CH 05106/2010 Item No. 6B

AN ORDINANCE 2 0 1 0 '- 0 5 - 0 6 - 0 3 7 8 , .... 1

AUTHORIZING AN INTERAGENCY AGREEMENT WITH CPS ENERGY IN AN AMOUNT UP TO $442,699.00 TO DEVELOP, IMPLEMENT AND ADMINISTER THE "TREE REBATE FOR ENERGY SAVINGS PROGRAM" FOR COMMERCIAL AND RESIDENTIAL SECTORS, THROUGH THE ENERGY EFFICIENCY CONSERVATION BLOCK GRANT AWARD.

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WHEREAS, President Obama signed the American Recovery and Reinvestment Act of 2009 CARRA) into law on FebIllary 17, 2009, which provides a total of $787 billion in spending and tax cuts to preserve and create jobs, and make investments in infrastructure, energy and science, unemployment assistance, and State and local stabilization; and

WHEREAS, in order to take full advantage of the funding opportunities and additional services that may be provided to the City of San Antonio as a result of the ARRA, City staff has worked closely with City Council to strategize and align specific City Council ranked projects to ·individual Federal and State agency funded programs; and

WHEREAS, City Council adopted the Funding Strategy for City Council Prioritized Federal Economic Stimulus Projects on March 5, 2009 and amended it on April 9, 2009 to reflect additional energy efficiency-related stimulus dollars and this item is consistent with City Council policy to maximize energy efficiency in all City facilities; and

WHEREAS, Ordinance 2009-12-10-1037 authorized the acceptance of $12,897,000.00 and . appropriated $6,448,500.00 in Energy Efficiency Conservation Block Grant fuIl:ds from the

.. Department of Energy under the ARRA on December 10, 2009 and this ordinance implements a proj ect adopted in that approved budget; and

WHEREAS, the proposed "Treebate" program is a tree planting for energy savings program over a two year period which resulted from collaboration between staff and CPS Energy, the Texas Forest Service, and the San Antonio Water System; CPS Energy will process the rebate and credit the customer's bill based on the appropriate rebate amount and develop all promotional and educational materials for the program with in-kind . services valued at $87,325.00; it is anticipated that 7,632 new trees will be planted in the Greater San Antonio community as a result of this rebate program; and

WHEREAS, this Ordinance authorizes approval to execute an Interagency Agreement with CPS Energy in an amount up to $442,699.00 to develop, implement and administer the "Tree Rebate for Energy Savings Program" for commercial and residential sectors, through the Energy Efficiency Conservation Block Grant Award; NOW THEREFORE,

BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SAN ANTONIO:

SECTION 1. The City Manager, or her designee, or the Director, Office of Environmental Policy, or his designee, is hereby authorized to take all actions necessary to negotiate and

execute an Interagency Agreement with C,PS Energy, in an amount up to $442,699.00, to develop, implement and administer the "Tree Rebate for Energy Savings Program" for commercial and residential sectors. A copy of the Agreement is attached and incorporated substantially herein for all purposes as Attachment I.

SECTION 2. Fund 2301455001 entitled "EECBG" and Internal Order 155000000062, are hereby designated for use in the accounting for . the fiscal transaction in the acceptance of this bid.

SECTION 3. The sum of $442,699.00 is hereby appropriated, in the above designated fund and will be disbursed from GL 5201040 "Fees to Prof Cont". Payment is authorized to City Public Service upon issuance of a Purchase Order and receipt of goods. \

SECTION 4. The financial fiscal allocations in this Ordinance are subject to approval by the Chief Financial Officer, City of San Antonio. The Chief Financial Officer, may, subject to concurrence by the City Manager or the City Manager's designee, correct allocations to specific SAP Fund Numbers, SAP Project Definitions, SAP WBS Elements, SAP Internal Orders, SAP Fund Centers, SAP Cost Centers, SAP Functional Areas, SAP Funds Reservation Document Numbers, and SAP GL Accounts as necessary to carry out the purpose of this Ordinance.

