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Senator Dave Min sent letters to the Cities of Irvine and Huntington Beach, which he represents, regarding their potential financial exposures to the Orange County Power Authority (OCPA). The OCPA is a Joint Powers Authority established by Irvine and Huntington Beach to provide Community Choice Energy to residents of those areas.
While Community Choice Energy has had a long and successful track record in California, OCPA has faced major questions about its internal business practices since its inception, which culminated in a highly critical Orange County Grand Jury report released in July. In response to this grand jury report, Senator Min and several of his legislative colleagues requested an audit of the OCPA by the Joint Legislative Audit Committee. While the results of that audit are still pending, last week, the Orange County Board of Supervisors voted to withdraw from the OCPA, in a move that could cost taxpayers an estimated $65 million and which leaves the OCPA on potentially shaky ground.
In his letters to Huntington Beach and Irvine, Senator Min requested that the Cities provide information that they may have prepared or received which might provide a better understanding of the potential liabilities these cities may face as a result of their involvement with OCPA.
“Community Choice Energy programs have had a long and proud history of empowering consumers and helping to move California forward in our efforts to create a green energy economy,” Min said. “Unfortunately, throughout its short history, the Orange County Power Authority has been plagued with serious concerns about its executive leadership, transparency, and its finances. As a representative of Huntington Beach and Irvine, I sent letters to these cities earlier today because I believe it is imperative that we understand the financial risks that these cities bear from their membership in OCPA, especially with the OC Board of Supervisors decision last week to withdraw from the program.”