HomeMy WebLinkAboutReso 07-2010RESOLUTION NO. 07-2010
CITY COUNCIL, CITY OF SOUTH SAN FRANCISCO, STATE OF CALIFORNIA
RESOLUTION BY THE CITY OF SOUTH SAN FRANCISCO
AUTHORIZING SACRAMENTO COUNTY TO APPLY FOR
FUNDS ON BEHALF OF THE CITY OF SOUTH SAN
FRANCISCO
WHEREAS, the City of South San Francisco recognizes that it is in the interest of the
regional, state, and national economy to stimulate the economy; create and retain jobs; reduce
fossil fuel emissions; and reduce total energy usage and improve energy efficiency within our
jurisdiction; and
WHEREAS, State Energy Program (SEP) funds are available through the California
Energy Commission's SEP for grants to eligible local governments for energy efficiency, energy
conservation, renewable energy, and other energy related projects and activities authorized by
the American Recovery and Reinvestment Act of 2009 ("ARRA"); and
WHEREAS, SEP allows for cities, counties, or groups of cities and counties in California
to apply for SEP funds on behalf of eligible local governments; and
WHEREAS, the City of South San Francisco is eligible for SEP funding under the
California Energy Commission's SEP; and
WHEREAS, the City of South San Francisco is proposing to collaborate with Sacramento
County to implement a program for financing the energy efficiency, energy conservation,
renewable energy, and other energy related projects and activities authorized by ARRA, which
program is described in Exhibit A for the purpose of qualifying for SEP funds from the
California Energy Commission; and
WHEREAS, the City of South San Francisco has considered the application of the
California Environmental. Quality Act (CEQA) to the approval of the program for financing
energy efficiency, energy conservation, renewable energy, and other energy related projects and
activities authorized by ARRA described in Exhibit A; and
NOW, THEREFORE, BE IT RESOLVED, that in compliance with the CEQA, the City
of South San Francisco finds that the approval of the program for financing energy efficiency,
energy conservation, renewable energy, and other energy related projects and activities
authorized by ARRA described in Exhibit A is not a "project" under CEQA, because the
program does not involve any commitment to a specific project which may result in a potentially
significant physical impact on the environment, as contemplated by Title 14, California Code of
Regulations, Section 15378(b)(4)).
Be it also resolved, that the City of South San Francisco authorizes Sacramento County to
submit a collaborative application on its behalf to the California Energy Commission for up to $
16.5 million in SEP funds for the program for financing energy efficiency, energy conservation,
renewable energy, and other energy related projects and activities authorized by ARRA
described in Exhibit A.
Be it also resolved, if recommended for funding by the California Energy Commission,
the City of South San Francisco authorizes Sacramento County to accept a grant award on its
behalf and to enter into all necessary contracts and agreements, and amendments thereto, on its
behalf to implement and carry out the program for financing the project/s described in Exhibit A.
I hereby certify that the foregoing Resolution was regularly introduced and adopted by
the City Council of the City of South San Francisco at a regular meeting held on the 13th day of
January, 2010 by the following vote:
AYES: Councilmembers Pedro Gonzalez, Richard A. Garbarino, and Karyl Matsumoto,
Vice Mayor Kevin Mullin and Mayor Mark Addiego
NOES: None
ABSTAIN: None
ABSENT: None
ATTES
"/,
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EXHIBIT A
Exhibit A
California Energy Commission State Energy Program
CaliforniaFIRST Collaborative Proposal
Summary of Proposal Scope & Budget Framework
Description of Program Proposal
Under the lead applicant, Sacramento County, the 14 counties eligible to participate in the pilot
stage of the CaliforniaFIRST Program are collaborating on a proposal to the California Energy
Commission State Energy Program for a grant of up to $16.5 million. The grant funds will be used
to offset initial fees associated with bond issuance, start-up costs for the 14 counties and all
incorporated cities, an interest rate buy-down, local marketing/education/training/outreach, local
coordination, and grant administration to support the launch of the CaliforniaFIRST municipal
financing program.
