THE MEETING OF SUSTAINABILITY,
CITY LIGHT, ARTS AND CULTURE
COMMITTEE WILL COME TO ORDER.
IT IS 9:31 A.M. I AM CHAIR OF
THE COMMITTEE. WILL THE CLERK
PLEASE CALL THE ROLL?
>> [ ROLL CALL ]
>> THERE ARE THREE MEMBERS
PRESENT.
>> THANK YOU. IF THERE IS NO
OBJECTION, THE AGENDA WILL BE
ADOPTED. HEARING NO OBJECTION.
THE AGENDA IS ADOPTED. WE WILL
NOW OPEN THE HYBRID PUBLIC
COMMENT PERIOD. PUBLIC COMMENTS
SHOULD RELATE TO ITEMS ON
TODAY'S AGENDA AND WITHIN THE
PURVIEW OF THIS COMMITTEE. HOW
MANY SPEAKERS ARE SIGNED UP
TODAY?
>> WE HAVE ZERO REMOTE SPEAKERS
AND ONE IN PERSON SPEAKER.
>> GREAT. EACH SPEAKER HAS TWO
MINUTES. WE WILL START WITH THE
ONE IN PERSON SPEAKER. QUICK
REMINDER, PUBLIC COMMENTS ARE
TWO MINUTES . WITHIN 10 SECONDS
LEFT OF YOUR TIME, THE MIC ,
YOU WILL HEAR HR -- CHINE, AND
YOUR MIC WILL BE MUTED. THE
PUBLIC COMMENT PERIOD IS NOW
OPEN. WE WILL BEGIN WITH THE
FIRST SPEAKER.
>> THE FIRST IN PERSON SPEAKER
IS ALEX ZIMMERMAN.
>> LET ME GET THE TIMER READY.
>> ONE MOMENT. MY APOLOGIES.
>> MY NAME IS ALEX IMMERMAN. A
COME TODAY BECAUSE WHAT I SEE
RIGHT NOW IN SEATTLE. FOR THE
LAST 20 YEARS [ INAUDIBLE ]
NOTHING TO DO WITH AMERICANS.
THERE ARE FUNDAMENTAL CHANGES
FOR THE LAST 20 YEARS. FOR THE
LAST 10 YEARS THEY JUMP OUT
TOTALLY. WE AS A PEOPLE, BY AND
FOR THE PEOPLE. [ INAUDIBLE ]
NOTHING TO AMERICA. AMERICAN
CITY. A COUPLE OF DAYS AGO WE
HAD A MOVIE COME TO MARKET,
SEATTLE NUMBER ONE, STUPID,
IDIOTIC CITY IN AMERICA. THIS
IS WHY I COME AND SPEAK EVERY
DAY HERE FOR MANY YEARS. SO
GUYS, HOW CAN WE CHANGE THIS?
HOW CAN WE BRING SEATTLE BACK
TO AMERICAN CULTURE? WHAT IS
ESTABLISHED FOR 250 YEARS? I
HAVE A VERY SIMPLE.. WE NEED
OPEN ROOM IN CITY HALL. FROM
9:00 TO 9:00 SO PEOPLE CAN COME
AND SPEAK WITHOUT CONTROLLING
THIS CHAMBER. BECAUSE THE
CHAMBER WE HAVE RIGHT NOW HERE
IS A PURE , IDENTICAL , I
REPEAT, IDENTICAL TO GESTAPO.
CITY CODE. YOU CHAIR OF THIS
COUNCIL, IT IS YOUR DUTY , BY
DEFINITION, TO BRING SEATTLE
BACK TO NORMAL CULTURE ALL
AMERICA. STOP THIS IDIOTIC
SITUATION SO WE LOOK LIKE A
GESTAPO FASCIST. STAND UP,
AMERICA. STANDUP YOU. THANK YOU
VERY MUCH.
>> THANK YOU, MR. SIMMERMAN. --
ZIMMERMAN. MEMBERS OF THE
PUBLIC ARE ENCOURAGED TO SIGN
UP AT THE PODIUM OR EMAIL THE
COUNCIL. ARE THERE ANY
ADDITIONAL SPEAKERS?
>> THERE ARE NOT. THAT WE WILL
NOW PROCEED TO THE ITEMS A
BUSINESS. PLEASE READ THE FIRST
ITEM INTO THE RECORD.
>> AGENDA ITEM 1, RESOLUTION
32144, A RESOLUTION ADOPTING
THE 2024 FOOD ACTION PLAN AND
DIRECTING THE OFFICE OF
SUSTAINABILITY AND ENVIRONMENT
TO CONTINUE INTERDEPARTMENTAL
COORDINATION, IMPLEMENTATION,
AND MONITORING OF THE FOOD
ACTION PLAN. FOR BREATHING,
DISCUSSION AND POSSIBLE VOTE.
>> THANK YOU. WOULD THE
PRESENTERS PLEASE COME TO THE
TABLE? ONCE READY, INTRODUCE
YOURSELVES AND GET STARTED.
>>
GOOD MORNING, MEMBERS OF THE
COMMITTEE AND MADAME CHAIR. I
AM THE DIRECTOR OF THE OFFICE
OF SUSTAINABILITY AND
ENVIRONMENT. I AM JOINED BY OSC
AND HSD. WE ARE HERE TO PRESENT
ON THE FOOD ACTION PLAN.
WITHOUT FURTHER ADO, I WILL
JUMP INTO THE PRESENTATION.
TODAY'S TOPIC IS TO DISCUSS
THE UPDATED FOOD ACTION PLAN
AND THE PROPOSAL FOR THE CITY
COUNCIL TO EXPRESS SUPPORT OF
AN UPDATED PLAN BY ADOPTING A
RESOLUTION. WE ARE GOING TO
REALLY BE TALKING ABOUT THE
THEME OF HOW WE CREATE A
HEALTHY AND ROBUST LOCAL FOOD
SYSTEM THAT CONTRIBUTES TO A
SUSTAINABLE AND LIVABLE CITY
FOR EVERYONE IN OUR COMMUNITY.
THIS IS AN AREA WHERE SEATTLE
HAS NOW DECADES OF LEADERSHIP.
I KNOW MEMBERS OF THIS COUNCIL,
COUNCILMEMBER MORALES AND
COUNCIL MEMBERS STRAUSS, YOU
HAVE A WONDERFUL LEADER FOR A
LONG TIME NOW. WE APPRECIATE
YOUR LEADERSHIP AS WELL, MADAME
CHAIR. WE WILL MOVE ON TO THE
NEXT SLIDE. JUST AS A REMINDER,
YOU HAVE SEEN THIS BEFORE. OSC
WORKS TO ADVANCE THE ONE
SEATTLE CLIMATE JUSTICE AGENDA.
OUR FOOD WORK REALLY NESTS
UNDER REDUCING CLIMATE
POLLUTION. THERE IS A CLIMATE
CHANGE AND POLLUTION ELEMENT TO
OUR WORK, AS WELL AS THE
HEALTHY RESILIENT COMMUNITIES.
IF YOU HIT THE ANIMATION, YOU
WILL SEE ALL OF THE POLICY
AREAS. THE FOOD POLICY PROGRAMS
NESTS UNDER THIS. THE ROLE OF
OSC IN PARTNERSHIP WITH HSD IS
TO COORDINATE THIS WORK ACROSS
THE CITY AND WORK WITH OUR
COMMUNITY. NEXT SLIDE. AND SO,
THE FOOD ACTION PLAN THAT WILL
BE DISCUSSED TODAY IS REALLY
THE CITY'S SHARED VISION FOR
OUR COMMUNITY ACROSS CITY
DEPARTMENTS , AND IT IS OUR
ROADMAP FOR EQUITABLE,
SUSTAINABLE AND RESILIENT LOCAL
FOOD SYSTEMS. IT OUTLINES OUR
STRATEGIES AND ACTIONS TO
INCREASE FOOD SECURITY, SUPPORT
URBAN AGRICULTURE, LOCAL FOOD
BUSINESSES AND PREVENT FOOD
WASTE. BRIDGET AND SEAN WILL
GET INTO THOSE STRATEGIES IN
DEPTH. AGAIN, THIS IS AN AREA
WHERE WE HAVE BEEN A LEADER. WE
HAVE HAD A ACTION PLAN
SINCE 2012. ALTHOUGH IT HAS NOT
BEEN UPDATED SINCE THEN. THIS
IS THE FIRST UPDATE IN QUITE
SOME TIME. OSC AND HSD LED THE
PROCESS TO MAKE SURE OUR PLAN
REFLECTS OUR CHANGED CONTEXT
AROUND THE POST COVID FOOD
WORLD, ISSUES RELATED TO KITE
-- CLIMATE RESILIENCE, AND ALSO
EQUITY. SO FOR OVER 10 YEARS,
THIS FOOD ACTION PLAN HAS BEEN
THE BACKBONE FOR ALL OF OUR
WORK. IT HAS LED TO A HIGHLY
COORDINATED, EFFICIENT AND
COLLABORATIVE SYSTEM THAT HAS
YIELDED IMPACTFUL AND
INNOVATIVE PROGRAMS ACROSS THE
CITY. I WILL JUST NAME CHECK A
COUPLE OF THEM. OF COURSE, THE
FRESH BOOKS PROGRAM, WHICH
PROVIDES VOUCHERS FOR OVER
12,000 HOUSEHOLDS FOR HEALTHY
FRUITS AND VEGETABLES, FOOD
RESCUE INNOVATION IN
PARTNERSHIP WITH SPU TO PREVENT
FOOD WASTE, THE PRESCHOOL
PROGRAM THAT CREATES ACCESS FOR
HEALTHY FOODS FOR 47 PRESCHOOLS
AROUND THE CITY, AND SO MUCH
MORE. WE WILL GET INTO THAT IN
DEPTH. THE UPDATED 2024 PLAN IS
A CONTINUATION OF THIS REALLY
IMPORTANT WORK. AND SO, THE
ACTION TODAY IS TO GO THROUGH
THE FOOD ACTION PLAN, AND THEN
THE ADOPTION OF A RESOLUTION
THAT REALLY HELPS THE MAYOR,
THE COUNCIL, COMMUNITY,
DEPARTMENTS REALLY BE ON THE
SAME PAGE AROUND THIS
LONG-STANDING FRAMEWORK THAT
GUIDES OUR INVESTMENTS AND OUR
PROGRAMMING. AND SO, WITH THAT,
I WILL HEAD OVER TO BRIDGET AND
SEAN TO GIVE YOU AN OVERVIEW.
>> THANK YOU. I WILL START BY
SHARING SOME INFORMATION ON THE
NEEDS AND OPPORTUNITIES WE ARE
FACING IN OUR LOCAL FOOD SYSTEM
RELATED TO FOOD INSECURITY,
INFLATION AND THE IMPACT THAT
FOOD HAS ON THE ENVIRONMENT.
THIS IS A SMALL SNAPSHOT OF THE
DATA WE CONSULTED AS THE
UPDATED THE FOOD ACTION PLAN.
WE KNOW THAT RIGHT NOW IN
SEATTLE 10% OF ADULTS
EXPERIENCE FOOD INSECURITY, BUT
THE RATES ARE MUCH HIGHER FOR
PEOPLE OF COLOR. FOOD
INSECURITY MEANS NOT HAVING
ENOUGH ACCESS TO FOOD OR FOOD
OF ADEQUATE QUALITY TO MEET
BASIC NEEDS. MEANWHILE,
TODAY'S HIGH FOOD PRICES ARE
MAKING IT EVEN HIGHER HARDER
FOR LOWER INCOME AND FOOD
INSECURE HOUSEHOLDS. DATA FROM
THE CONSUMER PRICE INDEX SHOWS
THAT FOOD PRICES ROSE 25%
BETWEEN 2019 AND 2023. WE ARE
SEEING THE IMPACT OF THIS IN
REAL TIME IN OUR COMMUNITIES.
FOOD BANKS AND MEAL PROGRAMS
ARE EXPERIENCING EXTREMELY HIGH
DEMAND. SEAN AND I JUST
CONSOLED THE DATA FROM THE SNAP
PROGRAM IN KING COUNTY AND
ENROLLMENT IS UP 18% SINCE
JANUARY 2022. LASTLY, FOOD OF
FOOD WAYS HAVE MAJOR IMPACTS ON
THE ENVIRONMENT . THE FOOD WE
CONSUME IN SEATTLE MAKES UP 24%
OF SEATTLE'S CONSUMPTION BASED
GREENHOUSE GAS EMISSIONS. WE
RECOGNIZE THESE ARE VERY
COMPLEX ISSUES AND THE FOOD
ACTION PLAN CANNOT SOLVE FOR
ALL OF THESE PROBLEMS, WHICH
ARE SYMPTOMATIC OF SOCIAL,
ECONOMIC AND ENVIRONMENTAL
ISSUES WE FACE NATIONALLY AND
GLOBALLY . BUT WE CAN, AND DO,
NEED TO ADDRESS THEM IN OUR
CITY TO MINIMIZE IMPACTS ON
RESIDENTS. FOR DECADES , AS THE
DIRECTOR MENTIONED, THE CITY
HAS INVESTED IN PROGRAMS TO
ADDRESS THESE ISSUES. THE CORE
FOOD PROGRAM TO FOCUS ON FOOD
SECURITY AND ACCESS, FOOD WASTE
PREVENTION AND URBAN
AGRICULTURE, AND THEY ARE
MANAGED BY THE FIRE DEPARTMENT
YOU CAN SEE LISTED HERE. EACH
REALLY IS BRINGING SPECIALIZED
AND UNIQUE EXPERTISE TO THIS
WORK. A KEY POINT WE WANT TO
HAVE YOU TAKE AWAY FROM
TODAY'S PRESENTATION IS THAT
THE UPDATED PLAN LARGELY
REFLECTS THIS EXISTING AND
ONGOING WORK BY THESE
DEPARTMENTS. IN ADDITION TO
THESE CORE FOOD PROGRAMS I
MENTIONED, WE ALSO HAVE ALIGNED
PROGRAMS. THOSE PROGRAMS ME
THAT THE FOOD IS NOT
NECESSARILY THE PRIMARY FOCUS,
BUT THE WORK IMPACTS THE LOCAL
FOOD SYSTEM AND THE GOALS OF
THE FOOD ACTION PLAN. WE HAVE
ALIGNED PROGRAMMING IN OFFICES
OF ECONOMIC DEVELOPMENT, LABOR
STANDARDS AND PLANNING AND
COMMUNITY DEVELOPMENT. I HAVE
LISTED SOME OF THE ISSUE AREAS
HERE THEY ARE LEADING RELATED
TO SMALL BUSINESS SUPPORT,
ZONING AND LABOR STANDARDS.
BEFORE WE GET DEEPER INTO THE
PLAN 'S CONTACT, WE WILL GO
THROUGH A QUICK TIMELINE OF OUR
PROCESS TO UPDATE IT. WE
STARTED IN 2019, BUT WE HAD TO
PAUSE DURING COVID. DURING THIS
TIME, WE PIVOTED TO EMERGENCY
RESPONSE EFFORTS. DURING COVID,
HST AND OSC WORKED
COLLABORATIVELY TO MANAGE OVER
$31 MILLION IN THE ONE TIME
INVESTMENTS IN FOOD SECURITY.
IN LATE 2021, AS THE CITY
TRANSITIONED INTO COVID
RECOVERY, WE RESUMED THE UPDATE
PROCESS AND STARTED TO REFRESH
THE FRAMEWORK FOR THE UPDATED
PLAN. THIS WORK INCLUDED A
LITERATURE REVIEW, INTERVIEWS
WITH SUBJECT MATTER EXPERTS ,
DEEP COMMUNITY ENGAGEMENT WITH
OVER 250 COMMUNITY LEADERS, AND
TWO RACIAL EQUITY TOOLKITS. IN
2022, WE BRIEFED APARTMENT
DIRECTORS, THE SUBJECT -- CITY
BUDGET OFFICE AND MAYORS OFFICE
PRIOR TO THE PUBLIC COMMENT
PERIOD ON AN EARLIER VERSION OF
THE PLAN. DURING THIS TIME WE
ALSO WORKED WITH THE OFFICE OF
INTERGOVERNMENTAL RELATIONS TO
ENGAGE WITH THE TRIBES AND
GIVEN OPPORTUNITY FOR FEEDBACK
FROM THEM . AFTER WE SUBMITTED
THE DRAFT PLAN TO REFLECT THE
PUBLIC COMMENT WE RECEIVED, WE
DID ANOTHER ROUND OF REVIEW,
AND THIS BRINGS US TO THIS
YEAR, 2024. IN FACT, YESTERDAY
WE HAD , THANK YOU
COUNCILMEMBER WOO, YOU SAW THE
OUTPOURING OF COMMUNITY
PARTNERS WHO ARE AT THE HEART
OF THIS WORK. TODAY WE PRESENT
TO YOU FOR YOUR YOUR
CONSIDERATION A RESOLUTION FOR
ADOPTION. NOW WE'RE GOING TO
GET INTO THE PLAN CONTENT. LIKE
THE UPDATED FOOD ACTION PLAN ,
EXCUSE ME, LIKE THE ORIGINAL
FOOD ACTION PLAN, THIS UPDATE
IS A FIVE-YEAR CONTINUATION OF
THAT ORIGINAL PLAN. WE HAVE THE
SAME FOUR GOALS REPRESENTED IN
THE UPDATE YOU SEE HERE.
