HomeMy WebLinkAbout3/4/2009 - STAFF REPORTS - 2.K. Ic S
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°at'FoRN�P. City Council Staff Re ort
DATE: March 4, 2009 CONSENT CALENDAR
SUBJECT: APPROVAL OF RESOLUTION NO. DECLARING THE CITY
OF PALM SPRINGS' INTENTION TO FINANCE ENERGY EFFICIENCY
IMPROVEMENTS TO RESIDENCES WITHIN PALM SPRINGS.
FROM: David H. Ready, City Manager
BY: Community & Economic Development Department
SUMMARY:
Resolution is the first step in a two step process necessary for the adoption of
the Palm Springs Residential Energy Efficiency Program (REEP) that was recently
authorized by the passage of Assembly Bill 811. This Resolution declares the intent of
the City Council to finance energy efficiency improvements through the use of
contractual assessments pursuant to Chapter 29 of Part 3 of Division 7 of the California
Streets and Highways Code.
RECOMMENDATION:
1. Approve City Council Resolution declaring its intention to finance
energy efficiency improvements to homes within Palm Springs.
2. Authorize the City Manager or his designee to execute all the necessary
documents.
BACKGROUND:
Resolution is the first step in a two step process necessary for the adoption
of the Palm Springs Residential Energy Efficiency Program (REEP) that was recently
authorized by the passage of Assembly Bill 811_ This Resolution declares the intent of
the City Council to finance energy efficiency improvements through the use of
contractual assessments pursuant to Chapter 29 of Part 3 of Division 7 of the California
Streets and Highways Code. This Resolution also authorizes staff to complete the
Resolution. This Resolution also sets the date of , 2009 for the public
hearing necessary for the final adoption of this proposed program_
17,=i�j �1,10. z . K .
All the specifics of this proposed financing program will be completed and published
prior to the public hearing date of Wednesday, March 25, 2009.
Resolution No. has been reviewed and approved by the City Attorney's
Office.
Diana Shay Tom Wilson
Redevelopment Coordinator Assistant City Manager
DAVID H. RF2
City Manager
Attachments:
1. Resolution
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
PALM SPRINGS DECLARING ITS INTENTION TO
FINANCE ENERGY EFFICIENCY IMPROVEMENTS
THROUGH THE USE OF CONTRACTUAL ASSESSMENTS
PURSUANT TO CHAPTER 29 OF PART 3 OF DIVISION 7
OF THE CALIFORNIA STREETS AND HIGHWAYS CODE
AND SETTING A PUBLIC HEARING THEREON.
WHEREAS, pursuant to Chapter 29 of Part 3 of Division 7 of the California
Streets and Highways Code ("Chapter 29"), the City Council proposes to establish a
contractual assessment program to assist property owners with the cost of making
energy efficiency improvements that are permanently fixed to their property;
NOW, THEREFORE THE CITY COUNCIL OF THE CITY OF PALM SPRINGS
HEREBY FINDS, DETERMINES, RESOLVES, AND ORDERS AS FOLLOWS:
Section 1- The City Council hereby finds and declares all of the following:
A. Energy conservation efforts, including the promotion of energy efficiency
improvements to residential, commercial, industrial, or other real property are
necessary to address the issue of global climate change.
B. The upfront cost of making residential, commercial, industrial, or other real
property more energy efficient prevents many property owners from making those
improvements. To make those improvements more affordable and to promote the
installation of those improvements, the Legislature has authorized an alternative
procedure pursuant to Chapter 29 for authorizing assessments to finance the cost of
energy efficiency improvements-
C. A public purpose will be served by a contractual assessment program
whereby the City Council is authorized to finance the installation of energy efficiency
improvements that are permanently fixed to residential, commercial, industrial, or
other real property.
