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Home My WebLink AboutAgenda Report - November 17, 2021 G-02 PHAGENDA ITEM Go -2, CITY OF LODI COUNCIL COMMUNICATION TM AGENDA TITLE: Public Hearing to Introduce Ordinance Amending Lodi Municipal Code Title 13 "Public Services," Chapter 13.20 "Electrical Service," Article III "Rates" by Repealing and Reenacting Section 13.20.315 — Schedule EDR — Economic Development Rates MEETING DATE: November 17, 2021 PREPARED BY: Business Development Manager RECOMMENDED ACTION: Public hearing to introduce an ordinance amending Lodi Municipal Code Chapter Title 13 "Public Services," Chapter 13.20 "Electrical Service," Article III "Rates" by repealing and reenacting Section 13.20.315 - Schedule EDR - Economic Development Rates. BACKGROUND INFORMATION- Since 2011, Lodi Electric Utility (LEU) has offered businesses two temporary electric rate discounts - one for new businesses and one for new jobs. Staff are currently recommending a modification to the New Jobs Rate (NJR) discount included as part of LEU's Economic Development Rates (EDR). No modification is proposed to the New Business Rate (NBR) at this time. The current NJR discount offers commercial and industrial customers who add at least one, new full-time position, and maintain the position for a 12 -month period, a monthly discount of two percent on their electric consumption charges. The discount increases as the number of new positions increase up to a maximum of eight percent per month for ten or more new positions. The discount is annual, must be renewed annually, and is subject to validation by submitting documentation on full-time positions. The modified NJR discount program proposed by staff would offer new and existing commercial and industrial customers adding more than 20 jobs - an eight percent discount for more than one year for choosing Lodi as opposed to another service territory while maintaining the existing program for customers creating one to 20 new jobs. The modified program offers a discount for the new employees hired in year one and extends the benefits over a maximum of five years as long as the number of jobs are not eliminated from the eligible customer's workforce. The modified program is proposed as follows: No. of New Positions No. of Years (a_ 8% Discount 21-30 2 years 31-40 3 years 41-50 4 years >50 5 vears APPROVED: Steve SCilwabaUer Stephen Schwabauer, City Manager Public Hearing to Introduce Ordinance Amending Lodi Municipal Code Chapter 13.20 — "Electrical Service" by Repealing and Reenacting Section 13.20.315 — Schedule EDR — Economic Development Rates November 17, 2021 Page 2 FISCAL IMPACT: The fiscal impact will depend on the number of customers who become eligible for the existing and modified NJR discount, as well as the number of jobs added. FUNDING AVAILABLE: The EDR discounts are funded through LEU operating funds. Andrew Keys Andrew Keys Deputy City Manager/Internal Services Director Astrida Trupovnieks Astrida Trupovnieks Business Development Manager Signature: $ATrrm ekd Signature: Q "r /ll�� Email: atrupovnieks@lodi.gov Email: akeys@lodi.gov ORDINANCE NO AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE 13 "PUBLIC SERVICES", CHAPTER 13.20 "ELECTRICAL SERVICE", ARTICLE III "RATES" BY REPEALING AND REENACTING SECTION 13.20.315 "SCHEDULE EDR-ECONOMIC DEVELOPMENT RATES" IN ITS ENTIRETY BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS: SECTION 1. Lodi Municipal Code Title 13 "Public Services" Chapter 13.20 "Electrical Service", Article III "Rates" is hereby amended by repealing and reenacting Section 13.20.315 "Schedule EDR-Economic Development Rates" in its entirety. Section 13.20.315 shall read as follows: SECTION 13.20.315 SCHEDULE EDR-ECONOMIC DEVELOPMENT RATES Applicability: A. New Business Rate (NBR) Discount. NBR discount, applicable to any new commercial or industrial customer that locates their operations/business in the city of Lodi and receives electric utility service from the city of Lodi, with the following stipulations: a customer assigned to the G1 electric utility rate shall receive a discount for twelve consecutive months of twenty-five dollars per month; and, customers assigned to the G2, G3, G4, G5, or 11 electric utility rate shall receive a discount for twelve consecutive months of five percent; and this rate discount may not be combined with any other electric discount or rate, including but not limited to the NJR discount, and shall only apply to the base rate. Surcharges including, but not limited to, the