HomeMy WebLinkAbout2003-11-10 City CouncilCity of Palo Alto
City Manager’s Summary Report
TO:HONORABLE CITY COUNCIL
3
FROM:CITY MANAGER DEPARTMENT: UTILITIES
DATE:
SUBJECT:
NOVEMBER 10, 2003 CMR:463:03
RESOLUTION RATIFYING THE EXISTING NATURAL GAS
SERVICE AGREEMENT AND AUTHORIZING THE CITY
MANAGER TO AMEND EXHIBITS TO THE AGREEMENT AND
TO EXECUTE SUCCESSOR AGREEMENTS WITH PACIFIC GAS
AND ELECTRIC COMPANY
RECOMMENDATION
Staff recommends that Council adopt the proposed resolution ratifying the existing
Natural Gas Service Agreement (NGSA) executed by the City Manager and authorizing
him to amend exhibits to the NGSA as necessary and to execute successor contracts to
the NGSA with Pacific Gas and Electric Company (PG&E).
BACKGROUND
The City of Palo Alto (City) is a wholesale customer of PG&E. The City is responsible
for acquiring its own natural gas commodity supplies but is dependent on PG&E for the
transport of such gas. The City meets its natural gas load requirement by purchasing a
portion of its gas needs at the California/Oregon border and the balance at a point on
PG&E’s system within California called the PG&E Citygate. Gas purchased by the City
at the California/Oregon border is transported over PG&E’s backbone transmission
pipelines to the PG&E Citygate. All of the City’s gas is then transported over PG&E’s
local transmission system and delivered to the City’s receiving stations.
The City acquired its current backbone transmission capacity (transportation from the
California/Oregon border to the PG&E Citygate) through a settlement process. As a
result, the City Attorney’s Office advised the City Manager to sign PG&E’s Firm
Transmission and Storage Service Extension Agreement to accept the capacity allocation.
CMR:463:03 Page 1 of 3
The City Council ratified the contract on November 18, 2002 by means of a resolution
(CMR:429:02). Rates for backbone transmission service were established in the
settlement.
Local transmission services (transportation from the PG&E Citygate to the City’s
receiving station) are covered under a standard PG&E contract, the NGSA. Only PG&E
customers, such as the City, can hold such capacity, and there are no reasonable
alternative mechanisms to transport gas to the City. The City Manager traditionally
signed this non-negotiable agreement biannually. In 1998, the City Manager executed
the most recent of these agreements with an evergreen term. Either party may terminate
the agreement with notice. Several exhibits of an operational nature are included in the
NGSA and require updating from time to time. Rates applicable to the NGSA are set via
a California Public Utilities Commission (CPUC) proceeding and are published in
PG&E’s tariffs.
In 2002, the City Auditor finalized recommendations as a result of an audit of utility risk
management procedures. Recommendation #3 was to clearly define the roles,
responsibilities, and scope of authorities for each body in the risk management process
including the City Council.
DISCUSSION
The City Attorney’s office has advised that the NGSA should be ratified by the City
Council. Staff recommends that the City Council also authorize the City Manager to
execute amendments to the NGSA including updating the exhibits to this agreement
which are generally operational in nature and successor contracts to the NGSA. Some of
the reasons Council should authorize the City Manager to approve and sign NGSAs in the
future include:
1. The NGSA is standard, non-negotiable and CPUC-approved;
2. Rates under this contract are set through CPUC proceedings which the City
participates in when the City has an interest in and perceived ability to influence
the outcome;
3.Turn-around time for executing these contracts is often short; and
4.The City does not have a viable alternative to PG&E for moving gas from the
PG&E Citygate to the City’s distribution system.
RESOURCE IMPACT
Local transmission Services cost the City approximately $1 million per year; this cost is
included in the FY 03-04 gas budget.
POLICY IMPLICATIONS
This recommendation is consistent with the Council-approved Utilities Strategic Plan to
preserve a supply cost advantage compared to the market price.
CMR:463:03 Page 2 of 3
ENVIRONMENTAL REVIEW
Adoption of the proposed resolution does not constitute a project under the California
Environment Quality Act and, therefore, is exempt from the environment assessment
requirement.
ATTACHMENTS
A: Resolution
B: Natural Gas Services Agreement
PREPARED BY:
DEPARTMENT HEAD:
CITY MANAGER APPROVAL:
KARLA DAILEY
Resource lanner ,~ f
pirec/for o,f:. Utilities
EMILY HARRISON
Assistant City Manager
CMR:463:03 Page 3 of 3
**NOT YET APPROVED**
RESOLUTION NO.
RESOLUTION OF THE COUNCIL OF THE CITYOF PALO
ALTO RATIFYING THE EXECUTION OF THENATURAL
GAS SERVICES AGREEMENT WITH PACIFIC GAS AND
ELECTRIC COMPANY
WHEREAS, the City of Palo Alto ("City") is a municipal
corporation and a charter city, duly and validly created,
organized and existing under the constitution and laws of the
State of California; and
WHEREAS, the City has the full legal right, power and
authority to execute contracts for the purchase of electricity
and natural gas under California law, the Charter of the City of
Palo Alto and the Palo Alto Municipal Code; and
WHEREAS, the City currently receives natural gas
transmission [backbone and loca! transmission] and storage
services from Pacific Gas and Electric Company under the terms
of the Gas Accord, which has been modified by the Gas Accord II
settlement agreement; and
WHEREAS, the City Manager negotiated the Natural Gas
Services Agreement, which is intended to be automatically
renewable and which extends natural gas backbone and local
transmission and storage services provided by PG&E, on behalf of
the City Council.
NOW, THEREFORE, the Council of the City of Palo Alto
does hereby RESOLVE as follows:
SECTION i. The Council hereby ratifies the execution of
the Natural Gas Service Agreement by the City Manager most
recently in 1998, under which the City will continue to receive
its allocation of 6,197 MMBtu per day of natural gas capacity on
the PG&E Redwood Path pipeline under the terms of the Gas
Accord II settlement agreement, now proposed to be extended
until December 31, 2005.
