HomeMy WebLinkAbout91-03 OrdinanceRECORD OF ORDINANCES
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Ordinance No. 91-03 Passed
20
AN ORDINANCE ADOPTING A PLAN OF OPERATION AND
GOVERNANCE FOR A MUNICIPAL (OPT OUT) ELECTRIC
AGGREGATION PROGRAM AND AUTHORIZING THE CITY
MANAGER TO SUBMIT SAID PLAN TO THE PUBLIC UTILITIES
COMMISSION OF OHIO, AND DECLARING AN EMERGENCY
WHEREAS, Ohio Revised Code 4928.20 permits a municipality to aggregate customers within their
jurisdiction in order to facilitate "customer choice" in electric power suppliers and to promote lower
cost electric utility services within the City of Dublin; and
WHEREAS, on May 6, 2003 the electors of the City of Dublin approved the City's plan to create an
aggregation program for customers located within the boundaries of the City of Dublin; and
WHEREAS, O hio Revised Code 4928.20 (C) requires a governmental entity interested in the
automatic registration of customers under governmental aggregation, subject to customer rights to
"opt-out" of such an aggregation, to adopt a plan of operation and governance for its aggregation
program; and
WHEREAS, the City of Dublin has developed a Plan of Operations and Governance for the electric
aggregation program and advertised and conducted two public hearings on the plan.
NOW, THEREFORE, BE IT ORDAINED by the Council of the City of Dublin, State of Ohio,
~_ of the elected members concurring that:
Section 1.
Dublin City Council declares its intention to act as an opt-out aggregator under the terms of the Ohio
Revised Code Section 4928.20 (C) under which the City will on an opt-out basis, enroll any eligible
consumers in the City owning, occupying, controlling or using an electric load center within the City
limits into the City's aggregation program.
Section 2.
Dublin C ity C ouncil a ffirms t hat t wo p ublic hearings were conducted on the proposed Plan of
Operations and Governance and the said plan is hereby adopted.
Section 3.
This Council hereby adopts the City's Plan of Operations and Governance for the implementation and
administration of the City's aggregation program in accordance with Ohio Revised Code 4928.20 (C).
Section 4.
The City Manager is hereby authorized to file the Plan of Operations and Governance with the Public
Utilities Commission of Ohio in order that the City be authorized/certified as a governmental
aggregator. The aggregation program shall thereafter commence in accordance with the adopted Plan
of Operations and Governance that has been established pursuant to Ohio Revised Code Chapter
4928.
Section 5.
This ordinance is hereby declared to be an emergency measure necessary for the immediate
preservation of the public health, safety and welfare by securing lower electric and natural gas
rates for Dublin residents before the winter months at the lowest foreseeable levels. Therefore,
this ordinance shall be effective immediately upon its passage.
Passed this ~i~ day of -G {,v!2003
_._-~
yor -Presiding Officer
ATTEST:
Wwr+.~E
Clerk of Council
I hereby certify that copies of this
Ordinance/Resolution were posted in the
City of Dublin in accordance with Section
731.25 of the Ohio Revised Code.
~.
Jerk of Council, Dublin, Ohio
Department of Service
6555 Shier Rings Road • Dublin, OH 43016-8716
Phone: 614-410-4750 • Fax: 614-923-5529
CITY OF DUBLIN
Memo
TO: Members of the Dublin City Council
FROM: Jane S. Brautigam, City Manager ~~5. (~.c~-u....~.~
DATE: August 26, 2003
INITIATED BY: Dana L. McDaniel, Deputy City Manager/Director of Service
RE: Ordinances 91-03 and 92-03
BACKGROUND:
At Council's last meeting, staff advised Council that Dublin and four other Central Ohio cities
were actively negotiating with electric and natural gas suppliers. These negotiations appear to be
moving forward positively and quickly. Therefore, staff desires to be in the position to execute
the electric and natural gas supplier Agreements, which Council authorized at its last meeting
(Resolutions 33-03 and 34-03) as soon as "opt-out aggregator" status is achieved.
RECOMMENDATION:
Staff recommends Council pass Ordinances 91-03 and 92-03, declare an emergency and waive
the thirty-day waiting period. The emergency language is needed to ensure the public welfare by
securing potentially lower electric and natural gas rates for Dublin residents before the winter
months. Please address any questions to Dana McDaniel at 410-4751.
Thank you.
