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Home My WebLink About2001-02-20 City Council (24)TO: FROM: HONORABLE CITY COUNCIL CITY MANAGER City of Palo Alto City Manager’s Report DEPARTMENT: UTILITIES DATE: SUBJECT: FEBRUARY 20, 2001 CMR: 126:01 ADOPTION. OF A RESOLUTION AND APPROVAL OF A MEMORANDUM OF UNDERSTANDING (MOU) REGARDING PARTICIPATION IN THE SANTA CLARA VALLEY WATER DISTRICT’S COMMERCIAL WASHER REBATE PROGRAM FOR A TOTAL PROGRAM COST OF $24,375. RECOMMENDATION Staff recommends that Council authorize the City Manager or his designee to: 1) 2) Sign the attached Memorandum of Understanding between the City of Palo Alto and the Santa Clara Valley Water District (SCVWD), and Approve the attached resolution supporting the City’s participation in the Commercial Washer Rebate Program. BACKGROUND In August 1999, SCVWD began a pilot rebate program to determine the potential savings of rebates on efficient laundry equipment. SCVWD partnered with the City of Santa Clara and the San Jose/Santa Clara Water Pollution Control Plant to target 15 commercial laundromats in Santa Clara’s municipal service area and offer $350 rebates for replacing less efficient clothes washers. Response to the pilot has confirmed audience interest and savings potential. As a result, SCVWD launched its countywide Commercial .Washer Rebate Program on July 1, 2000, The City of Palo Alto Utilities (CPAU) has a long-standing tradition of promoting the efficient utilization of its water and energy resources. As a member of the Bay Area Water User Association, signer of the California Urban Water Conservation Council (CUWCC) MOU, and water retailer, the City shares similar efficiency objectives in its work with customers. CMR:126:01 Page 1 of 3 DISCUSSION Requirements of Participation The key requirement for participating in the SCVWD Commercial Washer Rebate Program is to sign and execute the MOU between SCVWD and CPAU. The MOU outlines each ¯ signatory’s responsibilities and requirements. The MOU is valid from the date of its signature through June 30, 2002 and may be extended beyond that date. CPAU Responsibilities: 1) Identify and notify all commercial laundry facilities, including multi-family properties within the City of Palo Alto; 2) Work cooperatively with SCVWD in advertising the Commercial Washer Rebate Prograria to targeted customers~ 3) Provide SCVWD with water usage records and other data necessary to determine savings and cost effectiveness of the Commercial Washer Rebate Program; 4) Agree to pay SCVWD $325 toward each washing machine rebate issued by SCVWD. In fiscal year 2001-02, CPAU will pay a maximum of 75 washing machine rebates; 5) Make payment to SCVWD within 60 days of receipt of invoice from SCVWD. SCVWD Responsibilities: 1) Administer the program, which shall include the creation of program brochure and application. 2) Collect and analyze data to determine water savings. 3) Administer all program funds and invoice CPA, on a quarterly basis, for $325 for each washing machine rebate issued. 4) Issue rebate checks to program participants and verify installation of qualifying machines. Benefits of Participation The SCVWD Commercial Washer Rebate Program provides several benefits to CPAU and its customers. First, the Commercial Washer Rebate Program would complement existing CPAU commercial demand side management programs. By encouraging appropriate commercial accounts to participate, the City will be able to educate CPAU customers about saving opportunities through lower utility costs. In addition, participation in the Program helps CPAU address the best management practices outlined in the CUWCC’s MOU. Finally, participating in the SCVWD water conservation efforts with other municipalities in Santa Clara County results in good public relations for CPAU. CMR: 126~01 Page 2 of 3 RESOURCE IMPACT Total cost for participating in the Program is estimated to be $24,375. cost are included in the 2000-01 Public Benefits Program budget. POLICY IMPLICATIONS Funds to cover this The recommendation is consistent with City policy regarding energy and water efficiency and conservation of natural resources and the City’s Comprehensive Plan. ENVIRONMENTAL REVIEW This is not a project under the California Environmental Quality Act. ATTACHMENTS 1. Memorandum of Understanding 2. Resolution