//
ii
ii
//
031022 ¢I 0072323
1
**NOT YET APPROVED**
SECTION 2. The Council finds that the adoption of this
resolution does not constitute a project under the California
Environmental Quality Act and the CEQA Guidelines and,
therefore, no environment assessment is required.
INTRODUCED AND PASSED:
AYES:
NOES:
ABSENT:
ABSTENTIONS:
ATTEST:APPROVED:
City Clerk
APPROVED AS TO FORM:
Senior Asst. City Attorney
Mayor
City Manager
Director of Utilities
Director of Administrative
Services
03|022 c| 0072323
2
Distribution:Trans. ID No.:0501152
Customer (Original)A-Acct. No:FVVAr00181
T&C (Original)Acct. Rep:Frank L Arroyo
Division ,i~-o-~y)Rep Co. Phone:625-2238
Customer Billing (C0~) --~Rep Ext. Phone:(408) 725-2238
Corp. Acct. Rep.: Assigned Not
Corp. External Phone: (999) -
NATURAL GAS SERVICE AGREEMENT
GENERAL
1. This Natural Gas Service Agreement (NGSA), between Pacific Gas and Electric Company (PG&E), a California
Corporation, and CITY OF PALO ALTO (Customer),
a(n) California Municipal Corporation ,
(together referenced as "Parties"), is for gas service to (service address):
Various delivery points
Palo Alto, CA 94301
2. Customer agrees to pay for, and PG&E agrees to provide, natura! gas service in accordance with the provisions of
this NGSA, attached exhibits, and the applicable PG&E gas rote schedule(s) and rules, as approved by the
Public Utilities Commission of the State of California (CPUC).
3. This NGSA includes, where applicable, Exhibit A (Rates and Metering Information), Exhibit B (Contract Quantities),
Exhibit C (Scheduling and Operations Data), and Exhibit D (Customer Contact and Billing Addresses). All applicable
Exhibits are incorporated into and made a part of this NGSA. Exhibits may be amended from time to time in
accordance with this NGSA.
4. Attached to this NGSA are applicable PG&E gas rote schedule(s) and rules in effect at the time of NGSA execution.
Both Parties agree to abide by the provisions of the applicable rote schedule(s), as amended or their successor rote
schedules, as well as all applicable PG&E gas rules and gas tariff schedules, as may be amended from time to time.
5. This NGSA shall be effective upon the date that both Parties have executed the agreement, or on March 1. 1998
(specify effective date). The initial term of this NGSA, unless othenvise specified in Exhibit A, will be twelve (12)
months. After that, this NGSA will continue on a month to month basis unless terminated by Customer upon
thirty (30) days’ prior written notice to PG&E, or unless terminated by PG&E upon the approval of or an order
by the CPUC.
RATES AND CONTRACT QUANTITIES
6. The rote(s) to be charged for all natural gas service under this NGSA shall be specified in Exhibit A.
7. Contract quantities for all service under this NGSA are specified in Exibit B.
Page i of 5
Transp.ID # 0501152
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
NATURAL GAS SERVICE AGREEMENT (Continued)
MODIFICATION TO NGSA AND EXHIBITS
8. Revisions or modifications to this NGSA or its incorporated exibits must be agreed to, in writing, by
both Parties. Modification to an exhibit shall be effective when both Parties execute a Natural Gas Service
Agreement Modification Revised Exhibits Form (Form 79-757) subject to the conditions noted below.
9. Revisions to Exibit A: A substitution of one rate schedule(s) for other rate schedules may only be made
as specified in the provisions of the applicable rate schedule(s). Unless mutually agreed to by both Parties, a
change from one rate schedule to another rate schedule may only be made once every twelve (12) months.
Such revisions must be agreed to by both Parties thirty (30) days prior to the anniversary date of the effective
date of this NGSA. Revisions will then take effect on the anniversary date of this NGSA, and remain in effect
for a minimum of twelve (12) months. Negotiated provisions as specified in Exhibit A.2, if applicable, will be
revised as specified in that exhibit.
10. Revisions to Exhibit B: Customer or PG&E may request to adjust the contract quantities specified in Exhibit B
if there are changes in the equipment or operations at Customer’s premises. Such changes must be consented to
by the other party and a modified Exhibit B must be executed by both Parties no later than ten (10) business days
prior to the begixming of the month the revision(s) will take effect.
11. Revisions to Exhibit C or D: Customer may request revisions to Exhibit C or D at any time by providing a
written request. Such revisions will take effect as soon as they are received and processed by PG&E, unless
Customer requests a later date.
COMMUNICATIONS
12. Communications about routine operations such as start-ups, shut-downs, gas nominations and scheduling,
should be directed by Customer to PG&E using the addresses specified in Exhibit C.
13. Formal communications concerning this NGSA shall be in writing. Formal communications are those
for anything other than routine operations. Formal communications include, modifications to the Exhibit, rate
schedules, nominating marketers, and contract quantities. Formal communications are to be delivered to the
appropriate address, as specified in Exhibit D. Either Party must designate by xvritten notice any change of
address to which formal communications should be sent.
BILLING
14. PG&E will bill Customer at the applicable rote(s) set forth in Exhibit A for natural gas service during the
billing month.
15. PG&E will send Customer’s monthly billings to the address specified in Exhibit D.
Page 2 of 5
Transp.ID # 0501152
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
NATURAL GAS SERVICE AGREEMENT (Continued)
ASSIGNMENT
16. This NGSA shall not be assigned by either Party without the written consem of the other. Such
consent shall not be unreasonably withheld. Any successor to or transferee or assignee of the rights of a
Party, whether by voluntary transfer, judicial sale, foreclosure sale, or otherwise, shall be subject to all terms
and conditions of this NGSA to the same extent as though such successor, transferee or assignee were ~n
original Party. Assignment of this NGSA shall not release the assigning Party from any of the obligations
under this NGSA unless such a release is agreed to in writing by the other Party and the assignee.
Not~vithstanding the above, assignment of the entire interest and obligations of PG&E hereunder may be
made to a parent or Affiliate of PG&E, or to an entity succeeding to all or substantially all of the business
properties and assets of PG&E, following written notice to Customer and without obtaining the written
consent of the Customer.