INCREASING COMMUNITY FOOD
SECURITY, SUPPORTING LOCALLY
GROWN AND TRADITIONAL FOODS,
PREVENTING FOOD WAYS AND
CLIMATE POLLUTION, AND
ADVANCING EQUITABLE ECONOMY. TO
ADVANCE THESE GOALS, YOU WILL
SEE ON THE NEXT LINE THAT WE
HAVE IDENTIFIED EIGHT STRATEGIC
PRIORITIES. ALL OF THE ACTIONS
IN THE UPDATED PLAN ARE
ORGANIZED AROUND THESE
CATEGORIES. SEAN AND I WILL NOW
WALK YOU THROUGH EACH OF THESE
AT A VERY HIGH LEVEL TO GIVE
YOU A SENSE OF WHAT THEY
ADDRESS. THE FIRST STRATEGIC
PRIORITY IS COMMUNITY FOOD
SECURITY. THIS FOCUSES ON
ACCESS TO NUTRITIOUS,
AFFORDABLE AND CULTURALLY
RELEVANT FOOD. THE ACTIONS IN
THIS CATEGORY INCLUDE ALL OF
OUR EXISTING FOOD PROGRAMS THAT
ARE OFFERED IN PLACES WHERE
SEATTLE RESIDENTS OF ALL AGES
ARE ALREADY ACCESSING SERVICES
LIKE PRESCHOOLS, SCHOOLS,
HEALTHCARE, AND COMMUNITY
ORGANIZATIONS. STRATEGIC
PRIORITY NUMBER TWO IS LAND
ACCESS IN USE . THIS IS ABOUT
FOCUSING ON EXISTING WORK TO
ENABLE COMMUNITY GROUPS TO GROW
FOOD ON PUBLIC GREEN SPACES.
SOME EXISTING EXAMPLES OF THIS
INCLUDE OUR P-PATCH, BEACON
FOOD FOREST AND THE REINDEER
URBAN FARM AND WETLAND.
STRATEGIC PRIORITY NUMBER THREE
IS FOCUSED ON FOOD RELATED
EDUCATION AND TRAINING. THE
ACTIONS IN THIS CATEGORY
LEVERAGE OUR EXISTING FOOD
PROGRAMS TO PROVIDE CULTURALLY
RELEVANT AND EXPERIENTIAL FOOD
AND NUTRITION EDUCATION. WE
OFTEN SEE MANY COMMUNITY LED
GRANT PROGRAM FUNDED BY THE
CITY THAT HAVE A STRONG FOOD
AND NUTRITION EDUCATION
COMPONENT. STRATEGIC PRIORITY
NUMBER FOUR IS FOCUSED ON THE
LOCAL FOOD ECONOMY. THIS
CATEGORY IS LEVERAGING THE
CURRENT EFFORTS TO SUPPORT FOOD
PROJECTS THAT PROMOTE EQUITABLE
ECONOMIC DEVELOPMENT AND
TECHNICAL ASSISTANCE PROVIDED
BY OFFICE OF ECONOMIC
DEVELOPMENT TO SO MANY SMALL
FOOD BUSINESSES. SOME OF THEM
WERE AT THE EVENT YESTERDAY
SERVING UP AMAZING SMALL BITES.
THIS CATEGORY IS ALSO AROUND
REFERENCING THE EXISTING LABOR
LAWS IN SEATTLE AND PROTECTIONS
FOR LOW-WAGE WORKERS, INCLUDING
FOOD SERVICE WORKERS. THERE IS
APPROXIMATELY 23,000 FOOD
SERVICE WORKERS IN THE CITY. I
WILL TURN IT OVER TO JOHN.
>> THANKS, BRIDGET. STRATEGIC
PRIORITY NUMBER FIVE IS FOCUSED
ON LOCAL SUPPLY CHAINS. IT IS
AN ESPECIALLY IMPORTANT TOPIC
SINCE COVID BEGAN. THE CITY
WORK IN THIS AREA INCLUDES
CURRENT EFFORTS TO SUPPORT
LOCAL FOOD SYSTEM
INFRASTRUCTURE AND TO SHIFT
FOOD PURCHASING TWO MORE
LOCALLY GROWN, ENVIRONMENTALLY
SUSTAINABLE AND EQUITABLY
PURCHASED FOOD. STRATEGIC
PRIORITY NUMBER SIX FOCUSES ON
PREVENTING FOOD WASTE , ALL
ACTIONS IN THIS CATEGORY ARE
LED BY SEATTLE PUBLIC UTILITIES
AND FOCUS ON THEIR EFFORTS TO
PREVENT FOOD WASTE FOR
RESIDENCES AND BUSINESSES. THIS
SECTION ALSO INCLUDES ACTIONS
FOCUSED ON FOOD RESCUE . FOOD
RESCUE IS ABOUT INCREASING THE
QUANTITY OR QUALITY OF DONATED
FOOD GOING TO PEOPLE IN NEED,
WHILE THE SAME TIME, REDUCING
OVERALL FOOD WASTE THAT GOES
INTO GARBAGE OR COMPOST.
STRATEGIC PRIORITY NUMBER SEVEN
IS ABOUT REDUCING CLIMATE
POLLUTION ASSOCIATED WITH THE
FOOD SYSTEM. THE ACTIONS IN
THIS CATEGORY LEVERAGE THE
CITY'S EXISTING PROGRAMS FOR
CLIMATE ACTION THROUGH EFFORTS
LIKE SHIFTING FOOD SPENDING IN
OUR PROGRAMS REVIEWED BETTER
FOR THE ENVIRONMENT AND FOR THE
CLIMATE. OSC, HST AND SPU HAVE
TEAMED UP FOR FUNDING
OPPORTUNITIES TO SUPPORT FUTURE
EXPANSION OF THIS WORK WITH
EXTERNAL RESOURCES. STRATEGIC
PRIORITY NUMBER EIGHT, OUR
FINAL PRIORITY, IS FOOD ACTION
PLAN STEWARDSHIP ACTIONS IN
THIS CATEGORY FOCUS ON CITY
EFFORTS LIKE PERFORMANCE
TRACKING , STRONG
INTERDEPARTMENTAL
COLLABORATION, CONTINUOUS
IMPROVEMENT, PURSUING EXTERNAL
FUNDING, AND CONTINUING TO
MONITOR AND ACT ON FEDERAL AND
STATE POLICY. WE ARE GETTING TO
THE END OF THE PRESENTATION
PRACTICE A FEW SLIDES LEFT. THE
FOLLOWING TWO SLIDESHOW
SCREENSHOTS FROM INTERACTIVE
FOOD ACTION PLAN MAP THAT OSC
AND THE FOOD ACTION PLAN
INTERDEPARTMENTAL TEAM ARE
DEVELOPING. THE MAP WILL ENABLE
USERS TO LEARN ABOUT SITE
LOCATIONS THE CITY SUPPORTED
FOOD WORK. USERS WILL BE ABLE
TO FILTER LOCATIONS BY
STRATEGIC PRIORITY AND APPLY
DIFFERENT MAP LAYERS, SUCH AS
COUNCIL DISTRICTS. THE MAPS IT
SHOULD BE AVAILABLE FOR PUBLIC
USE BY 2025. HERE'S AN EXAMPLE
OF FOOD SECURITY SERVICES
DISPLAYED OVER THE RACIAL AND
SOCIAL EQUITY INDEX. FOR
EXAMPLE, PURPLE DOTS ON THIS
MAP REPRESENT FOOD BANKS AND
MEAL DISTRIBUTION SITES. YOU
CAN SEE THE SITES ARE IN ALL
PARTS OF SEATTLE, BUT ARE
CONCENTRATED IN THE AREAS OF
HIGHEST EQUITY PRIORITY. ALL
THE SITE LOCATIONS ON THIS MAP
ARE RELATED TO COMMUNITY FOOD
SECURITY, WHICH IS STRATEGIC
PRIORITY NUMBER ONE. THE NEXT
LINE SHOWS COMMUNITY GARDENING
AND FARMING SITES, WHICH ARE
RELATED TO STRATEGIC PRIORITY
NUMBER TWO ON LAND USE AND
ACCESS. FOR EXAMPLE, GREEN DOTS
ON THIS MAP REPRESENT A BEPS
FOR. THAT RUNS IN ALL PARTS OF
SEATTLE, BUT CONCENTRATED IN
THE AREAS OF HIGHEST EQUITY OF
PRIORITY. WE'RE AIMING FOR
THESE MAPS TO BE FINISHED AND
READY FOR USE BY NEXT YEAR. WE
WANT TO END WITH A FEW NEXT
STEPS FOR THE NEAR TERM. WE
WILL CONTINUE STEWARDSHIP AND
DELIVERY OF THE CITY'S CORE
FOOD PROGRAMS, AND WE WILL ALSO
CONTINUE DEVELOPING THE MAPS WE
JUST LOOKED AT WORK UP AN
ONLINE DASHBOARD TO REPORT
PROGRESS ON THE PLAN. WE WILL
CONTINUE OUR INTERDEPARTMENTAL
COLLABORATION, WHICH INCLUDES
LOOKING FOR NEW OUTSIDE FUNDING
TO SUPPORT THE PRIORITIES. A
FEW OF THE PROJECTS WILL BE
FOCUSING ON EVEN MORE TO
INCLUDE VALUES BASED FOOD
PURCHASING, FOOD RESCUE
INNOVATION, AND ACTIVATING
PUBLIC SPACE FOR NEW COMMUNITY
GARDENING. THAT IS THE END OF
OUR PRESENTATION. THANK YOU FOR
YOUR TIME . EVEN THOUGH THE
UPDATED FOOD ACTION PLAN IS A
CONTINUATION OF EXISTING WORK,
WE THINK IT IS A GREAT
OPPORTUNITY TO HIGHLIGHT THE
CITY'S COMMITMENT TO THESE
IMPORTANT ISSUE AREAS AND
ACKNOWLEDGE OUR COMMUNITY
PARTNERS, WHO HAVE BEEN
CHAMPIONS OF THIS PLAN. IF
THERE'S TIME, WE ARE HAPPY TO
TAKE QUESTIONS OR COMMENTS.
>> GRADE. THANK YOU SO MUCH.
COLLEAGUES, ANY QUESTIONS OR
COMMENTS? COUNCILMEMBER
STRAUSS.
>> THANK YOU CHAIR WOO. THANK
YOU FOR THIS GREAT
PRESENTATION. WHAT I FIND
INTERESTING IS WHERE YOU WERE
LEAVING OFF WITH THE MAPS. THE
INFORMATION. FOOD SECURITY IS
REALLY IMPORTANT. ONE OF THE
FIRST BUDGET AMENDMENTS I PUT
FORWARD WAS ABOUT A FRESH BOX
AND EXPANDING OUR ACCESS. IT
LEVERAGES THE EBT SYSTEM AND
PROVIDES ACCESS TO FRESH FOOD
IN THE FARMERS MARKETS. IN
THESE LAST FOUR YEARS, I HAVE
TALKED TO PEOPLE ABOUT FRESH
BOX AND HOW THEY CAN GET SIGNED
UP FOR THEM. THE BIGGEST
QUESTION IS WHERE TO USE THEM.
IT IS NOT REALLY EASY TO ACCESS
INFORMATION UNTIL NOW. WITH
YOUR NEW MAP. THIS IS REALLY
EXCITING, BECAUSE AS I AM
LOOKING AT THIS, YOU CAN USE IT
FOR RECREATIONAL , IN THAT
SENSE, BUT YOU CAN ALSO USE IT
FOR MEETING YOUR BASIC NEEDS
AND EVERYTHING IN BETWEEN.
SOMEBODY REALLY SMART TO ME
SAID, IF YOU WANT SOMEBODY TO
DO SOMETHING, COME TO THE
ACTIVITY, MAKE SURE THERE IS
FREE FOOD. THIS IS BEYOND JUST
FOOD ACCESS. THIS IS ABOUT
COMMUNITY BUILDING, ABOUT A LOT
OF DIFFERENT PEOPLE COMING
AROUND THE SAME TABLE .
THERE'S A LOT YOU CAN GET DONE
WITH GOOD FOOD ON THE TABLE. IT
BRINGS THESE PEOPLE TOGETHER.
IT BRINGS GOOD CONVERSATION. IS
SET UP A REALLY GOOD ATMOSPHERE
FOR TAKING ON BIG NEW PROJECTS
OR HAVING DEEPER RELATIONSHIPS
WITHIN THE COMMUNITY. THAT IS
WHAT I WAS A BIT STUNNED BY
WHAT I WAS HAVING THE BRIEFING
WITH YOU EARLIER. I DON'T HAVE
ANY QUESTIONS, BECAUSE HE SPENT
HALF AN HOUR OR MORE TALKING
THROUGH THIS PLAN. I JUST
WANTED TO HIGHLIGHT THIS,
BECAUSE IT ALLOWS SOMEBODY TO
QUICKLY GO TO ONE PLACE AND
HAVE ALL THE INFORMATION THEY
NEED, RATHER THAN TRYING TO
NAVIGATE THE CITY WEBSITE,
WHICH I KNOW WE HAVE A NEW I.T.
DIRECTOR, I REALLY LIKED THE
LAST DIRECTOR, BUT IT WAS NOT
AN ALL IN ONE PLACE. NOW IT IS.
BIG CONGRATULATIONS TO YOU. AN
IMPORTANT STEP FORWARD.
BRIDGET, WHEN YOU WERE
PRESENTING, IT IS A SMALL BIT,
BUT IMPORTANT, WHERE TALKING TO
THE SNOQUALMIE TRIBE USED THE
TERM ENGAGEMENT RATHER THAN
CONSULTATION. MY COLLEAGUES ARE
PROBABLY TIRED OF ME TALKING
ABOUT THE DIFFERENCE BETWEEN
CONSULTATION AND ENGAGEMENT AND
THE FACT THE CITY DOESN'T HAVE
A FORMAL WAY TO CONSULT
GOVERNMENT TO GOVERNMENT WITH
FEDERALLY RECOGNIZED TRIBES. I
WANTED TO HIGHLIGHT THAT
BECAUSE IT IS AN IMPORTANT
DISTINCTION. VERY IMPRESSED
WITH ALL OF YOUR WORK. THANK
YOU FOR THE HALF AN HOUR
BRIEFING. I WON'T TAKE ANY
MORE OF OUR COMMUNAL TIME
BECAUSE I'VE ALREADY ASKED AND
HAVE HAD A DEEP CONVERSATION.
THANK YOU.
>> THANK YOU. COUNCILMEMBER
MORALES.
>> [ INAUDIBLE ] IN PARTICULAR,
WE HAVE BEEN WORKING ON FOOD
SECURITY FOR 10, 15 YEARS NOW.
THERE WAS A TIME WHEN CITY
LEADERS WERE ASKING WHY THE
CITY NEEDED A FOOD ACTION PLAN.
I THINK IT IS A REALLY
SIGNIFICANT STEP TO DEMONSTRATE
THAT WE NOT ONLY HAVE ONE, BUT
WE'RE TAKING THE TIME TO
UPDATE IT AND MAKE SURE WE ARE
REALLY ADDRESSING IT IN EVERY
WAY POSSIBLE AS A MUNICIPALITY
THE FACT THAT WE HAVE CONTINUED
AND GROWING FOOD INSECURITY IN
THE CITY . REALLY, USING THIS
ACTION PLAN AS AN OPPORTUNITY
TO SEE WHAT EACH OF OUR
DIFFERENT DEPARTMENTS CAN DO TO
ADDRESS THOSE NEEDS, WHETHER IT
IS FOOD RESCUE OR ELIMINATING
AS MUCH AS POSSIBLE FOOD WASTE
FROM OUR WASTE STREAM. I REALLY
WANT TO THANK ALL OF YOU FOR
THIS WORK. IT IS IMPORTANT FOR
MANY DIFFERENT REASONS. NOT THE
LEAST OF WHICH IS THAT
COMMUNITY FOOD SECURITY REALLY
DOES TAKE INVESTMENT AND THE
WILL FROM A MUNICIPALITY TO
MAKE SURE THAT OUR SPEAKERS ARE
GETTING SERVED. IT IS NOT JUST
ABOUT THE EMERGENCY FOOD
SYSTEM, WHICH WAS NEVER
INTENDED TO BE A REGULAR WEEKLY
GROCERY TRIP FOR PEOPLE, IT WAS
REALLY INTENDED TO BE
EMERGENCY, AND SO, ALL THESE
OTHER PIECES WE ARE WRAPPING
AROUND THIS ARE IMPORTANT TO
MAKE SURE WE HAVE ACCESS TO
P-PATCHES AND COMMUNITY GARDENS
AND ALL THE OTHER RESOURCES
SUPPORTING THE FARM TO
PRESCHOOL PROGRAM SO THAT OUR
SMALLEST SEATTLEITES GET ACCESS
TO THIS. ALL THESE COMPONENTS
CONTRIBUTE TO GREATER FOOD
SECURITY. THE CITY OF SEATTLE
WAS NOT DOING THIS WORK IN THIS
WAY 10 OR 12 YEARS AGO. I AM
REALLY EXCITED WE ARE IN THIS
SPACE. I'M PROUD TO HAVE BEEN
PART OF DRAFTING THE ORIGINAL
FOOD ACTION PLAN . I LOOK
FORWARD TO WORKING WITH ALL OF
OUR CITY DEPARTMENTS TO MAKE
SURE WE CONTINUE DOING THIS.
THANK YOU FOR WHAT YOU ARE
DOING. APPRECIATE IT. THANK
YOU, CHAIR, FOR HAVING THIS
PRESENTATION.
>> THANK YOU. I LOVE THE ENERGY
IN THE COMMUNITY AT THE FOOD
ACTION PLAN CELEBRATION . HE
WAS SO AMAZING TO SEE SO MANY
RESERVATION -- RESERVATIONS.
TRIBES, SMALL BUSINESSES,
RESTAURANTS GATHERED . SO
EXCITED AND HAPPY. IN MANY
CULTURES, ESPECIALLY MY
CULTURE, I AM CHINESE, FOOD IS
A LOVE LANGUAGE. WITH MY WORK
WITH FOOD AND MEALS IS HOW WE
ENGAGE WITH OUR NEIGHBORS. I GO
TO P-PATCHES AND HAVE MET
PEOPLE WHO ARE UNHOUSED, BUT
THEY CHOOSE TO LIVE NEAR THEM
BECAUSE THEY CAN COME AND COOK
AND BRING FRESH FOOD FROM THE
GARDENS AND BE HEALTHY AND
CONNECTED TO COMMUNITY. IT IS A
POWERFUL -- FOOD IS MEDICINE. I
HAVE SO MUCH GRATITUDE FOR YOUR
WORK. THANK YOU FOR YOUR
LEADERSHIP AND PUTTING TOGETHER
THIS PLAN. THE INTERDEPARTMENTA
L COLLABORATION ESPECIALLY. AND
JUST A WELL-THOUGHT-OUT
COMMUNITY ENGAGEMENT. JUST
AMAZING YESTERDAY TO SEE SO
MANY PEOPLE SO EXCITED. I GREW
UP IN SOUTH SEATTLE, A BIG FOOD
DESERT. AND REMEMBER AS A KID
GOING TO MY LOCAL COMMUNITY
CENTER FOR BROWNBAG LUNCHES AND
GOING TO THE ELEMENTARY SCHOOL
TO GET A MEAL FOR BREAKFAST AND
LUNCH. ESPECIALLY FOR YOUNG
PEOPLE, BEING HUNGRY IS THE
FOUNDATION OF, YOU KNOW, HAVING
FOOD AND BEING SET FOR YOUR DAY
IS REALLY IMPORTANT. I MOVE
THAT THE COMMITTEE ADOPT
RESOLUTION 32144. IS THERE A
SECOND?
