06-02 Opt-Out Natural Gas Aggregation Program

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Please Substitute for Ordinance No. 6-02 (Placed on 1~ Reading and Referred to the Rules and Ordinances Committee 1/22/02, Placed on 2nd Reading 2/4/02) ORDINANCE NO. 6-02 BY: Corrigan, Dunn, FitzGerald, George, Roth, Seelie, Skindell. AN EMERGENCY ORDINANCE authorizing the Mayor to take all actions necessary to effect a government;al gas aggregation program with opt-out provisions pursuant to Ohio Revised Code §4929.26 and directing the County Board of Elections to submit a ballot q uestion to the electors. WHEREAS, Ohio Revised Code §4929.26 authorizes the City of Lakewood, Ohio to establish an opt-out natural gas aggregation program for the benefit of natural gas consumers within the City; and WHEREAS, governmental aggregation provides an opportunity for natural gas consumers collectively to partidpate in the potential benefits of natural gas deregulation through lower gas rates which they would not otherwise be able to have individually; and WHEREAS, this Council by a vote of at least five (5) members elected thereto determines that this ordinance is an emergency measure, and that this ordinance shall take effect at the eadiest date possible as set forth in ARTZCLE III, SECTONS 10 and 13 of the SECOND AMENDED CHARTER OF THE ~ OF LAKEWOOD, and that it is necessary to provide for the usual daily operation of municipal departments in that this issue must be submitted to the Cuyahoga County Board of Elections no later than February 21, 2002 in order to be placed on the May 7, 2002 ballot. Now, therefore, BE I'F ORDA[NED BY THE C1-FY OF LAKEWOOD, STATE OF OHIO: Section 1. This Coundl finds and determines that it is in the best interest of the City and certain natural gas consumers located within the corporate limits of the City to establish an opt-out natural gas aggregation program (the "Gas Aggregation Program'O in the City. Provided that this Ordinance and the Gas Aggregation Program is approved by the electors of the City pursuant to Section 2 of this Ordinance, the City is hereby authorized to aggregate, in accordance with Ohio Revised Code §4929.26, the retail natural gas loads located within the City. For the Gas Aggregation Program, the City may enter into service agreements to facilitate the sale and purchase of service for retail natural gas loads. The Gas Aggregation Program does not apply to persons meeting any of the following criteria, as more specifically described in Ohio Revised Code §4929.26(A)(2): (i) the person is both a distribution service customer and a mercantile customer, (ii) the person has an existing commodity sales service contract with a retail natural gas supplier, (iii) the person has commodity sales service as part of a retail natural gas aggregation pursuant to rules and orders of the Public Utilities Commission of Ohio, or (iv) such other persons that are not eligible customers pursuant to rules and orders of the Public Utilities Commission of Ohio. Section 2. The Board of Elections of Cuyahoga County is hereby directed to submit the following question to the electors of the City at the primary election on May 7, 2002. Shall the City of Lakewood have the authority to aggregate the retail natural gas loads located in the City and enter into service agreements for the sale and purchase of natural gas, such aggregation to occur automatically except where any person elects to opt out?