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Home My WebLink About4.7 Energy Efficiency Upgrade or 19 82 STAFF REPORT CITY CLERK ` CITY COUNCIL File #600-35 DATE: November 4, 2014 TO: Honorable Mayor and City Councilmembers FROM: Christopher L. Foss, City Manager " SUBJECT: Acceptance of Work— Energy Efficiency Upgrade (CIP — G10913) Prepared by Roger Bradley, Assistant to the City Manager EXECUTIVE SUMMARY: Work under the Energy Efficiency Upgrade Project (CIP — G10913) is now complete. The City Council will accept the final improvements and will consider creating Capital Project ST0715 and appropriating funds to construct irrigation improvement projects throughout the City. FINANCIAL IMPACT: The total appropriation for the Energy Efficiency Improvement Project (CIP — G10913) was $7,659,818 including, design, bidding and the installation of the improvements. Final Contract related costs were completed for $7,419,120 which is $240,698 less than the amount budgeted. The following summarizes the project costs: Total Available Construction Budget $7,659,818 Construction Costs Including Change Orders/Expenses $7,419,120 Total Remaining Budget $240,698 RECOMMENDATION: Staff recommends that the City Council: adopt the Resolution Accepting Improvements as Part of the Energy Efficiency Upgrade Capital Improvement Project (CIP — G10913) and Amend the Five-year Capital Improvement Program to include Project ST0715. Reviewed By Assistant City Manager DESCRIPTION: At its meeting of June 19, 2014, the Dublin City Council awarded an Energy Services Performance Contract to Chevron Energy Solutions. Staff has been notified that Chevron Energy Solutions was acquired by OpTerra Energy Services. OpTerra Energy Services has Page 1 of 3 ITEM NO. 4.7 assumed and will perform all of Chevrons Energy Solution's rights, duties, and obligations under the referenced contract. Work under the contract included the installation of seven photovoltaic electricity producing (solar) installations at the following locations: Civic Center; Library; Shannon Community Center; Senior Center; and all three Fire Stations. These installations will generate more than 700 kW of solar energy at all sites combined, and includes a display monitor at the Library to allow for public viewing and real time tracking of production and environmental benefits. The solar arrays are a combination of solar shade structures at the Civic Center, Library, Shannon Community Center, and Fire Stations 17 and 18, with roof mounted solar installations at the Senior Center and Fire Station 16. Most importantly, the solar arrays will help power the diverse city operations underway within its facilities. In addition to the solar arrays, the City has upgraded its heating and cooling systems at the Civic Center and the Dublin Library with more efficient technology. The solar improvements were completed approximately one year ago, and OpTerra has provided the City with an overview of the savings realized within a one year period. As is visible from the chart below, the solar system is producing eight percent more energy than expected. Total savings from solar energy equates to approximately $225,000, and the excess production has garnered the City nearly $17,000 in unexpected savings. A full project savings analysis will be provided to the City on an annual basis, beginning on the anniversary of project acceptance. Energy Efficiency Project Solar Savings Fire Fire Fire Shannon Civic Station Station Station Senior Community Center #16 #17 #18 Library Center Center Total Annual Contracted 604,864 20,859 66,649 45,775 235,600 53,303 206,716 1,233,765 Production (kWh) Actual Annual 632,487 24,723 65,125 48,232 256,411 87,506 218,624 1,333,108 Production (kWh) Percent 105% 119% 98% 105% 109% 164% 106% 108% Efficiency Another very important project component was the City-wide conversion of street lights. Over 3,100 fixtures have been retrofitted. Along our public streets, the high pressure sodium cobra head lamps were exchanged for energy efficient light emitting diode ("LED") streetlights. This project benefits both our public safety responders as well as the public with improved lighting quality. The decorative fixtures, like those you see along the Village Parkway corridor, in the Dublin Ranch area, or other locations throughout the City, have not been affected by this upgrade. Those items will be looked at in a future time when decorative light technology advances. Interior lighting retrofits also occurred as part of the project. Encompassing all Fire Stations, Civic Center, Library, the Senior Center, and Shannon Community Center, these retrofits have had an immediate effect in reducing electrical consumption of the City's facilities. The fixtures at all these locations were retrofitted with more energy efficient bulbs and