DLM/tb
T-\word\DANA\MEMOS\COiJNCIL\Aggregation opt out 082603.doc
CITY OF DUBLIN
Department of Service
6555 Shier Rings Road • Dublin, OH 43016-8716
Phone: 614-410-4750 • Fax: 614-923-5529
Memo
TO: Members of the Dublin City Council
FROM: Jane S. Brautigam, City Manager~a~.~S, ~'~~
DATE: August 13, 2003
INITIATED BY: Dana L. McDaniel, Deputy City Manager/Director of Service
RE: Ordinances and Resolutions regarding Electric and Natural Gas Aggregation
INTRODUCTION
Staff recommends Council adopt Ordinances 91-03 and 92-03 and Resolutions 33-03, 34-03, and
35-03. These Ordinances and Resolutions are fundamental to establishing the City of Dublin's
electric and natural gas "opt-out" aggregation programs.
BACKGROUND
Early in 2003, Council certified to the May 6, 2003 ballot the questions as to whether the City of
Dublin should formulate a Plan of Operations and Governance ("plan") for the purpose of
establishing a municipal "opt-out" aggregation program for both electric and natural gas. Dublin
electors authorized the City to do this. As a result, staff entered into agreement with American
Municipal Power -Ohio (AMPO) to develop these plans for both electric and natural gas. Both
plans were drafted. Two public hearings, as required by state law, were conducted for each
electric and natural gas plan. These were held on July 31St and August 7th.
As a result of Dublin and other communities in Central Ohio receiving the go-ahead from voters
to begin the process to become "opt-out" aggregators, suppliers expressed significant interest in
providing these aggregation services. Staff has been working with AMPO and other
municipalities in Central Ohio (Bexley, Gahanna, Reynoldsburg and Upper Arlington) to
develop a framework for a supplier Agreement for both electric and natural gas.
Additionally, the Central Ohio communities mentioned above have expressed a desire to
continue to work together on an ongoing basis to leverage their collective "loads/volume" for
electric and natural gas aggregation purposes. It has become evident that working together will
benefit all those who participate. The Ohio Revised Code permits the formation of entities under
a "council of governments", as it is commonly referred to, in order to work together and
cooperate on various matters. The City's legal staff has significantly researched this and has
been working with staff to put together what the five communities are calling the Central Ohio
Public Energy Council (COPEC).
8-13-03
D. McDaniel
Electric/Natural Gas Aggregation Legislation
Page 2
Ordinances
Attached, you will find Ordinances 91-03 & 92-03 adopting the Plans of Operation and
Governance for each electric and natural gas. Attached to each Ordinance is an
outline/presentation providing a summary of each plan and the actual plan itself for each electric
and natural gas aggregation. The outlines/presentations do a nice job of providing an overview of
each aggregation program and plans.
Resolutions
Resolutions 33-03 & 34-03 are presented for Council's consideration. These Resolutions, if
passed, will authorize the City Manager to enter into Agreements with a Competitive Retail
Electric Service (CRES) provider and a Competitive Retail Natural Gas Service (CRNGS)
provider. The draft agreements are attached to each Resolution. Staff is pursuing this
authorization without specific company names being finalized for two reasons: (1) negotiations
are ongoing, and (2) the City Manager must be in a position to quickly execute an Agreement
when market conditions are in the best interest of the City. The frameworks of the Agreements
are basically the same, and most reputable providers are willing to agree to these frameworks.
However, the real potential benefit is in the bottom-line price. This price depends significantly
on "futures" which fluctuate nearly daily. Therefore, it is imperative that the City Manager be
able to execute the Agreement(s) at the time when market conditions appear to be most
beneficial to the City. Providers are not willing to agree to price then wait on other processes.
City Councils in Bexley, Gahanna and Upper Arlington have authorized their respective
managers/mayors to execute Agreements in this fashion. Staff is hopeful, Dublin City Council
will also agree to this arrangement in order to gain the same benefit. We are coming upon a
critical time in the year to try to secure favorable rates, especially in natural gas. Any such
Agreement would of course be contingent upon the City receiving its aggregator status from the
PUCO.
Resolution 35-03, if passed, recognizes COPEC and authorizes the City Manager to ensure the
City's membership. Membership in COPEC will bring those benefits noted in both the
Resolution and in the Code of Regulations, which is attached to the Resolution. COPEC's Code
of Regulations is attached in order that Council sees its intent and governing document. COPEC
is intended to facilitate cooperation among its participating members. Such an organization can
be as simple or a s complex as the organization desires. The founding m ember communities,
mentioned above, intend for this organization to serve a coordinating and cooperating function
only, at this point. It is not our intent to initially be a sophisticated organization. Northeast Ohio
Public Energy Council (NOPEC), as an example, is a similar organization of well over 100
municipal and governmental entities with an annual budget of over $600,000. The COPEC cities
considered m embership i n t his o rganization a nd d ecided t hat t hey d id n of d wire t his 1 evel o f
sophistication. NOPEC is to be commended on their accomplishments. However, COPEC, if
formed, desires to grow its membership as an opportunity for other Central Ohio communities
but with a focus on cooperation and coordination. Potential member cities listed above each have
individual Agreements with AMPO and will execute individual Agreements with suppliers.