>> SECOND.
>> MOVED AND SECONDED TO ADOPT
RESOLUTION 32144. ANY FURTHER
COMMENTS? WILL THE CLERK CALL
THE ROLL?
>> [ ROLL CALL ]
>> THERE ARE THREE IN FAVOR AND
NONE OPPOSED IT
>> THE MOTION CARRIES.
RECOMMENDATION TO ADOPT THE
RESOLUTION WILL BE SENT TO THE
CITY COUNCIL. THANK YOU. THIS
WILL PROBABLY BE HEARD, NOT AT
THE NEXT COUNCIL MEETING, BUT
THE WEEK AFTER THAT MEETING.
THANK YOU FOR ALL YOUR WORK. I
LOOK FORWARD TO SEEING WHAT
HAPPENS NEXT AND TO HEAR
UPDATES OF THE PLAN. THANK YOU.
>> THANK YOU SO MUCH.
>> WE WILL MOVE ON TO THE NEXT
ITEM OF BUSINESS . BUT FIRST, I
WANT TO ACKNOWLEDGE WE HAVE A
GROUP OF STUDENTS HERE FROM THE
DOWNTOWN SCHOOL. YOU ARE
JUNIORS. WELCOME . THANK YOU
FOR JOINING US TODAY. I HOPE
YOU ARE LEARNING A BUNCH . WE
JUST TALKED ABOUT THE FOOD
ACTION PLAN. IF YOU WANT ME
MORE ABOUT THE PLAN, IT IS ON
-- YOU CAN GO TO OUR CALENDAR.
THE AGENDAS ARE THERE, AND YOU
CAN SEE THE PLAN. IT IS VERY
COMPREHENSIVE AND COVERS A LOT
OF GROUND. WE WILL MOVE ON TO
THE NEXT ORDER OF BUSINESS.
WILL THE CLERK PLEASE READ THE
SECOND ITEM INTO THE RECORD?
>> AGENDA ITEM 2, RESOLUTION
32146, A RESOLUTION RELATED TO
THE CITY'S PARTICIPATION IN
THE STATE OF WASHINGTON'S
CLEAN FUEL STANDARD PROGRAM
PROMULGATED UNDER REVISED CODE
OF WASHINGTON 78.535.005
ACKNOWLEDGING AND APPROVING THE
CITY UP AS PARTICIPATION IN THE
PROGRAM AND ACKNOWLEDGING THE
INTERDEPARTMENTAL MEMORANDUM OF
AGREEMENT REGARDING CITY OF
SEATTLE ADMINISTRATION OF
WASHINGTON STAY CLEAN FUEL
STANDARD PROGRAM FOR BREATHING,
DISCUSSION AND POSSIBLE THOUGH.
>> GO AHEAD AND INTRODUCE
YOURSELVES AND BEGIN WHEN
YOU'RE READY.
>> THANK YOU SO MUCH. I AM THE
GENERAL MANAGER AND CHIEF
EXECUTIVE OFFICER FOR SEATTLE
CITY LIGHT.
>> GOOD MORNING. I AM THE
PARTNERSHIP AND POLICY ADVISOR
ON SEATTLE CITY LIGHT.
>> GOOD MORNING. DIRECTOR OF
ELECTRIFICATION AND STRATEGIC
TECHNOLOGIES FOR THE -- SEATTLE
CITY LIGHT.
>> I AM CHIEF CUSTOMER OFFICER
AT SEATTLE CITY LIGHT.
>> I AM THE CITY FLEET
DIRECTOR.
>> I AM THE STREETCAR PROGRAM
MANAGER FOR THE SEATTLE
DEPARTMENT OF PUBLIC/TRANSPORTA
TION.
>> I AM THE MANAGER OF SPU
FACILITIES.
>> GOOD MORNING , CHAIR WOO AND
COUNCIL MEMBERS. TODAY WE'RE
HERE TO PRESENT AN EXCITING NEW
PROGRAM EL
PROGRAM. THIS IS THE RESULT OF
STATE LEGISLATION THAT WAS
ADOPTED IN 2021 TO REDUCE
CARBON EMISSIONS FROM THE
TRANSPORTATION SECTOR. IT IS A
COMPLICATED REGULATORY
MECHANISM DEVELOPED AND
MINISTERED BY THE WASHINGTON
DEPARTMENT OF ECOLOGY. I'M SO
PROUD OF MICHAEL, TO MY RIGHT ,
UNDER THE LEADERSHIP OF DAVID ,
AND THE TEAM FOR WORKING TO
THOROUGHLY UNDERSTAND THE
PROCESS NEEDED FOR DEVELOPING A
PATH FORWARD FOR CITY LIGHT AND
OUR OTHER CITY PARTNERS TO MAKE
USE OF THESE FUNDS AND BRINGING
THIS OPPORTUNITY FORWARD TO YOU
TODAY. I AM CONFIDENT THAT THEY
HAVE THIS SORTED. THEY HAVE
WORKED THIS THROUGH AND HAVE AN
EFFECTIVE PLAN. WHAT YOU NEED
TO KNOW AND LEARN TODAY IS THAT
WE HAVE WORKED COLLABORATIVELY
WITH OUR CITY PARTNERS, THE
DEPARTMENT OF TRANSPORTATION,
FINANCE AND ADMINISTRATIVE
SERVICES AND PUBLIC UTILITIES
WHO ARE HERE TODAY AND THANK
YOU TO DEVELOP A ONE SEATTLE
APPROACH , AND MOST
IMPORTANTLY, BECAUSE OF THE
CLEAN ENERGY PORTFOLIO, WE CAN
GENERATE REVENUE TO SPEND ON
IMPORTANT INVESTMENTS TO DO OUR
PART TO REDUCE CARBON EMISSIONS
FROM THE TRANSPORTATION SECTOR
IN SEATTLE. TODAY YOU WILL
LEARN HOW THE PROGRAM WORKS ,
THE OTHER DEPARTMENTS
PARTICIPATING AND CITY LIGHTS
ROLE AND RESPONSIBILITIES. THE
RESOLUTION PLANNED FOR A VOTE
IN TWO WEEKS DOES NOT MAKE ANY
DECISION REGARDING SPECIFIC
INVESTMENTS WITH THE REVENUE
GENERATED, BUT IT SETS THE CITY
UP FOR SUCCESSFUL PARTICIPATION
IN THESE IMPACTFUL PROGRAMS. I
WILL NOW TURN IT OVER TO OUR
TEAM AT CITY LIGHT.
>> THANK YOU. LET ME SEE IF I
CAN GET THIS ON FULLSCREEN.
OKAY. THANKS AGAIN FOR HAVING
US. I AM MICHAEL. I WANT TO
ACKNOWLEDGE THE SUPPORT FROM
OUR SIBLING DEPARTMENTS IN
ADVANCING THIS PROGRAM, AND
THANKS TO CITY LIGHT LEADERSHIP
FOR SUPPORTING ME IN THIS. IT
IS A BIG UNDERTAKING, BUT
TOGETHER, WE ARE MAKING A LOT
OF AWESOME PROGRESS ON THIS. BY
THE END OF THIS JOURNEY, YOU
ARE ALL GOING TO BE EXPERTS IN
THE CLEAN FUEL STANDARD. BEAR
WITH ME. WILL WALK THROUGH A
PRETTY COUPLE GET A PROGRAM,
BUT I FEEL CONFIDENT BY THE END
YOU CAN TELL YOUR FRIENDS AND
FAMILY ABOUT THIS. VERY
QUICKLY, HERE IS THE AGENDA
TODAY . WHAT I WANT TO
EMPHASIZE IS THE KEY COMPONENTS
OF THE RESOLUTION THAT YOU WILL
ULTIMATELY BE VOTING ON , WHICH
IS TO APPROVE AND ACKNOWLEDGE
THE CITY UP AS PARTICIPATION IN
THE CLEAN FUEL STANDARD,
ACKNOWLEDGE CITY LIGHT AS THE
PROGRAM ADMINISTRATOR, WHICH WE
WILL TALK ABOUT WHY THAT IS THE
CASE, ACKNOWLEDGE OUR ABILITY
TO TRANSACT CREDITS ON BEHALF
OF OTHER DEPARTMENTS, AND
FINALLY, ACKNOWLEDGE THE
MEMORANDUM OF AGREEMENT, WHICH
IS WHY WE HAVE OUR PEERS AT THE
TABLE TODAY. SO DISTILLING THIS
PROGRAM INTO A SINGLE SLIDE IS
WHAT YOU SEE HERE. ESSENTIALLY,
THE CFS IS DESIGNED TO ADDRESS
CLIMATE CHANGE AND POLLUTANTS
THE COME FROM A TRANSPORTATION
SECTOR. THE WAY IT DOES THIS IS
BY INCENTIVIZING CLEANER FUELS
THAT CAN HELP DISPLACE DIRTY OR
FOSSIL FUELS. IN DOING SO, IT
REWARDS THOSE CLEANER FUELS
THROUGH CREDITS, AND THEN THE
CREDIT OWNERS MAY MONETIZE
THOSE CREDITS. I AM GOING TO
WALK THROUGH THE NEXT FEW
SLIDES WITH THE KEY COMPONENTS
OF THE CLEAN FUEL STANDARD. IT
IS IMPORTANT TO START WITH THE
HAWAII. RIGHT NOW,
TRANSPORTATION IS THE LARGEST
SOURCE OF GREENHOUSE GAS
EMISSIONS IN THE STATE, AS YOU
CAN SEE IN THIS VISUALIZATION
FROM DEPARTMENT OF ECOLOGY .
THERE'S A BIT OF A LAG, HENCE
THE 2019 VALUES BUT ALSO,
TRANSPORTATION EMISSIONS ARE
THE SINGLE LARGEST SOURCE IN
THE CITY, RUNNING ABOUT TWO
THIRDS. SIMPLY PUT, WE CANNOT
ACHIEVE OUR STATE AND CITY
CLIMATE CHANGE GOALS IF WE DO
NOT HAVE SPECIFIC MEANS TO
ADDRESS THOSE TRANSPORTATION
EMISSIONS. IN ADDITION, AS WE
KNOW, IT IS NOT JUST GREENHOUSE
GAS EMISSIONS COME FROM THE
BURNING OF FOSSIL FUELS, IT IS
ALSO VARIOUS CO-POLLUTANTS SUCH
AS DIESEL, PARTICULATE MATTER,
THESE HAVE DIRECT IMPACTS ON
OUR COMMUNITIES IN SEATTLE WHEN
WE USE THESE TRANSPORTATION
FUELS. THE CLEAN FUEL STANDARD
OR CFS IS ONE OF THE TOOLS IN
THE STATE, AND NOW THE CITY
PORTFOLIO, THAT WE CAN USE TO
ADDRESS THE CLIMATE CHANGE
IMPACTS AND POLLUTION IMPACTS
OF TRANSPORTATION FUELS. IT
DOES SO BY FOCUSING ON THE
LIFECYCLE OF A FUEL USED IN
TRANSPORTATION SYSTEMS. TO BE
CLEAR, IT DOESN'T FOCUS ON
VEHICLES, IT DOESN'T FOCUS ON
THE TRIP NOT TAKEN, IT IS
DESIGNED TO FOCUS ON THE FUELS
WE PUT INTO TRANSPORTATION AND
USES, SUCH AS CARS, SCHOOL
BUSES, OFF-ROAD EQUIPMENT.
THINK ABOUT LUGGAGE HANDLING
EQUIPMENT , THINGS AT THE
AIRPORT. ANYTHING THAT USES
TRANSPORTATION FUEL FALLS UNDER
THE PURE VIEW OF THIS PROGRAM.
IT DOES SO BY FOCUSING ON THE
CARBON INTENSITY OF THE
LIFECYCLE. YOU CAN SEE ON THIS
IMAGE, CRADLE-TO-GRAVE. IN THIS
CASE, FOR GASOLINE, IT IS FROM
THE OIL WELL UNTIL IT IS BURNED
IN THE VEHICLE. YOU WILL HEAR
ME SAY CARBON INTENSITY QUITE A
BIT. IT IS IMPORTANT TO
UNDERSTAND THIS CONCEPT,
BECAUSE YOU HAVE LIQUID FUELS,
THIS ALSO REGULATES NATURAL
GAS. AS YOU CAN IMAGINE, THOSE
LOOK VERY DIFFERENT AS A GAS
AND LIQUID AND HOW THEY ARE
USED. IT IS LOOKING AT THE
CARBON CONTENT PER UNIT OF
ENERGY OF THAT FUEL. WHAT THIS
PROGRAM IS GOING TO DO, IT SETS
IN LAW, IT SAYS THE CI, THE
CARBON INTENSITY OF EVERY FUEL
BY 2038 MUST BE REDUCED BY 20%
OF 2017 LEVELS. WE HAVE SOME
NUMBERS TO HELP YOU PUT THAT
INTO CONCRETE VIEWS. THESE WERE
THE CI FOR GASOLINE AND DIESEL,
THE BIG FUELS THAT ARE
IMPORTANT TO SEATTLE . AND THIS
WAS IN 2017. IN 2038, THE
CARBON CONTENT OF THAT FUEL
MUST BE REDUCED BY THAT AMOUNT.
HENCE, THE 20% REDUCTION. IF
YOUR FUEL IS DELIVERED IN A
SPECIFIC YEAR, AND IT IS NOT
MEETING THE CI DESIGNATED A
LAW, THAT IS WHERE THE THRUST
OF THE PROGRAM COMES INTO
BEING. ANOTHER WAY TO VISUALIZE
THIS IS THIS CHART. YOU WILL
SEE ON THE X ACCESS IS TIME AND
ON Y IS A PERCENTAGE REDUCTION
IN THE CARBON INTENSITY OF
THOSE FUELS. THIS IS PRESCRIBED
IN LAW. YOU CAN SEE THAT 2038
IS WHEN THE LEGISLATIVE MANDATE
IS A 20% REDUCTION. THAT WAS
PUSHED UP TO 2034, WHICH THEY
ARE ALLOWED TO DO. WE ARE
ACHIEVING THIS IN STAY EVEN
FASTER. WHEN YOU DELIVER FUEL
ABOVE THAT CI, IF YOU DELIVER
GASOLINE AND YOU ARE NOT
MEETING THAT, YOU GENERATE A
DEFICIT. DEFICITS ARE BAD. WHEN
YOU DELIVER A FUEL THAT IS
LOWER THAN THAT CI, YOU
GENERATE A CREDIT. CREDITS ARE
GOOD. THE MAIN THRUST, IF YOU
HAVE A CREDIT, YOU ARE IN A
GOOD SPOT, YOU IF YOU ARE IN A
DEFICIT, A VAST. AT THE END OF
THE CALENDAR YEAR YOU CAN'T
HAVE ANY DEFICITS. THERE ARE
SOME EXCEPTIONS. THAT IS TO
INTERNALIZE THAT, CREDITS AND
DEFICITS IS THE BIG ASK OF YOU.
THAT IS HOW THE CITY WILL
REALLY BENEFIT FROM THE
PROGRAM.
>> MAY ASK A QUESTION? OR WOULD
YOU PREFER TO WAIT UNTIL THE
END?
>> WE WAIT UNTIL THE END?
>> FANTASTIC.
>> SO WHAT DO YOU DO WITH THE
CREDITS AND DEFICITS? YOU WANT
TO AVOID A DEFICIT. FOSSIL FUEL
PRODUCERS AND IMPORTERS ARE
LOOKING TO THE ACTIONS ON THE
LEFT TO TRY TO MEET THE CARBON
INTENSITY OF THAT GIVEN YEAR.
IF YOU CANNOT MEET THAT CI, YOU
KNOW, IF MARATHONER BP
COULDN'T DO WHAT THEY NEED TO
DO, THEY HAVE TO TURN TO THE
MARKET TO BUY CREDITS. CITY
LIGHT AND USERS OF CITY LIGHT
ELECTRICITY, LIKE OUR
DEPARTMENTS, WILL GENERATE
THESE CREDITS. THAT MEANS
FOSSIL FUEL COMPANIES WILL
BUYER CREDITS, AND IN TURN,
PROVIDING ADDITIONAL REVENUE TO
INVEST. I HAVE TALKED SO FAR
ABOUT THE CI OF FOSSIL FUEL,
BUT WHAT DOES IT MEAN FOR CITY
LIGHTS ELECTRICITY? AS
MENTIONED, THE CLEAN ENERGY
PORTFOLIO LENDS US TO HAVING
ONE OF THE LOWEST IN THE STATE.