EXCLUSIVE NATURE AND INTERPRETATIONS
17. With the exception of the CPUC-approved tariffand role changes as provided in paragraph 27, no
subsequent modification or amendment of this NGSA or of any of its exhibits shall be effective unless
in writing, and accompanied by a Natural Gas Service Agreement Modification Revised Exhibits
Form (Form No. 79-757) signed by a duly authorized representative of each Party.
18. This NGSA does not change the obligations, restrictions or rights contained in other agreements
between Parties unless expressly indicated in this NGSA. Customer and PG&E agree that all
understandings between them regarding the gas service to be provided under this NGSA are set forth
or referenced in this NGSA. No agreements, representations, memoranda, or any other form of
communication, written or oral, exchanged before the signing of this NGSA (other than PG&E’s tariffs),
shall be grounds for altering or interpreting the terms of this NGSA.
19. The waiver by either Party of any breach of any term, covenant or condition contained in this NGSA,
or any default in the performance of any obligations under this NGSA, shall not be deemed to be a waiver
of any other breach or default of the same or any other term, covenant, condition or obligation. Nor shall
any waiver of any incident of breach or default constitute a continuing waiver of the same.
20. This NGSA shall be interpreted under the laws of the State of California, excluding any choice
of law rules which may direct the application of the laws of another jurisdiction. This NGSA and
the obligations of the Parties are subject to all valid laws, orders, rules, and regulations of the
authorities having jurisdiction over this NGSA (or the successors of those authorities).
21. Complaints against PG&E arising out of this NGSA may be asserted or filed and shall be enforced
only under the provisions of Section 1702 of the Public Utilities Code. Each Party shall be entitled to
recover reasonable costs, including attorney fees, to collect payment for services previously performed
or other amounts due and owing under this NGSA.
22. Nothing in this NGSA shall be construed to create any duty to, any standard of care with reference
to, or any liability to any third party.
Page 3 of 5
Transp.ID # 0501152
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
NATURAL GAS SERVICE AGREEMENT (Continued)
23. PG&E shall have no liability to Customer, or may assignee thereof, for any curtailments, interruptions of
service or losses of gas pursuant to this Agreement, PG&E’s gas Rules or rate schedules. The liability of
PG&E for any curtailments, interruptions of service, or gas losses otherwise arising out of mistakes, omissions,
interruptions, delays, errors or defects in any of the gas services or facilities used or furnished by PG&E shall
in no event exceed an amount equal to any applicable pro rata charges for the period during which the s.ervices
or facilities are affected by the mistake, omission, interruption, loss, delay, error or defect; provided, however,
that the provisions hereof shall not apply to damages caused by ~villful misconduct, fraudulent conduct or
violations of law by PG&E.
24. NoParty under this Agreement shall be assessed any special, punitive, consequential, incidental, or indirect
damages, whether in contract or tort (including negligence) or otherwise, for any breach, actions, or inactions
arising from, out of, or related to this Agreement.
FORCE MAJEURE
25. In the event either Customer or PG&E is rendered unable, wholly or in part, by force majeure to carry out
its obhgations under this Agreement, it is agreed that, upon such Party giving notice as soon as practicable in
writing (or as soon as practicable by facsimile or telephone if confirmed in writing within seventy-two (72) hours)
but in no event delivered to the other Party later than five (5) business days after the onset of the force majeure
condition, then the obligations of the Party giving such notice, so far as they are affected by such force majeure,
shall be suspended during the continuance of the effects of the cause; provided that such notice shall give the
other Party reasonably full particulars of such force majeure, including the circumstances preventing or delaying
performance hereunder; and provided that i.he Party subject to such force majeure shall remedy it so far as
possible with all reasonable dispatch; and further provided that no force majeure shall be cause for delay in the
payment for services rendered prior to its inception.
The term "force majeure," as employed herein, shall mean acts of Gods, strikes, lockouts or other industrial
disturbances, acts of the public enemy, wars, blockage, insurrection, riots, epidemics, landslides, lighming,
earthquakes, fires, storms, floods, high water, washouts, civil disturbances, explosions, breakage or accident to
machinery or lines of pipe, the necessity for making non-routine repairs or non-routine alteration to machinery or
lines of pipe, freezing lines of pipe, acts of civil or military authority (including, but not limited to, courts, or
administrative or regulatory agencies), and any other cause, whether of the kind herein enumerated or otherwise,
not within the control of the Party claiming suspension and which, by the exercise of due diligence, that Party is
unable to prevent or overcome.
25.a. It is understood and agreed that the settlement of strikes or lockouts shall be entirely within the
discretion of the Party having the difficulty, and the above requirement that any force majeure shall be
remedied with all reasonable dispatch shall not require the settlement of strikes or lockouts when such
course is inadvisable in the discretion of the Party having the difficulty.
25.b. It is understood and agreed that "force majeure" as used herein shall no.__!t include scheduled and
routine maintenance and repairs of machinery and lines of pipe, operational flow orders, emergency
flow orders, or diversion orders in accordance with PG&E Gas Rule 14, financial considerations, or
the unavailability of upstream or downstream transportation or supply.
Page 4 of 5
Transp.ID # 0501152
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
REGULATORY
NATURAL GAS SERVICE AGREEMENT (Continued)
26. Customer shall not take any action which may subject PG&E’s gas operations to the jurisdiction of the
Federal Energy Regulatory Commission (FERC) or any successor to the FERC. Any such action is
cause for the immediate termination of this NGSA.
27. This NGSA shall at times be subject to any changes or modifications the CPUC may direct
from time to time in the exercise of its jurisdiction. Such changes or modifications may be to this
NGSA or to PG&E’s applicable tariff schedules and rules.
