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HomeMy WebLinkAbout2010/07/27 Item 9 CITY COU NCI L AGENDA STATEMENT ~~ 'f:. CITY OF .~~~ CHULAVlStA - ~ ~...... ITEM TITLE: SUBMITTED BY: REVIEWED BY: JULY 27, 2010, Item3- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RATIFYING SUBMITTAL OF A CLIMATE SHOWCASE COMMUNITIES GRANT APPLICATION TO THE ENVIRONMENTAL PROTECTION AGENCY FOR $496,900 AND AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE ALL DOCUMENTS NECESSARY TO OBTAIN AND MANAGE GRANT FUNDS DIRECTOR OF CONSERVATION & ENVIRONME~ SERVICES ~ ~ DIRECTOR OF PUBLIC WORK " ASSISTANT CITY MA AG~VELOPMENT SERVICES DIREC1!O CITY MANAGER ASSISTANT CITY ANAGER"?'"I 4/STHS VOTE: YES D NO 0 SUMMARY The Environmental Protection Agency's Climate Protection Partnership Division is soliciting proposals for their Climate Showcase Communities grant program which was created to establish greenhouse gas emission reduction demonstration projects. In response, City staff has prepared a $496,900 proposal to make visible, targeted sustainable improvements in its southwest Chula Vista redevelopment area. The improvements include interior and exterior upgrades to residential and commercial properties which reduce energy and water consumption and related utility costs. These property improvements will be complemented by additional public infrastructure and service investments such as the development of more sustainable, affordable housing units, the installation of efficient streetlighting technologies, expansion of bicycle infrastructure, and creation of a commercial food waste collection service. Through the proposed Reduce, Reuse, Redevelop project, the City will create a powerful social marketing tool for the City's broader sustainability and climate protection efforts. 9-1 JULY 27, 2010, Item~ Page 2 of 4 ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activIty for compliance with the California Environmental Quality Act (CEQA) and has determined that the activity is not a "Project" as defined under Section 15378 of the State CEQA Guidelines, because the proposed action involves the submittal of a grant application which would not result in a potentially significant physical impact on the environment. Therefore, pursuant to Section 15060 (c) (3) of the State CEQA Guidelines, the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION That City Council adopts the resolution. BOARDS/COMMISSION RECOMMENDATION The Resource Conservation Commission unanimously recommended approval of the agenda item at their July 12,2010 meeting. DISCUSSION The Environmental Protection Agency's (EPA) Climate Protection Partnerships Division was established to reduce greenhouse gases (GHG) by creating cost-effective partnerships with various community sectors including local municipalities and public agencies. Local governments playa critical role in reducing GHG emissions, but many struggle with meeting their established reduction targets. Therefore, the EP A has allocated $10 million to its Climate Showcase Communities grant program to establish greenhouse gas emission reduction demonstration projects, build local capacity to foster broader climate action, and serve as replicable models for other local governments across the nation. It is anticipated that the EP A will award 20-30 grants ranging in value from $300,000 to $500,000. In response to the grant solicitation, City staff has prepared a $496,900 proposal focused on leveraging multiple municipal departments' resources in order to make visible, targeted sustainable improvements in its southwest Chula Vista redevelopment area. The proposed Reduce, Reuse, Redevelop project will address all of the major greenhouse gas emission sources in the City - energy, transportation, and solid waste - and will emphasize how local jurisdictions can modify and leverage existing public programs and services to make significant carbon reductions in a feasible and cost-effective manner. Finally, the proposed project will contribute directly to the implementation of the seven climate protection measures approved by City Council in July 2008. Under the proposed Reduce, Reuse, Redevelop project, the City will facilitate the installation of energy and water efficiency upgrades in the community helping residents and businesses overcome common institutional barriers, upfront capital costs, and time constraints. Efficiency upgrades include high efficiency lighting, appliances, tankless water heaters, AlC tune-ups, water-efficient faucet aerators/showerheads, and low-water use irrigation. These property improvements will be complemented by additional public infrastructure and service investments. Under public infrastructure, the City will expand 9-2 JULY 27, 2010, Item~ Page 3 of 4 bicycle infrastructure and