HomeMy WebLinkAbout92-03 OrdinanceRECORD OF ORDINANCES
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Ordinance No. 92-03 _ Parsed , 20_
AN ORDINANCE ADOPTING A PLAN OF OPERATION AND
GOVERNANCE FORA MUNICIPAL (OPT OUT) NATURAL GAS
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 4929.26 permits a municipality to aggregate customers within their
jurisdiction in order to facilitate "customer choice" in natural gas power suppliers and to promote
lower cost natural gas 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 4929.26 (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 natural
gas 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 4929.26 (C) under which the City will on an opt-out basis, enroll any eligible
consumers in the City owning, occupying, controlling or using a natural gas 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 4929.26 (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 authorizedlcertified 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
4929.
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 ~ of ~ -P,~~ 2003
-~-
Mayor -Presiding Officer I hereby certify that copies of this
Ordinance/Resolution were posted in the
ATTEST: City of Dublin in accordance with Section
731.25 of the Ohio Revised Code.
Clerk of Council erk of Council, Dublin, Ohio
CI1"Y nF 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, CityManager~a-~•vS.d~,~,,~
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 7cn
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 esire 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.
f 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\MEMOS\CO[JNCIL\Aggregation opt out 081303.doc
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City of Dublin, Ohio
Municipal Gas
Aggregation Program Plan
of Operation and
Governance
AMPO, Int.
2600 Airport Drive
Columbus, Ohio 43229
Overview
•On May 6, 2003, local residents
authorized the City of Dublin to
', create a municipal "opt-out" gas
aggregation program
•All eligible COH consumers within
the corporation limits will
automatically be enrolled unless
they opt out of the program
Overview
The City's purpose in creating the
Aggregation Program is to
represent local consumers'
', interests in emerging competitive
natural gas markets by
aggregating gas loads within the
corporation limits and negotiating
affordable, reliable gas supplies
on behalf of consumers
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Description of Services
•The City will not buy and resell gas ';
to participants
•The City will negotiate a contract
with a Competitive Retail Natural
Gas Services (CRNGS) Provider to
provide reliable, affordable gas
supplies on behalf of local residents
Reliability and Customer
Service
'; ®COH will continue to operate
', and maintain its gas distribution
system and will deliver gas from
the CRNGS Provider
®The only thing that changes for
participants is the natural gas
supplier
Reliability and Customer
Service
!~ Customers will still call COH for gas
outages and billing questions
The CRNGS Provider will maintain a
toll-free telephone number for
consumer questions and concerns
Customer service protocol will be
developed with the CRNGS Provider
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Reliability and Consumer
Indemnification
`• If for any reason the CRNGS
'. Provider fails to deliver gas, the City
will attempt to acquire an alternate
gas supply
• If an alternate supply cannot be
acquired, participants will default to
COH
• In no case will participants be
without gas service
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
Participant Rights
• Low income (PIPP) customers
remain subject to all
provisions of Ohio law and
PUCO rules and regulations
regarding their right to return
to COH Standard Tariff Service
and participation in the
program
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Program Structure and
Management
Oversight of the Aggregation
Program will be the responsibility of
', the Director of Service, who shat)
report to the City Manager
The Director of Service will appoint
an Aggregation Program Manager
(which may be a consultant)
Selection of a CRNGS Provider
~ The City will develop a contract
with a CRNGS Provider for firm,
full requirements gas service
®The contract wil! be far a fixed
term (i.e., one to five years) and
contain al! pricing, charges,
switching fees, etc. in clear and
easily understandable terms
CRNGS Provider Minimum
Qualifications:
d Certified by PUCo
O Registered with CUH
?Have service agreement under Ct}H
Gas Transportation Tariff
7 Have EDI system capable of
effectively processing transactions
in a timely manner
®Completed EDI Testing with COH~
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
CRNGS Provider Minimum
Qualifications:
®Meet creditworthiness standards
®Have toil-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
Natural Gas Supply Charges
• CRNGS Provider wi[I supply
information on gas supply charges
broken down by COH rate
classification
• All charges will be fully and
prominently disclosed in consumer
enrollment materials
a
COH Customer Classifications
and Rates
~~'; <~ COH assigns customer rate
classifications, character of
service and associated
regulated rates
C The City cannot assign or alter
COH customer classifications