D. It is convenient, advantageous, and in the public interest to designate the
entire City, including any area that may be annexed to the City, as the area within
which authorized City officials and property owners may enter into contractual
assessments to finance the installation of energy efficiency improvements that are
permanently affixed to real property
Section 2. The City Council hereby determines that it would be convenient,
advantageous and in the public interest to designate the entire City as an area within
which authorized City officials and property owners may enter into contractual
assessments pursuant to Chapter 29 to finance the installation of distributed
generation renewable energy sources or energy efficiency improvements that are
permanently fixed to real property.
P,o
Resolution No.
Page 2
Section 3. The City Council hereby declares that it proposes to make
contractual assessment financing available to the owners of property in the City to
finance the installation of energy efficiency improvements that are permanently fixed
to real property.
Section 4. The City Manager or the City Manager's designee (the "Authorized
Officer") shall prepare, as part of the report required in Section 7 of this Resolution,
and update, sources or energy efficiency improvements that may be financed
through the City's contractual assessment financing program. The types of energy
efficiency improvements eligible for financing through contractual assessments may
include, but are not limited to, high efficiency air conditioning and ventilation
systems, high performance windows, high efficiency pool equipment, high efficiency
water heating equipment, photovoltaic and thermal solar energy systems, zoning
control and energy management control systems, high efficiency irrigation pumps
and controls and natural gas fuel cells, wall, ceiling, and roof insulation upgrades.
Section 5. The entire City and any area that may be annexed thereto, is
designated the area within which contractual assessments may be entered into
pursuant to Chapter 29.
Section 6. The proposed arrangements for financing the contractual
assessment financing program may include without limitation the issuance of bonds
pursuant to Chapter 29, the principal and interest of which would be repaid by
contractual assessments. Alternatively, the City may advance its own funds to
finance work to be repaid through contractual assessments, and may from time to
time sell bonds, notes, certificates of participation, or other forms of indebtedness to
reimburse itself for such advances. The proposed arrangements may also include
the lease-purchase of public facilities by the City pursuant to a lease or other
contractual arrangement with a public financing authority or non-profit entity or other
financing elements as may be determined necessary or useful to the financing of the
contractual assessment program.
Section 7. The City Council hereby directs the Authorized Officer to prepare
and file with the City Council a report pursuant to Section 5898.22 of the California
Streets and Highways Code at or before the time of the public hearing described in
Section 8 hereof (the 'Report"). The Report shall contain all of the following:
(a) A map showing the boundaries of the territory within which contractual
assessments are proposed to be offered.
(b) A draft contract specifying the terms and conditions that would be agreed
to be a property owner within the contractual assessment area and the
City.
Resolution No._
Page 3
(c) A statement of City policies concerning contractual assessments including
all of the following:
(i) Identification of types of facilities, or energy efficiency
improvements that may be financed through the use of
contractual assessments;
(ii) Identification of a city official authorized to enter into
contractual assessments on behalf of the City;
(iii) A maximum aggregate dollar amount of contractual
assessments; and
(iv) A method for setting requests from property owners for
financing through contractual assessments in priority order in
the event that requests appear likely to exceed the
authorization amount.
(d) A plan for raising a capital amount required to pay for work performed
pursuant to contractual assessments. The plan may include amounts to
be advanced by the City through funds available to it from any source.
The plan may include the sale of a bond or bonds or other financing
relationship pursuant to Streets and Highways Code Section 5898.28.
The plan shall include a statement of or method for determining the
interest rate and time period during which contracting property owners
would pay any assessment. The plan shall provide for any reserve fund or
funds. The plan shall provide for the apportionment of all or any portion of
the costs incidental to financing, administration, and collection of the
contractual assessment program among the consenting property owners
and the City.
Section 8. The City Council hereby calls a public hearing to be held on March
25, 2009 at 6:00 p.m., or soon thereafter as feasible, in the Council Chambers, 3200
E. Tahquitz Canyon Way, Palm Springs, California, on the proposed Report and the
contractual assessment financing program. At the public hearing all interested
persons may appear and hear and be heard and object to or inquire about the
proposed contractual assessment financing program or any of its particulars.