)greed to By: (~I
~or Customer~: ~1
\ J.~uhe Fleming
~’(Name of Authorized Representative)
(Please print or type)
City Manager
(Title)
January 27, 1998
(Signature Date)
(For PG&E)
J (Signature) /~/~ "
Mark Randazzo
(Name of Authorized Representative)
(please print or type)
Accounts Services Director
/ (T e)
/ (Signature Date)
Attachments: Exhibits:[X]Exhibit A.WSL - Rates and Term
IX]Exhibit B - Contract and Quantities
[X]Exhibit C - Scheduling and Operations Data
[X]Exhibit D - Customer Contact and Billing Address
Rate Schedule(s):G-WSL G-BAL
Gas Rules l, 2, 9, 10, 11, 12, 14, 17, 21
Page 5 of 5
Transp.ID # 0501152
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
EXHIBIT A.WSL - RATES AND TERM
WHOLESALE/RESALE NATURAL GAS SERVICE
CUSTOMER NAME: CITY OF PALO ALTO TRANS. IDNo:0501152
Customer elects to receive service under the provisions of rate Schedule G-WSL (Gas Transportation
Service to Wholesale/Resale Customers). This Exhibit A.WSL takes effect on03/01/1998 (date),
and continues on a month to month basis until terminated or revised by Customer or by PG&E (as specified in
the NGSA), upon thirty (30) days written notice. If this Exibit A.WSL has been revised, indicate the effective
date of the latest revision here: (revision effective date).
OUAN’ITrI~:
A. CORE LOAD:
Column A on Exibit B must be completed to indicate the core monthly quantities.
Indicate the percentage of gas load that will be considered core 90 %
Please check the applicable Schedule
[ ]Core Subscription Service - (G-CSP gas procurement with transportation service under
Schedule G-WSL).
no
Transportation-Only Service - (Transportation service under Schedule G-WSL, with
non-utility-procurement).
NONCORE LOAD:
Colunm B on Exhibit B must be completed to indicate the noncore monthly quantities.
Indicate the percentage of gas load that will be considered noncore 10 %
Please check the applicable Schedule(s):
[]Core Subscription Service - (G-CSP gas procurement with transportation service under
Schedule G-WSL).
Transportation-Only Service - (Transportation service under Schedule G-WSL, with
non-utility-procurement).
Exhibit A.WSL
Page 1 of 2
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
EXI-HBIT A.WSL - RATES AND TERM
WHOLESALE/RESALE NATURAL GAS. SERVICE
CUSTOMER NAME: CITY OF PALO ALTO
GAS METER INFORMATION:
UsaEe Account No.
VVVN430001
VVVN430001
VVVN430001
VVVN430001
VVVN430001
VVVN430001
VVVN430001
WHOLESALE
Meter Number
002196A
27628865
39280934
3986047X
40595192
44264528
45572329
WSL
TRANS. ID No:0501152
SPECIAL BILLING INSTRUCTIONS:
Exhibit A.WSL
Page 2 of 2
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
EXHIBIT B - CONTRACT QUANTITIES
CUSTOMER NAME: CITY OF PALO ALTO
This Exhibit B was modified on
I.
TRANS ID. No.: 0501152
MAXIMUM DAILY QUANTITY
Customer must designate a Maximum Daily Quantity (MDQ) for all service provided under the NGSA. The
MDQ is based on the historical maximum single day use at the facilities served under the NGSA. The MDQ
may be adjusted if Customer can document to the satisfaction of PG&E that changes in Customer’s operations
warrant a modified MDQ. The MDQ, plus in-kind shrinkage, will be the maximum amount of gas that
Customer will be allowed to deliver into PG&E’s service territory on any day.
MAXIMUM DAILY QUAN’HTY (MDQ): 30000 decatherms.
MONTHLY AND ANNUAL CONTRACT QUANTITIES
For purposes of this Exhibit, quantifies (specified in decatherms) are identified by columns as follows:
Column A.Total Monthly Quantity (TMQ) of Core Service
Column B.Total Monthly Quantity (TMQ) of Noncore Service
Colunm C.Number of Operating Days in the Month
All quantities represent volumes delivered to Customer’s premises, and do not include in-kind
shrinkage on the PG&E system.
The Average Daily Quantity (ADQ) is equal to the TMQ in Column A plus the TMQ in Column B, divided
by the Operating Days in Column C.
Column A Column B Column C
Core Noncore Operating Days
(Dth____)(Dth)In Months
January:484,546 53,838 31
February:455,400 50,600 28
March:340,639 37,849 31
April:275,972 30,664 30
May:224,968 24,996 31
June:176,695 19,633 30
July:167,587 18,621 31
August:164,855 18,317 31
September:164,855 18,317 30
October:236,808 26,312 31
November:307,850 34,206 30
December:476,348 52,928 31
Exhibit B
Page 1 of 1
Form No. 76-756
Dated March 1, 1998
Tariffs and Compliance
.-.EXHIBIT C - SCHEDULING AND OPERATIONS DATA
CUSTOMER NAME:CITY OF PALO ALTO Trans. ID. No. 0501152
I. NOMINATING MARKETER:
Customer shall list the Nominating Marketer(s) having the authority to nominate gas deliveries to PG&E. The
following information, including the addition of, or removal of a Nominating Marketer from Exhibit C, may be
changed upon receipt by PG&E of written notification from Customer. All listed Nominating Marketers will be
allowed access to gas metering data and Exhibit B Contract quantities, unless otherwise indicated by Customer
by checking the appropriate boxes below each Nominating Marketer. Customer can also designate one
Nominating Marketer as having the authority to trade monthly imbalances on Customer’s behalf by checking
the appropriate box below.
This Exhibit C is effective on 3/1/1998
NGSA is terminated.
(date), and will remain in effect until it is revised or the
NOMINATING MARKETER : 1
CO. NAME: Suncor Inc
ADDRESS: 112 4th Avenue
CITY/STATE/COUNTRY: Calgary, Alberta
CONTACT:Brace Webster
ALTERNATE NO.:(403) 269-8132
MARKETER ID NUMBER:0924
ZIP CODE: I2P _2V5
PHONENO: (~03) 269-8613
TELECOPIER NO.: (403) 269-6201
Customer can check one or more of the boxes below to indicate the appropriate authorization:
[ ]This Nominating Marketer can no_At have access to gas metering data.