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Initial Consumer Notification
and Enrollment
• The CRNGS Provider will work with the
,City and COH to identify all eligible
;customers. To be eligible, consumers
'must:
• Have COH gas service within the C'rty
limits
• Have a current COH account
• 8e classified as non-mercantile
Initial Consumer Notification
and Enrollment
~To be eligible, consumers must
(cont'd):
.Not already be served by a
CRNGS provider
. Not be a PIPP customer
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 Z'~}
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Initial Consumer Notification
and Enrollment
', * Consumers will be given a 21-day
'period to notify the City if they wish
to opt-out of, or decline participation
in, the Aggregation Program
• Consumers who did not opt out will
be enrolled in the program by the
CRNGS Provider at the earliest date
practicable
Initial Consumer Notification
and Enrollment
• Consumers enrolled in the
program will receive a rescission
letter from COH notifying them
of their enrollment and granting
them seven calendar days to
notify COH of any objections to
their enrollment
Leaving the Aggregation
Program
Participants who wish to leave
the program may do so:
• During the initial 21-day opt-out period
• During the seven day rescission period
• At least every two years
• At any other time; however a switching
fee may be assessed by the CRNGS
Provider
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 COH
Standard Tariff Service
• Consumers who relocate
outside the City limits will pay no
exit fee and will return to CUH
Standard Tariff Service
Customer Billing
~•~ The CRNGS Provider will
initially use C~H consolidated
~~! billing where each consumer
receives one bill itemizing the
CRNGS Provider's gas supply
charges and C4H charges
a
Participant Responsibilities
Program participants are
subject to the same standards
and responsibilities as other gas
consumers, including payment
of billings and access to
metering and other equipment
necessary to carry out utility
operations
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
New and Returning
Participants
Participants who leave the program
and later wish to return, as well as
new participants and new COH
customers, will be able to join the
program; however, the City cannot
guarantee the same rates as initially
offered.
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:
• They obtain gas service from COH
and,
• They retain the same COH account
number
z.
Termination of the Program
'; In the event of program termination,
participants will receive 60 days
notice and can return to COH
Standard Tariff Service or select
another approved CRIVGS Provider
a
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
Dispute Resolution
OCity of Dublin- 614-410-4750
4~Qhio Consumer's Counsel
(residential) - 877 742-5622
Public Utilities Commission of Ohio
- 800 686-7862
a
AMPO, Inc., 2600 Airport Drive
Columbus, OH 43219 (614) 337-6222
CITY OF DUBLIN DRAFT PLAN OF OPERATION
Exhibit A
CITY OF DUBLIN
PLAN OF OPERATION AND
GOVERNANCE FOR
MUNICIPAL OPT-OUT
NATURAL GAS AGGREGATION
ADOPTED BY CITY COUNCIL
(xxxxxxx~
CITY OF DUBLIN DRAFT PLAN OF OPERATION
Overview
At the May 6, 2003 election, local residents authorized the City of Dublin (the City) to
create a municipal opt-out natural gas aggregation program (the Aggregation Program) in
compliance with Section 4929.26 of the Ohio Revised Code. Under the opt-out natural
gas aggregation program, all eligible natural gas 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 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 natural gas markets by aggregating natural gas loads
within the City's corporation limits (including municipal facilities) and negotiating
affordable, reliable natural gas 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 natural gas consumers lack the leverage to
effectively negotiate natural gas 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.
1. Description of Services
The Aggregation Program is designed to reduce the amount a consumer pays for natural
gas energy, and to gain other favorable economic and non-economic terms in service
contracts. The City will not buy and resell natural gas, but will represent co-Tlective
consumer interests to set terms and conditions for service. Through a negotiation
process, the City will develop a contract with a Competitive Retail Natural Gas Services
Provider (CRNGS Provider) or Providers for firm all-requirements natural gas service.
Once the contract has been finalized, it will be submitted to the Dublin City Council for
approval.
The Aggregation Program covers the natural gas supply portion only of a participant's
natural gas bill. Columbia Gas of Ohio (COH) will continue to deliver natural gas to
Aggregation Program participants' homes and businesses through its natural gas
distribution system as a monopoly function regulated by the Public Utilities Commission
of Ohio (PUCO). COH will also continue to install, operate and maintain its system of
pipelines, Rights of Way, meters and other natural gas distribution components.
Aggregation Program participants should continue to call COH if their natural gas is
interrupted or if they have billing questions. The PUCO will continue to oversee COH
natural gas safety and reliability service standards.
