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File Number: 21-691 <br />·Upgrade and expand Paradox (streetlights) controls - Citywide <br />Current Agency Policies <br />·General Plan Policy OSC-7.6: Reducing Municipal Greenhouse Gas Emissions. <br />Reduce greenhouse gas emissions associated with municipal operations, including those <br />associated with energy use, City vehicles, City recycling and composting operations, and <br />utilities. <br />·2021 Climate Action Plan Policy ME-1: Municipal Energy Retrofits. Continue <br />implementing municipal energy efficiency retrofits, including all-electric buildings and <br />public lighting retrofits. <br />Environmental Review <br />This project is determined to be Exempt under the California Environmental Quality Act (CEQA) <br />Section 15301. Existing Facilities. <br />Legal Analysis <br />California Government Code section 4217 design-build energy legislation has been used <br />hundreds of times over the past 30 years to procure projects similar to the one currently <br />proposed. This includes the previous phases of work Climatec has performed for the City. If the <br />City elected to design, engineer, and construct a similar program through the traditional <br />design-bid-build approach, it would not only take much longer to implement the efficiencies, but <br />also expose the City to change orders, scope gaps between separate contractors, and require <br />significant upfront capital for the necessary design and engineering work. <br />As with the previous Climatec-led projects, competitive bidding will be done for the major <br />components of the project. This project will also be subject to the City’s Community Workforce <br />Agreement (CWA), with full transparency on the competitive bids and resulting subcontractor <br />selection. <br />The City Attorney reviewed the draft agreement, together with staff negotiated edits and changes, <br />and with Climatec’s acceptance of the City’s changes, approves the agreement as to form. <br />Fiscal Impacts <br />The total cost for infrastructure improvements, including taxes and bonds, equals $4,994,884. The <br />majority of the funding, $3,314,916, was earmarked and previously directed by the City Council to <br />be derived from American Rescue Plan Act funds over the course of this fiscal year and next. <br />Prior to the onset of the pandemic, the City had received notification from the California Energy <br />Commission (CEC) for approval to enter into its 1% loan program to cover a portion of this <br />project’s costs. Due to the pandemic, formal action by the City Council to accept the CEC loan <br />was put aside. Staff is currently working to finalize a new loan agreement in the amount of <br />$1,284,140, which will be brought to Council for consideration in early 2022. The third portion of <br />proposed project funding, at $395,828, derives from the Building Maintenance Fund. <br />Page 4 City of San Leandro Printed on 12/9/2021 <br />22