HomeMy WebLinkAboutAgenda Report - September 15, 2004 E-09AGENDA ITEM EA
CITY OF LODI
COUNCIL COMMUNICATION
TM
AGENDA TITLE: Adopt resolution authorizing the City Manager to allocate a Public Benefits
Program grant to fund a portion of the Lodi Grape Festival Solar
Demonstration Project (#50,000) (EUD)
MEETING DATE: September 15, 2004
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: That the City Council adopt a resolution authorizing the City
Manager to allocate a Public Benefits Program grant to fund a
portion of the Lodi Grape Festival Solar Demonstration Project.
BACKGROUND INFORMATION: Following several months of review and discussion, the Lodi Grape
Festival organization has elected to pursue the purchase and
installation of a 43.4 kilowatt (kW) solar energy project -- averaged
out, this is enough energy to meet the needs of ten Lodi homes
during the course of a year.
The total project cost for the purchase and installation of the 324 solar panels and associated materials is
$217,000. The grant dollars requested from the City of Lodi Public Benefits Program fund is $50,000, or
approximately 23 percent of the total project cost. The solar panels will be positioned atop Jackson Hall
on the grounds of the Lodi Grape Festival. The California Construction Authority, chosen by the Lodi
Grape Festival to install the solar demonstration project, is pursuing a grant from the California Energy
Commission's Self -Generation Incentive Program* as an additional funding source for this project.
By installing the solar panels, the Lodi Grape Festival is projected to reduce electric energy consumption
by some 75,000 kilowatt hours per year, with an actual energy cost savings of approximately $11,000.
The project will serve as an excellent display for the general public, promoting the use of the sun as
renewable energy source, which generates a clean or "green" source of electricity. (Note: three years
ago, the City of Lodi installed a 3.6 kW solar system on the grounds of the Municipal Service Center, and
this demonstration site has been viewed by numerous citizens and other municipal agencies investigating
solar power options.)
The Electric Utility staff respectfully recommends approval of this grant as a qualifying component of the
City of Lodi Public Benefits Program fund, under the category of Renewable Energy Resources &
Technologies. During the fiscal year 2004-2005, staff has budgeted to expend $125,000 of Public
Benefits Program funds in the area of renewable energy technologies, such as the proposed Lodi Grape
Festival Solar Demonstration Project.
* The Self -Generation Incentive Program is administered for the California Energy Commission by investor-owned electric
utilities, such as Pacific Gas & Electric Company and San Diego Gas & Electric Company.
APPROVED: -
Janet S. eeter, Interim City Manager
Adopt resolution authorizing the City Manager to allocate a Public Benefits Program grant to fund a portion of the Lodi Grape Festival Solar
Demonstration Project ($50,000) (EUD)
September 15, 2004
Page 2 of 2
FUNDING: 164608 — Public Benefits Program
(Category: Renewable Energy Resources & Technologies)
Funding Approval: (a, 2.
es Krueger, Finance Dire or
A// a�t-
Alan N. Vallow
Electric Utility Director
PREPARED BY: Rob Lechner, Manager, Customer Service and Programs
ANV/RLnst
cc: City Attorney
RESOLUTION NO. 2004-184
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
THE CITY MANAGER TO ALLOCATE A PUBLIC BENEFITS
PROGRAM GRANT TO FUND A PORTION OF THE LODI
GRAPE FESTIVAL SOLAR DEMONSTRATION PROJECT
WHEREAS, the state has mandated that beginning January 1, 1998, the City of
Lodi is obligated to fund various programs through a Public Benefits Charge (PBC)
based on an historical electric revenue requirement; and
WHEREAS, the requirement amounts to approximately $1 million per year that
must be dedicated to qualifying programs such as energy efficiency. A further stipulation
is that these efforts must be done on the customer's side of the meter in order to qualify;
and
WHEREAS, the City of Lodi's Public Benefits Program is comprised of four
segments or customer groups: commercial/industrial, residential, community/non-profit,
and municipal; and
WHEREAS, following several months of review and discussion, the Lodi Grape
Festival organization has elected to pursue the purchase and installation of a 43.4
kilowatt (kW) solar energy project; and
WHEREAS, the total project cost for the purchase and installation of the 324
solar panels and associated materials is $217,000. The grant dollars requested from the
City of Lodi Public Benefits Program fund is $50,000, or approximately 23 percent of the
total project cost; and
WHEREAS, the solar panels will be positioned on Jackson Hall located on the
Lodi Grape Festival grounds. The California Construction Authority, chosen by the Lodi
Grape Festival to install the solar demonstration project, is pursuing a grant from the
California Energy Commission's Self -Generation Incentive Program as an additional
funding source for this project; and
WHEREAS, by installing the solar panels, the Lodi Grape Festival is projected to
reduce electric energy consumption by some 75,000 kilowatt hours per year, with an
actual energy cost savings of approximately $11,000; and
WHEREAS, this project will serve as an excellent display for the general public,
promoting the use of the sun as a renewable energy source, which generates a clean or
"green" source of electricity; and
WHEREAS, the Electric Utility staff recommends approval of this grant as a
qualifying component of the City of Lodi Public Benefits Program fund, under the
category of Renewable Energy Resources & Technologies. During the fiscal year
2004-05, staff has budgeted to expend $125,000 of Public Benefits Program funds in the
area of renewable energy technologies, such as the proposed Lodi Grape Festival Solar
Demonstration Project.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby
authorizes the City Manager to allocate a Public Benefits Program grant to fund a portion
of the Lodi Grape Festival Solar Demonstration Project in the amount of $50,000.00.
Dated: September 15, 2004
I hereby certify that Resolution No. 2004-184 was passed and adopted by the
Lodi City Council in a regular meeting held September 15, 2004, by the following vote:
AYES: COUNCIL MEMBERS — Beckman, Hitchcock, Howard, Land, and
Mayor Hansen
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLACKS ON
City Clerk
2004-164