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HomeMy WebLinkAbout11634RESOLUTION NO. 11634 A RESOLUTION APPROVING THE SUBMITTAL OF A GRANT APPLICATION TO THE U.S. DEPARTMENT OF ENERGY FOR THE PURPOSES OF RECEIVING AN ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT AND AUTHORIZING THE PRESIDENT OF CITY COUNCIL TO EXECUTE SAME WHEREAS, the City Council supports the submittal of an application to the U. S. Department of Energy for the purposes of applying for the newly appropriated Energy Efficiency and Conservation Block Grant; BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that: SECTION 1. The President of the City Council is hereby authorized to submit, in the name of the City of Pueblo, an Application for the Energy Efficiency and Conservation Block Grant (EECBG), together with all required and necessary certifications, assurances and documentation, to the U.S. Department of Energy, in the amount of $1,007,000, authorized under Title V, Subtitle E of the Energy Independence and Security Act (EISA) of 2007, and appropriated under the American Recovery and Reinvestment Act of 2009, and further authorizes the Director of Housing and Citizen Services to submit said application for and on behalf of the City. A77TSTDD SY: CITY CLERK INTRODUCED: June 22. 2009 BY: Judy Weaver C APPR D' } �- PRESIDENTaf Cfty Council WHO SRI Background Paper for Proposed RESOLUTION AGENDA ITEM # 4 DATE: June 22, 2009 DEPARTMENT: HOUSING AND CITIZEN SERVICES 1 ADA RIVERA CLARK TITLE A RESOLUTION APPROVING THE SUBMITTAL OF A GRANT APPLICATION TO THE U.S. DEPARTMENT OF ENERGY FOR THE PURPOSES OF RECEIVING AN ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT AND AUTHORIZING THE PRESIDENT OF CITY COUNCIL TO EXECUTE SAME ISSUE Should the City Council approve the submittal of a grant application to the U.S. Department of Energy accepting a new entitlement grant called Energy Efficiency and Conservation Block Grant ( EECBG). RECOMMENDATION Approval of the Resolution. BACKGROUND The Department of Energy (DOE) was authorized to provide for Energy Efficiency and Conservation Block Grants by Title V, Subtitle E of the Energy Independence and Security Act (EISA) of 2007, however, no appropriations were forthcoming. In 2009, Congress appropriated funding for the entitlement program under the American Recovery and Reinvestment Act (ARRA). The City received a $1,007,000 formula allocation under ARRA. It is believed that the funding will continue as an entitlement, based on future appropriations just as the Community Development Block Grant. The purpose of the EECBG Program is to assist eligible entities in creating and implementing strategies to: • Reduce fossil fuel emissions in a manner that is environmentally sustainable and, to the maximum extent practicable, maximizes benefits for local and regional communities; • Reduce the total energy used of the eligible entities; and • Improve energy efficiency in the building sector, the transportation sector, and other appropriate sectors. The Departments of Housing, Planning and Community Development and Public Works have been meeting, as well as participating in meetings with the Governor's Energy Office to determine eligible projects under the criteria. States are required to submit to the Department of Energy an Energy Plan; and, therefore the States input is important to the City as well as to the DOE. Staff has also met with Black Hills Energy and have discussed a partnership to leverage some of the programs as well as the marketing. The City is required to complete and submit to the DOE an Energy Efficiency and Conservation Strategy. In anticipation of an RFP for performance contracting, the Staff held off on completing the Strategy. We anticipate that the energy audit performed under the RFP will yield some of the strategies and information required in the Strategy. This RFP will be issued this summer. However, all other requirements of the application (as attached) are to be submitted electronically by June 25, 2009. Some of the responses are preliminary in nature as much of the information, specifically the energy savings and emissions reduction, are coming from outside parties. There may be some changes to the final activities in technical matters, but the changes are not substantive in nature. The project staff anticipates submitting with this application: 1. Main Street Parking Garage Photo Voltaic — Will buy -down the overall cost for the purchase and installation of the 150kWdc Photovoltaic System. Project budget is $250,000. These will be submitted upon completion of the required Strategy: 2. Greening Public Buildings — Provides for energy efficiency improvements throughout City owned buildings. Project budget is $416,000. 3. Energy Audit Assistance Program — Residential and commercial building audit rebates. Program budget is $20,000. 4. Residential Energy Efficiency Program — This program has three available components: 1) A no interest rate loan for the purchase of furnaces and HVAC; 2) A grant for insulation; 3) A rebate for purchases of Energy Star selected appliances. Program budget is $180,000. 5. Sustainability Committee — Educational and outreach component. Program budget is $34,000. 6. Administration — Two part -time employees. One employee to be a Sustainability coordinator for long -term sustainability planning as well as management of the performance contract that the City will have with an energy savings company. An additional employee (part -time) will coordinate the audit and residential programs. Program budget is $107,000 FINANCIAL IMPACT The City will receive $1,007,000 through the grant and there are no match requirements. Funds will be leveraged from the Governor's Energy Office, which as yet have not been made available.