City Council Votes Monday on Terminating 40-Year Contract with Coal-Fired Intermountain Power Agency

Published : Monday, October 29, 2018 | 4:59 AM

The City Council is also expected to ratify on Monday a decision by the City Manager to inform the Intermountain Power Agency in Delta, Utah that the City is terminating its 40-year power supply contract with them, based on several “economic and environmental considerations,” including the fact that continuing to be within the contract does not meet the greenhouse gas emission reduction requirements imposed by the state.

The City Council’s Municipal Services Committee is supporting the action, after analysis by Pasadena Water and Power showed a renewal project in which the Intermountain Power Agency’s coal-fired plants would be converted to natural gas-fired plants is not an “economic resource choice.”

Pasadena’s contract with the IPA expires on June 15, 2027. Under the current agreement, the IPA’s coal plants are to be replaced with new natural gas fired plants by 2025 as part of renewal project. Once the new natural gas power plants are operational, the existing coal plants will be shut down and all current project participants, including PWP, will be obligated to take energy from the renewal project through the 2027 expiration of the agreement.

In recommending termination of the contract, PWP said it would be in the City’s best interest to terminate its participation in the renewal project, since the termination is in support of the City Council Strategic Planning Goals, Pasadena’s Climate Action Plan, the Urban Environmental Accords, and the General Plan, in reducing greenhouse gas emissions by reducing the City’s commitment to the future use of fossil fuel powered electric generation resources.

PWP also cited Senate Bill 100, signed into law on September 10, which establishes a statewide policy goal to achieve a 100 percent carbon-free power resource supply for California by 2045.

Also on Monday, the City Manager will formally present final amendments to the General Fee Schedule for fiscal year 2019 which now includes commercial cannabis fees, as well as a final list of Pasadena’s projects covered by the Measure M multi-year subregional transportation program that will be reviewed by the Arroyo Verdugo Communities Joint Powers Authority before being submitted to Metro.

The list is required according to the expenditure plan of Measure M funding. The City of Pasadena earlier joined the Arroyo Verdugo Communities Joint Powers Authority for the purpose of receiving the funds.

The City Council meeting Monday begins with a closed session at 5:30 p.m. and proceeds to the public meeting at 6:30 p.m. at the City Council chamber, Room S249 at City Hall.

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