Fiscal Note
The City of Madison anticipates an award from U.S. Department of Energy (DOE) in the amount of $2,384,600 to implement energy efficiency and conservation activities over a three-year period. $1,000,000 is included in the 2010 Facilities Management Executive Capital Budget, project No. 17, "ARRA - Energy Efficiency Grant." $30,150 will be retained in 2009 in the CDBG operating budget to support an LTE Grants Administrator (approved by Council on 7-21-09, Res 09-00630). The remaining grant award of $1,354,450 will be recognized in the CDBG 2009 operating budget, with offsetting expenditures in support of programs for Business Energy Incentives, Residential Energy Incentives, and Weatherization Employment and Training.
The CDBG 2009 operating budget will thus be amended as follows:
$1,354,450 SC01-54920-260000 (Expenditures: Community Agency Contracts)
($1,354,450) SC01-73119-260000 (Federal Revenues)
Title
THIRD SUBSTITUTE - Authorizing the City of Madison to accept a grant from the U.S. Department of Energy (DOE) in the amount of $2,384,600 and to use these funds for energy efficiency and conservation activities, amending the 2009 CDBG Operating Budget, and authorizing the Mayor and City Clerk to sign appropriate agreements to accept the funds and implement the program, and authorizing the Community Development Division to issue a Request for Proposals (RFP) for provision of services.
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As part of the Federal American Recovery and Reinvestment Act of 2009 ("ARRA"), the U.S. Department of Energy (DOE) has made grant awards available to qualifying cities through the Energy Efficiency and Conservation Block Grant (EECBG) program. City staff submitted a grant application to DOE in June 2009 requesting $2,384,600 of EECBG funds for the City of Madison. As a qualifying city, an award notice is expected in the amount of $2,384,600 for a three-year grant period.
The City proposes to utilize EECBG grant funds to support energy efficiency and conservation activities implemented through the Community Development Division and the Engineering Division/Facilities Management. Allocations of DOE funds to be implemented under the EECBG grant award will include:
1. Interior Lighting Retrofit Improvements for City facilities, $845,000;
2. LED Street Lighting Replacements, $100,000;
3. Anaerobic Digester Pilot Project, $55,000;
4. Business Energy Incentive Program, $664,000;
5. Residential Energy Incentive Program, $250,000; and
6. Weatherization Employment and Training Program, $470,600.
WHEREAS, the City of Madison Community Development Division, in collaboration with the Engineering, Streets, and Traffic Engineering Divisions, has applied to the U.S. Department of Energy EECBG program for funds to support energy efficiency and conservation activities within the City; and,
WHEREAS, the U.S. Department of Energy is prepared to award an EECBG grant in the amount of $2,384,600 to the City of Madison for energy efficiency and conservation activities; and,
WHEREAS, the City of Madison will provide $400,145 in EECBG funds to Project Home Inc., as the sole weatherization operator selected by the State for Dane County, to provide weatherization and employment and training services in targeted Madison neighborhoods;
NOW, THEREFORE, BE IT RESOLVED that the Common Council authorizes the Mayor and the City Clerk to enter into an agreement with the U.S. Department of Energy to accept $2,384,600 of EECBG funds consistent with the intent of this Resolution, all in a form as approved by the City Attorney; and,
BE IT FURTHER RESOLVED, that the Common Council amends the 2009 CDBG operating budget to reflect the additional allocation of EECBG award funds by an additional $1,354,450; and,
BE IT FURTHER RESOLVED, that the Mayor and the City Clerk are authorized to execute a grant agreement with Project Home, Inc., in the amount of $400,145; and,
BE IT FURTHER RESOLVED, that the Common Council authorizes the Community Development Division to issue a Request for Proposals (RFP) for weatherization and employment and training services as described above; and,
BE IT FURTHER RESOLVED, that the Mayor and City Clerk are authorized to execute necessary agreements with businesses and agencies in order to implement the programs as described in this Resolution; and,
BE IT FURTHER RESOLVED, that the Common Council adopts the attached Business Energy Efficiency Program guidelines; and,
BE IT FURTHER RESOLVED, that the Mayor is authorized to accept and approve recommendations from the Review Committee for Energy Audit awards, and that the Mayor and the City Clerk are authorized to enter into agreements for the disbursement of these funds; and,
BE IT FINALLY RESOLVED, that the staff of the Community Development and Economic Development Divisions are authorized to make minor text and graphic modifications to the Business Energy Efficiency Program guidelines and application to reflect staff's future experience managing the program.