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R-15-04RESOLUTION NO. R2015- 4 A RESOLUTION APPROVING A CONTRACT FOR THE PROVISION OF ELECTRICITY FOR THE VILLAGE'S ELECTRICITY AGGREGATION PROGRAM AND AUTHORIZING THE VILLAGE MANAGER TO EXECUTE DOCUMENTATION TO SECURE A FINAL ELECTRICITY PRICE FOR THE PROGRAM WHEREAS, pursuant to Section 1 -92 of the Illinois Power Agency Act, 20 ILCS 3855/1 -92 (Act'), on April 2, 2012, the Village President and Board of Trustees adopted Ordinance No. 0- 12 -13, authorizing the establishment of an opt -out program for the aggregation of electrical loads of residential and small commercial retail customers in the Village ( "Electricity Aggregation Program'j; and WHEREAS, pursuant to Section 1 -92(b) of the Act, on April 2, 2012, the Village President and Board of Trustees adopted Resolution No. R- 12 -07, approving a plan of governance for the Electricity Aggregation Program; and WHEREAS, the Village is a member of the North Shore Electricity Aggregation Consortium ( "Consortium "), an intergovernmental association formed to facilitate the cooperation of its member municipalities toward obtaining the lowest possible electricity rates for their respective residents and small businesses; and WHEREAS, the current contract for the provision of electricity for the Electricity Aggregation Program will expire in May 2015; and WHEREAS, pursuant to the Act, the Consortium sought bids for the award of a new contract for the provision of electricity for the Electricity Aggregation Program ( "Contract'j; and WHEREAS, Integrys Energy Services, Inc., of DePere, Wisconsin ("Integrys"), was the low responsible bidder of the firms that submitted bid packages to the Consortium; and WHEREAS, based upon the pricing schedule in the bid package submitted by Integrys, the Village anticipates that residential and small commercial retail customers within the Village will realize cost savings for electric supply to residential and small commercial retail customers; and WHEREAS, pursuant to the terms of the Contract, Integrys, the Village, and the other members of the Consortium will, on a daily basis, monitor the electricity market to identify and establish a final price for the electricity to be supplied to the Electricity Aggregation Program; and WHEREAS, the Village and the other members of the Consortium expect that the daily market price quotes will result in a final electricity price for the Electricity Aggregation Program that is deemed to be advantageous to the residents and small businesses within the Village and the other municipalities of the Consortium; and WHEREAS, in order to preserve the ability of the Village to establish a final electricity price for the Electricity Aggregation Program at as low a price as practicable, the Village President and Board of Trustees have determined that it will serve and be in the best interests of the Village to: (i) approve the Contract between the Village and Integrys; and (ii) authorize the Village Manager to execute, on behalf of the Village, all documentation necessary to secure a final electricity price for the Electricity Aggregation Program, in accordance with the terms of the Contract; NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE VILLAGE OF DEERFIELD, LAKE AND COOK COUNTY, ILLINOIS, as follows: Section 1. Recitals. The foregoing recitals are incorporated into, and made a part of, this Resolution as the findings of the President and Board of Trustees of the Village. Section 2. Approval of Contract. The Contract by and between the Village and Integrys is hereby approved in substantially the form attached to this Resolution as Exhibit A, and in final form approved by the Village Manager and the Village Attorney. Section 3. Execution of Contract. The Village Manager and the Deputy Village Clerk are hereby authorized and directed to execute and attest, on behalf of the Village, the Contract upon receipt by the Village Clerk of at least one original copy of the Contract executed by Integrys; provided, however, that if the executed copy of the Contract is not received by the Village Clerk within 30 days after the effective date of this Resolution, then this authority to execute and attest will, at the option of the President and Board of Trustees, be null and void. Section 4. Authorization to Execute Documentation. A. The President and Board of Trustees hereby authorize the Village Manager to execute, on behalf of the Village, all documentation necessary for the establishment of a final electricity price, for a term of not more than 24 months, for the Electricity Aggregation Program, in accordance with and pursuant to the Contract, and in cooperation with the Consortium and Integrys. B. This Resolution is not to be deemed or interpreted as obligating the Village Manager to execute any documentation related to the establishment of a final electricity price for the Electricity Aggregation Program. In the event that the Village Manager determines, in his discretion and in cooperation with the Consortium, that, on any given day, the daily market price quotes for any term of not more than 24 months are not favorable to the Village, then the Village Manager is hereby authorized to reject such quotes on behalf of the Village. Section 5. Effective Date. This Resolution will be in full force and effect from and after its passage and approval as provided by law. [SIGNATURE PAGE FOLLOWS] PASSED this 7 6th day of Ma rr h 2015, by vote of the Board of Trustees of the Village of Deerfield, as follows: AYES: Benton, Farkas, Jester, Nadler, Seiden, Struthers NAYS: None ABSTAIN: None ABSENT: None APPROVED this 16th day of March 2015. i Village President ATTEST: Village ClIerk I POWER SUPPLY AGREEMENT By and Between The Village of Deerfield and Integrys Energy Services, Inc. This Power Supply Agreement is entered into as of this 16th day of March, 2015 ( "Agreement'), by and between the Village of Deerfield ( "Village'), an Illinois municipal corporation, and Integrys Energy Services, Inc. ( "Vendor'), a W i s c o n s i n corporation with an office located at 20 N. Wacker Drive, Suite 2100, Chicago, IL 60606. Vendor and the Village of Deerfield are sometimes hereinafter referred to individually as a "Party' or collectively as the "Parties ". WITNESSETH WHEREAS, Section 1 -92 of the Illinois Power Agency Act, 20 ILCS 385511 -92 ( "Act'), authorizes the corporate authorities of a municipality to establish a program to aggregate electrical loads of residential and small commercial retail customers and to solicit bids and enter into service agreements to facilitate the sale and purchase of electricity and related services and equipment for those electrical loads; and WHEREAS, pursuant to the Act, municipalities may, if authorized by referendum, operate an Electricity Aggregation Program as an "opt -out" program that applies to all residential and small commercial retail electrical customers who do not affirmatively choose not to participate; and WHEREAS, the Village is a member of the North Shore Electricity Aggregation Consortium, which includes the Villages of Deerfield, Glencoe, Lake Bluff, Northbrook, and Skokie, and the Cities of Highland Park, Lake Forest and Park Ridge ( "Consortium "), which Consortium was established pursuant to Article VII, Section 10 of the Illinois Constitution of 1970, the Intergovernmental Cooperation Action, 5 ILCS 220/1 et seq., and Section 1 -92 of the Act, 20 ILCS 3855/1 -92 to facilitate joint action and intergovernmental cooperation concerning the Aggregation; and WHEREAS, on March 20, 2012, the voters of the Village approved a referendum to authorize the operation of a Program as an "opt -out" program pursuant to the Act; and WHEREAS, although each member of the Consortium will operate a separate Electricity Aggregation Program for its residents, the Consortium members collectively determined that combining the bidding and contracting process to obtain the supply of electric power for each Consortium member's Aggregation could provide potential savings through a joint project bid ( "Joint Power Supply Bid'); and WHEREAS, the Joint Power Supply Bid was issued on November 3, 2014; and WHEREAS, Vendor is an AIRES registered with and certified by the ICC and was identified as the lowest responsible bidder pursuant to the Joint Power Supply Bid; and WHEREAS, the Village has selected Vendor as the supplier for the Aggregation Program; and #34420757_v6 #34420757_v10 WHEREAS, the Village and Vendor desire to establish the rights and obligations of the Parties with respect to aggregating, determining a price for, and supplying electricity to and for the Aggregation Program; NOW, THEREFORE, the Parties, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, agree as follows: ARTICLE 1: RECITALS. The foregoing recitals are, by this reference, fully incorporated into and made part of this Agreement. ARTICLE 2: DEFINITIONS. Whenever used in this Agreement, the following terms shall have the meanings defined below except where the context indicates otherwise: A. "Affiliate" shall mean any person, firm, corporation (including, without limitation, service corporation and professional corporation), partnership (including, without limitation, general partnership, limited partnership and limited liability partnership), limited liability company, joint venture, business trust, association or other entity that now or in the future directly or indirectly controls, is controlled by, or is under common control with Vendor. B. "Act" shall refer to the Illinois Power Agency Act, 20 ILCS 3855/1 -1 et seq. C. "Aggregation" or "Municipal Aggregation" shall mean the pooling of residential and small commercial retail electrical loads located within the Village for the purpose of soliciting bids and entering into service agreements to facilitate for those loads the sale and purchase of electricity and related services and equipment, all in accordance with Section 1 -92 of the Act. D. "Aggregation Consultant" or "Consultant" shall refer to Intelligent Power Partners LLC, the independent consultant with demonstrated expertise in electric supply contracting that has been retained by the Consortium to assist with the implementation of each member municipality's Program; or such other independent consultant as may be identified by the Village. E. "Aggregation Member" or "Member" shall mean a residential or small commercial retail electric account properly enrolled in the Aggregation Program. F. "Aggregation Program" or "Program" shall mean the program adopted by the Village pursuant to Section 1 -92 of the Act to provide residential and small commercial customers with retail electric supply. G. "Agreement Term" is defined in Section 3.A of this Agreement. H. "Alternative Retail Electric Supplier" or "ARES" shall mean an entity certified by the [CC to offer electric power or energy for sale, lease or in exchange for other value received to one or more retail customers, or that engages in the delivery or furnishing of electric power or energy to such retail customers, and shall include, without limitation, resellers, aggregators and power marketers but shall not include the Electric Utility or the Aggregation Members. For -2- #34420757_v10 purposes of this Agreement, the definition of Alternative Retail Electric Supplier is more completely set forth in 220 ILCS 5/16- 102. I. "Ancillary Services" shall mean certain necessary services that shall be provided in the generation and delivery of electricity. As defined by the Federal Energy Regulatory Commission, "Ancillary Services" include, without limitation: coordination and scheduling services (load following, energy imbalance service, control of transmission congestion); automatic generation control (load frequency control and the economic dispatch of plants); contractual agreements (loss compensation service); and support of system integrity and security (reactive power, or spinning and operating reserves). J. "Commonwealth Edison" or "ComEd" shall mean the Commonwealth Edison Electric Utility Company as the entity that has a franchise, license, permit or right to distribute, furnish or sell electricity to retail customers within the Village. K. "Consortium" shall mean the North Shore Electricity Aggregation Consortium. L. "Consortium Designee" shall mean the representative of the Consortium who will coordinate the process for execution by each member municipality of a contract price lock for electricity supply for each Municipal Aggregation Program. M. "Default Tariff Rate" is defined as the sum of (i) the ComEd Purchased Electricity Charge and (ii) the PJM Services Charge, for residential customers served under the ICC tariff known as ComEd Rate BES. N. "Effective Date" is defined in the first paragraph on the first page of this Agreement. O. "Electric Utility" shall mean Commonwealth Edison, as the entity that has a franchise, license, permit or right to distribute, furnish or sell electricity to retail customers within the Consortium. P. "Eligible Retail Customer" shall mean a residential and small commercial retail customer of the