CITY OF SIMI VALLEY MEMORANDUM
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1 CITY OF SIMI VALLEY MEMORANDUM RES. AGENDA NO ITEM NO. Consent (8) January 11, 2016 TO: FROM: City Council Office of the City Manager SUBJECT: ADOPTION OF A RESOLUTION TO PARTICIPATE IN THE VENTURA COUNTY REGIONAL ENERGY ALLIANCE (VCREA) TO BROADEN THE CITY S ENERGY EFFICIENCY EFFORTS AS PART OF A COOPERATIVE PARTNERSHIP PROGRAM THAT ENCOMPASSES VENTURA COUNTY S CITIES, UNINCORPORATED VENTURA COUNTY AND VENTURA COUNTY SPECIAL DISTRICTS STAFF RECOMMENDATION It is recommended that the City Council adopt, and authorize the Mayor to sign, a resolution (page 5) to participate in the Ventura County Regional Energy Alliance (VCREA) as a means to broaden the City s energy efficiency efforts as part of a cooperative partnership program that encompasses Ventura County s cities, unincorporated Ventura County, and Ventura County special districts. CITY MANAGER S RECOMMENDATION The City Manager recommends approval. BACKGROUND AND OVERVIEW The City of Simi Valley was selected to participate as a Local Government Partner in the Southern California Edison (SCE) Energy Leader Partnership Program as provided by the California Public Utilities Commission (CPUC) in 2008, and was one of nine cities selected to participate as a Local Government Partner in the Southern California Gas Company (SCG) Energy Efficiency Partnership Program as provided by the California Public Utilities Commission (CPUC) in The current partnership agreement contracts with both utilities expired on December 31, In June of 2015, SCE and SCG began an effort to consolidate their individual Local Government Partner programs into regional partnerships to offer a more cost-effective delivery of programs and services related to energy efficiency. Following discussions with SCE and SCG managers and other cities in Ventura County, it was determined in late 2015 that participation in the Ventura County Regional Energy Alliance (VCREA) would be the best option for the City to continue to receive the benefits of a Local Government Partnership combined with the influence of a regional alliance.
2 2 The Energy Partnership Program was established by the CPUC and the State s Investor Owned Utilities to assist cities in addressing energy efficiency opportunities in municipal facilities and in the community. Through participation in this Program, the City has had access to expanded technical support, training, informational resources, enhanced incentives and rebates, and dedicated Program funds from SCE and SCG. In exchange, the City committed to achieving energy savings within its facilities and operations, as well as leading by example to promote energy efficiency practices throughout the community. Over the years both Simi Valley and our utility partners received numerous benefits from our status as a stand-alone Local Government Partner (LGP). The direct and indirect results of the partnership program include: the successful achievement of over 90 percent of the goals of the Green Community Action Plan; the installation of the Enterprise Energy Management Information System (EEMIS) program, which allows tracking of real time energy use in eight main City buildings; the development and approval of the Energy Action Plan, and other policies that provide a path for greater energy savings; easier access to data when developing the Climate Action Plan in 2011 and 2012; and the Beacon and Cool Planet Awards for energy efficiency. The City has implemented numerous energy efficiency projects and received enhanced incentives for installation of efficient indoor lighting in City buildings, replacement of aging pumps and motors with high efficiency models in the Water Quality Control Plant, and Waterworks facilities, and most recently the replacement of area lighting with LED fixtures in parking lots around City Hall. In addition to these projects, the City has conducted many community outreach and educational programs to promote the savings and additional comfort that can be achieved through energy efficiency in homes and businesses. FINDINGS AND ALTERNATIVES The Energy Partnership Program has historically provided the City with numerous opportunities to benefit from the implementation of energy efficiency measures supported by SCE and SCG, and to continue efforts to promote energy efficiency in the community. Recently, both SCE and SCG have shifted the focus in their Energy Partnership programs to move individual Local Government Partners to regional Partnership programs. A regional partnership allows the utilities to continue to reach local agencies, while reducing their administrative costs. The utilities anticipate that the remaining individual Partnerships will be merged into regional ones in the near future. With this new model, SCE and SCG worked with the City to identify the VCREA as the regional partnership that offered equal or greater benefits to the City in terms of program features and technical support. The VCREA, a Joint Powers Agency (JPA) administered by the County of Ventura through the County Executive Office, offers the City of Simi Valley an option to participate in the Alliance without joining the JPA; several other cities in the County take part in the partnership programs as participating agencies. A participating agency is not a member of the Board of Directors, and therefore is not permitted to vote, however a participating agency is still permitted to attend meetings and provide input. The cities of Camarillo, Moorpark, Ojai, and Port Hueneme are all participating agencies. At this time, staff recommends the City be a participating agency in the VCREA without joining
3 3 the JPA. If it is later determined that joining the JPA would provide additional benefits for Simi Valley, staff will return to the City Council with the item for consideration. Participation in VCREA will reduce staff time expended on the administrative tasks of the partnership, will result in better representation and more innovation from our utility partners, and provide more resources available to the City to increase community energy savings. For example, in anticipation of the City s participation VCREA recently conducted a successful holiday light exchange event, offering free LED holiday lights to residents who turned in old light strands, in coordination with the City s November Household Hazardous Waste collection event. In addition, there will no longer be a need to facilitate contracts between the City and SCE and SCG, the contractual obligations will be transferred to VCREA. The City will continue to be assigned certain energy savings targets by VCREA, however, staff will receive greater resources and assistance to achieve those targets and to implement measures identified in the Climate Action Plan and Energy Action Plan. There is no financial obligation for the City to become a participant in the VCREA, and the City s status for enhanced project rebates