How to Register as a Core Transport Agent (CTA)
Public Utilities Code Chapter 4.7 requires each CTA to register with the CPUC and sets forth the requirements. If you wish to conduct business as a CTA in the State of California, as defined by P.U. Code Section 980(b), please follow the instructions below to do so.
- Execute a UDC-CTA Service Agreement (with approved credit application) with each Utility Distribution Company in whose service territory you plan to offer service and submit copies of each executed Service Agreement with your CTA application.
- Complete and return CTA Registration Application Form including separate signed Section 981(a)(11) statement as described in the Notice section.
- Provide Fingerprints as prescribed for required personnel.
- Submit a copy of your Section 986 Notice of Terms and Conditions as described in the CTA Registration Application Form. Refer to Appendix C of D.18-02-002 for the adopted uniform notice. This format may be altered as long as the requirements of Public Utilities Code 986, and rules adopted in that decision, are met.
- US mail a cashier's check for $100 to the address listed on the Registration Application Form. Check should be made out to "State of California Public Utilities Commission".
Post a minimum security deposit of $25,000 in the form of either a cashier's check or a financial guarantee Bond with the CPUC at the time of registration. If submitting a cashier's check, please fill out and submit the Information Accompanying CTA Cash Deposit form at the time of registration.
CTA Bond Sample
This
language is provided in response to questions from CTAs and bond issuers. Other
forms are acceptable provided they include the substantive language from this
sample.
SAMPLE BOND
KNOW ALL BY THESE
PRESENTS that we [INSERT NAME OF CTA], as principal, and [INSERT NAME OF
SURETY], a corporation organized and existing under the laws of the State of
_________ and authorized to transact business in the State of California, as
surety, are held and firmly bound unto the Public Utilities Commission of the
State of California, as Obligee, in the penal sum of $25,000, good and lawful
money of the United States of America, for the payment of which well and truly
to be made we bind ourselves, our heirs, administrators, executors, successors
and assigns, jointly and severally, firmly by these presents.
WHEREAS the
principal has made application to the Obligee for Registration as a Core
Transport Agent (CTA) under the provisions of the Public Utilities Code and
applicable Public Utilities Commission decisions; and
WHEREAS the
principal is required to post security in accordance with the provisions of the
Public Utilities Code and applicable Public Utilities Commission decisions for
claims/damages resulting from the principal's nonperformance, fraud, or other
violations of the laws, decisions and orders applicable to Core Transport
Agents.
NOW, THEREFORE, if
the principal shall faithfully conform to, abide by, and/or perform all
obligations under any applicable laws, decisions, and orders administered or
issued by said Obligee, or any other applicable laws, decisions, and orders,
including, without limitation, paying to the Obligee, or to any other person(s)
or entity(s) as required by law, all monies due, or which shall become due,
pursuant to such laws, decisions, and orders referenced herein then the above
obligation shall be void, otherwise to be and remain in full force and effect.
The bond issuer
reserves the right to cancel this bond by giving ninety (90) days written
notice to the Obligee, and on the effective date of such ninety-day
cancellation notice, the bond issuer is discharged and relieved of any
liability, except the bond issuer shall remain liable for amounts not paid to
the utility by the CTA where the CTA's obligation to pay arises out of an
involuntary return of the CTA's customers to the utility (as provided in Public
Utilities Code Sections 981(a)(9) and 983.5(d) and implemented by Commission
Decisions 14-08-043 and 18-02-002) and where the involuntary return occurs, or
was noticed to the utility, before the termination of the bond. It is
understood and agreed that the bond issuer will in no event be liable for an
amount in excess of the stated coverage amount of this bond. Any termination
notice must be sent to State of California Public Utilities Commission - 505
Van Ness Avenue, San Francisco, CA 94102, Attention: Energy Division - - Core
Transport Agent Registration, by certified mail.