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HomeMy WebLinkAboutStaff Report 2301-08871 6 3 2 City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Utilities Meeting Date: April 3, 2023 TITLE The Utilities Advisory Commission and Staff Recommend Council Adoption of Amended Utilities Rules and Regulations, to Incorporate AMI Changes and Other Updates; CEQA review – exempt (CEQA Guidelines section 15273) RECOMMENDED MOTION The Utilities Advisory Commission and Staff recommend that the Council adopt the attached Resolution (Attachment A) amending Utilities Rules and Regulations 2, 8, 9, 10, 15, 18, 20, and Utilities Rate Schedules C-1 and C-4, as shown attached. EXECUTIVE SUMMARY Utilities Rules and Regulations (Rules) are updated as needed to ensure current procedures are in place to continue City of Palo Alto Utilities (CPAU) operations. The recommended changes to the various Rules and Regulations add new provisions, remove outdated sections, update language for clarity, and reflect changes to applicable regulations, business practices and procedures. Rule and regulation changes for Rule 2, 9, 10, 15, and 20 are related to deployment of Advanced Metering Infrastructure (AMI) metering equipment including a customer opt-out program and remote disconnection and reconnection procedures. Revisions to two rate schedules (C-1 and C-4) are required to reflect new cost recovery fees for customers seeking to opt out from the AMI program. Rules and regulation changes for Rule 8 and 18 clarify a customer’s responsibility to provide unobstructed access to meters, service lines, and other facilities in order for CPAU to provide utility services. BACKGROUND The changes below include new Opt-Out and Electric Meter Remote Disconnect policies that were discussed at Utilities Advisory Commission (UAC) (June 8, 2022, Staff Report 14288, and November 2, 2022, Staff Report 14794) and are proposed to be incorporated into Utilities Rules and Regulations 9 (“Discontinuance, Termination and Restoration of Service”) and 10 (“Meter 1 6 3 2 Reading”). Most of the changes do not impact long range planning, policies, or programs. The changes mainly reflect daily operational changes and procedures that are currently in place. Advanced Metering Infrastructure (AMI) is commonly referred to as “smart meter/advanced meter” or “smart grid” technology. AMI-enabled meters utilize radio and cell signal telecommunication channels to detect and transmit meter data (i.e. meter number, interval meter reads, meter alarms) from utility meters. No personally identifiable information is stored or passed in the AMI meters or data collectors. CPAU will replace old legacy electric meters with new advanced electric meters and retrofit existing water and gas meters with AMI radios. Council approved the AMI project on October 18, 2021 (Staff Report #13665). The new and upgraded meters will be able to provide near-real time data on energy and water consumption and voltage information. When the AMI system becomes fully operational in 2024, residents and businesses will be able to monitor ongoing utility consumption data and make informed decisions about energy and water use based on what they observe, such as the power usage from different appliances or at different times of day. AMI will also alert customers of water leaks via email, text, and voice. CPAU views this as a benefit to customers, and a way to provide more effective utility services. DISCUSSION Twenty-nine Utilities Rules and Regulations (Rules) set forth the conditions under which the City provides utility services to customers from both the Utilities Department (electric, natural gas, water, wastewater, fiber optic) and the Public Works Department (refuse, storm drain). The Rules are updated on as-needed basis to reflect current standards and business practices, and to streamline language to make the rules more user-friendly and provide for ease of administration. Each of the Rules below includes changes reflecting this approach; additional specific edits are noted below, and redlined copies of each rule are attached to this report. Rate schedules are updated as needed to reflect the costs of providing utility service and meeting utility operating expenses, in this case, the cost of manual meter reading and bill processing for customers who opt out of the AMI program functionality. Opt-Out Policy (Electric and Gas) Based on previous feedback from Council and UAC, CPAU will provide residential customers an alternative to a standard advanced meter installation through an AMI Opt-Out Policy, as reflected in updated utilities Rate Schedules and Rules and Regulations. According to national statistics, CPAU anticipates approximately 0.5% of customers may want to opt out of the AMI program (150 1 6 3 2 of 30,000 customers). Customers who opt out will not be able to realize the benefits of an advanced meter. If a residential customer wishes to opt out of the AMI electric and/or gas program, they will be given the opportunity to opt out either before or after their advanced meter upgrade. CPAU will not be providing a water meter opt-out option since water meters are typically located in the public right of way and distant from the home. If a customer wishes to opt out and keep their existing (legacy) meter, customers must notify CPAU before a new AMI-enabled meter is installed. Customers will be notified of scheduled meter replacement via direct mailer and email if available at least one week in advance of installation. Customers will also receive a door hanger when the AMI installer is on-site to perform the installation. If customers contact CPAU after the AMI meter is installed, the AMI meter’s radio transmission communications will be turned off and disabled remotely, and meters will be read manually. Electric Meter Remote Disconnect/Reconnect Policy One major operational benefit of AMI is reducing the cost and number of utility service vehicles being dispatched (truck roll) for customer disconnection and reconnection. By decreasing the number of truck rolls, the City’s carbon footprint is also reduced, and utility resources can be reassigned to other services. Remote disconnect meters have a breaker inside of them that can be controlled remotely. This will be an effective solution for customers who are turned on and off frequently as well as residences that have a high turnover such as rental properties or apartment complexes. Utilities Rules and Regulations (2, 8, 9, 10, 15, 18, 20) Utilities Rule and Regulation 02 (Definitions and Abbreviations) Rule and Regulation 2 describes commonly used industry acronyms and the definitions of various terms used throughout Rules. The proposed changes include a definition of AMI and a minor update to the Point of Service terminology to be consistent with the change in Utilities Rule and Regulation 20, “Special Electric Utility Regulations”, and clarifications around the definition of charges and taxes. AMI is an integrated system of “smart” or advanced meters, communications networks, and data management systems that enables two-way communication between utilities and customers. AMI uses radio-based technology to read and transmit daily interval usage data and alarms from meters. 1 6 3 2 Utilities Rule and Regulation 08 (Access to Premises) The recommended amendments to Rule 8 clarify the customer’s responsibilities in keeping the meter and meter facilities clear of obstruction, debris, and vegetation in order for CPAU to provision utility services. Utilities Rule and Regulation 09 (Discontinuance Restoration) The recommended amendments to Rule 9 include adding a new section for remote disconnect and reconnect services from the meter. CPAU will use the remote disconnect/reconnect feature enabled on the new AMI electric meters. The use of this feature allows for the disconnection and/or reconnection of an electrical service to a service address without CPAU staff being physically present at the meter location. Utilities Rule and Regulation 10 (Meter Reading) The recommended amendments to Rule 10 add a new section for customers who may choose to opt out and temporarily keep their existing (legacy) meter by notifying CPAU before a new AMI- enabled meter is installed. Opt-out customers will be assessed opt-out fees to recover costs for Customer Service, Meter Reading and Billing for manual monthly billing, as reflected in the updated rate schedules described below. Utilities Rule and Regulation 15 (Metering) The recommended amendments to Rule 15 expand provisions relating to meter installation to also cover installing or updating related metering equipment as needed to maintain standards and update outdated equipment that maintains or improves on the functionality of CPAU’s utility services. Utilities Rule and Regulation 18 (Utility Service Connections and Facilities on Customers' Premises) The recommended amendments to Rule 18 stipulate CPAU must have the flexibility and ability to relocate or modify Utility Service Lines or Points of Service for the purpose of meeting quality control standards, updating outdated equipment, or otherwise improving the functionality of Utility Services. 1 6 3 2 Utilities Rule and Regulation 20 (Special Electric Utility Regulations) The recommended amendments to Rule 20 are to be consistent with Utilities Rule and Regulation 15, “Metering”, to reflect CPAU’s ability to install not only meters but any related equipment needed to maintain standards and update outdated equipment in order to maintain or improve on the functionality of CPAU’s utility services. Utility Rate Schedules (C-1 and C-4) The set-up charge is to recover costs of establishing a new meter reading route for opt-out customers and verifying customer’s eligibility to participate in the program. The ongoing monthly charge recovers staff time for reminding customers to submit self reads, collecting and entering the self reads, reviewing against historical reads for anomalies, validating the monthly read, and performing an annual visual inspection of the meter. Utility Rate Schedule C-1 (Utility Miscellaneous Charges) The recommended amendments to Rate Schedule C-1 includes the Opt-Out fees for AMI. A one- time non-refundable set up charge in the amount of $100 will be billed on the customer residential account. In addition, a recurring monthly fee of $25 will be billed to the residential account to cover the costs of utility billing and manual meter read verification. Utility Rate Schedule C-4 (Residential Rate Assistance Program) The recommended amendments to Rate Schedule C-4 includes the Opt-Out fees for AMI. For low-income customers enrolled in the RAP program, a one-time set-up charge is $50 with a recurring monthly fee of $10. Customers can opt into the AMI program at any time to discontinue the opt-out fees for no charge. RESOURCE IMPACT Approval of changes to Utilities Rules and Regulation 2, 8, 9, 10, 15, 18, 20, Rate Schedules C-1 and C-4 will not result in a significant change in net operating revenues or expenses. The Residential Rate Assistance Program will be funded by Public Benefits funds. POLICY IMPLICATIONS These recommendations do not represent a change in current City policies. 1 6 3 2 STAKEHOLDER ENGAGEMENT The UAC unanimously approved (6-0, Bowie absent) the recommendation for Council adoption of the proposed rules and regulations changes and rate schedules, including the AMI opt-out and electric meter remote disconnect/reconnect policies, at the November 2, 2022 UAC meeting (Staff Report 14794) with minor language clarification edits. UAC requested staff to refine the definition of AMI including “daily interval” instead of “near-real time” usage data. UAC received confirmation that the two written disconnection notices (10-Day Late Notice and 48-Hour Disconnect Notice) to customers is applicable to both physical and remote disconnection. UAC also inquired how the $100 one-time and $25 monthly opt out fees were established. Staff explained the fees are set to recover staff’s time to administer the opt out program, validate and enter the monthly reads manually, and perform a physical audit of the meters annually. UAC requested staff to review the fees in a couple years to determine if staff time or costs have changed. CPAU will provide AMI project updates at www.cityofpaloalto.org/ami. ENVIRONMENTAL REVIEW Council finds that the adoption of revised rate schedules in this Resolution is statutorily exempt from the California Environmental Quality Act (CEQA), pursuant to CEQA Guidelines Section 15273(a), because the fees and charges proposed are necessary to recover the cost of providing utility service and meet operating expenses. After reviewing the reports presented, the Council incorporates these documents herein and finds that sufficient evidence has been presented setting forth with specificity the basis for this claim of CEQA exemption. Council finds that the adoption of revised Utility Rules and Regulations does not meet the definition of a “project” under Public Resources Code Section 21065 or CEQA Guidelines Section 15378(b)(2). ATTACHMENTS Attachment A: Resolution Attachment B: Rule 02 Definitions and Abbreviations Attachment C: Rule 08 Access to Premises Attachment D: Rule 09 Discontinuance Restoration Attachment E: Rule 10 Meter Reading Attachment F: Rule 15 Metering Attachment G: Rule 18 Utility Service Connections and Facilities on Customers' Premises 1 6 3 2 Attachment H: Rule 20 Special Electric Utility Regulations Attachment I: Utility Rate Schedule C-1 Attachment J: Utility Rate Schedule C-4 APPROVED BY: Dean Batchelor, Director Utilities Report #: 2301-0887 *NOT YET APPROVED* 027022223 Resolution No. ______ Resolution Amending Utility Rate Schedule C-1 (Utility Miscellaneous Charges), Utility Rate Schedule C-4 (Residential Rate Assistance Program), Utilities Rule and Regulation 2 (Definitions and Abbreviations), Utilities Rule and Regulation 8 (Access to Premises), Utilities Rule and Regulation 9 (Disconnection, Termination and Restoration of Service), Utilities Rule and Regulation 10 (Meter Reading), Utilities Rule and Regulation 15 (Metering), Utilities Rule and Regulation 18 (Utility Service and Facilities on Customer Premises), Utilities Rule and Regulation 20 (Special Electric Utility Regulations) RECITALS A. In October 2021, Council approved the Advanced Metering Infrastructure (AMI) project to install equipment, software, and services capable of delivering billing and interval reads from customer meters, including networking infrastructure components and the installation thereof, AMI-integrated electric meters, water and gas endpoints/modules, and other ancillary equipment (batteries, water meter pit lids, etc.) necessary to attain functionality, and software integration services to tie the AMI headend to other business-critical systems. B. Revisions to the Utilities Rules and Regulations are required to incorporate concepts specific to the AMI equipment and services, to clarify Rules, and to update two rate schedules to reflect new fees for customers seeking to opt out from the AMI program. The Council of the City of Palo Alto does Hereby RESOLVE, as follows: SECTION 1. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule C-1 (Utility Miscellaneous Charges) of the Palo Alto Utilities Rates and Charges is hereby amended to read as attached and incorporated. The foregoing Utility Rate Schedule, as amended, shall become effective April 3, 2023. SECTION 2. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utility Rate Schedule C-4 (Residential Rate Assistance Program) of the Palo Alto Utilities Rates and Charges is hereby amended to read as attached and incorporated. The foregoing Utility Rate Schedule, as amended, shall become effective April 3, 2023. SECTION 3. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 2 (Definitions and Abbreviations) is hereby amended as attached and incorporated. Utility Rule and Regulation 2, as amended, shall become effective April 3, 2023. *NOT YET APPROVED* 027022223 SECTION 4. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 8 (Meter Reading) is hereby amended as attached and incorporated. Utility Rule and Regulation 8, as amended, shall become effective April 3, 2023. SECTION 5. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 9 (Disconnection, Termination and Restoration of Service) is hereby amended as attached and incorporated. Utility Rule and Regulation 9, as amended, shall become effective April 3, 2023. SECTION 6. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 10 (Meter Reading) is hereby amended as attached and incorporated. Utility Rule and Regulation 10, as amended, shall become effective April 3, 2023. SECTION 7. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 15 (Metering) is hereby amended as attached and incorporated. Utility Rule and Regulation 15, as amended, shall become effective April 3, 2023. SECTION 8. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 18 (Utility Service and Facilities on Customer Premises) is hereby amended as attached and incorporated. Utility Rule and Regulation 18, as amended, shall become effective April 3, 2023. SECTION 9. Pursuant to section 12.20.010 of the Palo Alto Municipal Code, Utilities Rule and Regulation 20 (Special Electric Utility Regulations) is hereby amended as attached and incorporated. Utility Rule and Regulation 20, as amended, shall become effective April 3, 2023. SECTION 10. The Council finds that the fees and charges adopted by this resolution are charges imposed for a specific government service or product provided directly to the payor that are not provided to those not charged, and do not exceed the reasonable costs to the City of providing the service or product. // // // // // // // *NOT YET APPROVED* 027022223 SECTION 11. Council finds that the adoption of revised rate schedules in this Resolution is statutorily exempt from the California Environmental Quality Act (CEQA), pursuant to CEQA Guidelines Section 15273(a), because the fees and charges proposed are necessary to recover the cost of providing utility service and meet operating expenses. After reviewing the reports presented, the Council incorporates these documents herein and finds that sufficient evidence has been presented setting forth with specificity the basis for this claim of CEQA exemption. Council finds that the adoption of revised Utility Rules and Regulations does not meet the definition of a “project” under Public Resources Code Section 21065 or CEQA Guidelines Section 15378(b)(2). INTRODUCED AND PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: APPROVED: ________________________________ ________________________________ City Clerk Mayor ________________________________ ________________________________ Assistant City Attorney City Manager ________________________________ Director of Utilities DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 1 A. ABBREVIATIONS AMI - Advanced Metering Infrastructure AMR - Automated Meter Reading AER - Advance Engineering Request APGA - American Public Gas Association ARB - Air Resources Board (California) AWWA - American Water Works Association Btu - British Thermal Unit ccf - Hundred Cubic Feet (water) CEC - California Energy Commission CNG - Compressed Natural Gas CPAU - City of Palo Alto Utilities CPI - Consumer Price Index CPUC - California Public Utilities Commission DOE - Department of Energy (Federal) DOT - Department of Transportation (Federal) DSM - Demand-side Management EVSE - Electric Vehicle Supply Equipment ERT - “Encode, Receive, Transmit” ERU - Equivalent Residential Unit FERC - Federal Energy Regulatory Commission GPM - Gallons Per Minute kVar - Kilovar kVarh - Kilovar-hours kW - Kilowatt kWh - Kilowatt-hour LCFS - Low Carbon Fuel Standard MW - Megawatt MMBtu - One million Btu. NCPA - Northern California Power Agency NEC - National Electric Code, Latest Version NEM - Net Energy Metering NEM 1 - Net Energy Metering Program NEM 2 - Net Energy Metering Successor Program NEMA - Net Energy Metering Aggregation NEMIA - Net Energy Metering Interconnection Agreement NRTL - Nationally Recognized Testing Laboratory PAMC - Palo Alto Municipal Code DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 2 PSIG - Per square inch gauge RAP - Rate Assistance Program PPA - Power Purchase Agreement PST - Pacific Standard Time RTP - Real-time Pricing RWQCP - Regional Water Quality Control Plant TOU - Time of Use WAPA - Western Area Power Administration UUT - Utilities Users Tax B. GENERAL DEFINITIONS Account The identification number in CPAU’s billing system for Utility Services. Advance Engineering Fee A non-refundable fee paid at the start of an engineering review process. The Advance Engineering Fees will be credited against the estimated job cost prior to collection of construction fees. Advanced Metering Infrastructure A technology system using radio and cell signal telecommunication channels to detect and transmit data from “smart” utility Meters, enabling Customers to view near-real time consumption data through the Customer web portal. Agency Any local, county, state or federal governmental body or quasi-governmental body, including, without limitation, the CPUC, the FERC and any joint powers agency, but excluding the City and any board, commission or council of the City. Aggregation Customer A Customer with a Renewable Electrical Generation Facility wishing to install an eligible Renewable Electrical Generation Facility that is sized to offset separately metered electric loads on adjacent or contiguous properties that are solely owned, leased, or rented by that Customer, and who has signed the Net Energy Metering Interconnection Agreement for NEM Aggregation. Affected System An Electric system, other than CPAU’s Distribution or Transmission System, that may be affected by a Customer’s proposed Interconnection of a Generating Facility. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 3 Affected System Operator The entity that operates an Affected System. 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. Wastewater Collection 5. Refuse Service 6. Storm and Surface Water Drainage Service 7. Fiber Optics Service Or, an entity submitting an Application for Interconnection pursuant to Utilities Rule and Regulation 27. Application (for Interconnection of Generating Facilities) An approved standard form (Load Sheet) submitted to CPAU for Interconnection of a Generating Facility. Backflow Prevention Assembly Approved device to prevent water from Customer plumbing from flowing into the City’s Water Distribution System. Beneficiary Account The Electric Service Meter(s) serviced by an Aggregation Customer’s Generating Facility, as listed on the Aggregation Customer’s NEM Aggregation Interconnection Agreement. Bidweek Price Index The price reported in Natural Gas Intelligence “NGI’s Bidweek Survey”, California “PG&E Citygate” under the column “avg.” for the calendar month. Billing Period Also “service period” or “billing cycle”. The normal Billing Period for CPAU Customers is 27 to 33 days with variations occurring due to staff availability, holiday scheduling, field verification of Meter readings, or any other billing-related issues requiring additional investigation prior to issuance of the bill. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 4 British Thermal Unit Also “Btu”. The standard sub-unit of measurement comprising a Therm of natural Gas. One (1) Therm equals 100,000 Btu. Business Day Any day, except a Saturday, Sunday, or any day observed as a legal holiday by the City. Business Partner A Utilities customer having multiple service locations in the City of Palo Alto. ccf (lower case) One hundred cubic feet of water (748 gallons). Certification Test A test pursuant to Utilities Rule and Regulation 27 that verifies conformance of certain equipment with approved performance standards in order to be classified as Certified Equipment. Certification Tests are performed by NRTLs. Certification; Certified; Certificate The documented results of a successful Certification Test. Certified Equipment Equipment that has passed all required Certification Tests. Charge Any assessment, cost, fee, surcharge or levy for Utility Service other than a Tax, including metered and unmetered Utility Service, capacity, connections, construction, penalties, and mandated or required Customer financial obligations for Service. Charter The Charter of the City of Palo Alto. City Attorney The individual designated as the City Attorney of the City under Section 2.08.120 of the Palo Alto Municipal Code, and any Person who is designated the representative of the City Attorney. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 5 City’s Collector The Person(s) authorized under Section 5.20.040 of the Palo Alto Municipal Code to provide collection, processing and disposal of Refuse including Solid Waste, Compostable Materials and Recyclable Materials pursuant to one or more written contracts with the City. City Lateral A City Lateral (also known as a Lower Sewer Lateral) is the portion of the Sewer Lateral that is owned and maintained by the City. A City Lateral typically is the lower portion of a Sewer Lateral downstream from the City Sewer Cleanout. City Manager The individual designated as the City Manager of the City under Section 2.08.140 of the Palo Alto Municipal Code, and any Person who is designated the representative of the City Manager. City of Palo Alto, or 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. For the purposes of these Rules and Regulations, the term “City” may include services provided by both the City of Palo Alto Utilities Department and the City of Palo Alto Public Works Department. City of Palo Alto Public Works Department (Public Works) The City Department responsible for providing Refuse Service, Wastewater Treatment and Storm and Surface Water Drainage Services. Other Utility Services such as Water, Gas, Electric, Wastewater Collection, and Fiber Optics are provided by the City of Palo Alto Utilities Department. City of Palo Alto Utilities Department (CPAU) The City Department responsible for providing Water, Gas, Electric, Wastewater Collection and Fiber Optic Utility Services. Other Utility Services such as Refuse Service, Wastewater Treatment and Storm and Surface Water Drainage are provided by the City of Palo Alto Public Works Department. City Sewer Cleanout A sewer cleanout is a point of access where the Sewer Lateral can be serviced. The City Sewer Cleanout typically marks the transition point between the City Lateral (Lower Sewer Lateral) and the Customer’s Upper Lateral, as further described in Utilities Rule and Regulation 23. . CNG Vehicle A vehicle powered by compressed natural gas. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 6 Code The words "the Code" or "this Code" shall mean the Palo Alto Municipal Code. Commercial Service Commercial Utility Service is provided to businesses, non-profit organizations, public institutions, and industrial Customers. The term also applies to Utility Services through Master Meters serving multi- family Residential dwellings and common areas of multi-family facilities. Compostable Materials Organic materials designated by the City as acceptable for collection and processing, including, without limitation, yard trimmings, food scraps, soiled paper and compostable plastics, but excluding animal manure, sewage sludge, and human biological infectious wastes. Container Any bin, box, cart, compactor, drop box, roll-off box, or receptacle used for storage of Solid Waste, Recyclable Materials, Compostable Materials or other materials designated by the City to be collected by the City’s Collector. Cooling Degree Days The number of the degrees per day that the daily average temperature is above 65 degrees Fahrenheit. The daily average temperature is the mean of the maximum and minimum temperatures for a 24-hour period. Cross Bore A Cross Bore is the unintended conflict between one utility line and a portion of another utility line. This situation can happen during construction using “horizontal directional drilling” or underground pneumatic boring. Cross Bore Inspection Program The Cross Bore Inspection Program inspects City Laterals and Private Laterals to find and repair Gas pipes that pass through existing Sewer Laterals. Cross Connection Cross Connections are any actual or potential unapproved unprotected connections between a potable water system and any source or system containing unapproved water or a substance which may not be safe. Cross Connection Control and Backflow Prevention Program This program protects the quality of drinking Water by preventing contaminants in private Service pipes from entering the Water Distribution system. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 7 Cubic Foot of Gas (cf) The quantity of Gas that, at a temperature of sixty (60) degrees Fahrenheit and a pressure of 14.73 pounds per square inch absolute, occupies one cubic foot. Curtailment The act of reducing or interrupting the delivery of natural Gas. Customer The Person, corporation, Agency, or entity that receives or is entitled to receive Utility Service(s) from the City of Palo Alto, or in whose name Service is rendered for a particular Account as evidenced by the signature on the Application, contract, or agreement for Service. In the absence of a signed instrument, a Customer shall be identified by the receipt of any payment of bills regularly issued in the name of the Person, corporation, or Agency regardless of the identity of the actual user of the Utility Service(s). Customer-Generator A Customer who is an “eligible customer-generator,” as that term is defined by the California Public Utilities Code section 2827, as the same may be amended from time to time. Dark Fiber (Optic) A Fiber Optic cable provided to end-users or resellers by CPAU without any of the light transmitters, receivers, or electronics required for telecommunications over the Fiber. Transmission equipment for Fiber Optic activation service is provided by the reseller or end-user. Dark Fiber (Optic) Infrastructure The components of the CPAU Fiber Optic Distribution System required to provide Service to Customers (licensees), that are attached, owned, controlled or used by the City, located overhead or underground within the Public Right-of-Way, the Public Utility Easements and Leased Service Properties. Dark Fiber (Optic) Licensing Agreement The mandatory contractual agreement between the City and the Customer specifying the terms, conditions and pricing to access the City of Palo Alto’s Dark Fiber (Optic) Ring. Dedicated Distribution Transformer A distribution transformer that is dedicated to serving a single premise. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 8 Demand The highest rate of metered delivery of Electric energy, measured in Kilowatts (kW) or kilovolt amperes (kVA) occurring instantaneously or registered within a specified time interval (normally fifteen minutes within a monthly billing cycle, unless otherwise specified). Demand Charge An electrical Charge or rate that is applied to a metered Demand reading, within a specified interval, expressed in Kilowatts (kW) to compute the Demand Charge component of a Customer’s Electric bill. Demand-side Management The planning, implementation, and monitoring of Utility activities designed to encourage commercial, residential, agricultural, and institutional Customers to modify patterns of electricity, natural gas, and water usage, including the timing and level of demand. Demand-side management also covers the complete range of electric load-shape objectives, including strategic conservation, load management, and strategic load growth. Demarcation Point The Demarcation Point for a project shall be the Customer side of the panel onto which the CPAU Fiber terminates within the Customer Premises, unless otherwise specified in the Proposal for Dark Fiber Services. Deposit A fixed amount (for residential customers), or an estimated amount based upon usage (for commercial customers, except Fiber Optic), to be paid to the Utilities Department upon submission of an Application for Service. See Utilities Rule and Regulation 7, “Deposits.” Detailed Study An engineering study consisting of an Interconnection System Impact Study and an Interconnection Facilities Study for the purpose of identifying Interconnection Facilities, Distribution Upgrades, and Reliability Network Upgrades. Disconnection Notice A final written notice from CPAU to the Customer indicating the date that all Utilities Services will be disconnected for non-payment unless payment is tendered to mitigate an outstanding balance, or until a Payment Arrangement is completed with CPAU for repayment over time. See Utilities Rule and Regulation 9, “Disconnection, Termination, and Restoration of Service.” DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 9 Distribution Services This includes, but is not limited to, Utility Service provided by the City’s Distribution System and other Services such as billing, Meter reading, administration, marketing, and Customer Services. Distribution Services do not include Services directly related to the Interconnection of a Generating Facility, as per Utilities Rule and Regulation 27. Distribution System The infrastructure owned and operated by CPAU which is capable of transmitting electrical power, other than Interconnection Facilities, or transporting Water, Wastewater, or Gas within the City of Palo Alto. The Electric Distribution System transmits power from the City’s Interconnection with PG&E to CPAU’s Meter located on the Customer’s Premises. The Gas Distribution System transports Gas from PG&E 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. Duct A single, enclosed thoroughfare for conductors, cables, or wires. Easement See Public Utility Easement. Efficiency The ratio of water or energy input to useful output, measured at either a single point in time, or measured change in ratio over time. Effluent Treated or untreated Wastewater flowing out of a Wastewater treatment facility, sewer, or industrial outfall. Elasticity of Demand The ratio of the percentage change in consumer demand to the percentage change in price. If the ratio is more than one, demand is elastic (sensitive to price). Electric Distribution The process of delivering electric energy to customers on a utility’s distribution system. Transmission lines carry electricity at high voltage to substations which reduce the voltage and distribute the electricity over primary distribution lines that extend throughout the service territory. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 10 Electric, Electric Service A Utility Service provided to residents and business owners in the City of Palo Alto consisting of the generation, transmission, and distribution of electrical power for retail use. Electric Service is provided by the City of Palo Alto Utilities Department. Electric Vehicle A vehicle powered by an electric motor that draws current from rechargeable storage batteries, fuel cells, photovoltaic arrays, residential or commercial charging kiosks, or other sources of electric current. Electric Vehicle Supply Equipment (EVSE) The conductors, including the ungrounded, grounded, and equipment grounding conductors and the electric vehicle connectors, attachment plugs, and all other fittings, devices, power outlets, or apparatus installed specifically for the purpose of transferring energy between the premises wiring and the electric vehicle. EVSE is as defined in the California Electrical Code, California Code of Regulations (CCR), Title 24, Part 3, Chapter 6, Article 625 (Electric Vehicle Charging System), as amended. Enterprise Funds, Enterprise Services A budgetary identification for individual Utilities services. Each individual Utility (electric, natural gas, water, wastewater, storm drain, fiber optic, refuse) has its own operating and capital budgets, staffing, contracts, financial obligations, cash reserves, etc. combined into specific Enterprise Funds. Emergency An actual or imminent condition or situation, which jeopardizes CPAU’s Distribution System Integrity. Emergency Service The Electric Service supplied to, or made available to, Load devices which are operated only in Emergency situations or in testing for same. Energy Services The 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 with or related to the Provision and/or usage of the energy commodity. Energy Storage Facility, Energy Storage System A facility or storage system that is an “energy storage system,” as that term is defined by the California Public Utilities Code section 2835, as the same may be amended from time to time. End Points The respective start and termination of a Fiber Optic cable. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 11 Equivalent Residential Unit (ERU) The basic unit for computing storm and surface water drainage fees. All single-family Residential properties are billed the number of ERU’s specified in the table contained in Utility Rate Schedule D-1, according to parcel size. All other properties have ERU's computed to the nearest 1/10 ERU using this formula: No. Of ERU = Impervious Area (sq. ft.) / 2,500 sq. ft. ERT (“Encode, Receive, Transmit”) A battery-powered module attached to an Electric, natural Gas, or Water Meter that permits the remote reading by CPAU of secure, or encrypted, meter data from a centralized location for the purposes of billing, outage management, or data analysis. Final Bill The last bill that is issued upon permanent termination of Service. This bill will combine ending financial debits and credits, close the Account, and terminate all further Customer and Utility financial obligations, unless additional Services are requested by the Customer prior to the receipt of the final bill. Fiber Optic (Optical Fiber), Fiber Optic Service A solid core of optical transmission material. Fiber Optic Service that is provided by the City of Palo Alto Utilities Department is referred to as Dark Fiber. Fiber Optic Backbone The high-density portion of the Dark Fiber Infrastructure installed and owned by the City. Force Majeure The occurrence of any event that has, had, or may have an adverse effect on the design, construction, installation, management, operation, testing, use or enjoyment of the City’s Utility Services, which is beyond the reasonable control of the City or Customer and which event includes, but is not limited to, an Act of God, an irresistible superhuman cause, an act of a superior governmental authority, an act of a public enemy, a labor dispute or strike or a boycott which could not be reasonably contemplated by the City or Customer affected thereby, a defect in manufactured equipment (including, but not limited to, the Dark Fibers), fire, floods, earthquakes, or any other similar cause. Gas, Gas Service Gas refers to the Utility Service provided to residents and business owners in the City of Palo Alto. Gas Service consists of procurement, transmission, and distribution of any combustible gas or vapor, or combustible mixture of gaseous constituents used to produce heat by burning for retail use. It includes, but is not limited to, natural gas, gas manufactured from coal or oil, gas obtained from biomass or from DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 12 landfill, or a mixture of any or all of the above. Gas Service is provided by the City of Palo Alto Utilities Department. Generating Facility All Generators, electrical wires, equipment, and other facilities owned or provided by the Producer for the purpose of producing Electric power, including energy storage facilities and solar or wind turbine- powered Renewable Electrical Generation Generator A device converting mechanical, chemical or solar energy into electrical energy, including any required protection and control functions, features and structural appurtenances. One or more Generators may comprise a Generating Facility Gross Nameplate Rating; Gross Nameplate Capacity The total gross generating capacity of a Generator or Generating Facility as designated by the manufacturer(s) of the Generator(s). Heating Degree Days (HDD) The number of the degrees per day that the daily average temperature is below 65 degrees Fahrenheit. The daily average temperature is the mean of the maximum and minimum temperatures for a 24-hour period. Initial Interconnection Capacity The maximum rated generating capacity of a Renewable Electrical Generation Facility eligible for Net Energy Metering prior to the Total Rated Generating Capacity exceeding the NEM Cap. Initial Review The review by CPAU, following receipt of an Application for Interconnection, to determine the following: (a) whether the Generating Facility qualifies for Simplified Interconnection; or (b) if the Generating Facility can be made to qualify for Interconnection with a Supplemental Review determining any additional requirements. Inspector The authorized inspector, agent, or representative of CPAU. Interconnection; Interconnected The physical connection of a Generating Facility in accordance with the requirements of the City’s Utilities Rules and Regulations allowing Parallel Operation with CPAU’s Distribution System to occur. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 13 Interconnection Agreement An agreement between CPAU and the Producer providing for the Interconnection of a Generating Facility that gives certain rights and obligations to effect or end Interconnection. For the purposes of the City’s Utilities Rules and Regulations, the Net Energy Metering and Interconnection Agreements , and the Power Purchase Agreements authorized by the City Council may be considered Interconnection Agreements. Interconnection Facilities The electrical wires, switches and related equipment that are required in addition to the facilities required to provide Electric Distribution Service to a Customer to allow Interconnection. Interconnection Facilities may be located on either side of the Point of Common Coupling as appropriate to their purpose and design. Interconnection Facilities may be integral to a Generating Facility or provided separately. Interconnection Facilities Study A study conducted by CPAU for an Interconnection Customer under the Detailed Study process to determine a list of facilities (including CPAU’s Interconnection Facilities, Distribution Upgrades, and Reliability Network Upgrades as identified in the Interconnection System Impact Study), the cost of those facilities, and the time required to interconnect the Generating Facility with CPAU’s Distribution or Transmission System. Interconnection Request An Applicant’s request for the Interconnect of a new Generating Facility, or to increase the capacity of, or make a material modification to the operating characteristics of, an existing Generating Facility that is Interconnected with CPAU’s Distribution or Transmission System. Interconnection Study A study to establish the requirements for Interconnection of a Generating Facility with CPAU’s Distribution System. Interconnection System Impact Study An engineering study conducted by CPAU for an Interconnection Customer under the Independent Study Process that evaluates the impact of the proposed interconnection on the safety and reliability of CPAU’s Distribution and/or Transmission system and, if applicable, an Affected System. Internet Exchange Any Internet data center for telecommunications equipment and computer equipment for the purposes of enabling traffic exchange and providing commercial-grade data center services. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 14 Island; Islanding A condition on CPAU’s Electric Distribution System in which one or more Generating Facilities deliver power to Customers using a portion of CPAU’s Distribution System that is electrically isolated from the remainder of CPAU’s Distribution System. Junction, Junction Site A location on the Dark Fiber Infrastructure where equipment is installed for the purpose of connecting communication cables. The Junction Site refers to the area within the Transmission Pathway at which a Junction is located. Kilovar (kVar) 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. Leased Service Properties Any equipment or utility infrastructure which is not owned by CPAU, but leased from another provider in order to deliver service. Law Any administrative or judicial act, decision, bill, Certificate, Charter, Code, constitution, opinion, order, ordinance, policy, procedure, Rate, Regulation, resolution, Rule, Schedule, specification, statute, tariff, or other requirement of any district, local, municipal, county, joint powers, state, or federal Agency, or any other Agency having joint or several jurisdiction over the City of Palo Alto or City of Palo Alto Utilities or Public Works Customers, including, without limitation, any regulation or order of an official or quasi- official entity or body. Licensed Fiber(s) One or more fibers comprising a part of the Dark Fiber Infrastructure that is dedicated to the exclusive use of the Customer under the Provisions of the Dark Fiber License Agreement, a Proposal to the Dark Fiber Services Agreement, and the Utilities Rules and Regulations. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 15 Licensed Fibers Route A defined path of Licensed Fibers that is identified by specific end points. Load(s) The Electric power Demand (kW) of the Customer at its Service Address within a measured period of time, normally 15 minutes, or the quantity of Gas required by a Customer at its Service Address, measured in MMBtu per Day. Low Carbon Fuel Standard (LCFS) A program developed and administered by the California Air Resources Board to lower the carbon intensity of transportation fuel under the Global Warming Solutions Act of 2006 (AB 32). Through the LCFS program, the City, through its Electric Utility, receives credits for providing electricity to charge electric vehicles. These credits are sold and the funds are utilized to benefit current or future electric vehicle customers, educate the public on the benefits of electric vehicle transportation, and accelerate the adoption of electric vehicles. Lower Sewer Lateral See City Lateral. Master-metering Where CPAU installs one Service and Meter to supply more than one residence, apartment dwelling unit, mobile home space, store, or office. Maximum Generation For a Customer with a non-utility generator located on the Customer’s side of the Point of Common Coupling, the Maximum Generation for that non-utility generator during any billing period is the maximum average generation in kilowatts taken during any 15-minute interval in that billing period, provided that in case the generator output is intermittent or subject to violent fluctuations, the City may use a 5-minute interval. Meter The instrument owned and maintained by CPAU that is used for measuring the quantity of the Electric, Gas or Water Service delivered to the Customer. Metering The measurement of electrical power flow in kW and/or energy in kWh, and, if necessary, reactive power in kVar at a point, and its display to CPAU. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 16 Metering Equipment All equipment, hardware, software including Meter cabinets, conduit, etc., that are necessary for Metering. Meter Read The recording of Customer usage data from Metering Equipment. Minimum Charge The least amount to be billed to a Customer for rendering Service, in accordance with the applicable Rate Schedule. Momentary Parallel Operation The Interconnection of a Generating Facility to the Distribution System for one second (60 cycles) or less. Nationally Recognized Testing Laboratory (NRTL) A laboratory accredited to perform the Certification Testing requirements under Utilities Rule and Regulation 27. Natural Gas Distribution The process of delivering natural gas to customers on a utility’s distribution system. Transmission lines carry natural gas at high pressures to receiving stations in Palo Alto, which reduce the pressure and distribute the natural gas over the City’s Gas Distribution System. Net Electricity Consumer A Customer-Generator or Producer whose Generating Facility produces less electricity than is supplied by CPAU during a particular period; may also be referred to as a Net Electricity Importer. Net Electricity Exporter A Customer-Generator whose Generating Facility produces more electricity than is supplied by CPAU during a particular period; may also be referred to as a Net Surplus Customer-Generator. Net Energy Metering (NEM) A means of measuring Customer-generated renewable electricity exported to the CPAU grid. Net Energy Metering 1 (NEM 1) CPAU’s original Net Energy Metering (NEM) Program and Net Energy Metering Aggregation (NEMA) Program, either individually or collectively, which were developed in accordance with Senate Bill 656 (1995). DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 17 Net Energy Metering Cap (NEM Cap) The MW value reached when the Total Rated Generating Capacity used by eligible NEM 1 Customer- Generators exceeded 5 percent of CPAU’s aggregate Customer peak Demand, at which point NEM 1 became closed to new Customer-Generators. CPAU reached its NEM Cap on December 31, 2017. Net Energy Metering 2 (NEM 2); Net Energy Metering Successor Program CPAU’s NEM Program offering compensation for Customer-Generators whose Generating Facilities are Interconnected after the NEM Cap was reached, including Customers-Generators who are eligible for NEM 1 but elect to take Service under the Net Energy Metering Successor Program. NEM 2 Customers take Service under Utilities Rate Schedule E-EEC-1 (Export Electricity Compensation), in conjunction with their otherwise applicable Rate Schedule. Net Energy Metering Aggregation The process by which an eligible Customer-Generator with multiple Meters participating in CPAU’s NEM 1 Program may elect to combine the electrical Load of the Meters located on the property where the Renewable Electrical Generation Facility is located and on property adjacent or contiguous, if those properties are solely owned, leased, or rented by the eligible Customer-Generator. Net Generation Metering Metering of the net electrical power of energy output in kW or energy in kWh, from a given Generating Facility. This may also be the measurement of the difference between the total electrical energy produced by a Generator and the electrical energy consumed by the auxiliary equipment necessary to operate the Generator. Net Nameplate Rating The Gross Nameplate Rating minus the consumption of electrical power of a Generator or Generating Facility as designated by the manufacturer(s) of the Generator(s). Net Surplus Customer-Generator See Net Electricity Exporter. Net Surplus Electricity Compensation A per kilowatt-hour rate offered to NEM 1 Net Surplus Customer-Generators (excluding NEM Aggregation Customers) for net surplus electricity, as such definition may otherwise be modified or supplemented by any definition in California Public Utilities Code section 2827(b)(8), as the same may be amended from time to time. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 18 Non-Islanding A method designed to detect and disconnect from an Unintended Island with matched Load and generation. Reliance solely on under/over voltage and frequency trip is not considered sufficient to qualify as Non-Islanding. Occupied Domestic Dwelling Any house, cottage, flat, or apartment unit having a kitchen, bath, and sleeping facilities, which is occupied by a Person or Persons. Parallel Operation The simultaneous operation of a Generator with power delivered or received by CPAU while Interconnected. For the purpose of Utilities Rules and Regulations, Parallel Operation includes only those Generating Facilities that are Interconnected with CPAU’s Distribution System for more than 60 cycles (one second). Performance Test, Performance Tested After the completion of any Fiber Interconnection work, the City will conduct a Performance Test of each Fiber constituting a part of the proposed leased fibers to determine its compliance with the Performance Specifications. Performance Specifications These specifications will include, but not be limited to, criteria relating to end-to-end optical time domain reflectometer data plots that identify the light optical transmission losses in each direction along the licensed Fibers whenever the testing is possible, measured in decibels at a wavelength of 1310 or 1550 nanometers for single-mode Fiber, as a function of distance, measured in kilometers. Person Any individual, for profit corporation, nonprofit corporation, limited liability company, partnership, limited liability partnership, joint venture, business, family or testamentary trust, sole proprietorship, or other form of business association. PG&E Citygate The PG&E Citygate is the point at which PG&E’s backbone natural Gas transmission system connects to the CPAU local natural Gas Distribution System. Point of Common Coupling (PCC) The transfer point for electricity between the electrical conductors of CPAU and the electrical conductors of the Producer. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 19 Point of Common Coupling Metering Metering located at the Point of Common Coupling. This is the same Metering as Net Generation Metering for Generating Facilities with no host Load. Point of Delivery (POD) Unless otherwise specified, the following definitions apply: For Electric, that location where the Service lateral conductors connect to the Customer’s Service entrance equipment; for overhead Services, the POD is at the weather-head connection; for underground Services, the POD is located at the terminals ahead of or at the Meter; for multiple Meter arrangements with connections in a gutter, the POD is at the Meter terminals (supply-side); for multiple Meter arrangements in a switchboard, the POD is typically at the connectors in the utility entrance section; for Natural Gas, the POD is the point(s) on the Distribution System where the City delivers natural Gas that it has transported to the Customer. Point of Interconnection The electrical transfer point between a Generating Facility and the Distribution System. This may or may not be coincident with the Point of Common Coupling. Point of Service (POS) Where CPAU connects the Customer’s Electric Service lateral to its Distribution System. For Fiber Optics Service, this is where CPAU connects the Customer’s Fiber Service to the backbone. This point is usually a box located in or near the street or sidewalk and can be in the Public Right-of-Way. This point is at a mutually agreed upon location established at the time of installation. 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. Power Factor is a ratio that reflects the reactive power used by a Customer. CPAU maintains an overall system Power Factor above 95% to reduce distribution system losses caused by low Power Factor. Power Factor Adjustment An adjustment to Customer’s bill that CPAU may make when necessary due to Customer maintaining low Power Factor. . CPAU may make a Power Factor Adjustment to a Customer’s bill to account for those DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 20 costs to install additional equipment to correct for Customers that maintain a low Power Factor and the additional energy costs and losses incurred by CPAU due to the Customer’s low Power Factor. Premise(s) 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 The Electric Distribution Service CPAU provides to a Customer’s Premises at a voltage level equal to or greater than 1000 volts. Private Lateral A Private Lateral (also known as the Upper Sewer Lateral) is the portion of the Sewer Lateral that is owned and maintained by the Customer. A Private Lateral typically is the upper portion of a Sewer Lateral upstream from the City Sewer Cleanout. A Private Lateral may include the entire Sewer Lateral if a City Sewer Cleanout is not present or if the Sewer Main is in a Public Utility Easement. Producer The entity that executes an Interconnection Agreement with CPAU. The Producer may or may not own or operate the Generating Facility, but is responsible for the rights and obligations related to the Interconnection Agreement. Proposal for Dark Fiber Services A project-specific Service agreement that acts as a supplemental document for the Dark Fiber License Agreement. This Service agreement shall include the proposed Interconnection fees, applicable Fiber licensing fees, term of the Service, and summary of licensed Fiber elements. Protective Function(s) The equipment, hardware and/or software in a Generating Facility (whether discrete or integrated with other Functions) whose purpose is to protect against Unsafe Operating Conditions. Provision Any agreement, circumstance, clause, condition, covenant, fact, objective, qualification, restriction, recital, reservation, representation, term, warranty, or other stipulation in a contract or in Law that defines or otherwise controls, establishes, or limits the performance required or permitted by any party. Prudent Utility Practices DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 21 The methods, protocols, and procedures that are currently used or employed by utilities to design, engineer, select, construct, operate and maintain facilities in a dependable, reliable, safe, efficient and economic manner. Public Right-of-Way The areas owned, occupied or used by the City for the purposes of furnishing retail and/or wholesale Electricity, Gas, Water, Wastewater, Storm and Surface Water Drainage, Refuse Service or communications commodity and/or distribution Service, and the means of public transportation, to the general public, including but not limited to, the public alleys, avenues, boulevards, courts, curbs, gutters, lanes, places, roads, sidewalks, sidewalk planter areas, streets, and ways. Public Utility Easements; Easement The areas occupied or used by the City for the purpose of providing Utility Service and all related Services offered by the City to the general public, the rights of which were acquired by easements appurtenant or in gross, or other interests or estates in real property, or the highest use permitted to be granted by the nature of the City’s interest in and to the affected real property. This term incorporates all public Service Easements for Utility Services that have been recorded by the City with the Recorder of the County of Santa Clara, California. Public Works Department See City of Palo Alto Public Works Department. Rate Schedule One or more Council-adopted documents 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 Materials Materials designated by the City as suitable for collection and transport to a material recovery facility for processing into a recycled content product, including, but not limited to newspaper, paper, cans, corrugated cardboard, glass and certain types of plastic, and metals. Refuse Service Refuse Service includes weekly collection, processing and disposal of Solid Waste, weekly collection and processing of Recyclable Materials, weekly collection and processing of Compostable Materials and construction and demolition waste, street sweeping service, the household hazardous waste program, and the annual Clean Up Day. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 22 Reliability Network Upgrades The transmission facilities at or beyond the point where CPAU’s Distribution System interconnects to the CAISO controlled grid that are necessary for the Interconnection of one or more Generating Facility(ies) safely and reliably to the CAISO-controlled grid, . Renewable Electrical Generation Facility A Generation Facility eligible for NEM 1 under California Public Utilities Code section 2827 et seq. as the same may be amended from time to time. Reserved Capacity For a Customer with one or more non-utility generators located on the Customer’s side of the Point of Common Coupling, the Reserved Capacity for each billing period is the lesser of 1) the sum of the Maximum Generation for that period for all non-utility generation sources; or 2) the maximum average Customer Demand in kilowatts taken during any 15-minute interval in the billing period, provided that in case the Load is intermittent or subject to violent fluctuations, the City may use a 5-minute interval. Residential Service Utility Service provided to separately metered single family or multi-family domestic dwelling. Restoration of Service The reactivation of a Utilities Account after: a) payment is received after Disconnection for non-payment, or b) the operating condition of a Customer’s facility is brought into compliance with CPAU requirements. See Utilities Rule and Regulation 9, “Disconnection, Termination, and Restoration of Service.” Rules and Regulations See Utilities Rules and Regulations Scheduling Coordinator An entity providing the coordination of power schedules and nominations to effect transportation and distribution of Gas, 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(s) Utility Services offered by the City of Palo Alto include Electric, Fiber Optics, Gas, Water, Wastewater Collection services provided by the Utilities Department (CPAU); and Refuse Service, Wastewater Treatment, and Storm and Surface Water Drainage Services provided by the Public Works Department. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 23 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. Service Drop The overhead Electric Service conductors from the last pole or other aerial support to and including the splices, if any, connecting to the service entrance conductors at the building or other structure. Or, in the case of Fiber Optic Drops, the overhead Fiber Optics cable from the last pole or other aerial support to the building or other structure to and including the termination box. Services or Service Lines The Facilities of CPAU, excluding transformers and Meters, between CPAU’s infrastructure and the Point of Delivery to the Customer. Service Territory The geographic area within the boundaries establishing the city limits of Palo Alto and served by CPAU’s physical Distribution System. Sewer Lateral The Sewer Lateral is a pipe that takes an individual building’s Wastewater to the Wastewater Main in the Public Right-of-Way or in a Public Utility Easement. Short Circuit (Current) Contribution Ratio (SCCR) The ratio of the Generating Facility’s short circuit contribution to the short circuit contribution provided through CPAU’s Distribution System for a three-phase fault at the high voltage side of the distribution transformer connecting the Generating Facility to CPAU’s Distribution System. Simplified Interconnection An Interconnection conforming to the minimum requirements as determined under Utilities Rule and Regulation 27. Single Line Diagram; Single Line Drawing DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 24 A schematic drawing, showing the major Electric switchgear, Protective Function devices, wires, Generators, transformers and other devices, providing sufficient detail to communicate to a qualified engineer the essential design and safety of the system being considered. Smart Inverter A Generating Facility’s inverter that performs functions that, when activated, can autonomously contribute to grid support during excursions from normal operating voltage and frequency system conditions by providing: dynamic reactive/real power support, voltage and frequency ride-through, ramp rate controls, communication systems with ability to accept external commands and other functions. Solid Waste Solid Waste means solid and semisolid wastes, generated in or upon, related to the occupancy of, remaining in or emanating from residential premises or commercial premises, including garbage, trash, rubbish, ashes, industrial wastes, manure, animal carcasses, solid or semisolid wastes, and other solid and semisolid wastes. Solid Waste shall not include liquid wastes or sewage, abandoned vehicles, hazardous waste, recyclable materials or compostable materials. Special Facilities Special Facilities are facilities requested by an Applicant in addition to or in substitution for standard facilities which CPAU would normally provide. Splice A point where two separate sections of Fiber are physically connected. Standby Service The back-up Energy Services provided by CPAU. State Energy Surcharge The California State Board of Equalization administers the Energy Resources Surcharge Law, as authorized under the Revenue and Taxation Code (section 40016). The surcharge is imposed upon the consumption in California of electrical energy purchased from an electric utility on and after January 1, 1975. Every electric utility in California making energy sales to consumers must collect and remit to the state the amount of surcharge applicable to its consumers. Information on the surcharge and current surcharge rate can be found at the California Board of Equalization’s web site. Storm and Surface Water Drainage A Utility Service provided to residents and business owners in the City of Palo Alto. Storm and Surface Water Drainage Service is provided by the City of Palo Alto Public Works Department. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 25 Submetering Utility submetering is the implementation of a system that allows a landlord, property management firm, condominium association, homeowners association, or other multi-tenant property to bill Master-Metered tenants for Utility usage. See Utilities Rule and Regulation 11, “Billing, Adjustment, and Payment of Bills.” Supplemental Review A process wherein CPAU further reviews an Application that fails one or more of the Initial Review Process screens. The Supplemental Review may result in one of the following: (a) approval of Interconnection; (b) approval of Interconnection with additional requirements; or (c) cost and schedule for an Interconnection Study. System Integrity The condition under which a Distribution System is deemed safe and can reliably perform its intended functions in accordance with the safety and reliability rules of CPAU. Tax Any assessment, Charge, imposition, license, or levy (including any Utility Users Tax) and imposed on Charges by any Agency, including the City. Telemetering The electrical or electronic transmittal of Metering data in real-time to CPAU. Temporary Service When Service is 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 (Christmas trees), carnivals, rock crushers or paving plants. Temporary Service does not include Emergency, breakdown, or Standby Service. Termination of Service When one or more Utilities services are interrupted until a Customer’s operating condition is brought into compliance with CPAU regulations and requirements. This is assumed to be a temporary situation unless service is permanently terminated and the Account is closed. See Utilities Rule and Regulation 9, “Disconnection, Termination, and Restoration of Service.” Therm A Therm is a unit of heat energy equal to 100,000 British Thermal Units (Btu). It is approximately the energy equivalent of burning 100 cubic feet (often referred to as 1 ccf) of natural Gas. Since Meters measure volume and not energy content, a Therm factor is used to convert the volume of Gas used to its heat equivalent, and thus calculate the actual energy use. The Therm factor is usually in the units DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 26 therms/ccf. It will vary with the mix of hydrocarbons in the natural Gas. Natural Gas with a higher than average concentration of ethane, propane or butane will have a higher Therm factor. Impurities, such as carbon dioxide or nitrogen lower the Therm factor. Total Rated Generating Capacity Total Rated Generating Capacity will be calculated as the sum of the rated generating capacity of all installed Renewable Electrical Generation Facilities participating in NEM 1 or NEM 2. The rated generating capacity for each individual Renewable Electrical Generation Facility participating in NEM 1 or NEM 2 will be calculated as follows: 1. For Solar: For each Renewable Electrical Generation Facility that is a solar photovoltaic generating facility, CPAU will use the CEC’s Alternating Current (AC) rating; or where the CEC AC rating is not available, CPAU will multiply the inverter AC nameplate rating by 0.86; and 2. For Non-Solar: For all other Renewable Electrical Generation Facilities, CPAU will use the AC nameplate rating of the generating facility. Transfer Trip A Protective Function that trips a Generating Facility remotely by means of an automated communications link controlled by CPAU. Transmission Pathway Those areas of the Public Right-of-Way, the Public Utility Easements and the Leased Service Properties in which the Dark Fiber Infrastructure is located. Transmission System Transmission facilities owned by CPAU that have been placed under the CAISO’s operation control and are part of the CAISO-controlled grid. 