signage to promote non-motorized transportation and complement the current "Safe Routes to Schools" program throughout the southwestern area, install high efficiency streetlights along major arterial roadways, and create a voluntary assessment district for property-owners interested in having more street trees adjacent to their homes or businesses. Under municipal services, the City will support additional "below market rate" housing units in the redevelopment area which will maximize sustainable design features and construction materials, while contributing to more equitable housing. In addition, a new commercial food waste collection service will be launched in the area to help divert organic waste from the local landfill, produce high-quality compost, and serve as a pilot for a future citywide program. Through the proposed Reduce, Reuse, Redevelop project, the City will create an effective social marketing tool for the City's broader sustainability and climate protection efforts. By coordinating multiple departments' sustainable efforts, a powerful project "branding" can be created which will greatly enhance public awareness and build a comprehensive showcase for other communities interested in feasible and cost-effective carbon reduction measures. The project also supports broader environmental, economic, and social benefits such as reinvigorating older communities, providing more transportation choices, promoting equitable housing, and maximizing the impact of public investments. The proposed project will creatively fund and supplement the City's existing portfolio of sustainable residential and commercial services (ex. Free Resource & Energy Business Evaluations, Home Upgrade Carbon Downgrade), new construction and community development efforts (ex. Green Building Standards, Los Vecinos Affordable Housing Project, Millennia Project), and alternative transportation initiatives (ex. Fleet Alternative Fuel Conversion Project, Bike Master Plan). Staff envisions this pilot also as an opportunity to take a broader neighborhood approach to sustainable redevelopment and build on the successes of recent collaborative, sustainable living projects. The EPA required that the grant proposal be submitted by July 26, 2010, so City Council is being asked to now ratify the proposal submittal. If the grant is awarded, staff will return to City Council to accept the grant award and appropriate the fund balance required to implement the grant from February 2011 through January 2014. DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found a conflict exists, in that Councilmember McCann and Councilmember Ramirez have property holdings within 500 feet of the boundaries of the property which is the subject of this action. CURRENT YEAR FISCAL IMP ACT The City's submission of its Climate Showcase Communities grant application would not have a negative impact on the City's General Fund for the current fiscal year. If awarded, the grant would cover all staff time and material costs associated with implementing the project. The 50% match requirement under the grant guidelines would be fully funded through existing SDG&E/California Public Utilities Commission Local Government 9-3 JULY 27, 2010, Item~ Page 4 of 4 Partnership, Redevelopment Agency, Solid Waste Management, and TransNET funding as well as utility rebate programs. ONGOING FISCAL IMP ACT All implementation costs over the 3-year project period would be funded through the Climate Showcase Communities grant and other existing funding sources. Therefore, no negative ongoing General Fund impact is anticipated. At a community scale, the project would help create demand for local "green" jobs and economic development, while reducing utility bills for community members participating in the project. ATTACHMENTS Attachment A - "Reduce, Reuse, Redevelop" Grant Proposal Summary Prepared by: Brendan Reed, Environmental Resource Manager, Conservation & Environmental Services 9-4 ATTACHMENT A ~ ~ It-- L~== ~~~~ ---.:........ CITY OF CHULA VISTA CITY OF CHULA VISTA EPA CLIMATE SHOWCASE COMMUNITIES APPLICATION a) Project Title Reduce, Reuse, Redevelop Project b) Funding Requested $496,900 - Federal $1,181,560 - Non-Federal (Cost Share) c) Total Project Cost $1,678,460 d) Project Period February 1,2011 - January 31, 2014 PROPOSAL OVERVIEW a) Project Summary As communities across the United States mobilize to address climate change by reducing greenhouse gas (GHG) or "carbon" emissions, local governments are being challenged to select the most cost-effective approach with the greatest impact to lowering emission levels. Existing building stock and public infrastructure within older communities represent the sectors with some of the greatest carbon savings potential. According to a recent study by the