and incentives from SCE and SCG will continue. The following alternatives are available to the City Council: 1. Adopt, and authorize the Mayor to sign, a resolution to participate in the Ventura County Regional Energy Alliance as a means to broaden the City s energy efficiency efforts as part of a cooperative partnership program that encompasses Ventura County s cities, unincorporated Ventura County, and Ventura County special districts; 2. Do not authorize the City s participation the Ventura County Regional Energy Alliance, which would conclude City participation in any Energy Partnership Program offered by SCE and SCG; 3. Provide staff with other direction. Staff recommends Alternative No. 1 SUGGESTED CITY COUNCIL MOTION I move that the City Council adopt, and authorize the Mayor to sign, a resolution to participate with the Ventura County Regional Energy Alliance in order to broaden the City s energy efficiency efforts as part of a cooperative partnership program that encompasses Ventura County s cities, unincorporated Ventura County, and Ventura County special districts. SUMMARY For many years, the City of Simi Valley has been an individual partner in the Local Government Energy Partnership program as offered by SCE and SCG. The City has received significant benefits from this Partnership, including technical assistance,
4 4 enhanced incentives, substantial energy savings, and awards. Recently SCE and SCG began an effort to consolidate individual Local Government Partners into regional Partnerships to offer a more cost-effective delivery of programs and services related to energy efficiency. Following discussions with SCE and SCG managers and other cities in Ventura County, it was determined that participation in the Ventura County Regional Energy Alliance (VCREA) would be the best option for the City to continue to receive the benefits of a Local Government Partnership combined with the influence of a regional alliance. Participation in VCREA will reduce staff time expended on administrative tasks of the partnership, will result in better representation and more innovation from our utility partners, and provides more resources to the City to increase community energy savings. There is no financial obligation for the City to become a participant in the VCREA, and the City s status for enhanced project rebates and incentives from SCE and SCG will continue. Prepared by: Cynthia Sabatini, Associate Planner Brian Gabler, Director of Economic Development/Assistant City Manager INDEX Page Resolution... 5
5 5 RESOLUTION NO A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIMI VALLEY DECLARING SUPPORT FOR AN ENERGY PARTNERSHIP BETWEEN SOUTHERN CALIFORNIA EDISON AND SOUTHERN CALIFORNIA GAS COMPANY TO BE KNOWN AS THE VENTURA COUNTY REGIONAL ENERGY ALLIANCE (VCREA) ENERGY PARTNERSHIP WHEREAS, the City Council supports energy efficiency initiatives, policies and construction standards in order to encourage sustainable practices; and WHEREAS, the VCREA Energy Partnership representing the participating County and City jurisdictions of Ventura County supports energy efficiency initiatives, policies, and construction standards in order to ensure that our communities follow and encourage sustainable practices; and WHEREAS, local demand for electricity has grown, and it is expected that demand for electricity will continue to grow in the near future to support a growing population and economy; and WHEREAS, residents and businesses spend significant amounts for energy, it makes economic sense and good public policy to encourage energy efficiency in Ventura County and our community; and WHEREAS, energy efficiency programs enhance our environment by improving air quality, reducing greenhouse gases and other pollution, and conserving natural resources; and WHEREAS, it is vital for our community to keep spending locally and to encourage innovations in the way we behave, build, and incorporate energy into our everyday business and personal lives; and WHEREAS, there is a growing movement within California communities and businesses to improve everyday practices and create more sustainable and greener cities; and WHEREAS, the communities comprised of the VCREA Partnership seek to promote innovative methods and state-of-the-art technologies used in the design and construction of new residential and commercial buildings within the region, in order to bring energy and natural resource consumption in line with our sustainability goals; and
6 6 RES. NO WHEREAS, the County of Ventura has been identified by the participating partnership jurisdictions to enter into an agreement with Southern California Gas Company ( SCG ) and Southern California Edison ( SCE ) on their behalf to represent them and implement the activities of the participating Ventura County jurisdictions of the VCREA Partnership; and WHEREAS, the VCREA Partnership brings together the County of Ventura, SCE, SCG and the VCREA member agencies in a cooperative program to promote energy efficiency, regional sustainability goals, and collaboration; and WHEREAS, the suite of programs within SCE, and SCG s proposed Local Government Partnership Program as being consistent with the VCREA member s customer service goals; and WHEREAS, the City Council finds and determines that participation in VCREA will bring equal and greater benefits to the City as the previous individual partnerships with SCE and SCG to Simi Valley. NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SIMI VALLEY DOES HEREBY RESOLVE AS FOLLOWS: SECTION 1. The City designates the County of Ventura (or another organization designated by the VCREA should conditions merit a change) to implement the mission of the VCREA Partnership. SECTION 2. The City supports a commitment to sustainable practices through energy efficiency, and will provide leadership and guidance in promoting, facilitating, and instituting such practices in the region. SECTION 3. The City supports and endorses the VCREA Partnership (a SCE & SCG Local Government Partnership) as an effective method to help meet longterm regional economic and environmental goals. SECTION 4. The City will name one or more individuals to the VCREA working group that will review progress regularly with the County of Ventura, SCE, and SCG. SECTION 5. The City will identify and implement programs and projects within its municipal facilities and within the community as identified with the assistance of SCE & SCG, the County of Ventura, and the VCREA to meet energy efficiency and sustainability goals.
7 7 RES. NO SECTION 6. The City Clerk shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the Office of the City Clerk. Attest: PASSED and ADOPTED this 11 th day of January Ky Spangler, Deputy Director/City Clerk Robert O. Huber, Mayor of the City of Simi Valley, California Approved as to Form: Approved as to Content: Lonnie J. Eldridge, City Attorney Eric J. Levitt, City Manager
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