HomeMy WebLinkAbout2725 OMECAORDINANCE NO. 2725
AN ORDINANCE AMENDING ORDINANCE NO. 2724
RELATIVE TO THE CREATION OF AN INTER-
GOVERNMENTAL ENTITY KNOWN AS THE OREGON
MUNICIPAL ENERGY AND CONSERVATION AGENCY
WHEREAS, the City of Ashland (the "City") adopted its
ordinance authorizing the creation of the Oregon Municipal Energy
and Conservation Agency ("OMECA") (collectively, the "Original
Ordinance");
WHEREAS, OMECA will enable our utilities in partnership with
BPA to acquire conservation resources in our communities to the
benefit of our ratepayers;
WHEREAS, the Bonneville Power Administration ("BPA")
continues to be supportive of such cooperative programs and is
ready to begin negotiations with OMECA as soon as possible;
WHEREAS, some additional municipal utilities are still
evaluating whether to participate in OMECA, those utilities who
have ratified formation wish to execute and deliver the revised
intergovernmental cooperation agreement substantially in the form
attached as Exhibit A hereto (the "Agreement") and commence
negotiations with BPA while this opportunity is still available;
THE PEOPLE OF THE CITY OF ASHLAND DO ORDAIN AS FOLLOWS:
Section 1. Effective Date of Aqreement. The Agreement
shall become effective with respect to the City when the
authorized officer of the City has signed the Agreement.
Section 2. Execution and Delivery of Aqreement. The City
Administrator is hereby authorized and directed to execute and
deliver the Agreement in the form attached as Exhibit A hereto
and to take all other actions necessary or desirable to carry out
its provisions.
Section 3. Effect of Ordinance. To the extent inconsistent
with this Ordinance, the Original Ordinance shall be deemed
superseded, supplemented, amended and repealed.
Section 4. Emergency Declared. It being necessary for the
peace, health, and safety and orderly development of the City, an
emergency is hereby declared to exist and this Ordinance shall
PAGE 1-OREGON MUNICIPAL
O R D I NAN C E~p:\ord\OMECA-am.ord)
ENERGY AND CONSERVATION AMENDED
become effective upon its passage by the Council and approval by
the Mayor.
The foregoing ordinance was first READ on the 16th day of
November , 1993, and duly PASSED and ADOPTED this
, 1993.
.... . . ~.
Nan Franklin
City Recorder
SIGNED and APPROVED this
1993.
Approved as to form:
Paul Nolte, City Attorney
· Chair)
Catherine M. ~lden, Mayor (Acting)
PAGE 2-OREGON MUNICIPAL ENERGY AND CONSERVATION AMENDED
ORDI NAN C E(p:\ord\OMECA-am.ord)
EXHIBIT A
INTERGOVERNMENTAL
COOPERATION AGREEMENT
BETWEEN CITY OF ASHLAND, CITY OF FOREST GROVE, CITY OF MILTON-
FRgJa. WATER, CITY OF MONMOUTH AND SPRINGFIELD UTILITY BOARD,
AUTHORIZING JOINT OPERATION AS THE OREGON MUNICIPAL ENERGY
AND CONSERVATION AGENCY.
This Agreement is made and entered into by and among City of Ashland, City of Forest
Grove, City of Milton-Freewater, City of Monmouth and the Springfield Utility Board, all
Oregon municipal corporations (jointly referred to herein as the "Member Utilities").
RECITALS
A. The Member Utilities desire to enter into this Intergovernmental Cooperation
Agreement (the "Agreement") to provide for the creation of an intergovernmental entity to be
known as the Oregon Municipal Energy and Conservation Agency.
B. The Member Utilities acknowledge that they have authority to execute and deliver
this Agreement pursuant to the powers of their respective municipal charters and pursuant to
ORS 225.250 and ORS 190.010.
C. The Member Utilities have authorized the creation of the intergovernmental entity
described herein. These ordinances authorizing such creation are attached hereto as Exhibit A.
NOW, THERF~FORE, the premises being in general as stated in the foregoing recitals,
it is agreed by and between the Member Utilities hereto as follows:
1. Establishment and Duration. Pursuant to ORS Chapter 190, an intergovernmental
entity to be known as the Oregon Municipal Energy and Conservation Agency COMECA") is
hereby established in accordance with the terms of this Agreement. The term of this Agreement
shall be perpetual unless terminated pursuant to Section 16 hereof.
2. Def'mitions. Words, terms and phrases which are not specifically defined in this
Agreement shall have the ordinary meaning ascribed to them in the municipal utility context
unless the context clearly indicates otherwise. When not inconsistent with the context, words
used in the plural number include the singular, and words in the singular include the plural. The
word "shall" is mandatory and not merely directory. Unless the context clearly indicates
otherwise, the following words, terms and phrases shall mean:
"Agreement" means this Intergovernmental Cooperation Agreement entered into by the
Member Utilities.