California Energy Commission fee, public benefits charge, state energy tax, and other assessments or charges after the date of this rate schedule shall not be subject to this discount. B. New Jobs Rate (NJR) Discount. NJR discount, applicable to any commercial or industrial customer that adds a minimum of one full-time position, and retains that position for at least twelve consecutive months, with the following stipulation; a two percent discount for one to three new positions; four percent discount for four to six new positions; six percent discount for seven to nine positions; eight percent discount for ten to twenty new positions. NJR discount, applicable to any commercial or industrial customer that adds 21 to 30 new, full-time positions, and retains those positions for 24 consecutive months, an eight percent discount; that adds 31-40 positions and retains those positions for 36 consecutive months, an eight percent discount, that adds 41-50 positions and retains those positions for 48 months; an eight percent discount; and; that adds greater than 50 positions and retains those positions for 60 consecutive months, an eight percent discount. The discount will remain in effect if the number of new positions remain funded for the corresponding time period. The maximum discount available is eight percent; all discounts and time periods the discount remains in effect are contingent on the number of new, full-time employees added at the time of application; all discounts are subject to submission and validation of reports, as specified by the City. This rate discount may not be combined with any other electric discount or rate, including but not limited to the NBR discount, and shall only apply to the base rate. Surcharges including, but not limited to, the California Energy Commission fee, public benefits charge, state energy tax, and other assessments or charges after the date of this rate schedule shall not be subject to this discount. C. The rate schedules referenced above shall be effective on applicable electric utility billings prepared by the city of Lodi on or after January 1, 2022. SECTION 2 No Mandatory Duty of Care. This ordinance is not intended to and shall not be construed or given effect in a manner which imposes upon the City, or any officer or employee thereof, a mandatory duty of care towards persons or property within the City or outside of the City so as to provide a basis of civil liability for damages, except as otherwise imposed by law. SECTION 3. Severability. If any provision of this ordinance or the application thereof to any person or circumstances is held invalid, such invalidity shall not affect other provisions or applications of the ordinance which can be given effect without the invalid provision or application. To this end, the provisions of this ordinance are severable. The City Council hereby declares that it would have adopted this ordinance irrespective of the invalidity of any particular portion thereof. SECTION 4 All ordinance and parts of ordinances in conflict herewith are repealed insofar as such conflict may exist. SECTION 5. Effective Date and Publication. This ordinance shall take effect on January 1, 2022. In lieu of publication of the full text of the ordinance within fifteen (15) days after its passage, a summary of the ordinance may be published at least five (5) days prior to and fifteen (15) days after adoption by the City Council, and a certified copy shall be posted in the office of the City Clerk pursuant to Government Code section 36933(c) (1). ATTEST: JENNIFER CUSMIR City Clerk State of California County of San Joaquin Approved this day of , 2021. ALAN NAKANISHI Mayor I, Jennifer Cusmir, City Clerk of the City of Lodi, do hereby certify that Ordinance No. was introduced at a regular meeting of the City Council of the City of Lodi held November 17, 2021, and was thereafter passed, adopted, and ordered to print at a regular meeting of said Council held December 1, 2021, by the following vote: AYES: COUNCIL MEMBERS - NOES: COUNCIL MEMBERS - ABSENT: COUNCIL MEMBERS - ABSTAIN: COUNCIL MEMBERS - I further certify that Ordinance No. was approved and signed by the Mayor on the date of its passage and the same has been published pursuant to law. JENNIFER CUSMIR City Clerk Approved as to Form: JANICE D. MAGDICH City Attorney Ec rR�c U1'1 LIZ Economic Development Discount Rate 1P Economic Development Rate Discount 1 2 1-10 $46,000 $46,000 11-20 $46, 000 $46, 000 21-30 $46, 000 $46, 000 $92, 000 31-40 $46,000 $46, 000 $46,000 $138,000 41-50 $461000 $461000 $461000 $46, 000 $184, 000 >50 $46, 000 $46, 000 $467000 $46, 000 $467000 $230, 000 Eligibility Criteria 1 4 u` rll +1 ! POSTIN �� AGN°�� ORDINANCE NO. 1989 AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE 13 .