University of Utah (Nelson 2004), over 50% of current built structures (equivalent to 213 billion square feet) will be remodeled or reconstructed over the next 25 years. Because most of these buildings were built before new construction energy efficiency standards were enacted, existing structures offer a tremendous opportunity to reduce energy demand and produce carbon-savings through building retrofit efforts. The public infrastructure (ex. streetlights, sidewalks, street trees, roads) and services (ex. community development, affordable housing, environmental management) that support these built structures will also need to be modified in the future offering further opportunities for carbon reductions related to waste, energy, and transportation emission sources. Finally, redevelopment within existing communities (as opposed to "Greenfield" development) will be essential in accommodating future population growth across the United States, while ensuring overall decreases in carbon emissions nationally. The City of Chula Vista's Reduce, Reuse, Redevelop project (3R's) responds to the EPA Climate Showcase Communities Request for Applications by focusing on the added value of leveraging multiple municipal departments' resources to create sustainable, neighborhood- EP A Climate Showcase Communities Grant Proposal Summary 10f5 9-5 scale improvements in a redevelopment area that are highly visible and have significant positive impacts on the community's quality of life. Redevelopment areas offer local jurisdictions a unique tool to influence and finance private development and public improvement projects which can contribute to both the environmental and economic sustainability of existing communities. The comprehensive project will address all of the major greenhouse gas emission sources in the City and emphasize how local jurisdictions can modify and leverage existing public programs and services to make significant carbon reductions in a highly productive and cost-effective manner. As part of the proposed project, Chula Vista, in partnership with community groups, labor organizations, education districts, water/energy utilities, and regional agencies, will make the following targeted improvements in the southwest Chula Vista redevelopment area: . Interior Building Improvements - Building off its Home Upgrade Carbon Downgrade program and leveraging existing municipal and utility rebates, Chula Vista will facilitate energy and water efficiency improvements at businesses and residents in the southwest community area. Specifically, 100 residential and commercial buildings will receive no-cost energy and water efficiency improvements. These improvements may include high efficiency compact fluorescent lights, appliances (refrigerators and washing machines), programmable thermostats, tankless water heaters, AlC tune-ups, water-efficient faucet aerators/showerheads, and weather-based irrigation controllers. All upgrades will feature EP A ENERGY STAR and WaterSense-labeled products and all properties will participate in the EP A HomeST AR program, when applicable. The retrofits will result in a lower carbon footprint for each participating building, while reducing participants' annual utility costs. Expected Outcomes: Annual GHG reductions Improved building efficiency & conservation Reduced need for local power generation (air quality benefit) Increased demand for "green" products & jobs Requested Funding Amount: $162,500 Non-Federal Cost Share Amount: $102,400 . Exterior Building Improvements - The City of Chula Vista's Redevelopment Agency will provide no-interest, forgivable loans to at least 30 residential property owners in the southwest area. These loans will finance sustainable improvements to the participating homes' exterior/ building envelope which are designed to make the homes more livable, more efficient, and more affordable through reduced utility costs, while elevating the living standards in the broader residential neighborhoods. Improvement options include roof replacement and home insulation (high r value), window replacement (low-e models), weather-stripping, exterior paint (low VOC), and conversion to landscaping which utilizes low-water plants and shade trees. Contractors working under this direct install program will also be required to help educate the property owners in regard to environmental best practices. EP A Climate Showcase Communities Grant Proposal Summary 20f5 9-6 Expected Outcomes: Annual GHG reductions Improved building efficiency & conservation Enhanced livability & neighborhood appearance Increased demand for "green" products & jobs Requested Funding Amount: $10,000 Non-Federal Cost Share Amount: $400,000 . Affordable & Sustainable Housing - The City of Chula Vista will direct its affordable