Section 9. The City Clerk is hereby directed to provide notice of the public
hearing by publishing this Resolution once a week for two weeks, pursuant to
Section 6066 of the California Government Code, in the Desert Sun and the first
publication shall not occur later than 14 days before the date of such hearing.
Section 10. The assessments levied pursuant to Chapter 29, and the interest
and any penalties thereon, shall constitute a lien against the lots and parcels of land
on which they are made, until they are paid. The assessments shall be collected in
the same manner and at the same time as the general taxes of the City on real
�� 5
Resolution No.
Page 4
property are payable and shall be subject to the same penalties, remedies and lien
priorities in the event of delinquency and default.
Section 11. The City Council hereby directs the Authorized Officer to enter into
consultations with the County of Riverside Auditor-Controller's office to reach
agreement with the County regarding the collection of the contractual assessments
by the County on the tax roll.
PASSED, APPROVED AND ADOPTED THIS 4TH DAY OF MARCH, 2009.
66
No 0903
RESOLUTION NO.22444
A RESOLUTION OF THE CITY COUNCIL OF
THE CITY OF PALM SPRINGS DECLARING ITS
INTENTION TO FINANCE ENERGY EFFICIEN-
CY IMPROVEMENTS THROUGH THE USE OF
CONTRACTUAL ASSESSMENTS PURSUANT
TO CHAPTER 29 OF PART 3 OF DIVISION 7 OF
THE STREETS AND
PROOF OF PUBLICATION Th CODE" NIA AND RSETTNG, A PUBLIIC"IGHWAYS HEARINC
THEREON
(2015,5,C,C,P) WHEREAS, pursunnl to Chaplur 29 of Part 3 DI
Division':of the California Streets and Highways
race(Chapter 29),the Ciry Councll proposes to
establish a conlraclual d3SusSi l rogrtm to as
list property owners with the Cost cf making ener-
py cfficency improvements that are permanently
fxed to their property
NOW THEREFORE THE CITY COUNCIL
OF YHE CITY OF PALM SPRINGS HERE
BY FINDS DETERMINES, RESOLVES,
AND ORDEhS AS FOLLOWS:
STATm OF CALIFORNIA Secton 1 The City Council hereby finds and de-
County of Riverside planes all of the following'
A Ennrgy conservation effona including
.the promotion of energy efficiency improvement
to residential,commercial,Industrial,or other real
properly are notes"ary to address the issue of
pplohhal climate chancqe.
e. The Up Part cost of making residential
rprnmuradl,Industrial,or Dlher real properly more
energy efficient prevents many property owners
from making.thoss-Improvements. To make those
1 am fl citizen of the United States and a resident of Improvemento stmrdabie and To promote the
�nstallat�on al s m file^.ree improvort Inc Lequlaluro
the County aforesaid; 1 am over the age Of eighteen has authorized an alternative procedure pursuant
to Cris ter 29 for authorizing assessments to fl-
years,and not a party to or interested in the nance.me cost of energy offcrenoy improvements,
above-cDtitled matter.I am the alert:of a C. A public purpose will be sorvad by a
principal contractual assessment program whereby the Gary
printer of the,DESERT SUN PUBLI$IIING Council Ig amhorved to finance The Installation of
energy olficiency imprgvemarla that are Dperma•
COMPANY a newspaper of general circulation, nently fixed to residential commercial,intlustrial
or other real property
printed and published in the city of Palm Springs, D. It is convenient advantageous,and in
Coup of Riverside and which newspaper has been the publlc Interest to designate the entire Clly In-
Ulu reluding any area that may be annexed to the 6i((vv
adjudged a newspaper of general circulation by[Ile as the area wimin which authorized City ofllclala
and property gwnare may Uhler role conlraclual
Superior Court of the County of Riverside,State of assessments to finance the installation of energy
atficlency,Improvements that are permanently e-
California under the dale of March 24, 19S&Case Gxud to mA property
Number 191236;that the notice,of which the Section 2. The City Council hereby determines
annexed is a printed copy(set in type not smaller Thal it-Would be convenient,advantageous and in
the public interest to designate the entire City as
than non pariel,has been published in each regular an area within which natnon od City omcrab and
property owners may enter into Contractual as-
and entire issue of said newspaper and not in any ses:mems pur=cant to Chapter 29 to finance me.
