City Council

(25)\n26-0190\nEXEMPTION, ENERGY AND ENVIRONMENT COMMITTEE REPORT\nand ORDINANCE FIRST CONSIDERATION relative to updating\nregulatory programs and adding new types of environmental energy\nand renewable energy credit products available for purchase, sale, and\nexchange.\nRecommendations for Council action, SUBJECT TO THE APPROVAL\nOF THE MAYOR:\n1. DETERMINE that California Environmental Quality Act (CEQA)\nFindings Amendments to Los Angeles Administrative Code\n(LAAC) Section 23.143.1 are exempt pursuant to CEQA\nGuidelines Section 15060(c)(3). In accordance with this section,\nan activity is not subject to CEQA if it does not meet the\ndefinition of a project. Section 15378(b)(5) states that\norganizational or administrative activities that will not result in\ndirect or indirect physical changes in the environment do not\nmeet that definition. Therefore, amendments to LAAC Section\n23.143.1 are not subject to CEQA.\n2. APPROVE the Department of Water and Power (DWP)\nproposed Resolution authorizing amendment of LAAC Section\n23.143.1 to update the regulatory programs referenced and add\nnew types of environmental energy and renewable energy\ncredit products available for purchase, sale, and exchange.\n3. DELEGATE authority to the General Manager, DWP, to update\nthe Environmental Credit and Renewable Energy Credit Policy.\n4. PRESENT and ADOPT the accompanying ORDINANCE dated\nFebruary 18, 2026, amending LAAC Section 23.143.1 to\nmaintain compliance with environmental laws and regulations\nrelated to environmental/emission credit and renewable energy\ncredit programs.\nFiscal Impact Statement: The City Administrative Officer reports that\napproval of the amendment to LAAC Section 23.143.1 will have no\nimpact on the General Fund. The environmental credits and\nrenewable energy credits purchased or sold are for compliance\npurposes only and subject to limitations of prices. The above\nrecommendations comply with the DWP adopted Financial Policies.