HomeMy WebLinkAboutAgenda Report - May 18, 2011 C-13402
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AGENDA ITEM 0
On% CITY OF LODI
COUNCIL COMMUNICATION
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AGENDA TITLE: Adopt Resolution Authorizing the City Managerto Allocate Additional Funds to the Lodi Energy
Efficiency Financing Program ($150,000)
MEETING DATE: May 18,2011
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: Adopt a resolution authorizing the City Manager to allocate additional funds
to the Lodi Energy Efficiency Financing Program ($150,000).
BACKGROUND INFORMATION: In mid-January, Lodi Electric Utility launchedthe Lodi Energy Efficiency
Pilot Projector LEEPP. This program is funded via the Lodi Public
Benefits Program, and is designed for G2 commercial customers as a tool
to "fund" energy conservation projects. As approved by the City Council, the LEEPP provides a two-year loan of up
to $50,000 for qualifying customers. The loan payment is then attached to the customer's utility bill.
To date, the entire $250,000 allocated for this program has been loaned to customers or is fully reserved. Most of
the energy efficiency projects are lighting retrofits, which traditionally are the most cost-effective energy efficiency
projects that commercial and industrial customers pursue. Loan participants include: Delta Convalescent Hospital;
Union 76 on Kettleman Lane; Chevron on Kettleman Lane; M & R Packing; Special Commodities, Inc and Wine &
Roses.
Staff is requesting that an additional $150,000 be placed in this unique loan program, as commercial and industrial
customers, as well as various third -party contractors, are contacting the utility seeking to participate. Staff also
recommends that the program be expanded to include utility customers assigned to the G3, G4, G5, and 11 utility
rates.
FISCAL IMPACT: $150,000 would be transferred from the Lodi Public Benefits Program fund to this pilot
project. The pilot project is a loan program, thus funds provided to customers under this
program are ultimately returned in full to the appropriate account. The utility will, overtime,
see decreased energy sales as a result of the energy efficiency/conservation measures
installed by participating customers.
FUNDING: Funding provided through the Public Benefits Fund (Fund 164)
Jordan Ay rs
Deputy City Manager/Internal Services Director
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Electric Utility Director
PREPARED BY: Rob Lechner, Manager, Customer Service& Programs
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APPROVED: ( —
Konradt Bartlam, City Manager
RESOLUTION NO. 2011-76
A RESOLUTION OF THE LODI CITY COUNCIL
AUTHORIZING THE CITY MANAGER TO ALLOCATE
$150,000 FROM THE LODI PUBLIC BENEFITS
PROGRAM TO THE LODI ENERGY EFFICIENCY
FINANCING PROGRAM
WHEREAS, the City of Lodi Electric Utility Department has created the Lodi
Energy Efficiency Financing Pilot Project; and
WHEREAS, the Lodi City Council has approved this unique energy efficiency
financing program for designated commercial and small industrial energy customers to
pursue energy conservation projects; and
WHEREAS, with the initial funding for this pilot project now fully reserved by
numerous customers, staff is seeking to expand this energy conservation loan program
to allow additional commercial and industrial customersthe opportunity to participate.
NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby
allocate an additional $150,000 to the Lodi Energy Efficiency Financing Program to
assist commercial and industrial customers with various energy conservation projects.
Dated: May 18, 2011
hereby certify that Resolution No. 2011-76 was passed and adopted by the City
Council of the City of Lodi in a regular meeting held May 18, 2011, by the following vote:
AYES: COUNCIL MEMBERS — Hansen, Katzakian, Nakanishi, and
Mayor Johnson
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — Mounce
ABSTAIN: COUNCIL MEMBERS — None
RANDI JOHL
City Clerk
2011-76