housing funds to support the construction of new "below market rate" housing units in southwest Chula Vista. Although a site has not been identified yet, the City anticipates the project adding at least 50 affordable units to the redevelopment area. The new housing project, which would incorporate sustainable design features and materials and would be expected to exceed state energy efficiency standards by at least 25%, will contribute to a healthy, balanced community where housing is available to all community members. Expected Outcomes: Annual GHG reductions Improved building efficiency & conservation More equitable, affordable housing units Increased demand for "green" products & jobs Requested Funding Amount: $15,000 Non-Federal Cost Share Amount: $200,000 . Streetlight Infrastructure Improvements - The Reduce, Reuse, Redevelop Project's building-related efforts will be complemented by streetlight infrastructure improvements. Approximately 80 High Pressure Sodium (HPS) streetlights along major arterial roads in southwest Chula Vista will be replaced with LED lamps which reduce energy use by 50%. The new lamps will provide a visible and dramatic example of energy-saving technologies, while providing higher quality light output for public safety. The streetlight improvements along arterial roadways will also be complemented by an existing $2 million streetlight retrofit project along residential roadways throughout the City. Expected Outcomes: Annual GHG reductions Improved streetlight efficiency Lower maintenance & operational costs Better light quality Requested Funding Amount: $66,800 Non-Federal Cost Share Amount: $37,500 . Street Tree Financing District - The long-term maintenance and care for street trees often causes many local jurisdictions to minimize the number and extent of shade EP A Climate Showcase Communities Grant Proposal Summary 30f5 9-7 trees planted along public parkways and municipal right-of-ways. Through the proposed project, the City of Chula Vista will create a voluntary assessment district available to property-owners in the southwestern redevelopment area. Residents who joined the district and paid its fees (through property tax rolls) would have shade trees planted along the municipal right-of-way adjacent to their property. The district's revenue would provide the critical funding needed to maintain and water the shade trees into the future. Expected Outcomes: Annual GHG reductions Improved building efficiency Improved air and water quality Enhanced livability & neighborhood appearance Requested Funding Amount: $33,000 Non-Federal Cost Share Amount: $0 · Organic Waste Management - To address emissions from organic waste, Chula Vista will launch a "Food Waste Collection & Compost Project" which will collect pre-consumer food waste from a number of restaurants, markets, and industrial food manufacturers in southwest Chula Vista. Instead of disposal at the local landfill, this diverted organic waste will be processed using an in-vessel composter (known as a "bioreactor") which reduces odor and volatile organic compound emissions (VOCs) and produces nutrient rich humus. In addition to avoiding the release of methane which has a global warming potential 20 times higher than carbon dioxide (C02), the compost product will improve soil health and water retention capacity, thus reducing water usage, stormwater run-off pollution, and the need for chemical fertilizers. The project will also enable the City to gather vital data and practical information needed to implement a citywide food waste collection and compost program in the future. Expected Outcomes: Annual GHG reductions Better waste data for future citywide program "Highest use" of diverted organics (compost) Requested Funding Amount: $113,000 Non-Federal Cost Share Amount: $292,220 · Bicycle Infrastructure Improvements - As part of its Bikeway Master Plan implementation, the City will expand bicycle infrastructure throughout southwest Chula Vista. Infrastructure improvements include bike lockers/racks and bicycle route signage. These improvements will support the current "Safe Routes to Schools" project and help promote safe, non-motorized commuting between and within commercial and residential districts in one of the City's largest low income and ethnically diverse areas. The project will also help educate the community about bicycling infrastructure, sharing the road properly, and linking to public transit opportunities. EP A Climate Showcase Communities Grant Proposal Summary 40f5 9-8 Expected Outcomes: Annual GHG reductions Reduced traffic congestion (air quality benefit) Improved linkage to public transit Requested Funding Amount: $48,000 Non-Federal Cost Share Amount: $15,000 · Marketing & Administration - Overall grant administration