fiber A strand of optic transmission material within a fiber optic cable that is provided by CPAU without any of the light transmitters, receivers, or electronics required for telecommunications over the fiber. Default Rate Schedule The rate schedule to which a Customer is assigned automatically by CPAU for a period of twelve months, in the event a Customer does not elect a specific rate schedule determined by CPAU to be available at that time. Demand The highest rate of delivery of electric energy, measured in kilowatts (kW) or kilovolt amperes (kVA) occurring instantaneously or registered over a fixed time period (normally fifteen minutes unless otherwise specified within a monthly billing cycle). Demand Charge =, ~ ’, An electrical charge or rate that is applied to a metered demand reading expressed in kilowatts to compute a demand charge component of a Customer’s electric bill. Direct Access Also "DA". The election by a Customer to procure its electricity, and related energy services, from an Energy Service Provider, other than CPAU. In this situation, a Customer deals directly with an ESP for commodity supply, while distribution and applicable transmission services would continue to be provided by CPAU. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF-PALO ALTO UTILITIES Sheet No. - 3 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 Direct Access Metering Also "DA Metering". An electromechanical device capable of recording or transmitting energy use to effect Direct Access, including any communication system or services needed to allow the access to meter read information. Such metering shall conform to the standards and specifications currently adopted by CPAU. Direct Access Plan Also "DA Plan." The document detailing the processes and procedures adopted by CPAU to effect and allocate participation in Direct Access within CPAU’s Service Territory, including phase-in schedule, eligibility criteria and selection processes. Direct Access Service Request Also "DASR". The form required to initiate Direct Access Service. Direct Access Service Provider Agreement Also "DASPA". Also referred to as Direct Access Service Provider Contract (DASPC). The contract between CPAU and the DA Customer’s Energy Service Provider that delineates the terms and conditions under which Energy Services may be scheduled or nominated to the City’s Schedule Coordinator and transmitted to the DA Customer. Distribution Services Includes, but is not limited to, utility service provided by the Distribution System and other services such as billing, meter reading, administration, marketing, and customer services. Distribution System The infrastructure owned and operated by CPAU which is capable of transmitting electrical power or transporting water, wastewater, or gas within the City of Palo Alto. The electric distribution system transmits power from the City’s interconnection with Pacific Gas and Electric Company to CPAU’s meter located on the Customer’s premises. The gas distribution system transports gas from Pacific Gas and Electric Company receiving stations to CPAU’s meter located on the Customer premises. The water distribution system transports water from the San Francisco Water Department receiving stations and CPAU wells to the meter located on the Customer premises. The Wastewater Collection System transports sewage from the Customer’s premises to the Water Quality Control Plant. Distribution and Transmission Services CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 4 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 Services provided by CPAU to effect the physical delivery of Energy Services provided by the Energy Services Provider from the Point of Receipt to the Direct Access Customer’s Service Address. Effluent Partially or completely treated sewage flowing out of any sewage treatment facility. Emergency Service Electric Service supplied to, or made available to, load devices which are operated only in emergency situations or in testing for same. Energy Services Energy commodity and any applicable ancillary services used to generate and transport such commodity from its origin to the City’s Point of Receipt. May also mean the sale of value added services associated or related to the provision and/or usage of energy commodity. Energy Service Provider Also "ESP." The agent employed by the DA Customer obligated to procure, schedule, nominate, and transport Energy Services. ESP shall also include any and all agents or contractors employed or utilized by ESP in performance of its obligations, including scheduling coordinator(s). Equivalent Residential Unit Also "ERU". This is the basic unit for computing storm drainage fees. All single-family and duplex units are billed 1 ERU and are considered to have an impervious area of 2,500 square feet. All other non-residential properties have ERU’s computed to the nearest 1/110 ERU using this formula: No Of ERU=Impervious Area (sq.ft.) / 2,500 sq.ft. Full Service Provision by CPAU of both Distribution and Transmission Services and Energy Commodity Services to its Customer. Also known as "Fully Bundled Service". Inspector The authorized inspector, agent, or representative of CPAU. Kilovar (kVar) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES sheet No. - 5 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 A unit of reactive power equal to 1,000 reactive volt-amperes. Kilovar-hours (kVarh) The amount of reactive flow in one hour, at a constant rate of kilovar. Kilowatt (kW) A unit of power equal to 1,000 watts. Kilowatt-hour (kWh) The amount of energy delivered in one hour, when delivery is at a constant rate of one kilowatt; a standard unit of billing for electrical energy. Load(s) The electric power demand (KW) of the Customer at its Service Address within a measured period of time, normally 15 minutes. Load Profiling A methodology which may be employed by CPAU, in lieu of DA Meeting, to compute the bill for all DA Customers who have accounts that do not require, or are exempt from, Direct Access Metering. The methodology may include application of a class-average hour-by-hour load profile to determine a monthly average usage profile appropriate for that class of customer. Main Sewer Line Any sewer line not including a building connection iservice) sewer. Master-metering Where CPAU installs one service and meter to supply more than one residence, apartment dwelling unit, mobile home space, store, or office. Meter The instrument owned and maintained by CPAU that is used for measuring either the electricity, gas or water delivered to the Customer. Meter Read The recording of usage data from metering equipment Minimum Charge CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 6 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 The least amount for which servicewill be rendered in accordance with the rate schedule. Occupied Domestic Dwelling Any house, cottage, flat, or apartment unit ha’~ing a kitchen, bath, and sleeping facilities, which is occupied by a person or persons. Point of Delivery (POD) Unless otherwise specified, that location on the Customer’s Premises where the CPAU circuit and Customer’s electrical wiring are interconnected. Point of Receipt The designated location at which CPAU receives energy supplied by an ESP and/or Scheduling Coordinator on behalf of a DA Customer. The Points of Receipt will be designated in the DASPA as one of the NCPA Points of Receipt, the Palo Alto City Gate meter or other specified point(s). Pole Line Overhead wires and overhead structures, including poles, towers, support wires, conductors, guys, studs, platforms, cross arms braces, transformers, insulators, cutouts, switches, communication circuits, appliances attachments, and appurtenances, located above ground and used or useful in supplying electric, communication, or similar or associated service. Power Factor The percent of total power delivery (kVA) which does useful work. For billing purposes, average power factor is calculated from a trigonometric function of the ratio of reactive kilovolt- ampere-hours to the kilowatt-hours consumed during the billing month. Premises All structures, apparatus, or portion thereof occupied or operated by an, individual(s), a family, or a business enterprise, and situated on an integral parcel of land undivided by a public street, highway, or railway. Primary Service CPAU electric distribution service provided to a Customer’s premises at a voltage level equal to or greater than 1000 volts. Public Benefits Charge CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 7 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 Mandated charge on electric bills to fund qualifying energy and low-income customer programs and services that benefit the public good in accordance with AB1890. Public Works Department City of Palo Alto department responsible for providing storm drain, wastewater treatment, and refuse and recycling services. Rate Schedule One or more tariff sheets setting forth the charges and conditions for a particular class or type of utility service. A rate schedule includes wording such as Schedule number, title, class of service, applicability, territory, rates, conditions, and references to rules. Recyclable The material is recyclable if it is easily collected and processed and there is a demand for it. The most common recyclable materials are paper, glass, metal, and some plastics.. Recyclable materials are processed, manufactured, and reused in order to regain material . for human use. Residential Service Utility service provided to separately metered single family or multi-family, domestic dwelling. Scheduling Coordinator An entity providing the coordination of power schedules and nominations to effect transportation and distribution of electric power and energy. Secondary Service CPAU electric distribution service provided to a Customer’s premises at a voltage level less than 1000 volts. Service Address The official physical address of the building or facility assigned by CPAU’s Planning Department, at which Customer receives utility services Service Charge A fixed monthly charge applicable on certain rate schedules that does not vary with consumption. The charge is intended to recover a portion of certain fixed costs. Services or Service Lines CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 8 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 Facilities of CPAU, excluding transformers and meters, between CPAU’s transmission or distribution system and the Point of Delivery to the Customer. Service Territory The geographic boundaries within the City of Palo Alto limits served bY the physical distribution system of the CPAU. Standby Service Back-up energy services provided by CPAU to a DA customer who returns to CPAU for commodity supply service on short notice either due to ESP not providing commodity supply service or by choice of the Customer. Temporary Service Service requested for limited period of time or of indeterminate duration such as, but not limited to, service to provide power for construction, seasonal sales lots (xmas trees), carnivals, rock crushers or paving plants. Temporary service does not include emergency, breakdown or standby service. Therm A unit used to measure a quantity of heat for natural gas that is equal to 100,000 British Thermal Units (BTU). Transition Cost Recovery Also "TCIL" Mandated charge on all electric bills to fund the CPAU repayment of costs of fixed and variable costs of above-market generation which may be characterized as "stranded costs". Trap Any approved equipment or appliance for sealing an outlet from a house-connection sewer to prevent the escape of sewer gas from a main line through a building connection (service) sewer. Underground Utility District An area in the City within which poles, overhead wires, and associated overhead structures are prohibited or as otherwise defined in Section 12.04.050 of the PAMC. Utilities Departme~it City of Palo Alto department responsible for providing water, gas, electric, wastewater collection, and fiber optic services. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 9 DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 Utilities User .Tax Also "UUT". City of Palo Alto tax imposed on utility charges to a water, gas, and/or electric service user. Charges include charges made for metered energy and water and charges for service including customer charges, service charges, standby charges, charges for temporary services, demand charges, and annual and monthly charges. In 1987, Palo Alto voters approved a 5 percent tax on utility charges for water, gas, and electricity to raise revenue for general governmental purposes of the City of Palo Alto. A reduced tax of 3 percent was approved for qualifying high volume users. The tax does not apply to Refuse, Storm Drain, or Wastewater Collection charges. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO ,UTILITIES Sheet No.-10 DESCRIPTION OF SERVICES RULE AND REGULATION 3 A.ELECTRIC SERVICE: In order to respond to deregulation in the electric industry, CPAU offers eligible customers two general types of service: Full Service and Direct Access Service. Under full service, Distribution, Transmission, and Energy Services from CPAU are provided. Direct Access Service provides Distribution and Transmission but not Energy Services. Energy Services such as energy commodity will be provided by Energy Service Providers (ESP), other than CPAU. Energy Service Providers are energy companies or marketers not associated with CPAU. Specialized metering, billing procedures and other requirements for Direct Access are described in Rule and Regulation 19. The remaining section on Electric Service applies to both Full Service Customers and Direct Access Customers. 1.BASIS OF SERVICE (A)Unless otherwise specifically provided in the rate schedule or contract, CPAU’s electric rates are based upon the furnishing of electric service to a Customer premises at a-single Point of Delivery at a single voltage and phase classification. Unless specified otherwise, each Point of Delivery shall be metered and billed separately under the appropriate rate schedule. Any additional service supplied to the same Customer at other Points of Delivery or at a different voltage or phase classification shall be separately metered and billed. (B)The type of distribution service (voltage, secondary, primary) available at any particular location may be determined by inquiry at CPAU’s Engineering Office. (c)Alternating-current service will be regularly supplied at a nominal frequency of approximately 60-Hertz (cycles per second). See Rule 20 "Special Electric Utility Regulations" regarding special service requirements 2.LOCATION OF POINT OF DELIVERY CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 DESCRIPTION OF SERVICES RULE AND REGULATION 3 (A) SECONDARY SERVICE For all overhead service at Se.condary voltages and all underground service to single-family residential structures at Secondary voltage, the Point of Delivery will normally be at a point on’ the outside of the structure to be served which is, in CPAU’s judgment, most conveniently located with respect to CPAU’s distribution facilities and which complies with CPAU standards and specifications and applicable building and electrical codes. For other underground services at Secondary voltages, the Point of Delivery will normally be at the side of the Secondary connectors at the transformer serving the Customer’s load or Secondary handhole. (B)PRIMARY SERVICE For service at Primary voltages, the Point of Delivery will normally be at the point on the property line of the premises to be served which is, in CPAU’s judgment, most conveniently located with respect to CPAU’s transmission or distribution facilities. (C) EXCEPTIONS Any cost to CPAU of providing Secondary or Primary Services, at the request of the Customer or for his or her convenience, to a Point of Delivery other than the normal’ Point of Delivery set out above shall be paid by the Customer and shah be in addition to any other amounts which the Customer may be required to pay for said Secondary or Primary service. If several buildings are occupied and used by one Customer in a single business or other activity, CPAU may, at its discretion, furnish service for the entire group of buildings through one service connection at one Point of Delivery. All transformers and facilities required to provide electric service will be padmounted and the Applicant, when requested by CPAU, will provide a Public Utility Easement in recordable form for installation of such facilities within the boundaries of the property. All padmounted equipment will be subject to aesthetic guidelines by CPAU. The Utilities Director or his/her CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DESCRIPTION OF SERVICES RULE AND REGULATION 3 designee, may authorize the installation of new submersible or vault installed facilities when, in his/her opinion, padmounted equipment installation in any particular instance would not be feasible or practical. EMERGENCY AND STANDBY SERVICES: CPAU shall provide backup emergency, and other Standby Service to Customers at published rates. SERVICE DELIVERY VOLTAGE: The following are the standard service voltages normally available, although not all of them are or can be made available at each Point of Delivery. These service voltages are available in locations that already have this service voltage and have sufficient capacity, as determined by CPAU, to serve the new load. Any equipment installed on these services shall have the capability of converting to a 208 Y/120, 4-Wire. DISTRIBUTION OF VOLTAGE Single-Phase Three-Phase Three-Phase .. Secondary Secondary.Primary_ 120/240, 3 -wire 120/208, 3-wire 240/120, 4-wire* 240, 3-wire* 208 Y/120, 4-wire 480, 3-wire 480 Y/277, 4-wire 4,160, 3-wire 12,470, 3-wire *Limited availability: maximum 400 ampere main, consult CPAU All voltages referred to in this Rule and appearing in some rate schedules are nominal service voltages at the Point of Delivery. CPAU’s facilities are designed and operated to provide sustained service voltage at the Point of Delivery, but the voltage at a particular Point of Delivery will vary within satisfactory operating range limits. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DESCRIPTION OF SERVICES RULE AND REGULATION 3 (c)In areas where a certain standard secondary voltage is being served to one or more Customers, an Applicant applying for new service in such areas may be required by CPAU to receive the same standard voltage supplied to existing Customers. (D) The voltage at which service is delivered can be changed by CPAU. 5.VOLTAGE AND FREQUENCY CONTROL Under normal load conditions, CPAU’s distribution circuits will be operated so as to maintain service voltage levels to Customers with + 5 percent of the nominal service delivery voltage. Subject to the limitations above, the voltage balance between phases will be maintained by CPAU as close as practicable to 2 ½% maximum deviation from the average voltage between the three phases. (B)Voltages may be outside the limits specified above when the variations: (1) (2) (3) arise from service interruptions; arise from temporary separation of parts of the system from the main system; are minor momentary fluctuations and transient voltage excursions of short duration which may occur inthe normal operation of CPAU system; are from causes beyond the control of CPAU. (c)Due to conditions beyond the control of CPAU, Customer, or both, there will be infrequent and limited periods when voltages will occur outside of the nominal service voltage ranges. Utilization equipment may not operate satisfactorily under these conditions, and protective devices in the equipment may operate to protect the equipment. Where the operation of the applicant’s equipment requires stable voltage regulation _or other stringent voltage control beyond that supplied by CPAU in the normal operation of its system, the Applicant, at its own expense, is responsible for installing, owning, operating, and maintaining CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DESCRIPTION OF SERVICES RULE AND REGULATION 3 any special or auxiliary equipment on the load side of the service delivery point as deemed necessary by the Applicant. (E)The applicant shall be responsible for designing and operating its service facilities between the Point of Delivery and the utilization equipment to maintain proper utilization voltage at the line terminals of the utilization equipment. (F)The Applicant shall not impose a load on CPAU’s system that will cause the voltage limits in this section to be exceeded for an adjacent service delivery point. (G)CPAU shall test for excessive fluctuations at its own expense when there is reasonable indication of a need, but requests for voltage checks by the Customer shall be subject to payment for the cost if they are more frequent than once in any twelve-month period, unless excessive voltage fluctuation is found to exist. Customers are responsible for protecting their connected loads and equipment, including computers, from sudden voltage or frequency fluctuations outside nominal service and frequency ranges. Such protection may include, but not be limited to, power surge protectors. 6.GENERAL LOAD LIMITATIONS (A) Single-Phase Service Single-phase service normally will be 3-wire, 120/240 volts (or 3-wire,. 120/208 volts at certain location’s as now or hereafter established by CPAU) where the size of any single motor does not exceed 7-1/2 horsepower (10 hp at the option of CPAU). For any single-phase service, the maximum service size shall be 400 ampere. If the load exceeds the capability of a 400 ampere single phase service the service shall be three- phase. In locations where CPAU maintains a 120/208 volt secondary system, 3- wire single-phase service normally shall be limited to that which can be CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DESCRIPTION OF SERVICES RULE AND REGULATION 3 supplied by a main switch or service entrance rating of 200 amperes. Single-phase loads in these locations in excess of that which can be supplied by a 200 ampere main switch or service entrance rating normally will be supplied with a 208Y/120 volt, three-phase, 4-wire service. 3.Three-Phase Service (2,000 volts or less) Normal Voltage 240/120 240 280Y/120 480Y/277 Minimum Load ............. Requirements 5 hp, 3-phase connected 5 hp, 3-phase connected Demand load 75 kVA Demand load 112 kVA Maximum Demand Load Permitted 400 Amperes 400 Amperes 500 kVA 2,000 kVA (See Note 1) Note 1. Applicants or existing Customers with a planned or existing single or multiple building development having a maximum demand in excess o.f2000 kVa, as determined by CPAU, will be required to take delivery at the available primary voltage and are required to provide their own primary switchgear and transformer(s). Determination of maximum demand and service voltage will be made by CPAU and the decision of the Electric Engineering Manager will be final. Where three-phase service is supplied, CPAU reserves the right to use single- phase transformers connected open-delta or closed-delta or three-phase transformers. (2) (3) Three-phase service will be supplied on request for installations aggregating less than the minimum listed above, but not less than 3 horsepower, three-phase, where existing transformer capacity is available. If three-phase service is not readily available, or for service to loads less than 3 hp, service shall be provided in accordance with CPAU’s applicable Ruleon Special Power Service requirements. An applicant or existing cusiomer requiring service with a maximum demand in excess of 750 KVA, as determined by CPAU, shall be served by padmount transformers. No submersible or vault-installed transformers in excess of 750 KVA will be installed by CPAU. Where an existing underground service must be upgraded beyond 750 KVA, the Customer shall be required to provide adequate CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DESCRIPTION OF SERVICES RULE AND REGULATION 3 space for installation of the padmount transformer. In the event the Customer is unable to provide adequate space for the padmount transfomer, then the Customer shall make arrangements at his or her expense to receive service at primary voltage. (B)Three-Phase Service (Over 2,000 volts) The following three-phase primary voltage may be available as an isolated service for a single Applicant; And where that Applicant’s demand load justifies such voltage. The determination will be made by CPAU. Minimum Demand Normal Voltage Bank Installed 4,160 500 kVa 12,470 1,000 kVa Maximum Demand Load Permitted 15,000 kVa 15,000 kVa 7.TEMPORARY SERVICE: Temporary service is electric service which, in CPAU’s opinion, is of an indefinite duration at the same location, or to operations of a speculative character or of questionable permanency, or any other service which is estimated to last less than one year. CPAU will furnish temporary service if the furnishing of such service will not work undue hardship upon it or its customers, and the following conditions are met: The Applicant for such temporary service shall apply for service on an application form provided by CPAU Engineering and be required to pay to CPAU in advance the cost of installing and removing any facilities necessary in connection with the furnishing of such service by CPAU. Each Applicant for temporary service shall be required to prepay a Temporary Service Fee in accordance with Electric Service Connection Fees Rate Schedule E-15. (c)Nothing in this Rule and Regulation shall be construed as limiting or in any way affecting the right of CPAU to collect from the Customer an additional sum of money which may become due and payabl~ to CPAU by reason of the temporary service furnished or to be furnished or removed hereunder. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DESCRIPTION OF SERVICES (a) RULE AND REGULATION 3 If the temporary service connection time exceeds one-year, the Applicant will need to apply for an extension of the temporary service. The Director of Utilities or his/her designee will determine if the service should be reclassified as a permanent service based on conformance with system operating conditions. B. WATER: 1.SOURCE OF SUPPLY The water served is purchased from the San Francisco Water Department (SFWD), primarily the Hetch-Hetchy system. Backup supply is obtained from CPAU wells. QUALITY Hardness generally varies between 1 a~d4 grains per gallon depending on the source. An analysis of the mineral content of the water is available upon request from CPAU Engineering. PRESSURE o Water pressure will vary from 30 to 125 pounds per square inch; an average of 50 pounds per square inch will be maintained, with the maximum and minimum pressures being experienced at the lower and higher elevations of the distribution system. CPAU assumes no responsibility for loss or damage due to lack of water pressure but agrees to furnish such pressures as are available in its general distribution system. If low water pressure occurs due to additional on-site development, it shall be the responsibility of the property owner to replace the existing water service with a new water service designed for the current site. All costs of the required new service upgrade shall be at the property owner’s expense. TREATMENT Chlorine is applied to the SFWD in sufficient quantities, as provided in the State of California Health and Safety Code, to insure that the water supplied is free from bacterial contamination. CPAU fluoridates the water supplied to a CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 8 Co GAS: DESCRIPTION OF SERVICES RULE AND REGULATION 3 residual not to exceed 1 mg/1. The pH of the water supplied is adjusted by the San Francisco Public Utilities Commissionto reduce its corrosive action. 1.KIND AND HEATING VALUE The gas supplied by CPAU is natural gas purchased from one or more natural gas suppliers. The heating value of natural gas supplied will vary depending upon the gas fields being drawn upon, and at times of insufficient supply of natural gas, some artificial gas may be supplied or mixed with the natural gas. The average monthly heating value in British Thermal Units (Btu)-dry basis per cubic foot of the natural gas served may be expected to vary within the limits of 750 to 1150 Btu. This average heating value is converted to a therm factor for use as one of the factors used in calculating a composite multiplier for billing purposes. The therm factor will be based upon the heat factor used by CPAU’ s supplier of natural gas for the preceding month. Gas is supplied by CPAU either at standard "low pressure" or at "high pressure". Low pressure service is available at all points where gas is supplied. Where available from existing high pressuremains, at the option of CPAU, high pressure service may be supplied. However, CPAU reserves the right to lower the pressure or to discontinue the delivery of gas at high pressure. The standard pressure for low pressure is six inches of water column, which is approximately 1/5 pound per square inch (psi) above atmospheric pressure. Where gas is metered at low pressure, or at pressure above the standard low pressure, the metered volume shall be corrected to standard atmospheric pressure of 14.73 psi absolute. 3.DETERMINATION OF THERMS TO BE BILLED The unit of measure for billing is the therm which is defmed as the quantity of gas having a heating value of 100,000 BTU. Gas meters measure volume of gas in CCF at ambient temperature and pressure conditions. Therms are derived from the metered data by the following procedure: the meter reading for the previous reading cycle will be subtracted from the current reading. The difference (uncorrected CCF) will be multiplied by the pressure factor required to convert CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-9 DESCRIPTION OF SERVICES RULE AND REGULATION 3 the measured consumption volume to a standard volume (at standard temperature and pressure conditions). This standard volume, in pressure-corrected CCF, will then be multiplied by the therm factor (a variable determined by periodic analysis of CPAU’S gas supply) to produce the final number of therms to be billed. The composite correction factor (the product of the therm factor and the pressure correction factor) will be shown on bills under the heading "multiplier." 4.NATURAL GAS DEREGULATION In response to natural gas deregulation, CPAU offers two general types of service: core and non-core. Core services are fully bundled services including gas supply, transport, and distribution services. Non-core service is an unbundled service where CPAU provides distribution services and outside Energy Service Providers supply gas commodity and transport. WASTEWATER COLLECTION AND TREATMENT: 1. COLLECTION CPAU operates and maintains a wastewater collection system separate from the storm water collection system. A connection to the wastewater collection system is required for all water users where wastewater service is available. For the disposal ofwastewater from basements and floors below ground level, it will generally be necessary for the Customer to provide pumps or ejectors for satisfactory drainage, as approved by the Water-Gas-Wastewater Engineering Manager. 2.REGULATION Chapter 16.09 of the Municipal Code regulates the discharge into the wastewater collection system of substances other than domestic wastewater. TREATMENT The collection system transports the wastewater to the Pal, Alto Regional Water CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 10 E= DESCRIPTION OF SERVICES RULE AND REGULATION 3 Quality Control Plant for treatment. At this tertiary treatment plant, Palo Alto processes the wastewater from Mountain View, Los Altos, Los Alto Hills, Stanford University, and East Palo Alto Sanitary District, as well as its own. The treatment is performed in accordance with the National Pollution Discharge Elimination Permit issued by the San Francisco Bay Area Regional Water Quality Control Board before the treated water is discharged into the San Francisco Bay Estuary. 4.LIMITATION OF SERVICE CPAU reserves the right to limit the Size of connection and the quantity of wastes dispoged and to prohibit the use of the sewer for disposal of toxic or hazardous wastes detrimental to the sewage system or treatment plant. REFUSE COLLECTION: All refuse is collected by a private company under contract with the City of Palo Alto. This contract and Chapter 5.20 of the Palo Alto Municipal Code establish specific Rules and Regulations by which the collection service will operate. One collection per week is required of all occupied premises. An occupied premises is one to which water, gas and/or electric service is rendered. The minimum level of service is one can per week. Each Customer shall receive collection service on a certain day of each week. At times, because of breakdowns, holidays, or illness, refuse may be collected late in the day or another day. When the amount of refuse exceeds the capacity of one 32-gallon can, it will be necessary for the Customer to request additional collection service. An additional charge will be made for this service. Refuse too bulky to be placed in 32-gallon cans, or excessive amounts of refuse, will be removed by the City’s contractor upon request and at the Customer’s expense. The Curbside Collection Program for recyelable materials provides service to most single-family and mult-family residences in the City. Glass, metal, plastics, paper, cardboard, household batteries, oil filters, scrap metal, and waste oil will be collected at the curbside when placed in proper containers on the regular refuse service day. STORM AND SURFACE WATER DRAINAGE: 1. RESPONSIBILITY AND PURPOSE CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.. 11 DESCRIPTION OF SERVICES RULE AND REGULATION 3 CPAU is responsible for all drainage facilities in the street and public right of way that collect storm and surface water and convey it to the major channels and creeks within Palo Alto. Examples include curbs and gutters, catch basins, pipelines, culverts, street, channels and pumping stations. The purpose of the storm and surface water control facilities is to improve the quality of control, or protect life or property from any storm, flood or surplus waters. 2. STORM DRAIN FEE Go A storm drainage fee shall be payable to CPAU monthly by the owner or occupier of each and every developed parcel in accordance with CPAU Rule and Regulation 25. The basic unit of computation of storm drainage fees shall be the "Equivalent Residential Unit" (ERU). No developed parcel shall have an ERU less than 1.0. All single-family and duplex units are considered 1 ERU based on data from CPAU, and are considered to have an average impervious area of 2,500 square feet. All other properties will have ERU’s using the following formula: No. Of ERU = Impervious Area (Sq.Ft) 2,500 Sq.Ft. FIBER OPTICS CPAU offers a dark fiber service over an established over an established fiber optic network. In addition, CPAU offers custom dark fiber construction and ancillary services such as fiber optic cable splicing. The dark fiber service provides strands of single mode fiber that can that can interconnect multiple locations within the City limits of Palo Alto. CPAU will also consider requests for custom MultiMate fiber cable installations. Light transmitters, receivers, and related electronic equipment must be supplied by the Customer. Rule No. 26 provides specific requirements for fiber optic service. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-12 APPLICATION FOR SERVICE RULE AND REGULATION 4 A. APPLICATION FOR SERVICE: This Rule and Regulation applies to all utility services: electric, water, gas, wastewater collection, refuse collection, storm drain and fiber optics. Residential service is separately metered service to single family, or multi- family domestic dwellings. Commercial service is service to other than residential dwellings but includes service to multi-family residential dwellings served by a master meter. Direct Access service has special requirements in addition to this Rule and Regulation. o An inquiry for information as to service is not an application for service. The application is merely a request for service, and does not bind CPAU to serve except under reasonable conditions, nor does it bind the Customer to take service for a longer period than the minimum requirements of the applicable service. CPAU will requi.re each prospective Customer to provide any information that may be reasonably needed by CPAU to furnish service and to establish the Applicant’s credit. This information may include, but is not limited to, the following: a) b) c) d) e) f) g) h) I) Name(s) of Applicant(s) Address of premises to be served Date Applicant desires services to begin. If service upgrades and/or new meter installs are requested, CPAU services will be installed between 30 and 45 days following receipt of full payment. Address to which bills are to be mailed or delivered Whether premises have been previously served Purpose for which service is to beused, with description of service demands identified on the CPAU connection application form provided by CPAU Engineering Tenant Rental Agreement of application Rate schedule desired where an optional rate is available Information to establish the credit of Applicant(s): CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 APPLICATION FOR SERVICE RULE AND REGULATION 4 1)Social Security Number 2)Califomia Drivers License 3)Employer 4)Business Telephone 5)Length of Employment 6)Home Telephone The information requested in A.3 above may be required to be provided by the Applicant(s) in writing, or by telephone if the Applicant’s signature is not required. o Applicants for commercial service at more than one location shall be required to furnish information and to establish credit for each location in accordance with A.3 above. Two or more persons who join in one application for service shall be jointly and severally liable for CPAU services supplied. Only one bill will be rendered for such joint service. A tenant who opens an account for a metered service serving more than one dwelling will be required to provide a letter in writing to CPAU that he or she understands that the meter(s) serves additional dwellings and that he or she is willing to accept responsibility for all charges on said meter(s). Otherwise, the account shall be in the name of the owner or property manager. A dwelling is designated as any house, cottage, flat, or apartment unit having a kitchen, bath, sleeping quarters, and separate entrance. CHANGE IN CUSTOMER’S EQUIPMENT OR OPERATION: 1.Customers shall give CPAU written notice of any material changes in the size, character, or extent of equipment or operations for which CPAU is supplying service before making any such change. Notwithstanding any Rule and Regulation herein to the contrary, no change or alteration of any CPAU service, agreement, connection, or facility, CITY OF PALO ALTO UTILITIES Issued by the City council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. APPLICATION FOR SERVICE RI ILE AND REGULATION 4 including any installation or reinstatement thereof, shall be made or permitted by CPAU where the purpose or effect would be to serve, facilitate or make possible a use or occupancy of a structure or other condition which is or would be in violation of the Zoning Ordinance, the Building Code or any ordinance of the City of Palo Alto. Each Applicant for service will be required to establish or reestablish credit to the satisfaction of CPAU before service will be supplied. C.SERVICE WITHOUT PROPER APPLICATION: Anyone using CPAU services without having first complied with the requirements for service will be held liable from the date of the first service as determined by CPAU. Failure to pay accumulated charges may result in discontinuance Of service without further notice. D.RIGHTS OF WAY: CPAU shall not be required to connect with or render service to an Applicant unless and until the Applicant has all necessary operating rights, including rights-of-way, easements, and permits. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-3 TYPES OF SERVICE CONTRACTS CONTRACTS RULE AND REGULATION 5 For electric, gas, or fiber optic services in large quantities or under special conditions, CPAU may require a suitable written agreement for new or existing customers. The following is a list of special services which may be the subject of a contract. Additional services may apply at the discretion of the Director of Utilities. 2. 3. 4. 5. 6. 7. 8. o 10. 11. 12. 13. 14. 15. Line Extensions. Temporary Service. Special Facilities. CPAU service to special districts and institutions.- Special type service requirements. Work performed for other agencies at their expense Customers purchasing energy from other entities, such as an ESP Customers purchasing natural energy gas or power from CPAU under special arrangements Power Marketers or ESPs Work performed or Energy Service Providers at Customer expense Special Metering and/or Billing Services Special Energy Services Long-term service agreements greater than 3 years. Loans to Customers to finance Demand Side Management at Customer’s site Standby Service CONTRACT GUIDELINES Contracts between CPAU and its customers shall be based on the following policy guidelines: Larger commercial customers will have the ability to negotiate provision of Energy Services from CPAU. Authority to establish the specific terms, including pricing of services, will be delegated to the City Manager. CITY OF PALO ALTO UTILITIES CONTRACTS RULE AND REGULATION 5 Revenues realized from each contract will, at a minimum, recover all applicable Energy Services costs over the term of the contract. o Pricing arrangements differing from those offered in the current and. successor rate schedules will not shift costs to the other customers in the short-or long-term. J Custom tailored contracts must include sufficient insurance and/or "off. ramps" to protect CPAU or the customer from unanticipated events. The same pricing, terms, and conditions for one customer will be made available to other customers of similar size, service and load characteristics. CONTRACT APPLICATION PROCEDURES In general, the following application procedures are applicable to service contracts. 1.Completion of applicable forms as necessary; Depending on the type of service contract, Customers shall request consideration for a special contractual agreement in writing to the Director of Utilities specifying their objectives, including the desired term of the contract. o If applicable, fees or deposits shall be paid. If applicable, compliance with the City’s insurance requirements. (END) CITY OF PALO ALTO UTILITIES ESTABLISHMENT AND REESTABLISHMENT OF CREDIT RULE AND REGULATION 6 A.ESTABLISHMENT OF CREDIT FOR RESIDENTIAL SERVICE: no The Applicant’s credit will be established: If the Applicant is the owner of the residence to which CPAU is requested to supply service; or If the Applicant makes a sufficient cash deposit with CPAU to secure payment of any bills for service to be supplied by CPAU; or If the Applicant has previously been a Customer of CPAU within the past two years and during the last twelve consecutive months of that prior service has not received more than (2) five-day past due notices, and provided that the credit of the Applicant is unimpaired in the opinion of CPAU; or If the Applicant’s credit is otherwise established to the satisfaction of the Utilities Supervisor, Customer Service Center. ESTABLISHMENT OF CREDIT FOR COMMERCIAL SERVICE: Co The Applicant’s credit will be established: 1.If the Applicant makes a sufficient cash deposit with CPAU to secure payment 6f any bills for service to be supplied by CPAU; or 2.If the Applicant provides, in lieu of a cash deposit, a certificate of deposit drawn on a local bank or savings and loan association, or a surety bond sufficient to secure the payment of any bill for service to be supplied by CPAU; or 3.If the Applicant’s credit is otherwise established to the satisfaction of CPAU. REESTABLISHMENT OF CREDIT: An Applicant who has been a utility Customer of CPAU and whose service has been discontinued for any reason, including failure to pay utility bills, may be required to reestablish credit before service is resumed, by making a cash deposit and by paying all past du$ bills outstanding. However, an Applicant for CiTY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-1 ESTABLISHMENT AND REESTABLISHMENT OF CREDIT RULE AND REGULATION 6 residential service will not be denied service for failure to pay past due bills outstanding for other classes of service. The requirement to pay past due bills under this section is not applicable to Customers who have filed for bankruptcy. ,-A Customer who fails to pay utility bills before they become past due, and who further fails to pay such bills within the time required by a second notice of nonpayment, may be required to reestablish credit by making a cash deposit with CPAU and by paying all past due bills outstanding regardless of whether or not service has been discontinued for nonpayment. o A Customer may be required to reestablish credit in accordance with this section if the conditions of service or basis on which credit was originally established have, in the opinion of CPAU, materially changed. CUSTOMER CREDIT RATING SYSTEM: A credit rating system has been established by CPAU for all accounts and is shown on a Customer’s utilities bill statement. o The following ratings are based on a Customer’s rolling 12-month payment history in terms of the Customer’s record in paying bills before they became due. "A" is the highest rating and means the Customer paid before the due date in at least 11 of the 12 previous months. "B" means the Customer usually paid before the due date but in two or three months paid after the due date. "C" means the Customer customarily pays after the due date and did so between 4 to 7 times over the previous 12 months. "D" means the Customer is habitually delinquent and paid after the due date at least 7 times over the previous 12 months. In addition, Customers who have had their service terminated for non-payment automatically receive a "C" or "D" rating based on the number of notices, regardless of how frequent or infrequent they paid previous bills before they were due. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-2 DEPOSITS RULE AND REGULATION 7 A. AMOUNT OF DEPOSIT: The amount of a deposit shall be set forth in Customer Deposits Rate Schedule C-2. If a Customer has been delinquent on more than once in the past twelve months the deposit may be set higher than is set forth under the applicable rates in Rate Schedule C-2. This amount shall not exceed a sum equal to twice the estimated monthly utilities bill. Where a deposit is made for commercial service, CPAU may fi:om time to time require an additional deposit to offset increases in utility rates or increased utility usage. If a Customer files for bankruptcy protection under Chapter 7, Chapter H, or Chapter 13, the Customer shall be required t0 establish credit under Rule 6.b.1 and/or 6.B.2. The requirement for a deposit may be waived by the Supervisor, Utilities Customer Service Center if: (B) He/she is satisfied of the creditworthiness of the Customer based upon a prior history with CPAU and/or; An audited financial report is provided of recent operations which indicates to the satisfaction of the Supervisor, Utilities Customer Service Center that the business is financially healthy and/or; Deposits can be in the form of a certificate of deposit at a local bank or savings and loan, indemnity or surety bond, or cash. A security deposit may be required from an Energy Service Provider (ESP) providing Direct Access Service to Palo Alto Customers. The terms relating to the amount, collection, return or use of the security deposit will be included in the Direct Access Service Provider Agreement (DASPA) signed CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DEPOSITS RULE AND REGULATION 7 between the ESP and CPAU. RETURN OF DEPOSIT: Upon discontinuance of service, CPAU will refund the Customer’s deposit or the balance thereof which is in excess of unpaid bills for service fumi. "shed by CPAU. If the deposit is unclaimed for a period of one year after discontinuance of service, the deposit will become the property of CPAU. CPAU may refund a Customer’s deposit by draft or by applying the deposit to the Customer account and the Customer will be advised. If the Customer establishes service at a new location, CPAU may retain the deposit for such new account in partial or total fulfillment of the deposit obligation for the new account. Residential deposits will be refunded at the end of one year of service provided all bills for service have been paid before they become past due. Deposits held for commercial service shall be refunded when service is discontinued by the Customer, or after three years if all bills for service during the recent 12 month period have been paid before they become past due. CPAU will not pay interest on customer deposits. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-2 ACCESS TO PREMISES RULE AND REGULATION 8 no GENERAL CPAU, its agents and employees shall have the right of ingress to or egress from the Customer’s premises as reasonably required for meter reading, performance of necessary maintenance, repairing, inspecting, testing, installation, removal or replacement of its property and the exercise of any and all rights secured to it by law. If any such equipment is located within a locked area or enclosed, CPAU will be furnished access. The Customer will supply CPAU with a key to any gate/door or remove any obstacle to free access to the meter by CPAU personnel. In the event the Customer is not the owner of the premises occupied, the Customer shall obtain all such permissions from the owner thereof. o CPAU, its agents and employees will maintain Customer security when ingressing or egressing Customer premises by notifying the Customer while on their premises or securing all locking doors, cabinets and enclosures when exiting the premises. Water, gas, and electric meters remain the property of CPAU, and CPAU may take such legal action as is necessary to gain access to the premises for the purpose of terminating service or retrieving such meters. METER ACCESS IS A CONDITION OF SERVICE: o If CPAU is unable to read the Customer’s water, electric, and/or gas meter due to conditions imposed by the Customer or created on the premises, CPAU may, at its option, require the Customer to move the meter(s) to a location on the premises that shall be accessible to CPAU personnel at all reasonable hours for purposes Of furnishing or maintaining utilities. The cost to relocate said meter(s) shall be borne by the Customer. If CPAU or its representative (meter reader.or meter field service worker) is denied access to its meter for any two months, in a three-month period, CPAU shall notify the Customer by registered mail that access was denied by CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-1 ACCESS TO PREMISES RULE AND REGULATION 8 means noted in that registered mail. A notice of discontinuance will be sent if the Customer, within a two week period, does not acknowledge receipt of the registered mail and indicate an intention to provide access. Such acknowledgment shall be in writing or by calling the CPAU telephone number provided to the Customer. Continued disregard by the Customer to respond to CPAU may result in disconnection of utilities services. A Customer is entitled to a hearing with the Supervisor, Utilities Customer Service Center, to appeal the discontinuance of service. Failure to relocate such meters within 60 days of receipt of notice from CPAU of the requirement to relocate the meter(s) shall result in discontinuance of service. Service discontinued under this provision shal| not be restored until the relocation work has been accomplished and has successfully passed such inspections as may be required by both CPAU and the Planning Department’s regulations. Where Customer’s denial of access has prevented inspection of the meter, CPAU may discontinue service. