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HomeMy WebLinkAboutAgenda Report - November 1, 2017 C-11TM CITY OF LODI COUNCIL COMMUNICATION AGENDA ITEM Caus I 1 AGENDA TITLE: Adopt Resolution Authorizing City Manager to Apply for State Revolving Fund Green Project Reserve Funding for Purchase and Installation of Replacement Aeration Blowers at White Slough Water Pollution Control Facility and Authorizing City Manager to Execute All Related Documents MEETING DATE: November 1, 2017 PREPARED BY: Public Works Director RECOMMENDED ACTION: Adopt resolution authorizing City Manager to apply for State Revolving Fund Green Project Reserve Funding for purchase and installation of replacement aeration blowers at White Slough Water Pollution Control Facility and authorizing City Manager to execute all related documents. BACKGROUND INFORMATION: The State Water Resources Control Board (SWRCB) has a program that, in the form of a grant, forgives up to 50 percent of the loan principal for Clean Water State Revolving Fund (CWSRF) Green Project Reserve (GPR) projects. For projects to be eligible, GPR projects must qualify for CWSRF funding, address water or energy efficiency, mitigate storm water runoff, or encourage sustainable project planning, design and construction. There are currently four, 350 -horsepower, constant speed aeration blowers to supply dissolved oxygen for the six aeration basins at the White Slough Water Pollution Control Facility (WSWPCF). Since the aeration demand (dissolved oxygen dosage) varies as flow conditions change, the existing, constant - speed blowers utilize inlet throttling valves to pace the aeration demand by restricting airflow during times when aeration demand is less. The requested CWSRF funding is intended to replace two of the four existing, constant speed aeration blowers with variable speed blowers. The variable speed blowers will be used in concert with the existing blowers to pace the aeration demand by either speeding up, or slowing down, as demand varies. This operational method is much more energy efficient than using inlet throttling valves to restrict the air being delivered by the constant speed blowers. The replacement blowers are expected to save the City's wastewater utility approximately $250,000 per year in energy costs while providing more accurate aeration dosage control. The funding application will be prepared in partnership by City staff and Schneider Electric, a national energy services performance contracting firm. If this Council action is approved, the application will be submitted in early 2018. If the CWSRF funding request is approved, the funds will be available next fiscal year. At that time and following a consultant selection process, Council will be asked to approve the design agreement(s) and appropriate funds. en - •auer, City Manager K:\WP\COUNCIL\2017\CC_Grant Fund Request WSWPCF.doc 10/24/2017 Adopt Resolution Authorizing City Manager to Apply for State Revolving Fund Green Project Reserve Funding for Purchase and Installation of Replacement Aeration Blowers at White Slough Water Pollution Control Facility and Authorizing City Manager to Execute All Related Documents November 1, 2017 Page 2 FISCAL IMPACT: Not applicable. FUNDING AVAILABLE: The estimated project budget is approximately $825,000, including staff time and contingencies. If the project is GPR approved, up to 50 percent of the CWSRF loan principle will be forgiven in the form of a grant. The City would directly fund the remaining portion of the project costs using wastewater capital outlay funds, public benefit funds, or some combination of both, to avoid incurring debt service charges. Charles E. Swimley, Jr. Public Works Director CES/CES/tdb K:\WP\COUNCIL\2017\CC_Grant Fund Request WSWPCF.doc 10/24/2017 RESOLUTION NO. 2017-204 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO APPLY FOR STATE REVOLVING FUND GREEN PROJECT RESERVE FUNDING FOR PURCHASE AND INSTALLATION OF REPLACEMENT AERATION BLOWERS AT WHITE SLOUGH WATER POLLUTION CONTROL FACILITY; AND FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE ALL RELATED DOCUMENTS WHEREAS, the State Water Resources Control Board (SWRCB) has a program that, in the form of a grant, forgives up to 50 percent of the loan principal for Clean Water State Revolving Fund (CWSRF) Green Project Reserve (GPR) projects; and WHEREAS, for projects to be eligible, GPR projects must qualify for CWSRF funding, address water or energy efficiency; mitigate storm water runoff; or encourage sustainable project planning, design, and construction; and WHEREAS, the requested CWSRF funding is intended to replace two of the four existing constant -speed aeration blowers with variable -speed blowers. The variable -speed blowers will be used in concert with the existing blowers to pace the aeration demand by either speeding up or slowing down, as demand varies. This operational method is much more energy efficient than using inlet throttling valves to restrict the air being delivered by the constant -speed blowers. The replacement blowers are expected to save the City's wastewater utility approximately $250,000 per year in energy costs while providing more -accurate aeration dosage control; and WHEREAS, staff recommends that the City Council authorize the City Manager to apply for the State Resolving Fund Green Project Reserve Funding for purchase and installation of replacement aeration blowers at White Slough Water Pollution Control Facility and authorize the City Manager to execute all related documents. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council does hereby authorize the City Manager to apply for State Revolving Fund Green Project Reserve Funding for purchase and installation of replacement aeration blowers at White Slough Water Pollution Control Facility and authorize the City Manager to execute all related documents. Dated: November 1, 2017 I hereby certify that Resolution No. 2017-204 was passed and adopted by the City Council of the City of Lodi in a regular meeting held November 1, 2017, by the following vote: AYES: COUNCIL MEMBERS — Chandler, Nakanishi, and Mayor Kuehne NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — Johnson and Mounce ABSTAIN: COUNCIL MEMBERS — None NIFER ► . F RRAIOLO City Clerk 2017-204