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HomeMy WebLinkAboutResolution 2017-036 N.C.S. 03/06/2017Resolution No. 2017 -036 N.C.S. of the City of Petaluma, California RESOLUTION AUTHORIZING A LOAN NOT TO EXCEED $1,490,000, FROM THE WASTER WATER FUND TO THE LED STREETLIGHT RETROFIT PROJECT AND APPROVING THE PROJECT BUDGET WHEREAS, the City owns and maintains 5,458 streetlights, the majority of which are high pressure sodium (HPS); and WHEREAS, HPS streetlights are not energy efficient, have high operation and maintenance costs; and WHEREAS, Light Emitting Diode (LED) lighting consumes less energy than HPS lighting, which reduces energy costs and maintenance requirements as compared to HPS bulbs; and WHEREAS, the City is using a new LED street light standard for new streetlights; and WHEREAS, City staff worked with PG &E to analyze energy usage of the streetlight system and identify the savings generated from energy efficient LED streetlights; and WHEREAS, staff is proposing to convert approximately 3,936 existing City -owned streetlights from HPS to LED through a construction contract; and WHEREAS, the City has an Interfund Loan Policy that allows the internal transfer of funding and agreement that the City will repay the loan through the realized savings from the monthly utility bills; and WHEREAS, the City will implement a competitive process to select a contractor. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City hereby: 1. Finds based upon the City staff report and presentation that the LED Streetlight Retrofit Project is in the best interest of the City, and that funds for the repayment of the loan are projected to be available from revenues available from funding that would otherwise have been used for purchase of electrical energy. 2. The amount of the loan and repayment to be covered by the Agreement shall be set pursuant to provisions in the Interfand Loan Policy, but shall not exceed $1,490,000, Resolution No. 2017 -036 N.C.S. Page 1 (one million four hundred and ninety thousand dollars) and the maximum term of the loan of 11.25 years (eleven and one - quarter years). 3. Authorize the City Manager to take all actions to effectuate this loan. 4. Approves the LED Streetlight Retrofit Project budget in the amount of $1,490,000. Under the power and authority conferred upon this Council by the Charter of said City. REFERENCE: I hereby certify the foregoing Resolution was introduced and adopted by the Aiprovectas to Council of the City of Petaluma at a Regular meeting on the 61h day of March, 2017, rm� by the following vote: AYES: NOES: ABSENT: ABSTAIN ATTEST: Albertson, Vice Mayor Barrett, Mayor Glass, Healy, Kearney, King, Miller None None None 0-1LWAj--111 �� City Clerk Za)yvor City Resolution No. 2017 -036 N.C.S. Page 2