SECTION 5: This ordinance shall be effective immediately upon passage by eight affirmative votes; otherwise it shall be effective on the tenth day after passage hereof.

PASSED and APP~OVED this 6th day of May, 2010.

R Julian Castro

APP~;;~

tft'1 Michael D. Bernard, City Attorney

V otingResults Page 1 of 1

Agenda Voting Results - 6B

Name: 6A,6B

Date: 05106/2010

Time: 05:31:53 PM

Vote Type: Motion to Appr w Cond

Description: An Ordinance· authorizing an Interagency Agreement with CPS Energy in an am.ount up to $442,699.00 to develop, implement and administer the "Tree Rebate for Energy Savings Program" for commercial and /

. ,residential sectors, through the Energy Efficiency Conservation Block Grant Award.

Result: Passed

Voter Group Not Yea Nay Abstain Motion Second Present

Julian Castro Mayor x

Mary Alice P. Cisneros District 1 x

Ivy R. Taylor District 2 x

Jennifer V. Ramos District 3 x

Leticia Cantu District 4 x

David Medina Jr. District 5 x

Ray Lopez . District 6 x

Justin Rodriguez District 7 x

W. Reed Williams District 8 /

x x

Elisa Chan District 9 x

John G. Clamp District 10 x x

http://cosaweb/agendabuilder/votingresults.aspx?ItemId=1607&Src=RFCASUB 5/7/2010

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Interagency Participation Agreement between the City of San Antonio and CPS Energy for the Implementation of

"Tree Rebate for Energy Savings Program"

This Interagency Participation Agreement (the "Agreement") is entered into as of the _ day of ,2010 (Effective Date) through Ordinance XXXXXXXXX by and between the City of San Antonio ("COSA" or "City") and CPS Energy, acting by and through the City Public Service Board, ("CPS Energy"). CPS Energy and the City are sometimes referred to herein individually as a "Party" and collectively as "Parties".

RECITALS

WHEREAS, COSA, a home-rule city under the laws of the state of Texas, and CPS Energy, a municipally-owned electric and gas utility owned by COSA, jointly agree to implement a tree rebate program that meets the requirements of the American Recovery & Reinvestment Act of 2009 ("ARRA") as implemented by the Department of Energy ("DOE"); and

WHEREAS, the CITY has negotiated with the CPS Energy to coordinate and develop "Tree Rebate for Energy Savings Program" (hereinafter referred to as the "Program"); and

WHEREAS, on June 25, 2009, the City filed an application in response to the DOE's Energy Efficiency and Conservation Block Grants Funding Opportunity Announcement ("FOA") which will allocate federal grant funds under the ARRA to qualified local governments for the implementation of energy efficiency programs; and

WHEREAS, City Council approved Funding Strategy for City Council Prioritized Federal Economic Stimulus Projects on March 5th and subsequently adjusted the program to reflect a notification of increased funding on April 9th

, 2009; and

WHEREAS, City Council identified tree planting to be high priority program to b~ funded from the Energy Efficiency and Conservation Block Grant ("EECBG"); an~

WHEREAS, the City has qualified for federal ARRA grant · funds in the approximate amount of $12.8 million to support, manage and implement the reduction of fossil fuel emissions and improve energy efficiency in the building sector, the transportation sector, and other appropriate sectors. A portion of these grant funds will be used to support the Program; and

WHEREAS, on December 10, 2009, the City Council passed Ordinance No. 2009-12-10-: 1 037 authorizing acceptance and allocation of grant funding; and

WHEREAS, the goal of the San Antonio tree rebate program is to engage and unify the community in a common effort to plant trees to increase energy savings in homes, schools, and businesses while also improving air and water qua,lity, stormwater

Attachment I j

control, reducing temperatures, and enhancing the beauty and well being of the greater San Antonio area; and

WHEREAS, CPS Energy and the City worked jointly to develop the Program therefore the total of all payments and obligations to CPS Energy, shall not exceed the total amount of $442,699.00 and CPS Energy in ... kind contribution valued at $87,325.00; and

WHEREAS, coordination between the City and CPS Energy of their respective energy initiatives will increase the efficiency of the effort and result in a better utilization of resources; and