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 electric or telecommunication wires, and associated overhead structures are prohibited or as otherwise defined in Section 12.04.050 of the PAMC. DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 27 Unintended Island The creation of an Island, usually following a loss of a portion of CPAU’s Distribution System, without the approval of CPAU. Unsafe Operating Conditions Conditions that, if left uncorrected, could result in harm to personnel, damage to equipment, loss of System Integrity, or operation outside pre-established parameters required by the Interconnection Agreement. Upper Sewer Lateral See Private Lateral. Utilities Department See City of Palo Alto Utilities Department. Utilities Director The individual designated as the Director of Utilities Department under Section 2.08.200 of the Palo Alto Municipal Code, and any Person who is designated the representative of the director of utilities. Utility(ies) Rules and Regulations, Rules and Regulations The compendium of Utilities Rules and Regulations prepared by the City’s Utilities and Public Works Departments and adopted by ordinance or resolution of the Council pursuant to Chapter 12.20 of the Palo Alto Municipal Code, as amended from time to time. Utility(ies) Service(s), Service(s) Electric, Fiber optics, Water, Gas, Wastewater collection services provided by the City of Palo Alto Utilities Department (CPAU), and Refuse Service, Wastewater Treatment and Storm and Surface Water Drainage services provided by the CityPublic Works Department. Utility Service Application (Application) A general CPAU Application form documenting an Applicant’s request for Electric, Water, Gas and Wastewater Service. The Application documents the Applicant’s contact information, billing information and basic electric, water, gas and wastewater loading data necessary to approve, design and install sufficient facilities based on Load and usage information provided by the Applicant. Utility Users Tax (UUT) A City of Palo Alto Tax imposed on Utility Charges to a Water, Gas, and/or Electric Service Customer. This Such Charges subject to Tax may include Charges made for Electricity, Gas, and Water and Charges for Service including Customer Charges, Service Charges, Standby Charges, Charges for Temporary DEFINITIONS AND ABBREVIATIONS RULE AND REGULATION 2 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No 28 Services, Demand Charges, and annual and monthly Charges, as described in Chapter 2.35 of the Palo Alto Municipal Code. Wastewater Utility Service provided to residents and business owners in the City of Palo Alto. Wastewater Utility Services include collection and treatment of wastewater. Wastewater Collection Service is provided by the City of Palo Alto Utilities Department, and Wastewater Treatment Service is provided by the City of Palo Alto Public Works Department. Wastewater Main The collector pipes for numerous Sewer Laterals from an area or neighborhood. Wastewater Mains convey the wastewater to larger trunk sewer lines or to a water quality treatment plant. Water A Utility Service provided to residents and business owners in the City of Palo Alto for retail use. Water Service is provided by the City of Palo Alto Utilities Department. Water Distribution The process of delivering potable water to customers on a utility’s distribution system. Transmission lines carry potable water from the San Francisco Public Utility Commission’s Hetch Hetchy System to receiving stations in Palo Alto, which then distribute the water over distribution lines that extend throughout the Service Territory. In cases of reduced water supply from Hetch Hetchy, local wells in Palo Alto can also withdraw potable water from local aquifers and inject it into the Water Distribution System. Water Column (WC) A pressure unit based on the difference in inches between the heights of water columns as measured in a manometer. 6” WC = 0.217 psi; 7” WC = 0.25 psi. (END) ACCESS TO PREMISES RULE AND REGULATION 8 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 1 A. RIGHT OF ACCESS 1. Customers must provide CPAU with immediate and unhindered access to and from Customer Premises for any purpose connected with providing Utility Service, including, but not limited to, inspection, Meter reading, testing, maintenance, removal, and replacement of facilities and equipment. This access includes keeping Customer ensuring all facilities located on Customer Premises that are associated with CPAU’s provision of Utility Service are clear of vegetation, debris, shields, construction or any other obstruction. Such access is a condition of taking Service from CPAU, and applies to all facilities and equipment associated with CPAU’s provision of Utility Service that are located on Customer Premises, including facilities within locked or enclosed areas. If the Customer is not the owner of the Premises, the Customer must obtain all required permissions for CPAU access from the Premises owner. 2.1. 1. The Customer is responsible for keeping the Meter, vault or box, and any gas valve or anode test boxes, if those are located on Customer Premises, clear of vegetation, debris, shields, construction or any other obstruction, so that the facilities are accessible for reading and maintenance 3.2.When access to Customer’s Premises is not immediate and unhindered, CPAU may take any enforcement actions permitted by Law, including, but not limited to, requiring Customer to provide a new and approved location for facilities or equipment at the Customer’s expense, or discontinuing or terminating Service. B. SPECIAL ACCESS REQUIREMENTS FOR METERS 1. The requirements of this Section B apply in addition to those outlined in Rule and Regulation 15 (Metering Equipment). 1.2.Meters must be installed on the exterior of the building at ground level, unless otherwise authorized in writing by the Utilities Director or his/her designee. 2.3.If CPAU is unable to read the Customer’s Water, Electric, and/or Gas Meter due to physical or security conditions imposed by the Customer or created on the Premises, CPAU may, at its option, estimate the Customer’s Meter Read for up to three months. 3.4.If Meter access has not been possible for the three consecutive months CPAU will notify the Customer by registered mail. If the Customer does not acknowledge receipt of the registered mail within two weeks of receipt of such notice, indicating how and when Meter ACCESS TO PREMISES RULE AND REGULATION 8 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 2 access will be provided, CPAU will initiate discontinuance or termination of Service. Such acknowledgment by the Customer must be made in writing or by calling the CPAU telephone number provided to the Customer in the registered notice. 4.5.If CPAU, its agents, and employees are denied access to its Meter(s) for greater than three consecutive months within a twelve-month period, CPAU may require the Customer to move the Meter(s) to a location on the Premises that shall be accessible to CPAU personnel for purposes of furnishing or maintaining Utility Service. The cost to relocate the Meter(s) shall be borne by the Customer. 5.6.Failure to relocate such Meters within 90 days of receipt of notice from CPAU of the requirement to relocate the Meter(s) will result in termination of Service. Service terminated under this provision will not be restored until the Meter relocation has been completed and has successfully passed such inspections as may be required by both CPAU and City’s Planning and Community Environment Department. (END) DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 1 A. CUSTOMER-INITIATED TERMINATION OF UTILITY SERVICE 1. A Customer requesting termination of Utility Service(s) must notify the CPAU Customer Service Office at least three business days before the Service termination effective date. Upon receipt of such notice, CPAU has no obligation to render Service after the effective date of such change, and CPAU will discontinue the Customer’s responsibility for bills for Service supplied to the Premises after that date. 2. A Customer vacating a Premise to move to another Premise served by CPAU, but wishing Service to continue beyond the date vacated, must provide an effective date of termination to the CPAU Office or Call Center at the time of the request for establishment of Service for the new Premise. The Customer is financially responsible for all Service supplied prior to the Service end date, and Customer must provide a forwarding address for final billing purposes. B. CPAU-INITIATED TERMINATION OR DISCONNECTION OF SERVICE CPAU may terminate or disconnect Utility Service when an existing Customer, through action or inaction, has not complied with Utility Service requirements as stated in these Rules and Regulations, or other applicable laws. CPAU will terminate or disconnect Utility Service as a last resort. Actions that warrant termination or disconnection of Service include, but are not limited to, the following: 1. Use of Utility Services without having first complied with the requirements for Service. Customers will be responsible for all associated Charges from the date of initial Service as determined by CPAU, up to the maximum period allowed by law. 2. Vacating Premises without notification to CPAU. 3. Tampering, damaging, interfering with or destroying CPAU equipment, facilities or property. Customers will be liable for all damage to CPAU arising from negligence, lack of proper care, or wrongful act of the Customer or Customer’s tenants, agents, employees or contractors. DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 2 4. Nonpayment of bills or any proper Charges from special fees, licensing agreements, loans or returned check(s) due to insufficient funds in Customer’s bank account; failure to establish credit, failure to provide adequate credit information, or failure to provide required deposits. C. PROCEDURES FOR CPAU-INITIATED DISCONNECTION OF SERVICE 1. Prior to physical or remote disconnection for non-payment, CPAU will provide two written notices to the Customer, and/or the third party the Customer has designated to receive such notices, as applicable: a. 10-Day Late Notice: The first “Late Notice” is issued 5 days after the bill due date and informs Customer that a late fee has been charged, and Customer must pay the overdue amount by the date specified to avoid disconnection of Service. b. 48-Hour Disconnect Notice: If payment is not received by the date specified in the 10-day notice, a Disconnect Notice will be delivered to the Customer’s Premises, notifying the Customer that payment must be received within 48 hours or Utilities Services will be disconnected for non-payment. If payment is not received within the 48-hour period, Utilities Services may be disconnected without further notice. The 48-hour Disconnect Notice will include: (1) The name and address of the Customer whose Account is delinquent. (2) The amount of the delinquency and late fee. (3) The date by which payment or arrangements for payment is required to avoid disconnection of Service. (4) The procedure by which the Customer may initiate a complaint or request an investigation concerning Service or Charges; except that, if the bill for Service contains a description of that procedure, the notice is not required to contain that information. DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 3 (5) The procedure by which the Customer may request amortization of the unpaid Charges. (6) The procedure for the Customer to obtain information on the availability of financial assistance, including private, local, state, or federal sources, if applicable. (7) The telephone number of a representative of CPAU who can provide additional information or institute arrangements for payment. 2. Customers may contact CPAU Customer Service Center to discuss options for averting disconnection of Service for non-payment: IN PERSON City of Palo Alto Utilities Customer Service Center, Ground Floor 250 Hamilton Avenue Palo Alto, CA 94301 PHONE: 650-329-2161 BY MAIL City of Palo Alto Utilities Customer Service Center PO Box 10250 Palo Alto, CA 94303 BY E-MAIL UtilitiesCustomerService@cityofpaloalto.org 3. Deferred or Reduced Payments Policy: Customers may contact CPAU Customer Service Center to request deferred or reduced payments based on Customer’s demonstrated financial need. CPAU will notify the Customer in writing of the terms of deferred or reduced payment. 4. Alternative Payment Schedule Policy: Customers may contact CPAU Customer Service Center to request an alternative payment schedule based on Customer’s demonstrated DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 4 financial need. An example of a possible alternative payment schedule is the Budget Billing Payment Plan (BBPP) found in Rule and Regulation 11, “Billing, Adjustment and Payment of Bills.” CPAU will notify the Customer in writing of the terms of the alternative payment schedule. 5. To avoid disconnection of Utility Service, a Customer’s outstanding Account balance may be transferred to another Account in the same class of Service in that Customer’s name at another location served by CPAU. 6. To avoid disconnection of Utility Service, CPAU may extend payment arrangements for the unpaid Account balance to accommodate a Customer’s financial situation. If the Customer fails to meet the terms of the payment arrangement, the outstanding balance will become immediately due and payable, and the Account Service(s) will be subject to disconnection after expiration of a 48-hour Disconnect Notice. 7. Customers whose Utility Service has been disconnected for non-payment will have their Accounts referred to a collection agency when past-due balances exceed 180 calendar days. 8. Residential metered Utility Services will not be disconnected for non-payment of a bill on any Friday, Saturday, Sunday, legal holiday or at any time during which the Utilities Customer Service Office or Call Center is closed. Online payments may take up to 24 hours to be received by CPAU. 9. Utility Service will not be disconnected for non-payment of an incorrect bill until the corrected bill becomes past due. 10. CPAU’s Disputed Bills Policy can be found in Rule and Regulation 11, “Billing, Adjustment, and Payment of Bills.” 11. Utility Service will not be disconnected for non-payment of a disputed bill during investigation or review by CPAU. The non-disputed portion of the Utility bill will remain due and payable. CPAU findings and resolution of a disputed bill will be communicated to the Customer within thirty calendar days of the Customer’s notification to CPAU of the bill dispute. DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 5 12. Customers in need of assistance with bill payment for their Utility Service, due to a reduction in household income resulting from a member of the household being called to active duty status in the military, may apply for shut-off and payment protections for a period of 180 days, pursuant to the California Military and Veterans Code, Section 827, as amended. CPAU, at its option, may extend these protections for an additional 180 days. D. PRIOR NOTICE EXCUSED IN CERTAIN SITUATIONS CPAU may immediately terminate Utility Services, without notice, for an unauthorized action of a Customer, including, but not limited to: 1. Theft of Utility Service. 