HomeMy WebLinkAboutAgenda Report - October 16, 2002 E-27CITY OF LODI COUNCIL COMMUNICATION
AGENDA TITLE: Adopt a resolution authorizing the City Manager to provide funding for the following Public
Benefit Programs: Valley Industries Lighting Retrofit/Demand-side Management Project
($39,794.00), and Right Way/Old Farmers & Merchants Bank building Demand-side
Management Project ($7,619.83) (EUD)
MEETING DATE: October 16, 2002
PREPARED BY: Electric Utility Director
RECOMMENDED ACTION: That the City Council adopt a resolution authorizing the City Manager to provide
funding for the following Public Benefit Programs: Valley Industries Lighting
Retrofit/Demand-side Management Project ($39,794.00), and Right Way/Old Farmers
& Merchants Bank building Demand-side Management Project ($7,619.83).
BACKGROUND INFORMATION: Project One: Valley Industries, located at 1313 S. Stockton Street, has
embarked upon one of the largest lighting retrofits since the inception of
Lodi's Public Benefits Program in mid-1998. The lighting retrofit is in two
phases, the first of which is now complete, and the second phase is slated
for installation by November of this year.
Specifically, Valley Industries is removing all existing lighting from the manufacturing plant (nearly 86,000 square feet
of space) in 2002, and replacing the aging, inefficient lighting with the following high efficiency product:
➢ three -hundred (300) 400 -watt pulse start metal halide lamps/fixtures with mirrored -reflectors and sealed
refractors; and
➢ Valley Industries is removing the some 350 eight -foot T-12 fluorescent lamps and magnetic ballasts, which
are scattered throughout the facility.
The high efficiency lighting will reduce energy consumption by a minimum of 10 percent annually (this figure is based
upon current and future run-time of the various lights inside the manufacturing plant, and the price of electricity
supplied to the site). The Public Benefits Program grant in the amount of $39,794.00 reflects the standard 20 percent
rebate for demand-side management projects, including lighting retrofits, provided to commercial and industrial
customers.
Project Two: In an effort to reduce energy consumption and to remove an aging, inefficient chilled water loop HVAC
(heating & cooling) system, Right Way Incorporated embarked upon a significant demand-side management project at
the Old Farmers & Merchants Bank building (located at 104 North School Street). The project, now complete,
consisted of the following:
➢ removal and disposal of the existing HVAC system;
➢ purchase and installation of one (1) 104on 10.8 Energy Efficiency Rated (EER) heating and cooling unit;
➢ purchase and installation of one (1) 20 -ton 9.9. Energy Efficiency Rated (EER) heating and cooling unit; and
➢ purchase and installation of related materials, including programmable thermostats and piping insulation.
APPROVED'
H. D4on Flynn - City Manager
The two new HVAC units, based upon the energy efficiency ratings, will reduce overall energy consumption by
approximately 15 percent, while also eliminating waste water (the previous HVAC system utilized chilled and heated
water to condition the building; the used water was then discharged into the city waste water system, with little to no
water recovery process in place).
The City of Lodi Electric Utility respectfully recommends approval of these two demand-side management projects, as
qualifying components of the City of Lodi Public Benefits Program.