installation of distributed generation renewable on•
Supplement thereof on the following dates,to wit: ergy sources or energy efficiency Improvements
Illal arc 00=11onty Ixed to rv.al property
March 7°",14"%2009 Section 3 The Ciry Council hereby declares that
I pnopi to make Corlr4cWal aSsusamonl Ir
nancm available to the owners of properrltyv m the
City to�inaneo the installation of energy elllcmncy
improvements that arc permanently fixed to real
_-,.....--""-"'--"..."......."..."................ property
All in the year 2009 Serlien 4 Thu City Manager or the City Marl
ens designee Sthe Authorized Officer' shall pre-
pare as pan o the report lectured In Section 7 of
Ihis Assoiution and apdale,sources or energy of,
I certify(or declare)under penalty of perjury that the fcienc Improvements that may be financed
Ihroug�Ito City'S contraclual assessment finane-
foregOiDg is true and correct. ing program. The types of energy efficiency im-
provements eligible for Ilnancing through contrac-
UAI ad443smant3 may include,but are not limited
Dated at Palm Springs,California this----17"',----day I to, high cmciency_air condiwing-and ventilation
systems higlrpedonnance windows higheficien-
cy pool equipment high efllclency water heating
<quipr 1,pl'rolovoltaic and Ihormal molar energy
af---------- March ---- 2009 systems zoning control and energy management
control eyeteme high efficiency mlppatlon pumps
and Control^Snit nytural gar Iuel Ce IS wall,call-
ph,end rool insulation uppradw
Section 5 The entire City and any area that may
be annexed thereto,is dengnatPd the area within
-------; ---- �--�-----�----- which contractual assessments may be entered
Into pursuant to Chapter 29.
Section o The proposed mengeancingarhnanm
L'ti V' -,t trig Include contractual assessment financing program
•-t.t1 maypurse without Chapter
t29, the Issuance of
L7 0 bond; of whit to Chapter roe theycontractual
ontrPrincipal and
--< ;,([(] mlerest el which would by the City
by y advance
+i +� _ Its ownfu n s o finance
coo the Ciry may advance
_1 .� Y Its own funds m linence work to be repaid through
�,_ contractual aL-escments and may from time to
.:.J L'r± __f� I '• time sell bonds,notes cedi icalus of participation
-"�Y, .-ram Q '�.Otrl or other forms'of indebtedness se reimburse Itself
}U'1 1 or such advanctons
s.in the reposed ambers menus
cn .,.( may also include Ilse loasc•puxhasa of public la•
e cillnes by the City pursuant to a lease or other
O contractual arrangement with a public financing
authority ar nOr lit entity or other financing ole�
ments as may be determined necessary or useful
to the Ilnancing of the contractual go;aSSmeol pro-
gram.