— PUBLIC SERVICES =CHAPTER 13,20, "ELECTRICAL SERVICE," ARTICLE III, "RATES," BY REPEALING AND REENACTING SECTION 13.20.310, "SCHEDULE EDR — ECONOMIC DEVELOPMENT RATES," IN ITS ENTIRETY On Thursday, November 18, 2021, in the City of Lodi, San Joaquin County, California, a certified copy of Ordinance No. 1989 (attached hereto, marked Exhibit "A") was posted in the Lodi City Clerk's Office. I declare ander penalty of perjury that the foregoing is true and correct. Executed on November 18, 2021, at Lodi, California. c=, ;Z-�AAaQ Pamela M. 1° . rns Assistant City Clerk ordsum mari es\aaDecPos t. doe ORDERE=D BY: JENNIFER CUSMIR CITY CLERK Kaylee Clayton Administrative Clerk ORDINANCE NO. 1989 AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE 13 — PUBLIC SERVICES — CHAPTER 13.20, "ELECTRICAL_ SERVICE," ARTICLE III, "RATES," BY REPEALING AND REENACTING SI-CTION '13.2.0,315, "SCHEDULE EDR - ECONOMIC DEVELOPMENT RATES," IN 1"1-S ENTIRETY BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS: SECTION 1. Lodi Municipal Code Title 13 — Public Services — Chapter 13.20, "Electrical Service," Article III, "Rates," is hereby amended by repealing and reenacting Section 13.20.315, "Schedule EDR - Economic Development Rates," in its entirety. Section 13.20.315 shall read as follows: SECTION 13.20.315 SCHEDULE EDR - ECONOMIC DEVELOPMENT RATES Applicability: A. New Business Rate (NBR) Discount. NBR discount, applicable to any new corrunercial or industrial customer that locates their operations/business in the City of Lodi and receives electric utility service from the City of Lodi, with the following stipulations: a customer assigned to the G1 electric utility rate shall receive a discount for twelve consecutive months of twenty-five dollars per month; and, customers assigned to the G2, G3, G4, G5, or 11 electric utility rate shall receive a discount for twelve consecutive months of five percent; and this rate discount may not be combined with any other electric discount or rate, including but not limited to the NJR discount, and shall only apply to the base rate. Surcharges including, but not limited to, the California Energy Commission fee, public benefits charge, state energy tax, and other assessments or charges after the date of this rate schedule shall not be subject to this discount. B. New Jobs Rate (NJR) Discount. NJR discount, applicable to any commercial or industrial customer that adds a minimum of one full-time position, and retains that position for at least twelve consecutive months, with the following stipulation; a two percent discount for one to three new positions; four percent discount for four to six new positions; six percent discount for seven to nine positions; eight percent discount for ten to twenty new positions. NJR discount, applicable to any commercial or industrial customer that adds 21 to 30 new, full-time positions, and retains those positions for 24 consecutive months, an eight percent discount; that adds 31-40 positions and retains those positions for 36 consecutive rrionths, an eight percent discount; that adds 41-50 positions and retains those positions for 48 months, an eight percent discount; and that adds greater than 50 positions and retains those positions for 60 consecutive months, an eight percent discount. The discount will remain in effect if the number of new positions remain 'funded for the corresponding time period. The maximum discount available is eight percent; all discounts and time periods the discount remains in effect are contingent on the number of new, full-time employees added at the time of application; all discounts are subject to submission and validation of reports, as- specified sspecified by the City. This rate discount may not be combined with any other electric discount or rate, including but not limited to the NBR discount, and shall only apply to the base rate. Surcharges including, but not limited to, the California Energy Commission fee, public benefits charge, state energy tax, and other assessments or charges after the date of this rate schedule shall not be subject to this discount. C. The rate schedules referenced above shall be effective on applicable electric utility billings prepared by the City of Lodi on or after January 1, 2022. S1rC`f ION 2 No Mandatory Duty Of C -21M. This