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HomeMy WebLinkAboutAgenda Report - January 18, 2006 E-14AGENDA IT= CITY OF LODI COUNCIL COMMUNICATION AGENDA TITLE: Adopt resolution authorizing the City Manager tD allocate a Public Benefits Program rebate to Myers& Eby Property Managementfor a demand-side management project ($9,004.50) (EUD) MEETING DATE: January 18, 2006 PREPARED B Y Interim Electric Utility Director RECOMMENDED ACTION: That the City Council adopt a resolution authorizing the City Managerto allocate a Public Benefits Program rebate in the amount of $9,004.50 to Myers & Eby Property Managementfor a demand- side management project. BACKGROUND INFORMATION: Myers & Eby Property Management has installed a cool roof (often referred to as a "white root" or "sun retlective roof) at one of their properties,The Crescent Apartments (315 S. Crescent Avenue). A cool roof is a qualifying component of the City of Lodi Public Benefits Program, and is a recognized energy efficiency improvement by EnergyStar®, the California Energy Commission, and electric utility/service providers around the country. The City of Lodi Electric Utility has provided rebates to six (6) customerswho have installed a cool roof on their Lodi property in the last few years. A cool roof typically reduces "heat gain" (from the sun) through a roof and attic space by approximately 20 degrees, creating a cooler environment inside the structure. A cooler interior structure reducesthe need for operating a central air conditioning system or single -room air conditioners, thus reduced electric energy consumption. In an effort to make the apartment complex more energy efficient, while enhancing the strength and durability of the roof space, Myers & Eby Property Management opted for a new, cool roofing product, covering 19,700 square feet of roof. The projected annual energy savings are: 4,800 -kilowatt hours (kWh), and 3.5 kilowatts (kW/demand) facility -wide. These projected energy savings will be realized by residents living in one of the complexes 21 upstairs units. Electric Utility staff respectfully recommends approval of this rebate, as a qualifying component of the C i of Lodi Public Benefiis Program, in the category of demand-side management or energy conservation. Rebates of this size (in excess of $5,000, and requiring Lodi City Council approval) are provided to commercial/industrial customers on a first-come, first-served basis, with a total of three (3) large rebate projects (again, those in excess of $5,000) granted each quarter. For this third quarter of the 2005-2006 fiscal year, this is the first such large, qualifying demand-side management project. FISCAL IMPACT: The projected energy savings noted above will result in a revenue loss (savingsto the customers) aE approximately $750 per year. This figure is calculated by dividing the total energy savings (kWh) by seven calendar months, April through October (in Lodi, these are considered to be the months with the most sunshine annually); then, multiplying this figure to the price charged per kilowatt hourfor energy; then multiplying this figure by APPROVED: Z-7 Blair King City Manager Adopt resolution authortring me CIM Managerto allocate a Public Benefits Program rebate to Myers 6 Eby Property Managementfor a demand-side management project($ 9,004.60) (EUD) January 18,2006 Page 2 of 2 seven months (calculation: 4,800 WVhl7 months = 686 kWh Y $0.156 kWh price = $107.00Y 7 months = $749.00). FUNDING AVAILABLE: PublicBenefits Program: 164605 (Category: Demand-side Management) Ruby P ste, interim Finance Director avid Dockham Interim Electric Utility Director Prepared By: Rob Lechner, Manager, Customer Service and Programs DDIRUIst c: City Attorney RESOLUTION NO. 2006-16 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO PROVIDE PUBLIC BENEFITS PROGRAM GRANT— DEMAND-SIDE MANAGEMENT PROJECT TO MYERS & EBY PROPERTY MANAGEMENT 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, the Electric Utility Department recommends that the City provide a Public Benefits grant in the amount of $9,004.50 to Myers & Eby Properly Management who has installed a cool roof (often referred to as a "white roof' or "sun reflective roof') at one of its properties, The Crescent Apartments (315 S. Crescent Avenue); and WHEREAS, a cool roof is a qualifying component of the City of Lodi Public Benefits Program and is a recognized energy efficiency improvement by EnergyStarO, the California Energy Commission, and electric uti litylservice providers around the country; and WHEREAS, a cool roof typically reduces "heat gain" (from the sun) through a roof and attic space by approximately 20 degrees, creating a cooler environment inside the structure. A cooler interior structure reduces the need for operating a central air conditioning system or single -room air conditioners, thus reduced electric energy consumption; and WHEREAS, in an effort to make the apartment complex more energy efficient, while enhancing the strength and durability of the roof space, Myers & Eby Property Management opted for a new, cool roofing product, covering 19,700 square feet of roof. The projected annual energy savings are: 4,800 -kilowatt hours (kWh), and 3.5 kilowatts (kW/demand) facility -wide. These projected energy savings will be realized by residents living in one of the 21 upstairs units in the complex; and WHEREAS, Electric Utility staff respectfully recommends approval of this rebate as a qualifying component of the City of Lodi Public Benefits Program in the category of demand-side management or energy conservation. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby authorizes the City Manager to provide a Public Benefits Program Grant in the amount of $9,004.50 to Myers & Eby Property Management to fund a demand-side management project as set out above. Dated: January 18,2006 1 hereby certify that Resolution No. 2006-16 was passed and adopted by the Lodi City Council in a regular meeting held January 18, 2006, by the following vote: AYES: COUNCIL MEMBERS — Beckman, Hansen, Johnson, Mounce, and Mayor Hitchcock NOES: COUNCIL MEMBERS— None ABSENT: COUNCIL MEMBERS— None ABSTAIN: COUNCIL MEMBERS — None A if:���� SAN J. BL►4CKN City Clerk 2006-16