PAGE 1 - Intergovernmental Cooperation Agreement
"Board" means the Board of Directors of OMECA appointed pursuant to Section 5
hereof.
"Bond Resolution" means the Bond Resolution, if any, of OMECA pursuant to which
OMECA authorizes the issuance of revenue bonds payable solely from revenues received from
BPA.
"BPA" means the United States of America Department of Energy acting by and through
the Bonneville Power Administration.
"Conservation Project Acquisition Agreement" means the Conservation Project
Acquisition Agreement, if any, pursuant to which OMECA agrees to implement certain
Conservation Projects and BPA agrees to acquire certain energy savings from OMECA and to
pay all debt service on any revenue bonds.
"Conservation Projects" means increases in efficiency in electric use, production or
distribution, or the direct application of a renewable resource, which is expected to result in load
reduction.
"Member Utilities" means the municipal utilities set forth on page 1 of this Agreement.
"OMECA" means the Oregon Municipal Energy and Conservation Agency created
pursuant to ORS Chapter 190 and this Agreement.
"TAC" means the Technical Advisory Committee created pursuant to Section 7 hereof.
3. Declaration of Public Purpose. This Agreement is entered into by the Member
Utilities pursuant to ORS Chapter 190 to provide for cooperation in the management, acquisition
and operation of Conservation Projects. This Agreement is designed for the public purpose of
providing a single, centralized entity which can issue non-recourse revenue bonds and coordinate
conservation activities. In particular, this Agreement is entered into to provide for the creation
of OMECA, an intergovernmental entity. It is intended that OMECA will issue tax-exempt
revenue bonds for Conservation Projects payable solely from revenues received from BPA under
the Conservation Project Acquisition Agreement. To the extent that the Member Utilities desire
to expand the purposes of OMECA to include other projects, this Agreement must be specifically
amended pursuant to Section 15 hereof.
4. Powers. OMECA shall have the following powers:
a. To purchase, construct, or acquire Conservation Projects, or any interest
therein;
b. To establish a Board for the acquisition, construction, operation, management,
and control of matters referred to herein;
PAGE 2 - Intergovernmental Cooperation Agreement
c. To adopt bylaws to govern its internal management;
d. To issue, sell or otherwise dispose of bonds, securities, or other forms of
indebtedness for the purpose of carrying out any of the matters permitted by these
powers and to finance all costs of issuance related thereto; and
e. To perform pursuant to ORS 190.003 to ORS 190.250 (the "Act") all powers
pursuant to the Act, applicable charters, ordinances, and state or federal laws,
which are necessary to efficiently operate, maintain, and expand its conservation
projects, including the power to issue revenue bonds under ORS 288.805 to
288.945.
5. Board Membership. The Board shall consist of one representative from each
Member Utility.
6. Terms of Office. Upon the execution of this Agreement, each Creating Member
Utility shall appoint one Board member. The initial term of such Board members shall expire
January 1, 1996. Thereafter, each new Board member shall be appointed by each Member
Utility for a term of two (2) years. Board members may be reappointed to succeeding terms.
7. Technical and Advisory Committee. There is hereby created a Technical
Advisory Committee (TAC) for the review and recommendation of activities, policies, financial
and operational requirements and staff'rag communications with others and governmental
regulation of OMECA.
The TAC membership shall consist of one representative from each Member Utility.
Upon the execution of this Agreement, each Member Utility shall appoint one TAC
member. The initial term of such TAC member shall expire January 1, 1996. Thereafter, each
new TAC member shall be appointed by each Member Utility for a term of two (2) years. TAC
members may be reappointed for succeeding terms.
8. Vacancies and Substitution. Each Member Utility shall have unilateral authority
to fill a vacancy or substitute another person for such Member Utility's Board member or TAC
member position. Any person appointed to fill a vacancy shall serve for the remainder of the
unexpired term. Persons appointed pursuant to this Section 8 may be appointed for a regular
term pursuant to Section 6 hereof.
9. Chair. Vice Chair and Secretary-Treasurer. At the first meeting of the Board,
the Board shall elect a Chair, Vice Chair and Secretary-Treasurer to serve until January 1, 1996.
Thereafter, a Chair, Vice Chair and Secretary-Treasurer shall be elected for a term of two (2)
years.
PAGE 3 - Intergovernmental Cooperation Agreement
10. Conflict of Interest. Board and TAC members shall be public officials subject to
the provisions of ORS Chapter 244. No person shall serve as a member of the Board if a
business with which that person is associated, as def'med in ORS 244.020(2), has any interest
in conservation projects to be undertaken by the OMECA.