Electric Utility eligible for participation in the Aggregation Program under the ICC tariff known as ComEd's Rate GAP. Q. "Extended Agreement Term" is defined in Section 3.A of this Agreement. R. "Fixed Commodity Price' is defined in Section 5.E.1 of this Agreement. S. "Fixed Total Price" is defined in Section 5.E.2 of this Agreement. T. "Force Majeure Event" is defined in Section 6.0 of this Agreement. U. `ICC" shall mean the Illinois Commerce Commission as described in 220 ILCS 5/2 -101. V. "Initial Agreement Term" is defined in Section 3.A of this Agreement. W. "Initial Price Lock Term" is defined in Section 5.E of this Agreement. X. "Initial Price Review Period" is defined in Section 5.E.1 of this Agreement. Y. "IL RPS" is defined in Section 5.A.2 of this Agreement. -3- #34420757_v10 Z. "Load" shall mean the total electric energy usage required to serve the residential and small commercial Aggregation Members in the Aggregation Program. AA. "Meter Read Cycle End Date' is defined as the last day of a ComEd electricity meter read cycle. BB. "Meter Read Cycle Start Date' is defined as the first day of a ComEd electricity meter read cycle. CC. "Opt -Out' shall mean the process by which an Eligible Retail Customer who would be included in the Aggregation Program chooses not to participate in the Aggregation Program, and therefore does not become an Aggregation Member. DD. "PIPP" shall mean a Percentage of Income Payment Plan created by the Emergency Assistance Act, 305 ILCS 20 -18, to provide a bill payment assistance program for low - income residential customers. EE. "PJM" shall mean the PJM Interconnection, a regional transmission organization that coordinates the movement of wholesale electricity in all or parts of 13 states and the District of Columbia, including the Commonwealth Edison service territory. FF. "Plan of Operation and Governance" shall mean the Aggregation Plan of Operation and Governance adopted by the Village pursuant to the requirements set forth in Section 1 -92 of the Act, a copy of which is attached to this Agreement as Exhibit G. GG. "Price Lock Term" shall mean the then - applicable Initial Price Lock Term or a Subsequent Price Lock Term. HH. "REC" shall mean Renewable Energy Credits for use in compliance with Illinois Renewable Portfolio Standards or as certifiable under the Green -e National Standard generated during the applicable calendar year, in the last six months of the prior calendar year, or in the first three months of the following calendar year. The RECs shall be retired at the Program level. II. "Regulatory Event' is defined in Section 6.6 of this Agreement. JJ. "Services" is defined in Article 5 of this Agreement. KK. "Small Commercial Retail Customer" shall mean a retail customer that annually consumes 15,000 kilowatt -hours or less of electricity; provided, however, that the definition of Small Commercial Retail Customer shall include such other definition or description as may become required by law or tariff. LL. "Subsequent Price Lock Term" is defined in Section 5.E of this Agreement. MM. "Terms and Conditions" is defined in Section 5.6.3 of this Agreement. NN. "Vendor Margin" shall mean the amount charged by the selected Vendor above the market price for electricity supply, losses, capacity, transmission, renewable portfolio standard costs, and ancillary services, as provided in, and in accordance with, Section 5.F.2 of this Agreement. -4- #34420757_v10 ARTICLE 3: TERM. This Agreement is for an initial term beginning on the Effective Date of this Agreement and ending on the date that is the last Meter Read Cycle End Date for Aggregation Members in May 2017 (the "Initial Agreement Term'), unless terminated early pursuant to Section 5. EA or Article 6 of this Agreement. Notwithstanding the foregoing, the electricity supply to Members by Vendor shall not commence until the meter read identified as the start of the Delivery Period identified in an effective Transaction Confirmation between the Parties, subject to the Electric Utility's confirmation of member enrollment with Vendor. The Parties understand that the Members in the Village's existing Aggregation Program with another ARES may return to the Utility until the start of the Delivery Period identified on the effective Transaction Confirmation between the Parties. The Village and the Vendor may extend the Initial Agreement Term for additional periods of time up to 24 months for each extension, by written agreement approved and executed by each of them (each an "Extended Agreement Term') (the applicable Initial Agreement Term or Extended Agreement Term is the "Agreement Term'J. Nothing in this Article related to the Initial Agreement Term or the possibility of agreement to an Extended Agreement Term may be construed or applied in any manner to create any expectation that any right or authority related to this Agreement granted by the Village to the Vendor shall continue beyond the Initial Agreement Term or an approved Extended Agreement Term. ARTICLE 4: PROGRAM RESPONSIBILITIES. LINE F ..A 1. Customer Information. Vendor and the Village shall cooperate to obtain the Customer Information from ComEd, subject to the limitations on disclosure of the Customer Information established at law, including without limitation the Act, Section 16 -122 of the Public Utilities Act, 220 ILCS 5/16 -102, and Section 2HH of the Consumer Fraud and Deceptive Business Practices Act, 815 ILCS 505/2HH. The Village agrees to request the Customer Information from ComEd not less than twice in each 12 -month rolling period within the Agreement Term. The Vendor agrees to reimburse the Village for all costs incurred by the Village pursuant to this Section 4.A.1, in accordance with Section 5.F of this Agreement. 2. Notices from ComEd. The Village shall promptly forward to the Vendor any notices received by the Village from ComEd concerning the accounts of Aggregation Members. 3. No Village Obligations to Provide Services. The parties acknowledge and agree that the Village is not responsible to provide, and this Agreement shall not be construed to create any responsibility for the Village to provide, the Services to any person or entity, including without limitation the Vendor, ComEd, or any Aggregation Member. 4. No Villaae Financial Responsibilft. The parties acknowledge and agree that this Agreement does not impose or create, and shall not be construed to create, any financial obligation of the Village to any other person or entity, including without limitation Vendor, ComEd, or any Aggregation Member. -5- #34420757_v10 ENNEW • • • • • . Provision of Services. The Vendor shall provide all of the Services described in Article 5 of this Agreement throughout the Agreement Term. The Vendor acknowledges and agrees that the Village is not responsible to provide, and shall not be liable to the Vendor or any Aggregation Member for any failure to provide, any Services pursuant to this Agreement. 2. Compliance with Applicable Law. Vendor shall comply with all applicable law in providing the Services pursuant to this Agreement. 3. Compliance with Plan of Operation and Governance. The Vendor shall provide all services required under this Agreement in accordance and compliance with the Plan of Operation and Governance adopted by the Village. The Parties agree that, as of the date of this Agreement, the Parties read the Agreement and the Plan of Operation and Governance to be consistent and, therefore, Vendor's compliance with this Agreement shall not be viewed as violative of the Plan. In the event the Village seeks to amend the Plan of Operation and Governance, the Village shall first provide notice to the Vendor. In the event Vendor agrees to the proposed amendments: (a) the Village may amend the Plan of Operation and Governance; and (b) the Parties agree to cooperate in good faith to enter into an amendment to this Agreement that is consistent with the amendments to the Plan of Operation and Governance. In the event the Vendor does not agree with the Plan of Operation and Governance changes proposed by the Village and the Village nonetheless amends the Plan of Operation and Governance, the Vendor shall not be obligated to comply with the modified portions of the Plan of Operation and Governance to the extent compliance would result in a material change in Vendor's obligations under this Agreement. ARTICLE 5: VENDOR SERVICES. The Vendor shall supply all of the following services in support of the Program (collectively, the "Services "): A. Electricity Supply. Electricity Suppiv. Vendor shall provide electricity supply sufficient to serve the Load of each Aggregation Member account for which it is ultimately contracted to serve. a. Transmission. Vendor shall acquire, and pay for, all necessary transmission services to serve the Load of each Aggregation Member, including, without limitation, all electric energy costs, PJM congestion charges, PJM capacity charges, PJM network transaction charges, distribution losses, and transmission losses. b. Billing. Vendor shall make all arrangements to ensure that Aggregation Members continue to receive a single monthly bill from ComEd. Additionally, Vendor shall ensure that the following fees continue to be collected and processed by ComEd: monthly payments, late payments, delivery charges and monthly service fee. -6- #34420757_v10 C. Data. Vendor shall maintain a comprehensive and confidential database recording historical account information for Member accounts, and maintain a current list of enrolled accounts, accounts that have opted -out of the Aggregation Program, and accounts that have been added to the Aggregation Program. 2. REC Supply. Vendor shall be capable of providing the REC mix identified on Exhibit A to Members. 3. Delivery Specifications. a. Quality and Measurement. Vendor warrants that all electricity sold and delivered shall be of the specifications required by PJM and ComEd and suitable for delivery to and use by the Members. b. Title. Vendor warrants that it possesses or will possess good marketable title to all electricity sold to the Members, and that such electricity is free from all liens and adverse claims. Specifically, and without limitation of the foregoing, Vendor warrants title up to the delivery point, as identified in Section 5.A.3.c of this Agreement. Title to and risk of loss for the electricity sold hereunder shall pass to the purchasing Member upon delivery at such delivery points. C. Delivery. Vendor shall cause all electricity supplied under this Agreement to be delivered to the ComEd distribution system to secure delivery to the Aggregation Members. B. Program Implementation. Member Service. Vendor shall maintain certain minimum levels of customer service including: a. Program Management and Documentation. Vendor shall follow its standard operating procedures governing Member education, Opt Out notification, customer inquiries, and public outreach regarding the Aggregation Program, as set forth in Exhibit E attached hereto. Vendor shall also cooperate with the Village to communicate to all Members concerning the commencement of Services under this Agreement and the transition thereto from the previous electricity aggregation program implemented by the Village. b. Confidentiality. Vendor shall maintain the confidentiality of customer information pursuant to Article 10 of this Agreement and as required by law. C. Customer Service. Vendor shall assist Aggregation Members with their inquiries. Concerns regarding service reliability should be directed to ComEd, billing questions should be directed to ComEd or the selected, and any unresolved disputes should be directed to the ICC. Inquiries from Aggregation Members should be managed within the following performance parameters: -7- #34420757_v10 i. Telephone Inquiries. Vendor shall maintain a toll -free telephone access line which shall be available to Aggregation Members 24 hours a day, seven days a week. Trained company representatives shall be available to respond to customer telephone inquiries during normal business hours. After normal business hours, the access line may be answered by a service or an automated response system, including an answering machine. Inquiries received after normal business hours shall be responded to by a trained company representative on the next business day. Under normal operating conditions, telephone answer times by a customer representative, including wait time, shall not exceed 30 seconds when the connection is made. If the call needs to be transferred, transfer time shall not exceed 30 seconds. These standards shall be met no less than 90 percent of the time under normal operating conditions, measured on a quarterly basis. ii. Internet and Electronic Mail. Vendor shall establish and maintain a website for the Aggregation Members. The website shall provide basic information concerning the Aggregation program and facilitate customer inquiries by providing a platform for the submission of questions by email or text. Responses to inquiries submitted through the website platform shall be generated within 24 hours. The website shall also include a "price -to- compare" feature through which Aggregation Members may compare the estimated total price (including energy supply, losses, capacity, transmission, renewable portfolio standard costs, and ancillary service costs) available to them through Vendor to the estimated total price available through ComEd, based upon the Member's consumption within the preceding 12 months. iii. Multi - Lingual Services. Vendor shall provide customer service for Members requiring non - English verbal and written assistance. iv. Hearinq Impaired. Vendor shall provide customer service for hearing impaired Members. 