8-13-03
D. McDaniel
Electric/Natural Gas Aggregation Legislation
Page 3
However, these cities are seeing the benefit of working together to leverage their collective
loads/volumes. Aggregation on a larger scale could be determined down the road.
RECOMMENDATION/CONCLUSION
Staff recommends Council pass the Ordinances and Resolutions presented herein. Staff may
request at the next regularly scheduled Council meeting that Council pass the above Ordinances
in an emergency fashion and waive the thirty day waiting period. This may be recommended
based upon ongoing negotiations and market conditions.
In conclusion, all indications are that Dublin customers stand to benefit from the municipal
aggregation programs for both electric and natural gas. However, the greatest benefit is the
individual consumer's ability to choose.
The staff point of contact regarding this legislation and staff report is Dana McDaniel at 410-
4751.
Thank you.
T:\word\DANA\MBMOS\COUNCIL\Aggregation opt out 081303. doc
~~
City of Dublin, Ohio
Municipal Electric
Aggregation Program
Plan of Operation and
Governance
AMPO, Inc.
2600 Airport Drive
Columbus, Ohio 43219
(800)366-1066
Overview
•On May 6, 2003, local residents
authorized the City of Dublin to
create a municipal 'bpt-out"
electric aggregation program
•All eligible AEP and FirstEnergy
consumers within the corporation
limits will automatically be
enroNed unless they opt out of th
program
.Purpose
The City's purpose in creating the
': Aggregation Program is to
represent local consumers'
.interests in emerging competitive
electricity markets by aggregating
electric loads within the
corporation limits and negotiating
for affordable, reliable electric
supplies on behalf of consumers
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
w
Program Structure and
Management
~~Oversight of the Aggregation
Program will be the responsibility of
the Director of Service, who shall
report to the City Manager
The Director of Service will appoint
an Aggregation Program Manager
(which may be a consultant)
Selection of a CRES Provider
'; •The City will not buy and resell
power to participants
•The City will negotiate a cantract
with a Competitive Retail Electric
Services (CRES) Provider to provide
reliable, affordable electric supplies
on behalf of lacal residents
Selection of a CRES Provider
The City will develop a contract with
a CRES Provider for firm, full
requirements electric service
®The contract will be far a #ixed term
(i.e., one to five years) and contain
all pricing, charges, switching fees,
etc. in clear and easily understood
terms
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
CRES Provider Minimum
Qualifications:
Certified CRES Provider by PUCO
~ Registered with AEP and FirstEnergy
Have service agreement under AEP's
and FirstEnergy's Open Access
Transmission Tariff
® Have EDI system capable of effectively
processing transactions in a timety
manner
® Completed ED3 Testing with AEP and
FirstEnergy
CRES Provider Minimum
Qualifications:
~iMeet creditworthiness standards
~~Have toll-free customer call center
capable of effectively handling
questions, concerns and disputes in
a timely manner
®Hold the City harmless from any
financial obligations arising from
the program
Electric Supply Charges
•CRES Provider will supply
information on electric suppty
charges broken down by electric
utility rate classification
• All charges will be fully and
prarninently disclosed in consumer
enrollment materials
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
AEP Customer Classifications
and Rates
'; ®Electric utility assigns customer
rate classifications, character of
service and associated regulated
rates
'~ The City cannot assign or alter
Electric Utility customer
classifications
Initial Consumer Notification
and Enrollment
• The CRES Provider will work with
'the City and AEP to identify all
i eligible customers within the City's
corporation limits. To be eligible,
consumers must:
• Not be a PIPP customer
• Not have a special contract with Utility
• Keep their Utility account current
Initial Consumer Notification
and Enrollment
• All eligible consumers will receive
', a notice detailing the rates, charges
and other terms and conditions of
participation in the program
•If consumers wish to participate,
they don't need to take any further
action-they will be automatically
enrolled
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Initial Consumer Notification
and Enrollment
'. • Consumers wilt be given a 21-day i
periad to notify the City if they wish
to opt-out of, ar decline participation
in, the Aggregation Program
• After the 21-day opt-out period has
elapsed, the CRES Provider will enroll
consumers who did not opt out at the
earliest date practicable
Initial Consumer Notification
and Enrollment
• Consumers enrolled in the
program will receive a rescission
letter from the electric utility
notifying them of their
enrollment and granting. them
seven calendar days to notify the
utility of any objections to thei~
enrollment
Leaving the Aggregation
Program
Participants who wish to leave
the program may do so.