[ ]This Nominating Marketer can no_._tt view the contract quantities indicated in Exhibit B.
IX]Customer authorizes this Nominating Marketer to execute monthly imbalance trades, as specified in
Schedule G-BAL. 2
II. CUSTOMER OPERATING CONTACT
Nominating Customer ID Number:
CO. NAME: City 0f Palo Alto
ADDRESS: Resource Planning, 250 Hamilton 8th Floor
CITY/STATE/ZIP CODE: Pa!o Alto, CA 94301
CONTACT: Raveen Maan PHONE NO:
ALTERNATIVE NO.: (650) 329-2494 TELECOPIER NO:
(if Customer makes gas supply nominations)
(650) 329-2343
(650) 26-1507
l]I.PG&E GAS SCHEDULING &_OPERATIONS:
COMPANY NAME: PACIFIC GAS and ELECTRIC COMPANY
ADDRESS/CITY/STATE: 77 Beale St Room 1645 San Francisco, CA 94106
CONTACT: Transportation Coordinator PHONE NO.: (415) 973-2424
ALTERNATE NO.: (415) 973-3216 (24 hr.)TELECOPIER NO.: (415) 973-0649
I Communications by a Nominating Marketer shall be binding on Customer and shall prevail if there is any conflict
with information regarding nominations or receipt of gas from Customer. The Nominating Marketer shall act on
behalf of Customer for as long as the Nominating Marketer is listed in the Exhibit C of Customer’s NGSA, unless
a formal written notification is received by PG&E that such arrangement no longer exists.
2 Only one Nominating Marketer can be granted authority to trade imbalances. Customer remains responsible for any
and all charges associated with Schedule G-BAL and Rule 14. If Customer has executed a Noncore Balancing
Aggregation Agreement, Exhibit A, Form 79-869 with a Nominating Marketer or another third-party service provider,
authorization to trade imbalances is not neccessary, and box should be left blank.
Exhibit C - Page 1 of 1
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
Customer Name:
EXHIBIT D - CUSTOMER CONTACT AND BILLING ADDRESSES
CITY OF PALO ALTO Trans. ID: No. 0501152
Directions: Check the type of communication for each of the following addresses where applicable. Any of
the names or addresses listed below may be changed upon receipt of written notification from Customer. Customer
can only designate one Formal Communications Address.
This Exhibit D is effective on 3/1/1998 (date), and will remain in effect until it is revised or the
NGSA is terminated. If this Exhibit D has been revised, indicate’the effective date of the latest revision
here: (revision effective date).
IX]FORMAL COMMUNICATIONS
[X]EFO/OFO NOTIFICATION
[X] BILLING ADDRESS
IX] IMBALANCE STATEMENT ADDRESS
CO. NAME:
ADDRESS:
CITY/STATE/COUNTRY:
CONTACT:
ALTERNATE NO:
City, of Palo Alto
Resource Plannin$, 250 Hamilton, 8th Floor
Palo Alto, CA USA
Raveen Maan
(650) 329-2494
ZIP CODE: 94301 -
PHONE NO: (650) 329-2343
TELECOPIERNO: (650) 326-1507
[X] BILLING ADDRESS
CO. NAME:
ADDRESS:
CITY/STATE/COUNTRY:
CONTACT:
ALTERNATE NO:
EFO/OFO NOTIFICATIONS [X]IMBALANCE STATEMENT ADDRESS
Suncor Inc
¯ 112 4th Avenue
Calgary, Alberta, CA USA
Bruce Webster
(403) 269-8132
ZIP CODE: I2P - 2V5
PHONE NO: (403) 269-8613
TELECOP!ER NO: (403) 269-6201
PG&E FORMAL COMMUNICATIONS:
TO PG&E:
DIVISION:
ADDRESS:
C!TY/STATE/ZIP CODE:
ATYENTION:
Pacific Gas and Electric Company
DE ANZA
10900 NORTH BLANEY
CUPERTINO, CA 95014
Exhibit D
Page 1 of 1
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
Pacific Gas and
Electric Company
10900 North Blaney Avenue
Cupertino. CA 95014
1.800.743.5000
September 10, 2001
Raveen Maan
Utilities Department
City of Palo Alto
P. O. Box 10250
Palo Alto, California 94303
Dear Raveen:
Enclosed is your Natural Gas Service Agreement revised Exhibit C and D. We have
removed TXU and added Enron North America as the Nominating Marketer. Please call me
at (408) 725-2238 if you have questions or ifI can be of any assistance.
Sincerely,
FRANK J. ARROYO
Major Accoum Representative
Enclosure
Distribution:
Customer (Original)
T&C (Original)
Division (Copy)
Customer Billing (Copy)
GAS CONTRACTS
JUN ?., 5 2001
Trans. Id. No.:
A-Acct. No.:
Acct. Rep.:
Rep. Co. Phone:
Rep External Phone:
Corp. Acct Rep Name:
Corp. Acct Rep Phone:
0501152
FVVA600181
Frank J. Arroyo
625-2238
(408) 725-2238
NATURAL GAS SERVICE AGREEMENT MODIFICATION
REVISED EXHIBITS
The Exhibits to the Agreement dated 01/28/1998 , between Pacific Gas and Electric Company (PG&E),
a California Corporation, and CITY OF PALO ALTO (Customer), have been revised.
The attached Exhibit (s) replace and supersede the Exhibits listed below, and are to be effective 07/01/2001
(effective date).