2. Enrollments. Vendor shall perform the following Aggregation account enrollment tasks: a. Opt -Out Notifications. Immediately upon the establishment of a Fixed Total Price for the provision of electricity supply for the Initial Price Lock Term, in accordance with Section 5.E.1 of this Agreement, the Vendor shall commence and manage the Opt- Out Notification process under the supervision of the Village and the Consultant, in accordance and compliance with the Plan of Operation and Governance. A single database shall track account enrollment and billing data. b. New Accounts. Vendor shall facilitate the addition of new customer accounts to the Aggregation Program during the term of this -8- #34420757_v10 Agreement. The Village and the Vendor shall cooperate in good faith to identify, not less than once per calendar quarter, potential new customers who have established new electricity service through the Electric Utility in the Village during the preceding calendar quarter, and to inform such potential new customers of the availability of the Aggregation Program. Vendor shall also develop and provide an internet -based platform to facilitate the addition of new customer accounts for such potential new customers. Vendor shall pay all costs of mailings sent to such potential new customers, and all costs of the internet enrollment platform, in support of the requirements set forth in this Section 5.B.2.b. C. Re- Joining the Aggregation Group. Vendor shall assist Aggregation Members that have Opted Out to rejoin at a later date. d. Moving Within the Village and Maintaining the Same Account Number. Vendor shall continue service at the same rate and under the same terms and conditions for any Member who relocates within the Village prior to the expiration of the term of this Agreement, providing that the Member notifies the Vendor of its desire to do so with 30 days' notice. e. Percentage of Income Payment Plan (PIPP). Vendor shall facilitate billing for residents enrolled in the PIPP bill payment assistance program for low- income residential customers. Vendor shall also notify PIPP customers of the consequences of participating in the Aggregation. f. Credit/Deposit Requirements. Collection and credit procedures are to be the responsibility of ComEd, the Vendor, and the individual Member. Members will be required to comply with the payment terms of ComEd and /or the Vendor. The Village is not responsible for late payment or non - payment of any Member account. Neither the Village nor the Vendor shall have a separate credit or deposit policy concerning Member accounts. g. Reliability of Power Supply. The Parties acknowledge that the Program only affects pricing for the generation source of power. ComEd will continue to deliver power through its transmission and distribution systems. Responsibility for maintaining system reliability continues to rest with ComEd. If Members have service reliability problems, they should contact ComEd for repairs. The ICC has established "Minimum Reliability Standards" for all utilities operating distribution systems in Illinois. Member outages, duration of outages, interruptions, etc., are monitored to ensure reliability remains at satisfactory levels. In addition to maintaining the "wires" system, ComEd is required to be the "Provider of Last Resort," meaning that should the Vendor fail for any reason to deliver any or all of the electricity needed to serve the Members' needs, ComEd will immediately provide any supplemental electricity to the Members as may be required. ComEd would then bill -g- #34420757_v10 the Vendor for the power provided on their behalf, and the Members would incur no additional cost therefor. h. Fees Imposition. Neither the Village nor Vendor shall impose any conditions, terms, fees, or charges on any Member served by the Program unless the particular term, condition, fee, or charge, or a possibility of a change in the same, is clearly disclosed to the Member at the time the Members chose not to opt -out of the Program. i. Enrollment and Disenrollment Charges. Vendor shall not assess any fees on Aggregation Members except in accordance with the Plan of Operation of Governance, and as follows: 1. Early Termination Fee. Members may terminate service from the Vendor during an individual Price Lock Term without penalty or fee. 2. Enrollment Fee. For any new Member that joins the Program after the activation of service by the Vendor for the Village during an individual Price Lock Term, the Vendor may charge an enrollment fee only to establish service at a property for which the Vendor had not previously provided service in the preceding 30 days. The Vendor shall not charge any enrollment fee with respect to: (i) any property for which the identity of the Member is changed during an individual Price Lock Term but at which service is interrupted for a period of less than 30 days; or (ii) any Eligible Retail Customer who enrolls at the beginning of any Price Lock Term for that Price Lock Term. Any enrollment fee authorized pursuant to this Paragraph shall not exceed $25. 3. Switching Fee. Members changing residency within the Village, or within any municipality within the Consortium, shall not be assessed early termination or enrollment fees during an individual Price Lock Term. The Vendor shall continue service at the same rate and under the same terms and conditions for any Member who relocates within the Village or within any municipality within the Consortium prior to the expiration of that Price Lock Term, provided that the Member notifies the Vendor of his or her desire to do so with 30 days' notice. Moving within the municipality or within the Consortium may cause the Member to be served for a brief period of time by ComEd. The Vendor shall have the right to bill the Member for any associated switching fee imposed by ComEd. Form Documents. Examples of the opt -out letter and uniform disclosure form to be prepared and provided by Vendor are provided in Exhibit D to this Agreement. -10- #34420757_v10 3. Terms of Service. The terms of service between each Member and Vendor shall be set forth in the agreement between them, substantially in the form attached hereto as Exhibit C ( "Terms and Conditions "). C. Proaram Monitoring. Vendor is responsible for the faithful performance of this Agreement and shall have internal monitoring procedures and processes to ensure compliance, as more fully described in this Section 5.C. 1. Recordina. Vendor shall assist the Village in developing a performance scorecard with conditions, milestones, requirements, or timetables that shall be met before additional steps may be taken or payment is due. The scorecard may additionally record matters related to price, service, quality and other factors deemed important. 2. Cooperation. Vendor shall cooperate with the Village in monitoring and tracking Program activity. This may require Vendor to report progress, problems and proposed resolutions, performance records, allow random inspections of its facilities (upon the provision of not less than 48 hours' advance notice), participate in scheduled meetings and provide management reports as requested by the Village. D. Cooperation at the Conclusion of the Aaareaation. Vendor agrees that it shall cooperate with the Village in the Village's planning and implementation of an aggregation plan that may succeed the Program under this Agreement. In its cooperation, Vendor shall, at a minimum, in a manner consistent with the then - applicable Commonwealth Edison tariff for Government Aggregation Protocols and as required by law, provide the Village the names and addresses and account information for Aggregation Members in electronic format. E. Price. The price for the Services during a specified Price Lock Term shall be the "Fixed Total Price ", as calculated pursuant to Section 5.E.2 of this Agreement, and shall be memorialized in the form of a Transaction Confirmation, all as set forth in Exhibit A. The Fixed Total Price for the applicable Price Lock Term shall be determined in accordance with the following procedure: 1. Determination of Fixed Commodity Price. Beginning on the date that is five business days after the Vendor receives final, verified data from the Electric Utility identifying all Eligible Retail Customers in the Village, and ending on the date on which the Village accepts a Fixed Total Price pursuant to this Section 5.E ( "Initial Price Review Period', the Vendor will provide to the Village and to the Consultant daily fixed price market quotes for electricity supply to serve the Aggregation Members' Load for a period of not less than 12 months, beginning on any date in June, 2015, or such other beginning date as may be designated by the Village ( "Initial Price Lock Term'. The daily market price quotes will detail the unit costs of energy supply, losses, capacity, transmission, renewable portfolio standard costs, and ancillary services (collectively, the "Fixed Commodity Price ") available to the Aggregation Members for all municipalities in the Consortium on that day. The daily Fixed Commodity Price quote will be reviewed by the Consultant to establish whether the pricing is: (i) consistent with market prices and tariffs; and (ii) consistent with the terms of this Agreement. If the daily Fixed Commodity Price quote is deemed unacceptable, the Consortium municipalities -11- #34420757_v10 will not be obligated to accept the Fixed Commodity Price quote. If the daily Fixed Commodity Price quote is deemed acceptable by the Consultant, the Consultant will inform the designees of the Village and the other members of the Consortium of the Fixed Commodity Price and recommend acceptance. If accepted, a representative of the Village and the other members of the Consortium will affirm acceptance to the Vendor of the Fixed Commodity Price quote plus the approved Vendor Margin by email and phone using the attached Exhibit A no later than 2 PM Central Time ( "Daily Acceptance Deadline') on the same day. If acceptance and written affirmation of the acceptance of the Fixed Commodity Price quote is not received by the Daily Acceptance Deadline, then that day's Fixed Commodity Price quote will be deemed to have not been accepted. 2. Calculation of Fixed Total Price. The total per - kilowatt-hour Fixed Total Price for the supply of electricity pursuant to this Agreement shall be the sum of: (a) the Fixed Commodity Price, as determined and approved pursuant to Section 5.E.1 or 5.E.3 of this Agreement, as applicable; (b) the "Pass Through Items ", consisting of the ComEd POR percentage, the ComEd UCB per bill charge, and a per - kilowatt-hour charge in the annual amount, to be determined by the Village and Vendor, sufficient to satisfy the reimbursement obligation for the applicable Price Lock Term, as set forth in Section 5.F of this Agreement; and (c) the Vendor Margin, as set forth in Exhibit A to this Agreement. See Exhibit B attached to this Agreement for a chart identifying and further clarifying the components for calculation of the Fixed Total Price pursuant to this Section 5.E.2. 3. Subsequent Price Lock Terms. a. Upon receipt of two business days' advance written request from the Consultant, the Vendor will provide to the Village and to the Consultant daily Fixed Commodity Price quotes for the period immediately following the then - applicable Price Lock Term, of a duration to be determined by the Village and the Consortium ( "Subsequent Price Lock Term'J, and the Village and the Consortium will either accept or reject such quotes, in the same manner as is set forth in Section 5.E.1 of this Agreement; provided, however, that the Vendor does not guarantee that any Fixed Commodity Price quote accepted pursuant to this Section 5.E.3.b will be equal to or lower than the Default Tariff Rate. b. Upon the acceptance of a quote for a Subsequent Price Lock Term pursuant to this Section 5.E.3, and the calculation of the Fixed Total Price for that Subsequent Price Lock Term pursuant to Section 5.E.2 of this Agreement, the Vendor and the [City/Village) shall cooperate in good faith to notify all Aggregation Members of the Fixed Total Price for the supply of electricity for the applicable Subsequent Price Lock Term. C. In all cases for the Subsequent Price Lock Term process, the Fixed Commodity Price quotes shall be based on the then - current customer base for the entire Consortium program, and executable Fixed Commodity Price quotes will be binding on Vendor only if all -12- #34420757_v10 Consortium municipalities accept the Fixed Commodity Price as outlined in Section 5.E.1 of this Agreement. Notice of the updated Fixed Total Price, once accepted by all Consortium municipalities and as calculated pursuant to Section 5.E.2 of this Agreement, will be transmitted to residents via a joint mailing by Vendor and the Village at the Village's postcard or non - profit standard bulk mail rate, the reasonable and documented direct costs of which will be paid by Vendor. In all cases for each Price Lock Term, if an event occurs that causes any material disruption in market conditions or volatility in quoted wholesale market prices (e.g. extreme weather, war, natural disaster, etc.), then, upon notice to the Village and the Consortium, Vendor may temporarily suspend its obligation to provide Fixed Commodity Price quotes pursuant to this Section 5.E until such conditions abate. 