NOW, THEREFORE, the Parties mutually agree to coordinate their efforts for the purpose of implementing the Program. CPS Energy and the City desire to set forth certain understandings as follows:

1. Description of "Tree Rebate for Energy Savings" Program

(a) ARRA grant funds will be used to provide up to 7,631 rebates to plant trees throughout the Greater San Antonio Area in a manner that will maximize the energy savings of a building structure or homestead. The program will target residential and commercial sectors. ARRA funds will be used to .. contract with CPS Energy to provide coordination and management services and provide rebates in the fo~m of a financial incentive, specifically a $50.00 CPS Energy bill credit for each tree planted (limit 3 rebates per address not to exceed $150.00).

(b) CPS Energy will work with the City by providing personnel to assist City staff in the coordination, development, marketing and implementation of the Program.

2. Accountabilities of COSA

(a) . Office of Environmental Policy. The Office of Environmental Policy ("OEP") (with the participation of the Finance Department) will be accountable for general program administration.

i. Financial Administration and Reporting. OEP will be accountable for the following financial and reporting tasks:

1. Monthly financial reporting to DOE.

2. Receive funds from DOE and transfer funds as appropriate including but not limited to reimbursement of properly invoiced Program costs incurred by CPS Energywithin 30 -days of receipt of invoice.

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3. Act as the point of contact to . DOE for the EECBG fund administration.

ii. Program Compliance. OEP will be accountable for the following 'program compliance tasks:

1. Ensure proper auditing for expenditure of federal funds.

2. Program compliance reporting to DOE.

3. Develop program implementation schedule/timetable, with CPS Energy.

iii. ' General Program Administration. OEP shall have the authority to implement additional policies and respond to any inquiries from the DOE as necessary for the successful . administration of the Tree Rebate for Energy Savings Program.

3. Accountabilities of CPS Energy

(a) Tree Rebate for Energy Savings Program Implementation. CPS Energy will be accountable for program design, marketing, and administration of rebates.

1. Program Design and Coordination

1. CPS Energy and the City will coordinate development and implementation of the Tree Rebate for Energy Savings Program. CPS Energy will be accountable for application development, intake, and processing, including:

A. Development of the program application and brochure

B. Coordination of the review and approval process for program design by applicable City departments and partner agencies.

11. Application IntakelProcessing/Rebate Disbursement

1. CPS Energy will provide intake and approval processing of tree rebate applications (limit 3 rebates per address not to exceed $150.00).

2. Enter each application within a database system

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3. Disburse rebates to eligible rebate applicants in the form of a CPS Energy bill credit

iii. Invoicing and Updates

1. CPS Energy w"ill provide the City with invoices by Monday close . of business day every two weeks with proper documentation on a

rebate applicant spreadsheet that includes number of customer credits granted and the number of applications received, qualified, and denied.

2. CPS Energy will be accountable for submitting personnel time sheets indicating type of staff, rate, and activities performed with reporting every two weeks for the Offi~e of Environmental Policy to calculate the number of jobs created/retained.

3. CPS Energy will provide status updates and deliverables time lines when available, though not less frequently than once at the end of each calendar quarter.

iv. Educational Awareness.

1. CPS Energy, as a part of its in-kind contribution, will develop the promotional and educational materials for the Program. Tqe deliverables will be limited to the following six items:

a. Marketing and Advertising Design Development

b.· CPS Energy Web page for Program

c. (4) Press Releases (2 per year)

d. (6) Publications in "Energy Connection" newsletter (3 per year)

e. (2) CPS Energy utility bill inserts (1 per year)

f. Printing of application/brochures, bill inserts, and other applicable education material.

v. General Program Implementation. CPS Energy shall have the authority to implement additional policies as necessary for the successful implementation of the Program.

