Western Riverside Council of Governments Community Choice Aggregation Program OCCOG General Assembly March 16, 2017

Feasibility Study conducted for CVAG, SBCOG, WRCOG areas Jointly funded by WRCOG, SBCOG, and CVAG. Examines CCA feasibility for two-county area combined, and for COG- area geographies individually.

What area did we examine? Coachella Valley 11 jurisdictions 108,000 accounts San Bernardino County 25 jurisdictions 518,000 accounts Western Riverside 18 jurisdictions 335,000 accounts L.A. County Orange County San Diego County

What was examined in the Study? Energy use and customers Implementation / start-up costs 20-year customer account forecast Governance structures Operational structure options CVAG, SBCOG, WRCOG profiles Economic impact Combined savings Greenhouse gas reductions Load analysis Timeline

Combined Savings (1st full year): The Bottom Line Using conservative numbers and assumptions, the Feasibility Study indicates a CCA being favorable. Combined Savings (1st full year): 4.9% savings with a 33% renewable mix (compared to SCE’s current 28% renewable mix) CVAG = 4.4% WRCOG = 4.4% SBCOG = 4.6% 3.8% savings with a 50% renewable mix (11.2% lower than SCE’s 50% Green Rate) 5.7% higher with a 100% renewable mix (9.4% lower than SCE’s 100% Green Rate) Savings takes into account generation savings with SCE distribution costs.

Projected annual economic impacts – both counties $100 million rate savings annually Job creation = ~ 547 jobs Additional jobs could be added as local energy projects are built ~ $54.9+ million indirect economic impacts Overall annual impacts = $155 million

Next up: What will the CCA governance structure be? Two County Scenario New JPA created (COGs are involved) New JPA created (COGs are not involved) One County Scenario New JPA created (COGs are involved) Preferred by WRCOG Administration & Finance Committee Sub-Regional Scenario (for each COG-area) New / amending existing JPA (COGs are involved) New JPA (COGs are not involved) Individual Jurisdiction - Individual jurisdiction creates new CCA

Next Up: How are we going to staff the CCA? RFP released for third-party operations and administration Identify service needs and associated costs: Power Supply Data Management Billing services Marketing and Outreach

Rick Bishop Executive Director Western Riverside Council of Governments 4080 Lemon Street, 3rd Floor Riverside, CA 92501 (951) 955-8303 bishop@wrcog.cog.ca.us Barbara Spoonhour Director, Energy and Environmental Programs (951) 955-8313 spoonhour@wrcog.cog.ca.us