4. Failure to Accept Price. If, at any time during the Agreement Term, the Village and the other members of the Consortium do not accept a Fixed Commodity Price quote for the Initial Price Lock Term or for an upcoming Subsequent Price Lock Term, the Vendor shall take such actions as necessary to return the Aggregation Members to ComEd until such time as the Village and the other members of the Consortium accept a Fixed Commodity Price quote for the applicable Initial Price Lock Term or Subsequent Price Lock Term. Specifically, and without limitation of the foregoing, the Parties acknowledge and agree that, if a Fixed Commodity Price quote for the Initial Price Lock Term is not accepted on or before March 30, 2015, the Aggregation Members will receive electricity supply from ComEd for the period beginning on the first Meter Read Cycle End Date for Aggregation Members in June 2015 until the first available Meter Read Cycle Start Date for the selected Initial Price Lock Term. 5. Price Availability. The Fixed Total Price calculated pursuant to Section 5.E.2 of this Agreement for the Initial Price Lock Term or for a Subsequent Price Lock Term shall be made available to all Members enrolled in the Program, except: (a) any Member that has terminated participation in the Program during the applicable Price Lock Term and then requests a resumption of service through the Program during the same Price Lock Term; and (b) any Member that did not previously participate in the Program in the Village or in any other Consortium municipality and that requests new service at a specific location within the Village at which the Vendor had not previously provided the Services. 6. Fixed Vendor Margin. The Vendor acknowledges and agrees that the amount set forth as the "Vendor Margin' in Exhibit A to this Agreement shall be fixed, and shall not be subject to escalation, throughout the Initial Agreement Term. Change in Tariff or Law. The Parties recognize that Vendor's charges include tariff charges that are set forth by ComEd, transmission provider, regional transmission organization or independent system operator, the Federal Energy Regulatory Commission, and /or any other state or governmental agency having jurisdiction (each an "Authorized Entity "). Vendor may pass through to the Members, without markup as a separate line item or as an price, (i) any increase -13- #34420757_v10 in such tariff charges or (ii) other increase in Vendor's cost to provide electricity that result from an addition to, a change in, or change in interpretation by an Authorized Entity of, or change in administration by an Authorized Entity of, tariffs, operating protocols, laws, regulations, or other requirements of an Authorized Entity, as applicable. Vendor agrees to provide written notice to the Village no less than 15 days prior to the date the Members will begin to see the increase or change on their invoices, which notice to the Village shall detail,: (i) the nature of the increase or change; (ii) the adjustment of the Fixed Total Price for the applicable Price Lock Term necessary to reflect the effect of such increase or change; and (iii) the date on which the price adjustment will become effective for the Program. No such increases or charges shall appear on Members' invoices until such notice is provided. Within 15 days after receipt of the notice described in this Section 5.E.7, the Village shall have the right to request a meeting with the Vendor to review the increase or change, and the price adjustment, identified by the Vendor. The Vendor and the Village shall meet within five business days after delivery of such request to the Vendor, and shall cooperate in good faith to resolve any dispute regarding the price adjustment. Nothing in this Section 5.E.7 shall prevent the price adjustment from becoming effective on Members' bills on the date identified in Vendor's notice to the Village as the date on which the price adjustment would become effective pursuant to Section 5.E.7 of this Agreement. The Vendor shall continue to provide the Services during any such negotiations, unless prohibited by law or regulation. This Section 5.E.7 shall not apply to any fine or penalty assessed against the Vendor as a result of any failure by the Vendor to comply with applicable laws and regulations. F. Reimbursement of Village Costs. Within 90 days after the Effective Date of this Agreement, Vendor shall reimburse the Village for all professional, legal, Consultant, and administrative costs incurred in the amount set forth in the applicable Exhibit A by the Village in connection with the adoption of the Aggregation Program and the negotiation and execution of this Agreement. ARTICLE 6: DEFAULT AND TERMINATION. A. Default and Termination. Upon termination for any reason, this Power Supply Agreement shall be of no further force and effect, except for those obligations that survive termination. The obligations of Vendor and each Aggregation Member set forth in the Terms and Conditions shall survive termination. Notwithstanding the foregoing, at the Village's discretion, in the event that Vendor materially breaches this Agreement, the Village may: (i) provide written notice to the Aggregation Members that a default has occurred and the alternatives each participant has for electric supply (including terminating service with Vendor); and (ii) take such actions as necessary to return the Aggregation Members to ComEd. In the event that Vendor materially breaches this Agreement and the Village deems it appropriate to terminate the Program and return the participants to ComEd, or to any other energy supplier, then: (i) Vendor shall not charge the Aggregation Members for administrative fees associated with early termination, and; (ii) Vendor shall not be liable to Aggregation Members for any damages or penalties resulting from the Village's termination of the Terms and Conditions with each Aggregation Member, including claims related to the price received from -14- #34420757_v10 ComEd or an alternate supplier being higher than the Price determined herein. If no early termination has occurred, this Agreement shall terminate upon the expiration of the Agreement Term. B. Early Termination. This Agreement may be terminated early in the following circumstances: 1. Non - Compliance. If either Party fails to comply with any material term or condition of this Agreement, provided the failure continues without a cure 30 days after written Notice of such failure is provided by one Party to the other. Material terms and conditions include, but are not limited to: A breach of the confidentiality provisions set forth in Article 10 of this Agreement; b. Vendor's disqualification as an AIRES due to a lapse or revocation of any required license or certification required to perform the obligations set forth herein; or C. Any act or omission that constitutes a deception by affirmative statement or practice, or by omission, fraud misrepresentation or a bad faith practice, such as attempting to collect a charge other than the approved rates or other charges set forth in this Agreement or the Terms and Conditions with each Aggregation Member. 2. Reaulatory Event. Definition. The following shall constitute a "Regulatory Event ": 1. Illegality. It becomes unlawful for a Party to perform any obligation under this Agreement due to the adoption of, change in, or change in the interpretation of any applicable law by any judicial or government authority with competent jurisdiction. 2. Adverse Government Action. A regulatory, legislative or judicial body: (A) requires a material change to the terms of this Agreement that materially and adversely affects a Party; (B) takes action that adversely and materially impacts a Party's ability to perform, or requires a delay in the performance of this Agreement that either Party determines to be unreasonable; or (C) orders a change or modification that affects the Program such that either Party's obligations hereunder are materially changed, and the change is not deemed a Force Majeure Event. b. Occurrence of Reaulatory Event. Upon the occurrence of a Regulatory Event, the adversely affected Party shall give notice to the other Party that such event has occurred. Within 30 days, or such other period as the Parties may agree in writing, the Parties shall enter into good faith negotiations to amend or replace this Agreement so that the adversely affected Party is restored as nearly as possible to the -15- #34420757_v10 economic position it would have been in but for the occurrence of the Regulatory Event. If the Parties are unable to agree upon an amendment to this Agreement, within the prescribed time after entering into negotiations, the adversely affected Party shall have the right, upon 10 days prior written notice, to terminate this Agreement. 3. Failure to Schedule and Deliver. The failure of Vendor to schedule electricity supply to ComEd for the Aggregation Members, except as permitted under Force Majeure Events. C. Force Maieure Events. The Vendor shall not be held in default under, or in noncompliance with, the provisions of this Agreement, nor suffer any enforcement or penalty relating to noncompliance or default (including termination, cancellation or revocation of the Franchise), where such noncompliance or alleged defaults occurred or were caused by a "Force Majeure Event," defined as a strike, riot, war, earthquake, flood, tidal wave, unusually severe rain or snow storm, hurricane, tornado or other catastrophic act of nature, labor disputes, governmental, administrative or judicial order or regulation or other event that is reasonably beyond the Vendor's ability to anticipate or control. Specifically, and without limitation of the foregoing, during any Force Majeure Event, the Vendor shall have no obligation to provide daily fixed price quotes pursuant to Section 5.E of this Agreement. Non- compliance or default shall be corrected within a reasonable amount of time after force majeure has ceased. Non - compliance or default shall be corrected within a reasonable amount of time after force majeure has ceased. ARTICLE 7: INDEMNIFICATION, INSURANCE AND LIMITATION OF LIABILITY. A. Indemnification. The Vendor shall indemnify and hold harmless the Village, its officers, employees, agents, and attorneys, from and against any third party injuries, claims, demands, judgments, damages, losses and expenses, including reasonable attorney's fees and costs of suit or defense, arising in the course of the Vendor's provision of the Services. This duty shall survive for all claims made or actions filed within one year following either the expiration or earlier termination of this Agreement. The Village shall give the Vendor timely written notice of its obligation to indemnify and defend the Village after the Village's receipt of a claim or action pursuant to this Section. For purposes of this Section, the word "timely' shall mean within a time period that does not cause prejudice to the respective positions of the Vendor and /or the Village. Nothing herein shall be construed to limit the Vendor's duty to indemnify the Village by reference to the limits of insurance coverage described in this Agreement. B. Insurance. Contemporaneous with the Vendor's execution of this Agreement, the Vendor shall provide certificates of insurance, all with coverages and limits acceptable to the Village, and evidencing at least the minimum insurance coverages and limits as set forth in Exhibit F to this Agreement. For good cause shown, the Village Manager, or his or her designee, may extend the time for submission of the required certificates of insurance upon such terms, and with such assurances of complete and prompt performance, as the Village Manager, or his or her designee, may impose in the exercise of his or her sole discretion. Such certificates shall be in a form acceptable to the Village and from companies with a general rating of A minus, and a financial size category of Class X or better, in Best's Insurance Guide; however, in the alternative, the Vendor may provide such certificates from its captive insurer upon the prior approval of the Village, which approval shall not be -16- #34420757_v10 