HomeMy WebLinkAbout2001-03-20; City Council; 16117; Install Green LED Traffic Signalst3 B E %
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CITY OF CARLSBAD -AGENDA BILL
AB# jb,117 m: DEPT. HD.
MTG. 3-20-01
DEPT. PW
AUTHORlZATlON TO PURCHASE AND INSTALL
GREEN LED TRAFFIC SIGNALS AND ENTER INTO CITY ATTY.
AGREEMENT WITH SDG&E FOR REBATE
CITYYGR-
RECOMMENDED ACTION:
Adopt Resolution No. &?/-gg 1) appropriating $315,000 to the Traffic Signal
Maintenance budget; 2) authorizing the Purchasing Officer to issue a purchase order to
Synchronex for the purchase of green light emitting diodes (LEDs) for all signalized
intersections; 3) authorizing the Purchasing Officer to increase the purchase order with
Peek Traffic Signal Maintenance for the installation of the green LEDs, and 4) authorizing
the City Manager to execute an agreement with SDG&E for a rebate of $237,105 for the
purchase of green LED lamps.
ITEM EXPLANATION:
In 1997, City Council authorized the installation of red LED lamps in traffic signals at all
intersections throughout the City to reduce energy costs, in conjunction with an SDG&E
rebate program. To date, 1,167 red balls and 464 red arrows have been installed, resulting
in an estimated annual savings of 1,284,065 kilowatt hours (kWh). As electricity prices
have risen significantly in the last year, the savings from this program have increased.
Based on the current rate of 6.5$ per kWh, the annual savings of the red LEDs is estimated
at approximately $83,000.
In February, the scarcity of electricity has become even more pronounced, with the state
entering into Stage 3 alerts. Conservation is a means to decrease reliance on electricity.
Not only does this afford the City a measure of security, but also serves as a role model to
the community.
Last year, SDG&E began offering a similar rebate program for the installation of green
LEDs. In January, Caltrans approved the use of the green LEDs, and staff began working
with SDG&E staff to secure rebate funding for the installation of green LEDs in Carlsbad. In
mid-February, staff was notified that SDG&E had reserved $237,105 for the conversion of
Carlsbad signals. In order to receive the full rebate amount, the green LEDs must be
purchased and installed by June 1, 2001. Lamps installed after June 1, and before
December 15, 2001 are eligible for 50% rebate. Synchronex and Peek Traffic Signal
Maintenance have been notified by staff of the time frame, and are committed to meet the
June 1 deadline for the full rebate.
There are 1 ,I 70 green balls and 539 green arrows to be converted. In November 2000, the
City of El Cajon awarded a contract with a public agency clause with Synchronex for the
purchase of the green LED balls and arrows. Section 3.28.160 of the Carlsbad Municipal
Code allows the purchase of items through cooperative purchase programs with other
public agencies. The balls cost $157.00 each and the arrows $99.10 each, for a grand total
of $237,105 (the rebate amount), plus tax. The installation cost is $20 per unit through the
City’s current traffic signal maintenance contract with Peek Traffic Signal Maintenance Inc.,
or an additional $34,180.
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PAGE 2 OF AGENDA BILL NO
The installation of the green LEDs will result in estimated annual energy savings of 652,600
kWh. At the current capped rate of 6.5# per kWh, the savings would be approximately $42,400 each year.
FISCAL IMPACT:
The cost of the green LEDs is $255,000 including tax. Staff recommends $280,000
(includes 10% contingency) be appropriated to the Traffic Signal Misc. Supplies account,
and an additional $35,000 be appropriated to the Traffic Signal Misc. Street Maintenance &
Repairs account, for a total appropriation of $315,000 from General fund contingencies.
After the SDG&E rebate of $237,105, the cost to the City is $77,895, which can be
recouped in energy savings (based on the current rate of 6.5$) in just under two years.
EXHIBITS:
1. Resolution No. a al&l) appropriating $315,000 to the Traffic Signal Maintenance
budget 2) authorizing the Purchasing Officer to issue a purchase order to Synchronex
for the purchase of green LEDs for all signalized intersections in accordance with the
City of El Cajon bid number 030-01; 3) authorizing the Purchasing Officer to increase the
purchase order with Peek Traffic Signal Maintenance for the installation of the green
LEDs, and 4) authorizing the City Manager to execute an agreement with SDG&E for a rebate of $237,105 for the purchase of green LED lamps.
2. Letter dated February 1, 2001 from SDG&E notifying staff of available funds.
3. Governmental Agency Participation Agreement with San Diego Gas & Electric for the
rebate of green LED material costs.