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 CUSTOMER REQUESTS DISCONTINUANCE OF SERVICE: A Customer requesting termination of utilities service(s) shall notify CPAU at least two days before the service termination date. Receipt of such notice is sufficient to terminate the obligation of CPAU to render service after the effective date of such change, and shall also terminate the Customer’s responsibility for bills for service supplied to the premises which are consumed beyond that date. The Customer is responsible for all service supplied until the effective date of the termination. no A Customer may designate a third party to receive notice of termination or other matters affecting the provision of service. CPAU will not affect termination of service until five business days after provision of notice to the third party. CPAU INITIATES DISCONTINUANCE OF SERVICE: The right to discontinue service for any of the following reasons may be exercised whenever and as often as such default shall occur, and neither delay nor omission on the part of CPAU to enforce these Rules at any one or more times shall be deemed a waiver of its right to enforce the same at any time, except as provided below, so long as default continues. Utilities service may be discontinued by CPAU for~ any of the following reasons: Nonpayment of bills or any proper charges including deposits, special fees, or loans, as provided in accordance with Section C of this rule; Use of energy or water for purposes, facilities, or properties other than that specified in the application; 3.Willful waste of water; Customer’s wiring or equipment is unsafe, does not meet CPAU standards or fails to comply with applicable codes and regulations. CPAU reserves the right of inspection if there is reason to believe that unsafe conditions exist. If the Customer finds utility service installation to be defective, the Customer is CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 So o o o DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 required to notify CPAU immediately of the defect; Tampering with CPAU equipment of property. Any person who tampers with or damages any utilities equipment, plant, or property, including metering devices, shall be liable to the City of Palo Alto for three times the amount of actual, consequential, and incidental damages sustained thereby. Premises vacated by Customer without notification to CPAU; Customer refuses reasonable access to premises by CPAU agents or employees for the purpose of reading, installation, inspection, maintenance, repairing, testing, or removal of its equipment or facilities located upon such premises; Violation of CPAU Rules and Regulations, service agreements, or rate schedule provisions or state, county, or municipal codes or regulations concerning the provision of such service; Use of equipment that imposes an electrical load by a Customer that adversely affects CPAU’s distribution system operation or service to its other Customers. Any Customer that operates or plans to operate any equipment such as, but not limited to pumps, welders, furnaces, compressors or other equipment where the use of electricity is intermittent, causes intolerable voltage fluctuations, or otherwise causes intolerable service interference, must reasonably limit such interference or restrict the use of such equipment upon request by CPAU. The Customer is required to either provide and pay for whatever corrective measures, including protective devices, are necessary to limit the interference to a level established by CPAU as acceptable, or avoid the use of such equipment. CPAU assumes no duty or liability for inspecting the customer’s service, appliances, or equipment. CPAU reserves the right of inspection if there is reason to believe that unsafe conditions exist. 10.Service obtained by fraudulent means, including p~roviding false, misleading, or inaccurate information to CPAU. Service may not be restored until the Customer complies with CPAU requirements and makes full payment to CPAU for services received; CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 11. 12. 15. Placement, construction, or maintenance of any structure, vegetation, or other object upon the Customer’s premises that, in CPAU’s judgment, unreasonably endangers the safe and reliable operation or maintenance of CPAU overhead or underground electrical facilities; Failure to establish credit or to provide adequate credit information. Also, if for an Applicant’s convenience, CPAU provides service before credit is established or continues service to a Customer when credit has not been reestablished in accordance with Rule 6, and the Customer then fails to establish or reestablish credit, CPAU may discontinue service after presentation of a forty-eight (48) hour discontinuance notice. Returned check(s) due to insufficient funds in Customers bank account; Theft of energy or water supplied by CPAU to Customer’s premises; or when service has been received through an unauthorized connection. Anyone using utility services without having first complied with the requirements for service will be held liable from the date of the first service as determined by CPAU. Failure to pay accumulated charges may result in discontinuance of service without further notice. 16. Customer refuses to relocate meter to enable the meter to be read. DISCONTINUANCE OF SERVICE RELATED TO NONPAYMENT OF BILLS: Customer bills unpaid by their due date are considered delinquent and service may be discontinued in accordance with this section. CPAU will disconnect service as a last resort. It is the policy of CPAU to advise Customers of the availability of financial assistance programs such as the Residential Rate Assistance Program (RAP), Budget Billing, and ProjectPLEDGE to avoid disconnection of service. Upon request, CPAU will also consider an extended payment plan with the Customer. 1. CUSTOMER NOTIFICATION (A) Before service can be discontinued, at least two notices to the Customer must be CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. (c) DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 provided. The first "Disconnect Notice" shall allow a minimum of 8 days from the date it is issued for the Customer to pay the 6verdue amount and avoid termination of service. If payment is not received within the 8 day period, a second "Disconnect Notice" will be delivered to the Customer’s premises and provide an additional 48 hour grace period before utilities services may be terminated. If payment is not received during the 48 hour period, utilities services may be discontinued without further notice. The (4) forty-eight (48) hour notice of termination of service shall include: The name and address of the Customer whose account is delinquent; The amount of the delinquency; The day payment or arrangements for payment is required in order to avoid termination; The procedure to use in making payment or arrangements for payment in order to avoid termination; The procedure for the customer to obtain information on the availability of financial assistance including local, state, or federal sources. In order to avoid termination of service, cPAu may, at its option, extend payment arrangements to accommodate a Customer’s financial situation and payment history. Such an arrangement may cover a single or multiple payments and shall be agreed to in writing between CPAU and the Customer. If the Customer fails to comply with such agreement, the entire amount owing will become immediately due and payable and utilities services may be ten’ninated upon a 48 hour notification period elapsing without satisfactory payment received for the outstanding balance. EXCEPTIONS TO DISCONTINUING SERVICE FOR NONPAYMENT CPAU service will not be discontinued for nonpayment of a bill for residential service on any Saturday, Sunday, legal holiday or at any time during which the Utilities Customer Service Center is closed. (B)CPAU service to a residential customer will not be discontinued for nonpayment when the customer has established to the satisfaction of CPAU that: CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES. Sheet No. - 4 DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 Such termination would be especially dangerous to the health of the Customer as certified by a licensed physician which states that termination of service will aggravate an existing medical condition or will create a medical emergency for a permanent occupant of the premises affected. The certificate of medical emergency must be in writing and show clearly the name of the person affected and the nature of the medical emergency; (2)The Customer is among the elderly (over 62 years of age) or disabled and has established that he or she is unable to pay the outstanding balance for utility service in accordance with CPAU’s credit policy, and the Customer is willing to arrange installment payments satisfactory to CPAU, including arrangements for prompt payment of. subsequent bills. (3)The Customer has shown sufficient evidence of hardship and has demonstrated good faith efforts to make reasonable arrangements to pay arrearage, as well as to ensure continuing payment of future bills. Such arrangements may include an extended payment plan satisfactory to CPAU or, in some cases, designation of a responsible third party for both notification and payment. (4)A Customer’s utility service will not be discontinued for nonpayment of bills until the amount of any deposit made to establish credit has been fully absorbed by past due and current charges. (5)A Customer’s utility service will not be discontinued for nonpayment of a bill issued to correct charges previously billed incorrectly until-the correct bill becomes past due. (6)A Customer’s utility service will not be discontinued for nonpayment of a disputed bill during investigation or review by CPAU. Thereafter, discontinuance shall be in accordance with this Rule. CITY OF PALO ALTO UTILITIES Issued .by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-5 DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 TENANTS AFFECTED BY DISCONTINUANCE OF LANDLORD’S UTILITIES SERVICE(S) (A) In the event a landlord (or landlord’s agent) fails to pay for utilities furnished via a master meter serving a multi-unit residential structure, mobile home park, or multi-unit commercial structure, (for example, lighting for common areas), CPAU will notify the tenants of the affected premises. Such notice will identify the intended date of discontinuance of utilities’ service(s) as 10 days from the date of issuance. (B) Tenants will be given the option of assuming responsibility for future bills for the affected area, provided they do so before the date of the intended discontinuance as published in the notice. Acceptance of such tenant responsibility for future bills by CPAU shall not abrogate the landlord’s responsibility for bills for services supplied prior to the date of assumption of responsibility by the tenant(s). CPAU shall not be deemed a party to any agreement between landlord (or landlord’s agent) and tenant by virtue of accepting tenant responsibility for future service. TERMINATING SERVICE FOR NONPAYMENT OF BILLS AT OTHER LOCATIONS A Customer’s utility service may.be discontinued for nonpayment of a bill for service previously rendered, or for nonpayment of a bill for service rendered at another location. A Customer receiving service at more than one location may have service at any and all locations discontinued for failure to pay bills at any one or more locations. However, residential service will not be discontinued for nonpayment of bills for other classes of service. NOTICE REQUIREMENTS FOR TERMINATION OF SERVICE: Depending on the situation, notice requirements will vary before utility service is terminated. Notice requirements related to the nonpayment of bills is previously covered in Section C of this rule. Notice requirements regarding other circumstances follow here: CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-6 DISCONTINUANCE AND RESTORATION OF SERVICE RULE AND REGULATION 9 IMMEDIATE TERMINATION OF SERVICE WITHOUT NOTICE CPAU may discontinue service without notice if." (A) Continuing service is unsafe and presents an immediate threat or danger to life or property; (B) Service has been received through an unauthorized connection or service has been obtained through fraudulent means; (C) Continuing the service may impair service or distribution system reliability; (D) A Customer has received a termination notice and CPAU confirms that the Customer’s check tendered in payment of the past due amount lacks sufficient funds to satisfy the amount due; (E)An emergency arises; (F)CPAU’s meter has been tampered with or water or energy theft has ocurred. 48 HOUR NOTICE Besides the forty-eight (48)hour notice requirement for nonpayment of bills, such notice is required if, for the convenience of the Customer, CPAU provides service before credit is established, and such credit subsequently proves unsatisfactory. 5 DAY NOTICE Generally, in cases not specifically provided.previously in this rule, CPAU will not discontinue the service(s) of any Customer for violation of any rule or regulation except upon written notice of at least five(5) days. If a Utilities Rule and Regulation is violated, CPAU wil! advise the Customer of the source of the violation, and will give the Customer written notice of its intent to disconnect service if the violation is not remedied within the time specified by the notice. E.RESTORATION OF SERVICE: CPAU shall restore service when the cause for discontinuance has been removed and payment has been made of all proper charges due including proper deposit and including the reconnection charge. When service has been discontinued for nonpayment of bills or failure to comply with the CPAU Rules, a recormection charge as set forth in CPAU Rate Schedule C-1 may be instituted and collected by CPAU before service is renewed. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 7 METER READING RULE AND REGULATION 10 METERS READ AT MONTHLY INTERVALS: Water, gas, and electric meters will be read by CPAU approximately at regular monthly intervals (27-33 days). The service period for opening bills will be from the service initiation date requested by the Customer to the next regular reading day for meters in the service area. For closing bills, the service period will be from the last regular reading day to the service termination date requested by the Customer. ESTIMATED READING: Under normal conditions, bills will be based upon actual readings taken from meters. However, in the event of meter malfunction, continuing lockout, or an acute shortage of meter reading personnel, the bill for a particular month may be based upon estimated meter readings taken from the historical record of CPAU usage at the premises. CPAU will make reasonable efforts to insure that the bill for the following month will be based on actual readings, so as to correct any inaccuracies arising from the use of the estimated readings. CPAU may estimate bills for unmetered service, for service from meters which ¯ have been tampered with, or where access has been denied or impeded by the Customer, by the best available means (which may include, but are not limited to: estimation by comparison to prior period for the same premises, estimation by comparison to comparable premises, or estimation based upon load calculations). Such bills shall be due and payable by the Customer. The Customer may appeal such bills to the Supervisor, Customer Service Center. READINGS OF SEPARATE METERS: For the purpose of calculating charges, each meter on the Customer’s premises will be considered separately, and the readings of two or more meters will not be combined, except as follows: . . 1.Where combinations of meter readings are specifically provided for in rate CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 METER READING RULE AND REGULATION 10 De schedules or contract with the Customer; or Where CPAU’s operating convenience or necessity shall require the installation of two or more meters on the Customer’s premises. o Unless aggregation of accounts or meters is authorized by rate schedule, contract, or a rule and regulation. CUSTOMER READS OWN METERS PROGRAM: The "Customer Reads Own Meter" program is designed to allow Customers to be responsible for the reading of CPAU meters located on their property. CPAU Customer notes the readings found on their meters on index cards provided by CPAU. These cards are then sent to CPAU for entry into the computer billing system. Alternatively, the Customer may utilize the City’s Automated Voice Recording Line, electronic mail via the Internet, or the Utilities’ World Wide Web site to report meter readings. Regardless of the means of transmission to CPAU, it is the Customer’s responsibility to furnish the readings to CPAU in accordance with the schedule CPAU will provide upon the Customer’s entry into the program. In the event the Customer fails to provide readings in accordance with such schedule, CPAU will require the Customer to provide access to the meters, or to relocate them, at the Customer’ expense, to an accessible location on the property, in accordance with such CPAU Rules and Regulations, procedures, and standards as may apply to relocation of service. If a Customer reading is not received by CPAU in time for billing, an estimated read(s) will be made by CPAU, so that billing will take place, -- (A)Continued failure to provide meter read cards by the Customer could result in a field investigation, access to the meter(s) by CPAU personnel, or denying the Customer participation in the Customer Reads Own Meter program. On a periodic basis CPA will notify Customers of an intent to read the meters as required for verification. For such purposes, meter access by CPAU personnel at CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 METER READING RULE AND REGULATION 10 reasonable hours must be provided by the Customer. In the event access is denied, Rule 9 shall apply. This program is not available to customers served under a Direct Access schedule. 4.Customer continuance on this program is at the discretion of CPAU. METER READING ERRORS: Under certain circumstances, CPAU will adjust a Customer’s bill for reasons of accuracy and fairness. See applicable CPAU Rule for a discussion of billing adjustments related to error or malfunction and back billing a Customer for billing errors. Meter reading errors may be brought to the attention of CPAU by the Customer or identified by a computer generated report as part of the billing review process. In many cases, a field investigation may be initiated by CPAU to verify unusual meter readings. In general, when a meter reading error has been identified, the Customer will be notified of the error on a timely basis and/or a revised bill reflecting the corrected meter readings and the appropriate adjustment will be issued by CPAU. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 no PREPARATION AND PRORATION OF BILLS: Bills for utility services will be prepared on a monthly basis in accordance with the rate schedule or CPAU contract applicable to the premises served, as determined by CPAU. The monthly minimum or service charge for metered water (and related wastewater), gas, or electric service, as well as the consumption "blocks" if applicable for opening, closing, or regular bills, will be prorated on the basis of the number of days in the service period to the number of days in an average month. The number of days in an average month will be taken as 30.4. The effect of such proration will be to produce a uniform average unit cost for the commodity regardless of the number of days in the service period. In the event that water, gas, electric, refuse, wastewater and/or storm drain rates change during the service period, charges will be prorated on the basis of the number of days covered by the previous rate schedule to the number of days covered by the new rate schedule. o The monthly (or bimonthly) flat-rate charge for refuse, storm drain and wastewater or other nonmetered services will be billed 12 times per year, or equivalent thereof on regular bills. Such charges will only be prorated on opening or closing bills and when rates change. BILLING UNITS: All metered billing units used for billing purposes shall be determined to the nearest whole unit~ Such units may include, kW, kWh, kVa, kVar, hp, therms, and or ccf. PAYMENT OF BILLS: CPAU issues bills to its customers on a monthly basis.. Bills shall be deemed received upon personal delivery to Customer or three days following the deposit of the bill in the United States Mail to the Customer’s last known address. Bills for CPAU services are due and payable 20 days following issuance of the bill statement. Bills unpaid after the CITY OF PALO ALTO UTILITIES .Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 20 day period are considered delinquent. If a Customer’s payment is not received by CPAU before the next bill statement is issued, the outstanding balance in excess of $100 will be assessed a late payment charge in accordance with this rule. For the convenience of CPAU Customers there are a number of ways to pay CPAU bills: By enclosing the bill stub and check and mailing to: CPAU, P.O. Box 10097, Palo Alto, CA 94303-0897. By paying in person at the Civic Center, Revenue Collections, 1st Floor, 250 Hamilton Avenue, Palo Alto between the hours of 8:00 a.m. and 4:30 p.m.. Visa and Master card payments can be processed at Revenue Collections. By dropping the payment in the Night Depository Box either in the front of the Civic Center Plaza or at the drive-up Night Depository Box in the Civic Center Garage, A level. o By banking at a financial institution or subscribing to a service company that provides automatic payments by telephone transfer between the Customer and the bank. This involves the Customer notifying (by touch tone telephone) the bank or service company each month of the utilities bill amount, the amount is deducted from their bank account, and the bank issues a check to CPAU. Do LATE 1. PAYMENT CHARGES: Any unpaid balance above $100 from a prior billing period is delinquent and assessed a late payment charge. Utilities charges incurred in the current billing period are due and payable by the "Due Date" indicated on the front of the bill statement. Bills unpaid by the due date are considered delinquent and a late payment charge is added to the outstanding balance if payment is not received before the next bill is rendered. Based on the particular merits of a given situation, late payment charges may be waived by CPAU. Examples of situations where a waiver is granted are generally those under which the Customer is. faced with circumstances beyond his or her control. Two examples are: CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-2 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 (M (B) The posting of payments received by CPAU is delayed or in error. The Customer is withholding payment or partial payment pending resolution of an inquiry. In the event the Customer makes a payment of less than the total amount of bill rendered, which amount includes any previous balance owing, CPAU shall apply said payment first to the previous billing charges and the remainder, if any, to the current billing charges unless otherwise agreed to by CPAU. In the event that a Customer participating in the ProjectPLEDGE Program has a delinquent bill, late charges will not be applied. However, the Customer’s participation in ProjectPLEDGE will be discontinued after three consecutive months in which the Customer has not included their pledge amount in the bill. So The late payment charge will be computed on the balance forward using the following schedule: If Balance Is: $ 00.00 to 99.99 100.00 to 199.99 200.00 to 299.99. 300.00 to 399.99 400.00 to 499.99 500. 00 and up Late Payment Charge Per Month is: None 1.1 percent 1.2 percent 1.3 percent 1.4 percent 1.5 percent Subparagraphs D(1) and D(2) to the contrary notwithstanding, Customers whose CPAU bills include payments of principal and/or interest on loans from CPAU which are secured by deeds of trust on real property shall be charged a late payment charge when any current CPAU bill includes an unpaid installment on such loan from a prior bill, provided that twenty (20) days have elapsed since the day of the last billing. For closing bills, the elapsed’ time will be thirty (30) days. The late charge on such loan payment shall be six percent (6%) of the installment due or fine dollars ($5), whichever is greater. No charge will be imposed more than one for a late payment for the same installment; provided, however, that the imposition of the late charge on any late payment will not eliminate or supersede CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-3 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 late charges imposed on prior late payments. No late charge will be imposed on any installment which is paid or tendered in full on or before its due date, or within the ten (10) days after notice is given that the late charge will be imposed even though an earlier installment or installments, or any late charges thereon, may have been paid in full when due. For purposes of determining whether late charges may be imposed, any payment tendered by the Customer shall be applied by CPAU to the most recent installment due. Nothing in this Rule and Regulation shall be construed to alter in any way the duty of the Customer to pay any installment on a loan from CPAU when due or to alter the rights of CPAU to enforce the payment of such installments. Nothing in this subparagraph shall alter the payment .or collection of late charges assessed in accordance with subparagraphs (1) and (2) of this Rule and Regulation for CPAU bills or portions thereof which do not include payments on loans secured by real property. In the event a Customer’s payment of principal and interest is past due on an unsecured loan from CPAU, the applicable late payment charge may be established in the contract with the customer. E. RETURNED CHECK CHARGE: A service charge will be made and collected by the City of Palo Alto for each check returned by a bank to CPAU for the reason of insufficient funds in accordance with Rate Schedule C-1. F. DISPUTED BILLS: CORRECTNESS OF BILL If the correctness of a bill is questioned or disputed by the Customer, an explanation should be requested from a Utilities Customer Service Representative within five (5) days of receiving the utility bill.. If the bill is determined to be incorrect, a corrected bill will be issued to the Customer. BILL REVIEW PROCEDURE CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 4 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RI ILE AND REGULATION 11 (A) (B) (c) (D) A Customer who has initiated a complaint or requested an investigation within five (5) days of receiving the utility bill shall be given an opportunity to review the. complaint with the Supervisor, Customer Service Center. The review shall include consideration of whether the Customer should be permitted to amortize the unpaid balance of their account over a reasonable period of time. After reviewing the disputed bill, the Supervisor, Customer Service Center will: (1) Authorize any necessary adjustments; or (2) Advise the Customer that the bill is correct as presented; and (3) Determine if an amortization period is warranted. If an amortization period is warranted and agreed to by the Customer, service will not be discontinued for nonpayment provided the Customer complies with the amortization agreement, and provided the current bill is paid within 20 days of the date issued. If the Customer fails to comply with the amortization agreement, service shall be subject to discontinuance for nonpayment of bills as provided in Rule 14. Go (E)Failure of the Customer to notify CPAU of a billing error or to request an explanation of charges within 20 days of the date of the bill will constitute acceptance by the Customer of the bill as rendered. PAYMENT OF BILLS IN DISPUTE If a Customer disputes a specific utility charge on a utilities bill covering multiple utilities, the bill amount for utility services which are not in dispute shall be due and payable by the date due on the bill statement. The Customer is not obligated to pay the utility charge in dispute while CPAU is investigating the disputed charges. Upon completion of the investigation, CPAU will notify the Customer if and when a payment is required. BILLING ADJUSTMENTS: CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 5 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 Under certain circumstances, CPAU will adjust a Customer’s bill to correct for billing error or for reasons of equity and fairness. Such adjustments are generally of a one- time nature. Billing error is the incorrect billing of an account due to an error by CPAU or the Customer which results in incorrect charges to the Customer. Some billing errors also arise if the Customer provides incorrect information to CPAU. Billing adjustments applied to Customer charges for reasons of equity and fairness include water or gas leak credits, smoothing, and in cases where excessive consumption of water, gas, and/or electricity occurred and where Customers rented debris boxes as a result of the Customer’s reasonable efforts to mitigate or remedy property damage or loss caused by an event of force majeure. Billing errors include, but are not limited to, incorrect meter reads or meter read estimates, clerical errors, wrong therm factors, wrong meter multiplier, incorrect voltage discount, meter installation, crossed meters, undercharges due to meter tampering, an inapplicable rate, an oversight in the process of entering the appropriate meter information into the computer system for billing, or field errors such as installing the meter or regulator incorrectly; 1.SMOOTHING ADJUSTMENT A smoothing adjustment averages the usage of a customer over two billing periods. The Supervisor, Customer Service Center or a designated representative shall determine if a smoothing adjustment is indicated. A smoothing adjustment may be appropriate if consumption between two billing cycles changes to an extraordinary high level and is caused by the following. (1) An estimated meter reading by CPAU; or (2) A longer or irregular billing cycle. 