unreasonably withheld. The Vendor shall, at all times during the term of this Agreement, maintain and keep in force, at the Vendor's expense, the insurance coverages provided above. C. LIABILITY. IN NO EVENT WILL EITHER PARTY BE LIABLE UNDER THIS AGREEMENT TO THE OTHER PARTY, TO A CUSTOMER OR THIRD PARTY FOR ANY INCIDENTAL, INDIRECT, SPECIAL, CONSEQUENTIAL, OR PUNITIVE DAMAGES IN CONNECTION WITH OR ARISING OUT OF ANY PERFORMANCE OR NON- PERFORMANCE OF THIS AGREEMENT OR ANY EVENT OF DEFAULT, REGARDLESS OF WHETHER SUCH CLAIMS ARE BASED UPON BREACH OF WARRANTY, TORT (INCLUDING BUT NOT LIMITED TO NEGLIGENCE OF ANY DEGREE), STRICT LIABILITY, CONTRACT, OPERATION OF LAW, EQUITY OR OTHERWISE. ARTICLE 8: MISCELLANEOUS. A. Entire Agreement. This Agreement, including all Exhibits, constitutes the entire Agreement and understanding between the Parties with respect to the Services. All prior written and verbal agreements and representations with respect to the Services are merged into and superseded by this Agreement. B. Amendment. All amendments or modifications to this Agreement shall be made in writing and signed by both Parties before they become effective. C. Assignment. This Agreement shall not be transferred or assigned by either Party without the express authorization of the other Party, which shall not be unreasonably withheld, provided, however, that upon advance written notice to the Village, Vendor may assign this Agreement to an affiliate without the express authorization of the Village, provided that Vendor remains liable for Vendor's obligations hereunder. D. Notices. Any notices, requests or demands regarding the services provided under this Agreement and the Attachments shall be deemed to be properly given or made (i) if by hand delivery, on the day and at the time on which delivered to the intended recipient at its address set forth in this Agreement; (ii) if sent by U.S. Postal Service mail certified or registered mail, postage prepaid, return receipt requested, addressed to the intended recipient at its address shown below; or (iii) if by Federal Express or other reputable express mail service, on the next business day after delivery to such express service, addressed to the intended recipient at its address set forth in this Agreement. The address of a Party to which notices or other communications shall be mailed may be changed from time to time by giving written notice to the other Party. To Village Assistant to the Village Manager Village of Deerfield 850 Waukegan Road Deerfield, IL 60015 Fax: 847 - 945 -0214 Attn: Andrew S. Lichterman -17- #34420757_v10 To Vendor Integrys Energy Services, Inc. 1716 Lawrence Drive DePere, WI 54115 Attn: Contract Administration With a copy to: Holland & Knight LLP 131 S. Dearborn, 301h fl. Chicago, IL 60603 Fax: (312) 263-3600 Attn: Hart M. Passman With a copy to: Integrys Energy Services, Inc. 20 N. Wacker Drive, Suite 2100 Chicago, IL 60606 Attn; Aggregation Program Manager E. Waivers. The failure of either Party to insist upon strict performance of such requirements or provisions or to exercise any right under this Agreement shall not be construed as a waiver or relinquishment of such requirements, provisions or rights. Nothing in this Agreement shall be construed as a waiver of any rights, substantive or procedural, that the Village may have under Federal or state law unless such waiver is expressly stated herein. F. Aonlicable Law and Choice of Venue. This Agreement shall be governed by, construed and enforced in accordance with the laws of the State of Illinois, without regard to principles of conflict of laws. Except as to any matter within the jurisdiction of the ICC, all judicial actions relating to any interpretation, enforcement, dispute resolution or any other aspect of this Agreement shall be brought in the Circuit Court of the State of Illinois, Lake County, Illinois. Any matter brought pursuant to the jurisdiction of the federal court shall be brought in the United States District Court of the Northern District of Illinois. G. Exhibits. Exhibits A through F attached to this Agreement are, by this reference, incorporated into and made part of this Agreement. H. Controllina Provisions. In the event of any inconsistency between the text of this Agreement and the terms of the Exhibits hereto, the text of this Agreement shall control. I. Severabilitv. Any provision in this Agreement that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of such prohibition or unenforceability without invalidating the remaining provisions or affecting the validity or enforceability of such provision in any other jurisdiction. The non - enforcement of any provision by either Party shall not constitute a waiver of that provision nor shall it affect the enforceability of that provision or the remainder of this Agreement. J. No Third -Party Beneficiaries. Nothing in this Agreement is intended to confer third - party beneficiary status on any person, individual, corporation or member of the public to enforce the terms of this Agreement. K. Validity of Agreement. The parties acknowledge and agree in good faith on the validity of the provisions, terms and conditions of this Agreement, in their entirety, and that the Parties have the power and authority to enter into the provisions, terms, and conditions of this Agreement. L. Authority to Sian Agreement. Vendor warrants to the Village that it is authorized to execute, deliver and perform this Agreement. The individual signing this Agreement on behalf of the Vendor warrants to the Village that he is authorized to execute this Agreement in the name of the Vendor. -18- #34420757_v10 M. Bindina Effect. This Agreement shall inure to the benefit of, and be binding upon, the [City/Village] and the Vendor and their respective successors, grantees, lessees, and assigns throughout the Agreement Term. N. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original, but all of which shall together constitute one instrument. O. Subcontractors. Vendor agrees to employ only those subcontractors that are necessary and are approved in advance by the Village. Subcontractors shall be held to the same strict confidentiality standards applicable to the Vendor, and shall be required to otherwise comply with the requirements of this Agreement. The use of subcontractors whether approved or unapproved shall not relieve the Vendor from the duties, terms and conditions in this Agreement. For purposes of the provision of Renewable Energy Credits pursuant to this Agreement, regional transmission organizations, independent system operators, and local utilities are not considered subcontractors. P. Gas Endorsement Program. The Parties agree to convene within 12 months after the Effective Date to discuss plans for a natural gas endorsement program for the sale of natural gas to residents and property owners of the Village. The Parties acknowledge that the supplier for any such program may be an affiliate of Vendor, as Vendor is not currently licensed to sell natural gas in the State of Illinois. Additionally, any such natural gas program shall be by mutual agreement of the involved parties and shall not involve the use of confidential information provided hereunder. ARTICLE 9: REPRESENTATIONS AND WARRANTIES. A. Mutual Representations and Warranties. Each Party represents and warrants to the other Party, as of the date of this Agreement, that: 1. It is duly organized and validly existing under the laws of the jurisdiction of its organization or incorporation, and if relevant under such laws, in good standing; 2. It has the corporate, governmental and /or other legal capacity, authority and power to execute, deliver and enter into this Agreement and any other related documents, and perform its obligations under this Agreement, and has taken all necessary actions and made all necessary determinations and findings to authorize such execution, delivery and performance; 3. The execution, delivery and performance of this Agreement does not violate or conflict with any law applicable to it, any provision of its constitutional documents, any order or judgment of any court or other agency of government applicable to it or any of its assets or any contractual restriction binding on or affecting it or any of its assets; 4. It has reviewed and understands this Agreement; 5. It shall comply with all federal, state, and local laws, regulations, licensing, and disclosure requirements. 6. It shall maintain the confidentiality of Aggregation members' account information, as required by 815 ILCS 505/2HH; and -19- #34420757_v10 7. It shall not impose any conditions, terms, fees, or charges on any Member served by the Program unless the particular term, condition, fee, or charge is clearly disclosed to the Member at the time the Member enrolls in, or chooses not to opt out of, the Program. B. Additional Representations by the Vendor. The Vendor hereby further represents to Village, as of the date of this Agreement, that: 1. Vendor shall hold any and all subcontractors to the Confidentiality provision set forth below; 2. Vendor shall not compensate the Consultant with respect to the award of this Agreement or the performance of this Agreement; 3. Vendor shall obtain and maintain, for the duration of this Agreement, such proof of insurance detailed herein as the Village deem necessary; 4. Vendor warrants to all Members and to the Village that Vendor has good marketable title to all electricity sold hereunder, and that said electricity is free from all liens and diverse claims; 5. Vendor shall deliver or cause to be delivered all electricity supplied by Vendor to each Member to the delivery point; and 6. Vendor shall maintain all of the qualifications, certifications, approvals, and other authorizations required by law to provide the Services pursuant to this Agreement. ARTICLE 10: CONFIDENTIALITY. Vendor shall preserve the confidentiality of the account information it receives as a result of the performance of its obligations set forth herein. A. Vendor shall not disclose, use, sell or provide customer account information to any person, firm or entity for a purpose outside of the operation of the Program. This provision shall survive the termination of this Agreement. B. Notwithstanding the foregoing, Vendor may disclose confidential account information as required by law, and any such disclosure shall not be a violation of this Agreement. However, such disclosure shall not terminate the obligations of confidentiality. C. Vendor agrees to give the Village prompt notice of any discovery request or order, subpoena, or other legal process requiring disclosure of any confidential account information. D. Vendor shall provide the Village with sufficient advance notice as to give the Village an opportunity, at the Village's discretion and sole cost, to seek to quash the subpoena, obtain a protective order or similar relief. E. Vendor shall furnish only that portion of the confidential account information that is required or necessary in the opinion of Vendor's legal counsel. In addition, Vendor shall use reasonable efforts to obtain reasonable assurances that any account information so disclosed -20- #34420757_v10 will be treated as confidential. All account information shall be returned to the Village at the conclusion of the Services provided to the Aggregation Program, F. Notwithstanding the foregoing, nothing herein shall prevent the use by Vendor of such customer account information for the purpose of communicating with its customers. In addition, nothing herein shall prevent Vendor from using information in the public domain prior to its disclosure under this Agreement. [SIGNATURE PAGE FOLLOWS] -21- #34420757_v10 IN WITNESS WHEREOF, the Parties have duly executed this agreement to be effective on the date first written above. The Parties agree that signatures transmitted by facsimile or attachment to electronic mail transmission are acceptable and binding for execution of this Aggregation Program Agreement. Integrys Energy w Title: VI Ce— pne S je-P ,T Date: ti, 1( ati2\ 311 -zolS #34420757_v10 Village: Signed: Name:elA� Title: IJ�U G �l -fit Date: —'s Ito I S' -22- EXHIBIT A CONSORTIUM MUNICIPAL AGGREGATION SUPPLY PRICING CONFIRMATION QUOTE DATE: <XX >, 2015 i0za FIRMATION This Transaction Confirmation, once fully executed, is a Transaction Confirmation entered into pursuant to the terms of the Power Supply Agreement By and Between The Village of Deerfield and Integrys Energy Services, and forms a part thereof. Vendor and Village agree that the Aggregation shall receive the Fixed Total Price set forth below for the Delivery Period set forth below: Delivery Period: < 2015 through 201_> Fixed Commodity Price: cents per kWh Pass Through Items: ComEd POR %: cents per kWh ComEd UCB Charge: cents per kWh Municipal Reimbursement: cents per kWh Vendor Margin: 0.11 cents per kWh Fixed Total Price: cents per kWh Individualized Renewable Energy Mix (Initial Price Lock Term): cents per kWh The Fixed Total Price does not include utility distribution charges or applicable taxes. Section 5.E.7 of the Agreement