IN FACT, WE ARE THE SECOND
LOWEST. THE FIRST IS A STRAIGHT
ZERO, WHICH ONLY OTHER ENTITY
HAS. YOU CAN SEE BY TWO ORDERS
OF MAGNITUDE, CITY LIGHT
ELECTRICITY IS SO CLEAN THAT
THAT MEANS WHEN WE DISPLACE A
UNIT OF FOSSIL FUEL, WE ARE
GENERATING SIGNIFICANT CREDITS
BECAUSE OF OUR INVESTMENTS IN
CLEAN ENERGY PORTFOLIO. INTERN,
THOSE INVESTMENTS WILL BE
PASSED ON TO OUR CUSTOMERS
BECAUSE OF THIS PROGRAM. ONE
FINAL NOTE ON THE OVERVIEW OF
THE PROGRAM. EQUITABLE AND JUST
OUTCOMES ARE CRUCIAL TO THIS
PROGRAM. THEY ARE LEGISLATED
INTO IT. YOU CAN SEE HERE IS A
SNAPSHOT OF SEATTLE FROM THE
CUMULATIVE IMPACTS ANALYSIS
TOOL THAT THE WASHINGTON STATE
DEPARTMENT OF HEALTH RUNS. IN
ADDITION TO MEETING THOSE
REQUIREMENTS, CITY LIGHT AND
TENDS TO FAR EXCEED THEM IN
ENSURING THAT THE BURDENS BORNE
BY CERTAIN COMMUNITIES BECAUSE
OF TRANSPORTATION SYSTEM
IMPACTS, BE IT HEALTH,
MOBILITY, ECONOMIC, CITY LIGHT
INTENDS TO EXCEED THOSE IN
MEETING THE LETTER OF THE LAW
AND MATCHING OUR OBLIGATIONS TO
OUR CUSTOMERS AND DELIVERING
CLEAN, RELIABLE, AFFORDABLE
ELECTRICITY. OKAY. YOU HAVE A
MAIN WORKING OF THIS PROGRAM.
NOW WE'RE GOING TO TALK ABOUT
ACTUALLY HOW IT STARTS
IMPACTING THE CITY AND SOME OF
THE DEPARTMENTS. IN A DISTILLED
MANNER, IF YOU, AS THE
DEPARTMENT, OWN OR RUN A
FUELING DISPENSATION -- SORRY,
FUEL SUPPLY EQUIPMENT. YOU
DISPENSE ELIGIBLE FUEL, YOU ARE
ELIGIBLE TO DIVERSITY IN THE
PROGRAM. 99 OUT OF 100 TIMES
THAT WILL BE AN EV CHARGING
STATION OF SOME SORT. WANT TO
EMPHASIZE THAT OTHER FUELS MAY
BE ELIGIBLE, BUT AT SOME POINT,
THE CITY MAY GET INVOLVED WITH
GREEN HYDROGEN . THAT IS A
STORY FOR ANOTHER TIME. I WANT
TO MAKE SURE WE ACKNOWLEDGE THE
DIFFERENT FUELS ELIGIBLE. FOR
THE MOST PART, WE WILL TALK
ABOUT ELECTRICITY. IF YOU ARE
AN OWNER OR MANAGER OF A
CHARGING STATION, YOU WILL
LIKELY PARTICIPATE IN THE
PROGRAM. THE OUTCOMES WILL BE
MET THROUGH INVESTMENTS IN
DECARBONIZING THE
TRANSPORTATION SECTOR. I WANT
TO EMPHASIZE THAT ALL
DEPARTMENTS ARE ELIGIBLE TO
PARTICIPATE, BUT ELECTRIC
UTILITIES LIKE CITY LIGHT FACE
SPECIFIC REQUIREMENTS IN LAW
AND RULES THAT NECESSITATE A
DIFFERENT APPROACH FOR US.
BECAUSE WE ARE A FUEL PROVIDER,
WE ARE GENERATING AND
DELIVERING ELECTRICITY, THE LAW
PLACES SPECIFIC REQUIREMENTS ON
CITY LIGHT, WHICH I WILL DEPICT
ON A LATER SLIDE IN A SUMMARY
TABLE. IN ADDITION, BECAUSE
RIGHT NOW WE ARE THE PRIMARY
INVESTOR IN CHARGING STATIONS
FOR THE CITY, BOTH OWNED AND
OPERATED BY THE CITY, AS WELL
AS INCENTIVIZING PRIVATE
OWNERSHIP, THE LAW PLACES
ADDITIONAL OBLIGATIONS ON US.
THIS LIST HERE SUMMARIZES SOME
OF THOSE, INCLUDING, BUT NOT
LIMITED TO, ADDITIONAL
REPORTING, AND SOME OF THAT
REPORTING IS PRETTY
COMPREHENSIVE. NAMELY AROUND
HOW WE USE THE FUNDS . ON THOSE
FUNDS, THE LAW SAYS ELECTRIC
UTILITIES MUST SPEND THEM IN
CERTAIN WAYS. THOSE
REQUIREMENTS DO NOT APPLY TO
OUR SIBLING DEPARTMENTS. THEY
JUST APPLY TO CITY LIGHT.
FINALLY, BECAUSE OF THE
COMPLEXITY OF THE PROGRAM AND
THE POINTS I JUST MENTIONED, IT
BEHOOVES US AND NECESSITATES
THAT CITY LIGHT ADMINISTERS
THIS PROGRAM ON BEHALF OF OUR
SIBLING DEPARTMENTS. BUT AS WE
WILL TALK ABOUT IN A LITTLE
BIT, THROUGH THE MEMORANDUM OF
AGREEMENT DONE IN A
COLLABORATIVE, TRANSPARENT AND
ACCOUNTABLE MANNER. THE BIG
TOPIC IS HOW WE USE THESE
REVENUES. THIS IS FOR ELECTRIC
UTILITIES WHAT IS PRESCRIBED IN
THE LAW. THE WAY I LIKE TO TALK
ABOUT IT IS THAT THERE ARE TWO
BUCKETS. IN JUST THE LAST MONTH
OR SO, DEPARTMENT OF ECOLOGY
FINALLY FINALIZED THE
REQUIREMENTS. THE FIRST BUCKET
MUST BE SPENT ON TRANSPORTATION
ELECTRIFICATION ACTIVITIES.
THAT IS PRETTY BROAD. IT IS
REALLY UP TO THE ELECTRIC
UTILITY TO DEFINE THAT. IN OUR
CASE, WE HAVE AN AWESOME
STRATEGIC DOCUMENT THAT YOU
WILL ALL BE DISCUSSING AT THE
END OF THE YEAR. OF THAT 50%,
30% MUST DIRECTLY AND
MEANINGFULLY BENEFIT HIGHLY
IMPACTED COMMUNITIES AND
VULNERABLE POPULATIONS.
CIRCLING BACK TO THE EQUITY AND
JUST OUTCOMES LIED I HAD
EARLIER. THE OTHER 50% , THE
OTHER BUCKET, MUST BE SPENT ON
A PRESCRIBED LIST OF
INVESTMENTS CODEVELOPED BY THE
STATE DEPARTMENT OF ECOLOGY IN
WASHINGTON DISPUTE -- STATE
DEPARTMENT OF TRANSPORTATION.
THESE REQUIREMENTS ONLY APPLY
TO ELECTRIC UTILITIES LIKE CITY
LIGHT. OTHER CITY DEPARTMENTS
WILL NOT FACE THESE . THEY HAVE
MUCH MORE FLEXIBILITY IN HOW
THEY USE REVENUES FROM THEIR
RESPECTIVE CREDITS. WHAT YOU
SEE HERE IS A SUMMARY OF THE
FOUR ELIGIBLE INVESTMENTS THAT
THE TWO STATE AGENCIES HAVE
PROVIDED ELECTRIC UTILITIES.
THESE INVESTMENTS ARE RELATED
TO OUR RESIDENTIAL CREDITS.
THINK ABOUT SINGLE FAMILY HOMES
OR SMALL CONDO BUILDINGS.
NONRESIDENTIAL CREDITS ARE NOT
SUBJECT TO THESE, BUT
RESIDENTIAL CREDITS, BY FAR,
WILL BE THE BULK OF OUR CREDIT
BANK. REALLY QUICKLY, THAT
INCLUDES THE PROVISION OF NEW
OR USED EMISSION VEHICLES FOR
COMMUNITY-BASED ORGANIZATIONS
OR ORGANIZATIONS THAT SUPPORT
THOSE SPECIFIC COMMUNITIES. THE
SECOND ONE IS ANYTHING RELATED
TO CHARGING STATIONS. IF IT HAS
SOMETHING TO DO WITH AN
ELECTRICAL VEHICLE CHARGING
STATION, THE LAW IS PREMISES OF
SPENDING MONEY ON THAT. THE
THIRD IS EXPANDING GRID
CAPACITY AND INVESTING IN GRID
MONETIZATION -- MODERNIZATION
TO SUPPORT THE NEW ELECTRICITY
DEMAND THAT COMES FROM
ELECTRIFYING THE TRANSPORTATION
SECTOR. THIS IS A SIGNIFICANT
UNDERTAKING. WE KNOW IN ORDER
TO MEET THIS, WE HAVE TO
CONTINUE INVESTING IN THE
SYSTEM. THANKFULLY, THE CFS
ALLOWS US TO USE REVENUES TO DO
JUST THAT. FINALLY, WE ARE
ALLOWED TO PARTNER WITH PUBLIC
AND PRIVATE FLEET OWNERS TO
HELP THEM CONVERT THEIR
EXISTING FLEETS AND FUTURE
FLEETS IN 20 EMISSION
ALTERNATIVES. THIS HERE IS JUST
A SUMMARY TABLE THAT SHOWS WHAT
I HAVE DESCRIBED IN THE
PREVIOUS SLIDES ABOUT THE
ADDITIONAL REGULATORY BURDEN
AND LEGAL OBLIGATIONS THAT CITY
LIGHT FACES IN PARTICIPATING IN
THIS PROGRAM VERSUS COMPARED TO
OUR SIBLING DEPARTMENTS. IN A
NUTSHELL, THIS REALLY RESULT IN
US WANTING TO TAKE THE LEAD IN
HELPING ADMINISTER THIS PROGRAM
AND BEARING THE COSTS AND
OBLIGATIONS, AND ALSO ALLOWING
OUR SIBLING DEPARTMENTS TO
MAXIMALLY BENEFIT FROM THEIR
RESPECTIVE INVESTMENTS AND TE.
I'M HAPPY TO WALK THROUGH WHAT
SOME OF THESE MIGHT BE AT A
LATER TIME. HERE IS WHERE, YOU
KNOW, WHAT I JUST TALKED ABOUT
IS THE WORK THAT WE HAVE TO DO
TO GET TO THE BENEFIT. THIS IS
THE BENEFIT. THIS IS
SPECIFICALLY FOR CITY LIGHT.
THIS IS JUST A DEPICTION OF
WHAT WE WILL SEE BY SPENDING
THE REVENUES FROM SELLING THE
CREDITS FROM THIS PROGRAM. WANT
TO DRAW YOUR ATTENTION TO THE
LOWER RIGHT, WHICH IS THE
OPPORTUNITY TO INVEST IN GRID
INVESTMENTS THAT BENEFIT OUR
SYSTEM AND ALLOW US TO CONTINUE
MAKING INVESTMENTS AND
DECARBONIZING VARIOUS SECTORS
AND MEETING CLIMATE CHANGE
OBLIGATIONS. SO WHAT ARE WE
DOING RIGHT NOW AND IN THE PAST
TO BE IN COMPLIANCE WITH THE
PROGRAM? THIS IS WHAT
COMPLIANCE LOOKS LIKE. I WILL
SPEND A LOT OF TIME ON IT. BUT
IT IS, THANKFULLY, A POSITIVE
FEEDBACK LOOP WHERE THE MORE WE
COMPLY, THE MORE REVENUE WE
GENERATE, WHICH WE THEN ARE IN
MORE COMPLIANCE WITH. ALL
DEPARTMENTS ARE CURRENTLY DOING
THIS. CITY LIGHT HAS BEEN DOING
IT. WERE BRINGING ALONG OUR
PEERS SO THEY CAN BE IN
COMPLIANCE. BUT THIS IS
DISTILLED HOW WE MEET THE
PROGRAM. I'M HAPPY TO REPORT
THAT WE HAVE AN A+ IN
COMPLIANCE. WE ARE DOING
EVERYTHING WE HAVE BEEN ASKED.
IN FACT, WERE ALSO HELPING
DEPARTMENT OF ECOLOGY FIGURE
OUT NO NOVEL ASPECTS OF THIS
PROGRAM DUE TO THE NATURE OF
SEATTLE'S INNOVATIVE
INVESTMENTS AND HOW OUR PEER
DEPARTMENTS ARE ALSO
PARTICIPATE IN THE PROGRAM.
VERY QUICKLY, WE HAVE
SUCCESSFULLY REGISTERED ALL THE
CHARGERS WE HAVE SO FAR AND ON
AN ONGOING BASIS. WE ARE
REPORTING THE ELECTRICITY THAT
WE ARE DISPENSING FROM THOSE
CHARGERS. THOSE INCLUDE OUR
CITY LIGHT PUBLICLY OWNED
CHARGERS. WE HAVE REGISTERED
THE ASTRONAUT STREETCAR. WE
HAVE ALSO BEGUN REGISTERING THE
SPU CHARGERS AND ARE IN THE
PROCESS OF GETTING THE ELECTRIC
VEHICLES AS PART OF THE MOTOR
POOL REGISTERED. WE HAVE TO USE
TELEMATICS. WE WILL BE THE
FIRST ENTITY IN THE STATE THAT
USES TELEMATICS FOR A FLEA.
WERE LEADING THE CAUSE AND
HELPING ECOLOGY FIGURE THIS
OUT. WE SUBMITTED OUR ANNUAL
REPORT. WE HAVE SIX ACTUALLY
GENERATED NONRESIDENTIAL AND
RESIDENTIAL CREDIT. WE ARE IN
GOOD SHAPE. SO HOW ARE WE DOING
THIS IN A ONE SEATTLE MANNER?
HOW ARE WE APPROACHING IT WITH
THE MULTIPLE DEPARTMENTS
INVOLVED? THIS IS A VISUAL
DEPICTION OF WHAT WE ARE
INITIALLY APPROACHING THIS AS.
I WILL GO THROUGH IT, BUT I
JUST WANT TO EMPHASIZE THAT WE
ARE DOING IT IN A COLLABORATIVE
MANNER. THE PEERS AT THIS TABLE
HAVE BEEN GENEROUS WITH THEIR
TIME AND PATIENCE AND
COLLABORATION. IT HAS RESULTED
IN, I THINK A -- FOR THE MOST
PART, A WELL COORDINATED
EFFORT. AS THIS PROGRAM
EVOLVES, WE AIM TO BRING IN
MORE OF THE EXECUTIVE, AS WELL
AS ENGAGE CITY COUNCIL AS WE
NAVIGATE THIS PROGRAM. THIS IS
WHAT WE ARE THINKING RIGHT NOW.
SPECIFICALLY, AS I MENTIONED
BEFORE, ONE OF THE ELEMENTS IS
ACKNOWLEDGING THE MEMORANDUM OF
AGREEMENT. WE SPENT, I WOULD
SAY, MOST THE 2020 FOR DRAFTING
THIS MOA SO NOW AND INTO THE
FUTURE, DEPARTMENTS LISTED HERE
AND AT THE TABLE, CITY LOT,
SDOT AND FUTURE DEPARTMENTS
THAT MAY JOIN, IF THEY DO GET
INVOLVED IN OWNING OR OPERATING
THEIR OWN CHARGING STATIONS OR
WHATEVER ELIGIBLE FUEL
DISPENSATION EQUIPMENT, THAT
THIS DOCUMENT IS A LIVING ONE
THAT CAN BRING IN FOLKS SO THAT
MOVING FORWARD, WE HAVE A CLEAR
UNDERSTANDING OF HOW TO MEET ,
KNOWING WE SUCCESSFULLY -- NOT
ONLY SUCCESSFULLY COMPLIED, BUT
SUPPORTING EACH OTHER AS A
HIGHLY DYNAMIC INDUSTRY
EVOLVES. ON THE LIST OF SOME OF
THE ACTIVITIES CAPTURED IN THE
MOA. IN SUMMARY, THERE
GENERALLY HOW WE ALL WILL
ENSURE THAT WE SUCCESSFULLY
COMPLY WITH THE PROGRAM. NEXT
STEPS. AS I MENTIONED BEFORE,
THIS IS WHAT IS IN THE CFS
RESOLUTION PUT BEFORE YOU. WE
ASK COUNCIL TO APPROVE AND
ACKNOWLEDGE THE PARTICIPATION
AND CLEAN FUEL STANDARD AND TO
ACKNOWLEDGE THE ROLE OF CITY
LIGHTS AS PROGRAM ADMINISTRATOR
ON BEHALF OF THE CITY. THE
ABILITY TO TRANSACT THOSE CLEAN
FUEL CREDITS ON BEHALF OF OTHER
DEPARTMENTS, INCLUDING
OURSELVES. FINALLY, THE
INTERDEPARTMENTAL MOA. THIS IS
JUST A LIST OF THE NEXT STEPS
RELATED TO THIS PROGRAM FOR
BOTH CITY LIGHT AND CITYWIDE.
WITH THAT, I AM HAPPY TO ANSWER
ANY QUESTIONS, AND ALSO, WE'RE
LUCKY TO HAVE OUR PEERS HERE IF
YOU WANT TO ASK ANY QUESTIONS
PERTAINING TO THEIR RESPECTIVE
DEPARTMENT. THANK YOU.
>> THANK YOU. COLLEAGUES, ANY
QUESTIONS OR COMMENTS?
COUNCILMEMBER STRAUSS.
>> DID I HAVE A TELL?
>> MAY BE.
>> FAIR ENOUGH. I SPOKE LAST
TIME. IF SOMEBODY ELSE WANTS TO
GO FIRST . I AM NOT A PANELIST
YET. I CAN'T SEE ANYONE ELSE.
>> I THINK YOU ARE THE ONLY
PERSON.
>> FANTASTIC. WITH THAT
PRESENTATION, I CAN WAITED TO
MY FAMILY WHEN I GO HOME TODAY.
NO FURTHER QUESTIONS. TAKING
YOU UP ON YOUR OFFER IF ANY
OTHER DEPARTMENTS WANT TO TALK
ABOUT HOW YOUR DEPARTMENT IS
PARTICIPATING , BENEFITS,
DRAWBACKS, CHALLENGES OR
OPPORTUNITIES.
>> AS THE FLEET MANAGER FOR THE
CITY, I THINK THIS PROGRAM WILL
SERVE US REALLY WELL. ONLY TALK
ABOUT THE NEED FOR THE COST OF
THE INFRASTRUCTURE TO PUT INTO
SUPPORT OUR FLEET AND THE
ELECTRIFICATION OF THE FLEET,
WE NEED THAT. WE NEED THAT KIND
OF REVENUE. ALSO ON THE COST OF
ELECTRIC VEHICLES. SIMILAR.
