Recommendation to authorize City Manager to create a separate line item on gas utility bills for recovery of regulatory costs associated with Assembly Bill 32, the California Global Warming Solutions Act of 2006; and increase appropriations in the Gas Fund (EF 301) in the Long Beach Gas and Oil Department (GO) by $1,500,000.  (Citywide)
Item 31 is a report from Long Beach gas and oil with the recommendation authorize city manager to create a separate line item on gas utility bills for recovery of regulatory costs associated with the California Global Warming Solutions Act of 2006 and increase appropriations in the Oil Department. Motion by Richardson second by Oranga. Any public comment on the item signal? Please cast your vote. Oh, there is a public comment and please. Look until 701 Cedar Avenue. I just had a quick question if you guys could ask this. Does this basically mean that that the moneys would go back to the gas company and that there would be an increase in rates or an increase to recover the subsidy? I know that there is a a global warming tax credit that I got on my energy bill. I'm wondering if that should. Have Mr. Gardner clarify that. What's going to happen is we're required, as of January 1st. To enter into the greenhouse gas program and purchase emission allowances. And so we have to participate in the auction, and we. Estimate that's going to cost about $1.5 million. And then through state law, we're allowed to require to charge that back to the customer so. That they realize the. Cost of that. And so you'll see a line item on your monthly gas bill. We expect it to be about $0.60 per bill. Okay. Thank you. See no other public comment. There's a motion on the floor. Please cast your vote. Motion carries eight votes. Yes. Next item.