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TO: Mayor Thomas J. Weisner
FROM: Brian W. Caputo, Chief Financial Officer/City Treasurer
DATE: July 15, 2014
SUBJECT:
An Ordinance Amending the Plan of Operation and Governance for Municipal Electricity Aggregation
PURPOSE:
To obtain the City Council's approval of the attached ordinance that would amend the plan of operation and governance for municipal electricity aggregation.
BACKGROUND:
On April 24, 2012, the City Council approved Ordinance No. O12-029, which adopted a plan of operation and governance for municipal electricity aggregation in Aurora. The plan established the initial general terms for the establishment and operation of the city's electrical aggregation program.
On June 26, 2012, the City Council approved Ordinance No. O12-047, which permitted the amendment and restatement of the plan of operations and governance. The primary change made through the June 2012 amendment was to permit space heating customers to participate in the electricity aggregation program.
DISCUSSION:
Now that the electricity aggregation program has been operating for more than two years, it has become apparent that a few additional changes are necessary in the plan of operation and governance. The attached, proposed plan has been restated and amended to incorporate the following changes:
1. Elimination of the Early Cancellation Charge (ECC). An ECC was included in either
the 2012 or 2014 power supply agreements executed pursuant to the program. If at
all possible, we would like to avoid having an ECC in our contracts in the future.
(See page 6, section 3.)
2. Revision of the Minimum Duration of the Opt-Out Period from 30 to 21 days. The
current plan provided for an opt-out period of at least 30 days. However, our
electricity aggregation consultant has advised that such a long opt-out period is
unusual. Opt-out periods of 21 days are much more common. In fact, Homefield
...
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