Sngllen7 The Cdy Cauncilhurabydircctsthc Au•
thanzed Officer to prepare and fie with the City
Council a report pursuant to Section 3995.22 of
the California Slecio and Hghways Cede at or
before the time of the public hearing described In
Section 8 hereof(the"Report"). The Report shell
contaln all of The following:
(a) A map showing the boundaoe^of the
lerntory will...which conlraClual essessmcnls are
proposed to be opened,
(h) A draft cori specifying the terms
and conditions lnit would be udreed to be a prop•
cdy owner within the contractual assessment area
annhe City
(c) A statement of Cltyy pollcles concern•
mpp contractual assnsslnenL^ Including all 01 the
to owing
(Q i efficiency
hc.Non of types of
facilities,be,in energy ofhghft IWe Of mrnra tual
may be financed Through lhL ass of contactual
aSSCSSments
authorized into contlon of ual ascityehl-
m�el isanbe to enter into contractual assess-
ments on behalf of the Caryry; '
p q u maximum s;and le
dollar amount of contractual aes method
so and
(IV)pr A method far ng thfo qh
quests from property inners tar financing in the
event citualthat
quests appe likely
priority order in au-
event Ihal requests appear likely ro exceed the au-
Ihodzation Aflan.
(d)_ A plan far rq,slngperformed
a caudal amount re-
.. oaredtopayforwork pcdhu plpurman!toWn-
amounl in be advanc Thu plan may include
amounts ro he from
any by the Cdy through funds
crude the
to It from any source The plan may In-
clude iha sale DI a bond or bonds or and
Highways
Co a Section pp08.2inl to Sheets and Hlyhweya
Code enttof p method
The plan shall include a
statement of or method for during
which c the.clot•
esl ram and time pump y any which contracting
pIan shall
owners would pay any assessment The
pthe shell vrll pro for any resolve land a tondo.
Tha plan shell of
cosforts
the aentail to
of all
or any padNn of the collection
ion 01 th la omraCing
a wet,i tretion, and collection of Ina cong prop-
any owners
and
t ern among the consenting pmp-
erty owners and the City
Sechon 3 The Ci Council hereby calls a public
hehBnA m be held on March 25, 2009 at 6:00
pp��m. or sown thereafter as feasible,In the Council;
L`hambers 3200 E.Tsnqultz Canyon Way Palm,
Spring� California on the pproposed Report and
the contractual assessment Iina0cnlg program At
the puhlic hearing ill interested parjrmi may so-
car and hear and be heard and object la Or lni
quiro about the proposed contractual assessment,
financing program or any of its parllculirs.
Goolon 9. The City Clerk is herebyy directed to
Provido notice of the public hearing by publishing
w5 Resolution ante a week for two weeks,pur-
suant In Section 6066 of the Cathornla Govern.
ment Code,in Iho Desert Sun and the Ilrat publi-
cation shall not occur later than 14 days before the
date of Such hearing.
Sact lan 10.The asso..smants levied pursuant to
Chapter 29, and the Interest and an penalties
thereon shall conahitho a lien against I lei;Intl
panels of land an which they ire made until they
are paid The assessments ahall de collected in
the lama marmor died it the same time .15pplhe
able andixes 5holl he suthe bject to fiproperty
came penalties
iemedles and lien prronbe^In the event of dclin,
quoncy Ind default.
- - - Section 11.The City Council hereby directs lh�
A l ziTed Officer to on into consultations with
the County Of Riverside Auditor-Controller's office
m reach agreement with the County regarding the
collection of the conhacluil mFessments by the
County on the tax rail.
PASSED APPROVED AND ADOPTED
THIS aTP DAY OF MARCH,2009.
CERTIFICATION
STATE OF CALIFORNIA
COUNTY OF RIVERSIDE
CITY OF PALM SPRINGS
I JAMES YHCMPSON,Ci(v Clerk of
the CIry of Palm Sponge hereby ceftlty(oat Reso•
lutlon c.22444 is a lull,true and correct copy
and was duly adopted at a regular moiling of Mfg
CIry Council of the City of Palm Springs on the 4th
day of March,2009,by Ihr following vote:
AYES Councllmembers Foal Hulchoeon,
Wcigel,Ind Mayor Pougnat
NOES. None
ABSENT Mayor Pm Tem Milli,
ABSTAIN' None
James Thompson,City Clerk
City of Palm Springs Cadornia
Published:317,3114/09