WE'RE ALWAYS TRYING TO FIGURE
OUT HOW TO PIECE THIS TOGETHER
TO ADVANCE OUR ELECTRIFICATION
EFFORTS FOR THE FLEET. I THINK
THIS IS REALLY WELCOME. I THINK
THE STATE HAS GRADED THIS
PROGRAM, AND WE ARE DEVELOPING
A GREAT RELATIONSHIP BETWEEN
OUR TWO DEPARTMENTS , ALL THESE
DEPARTMENTS AT THE TABLE, TO
MAKE IT HAPPEN. THE CITY -- IN
THE FLEET OPERATION, WE HAVE
OVER 500 CHARGING STATIONS. WE
JUST PUT INTO SEVERUS THE 500th
ELECTRIC VEHICLE, SIGNIFICANT
MILESTONE FOR OUR ACTIVITIES
HERE. I AM HAPPY ABOUT IT.
>> HOW MANY FORD LIGHTNING DO
WE HAVE?
>> YOU PUT ME ON THE SPOT. 17.
PROBABLY MORE THAN THAT. OVER
20.
>> THAT'S GREAT.
>> AS FAR AS SPU, I WOULD
SECOND THE COMMENTS CHRIS MADE.
WE APPRECIATE COLLABORATING. WE
THINK THIS IS REALLY GREAT
PARTNERSHIP. WE HAVE A SMALLER
NUMBER OF ELECTRIC VEHICLE
CHARGERS, ABOUT 77 RIGHT NOW,
BUT WE CONTINUE TO BUILD OUT
THAT INFRASTRUCTURE. LOOKING
FORWARD TO REPORTING THAT WITH
YOU.
>> I WILL ECHO MY COLLEAGUES AS
WELL. THE STREETCAR IS FULLY
OWNED AND FULLY ELECTRIC. CORE
PART OF THE LOW EMISSIONS
NETWORK. REALLY EXCITED TO
PARTICIPATE IN THIS. WE ARE
ALWAYS LOOKING TO DIVERSIFY
FUNDING OPPORTUNITIES AND
REINVEST. THANK YOU.
>> FANTASTIC. IF I MIGHT TRY TO
DIGEST THE 27 SLIDES AND ABOUT
10 WORDS, IT IS MY
UNDERSTANDING THAT WITH THE
STATE PROGRAM THAT IS RUNNING,
A FUEL PRODUCER, IF THEY DON'T
MEET THE STANDARDS, THEY HAVE
TO PAY US MONEY. OR THE HAVE TO
PAY MONEY INTO THE CREDITS FOR
THE UTILITIES THAT ARE ALREADY
OVER ACHIEVING WHEN THEY
RECEIVE MONEY BECAUSE THEY ARE
OVER ACHIEVING. YOU ARE SAYING
IT IS BAD . YOU GET A POINT,
IT'S GOOD. FROM THERE, WE THEN
GET TO USE THIS FUNDING IN VERY
SPECIFIC CATEGORIES. I WILL USE
TRANSPORTATION AS ONE EXAMPLE.
FROM THERE, WE GET TO BUILD
INFRASTRUCTURE AND MAKE OUR
TRANSPORTATION NETWORK CLEANER.
>> YOU CAN HAVE MY JOB.
>> THAT IS DISTILLED. I WILL
EMPHASIZE IS NOT JUST CITY
LIGHT WHO IS GENERATING THESE
CREDITS. IF YOU ARE A PRODUCER
OF RENEWABLE GASOLINE, IF YOU
GENERATE BIODIESEL, YOU ARE
ALSO ELIGIBLE. YOU'RE NOT
GENERATING NEARLY AS MANY
CREDITS AS CITY LIGHT WITH
CLEAN FUEL. ALSO, ELECTRIC
VEHICLES APPLY PROVIDERS. THE
COMPANY THAT RUN PRIVATE
NETWORKS LIKE ELECTRIFY
AMERICA, THE BRICK GREEN
CHARGING STATIONS, THEY ARE
ALSO ELIGIBLE, BUT BY FAR, CITY
LIGHT, BECAUSE OF HER CLEAN
ELECTRICITY AND THE AWESOME
EFFORTS OF OUR RESIDENTS,
BUSINESSES AND ELECTRIFYING, WE
WILL HAVE ONE OF THE LARGEST
PORTFOLIOS OF CREDITS TO SELL.
FOSSIL FUEL IMPORTERS OR
PRODUCERS ARE GOING TO LOOK TO
US AS THEY CAN MAKE A PRETTY
EASY TRANSACTION TO COVER THEIR
DEFICITS. BUT YES, YOUR SUMMARY
IS SPOT ON.
>> THANKS. IT WAS BECAUSE YOU
BRIEFED ME EARLIER. I WILL JUST
SAY THAT WE ARE AHEAD OF THE
CURVE BECAUSE HE BEEN ON A
PATHWAY TO CARBON NEUTRALITY
FOR A VERY LONG TIME. WE WERE
AHEAD OF THE CURVE PREVIOUSLY,
WHICH PUTS US IN A REALLY GOOD
POSITION RIGHT NOW. ONE THING A
LOT OF FOLKS IN THE GENERAL
PUBLIC, ALL 140,000 PEOPLE
WATCHING THE SEATTLE CHANNEL
MIGHT NOT KNOW, IS THAT WE
ALREADY HAVE BIOFUEL PRODUCERS
HERE IN WASHINGTON, WHETHER IT
IS FOR AVIATION OR FOR FISHING
FLEETS. I HAVE BEEN TRYING TO
GET MORE BIOFUEL FOLKS TO COME
SERVE OUR FISHING FLEET BECAUSE
WE HAVE THE LARGEST FISHING
FLEET IN THE NORTH PACIFIC IN
THE BERING SEA. SO IT IS A
GREAT OPPORTUNITY. I DON'T
HAVE ANOTHER QUESTION FOR YOU.
BUT JUST TO BRING THAT
AWARENESS THAT BIOFUELS IS NOT
A FUTURE CONCEPT, IT IS A NOW
CONCEPT. WE HAVE PIPELINES IN
THE PORT RUNNING TO THE
AIRPORT, TO USE BIOFUEL
SPECIFICALLY. THIS IS AN
EXCITING MOMENT , AND ALSO
COMPLEMENTS TO SEATTLE CITY
LIGHT FOR BEING AHEAD OF THE
CURVE SO WE CAN GET MORE
CREDITS. THANK YOU.
>> COUNCILMEMBER MORALES.
THANKS FOR THE PRESENTATION. I
WANT TO CONGRATULATE ALL OF YOU
ON THE DEPARTMENT OF ENERGY
GRANTS THAT WILL SUPPORT SOME
OF THIS WORK AS WELL. I HAVE A
QUESTION ABOUT THE INVESTMENTS
IN INFRASTRUCTURE. I KNOW A LOT
OF THIS IS ABOUT ELECTRIC
VEHICLE CHARGING FOR CITY
FLEETS. BUT WE ALSO KNOW THAT
THERE IS PUBLIC INFRASTRUCTURE
NEEDED. I JUST WANT TO CLARIFY
THAT THIS INVESTMENT COULD ALSO
BE USED FOR THAT INFRASTRUCTURE
INVESTMENT . AND THEN, THIS MAY
BE A TANGENTIAL QUESTION, BUT I
AM INTERESTED TO KNOW ABOUT ,
PARTICULARLY FOR THE PUBLIC
INFRASTRUCTURE, HOW WE ARE
CONTEMPLATING STANDARDIZING
THAT, BECAUSE AS YOU MENTIONED,
THERE ARE PRIVATE COMPANIES
THAT ARE INSTALLING EQUIPMENT
TO, AND WE ALL KNOW THAT PART
OF THE CHALLENGE FOR FOLKS WHO
ARE INTERESTED IN PURCHASING
ELECTRIC VEHICLES IS THE
CHARGING CAPACITY, OR LACK
THEREOF. BUT THE
STANDARDIZATION OR LACK THEREOF
IS ALSO AN ISSUE. I'M
WONDERING IF YOU COULD TALK
ABOUT THAT A LITTLE BIT.
>> EXCELLENT QUESTIONS I'M
HAPPY TO KICK IT OFF AND TURN
TO MY COLLEAGUES IF THEY WANT
TO ADD ANYTHING MORE. TO YOUR
FIRST QUESTION , COUNCILMEMBER
MORALES, THOUGH WE DIDN'T TALK
ABOUT IT TODAY, I AM HAPPY TO
TALK ABOUT IT LATER TO SHOW
WHAT WE ARE INITIALLY THINKING
FOR INVESTMENT PORTFOLIO FROM
THIS PROGRAM. IT WILL ALIGN
WITH OUR STRATEGIC INVESTMENT
PLAN. THIS COUNCIL PASSED AND
APPROVED WHAT I CALL , I
BELIEVE IN LATE 2019. WERE
WORKING ON THE NEXT ONE, WHICH
WILL BE PRESENTED TO YOU AT THE
END OF THIS YEAR. THE MAIN
COMPONENTS OF THAT PLAN, WHICH
WILL BE REFLECTED IN OUR
INVESTMENTS FROM THE CLEAN FUEL
STANDARD, ARE IN PUBLIC
CHARGING INFRASTRUCTURE. THAT
CAN INCLUDE, BUT IS NOT LIMITED
TO, OUR FAST CHARGERS, THE
AWESOME CURBSIDE LEVEL TWO
PROGRAM, WHICH I BELIEVE HE
PRESENTED TO YOU, AND IT ALSO
INCLUDES MULTIFAMILY DWELLING.
IT INCLUDES POTENTIALLY A
FUTURE WORKPLACE CHARGING
PROGRAM, SINGLE-FAMILY CHARGING
FOR LOW INCOME HOUSEHOLDS OR
HOUSEHOLDS IN HIGHLY IMPACTED
COMMUNITY NEIGHBORHOODS. THAT
IS A HIGH LEVEL. YOU'RE RIGHT
THAT THIS IS AN OPPORTUNITY TO
INVEST IN PUBLIC FLEETS. BUT BY
AND LARGE, WE WILL INVEST THESE
REVENUES IN INFRASTRUCTURE THAT
SERVED THE PUBLIC.
>> I WILL JUMP ONTO THAT.
COUNCILMEMBER STRAUSS EARLIER
SEVERE HEAD OF THE CURVE AND
SOME OF THESE AREAS. I WOULD
EMPHASIZE WHAT MICHAEL
DISCOVERED WITH BEING AHEAD OF
THE CURVE BECAUSE OF THE
ACTIONS THE COUNCIL TOOK FOUR
YEARS AGO WHEN THE APPROVED THE
TRANSPORTATION ELECTRIFICATION
STRATEGIC INVESTMENT PLAN.
MAKING INVESTMENTS IN THE SPACE
FOR FOUR YEARS ALREADY THANKS
TO THAT. MANY OF THE AREAS
MICHAEL COVERED ARE ACTUALLY
COMING BACK TO COUNCIL LATER
THIS YEAR WITH AN UPDATE TO
THAT PLAN . WE HAVE BEEN
CONDUCTING SIGNIFICANT
COMMUNITY OUTREACH TO UPDATE
THE PLAN, BRING ENGAGEMENT INTO
THE CORE OF THAT. WE HAVE THE
FRAMEWORK. WE HAVE BEEN MAKING
THESE INVESTMENTS. THIS IS AN
ADDITIONAL FUNDING STREAM TO
CHANNEL THROUGH THAT TO
CONTINUE TO EXPAND . TO YOUR
SECOND QUESTION ON STANDARDS,
WHICH IS A VERY GOOD ONE, THERE
HAS BEEN POSITIVE DEVELOPMENTS
AROUND STANDARDIZATION ACROSS
NORTH AMERICA. MOST RECENTLY,
WITH UPDATES TO THE NORTH
AMERICAN CHARGING STANDARD.
SOME REALLY NICE STREAMLINING
IMPACTS FROM THAT WE HAVE BEEN
COLLABORATED WITH INDUSTRY
GROUPS , WITH THE NATIONAL
LEVEL ELECTRIC POWER RESEARCH
INSTITUTE, PACIFIC NORTHWEST
REGIONAL LABS AND OTHERS. AT
THE REGIONAL LEVEL, WE
COLLABORATE CLOSELY WITH ALL
THE CHARGING PROVIDERS. THE
THIRD-PARTY ELECTRIC VEHICLE
INFRASTRUCTURE PROVIDERS, WE
COLLABORATE WITH THEM SO THE
CUSTOMERS HAVE A SEAMLESS
EXPERIENCE . IN MANY CASES, WE
ARE INCENTIVIZING INSTALLATION
OF THIRD-PARTY CHARGES AS WELL.
WE WANT TO BRIDGE THE GAP THAT
EXISTS. THAT IS VERY MUCH FRONT
CENTER FOR OUR STRATEGIES AND
PLANS.
>> WERE GOING TO NEED TO
DEVELOP A LOT OF CHARGING.
PROJECTING 12,000 PUBLICLY
AVAILABLE CHARGING PORTS BY
2030. AND SO, THIS WILL BE A
SOURCE TO SUPPORT CONSTRUCTION,
OWNERSHIP AND OPERATION. WE
WILL ALSO USE THIS IN
CONJUNCTION WITH OTHER
INVESTMENTS WE WILL MAKE, OTHER
FEDERAL GRANT AND STATE GRANT
OPPORTUNITIES WE ARE ACTIVELY
PURSUING. OF COURSE, WHAT IS IN
THE TRANSPORTATION, THAT WILL
ALSO HELP TO SUPPORT THIS.
>> I AM GLAD TO KNOW THAT WE
HAVE LONG BEEN THINKING ABOUT
THAT AND HAVE A PLAN FOR
SUPPORTING INDIVIDUAL VEHICLES
. BUT I'M ALSO INTERESTED TO
KNOW HOW WILL WE USE THIS TO
INVEST IN BROADER PUBLIC
TRANSIT SYSTEMS . WE KNOW , IF
THE GOAL IS TO REDUCE EMISSIONS
AND TO IMPROVE TRANSPORTATION
IN GENERAL, WE'RE GOING TO
HAVE TO ALSO REDUCE THE NUMBER
OF SINGLE VEHICLES ON THE ROAD.
CAN YOU TALK A LITTLE BIT ABOUT
HOW THIS RELATES TO OUR TRANSIT
STRUCTURE , INFRASTRUCTURE?
>> THEIR MULTIPLE LEVELS TO
THAT. ONE OF THE BROADER
COLLABORATION LEVEL IS THE CITY
TRANSPORTATION ELECTRIFICATION
BLUEPRINT, WHICH ADDRESSES SOME
OF THE ASPECTS YOU ARE TALKING
ABOUT AND FITS ELECTRIC
CHARGING WITHIN THE BROADER
STRUCTURE OF HOW WE GET MORE
PEOPLE OUT OF PERSONALLY OWNED
VEHICLES IN THE FIRST PLACE AND
REDUCE MILES TRAVELED. A NUMBER
STRATEGIES ACROSS THE CITY THAT
WE COLLABORATE WITH
SUSTAINABILITY AND ENVIRONMENT
AND OTHERS ON. FOR OUR DIRECT
ROLE IN INVESTMENTS AT CITY
LIGHT, WE ALSO HAVE BEEN
BUILDING PARTNERSHIPS WITH
TRANSIT PROVIDERS SINCE THE
IMPLEMENTATION OF THE
INVESTMENT PLAN FOUR YEARS AGO.
RIGHT AT THE BEGINNING OF THAT,
WE HEARD THOSE CONCERNS FROM
THE COMMUNITY ABOUT TRANSIT ,
NUMBER ONE, HOW TO ELECTRIFY
TRANSIT AND EXPAND ACCESS. FOR
OUR PLAN, WE HAVE BEEN
CENTERING ON ELECTRIFYING
TRANSIT. THAT STARTED WITH
PARTNERSHIPS WITH KING COUNTY
METRO, WASHINGTON STATE FERRY.
METRO IS CURRENTLY OPERATING 40
BATTERY ELECTRIC BUSES
THROUGHOUT THE SERVICE
TERRITORY AND SEATTLE. WE
PARTNERED WITH THEM ON THE
DEVELOPMENT OF THAT BASE. ALSO,
RESEARCH AND BRINGING
TECHNOLOGY INNOVATION. WE
BROUGHT NATIONAL LABS AND
FUNDING TO THAT. WE DEVELOPED
NEW TECHNOLOGIES THAT ACTUALLY
SUPPORT TRANSIT ELECTRIFICATION
. EARLIER THIS YEAR, THERE WAS
A GROUNDBREAKING ON THE NEXT
BUS ELECTRIFICATION OF THEIR
INTERIM BASE, WHICH WILL SOON
OPERATE ON AN ADDITIONAL 100
BATTERY ELECTRIFIED BUSES.
METRO IS COMMITTED TO THEIR
ENTIRE FLEET. IT OPERATES OUT
OF TUKWILA, WHICH IS IN OUR
TERRITORY. WE HAVE BEEN WORKING
DEEPLY WITH THEM. WASHINGTON
STATE FERRY WILL ELECTRIFY THE
VERY FIRST BATTERY ELECTRIC
FERRY IN THE REGION OPERATING
BETWEEN BAINBRIDGE ISLAND. WE
ACTUALLY GOT SOME FUNDING FROM
THE STATE LOOKING AT INNOVATIVE
SOLUTIONS TO CHARGE THEIR. WE
HAVE A MEMORANDUM OF
UNDERSTANDING WITH THE FERRY
SYSTEM AS WELL ON SUPPORTING
THAT ELECTRIFICATION. WE ARE
WORKING WITH ALL OF THE
DIFFERENT TRANSIT PROVIDERS AS
WE GO ALONG THIS. WORKING MORE
BROADLY ACROSS THE CITY ON THE
OVERALL STRATEGY FOR HOW TO
REDUCE VEHICLES MILES TRAVELED
AS MUCH AS POSSIBLE AND
ELECTRIFY WHAT IS LEFT ON THE
ROADS TO ADDRESS THOSE
TRANSPORTATION EMISSIONS.
>> THANK YOU VERY MUCH.