will be provided by the City's Conservation & Environmental Services Department which will coordinate implementation and marketing with other participating municipal departments. Requested Funding Amount: $48,600 Non-Federal Cost Share Amount: $134,440 The City of Chula Vista's size, ethnic diversity, and housing stock make it an excellent template for the demonstration of GHG emission reduction programs which can be replicated across the country. Chula Vista is the 2nd largest municipality within San Diego County and boasts a mixed ethnic population, comprised predominately of Hispanic (50%), White (28%), Asian (13%) and Black (4%) groups. Chula Vista's current housing stock totals approximately 76,000 residential units with homes built between the early 1900s and present. The City is also a growing community with one of the highest development (both greenfield and redevelopment) rates between 2000 and 2008. The proposed project will engage these diverse residents and community groups to target older buildings and infrastructure in the southwestern Chula Vista area. The community improvements through the Reduce, Reuse, Redevelop project will generate quantifiable carbon savings. The project also supports broader environmental, economic, and social benefits such as reinvigorating older communities, providing more transportation choices, promoting equitable housing, and maximizing the impact of public investments. The City of Chula Vista's success in developing and implementing past sustainability-related projects helps to ensure that the proposed project will generate high quality data that can be used to help replicate it in other communities. The City has also demonstrated its ability to invest local, state, and federal resources to create programs which reduce utility costs at municipal facilities and throughout the community and contribute to the development of a local "green" economy. Finally, by coordinating multiple departments' sustainable efforts, a powerful project "branding" can be created which will greatly enhance public awareness and build a comprehensive showcase for other communities interested in feasible and cost- effective carbon reduction measures. EP A Climate Showcase Communities Grant Proposal Summary 50f5 9-9 RESOLUTION NO. 2010- RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA RATIFYING SUBMITTAL OF A CLIMATE SHOWCASE COMMUNITIES GRANT APPLICATION TO THE ENVIRONMENTAL PROTECTION AGENCY FOR $496,900 AND AUTHORIZING THE CITY MANAGER OR HIS DESIGNEE TO EXECUTE ALL DOCUMENTS NECESSARY TO OBTAIN AND MANAGE GRANT FUNDS WHEREAS, the Environmental Protection Agency's Climate Protection Partnership Division (EP A) is soliciting proposals for their Climate Showcase Communities grant program; and WHEREAS, the EP A has allocated $10 million to its Climate Showcase Communities grant program to establish greenhouse gas emission reduction demonstration projects, build local capacity to foster broader climate action, and serve as replicable models for other local governments across the nation; and WHEREAS, in response, City staff has prepared a $496,900 proposal to make visible, targeted sustainable improvements in its southwest Chula Vista redevelopment area; and WHEREAS, the improvements include interior and exterior upgrades to residential and commercial properties which reduce energy and water consumption and related utility costs; and WHEREAS, these building upgrades will be further complemented by additional public infrastructure and service investments such as the development of more sustainable, affordable housing units, the installation of efficient streetlighting technologies, expansion of bicycle and street tree infrastructure, and creation of a commercial food waste collection service; and WHEREAS, the project also supports broader environmental, economic, and social benefits such as reinvigorating older communities, providing more transportation choices, promoting equitable housing, and maximizing the impact of public investments; and WHEREAS, the project budget, if funded, would cover all staff, material, and general implementation costs, and would leverage existing SDG&E Local Government Partnership, Redevelopment Agency, Solid Waste Management, and TransNET funding. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Chula Vista does hereby ratify submittal of a Climate Showcase Communities Grant Application to the Environmental Protection Agency for $496,900. 9-10 Resolution No. 2010- Page 2 BE IT FURTHER RESOLVED, that the City Council of the City of Chula Vista does hereby authorize the City Manager or his designee to execute all documents necessary to obtain and manage grant funds. Presented by Approved as to form by Michael Meacham Director of Conservation and Environmental Services 9-11