2. Willful waste of Water. 3. Unsafe wiring or equipment on Customer Premises or wiring or equipment that fails to meet CPAU standards or applicable law. CPAU reserves the right to inspect if CPAU staff reasonably believes that unsafe conditions exist. If the Customer discovers any defect in their Utility Service, the Customer must notify CPAU immediately. 4. Use of Customer equipment that imposes an electrical Load adversely affecting CPAU’s Distribution System operation, Service capacity, or Service to its other Customers. Any Customer that operates Electric equipment including, but not limited to, pumps, welders, furnaces, compressors or other equipment where the use of Electricity is intermittent, and causes significant voltage fluctuations or electromagnetic interference to other Customers, must reasonably limit such impacts or interference upon request by CPAU. The Customer may be required to permanently mitigate any ongoing disruption to the Electric Distribution System to an acceptable level established by CPAU, or avoid the use of such equipment. Failure to comply with such mitigation and/or limitation requests may result in immediate termination of Utility Service. 5. Placement, construction, or maintenance of any structure, vegetation, debris, or other object upon the Customer’s Premises that, in CPAU’s judgment, endangers the safe and DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 6 reliable operation or maintenance of CPAU overhead or underground Electrical, Fiber Optic, Water, Gas and Wastewater facilities. E. REMOTE DISCONNECT/RECONNECT CPAU will use the remote disconnect reconnect enabled electric meter function for Customer Electric Meters on Customer Electric Services. The use of remote disconnect reconnect Electric Meters allows for the disconnection and/or reconnection of an Electrical Service to a Service address without CPAU staff being physically present where the electric Meter is located. Customer is fully responsible for any impacts resulting from the disconnection at the Service address. CPAU reserves the right to remotely reconnect the Electric Meter and it is the Customer’s full responsibility to ensure that all equipment and appliances at the service address pose no potential hazard if and when the Electric Meter is reconnected and the Electric Service is restored. Remote disconnect reconnect enabled Electric Meters may be installed at any location identified by CPAU using the following guidelines: • A service address that has a high rate of move-in and move-out events where multiple Accounts are opened and closed within a 36-month span. • Any service address that has been physically disconnected for non-payment more than one time in the previous 12 months. • A Meter site location is deemed inaccessible or hazardous for CPAU personnel to access. E.F. RESTORATION OF SERVICE 1. CPAU will physically restore or remotely reconnect Service to a disconnected Account when the financial cause for disconnection has been rectified and Customer has paid all proper Charges due, including any additional deposits or reconnection Charges. 2. CPAU will physically restore or remotely reconnect Service to a terminated Account when it determines that the physical cause for termination has been rectified, safe operating conditions have been restored, and the engineering and operations requirements for Service have been met, including compliance with CPAU Rules and Regulations. DISCONNECTION, TERMINATION AND RESTORATION OF SERVICE RULE AND REGULATION 9 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019 TBD Sheet No 7 (END) METER READING RULE AND REGULATION 10 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD6-27-2016 Sheet No. 1 A. BILLING PERIOD 1. CPAU will attempt to read Water, Gas, and Electric Meters at consistent intervals ranging from 27-33 days for each Billing Period. 2. Under normal conditions, bills will be based upon actual Meter readings. Under abnormal conditions, such as, but not limited to Meter malfunction, lack of access to the Meter, or CPAU staffing limitations, the bill for a Billing Period may be based upon estimated Meter readings taken from the historical record of consumption at the Premises. To correct any inaccuracies arising from the use of an estimated Meter reading, CPAU will make reasonable efforts, but does not guarantee, that it will obtain a Meter reading for the following Billing Period based on an actual Meter reading. 3. CPAU may estimate bills for unmetered Utility Service, for Utility 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 Billing Period for the same Premise and equivalent Billing Period for the prior year. Such bills shall be due and payable by the Customer. 4. When the estimated Meter reading is higher than the actual Meter reading, adjustments for consumption and cost will be made to the Customer’s next regularly scheduled bill. B. MULTIPLE METERS FOR SAME SERVICE 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 Schedules or via contract with the Customer; 2. Where CPAU’s operating convenience or necessity requires the installation of two or more Meters on the Customer’s Premises. METER READING RULE AND REGULATION 10 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD6-27-2016 Sheet No. 2 C. “CUSTOMER READS OWN METER” PROGRAM The “Customer Reads Own Meter” program allows Customers to be responsible for the reading of CPAU Meters located on their property. The Customer sends the Meter readings to CPAU for entry into CPAU’s computer billing system. It is the Customer’s responsibility to furnish the readings to CPAU in accordance with the Meter reading schedule that CPAU will provide upon the Customer’s entry into the program. Customer participation in this program is at the sole discretion of CPAU. 1. If a Customer reading is not received by CPAU in time for billing, an estimated read(s) will be made by CPAU. Failure by the Customer to consistently provide Meter readings shall result in termination of participation in the “Customer Reads Own Meter” program. 2. In the event the Customer fails to provide readings for two consecutive months, CPAU may require the Customer to provide access to the Meters, or relocate them, at the Customer’s expense, to an accessible location on the property, in accordance with such CPAU Rules and Regulations, procedures, and standards that apply to relocation of Service. 3. On an annual basis, CPAU will read the Meters for verification. For such purposes, Meter access by CPAU personnel at reasonable hours must be provided by the Customer. D. OPT-OUT OF ELECTRIC AND GAS ADVANCED METERING Customers may choose to opt out and temporarily keep their existing (legacy) Meter by notifying CPAU before a new Advanced Metering Infrastructure (AMI)-enabled Meter is installed. If Customer contacts the CPAU after the AMI Meter is installed, the AMI Meter’s radio transmission communications will be turned off and disabled remotely, and Meters will be read manually. Unless Customer specifically opts out in the advertised opt-out period: • All Customers will be upgraded to advanced metering • New accounts will automatically participate in advanced metering. 1. Eligible Customers • Customers selecting to opt out of AMI (either with legacy Meter or inactive advanced Meter) must participate in the “Customer Reads Own Meter” program. • Customer must sign a form acknowledging fees, terms, and conditions of the “Customer Reads Own Meter” program. METER READING RULE AND REGULATION 10 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD6-27-2016 Sheet No. 3 • As part of the “Customer Reads Own Meter” program, Customer must provide access for CPAU to read the Meters for verification on an annual basis. For such purposes, Customer must provide Meter access to CPAU personnel during regular business hours. • Customer must opt out at the Account level, and the opt out must be completed by the Account holder. 2. Ineligible Customers Customer will be ineligible to opt out or Customer’s prior opt-out selection will be revoked if a Customer has a record of any of the following: • Equipment tampering or electric/water/gas diversion • Account is not current, not in good standing, or not in compliance with Utility Rules and Regulations • Obstructed Meter access for Meter reading and/or Meter maintenance • A Meter site location that CPAU deemed inaccessible or hazardous for City of Palo Alto personnel to access. 3. Opt-out Fees a. Set Up Charge. The set up Charge is per residence, not per Meter. If Customer has both an electric and gas Meter at their property, only one setup charge will be added to the Account billing statement. However, if Customer would like to opt- out for other residences on their Account, there is a setup Charge for each additional location. • Legacy electric/gas meters: A one-time non-refundable set up Charge in the amount shown in Rate Schedule C-1 will be billed on the residential Customer Account. For Customers in the low-income program RAP, a reduced the one-time non-refundable set up Charge as set forth in Rate Schedule C-4 will be billed on the residential Customer Account. b. Monthly Fees. In addition to the applicable monthly Customer Charge for Service, a non- refundable monthly fee as shown in Rate Schedule C-1 will be billed to the residential Account. For Customers in the low-income program RAP, a non-refundable monthly fee in the amount shown in Rate Schedule C-4 will be billed to the residential Account. The fee will cover the expense of processing Customer self- reads. c. There is no fee to opt in to AMI. 4. Opt-out Process: a. Enrollment in Opt-out program: METER READING RULE AND REGULATION 10 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD6-27-2016 Sheet No. 4 For Customer’s convenience, there are multiple ways to opt out of the advanced Meter program. • Use the online form on the CPAU Advanced Metering Infrastructure webpage. • Submit an opt-out request by visiting the City of Palo Alto Utilities Office, 250 Hamilton Ave. Ground Floor, Palo Alto CA 94301. • By phone, by calling at (650) 329-2161. b. Meter Maintenance and Reading for Opt-out Customers • Customers who opt out of advanced metering infrastructure (AMI) can keep their existing legacy meter until the opt out period expires. • If an advanced Meter has been installed or a legacy Meter is not available, CPAU will disable the advanced Meter’s radio transmission communications. • Customer will be required to participate in the CPAU “Customer Reads Own Meter” program. This program allows a Customer to read (or photograph) their own Meter and submit that information to CPAU on a monthly basis. Submit Reads: Email: meter.readings@cityofpaloalto.org Mail preprinted Meter Read Cards: City of Palo Alto Utilities, Ground Floor Palo Alto, CA 94301 Online, through the Meter Reading Form D.E. METER READING ERRORS Under certain circumstances, CPAU will adjust a Customer’s bill for reasons of accuracy. (See CPAU Rule 11 regarding billing adjustments related to error or malfunction.) 1. 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. 2. When a Meter reading error has been identified, the Customer will be notified of the correction within 30 calendar days. (END) METERINGMETERING EQUIPMENT RULE AND REGULATION 15 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 1 A. OWNERSHIP OF AND RESPONSIBILITY FOR METERING EQUIPMENT CPAU will furnish, own and maintain all Gas Regulators and all Meters for measuring Electric, Water, and Gas usage by the Customer. In addition, CPAU will furnish, own and maintain all Meter-related equipment including: instrument transformers, phase shifting transformers, test switches, and connecting circuitry necessary for measuring Electricity used by the Customer. B. METER INSTALLATIONS 1. LOCATION a. All Meters will be installed by CPAU upon the Customer’s Premises, and located to be at all times accessible by CPAU or its authorized representatives for maintenance, inspection, reading, and testing. Meter location must be approved by CPAU; placement of Meters above the ground-floor level is not permitted. b. When required in order to comply with current CPAU Rules and Regulations and Utility Standards, the Customer must, at the Customer’s own expense, relocate the Meter or Meters to a CPAU-approved location. 2. MULTIPLE-OCCUPANCY BUILDINGS In buildings in which separate Meters are required for each unit to measure separately the Electric Service, Gas or Water supplied to individual Customers, Meters for each Service will be located at one central point, per the CPAU standards or as otherwise specified by CPAU. The building owner must clearly mark each Meter position to indicate the particular location supplied by the Meter. Each Water and Gas houseline must be tagged with a brass identification plate showing the final and legal address served by each Meter. If more than one Gas or Water Meter is required to serve a multiple-occupancy building, such as a condominium or townhome, a Public Utility Easement will be required for the Water and Gas Service Lines and Meters. 3. SEALING OF METERS All CPAU Meters will be sealed by CPAU and no such seal may be tampered with or broken except by an authorized representative of CPAU. If a Meter is tampered with, bypassed or otherwise compromised by the Customer, CPAU METERINGMETERING EQUIPMENT RULE AND REGULATION 15 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 2 may discontinue and remove the Service in addition to charging for the estimated amount of Utilities used, and pursue all available civil and criminal remedies. If Service is removed, Customer will be responsible for the expense of removal and installation of new Service before the new Service is re-installed and activated. 4. ELECTRIC DEMAND METERS Generally, Demand Meters will 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 will be determined by a Load check. 5. ADDITIONAL METERING EQUIPMENT CPAU may, at its discretion and at its cost, install additional Metering Equipment for the purpose of system meeting quality control purposesstandards, updating outdated equipment, or otherwise improving the the functionality of its Utility Services. 6. CAPACITY OF METERS a. CPAU will set Water and Gas Meters to match the Customer’s Demand as stated on the Customers Utility Application/load sheet. CPAU may install Meters with a capacity greater than needed to supply the stated demand if the Customer pays all applicable fees associated with the larger Meter. It is the Customer’s responsibility to submit an accurate Utility application/load sheet for Meter and Service capacity sizing. b. CPAU may, at its option, meter delivery to Primary Service Customers at Secondary Service voltage, and apply an adjustment factor to compensate. C. METER TESTS 1. 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, under conditions of normal operation, the Electric, Gas, or Water Meter is found by test to register more than two percent (2%) faster. Otherwise, the deposit will be retained by CPAU to offset a portion of the cost of making such test. Deposits made for Meter accuracy testing will be returned or waived if CPAU determines that the Meter’s current condition requires testing or replacement in advance of the Meter’s scheduled replacement date. METERINGMETERING EQUIPMENT RULE AND REGULATION 15 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 3 2. 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. 3. 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 indicates satisfactory test conditions for a particular manufacturer and a particular shipment. No Electric, Gas or Water 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. D. 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 whom 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 to CPAU. Developments with such central systems may continue to qualify for Master-metering. 2. NONRESIDENTIAL CPAU need not serve Premises directly, but will 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 methods of calculation acceptable to CPAU) to be more energy efficient and at a more favorable cost-benefit ratio than would be the case if individual Metering were installed. METERINGMETERING EQUIPMENT RULE AND REGULATION 15 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 4 b. The building is designed to be subdivided or modified after construction to meet changing space needs of multiple tenants. 