ballasts. Motion sensors were also added. Page 2 of 3 The City also upgraded its watering systems within its parks with a centralized irrigation system that ensures that water is delivered to these locations only when needed, cutting the cost of maintaining the beautiful landscaping within our parks. Finally, City facilities have been retrofitted with low flow toilets and sinks, further saving the City money. These improvements have proven to be timely considering the drought situation facing the City and State. Staff, along with the Contractor's representatives, has completed a walkthrough of the project and all elements of the project were complete. Thus, Staff is recommending that the City Council adopt the Resolution accepting the improvements (Attachment 1). Upon City Council acceptance of the project, Staff will file a notice of completion with the Alameda County Clerk. The City will release the 5% retention 30 days subsequent to acceptance of the work by the City Council. Additionally, the lease arrangement with Bank of America, through which funding was provided for this project, provides that any funds remaining less than $350,000 at project completion may be turned over to the City. Currently, there is approximately $213,000 available within the Energy Upgrade Project and the lease fund, which Staff recommends appropriating to install irrigation controls for the City's street medians as well as to optimize the City's irrigation controller system. The irrigation controllers ensure that landscapes are watered only when necessary, eliminating waste through overwatering. This will help the City save money by reducing water consumption as well as help the City combat the drought conditions. Total project costs are estimated at approximately $213,000. Thus, Staff recommends that the City Council amend the Five-year CIP to include project ST0715 (Attachment 2). The remaining funds within CIP G10913 will be transferred to the new CIP. NOTICING REQUIREMENTS/PUBLIC OUTREACH: A copy of the Staff Report was distributed to OpTerra Energy Services. ATTACHMENTS: 1. Resolution Accepting Improvements as Part of the Energy Efficiency Upgrade Capital Improvement Project (CIP — G10913) 2. Capital Improvement Project ST0715 Page 3 of 3 RESOLUTION NO. XX - 09 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN * * * * * * * * * * * ACCEPTING ENERGY EFFICIENCY IMPROVEMENTS TO CITY OF DUBLIN FACILITIES WHEREAS, Chevron Energy Solutions Company, a division of Chevron U.S.A. Inc., has entered into an Energy Services Contract with the City of Dublin for the purchase and installation of energy efficiency improvements City-wide in accordance with plans and specifications on file with the City Engineer; and WHEREAS, on August 29, 2014, Chevron Energy Solutions Company sold substantially all of its assets used in the operation of its business, including the referenced contract, to OpTerra Energy Services, Inc.; and WHEREAS, OpTerra Energy Services has assumed and will perform all of Chevron Energy Solutions' rights, duties, and obligations under the referenced contract; and WHEREAS, as a condition of said contract OpTerra Energy Services is required to guarantee the improvements for a period of at least one year following substantially completing the work; and WHEREAS, said improvements have been completed in accordance with said plans and specifications and any approved modifications thereof to the satisfaction of said City Engineer of the City of Dublin. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin does hereby accept the improvements, subject to any and all applicable warranties, and authorizes Staff to file a Notice of Completion with Alameda County. BE IT FURTHER RESOLVED that the City Council of the City of Dublin authorizes Staff, if after 30-days of filing the Notice of Completion there are no subcontractor claims, to release the project retention and any performance bonds posted in connection with the work involved in the construction of the energy efficiency improvements. PASSED, APPROVED AND ADOPTED this 4th day of November, 2014, by the following vote: AYES: NOES: ABSENT: ABSTAIN: Mayor ATTEST: ATTACHMENT 1 City Clerk ATTACHMENT 1 Illlllllllllfllll�ll�l�l�l��l�lll IIII I 1111111 III IIIIIIII III II IIII II I III uu�� ui uiui ui uii � ui PROJECT DESCRIPTION This project provides for the installation of irrigation controllers within various street medians City-wide and for the completion of irrigation controller software optimization to minimize water consumption. MANAGING DEPARTMENT: Parks & Community Services 1111611 1111111 9100 —Salaries/Benefits $11,500 $11,500 9200 — Contract Services $65,000 $65,000 9400 — Improvements $135,000 $135,000 9500 - Miscellaneous $1,700 $1,700 TOTAL $213,200 $21 3,200 7101 Debt Service Fund $213,200 $213,200 TOTAL $213,200 $213,200