FUNDING: 164605 - Public Benefits Program (Category: Demand-side Management)
Funding Approval: -� 4
Vicky Athie, Finance Direc or
Alan N. Vallow
Electric Utility Director
PREPARED BY: Rob Lechner, Manager of Customer Programs
ANVIRL/Ist
C: City Attorney
APPROVED:
H. Dixon Flynn - City Manager
RESOLUTION NO. 2002-206
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
THE CITY MANAGER TO PROVIDE A PUBLIC BENEFITS
PROGRAM GRANT TO FUND THE VALLEY INDUSTRIES
LIGHTING RETROFIT/DEMAND-SIDE MANAGEMENT PROJECT
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 $1 M 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's Public Benefits Program is comprised of four
segments or customer groups: commercial/industrial, residential, community/non-profit,
and municipal; and
WHEREAS, Valley Industries, located at 1313 S. Stockton Street, has embarked
upon one of the largest lighting retrofits since the inception of Lodi's Public Benefits
Program in mid-1998. The lighting retrofit is in two phases, the first of which is now
complete, and the second phase is slated for installation by November of this year; and
WHEREAS, specifically, Valley Industries is removing all existing lighting from
the manufacturing plant (nearly 86,000 square feet of space) in 2002, and replacing the
aging, inefficient lighting with the following high efficiency product:
➢ three -hundred (300) 400 -watt pulse start metal halide lamps/fixtures with
mirrored -reflectors and sealed refractors; and
➢ Valley Industries is removing the some 350 eight -foot T-12 fluorescent lamps
and magnetic ballasts, which are scattered throughout the facility; and
WHEREAS, the high efficiency lighting will reduce energy consumption by a
minimum of 10 percent annually (this figure is based upon current and future run-time of
the various lights inside the manufacturing plant, and the price of electricity supplied to
the site). The Public Benefits Program grant in the amount of $39,794.00 reflects the
standard 20 percent rebate for demand-side management projects, including lighting
retrofits, provided to commercial and industrial customers; and
WHEREAS, the Electric Utility staff recommends approval of this grant as an
approved element of the City of Lodi Public Benefits Program.
NOW, THEREFORE, BE IT RESOLVED, that the Lodi City Council hereby
authorizes the City Manager to provide a Public Benefits Program Grant in the amount
of $39,794.00 to fund the Valley Industries Lighting Retrofit/Demand Side Management
Project.
Dated: October 16, 2002
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I hereby certify that Resolution No. 2002-206 was passed and adopted by the
City Council of the City of Lodi in a regular meeting held October 16, 2002, by the
following vote:
AYES: COUNCIL MEMBERS — Hitchcock, Howard, Land, Nakanishi, and
Mayor Pennino
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLACKSTON
City Clerk
2002-206
RESOLUTION NO. 2002-207
A RESOLUTION OF THE LODI ,CITY COUNCIL AUTHORIZING
THE CITY MANAGER TO PROVIDE A PUBLIC BENEFITS
PROGRAM GRANT — DEMAND-SIDE MANAGEMENT PROJECT
TO RIGHT WAY INCORPORATED FOR WORK PERFORMED AT
THE OLD FARMERS & MERCHANTS BANK BUILDING
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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 $1 M 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's Public Benefits Program is comprised of four
segments or customer groups: commercial/industrial, residential, community/non-profit,
and municipal; and
WHEREAS, in an effort to reduce energy consumption and to remove an aging,
inefficient chilled water loop HVAC system, Right Way Incorporated embarked upon a
significant demand-side management project at the Old Farmers & Merchants Bank
building (located at 104 North School Street). The project, now complete, consisted of
the following:
➢ removal and disposal of the existing HVAC (heating, ventilation & air
conditioning) system;
➢ purchase and installation of one (1) 10 -ton, 10.8 Energy Efficiency Rated (EER)
heating and cooling unit;
➢ purchase and installation of one (1) 20 -ton, 9.9 Energy Efficiency Rated (EER)
heating and cooling unit; and
➢ purchase and installation of related materials, including programmable
thermostats and piping insulation.
WHEREAS, the two new HVAC units, based upon the energy efficiency rating,
will reduce overall energy consumption by approximately 15 percent, while also
eliminating waste water (the previous HVAC system utilized chilled and warm water to
heat and cool the building; the used water was discharged into the city waste water
system, with little to no recovery process in place); and
WHEREAS, the Electric Utility staff recommends approval of this grant as an
approved element of the City of Lodi Public Benefits Program.
NOW, THEREFORE, BE IT RESOLVED, that the Lodi City Council hereby
authorizes the City Manager to provide a Public Benefits Program Grant — demand-side
management project to Right Way Incorporated for work performed at the Old Farmers
& Merchants Bank Building, in the amount $7,619.83.
Dated: October 16, 2002
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I hereby certify that Resolution No. 2002-207 was passed and adopted by the
City Council of the City of Lodi in a regular meeting held October 16, 2002, by the
following vote:
AYES: COUNCIL MEMBERS — Hitchcock, Howard, Land, Nakanishi, and
Mayor Pennino
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
SUSAN J. BLACKSTON
City Clerk
2002-207
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