Exhibit A.1 (Rates and Metering Information)
Exhibit A.2 (Negotiated Terms and Conditions)
Exhibit A.WSL (Rates and Metering Information)
Exhibit A.NGV4 (Rates and Metering Information)
Exhibit B
Exhibit C
Exhibit D
(Contract Quantities)
(Scheduling and Operations Data) Removed TXU added Enron North America
Corp(Customer Contact and Billing Addresses) ,,,,,,
by (For Customer)(for Pacific Gas and Electric Company)
(Signature)(Signature)
(Name)
(Title)
(Date)
(Title)
(Date)
Form No. 7%757
Dated March 1, 1998
Tariffs and Compliance
EXHIBIT C - SCHEDULING AND OPERA~ONS DATA
CUSTOMER NAME:CITY OF PALO ALTO Trans. ID. No. 050J152
I. NOMINATING MARKETER:
Customer shall list the Nominating Marketer(s) having the authority to nominate gas deliveries to PG&E. The
following information, including the addition of, or removal of a Nominating Marketer from Exhibit C, may be
changed upon receipt by PG&E of written notification from Customer. All listed Nominating Marketers will be
allowed access to gas metering data and Exhibit B Contract quantities, unless otherwise indicated by Customer
by checking the appropriate boxes below each Nominating Marketer. Customer can also designate one
Nominating Marketer as having the authority to trade monthly imbalances on Customer’s behalf by checking
the appropriate box below.
This Exhibit C is effective on 07/01/2001
NGSA is terminated.
NOMINATING MARKETER : ~
(date), and will remain in effect until it is revised or the
MARKETER ID NUMBER:
CO. NAME: Enron North America Corporation
ADDRESS: 1400 Smith Street
CITY/STATE/COUNTRY: Houston, TX
CONTACT:Suzanne Christiansen
ALTERNATE NO.:(713) 853-7504
0202
ZIP CODE: 77002 _
PHONE NO: .(713 ) 853-4732
TELECOPIER NO.: (713) 646-2626
Customer can check one or more of the boxes below to indicate the appropriate authorization:
[ ]This Nominating Marketer can no....!t have access to gas metering data.
[ ]This Nominating Marketer can no....!t view the contract quantities indicated in Exhibit B.
IX]Customer authorizes this Nominating Marketer to execute monthly imbalance trades, as specified in
Schedule G-BAL. 2
NOMINATING MARKETER
CO. NAME: City of Palo Alto
ADDRESS: 250 Hamilton, 8th Floor
CITY/STATE/COUNTRY: Palo Alto. CA
CONTACT:Raveen Maan
MARKETER ID NUMBER:
ZIP CODE: 94301
PHONE NO:
TELEC OPIER NO.:
0758
ALTERNATE NO.:
Customer can check one or more of the boxes below to indicate the appropriate authorization:
[]This Nominating Marketer can no..._!t have access to gas metering data.
[]This Nominating Marketer can no_.!t view the contract quantities indicated in Exhibit B.
[]Customer authorizes this Nominating Marketer to execute monthly imbalance trades, as specified in
Schedule G-BAL. 2
1 Communications by a Nominating Marketer shall be binding on Customer and shall prevail if there is any conflict
with information regarding nominations or receipt of gas from Customer. The Nominating Marketer shall act on
behalf of Customer for as long as the Nominating Marketer is listed in the Exhibit C of Customer’s NGSA, unless
a formal written notification is received by PG&E that such arrangement no longer exists.
2 Only one Nominating Marketer can be granted authority to Wade imbalances. Customer remains responsible for any
and all charges associated with Schedule G-BAL and Rule 14. If Customer has executed a Noncore Balancing
Aggregation Agreement, Exhibit A, Form 79-869 with a Nominating Marketer or another third-party service provider,
authorization to trade imbalances is not necessary, and box should be left blank.
Exhibit C - Page 1 of 2
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
CUSTOME~ NAMe:
NOMINATING MARKETER :
CO. NAME:
ADDRESS:
CITY/STATE/COUNTRY:
CONTACT:
ALTERNATE NO.:
EXHIBIT C - SCHEDUL~G AND OPERATIONS DATA
CITY OF PALO ALTO Trans. ID. No. 050i 152
1 MARKETER ID NUMBER:0
ZIP CODE:
PHONE NO:
TELECOPIER NO.:
Customer can check one or more of the boxes below to indicate the appropriate authorization:
[ ]This Nominating Marketer can no._.~t have access to gas metering data.
[ ]This Nominating Marketer can no_.~t view the contract quantities indicated in Exhibit B.
[ ]Customer authorizes this Nominating Marketer to execute monthly imbalance trades, as specified in
Schedule G-BAL. 2
II.CUSTOMER OPERATING CONTACT
III.
Nominating Customer ID Number:
CO. NAME: Ci .t-y of Palo Alto
ADDRESS: Resource Planning, 250 Hamilton 8th Floor
CITY/STATE/ZIP CODE:Palo Alto, CA 94301
CONTACT: Raveen Maan PHONE NO:
ALTERNATIVE NO.: (650) 329-2494 TELECOPIER NO:
(if Customer makes gas supply nominations)
(650) 329-2343
(650) 326-1507
PG&E GAS SCHEDULING &.OPERATIONS:
COMPANY NAME: PACIFIC GAS and ELECTRIC COMPANY
ADDRESS/CITY/STATE: 77 Beale St. Room 1645 San Francisco, CA 94106
CONTACT: Transportation Coordinator PHONE NO.: (415) 973-2424
ALTERNATE NO.: (415) 973-3216 (24 hr.)TELECOPIER NO.: (415) 973-0649
1 Communications by a Nominating Marketer shall be binding on Customer and shall prevail if there is any conflict
with information regarding nominations or receipt of gas from Customer. The Nominating Marketer shall act on
behalf of Customer for as long as the Nominating Marketer is listed in the Exhibit C of Customer’s NGSA, unless
a formal written notification is received by PG&E that such arrangement no longer exists.
2 Only one Nominating Marketer can be granted authority to trade imbalances. Customer remains responsible for any
and all charges associated with Schedule G-BAL and Rule 14. If Customer has executed a Noncore Balancing
Aggregation Agreement, Exhibit A, Form 79-869 with a Nominating Marketer or another third-party service provider,
authorization to trade imbalances is not necessary, and box should be left blank.
Exhibit C - Page 2 of 2
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
Customer Name:
EXHIBIT D - CUSTOMER CONTACT AND BILLING ADDRESSES
CITY OF PALO ALTO Trans. ID: No. 0501152
Directions: Check the type of communication for each of the following addresses where applicable. Any of
the names or addresses listed below may be changed upon receipt of written notification from Customer. Customer
can only designate one Formal Communications Address.