• During the initial 21-day opt-out
period
• At least every two years
• At any other time; however a
termination fee may be assessed by
the CRES Provider 2"11
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Leaving the Aggregation
Program
• Consumers who opt-out of the
program will return to the
utilities' Standard Offer
Generation Service
• Consumers who relocate
outside the City limits will pay no
exit fee and will return to the
utilities' Standard Offer 2'1J
Generation Service t~,~
New and Returning
Participants
', Participants who leave the
', program and later wish to return
as well as new City residents will
be able to join the program;
however, the City cannot
guarantee the same rates
New and Returning
Participants
Participants who relocate within
the City will be allowed to
continue. in the program under
the same terms and conditions
provided:
• The rate classification is the same at
both locations
• Subject to any utility fees
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Customer Bit ing
® The CRES Provider will
initially use the utilities'
consolidated billing where
each consumer receives one
bill itemizing the CRES
Provider's electric supply
charges and utilities' charges.,,
Reliability and Customer
Service
®AEP and FirstEnergy will continue to
operate and maintain their electric
distribution systems and will deliver
power from the CRES Provider
The only thing that changes for
participants is the generation
supplier
Reliability and Customer
Service
~ Customers will still call AEP or FirstEnergy
for power outages and billing questions
The CRES Provider will provide atoll-free
telephone number for consumer questions
and concerns
~ Customer service protocol will be
developed with the CRES Provider
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Reliability and Consumer
Indemnification
The City will strive to provide high
quality, reliable service through:
• Provisions of CRES Provider contract
• Traditional proceedings on AEP's
and First Energy's transmission and
distribution services
• Direct discussions with the utilities
Reliability and Consumer
Indemnification
• If for any reason the CRES
Provider fails to deliver, the City
will attempt to acquire an
alternate power supply
• If this fails, participants will
default to the utility
• In no case will participants be
without power
Participant Rights
All participants enjoy the protection
of law afforded all consumers
including the right to question
billings, service quality or service
practices
• All participants will be treated
equitably
• All eligible consumers can
participate on non-discriminatory
basis
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Participant Rights
• Low income (PIPP) customers
remain subject to ail
provisions of Ohio law and
PUCD rules and regulations
regarding their right to return
to utility's Standard Offer
Generation Service and
participation in th8 program
Participant Responsibilities
': Program ..participants are
subject to the same standards
and responsibilities as other
electric consumers, including
payment of billings and access
to meterinng and other
equipment necessary to carry
out utility operations
Termination of the Program
In the event of program termination,
participants will receive 50 days
notice and can return to utility's
Standard Offer Generation Service or
select another approved ORES
Provider
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
..~
Questions?
AMPO, Inc., 2600 Airport drive
Columbus, OH 43219 (614) 337-6222
City of Dublin, Ohio Municipal
Electric Aggregation Program
Plan of Operation and Governance- -
Adopted , 2003
Overview
At the May 6, 2003 election, local residents authorized the City of Dublin ("the City") to create
a municipal opt-out electric aggregation program ("the Aggregation Program") as provided
under Section 4928.20 of the Ohio Revised Code. Under the opt-out electric aggregation
program, all eligible electric consumers within the City's corporation limits will be
automatically included in the Aggregation Program initially. However, all consumers will also
be given the opportunity to opt out of or decline participation in the Aggregation Program as
detailed herein.
The City's purpose in creating the Aggregation Program is to represent local consumer interests
in emerging competitive electricity markets by aggregating electric loads within the City's
corporation limits (including municipal facilities) and negotiating affordable, reliable electric
supplies and other related services on behalf of local consumers. The City may pursue this
purpose individually or in cooperation with other entities.
Many small commercial and residential electric consumers lack the knowledge and leverage to
effectively negotiate power supply rates and services. A governmental aggregation program
provides them with an option for professional representation and the bargaining power of a
larger, more diverse consumer group that maybe more attractive to suppliers, allowing them to
effectively participate in the competitive process and achieve benefits.
The Aggregation Program is designed to reduce the amount a consumer pays for electric
energy, and to gain other favorable economic and non-economic terms in service contracts.
The City will not buy and resell power, but will represent collective consumer interests to set
terms and conditions for service. Through a negotiation process, the City will develop a
contract with a Competitive Retail Electric Services Provider (CRES Provider) or Providers for
firm all-requirements electric service. The contract will run for a fixed term (i.e., one to -five
years). Once the contract has been finalized, it will be submitted to the Dublin City Council for
approval.