CaliforniaFIRST Program County Participants and Proposal Collaborators
/ Alameda / Sacramento / San Mateo / Ventura
/ Fresno / San Benito / Santa Clara / Yolo
/ Kern / San Diego / Santa Cruz
/ Monterey / San Luis Obispo / Solano
Budget Basics
1. CaliforniaFIRST financing costs and fees (~-$6M)
Guided by California Communities and the CaliforniaFIRST Program Administrator Renewable
Funding, this program element will:
• buy-down the interest rate on the initial round(s) of projects financed by the CaliforniaFIRST
Program,
• cover fixed costs associated with initial bond counsel, bond disclosure, fiscal agent and bond
rating,
• cover legal and validation costs, and
• cover the deployment of technology (web portal) to support local programs.
2. Grant/Contract Administration & Steering Committee Liaison: (N$1.5M)
On behalf of the applicant agency, grant/contractor administration duties include gathering
relevant reporting information from all partner jurisdictions and CaliforniaFIRST, financial oversight
and invoicing, contract administration, tracking, monitoring, and oversight of deliverables. In
addition, the grant administrator will serve as the partner liaison between all participating steering
committees to maintain coordination and consistency on the local marketing efforts between
parties as well as provide marketing and contract technical assistance, training, and advice to
participating agencies. The Grant Administrator will also coordinate local efforts with those
programs funded under the California Comprehensive Residential Building Retrofit Program.
3. Regional Program Coordination & Marketing: (~+$8.5M)
In line with the overall project goals, funding has been budgeted on a regional basis to each of the
four primary program regions in the following amounts, based on total number of Counties:
• Capitol Region (Sacramento/Yolo): $1,800,000
• Central Valley Region (Fresno/Kern): $1,150,000
• Bay Area Region: (Alameda/San Mateo/Santa Clara/Solano): $2,300,000
• Central Coast Region: (Monterey/Santa Cruz/San Benito/San Luis Obispo): $2,300,000
• Mid Coast Region: (Ventura): $575,000
• Southern California Region: (San Diego): $575,000
This final program element serves to provide each region with the resources necessary to help
facilitate the rapid adoption of energy efficiency and renewable energy generation system
installations throughout the target area by connecting property owners to any and all available on-
the-ground or proposed resources, and services, providing a streamlined framework for easy
navigation, reduced out-of-pocket expenses, and overall increased cost effectiveness for both
participants and the program overall. The focus of the program will be to create region-wide (or
county-wide, where appropriate) cooperative project design, implementation, marketing, and
coordination to maximize economies of scale, take advantage of overlapping markets, and
ultimately allow each dollar to go further to benefit all parties.
Financing Costs and Fees
A. Financing Costs
As Program Administrator of the California Communities CaliforniaFIRST Program, Renewable
Funding will coordinate and provide program administration, financing, and legal services to
support a robust statewide municipal financing program. Specific financing costs are concentrated
at the start of the program and result in increased fees to a program participant, and therefore a
higher effective interest rate. In order to lower the interest rate, the SEP funds will be used to
cover bond disclosure counsel, bond rating fees, and a bond fiscal agent. In addition, a direct
interest rate buy-down will be employed to achieve a bond rate that is equivalent to an A-rated
bond, which is likely to be the bond rating later in the program.
B. Set-up Fees
A funding request equivalent to the city and county set-up fees will be included in the proposal.
The costs for initial legal work and validation proceedings will be covered by this request.
Additionally, the costs of establishing county web portals, importing local assessor's data, and
maintaining the website will be part of this funding request.
Suggested Maior Marketing Program Coordination & Marketing Program Elements
A. Agency Coordination /Steering Committee Participation
In recognition of the additional coordination time required to get new programs off the ground,
individual counties may elect to include a modest amount of staff time for agency representatives
to participate in the program steering committee and other activities to drive marketing program
design, educational/marketing material development, form and protocol development, etc. By
investing this time at the onset, we are able to develop aself-sustaining program for the long
term. County agencies (that is, auditor/tax collector/controller) will receive a small percentage,
incorporated into each loan, to cover regular ongoing program administration costs associated with
maintaining the tax roll and collecting annual assessments in years beyond the grant term. Some
jurisdictions may instead wish to contribute this time as project leveraged funds/resources to
increase overall program cost effectiveness based on their individual needs and resources.
