| | | | | | | | Agenda Item - 6.c.
City of Garden Grove
INTER-DEPARTMENT MEMORANDUM
| To: | Scott C. Stiles
| From: | William E. Murray
| | Dept.: | City Manager
| Dept.: | Public Works
| | Subject: | Appropriation of Southern California Edison's Option E LED Program Rebate Funds in Fiscal Year 2018-19 for infrastructure projects. (Rebate Amount: $755,708) (Action Item) | Date: | 2/12/2019 |
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| | | | | | | | OBJECTIVE
To request City Council approval for the appropriation of Southern California Edison’s (SCE) Option E LED Program rebate funding in Fiscal Year 2018-19 for infrastructure projects. |
| | | | | | | | BACKGROUND
In November 2016, City Council authorized entering into an agreement with SCE for the conversion of all Edison-owned street lights from High Pressure Sodium (HPS) to Light Emitting Diode (LED). SCE offered this program to cities as part of their Option E – LED Fixture Replacement Program, and one major incentive was the award of a cash rebate to participating cities. The final rebate amount would be based on the number of street lights retrofitted and the corresponding voltage. |
| | | | | | | | DISCUSSION
With the successful conversion of approximately 7,000 Edison-owned street lights from HPS to LED, the City is expected to receive a cash rebate in the amount of $755,708. The City plans to use this one-time revenue on capital improvements. Specifically, the City plans to allocate approximately $400,000 for the LED conversion of 600 HPS street lights and traffic signal safety lights owned by the City. This would complete the standardization of all Edison and City-owned street lighting to LED. Aside from this project, the City plans to utilize the remaining funds for the construction of the La Bonita Storm Drain Project, which is eligible to use this funding. The La Bonita Storm Drain is a high priority need identified in the City's Master Plan of Drainage that will alleviate flooding in the area of La Bonita Street, between Westminster Avenue and Anabel Avenue. |
| | | | | | | | FINANCIAL IMPACT
There is no impact to the General Fund. The SCE rebate check in the amount of $755,708 will be utilized for the LED conversion of City-owned street lights and for the construction of La Bonita Storm Drain. Any remaining rebate funds from these two projects will be used to offset street and drainage capital projects identified in the City’s Five Year Capital Improvement Program. |
| | | | | | | | RECOMMENDATION
It is recommended that the City Council:
- Authorize appropriation of $755,708 in Fiscal Year 2018-19, which will be deposited in Fund 111 for the LED conversion of City-owned street lights (Package 7284) and for the construction of La Bonita Storm Drain (Package 7407), with any remaining funds to be used to offset street and drainage capital projects identified in the City’s Five Year Capital Improvement Program.
By: Ana V. Neal
Sr. Administrative Analyst
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