applies to all Pricing identified herein. The Municipal Reimbursement shall be $ A duly authorized representative of Village must affirm acceptance of the above Fixed Commodity Price quote by: a) verbally accepting the quote via telephone to Vendor at XXX- XXX-XXXX, and b) by affirming acceptance of the quote in writing by transmitting a fully executed copy of this Transaction Confirmation to: XX.XX @XXX.com. Both verbal acceptance and written affirmation of acceptance of the terms of this Transaction Confirmation must be received by Vendor no later than 2 PM prevailing Central Time ( "Daily Acceptance Deadline') on the Quote Date indicated above. Failure to do so shall cause the Fixed Total Price quote for that Quote Date to lapse and to be of no binding effect. Exhibit A -1 #34420757_v10 Village of Deerfield : I Integrys Energy Services, Inc.: By: By: Name: Name: Title: Exhibit A -2 #34420757_v10 EXHIBIT B PRICE CALCULATION CHART Fixed Commodity Price: cents per kWh - energy supply: _ cents per kWh - losses: cents per kWh - capacity: _ cents per kWh - transmission: _ cents per kWh - renewable portfolio standard costs: _ cents per kWh - ancillary services: _ cents per kWh Pass Through Items: ComEd POR %: cents per kWh ComEd UCB Charge: cents per kWh Municipal Reimbursement: cents per kWh Vendor Margin: cents per kWh Fixed Total Price: cents per kWh Exhibit B -1 #34420757_v10 EXHIBIT C VILLAGE OF DEERFIELD MEMBER TERMS AND CONDITIONS AND UNIFORM DISCLOSURE STATEMENT AUTOMATIC AGGREGATION - Electricity Purchase and Sale Terms and Conditions The Village of Deerfield ( "Municipality "), pursuant to the aggregation authority conferred upon it by , which passed by a majority of the vote on and Ordinance establishing the program, selected Integrys Energy Services, Inc. to supply the aggregation and to administer enrollments as described below. You, the account holder (also referred to as "Buyer") for each account referenced on the letter accompanying these Electricity Purchase and Sale Terms and Conditions (the "Account "), and Seller agree to the following terms and conditions. Seller and Buyer (individually referred to as "Party" and collectively as "Parties ") agree to the following Electricity Purchase and Sale Terms and Conditions ( "Agreement "), as of (the "Effective Date "): 1. Enrollment: a. Opt -Out: Enrollment is automatic for those who are eligible, but participation is voluntary. IF YOU DO NOT WISH TO PARTICIPATE, YOU MUST OPT -OUT BY RETURNING THE POSTCARD POSTMARKED NO LATER THAN [date] OR BY CALLING [PHONE] BY [date]. b. Eligibility: To be eligible for automatic aggregation, Buyer and the Accounts to be served (i) must be located within the Municipality's jurisdictional boundaries, (ii) must be served by Commonwealth Edison (the "Utility ") on a residential or small commercial rate class (0 -100kW or Watt Hour) provided such small commercial account consumes less than 15,000 kWh annually, and (iii) may not be under contract with another competitive supplier, on the Utility's real -time pricing, on bundled hold with the utility, or franchised service with a municipal account. c. Term: This Agreement shall become binding on the Effective Date, provided however, the obligation of Seller to sell and schedule electricity for delivery to Buyer and the obligation of Buyer to purchase, take and pay for electricity is contingent upon: (a) successful enrollment by the Utility identified and (b) if applicable, the passage of the Rescission Period (defined in Section 2) without effective cancellation by Buyer. Successful enrollment by the Utility is dependent upon (i) the eligibility of Buyer's Utility accounts, as set forth above and as determined by the Utility, to take from a retail electric supplier and to participate in the Utility's purchase of receivables program, and (ii) the accuracy and completeness of any information submitted by Buyer. Service will commence on meter read dates in [date] and shall [remain in effect for billing cycles /continue through the [month /year] meter read] ( "Initial Term "), unless terminated pursuant to the terms of this Agreement. 2. Rescission Period: Unless Buyer is already a customer of Seller, Buyer may rescind the Agreement by contacting Seller before Seller submits the enrollment request to the Utility. Buyer may also rescind the Agreement and the pending enrollment within 10 days after the Utility processes the enrollment request by contacting (a) Seller or the Utility, if Buyer is a residential customer or (b) Seller, if Buyer is a small commercial customer. 3. Price: a. Fixed Rate: For the Initial Term, Buyer shall pay the Fixed Rate multiplied by the billing cycle usage for Accounts identified in the letter accompanying this Agreement. Exhibit C -1 #34420757_v10 Through Buyer's meter read, the Fixed Rate is ¢ per kWh. No later than 30 days prior to the meter reads, Seller shall send Buyer notice by postcard, first class mail, or non - profit standard bulk mail rate of any changes to this Agreement and the new Fixed Rate applicable for the meter reads through the end of the Initial Term that will have been negotiated with the Municipality pursuant to the Program Agreement. Both Parties recognize that Seller's charges include tariff charges that are set forth by the Utility, transmission provider, regional transmission organization or independent system operator, the Federal Energy Regulatory Commission, and /or any other state or governmental agency having jurisdiction (each an "Authorized Entity "). Seller may pass through to Buyer, without markup as a separate line item or as an updated Fixed Rate, (i) any increase in such tariff charges or (ii) other increase in Seller's cost to provide electricity that result from an addition to, a change in, or change in interpretation by an Authorized Entity of, or change in administration by an Authorized Entity of, tariffs, operating protocols, laws, regulations, or other requirements of an Authorized Entity, as applicable. b. Switching Fees: While Seller does not charge Buyer a separate fee to switch to Seller's service, if Buyer is currently receiving electricity pursuant to an agreement with an alternative retail electric supplier, that supplier may charge Buyer for switching electricity providers. If the Utility charges a fee for enrolling the Account to Seller's service, Seller will reimburse Buyer for any such fees. 4. Renewal: After the Initial Term, the Seller will take all actions as necessary to return the Buyer to the Utility for further electricity supply, unless either: (a) the Municipality and the Seller extend the Power Supply Agreement under which Seller supplies the aggregation and administers enrollments within the Municipality; or (b) Seller and Buyer enter into a new agreement for the supply of electricity, which new agreement would not be subject to the Municipality's electricity aggregation program. 5. Billing and Payment: Buyer will be invoiced for Seller's charges and the Utility's delivery charges by the Utility on the invoice(s) Buyer receives from the Utility, and such billing and payment shall be subject to the applicable Utility rules regarding billing and payment procedures. Seller's charges or credits not invoiced through the Utility shall be invoiced or credited, respectively, directly by Seller. Seller may cause the Utility to correct previous invoices in the event of invoicing errors. 6. Taxes: Any tax levied against Seller by any governmental entity, exclusive of Seller's income tax or taxes levied on Seller's real or personal property that must be paid by Seller shall be passed through to and borne and reimbursed by Buyer. Buyer must provide Seller with any applicable exemption certificates. Buyer shall pay any such taxes unless Seller is required by law to collect and remit such taxes, in which case Buyer shall reimburse Seller for all amounts so paid. 7. Termination; Remedies: If either Party defaults on its obligations under this Agreement (which may include Buyer's switching to another electric supplier or the Utility or Buyer's failure to pay the Utility), the other Party may terminate this Agreement, as applicable. No termination fees shall apply. In addition, the Municipality may terminate this Agreement on behalf of Buyer in the event that Seller has materially breached the Power Supply Agreement between Seller and the Municipality, provided however Seller shall not be liable to Buyer for any damages or penalties resulting from the Municipality's termination of this Agreement, including claims related to the price received from Utility or an alternate supplier being higher than the Price herein. Seller acknowledges that Buyer may terminate this Agreement at any time without penalty or fee. Exhibit C -2 #34420757_v10 8. Limitations: ALL ELECTRICITY SOLD HEREUNDER IS PROVIDED "AS IS ", AND SELLER EXPRESSLY DISCLAIMS ALL OTHER WARRANTIES, WHETHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR PARTICULAR PURPOSE. IN NO EVENT WILL EITHER PARTY BE LIABLE UNDER THIS AGREEMENT, WHETHER IN AGREEMENT, IN TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY), OR OTHERWISE, FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL, OR PUNITIVE DAMAGES. 9. Force Majeure: Except for Buyer's obligation to pay Seller timely, neither Party shall be liable to the other for failure to perform an obligation if the non - performing Party was prevented from performing due to an event beyond the reasonable control, that could not be remedied by the exercise of due diligence and that was not reasonably foreseeable, including without limitation, acts of God, a condition resulting in the curtailment of electricity supply or interruption or curtailment of transmission on the electric transmission and /or distribution system, interruption of Utility service, terrorist acts or wars, and force majeure events of the Utility or independent system operator. 10. Questions, Complaints and Concerns: Buyer may contact Seller by calling [phone], at Seller's website at www.intearvseneray.com, or by writing to 20 N. Wacker Drive, Ste #2100, Chicago, IL 60606, Attn: Customer Service. For issues concerning this Agreement, Seller will attempt to resolve the matter within five (5) business days after receiving the call or letter. If Buyer is not satisfied with the response, or to obtain consumer education materials, Buyer can contact the Illinois Commerce Commission's Consumer Services Division at 1 -800- 524 -0795 or 1- 800 - 858 -9277 for TTY hearing- impaired customers or visit the Illinois Commerce Commission's website at www.icc.illinois.pov. Buyer may also contact the Illinois Attorney General's Office at 1- 800 - 386 -5438 (Northern Illinois), 1 -800- 243 -0618 (Central Illinois), or 1- 800 - 243 -0607 (Southern Illinois). 11. Miscellaneous: This Agreement shall be governed by and construed in accordance with the laws of the State of Illinois, without regard for the conflicts of law provisions thereof. Title, possession, control of the electricity, and risk of loss will pass from Seller to Buyer at the delivery point, which shall be the Utility. Buyer appoints Seller as its agent for the purposes of effectuating delivery, including for receipt of billing and usage data from the Utility. Subject to regulatory approvals and notice from Seller, Seller may assign this Agreement without Buyer's consent. Buyer may assign this Agreement only with Seller's prior written consent. This Agreement (including without limitation the Account identification) shall be considered a Letter of Agency and constitutes the entire agreement between the Parties, superseding all verbal and written understandings. There are no third party beneficiaries to this Agreement and none are intended. This Agreement shall only be amended in writing signed by both Parties or with Notice from Seller to Buyer as described under Section 4 above. Buyer should contact the Utility in the event of an electric emergency at 1- 800 - Edison -1 (residential) or 1- 877-4-ComEd-1 (commercial). Future correspondence may be sent by Seller to Buyer via first class mail and /or electronic mail. Exhibit C -3 #34420757_v10 UNIFORM DISCLOSURE STATEMENT Seller: Integrys Energy Services, Inc. Utility: ComEd Seller's Contact Information: Physical Address: 20 N. Wacker Drive, Suite 2100, Chicago, IL 60606. Telephone: [ #]. Website: www.integryseneray.com. Illinois Commerce Commission's Consumer Services Division Contact Information: Telephone: 1- 800 - 524 -0795 or 1- 800 - 858 -9277 for TTY hearing- impaired customers. Website: www.icc.illinois.00v. Utility's Contact Information: Telephone: 1- 800 - Edison -1 (residential) or 1- 877- 4- ComEd -1 (commercial). Charges for Electricity Supply: Rate of $[rate] per kWh for service to the Accounts, multiplied by the metered usage. Rate does not include Utility delivery charges or any applicable taxes. Term: Deposit and Switching Fees: None Rescission Period: Unless Buyer is already a customer of Seller, Buyer may rescind the Agreement by contacting Seller before Seller submits the enrollment request to the Utility. Buyer may also rescind the Agreement