2
CITY OF DUBLIN DRAFT PLAN OF OPERATION
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
Manager/Director of Service, subject to City Council approval, will have the authority to
develop specifications for the Aggregation Program, to appoint an Aggregation Program
Manager, and to select, hire and manage the CRNGS Provider. The CRNGS 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 natural gas 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 CRNGS Provider contracts, and representing the City in
dealings with CRNGS Providers, COH, the Ohio Legislature, the PUCO and the Ohio
Consumer's Counsel (OCC).
The City deems any and all information related to an eligible customer to be confidential
and proprietary trade secret information. The CRNGS Provider shall keep all eligible
customer information provided to it by the City or COH in supplying eligible customers
within the City's corporation limit confidential and shall not disclose such information to
any third party, unless such disclosure is required to serve any eligible customer, the third
party agrees to keep such eligible customer information confidential, and the City
consents to the disclosure of such information to the third party.
The City will require any CRNGS Provider to disclose any subcontractors that it uses in
fulfillment of the services described herein.
The CRNGS 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 CRNGS 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.
Natural gas service reliability is an essential to Aggregation Program participants. The
City will strive to provide high-quality service and reliability through provisions of the
CRNGS Provider contract, through traditional proceedings related to COH distribution
services; and through direct discussions with COH concerning specific or general
problems related to quality and reliability of its distribution system.
3
CITY OF DUBLIN DRAFT PLAN OF OPERATION
If for any reason a CRNGS Provider fails to provide uninterrupted service, the City will
attempt to acquire an alternative natural gas supply. If this attempt fails, participants will
default to COH established tariff rates. In no case will participants be without natural gas
as the result of the CRNGS Provider's failure to provide uninterrupted service. The City
will seek to minimize this risk by contracting only with reputable CRNGS Providers that
demonstrate reliable service. The City also intends to include conditions in its CRNGS
Provider contract that will indemnify participants against risks or problems with natural
gas supply service and price.
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 CRNGS 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 subject to the terms and conditions described herein, Ohio law,
PUCO rules and regulation governing natural gas service, and COH 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. CRNGS 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 may be amended from time to time regarding their rights to T
return to COH General Service and participation in the Aggregation Program.
The City developed this Plan of Operation and Governance in compliance with Ohio law
regarding municipal opt-out aggregation of natural gas consumers, including two public
hearings prior to its adoption.
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 4929.26. 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 COH.
4
CITY OF DUBLIN DRAFT PLAN OF OPERATION
Aggregation Program participants are subject to the same standards and responsibilities
as other natural gas consumers, including payment of billings and access to metering and
other equipment necessary to carry out utility operations.
The Aggregation Program may be discontinued upon the termination or expiration of the
CRNGS Provider contract without any extension, renewal or subsequent contract being
executed. In the event of Aggregation Program termination, each participant will receive
notification at least 60 days prior to such program termination and could return to COH
General Service Rate or select another approved CRNGS Provider.
2. Determination of Rates
The City will not buy and resell natural gas to Aggregation Program participants. The
City will aggregate natural gas loads within the City's corporation limits including
municipal facilities. Through a competitive selection process, the City will develop and
negotiate a contract with a CRNGS Provider or Providers for firm, all-requirements
service. The contract will contain mutually agreeable price terms for affordable, reliable
natural gas supplies and other related services. The City may pursue this purpose
individually or in cooperation with other entities. Contracts will be monitored by the
City on behalf of consumers.
CRNGS Providers will supply information on natural gas supply charges by COH
customer rate classification or other appropriate pricing category as approved by the City.
All natural gas supply charges will be fully and prominently disclosed in consumer
enrollment materials and will be subject to approval by the Dublin City Council.
The City will contract only with a CRNGS Provider or Providers that meet at a
minimum the following criteria: _
1. Certified CRNGS Provider by the PUCO -- -
2. Registered with COH
3. Have a service agreement under COH Gas Transportation Service Tariff
4. Successfully completed Electronic Data Interchange (EDI) computer system testing
with COH and that CRNGS 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 natural
gas and/or energy-related services to Aggregation Program participants
The CRNGS 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.
5
CITY OF DUBLIN DRAFT PLAN OF OPERATION
The CRNGS 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.
COH assigns customer rate classifications, character of service and associated regulated
rates subject to PUCO approved tariffs. In addition to the CRNGS Provider's gas service
charges, consumers will continue to be billed for COH 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.
