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HomeMy WebLinkAboutAgenda Report - March 17, 1999 E-13AGENDA TITLE: Public Benefits Program — Demand-side Management Projects: Hazel's Restaurant ($3,735.00) City of Lodi Parks & Recreation ($5,600.00) MEETING DATE: March 17, 1999 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: That the City Council approve two (2) Public Benefits Program grants totaling $9,335.00 for energy efficiency and demand-side management projects. Please see attachment for specifics on these projects. BACKGROUND INFORMATION: In November of last year, the City of Lodi Electric Utility provided the City Council with an overview of the Public Benefits Program. There are four customer groups or categories included in this program: Residential, Commercial/Industrial, Municipal and Community/Non-profit. The above recommended grants are for the following customer groups: Commercial/Industrial (Hazel's Restaurant) and Municipal (City Of Lodi Parks and Recreation_) In partnership with the energy consulting firm of Energy Masters International, Inc., the City of Lodi Electric Utility has conducted site visits and numerous discussions with these two eligible customers. As a result of these discussions and site visits, the City of Lodi Electric Utility respectfully recommends approval of these funding requests as qualifying grants under the Public Benefits Program. FUNDING: 160604 - Public Benefits Program Fund (Category — Demand-side Management) FUNDING AVAILABLE: -' �7h A�, _tg_ Vicky NVAthie, Finance Director Alan N. Vallow Electric Utility Director PREPARED BY: Rob Lechner, Manager of Customer Programs ANV/RUIst Attachment C: City Attorney APPROVED: H. -Dixon Flynn --City Attachment - Public Benefits Program; City of Lodi Council Communication for March 17, 1999 Description of various demand-side management projects: Hazels Restaurant - This Public Benefits Program grant for a total of $3,735.00 would be utilized for the installation of two specific energy conservation measures. The first component pertains to the purchase and installation of a new, high efficiency air conditioning/heating unit. The 4 -ton commercial single pack unit contains an integrated economizer, which allows a fixed percentage of outdoor ventilation air through the unit. An outdoor thermostat on the unit detects when it is appropriate to bring in outdoor air whenever the temperature of the outdoor air alone is sufficient to provide indoor cooling. This unique feature not only saves energy, but prolongs the life of the air conditioning/heating unit. The second phase of the Hazels Restaurant demand-side management project entails the purchase and installation of one (1) energy efficient Halo Heat convection oven. This cooking unit will cook and hold foods, using only one-third to one-half the energy of conventional cooking or warming equipment. In addition, the installation of this particular piece of equipment is an excellent example of fuel -switching, whereby the customer utilizes electricity over other forms of energy, to operate a state-of-the-art, highly efficient component. The actual Public Benefits Program grant of $3,735.00 represents 25% of the total installed cost of the aforementioned projects for Hazels Restaurant. The total demand- side management project is $14,939.00. Citv of Lodi Parks & Recreation Department- Lodi Lake Youth Area Liahtina Proiect- This funding request in the amount of $5,600.00 would be utilized for the installation of five (5) new energy efficient lights and related materials at the Lodi Lake Youth Area. Currently, the lighting in this specific area is grossly inadequate (please see attached information) to meet the needs of the general public utilizing this picnic and social area. The increased lighting will provide improved visibility and safety for dusk and evening functions on the walking path and picnic area, while not severely impacting the natural wildlife habitat in and around this given area. The project cost for the lighting improvements is $5,600.00- materials only. The labor involved in completing the project will be performed by City of Lodi personnel, and associated labor costs borne by participating departments. RESOLUTION NO. 99-46 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO PROVIDE A PUBLIC BENEFITS CHARGE (PBC) GRANT TO HAZEL'S RESTAURANT 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 a historical electric revenue requirement; and WHEREAS, the requirement amount to approximately $1M 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, following the Electric Utility Department's review of Hazel's Restaurant, two specific energy conservation measures emerged: 1.) The first component entails the purchase and installation of a new, high efficiency air conditioning/heating unit. The 4 -ton commercial single pack unit contains an integrated economizer, which allows a fixed percentage of outdoor ventilation air through the unit. An outdoor thermostat on the unit detects when it is appropriate to bring in outdoor air whenever the temperature of the outdoor air alone is sufficient to provide indoor cooling. This unique feature not only saves energy, but also prolongs the life of the air conditioning/heating unit. 2.) The second phase of the Hazel's Restaurant demand-side management project entails the purchase and installation of one (1) energy efficient Halo Heat convection oven. This cooking unit will cook and hold foods, using only one- third to one-half the energy of conventional cooking or warming equipment. In addition, the installation of this particular piece of equipment is an excellent example of fuel -switching, whereby the customer utilizes electricity over other forms of energy, to operate a state-of-the-art, highly efficient component. WHEREAS, the actual Public Benefits Program grant of $3,735.00 represents 25% of the total installed cost of the aforementioned projects. The total demand-side management project request for Hazel's Restaurant is $14,939.00; and WHEREAS, the Electric Utility Department recommends that the City provide a PBC grant of $3,735.00 toward the above upgrades and include the cost of the grant as part of the City's required PBC outlay. BE IT RESOLVED, that the Lodi City Council hereby authorizes the City Manager to provide a Public Benefits Charge (PBC) Grant in the amount of $3,735.00 to Hazel's Restaurant. Dated: March 17, 1999 ------------------------------------------------------------------------ ------------------------------------------------------------------------ I hereby certify that Resolution No. 99-46 was passed and adopted by the Lodi City Council in a regular meeting held March 17, 1999 by the following vote: AYES: COUNCIL MEMBERS — Hitchcock, Nakanishi, Pennino and Land (Mayor) NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — Mann ditow A. � ALICE M. REIMCHE City Clerk 99-46 RESOLUTION NO. 99-47 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO PROVIDE A PUBLIC BENEFITS CHARGE (PBC) GRANT TO CITY OF LODI PARKS & RECREATION 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 a historical electric revenue requirement; and WHEREAS, the requirement amount to approximately $1M 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, following the Electric Utility Department's review of the City of Lodi Parks & Recreation Department Lodi Lake Youth Area Lighting Project, one specific energy conservation measure emerged: 1.) This Public Benefits Program Grant for a total of $5,600.00 would be utilized for the purchase of five (5) new energy efficient lights and related materials at the Lodi Lake Youth Area. Currently, the lighting in this specific area is grossly inadequate to meet the needs of the general public utilizing this picnic and social area. The increased lighting will provide improved visibility and safety for dusk and evening functions on the walking path and picnic area, while not severely impacting the natural wildlife habitat in and around this given area. WHEREAS, the actual Public Benefits Program grant of $5,600.00 represents the cost of the materials only. The labor involved in completing the project will be performed by City of Lodi personnel, and associated labor costs borne by participating departments; and WHEREAS, the Electric Utility Department recommends that the City provide a PBC grant of $5,600.00 toward the above upgrade and include the cost of the grant as part of the City's required PSC outlay. BE IT RESOLVED, that the Lodi City Council hereby authorizes the City Manager to provide a Public Benefits Charge (PBC) Grant in the amount of $5,600.00 to the City of Lodi Parks & Recreation Department Lodi Lake Youth Area Lighting Project. Dated: March 17, 1999 ------------------------------------------------------------------- ------------------------------------------------------------------- I hereby certify that Resolution No. 99-47 was passed and adopted by the Lodi City Council in a regular meeting held March 17, 1999 by the following vote: AYES: COUNCIL MEMBERS — Hitchcock, Nakanishi, Pennino and Land (Mayor) NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — Mann A,,eh-Id ALICE M. R MCHE City Clerk 99-47