The budget where and how we purchase power. So thats not funded through bonds. Thats really funding through the currents rates and charges. Also to tie into the bonds, these bonds we have to have revenue actually pay for the bonds. From the sales of the power . From power operations. So we probably getting some good rates for capital power assets to deal now but we have to pay, have the receive revenue to pay down on those bonds. In essence we cant get as many bonds as possible but we can get to afford to pay. Hence the question about customers to generate the revenue, correct . We need to have paying staying customers that credit agencies and bonds will look to those and say they are going pay their bills on time. Right. That conversation will happen more in depth . The presentation, the ratings agencies is on slide 11 that it will be over june july of midyear. We have a very good story to tell to the general departments that we are able to provide very low cost power to those departm
Are here and it gives us a lot of opportunity to key this in the front of our minds as well as we go into budget deliberations and where we may have capacity look at revenue bonding as a source. With that, im happy to answer any questions. Commissioner vietor . I have a question and sorry, im missing the gene when i was born about getting my head around this. I know some of the questions i seem to ask repeatedly. I dont know when its going to appear, when the conversation happens where once we use our hechy power and what happens when the water to generate power, do these bonds help back fill . Can we specify the kind of power that we are buying is the end question that i want to get to. Weve talked a little bit about this and my trying to understand. I did have some concerns about the environmental policy perspective that what we had to do especially in line light of our power station going out in the rim fire and in the market having to buy the dirtiest cheapest power possible and wh
Staying customers that credit agencies and bonds will look to those and say they are going pay their bills on time. Right. That conversation will happen more in depth . The presentation, the ratings agencies is on slide 11 that it will be over june july of midyear. We have a very good story to tell to the general departments that we are able to provide very low cost power to those departments. So we will have a very good story to tell for our 270 million of capacity. I guess im interested in bigger conversation around sort of the operational piece in conjunction with the bonds, in conjunction with the customers, the whole package that weve been sort of struggling with, if you will and if thats going to be part of our budget deliberations or if there is an opportunity to unpack that conversation. Yeah. So the plan is at the next Commission Meeting im working on a memo to really identify what the major challenges are at power enterprise and some recommendations and i think it would be pr
Federal subsidy bonds as we did with Energy Conservation and clean revenue bonds. Thats anywhere from zero to one 1 2 percent. So its no surprise that we used that money first and we went to borrow out the cheepest money possible first and the california state loan and that is 35 percent. We are always looking to try to get access to the cheapest amount of Capital First and then work our way from there. The credit considerations are many but just to highlight a couple. All the financials are teed up for the rate agencies. We have a lot of explanation to do and build as part of our official statement of our documentation because we dont have bond documents like the enterprise as we have issued the bonds over the last 5 years. This is from scratch and weve been doing that over the last year 1 2. All of this comes together between now and april and the full bond documents are ready to tell the stories and the issues that are before the power enterprise. There are some big items like the d
Agencies and bonds will look to those and say they are going pay their bills on time. Right. That conversation will happen more in depth . The presentation, the ratings agencies is on slide 11 that it will be over june july of midyear. We have a very good story to tell to the general departments that we are able to provide very low cost power to those departments. So we will have a very good story to tell for our 270 million of capacity. I guess im interested in bigger conversation around sort of the operational piece in conjunction with the bonds, in conjunction with the customers, the whole package that weve been sort of struggling with, if you will and if thats going to be part of our budget deliberations or if there is an opportunity to unpack that conversation. Yeah. So the plan is at the next Commission Meeting im working on a memo to really identify what the major challenges are at power enterprise and some recommendations and i think it would be probably best to maybe have a wo