San Diego Community Power’s Finance and Risk Management Committee met at the City of Chula Vista Council Chambers on March 19, 2026, voting to recommend a new Rate Stabilization Reserve and to seek founding-member status in the California Community Choice Financing Authority. The session also marked a milestone: Standard & Poor’s awarded the agency an A stable issuer credit rating—an endorsement of its governance, risk management, and financial stewardship.
Lead: The regional energy provider advanced tools to stabilize customer bills and strengthen oversight of major clean‑energy financings, while securing a credit rating that could lower costs for local households.
CEO Karen Burns called the rating “a significant milestone for our organization and a strong external validation of the disciplined financial stewardship,” noting expected benefits in collateral requirements, financing, and contract terms. Interim Treasurer Jeff Spangler reported through December 31, 2025: operating revenues were 0.7% below budget, expenses 10% below, net position a positive $176 million, and 231 days cash on hand—above the 225‑day target. Liquidity totaled $640.3 million in investments plus $227 million in letter‑of‑credit capacity, with $8.2 million in FY26 investment income. He also announced a third energy prepay transaction closed that morning, projected to deliver $43.2 million in savings over 10 years.
The proposed Rate Stabilization Reserve would smooth year‑over‑year changes, mitigating market swings and the Power Charge Indifference Adjustment, and offering relief during exogenous shocks. Up to 45 days’ cash on hand (about $12.5 million, roughly 10% of operating revenues) could be designated, with transfers authorized pre–fiscal year end and draws considered during annual rate‑setting—each accompanied by a two‑ to four‑year replenishment plan. “This is a rate smoothing tool,” Spangler said, emphasizing transparency and board governance.
The committee also advanced making Community Power a founding member of “Triple CFA,” securing a board seat over conduit tax‑exempt financings used for clean‑energy prepayments. Spangler noted three completed transactions totaling nearly $2.7 billion and just over $7 million in early 2026 savings. Staff briefed 2026 rate updates ahead of an April 1 SDG&E tariff change, including expanded midday super off‑peak hours and a new medium commercial class.
Public comments urged caution on battery siting, questioned rate levels and audits, and called for stronger guardrails on the reserve. As Community Power grows its regional footprint, the A stable rating and new policies set the stage for converting stronger credit into fairer, more stable bills—testing whether financial discipline can deliver tangible, affordable clean energy across every household.
Context: Municipal energy governance meeting and policy initiatives.
Content creation date: 2026-03-19 15:20:04.

