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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 03/04/2003 - RESOLUTION 2003-028 AUTHORIZING PARTICIPATION IN T AGENDA ITEM SUMMARY ITEM NUMBER: 18 FORT COLLINS CITY COUNCIL DATE: March 4, 2003 STAFF: Wendy Williams SUBJECT: Resolution 2003-026 Authorizing Participation in the Energy Star Rebate Program for High- efficiency Clothes Washers for Residential Utility Customers. RECOMMENDATION: Staff recommends adoption of the Resolution. FINANCIAL IMPACT: Utilities will expend up to $15,000 of existing appropriations for the purpose of providing up to 300 $50 rebates for high-efficiency clothes washers. The expense will be equally split between the Light and Power Fund and the Water Fund. The projected water savings from one of these washers equates to $240 worth of water rights, based on the current cash in lieu of water rights price of$6,500 per acre foot. EXECUTIVE SUMMARY: This Resolution will permit the City to participate in a promotion to encourage residential customers to purchase high-efficiency clothes washers from local retailers. As part of an Energy Star campaign, customers will receive a $100 rebate when they buy qualifying washers. The City will offer a$50 rebate and participating manufacturers will provide the additional $50. Utilities will administer the rebate, receive the rebate applications, verify qualifications and send customers the rebate. To qualify for a rebate, participants must be City of Fort Collins Utilities customers. BACKGROUND: Energy Star is a national market recognition campaign jointly sponsored by the U.S. Department of Energy and the Environmental Protection Agency. The program awards Energy Star labels for products (e.g. clothes washers, personal computers, lighting products) 'and buildings that meet voluntary energy-efficiency standards that exceed regulatory standards. The DOE and EPA work with public sector and private sector partners to help increase consumer demand for products that earn Energy Star labels. DATE: ITEM NUMBER: 16 In January, the City became an Energy Star partner. As a partner, the City has the opportunity to participate in a national Energy Star clothes washer promotion. Customers will be offered a $100 rebate when they purchase an Energy Star qualified washer from a local participating retailer between April 15 and July 15, 2003. Fort Collins Utilities will process and pay a $50 rebate, to be matched by the participating washer manufacturers. The eight manufacturers participating in the promotion include Sears, General Electric, Whirlpool, Electro, Maytag, Fisher-Paykel, Equator and Miele. High-efficiency clothes washers use up to 50 percent less energy and can cut water usage by 30 to 50 percent. Energy Star qualified washers use 18 to 25 gallons of water per load, compared to the 40 gallons used by a standard machine. High-efficiency washers also save energy. Less energy is needed to heat the water and as more water is extracted during the spin cycle, less drying time is needed. These washers are considerably more expensive than traditional ones. Customers have repeatedly asked for assistance in purchasing high-efficiency washers. The Water Use Advisory Group recommended that the Utilities consider rebate programs to encourage customers to purchase water efficient appliances. This Energy Star promotion provides an opportunity to leverage Utility funds while promoting efficient use of water and energy resources. The Energy Star deadline for the City to participate in the promotion was February 28, 2003, but Energy Star has agreed to extend that deadline to March 5, 2003 for the City of Fort Collins. RESOLUTION 2003-026 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING PARTICIPATION IN THE ENERGY STAR REBATE PROGRAM FOR HIGH EFFICIENCY CLOTHES WASHERS FOR RESIDENTIAL UTILITY CUSTOMERS WHEREAS, the Energy Star program is a market recognition campaign jointly sponsored by the U.S. Department of Energy and the Environmental Protection Agency; and WHEREAS; in January 2003, the City became a partner in the Energy Star program;and WHEREAS,as a partner in the Energy Star program,the City has been invited to participate in a rebate program to encourage the purchase of high efficiency clothes washers by residential customers; and WHEREAS,the use of high efficiency clothes washers results in a reduction in energy use by up to 50 percent, and a reduction in water use by 30 to 50 percent; and WHEREAS,the promotion of the use of high efficiency clothes washers by residential customers of the City Utilities is expected to result in the conservation of energy and water resources; and WHEREAS,the City Council has previously identified the conservation of energy and water resources to be valid and important public purposes to be served by the City's programs and activities; and WHEREAS,the proposed Rebate Program would entail the administration and payment by the City of a rebate to residential Utilities customers who purchase a high efficiency clothes washer, $50 of which would be funded through City Electric Utility and Water Utility funds,to be matched by an additional $50 to be funded by the washing machine manufacturer; and WHEREAS,the City Council hereby finds and determines that the City's participation in the Rebate Program and the use of available Electric Utility and Water Utility funds for said Rebate Program would advance the important public purposes of promoting energy and water conservation, and in doing so would be for the benefit of the ratepayers of the City's Electric and Water Utilities. NOW,THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the Council hereby authorizes the City Manager to enter into such agreements and take such actions as are reasonably necessary and appropriate to allow the City to participate in the Rebate Program as described herein. • Passed and adopted at a regular meeting of the City Council of the City of Fort Collins this 4th day of March, A.D. 2003. Mayor ATTEST: City Clerk