2.METER ERRORS AND OTHER BILLING ADJUSTMENTS When, as a result of a test, a meter is found to be more than two percent (2%) fast, CPAU will refund the Customer the overcharge based upon the corrected meter readings for the period the meter was in use. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-6 BILLING,ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 (B) (c) When, as a result of a test, a meter in residential use is found not to register, or to register more than ten percent (10%) slow, CPAU may bill the Customer for the undercharge base on an average bill. The bill will be computed upon an estimate of consumption based upon the Customer’s prior use. When, as a result of a test, a meter in other than residential use is found not to register, or to register more than two percent (2%) slow, CPAU may bill the Customer for the undercharge base on an average bill. The bill will be computed upon an estimate of consumption based upon the Customer’s prior use during the same season of the year. o APPLICABLE ADJUSTMENT PERIOD FOR METER ERRORS, RETROACTIVE BILLING, AND REFUNDS When it is found that a meter is recording in error or an error in billing has occurred, the date and cause of which can be reliably established, the retroactive billing adjustment will apply as follows: Where the Customer has been undercharged, the period to be backbilled shall not exceed 6 months; Where the Customer has been overcharged the period to be refunded shall not exceed 12 months; o Where there is evidence that theft of energy or water has occurred, CPAU shall retroactively bill and collect any underpayment or nonpayment of charges. The applicable period to assess charges shall be from the date it can be reasonably established the theft began to the date in which the underpayment was discovered and initially established. The applicable period shall not exceed 4 years. 4.WATER OR GAS LEAK CREDITS: Billing adjustments may be made for water or gas lost as a result of leakage in a line on the Customer premises beyond the CPAU meter. Leaking faucets, toilets, CITY OF PALO ALTO UTILITIES ,~N~l [~,Issued by the City Council --.~ Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 7 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 hos~s, or sprinklers do not qualify for a billing credit unless a determination has been made by CPAU that the Customer had no control of such device(s) leaking. Under no circumstances will a billing credit be provided a Customer when the facts indicate that a Customer had knowledge of a water or gas leak, but failed to take corrective measures in a timely manner. It is the Customer’s responsibility to maintain their lines and equipment in a reasonable condition such that leaks do not occur. (A)Generally, a leakage credit will be granted for a one month billing cycle. However, depending on the circumstances, a two month billing cycle may be granted by the Supervisor, Customer Service Center. Such circumstances include, but are not limited to, a leak occurring while a Customer is out of town for an extended period of time. Leak credits will not be provided beyond a two month billing cycle. (B)All Customer classes are eligible for the leak credit. To qualify for the water leak credit, evidence of having repaired the leak is required. Such evidence may consist of a plumber’s repair bill material receipt or field verification by CPAU. Customers who are negligent or slow to react in repairing a leak do not qualify for a leak credit. (c)To arrive at the corrected bill amount which reflects the leak credit, CPAU will estimate what would have been the normal consumption and calculate a normal bill based on that consumption. Then, actual consumption in - excess of the normal figure will be billed at CPAU’s current wholesale commodity cost plus ten percent. The sum of these two calculations represents a revised billing amount. The leak credit is the difference between the revised billing amount and the original bill. BILLING ADJUSTMENTS IN CONNECTION WITH FORCE MAJEURE EVENTS For purposes of this Rule and Regulation, the term ,force majeure" means the occurrence of an event that is beyond the reasonable control of the utility Customer and, which by reasonable efforts, the Customer could not prevent. Such events include, but are not limited to, an Act of God, an irresistible, superhuman cause, fire, flood, earthquake, or any other similar CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 8 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND, REGULATION 11 cause. (B)Water, (1) Gas, and/or Electric A water, gas, and/or electric billing adjustment in connection with a force majeure event shall be limited to charges for water, gas, and/or electricity consumption in excess of the historical average for the customer The billing adjustment will be applied as a credit on the customer’s bill. The credit is for the amount of excess usage and represents the difference between the amount charged for the applicable period and an amount calculated based on the customer’s average consumption for a similar period. This credit shall include a refund of any applicable utilities users tax that was based on the amount of excess usage. (2)The Director of Utilities shall determine the historical average consumption. Depending on the availability of data and other reasonable considerations, the basis for calculating such averages may be the same month(s) in a previous year, a recent 12 month average, a 6 month seasonal average for winter or summer, or other appropriate period(s) as determined by the Director of Utilities. (c)Debris Boxes (1)A billing adjustment or refund in connection with debris boxes shall be limited to Palo Alto Sanitation Company charges incurred or to be incurred out-of-pocket by the resident, owner, or business for removal of flood-damaged materials only. Refunds will not be applied to charges paid through insurance policies. The Palo Alto Sanitation Company will keep a record of those residences and businesses that request debris boxes during the applicable refund period. To qualify for an adjustment under this section, the customer may be required to provide documentation to verify damage to the residence or building, or contents thereof. In circumstances in which the City has previously verified such damage such as by a field visit or has made a CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 9 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION, 11 determination from other information resources, documentation from the customer may not be required. However, to qualify for a refund for debris ¯ box rentals, a signed statement by the customer is required that attests that the debris box was used for flood-damaged materials only and that the Customer has not and will not be reimbursed by homeowners insurance or any other agency. BUDGET BILLING PAYMENT PLAN: A Budget Billing Payment Plan establishes equalized monthly payments and is available to all residential Customers who qualify as set forth below. Customers may join the Budget Billing Payment Plan at any time prior to July 1, the beginning of the annual budget payment cycle, providing however, the Customer account balance is zero, and the Customer has not been removed from the budget plan fornon-payment within the previous six months. o e A Customer electing to utilize the plan shah agree to make monthly payments based on CPAU’s estimate of the Customer charges for the twelve-month period July I through ,the next June 30, reflecting anticipated rate changes. CPAU does not guarantee that the total actual charges will not exceed or be less than its estimate. CPAU will review the account on a periodic basis and may revise its estimate in response to changing rates or variations in the amount of service used. CPAU may require that Customers pay a revised monthly amount as a condition to continuing participation in the plan. DISCONTINUANCE OF BUDGET BILLING: The budget payment plan shall remain in effect from year to year, subject to review of the monthly payment amount, and shall terminate when: The customer notifies CPAU to terminate participation in the plan; CPAU notifies the customer of the termination of its budget payment plan: The Customer no longer takes service at the premises; or CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 10 BILLING, ADJUSTMENTS, AND PAYMENT OF BILLS RULE AND REGULATION 11 (D) (E) The Customer owes an amount of two or more monthly payments. However, if the customer eliminates the delinquency, removal from the plan will not occur. The Customer participates in Direct Access and buys from another Energy Service Provider. Upon termination of either CPAU service or participation in the budget payment plan, any amount owned by the Customer for actual charges shall immediately become due and any amount due the Customer shall be refunded as soon as possible. RESALE PROHIBITED: Services shall be used by Customer only for the purposes specified in the service agreement and applicable rate schedule(s). CPAU service shall not be resold except as provided in this rule. Premises which are receiving service in conflict with this Rule as of the effective date of this Rule may continue to receive service under such conditions if so authorized in writing by CPAU. Sub-metering shall be considered sufficient evidence that utilities are being resold, with the exception of provision 1-4 below. Property owners may bill the cost of providing utilities to individual tenants separately from rent only with consent of the Assistant Director of Utilities, Administrative Services. Charges for utilities may be allocated based upon metedng,square footage, or another methodology determined to be reasonable by CPAU. Under no circumstances can the total costs of CPAU services allocated to tenants exceed the costs of CPAU services billed to the property owner by CPAU. A property owner using a billing procedure coming within the scope of this Rule must disclose all information used to determine a tenant’s utilities bill to the tenant or CPAU, or both, upon request. Property owners are responsible for resolving utility bill disputes with their tenants. Tenants may request and receive from CPAU a copy of previous’ bills for a period not to exceed 12 months, charged to the property owner who sub-meters. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO’ UTILITIES Sheet No.-11 "INTENTIONALL Y LEFT BLANK" RULE AND REGULATION 12 RULE 12 INTENTIONALLY LEFT BLANK CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - t SHORTAGE OF SUPPLY AND INTERRUPTION OF DELIVERY RULE AND REGULATION 13 GENERAL: CPAU will make reasonable efforts to deliver continuous and sufficient utility service to its Customers, but CPAU does not guarantee the continuity or sufficiency of supply. CPAU will not be liable for service interruption, shortage or insufficiency of utility supply, or any loss or damage occasioned thereby. INTERRUPTION OF DELIVERY: Ce When interruptions occur, CPAU will endeavor to reestablish service with the shortest possible delay consistent with the safety of its Customers and the general public. CPAU will have the right to suspend service temporarily for the purpose of making repairs of improvements to the system. When CPAU finds it necessary to schedule an interruption to its service, it will, where feasible, notify all Customers to be affected of the approximate time and the anticipated duration of the interruption. CPAU will endeavor to schedule interruptions at hours that will be least inconvenient to the Customers and consistent with economical utility operations. SHORTAGE OF SUPPLY: During times of threatened or actual short, age of supply, CPAU will apportion the available supply among its Customers in accordance with the Emergency Load Shedding Plans, incorporated hereiia byreferenee, on file with CPAU. With due regard -for public health and safety, these plans will provide for shortages caused by insufficient supply or natural or manmade events which reduce the capacity of CPAU’s suppliers and CPAU is requested to limit the level of delivery to its Customers for some specified period of time of"until further notice." The Director of Utilities is authorized to adjust the Emergency Load Shedding plans to reflect changes in personnel, distribution systems, utility services, or other factors, when, in the opinion of the Director of Utilities such adjustments will lead to better protection of the public health and general welfare. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES ¯ Sheet No. - 1 SHORTAGE OF SUPPLY AND INTERRUPTION OF DELIVERY RULE AND REGULATION 13 OVERSUPPLY OR POWER SURGES ON THE DISTRIBUTION SYSTEM Power surges may occur due to conditions beyond the control of CPAU or its Customers. CPAU will make reasonable efforts to minimize power surges occurring on the CPAU distribution system, but CPAU does not guarantee that power surges Will not occur. CPAU recommends that Customers protect their connected loads and equipment from power surges. CPAU shall not be liable for any loss or damage occasioned by power surges. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. -2 EMERGENCY ENERGY USAGE RESTRICTIONS RULE AND REGULATION 14 A. GENERAL: These emergency energy usage restrictions and prohibitions have been developed’ to conform with similar provisions enacted by the California Public Utilities Commission for utilities throughout California. The intent of this Rule is to eliminate unnecessary and wasteful energy usage, particularly in the event of an energy crisis. The provisions in this Rule can be put into effect to alleviate an emergency situation by action of the City Manager and resolution by the City Council. B.EMERGENCY ENERGY USAGE RESTRICTIONS: FUNCTIONAL OUTDOOR LIGHTING (A)No Customer shall permit any use of electrical energy for the floodlighting of outdoor commercial areas including, but not limited to, service stations, used car lots, automobile parking lots, or similar enterprises, between the hours of sunrise and sunset. (B)Notwithstanding the provisions of subsection B. 1.(A) hereof, after sunset, when such activities are open, the use of electrical energy for such purposes shall be reduced to fifty percent (50%) of normal or usual levels. Furthermore, prohib!ted uses of electrical energy from the utility are not . applicable to the mirfimum lighting necessary for public safety, or for security, or that required by law, or required for the lighting of essential government buildings utilized for police, fire protection, health, and communication purposes. 2.ADVERTISING AND DECORATIVE LIGHTING (A)Natural gas shall not at any time be caused or permitted to be used for outdoor decorative lighting, torches, flares, or any similar form of gas lighting. (B)Natural gas shall not at any time be caused or permitted to be used for indoor decorative purposes, such as artificial fireplace logs, except in such CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. EMERGENCY ENERGY USAGE RESTRICTIONS RULE AND REGULATION 14 cases where the use of natural gas is solely for the purpose of space heating and human comfort. (c)No Customer shall during daylight hours make, cause, or permit any use of electrical energy for lighting of billboards, signs, advertising goods, objects or devices symbolic of commercial enterprises, trademarks or logos, or motors or devices to rotate or move decorative, building floodlighting, architectural or decorative lighting, or lights used for landscaping or any similar forms of lighting based upon the use of electrical energy supplied by CPAU. (D)Notwithstanding the provisions of subsections B.2.c. hereof, each business establishment may operate its time and temperature sign, window, and display lighting, and illuminate two outdoor signs during normal business hours and until one-half hour after closing or 10:30 p.m., (whichever is later), and each billboard may be illuminated between the hours of dusk and 12:00 midnight during any time of the year and two hours before daylight during the months Of October through May. SWIMMING POOL HEATING Natural gas shall be used for the purpose of swimming pool heating, only when the pool temperature is maintained at the coolest temperature compatible with pool usage and one of the following conditions is met: (1)The pool is primarily used for the maintenance of health pursuant to an organized or medically directed health-oriented swimming program, including senior citizens or retirement community swimming program. (2)The pool is covered when not used for swimming (3)The primary source of heat is a solar heater with a standby natural gas heater. COMFORT HEATING AND COOLING CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Sheet No. CITY OF PALO ALTO UTILITIES EMERGENCY ENERGY USAGE RESTRICTIONS RULE AND REGULATION 14 o (B) During business hours, no Customer shall permit any use of electrical energy in any commercial or industrial establishment to provide cooling to reduce the temperature therein below 78°F except for medical reasons and where other temperatures are required by law. Natural gas and electrical energy used by all hotel, motel, and Similar guest accommodation establishments and restaurants should not be used to heat or cool vacant guest rooms. Occupied rooms shall not be cooled below 78°F. (c)No Customer shall make, cause, or permit any use of electrical energy for the cooling of residences, apartments, or condominiums below 78°F except for medical reasons and where other, temperatures are required by law. (E)During periods of electrical supply shortages and upon notification by CPAU of such shortage, all Customers will upon direction of CPAU either advance the temperature setting of air conditioning equipment to 85°F, or turn off the air conditioning equipment as requested by CPAU (except for buildings where this action would close off air ventilation). (E)No Customer shall operate air conditioning equipment in unoccupied buildings or rooms or buildings below 85°F during normal periods and will turn off such air conditioning equipment when notified by CPAU of the existence of an electrical supply shortage. OUTDOOR PUBLIC GATHERINGS No Customer shall make, cause, or permit.the use of electrical energy for recreational or cultural activities in excess of eighty-five percent (85%) of the normal or usual amount used by that Customer for the same or similar activities. Natural gas shall not be caused or permitted .to be Used for recreational or cultural activities without a reasonable reduction of the normal or usual amount used by that Customer for the same or similar activities. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. EMERGENCY ENERGY USAGE RESTRICTIONS RULE AND REGULATION 14 INDOOR BUSINESS LIGHTING (A)No Customer shall make, cause, or permit the use of electrical energy for lighting the interior of any business establishment during that period of time that said establishment is not carrying on the usual and customary activities of that business. (B)Notwithstanding the provisions of subsection B.6.a hereof, a business establishment may provide sufficient illumination at all times to provide a minimal level of protection and security to persons and property. (c)Nothing in these subsections shall be construed to prohibit ordinary and customary maintenance and janitorial services at times other than those during which the business establishment is carrying On the usual and customary activities of that business. INDOOR BUSINESS HEATING Co Natural gas shall not be caused or permitted to be used for heating the interior of any business establishment during that period of time that said establishment is not carrying on the usual and customary activities of (hat business. Notwithstanding the provisions of subsection B.7.(a) hereof, a business establishment may provide sufficient heating at all times to provide a minimum level required to prevent pipe freezing or other damage. (c)Nothing in these subsections shall be construed to hinder to prohibit ordinary and customary maintenance and janitorial service at times other than those during which the business establishment is carrying on the usual and customary activities of that business. NOTIFICATION: CPAU shall notify its Customers in the event Council action is taken to activate these emergency energy usage restrictions. Furthermore, whenever CPAU has learned of a use CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.. 4 EMERGENCY ENERGY USAGE RESTRICTIONS RULE-AND REGULATION 14 or manner of use prohibited by Section B., CPAU shaI1 notify the Customer or a representative in writing to comply with the provisions of this Rule and to discontinue any prohibited use or uses. Unless the Customer complies and discontinues such use, Section D shall apply. D.NONCOMPLIANCE: If, upon expiration of five (5) days after the notice provided in Section C, the Customer has not initiated compliance with this Rule, CPAU shall consider the noncompliance a violation of this Rule. A violation of this Rule may result in discontinuance of service by CPAU. Service will be restored after the Customer establishes, to the satisfaction of CPAU, compliance with this Rule. ’ PROCEDURE AND APPLICATION FOR RELIEF FROM RULE: Within five (5) days of the notice provided in Section C, or anytime prior to instituting any use which does not comply with this Rule, Customers of CPAU may apply in writing to the Assistant Director of Utilities, Engineering (Assistant Director) for relief from the prohibition or curtailment of certain end uses of blectricity or gas as provided in this Rule. Such relief may be granted by the Assistant Director unconditionally, or upon terms and conditions determined by the Assistant Director to be appropriate under the circumstances and reasonably consistent, to the extent practicable, with the purposes of this Rule. During the p.eriod the application is pending, CPAU shall not terminate service for noncompliance with this Rule. If no application is made after the notice provided in Section D, or, if the Assistant Director is not satisfied that grounds for relief have been established by the Customer, service establishes to the satisfaction of City, compliance, or ability to comply, with this Rule. LIABILITY OF CPAU: CPAU shall not, by taking action pursuant to this Rule, be liable for any loss, damage, or injury, established or alleged, which may result or claimed to result therefrom. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 5 METERING RULE AND REGULATION 15 no OWNERSHIP AND RESPONSIBILITY OF METERING EQUIPMENT: CPAU shall furnish, own and maintain all meters, instrument transformers, phase shifting transformers, test switches, and connecting circuitry necessary for measuring electricity used by the Customer. CPAU may, at its option, meter delivery to Primary Service Customers at Secondary Service voltage, and apply an adjustment factor to compensate. An accurate record shall be kept by CPAU, or its designated Meter Data Management Agent, of all meter readings and such record shall be the basis for determination of any bill rendered for service. Should any meter fail to register correctly the amount of electricity used by the Customer, the amount of such use will be estimated by CPAU from the best available information. METER INSTALLATIONS: 1.LOCATION All meters will be installed by CPAU at a convenient place upon the Applicant’s premises approved by CPAU, normally not above, ground - floor level, and so placed as to be at all times accessible for inspection, reading and testing. 