3. MULTI-UNIT STRUCTURES CONSTRUCTED AFTER JANUARY 1, 2018 New multiunit residential structures or mixed-use residential and commercial structures constructed after January 1, 2018 must include a submeter for each dwelling unit, so that tenants can be billed accordingly for their Water use. Requests for Master-metered multi- family Residential Service are subject to review and approval by CPAU. 4. SEPARATE METERING IMPRACTICAL Where, in the sole opinion of CPAU, it is impractical for CPAU to meter individually each Premise or unit, CPAU may meter only those Premises or units that it is practical to meter, if any. E. TOTALIZING METERING CPAU may permit totalizing though a single Electric Meter of the Electricity delivered by two or more separate Services if a Customer is served at primary voltage, has an estimated or actual Load greater than 3,000 kVa, and all Services serve a contiguous site. Any exception to CPAU’s standard Metering requirements must be explicitly addressed by a Rate Schedule or Customer Contract (Rule 5). (END) UTILITY SERVICE AND FACILITIES ON CUSTOMER PREMISES RULE AND REGULATION 18 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 1 A. GENERAL Rule and Regulation 18 outlines the general requirements governing Utility Services and Facilities on Customer Premises in the City of Palo Alto. In addition, for information and Rules specific to each type of Utility Service, please refer to the following Special Utility Regulations: Rule and Regulation 20 – Special Electric Utility Regulations Rule and Regulation 21 – Special Water Utility Regulations Rule and Regulation 22 – Special Gas Utility Regulations Rule and Regulation 23 – Special Wastewater Utility Regulations Rule and Regulation 24 – Special Refuse and Recycling Utility Regulations Rule and Regulation 25 – Special Storm and Surface Water Drainage Utility Regulations Rule and Regulation 26 – Special Fiber Optics Utility Regulation B. SERVICE CONNECTION REQUIREMENTS CPAU will connect Utility Service Lines of suitable capacity to CPAU infrastructure at a Point of Service designated by CPAU, provided that: 1. The property to be connected or upgraded fronts on a public street, highway, alley, lane, or right-of-way along which CPAU has or will install the appropriate infrastructure; or the property has a contiguous Easement or right-of-way along which CPAU has or will install Utility infrastructure. 2. CPAU has approved, as applicable, the Customer’s Utility Service Application and plans, Meter locations, Electric switchboard design and location, Water backflow prevention device and Sewer backwater valve type and location, and any other plan deemed necessary by CPAU to complete the connection and/or upgrade. 3. The Applicant has complied with CPAU and Building Department permit and inspection requirements for the project and completed all installations of required Service equipment and/or facilities in accordance with CPAU-approved plans submitted by the Applicant, the Special Utility Regulations listed in section A above, and any applicable Utility standards. 4. The Applicant has paid in full all required connection Charges and fees. UTILITY SERVICE AND FACILITIES ON CUSTOMER PREMISES RULE AND REGULATION 18 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 2 5. The City’s Building Inspector has approved the installation authorizing Service to be activated and has issued Meter release tags. C. OWNERSHIP AND RESPONSIBILITY FOR SERVICE LINES, FACILITIES, AND EQUIPMENT 1. General a. Unless otherwise noted in other City of Palo Alto Utilities Rules and Regulations or CPAU Standards, all materials, facilities, and equipment installed or used by CPAU, its agents, and employees on Customer Premises will at all times be and remain the sole property of CPAU. Customers must provide CPAU may with immediate and unhindered access to Customer Premises for any purpose connected with providing Utility Service, including, but not limited to be access, repair, replacement, modification or removale of such Utility facilities, equipment or material, at any time. CPAU will attempt to notify and coordinate material and equipment modifications with Customers when possible and in non- emergency situations. b. Customers must exercise reasonable care to prevent CPAU equipment on Customer Premises from being damaged or destroyed and must refrain from interfering with same. Customers must immediately notify CPAU upon the discovery of any defect in CPAU equipment. c. No rent or other Charge whatsoever is permitted to be charged by the Customer against CPAU for placing, maintaining or accessing any Meters, equipment, substations or other facilities on the Customer’s Premises that are required to install, maintain, upgrade or otherwise provide Utility Service. D. INSTALLATION OF SERVICE CONNECTION: 1. Only authorized employees or agents of CPAU are allowed to connect Customers’ Electric, Gas, or Fiber Optic Service to, or disconnect those Services from, CPAU’s infrastructure. 2. If the City allows Customers to connect or disconnect the Customer’s Water or Wastewater Service from the City’s distribution/collection system, then the work UTILITY SERVICE AND FACILITIES ON CUSTOMER PREMISES RULE AND REGULATION 18 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective 10-21-2019TBD Sheet No. 3 shall be observed by and the installation must be approved by a CPAU Water, Gas, and Wastewater Utilities Inspector. E. RELOCATION OR MODIFICATION OF SERVICE CONNECTIONS 1. The Customer is responsible for all costs associated with relocation or modification of Utility facilities or equipment initiated at the Customer’s request, or to provide Utility Service to new load. Under the City’s Low Carbon Fuel Standard Program, a credit may be available towards costs for Utility equipment modifications required by the installation of Electric Vehicle Supply Equipment at single family or multi-family residential sites, as described in Rate Schedule E-15. 1.2.CPAU may, at its discretion, relocate or modify Utility Service Lines or Points of Service for the purpose of meeting quality control standards, updating outdated equipment, or otherwise improving the functionality of Utility Services. (END) SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 1 GENERAL In addition to the general requirements outlined in Rule and Regulation 18 for Utility Services and Facilities on Customers’ Premises, the following is required: B. ELECTRIC SERVICE CONNECTION REQUIREMENTS 1. FACILITIES ON CUSTOMER PREMISES a. The Customer is responsible for the installation of all equipment from the facility to the designated Point-of-Service. For underground systems, this includes conduit and conductors. For overhead systems, because the Point-of-Service is the weatherhead or point of attachment to the facility, this includes the mast or riser and all conductors therein. b. The Customer is responsible for installing and maintaining all substructures (including, but not limited to, conduits, underground vaults or boxes, and covers) on the Customer’s Premises that are reasonably required for CPAU to provide Electric Service, at the Customer’s expense and in accordance with CPAU requirements, standards, and specifications. Substructures are owned and maintained by the Customer, for CPAU’s exclusive use. The Customer is responsible for repairing or replacing the substructure for any reason deemed necessary by CPAU, including deterioration to the extent that the existing conductors/cables cannot be removed. c. The Customer is required to provide all substructure between the Customer’s Service entrance equipment and the nearest available Point of Service connection, as determined by CPAU. This Point of Service is typically a splice box located near the street and may be in the Public Right-of-Way. In the case of rear easements, this point is typically at a splice box or at the base of a pole riser. d. Upon approval by CPAU of the substructure installed on the Customer’s Premises, CPAU will install Primary Electric Service conductors and a transformer, if needed. The Applicant/Customer is responsible for the full cost of installation in accordance with the applicable sections of CPAU’s Electric Service Connection Charges (Rate Schedule E-15), and/or any applicable Special Facilities Charges. CPAU will determine the type and size of the conductors required. e. CPAU will assume ownership and responsibility for maintenance of Customer- installed underground Electric Service lateral conductors, as defined in the National SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 2 Electric Code Article 100, only if the Service meets CPAU specifications and it has been approved and accepted by the CPAU Electrical Engineering Manager or his or her designee. Where bus duct or extra flexible cable is required and used, CPAU’s maintenance responsibility for conductors ends at the transformer secondary terminals. The bus duct or extra flexible cable is considered to be the Service entrance conductor for which CPAU assumes no responsibility. f. 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 Customer’s Premises, will be furnished, installed, owned and maintained by the Customer in accordance with CPAU requirements. g. The Customer must provide a suitable means for CPAU to place its seal on covers of Service enclosures/troughs and instrument transformer enclosures which protect un-metered live circuits installed by the Customer. Such seals may be broken only by CPAU or its authorized agents. h. CPAU will furnish and install necessary instrument transformers, test facilities and Metering Equipments. i. Notwithstanding the above subsections (a) through (h), CPAU may, at its discretion , furnish and install additional equipment for the purpose of meeting quality control standards, updating outdated equipment, or otherwise improving the functionality of its Utility Services. C. SERVICE CONFIGURATIONS 1. OVERHEAD OR UNDERGROUND a. The standard Service to single family Residential homes in existing overhead areas is overhead. The Director of Utilities or his/her designee can require an underground Service for single family Residential Service in areas where system design requires underground Service or would otherwise require the addition of poles to the system. b. All new Electric Utility Services to Commercial/ Industrial Customers and new subdivisions will be provided by underground facilities on the Customer’s Premises. The on-site underground Electric Utility lines will be provided by the Customer at the Customer’s expense and must meet CPAU specifications. SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 3 2. NUMBER OF SERVICES PER BUILDING Only one Electric Service line is allowed for a building or other Premises, except for commercial properties, under the following conditions: a. Two or more Electric Service Drops or laterals may be extended to a single building provided all wiring supplied for each Service, other than Metering conductors, has no common raceway, connection, or service area with wiring supplied by any other such Service. Approval by the Director of Utilities, or his/her designee, is required, and Special Facilities Charges may apply. b. Two or more sets of Electric Service entrance conductors may be extended to a single switch gear for the purpose of providing additional capacity or for backup protection. Special Facilities and/or reserve capacity Charges may apply. 3. SERVICES FOR TWO OR MORE COMMERCIAL BUILDINGS ON ONE PARCEL Only one Electric Service line is allowed on a parcel with multiple commercial buildings except when the Applicant requests, and CPAU agrees, to install multiple Service Lines. The additional costs, as estimated by CPAU, will be borne by the Customer, including such continuing ownership costs as may be applicable. See Special Facilities (Section J) below. 4. NUMBER OF ELECTRIC 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 Customer’s main switchboard is larger than 400 amps. D. PROTECTIVE DEVICES 1. The Customer is responsible for furnishing, installing, inspecting and keeping in good and safe condition at Customer’s own risk and expense, all appropriate protective devices of any kind or character, which may be required to properly protect the Customer’s facility. CPAU is not responsible for any loss or damage occasioned or caused by the negligence or wrongful act of the Customer, 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. SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 4 2. The Customer is responsible for locating, installing, and maintaining approved protective devices as may be necessary to coordinate properly with CPAU’s protective devices to avoid exposing other Customers to unnecessary Service interruptions. 3. Applicants or Customers who request Primary voltage Service must install, at a minimum, circuit breakers with over-current and ground fault relays. Applicants must submit their planned protection scheme to the City’s Building and Utilities Departments for approval prior to installing any equipment. 4. The Customer is responsible for equipping three-phase motor installations with appropriate protective devices, or for using motors with inherent protective features, to completely disconnect each motor from its power supply. Appropriate protective devices must include the following: a. Protection in each set of phase conductors to prevent damage due to overheating in the event of overload. b. 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 in the event of loss of voltage on one phase. d. Reverse-phase protection to prevent uncontrolled reversal of motor rotation in the event of accidental phase reversal. Appropriate installations include, but are not limited to, motors driving elevators, hoists, tramways, cranes, pumps, and conveyors. 5. The Applicant is responsible for installing and maintaining Service equipment rated for the available short-circuit current at the Point-of-Delivery. This value varies from one location to another, and can change over time. The Applicant must consult CPAU for the short- circuit current at each Point-of-Delivery. 6. Any non-CPAU-owned Emergency standby generation equipment must be installed by the Applicant with suitable protective devices to prevent parallel operation with CPAU’s system. The design must be fail-safe, such as with the use of a double-throw switch to disconnect all conductors. Any exception must include a written agreement or Service contract with CPAU permitting such parallel operation. SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 5 7. Unprotected Service entrance conductors within a building must terminate at a disconnect switch immediately after entering the building. Installation must comply with the National Electrical Code section 230-70, concerning the location of the disconnect switch, and section 230-6, defining conductors considered outside a building. E. INTERFERENCE WITH SERVICE 1. GENERAL CPAU reserves the right to refuse to serve new Loads or refuse 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 may 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 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. 2. HARMFUL WAVEFORM Customers may not operate equipment that superimposes a current of any frequency or waveform onto CPAU’s system or draws current from CPAU’s system of a harmful waveform, which causes interference with CPAU’s operations, Service to other Customers, or inductive interference to communication facilities. Examples of harmful waveform include, but are not limited to: a. Current drawn with high harmonic currents causing transformer or conductor overheating, even if root-mean-square (RMS) loading is within normal limits. b. Current drawn causing voltage distortion adversely affecting CPAU or other CPAU Customers. c. Harmonic currents which exceed the harmonic current distortion limits set in the most recent IEEE Standard 519. In most cases, this equates to a maximum limit of 4% harmonic current on any individual odd harmonic or 5% total harmonic current. 3. CUSTOMER’S RESPONSIBILITY SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 6 Any Customer causing Service interference to others must take timely corrective action. Otherwise, CPAU, without liability and after giving five (5) days written notice to Customer, will take corrective action. Corrective action could include discontinuing Electric Service until a CPAU-approved permanent and operational solution is provided by the Customer, at Customer’s expense. 