After a lengthy and intense discussion on Tuesday night, Irvine’s city leaders made the decision to remain part of the green power agency they had established. This choice keeps intact the agency’s largest customer, at least for now. The city council members engaged in hours of deadlock, with each side accusing the other and the public for the agency’s problems. Both sides claimed potential liabilities amounting to millions of dollars. The discussion took place amidst Huntington Beach’s call for a vote to dissolve the agency entirely following scathing audits that uncovered systemic issues of transparency and oversight. These audits ultimately led to the termination of CEO Brian Probolsky. Huntington Beach Mayor Tony Strickland stated that the dissolution vote would take place in June, expressing confidence in garnering the necessary votes. Strickland added that selling off the agency’s contracts could generate excess revenue for the city.
Irvine’s deliberation occurred in the wake of Surf City and the County of Orange withdrawing their support from the embattled agency. With their departures, only Irvine, Buena Park, and Fullerton remained as participating cities, with no new cities expressing interest in joining. This fact was emphasized by Irvine City Council members during Tuesday’s discussion. Both Fullerton and Buena Park are currently contemplating their potential withdrawal from the agency, while Irvine has previously discussed the possibility of pulling out multiple times in the past five months. Both Councilman Larry Agran and Councilman Mike Carroll, who previously served as the power authority’s board chair, expressed concern for the organization’s future after Huntington Beach left. Carroll acknowledged that the financial implications of these departures were still unknown and emphasized the increasing uncertainty surrounding the agency’s finances. He questioned whether Irvine would be able to recoup its $7.5 million investment in the agency. Councilwomen Kathleen Treseder and Tammy Kim, on the other hand, argued that the agency was making significant progress toward achieving its reform goals. As board members, they believed they held the power to enact swift changes and highlighted the replacements of the general counsel and CEO, as well as the implementation of around 90% of the reforms recommended by the audits.
In a prior interview with Voice of OC, Kim accused Carroll of being part of a Republican plot to dismantle the agency. Carroll vehemently denied these allegations while questioning Treseder and Kim’s records on the board. He dismissed the notion that he was involved in any conspiracy to overthrow the agency. Mayor Farrah Khan, who ultimately cast the deciding vote to keep Irvine in the power authority, expressed her displeasure with environmental activists due to their past criticisms of the agency. She criticized their absence when the city needed their support and emphasized her commitment to stability and projecting a united front. Although the early complaints made by these activists were corroborated by audits conducted by a county grand jury, the county government, and state auditors, many of them acknowledged the agency’s troubled history but expressed hope for its future. Tomas Castro, a member of the local Citizens Climate Lobby chapter, stated that there was a real chance for the agency to turn around and provide affordable, renewable energy. He urged council members not to abandon the agency, as it would eliminate that choice for future generations.
Carroll suggested that Kim and Treseder step down from the board, but the idea did not receive a vote. He also proposed that the cities of Fullerton and Buena Park each pay Irvine $2 million to persuade the city to remain in the agency, but this proposal was voted down. Khan stressed the importance of decisiveness and projecting stability, stating that Irvine needed to exhibit leadership just as it had during the inception of the Orange County Power Authority. The cities of Buena Park and Fullerton are currently discussing the possibility of leaving the agency and considering their options. Buena Park is scheduled to address the issue on June 6. Despite Carroll’s ideas being rejected, he warned that the possibility of Irvine withdrawing from the agency was not off the table. He assured the Irvine City Council members that this matter would resurface in the future.