>> THANK YOU. THIS IS ALL VERY
TECHNICAL. I'M GRATEFUL FOR
YOUR EXPERTISE. THANK YOU SO
MUCH FOR BEING HERE. I TEND TO
VOTE IN FAVOR OF THIS
RESOLUTION BECAUSE, DURING THE
STATE PROGRAM, ALIGNED WITH OUR
COMMIT TO COMBAT CLIMATE CHANGE
AND IMPROVE AIR QUALITY FOR
RESIDENTS. I WAS HOPING YOU
COULD TALK MORE ABOUT, WHEN IT
COMES TO LOCAL COMMUNITIES AND
COMMUNITY MEMBERS, WHAT WILL
THEY SEE COME OUT OF THIS FROM
OUR PARTNERSHIP WITH THE
STATES? YOU MENTIONED 30% ON
FLIGHT 15 , MUST BE SPENT ON
EQUITABLE INVESTMENTS. THE
OTHER 50% WILL BE PROJECTS WITH
THE STATE. WHAT COULD THE
CONSTITUENCY GET OUT OF THIS
CLASS
>> THAT IS AN EXCELLENT
QUESTION. THE OTHER HALF OF MY
JOB, AS I MENTIONED AT THE
BEGINNING, AS THE PARTNERSHIP
SIDE. I SEE MY ROLE AS MEETING
COMMUNITY WHERE THEY ARE AND
WHAT INVESTMENTS CITY LIGHT IN
THE CITY CAN MAKE REGARDING
CLEAN ENERGY, CLEAN
TRANSPORTATION, AND BUILDING ON
A LOT OF THE THINGS MY
COLLEAGUE DAVID JUST SAID. AND
SO, RIGHT NOW AS PART OF THE
DEVELOPMENT, THE PLAN IS BEING
BUILT BY COMMUNITIES. WE ARE IN
COMMUNITY RIGHT NOW IN
PARTNERSHIP WITH EITHER
COMMUNITY-BASED ORGANIZATIONS
OR MEMBERS OF THE COMMUNITIES
WE WANT TO PRIORITIZE ,
VULNERABLE POPULATIONS, BIPOC,
LOW INCOME. THEY ARE BUILDING
THE REPORT FOR THE INVESTMENTS
THEY WOULD LIKE TO SEE. AND SO,
CFS IS GOING TO BOTH SUPPORT
THAT AND , THOUGH MY MANAGER IS
NOT HERE TODAY, SHE AND I HAVE
TALKED ABOUT WAYS IN WHICH WE
CAN EMPOWER COMMUNITIES OVER
SOME OF THE REVENUES THAT THEIR
UTILITY IS GENERATED. TO ANSWER
YOUR QUESTION, THERE ARE A
NUMBER OF POSSIBILITIES, BUT
WHAT OUR COMMITMENT IS TO OUR
CUSTOMERS AND COMMUNITIES IS
THAT THE INVESTMENTS THEY WANT,
WE WILL FIND THROUGH THIS
PROGRAM. PART OF THAT IS ALSO
WORKING ON GREATER
ACCOUNTABILITY. HOW DO THEY
WANT US TO SHOW UP AFTER EACH
OF THESE INTERACTIONS TO SHOW
WE ARE DOING WHAT WAS ASKED OF
US? THAT MIGHT BE PUBLIC
CHARGING. IT IS GOING TO BE
CERTAINLY MUCH BIGGER
INVESTMENTS IN TRANSIT. THAT
MIGHT BE IN COMMUNITY VEHICLES
SHARE PROGRAMS. THESE ARE SOME
OF THE HINTS THAT WHAT MAY BE
COMING AT THE END OF THE YEAR.
WE ARE LEADING WITH
PARTNERSHIPS AND DELIVERING
PROJECTS THAT THE COMMUNITY
WANTS.
>> THANK YOU.
>> ENGAGEMENT, NOT
CONSULTATION.
>> THANK YOU. OKAY. I MOVE THAT
THE COMMITTEE ADOPT RESOLUTION
32146. DO I HAVE A SECOND?
>> SECOND.
>> IT IS MOVED AND SECONDED TO
ADOPT RESOLUTION 32146. ANY
FURTHER COMMENTS? SEEN DONE. --
SEEING NINE. WILL THE CLERK
PLEASE CALL THE ROLL?
>> [ ROLL CALL ]
>> FOUR IN FAVOR.
>> THE MISSION CARRIES.
RECOMMENDATION WILL BE SENT TO
THE FULL CITY COUNCIL. THINK
YOU SO MUCH FOR BEING HERE
TODAY AND FOR YOUR VERY
COMPREHENSIVE EXPLANATION.
>> THANK YOU.
>> WE WILL NOW MOVE ON TO THE
LAST ITEM OF BUSINESS. WILL THE
CLERK READ THE ITEM INTO THE
RECORD?
>> [ ORDINANCE BEING READ ]
>>
THANK YOU FOR BEING HERE. WHEN
YOU'RE READY, PLEASE BEGIN.
>> THANK YOU. I WILL HAVE THE
TEAM INTRODUCE THEMSELVES, AND
THEN WE WILL DIVE IN.
>> GOOD MORNING. FINANCIAL
PLANNING.
>> CITY LIGHT CHIEF FINANCIAL
OFFICER.
>> THANK YOU, T. THE ORDINANCE
BEFORE YOU TODAY IMPLEMENTS THE
CITY LIGHT RATE PATH ADOPTED IN
THE 2025-2030 STRATEGIC PLAN.
THANK YOU FOR YOUR SUPPORT OF
THE PROPOSED RATE INCREASE
RECOMMENDED BY THE RECOMMENDED
PANEL. EVERY SHARE DURING
DELIBERATIONS ON THE 2025-2030
STRATEGIC PLAN, THE NEW RATES
ARE BUILT ON A FOUNDATION OF
RESPONSIBLE FINANCIAL PLANNING,
PARTICULARLY AS WE FACE HIGHER
POWER COSTS , THE IMPACT OF
PROVIDING COMPETITIVE WAGES ,
AND HIGHER PRICES FOR WIRES,
POLES, TRANSFORMERS AND OTHER
MATERIALS. WE ALSO CONTINUE OUR
COMMITMENT TO AFFORDABILITY FOR
ALL CUSTOMERS, INCLUDING A
PLEDGE TO INCREASE ENROLLMENT
IN OUR UTILITY DISCOUNT
PROGRAM. FINALLY, WE ARE
COMMITTED TO PROVIDING NEW
PRICING OPTIONS TO HELP
CUSTOMERS MANAGE THEIR ENERGY
BILLS THROUGH EFFICIENT USE OF
OUR PRODUCTS AND SERVICE. I AM
NOW GOING TO HAND IT OFF TO OUR
STAFF TO WALK YOU THROUGH HOW
THE SPECIFIC RATES FOR EACH
CUSTOMER, CLASS ARE CALCULATED.
SOME RATE DESIGN CHANGES, AND
FINALLY, WHAT THE BILL IMPACTS
ARE TO THE VARIOUS CUSTOMER
CLASSES FOR 2025 AND 2026.
>> AGAIN, I AM MANAGER OF
FINANCIAL PLANNING AND RATES. I
DID NOT HAVE MY MICROPHONE ON
BEFORE. THIS LEGISLATION SETS
RETAIL RATES FOR CITY LIGHT
CUSTOMERS FOR 25 AND 26. OUR
PRESENTATION TODAY INCLUDES
RATES SETTING BACKGROUND AS
WELL AS THE PROPOSED RATES. IN
ADDITION TO RETAIL RATES, THIS
LEGISLATION ALSO UPDATE THE
EXISTING LARGE CUSTOMER SOLAR
PROGRAM , WHICH IS FOR
CUSTOMERS WITH SOLAR ARRAYS
OVER 100 KILOWATTS. THIS IS
WHAT IS LARGER THAN WHAT IS
ALLOWED TO PARTICIPATE IN THE
NET METERING PROGRAM. THE
UPDATE EXPANDS ELIGIBILITY TO
INCLUDE OTHER TYPES OF
RENEWABLE GENERATION. IT ALSO
INCREASES THE MAXIMUM SIZE FROM
TWO MEGAWATTS TO FIVE
MEGAWATTS. IN ADDITION, WE ARE
CHANGING THE EXPORT RATE ,
WHICH IS THE RATE WE PAY TO
CUSTOMERS FOR ANY ENERGY
EXPORTED TO THE GRID. IT IS
BEING CHAINED FROM A FLAT
ANNUAL RATE TO A MONTHLY RATE
THAT WERE FAIRLY COMPENSATES
CUSTOMERS FOR THE VALUE OF
ENERGY THEY DELIVER TO THE
GRID. LASTLY, THIS LEGISLATION
SETS THE 25 AND 2026 NET
WHOLESALE REVENUE PLANNING
VALUES, WHICH ARE USED IN THE
RATE STABILIZATION ACCOUNT
MECHANISM. THESE VALUES ARE
PULLED DIRECTLY FROM THE
FINANCIAL STRATEGIC PLAN. THE
STRATEGIC PLAN THAT WAS JUST
ADOPTED ENDORSES A SIX-YEAR
SYSTEM AVERAGE RATE INCREASE.
JUST TO TIE IT INTO THE
BUDGETING AND RATESETTING, THE
FINANCIAL ASSUMPTIONS FOR THE
FIRST TWO YEARS PROVIDE THE
SPINNING TARGETS FOR THE
DEVELOPMENT OF THE BUDGET .
ALSO, THE REVENUE REQUIREMENTS
FOR THE DEVELOPMENT OF RETAIL
RATES, WHICH WE ARE TALKING
ABOUT TODAY. EVEN THOUGH WE
HAVE A 5.4% INCREASE SET IN THE
RATE PATH, NOT ALL CUSTOMERS
WILL SEE THEIR RATES INCREASE
BY EXACTLY THAT DUE TO THE
RATESETTING PROCESS. THE
RATESETTING PROCESS HAS THREE
PRIMARY STEPS, SHOWN IN THE
TABLE. THE FIRST IS DETERMINING
THE REVENUE REQUIREMENT, WHICH
IS THE TOTAL AMOUNT OF REVENUE
CITY LIGHT NEEDS TO COLLECT
FROM ALL CUSTOMERS THROUGH
RETAIL RATES. THIS IS IN ORDER
TO MEET FINANCIAL TARGETS. AS I
MENTIONED, THIS IS DEVELOPED AS
PART OF THE STRATEGIC PLAN
PROCESS. THE SECOND STEP IS THE
COST OF SERVICE WERE CITY LIGHT
DIVIDES CUSTOMERS INTO
DIFFERENT RATE CLASSES , WHICH
IS ILLUSTRATED IN THE DONUT
CHART IN THE MIDDLE. THE BLUE
SHADES ARE COMMERCIAL
CUSTOMERS, WHICH MAKE UP
ROUGHLY 60% OF THE REVENUE
REQUIREMENT. COMMERCIAL
CUSTOMERS ARE COMPOSED OF FOUR
GENERAL SERVICE RATE CLASSES,
AND THESE ARE SHOWN IN THE
CHART STARTED WITH SMALL
GENERAL SERVICE IN THE LIGHT
BLUE, AND GOING CLOCKWISE WE
HAVE MEDIUM, LARGE AND HIGH
DEMAND. THE LIGHTING
CUSTOMERS. AS PART OF THE COST
OF SERVICE PROCESS, VARIOUS
COSTS THAT MAKE UP THE REVENUE
REQUIREMENT ARE THEN ASSIGNED
TO THE CUSTOMER CLASSES. WE
WILL HAVE A COUPLE OF FLIES AND
TALK ABOUT THAT IN MORE DETAIL.
THE THIRD STEP IS RATE DESIGN.
THIS IS WHERE WE CREATE A
SCHEDULE OF RATES FOR EACH
CUSTOMER CLASS TO RECOVER THEIR
SHARE OF ASSIGNED COSTS. AS A
NOT-FOR-PROFIT MUNICIPAL
UTILITY, THE GOALS IN
COLLECTING REVENUE ARE TO COVER
ALL OF OUR COSTS AND COLLECT IN
SUCH A WAY THAT EACH CUSTOMER
PAYS THEIR FAIR SHARE. THIS
GRAPHIC SHOWS A HIGH LEVEL
SUMMARY OF THE OPERATIONS IN
OUR PRIMARY COST OF SERVICE
CATEGORIES. THE CHART ARE IN
THREE PRIMARY CATEGORIES THE
FIRST IS ENERGY COST, THE COST
OF PRODUCING AND PURCHASING
ENERGY AND BRINGING IT TO THE
SERVICE TERRITORY. THE SECOND
CATEGORY IS THE DELIVERY COST,
OFTEN REFERRED TO AS
DISTRIBUTION COSTS. THESE ARE
THE COST OF RELIABLY DELIVERING
POWER TO CUSTOMERS THROUGH OUR
VAST NETWORK OF DELIVERY
INFRASTRUCTURE. THE THIRD
CATEGORY IS CUSTOMER SERVICE,
WHICH IS THE COST OF METERING,
BILLING AND PROVIDING OVERALL
CUSTOMER SERVICE. THE TAKE AWAY
IS THAT THERE ARE DIFFERENT
METHODS FOR ASSIGNING COSTS TO
DIFFERENT CATEGORIES OF
SERVICE. THE COST INCREASES IN
DIFFERENT AREAS, AS WELL AS
CHANGES TO CONSUMPTION PROFILES
OF THE CUSTOMER CLASSES, WILL
RESULT IN DIFFERENT SIZES OF
RATE INCREASES FOR DIFFERENT
CUSTOMER CLASSES. THIS SLIDE
SHOWS ANOTHER VIEW OF THE COST
OF SERVICE. THE CHART ON THE
LEFT SHOWS THE TOTAL COST TO
MAKE UP THE REVENUE
REQUIREMENTS BROKEN OUT INTO
THE PRIMARY CATEGORIES. THE
ENERGY COSTS MAKE UP 52%,
DELIVERY COSTS MAKE UP 36%, AND
CUSTOMER COSTS MAKE UP THE
REMAINING 12%. EACH OF THESE
WILL BE ASSIGNED TO A CUSTOMER
CLASS BASED ON DIFFERENT
CRITERIA. THE SECOND CHART
SHOWS THE ASSIGNED COST FOR
EACH CUSTOMER CLASS, WHICH IS
ALSO THE REQUIREMENT. THE FEES
AND CHARGES ARE DESIGNED
SEPARATELY TO COLLECT REVENUE
REQUIREMENT FOR EACH CUSTOMER
CLASS, BUT FOR ILLUSTRATIVE
PURPOSES, THE CHART ON THE
RIGHT SHOWS HOW THE TOTAL
REVENUE IS RECOVER. ENERGY
CHARGES ARE THE MOST COMMON,
AND THEY REPRESENT THE COST PER
UNIT ENERGY PROVIDED. WE OFTEN
REFER TO THIS IN KILOWATT HOUR.
THE VAST MAJORITY, OR 86%, IS
CURRENTLY THROUGH THE ENERGY
CHARGES. DEMAND CHARGES REFLECT
A CHARGE FOR A PEAK USE DURING
A BILLING CYCLE AND PROVIDE AN
INCENTIVE FOR CUSTOMERS TO
FLATTEN OUT THEIR LOW PROFILE.
CITY LIGHT HAS DEMAND CHARGES
FOR ITS MEDIUM, LARGE AND HIGH
DEMAND GENERAL SERVICE
CUSTOMERS. THE AMOUNT OF THE
TOP OF THE REVENUE COLLECTED
FROM THE CUSTOMER CHARGE. ONE
OF THE TAKEAWAYS FROM THIS
CHART IS THAT RATE DESIGN
DETERMINES HOW THE REVENUE IS
COLLECTED, AND NOT HOW MUCH
REVENUE IS COLLECTED. THE LESS
REVENUE COLLECTED FROM THE
CUSTOMER AND DEMAND CHARGES,
THE MORE REVENUE NEEDS TO BE
COLLECTED FROM THE ENERGY
CHARGES, AND VICE VERSA. THIS
TABLE SHOWS OUR COST OF SERVICE
RESULT IN TERMS OF AVERAGE
INCREASES TO EACH CUSTOMER
CLASS. THIS CAN BE INTERPRETED
AS THE AVERAGE BILL INCREASES
FOR EACH CUSTOMER CLASS. THERE
ARE MANY DIFFERENT FACTORS THAT
CAN IMPACT WHY DIFFERENT
CLASSES HAVE INCREASES ABOVE OR
BELOW THAT 5.4% SYSTEM AVERAGE.
I MENTIONED THE PROPORTIONAL
INCREASES IN ENERGY DELIVERY
AND CUSTOMER COSTS, AS WELL AS
THE CHANGING IN THE CONSUMPTION
PROFILES. A LOT OF MOVING
PIECES GOING TO COST OF
SERVICE. IT MIGHT BE WORTH
NOTING THAT CITY LIGHT HAS HAD
INCREASES ABOVE AND BELOW THE
SYSTEM AVERAGE WILL WITHIN
THESE RAGES BEFORE. FOR TODAY,
WE'RE GOING TO GO OVER THE
HIGH LEVEL DRIVERS FOR EACH
CLASS AND WHY THEY ARE ABOVE OR
BELOW THE SYSTEM AVERAGE.
BEFORE WE START THAT, THERE IS
ONE CHANGE IN THE COST OF
SERVICE SPECIFICALLY WORTH
CALLING OUT SINCE IT IMPACTS
MOST OF THE CUSTOMER CLASSES.
THAT IS A REVISED ALLOCATION OF
OUR CUSTOMER SERVICE COSTS TO
BETTER REFLECT THE ACTUAL TIME
AND RESOURCES BEING SPENT TO
SERVE EACH CLASS. THIS CUSTOMER
COST PROPORTIONALLY INCREASED A
LITTLE BIT MORE FOR
NONRESIDENTIAL CUSTOMERS THAN
IT DID FOR RESIDENTIAL
CUSTOMERS. THAT WILL BE A THEME
AS WE WALK THROUGH THIS TABLE.
