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HomeMy WebLinkAboutCC 09-22-09 Item 09CITY OF 7V LADE LSINOP E DREAM EXTREMEn REPORT TO CITY COUNCIL TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: ROBERT A. BRADY CITY MANAGER DATE: SEPTEMBER 22, 2009 SUBJECT: A LETTER OF SUPPORT FOR THE WESTERN RIVERSIDE COUNCIL OF GOVERNMENTS ENERGY EFFICIENCY AND WATER CONSERVATION PROGRAM Background Western Riverside Council of Governments (WRCOG) is in the process of securing a $300 million partnership loan with the Federal Government. The funding would be used for loans to residential and commercial property owners to make energy efficient improvements to their property. Discussion WRCOG estimates that the loan could create approximately 3,200 jobs in the region and fund improvements to 13,500 properties. Improvements would include solar panels, heating and cooling systems, windows, pool filtration systems, and other energy efficient and water conserving improvements that are permanently affixed to properties. Fiscal Impact Approval of the loan may result in a positive fiscal impact to the City. Recommendation It is recommended that the City Council authorize the Mayor to send the attached letter of support to Robin Lowe, Chair of the WRCOG Executive Committee. Prepared and Approved by: Robert A. Brady~j City Manager 11~~ Attachments: Letter of Support CC September 22, 2009 Item No. 9 Page 1 of 4 CITY OF LADE LSIlYOIZE DREA REME September 22, 2009 The Honorable Robin Lowe Chair, Executive Committee Western Riverside Council of Governments 4080 Lemon Street, 3rd Floor Riverside, CA 92501 Subject: Letter of Support for the Western Riverside Council of Governments Energy Efficiency and Water Conservation Program Dear Chairwoman Lowe: ROBERT E. MAGEE MAYOR The City of Lake Elsinore supports the Western Riverside Council of Governments (WRCOG) efforts to implement a regional Energy Efficiency and Water Conservation Program (Program) on behalf of participating member MELISSAA. MELENDEZ jurisdictions, and supports your efforts in securing a $300 million partnership MAYOR PRO TEM loan between the Federal Government and WRCOG for Program implementation. AMY BHUTTA California legislation allows for cities and counties to provide loans to COUNCILMEMBER residential and commercial property owners for the purchase and installation of energy efficient improvements to their properties. Improvements would include, but are not limited to, solar panels, heating and air conditioning THOMAS BUCKLEY systems, windows, pool filtration systems and other energy efficient and water COUNCILMEMBER conserving improvements that are permanently affixed to properties. Energy efficient investments, over time, tend to pay for themselves due to reduced utility bills. Energy savings also delays the need for costly new energy DARYL HICKMAN generation and transmission infrastructure to be funded and constructed in a COUNCIEMEMBER State with limited resources. Unfortunately, many homeowners and businesses do not have the resources ROBERTA- BRADY to pay the up-front costs for these types of improvements. WRCOG's CITY MANAGER Program will provide low-interest loans for the purchase and installation of improvements, with repayment being made through annual property tax installments over a specified number of years. This approach removes the 951.674.3124 up-front initial costs from becoming a detriment to energy efficient retrofitting, 130 S. MAIN STREET LAKE ELSINORE, CA 92$30 W W W. LAKE-E LS I NORE.ORG CC September 22, 2009 Item No. 9 Page 2 of 4 The Honorable Robin Lowe September 22, 2009 Page 2 and will allow for thousands of homes and businesses in one of the fastest growing areas in the nation to reduce energy use, improve home values, and create jobs. Among the reasons for the City of Lake Elsinore's support for this Program, and loan request, are the following: 1) Creates iobs: A $300 million loan would create approximately 3,200 jobs in a region that is experiencing unemployment of nearly 15% (among the highest levels of unemployment in the State) and retain hundreds of jobs in the contracting and construction-related fields. 2) Maximizes existing energy infrastructure investments: The best way to avoid or delay costly investments in new energy development and transmission infrastructure is to reduce current energy use. 3) Regional approach could fund improvements to13,500 properties: Condensing administrative responsibilities under one agency, (WRCOG) will also minimize administrative costs compared to having jurisdictions allocate limited staff resources for individual, smaller-sized programs. 4) Helps residents make smart decisions about energy efficiency: The Program would provide no-money-down and fixed-rate financing over a specified number of years to residential and commercial properties for installing energy-efficient improvements, removing the barrier that many property owners face when deciding on whether to pursue retrofits to their homes or businesses; 5) Positions the region a leader in addressing climate change mandates: WRCOG's regional approach could serve as a template for addressing greenhouse gas emission requirements of AB 32: The California Global Warming Solutions Act of 2006. 6) Program is voluntary: The Program will apply only to property owners that desire to participate. CC September 22, 2009 Item No. 9 Page 3 of 4 The Honorable Robin Lowe September 22, 2009 Page 3 The City of Lake Elsinore encourages you to continue California's efforts to use energy and water efficiently on a permanent basis, lead efforts that would allow for low-interest loans (to be fully repaid with interest to the federal government) to residential and commercial property owners to implement energy efficient and water conservation improvements. Sincerely, Robert E. Magee Mayor, City of Lake Elsinore c: City Council City Manager CC September 22, 2009 Item No. 9 Page 4 of 4