3. Plan for Providing Opt-out Notice
Initially, each eligible consumer within the City's corporation limits will be automatically
included in the Aggregation Program. 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 Columbia Gas of Ohio's (COH) established tariff rates until such time as they
select an approved CRNGS 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.
4. Process for Determining the Pool of Customers --
After contract approval by the Dublin City Council, the CRNGS Provider will work with
the City and COH 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" 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 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 CRNGS Provider at the earliest date practicable.
6
CITY OF DUBLIN DRAFT PLAN OF OPERATION
Consumers enrolled in the Aggregation Program by the CRNGS Provider will receive a
letter from COH notifying them of their enrollment. Consumers will have seven calendar
days to notify COH of any objection to their enrollment in the Aggregation Program.
COH will notify the CRNGS Provider of consumer objections or any reason that a
consumer was not enrolled in the Aggregation Program.
Customers who meet the following criteria will become Members of the aggregation
program:
• Are not currently buying gas from another supplier;
• Are up to date with their bill payments;
• Have not opted out of the program;
• Currently have service with COH;
• Are classified as non-mercantile;
• Have not exercised their right of rescission, or;
• Are not on the Percentage of Income Payment Plan (PIPP)
New members may opt into the Program upon contract expiration with an alternate
supplier. These members will need to contact the CRNGS Provider for enrollment
information. The CRNG Provider has a right of refusal in accordance with criteria
described in this plan.
The CRNGS Provider will build and maintain a database of all Aggregation Program
participants. The database will include the name, address and COH account number and
may include other pertinent information as agreed upon by the City and the CRNGS
Provider. Such information may include the CRNGS Provider's account number (if
different from COH account number), rate code, rider code (if applicable), most recent 12
months of natural gas consumption, and meter reading cycle. The Aggregation Program
database will be updated at least quarterly. The City will have tyre right to access
information in the database for purposes of auditing.
The CRNGS Provider will report to the City the status of Aggregation Program
enrollment on at least a monthly basis.
Participants who wish to leave the Aggregation Program may do so:
• During the initia121-day opt-out period;
• During the seven day rescission period;
• During subsequent opt-out period offered by the City at least every two years;
• At any other time; however an early termination 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.
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CITY OF DUBLIN DRAFT PLAN OF OPERATION
Any consumer who opts out of the Aggregation Program will be returned to COH
established tariff rates until such time as the consumer selects another approved CRNGS
Provider.
5. Customer Billing Procedures
The City plans to utilize COH consolidated billing service in which each consumer
account receives one bill itemizing the CRNGS Provider's natural gas supply charges and
COH 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 CRNGS Provider consolidated billing, if and when they
become available and if it appears advantageous to do so.
6. Credit and Deposit Policies
Collection, credit and deposit procedures remain the responsibility of the Local Utility,
the selected supplier and the individual member. Members are required to remit and
comply with the payment terms of the local utility. This program will not be responsible
for late or no payment on the part of any of its members. The Municipality will have no
separate credit or deposit policy. The selected supplier shall not charge more than 1
percent per month for overdue balances owed to the selected supplier.
7. Governmental Aggregator's Customer Service Procedures and Dispute
Resolution
The Aggregation Program only impacts the source of natural gas supply. COH will
continue to deliver the natural gas purchased through the Aggregation Program to
participants' homes and businesses through its natural gas distribution system.
Participants with question or concerns regarding service delivery or safety, such as a
natural gas outage or odor of gas should continue to contact COH at 800-344-4077.
Meter reading or other billing questions should also be directed to COH at the same
number. Questions regarding Aggregation Program enrollment or opting out should be
directed to the CRNGS Provider. General questions and concerns should be directed to
either the office of the Development Director, City of Dublin, or Robert Simmers at
AMPO, Inc. Disputes unresolved by the aforementioned parties, should be directed to
either the Ohio Consumer's Counsel or the Public Utilities Commission of Ohio. The
following table gives toll-free telephone numbers for use by consumers.