PREPARED BY: Anthony C. Utility Account DEPARTMENT I-lEAD APPROVAL: Utilities CITY MANAGER APPROVAL: Assistant to the City Manager CMR:126:01 Page 3 of 3 MEMORANDUM OF UNDERSTANDING BETWEEN THE SANTA CLARA VALLEY WATER DISTRICT AND THE CITY OF PALTO FOR COMMERCIAL WASHING MACHINE REBATE PROGRAM This MEMORANDUM OF UNDERSTANDING (MOU) between the Santa Clara Valley Water District (hereinafter referred to as WATER DISTRICT) and the City of Palo Alto (hereinafter referred to as CPA) sets forth the respective roles of the WATER DISTRICT and CPA in regard to the WATER DISTRICT’S COMMERCIAL WASHING MACHINE REBATE PROGRAM (hereinafter referred to as PROGRAM) is made and entered into as of March 1, 2001. RECI"rALS WHEREAS the PROGRAM involves prQviding low energy, low water usage washing machine rebates to commercial laundry facilities located within CPA’s service area; WHEREAS commercial washing machine rebates are consistent with the legislative intent of AB1890 for the expenditure of Public Benefits Funds and are an appropriate measure for the Best Management Practice for commercial, industrial and institutional accounts addressed in the MOU regarding Urban Water Conservation in California; WHEREAS WATER DISTRICT has established a countywide PROGRAM providing rebates to commercial laundry facilities, including M~Jltifamily laundry rooms; WHEREAS CPA wishes to participate in said PROGRAM.- NOW, THEREFORE, in consideration of the redtals and mutual obligations of the parties herein expressed, WATERDISTRICT and CPA agree as follows: " 1. WATER DISTRICT’S RESPONSIBILITIES a) Administration of the PROGRAM, which administration shall include the creation of the PROGRAM brochure arid application at the WATER DISTRICT’S cost. b)Collection and analysis of data to determine water savings. Reports will be put together by the WATER DISTRICT and provided to CPAU. c)Administration of all PROGRAM funds. d)Invoicing CPA, on a quarterly basis, for $325 for each washing machine rebate issued. e)Issuance of rebate checks to PROGRAM participants. f)Verification of installation of qualifying machines. 2. CPA’s RESPONSIBILITIES a) Identification and notification of all commercial laundry facilities, including Multifamily properties within the City of Santa Clara. b)Work cooperatively with WATER DISTRICT in appropriately advertising the PROGRAM to the targeted customers~ c)Provide WATER DISTRICT with electric and water usage records and other data necessary to determine savings and cost effectiveness of the PROGRAM. d) CPA agrees to pay WATER DISTRICT $325.00 towards each washing machine rebate issued by WATER DISTRICT. In FY 2001/2002, CPA will pay a maximum of 75 washing machine rebates. e) Make payment to WATER DISTRICT within 60 days of receipt of invoice from WATER DISTRICT. CEQA WATER DISTRICT shall be responsible for assuring that the PROGRAM complies with the requirements of the California Environmental Quality ACt (CEQA) and that all necessary documents have been filed. HOLD HARMLESS AND LIABILITY CPA and WATER DISTRICT each agree to mutually indemnify, defend at its own expense, including attorneys’ fees, and hold each other harmless from and against all claims, costs, penalties, causes of action, demands, losses and liability of any nature whatsoever, including but not limited to liability for bodily injury, sickness, disease or death, property damage (including loss of use) or violation of law, caused by of arising out of or related to a negligent act, error or omission, or willful misconduct of that party, its officers or employees, of any other agent acting pursuant to its control and performing under this agreement. DOCUMENT REVIEW WATER DISTRICT and the CPA will make available for inspection to the other party, upon reasonable advance written notice, all records, books and other documents relating to the PROGRAM. 6. TERM The term of the MOU shall be from March 1, 2001. The term of the MOU may be extended by mutual consent of the Parties to accommodate the collection of data. This MOU shall be contingent upon approval of program funding each fiscal year by WATER DISTRICT’s Board of Directors and the CPA’s City Council. In the event such contingency is not met, this MOU shall terminate at the beginning of the fiscal year for which funding is not approved. 