Findings of Fact

1. The Commission established the current CSI budget in Table 6 of
D.10-09-046 and the current CSI revenue requirement in Table 5 of D.11-07-031.

2. SB 585 increased the cost limit for the total CSI Program by $200 million and sets a maximum discount rate of 4% to be incorporated into PBI payments.

3. The CSI Program is currently running a budget shortfall for nonresidential solar incentives in Step levels 8, 9, and 10, as discussed in D.10-09-046.

4. The CSI budget shortfall can vary depending on the proportion of projects that receive higher governmental/nonprofit incentive rates in each territory, and the proportion of projects that apply for PBI payments versus upfront incentives.

5. The CSI Program budget was allocated in D.06-12-033 based on each utility's share of total electric sales.

6. Publicly available CSI Budget data indicates that PG&E and SDG&E require a greater share of the additional $200 million than previous allocations in order meet their CSI MW goals.

7. SB 585 requires the additional $200 million in CSI funds to be funded first by money already held by the utilities in interest and forfeited application fees before any additional funds are collected from customers.

8. As CSI interest and forfeited funds continue to grow, less funding will need to be collected from ratepayers in the final year of the program.

9. In D.06-08-028, the Commission incorporated an 8% discount rate into monthly PBI payment levels.

10. The Energy Division has established project cost caps in CSI Handbook Section 3.4.5, and modifications to these caps are handled through the CSI Handbook modifications.