4. MOTOR STARTING CURRENT LIMITATIONS a. The starting of motors must 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 motor starting 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. F. PHASE BALANCING It is the Customer’s responsibility to maintain a balanced Load, as nearly as practical, between supplied circuit phases. In no case can the Load on one side of a three-wire single-phase service be greater than twice that on the other. In no case can the Load on any one phase of a polyphase service be greater than twice that of any other. G. POWER FACTOR CORRECTION The Customer is required to provide, at Customer’s own expense, Power Factor correction equipment. This equipment must be sized to improve the average Power Factor to at least the level set forth in the applicable Rate Schedule with respect to avoiding a Power Factor penalty. H. SERVICE DISCONNECT AND METER TEST DEVICES 1. All Service disconnects and similar devices, irrespective of voltage, required by Law in connection with a Service and Meter installation on Customer’s Premises, must be furnished, installed and maintained by the Customer. A “Service-disconnecting means”, as defined in the National Electrical Code (NEC), must be installed adjacent to the CPAU Electric Meter(s). Metering equipment must be located on the exterior of the building, unless approved by the CPAU Electric Engineering Manager. 2. When instrument transformers are required by CPAU as part of the Meter installation, SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 7 CPAU will install a Meter test bypass block on a mounting plate that must be furnished by the Customer. When instrument transformers are not required by CPAU, the Customer is responsible for providing the Meter test bypass block. Meter test bypass blocks furnished by the Customer must be approved by CPAU in conjunction with Applicant’s plan submittal. I. SPECIAL POWER SERVICE REQUIREMENTS 1. GENERAL Where a Customer requests voltage control with less variance than what is specified in Rule and Regulation 3 (Description of Utility Services), the Customer must reimburse CPAU for its cost to provide, at CPAU’s sole option and discretion, any special or additional equipment to meet the Customer’s special needs. 2. NONSTANDARD OR EXCESSIVE CUSTOMER REQUIREMENTS a. In order to prevent damage to CPAU’s equipment and impairment of its Service, the Customer must give CPAU notice before making any additions to the connected Load so that CPAU, at its option, may provide such facilities as may be necessary for furnishing the increased Service. b. If a Customer’s Load is of sufficient magnitude that it exceeds the capacity of CPAU’s Distribution System, the Customer may be required by CPAU to shift peak loading to off-peak periods and/or receive service from CPAU’s 60 kilovolt sub- Transmission System. J. SPECIAL FACILITIES 1. Special Facilities are facilities requested by an Applicant in addition to or in substitution for standard facilities which CPAU would normally provide. Standard facilities are for delivery of Service at one point, through one Meter, at one voltage class under CPAU Rate Schedules. 2. CPAU normally installs only those standard facilities which it deems are necessary to provide regular Service in accordance with applicable CPAU Rules and Utility Standards. Where the Applicant requests that CPAU install Special Facilities and CPAU agrees to make such an installation, the additional costs thereof, as estimated by CPAU, will be borne by the Applicant, including such continuing ownership costs as may be applicable. These costs will be calculated by CPAU based on the net present value, and must be paid by the SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 8 Applicant in advance of installation unless alternative payment arrangements are approved by the Director of Utilities. 3. Unless otherwise provided by CPAU’s applicable Rules and Utility Standards, Special Facilities will be installed, owned and maintained by CPAU as an accommodation to the Applicant only if acceptable for operation by CPAU and if the reliability of Service to CPAU’s other Customers is not impaired. 4. Installation of Special Facilities will require a contract between the Applicant and the City of Palo Alto. K. NEIGHBORHOOD FUNDING OF SUBSURFACE EQUIPMENT 1. REPLACEMENT OF SUBSURFACE EQUIPMENT a. Notwithstanding the provisions of Rule and Regulation 3(B)(3), in Underground Utility Districts in which the existing equipment required to provide Electric Service to Customers is subsurface, the Utilities Director, or his/her designee, may, at the end of the service life of such equipment vaults or equipment, authorize their replacement with new subsurface equipment if the following conditions are met: (i) The Utilities Director, or his/her designee, determines that the installation of subsurface equipment is practicable; and (ii) Such installation has been requested by property owners in the manner set forth in this subdivision K; and (iii) The City receives funding for the subsurface installation as set forth in this subdivision K. b. For purposes of this subdivision K, “Neighborhood-Funded Subsurface Installation” means all vaults and equipment the installation of which has been funded pursuant to this subdivision K. c. CPAU operates its utilities in accordance with Prudent Utility Practice. As is always the case with CPAU’s Electric Distribution System and any CPAU-operated equipment, CPAU reserves the right to operate, maintain, rehabilitate, and replace equipment at such time and in such manner as it determines is necessary or useful for the safe and effective operation of the Electric Distribution System. Consequently, nothing in this subdivision K should be interpreted to: SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 9 (i) Require that CPAU, at the end of the useful life of a Neighborhood-Funded Subsurface Installation, replace that equipment with a subsurface installation; or (ii) Prohibit CPAU, subsequent to the installation of a Neighborhood-Funded Subsurface Installation, from installing pad-mounted equipment in the territory served by that Neighborhood-Funded Subsurface Installation if the Utilities Director determines that such installation is necessary or prudent; or (iii) At any time prohibit CPAU from replacing all or part of a Neighborhood-Funded Subsurface Installation with pad-mounted equipment if CPAU is required to do so by Law or if the Utilities Director determines that the continued operation of all or part of the Neighborhood-Funded Subsurface Installation presents an unacceptable hazard to public safety, employee safety, or system reliability, or is contrary to Prudent Utility Practice. 2. REQUEST FOR PETITION FORM a. Upon receiving a timely written request signed by owners of at least five parcels of real property in an area served by a subsurface installation, CPAU will prepare the petition form described in subdivision (3)(c) of this subdivision (K). b. A request will be considered timely only if (i) it is submitted to the Utilities Director, or his/her designee no later than 30 days following the distribution of the first courtesy notice regarding the planned replacement of a subsurface installation or (ii) the Utilities Director determines that the work schedule for such replacement will permit the time necessary for the process described in subdivisions (3) and (4) of this subdivision (K). c. Nothing in this subdivision (K) will be interpreted to require the preparation of a petition form or the provision of time for circulation of a petition if the Utilities Director determines that either the work schedule for a project or operational requirements will not make it practicable to allow time for preparation and circulation of the petition and collection of funding by proponents. 3. REQUEST FOR SUBSURFACE EQUIPMENT a. The owners of real property located in a Underground Utility District may request the replacement of existing vaults and equipment with new subsurface equipment by submitting a petition to the Utilities Director, or his/her designee. b. The petition must be signed by the owners of not less than 60% of the parcels in the Underground Utility District. SPECIAL ELECTRIC UTILITY REGULATIONS RULE AND REGULATION 20 CITY OF PALO ALTO UTILITIES RULES AND REGULATIONS Issued by the City Council Effective TBD10-21-2019 Sheet No. 10 c. The petition must be on the form prepared by CPAU pursuant to subdivision (2) of this subdivision (K). The form must include a map or description of the area to be served by the Neighborhood-Funded Subsurface Installation; a summary of this procedure for Neighborhood Funding of Subsurface Equipment; as well as any additional information deemed necessary or useful by the Utilities Director, or his/her designee. d. The form must indicate the name and contact information of one property owner who will serve as proponent for the project and must indicate the date on which the form was issued to that proponent and the amount of the payment required by subdivision (f) of this subdivision (3). e. To be valid, the signed petition must be returned to the Utilities Director, or his/her designee, no later than 45 days after the form is issued to the proponent. f. The signed petition must be accompanied by a payment to cover the cost of developing a cost-estimate for the proposed subsurface replacement. The amount of this payment, as determined by the Utilities Director or his/her designee, will be indicated on the form. 4. FUNDING OF SUBSURFACE EQUIPMENT a. Upon receipt of a valid petition, the Utilities Director, or his/her designee, will provide the proponent with either (i) a written estimate of the cost of a subsurface installation (including the net present value of any unusual continuing ownership costs associated with such installation) or (ii) a finding that such installation is not practicable. The proponent will also be provided with an estimate of the cost of a standard installation. b. The City will proceed with the subsurface installation if and only if within 90 days of the date upon which the Utilities Director, or his/her designee, provides a written estimate pursuant to subdivision (a) of this subdivision (4), the City receives payment in full for the estimated cost difference between the subsurface and the standard installation. c. It is the responsibility of the proponent to raise the funding required by this Section and the entire cost must be paid to the City at one time. The City will not collect funds from property owners or community members nor will it require any person or property owner to pay any portion of the costs. d. The Utilities Director, or his/her designee, may extend the payment deadline set forth in this subdivision. (END) Formatted: Justified, Indent: Left: 1.5", First line: 5" CITY OF PALO ALTO UTILITIES Issued by the City Council Effective 09/1/19TBD Supersedes Sheet No.C-1-1 dated 05-01-1509/01/19 Sheet No.C-1-1 UTILITY MISCELLANEOUS CHARGES UTILITY RATE SCHEDULE C-1 Charges under this Rate Schedule may be either mailed to the responsible party in a form of invoice or added to the regular monthly Utilities bill of the Customer receiving the Service, and non-payment may result in termination of Service. Charges During Charges After Regular Hours 1 Regular Hours A. SERVICE CALLS AND OTHER SERVICE WORK: 1. Setting Electric Meter 2 No Charge $204.00 2. Disconnection of Service for non-payment of Utilities Charges $152.00 Not applicable 3. Restoration of Service following disconnection for non-payment of Utilities Charges $152.00 $204.00 4. Restoration of Electric Service at power pole following disconnection for non-payment of Utilities Charges $304.00 $408.00 B. LABOR, ENGINEERING AND INSPECTION RATES PER HOUR PER PERSON: 1. Service provided during regular work hours $152.00 Not applicable 2. Service provided on overtime basis where the overtime is scheduled at the City's convenience. Not applicable $178.00 3. Service provided on overtime basis where the overtime is scheduled at the Customer's convenience. Not applicable $204.00 C. RETURNED PAYMENTS: See City of Palo Alto Municipal Fee Schedule. D. LATE PAYMENTS: Two percent (2%) of unpaid balance of Utilities Charges E. DEPOSITS: 1. Customer deposit for Meter accuracy test $0-300.00 Not applicable F. AMI OPT-OUT FEES 3: 1. Set Up Charge $100.00 Not applicable 2. Monthly $25.00 Not applicable {End} 1 Regular hours are 8am to 5pm, Monday through Friday, excluding legal holidays. 2 For Water Meters see Utility Rate Schedule W-5, for Gas Meters see Utility Rate Schedule G-5. 3 AMI Opt-Out Fees apply to Electric and Gas meters only. There is no option to opt-out for Water meters. RESIDENTIAL RATE ASSISTANCE PROGRAM UTILITY RATE SCHEDULE C-4 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective TBD7-1- 2009 Sheet No.C-4-1 Supersedes Sheet No.C-4-1 dated 6-1-20057-1-2009 Sheet N o.C-4-1 A. APPLICABILITY: This schedule applies to residential premises that qualify for participation in the Utilities Residential Rate Assistance Program. Residential premises within the city limits of Palo Alto may include a single-family dwelling, a multi-family dwelling, a mobile home, or trailer home. The residential dwelling must be served either (i) by a separately metered utility service(s), (ii) master-metered accounts that provide utility electric or gas services to applicable tenant dwellings in qualifying subsidized housing communities, or (iii) be within a mobile home or trailer park, having electric or gas utility service sub-metered by the landlord-owner. B. RATES: The Rate Assistance Program provides residential customers with a discount of twenty-five percent (25%) on electric and natural gas rates, and twenty percent (20%) on storm drainage charges listed in the applicable City of Palo Alto Utilities Electric, Natural Gas and Storm Drain Rate Schedules. C. AMI OPT-OUT FEES1: 1. Set Up Charge $50.00 2. Monthly $10.00 C.D. SPECIAL CONDITIONS: 1. Application for participation in the Rate Assistance Program (RAP) must be made annually, although there is no maximum length-of-term for program participation. 2. Customer participation in the RAP is limited to residential electric, natural gas, and storm drain services. 3. Residents may qualify for participation in the RAP for either medical or economic reasons: To qualify for medical reasons, a resident must annually provide a physician's letter certifying the medical condition of the resident and the medical necessity as a result of that condition of either (i) special medical equipment requiring substantial electricity or gas, or (ii) special environmental temperature needs. 1 AMI Opt-Out Fees apply to Electric and Gas meters only. There is no option to opt-out for Water meters. RESIDENTIAL RATE ASSISTANCE PROGRAM UTILITY RATE SCHEDULE C-4 CITY OF PALO ALTO UTILITIES Issued by the City Council Effective TBD7-1- 2009 Sheet No.C-4-1 Supersedes Sheet No.C-4-1 dated 6-1-20057-1-2009 Sheet N o.C-4-1 To qualify for economic reasons, residents must meet United States Department of Housing and Urban Development (HUD) Guidelines for low income. In order to remain on the program, the City requires that a resident provide proof of annual household income. Residents participating in RAP based on economic reasons will be eligible to receive a 25 percent discount on gas and electric, and 20 percent% discount on storm drainage charges. Residents participating in RAP based on medical reasons will be eligible to receive a 25 percent discount on the applicable gas, and/or electric charges. 4. A condition of participating in RAP, customers must enroll and participate in the Utilities Department “Residential Energy Assistance Program (REAP)”. REAP provides free customer educational materials, efficiency assessment of the residence, installation of eligible weatherization measures, repair or replacement of eligible appliances, and a natural gas leak safety inspection. Customer failure to participate in REAP will disqualify current and future participation in the Rate Assistance Program. 5. Participation in the RAP is limited to the primary residence of the customer, with one qualifying residence per individual customer. 6. The 25 percent discount in electric and gas charges and the 20 percent discount in the storm drain charges do not relieve the customer of the obligation to pay the Utility Users Tax. Such tax will be computed on the gross utility charges before the application of the discount. 7. Participation in the RAP does not relieve the customer from the obligations to pay utility charges when due, or meet the requirements of any Utilities Department Rule and Regulation. 8. It is unlawful to knowingly provide incorrect information in connection with a RAP application. Such violation could result in a $1,000 fine or six months in jail, or both. E.D. The procedures for qualification and interpretation of the provisions of this Rate Schedule, or other Rules and Regulations applicable to the Rate Assistance Program shall be made by the City Manager or designee whose determination shall be final. {End}