This Exhibit D is effective on 3/1/1998 (date), and will remain in effect until it is revised or the
NGSA is terminated. If this Exhibit D has been revised, indicate the effective date of the latest revision
here: 7/1/2001 (revision effective date).
Ix]
IX]
CO. NAME:
ADDRESS:
CITY/STATE/COUNTRY:
CONTACT:
ALTERNATE NO:
FORMAL COMMUNICATIONS [X] BILLING ADDRESS
EFO/OFO NOTIFICATION [X] IMBALANCE STATEMENT ADDRESS
City of Palo Alto
Resource Planning, 250 Hamilton, 8th Floor
Palo Alt% CA USA ZIP CODE: 94301 -
Raveen Maan PHONE NO: (650) 329-2343
(650) 329-2494 TELECOPIERNO: (650) 326-1507
[X] BILLING ADDRESS
[X] EFO/OFO NOTIFICATIONS
CO. NAME:ENRON NORTH AMERICA
ADDRESS:1400 Smith Street
CITY/STATE/COUNTRY:Houson, TX USA
CONTACT:Suzanne Christiansen
ALTERNATE NO:(713) 853-7504
[X]IMBALANCE STATEMENT ADDRESS
ZIP CODE: 77002 -
PHONENO: (713) 853-4732
TELECOPIERNO: (713) 646-2626
PG&E FORMAL COMMUNICATIONS:
TO PG&E:
DIVISION:
ADDRESS:
CITY/STATEJZIP CODE:
ATTENTION:
Pacific Gas and Electric Company
DE ANZA
10900 NORTH BLANEY
CUPERTINO, CA 95014
Exhibit D
Page 1 of 1
Form No. 79-756
Dated March 1, 1998
Tariffs and Compliance
06/25/01 09:20 F,~ 650 326 1507 RESOURCE ~L~AGE~NT 002
Authorizaflonto RevlseExhibR"C"ofPG&E’sNatum[Gas Service Agreement
250 Hamilton Avenue, 3rd FI.
City of Pale Alto Pale Alto.: CA 94301
(Cus~merName)*(ServiceAddressand C~)"
Transportation ID Number" :_ 0501152
Please ADD the following NOMINATING MARKL=TER to Exhibit C: (NOTE: If you are replacing or removing a Nominating
Marketer, please use the space below to indicate the marketer you wish to remove from your NGSA)
MARKETER COMPANY NAME:
ADDRESS:
CITY/STATE/COUNTRY:.... ¯
CONTACT:. Suzanne
ALTERNATE NO.: 7~) 85____.~3.
Enron North America Corp.MAP3QETERIDNUMBER:
1400 Smith Street
Houston, TX zip CODE:.
Christi ansen PHONE NO.:(.~.~)__
7504 TELECOPIER NO.: 71LZ~) 64____~6.2626
0202
77002
853 A732
Cust6mer can check one or more of the boxes below to indicate the appropriate authorization:
[ ] This Nominating Marketer can not have access to gas metedng data.
[ ] This Nominating Marketer can no._.Jt view the contract quantities indicated in Exhibit B.
[x] Customer author#as this Nominating Marketer to execute monthly imbalance trades, per Schedule G-BAL
[X J Customer has assigned imbalances to Nominating Marketer using Noncore Balancing Aggrega~on Agreement,
Exhibit A. (Note: Exhibit A must be sent separately to California Gas Transmission.Dept.)
If REMOVING a NOMINATING MARKETER from Exhibit C, please indicate the name and id number of this Marketer be~o~.
MARKETER COMPANY NAME: - TXU MARKETER ID NUMBER:0910
Change(s) should take effect on July 1, 2001
(Note: Requests will take effect as soon as they are received and processed by PG&E unless a later date is indicated above.)
SIGNATURE:
PRINT JUN 2 ~ Z001
of Pale Alto
Please return this authorization to PG&E via facsimile or mail to:
PG&E FAX #: (415) 973-2384
Attenf~on:Uza Uriza
PG&E Tadffs & Compliance
Mail Code H28H
123 Mission Street
San Francisco, CA 94105
" Received and Accepted t~y’"PG&E: ’
Signed:
Title:
Date:
PG&E will forward a modified copy of Exhibit C for your f~les.
"Use He same Customer Name and Transportation ID # as shown on the first page of the NGSA.
Feb~a~ 1B, 1998
Interstate Gas Services, Inc.
August 16, 2002
Karla Daily
Resonrce Planner.
City of Palo Alto
Fax: 650-326-1507
Re: Updated PG&E Access Information
5 pages total
Dear Karla,
I am in the process of updating IGS’ access information with PG&E. As aresult of my
purchase oliOS back in March, IGS has re-registered with PG&E. Effective September
1, IGS will be "13409" instead of"040Y’. Accordingly, please authorize IGS to serve
Palo Alto under this riew company number. Please review and sign each of the three
following forms and fax them to PG&.E:
Attn: Ms. Siov Ly
Fax: 415-972-5475
Following my call to you, upon review ~f our files, I can see that John Ulrich authorized
these forms Iast November. (Example included). I also see where we set up forms for
Raveen’s signature, but I do not havecopies showing that Ra~veen actually signed the
forms. .
Thanks,
2600 KitYcy Hawk l~oad. Suite t01 * Liverrnore, CA 94~0 ¯ [925) 243-0350 ¯ FAX [925} 24g-0a49
h kLp: //www.igser~lce.com ° igservicc@igs ervice, corn
Authorization to Revise Exhibit "D" of PG&E’s Natural Gas Service Agreement
City of Pale Alto Utility P.O. Box 10250; Pale Alto,CA
(Customer Name)= (Service Address and City)*
Transportation. ID Number*:03011 52
EEFECT[VE DATE OF REVISIONS
The f.ol[owing change(s) should take effect qn (Date) _0 9 - 01 - 2 0 0 2
Note: Requests will take effect as soon ss they are received and processed by PG&E unless a later date is indicated.