ordinance is not intended to and shall not be construed or given effect in a manner which imposes upon the City, or any officer or employee thereof, a mandatory duty of care towards persons or property within the City or outside of the City so as to provide a basis of civil liability for damages, except as otherwise imposed by law. SECTION 3. Severability,. If any provision of this ordinance or the application thereof to any person or circumstances is hold invalid, such invalidity shall not affect other provisions or applications of the ordinance which can be given effect without the invalid provision or application. To this end, the provisions of this ordinance are severable. The City Council hereby declares that it would have adopted this ordinance irrespective of the invalidity of any particular portion thereof. 4y �7 iN 4 All ordinance and parts of ordinances in conflict herewith are repealed insofar as such conflict may exist. 'lbw . Effective Date and F UbligZt icon. ]-his ordinance shall take effect on January '1, 2022. In lieu of publication of the full text of the ordinance within fifteen (15) days after its passage, a summary of the ordinance may be published at least five (5) days prior to and fifteen (15) days after adoption by the City Council, and a certified copy shall be posted in the office of the City Clerk pursuant to Government Code section 36933(c) (1). ATT�E ST: JENNIFER CU_ SMIR City Clerk State of California County of San Joaquin Approved this day of � k 2021. ALAN NARANISHI Mayor I, Jennifer Cusmir, City Clerk of the City of Lodi, do hereby certify that Ordinance No. '1939 was introduced at a regular meeting of the City Council of the City of Lodi held November 17, 2021, and was thereafter passed, adopted, and ordered to print at a regular meeting of said Council held December 1, 2021, by the following vote: AYES: COUNCIL. MEMBERS - NOES: COUNCIL MEMBERS -• ABSENT: COUNCIL MEMBERS ABSTAIN: COUNCIL MEMBERS -- I I further certify that Ordinance No. 1939 was approved and signed by the Mayor on the date of its passage and the same has been published pursuant to law. JENNIFER CUSMIR City Clerk Approved as to Form: ,1ANICE D. MAGIDICH City Attorney 'Tho forcq)oIng d0CW--Y1(1M b, QQAjil0ci JQ tic. Coric;4t Copy of tho orlgln al on Ajl<, in th(o City Cjior•tc's ()IrjQQ. A��i4t6nt City C i)rtc, Q6ty Qf LOA! vatoci: �w,�941 Pleasei�zmediately confirm receipt s this fax by calling 333-670. CITY OF LODI P. O. BOX 3006 LODI, CALIFORNIA 952414910 ADVERTISING INSTRUCTIONS SUBJECT: JECT: SUMMARY OF ORDINANCE NO. 1987 - NO. 1989 pUBL1$H DATE: SATURDAY, NOVEMBER 20, 2021 4 I TEAR SHEETS WANTED:�I SEND AFFIDAVIT AND BILL TO: JENNIFER CUSMIR, CITY CLERK LN3 ACCT. 05100152 City of Lodi P.O. Box 3006 Lodi, CA 95241-1910 DATED: THURSDAY, NOVEMBER 18, 2021 ORDERED BY: JENNIFER CUSMIR CITY CLERK PAMELA M. FARRIS KAYLEE CLAYTON ASSISTANT CITY CLERK ADMINISTRATIVE CLERK Verify Appoaranco Y Legal the Newspaper Copy I Emailed to he Sentinel at legals@lodMews.com at 21.[a (time)on (date) \\cvcfi1v01\Ad in istration$Wdministration\CLERK\OrdSu nunarieMdvins, doc CITY OF LODI ORDINANCE NO. 1987 AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE 17 — DEVELOPMENT CODE — ARTICLE 3, "SITE PLANNING AND GENERAL DEVELOPMENT STANDARDS," CHAPTER 17.36 "STANDARDS FOR SPECIFIC LAND USES," BY REPEALING AND REENACTING LODI MUNICIPAL CODE SECTION 17.36.130, "SECOND DWELLING UNITS." The purpose of this ordinance is to amend the Lodi Municipal Code to be compliant with State Accessory Dwelling Unit and Junior Accessory Dwelling Unit development standards within the City for efficient implementation. Introduced November 3, 2021. Adopted November 17, 2021 and effective December 17, 2021. AYES: Chandler, Khan, Kuehne, and Mayor Nakanishi; NOES: None; ABSENT: Hothi. ORDINANCE NO. 1988 AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE 17 — DEVELOPMENT CODE — ARTICLE 3, "SITE PLANNING AND GENERAL DEVELOPMENT STANDARDS," CHAPTER 17.36 "STANDARDS FOR SPECIFIC LAND USES," BY ADDING SECTION 17.36.150, "SMALL CELL WIRELESS TELECOMMUNICATION FACILITIES IN THE PUBLIC RIGHT OF WAY." The purpose of this ordinance is to ensure compliance with Federal Communications Commission orders regarding application timeline/turnaround and fees, as well as address policy, public safety, land -use, and right-of-way issues for small cell wireless telecommunication facilities in the public right-of-way. Introduced November 17, 2021. Adoption to be considered December 1, 2.021. AYES: Chandler, Khan, Kuehne, and Mayor Nakanishi; NOES: None; ABSENT: Hothi. ORDINANCE NO. 1989 AN ORDINANCE OF THE LODI CITY COUNCIL AMENDING LODI MUNICIPAL CODE TITLE 13 — PUBLIC SERVICES —CHAPTER 13.20, "ELECTRICAL SERVICE," ARTICLE III, "RATES," BY REPEALING AND REENACTING SECTION 13.20.315, "SCHEDULE EDR — ECONOMIC DEVELOPMENT RATES," IN ITS ENTIRETY. The purpose of this ordinance is to modify the New Jobs Rate (NJR) discount program for Lodi Electric Utility's commercial and industrial customers creating more than 20 new jobs. Introduced November 17, 2021. Adoption to be considered December 1, 2021. AYES: Chandler, Khan, Kuehne, and Mayor Nakanishi; NOES: None; ABSENT: Hothi. Jennifer Cusmir, City Clerk City of Lodi November 17, 2021 Certified copies of the full text of these ordinances are available in the office of the Lodi City Clerk. Please immediately confirm receipt of this fax by calling 333-6702 CITY OF LODI P.O. BOX 3006 LODI, CALIFORNIA 95241-1910 ADVERTISING INSTRUCTIONS SUBJECT: NOTICE OF PUBLIC HEARING TO CONSIDER INTRODUCING ORDINANCE AMENDING LODI MUNICIPAL CODE CHAPTER 13.20, "ELECTRICAL SERVICE," BY REPEALING AND REENACTING SECTION 13.20.315 (B) AND (C), "SCHEDULE EDR — ECONOMIC DEVELOPMENT RATES," IN ITS ENTIRETY PUBLISH DATE: SATURDAY, OCTOBER 31, 2021 SATURDAY NOVEMBER 6, 2021 SATURDAY, NOVEMBER 13, 2021 TEAR SHEETS WANTED: One (1) please SEND AFFIDAVIT AND BILL TO: JENNIFER CUSMIR, CITY CLERK LNS ACCT. #5100152 City of Lodi P.O. Box 3006 Lodi, CA 95241-1910 DATED: THURSDAY, OCTOBER 21, 2021 ORDERED BY: JENNIFER CUSMIR CITY CLERK PAMELA M. FARRIS ASSISTANT CITY CLERK d L •SLI`.[ "��i KAYLE CLAYTON I ADMINISTRATIVE CLERK Emailed to the Sentinel at legals@lodinews.com at f(J.IL) (time) on 1 ` Zt z1 (date)(pages) forms\advins.doc X DECLARATION OF POSTING NOTICE OF PUBLIC HEARING TO CONSIDER INTRODUCING ORDINANCE AMENDING LODI MUNICIPAL CODE CHAPTER 13.20, "ELECTRICAL SERVICE," BY REPEALING AND REENACTING SECTION 13.20.315 (B) AND (C), "SCHEDULE EDR — ECONOMIC DEVELOPMENT RATES," IN ITS ENTIRETY On Thursday, October 21, 2021, in the City of Lodi, San Joaquin County, California, a copy of a Notice of Public Hearing to consider introducing an ordinance amending Lodi Municipal Code Chapter 13.20, "Electrical Service," by repealing and reenacting Section 13.20.315 (B) and (C), "Schedule EDR — Economic Development Rates," in its entirety (attached hereto, marked Exhibit "A") was posted at the following locations: Lodi City Clerk's Office Lodi City Hall Lobby Lodi Carnegie Forum WorkNet Office I declare under penalty of perjury that the foregoing is true and correct. Executed on October 21, 2021, at Lodi, California. PAMELA FARRIS ASSISTANT CITY CLERK ORDERED BY: JENNIFER CUSMIR CITY CLERK KAYL CLAYTON ADMINISTRATIVE CLERK \\cvcfilv01\administration$\Administration\CLERK\Publie Hearings\AFFADAVITS\DECPOST 1. DOC CITY OF LODI Carnegie Forum 4'�"• 305 West Pine Street, Lodi NOTICE OF PUBLIC HEARING Date: November 17, 2021 Time: 7:00 p.m. For information regarding this notice please contact: Jennifer Cusmir City Clerk Telephone: (209) 333-6702 NOTICE OF PUBLIC HEARING NOTICE IS HEREBY GIVEN that on Wednesday, November 17, 2021, at the hour of 7:00 p.m., or as soon thereafter as the matter may be heard, the City Council will conduct a public hearing at the Carnegie Forum, 305 West Pine Street, Lodi, to consider the following matter: a) Introducing an ordinance amending Lodi Municipal Code Chapter 13.20, "Electrical Service," by repealing and reenacting Section 13.20.315 (B) and (C), "Schedule EDR — Economic Development Rates," in its entirety. Information regarding this item may be obtained by contacting the Business Development Manager, Lodi Electric Utility, 221 West Pine Street, Lodi, (209) 333-6874. All interested persons are invited to present their views and comments on this matter. Written statements may be filed with the City Clerk, City Hall, 221 West Pine Street, 2nd Floor, Lodi, 95240, at any time prior to the hearing scheduled herein, and oral statements may be made at said hearing. If you challenge the subject matter in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice or in written correspondence delivered to the City Clerk, 221 West Pine Street, at or prior to the close of the public hearing. By Order f the Lodi City Council: ifer Cu it ity Clerk Dated: October 20, 2021 Approved as to form: r Jany Magdich City Attorney AVISO: Para obtener ayuda interpretativa con esta noticia, por favor Ilame a la oficina de la Secretaria Municipal, a las (209) 333-6702. L 1 A CLEMPUBHEAMNOTICESWaleud 10/14/21