11. Meetings/Ouorum. Regular meetings of the Board shall be conducted at such
times as the Board may designate in accordance with Section 17 hereof. The Chair upon his or
her own motion, may, or at the request of two (2) members of the Board, shall, by giving notice
to members of the Board, call a previously unannounced special meeting of the Board for a time
not earlier than twenty-four (24) hours after the notice is given, unless an emergency exists. In
cases of an emergency, notice reasonable under the circumstances shall be given. Two-thirds
(2/3) of the Board shall constitute a quorum. No action will be taken by the Board unless a
majority of the Board approves such action.
12. Description of Assets. There are currently no assets of OMECA. It is
contemplated that OMECA will acquire assets in the form of revenues received from a bond
financing pursuant to a Conservation Project Acquisition Agreement with BPA and a Bond
Resolution.
13. Debts of OMECA. No debts of OMECA shall be incurred without the approval
of the governing bodies of each of the Member Utilities. There are currently no debts of
OMECA. It is anticipated that OMECA will not incur any debts or liabilities under the
Conservation Project Acquisition Agreement or the Bond Resolution with BPA and that BPA will
be solely responsible for the debt service payments on any bonds issued by OMECA.
14. Expenditures. No funds of OMECA shall be expended except upon the vote of
the Board and in furtherance of the purposes of OMECA; provided, however,. that expenditures
within the limitations of the Board approved budget may be made by the Secretary-Treasurer.
Additional authorized signatures shall include the Chair or Vice Chair, in the event the
Secretary-Treasurer is unable to perform. The Board shall institute a system to assure
compliance with Local Budget Law.
15. Withdrawal/Amendment Provisions. The terms of this Agreement may be
amended for any purpose including, without limitation, the addition or deletion of Member
Utilities, and the provision of renewable generation facilities and energy delivery services. Any
such amendment shall be in writing and shall refer specifically to this Agreement and shall be
executed by all of the governing bodies of the Member Utilities.
16. Termination and Dissolution. This Agreement may be terminated at any time by
a unanimous vote of all Member Utilities. Upon approval of termination by the Member
Utilities, the Chair of the Board shall direct that an accounting of assets and liabilities be
conducted and presented to the Board and to the governing bodies of the respective Member
Utilities. The Member Utilities shall thereafter meet and agree upon an equitable distribution
of any assets and liabilities, which may include a reserve account for contingent, unliquidated
PAGE 4 - Intergovernmental Cooperation Agreement
or unforseen liabilities or obligation. If the Member Utilities are unable to agree on the division
of assets and liabilities, the Circuit Court of Marion County. shall have .jurisdiction to decide the
issue.
17. Public Records and Meetings. OMECA shall comply with all applicable
requirements of ORS Chapter 192 concerning public records and public meetings.
18. Compensation, expenses. The members of the Board and TAC shall receive no
compensation for services provided as Board or TAC members except for reimbursement of
actual and necessary travel and other expenses incurred in the performance of their duties.
19. Effective Date: Once two Member Utilities have signed this Agreement, this
Agreement shall be effective immediately with respect to a Member Utility upon such Member
Utility signing this Agreement.
20.
be sent to:
Written Notice Addresses. All written notices required under this Agreement shall
City of Ashland
20 E. Main Street
Ashland, OR 97520
City of Monmouth
151 W. Main
Monmouth, OR 97361
City of Forest Grove
P.O. Box 326
Forest Grove, OR 97116
Springfield Utility Board
P.O. Box 300
Springfield, OR 97477
City of Milton-Freewater
P.O. Box 6
Milton-Freewater, OR 97862
OMECA
1286 Court Street NE
Salem, OR 97301
21. Severability. If any provision of this Agreement shall be held to be invalid, illegal
or unenforceable, such invalidity, illegality or unenforceability shall not affect any other
provisions of this Agreement, but this Agreement shall be construed as if such invalid, i/legal
or unenforceable provisions had never been contained herein.
22. Modification. No modification of this Agreement shall be invalid unless in
writing and signed by the parties hereto.
23. Governing Law. This Agreement shall be construed in accordance with and
governed by the laws of the State of Oregon. Any action regarding this Agreement or the
transactions contemplated hereby shall be brought in an appropriate court in the County of
Marion, Oregon.
PAGE 5 - Intergovernmental Cooperation Agreement
IN WITNESS WHEREOF, the parties have set their hands on the dates shown below.
CITY OF FOREST GROVE
By:
Title:
Date Signed:
CITY OF ASHLAND
Title: ~,.~/. tg~,~.z~.,../,~J cq///t/~
Date Signed: ,',2 - -_:.7.-?.:7
SPRINGFIFJ~D UTILITY BOARD
CITY OF MILTON-FREEWATER
By:
Title:
Date Signed:
CITY OF MONMOUTH
By:
Title:
Date Signed:
By:
Title:
Date Signed:
PAGE 6 - Intergovernmental Cooperation Agreement