03)The Customer shall, at the Customers’ own expense, provide a new and approved location for the meter or meters in order to comply with the foregoing whenever the existing meter or meters become inaccessible .for inspection, reading, or testing by reason of any changes made by the owner or tenant of the premi.ses. 2.MULTIPLE-OCCUPANCY BUILDINGS In all buildings in which meters are required to be installed for various floors or groups or rooms in order to measure separate~ly the electrical energy supplied to each of several Customers, all meters will be located at CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 METERING RULE AND REGULATION 15 one central point or as otherwise specified by CPAU. Each meter position shall be clearly marked by the building owner to indicate the particular location supplied by it. (B)In buildings which are divided into two or more stores or other commercial premises, meters may be installed in the separate premises provided no adjacent alleyway, common basement or other location accessible to all the tenants and suitable for the installation of a group of meters exists. In such buildings, all wiring from CPAU’s Point of Delivery to the individual meters shall conform to CPAU Building Department requirements. SEALING OF METERS All CPAU meters will be sealed by CPAU and no such seal shall be tampered with or broken except by an authorized representative of CPAU. ¯ELECTRIC DEMAND METERS Generally, demand meters shall not be installed on loads with an estimated Maximum Demand less than six (6) or eight (8) kW or eight (8) horsepower(hp). Demands of such lesser loads shall be determined by a load check. 5.ADDITIONAL METERING CPAU may, at its discretion and at its cost, install additional metering for system quality control purposes. METER TESTS: Any Customer may secure a test of the accuracy of the meter serving the Customer’s premises. Prior to the test, the Customer will be required to make a deposit with CPAU as specified in CPAU Rate Schedule C-1. The deposit will be returned to the Customer if the meter is found by test to register more than two percent (2%) faster under conditions of normal operation. Otherwise, the deposit CITY OF PALO ALTO UTILITIES. Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-2 METERING RULE AND REGULATION 15 will be retained by CPAU to offset a portion of the cost of making such test. The Customer has the right to require that the test be made in their presence, or a representative’s presence at the meter shop. A written report giving the result of the test will be supplied to the Customer upon request.within ten (10) days of the test. Meters will be tested before their installation, except that in the case of newly purchased single phase electric meters, the manufacturer’s test may be used as the installation test when CPAU’s random test indicate satisfactory test conditions for a particular manufacturer and a particular shipment. No meter will be placed in service or allowed to remain in service if it is found to have an error in registration in excess of two percent (2%) under condition of normal operation. Do MASTER METERING: Separate premises, even though owned by the same Customer, will not be supplied water, gas, and/or electric through the same meter (i.e. master meter,), except as provided herein. 1.RESIDENTIAL Customers for which water, gas, and electric master- metering was installed prior to December 31, 1982, may continue to obtain service at a single Point of Delivery through a single metering installation for two or more single-family dwelling units in the same building or for two or more multi-family dwelling buildings, provided such buildings are adjacent to each other on an integral parcel of land undivided by a public highway, street, or railway. Requests for master- metered multi-family residential service subsequent to December 31, 1982~ will be evaluated and approved if central space conditioning is acceptable toCPAU. Developments with such central systems will continue to qualify for master metering. 2.NONRESIDENTIAL CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 METERING RULE AND REGULATION 15 CPAU need not serve premises directly, but shall provide master-metered gas service, where any of the following conditions are met: (A)The building will contain central heating, air conditioning, or central domestic hot water and can be shown (using accepted methods of calculation) to be more energy efficient and at a more favorable cost- benefit ratio than would be the case if individual metering were installed. (B)The building is designed to be subdivided or modified after construction meet changing space needs of a number of tenants. SEPARATE METERING IMPRACTICAL Where, in the sole opinion of CPAU, it is impractical for CPAU to meter individually each premise or space, CPAU may meter only those premises or spaces that it is practical to meter, if any. ESTABLISHING EXCEPTION The owner of the building shall bear the burden of proof in establishing an exception for any of the above reasons. TOTALIZING METERING: Totalizing though a single electric meter of the electricity delivered by two or more separate services will be considered if a Customer is served at primary voltage, has an estimated or actual load in excess of 3,000 kVa, and all services serve a contiguous site. Any exception to this provision must be explicitly addressed by a rate schedule or Customer Contract (Rule 5). (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. LINE EXTENSIONS RULE AND REGULATION 16 A. ELECTRIC: 1.GENERAL CPAU will extend its electric system along public roads and streets, and upon private property across which satisfactory easements or rights of way have been obtained. The Applicant will be required to pay for obtaining an easement or right-of-way to serve a particular subdivision or Customer. SYSTEM EXTENSION WITHIN THE BOUNDARIES OF A SUBDIVISION OR OTHER DEVELOPMENT (A)CONSTRUCTION BY APPLICANT The Applicant shall provide, at no cost to CPAU and in accordance with CPAU standards and specifications, all trenching, backfill, resurfacing, landscaping, conduit, junction boxes, vaults, equipment pads, and subsurface housing required for power distribution within the development. Upon acceptance by CPAU, the Applicant will transfer ownership of such facilities to CPAU. (13)CONSTRUCTION BY CPAU (c) After acceptance of the facilities provided by the Applicant, CPAU will furnish and install all cables, switches, and other equipment required for the system extension. As used herein, the term "cable" may, at the option of CPAU, include preassembled cable-in-conduit or direct-buried cable. CONNECTION CHARGES Charges for connection to the system will be detailed in CPAU’s Electric Service Cormection Fees (Rate Schedule E-15), with full credit allowed for any over sizing or extra facilities required by CPAU in order to provide service for areas beyond the boundaries of the development. Such credit will be computed on the basis of CPAU’s cost for the materials involved. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. o LINE EXTENSIONS RULE AND REGULATION 16 SYSTEM EXTENSION OR REINFORCEMENT OUTSIDE THE BOUNDARIES OF A SUBDIVISION OR OTHER DEVELOPMENT (A) (13) (c) CONSTRUCTION BY CPAU CPAU or its contractor will construct the necessary underground facilities to deliver electric power to the development site. Connection to these facilities will be subject to charges in accordance with CPAU’s Electric Service Connection Fees (Rate Schedule E-15). CONSTRUCTION BY APPLICANT Where mutually agreed upon by CPAU and the Applicant, all or part of the required system extension may be constructed by the Applicant in accordance with the standards and specifications of CPAU. TEMPORARY OVERHEAD CONSTRUCTION Based on a finding by the Electrical Engineering Manager, under Chapter 12.16, Underground Utilities, and/or Chapter 21.24, Subdivisions, of the Palo Alto Municipal Code, that underground facilities are not feasible, temporary pole lines may be constructed by CPAU to provide electric power to a subdivision or other development until permanent underground facilities are established. Reasons for such a finding may include, but not be limited to: (1) (2) (3) (4) Remoteness of new development; Uncertainty as to possible road widening or realignment; Uncertainty as to probable development patterns; and Insufficient area development to warrant the expense of an underground system. The overhead lines will be replaced by an underground system when replacement is determined to be practicable by the Electrical Engineering Manager. All Applicants served from temporary over-head lines will be subject to charges in accordance with applicable CPAU Rate Schedules. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-2 LINE EXTENSIONS RULE AND REGULATION 16 WATER, GAS AND WASTEWATER: 1.GENERAL CPAU will construct, at the developer’s expense, or require developers, at their own expense, to construct to CPAU standards, water and gas distribution main extensions or wastewater collection system extensions in areas which cannot be served from existing CPAU systems. These mains extensions will only be constructed along public roads and highways, and upon public lands and private property across which satisfactory easements or rights-of-way have been obtained by the developer at the developer’s expense. The legal descriptions of all necessary easements or rights-of-way to serve a particular subdivision, development or Customer shall be prepared by the developer’s engineer at the developer’s expense. CPAU shall review the system calculations and Plans prepared by the developer’s engineer and make the final determination regarding the adequacy of the existing distribution and collection systems to provide service to the development and determine the final type, size and location of all required main extensions or other required facilities. The determination so made by the Engineering Manager, Water, Gas, Wastewater shall be final. The total design and construction costs associated with all of the required main extensions and facilities for the development shall be paid by the developer. SYSTEM EXTENSIONS WITHIN THE BOUNDARIES OF A SUBDMSION OR OTHER DEVELOPMENT (A) WATER The develoPer shall provide and install, at no cost to CPAU and in accordance with CPAU standards and specifications, all facilities and equipment required for water distribution within the development. CPAU will reimburse the Applicant for any over-sizing "or extra facilities required by CPAU in order to provide service for areas beyond the boundaries of the development. Such reimbursement will be computed on the basis of only the developer’s cost for pipe material involved in the over-sizing. 03) GAS CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 LINE EXTENSIONS RULE AND REGULATION 16 CPAU shall provide and instal!, at the developer’s expense, all facilities and equipment required for gas distribution within the development. Charges for connection to the system will be as detailed in CPAU’s Gas Service Connection Fees ( Rate Schedule G-15) with credit allowed for any over-sizing or extra facilities required by CPAU in order to provide service for areas beyond the boundaries of the development. Such credit will be computed solely on the basis of CPAU’s cost for the pipe material involved in over-sizing. (C)WASTEWATER The developer shall provide and install, at no cost to CPAU and in accordance with CPAU standards and specifications, all facilities and equipment required for wastewater collection within the development. CPAU will reimburse the Applicant for any over-sizing or extra facilities larger than the City’s standard size required by CPAU in order to provide wastewater collection service through the developer’s property for areas beyond the boundaries of the development. Such reimbursement will be computed on the basis of only the developer’s cost for the pipe material involved in the over-sizing. SYSTEM EXTENSIONS OR REINFORCEMENT oUTSIDE THE BOUNDARIES OF A SUBDIVISION OR OTHER DEVELOPMENT (A)CONSTRUCTION BY CPAU 03) CPAU or its contractors will construct the necessary facilities to deliver water and gas to the development site or to collect wastewater from the site, and connection to these facilities will be subject to charges in accordance with CPAU’s Connection Fees (Water Rate Schedule W-5, Gas Rate Schedule G-5, and Wastewater Collection Rate Schedule S-5.) CONSTRUCTION BY APPLICANT When mutually agreed upon by CPAU and the Applicant, all or part of the required water, gas, and wastewater system extensions may be constructed by the Applicant in accordance with the standards and specifications of CPAU. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-4 CONVERSION TO UNDERGROUND RULE AND REGULATION 17 POLICY AND PRIORITIES: CPAU will replace existing overhead electric distribution facilities with underground facilities due to system operational considerations, or upon application of an individual or group of individuals, and/or at the direction of the City Council, subject to budgetary considerations, the primary schedule listed below, and minimum project size specified in the applicable section of this Rule. The extent of CPAU’s financial participation in a conversion project will depend on whether the locale of the project is designated by the City Council as an area of general public interest and benefit, or an area of primary local public benefit, or whether the area fails to qualify for either of the foregoing designations. Underground conversion in areas of general and local public benefit will be considered in accordance with the following order of priorities and classification of areas according to, "Four Classes of Need For Underground utilities Distribution." First Priority will be given to overhead CPAU lines along streets, roads, or rights- of-way on which major new roadway construction or realignment wi!l take place. Second priority will be given to overhead CPAU lines along rights -of-way through the interior of blocks which have heavy tree foliage where poles have deteriorated to the point where replacement is necessary and undergrounding is an economic alternative to pole replacement. Third priority will be given to overhead CPAU lines along streets, roads, or rights- of-way in areas zoned commercial, light industrial, and limited manufacturing where load growth requires major overhead reconstruction and undergrounding is an economical alternative. Fourth priority will be given to overhead CPAU lines which are hidden or partially hidden by surrounding tree foliage along streets, roads, or rights-of-way where poles have deteriorated to the point where replacement is necessary and under-grounding is an economic alternative to pole replacement. 5.Fifth priority will be given to overhead utility lines which are constructed along a CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 CONVERSIONTOUNDERGROUND RULE AND REGULATION 17 major arterial where poles have deteriorated to the point where replacement is necessary and under-grounding is an economic alternative to pole replacement. Sixth priority will be given to overhead utility lines which are constructed along streets, roads, or rights-of-way in areas zoned residential. The priority schedule shall not be construed to be flexible. Overhead utility lines located in streets, roads, or rights-of-way in areas classified as areas of less need of pole replacement may be included for engineering and operating reasons in an underground utility district. IN AREAS OF GENERAL PUBLIC INTEREST AND BENEFIT: CPAU will replace its existing Overhead distribution lines with electric underground distribution facilities at CPAU’s expense along public streets and roads, on public lands, and on private property across which satisfactory easement or rights-of-way have been obtained or may be obtained without cost or condemnation by the City provided that: The Project extends a minimum distance of two City blocks or 750 feet. The City Council has: Determined that such under-grounding is in the general public interest. Included among the reasons for such determination may be: (1)Such under-grounding will avoid or eliminate an unusually heavy concentration of overhead distribution facilities or the construction of an existing pole line to accommodate additional overhead circuits. (2)Said street or road or right-of-way is extensively used by the general public and carries a heavy volume of vehicular traffic. (3)Said street or road or right-of-way adjoins or passes through a civic or public recreation area or an area of scenic interest to the general public. Adopted an ordinance creating an underground district in accordance with the applicable sections of Chapter 12.16, Underground Utilities, of the CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 CONVERSION TO UNDERGROUND RULE AND REGULATION 17 Palo Alto Municipal Code, which provides among other things: (1)That all existing overhead communication and electric distribution facilities in such district shall be removed. (2)That each property owner served from such overhead distribution facilities shall provide, within a period of time established by the City Council and at the property owner’s expense and in accordance with CPAU applicable Rules and Regulations and schedule of charges for underground service connections, all electrical service facility construction and charges on his premises necessary to receive service from the underground distribution facilities after they are completed and in operation. (3)CPAU is authorized to discontinue overhead services after the period of time established by City Council for reconnection to the underground distribution facilities has expired. C.IN AREAS PRIMARILY OF LOCAL PUBLIC BENEFIT: CPAU will replace its existing overhead distribution facilities with underground distribution facilities along public streets, roads, or other locations mutually agreed upon when requested by a group of Applicants or an authorized representative of a group of Applicants, provided that: 1.The project includes at least one block to 600 feet. 2.The City of Palo Alto City Council has: Determined that’sueh undergrounding is in the general public interest, but primarily of local benefit. Adopted an ordinance creating an underground district in accordance with the applicable sections of Chapter 12.16, Underground Utilities, of the Palo Alto Municipal Code, which provides among other things: (1) That all existing overhead communication and electric CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 CONVERSIONTOUNDERGROUND RULE AND REGULATION 17 distribution facilities in such district shall be removed. That each property owner served from such overhead distribution facilities shall provide, within a period of time established by the City Council and at the property owner’s expense and in accordance with the CPAU applicable Rules and Regulations and schedule of charges for underground service connections, all electrical service facility construction and charges on his premises necessary to receive service from the underground distribution facilities after they are completed and in operations. (3)That CPAU is authorized to discontinue overhead service after the period of time established by the City Council for reconnection to the underground distribution facilities has expired. The Applicant or group of Applicants pays 50 percent of the total costs, exclusive or transformers and associated equipment, for the replacement, of the overhead distribution lines with underground distribution facilities in the public right-of- way or easement. CPAU will pay 50 percent of said costs and will provide the transformers and associated equipment. Where the street-lighting system in areas to be under-grounded is mounted on overhead poles to be removed, the street- lighting facilities shall be replaced in accordance with the standards and requirements of CPAU, and the cost shall be included in the total costs. IN AREAS OF INSUFFICIENT PUBLIC BENEFIT TO QUALIFY UNDER SECTION B OR SECTION C: When mutually agreed upon by the Director of Utilities and an Applicant, overhead distribution may be replaced with underground ~distribution facilities provided that: The Applicant requesting the change enters into an agreement with CPAU to pay, in advance, a non-refundable sum not less than 75 percent of the estimated total cost of the replacement of overhead distribution lines with underground distribution facilities, in the public right-of-way or easement, exclusive of transformers and associated equipment. The share borne by CPAU shall be determined by the Electrical Engineering Manager on his or her calculation of the CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO ,UTILITIES Sheet No. - 4 CONVERSION TO UNDERGROUND RULE AND REGULATION 17 benefit to CPAU. Each’property owner served from such overhead distribution facilities shall agree to provide at his or her own expense, within a period of time established by CPAU, all electrical service facility construction and changes on his or her premises necessary to receive service from the underground distribution facilities when they are completed and in operation. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 5 ELECTRICAL SERVICE CONNECTIONS AND FACILITIES ON CUSTOMER’S PREMISES RULE AND REGULATION 18 SERVICE CONNECTIONS: Upon an accepted application for service, CPAU will connect a service lateral of suitable capacity to the CPAU distribution system at a service point designated by CPAU, provided that: The Electrical Engineering Manager has approved the switchboard design and location and the building Inspector has issued a Certificate of Approval authorizing the Customer to energize this equipment. The property fronts on a public street, highway, alley, lane, or right-of-way along which CPAU has or will install distribution facilities; or the property has a contiguous easement or right-of-way along which CPAU has or will install distribution facilities. = The Applicant has paid all required connection charges as set forth in CPAU’s Electric Service Connection Fees (Rate Schedule E-15). The Applicant has satisfied one of the following requirements: (A)Furnished and installed as required the pads and vaults for transformers and associated equipment, conductors, conduits, ducts, boxes, pole risers, and performed all other work related to structures and substructures, including breaking of pavement, trenching, back-filling, and repairing, required for the installation of the electrical service connection fi’om the Applicant’s service entrance equipment to the designated service point, all in accordance With the requirements, standards, and specifications of CPAU. Fulfilled all the conditions listed in above paragraph A.4 (A) except installation of primary service conductors, and has requested that CPAU install same in accordance with the applicable sections of CPAU’s Electric Service Connection Fees (Rate Schedule E-15). CPAU wilt determine the type and size of the conductors to be installed by CPAU. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 ELECTRICAL SERVICE CONNECTIONS AND FACILITIES ON CUSTOMER’S PREMISES RULE AND REGULATION 18 B. OWNERSHIP AND RESPONSIBILITY FOR SERVICE LATERALS: 1.General (A)All materials and equipment installed by CPAU on the Customer’s premises in the construction or operation of electric service will at all times be and remain the sole property of CPAU and may be repaired, replaced, or removed by CPAU at any time. (B)CPAU will assume ownership and responsibility for maintenance of the underground electric service lateral conductors, as defined in the National Electric Code Article 100, installed by the Customer if the service meets CPAU specifications and it has been approved and accepted by the Electrical Engineering Manager or his designated representative. Where bus duct is required and used, CPAU considers the point-of-connection to be the transformer secondary terminals, the bus duct is considered to be the service entrance conductors and CPAU assumes no responsibility for the bus duct. (c)The Customer shall exercise reasonable care to prevent CPAU equipment on the Customer’s premises from being damaged or destroyed and shall refrain from interefing with same. The Customer Shall immediately notify CPAU upon the discovery of any defect in CPAU equipment. No rent or other charge whatsoever shall be made by the Customer against CPAU for placing or maintaining any necessary electrical facilities on the Customer’s Premises. Miscellaneous Service Equipment (A)Equipment Furnished by Applicant (1)All_service switches, fuses, meter sockets, meter and instrument transformer housing and similar devices, irrespective of voltage, required in connection with service and meter installation on the Applicant’s premises will be furnished, installed, owned and CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 ELECTRICAL SERVICE CONNECTIONS AND FACILITIES ON CUSTOMER’S PREMISES RULE AND REGULATION 18 (2) maintained by the Customer in accordance with CPAU requirements. The "service disconnect means", as defined by the National Electric Code. Do Applicant will provide a suitable means for CPAU to place its seal on covers of service cans, service troughs and instrument transformer enclosures which protect unmetered hot circuits installed by the Applicant. Such seals shall be broken only by authorized CPAU representatives. Detailed information will be furnished by CPAU on request. (B)Equipment Furnished by CPAU CPAU will furnish and install the necessary instrument transformers, test facilities and meters. SERVICE CONNECTION MADE BY CPAU EMPLOYEES: Only duly authorized employees of CPAU shall be allowed to connect the Customer’s service to, or disconnect the service from, the CPAU distribution system. CPAU SERVICES: All new electric utility services to Commercial/Industrial Customers and new subdivisions shall be provided by underground facilities on the Customer’s Premises. Standard service to single family residential homes in existing overhead areas shall be overhead. The Director of Utilities or his designee can require an underground service for single family residential service in areas where system design requires underground service or the addition of poles to the system. The on-site underground electric utility lines shall be provided by the Customer at their expense and shall meet CPAU specifications. 