1992 AGN DEC 15 I17 - Laserfiche WebLink

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. � �.� �` . CITy �F COLTON AGENDA REPORT For Council Meeting of December 15, 1992 T0: Honorable Mayor, City Council, and City Manager FROM: Gale A. Drews, Electric Utility Director� SUBJECT: 1992 GLOBAL SETTLEMENT AGREEMENT WITH SOUTHERN DATE: 12/07/92 CALIFORNIA EDISON COMPANY (SCE) RESOLVING OUT- STANDING RATE CASES AND ISSUES PERTAINING TO THE 1990 INTEGRATED OPERATIONS AGREEMENT (1990 IOA) The City of Colton Electric Utility, along with the Cities of Anaheim, Azusa, Banning, and Riverside (Cities), has been negotiating with SCB to settle a number of remaining issues in rate cases datinq back to 1976 that are still before the Federal Energy Regulatory Commission (FERC}. Those cases are ER76-205, ER79-150, ER81-177, ER82-427, ER84-75, ER86-271, ER87-483, and FA85-67. Additionally, the Cities, along with the rate case settlements, have negotiated procedures to mitigate some of the problems that have arisen from interpretations and implementation of the IOA. These areas are in processing integration of resources; dispute resolution; and other outstandinq issues in regard to day to day operations under the Agreement. There is also a stipulation of a rate moratorium until January 1, 1998. This provides the Cities the opportunity to become more fully resourced before a change in rate design hy SCE could be filed that would neqatively impact costs of purchased power. The monetary refund in the settlement, estimated to be $215,000 for the City of Colton, is small in comparison of future savings attributed to the Agreement. RECOMMENDATION: It is recommended by our attorneys; Spiegel and McDiarmid of Washington, D.C.; Alan Watts of Rourke, Woodruff & Rangel, and Staff, that the City approve the Global Settlement and that the Mayor r City Manager be empowered to siqn the agreement at a special eetin b held with City representatives and John Bryson, Chairman of t Boar d�0 of SCE on December 17, 1992. Concurrence: � Mark Lewis, Cit�-'�anager Attachments: Letter from Attorneys for Spiegel & McDiarmid dated 11/20/92. The 1992 Settlement Agreement will be available to Council for review upon request to the City Clerk. Page 1 of 1 Item No. ��