Initially, each eligible consumer within the City's corporation limits will be automatically
included in the Aggregation Program on anon-discriminatory basis. However, prior to actual
enrollment, each consumer will receive a notice from the City detailing the Aggregation
Program's rates, terms and conditions.
Each consumer will then have a 21-day period to opt out of or decline to participate in the
Aggregation Program without charge. Consumers opting out of the program will remain on the
providing utility's Standard Offer Generation Service, (both AEP and First Energy provide
electric service within the City of Dublin), until such time as they select an approved CRES
Provider. A similar opt-out period will be offered every two years during which time
consumers can leave the Aggregation Program without paying a switching fee.
Participants who leave the Aggregation Program and wish to return, as well as consumers who
move into the City after the initial opt-out period will be afforded the opportunity to enroll in
the Aggregation Program. However, the City cannot guarantee rates, terms and conditions to
consumers enrolling in the Aggregation Program after the initial 21-day opt-out period.
Participants who relocate within the City limits will be allowed to continue in the Aggregation
Program at their new location under the same terms and conditions as at their former location,
provided the utility rate classification is the same at both locations, and subject to any switching
fees imposed by the utility.
The City will contract with a CRES Provider to implement and operate the Aggregation
Program. Contracts for power supply and other related services will be negotiated,
recommended, and monitored for compliance by the City on behalf of local consumers.
The Aggregation Program covers the power supply or generation portion only of a participant's
electric bill. AEP and First Energy will continue to deliver electricity to Aggregation Program
participants' homes and businesses through its electric transmission and distribution system as a
monopoly function regulated by the Public Utilities Commission of Ohio (PUCO). AEP and
First Energy will also continue to install, operate and maintain its system of poles, wires,
transformers and other electric distribution components. Aggregation Program participants
should continue to call AEP or First Energy if their power goes out or if they have billing
questions. The PUCO will continue to oversee both utilities' electric safety and reliability
service standards.
The City developed this Plan of Operation and Governance in compliance with Ohio law
regarding municipal opt-out aggregation of electric consumers, including at least two public
hearings prior to its adoption.
Plan of Operation and Governance
The Dublin City Council shall approve through resolution or ordinance the Aggregation -
Program's Plan of Operation and Governance in accordance with Ohio Revised Code Section
4928.20. Amendments to the Plan of Operation and Governance maybe subject to Dublin City
Council approval and filing with the PUCO.
After adoption of the Plan of Operation and Governance, the City will file with the PUCO for
governmental aggregator certification and also register as a governmental aggregator with AEP
and First Energy.
Aggregation Program Management
Oversight of the Aggregation Program will be the responsibility of the Deputy City
Manager/Director of Service, who shall report to the City Manager. The Deputy City Manger/
Director of Service will have the authority to develop specifications for the Aggregation
Program, to appoint an Aggregation Program Manager, and to select, hire and manage the
CRES Provider.
The CRES Provider and the Aggregation Program Manager will work under the direction of the
Deputy City Manager/Director of Service with the advice and counsel of the City Attorney.
Due to the complexity of the electric utility industry and the uncertainties of its associated
restructuring activities, the Deputy City Manager/Director of Service may contract with a
consultant or consultants to provide the necessary expertise to represent the City's interest in
legislative and regulatory matters and/or to serve as the Aggregation Program Manager. Such
services may include, but are not limited to facilitating consumer enrollment and opt-out,
assisting with consumer education, addressing consumer questions and concerns, providing
reports on program operation, enrollment and savings, negotiating future CRES Provider
contracts, and representing the City in dealings with CRES Providers, AEP, First Energy, the
Ohio Legislature, the PUCO and the OCC.
The CRES Provider's rates will include an administrative fee, which shall (if implemented) be
collected on behalf of the City to fund the implementation and administration of the City's
Aggregation Program. The administrative fee will be adjusted annually to cover the City's cost
of administering the program. The fee will be reviewed annually to ensure that the amounts
collected do not exceed the cost of administering the aggregation program.
Selection of a CRES Provider
The City will not buy and resell power to Aggregation Program participants. The City will
negotiate with potential CRES Providers to provide affordable, reliable electric supplies and
other electric related services on behalf of local consumers. The City will consider cooperating .
with other governmental aggregators if it appears beneficial to do so.