2.Number of Services Per Building CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO AL’rO UTILITIES Sheet No. - 3 ELECTRICAL SERVICE CONNECTIONS AND FACILITIES ON CUSTOMER’S PREMISES RULE AND REGULATION 18 Only one service drop or lateral may be extended to a building or other premises to be served, except for commercial properties where: (A) Two or more service drops or laterals may be extended to a single building or premises provided they enter the building or other structure at points at least 150 feet apart (measured in a straight line) and provided all wiring, other than control metering conductors, supplied by each service has no common raceway, connection, or service area with wiring supplied by any other such service. (B)Two or more sets of service entrance conductors may be extended to a single switch gear for the purpose of providing additional capacity or backup protection. Number of Service Periscopes Per Service Drop Not more than two service periscopes may be served from a single overhead service drop. Overhead service connections will not be installed where the Applicants main switchboard is larger than 400 amp. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 4 DIRECT ACCESS RULE AND REGULATION 19 A. GENERAL: This Rule and Regulation sets forth the terms and conditions under which the City of Palo Alto Utilities (CPAU) shall render Distribution and Transmission Services to Customers who elect to be served under Direct Access through the applicable CPAU Direct Access electric service rate schedule. Direct Access shall refer to the election by a Customer to procure their ’electricity, and related energy services, from an Energy Service Provider (ESP) other than CPAU. CPAU shall apply eligibility and selection criteria to qualify participants in Direct Access, pursuant to its adopted Direct Access Implementation Plan, as it may be amended from time to time. All defined terms are identified in this Rule by capitalization of the first letters, as described in Rule and Regulation 2, or as otherwise defined herein. 1.CUSTOMER RESPONSIBILITIES The Direct Access Cus~omei: (DA Customer), or its assigned ESP, assumes the responsibilities for procuring electric Energy Services and for the transmission of such purchases to the Points of Receipt designated by CPAU. CPAU is fully and completely discharged from these responsibilities; the DA Customer’s ESP must carry out these responsibilities. 2.CPAU RESPONSIBILITIES CPAU shall be responsible for providing Distribution and applicable Transmission Services for the DA Customer’s procured energy from the designated Points-of Receipt to the DA Customer’s service address(s). In addition, CPAU will provide standby power as provided in CPAU’s Electric Standby Service Rate Schedule E-13. 3.LIABILITY IN CONNECTION WITH ESP SERVICES If the ESP defaults on its electric supply obligations to a DA Customer, and as a result of this default, CPAU purchases and CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 DIRECT ACCESS RULE AND REGULATION 19 supplies energy to the DA Customer, the Customer shall be liable for payment to CPAU for such energy. ¯ (B)CPAU shall not be liable to the Customer and ESP for any damages - caused by CPAU’s conduct in compliance with, or as permitted by, CPAU’s rules, regulations, rate schedules, and associated legal and regulatory requirements related to DA Service. Damages in this section shall include losses, harm, costs, opportunities lost, and detriment, both direct and consequential, suffered by the Customer. (c)CPAU shall not be liable to the Customer for any damages caused to the Customer by any failure by an ESP to comply with CPAU’s rules, regulations, rate schedules, and associated legal and regulatory requirements related to DA Service. CPAU shall not be liable to the Customer for any damages caused by an ESP’s failure to perform any commitment to the Customer, including, but not limited to the obligation to provide Energy Services to the Customer. The ESP shall not be liable to the Customer for any damages caused by CPAU’s failure to perform any commitment to the Customer. An ESP is not CPAU’s agent for any purpose. CPAU shall not be liable to the Customer for any damages resulting from any acts, omissions, or representations made by an ESP in connection with soliciting Customers for DA Service or performing any of its functions in rendering DA Service. CPAU is not the ESP’s agent for any purpose. The ESP shall not be liable to the Customer for any damages resulting from any acts, omissions, or representations made by CPAU in connection with soliciting Customers for DA Serviceor performing any of its functions in rendering DA Service. RATES AND FEES FOR DIRECT ACCESS CPAU service rates and fees for Direct Access are found under the applicable Direct Access electric service rate schedule. The applicable rates shall apply to CITY OF PALO ALTOUTILITIES Issued by the City Council Effective 7-1-98 CITY 6F PALO ALTO UTILITIES Sheet No. - 2 DIRECT ACCESS RULE AND REGULATION 19 each Account participating in Direct Access. Unless otherwise provided in the applicable rate schedule or contract, CPAU wi-ll not aggregate distribution services for individual accounts for purposes of billing under the applicable Direct Access rate schedule. Separate rates for Standby Power service are found under the applicable CPAU Standby Power service rate schedule. These charges compensate CPAU for non-standard variances in power scheduling or for ESP’s nonperformance of its contractual obligations related to provision of Energy Services. 5.DIRECT ACCESS DATES AND TERM Direct Access service shall begin on the service date indicated on the DASR, as solely determined by CPAU, and subject to activation of required agreements, installation of DA Metering and other applicable requirements for Direct Access. Direct Access service shall be provided for-no less than 1 year from the Initial Service Date, subject to suspension and termination conditions. DIRECT ACCESS CUSTOMER REQUIREMENTS: To participate in Direct Access, the DA Customer shall initiate and implement the agreements, equipment installations and other prerequisites necessary to effect Direct Access. The requirements are: 1.DASR SUBMISSION The DASR shall undergo a review and verification process by CPAU. Upon CPAU’s acceptance of the DASR, the DA Customer shall initiate and implement remaining requirements for Direct Access. 03)Contract-for Energy Services - The DA Customer shall enter into an agreement with its ESP for procurement of Energy Services for the Load(s) selected for Direct Access, effective on the Initial Service Date for Direct Access. CPAU shall not be a party to this agreement. DA METERING REQUIREMENTS (A) Account Load of 50 kW or More - Upon DASR approval, CPAU shall CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.. 3 DIRECT ACCESS (B) (c) RULE AND REGULATION 19 provide and install DA Metering, at DA Customer’s expense, for any Account which lacks appropriate metering equipment and records a maximum demand equal to or greater than 50 kW or, absent demand metering capabilities and records, for any Account that records a maximum monthly usage of greater than or equal to 12,000 kilowatt-hours (kWh) at any time during the past 12 consecutive monthly Billing Periods. At its option, CPAU may adopt or apply exemptions to this requirement. Account Load less than 50 kW - In lieu of installing DA Metering, Load Profiling may be used, based on a methodology adopted by CPAU, for any Account that records a maximum demand of less than 50 kW or, absent demand metering capabilities or records, for any Account that records a maximum monthly usage of less than 12,000 kWh in each Billing Period during the past 12 consecutive monthly Billing Periods. DA Customer may still request CPAU to provide and install DA Metering at its expense for such Accounts. Meter Installation - Metering for Direct Access Service, if needed, shall be provided and installed by CPAU, at DA Customer’s expense, within a reasonable period after DASR acceptance, subject to availability of resources including equipment and installers. CPAU shall notify the DA Customer if meter installation cannot be performed within a reasonable period. The DA Customer shall install, at its expense, a communications line to the meter as needed. (E) Whole Meter Service - Direct Access service is applicable for 100 percent of the load served by individual single meters. Individual single meter loads may not be split between different ESPs. Master-Metered Customers - Individual master-metered Customers, i.e., multi-family residential dwellings and mobile home parks, who provide sub-metered tenant billings may participate in Direct Access as a single account. A master-metered Customer may not partition the electric .loads of a single master meter to receive Direct Access Service and Full Service for one metered service; thus, the entire load of a single master meter must receive service under one electric service rate schedule. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.. 4 C= DIRECT ACCESS RULE AND REGULATION 19 (F)Load Aggregation - Two or more DA Customers may jointly submit for Aggregation by an ESP only the Loads of individual, single Meters that have been selected for Direct Access. CPAU requirements for rate schedule eligibility, metering, billing and Distribution and Transmission Services apply to each individual DA Customer Account, not to the jointly aggregated Load. CUSTOMER INFORMATION: CPAU shall provide Customer-specified usage reports to parties specified by the DA Customer, subject to the following provisions: 1.STANDARD USAGE REPORT The standard usage report shall include Customer’Name Service Address, Account Number, Meter number, SIC Code, past 12 months of Account usage and billing history, and any other Customer-specific information as solely determined by CPAU.Account Number, Meter number, SIC Code, past 12 months of Account usage and billing history, and any other Customer-specific information as solely determined by CPAU. WRITTEN AUTHORIZATION The inquiring party must have written authorization from the DA Customer to release such information to the inquiring party. At the DA Customer’s request, this authorization may also indicate if Customer reports may be released to other parties as specified by the DA Customer. RELEASE OF INFORMATION D. CPAU Upon DA Customer authorization, CPAU shall provide a standard usage report to parties authorized by the DA Customer, up to twice per year at no charge. Thereafter and for any additional standard or non-standard reports provided to authorized parties, CPAU reserves the right to charge service fees, pursuant to applicable mtmicipal fee and rate schedules. DISTRIBUTIO~ AND TRANSMISSION SERVICES: CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 5 DIRECT ACCESS RULE AND REGULATION 19 At all times during the term of Direct Access service to a Customer, CPAU shall be responsible for providing Distribution and, when requested by the customer, Transmission Services for DA Customers. Transmission Service and associated charges are subject to change to reflect modifications, revisions or terminations of CPAU’s contractual agreements and rights or any other changed circumstances. These Distribution and Transmission Services shall consist of the following: 1.DELIVERY OF ESP-SUPPLIED ENERGY CPAU shall be responsible for transmitting the DA Customer’s ESP-supplied electric energy from the Points of Receipt to the DA Customer’s Service Address(e’s) using its contractual rights and physical distribution system and according to terms and conditions specified in CPAU’s Direct Access Service Provider Agreement (DASPA) with the ESP. 2.DISTRIBUTION SERVICE (A)Distribution Facilities - CPAU shall be responsible for specifying, procuring, installing, maintaining and testing CPAU-owned equipment and facilities within the Service Territory that are used in providing Distribution Services, including but not limited to transformers, utility poles and lines, and metering equipment. Inquiries - CPAU shall be responsible for responding to all inquiries related to physical service, emergency system conditions, outages and .safety. (c)Contractual Transmission Services - When applicable, CPAU shall use its contractual rights to transmission pursuant to its Interconnection Agreement with PG&E, its participation agreement with the Transmission Agency of Northern California and any other transmission rights as CPAU may acquire from time to time to deliver services requested by DA customers. CPAU reserves the right to modify, amend or terminate any of its contractual rights at its sole discretion. Any amendments or termination of CPAU’s existing transmission agreements may necessitate modifications to Direct Access service and the DASPA. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DIRECT ACCESS CPAU 1. RULE AND REGULATION 19 METERING, METER READING AND BILLING SERVICES: METERING RESPONSIBILITIES CPAU retains the responsibility for specifying, procuring, installing, reading, maintaining and testing all DA Metering installed on its Distribution System, following CPAU’s applicable standards, practices, rules and regulations as they may be amended from time to time. CPAU may select a subcontractor such as a "Meter Data Management Agent" (MDMA) to perform any or all functions related to meter management. METERING EQUIPMENT OWNERSHIP CPAU retains sole title to all DA Metering installed on its Distribution system. ALTERNATE METERING DA Customer may install their own metering equipment on its own facilities and shall have sole responsibility for specifying, procuring, installing, maintaining and testing such meters and for ensuring that such meters do not interfere with the operation of CPAU’s DA Metering. The DA Customer retains title to its own metering equipment. CPAU retains the right to access, inspect, test or read such meters to ensure that they do not interfere with the operation of CPAU’s DA Metering. COST OF METERI]qG The charges for obtaining and installing DA Metering are addressed in the applicable CPAU Direct Access electric service rate schedule or contract. APPLICABLE RULES CPAU’s applicable rules and regulations on meter reading, unauthorized energy use and preparation of bills will continue to apply with the additional provisions as provided in this section. READING INTERVALS CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. DIRECT ACCESS o RULE AND REGULATION 19 DA Metering shall provide the DA Customer’s electric demand and usage data at 15-minute intervals, or other reading interval determined by CPAU. BILLING DATA Billing data, based on meter reads, shall be made available to CPAU, ESP, and Schedule Coordinator billing systems through electronic data transfer, verification and communication methodologies and protocols adopted by CPAU. PREPARATION OF BILLS CPAU may use the reading obtained on the last regular reading day of each monthly Billing Period to determine the bill for applicable Distribution and Transmission Services for that Billing Period. BILLING SERVICES 10. 11. CPAU shall be responsible for billing, collecting and responding to inquiries or disputes fi:om DA Customers for charges and any applicable taxes or surcharges related to Distribution and Transmission Services rendered. DA Customers must refer to their ESP for billing services related to Energy Services rendered. DA CUSTOMER PAYMENT RESPONSIBILITIES The DA Customer is ultimately and solely responsible for the payment of applicable charges for services rendered under Direct Access, including but not limited to CPAU’s Distribution and Transmission Service charges, their ESP’s Energy Service charges, and state and local surcharges and taxes applicable to all services rendered. Such surcharges and taxes include, but are not limited to, CPAU’s Public Benefits and Transition Cost Recovery charges and the City of Palo Alto’s Utility User Tax. PAYMENT & COLLECTION OF BILLS For billing and payments related to Distribution and Transmission Services rendered, CPAU’s applicable rules and regulations on rendering and payment of bills, nonpayment,’and discontinuance and restoration of service shall apply to DA CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. Customers. DIRECT ACCESS RULE AND REGULATION 19 12.DISPUTED BILLS For disputed bills related to Distribution and Transmission Services rendered, CPAU’s applicable rules and regulations on disputed bills shall apply to DA Customers. CPAU bears no responsibility to respond to or resolve any billing disputes related to provision of Energy Services by the DA Customer’s ESP. CHANGES IN DIRECT ACCESS SERVICE: CHANGES IN ENERGY SERVICES The DA Customer, or its E~P, shall provide CPAU with at least 30 calendar days notice in advance of the next Billing Period of any material change in service, subject to CPAU approval, including but not limited to: CHANGE IN ELECTRIC POWER PROCUREMENT o o Notice shall be provided to CPAU if a material, permanent change in future electric power requirements is anticipated. This excludes any standard hourly Load deviations experienced in procuring and scheduling Energy Services. CHANGE IN TRANSMISSION OPTION Notice shall be provided to CPAU if the DA Customer elects to change its option for Transmission Services. Applicable charges shall be applied pursuant to the applicable Direct Access electric service rate schedule. CHANGE IN ENERGY SERVICE PROVIDER Notice shall be provided to CPAU of a DA Customer’s intent to change their ESP. The new ESP shall comply with all applicable requirements for providing Energy Services under Direct Access, including signing of a DASPA if not already existing. VACATING OF PREMISES CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 9 Go DIRECT ACCESS RULE AND REGULATION 19 Notice shall be provided to CPAU of a DA Customer’s intent to vacate its current premises. A DA Customer’s vacating of its premises shall be considered a voluntary termination of Direct Access for the existing Account and Service Address. Participation in Direct Access for a DA Customer’s new premises is subject to CPAU’s then current eligibility and selection criteria. Direct Access at the existing Account and Service Address shall not be assignable to the new occupant of the Service Address. INTERRUPTIONS AND CURTAILMENTS: It may be necessary for CPAU to shed or curtail energy supply loads in order for CPAU to respond to anticipated or actual facilities repairs or improvements, supply shortages, outages or other cond!tions that impact the delivery of electric power. CPAU shall attempt to provide reasonable notification to the DA Customer of such conditions, pursuant to its rules and regulations and standard procedures, but shall not be liable if such notification is not provided. CPAU shall attempt to reestablish Distribution and Transmission Services with the shortest possible delay. SUSPENSION OR TERMINATION OF DIRECT ACCESS: At it option, CPAU may suspend or terminate Direct Access service to a DA Customer ha accordance with this section. 1.sUSPENSION CONDITION: NONPERFORMANCE OF ESP CPAU may suspend Direct Access service to a DA Customer if the ESP fails to procure and schedule Energy Services for more than 10 consecutive days, is in default on payments to CPAU, or otherwise fail to perform its obligations pursuant to this Rule or the DASPA. (B) CPAU shall immediately notify the DA Customer of the suspension. The suspension term shall be for at least 30 ~alendar days, as solely determined by CPAU, after which the ESP must resume performance of its obligations. Resumption of Direct Access shall coincide with the first day of the next complete Billing Period foIlowing suspension. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 10 DIRECT ACCESS RULE AND REGULATION .19 (C)During the term of the suspension, the DA Customer shall be retumed to Full Service at CPAU’s applicable default rate schedule. (D)If nonperformance by the ESP totals more than two times in the past 12 months, Direct Access forthe affected Account(s) shall be immediately terminated and the DA Customer returned to CPAU’s Full Service at the applicable default rate schedule. TERMINATION OF DIRECT ACCESS CPAU may terminate Direct Access under conditions described in this section. The DA Customer shall be returned to the CPAU’s Full Service under applicable default rate schedules, except where physical disconnection may apply in the case of DA Customer default. (A)VOLUNTARY TERMINATION The DA Customer shall provide sufficient notice to CPAU to voluntarily terminate Direct Access using CPAU’s Termination of Direct Access form. CPAU shall determine the effective date of termination. The DA Customer shall be solely responsible for notifying its ESP of its desire to terminate and solely liable for any outstanding contractual obligations or other consequences of the termination of its agreement with its ESP for Energy Services. INVOLUNTARY TERMINATION DUE TO DA CUSTOMER DEFAULT CPAU shall immediately terminate Direct Access ifthe.DA Customer is in default for nonpayment of bills related to Distribution and Transmission Services rendered, unsafe conditions, fraud, service without proper application, noncompliance with City’s rules, or failure to establish credit, pursuant to CPAU’s applicable rules and regulations. DA Customer also may be subject to Distribution and Transmission Service disconnection. (C) ESP DEFAULT CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 11 DIRECT ACCESS RULE AND REGULATION 19 CPAU shall immediately terminate Direct Access if the ESP has been suspended more than two times in the past 12 months or otherwise breaches the DASPA or CPAU’s applicable rules and regulations. DA Customer shall not be subject to Distribution and Transmission Service disconnection due to ESP default. (D)SURVIVAL OF OBLIGATIONS Upon termination of Direct Access, the DA Customer shall remain liable for all respective amounts payable or other obligations under Direct Access for services rendered by CPAU which may have accrued or may be accruing at the time of termination. (E)RETURN TO DIRECT ACCESS If the DA Customer wishes to participate again in Direct Access after a previous termination of Direct Access, the DA Customer’s ability to participate shall be subject to applicable eligibility and selection criteria, contractual agreements and other requirements existing at that time, pursuant to CPAU’s Direct Access Implementation Plan and rules and regulations or their successors. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CiTY OF PALO ALTO UTILITIES Sheet No. - 12 SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 A. PROTECTIVE DEVICES: It shall be the Applicant’s responsibility to furnish, install, inspect and keep in good and safe condition at their own risk and expense, all appropriate protective devices of any kind or character, which may be required to properly protect the Applicant’s facility. CPAU shall not be responsible for any loss or damage occasioned or caused by the negligence, or wrongful act of the Applicant or any of the agents, employees or licensees of the property owner in omitting, installing, maintaining, using, operating or interfering with any such protective devices. It shall be the Applicant’s responsibility to install approval protective devices as may be necessary to coordinate properly with CPAU’s protective devices to avoid exposing other Customers to unnecessary service interrupt!ons. (A)Applicants who request primary voltage service shall install circuit breakers with over-current and ground fault relays. It shall be the Applicant’s responsibility to equip three-phase motor installations with appropriate protective devices, or use motors with inherent features, to completely disconnect such motors from its power supply, giving particular consideration to the following: Protection in each set of phase conductors to prevent damage due to overheating in the event of overload. Protection to prevent automatic restarting of motors or motor-driven machinery which has been subject to a service interruption and, because of the nature of the machinery itself or the product it handles, cannot safely resume operation automatically. (c)Open-phase protection to prevent damage due to overheating in the event of loss of voltage on one phase. (D)Reverse-phase protection where appropriate to prevent uncontrolled reversal of motor rotation in the event of accidental phase reversal. (Appropriate installation would include, but are not limited to, motors CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 driving elevators, hoists, tramways, cranes, pumps, conveyors, etc.). The available short-circuit current varies fi:om one location to another, and also depends on the ultimate design characteristic of CPAU’s supply and service facilities. Consult CPAU for the ultimate maximum short-circuit current at each service terminal point. Any non-CPAU-owned emergency standby generation equipment that can be operated to supply power to facilities that are also designed to be supplied from CPAU’s system shall be controlled with suitable protective devices by the Applicant to prevent parallel operation with CPAU’s system in a fail-safe manner, such as the use of a double-throw switch to disconnect all conductors, except where there is a written agreement or service contract with CPAU permitting such parallel operation. Unprotected service entrance conductors within a building shall be installed in approved conduit and shall not exceed thirty (30) feet in length. INTERFERENCE WITH SERVICE: 1.GENERAL CPAU reserves the fight to refuse to serve new loads or to continue to supply existing loads of a size or character that may be detrimental to CPAU’s operation or to the service Of its Customers. Any Customer who operates or plans to operate any equipment such as, but not limited to pumps, welders, saw mill apparatus, furnaces, compressors or other equipment where the use of electricity is intermittent, causes intolerable voltage fluctuations, or otherwise cause intolerable service interference, must reasonably limit such interference or restrict the use of such equipment upon request by CPAU. The Customer is required either to provide and pay for whatever corrective measures are’ necessary to limit the interference to a level established by CPAU as reasonable, or avoid the use of such equipment, whether or not the equipment has previously caused interference. HARMFUL WAVEFORM CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-2 SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 Customers shall not operate equipment that superimposes a current of any frequency or waveform from CPAU’s system, or draws current from CPAU’s system of a harmful waveform, which causes interference with CPAU’s operations, or the service to other Customers, or inductive interference to communication facilities. Upon reasonable notification from CPAU, the Customer shall be required, at his/her sole expense, to correct any harmful waveform condition including, but not limited to: (A)Excess current drawn upon equipment start-up causing voltage sags adversely affecting CPAU or other CPAU Customer. (B)Current drawn with high harmonic currents causing transformer or conductor overheating. (c)Current drawn causing voltage distortion adversely affecting CPAU or other CPAU Customers. = (D)Harmonic current drawn in excess of 5% total harmonic distortion will require correction. (E)Harmonic current drawn which causes transformer overheating, even if root-mean-square (KMS) loading is acceptable, will require correction. CUSTOMER’S RESPONSIBILITY Any Customer causing service interference to others must diligently pursue and take timely corrective action after being given notice and a reasonable time to do so by CPAU. If the Customer does not take timely corrective action, or continues to operate the equipment causing the interference without restriction or limit, CPAU may, without liability, after giving five (5) days written notice to Customer, either install and activate control devices on its facilities that will temporarily prevent the detrimental operation or discontinue electric service until a suitable permanent solution is provided by the Customer and it is operational. MOTOR STARTING CURRENT LIMITATIONS CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 (A)The starting of motors shall be controlled by the Customer as necessary to avoid causing voltage fluctuations that will be detrimental to the operation of CPAU’s distribution or transmission system, or to the service of any of CPAU Customers. (B)If the starting current for a single motor exceeds the value listed in National Electric Code Table 430-151 or the resulting voltage disturbance causes or is expected to cause detrimental service to others, a suitable means must be employed, at the Customer’s expense, to limit voltage fluctuations to a tolerable level. C.PHASE BALANCING: Where three-wire single phase or polyphase service is supplied, the Load must be balanced as nearly as practicable between the two sides or several phases, respectively. In no case is the load on one side of a three-wire single-phase service to be greater than twice that on the other, or the Load on any one phase of a polyphase service greater than twice that of any other. D. POWER FACTOR CORRECTION: The Customer is required to provide, at its own expense, power factor correction equipment to improve average power factor to at least the level set forth in the applicable rate schedule with respect to avoiding a power factor penalty. E.SERVICE SWITCH AND METER TEST DEVICES: All service switches and similar devices, irrespective of voltage, required by law in connection with a service and meter installation on Customer’s Premises shall be furnished, installed and maintained by the Customer. A "service-disconnecting means", as defined by the National Electric Code section 230-70(a), must be installed adjacent to the meter(s) and on the exterior of the building except as allowed by this rule. Where meter transformers are furnished by CPAU as part of the meter installation, CPAU will also furnish the means of safe testing required by law; but CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-4 SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 where such transformers are not used and the said means for safe testing is required, the Customer will be expected to provide a type of service switch incorporating the same. Detailed information will be furnished by CPAU upon application. F.SPECIAL POWER SERVICE REQUIREMENTS: 1. GENERAL Where a customer desires voltage control within unusually close limits, CPAU may require that CPAU’s provision of such voltage control will be at the Customer’s own expense for any special or additional equipment required. 