SR-502-006-05 (2)
EPWM:CP:BJ:NS:f/EPWM/ADMIN/Staffrpt/07-22-03/RestaurantRevised1Final.doc
Council Meeting: July 22, 2003 Santa Monica, California
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Contract With Community Partners for the Implementation of the
Restaurant Water Efficiency Retrofit Program
INTRODUCTION
This report recommends that City Council authorize the City Manager to negotiate and
execute a contract with Community Partners in partnership with Sustainable Works to
administer the Restaurant Water Efficiency Retrofit Program. The term of the contract
is from July 1, 2003 through June 30, 2004 with an option to renew for a second year.
BACKGROUND
Begun in 1989, the City?s water conservation and efficiency programs have provided
incentives to residents and businesses to install ULF (ultra low-flow) water efficiency
devices, including toilets, aerators and showerheads. Following an extensive review of
the City?s existing programs, staff completed the ?2002 Water Efficiency Strategic
Plan.? The Plan proposes a variety of new programs to help the City achieve its
adopted goal of 20% reduction in daily water use by 2010. The subject of this staff
report is a proposed one to three-year Restaurant Retrofit Program, which provides the
City?s top water consuming restaurants with a comprehensive turnkey, water efficiency
program.
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DISCUSSION
The City has 370 registered restaurants, and the goal is to involve 60 to 80 per year.
Sustainable Works successfully retrofitted 79 restaurants in FY2002-03, which are the
top water users in the City.
The Restaurant Retrofit Program is designed as a direct install (DI) opportunity for
businesses. Based on the City?s experience, this is the most cost effective means of
ensuring successful implementation. Each participating restaurant receives a free
indoor water audit, list of retrofit recommendations, free water efficient products and
normal installations, and employee training on use of products. The City?s proposed
contractor is responsible for contacting customers, performing water audits, discussing
recommendations, performing minor installations and overseeing major installations,
and providing employee training as needed. Major installations are performed through
the Bay Saver Program?s certified plumbing contractors, who are assigned jobs on a
rotating basis.
The 2002-2003 Restaurant Water Efficiency Retrofit Program was successful in
reducing water usage and building good customer relations. Participating restaurants
reduced their water bill by up to $200 per bill. In addition, other program participants
received 2003 Sustainable Quality Awards for their efforts. For FY 2003-04, an
additional 64 top water consuming restaurants will be targeted to participate in this
program. Water savings are estimated to be 27,410 gallons per day or 31 acre-feet per
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year if the proposed number of restaurants participate in this program and have the
various retrofits performed to improve water efficiency.
The City?s Business Greening Program is administered by Sustainable Works, a project
of the non-profit organization Community Partners. Community Partners acts as a non-
profit incubator, assisting individuals and organizations (project partners), such as
Sustainable Works, to develop the resources and structure necessary to become
independent non-profit organizations. It provides its project partners with a tax-exempt
non-profit designation, financial and administrative support and technical assistance
with budgeting, financing and grant writing. In FY2002-03, the City retained
Sustainable Works to implement the Restaurant Retrofit Water Efficiency Program as
an extension of the City?s Business Greening Program in order to provide consistent
and efficient program implementation.
BUDGET/FINANCIAL IMPACT
The Water Division budget line item 25671.522140 (designated for potable water
purchase) will be reduced by approximately $13,361 for FY 2003-04 as a result of
avoided water purchases due to the reduction of water consumption through this
program. The expenditure decrease is offset by a reduction in revenues due to lower
potable water sales as a result of conservation reducing revenue account
25671.402310 by $13,361.
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The cost of the contract to hire Community Partners to administer the Restaurant
Retrofit Program is $9,792 ($153 per restaurant; 64 restaurants), which is included in
the Environmental Programs Division FY 2003-04 operating budget, account
31662.544390. This cost includes all administrative costs. This contract does not
include the costs of water efficient devices, which is covered by the EPD operating
account mentioned above.
RECOMMENDATIONS
Staff recommends that City Council authorize the City Manager to negotiate and
execute a contract for $9,792 with Community Partners in partnership with Sustainable
Works to administer the Restaurant Water Efficiency Retrofit Program from July 1,
2003 through June 30, 2004, with an option to renew for FY 2004-05, and implement
budget changes identified above.
Prepared by: Craig Perkins, Director, EPWM
Brian Johnson, Manager, Environmental Programs Division
Neal Shapiro, Senior Administrative Analyst -Water Resources
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