4. COSAlCPS Energy Joint Administration Committee. COSA and CPS Energy shall form a Joint Administration Committee (the "Committee")

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consisting of four members, including: (1) COSA Representative No.1, The Director of Environmental Policy; (2) COSA Representative No.2, the tree rebate for energy savings Program Manager, Office of Environmental Policy (3) CPS Representative No.1, Sustainable Growth Executive and (4) CPS Representative No.2, Program Manager. The Committee shall have the authority to develop and implement new policies, procedures, and regulations necessary for the successful implementation and administration of the Program. The work of the Committee shall be approved by majority vote of the committee members and a written record will be created every time the Gommittee meets. Records will be maintained by the Office of Environmental Policy .. Either Party may call a meeting of the Committee. An offiCial meeting need not be called for the Committee to act. For example, decisions of the Committee may b~ made through written correspondence, including email, as long as a majority of the Committee approves of the decision to be made in writing. Each member may designate another individual to serve on the Committee if he or she is unable to attend a Committee meeting. Any vacancy on the Committee shall be replaced by appointment of a 'new member by the remaining member of the party whose member was unable or unwilling to continue to serve. If both members are vacant a replacement will be designated by either City or CPS Energy. The Committee' cannot take any action unless a majority of its members have voted on an item, whether the Committee meets formally or communicates through correspondence, and in either event, the Committee will develop minutes of its formal or virtual meeting. The Committee may be terminated by approval of both Parties once the Program is fully implemented and all compliance and reporting requirements have been met.

5. Disallowed Costs. Each party shall be responsible for paying for any disallowed costs, as deemed by DOE, which are associated with error in execution or reporting of responsibilities of that party. Disallowed costs shall be paid with urtrestricted(non-federal}funds. Each party shall inform the other party as soon as reasonably possible of any discovered errors in execution or reporting that may result in disallowed costs, regardless ofwhiyh entity is responsible for the error.

6. Liability. Each party shall be responsible for its own actions and those of its employees and/or persons acting by or on its behalf along with any liability arising from such activities while carrying out th~ purpose of this Agreement. Each party agrees to have sufficient insurance in place to cover all obligations assumed in this Agreemerit and any liabilities arising while carrying out those obligations.

7. Effect of Agreement. This Agreement is entered into for the purpose of providing a framework for the joint administration and implementation of

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the Program undertaken by the City and CPS Energy to be funded with federal ARRA grants. It is not intended as an exhaustive or complete listing of the terms and conditions that will govern this joint effort.

8. Notice. For purposes of this Agreement, all official communications and notices between the Parties shall be deemed sufficient if in writing and mailed registered or certified mail, postage prepaid, to the addresses set forth below:

Communication to the City at: City of San Antonio Office of Environmental Policy P.O. Box 839966 San Antonio, TX 78283 Attention: Laurence Doxsey with a copy e-mailed to philip.gates@sanantonio.gov and liza.meyer@sanantonio.gov

Invoices to the City at: City of San Antonio Accounts Payable P.O. Box. 839966 San Antonio, TX 78283 with a copy e-mailed to liza.meyer@sanantonio.gov philip.gates@sanantonio.gov, and faouzia. stanley@sanantonio.gov

Communication to CPS Energy at: CPS Energy PO Box 1771 - MD 100406 San Antonio, TX 78296 Attention: Kimberly R. Stoker krstoker@cpsenergy .com

9. Term. The Agreement set out herein is intended to be effective upon execution for a period of two (2) years and six (6) months but may be terminated at an earlier time by approval of both Parties.

This Agreement is executed to be effective upon approval by the San Antonio City Council and execution of both Parties.

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City of San Antonio

By: ____________________ --------

Printed Name: W. Laurence Doxsey

Title: Director, Office of Environmental Policy

Date: ------------------------~--

CPS Energy

By: ~----__ ----------~-------­

Printed Name: Cris Eugster, Ph.D,

Title: EVP and Chief Sustainability Officer

Date: ----------------~----------

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PERSONNEL $61,099.00

An $11,196.60

Intern $19,740.00

CierI< $30, 162.40 I rebates limit rebates per

$50 per rebate $381,600.00

PERSONNEL $50,125.00 $50,125.00

PRINTING $37,200.00 $37,200.00

TOTAL (IN-KIN CONTRIBUTION $67,325.00

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