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City of San Leandro <br />Meeting Date: October 7, 2013 <br />Staff Report <br />Agenda Section:File Number:13-465 CONSENT CALENDAR <br />Agenda Number:8.F. <br />TO:City Council <br />FROM:Chris Zapata <br />City Manager <br />BY:Debbie Pollart <br />Public Works Director <br />FINANCE REVIEW:David Baum <br />Finance Director <br />TITLE:Staff Report for a Resolution Authorizing the City Manager or His Designee to <br />Execute an On-Bill Financing Loan Agreement with Pacific Gas and Electric <br />Company to Provide 0% Interest Loan Financing and a Rebate Grant Through <br />Participation in the California Wastewater Process Optimization Program <br />SUMMARY AND RECOMMENDATIONS <br />Staff recommends that the City Council approve a resolution authorizing the City Manager or <br />his designated representative to sign an On-Bill Financing (OBF) Loan Agreement with PG&E, <br />which allows the energy savings to pay for the capital costs associated with the purchase and <br />installation of an energy efficient turbo blower to replace one of the current aeration blowers . <br />BACKGROUND <br />In its treatment operations, the Water Pollution Control Plant (WPCP) is the largest single <br />consumer of electrical energy of all City facilities; the majority of that electricity powers the <br />aeration tank blowers. To comply with the Climate Action Plan mandate to continue to <br />evaluate opportunities to purchase high efficiency equipment , the City contacted the California <br />Wastewater Process Optimization Program (CalPOP) regarding energy efficiency measures <br />that could be implemented to reduce electrical usage. CalPOP provides no-cost engineering <br />services to identify energy savings measures for wastewater treatment plants, while also <br />providing incentives for installations that improve wastewater processes, reduce operating <br />costs and save energy. <br />Analysis <br />At the City’s request , a CalPOP engineer spent several days in 2011 at the WPCP analyzing <br />Plant processes and data, specifically regarding the operation of the aeration basin. He <br />subsequently prepared a Facility Audit Report (attached). This audit qualifies specific energy <br />efficiency measures for CalPOP incentives . <br />Page 1 City of San Leandro Printed on 10/2/2013