and the pending enrollment within 10 days after the Utility processes the enrollment request by contacting (a) Seller or the Utility, if Buyer is a residential customer or (b) Seller, if Buyer is a small commercial customer. Savings: Savings are NOT guaranteed. General Disclosures: Integrys is an independent seller of power and energy service, certified by the Illinois Commerce Commission. Integrys does NOT represent or act on behalf of the Utility, governmental bodies (unless the RES has entered into a contractual arrangement with he governmental body and has been authorized by the governmental body to make such statements) or consumer groups. The Utility remains responsible for the delivery of power and nergy to Buyer's premises and will continue to respond to any service calls and emergencies. Switching to Integrys will not impact Buyer's electric service reliability. Buyer will receive written notification from the Utility confirming a switch of Buyer's power and energy supplier. Along with your Agreement, please retain this Uniform Disclosure Statement for you records, as required by 83 III. Adm. Code 412. Please see the Agreement for full details of the transaction. Exhibit C -4 #34420757_v10 EXHIBIT D OPT -OUT LETTER Exhibit D -1 #34420757_v10 0 0 � w C O � �\ �\ C» O7 U2 � | 0 (� 2 D s \ \ §\ E »£ y = 0 \ to to \ § e § t o 2 D 13 I0` Constellation, M, Ceclen Comp,., 12211amar St.. Ste. 750 Houston. TX 77010 -9925 0001V1 e•' — AUTOa'5 -DIGITe0514 Tl P1--- 1ihl.Plii1i1.11.1911.1.1 41qu41hlllrpl.,rrnrn4M "r- <First N Last Name> ,Address s Line 1> Line <Address Line 2> <City> <State> <Zip> Dear <First Name> <Last Name>, Welcome to the <Community. Village of Deerfield Logo> Municipal Aggregation Electricity Program. This notification is in regards to your electric Servkx at < Service Address Line 1> < Service Address Line 2> <Service City >. < Service ST> <Zip> dt.XX >O /kWh <XX> months The Village of Deerfield has selected Constellation Energy Services ( "Constellation ") as the preferred supplier for its Municipal Aggregation Electricity Program in 2015, This includes a <term> program with a fixed rate of - 0LXX>f /kWh for bills received for <Month> <Year> through <Month> <Year>. A 100% renewable energy option is also available at a fixed rate of <X.XX >OAWh for the same term through Constellation's call center only. You're Automatically Enrolled As an eligible Village of Deerfield residenti al or small business customer, you are automatically enrolled unless you decide to opt -out. To learn more about the program. please see the enclosed Terms and Conditions and the FAQ. Who is Constellation? Constellation is a leading electricity supplier within the U.S. to the residential, commercial and industrial marketplace. Constellation is licensed by the Illinois Commerce Commission and has been chosen by the Village of Deerfield asthe alternate retail electric supplier to provide electricity to Village of Deerfield residents and small businesses that are eligible for the program and who do not opt -out. How To Opt -Out You don't need to do anything toget the new low rate, however, if you decide not to take part in the program, please respond in one of three ways by <Month> <Dety>, 2015 asdescribed [below. 1. Mail: Return the form below in the pre- addressed stamped envelope. 2. phone. Call Constellation at 1$44 - 271-9255. TO iCfliRl lROie' 3. Web: Visit constellation.com /il- deerfield. We look forward to this collaboration. ® Call 1 -944- 271 -9255 Sincerely, Visit us online at <Name>.<Title> Bruce Stewart, Chief Marketing Officer ® consteltation.corniffideefield Village of Deerfield Constellation W.ueayou N,m ftduibdffic a.kx e,Eerneil in lhe,eos T.xxtGxcdi "FAQieerls.faskl tunErerpServivssasuhsiary at eYW CiTmirmF eapvstid,ako --Ca ffiE:1vvQvpryPmEdt Cm; bafmEregySevoicisMtlesareemparyasCOmFA .TM piresd CarslakIvnEmVSx mmkiwilalyd lylk IKnsCameee comrvsbn. Ya UOrotlaxbEwCwsvaaemFrergYServtasevctrcryoran7oTClyodut' nwtlrtorerPrvetlesameWa�yrearlalepservtelromCm ,nil. WiiveA1vm3NedviIEB:i-c Sppkrikarsekt10510 Pkasebe advised that you maypumtase yaw ekceidtysuppy from ehthera Rehdil Energy Suppler ('PEST or CanEd. Further inlormaronregafaing your ekctrfdtypoclaasirlg oP6errsaevedalyeatwww. p' uginlAnds. orp . YwAo have IhengM Iorequest from the I nowpoverAgency('FpA7, a Wofausupply opfims ahedable toyou w m ekctmflymrmwrleraridn a lmnEd dwlaA7wsa mnWnsm ofpnms andproducls. Peaseaisobe adla'sed thath the event that you elect to [large or maintain larilfe7 ekcfncity swine from ComEd N& such elec0'm will riot result h a service lee. To obtan IuRherirdomratkn mgading C= Edtalffeddectricityservrx ,pkaremnrdcttha ComEd Cusbmer&ewv Depa-irmntatl- 600-336 -7661 Net mete" customers, pursuant to Secdm 16- 1o7._w1g and fpl of na PLl4, may kvkd necks for ciccWly supply service and do" sernice, or both, if they switch to the Aggregalion Suppler. ,First Name> ,Last Nam. < Address Limb �- ,Address Lme2> '!' Constellation, <City> <State> <Zip, ....... ❑ I do notwant to participate in the Village of Deerfield Electricity Aggregation Program. ❑ Cal ❑ work ❑ Home I <Code> Phone Number Opt -Out Code Service Address: ,Service Address Line 1> <Service Addmss Line 2> < Service Ctry>. <Service SD <Zip, El ComEdAccount Number Date 171 CO C c V) FY a V N a o� N � N m a _ �w to Rt� c ° ' � v U < r-4 O E w nay. Ng mMMm FY a V N N_ a N � N m EEL W V N L Y W V a O �aa muc'o� N E� m NFa N N E mga NE3� a nN o o 1- C C u � �o 0 d d f c c a a C) O m 79 N O n 4L1 n n U O 04pmpa c cr rvo�Q Nw C C o oAm2.cE m mc c_n3�i o C o oyccoma p 9 T �mo�no C'na c n C C °i.om En-- p ppY6n,!� 9 T � m w o ryo - O h h GD m m °�. a vrtYi m E d '2 - o Z Z v E °c O T o O Ll T T o O 3 O 'L p q C 0. V1 m m O L m E t E V j m SmS 6 N V~ E N N CF ° ° L a 5 °.. m � ' nZ -� Q Q mmo T TpL a am ° 0o0o n Ox, n > d d y C y m pr u uoota. 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Ao Ex.bn C.r VILLAGE OF DEERFIELD MEMBER TERMS AND CONDITIONS AND UNIFORM DISCLOSURE STATEMENT AUTOMATIC AGGREGATION - Electricity Purchase and Sale Terms and Conditions The Village of Deerfield ( "Municipality"), pursuant to the aggregation authority conferred upon it by, which passed by a majority of the vote on and Ordinance establishing the program, selected Constellation Energy Services ( "Constellation ") to supply the aggregation and to administer enrollments as described below. You, the account folder (also referred to as "Buyer ") for each account referenced on the letteraocompanyingthese Electricity Purchase and Sale Terms and Conditions (the "Account "), and Seller agree to the followingterms and conditions. Seller and Buyer (individually referred to as "Party" and collectively as "Parties') agree tothe following Electricity Purchase and Sale Terms and Conditions ( "Agreement "), as of (the "Effective Date "): 1. Enrollment: a. Opt -Out: Enrollment is automatic for those who are eligible, but participation is voluntary. IFYOU DO NOT WISH TO PARTICIPATE, YOU MUST OPT -OUT BY RETURNING THE POSTCARD POSTMARKED NO LATER THAN <MONTH> <DAY >, <YEAR> OR BY CALLING 1- 644 -271- 9255 BY <MONTH> <DAY >, <YEAR% b. Eligibility: To be eligible for automatic aggregation, Buyer and the Accounts to be served (i) must be located within the Municipality's jurisdictional boundaries, (ii) must be served by Commonwealth Edison (the "Utility ") on a residential or small commercial rate class (0 -100kW or Watt Hour) provided such small commercial account consumes less than 15.000 kWh annually, and (iii) may not be under contract with another competitive supplier, on the Utility's real -time pricing, on bundled hold with the utility, or franchised service with a municipal account. c. Term: This Agreement shall become binding onthe Effective Date, provided however, the obligation of Seller to sell and schedule electricityfordelivery to Buyer and the obligation of Buyer to purchase, take and pay for electricity is contingent upon: (a) successful enrollment by the Utility identified and (b) if applicable, the passage of the Rescission Period (defined in Section 2) without effective cancellation by Buyer. Successful enrollment by the Utility is dependent upon (i) the eligibility of Buyer's Utility accounts, as set forth above and as determined by the Utility, to take from a retail electric supplier and to participate in the Utility's purchase of receivables program, and (ii) the accuracy and completeness of any information submitted by Buyer. Service will commence on meter read dates in <Month> <Year> and shall remain in effect for billing cycles through <Month> <Year> ( "Initial Term "), unless terminated pursuant to the terms of this Agreement. 2. Rescission Period: Unless Buyer is already a customer of Seller, Buyer may rescind the Agreement by contacting Seller before Seller submits the enrollment request to the Utility. Buyer may also rescind the Agreement and the pending enrollment within 10 days after the Utility processes the enrollment request by contacting (a) Seller or the Utility, if Buyer is a residential customer or (b) Seller, if Buyer is a small commercial customer. 3. Price: a. Fused Rate: For the Initial Term, Buyer shall pay the Fixed Rate multiplied by the billing cycle usage for Account(s) identified in the letter accomparrying this Agreement. Through Buyer's <Month> <Year> meter read, the Fixed Rate is <X.XX >g per kWh. No later than 30 days prior to the <Month> <Year> meter reads. Seller shall send Buyer notice by postcard, first class mail, 02015 Constellabon Energy Resources. LLC. The forgoing offering is soldand contracted by Constellation Energy Services, a subsidiary of Exelon Corporation. Errors and omissions excepted. Illinois Alternative Retai Decide Supplier License #10-0540 C ., 1111) M A/ '� Constellation. An Evlon Cowan, or non - profit standard bulk mail rate of any changes to this Agreement and the new Fixed Rate applicable for the <Month> <Year> meter reads through the end of the Initial Term that will have been negotiated with the Municipality pursuant to the Program Agreement, Both Parties recognize that Seller's charges include tariff charges that are set forth by the Utility, transmission provider, regional transmission organization or independent system operator, the Federal Energy Regulatory Commission, and /orany other state orgovernmental agency having jurisdiction (each an "Authorized Entity"). Seller may pass through to Buyer, without markup as a separate line item or as an updated Fixed Rate, (i) any increase in such tariff charges or (ii) other increase in Seller's cost to provide electricity that result from an addition to, a change in, or change in interpretation by an Authorized Entity of, or change in administration by an Authorized Entity of, tariffs, operating Protocols. laws, regulations, or other requirements of an Authorized Entity. as applicable. b. Switching Fees: While Seller does not charge Buyer a separate fee to switch to Seller's service, if Buyer is currently receiving electricity pursuant to an agreement with an alternative retail electric supplier, that supplier may charge Buyer for switching electricity providers. If the Utility charges a fee for enrolling the Account to Seller's service, Seller will reimburse Buyer for any such fees. 4. Renewal: After the Initial Term, the Seller will take all actions as necessary to return the Buyer to the Utility for further electricity supply, unless either: (a) the Municipality and the Seller extend the Power Supply Agreement under which Seller supplies the aggregation and administers enrollments within the Municipality; or (b) Seller and Buyer enter into a new agreement for the supply of electricity, which new agreement would not be subject to the Municipality's electricity aggregation program. 5. Billing and Payment Buyer will be invoiced for Seller's charges and the Utility's delivery charges by the Utility on the invoice(s) Buyer receives from the Utility, and such billing and payment shall be subject to the applicable Utility rules regarding billing and payment procedures. Seller's charges or credits not invoiced through the Utility shall be invoiced or credited, respectively, directly by Seller. Seller may cause the Utility to correct previous invoices in the event of invoicing errors. 6. Taxes: Any tax levied against Seller by any governmental entity, exclusive of :by income tax or taxes levied on Seller's real or personal property that must be paid by Sel be passed through to and borne and reimbursed by Buyer. Buyer must provide Seller applicable exemption certificates. Buyer shall pay any such taxes unless Seiler is requirw to collect and remit such taxes, in which case Buyer shall reimburse Seller for all amound. 