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RESOLUTION NO. 2001-65
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CARLSBAD, CALIFORNIA, APPROPRIATING FUNDS AND APPROVING THE PURCHASE OF GREEN LED TRAFFIC
SIGNAL LAMPS AND AUTHORIZING THE EXECUTION OF THE GOVERNMENTAL AGENCY PARTICIPATION AGREEMENT
WITH SDG&E
WHEREAS, San Diego Gas & Electric is offering rebates for the installation of energy-
saving green light emitting diodes (LED) traffic signal lamps; and,
WHEREAS, the City has, in the past, participated in a rebate program with San Diego
Gas & Electric for red LEDs which has resulted in an estimated annual savings of 1.2 million kWh
each year; and
WHEREAS, the City desires to participate in San Diego Gas & Electric’s green LED
rebate program; and
WHEREAS, the installation of green LED signals at intersections throughout the City will
significantly reduce the City’s demand for electricity, resulting in reduced dependence on limited
electrical resources, and energy cost savings; and,
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Carlsbad,
California, as follows:
1.
2.
3.
4.
5.
Ill
Ill
Ill
Ill
III
That the above recitations are true and correct.
The Finance Director is directed to appropriate $315,000 to the Traffic Signal
Maintenance budget from General fund contingencies.
The Purchasing Officer is hereby directed to issue a purchase order to
Synchronex for the purchase of green LEDs for all signalized intersections in
accordance with the City of El Cajon bid number 030-01.
The Purchasing Officer is hereby directed to increase the purchase order with
Peek Traffic Signal Maintenance for the installation of the green LEDs.
The City Manager is hereby authorized to execute the Governmental Agency
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Participation Agreement with San Diego Gas & Electric, a copy of which is
/ attached to the agenda bill as Exhibit 3, for the rebate of green LED material
I costs.
PASSED, APPROVED AND ADOPTED at a regular meeting of the Carlsbad City Council
~ held on the 20th day of March I 2001 by the following vote, to wit:
AYES: Council Members Lewis, Kulchin, Nygaard and Hall.
NOES: None.
/ I &HAINE M. OOD, City Clerk (SEAL)
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RECEIV.ED
MAR 23 2001
) A & Sempra Energy-company
EN’GfNEERING DEPARTMENT
GOVERNMENTAL AGENCY PARTICIPATION AGREEMENT
San Diego Gas & Electric
LED Traffk Signal Incentive Program
THIS AGREEMENT (“Agreement”), dated and effective as of the date signed by the Governmental Agency
below, sets forth certain agreements by and between San Diego Gas & Electric (“SDG&E), a California corporation
and City of Carlsbad (“Governmental Agency”), either or both of which may also be referred to as “Party” or
“Parties” to this Agreement.
WHEREAS, the California Public Utilities Commission (“CPUC”), by ruling of the Assigned Commissioners and
Administrative Law Judge on the Summer 2000 Energy Efficiency Initiative, D. 00-07-017, dated August 2 1,200O (“Ruling”), SDG&E was directed to offer a Lighting Emitting Diode (“LED”) traffic signal rebate program to
governmental agencies in SDG&E’s service territory;
WHEREAS, SDG&E has developed the LED Trafftc Signal Incentive Program to encourage Governmental
Agencies to replace red and green incandescent traffic signal lamps, yellow flashing beacons and pedestrian signals
(Lamp(s)) with energy-efficient LED traffic signal lamps pursuant to the terms and conditions of this Agreement,
and
WHEREAS, Governmental Agency would like to participate in the Program pursuant to the terms and conditions of
this Agreement:
NOW, THEREFORE, in consideration of the mutual premises and the mutual promises of each party herein contained, the parties agree as follows:
1. Governmental Agency agrees to:
(a) Replace incandescent traffk and pedestrian signal lamps with Lamps as set forth in Paragraph 2 below and
further described in Attachment 1.
(b) Provide SDG&E with a complete copy of the Governmental Agency’s invoice for the purchase of the
Lamps. Governmental Agency’s invoices(s) shall include, as to each Lamp: intersection location, Lamp description and quantity, and installation date using the LED Traffic Signal Replacement/Verification
Report (Attachment 2). Collectively, the invoice and Replacement/Verification Report are the Replacement
Documentation.
(c) Cooperate with SDG&E in the verification by SDG&E or its agent of both the purchase and replacement of
the Lamps.
(d) Pay any taxes, which may be imposed on Governmental Agency, as a result of Governmental Agency’s receipt of the Incentive hereunder.
2. SDG&E agrees to:
(a) pay a maximum individual incentive of $65 for each red Lamp, $175 for each green Lamp, $125 for each
yellow flashing beacon, $70 for each combination pedestrian signal and $25 for each pedestrian hand replaced before June 1,200 1. The maximum incentive will be reduced be 50% for lamps replaced between
June 1 and December 15,2001. Lamp, for purposes of this Agreement, shall include all traffic signal balls, arrows and pedestrian signals replaced. The actual incentive payment will be confirmed by SDG&E
verification and will be based on the actual number of Lamps replaced. Under no circumstances will SDG&E’s incentive payment exceed the actual invoice purchase price of the Lamps replaced.
LED.TS. Rev 1 l/1/00 I
(b) Reserve incentive funds, as shown on the LED Trafic Signal Rebate Form submitted earlier, until the
earlier of the replacement completion or June 1,200 1. If the actual lamp replacement exceeds the quantity shown on the Lamp Specification Form, incentives will be paid for the higher amount, based on availability
of unreserved incentive funds.