7. NOTICE Any notice, payment, credit or instrument required or permitted to be given hereunder shall be deemed received upon personal delivery or five (5) days after deposit in any United States mail depository, first class postage prepaid and addressed to the party for whom intended; or on the same day as a facsimile transmission is sent as long as original is placed in the mail on the same day. If to WATER DISTRICT:Santa Clara Valley Water District 5750 Almaden Expressway San .lose, CA 95118 Attn: Conservation Program, CII Washer Rebates Facsimile’. 408.978.0156 If to SVP:City of Palo Alto Utility Marketing Services 250 Hamilton Ave., 3~d fl Attn: Small Commercial Program Manager Facsimile: 650.617.3140 Either party may change such address by notice given to the other party as provided herein. AMENDMENTS The MOU may be amended as circumstances necessitate by written agreement executed by both parties. 9. ASSIGNMENT Neither party shall assign, sublet, or transfer this agreement or any of the rights or interests in this agreement without thewritten consent of the other party. 10. SEVERABILITY The partial or total invalidity of one or more parts of this MOU will not affect the intent or validity or remaining parts of this MOU. 11, GOVERNING LAW This MOU will be deemed a contract under the laws of the State of California and for all pruposes shall be interpreted in accordance with such laws. 12. TERMINATION OF AGREEMENT This MOU may be terminated by either party hereto for any reason upon thirty (30) days written notice to the other Party. 13. SIGNATURES The individuals executing this MOU represent and warrant that they have tl~e legal capacity and authority to do so on behalf of their respective legal entities. ¯ In WITNESS WHEREOF, the parties have executed this MOU as of the effective date. APPROVED AS TO FORM: CITY OF PALO ALTO, CALIFORNIA A Chartered California Municipal Corporation Grant Kolling Senior Assistant City Attorney Frank Benest City Manager John Ulrich Director, City of Palo Alto Utilities Address: 250 Hamilton Ave. : Palo Alto, CA 94301 Telephone: 650.329.2241 Facsimile: 650.617.3140 APPROVED AS TO FORM: Emily J. Cote Assistant General Counsel SANTA CLARA VALLEYWATER DISTRICT By: Stanley M. Williams General Manager 5750 Almaden Expressway San Jose, CA 95118 Telephone: 408.265.2600 Facsimile: 408.266.9357 RESOLUTION NO. RESOLUTION OF THE COUNCIL OF PALO ALTO SUPPORTING THE SANTA CLARA VALLEY WATER DISTRICT’S COMMERCIAL WASHING MACHINE REBATE PROGRAM WHEREAS, the Santa Clara Valley Water District ("SCVWD") has established its Commercial Washing Machine Rebate Program, a countywide program providing rebates to commercial laundry facilities, including multi-family laundry rooms ("Program"); WHEREAS, the Program involved providing low energy, low water usage washing machine rebates to commercial .laundry facilities located within the City of Palo Alto ("City") service area; WHEREAS,commercial washing machine rebates are consistent with the legislative intent of AB 1890 for the expenditures of public benefits funds and are appropriate measures for the best management practices for commerci~l, industrial and institutional accounts (addressed in the memorandum of understanding) regarding urban water conservation in California; WHEREAS, the SCVWD and the City wish to enter into a memorandum of understanding in furtherance of the goals and objectives of the Program; NOW, THEREFORE, the Council of the City of Palo Alto does hereby RESOLVE as follows: SECTION I. The Council hereby approves the City of Palo Alto’s participation in the Santa Clara Valley Water District’s Commercial Washing Machine Rebate Program. SECTION 2. The Council further authorizes the City Manager to sign the contract entitled ~Memorandum of Understanding Between The Santa Clara Valley Water District And The City of Palo Alto For Commercial Washing Machine Rebate Program." // // // 010130 syn 0071971 1 SECTION 3. The Council finds that the adoption of this resolution does not constitute a project under the California Environmental Quality Act and no environmental assessment is required. INTRODUCED AND PASSED AYES: NOES: ABSENT: hBSTENTIONS: ATTEST:APPROVED: City Clerk Mayor APPROVED AS TO FORM:City Manager Senior Asst. City Attorney Director of Administrative Services Director of Utilities 010130 syn 0071971