Through a negotiation process, the City will develop a contract with a CRES Provider or
Providers for firm, all-requirements service. The City will contract only with a CRES Provider
or Providers that meet at a minimum the following criteria:
1. Certified CRES Provider by the PUCO
2. Registered with AEP and First Energy
3. Have a service agreement under AEP's and First Energy's Open Access Transmission
Tariff
4. Successfully completed Electronic Data Interchange (EDI) computer system testing
with AEP and First Energy and that CRES Provider's EDI computer system is capable
of effectively processing Aggregation Program EDI transactions in a timely manner
5. Meet standards of creditworthiness established by the City
6. Have a customer call center capable of effectively handling participants' questions,
concerns and disputes in a timely manner using atoll-free telephone number
7. Hold the City harmless from any financial obligations arising from offering electricity
and/or energy-related services to Aggregation Program participants
The CRES Provider's contract will run for a fixed term (i.e., one to five years) and contain all
pricing, charges, switching fees, etc. in clear and easily understood terms.
The City will require any CRES Provider to disclose any subcontractors that it uses in
fulfillment of the services described herein.
The Dublin City Council will approve through resolution or ordinance the contracts entered into
by the City with the CRES Provider.
Electric Supply Charges
The City will aggregate electric loads within the City's corporation limits (including municipal
facilities) and negotiate mutually agreeable price terms with CRES Providers for affordable,
reliable electric supplies and other related services on behalf of local consumers. The City may
pursue this purpose individually or in cooperation with other entities. CRES Providers will
supply information on electric supply charges by utility customer rate classification or other
appropriate pricing category as approved by the City. All electric supply charges will be fully
and prominently disclosed in consumer enrollment materials and will be subject to approval by
the Dublin City Council.
AEP's Regulated Customer Classifications and Rates
The providing electric utility assigns customer rate classifications, character of service and
associated regulated rates subject to PUCO approved tariffs. In addition to the CRES
Provider's generation charges, consumers will continue to be billed for the electric utilities' -_
service and delivery charges. Although the City may participate in regulatory proceedings and
represent the interests of consumers regarding these regulated rates, it cannot assign or alter
customer rate classifications.
Initial Consumer Notification and Enrollment
After contract approval by the Dublin City Council, the CRES Provider will work with the City
and the electric utilities to identify all eligible consumers within the City's corporation limits.
All eligible consumers will be notified of the rates, charges and other terms and conditions of
participation in the Aggregation Program and that they will be automatically enrolled in the
Aggregation Program unless they opt out of or decline participation in the program. Consumers
will be given a 21-day period in which to notify the City that they wish to opt out of or decline
participation in the Aggregation Program.
After the initial 21-day opt out period has elapsed, all eligible consumers who have not notified
the City of their desire to opt out of the Aggregation Program will be enrolled by the CRES
Provider at the earliest date practicable. The CRES Provider will provide the electric utilities
with the required 90 days enrollment notice for consumers with demand meters.
Consumers ineligible to participate in the Aggregation Program include those who are on a
"special rate" contract with AEP or First Energy and consumers whose accounts are not current
with their electric utility provider.
Consumers enrolled in the Aggregation Program by the CRES Provider will receive a letter
from AEP or First Energy notifying them of their enrollment. Consumers will have seven
calendar days to notify the electric utility of any objection to their enrollment in the
Aggregation Program. AEP and First Energy will notify the CRES Provider of consumer
objections or any reason that a consumer was not enrolled in the Aggregation Program. The
CRES Provider will report to the City the status of Aggregation Program enrollment on at least
a monthly basis.
Leaving the Aggregation Program
Participants who wish to leave the Aggregation Program may do so:
• During the initia121-day opt-out period
• During subsequent opt-out period offered by the City at least every two years
• At any other time; however a switching fee maybe assessed
In addition to the initial 21-day opt-out period described above, each participant will be given
an opportunity to opt out of the Aggregation Program every two years without paying a -
switching fee. Consumers who choose to opt out of the Aggregation Program at any time other
than during the initial 21-day opt-out period or during subsequent opt-out periods offered by the
City maybe subject to a switching fee.
Any consumer who opts out of the Aggregation Program will be returned to AEP's or First
Energy's Standard Offer Generation Service until such time as the consumer selects another
approved ORES Provider.
CRES Provider Resuonsibilities
The CRES Provider will build and maintain a database of all Aggregation Program participants.
The database will include the name, address, utility service delivery identification (SDI}
number, and may include other pertinent information as agreed upon by the City and the CRES
Provider. Such information may include the CRES Provider's account number (if different
from utilities' SDI number), rate code, rider code (if applicable), most recent 12 months of kWh
consumption and kW demand, and meter reading cycle. The Aggregation Program database
will be updated at least quarterly. The City will have the right to access information in the
database for purposes of auditing.