7. Termination; Remedies: If either Party defaults on its obligations under this Agreement (which may include Buyer's switching to another electric supplier or the Utility or Buyer's failure to pay the Utility), the other Party may terminate this Agreement, as applicable. No termination fees shall apply. In addition, the Municipality may terminate this Agreement on behalf of Buyer in the event that Seller has materially breached the Power Supply Agreement between Seller and the Municipality, provided however Seller shall not be liable to Buyer for any damages or penalties resulting from the Municipality's termination of this Agreement, including claims related to the price received from Utility or an alternate supplier being higher than the Price herein. Seller acknowledges that Buyer may terminate this Agreement at any time without penalty or fee. 02015 Constellation Energy Resources. LLC. The forgoing offering issold and contracted by Constellation Energy Services, a subsidiary of Exelon Corporation. Errors and omissions excepted. Illinois ARematNe Rated Electric Supplier License M10 -0540 rl 11. Ell E-1 =V AIIIIIi Constellation. An &olon Compary 8. Limitations: ALL ELECTRICITY SOLD HEREUNDER IS PROVIDED AS IS ", AND SELLER EXPRESSLY DISCLAIMS ALL OTHER WARRANTIES, WHETHER EXPRESS OR IMPLIED, INCLUDING BUT NOT LIMITED TO ANY IMPLIED WARRANTY OF MERCHANTABILITY OR FITNESS FOR PARTICULAR PURPOSE. IN NO EVENT WILL EITHER PARTY BE LIABLE UNDER THIS AGREEMENT, WHETHER IN AGREEMENT, IN TORT (INCLUDING NEGLIGENCE AND STRICT LIABILITY). OR OTHERWISE, FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL, OR PUNITIVE DAMAGES. 9. Force Majeure: Except for Buyer's obligation to pay Seller timely, neither Party shall be liable to the other for failure to perform an obligation if the non - performing Party was prevented from performing due to an event beyond the reasonable control, that could not be remedied by the exercise of due diligence and that was not reasonably foreseeable, including without limitation, acts of God, a condition resulting in the curtailment of electricity supply or interruption or curtailment of transmission on the electric transmission and /or distribution system, interruption of Utility service, terrorist acts or wars, and force majeure events of the Utility or independent system operator. 10. Questions, Complaints and Concerns: Buyer may contact Seller by calling 1- 844-271- 9255, at Seller's website at www.constellation.com, or by writing to 31.221 Lamar St., Ste. 750, Houston, TX 77010-9925, Attn: Customer Service. For issues concerning this Agreement, Seller will attempt to resolve the matter within five (5) business days after receiving the call or letter. If Buyer is notsatisfied withthe response, orto obtain consumer education materials, Buyercan contact the Illinois Commerce Commission's Consumer Services Division at 1-800- 524 -0795 or 1 -800- 858 -9277 for TTY hearing- impaired customers or visit the Illinois Commerce Commission's website at www.ice.illinois.gov. Buyer may also contact the Illinois Attorney General's Office at 1- 800 - 386 -5438 (Northern Illinois), 1-800-243-0618 (Central Illinois), or 1- 800 - 243 -0607 (Southern Illinois). 11. Miscellaneous: This Agreement shall be governed by and construed in accordance with the laws of the State of Illinois, without regard for the conflicts of law provisions thereof. Title, possession, control of the electricity, and risk of loss will pass from Seller to Buyer at the delivery point, which shall be the Utility. Buyer appoints Seller as its agent forthe purposes of effectuatingdelivery, includingfor receipt of billing and usage data fromthe Utility. Subject to regulatory approvals and notice from Seller, Seller may assign this Agreement without Buyer's consent. Buyer may assign this Agreement only with Sellers prior written consent. This Agreement (including without limitation the Account identification) shall be considered a Letter of Agency and constitutes the entire agreement between the Parties, superseding all verbal and written understandings. There are no third party beneficiaries to this Agreement and none are intended. This Agreement shall only be amended in writing signed by both Parties or with Notice from Seller to Buyer as described under Section 4 above. Buyer should contact the Utility in the event of an electric emergency at 1- 800 - Edison- 1(residential) or 1$77- 4- ComEd- 1(commercial). Future correspondence may be sent by Sellerto Buyer via first class mail and /or electronic mail. 02015 Constellation Energy Resources, I.I.C. The forgoing ottenng is sold and contracted by Constellation Energy Services. a subsidiary of Enter, Corporation. Errors and emissions excepted. Illinois Alternative Ratio Electric Supplier License #10-OW M U11 U111 v Constellation. An E..bn Conq UNIFORM DISCLOSURE STATEMENT Seller: Constellation Energy Services ( "Constellation ") Utility: ComEd F ntact Information: Physical Address: 1221 Lamar St., Ste. 750, Houston, TX 77010 -9925. 1 -844- 271 -9255. Webste: www.constellation.com. mmerce Commission's Consumer Services Division Contact Information: Telephone: 0795 or 1- 800 - 858 -9277 for TTY hearing- impaired customers. Website: www.icc.illinois.gov. ntact Information: Telephone: 1$00- Edson- 1(residential) or 1- 877- 4- ComEd- 1 (commercial). Charges for Electricity Supply: Rate of <X.XX >o per kWh for service to the Accounts, multiplied by the metered usage. Rate does not include Utility delivery charges or any applicable taxes. Term: <Month> <Year> through <Month> <Year> billing cycles. Deposit and Switching Fees: None Rescission Period: Unless Buyer is already a customer of Seller, Buyer may rescind the Agreement by contacting Seller before Seller submits the enrollment request to the Utility. Buyer may also rescind the Agreement and the pending enrollment within 10 days after the Utility processes the enrollment request by contacting (a) Seller or the Utility, if Buyer is a residential customer or (b) Seller, if Buyer is a small commercial customer. Savings: Savings are NOT guaranteed. General Disclosures: Constellation is an independent seller of power and energy service, certified by the Illinois Commerce Commission. Constellation does NOT represent or act on behalf of the Utility, governmental bodies (unless the RES has entered into a contractual arrangement with the governmental body and has been authorized by the governmental body to make such statements) or consumer groups. The Utility remains responsible for the delivery of power and energy to Buyer's premises and will continue to respond to any service calls and emergencies. Switching to Constellation will not impact Buyer's electric service reliability. Buyer will receive written notification from the Utility confirming a switch of Buyer's power and energy supplier. Along with your Agreement, please retain this Uniform Disclosure Statement for your records, as required by 83 ill. Adm. Code 412. Please see the Agreement for full details of the transaction. wzuu constellation Energy Resources. LLC. The forgoing offering is sold and contracted by Constellation Energy Semoes, a subsidiary of Exelon Corporation. Errors and omissions excepted. Illinois AffemajW Retai Electric Supplier License 810.0540 Ell .,, 1 U) w ono � ~o OWa ZZ ow ZZLL J � QW 0 w O �¢ m w cr cr CL - ¢ d co Z m } In rn �F < a UOCLO Q W r- m C/) W m ] W � O Z O J0 3 O W� Z N< 0 0<CE Z J Q Z '^ V/ V p J JFQP J w Cn m LL F O N D Q U r 2 0 EXHIBIT E PROGRAM MANAGEMENT AND DOCUMENTATION Exhibit E -1 #34420757_v10 101911312: Program Management and Documentation A. Program Management— Vendor assigns a Program Manager to each community that is served through Electric Aggregation programs. The Program Manager is responsible to coordinate all activities between the community and Vendor. The Program Manager is the community's primary point of contact and has a full understanding of the Agreement and all internal process and procedures utilized with aggregation communities. B. Member Education —Vendor will work to educate community members primarily through three different methods. a. Opt -out material — Co- branded opt -out letters along with a welcome letter are used to inform residents of the program. The Opt -out letter will include information on the rate, term, ability to opt -out of the program along with the methods of opting out, toll free number to the Vendor's Customer Care Center and the URL for a landing page dedicated to the community's electric aggregation program. Additionally, FAQ along with the Terms and Conditions will be sent with the Opt -out letter providing members the information they need to make an informed decision. See Exhibit D. b. Call Center —To ensure best in class customer service, Vendor provides each Municipal Aggregation program community with a unique toll free number to support program education and customer service. Available to all residents and small commercial customers within the program, calls into the toll -free number will receive a live answer by our fully trained customer service staff 24 hours a day /7 days a week /365 days a year. Vendor typically maintains a minimum of eighty available lines at the inbound call center. This line will be designated as a high priority within our center. All calls into the toll -free number will be answered by a live customer service representative without the need for dial through options (i.e. press 1 for Community A, press 2 for Community B etc.). By having an individual phone number for each community, we will be able to track the call activity and report back at the community level. Our average time to speak with a live agent is less than 30 seconds. Based on the toll free number dialed, our care department representatives know that the call is in regards to your program. All frequently asked questions and program specific information is instantly displayed when the call comes in arming the agent with the most up -to -date and accurate information to serve the caller. Customer care agents will receive extensive training on your specific program and will not be allowed to handle any interaction with Aggregation Members until they have successfully completed training. All representatives have procedures for escalating issues to qualified supervisors and they're empowered to assure callers that prompt attention will be paid to their issues. All calls are recorded for quality and training purposes and many of our interactions are monitored by supervisors each day. Additionally, all billing or service complaints are documented through a ticket tracking system to ensure that no concern is missed. The data is also maintained in an internal data warehouse should there be a need to revisit any concern. This data is also used to determine where customer concerns are most frequently occurring so that they can be addressed operationally. c. Website access — Vendor provides a link on our website specific to the community. The website will contain information that explains the program, offers a website enrollment opportunity, contains a link to frequently asked questions, provides a copy of the opt - out letter and program agreement, and provides information on program pricing (current and historical). Vendor has multi - lingual capabilities in its website live chat. C. Public Outreach — Vendor will work with the community to determine if additional public outreach is warranted and if so the best methods to more fully communicate and educate community members. EXHIBIT F INSURANCE REQUIREMENTS A. Worker's Compensation and Employer's Liability with limits not less than: (1) Worker's Compensation: Statutory; (2) Employer's Liability: $500,000 injury-per occurrence $500,000 disease -per employee $500,000 disease - policy limit Such insurance shall evidence that coverage applies in the State of Illinois. B. Comprehensive Motor Vehicle Liability with a combined single limit of liability for bodily injury and property damage of not less than $1,000,000 for vehicles owned, non- owned, or rented. All employees shall be included as insureds. C. Comprehensive General Liability with coverage written on a "claims made" basis with limits no less than: $1,000,000 Bodily Injury and Property Damage Combined Single Limit Coverage is to be written on a "claims made" basis. Coverages shall include: Broad Form Property Damage Endorsement Blanket Contractual Liability (shall expressly cover the indemnity provisions of the Contract) D. Professional Liability Insurance. With a limit of liability of not less than $1,000,000 per occurrence and $2,000,000 in the aggregate and covering Vendor against all sums that Vendor may be obligated to pay on account of any liability arising out of the Contract. E. Umbrella Policy. The required coverages may be in any combination of primary, excess, and umbrella policies. Any excess or umbrella policy shall provide excess coverage over underlying insurance on a following -form basis such that when any loss covered by the primary policy exceeds the limits under the primary policy, the excess or umbrella policy becomes effective to cover such loss. F. Village as Additional Insured. Village shall be named as an Additional Insured on all policies except for: Worker's Compensation Professional Liability G. Other Parties as Additional Insureds. In addition to Village, the following parties shall be named as additional insured on the following policies: Additional Insured Policy or Policies Exhibit F -1 #34420757_v10