SCE Cool Center Program Low Income Oversight Board May 2, 2006

Purpose of Cool Center Program The purpose of the Cool Centers is to provide to low-income, seniors, and disabled residents an alternative to running their refrigerated air- conditioning system by providing a safe, cool place where they can gather during the hot summer months. The Cool Centers also provide a place for the target population to learn about low-income and energy efficiency programs, energy conservation, and other available community programs.

2001 Cool Center Program In the Spring of 2001, a task force of CBOs from San Bernardino and Riverside Counties forwarded to the CPUC (Commissioner Wood) four unsolicited proposals to establish 29 Cool Center sites within the Inland Empire Advice Filing 1563-E authorized SCE to utilize SBX1_5 funds to establish cool centers. SCE negotiated contracts and began operations in July 2001 SCE contracted with four CBOs and established sites in Barstow (2), Newberry Springs, Victorville (2), Adelanto, Hesperia, Palm Springs, Desert Hot Springs, Rubidoux, Highgrove, Beaumont, Moreno Valley, Bloomington, San Bernardino (7), Redlands (2), Fontana, Rancho Cucamonga, Rialto, Blythe, Ripley, and Palo Verde. More than 40,000 participants were served by these centers in 2001 SCE expended $417,355 to operate the 2001 Cool Center Program

2002 Cool Center Program Advice Letter 1636-E authorized continued operation of Cool Centers in 2002 SCE contracted with six CBOs to establish 16 Cool Center sites More than 17,000 participants were served SCE expended $435,528 to operate the 2002 Cool Center Program

2003 Cool Center Program Advice Letter 1728-E-A authorized operation of Cool Centers in 2003 SCE contracted with four CBOs to establish 10 Cool Center sites More than 9,000 participants were served SCE expended $150,541 to operate the 2003 Cool Center Program.

2004 Cool Center Program Advice filing 1806-E established the 2004 Cool Center Program SCE contracted with four CBOs to establish 14 Cool Center sites More than 15,000 participants were served SCE expended $259,363 to operate the 2004 Cool Center Program

2005 Cool Center Funding Request Using an application process for 2005, SCE proposed continuing Cool Center activities in 2005 and filed Application requesting approval of SCE’s program plans, budgets, and ratemaking treatment for the 2005 low-income assistance programs, including LIEE, CARE, and Cool Centers. In D , the Commission reduced SCE’s proposed budget from $475,000 to $95,000. –The following budget categories were eliminated: rent, utilities, insurance, janitorial services, transportation, staffing at cool centers, snacks and beverages, and other overhead costs. –The budget categories eliminated from the proposed 2005 budget were previously permitted by the Commission for the previous years’ Cool Center programs. Cool Center operators could not cover their expenses for operating centers with the new limitations on eligible expense categories

SCE 2006 Cool Center Proposal (Background) D directed SCE and DRA to work with the LIOB, community groups, and others to develop a low cost plan for reviving Cool Centers for the summer of 2006 In an effort to comply with the directives set forth in D , SCE had two meetings with past Cool Center contractors and other interested parties Based on the input received at the meetings, the potential 2006 Cool Center contractors will require funding in the budget categories denied by the Commission in D (e.g. Transportation, staffing, administrative expenses, etc.) SCE has identified 14 possible communities for the 2006 Cool Center Program

Proposed SCE 2006 Cool Center Program SCE’s proposed budget for the 2006 Cool Center program is $452,200 Based on input from CBOs, reconsideration of eligible expense categories is requested SCE proposes Cool Centers operate from June 1, 2006 through October 15, 2006, and that the minimum hours of operation be 10:00 a.m. to 5:00 p.m., Monday through Friday. SCE proposes the establishment of a Cool Center Program Memorandum Account (CCPMA) to record incremental costs associated with implementing the proposed 2006 Cool Center Program. SCE will seek recovery of reasonable expenditures through SCE's April 1, 2007 ERRA application.