The CRES Provider will provide and maintain the required Electronic Data Interchange (EDI)
computer system to effectively process Aggregation Program enrollments, opt outs, billing, etc,
with AEP and First Energy.
The CRES Provider will provide a local or toll free telephone number for participant questions
and concerns about enrollment, opt-out provisions, billing and other Aggregation Program
issues.
The CRES Provider will develop internal controls and processes to help ensure that the City
remains in good standing as a governmental aggregator that complies with all laws, rules and
regulations regarding the same as they may be periodically amended.
New and Returning Participants
Participants who leave the Aggregation Program and wish to return, as well as consumers who
move into the City after the initial opt-out period will be afforded the opportunity to enroll in
the Aggregation Program. However, the City cannot guarantee rates, terms and conditions to
consumers enrolling in the Aggregation Program after the initial 21-day opt-out period.
Consumers may contact the Aggregation Program Manager to obtain current enrollment
information.
Participants who relocate within the City limits will be allowed to continue in the Aggregation
Program at their new location under the same terms and conditions as at their former location,
provided the electric utility rate classification is the same at both locations, and subject to any -
switching fees imposed by AEP or First Energy. ~- -
The CRES Provider will comply with all local, state and federal rules and regulations regarding
discontinuing service to Aggregation Program participants. _
B111ing
The City plans to utilize AEP's and First Energy's consolidated billing service in which each
consumer account receives one bill itemizing the CRES Provider's electric supply charges and
electric utility's delivery, transition and other PUCO-approved charges. The billing statement
will be consistent with applicable PUCO rules and regulations. The City will consider other
billing options, including CRES Provider consolidated billing, if and when they become
available and if it appears advantageous to do so.
i
Questions and Concerns
The Aggregation Program only impacts the source of generation or power supply. AEP and
First Energy will continue to deliver the electricity purchased through the Aggregation Program
to participants' homes and businesses through its electric transmission and distribution system.
Participants with question or concerns regarding service delivery or safety, such as a power
outage, a downed power line, sparking power lines or equipment, low voltage, etc. should
continue to contact AEP at 800-277-2177 or First Energy at 888-544-4877. Meter reading or
other billing questions should also be directed to AEP at 888-237-5566 or First Energy at 800-
633-4766. Questions regarding Aggregation Program enrollment, opting out and operation
should be directed to the Aggregation Program Manager.
Question or Concern Contact Phone Number/e-mail
Power outage or interru tion AEP/First Ener 800-277-2177/888-544-4877
Connect/disconnect service AEP/First Ener 800-277-2177/800-633-4766
Meter readin illin AEP/First Energy 888-237-5566/800-633-4766
To enroll in or opt out of the
Aggregation Program CRES Provider 800-***-****
Aggregation Program
Questions or concerns AMPO, Inc. 800-305-1066
gslone am -ohio.or
Unresolved disputes
(residential customers) Ohio Consumer's Counsel 877-742-5622 (toll free)
occ@occ.state.oh.us
Unresolved disputes
(all customers) Public Utilities Commission
of Ohio (800)-686-7826 (voice)
(800)-686-1570 (TDD)
Reliability and Indemnification of Consumers
Electric service reliability is an essential to Aggregation Program participants. The-City will
strive to provide high-quality service and reliability through provisions of the ORES Provider
contract, through traditional proceedings related to AEP's and First Energy's regulated
transmission and distribution services; and through direct discussions with AEP and First
Energy concerning specific or general problems related to quality and reliability of its
transmission and distribution system.
If for any reason a CRES Provider fails to provide uninterrupted service, the City will attempt
to acquire an alternative power supply. If this attempt fails, participants will default to AEP's
or First Energy's Standard Offer Generation Service. In no case will participants be without
power as the result of the CRES Provider's failure to provide uninterrupted service. The City
will seek to minimize this risk by contracting only with reputable CRES Providers that
demonstrate reliable service. The City also intends to include conditions in its CRES Provider
contract that will indemnify participants against risks or problems with power supply service
and price.
Participant Rights
All Aggregation Program participants shall enjoy the protections of law afforded to consumers
as they currently exist or as they may be amended from time to time. These include rights to
question billings or service quality or service practices. All program participants shall also
enjoy the individual right to decline participation in the Aggregation Program subject to the
terms and conditions contained herein.
All Aggregation Program participants will be treated equitably. They will be guaranteed the
right to raise and resolve disputes with the CRES Provider, be provided all required notices and
information; and always retain the right to opt out of the Aggregation Program or switch
suppliers subject to the terms and conditions contained herein.