2.NONSTANDARD OR EXCESSWE CUSTOMER REQUIREMENTS (A)In order to prevent damage to CPAU’s equipment and impairment of its service, the Customers shall give CPAU notice before making any additions to his connected load so that CPAU, at its option, may provide such facilities as may be necessary for furnishing the increased service. (13)If a Customer’s load is of sufficient magnitude that it impairs the ability of the system to serve normal load in the opinion of the electrical Engineering Manager, the Customer may be required to impose peak loads during "off-peak" hours of CPAU’s electrical system, or take service from CPAU’s 60 kilovolt system, or both. G.SPECIAL FACILITIES: CPAU normally installs only those standard facilities which it deems are necessary to provide regular service in accordance with the rate schedules. Where the Applicant requests CPAU to install facilities and CPAU agrees to make such an installation, the additional costs thereof, as estimated by CPAU, shall be bome by the Applicant, including such continuing ownership costs as may be applicable. 2.Special facilities are: CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 (A)Facilities requested by an Applicant which are in addition to or in substitution for standard facilities which CPAU would normally provide for delivery of service at one point, through one meter, at one voltage class under its rate schedules; or (B)A pro rata portion of the facilities requested by an Applicant, for the sole use of such Applicant, which would not normally be allocated for such sole use. Unless otherwise provided by CPAU’s rate schedules, special facilities will be installed, owned and maintained by CPAU as an accommodation to the Applicant only if acceptable for operation by CPAU and the reliability of service to CPAU’s other Customers is not impaired. H.CUSTOMER SELECTION OF RATE AND SERVICE OPTIONS: 1.CUSTOMER RATE SELECTION PERIOD During the Customer Rate Selection Period, Customers may elect to be served under a different rate schedule in which they qualify. The Customer Rate Selection Period shall commence on May 20 and end on June 30, unless otherwise indicated on applicable rate schedules. The Customer Rate Selection Period shall be available each year to all Customers, unless a Customer has made other binding commitments to the rate schedule or contract they are presently served under. Rate schedules may indicate different commitment periods for Customers. 2.DEFAULT RATE SCHEDULE In the absence of a Customer electing to be served under a different rate schedule, the Customer will continue to be served under the applicable Default Rate Schedule. For Customers receiving Full Service, the Default Rate Schedule is_their existing rate schedule. For Direct Access Customers, the Default Rate Schedule, during the period between the end of the Customer Rate Selection Period and the date in which energy is delivered from the Energy Service Provider, will be the applicable CPAU market rate CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.. 6 SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 schedule. For Direct Access Customers returning to CPAU between the Direct Access Open Seasons, the Full Service Default Rate Schedule is the applicable CPAU market rate schedule or alternatively, the Customer may negotiate a contract with CPAU. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.-7 SPECIAL WATER UTILITY REGULATION RULE AND REGULATION 21 A. AUTOMATIC FIRE SERVICE: 1.PURPOSE An automatic fire service connection in 4-inch to 10-inch size will be furnished . only if adequate provisions are made to prevent the use of water for purposes other than fire extinguishing. APPLICATION AND AGREEMENT The Applicant will be required to sign an application for CPAU connection and agree to operate the fire service in accordance with these Rules and Regulations. The applicant, at the applicant’s expense, will be required to install an approved backflow protection assembly in accordance with Title 17 of the California Administrative Code and City standards. INSTALLATION CHARGES The Applicant will be required to make payment in advance of construction in accordance with CPAU’s applicable Connection Fee rate schedule. QUANTITATIVE CHARGES Water for fires: no charges will be made for water used to extinguish accidental fires. = (B)Other: Water used for any purpose other than extinguishing fires or testing or repairing fire extinguishing facilities, shall be paid for under Water Rate Schedule W-3. Unauthorized water used shall be subject to criminal prosecution as set froth in Water Rate Schedule W-3. VIOLATION OF AGREEMENT If water is used from a fire service in violation of the agreement or of these Regulations, CPAU may, at its option, levy a fine and discontinue and remove a CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.- 1 SPECIAL WATER UTILITY REGULATION RULE AND REGULATION 21 service in addition to charging for the water illegally used. OWNERSHIP OF CONNECTION The service connection and all associated equipment shall be the sole property of CPAU, and no part of the cost thereof will be refunded to the Applicant. PRESSURE AND SUPPLY CPAU assumes no responsibility for loss or damage because of lack of water or pressure and merely agrees to furnish such quantities and pressures as are available in its general distribution system. The service is subject to shutdowns and variations required by the operation of the water system and system demands. B. FIRE HYDRANTS: 1.USE OF AND DAMAGE OF FIRE HYDRANTS No person or persons, other than those designated and authorized by the proper authority, or by CPAU shall open any fire hydrant, attempt to draw water from it or in any manner damage or tamper with it. Any violation of this regulation will be prosecuted according to law. The following conditions must be met for a person(s) to draw water from a public fire hydrant: Prior to use at a construction site or for any other purpose, a person must first apply to CPAU for a Fire Hydrant Meter Permit. (2)A deposit of $500.00 on the Hydrant Meter, which is supplied by CPAU, will be required. (3)Monthly meter reading cards must be submitted bythe permittee to CPAU on a timely basis. (4) Charges to be billed and paid according to CPAU’s applicable CITY OF, PALO ALTO UTILITIES Issued by the City Council Effective.7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.- 2 SPECIAL WATER UTILITY REGULATION RULE AND REGULATION 21 water service rate schedule forFire Hydrants. (5)All water taken from the fire hydrant must be registered on the hydrant meter. It is illegal to draw water from a hydrant without the hydrant meter attached to record the volumes. (B)Fines and Penalties (1)Any person(s) drawing water from a public fire hydrant who does not meet either of the conditions described in Rule 21 B. 1. (A) (1) or Rule 21 B.1 (A) (5) shall be subject to criminal prosecution. (2)Failure to submit timely meter reading cards may result in forfeiture of all or part of the Customer deposit. (3)Failure to return the hydrant meter at the end of the appropriate period may result in additional charges of $50.00 per day. (4)Individual or companies who are found in violation of Rule 21 B.I.(A)(1) or Rule 21.B.l(A)(5) on more than one occasion in a three year period may be denied any use of fire hydrant water service. Such Customer may use reclaimed water. MOVING OF FIRE HYDRANTS When a fire hydrant has been installed in the location specified by the proper authority, CPAU has fulfilled its obligation. If a property owner or other party desires a change in the size, type or location of the hydrant, the owner shall bear all the cost of such changes, without refund. Any change in the location of a fire hydrant must be approved by the proper authority. The cost of relocation shall be as estimated by the Engineering Manager for water-gas-wastewater. This cost estimate must be paid to CPAU before relocation can begin. C. CONTROL VALVES The Customer shall install a suitable valve, as close to the meter location as practicable, the operation of which will control the entire water supply from the service. The CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIE$ Sheet No.- 3 SPECIAL WATER UTILITY REGULATION RULE AND REGULATION 21 operation by the Customer of the Utilities shut-off equipment at the meter is not D.CROSS CONNECTIONS 1.HEALTH REGULATIONS permitted. No physical connection between the potable water supply of the Utility and that of any other water supply source will be permitted except in compliance with the current regulations of the State Department of Public Health contained int Title 17 of the California Administrative Code, Chapter 5, Subchapter 1, Group 4, Sections 7583 through 7604 (hereafter "State Regulations"). 2.UTILITY REQUIREMENTS To comply with the regulation of the State Department of Health Services, the Utility will require installation of approved backflow protection devices at a location approved by the Utility pursuant to State Regulation by, and at the expense of the Customer, before service will be granted under any of the following conditions: (A)When an unapproved fresh water supply is already available from a well, spring, reservoir, or other source. If the Customer agrees to abandon this other supply and agrees to remove all pumps and piping necessary for the utilization of this supply, the installation of baekflow protective devices will not be required. Where salt water, or water otherwise polluted, is available for industrial or fire protection purposes, or where fresh water hydrants are or may be installed on piers or docks. (c) (D) Where the premises are now or may be engaged in processes which produce industrial wastes, or where the premises are or may be engaged in handling sewage or any other dangerous substances. Where the circumstances are such that there is special danger ofbackflow of sewage or other contaminated liquids through plumbing fixtures of water-using or treating equipment, or storage tanks and reservoirs. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.- 4 SPECIAL WATER UTILITY REGULATION RI JLE AND REGULATION 21 (E)Where an approved water supply line terminates at a pier head outlet which is used to supply vessels at piers or water fronts. These installations shall be located where they will prevent the return of any water from a vessel or any other source into the approved water supply line. PLUMBING CHANGES REQUIRED In special circumstances, where the customer is engaged in the handling of especially dangerous or corrosive liquids, or industrial or process water, the Utility may require the customer to eliminate certain plumbing or piping connections as an additional precaution and as a protection to the backflow preventive devices. In making plumbing connections beyond the backflow prevention device to the service, the customer shall be guided entirely by local or state plumbing ordinances and the state regulations, and not by the Utility. RELIEF VALVE REQUIRED As a protection to the customer’s plumbing system, asuitable pressure relief valve must be installed and maintained by the customer, and at the expense of the customer, when backflow prevention devices are used. The relief valve shall be installed between the baekflow device and the water heater. 5.BACKFLOW PROTECTION ON ADDITIONAL WATER SUPPLY LINES o Whenever backflow protection has been fotmd necessary on a water supply line entering a customer’s premises, then any and all water supply lines from the Utility’s mains entering such premises, buildings, or structures shall be protected bY an approved backflow device in conformance with state regulations, regardless of the use of the additional water supply lines.. PROTECTION AGAINST INTERSTREET MAIN FLOW (A)Two or more services supplying water from different street mains to the same building structure or premises through which an interstreet main flow may occur shall have an approved backflow device on each water service to be located adjacent to and on the private property side of the respective meter or service lines. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.- 5 SPECIAL WATER UTILITY REGULATION RULE AND REGULATION 21 7.INSPECTION OF BACKFLOW PROTECTIVE DEVICES (A)The double check valve or other approved backflow protection devices may be inspected and tested periodically for water tightness by the Utility. (B)In addition, the regulations of the State Department of Public Health requires that the owner of any premises on which check valves or other protective devices are installed shall have the device inspected by a certified backflow device tester for water tightness and reliability at least once every year. The devices shall be serviced annually, overhauled or replaced whenever they are found defective and all costs of repair and maintenance shall be borne by the customer. DISCONTINUANCE OF SERVICE FOR DEFECTIVE APPARATUS The service of water to any premises may be immediately discontinued by the Utility if any defect is found in the backflow device installations or other protective devices, or if it is found that dangerous unprotected cross connections exist. Service will not be restored until such defects are corrected by and at the expense of the customer. WATER METER VAULTS AND BOXES It shall be the responsibility of the customer to keep the top of the water meter, vault or box at ground level and clear of vegetation or any other obstruction. If after a 30 day notice from the Utility the customer has not caused the meter, vault, or box to be at ground level and clear of vegetation or obstructions, the Utility will perform the work at the customer expense. The customer will pay the actual cost to the Utility for the work, and such charge shall be added to the customer monthly bill. F.IRRIGATION METERS: Water Service for all new and rehabilitated industrial, commercial, and institutional landscaping and new and_ rehabilitated multi-family common areas requiring a permit or review by the City shall be provided by a separate irrigation meter. This meter shall be designated as an irrigation account and no other utilities will be billed on such accounts. The customer shall pay for the additional service according to rate schedule W-5. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.- 6 SPECIAL WATER UTILITY REGULATION RULE AND REGULATION 21 G.WASTE OF WATER In the event that waste of water shall be found, due to leaking, defective, or wasteful equipment, the City will notify the customer. If the customer does not take reasonable steps to curb this waste, the City shall have the right, after giving due notice, to discontinue service to the customer until the repairs have been completed on the customer’s equipment. {End} CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No.- 7 SPECIAL GAS UTILITY REGULATIONS RULE AND REGULATION 22 A.MAINTENANCE OF ANODE TEST BOXES: The Anode Test Box is necessary for testing the cathodic protection system which protects the gas system from the effects of corrosion. It is the responsibility of the Customer to keep this Box to ground level and visible if located on Customer’s property. See Rule 8 Access to Premises. If after a 30 day notice from CPAU the Customer has not caused the Anode Test Box to be at ground level and clear of vegetation or obstruction, CPAU may arrange for the work to be performed at the Customer’s expense. The Customer will pay the actual cost to CPAU for the work, aod such charge shall be added to the Customer’s monthly bill or billed directly to the Customer. B. MAINTENANCE OF GAS METER LOCATION: It is the responsibility of the Customer to keep the gas meter accessible for reading and maintenance by controlling the growth of shrubs and plants. Additionally the meter shall be kept clear of all debris, shields, and construction. See Rule 8 Access to Premises. "Accessible" means capable of being reached quickly and conveniently 24 hours a day for construction, operation, inspection, testing or reading, without requiring those seeking access to climb over or remove obstacles or obtain special permission or security clearances. If after a 30 day notice from CPAU the Customer has not caused the meter location to be clear of vegetation or obstruction, CPAU may arrange for the work to be performed at the Customer’s expense. The Customer will pay the actual cost to CPAU for the work, and such charge shall be added to the Customer’s monthly bill. C.GAS METER LOCATION: Each gas meter and service regulator shall be installed at a location that provides protection from damage due to vehicular traffic, corrosion and extreme temperature exposure to pool chemicals, dryer vents, lawn sprinklers, etc. must ¯be avoided. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 SPECIAL GAS UTILITY REGULATIONS RULE AND REGULATION 22 Each meter must be located in a ventilated area in accordance with the Utility Standards and Federal Department of Transportation regulations. Deviations from these standards and regulations must be approved by WGW Engineering prior to any work being performed. D.MAINTENANCE OF GAS SERVICE PIPES: Existing gas service piping that cannot be maintained due to existing site conditions will be rerouted to a new standard meter location. The cost ofrerouting the gas service pipe from the gas main in the street to the new meter location will be at CPAU expense. It is the Customer’s responsibility to reroute and test house piping to the new meter location. All costs associated with rerouting, building permits, inspection and testing of Customer (house) piping will be at the Customer’s expense. Maintenance shall include all repairs, modifications, or replacements of gas service piping between the gas main and service meter. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 A:HAULED LIQUID WASTE: The discharge of hauled liquid wastes is regulated by the Palo Alto Municipal Code 16.09.110. The following Rules and Regulations are to implement this provision. 1.PURPOSE To provide a means of ~reating certain waste prohibited from entering the sewer, CPAU operates a Hauled Liquid Waste Treatment Site at the Regional Water Quality Control Plant (RWQCP). Certain wastes may be hauled to this site for treatment and disposal. 2.WASTES ACCEPTABLE FOR TREATMENT (A) (13) (C) Hauled septic tank wastes Portable toilet pumpings Grease trap wastes 3.HOURS OF OPERATION Hours of operation for the Liquid Waste Hauler’s Treatment Site shall be as established by the Manager, Water Quaiity Control. 4.WASTE IDENT]:FICATION The hauler must provide a liter sample, taken in the presence of a waste treatment plant operator, of the contents of each tank to be discharged. The nature and source of the waste will be verified before the truck is permitted to unload. If laboratory analysis indicates that the material is not as represented (septic tank waste or toilet piping from a domestic source) the hauler’s permit may be revoked. 5.HAULING OPERATIONS (A)To discharge at the Regional Water Quality Control Plant, a hauler must: (1) Obtain a Tracker’s Discharge Permit from the Manager, Water CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES sheet No. - 1 SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 (2) Quality Control; " File with CPAU a certification of insurance and a hold harmless clause: (B) (3)Post a bond or cash deposit with CPAU’s appropriate division. The Trucker’s Discharge Permit shall be issued for twelve-month periods and is revocable for the violation of any of these Rules. The fee for Trucker’s Discharge Permits shall be as stated in CPAU Rate Schedule S- 4. (c)Insurance policies in force with limits of liability shall not be less than those specified below as follows: Coverage for Which Insurance is Afforded Limits of Liability_ Worker’s Compensation & Employer’s Liability Compensation Statutory Bodily Injury Liability except automobile including The following coverages: $1,000,000 each person $1,000,000 each occurrence Coverage for Which Insurance is Afforded Limits of LiabiliW Protective, Completed Operations, Board Form Contractual and Personal Injury Property Damage Liability except automobile including The following coverages: Protective, Completed Operations, Board Form Contractual and $1,000,000 each occurrence CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 Personal Injury Property Damage Liability Except automobile including the following coverages: Protective Completed Operations and Board Form Contractual $1,000,000 each occurrence Bodily Injury and Property Damage $1,000,000 each person Liability Automobile $1,000,000 each occurrence (E)The hauler must agree to save and hold harmless CPAU, its officers, agents, and employees from any liability of any nature whatsoever caused in whole or in part, by the negligence of the hauler, or his agents, or employees, arising out of such operation. BILLING Waste Haulers will be billed directly for grease, septic tank and portable toilet wastes. REFUSAL OF WASTES CPAU reserves the right to reject any load of hauled waste under the following conditions: (A) (c) (D) If the waste is not properly identified If there is not sufficient storage capacity at the plant for the load For reasons of public health or safety at the discretion of the Manager, WaterQuality Control Plant. If the load contains waste materials not authorized by these Regulations. B.MAINTENANCE OF THE ~WASTEWATER COLLECTION SYSTEM: 1.CPAU RESPONSIBILITY CPAU wil! be responsible for the maintenance of the sewer lateral from the clean- CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 out box located near the street curb to, and including, the sewer main and the remainder o~’ the system, except that the expense of sewer maintenance resulting from violation of the Municipal Code, or of these Regulations may be assigned to the user, or CPAU may refuse to perform such maintenance. CPAU’s responsibility is limited to mains located in easements. CUSTOMER RESPONSIBILITY The Customer will be responsible for maintenance of the on-site wastewater collection system in accordance with the Municipal Code, including: (A)Maintenance of the sewer lateral from, and including, the house to the point where the line connects to the clean-out box. Where the sewer main is in an easement and the Customer’s sewer lateral is directly connected thereto, the Customer is responsible for maintenance and stoppages of the sewer lateral from, and including the house to the point where the line connects to the sewer main. (B)Storm water, roof or yard drainage, basement, foundation or under- drainage is prohibited from discharge into the wastewater collection system, nor shall any plumbing or piping be connected or installed in such a manner as to make possible the future discharge of storm water or ground water into the wastewater collection system. (c)Maintenance to CPAU Standard of the on-site wastewater collection system in a water tight condition to prevent the infiltration of groundwater. Keeping the clean-out box at ground level and visible. If after a 30 day notice from CPAU the Custoiaier has not caused’the clean-out to be free of vegetation, CPAU will clear the vegetation at the Customer’s expense. The Customer will pay to CPAU the actual cost for the work and this charge will be added to the Customer’s next monthly bill. Grease traps, where installed, shall be cleaned out at least monthly or more frequently in a manner which will prevent the trapped grease from escaping into the wastewater collection system, and in such a manner that the trapped grease is removed from both the grease trap sewer lateral and CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 4 SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 the wastewater collection system as directed by CPAU. Where grease is found to accumulate in a sewer lateral that is not protected by a grease trap, a grease trap shall be installed by the Customer on the Customer’s property at his expense within ninety (90) days of notification by CPAU. ,The cost of removal of a main stoppage linked to a Customers failure to properly maintain grease traps will be billed to the Customer at CPAU’s cost. o (F)Interceptors used for purposes other than kitchen grease separation including, but not limited to, sediment traps from automobile wash racks and repair shops shall be maintained at least monthly or at a frequency which will prevent the trapped material from entering into the wastewater collection system. NOTIFICATION TO CPAU If a sewer stoppage occurs, the Customer shall notify CPAU. CPAU will then determine if the stoppage is in the portion of the system maintained by CPAU or the Customer. CPAU will clear stoppage from the property line Or clean out to the main. SAMPLING OF INDUSTRIAL DISCHARGES IN EXCESS OF 25,000 GALLONS PER DAY In order to properly apportion costs of operation and maintenance of the RWQCP to the large industrial or commercial users, it is essential to determine both the quantity and quality of wastewater produced by each user discharging 25,000 gallons per day or its equivalent. The following is adopted as a fair and equitable method of developing the necessary criteria: 1.Flow The quantity charge shall be based upon the metered water served to the industrial or commercial user being billed. If the facility has a cooling tower and the volume of water associated with a cooling tower can be CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 5 SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 identified, such amount may be applied to the annual metered water usage to arrive at a net estimate of flow. (B)In cases where the user has extensive landscape irrigation and summer monthly consumption exceeds the average monthly consumption of January, February, and March by more than 50 percent (50%), the average of the January, February, and March consumption shall be used for calculating wastewater discharge for the remaining months of the year. (c)If an outflow meter has been installed, such metered outflow will be used to determine flow in lieu of recorded water meter consumption. 