94303
Company Name: Interstate Gas Services, Inc. (0409)
AddresslCityfState/Zip 2600 Kittz. Ha’ek Rd. Suite 101 ; Livermore,
Contact Name Daniel Berqman.n
Phone#:925 243-0350 Fax~. 925 243-0349
CA 94550
Mall copies of these documents to the above listed Company: (Check one or more)
[] PG&E Gas Transportation Bills r-~PG&E Imbalance Statements
[] EFOIOFO Notices
Pleaselselect one .....Exhibit D:
Company Name:
Add ress/City/StateiZip
Contact Name
Phone #:Fax #:
Mail copies of these documents to the above listed Company: (Check one or more)~PG&E Gas Transportation Bills [] PG&E Imbalance Statements
EFOIOFO Notices
By signing below, you authorize PG&E to rr~ke_tbeA’nodificatioF)s~t~ your Natural Gas Sewice ~reemeht. ~ibit D as
indicted above.
Customer Signature:
Company:
Date:
F~ Number;
Please return this authorization to PG&E via {acsimilo or mail to:
PG&E FAX #: (415) 973-2384
ADDRESS:PG&E Tariffs, Contracts, and Compliance
Mail Code 88M
P.O. Box 770000
San Francisco, Ca 94177-0001
~R-eceived and Accepted by t5~’~: ’
Signed:
Date:
PG&E will forward a modified c~py of Exhibit D for your
"Use the same Customer Name and Transportation ID # as shown on the first page of the NOSA.
January 1, 2002
Authorization to Revise Exhibit "C" of PG&E’s Natural Gas Service Agreement
C~ity of Palo Alto Util±t~ P.O. Box 10250; Palo Alt~,
(Customer Name)" (S~rvlce Add~ss and C~ty)*
Transportation ID Number" 0 5 01 1 5 2
CA.94303
EFFECTIVE DATE OF ~EVISlONS
The following change(s) should take effect on (Dat~) 0 9- 01 - 2 0 0 2
Note: Requests will take effect as soon as they are received and processed by PG&E unless a later date is indicated,
ADDITION Or R~"VISION
Pleas~A,[~D ~the following NOMINATING MARKETER. information on Exhibit C: (NOTE: If you are replacing or removing
a Nominating Marketer, please use the =Deletions" sexton be~ow to indicat~ the marketer you wish t~ remove from your NGSA)
MARKETER COMPANY NAME:Interstate Gas Services MARKETER ID NUMBER: 0409
ADDRESS: 2600 Kitt~v. Hawk Rd. S_~lite 101
CITY/STATE, COUNTrY: Liver.more, CA ...71PCODE:_~4550 _
CONTACT: Daniel Bergmann PHONENO,: 925 243-0350
ALTERNATE NO,:TELECOPIER NO,: 925 24~_.~03.49
Customer can check one or more of the boxes below to indicate the appropriate authorization:
[] This Nominating Marketer may .not have access to gas metering data.
[] ibis Nominating Marketer may not view the contract quantities indicated In Exhibit B.
~]~Customer authorizes this Nominating Marketer to execute monthly imbalance trades, as specified in Schedule G-BAL or has
a~{gned imbeLsnces to Nominating Marketer u~ing Noncore Balancln~ Aggregation Agreement~ F__xhlblt A. (Note: Exhibit A must
be sent separately to the Products and Sales Dept.)
DELETIONS
If REMOVING a NOMINATING MARKETER from F_xhlbit C, please indicate the name and Id number of this Marketer below:
MARKETER COMPANY NAME:MARKETER ID NUMBER:
~IGNATURE:
By s|gnlng this form you authorize PG&E to modify E~hlbff C. as described above. Only one Nominating Marketer can be gr~nt~d
au~odty’ to trade imbalances. Custome~r remains resp~pnsible for any and all charges associated with Schedule G-BAL and Rule 14
unless Custome~ has executed a Nonc~re Bale .nclrjg ~Aggregatlon AgreemenL Exhibit A, Form 79-869 w~th a Nominating Marketer or
another third-party service prey" e
CUSTOMER SIGNATUR~
PRINT NAME; " ¯ ~ ( "__
COMPANY: "
DATE:
Please return this authorization to PG&E via facsimile or mail to:
PG&E FAX #:
Attention:
(415) 973-2384
PG&E Tadffs, Contracts, and Compliance
Mail Code B8M
P.O. Box 770000
San Francisco, Ca 94177-0001
Received and Accepted by PC&E:
Signed:
T’rLI~:
Date:
PG&E will forward a modified copy of Exhibit C for your files.
"Use the same Customer Name and Transportation 113 # as showr~ on the first page of the NGSA.
January 1, 2002
Pacific Gas and Electric Company
Nomination Authorization Form
Customer Name:
Customer GTSA #:
Customer Exhibit #:
City of Palo Alto Utility
07.58
0758CRON01 / PN0758R / CG0758N
The above named Customer authorizes the following party to make nominations, pursuant to
PG&E’s gas Rule 21, utilizing Customer’s Gas Transmission Service Agreement (GTSA) and
Exhibit thereto as referenced above.
AuthorizedPady: Tnterst~te Gas Services (0409)
Contact Name: Dan Bergmann
Contact PhoneNumber: 925 243-0350
DUNs Number; 106807790
This authorization is effective beginning 09- 01 - 2002 through
Nominations placed by Customer and Authorized Party in total shall not exceed the GTSA /
Exhibit’s Maximum Daily Quantity (MDQ) on any day this authorization is in effect. Customer
shall remain responsible for payment for all services centracted for under the referenced GTSA
/ Exhibit, and for compliance with all terms, conditions and obligations of the GTSA, applicable
rate schedules, and PG&E gas Rules, regardless of whether the Customer or the within-
named party is placing nominations for those services.
Customer expressly agrees to indemnify and hold PG&F_. harmless for any damages, losses,
judgments or expenses to PG&E, er claims against PG&E asserted by others, including
expenses and attorney’s fees in defending or settling such claims, adsing out of any acts or
omissions by the within-named party and arising out of this Authorization, directly or indirectly,
which violate or are not in compliance with PG&E’s gas Rules, applicable rate schedules and
contracts, or sound gas industry standards and practices.
Form No. 79-941
August I997
Products and Sales