All consumers within the City's corporation limits shall be eligible to participate in the
Aggregation Program on anon-discriminatory basis subject to the terms and conditions
described herein, Ohio law, PUCO rules and regulation governing electric service, and AEP's
and First Energy's approved tariffs.
Service under the Aggregation Program shall include all eligible customer classes in adherence
with universal service principles and requirements, and the traditional non-discriminatory
practices of local government. CRES Provider contracts shall contain provisions to maintain
these principles and equitable treatment of all customer classes.
Low-income consumers shall remain subject to all provisions of Ohio law and PUCO rules and
regulations as they maybe amended from time to time regarding their rights to return to AEP's
or First Energy's Standard Offer Generation Service and participation in the Aggregation
Program. _
Participant Responsibilities
Aggregation Program participants are subject to the same standards and responsibilities asother
electric consumers, including payment of billings and access to metering and other equipment
necessary to carry out utility operations.
Termination of the Aggregation Program
The Aggregation Program maybe discontinued upon the termination or expiration of the CRES
Provider contract without any extension, renewal or subsequent contract being executed. In the
event of Aggregation Program termination, each participant will receive notification 90 days
prior to such program termination and could return to AEP's or First Energy's Standard
Generation Offer Service or select another approved CRES Provider.
Definitions
Aggregation
Combining the electric loads of multiple customers for the purposes of supplying or
arranging for the supply of competitive retail electric service to those customers.
Aggregation Program Manager
The person or entity designated by the Deputy City Manager/Director of Service to
oversee the operation and management of the City of Dublin's Municipal Electric
Aggregation Program.
Competitive Retail Electric Service (CBEs)
A component of retail electric service that is deemed competitive under the Ohio
Revised Code or pursuant to an order of the PUCO. This includes but is not limited to
the services provided by competitive retail electric service providers, power marketers,
aggregators and governmental aggregators.
Competitive Retail Electric Service Provider (CBEs Provider)
A person or entity certified by the PUCO and registered with AEP who supplies or
offers to supply a competitive retail electric service over AEP's electric transmission
and/or distribution system. This term does not apply to AEP in its provision of standard
offer generation service.
Consumer
Any person or entity that is an end user of electricity and is connected to any part of
AEP's electric transmission or distribution system within the City of Dublin's
corporation limits.
Delivery Charge
Charge imposed by AEP for delivering electricity to a consumer's home or business.
The charge includes meter reading, billing, transition costs, maintaining electric system
reliability and responding during emergencies and outages (also called the distribution
charge).
Distribution
The delivery of electricity to a consumer's home or business over AEP's local poles,
wires, transformers, substations, and other equipment. AEP's distribution system
operations will remain regulated by the PUCO.
Electric Related Service
A service that is directly related to the consumption of electricity at a consumer's home
or business. This may include, but is not limited to, the installation of demand side
management measures at a consumer's premises, the maintenance, repair or replacement
of appliances, lighting, motors or other energy-consuming devices at a consumer's
premises, and the provision of energy consumption measurement and billing services.
Electric Supply Charge
All charges related to the generation of electricity by the CRES Provider.
Governmental Aggregator
An incorporated village or city, township or county acting as an aggregator for the
provision of a CRES under authority conferred under Section 4928.20 of the Ohio
Revised Code.
Kilowatt (kid
A kilowatt is 1,000 watts
Kilowatt-hour (kWh)
A kilowatt-hour is 1,000 watts of electricity used for one hour. For example, a 1,000- -
watt appliance operating for one hour or a 100-watt light bulb operating for_ten hours
will consume one kilowatt-hour of electricity. Consumers are charged for electricity in
cents per kilowatt-hour.
Ohio Consumers' Counsel (OCC)
The Ohio Consumers' Counsel (OCC) was established by the Ohio Legislature in 1976
to represent the interests of Ohio's four million residential utility customers served by
investor-owned utilities in proceedings before the PUCO, other regulatory agencies and
in the courts. The OCC also educates consumers about utility issues and resolves
complaints individuals have with investor-owned utility companies.
Participant
A consumer enrolled in the City of Dublin's Municipal Electric Aggregation Program.
Public Utilities Commission of Ohio (PUCO)
The state agency charged with assuring all consumers (residential commercial and
industrial) served by investor-owned utilities have access to adequate, safe, and reliable
utility services at fair prices. The PUCO regulates a wide variety of investor-owned
utilities, including electric, natural gas, pipeline, heating/cooling, local telephone, long
distance telephone, waterworks, wastewater, railroad, household goods carriers, water
transportation, hazardous materials carriers, and commercial transportation carriers.
Standard Offer Generation Service
The electric generation service a consumer will receive from AEP (the default electric
service provider) if the customer does not choose a CRES Provider.