2.Chemical Oxygen Demand, Suspended Solids, Ammonia Measurements of the concentration of these constituents shall be taken from 24-hour composite samples collected periodically for each industrial discharger discharging in excess of 25,000 gallons per day to the wastewater collection system. (1)The constituent concentrations found in these samples and previous samples shall be averaged to provide the basis for establishing the wastewater treatment charge to be levied to the discharger being sampled. (2)All samples shall be analyzed at the laboratory of the RWQCP. Treatment charges will be based upon the quantity and concentration found in the waste stream monitored. (B)If an establishment’s piping configuration, or other physical " considerations, render representative effluent sampling prohibitively complex or infeasible, then CPAU shall set the establishment’s level of sewage effluent constituents for billing purposes at the average effluent levels of industries in CPAU, or where feasible, at the average effluent constituent levels of similar establishments. (c)Sampling results are intended to provide an estimate of the quality of effluent discharge by the facility. Sampling results can vary CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 6 SPECIAL WASTEWATER UTILITY REGULATIONS RULE AND REGULATION 23 significantly depending on the facility processes operating on the day of sampling. ’ If the annual sampling results in combination with the flow data indicate a revised annual bill to the Customer, the amount of the increase or decrease shall not exceed 25 percent. The 25 percent limitation is in’dependent of any change in rates or charges to Rate Schedule S-2. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO- UTILITIES Sheet No. - 7 SPECIAL RECYCLING AND REFUSE UTILITY REGULATIONS RULE AND REGULATION 24 A. SPECIAL REFUSE: 1.GENERAL: mo CPAU shall authorize, permit, regulate and control the collection and disposal of all refuse within the City limits. B.Minimum collection service is once a week. Co Each owner or tenant must provide a metallic or plastic can for refuse with close fitting cover, cover handle and side bails of thirty-two-gallon or less gross capacity, not to exceed a weight of sixty pounds (60 lbs.). Other containers may be.approved by the Public Works Director or his/her designee. Do Containers for yard trimmings are provided by the resident and may include a 32 gallon garbage can, 30 gallon kraft paper bags, or boxes. Containers used for yard trimmings collection may not exceed 40 lbs. The exception is a CPAU approved rental cart, which may not exceed 200 lbs. Eo Cans or containers must not be packed so tight that content does not empty freely. Ho Owner or tenants must supply a safe and accessible pathway. Collectors do not enter buildings or garages to empty refuse containers. Customers must have all materials ready by 6:00 a.m. on collection day. The refuse charge funds collection, disposal, recycling, composting, hazardous waste, and street sweeping programs. To the extent a resident or commercial/industrial business applies and obtains a "Self-haul Permit", or’ in very rare cases it is determined by the Director of Public Works that the Customer does not generate any refuse, the portion of the refuse charge to cover solid waste collection services by CPAU’s contractor may be eliminated from the applicable refuse charge. CITY OF PALO ALTO UTILITIES Issued by the .City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 1 SPECIAL RECYCLING AND REFUSE UTILITY REGULATIONS RULE AND REGULATION 24 o RESIDENTIAL Residential refuse service is collected from the front yard, curb, or backyard. New-Customer Automatic service is one 32-gallon can, unless an alternate level is requested. The minimum Service is one 20-gallon mini can. Residents may choose from a variety of service levels such as mini-can, single can, multiple cans, or bins as well as the frequency of pick-ups. no Any occupied establishment or domestic dwelling which is receiving gas or electric service shall be charged at least a minimum charge for refuse services. An occupied domestic dwelling includes but is not limited to any home, apartment unit, cottage, flat, duplex unit, having kitchen, bath,and sleeping facilities. If unusual circumstances exist such that no refuse is generated at the premises, the Customer may apply for an exemption from this Rule to avoid being charged for refuse service in _accordance with Section A. 1 (I) of this Rule. COMMERCIAL AND INDUSTRIAL Ao Location of containers shall be determined by the Public Works Director or his/her designee. New-Customer Automatic service is two 32-gallon standard containers. Minimum service is one 32 gallon standard container. Businesses may choose from a variety of service levels, including frequency of pick-ups. B.COLLECTION AND OWNERSHIP OF RECYCLABLE MATERIALS 1.RECYCLING PROGRAM The City of Palo Alto shall provide a program for the collection of Recyclable materials from residential and commercial/industrial premises. Recyclable materials means those materials suitable and approved by the City for Recycling, including yard trimmings. Recyclable materials placed for curbside residential recycling collection shall become the property of the City’s authorized Collector at the time of placement at the curb or other designated location for the collection. The Collector shall be an authorized contractor under CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. SPECIAL RECYCLING AND REFUSE UTILITY REGULATIONS RULE AND REGULATION 24 (B) (c) PAMC Section 5.20.040 pursuant to written contract with the City, and shall have exclusive right to collect such Recyclable materials. (1)The City or its Collector shall provide acceptable recycling crates to residents. Such crates remain the property of the City and shall not be removed by residents vacating premises. If crates are removed, the outgoing resident may be charged a fee to replace the crates based on either a published fee or actual replacement cost at local hardware stores. For commercial/industrial Customers, Recyclable materials placed in Bins, Boxes, or Containers provided by the City or its authorized Collector, such materials become the property of the City or the Collector, as the case may be. The City or Collector shall have the exclusive right to collect Recyclable materials from such Bins, Boxes, or Containers. Commercial/industrial businesses can donate, sell, or pay to have recyclables collected byany recycler provided such materials are separated by material type. Glass, tin, aluminum, and plastics may be commingled. Additional requirements related to exclusions to the City or its Collector having the exclusive right to Recycling materials are provided in Ordinance Number 4451. Co SCAVENGING OF GARBAGE AND/OR RECYCLABLE MATERIALS IS PROHIBITED. No person shall scavenge in any City-operated Disposal, recycling center, or processing facility, including the City Landfill, nor disturb nor remove any material therein, without permission from the Director of Public Works. No person shall scavenge from or deposit solid waste or Recyclable materials in any solid waste or Recyclable bin, Box, or Container on the premises of a resident or business without the permission of the owner of the container. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3 SPECIAL STORM AND SURFACE WATER DRAINAGE UTILITY REGULATIONS RULE AND REGULATION 25 A=GENERAL: For the purpose of CPAU Rate Schedule D-1 and this Rule and Regulation, the following words and terms shall be defined as follows, unless the context in which they are used clearly indicates otherwise. The definitions of words and terms set forth in Titles 12 and 13 of the Palo Alto Municipal Code shall also apply herein to the extent that they are not inconsistent herewith: "Developed Parcel" shall mean any lot or parcel of land altered from its natural state by the construction, creation or addition of impervious area, except public. streets and highways. "Equivalent Residential Unit (ERI.J)" shall mean the basic unit for the computation of storm drainage fees. All single-family and duplex traits are considered 1 ERU based on data from the City of Palo Alto Public Works Department, and are considered to have an average impervious area of 2,500 square feet. All other properties will have ERUs computed to the nearest 1/10 ERU using the following formula: Number of ERU = Impervious Area (Sq. Ft.) 2,500 sq. Ft. No developed parcel shall have an ERU less than 1.0. "Impervious Area" shall mean any part of any developed parcel of land that has been modified by the action of persons to reduce the land’s natural ability to absorb and hold rainfall. This includes any hard surface area which either prevents or retards the entry of water into the soil mantle as it entered under natural conditions pre-existent to development, and/or a hard surface area which causes water to run offthe surface in greater quantities or at an increased rate of flow from the flow present under natural conditions pre-existent to development. By way of example, common impervious areas .include, but are not limited to roof tops, walkways, patios, driveways, parking lots or storage areas, concrete or asphalt paving, gravel roads, or any cleared, graded, paved, graveled, or CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Supersedes Sheet No. # dated CITY OF PALO ALTO UTILITIES Sheet No. -1 SPECIAL STORM AND SURFACE WATER DRAINAGE UTILITY REGULATIONS RULE AND REGULATION 25 compacted surface or packed earthen materials, or areas covered with structures or other surfaces which similarly impede the natural infiltration of surface water into the soil mantle. "Non-Single-Family Residential Property." shall include all developed parcels zoned or used for multi-family, commercial, industrial, retail, governmental, or other non-single family residential purposes and shall include all developed parcels in the City of Palo Alto not defined as single-family residential property herein. "Parcel" shall mean the smallest separately segregated lot, unit or plot of land having an identified owner, boundaries, and surface area which is documented for property tax purposes and given a tax lot number by the Santa Clara County Assessor. "Primary. CPAU Account" shall mean that CPAU account, as determined below, that will be assessed the storm drainage fee for a given developed parcel: (A)If there is only one CPAU account associated with a developed parcel, then that account is the Primary CPAU Account. If there is more than one CPAU account associated with a developed parcel, then the Primary CPAU account shall be the account listed below, in order of preference: (1) The CPAU account designated as the "house account", or, if none .. or more than one, then; - ._. _, (2)The CPAU account in the name of the owner of the parcel, or if none, then; (3)The CPAU account(s) in the name of the occupier(s) of the parcel. (4)If more than one account, then the CPAU account that includes the most CPAU services. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Supersedes Sheet No. # dated CITY OF PALO ALTO UTILITIES Sheet No. -2 SPECIAL STORM AND SURFACE WATER DRAINAGE UTILITY REGULATIONS RULE AND REGULATION 25 "Single-Family Residential Property" shall include all developed parcels with either one single-family detached housing unit or one two-unit attached dwelling structure commonly known as a "duplex." "Storm and Surface Water Control Facilities" shall mean all man-made structures or natural water course facility improvements, developments, properties or interest therein, made, constructed or acquired for the conveyance of storm or surface Water runoff for the purpose of improving the quality of, controlling, or protecting life or property from any storm, flood, or surplus waters. "Storm Drainage Facilities" shall mean the storm and surface water drainage systems comprised of storm water control facilities and any other natural features which store, control, treat and/or convey storm and surface water. Storm Drainage Facilitieh shall include all natural and man-made elements used to convey storm water from the first point of impact with the surface of the earth to the suitable receiving body of water or location internal or external to the boundaries of the City of Palo Alto. Such facilities include all pipes, appurtenant features, culverts, streets, curbs, gutters, pumping stations, channels, streams, ditches, wetlands, detention/retention basins, ponds, and other storm water conveyance and treatment facilities whether public or private. See CPAU Rule and Regulation No. 8 "Access to Premises." 10."Storm and Surface Water" shall mean water occurring on the surface of the land, from natural causes such as rainfall, whether falling or flowing onto the land in question.. 11."Undeveloped Parcel" shall mean any parcel which has not been altered from its natural state by the construction, creation, or addition of impervious area. B. STORM DRAINAGE FEES:~ There is hereby imposed on each and every developed parcel of land within the City of Palo Alto, and the owners and occupiers thereof, jointly and severally, a storm drainage fee. This fee is deemed reasonable and is necessary to pay for: (A)Improving the quality of storm and surface water; CITY. OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Supersedes Sheet No. # dated CITY OF PALO ALTO UTILITIES Sheet No. -3 SPECIAL STORM AND SURFACE WATER DRAINAGE UTILITY REGULATIONS RULE AND REGULATION 25 J (B)The operation, maintenance, improvement and replacement of the existing City storm drainage control facilities; ’and (C) The operation, maintenance, and replacement of future such facilities. All of the proceeds of these fees are deemed to be in payment for use of City storm drainage facilities by the developed parcel on, and with respect to, which the fee is imposed, and the owners and/or occupiers thereof. The storm drainage fee shall be payable monthly and shall be paid to CPAU, as billed by CPAU, for each and every developed parcel in the City by the owner or occupier responsible for the Primary CPAU account for other CPAU services for the subject parcel, unless otherwise agreed in writing by CPAU. In any event, the parcel owner or occupier shall be responsible to pay all unpaid or delinquent storm drainage fees. If a developed parcel does not have a CPAU account on the effective date of this Rule and Regulation, a new account shall be established for that parcel and billed to the owner as shown on the latest County Assessor’s property tax roils until such time as a Primary CPAU account is established for other CPAU services. When an undeveloped parcel is developed, a new account shall be established and billed to the owner of that parcel as shown on the latest property tax rolls of the Santa Clara County Assessor until such time as a Primary CPAU account is established for other CPAU services. BASIS FOR CALCULATION The storm drainage fee shall be based on the relative contribution of storm and surface water from a given developed parcel to City storm drainage facilities. The relative contribution of storm and surface water from each developed parcel shall be based on the amount of impervious area on that parcel and shall determine that parcel’s storm drainage fee. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Supersedes Sheet No. # dated CITY OF PALO ALTO UTILITIES Sheet No. -4 SPECIAL STORM AND SURFACE WATER DRAINAGE UTILITY REGULATIONS RULE AND REGULATION 25 (c)The extent of impervious area will be established to the nearest square foot by any of the following methods: (1)Computation of the impervious area using on-site measurements of the apparent outside boundaries of the impervious area in or on such developed parcels made by CPAU or on its behalf; or (2)Computation of the impervious area using the dimensions of the impervious area in or on the developed parcels which are set forth and contained in the records of the office of the County Assessor. (3)Estimation, calculation and computation of the impervious area using aerial photography or photogrammetry, or using the information and data from on-site measurements of like or similar property or features or as contained in City or County records. (4)Computation of the impervious area using information submitted by building permit Applicants on forms provided by the City, subject to review and correction by the City. CALCULATION OF MONTHLY FEE (A)Single-Family Residential: Monthly fees for single family residential parcels shall be equal to the rate for 1 ERU as set forth in CPAU Rate Schedule D-1. Non.Single-Family Residential: Monthly fees for non-single family residential parcels shall be computed in accordance with the following formula: Number ofERU’s x Rate per ERU as set forthin CPAU Rate Schedule D-1. 8.APPLICATION (A) Developed Parcels: Storm drainage fees shall apply to all developed CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Supersedes Sheet No. # dated CITY OF PALO ALTO UTILITIES Sheet No. -5 SPECI~ STORM AND SURFACE WATER DRAINAGE UTILITY REGULATIONS RULE AND REGULATION 25 parcels within the City, including those classified as non-profit or tax- exempt for ad valorem tax purposes. It shall apply to all government properties, to the full extent permitted by the constitutions of the United States and the State of California, including developed parcels of the City of Palo Alto, City-owned buildings and parks, but excluding public streets and highways. (B) (c) Undeveloped Parcels: Storm drainage fees shall not be levied against undeveloped parcels that have not been altered from their natural state as defined herein under "Impervious Areas." Proportional Reduction of Fees: Developed parcels that have their own maintained storm drainage facility or facilities that do not fully utilize City facilities or make no substantial or only a partial contribution of storm or surface water to the City’s storm drainage facilities shall be subject to the storm drainage fee only to the extent they do contribute storm and surface water to City storm drainage facilities or use storm and surface water treatment services of the City. Developed parcels that have a portion of their impervious area within City of Palo Alto shall be charged only for that portion of impervious area which is in the City of Palo Alto. The burden of establishing the reduced contribution to the City storm drainage facilities or the reduced utilization of City storm and surface water treatment services shall be on the parcel owner and to the satisfaction of the City’s Engineer under Administrative Review Procedures. ADMINISTRATIVE REVIEW Any person who disputes the amount of any storm drainage fee made against his developed paree! or who requests a deferred payment schedule therefore may request a revision or modification of such fee from the.City Engineer in the Public Works Department. The City Engineer may notify any owner or occupier in the event he considers the fee for any developed parcel to be inadequate or improper. The parcel owner shall make such request in writing pursuant to Rule and Regulation 11 Section F, expect that the City Engineer shall conduct the review in place of the Supervisor, Customer Service Center. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 Supersedes Sheet No. # dated CITY OF PALO ALTO UTILITIES Sheet No. -6 FIBER OPTICS RI JLE AND REGULATION 26 A. GENERAL: A fiber license agreement is required before the Customer may license fibers from CPAU. The Customer may request strands of dark fiber to interconnect two or more locations within the City limits of Pal. Alto. CPAU will use existing fibers and/or install custom fiber cables to complete the connection. All requests for dark fiber connections shall be made to the Utilities Telecommunications Manager. B.SERVICE CONNECTION PROCEDURES: The Customer requests a service connection by submitting an Advance Engineering Request Form along with the required Advance Engineering Request Fee. e CPAU completes an advance engineering study to determine the cost and time required to complete the proposed interconnection work and provides the customer with an invoice for the Interconnection Fee, less a credit for the Advance Engineering Fee already paid. e Following advance payment of the Interconnection Fee, CPAU completes the interconnection work, furnishes the Customer with a performance test report, and notifies the Customer that the fibers are available for use. (The Customer may elect not to have CPAU perform the interconnection work; however, in such a case, the Advance Engineering Fee is not refundable). _ o Unless the Customer notifies CPAU within 10 business days that one or more of the fibers do not meet the performance specifications, the fibers are deemed accepted by the Customer and an invoice is sent to the Customer for the license fee, drop cable management fee, and/or custom fiber cable management fee for the remainder of the calendar year starting with the llth business day after the performance test results are faxed to the Licensee. CPAU reserves the right to install additional fibers and associated infrastructure beyond that required for the licensee when responding to a CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PA£O’ALTO UTILITIES Sheet No. - 1 FIBER OPTICS RULE AND REGULATION 26 service connection request, provided CPAU bears all additional costs incurred during installation. C.INFRASTRUCTURE OWNERSHIP AND MAINTENANCE RESPONSIBILITY: All fiber optic infrastructure and related support infrastructure installed by CPAU will at all times remain the sole property of CPAU. The Customer may specify the location to which CPAU will extend fiber optic cables, with the limitation that CPAU will only extend fiber optic cables into buildings using existing conduit structures. CPAU will not construct new buildings entries. If new building entries are needed, the Customer will be responsible for constructing them. CPAU and the Customer will each assume responsibility for performing splice work and fiber maintenance activities within their respective properties. The Customer is prohibited from accessing any portion of the fiber backbone, with the exception of the ends of drop cables that are extended into the Customer’s premises. o The Customer shall exercise reasonable care to prevent CPAU infrastructure on the Customer’s premise from being damaged or destroyed. So No rent or other charge whatsoever shall be made by the customer against the City for placing or maintaining any necessary fiber optic infrastructure on the City’s premises. The Customer shall be responsible for securing any necessary easements on the Customer premises. D. BILLING AND CREDIT: The commercial Customer application and credit provisions in CPAU Rule and Regulation 4 and 6 apply to Fiber Optic Customers with exceptions noted herein and in the Fiber Optic Rate Schedule and license agreement. CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 2 FIBER OPTICS RULE AND REGULATION 26 o Dark fiber service requires an annual payment in accordance with the applicable Fiber Service Rate Schedule. An initial annual payment is due thirty days before service begins. Other services require payment within thirty days of service: SERVICE INTERRUPTION: CPAU will make reasonable efforts to deliver continuous and sufficient utility service to its Customers, but it will not guarantee continuity or sufficiency of supply. CPAU will not be liable for interruption shortage, Or insufficiency of utility supply or any loss or damage occasioned thereby. (END) CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 7-1-98 CITY OF PALO ALTO UTILITIES Sheet No. - 3