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HomeMy WebLinkAboutAgenda Report - April 20, 2005 K-01AGENDA ITEM V=601 I& CITY OF LODI COUNCIL COMMUNICATION M AGENDA TITLE: Adopt a resolution authorizing the City Managerto allocate $51,000 in Public Benefit Program funds for the Lodi Solar Rooftops Pilot Project (EUD) MEETING DATE: April 20, 2005 PREPARED BY: Electric Utility Director RECOMMENDED ACTION: That the City Council adopt a resolution authorizing the City Managerto allocate $51,000 in Public Benefit Program funds for the Lodi Solar Rooffops Pilot Project. BACKGROUND INFORMATION: Electric Utility staff is proposing the Lodi Solar Rooffops Pilot Project, which is designed to further promote solar energy technology in our community. The proposed pilot project earmarks $51,000 in Public Benefit Program funds, underthe category of Renewable Energy Resources & Technologies. Eligible Lodi electric utility customers will have the opportunity to receive a rebate or grant of up to $5,100. The rebate formula is as follows: ➢ $1,700 per kW of photovoltaic/solar system installed on the rooftop or property; the program will provide for a maximum 3kW system rebate per customer service address ($1,700 'X' 3kW= $5,100 maximum rebate/grant). Note: if each participating customer installs a minimum of a 3kW system, this pilot project could fund/rebate ten (10) actual solar projects (10 projects X $5, 900= $51,000 in proposed kr&-,). Based upon staff research, a 3kW photovoltaic/solar system is considered the appropriate size for the average Lodi residential or small commercial property rooftop (average single-family dwelling of 1,800 square feet, with the solar panels placed on either the south or west facing side of the roof). Depending upon the individual customer's energy use patterns, a 3kW photovoltaidsolar panel system would be enough to provide from 20 percent to 60 percent of the property owner's monthly electric energy needs. In order to qualify, and receive a rebate, eligible participants must be City of Lodi Electric Utility customers. current on their utility account, and allow for their propertyto serve as a Lodi Solar Showcase for a period of six (6) months once installation of their solar project is complete. The solar rebate is based upon one per customer service address. The City of Lodi Electric Utility has several other solar -related projects or campaigns already in place. In September of 2004, the Lodi City Council approved a grant for a 43kW photovoltaidsolar panel project for the Lodi Grape Festival; in the spring of 2001, the Lodi City Council approved the Jim Porter Solar Port Parking Structure at the Lodi Municipal Service Center (a 3.6kW system); and for the past three APPROVED: Blair King, City Manager Adopt a resolution authorizing the City Manager to allocate 551,000 in Public Benefit Program Funds for the Lodi Solar Rooftops Pilot Project April 20, 2005 Page 2 years, the utility has maintained the Lodi Solar Education Outreach Campaign, providing solar education and training opportunities for Lodi educators and students. It should be noted that GovemorArnold Schwatzenegger is proposing his California Million Solar Roofs Initiative in 2005. Via two pieces of legislation, Senate Bill 1 and Senate Bill 1017, Governor Schwarzenegger is promoting solar energy and solar technology as a way to address the state's growing thirst for electricity. If adopted by the State Legislature, and signed by the Governor, the two bills in their current form would create roughly 3,000 megawatts of electricity- generated by the sun. That is enough electricity to power several hundred thousand homes during the course of a year. The City of Lodi Electric Utility respectfully recommends approval of the Lodi Solar Rooftops Pilot Project, as a qualifying component of the City of Lodi Public Benefits Program. FISCAL IMPACT: City of Lodi Electric Utility staff has budgeted appropriate Public Benefit Program funds during the current fiscal year to accommodate this pilot project. FUNDING AVAILABLE: 164608— Public Benefits Program (Category: Renewable Energy Resources & Technologies mes R. Krueger,inance irector Z& A AlL Alin N. Vallo Electric Utility Director Prepared By: Rob Lechner, Mgr. Customer Service & Programs, EUD ANVIRUmdw City Attorney RESOLUTION NO. 2005-80 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO PROVIDE A PUBLIC BENEFITS PROGRAM GRANT TO ESTABLISH A PILOT PROGRAM KNOWN AS THE LODI SOLAR ROOFTOPS PILOT PROJECT ...............:................................. ..... r.r--- WHEREAS, the State has mandated that beginning January I, 1998, the City of Lodi is obligated to fund various programs through a Public Benefits Charge based on an historical electric revenue requirement; and WHEREAS, the requirement amounts to approximately $1 million 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, staff is proposing the Lodi Solar Rooftops Pilot Project, which is designed to further promote solar energy technology in our community. The pilot project earmarks $51, 000under the category of Renewable Energy Resources and Technologies. Eligible Lodi electric utility customers will have the opportunity to receive a rebate or grant of up to $5,100. The rebate formula is as follows: $1,700per kW of photovoltaic/solar system installed on the rooftop or property; the program will provide for a maximum 3kW system rebate per customer service address ($1,700x 3kW = $5,100maximum rebate/grant), Note: if each participating customer installs a minimum of a 3kW system, this pilot project could fund/rebate ten (10) actual solarprojects (10 projects x $5,100 =$51,000 in proposed funds). WHEREAS, in order to qualify and receive a rebate, eligible participants must be City of Lodi Electric Utility customers, current on their utility account, and allow for their property to serve as a Lodi Solar Showcase for a period of six months once installation of their solar project is complete. The solar rebate is based upon one per customer service address. 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 $51, 000to fund the pilot program known as the Lodi Solar Rooftops Pilot Project, specifically designed for Lodi Electric Utility customers. Dated: Apri120,2005 hereby certify that Resolution No. 2005-80 was passed and adopted by the Lodi City Council in a regular meeting held April 20, 2005 by the following vote: AYES: COUNCIL MEMBERS — Hansen, Hitchcock, Johnson, Mounce, and Mayor Beckman NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — None ABSTAIN: COUNCIL MEMBERS — None SUSAN J. BLACKSTON City Clerk 2005-80