This plan of operation and governance has been developed in compliance with 20 Illinois Compiled Statutes 3855/1-92 regarding governmental aggregation of electric service. The statute defines two (2) types of aggregation programs that may be enacted by a governmental entity: opt in aggregation and opt out aggregation. The village of Beach Park ("village") will administer an opt out aggregation program that will automatically include all eligible electric accounts receiving a lower rate than the prevailing ComEd rate from an alternative retail electric supplier ("supplier"). Those customers will be given prior notice entitling them to affirmatively elect not to be part of the program.
The village passed the necessary resolution to place the issue of opt out governmental aggregation of electricity on the April 9, 2013, ballot. The village will follow the plan of operation and governance ("plan") as outlined below. This plan was adopted after two (2) public hearings were held in accordance with 20 Illinois Compiled Statutes 3855/1-92.
The village's aggregation program ("program") seeks to aggregate the retail electric loads of eligible customers located within the village to negotiate the best rates for the generation supply of electric power. With a village population of approximately thirteen thousand five hundred (13,500) the program has the potential to combine residential accounts and small commercial accounts into a buying group that will be attractive to an alternative retail electric supplier ("supplier"). Participation in the program is voluntary. Any individual customer ("member") has the opportunity to decline to be a member of the program and return to the local utility (ComEd) standard offer of service or to enter into a power supply contract with any alternative retail electric supplier.
Residential and small commercial electric customers often lack the ability to effectively negotiate electric supply services. The village's program provides them an opportunity to benefit from professional representation and bargaining power achieved through an aggregation program.
The program is designed to reduce the amount members pay for electric energy and to gain other favorable terms of service. The village will not buy and resell the power to the program members. Instead, the village will competitively bid and negotiate a contract with a supplier to provide firm, full requirements generation service to the members of the program. (Ord. 2013-O-07)