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sr-072710-1gCity Council Meeting: July 27, 2010 Agenda Item: 1G To: Mayor and City Council From: Dean Kubani, Director Office of Sustainability and the Environment Subject: Agreement with EcoMotion for Solar Santa Monica Program Recommended Action Staff recommends that the City Council authorize the City Manager to negotiate and execute a professional services agreement with EcoMotion, an Irvine-based company, to provide project development and implementation services to the Solar Santa Monica program. The agreement will be for a one year term, with an option to renew for two additional years. The annual cost will not exceed $150,000 for FY 2010-11. Executive Summary Solar Santa Monica was established in 2006 as a demonstration project to fulfill the City's commitment to the Community Energy Independence Initiative that calls for "net zero ,electricity imports" (electricity self-sufficiency) by 2020. EcoMotion is recommended to provide project development and implementation services to the Solar Santa Monica program during FY 10-11 at a cost of $150;000. Background The City launched Solar Santa Monica in 2006 to help fulfill the City's commitment to its net zero electricity goal. Solar Santa Monica has focused on increasing energy efficiency in existing homes and businesses, and facilitating renewable energy installations on both existing and new buildings. When the program began, approximately 300 kW of renewable capacity had been installed in Santa Monica during the previously years. In its first year, Solar Santa Monica doubled solar capacity in the City. Even with less activity in 2008, the City's renewable. energy growth dwarfed the years prior to 2006. During FY 2009-10, 552 kilowatts (kW) of solar were installed throughout the community. Forty seven homes participated in the program comprising 178 kW of the total. The Big Blue Bus maintenance facility (80 kW) and Santa Monica College (290 kW) comprise the balance. As of March, 2010, over 1.4 megawatts (MW) 1 of solar has been installed in Santa Monica at over 260 sites. Discussion In FY 10-11, Solar Santa Monica will focus on integrating residential and commercial energy efficiency programs with solar photovoltaic and solar thermal installations. The City's anticipated participation in Los Angeles County's Energy Program (LACEP) will provide Santa Monica residential property owners with greater access to utility incentives for energy efficiency measures and County Property Assessed Clean Energy (PACE) loans for energy efficiency and solar systems. EcoMotion will provide technical assistance to residential property owners to ensure that investments in energy efficiency and solar result in long term cost and energy savings. Solar Santa Monica will continue to focus on commercial and institutional solar installations in FY 10-11. Pending solar projects include: • Santa Monica College • Santa Monica Place • City Parking retrofits • Lantana Properties • Red Bull • 2700 Colorado • SMMUSD Total 200 kW 80 kW 1,400 kW 500 kW 400 kW 150 kW 800 kW 3,530 kW (3.5 MW) The State recently approved a new rebate. program that will subsidize the purchase of solar thermal systems (hot water) for both residential and commercial sites. Solar Santa Monica will introduce this program with its preferred solar thermal contractors. One major commitment that began in 2009 and was completed in early 2010 was to install solar thermal on seven properties belonging to Community Corp of Santa Monica. 2 Contractor/Consultant Selection On June 10, 2010, the Office of Sustainability and the Environment posted a Request for Proposals on PlanetBids for program development and implementation services for Solar Santa Monica. Two proposals were received and reviewed by a panel of staff from the Office of Sustainability and the Environment. EcoMotion, the current program contractor, is recommended based on their proposed scope of work, previous experience, and proposed budget. The other proposer's budget was substantially higher and not sufficiently responsive to the solicitation. EcoMotion's proposed scope of work provides policy development assistance, unbiased solar expertise to homeowners and businesses, and continued focus on the commercial and institutional building sectors. Financial Impacts & Budget Actions The contract amount to be awarded to EcoMotion is $150,000 for FY 2010-11. Funds are available for FY 10-11 in Account Number 01226.555060. Full funding is not included in the FY 11-12 budget plan and the contract will not be renewed without additional funding. Budget authority for two additional years will be requested in each annual budget cycle for Council approval. Prepared by: Susan Munves, Energy and Green Building Programs Administrator Approved: ~~T'~' Dean Kubani Director, Office of Sustainability and the Environment Forwarded to Council: Rod Gould City Manager 3 Reference Contract No. 9245 (CCS).