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HomeMy WebLinkAboutAgenda Report - October 6, 1999 E-18rr ,tOF� COUNCILCITY OF LODI 1 LL AGENDA TITLE: Public Benefits Program Grant — Comprehensive Engineered/Energy Analysis for Interlake Material Handling, Inc. ($7,996) MEETING DATE: October 6, 1999 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: That the City Council approve a Public Benefits Program grant in the amount of $7,996 for a comprehensive engineered/energy analysis for Interlake Material Handling, Inc., which represents the first phase of this company's energy conservation effort. BACKGROUND INFORMATION: Utilizing the City of Lodi's energy services partner, Energy Masters International, the Electric Utility Department would like to embark upon a detailed or comprehensive energy assessment for Interlake Material Handling, Inc. After numerous site visits and discussions with representatives of Interlake (located at 1029 S. Sacramento Street), it has been determined that this particular industrial customer has an opportunity to capture energy, as well as operations and maintenance savings by retrofitting the existing lighting system. During the initial site evaluation, our energy survey team has determined that a plant and office lighting retrofit is the most advantageous energy conservation measure currently available for Interlake. The aforementioned comprehensive energy/engineered analysis (energy assessment) will outline the most energy efficient, and cost effective, lighting upgrade system feasible for this facility. Similar assessments have been conducted utilizing Public Benefits Program grant dollars, for customers such as Twin Arbors Athletic Club, Wallace Computer Services, Lodi Grape & Harvest Festival, and the City of Lodi. Interlake Materials Handling, Incorporated occupies several buildings for its manufacturing operations (with over 144,000 square feet of space) along South Sacramento Street, which employs over 150 people. Interlake consumes in excess of 4.6 million kWh of electricity annually, and is now constructing an additional warehouse facility to store finished product at the corner of Guild Avenue and Highway 12. The City of Lodi Electric Utility respectfully recommends approval of this grant as a qualifying component of the City of Lodi's Public Benefit Program. FUNDING: 160604 — Public Benefits Program Fund (Category: Demand-side Management) Funding Approval: Vicky McAthie, Finance Director Alan N. Vallow Electric Utility Director PREPARED BY: ANV/RUIst APPROVED: Rob Lechner, Manager of Customer Programs H. Dixbn Flynn - City Manager RESOLUTION NO. 99-153 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO PROVIDE A PUBLIC BENEFITS PROGRAM GRANT -PHASE II STUDY: COMPREHENSIVE ENGINEERED/ENERGY ANALYSIS FOR INTERLAKE MATERIAL HANDLING, INC. ---------------------------------------------------------------- ---------------------------------------------------------------- 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 amounts to approximately $11M 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 Electric Utility, in partnership with Energy Masters, International, has completed a preliminary energy assessment of Interlake Material Handling, Inc. located at 1029 S. Sacramento Street. As a result of this preliminary assessment, it has been determined that a plant and office lighting retrofit is the most advantageous energy conservation measure currently available for Interlake. A comprehensive engineered/energy analysis (energy assessment) will outline the most energy efficient and cost effective lighting upgrade system feasible for this facility; and WHEREAS, the Electric Utility Department recommends that the City provide a Public Benefits Program Grant of $7,996.00 for a comprehensive engineered/energy analysis for Interlake Material Handling, Inc., which represents the first phase of Interlake's energy conservation effort. BE IT RESOLVED, that the Lodi City Council hereby authorizes the City Manager to provide a Public Benefits Program Grant in the amount of $7,996.00 to Interlake Material Handling, Inc., for a comprehensive engineered/energy analysis which represents the first phase of Interlake's energy conservation effort. Dated: October 6, 1999 ------------------------------------------------------------------- I hereby certify that Resolution No. 99-153 was passed and adopted by the Lodi City Council in a regular meeting held October 6, 1999 by the following vote: AYES: COUNCIL MEMBERS — Mann, Nakanishi and Land (Mayor) NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — Hitchcock ABSTAIN: COUNCIL MEMBERS — Pennino jht,) 'k - ALICE M. REI CHE City Clerk 99-153