3. SDG&E’s payment to Governmental Agency of the incentive is completely contingent upon receipt by SDG&E
of a complete copy of the Governmental Agency’s invoice and completed Replacemenfleritication Report
(Attachment 3). No incentives will be paid for incomplete or late submissions.
4. The funding approved by the CPUC for this ‘Program is limited and will be reserved and paid on a first-come, first-serve basis to qualified Governmental Agencies.
5. SDG&E will transmit payment of the Governmental Agency’s invoice to the Governmental Agency, within 30
days a&r SDG&E receives Governmental Agency’s invoices, provided that Governmental Agency has satisfied all requirements of this Agreement and the invoice is correct.
6. All Replacement Documentation, correspondence and other submittals required to be submitted by
Governmental Agency to SDG&E under this Agreement shall be mailed fast class mail, postage prepaid, to:
SDG&E
Attention: LED Traffic Signal Program
8335 Century Park Ct. MS 12C
San Diego, CA 92123-1569
7. SDG&E is regulated by the California Public Utilities Commission (“CPUC”) and administers this Program
under the auspices of the CPUC. SDG&E and the CPUC reserve the right to audit and examine Replacement Documentation and all other records relating to Governmental Agency’s participation in the Program for a
period of five years after completion of the Program.
8. SDG&E may terminate this Agreement and immediately cease any payments to Governmental Agency if, in
SDG&E’s reasonable determination, Governmental Agency breaches any provision of this Agreement. If SDG&E takes legal action to recover any incentives paid to Governmental Agency for which Governmental
Agency is not otherwise entitled to payment under the terms of this Agreement, then SDG&E will be entitled to recover all costs relating to such legal action, including, but not limited to, reasonable attorney’s fees (including
in-house and outside counsel). SDG&E may also terminate this Agreement upon order of the CPUC. In such
case, Governmental Agency will be paid all incentives earned for qualifying Lamp replacements prior to the effective date of said termination.
2 SDG&E is entering into this Agreement solely as an administrator with respect to verification of performance
and disbursement of incentive funds. The selection, purchase and replacement of Lamps are the sole responsibility of Governmental Agency. Governmental Agency shall indemnify SDG&E. its current and future
parent companies, affiliates. subsidiaries, their officers. agents and emulovees apainst all loss, damage, expense
and liabilitv resulting from iniury to or death of persons, includiruz. but not limited to, emplovees of
Government Ap;encv or iniury to proper@. including. but not limited to. damage to prouerty of Governmental
Agency. provided such iniury to Dersons or damage to nrouerty are due or claimed to be due to the negligent
acts or omissions of Government Agency, its officers, employees. agents or any other person or uersons under
its direct supervision and control. Government Agency shall on a SDG&E’s request defend any action. claim, or
suit asserting a claim covered by this indemnity. Government Agency shall pav all costs that may be incurred by SDG&E in enforcing this indemnitv including reasonable attorneys fees including in-house and outside
attomevs.
In addition to the above, Government Anencv will cause its subcontractors to defend, indemnifi and hold SDG&E harmless to the same extent as provided in the preceding paragraph.
10. SDG&E reserves the right to disqualify the Governmental Agency due to an incomplete submission or if, in its sole judgement the Lamps installed are different than the Lamps identified in the Lamp Specification Form.
LED.TS. Rev I l/1/00 2
ll.SDG&E MAKES NO REPRESENTATION OR WARRANTY AS TO THE
QUALITY, SAFETY, RELIABILITY, USE, APPLICATION OR EFFICIENCY OF
THE LAMPS OR ANY COMPONENTS THEREOF. SDG&E MAKES NO
WARRANTY OF ANY KIND WITH RESPECT TO THE LAMPS, WHETHER
EXPRESS OR IMPLIED, INCLUDING, BUT NOT LIMITED TO, THE IMPLIED
WARRANTIES OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR
PURPOSE.
12. Governmental Agency represents that it has read and understands the Program requirements as set forth in this Agreement and Governmental Agency agrees to strictly comply with all provisions contained herein.
13. This Agreement shall be effective on the date it is completely executed by both parties. Purchase and
replacement of Lamps must be completed on or before December 15, 2001. If Governmental Agency cannot
provide proof of Governmental Agency’s purchase of the Lamps and proof that the Lamps are replaced and
operational on or before December 15,200 1, this Agreement shall terminate automatically on such date.
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their duly authorized officers and representatives.
For Governmental Agency: For SDG&E:
City of Carlsbad
Goveramentai Agency Name
1200 Carlsbad Village Dr.
Address
William F. Daiber Print Name
Carlsbad
City
92008
Zip
Sr. Program Manager
Title
760-434-2821
Telephone
760-720-9461
FaX i;//./O/ Date ’ I
Julie Ross
Ray Patchett
Print Name City Manager
Federal Tax ID No. Incorporated?
APPROVED AS TO FORM: RONALl+ BALL, City Attormy
E-mail Address
LED.TS. Rev I l/1/00
l[k~ut~ City AtWw
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