AgdaPkt 2010-05-24 special, clsd and jnt

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7.B Page 1 REPORT To the Honorable Mayor and City Council, From the City Manager] May 24, 2010 SUBJECT Enter into Agreements with Ecology Action and A Bright idea for energy conservation services at Marshall Street Parking Garage pursuant to California Government Code Section 4217.10 et. seq. RECOMMENDATION 1) Approve the Customer Work Order Agreement with Ecology Action. 2) The City Council finds that based on the information presented in this staff report, the best interests of the public agency are served by participation in this program, and that the anticipated cost to the City for the purchase and installation of these conservation measures will be less than the anticipated marginal cost to the City of the electrical energy that would have been consumed by the City without the purchase and installation of these conservation measures. 3) Authorize the execution of an Energy Services contract with A Bright Idea to replace lighting fixtures in the Marshall Street Parking Garage for $76,360.90, and authorize the City Manager to increase the contract amount, if necessary, up to 10% of the amount awarded. BACKGROUND This project continues Redwood City's efforts to save energy consistent with Council's strategic initiative of encouraging climate protection programs. Since 2000, the City has upgraded various facilities to make them more energy efficient. Lighting upgrades of 16 City-owned facilities and the Jefferson Avenue Underground Parking Garage have resulted in significant energy savings. The proposed energy efficiency upgrade of the Marshall Street Parking Garage will reduce carbon dioxide emissions into the atmosphere by an estimated 369,521 pounds per year. Redwood City approved a Site Assess Agreement on or about March 2, 2009 with San Mateo County Energy Watch Program (SMC Energy Watch}, a joint partnership which includes PG&E and Ecology Action. This partnership was formed to assist cities and special districts in San Mateo County to complete energy efficient projects in public facilities. SMC Energy Watch is implemented by Ecology Action and funded by California ratepayers under the auspices of the California Public Utilities Commission. Projects proposed for Redwood City are reviewed by staff for their potential for savings. Pursuant to the proposed Customer Work Order Agreement by and between the City of Redwood City and Ecology Action, the City will enter into an agreement with A Brighf Idea for the total installed cost of the energy efficiency measures in the amount of $76,360.90. The work of the proposed contract with A Bright Idea includes replacing over 177 light fixtures in the Marshall Street Parking Garage for an estimated annual energy savings of $18,859. The proposed agreement with A Bright Idea references the rebate of $15,764.63 funded by PG&E. As a condition of receiving the rebate funds, the SMC Energy Watch Energy Efficiency Program Customer Work Order Agreement