MOVING QUICKLY, STARTING WITH
RESIDENTIAL CUSTOMERS ON THE
LEFT, RESIDENTIAL CUSTOMERS
HAVE LOWER THAN AVERAGE
INCREASES, PRIMARILY BECAUSE OF
LOWER INCREASES TO THE CUSTOMER
COST FOR REASONS I JUST NOTED.
THEY ALSO HAD A SLIGHTLY LOWER
AVERAGE INCREASE IN
DISTRIBUTION COSTS. BOTH SMALL
AND MEDIUM CUSTOMERS HAD
INCREASES SLIGHTLY ABOVE
AVERAGE, AND THAT WAS PRIMARILY
FROM THE HIGHER ASSIGNED
CUSTOMER COSTS. THE BIGGER
INCREASE IN LARGE GENERAL
SERVICE IS ALSO BEING DRIVEN BY
THOSE ASSIGNED COST. BUT THE
LARGEST DRIVER ALSO COMES FROM
ADJUSTING FOR AN UNDER
COLLECTION IN EXISTING RATES.
WHAT IS HAPPENING HERE IS THAT,
IN AGGREGATE, LARGE CUSTOMERS
HAVE HAD A REDUCTION TO THEIR
MONTHLY BILLING DEMAND, MEANING
LESS REVENUE IS COMING IN FROM
DEMAND CHARGES THAN ORIGINALLY
ANTICIPATED IN THE LAST RATE
CASE. IF WE THINK OF THESE
AVERAGE RATE INCREASES AS A
STEP UP, WHAT IS HAPPENING WITH
LARGE CUSTOMERS IS THAT THE
STARTING STEP HAS LOWERED,
REQUIRING A HIGHER STEP UP TO
RECOVER THEIR FAIR SHARE OF
COSTS. WE AREN'T COLLECTING
REVENUE THROUGH THE DEMAND
CHARGES, WE NEED TO RAISE THE
ENERGY RATES. HIGH DEMAND
CUSTOMERS HAVE AN INCREASED
INCREASE LOWER THAN THE SYSTEM
AVERAGE RATE BECAUSE OF
SLIGHTLY BELOW AVERAGE
INCREASES TO BOTH ENERGY AND
DISTRIBUTION COSTS.
STREETLIGHTING HAS THE HIGHEST
CHANGE PER KILOWATT HOUR, BUT
STREETLIGHTS ARE TREATED A
LITTLE BIT DIFFERENTLY THAN
OTHER RATE CLASSES. IN ADDITION
TO ALL THE COST FOR THE ENERGY
AND DISTRIBUTION TO GET THE
POWER TO THE STREETLIGHTS,
STREETLIGHTS ARE ALSO DIRECTLY
ASSIGNED COSTS OF THE
INFRASTRUCTURE AND THE
MAINTENANCE OF THE
STREETLIGHTS. THESE COSTS ARE
ONLY FOR STREETLIGHT SERVICE,
SO THEY ARE ONLY ASSIGNED TO
STREETLIGHT CUSTOMERS. CAPITAL
WORK FOR STREETLIGHTS IS GROWN
IN RECENT YEARS. THE RECOVERY
OF THOSE INFRASTRUCTURE COSTS
ARE THE PRIMARY DRIVERS FOR
THEIR ENTIRE STREETLIGHT
CUSTOMER RATES. THAT WAS A LOT
FOR THE COST OF SERVICE RESULT.
LOTS OF MOVING PIECES. NOW
WE'RE READY TO MOVE ON TO RATE
DESIGN. THE UTILITY AND THE
CITY LIGHT REVIEW PANEL JOINTLY
PRODUCE A RATE STRATEGY REPORT
BACK IN 2019 AND A MAJOR
DELIVERY OF THAT REPORT WAS
REDEFINING EVERY DESIGN GOALS
AND OBJECTIVES. THESE ARE SHOWN
ON THE CHART ON THE RIGHT.
THERE ARE EIGHT RATE DESIGN
GOALS THE CITY LIGHT SHOULD
BALANCE AS BEST AS POSSIBLE
WHEN SETTING RATES. THIS RATE
PROPOSAL ALSO ADVANCES THREE
KEY STRATEGIES FROM THE 2019
STUDY . THAT IS INCLUDING
ESTABLISHING AND GRADUALLY
INCREASING A FIXED CUSTOMER
CHARGE FOR ALL CUSTOMERS TO
COVER THE COST OF METERING,
BILLING AND CUSTOMER SERVICE,
AND THE STRATEGY PROMOTES
REVENUE SUFFICIENCY,
DECARBONIZATION, AND RATES THAT
ARE MORE COST BASED IN STABLE
AND PREDICTABLE.
>> CAN I ASK A QUESTION?
>> THE SECOND IS RATES THAT ARE
CHARGED IN DIFFERENT AMOUNTS
DURING DIFFERENT PERIODS OF THE
DAY. TIME AND USE RATE SUPPORT
DECARBONIZATION, CUSTOMER
TWICE, AND RATES THAT ARE
COST-BASED.
>> WE HAVE A QUESTION.
>> THANK YOU, CHAIR. AND
LOOKING AT THE RESOLUTION, AND
YOU MENTIONED IT HERE, AND I'M
SORRY TO INTERRUPT NOW, BUT I
NEED TO GET CLARIFICATION.
WE'RE GOING TO BILL ALL USAGE
AT THE SAME RATE? IS THAT
CORRECT? ALL USERS AT THE SAME
RATE?
>> NOT ALL CUSTOMER RATE
CLASSES AT THE SAME RATE.
>> THIS IS EFFECTIVE JANUARY 1,
2025 ALL KILLER WHALES WILL BE
BILLED AT THE SAME RATE. YOU
MENTIONED SOMETHING ABOUT
CHANGING TO SAME RATE BILLING.
CAN YOU CLARIFY?
>> IN A COUPLE OF SLIDES WHEN
THEY GET TO THE RESIDENTIAL
RATE DESIGN, WE WILL COVER
THAT.
>> BUT WHAT DID YOU JUST SAY?
>> THE SAME RATE FOR ALL
KILOWATT HOURS IS ONLY SPECIFIC
TO RESIDENTIAL CUSTOMERS.
>> OKAY. WHY IS THAT?
>> BECAUSE WE DESIGN RATES
DIFFERENTLY FOR THE DIFFERENT
CUSTOMER CLASSES.
>> OKAY.
>> SMALL GENERAL SERVICE AND
MEDIUM GENERAL SERVICE ALSO
HAVE THE SAME RATE FOR ALL
KILOWATT HOURS AS WELL.
>> ARE YOU GOING TO EXPLAIN WHY
YOU DESIGN IT DIFFERENTLY FOR
RESIDENTIAL CUSTOMERS?
>> WE CAN GET TO THAT.
>> OKAY. THANK YOU.
>> THANK YOU FOR YOUR QUESTION.
THE THIRD STRATEGY THAT WE ARE
IMPLEMENTING IS PHASING OUT THE
LEGACY TO BLOCK RESIDENTIAL
RATE STRUCTURE AND GOING TO THE
FIGHT ENERGY RATE FOR
RESIDENTIAL CUSTOMERS AND HOW
IT WILL SUPPORT TRANSPARENCY,
REVENUE SUFFICIENCY,
DECARBONIZATION, AND RATES THAT
ARE MORE STABLE AND
PREDICTABLE. THIS TABLE
SUMMARIZES THE CHANGES IN
RETAIL RATES. THE BLACK
CHECKMARKS INDICATE THE RATE
TYPES CURRENTLY BEING USED, AND
THE GOLD INDICATES THE PROPOSED
CHANGES. THE TWO STRUCTURAL
CHANGES ARE MOVING AWAY FROM
THE BLOCK ENERGY RATES FOR
RESIDENTIAL CUSTOMERS AND
OFFERING TIME AND USE RATES TO
RESIDENTIAL AND SMALL AND
MEDIUM GENERAL SERVICE
CUSTOMERS.
MOVING ON TO THE RESIDENTIAL
RATE DESIGN. CITY LIGHT
RESIDENTIAL CUSTOMERS ARE
CURRENTLY ON A BLOCK STRUCTURE
WHERE THEY PAY A LOWER AMOUNT
FOR THE FIRST BLOCK IS
CONSUMPTION IN A HIGHER AMOUNT
FOR ALL OTHER CONSUMPTIONS.
THAT IS THE CURRENT RATE
STRUCTURE THAT WE HAVE BEEN
WORKING WITH. THE CHART ON THE
RIGHT SHOWS THAT RATES FOR THE
FIRST BLOCK AND THE SECOND
BLOCK SINCE 2014. CITY LIGHT
HAS BEEN INTENTIONALLY
GRADUALLY REDUCING THE
DIFFERENTIAL BETWEEN THE FIRST
AND SECOND BLOCK TO PROVIDE A
SMOOTH TRANSITION AS WE MOVE
TOWARDS THE FLAT RATE. THE
BLOCK STRUCTURE IS OVER 30
YEARS OLD AND WAS ORIGINALLY
SIZED ON ENGINEERING ESTIMATES
BASED ON BASIC HOUSEHOLD INCOME
AT THE TIME. THE OBJECTIVES
WERE TO PROVIDE LOW-COST
ELECTRICITY TO COVER ALL BASIC
COUNSEL NEEDS WITH THE FIRST
BLOCK. ALSO PROVIDING A SECOND
HIGHER BLOCK TO PROVIDE A
BETTER PRICING OF CLOSER TO
MARGINAL COSTS AND BETTER
PRICING FOR ENERGY EFFICIENCY.
THE AVERAGE RATES 30 YEARS AGO
WERE VERY LOW. THEY WERE
SIGNIFICANTLY BELOW THE MARGIN
. THEY NEEDED A STRONGER PRICE
SIGNAL TO BE ABLE TO PROMOTE
THAT ENERGY EFFICIENCY . THIS
IS NO LONGER THE CASE. THE
RATES HAVE GROWN, AS WELL AS
MANY OTHER CHANGES WITHIN OUR
HOUSING STOCKS AND ENERGY
EFFICIENCY OVER THE LAST 30
YEARS. OUR PROPOSAL TO
TRANSLATE TO A SINGLE ENERGY
CHARGE AND GRADUALLY INCREASE
THE CUSTOMER CHARGE WILL BETTER
SUPPORT MANY OF THOSE
REDESIGNED GOALS WE HAVE BEEN
MAKING . WE MADE THESE CHANGES
SLOWLY OVER TIME TO REALLY HELP
MITIGATE THE IMPACT FOR
CUSTOMERS.
>> IT SEEMS TO ME WITH THE FLAT
RATE YOU ARE STILL GOING TO BE
DISPROPORTIONATELY IMPACTING
LOWER INCOME HOUSEHOLDS .
>> THAT IS AN EXCELLENT
QUESTION. WE DO HAVE A SLIDE
ADDRESSING THAT AS WELL. I WILL
GET TO THAT.
>> OKAY. THE NEXT TWO SLIDES
HELP ILLUSTRATE HOW ARE CHANGES
IN RATE DESIGN OVER TIME ARE
MORE FAIRLY RECOVERING COSTS.
THIS SLIDE SHOWS BOTH THE
ESTIMATED AVERAGE MONTHLY COST
TO SERVE IN THE COST RECOVERY
FOR THREE EXAMPLE CUSTOMERS
WITH DIFFERENT SIZE
CONSUMPTION. THIS IS FOR THE
YEAR 2019. FOR EACH EXAMPLE,
THE COST TO SERVE IS BROKEN OUT
IN COSTS IN BLUE, ENERGY COSTS
IN GREEN, AND DISTRIBUTION
COSTS IN GOLD. THE COST
RECOVERY FOR EACH CUSTOMER IS
BROKEN INTO REVENUE FROM THE
CUSTOMER CHARGE IN BLUE AND
REVENUE FROM THE ENERGY CHARGE
IN GREEN. FOR THE AVERAGE
CUSTOMER IN THE MIDDLE, THE
COST TO SERVE AND TO COST TO
RECOVER ARE PRETTY CLOSE. ONLY
ABOUT A TWO DOLLAR DIFFERENCE.
HOWEVER, IF YOU LOOK AT THE
SMALL CUSTOMER SHOWN ON THE
LEFT , WHERE UNDER COLLECTING
BY $12 A MONTH, AND FOR THE
LARGE CUSTOMER ON THE RIGHT,
WHERE OVER COLLECTING BY $22 A
MONTH. NOW IF WE GO TO THE NEXT
SLIDE, WE WILL SEE WHERE WE ARE
IN 2026. THIS CHART SHOWS THE
PROPOSED RATES FOR 2026 . WHILE
NOT PERFECT, THEY DO A BETTER
JOB OF ALIGNING COSTS WITH
RECOVERY. FOR THE SMALL
CUSTOMER , THE OTHER COLLECTION
IN 2019 OF $12 A DROPPED TO
FOUR DOLLARS, AND FOR THE LARGE
CUSTOMER, THE OVER COLLECTION
OF $22 HAS DROPPED TO $22.
FISHES WE'RE MOVING IN THE
RIGHT DIRECTION IN TERMS OF
COST RECOVERY. THIS SLIDE SHOWS
THE BILL IMPACTS OF THE
PROPOSED RESIDENTIAL RATES FOR
FIVE EXAMPLE CUSTOMERS WITH
DIFFERENT AMOUNTS OF
CONSUMPTION. THE Y AXIS SHOWS
AVERAGE MONTHLY BILL REPRESENT
THE CURRENT 2024 BILL AND THE
GREEN AREA OF THE TOP IS THE
INCREASE FROM THE 2025 RATES
AND THE BLUE AREA IS THE
INCREASE FROM THE 2026 RATES.
FOR EXAMPLE, THE CUSTOMER ON
THE LEFT, WHICH IS LISTED AS AN
APARTMENT WITH GAS HEAT, WILL
HAVE THEIR MONTHLY BILLS
INCREASE BY THREE DOLLARS IN
2025 , AND AN ADDITIONAL THREE
DOLLARS IN 2026. SMALLER USE
CUSTOMERS WILL HAVE A HIGHER
PERCENTAGE INCREASE, BUT MOST
ALL CUSTOMERS WILL HAVE A
MONTHLY BILL INCREASE BETWEEN
THREE DOLLARS AND FIVE DOLLARS
EACH YEAR. IT IS IMPORTANT TO
POINT OUT THE CUSTOMERS
PARTICIPATE IN THE UTILITY
DISCOUNT PROGRAM, WHICH OFFERS
THE 60% DISCOUNT. WE WILL STILL
THAT THEY WILL SEE THEIR BILLS
GO UP BY LESS. MOVING ONTO TIME
AND USE RATES. SOMETHING THE
UTILITY IS EXCITED TO OFFER.
THIS SHOWS THE STRUCTURE OF THE
TIME AND USE ENERGY RATE THAT
WILL BE AVAILABLE TO CUSTOMERS
IN 2025. SOME OF YOU MAY RECALL
THAT THE UTILITY ADOPTED TIME
AND USE RATES FOR 2024, BUT WE
HAVE NOT THE CUSTOMERS ON THEM
AS WE CONTINUE TO WORK ON
GETTING THAT TECHNOLOGY
BACKBONE IN PLACE FOR A
SUCCESSFUL DEPLOYMENT. WE KEPT
THE SAME STRUCTURE THAT WAS
ADOPTED IN 2024, WHICH IS A
THREE PERIOD RATE THAT IS THE
SAME FOR ALL MONTHS OF THE
YEAR. THIS IS AN EXAMPLE FOR
RESIDENTIAL CUSTOMERS. SMALL
AND MEDIUM CUSTOMERS THAT WILL
HAVE THE SAME OVERALL
STRUCTURE, THE RATES WILL JUST
BE SHIFTED DOWN. THE PEAK PRICE
AND ORANGE GOES FROM 5:00 P.M.
TO NINE A COPY HIM AND THE
OFF-PEAK PRICE IN BLUE GOES
FROM MIDNIGHT TO 6:00 A.M. ALL
OTHER HOURS ARE MID-PEAK, WHICH
IS SHOWN IN GOLD. THE PRICE
DIFFERENTIAL IS SIMILAR TO WHAT
WE HAD BEFORE, ABOUT A TWO
TIMES THE PEAK -OFF-PEAK RATIO
AND THE PEAK TO MID-PEAK RATIO
IS ONLY A SMALL DIFFERENTIAL.
THIS PROVIDES A STRONG PRICE
SIGNAL TO SHIFT AS MUCH ENERGY
AS POSSIBLE INTO THOSE LOW-COST
OFFBEAT PERIOD HOURS WITH AN
EXTRA INCENTIVE TO BE ABLE TO
SHIFT DURING PEAK HOURS. FOR
ADDED CONTEXT, THE BLACK LINE
ON THE CHART IS THE DAILY LOAD
SHAPE OF CITY LIGHT LOAD FOR
JANUARY 12. THAT WAS THE DAY WE
HAD THE HIGHEST SYSTEM PEAK IN
OVER 30 YEARS. IT IS ONLY USED
TO SHOW THE RELATIVE SHAPE OF
LOAD ON THE COLDEST WINTER
DAYS. WE SHOULD ALSO NOTE THAT
SOMETIMES THOSE PEAKS CAN BE
DUAL AS WELL. WE ANTICIPATE
CUSTOMERS WILL BE ELIGIBLE TO
OPT IN AND BE ENROLLED ON-TIME
USE RATES IN MID 2025.
>> -- COUNCILMEMBER, HOPEFULLY
THEY SHOULD HELP ADDRESS YOUR
QUESTION. SOME PEOPLE MAY BE
UNDER THE IMPRESSION THAT LOW
INCOME CUSTOMERS HAVE A MUCH
LOWER CONSUMPTION SO THAT
REDESIGNED WITH A HIGHER FIXED
CHARGE DISPROPORTIONATELY
IMPACT LOW INCOME CUSTOMERS.
