1994 AGN OCT 18 I13 - Laserfiche WebLink

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�ITY t�F COLT4N AGENDA REPORT For Cauncil Meeting of October 18. 1994 TO: Honorable Mayor, City Council, and City Manager FROlVJ[: Thomas K. Clarke, Electric Utility Director�'� Date: 10/11/94 SUBJ�?CT: AUTHORIZE THE 1994 FIRM TRA,NSMISSION AGREEMENT BETWEEN CULTON AND SOUTHERN CALIFORNIA EDISON COMPAI�iY F4R COLTON'S ENTITLEMENT OF SAN JUAN UNIT NUMBER 3 BACKGRUUND In July of 1993, the City of Colton purchased a 30 megawatt entitlement in the San Juan 3 generat�ng u.nit. At the time of the purchase, an integration plan for the 30 megawatts was negotiated with Southern California Edison Company. Part of that negatiation was a transmission path fo� onl�� the first 15 megawatts of the City's sha.re. It would be Colton's responsibility to acquire a tr�nsmission path for the remaining 15 megawatts at the time it would be noticed for integration. STAT�:ME�TT QF THE PROBLEM Colton wvill t�e giving Edison notice to integrate the rema.ining portion of the San Juan entitlement and, accordingly, must have a way to take delivery of the capacity and energy. Colton has negotiated si�ch a path in the form of a Transmission Service Agreement with the Los Angeles Departn�ent ��f Water and Power. This action only gets the entitlement to the Edison territory. Colton must then have Edison deliver the power to the City's delivery point. ALTERNArCIVES Colton must have an ag�-eement in place with Edison to receive credit for the integration of its ownersl�.ip of' the San Juan unit. Without the final leg of the transmission, the City would not be able to use its entitlement since, technically, it has no way to get here. Edison of�ers the only direct path to �;et the San Juan power to Colton. Page 1 of 2 Item No. �