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CITY OF DUBLIN DRAFT PLAN OF OPERATION
Question or Concern Telephone Number
contact
Natural gas outage or COH 800-344-4077
interruption
Turn natural gas on or off COH 800-344-4077
Meter reading/billing COH 800-344-4077
To enroll in or opt-out of the CRNS Provider 800*********
Aggregation Program
Aggregation Program AMPO, Inc. 800-305-1066
Questions or concerns gslone@amp-ohio.org
Unresolved disputes Ohio Consumer's Counsel 877-742-5622
(residential customers) occ@occ.state.oh.us
Unresolved disputes Public Utilities Commission (800)-686-7826 (voice)
(all customers) of Ohio
(800)-686-1570 (TDD)
8. Members Moving Into/Within the Aggregation (New Account Number)
Consumers who move into the City after the initial opt-out period will be not be
automatically included in the Program, but will be afforded an opportunity to enroll.
However, the City cannot guarantee that the rates, terms and conditions to consumers
enrolling in the Aggregation Program after the initial 21-day opt-out period will match
those of the initial enrollees.
'The same rule will apply to participants who move within the City after the initial opt-out
period, if they are given a new account number by COH. That is, they will not be
automatically include in the Program, but will be given an opportunity to re-enroll under
a new set of rates, terms and conditions.
9. Members Moving Within the Aggregation (Same Account Number)
Participants who relocate within the City limits and retain the same COH account
number, will be allowed to continue in the Aggregation Program at their new location
under the same terms and conditions as at their former location, subject to any switching
fees imposed by COH.
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CITY OF DUBLIN DRAFT PLAN OF OPERATION
10. Joining the Program at a Later Date (Opting-In)
Residents of the City who initially choose to opt-out of the Program, for whatever reason,
and wish to enroll at a later date, will be treated the same as a new resident. That is, they
will not automatically become part of the existing program, but will be given an
opportunity to enroll. However, the City cannot guarantee that rates, terms and
conditions to consumers enrolling in the Aggregation Program after the initial 21-day
opt-out period will match those of the initial enrollees.
DEFINITIONS
Aggregation
Combining the natural gas loads of multiple customers for the purposes of
supplying or arranging for the supply of competitive retail natural gas service to
those customers.
Aggregation Program Manager
The person or entity designated by the City to oversee the operation and
management of the City of Dublin's Municipal Natural gas Aggregation Program.
Competitive Retail Natural Gas Service (CRNGS)
A component of retail natural gas service 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 natural gas service
providers, natural gas marketers, aggregators and governmental aggregators.
Competitive Retail Natural gas Service Provider (CRNGS Provider)
A person or entity certified by the PUCO and registered with COH who supplies
or offers to supply a competitive retail natural gas service over the COH natural
gas distribution system. This term does not apply to COH in its provision of
standard offer natural gas service.
Consumer
Any person or entity that is an end user of natural gas and is connected to any part
of COH natural gas distribution system within the City of Dublin's corporation
limits.
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CITY OF DUBLIN DRAFT PLAN OF OPERATION
Delivery Charge
Charge imposed by COH for delivering natural gas to a consumer's home or
business. The charge includes meter reading, billing, transition costs, maintaining
natural gas system reliability and responding during emergencies and outages
(also called the distribution charge).
Distribution
Delivery of natural gas to a home or business through COH owned pipelines,
meters and other equipment. COH distribution system operations will remain
regulated by the PUCO.
Governmental Aggregator
An incorporated village or city, township or county acting as an aggregator for the
provision of a CRNGS under authority conferred under Section 4928.20 of the
Ohio Revised Code.
Mercantile Customer
A customer that consumes, other than for residential use, more than five hundred
thousand cubic feet of natural gas per year at a single location within the state; or
a customer that has three or more location within the state that consume natural
gas, other than for residential use. ~~
Natural Gas Related Service
Service directly related to the consumption of natural gas at a consumer's home or
business. This may include, but is not limited to, the installation of metering,
remote reading indices, regulation; the maintenance, repair or replacement of
appliances and other energy-consuming devices at a consumer's premises, and the
provision of energy consumption measurement and billing services.
Natural gas Supply Charge
All charges related to the acquisition of natural gas by the CRNGS Provider, and
its delivery to the City's distribution system.
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CITY OF DUBLIN DRAFT PLAN OF OPERATION
Ohio Consumers' Counsel (OCC)
The Ohio Consumers' Counsel (OCC), established by the Ohio Legislature in
1976, represents 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 Natural gas 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 natural gas, electricity, pipeline,
heating/cooling, local telephone, long distance telephone, waterworks,
wastewater, railroad, household goods carriers, water transportation, hazardous
materials carriers, and commercial transportation carriers.
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