THIS IS ACTUALLY NOT THE CASE
AT CITY LIGHT. ON THE CHART ON
THE RIGHT, IT SHOWS THE
>> SHOWS CONSUMPTION BY HOUSING
TYPE AND INCOME. EACH VERTICAL
LINE ON THE X AXIS IS THE
INCOME BRACKET . THE Y AXIS IS
THE AVERAGE DAILY CONSUMPTION
IN KILOWATT HOURS. FOR EACH
INCOME BRACKET, WE SHOW THE
AVERAGE DAILY USE FOR BOTH
SINGLE-FAMILY HOMES AND
APARTMENTS. WITH THE DATA
SHOWING IS THAT THERE IS
ACTUALLY A VERY SLIGHT NEGATIVE
CORRELATION BETWEEN INCOME AND
USE. THE REAL MAJOR TAKE AWAY
HERE IS THAT THERE IS A REAL
WIDE RANGE OF CONSUMPTION AT
ALL INCOME LEVELS. THERE IS
REAL LIMITS TO WHAT REDESIGN
CAN DO TO ACCOMPLISH
AFFORDABILITY. THAT IS WHY THE
MOST EFFICIENT METHODS TO BE
ABLE TO PROVIDE AFFORDABILITY
ARE ROBUST ASSISTANCE PROGRAMS
SUCH AS THE NATION LEADING
UTILITY DISCOUNT PROGRAM, WHICH
OFFERS A 60% DISCOUNT TO
ELIGIBLE CUSTOMERS. ENERGY
EFFICIENCY ALSO HELPS ALL
CUSTOMERS WITH AFFORDABILITY .
CITY LIGHT IS EXTRA FOCUSED ON
FINDING NEW WAYS TO DELIVER
ENERGY EFFICIENCY PROGRAMS TO
LOW INCOME CUSTOMERS, INCLUDING
WEATHERIZATION PROGRAMS. MOVING
ON QUICKLY TO COMMERCIAL
DESIGN. THE CHANGES IN THE
COMMERCIAL RATE DESIGN ARE NOT
QUITE AS EXCITING AS THE
RESIDENTIAL CHANGES. WE ARE
KEEPING THE SAME STRUCTURE IN
PLACE . WHAT WE'RE DOING IS
INCREASING THE BASE SERVICE
CHARGE THAT WE INTRODUCED IN
2023 TO ALL NONRESIDENTIAL
CUSTOMERS, AS WELL AS MOVING
FORWARD WITH THOSE OPT IN TIME
USE RATES FOR SMALL AND MEDIUM
CONSUMERS. FOR THE SAKE OF
TIME, WERE JUST GOING TO SHOW
THE COMMERCIAL RATES IN THE
NEXT TWO SLIDES, BUT WE DID
PROVIDE A COMPREHENSIVE LIST OF
BILL IMPACTS AND TABLES IN THE
APPENDIX FOR ADDITIONAL
REFERENCE. JUST A QUICK
OVERVIEW OF MEDIUM GENERAL
SERVICE AND SMALL GENERAL
SERVICE RATES. THIS IS A GOOD
TIME TO INTRODUCE THE TOPIC OF
NETWORK SERVICE CITY LIGHT HAS
NETWORK SERVICE FOR HIS
DOWNTOWN AREA , WHICH CONSISTS
OF UNDER GROUNDING SERVICE
WHERE EACH BUILDING IS OFF OF
MULTIPLE FEEDERS. THE
REDUNDANCY PROVIDES HIGH
RELIABILITY FOR NETWORK
CUSTOMERS, BUT ALSO COMES AT A
MUCH HIGHER COST . THEREFORE,
WE SPLIT NETWORK CUSTOMERS INTO
THEIR OWN RATE CLASSES FOR
MEDIUM , GENERAL SERVICE
CUSTOMERS WHICH YOU CAN SEE ON
THIS CHART, AND ALSO FOR LARGE
GENERAL SERVICE CUSTOMERS,
WHICH YOU WILL SEE ON THE NEXT
SLIDE. THERE ARE ALSO
RESIDENTIAL AND SMALL GENERAL
SERVICE NETWORK CUSTOMERS, BUT
THEIR LOAD AND THEIR ASSOCIATED
COSTS MAKE UP A VERY SMALL
AMOUNT OF THE NETWORK. SO THEY
DON'T CURRENTLY HAVE SEPARATE
NETWORK RATE CLASSES. NETWORK
CUSTOMERS HAVE BOTH HIGHER
DEMAND AND ENERGY CHARGES.
OVERALL, THEIR AVERAGE RATE OF
ROUGHLY 20% HIGHER THAN
NON-NETWORK CUSTOMERS. AS FOR
THE 2025 AND 2026 RATE CHANGES
FOR SMALL AND GENERAL USE
CUSTOMERS. WHERE INCREASING
THAT CHARGE, FOR MEDIUM
CUSTOMERS, DEMAND CHARGE IS
INCREASED BY JUST A SMALL
AMOUNT, AND THE REST OF THE
REVENUE REQUIREMENT GETS
COLLECTED THROUGH THAT HIGHER
ENERGY CHARGE. FOR HIGH DEMAND,
THE STORY IS SIMILAR TO MEDIUM
CUSTOMERS. RECOVERING MORE OF
THAT CUSTOMER SERVICE COST
THROUGH THE CUSTOMER CHARGE AND
MAKING SMALL CHANGES TO THE
DEMAND CHARGE , THE REST OF THE
REVENUE REQUIREMENT IS
RECOVERED THROUGH ENERGY
CHARGES. LARGE AND HIGH DEMAND
CUSTOMERS ARE ALREADY ON
DEFAULT TIME USE RATES. AND SO,
ONE THING TO NOTE IS THAT WE
MADE A SMALL INCREASE TO THE
DIFFERENTIAL BETWEEN THEIR PEAK
AND OFF-PEAK PRICING TO PROVIDE
A STRONGER PRICE SIGNAL. THIS
RESULTED IN A SMALL DIP IN THE
OFF-PEAK RATE IN 2025. AGAIN,
WE HAVE EXAMPLE BILL IMPACTS
WERE LARGE AND HIGH DEMANDS --
DEMAND CUSTOMERS IN THE
APPENDIX. WE WEREN'T GOING TO
WALK THROUGH ALL THE BILL
IMPACTS OF NONRESIDENTIAL
CUSTOMERS, BUT I WILL SLOWLY
SCHOOL -- SCROLL THROUGH FOR
YOU TO SEE FOR REFERENCE. THAT
IS ALL THE CONTENT TODAY. IN
CLOSING, THESE RATES RECOVER
THE REVENUE REQUIREMENT THAT
WAS OUTLINED IN THE ADOPTED
2025 AND 2026 -- THROUGH 2030
STRATEGIC PLAN. IN ADDITION,
THE RATE DESIGN CHANGES WE ARE
MAKING HELP TO TRANSITION INTO
MORE DYNAMIC RATE DESIGN
OPTIONS FOR THE FUTURE. THE
INDUSTRY IS CHANGING RAPIDLY,
AND REDESIGN WILL BE
INCREASINGLY IMPORTANT TO HELP
KEEP ENERGY COSTS DOWN FOR
CUSTOMERS.
>> THANK YOU. THAT WAS A LOT.
COLLEAGUES, I WANT TO LET YOU
KNOW WE'RE NOT VOTING ON THIS
TODAY. I BELIEVE WE WILL GET
FURTHER BRIEFINGS . THEY WILL
BE AVAILABLE FOR QUESTIONS FOR
THE NEW -- NEXT TWO WEEKS. AND
SO, DOES ANYONE HAVE ANY
QUESTIONS? COUNCILMEMBER
STRAUSS.
>> AGAIN, IF SOMEBODY ELSE
WANTS TO GO FIRST. IF WE COULD
GO BACK TO SLIDE 14 . JUST SOME
OBSERVATIONS. THAT I WOULD LOVE
TO MEET WITH YOU AND GET INTO
THIS DEEPER. THIS IS WHAT WE
ARE TAKING REALLY LARGE STEP
BACKWARDS AT A MUCH HIGHER
LEVEL BEYOND JUSTICE POLICY. A
TRAJECTORY THAT WE HAVE BEEN ON
AT CITY LIGHT IS GETTING TO
TIME OF USE RATES. WE KNOW THAT
WHEN THE GRID IS AT FULL
CAPACITY WHEN EVERYONE IS USING
ELECTRICITY, WE HAVE TO GO BY
IT, WHICH IS MORE EXPENSIVE,
AND ACTUALLY COSTS OUR
CUSTOMERS MORE IN THE LONG RUN
AS COMPARED TO, WELL, USING IT
WHEN IT IS NOT ON PEAK. WITH
THE BATTERY TECHNOLOGY COMING
ONLINE AND MORE SMART
TECHNOLOGY, WHETHER IT IS WATER
HEATERS OR DISHWASHERS OR
WHATEVER TYPE OF ELECTRICAL
MECHANISM YOU CAN PROGRAM TO
OPERATE AT A CERTAIN TIME OF
DAY, WE ARE ABLE TO FLATTEN
THAT LOAD DEMAND THAT WOULD
INCUR. AND SO, TO GET TO TIME
OF USE RATES, WE HAVE TO SUNSET
THE POLICY FROM 30 YEARS AGO,
BECAUSE A POLICY FROM 30 YEARS
AGO SETS UP A TWO TARIFF COST
SYSTEM WITHIN THE SAME BRACKET.
IF WE ARE HAVING BOTH OF THOSE
THINGS AT THE SAME TIME, IT IS
NOT GOING TO WORK. I KNOW WE'RE
STILL A YEAR AWAY FROM BEING
ABLE TO USE TIME OF USE RATES
TO OPT IN, TWO YEARS TO OPT
OUT. THAT IS THE POINT I WAS
TRYING TO MAKE HERE. THIS IS AN
IMPORTANT STEP ALONG THE WAY IN
THE PROCESS WE HAVE BEEN ON FOR
A LONG TIME. IF YOU WANT TO GO
TO SLIDE 10, I THINK THAT
EXEMPLIFIES THIS BETTER. IF WE
WERE TRYING TO USE THOSE TIME
OF USE RATES WHERE WE SAW THE
THREE DIFFERENT BUCKETS, IF YOU
WILL, AND THEN WE HAD THE
SECOND BLOCK AND FIRST BLOCK ON
HERE, IT WOULD CREATE A REALLY
UNEVEN AND CUMBERSOME SYSTEM
THAT WOULD BE EVEN LESS
EQUITABLE AND LESS FORWARD
THINKING. AND SO, I'M REALLY
EXCITED ABOUT THIS. I'VE A LOT
MORE GEEK QUESTIONS I WILL TAKE
OUR TIME HERE TO GET INTO THAT.
BUT REALLY EXCITED ABOUT THIS.
TIME OF USE WILL BE REALLY
IMPORTANT FOR US TO SHIFT OUR
LOAD AND SAVE US MONEY AND BE
MORE EFFICIENT WITH OUR ENERGY
CONSUMPTION USE. THANK YOU.
>> -- IF YOU WANT TO COMMENT ON
THAT, PLEASE DO.
>> THANK YOU. I JUST WANTED TO
GO BACK TO SLIDE 14. WE HAVE AN
AWESOME AUDIENCE HERE TODAY OF
PEOPLE WERE GOING TO BE LEADING
OUR CITY AT SOME POINT IN THE
NOT-TOO-DISTANT FUTURE. I
WANTED TO TAKE THE OPPORTUNITY
TO USE THIS EXAMPLE MAYBE TO
HELP EXPLAIN TO OUR PUBLIC
WHERE WE ARE HEADED WITH TIME
OF USE. IF WE LOOK AT THIS
GRAPH, IT IS REALLY A FULL DAY.
A FULL 24 HOURS. AT THE LEFT WE
START AT 6:00 A.M., AND ON THE
RIGHT WE END AT 6:00 P.M. --
6:00 A.M. WITH THE BLACK LINE
SHOWS IS HOW A NORMAL HOUSEHOLD
USES ITS ENERGY. YOU ARE ASLEEP
FROM MIDNIGHT UNTIL 6:00 ,
UNLESS YOU ARE TEXTING IN BED,
YOU ARE AWOKEN AT 6:00 A.M. ,
OR MAYBE EARLIER TO GET READY
FOR SCHOOL. AND YOU START
TAKING A SHOWER AND BLOW DRY
YOUR HAIR AND TURNING ON YOUR
LIGHTS AND MAKING TOAST AND ALL
THAT USES ELECTRICITY. THAT
BUILDS UP OR GO TO SCHOOL AND
GO TO WORK, NOW THE BUSINESSES
OR SCHOOLS ARE TURNING ON THEIR
LIGHTS, USING THEIR ENERGY.
THEN WHAT HAPPENS IS THAT,
AROUND 5:00, PARENTS COME HOME
, AFTER SCHOOL ACTIVITIES AND
MAC. EVERYONE COMES HOME, AND
YOU REALLY START USING A TON OF
ENERGY. THAT CURVE GOES WAY UP.
WASHING AND DRYING CLOTHES,
MAKING DINNER, BUBBLY YOUR
PARENTS ARE DOING THAT, BUT YOU
ARE USING A MICROWAVE. AS WE
ALL START GOING TO BED, THAT
USAGE GOES DOWN. WHAT HAPPENS
IS, WHEN WE GET HOME FROM WORK
OR SCHOOL, WE EITHER TURN ON
THE HEAT OR THE AIR
CONDITIONING IF IT IS IN THE
SUMMER. WE DON'T HAVE ENOUGH
ENERGY IN OUR SYSTEM TO SERVE
THAT. SO WE HAVE TO GO BUY IT
OFF THE ENERGY MARKET. THAT
COSTS A TON OF MONEY. THAT
COSTS EVERYONE. WHAT WE WANT TO
DO WITH THIS TIME OF USE RATE
IS DRIVE PEOPLE TO USE LESS
ENERGY IN THAT PEAK TIME SO WE
DON'T HAVE TO SPEND THE MONEY
TO DO THAT. IT WORKS ACROSS ALL
INCOME CLASSES . IT WAS REALLY
A SURPRISE TO ME WHEN WE RAN
THE INFORMATION FOR SLIDE 15.
WE FOUND OUT THAT LOWER INCOME
PEOPLE TEND TO USE MORE ENERGY
, PROBABLY BECAUSE WHERE THEY
LIVE IT IS LESS EFFICIENT . WE
WANT TO DESIGN AND CONTINUE TO
UTILIZE OUR PROGRAMS TO HELP
INCREASE HOUSEHOLD EFFICIENCY,
AND WE ALSO WANT TO CHANGE
BEHAVIOR AT EVERY INCOME LEVEL
TO HELP US SAVE MONEY. AND HELP
OUR CUSTOMERS SAVE MONEY. I
HOPE THAT MIGHT HELP. THE ONLY
OTHER THING I WILL DO IS PUT IN
A QUICK PLUG FOR HOW COOL IT IS
TO WORK AT THE UTILITY . IF YOU
WANT TO WORK OUTSIDE, WE HAVE A
JOB FOR THAT. IF YOU LOVE MATH,
WE HAVE A JOB FOR THAT. IF YOU
LIKE TO MAKE VIDEOS TO DO
COMMUNICATIONS, WE HAVE A JOB
FOR THAT. I'M JUST POINTING
THAT OUT. THANK YOU.
>> CHAIR, MAY I CONTINUE THAT
CONVERSATION? I WILL TAKE THAT
A STEP FURTHER FROM THE LAST
PRESENTATION WITH THE CEO. WHEN
WE ARE MOVING INTO THE NEXT
DECADE WITH SO MUCH MORE
ELECTRICAL VEHICLES ON THE
ROADS, IF EVERYONE IS CHARGING
THOSE VEHICLES DURING THE
DAYTIME, IT IS GOING TO BLOW
THIS CURVE OUT OF THE WATER.
THAT IS WHY WE NEED TO
INCENTIVIZE PEOPLE IF THEY WANT
TO HAVE A CHEAPER DRIVE TO WORK
TO CHARGE THAT VEHICLE AT
NIGHT, FLATTEN THAT CURVE. WILL
ALSO ADD BETWEEN THE 5:00 AND
9:00, WE HAVE THE SECOND SHIFT
OF ALMOST EVERY INDUSTRY COMING
ONLINE. SO AS FOLKS ARE GOING
HOME FROM SCHOOL OR WORK, THERE
IS A SECOND SHIFT COMING BACK
IN. SO THE FOLKS THAT CLEAN THE
CITY HALL, THE FOLKS THAT ARE
MAKING SURE OPERATIONS ARE
STILL OCCURRING. THAT
CONTRIBUTES TO THE SECOND SPIKE
. SO MUCH GOING ON. WHAT IS
REALLY CRITICAL ABOUT THIS IS ,
IN THE LAST PRESENTATION, THAT
FORWARD-LOOKING POSITION OF HOW
MUCH ELECTRICITY WE ARE USING,
WE WOULD BE IN A LOT OF TROUBLE
IF WE DON'T HAVE THIS TIME OF
USE RATE.
>> CORRECT. THANK YOU. I WILL
ALSO PUT IN A PLUG THAT THE
UTILITY SEEMS LIKE A REALLY
COOL PLACE TO WORK. LOOK AT
WHAT MICHAEL DID IN THE LAST
PRESENTATION. HE WAS ABLE TO
DISTILL VERY COMPLICATED
INFORMATION IN A PRETTY SIMPLE
AND STRAIGHTFORWARD WAY. BUT
THAT TAKES A LOT OF
INTELLIGENCE TO BE ABLE TO DO
THAT. CHAIR, I AM DONE.
>> THANK YOU. ANY OTHER
QUESTIONS OR COMMENTS? I HAVE A
LOT OF QUESTIONS, BUT I WILL
REACH OUT FOR ADDITIONAL
BRIEFINGS AND EMAILS . THANK
YOU SO MUCH FOR BEING HERE. I
LOOK FORWARD TO SEEING YOU NEXT
COMMITTEE. THANK YOU EVERYONE
FOR THIS DISCUSSION. SO --
THANK YOU. I WOULD LIKE TO PUT
IN A PLUG FOR CITY HALL
OPPORTUNITIES AS WELL . [
LAUGHTER ] PLEASE STICK AROUND.
WE WOULD LOVE TO ANSWER ANY
QUESTIONS YOU HAVE REGARDING
WORKING HERE. WE HAVE REACHED
THE END OF TODAY'S AGENDA. ANY
FURTHER BUSINESS TO COME BEFORE
THE COMMITTEE BEFORE WE
ADJOURN? HEARING NO FURTHER
BUSINESS . THE TIME IS NOW
11:18. WE ARE ADJOURNS. THANK
YOU.