Regional partnership may also elect to use a portion of the resources from this program element
toward informal or formalized staff/personnel training within their jurisdictions.
B. Education /Outreach/ Marketing
Successful program adoption requires thoughtful design, convenient procedures, and a robust
program education component to encourage and energize program participation. Achieving this
goal, the project team will create clear, consistent, and thematic program branding imagery,
educational and recruitment tools such as program brochures. The program will be supported by
the CaliforniaFIRST web portal and links to new and existing partner and complementary websites,
frequently asked questions, applications, and/or other program materials. In addition, the project
will engage awide-stretching network of partners to promote, recruit, and disseminate program
information utilizing existing mechanisms of door-to-door outreach, community event tabling,
workshops and presentations, or other appropriate energy efficiency and complementary program
participation activities. Major elements might include:
/ Outreach Promotional Materials: Brochures, Door-hangers, Postcard Mailers, Bill Inserts, etc.
/ Program Marketing Advertisements: Print Ads, Radio/TV Ads, PSA Production
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/ Promotional Outreach Events, Trade Shows or Community Workshops
/ Homeowner/Business/Contractor/Staff Training Seminars
/ Sustainability Site Signage
/ Green Building and/or LEED Certification Technical Assistance
C. Community Coordinator /Partner Liaison /Supplies
The community coordinator is envisioned to serve as the single point regional program coordinator
to unify, inform, collaborate, and engage all program parties in relation to local coordination and
marketing efforts; respond to public inquiries; facilitate the education, outreach, marketing,
recruitment; and promote program adoption by the target community. In addition the coordinator
is responsible for coordinating with the grant administrator, tracking/reporting necessary progress
and metrics, meeting/exceeding grant milestones and targets, incorporating required
complementary program components, and working with CaliforniaFIRST to assure QA/QC measures
are applied to all participating properties. Specific tasks will be driven by the overall project goals
as well as the specific needs of each region and may include:
/ Coordination with Grant Administrator/Steering Committee Liaison
/ Marketing Coordination with CaliforniaFIRST Municipal Finance District
/ Facilitation of local Regional Steering Committee Members and Partners
/ Assist with Implementation Strategy, Documents, Procedures & Protocols Development
/ Guide Promotion, Marketing, Education, Recruitment & Program Information Dissemination
/ Link Program Participants to Regional Energy Efficiency & Complementary Programs
/ Connect to Concurrent Complementary Workforce Development Training/Graduates
/ Administer Regional Program Budget, Competitive Bidding, Other Program Transparency Reqs
/ Track and/or compile, Monitor & Evaluate Program Progress, Energy Savings, GHG Reductions
Achieved, Partner Leveraged Funds and Ancillary Environmental Benefits
Sample County Budget
A sample budget based on the above framework is provided below. Please note that these
amounts are subject to change based on the actual needs of each participating jurisdiction as well
as feedback obtained regarding funder and partner thresholds for competitiveness.
Com onent
Overall Gross Benefit
Per Count Net Benefit
Per Count
1.CaliforniaFIRST Costs & Fees 39% $ 428,571.43 -
2. Grant Administration & Technical Assistance 10% $ 107,142.86 -
3A.Steerin Adviso Committee 10% $ 115,000.00 $ 115,000.00
3B. Education, Outreach, Incentives, Marketin 23% $ 258,750.00 $ 258,750.00
3C. Communit Coordination 18% $ 201,250.00 $ 201,250.00
Total 100% $ 1,110,714.29 $ 575,000.00
Grant Develoument Team:
County of Sacramento-Lead Agency (Applicant), will oversee grant writing, provide final
edits and required signatures, and submit finalized proposal on behalf of entire collaborative
team based on the approved proposed program scope and budget framework
• Ecology Action-Partner Grant Writer (Lead on Marketing), will develop narrative based on
proposed program scope and budget framework, especially as it pertains to local coordination
and marketing project administration, marketing/contract technical assistance, regional
coordination, and marketing, to meet all grant requirements and maximize proposal
competiveness.
• Renewable Funding-Partner Grant Writer (Lead on Finance), will develop narrative based on
proposed program scope and budget framework, especially for CaliforniaFIRST Program
finance-related program elements, to meet all grant requirements and maximize proposal
competiveness.
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