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HomeMy WebLinkAboutAgenda Report - April 5, 1995 (93)CIW OF LODI COUNCIL COMMUNICATION AGENDA TITLE: Utility Dill Policies (Donations) MEETING DATE: April 5, 1995 PREPARED BY: Finance Director RECOMMENDATION: Authorize the Finance Department to begin a two year pilot program to allow City utility customers to donate $1 and up in even dollar amounts per month to "Reach" and to the Lodi Unified School District for classroom computers and educational activities (the donation to be split 50/50). BACKGROUND Reach Program Pacific Gas & Electric provides its' utility customers with the opportunity to donate to "Reach". This is a program managed by the Salvation Army to provide one time assistance to utility customers in paying their utility bill. In the past, the Lodi branch of the Salvation Army has used donations made by PG&E to assist Lodi's Electric Utility customers. The Reach Program has benefited both the City and the City's utility customers. The customer receives assistance on a one time basis in paying their utility bill when faced with the service being terminated. The customer is also provided with financial counseling and may be referred to other agencies for additional help. The City benefits by receiving payment for delinquent bills and has a resource to refer people for counseling and assistance. Without this resource, City staff would have to spend a significant amount of time assisting a few people. The Salvation Army receives approximately $30,000 per year from Pacific Gas and Electric for "Reach". Under the pilot program, the City would allow utility customers to donate fi­om $1 and up in even dollar amounts on their utility bill to "Reach - Lodi" and the Lodi Unified School District (the donation split 50/50). The funds collected would be forwarded to the Lodi Branch of the Salvation Army to match the donation made by PG&E customers and to LUSD for classroom computers and supplies.. Under "Reach -Lodi", the Salvation Army would be authorized to provide financial assistance to City customers under the same rules and conditions of the Reach Program sponsored by PG&E, except, donations by City customers could be used to pay the water, sewer and garbage bills. APPROVED: THOMAS A. PETERSON recycled paper City Manager A cc -1 The donations to "Reach - Lodi would be capped at the level of the PG&E contribution. Lodi Unified School District The reasons for recommending donations be given to the Lodi Unified School District are summarized as follows: Lodi Unified School District, like most California schools, needs funding for school programs. The donations to LUSD would be for classroom computers and supplies and would be distributed to schools in the corporate limits of Lodi. Lodi residents may be more supportive of the donation program if the donations have a wider community benefit. IMPLEMENTATION If this recommendation is approved by the City Council, staff would begin discussions with the Salvation Army and the Lodi Unified School District to establish agreements as to the use of the donations and procedures to be implemented for fund transfers. The program could be implemented by late Fall unless there are unseen difficulties. FUNDING None. The cost to the City would be the staff time to implement and account for funds received. Dixon Flynn Finance Director