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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 04/01/2014 - RESOLUTION 2014-028 DIRECTING THE CITY MANAGER TOAgenda Item 11 Item # 11 Page 1 AGENDA ITEM SUMMARY April 1, 2014 City Council STAFF Lucinda Smith, Environmental Sustainability Director Bruce Hendee, Chief Sustainability Officer Steven Catanach, Light & Power Operations Manager SUBJECT Resolution 2014-028 Directing the City Manager to Convene an Ad Hoc Advisory Committee to Develop a Climate Action Plan for Achieving a Community-wide Greenhouse Gas Emissions Reduction Goal of 80% with Respect to 2005 Levels by 2030. EXECUTIVE SUMMARY The purpose of this item is to seek City Council clarification that the upcoming Climate Action Plan update should strive for the goal to reduce community-wide greenhouse gas emissions 80% with respect to 2005 levels by 2030; that it should describe steps the community could take to meet that goal, and further describe steps the community could take to achieve carbon neutrality by 2050; and to authorize the City Manager to appoint an ad hoc advisory committee to oversee development of the plan. In 2008, City Council adopted goals to reduce community greenhouse gas emissions 20% below 2005 by 2020, and 80% by 2050. Economic opportunities and technological advancements have emerged since 2008 that present new opportunities for Fort Collins reduce emissions more rapidly while increasing reinvestment back into the community, reducing environmental impacts, and ultimately saving money for the community. Recent input suggests community interest in more aggressive goals and supporting information about benefits and costs. This action sets the stage for the 2014 climate action planning process by clarifying end point goals for 2030 and 2050, and defining a role for an ad hoc advisory committee, with the goal to bring a draft plan back for City Council consideration by the end of 2014. STAFF RECOMMENDATION Staff recommends adoption of the Resolution. BACKGROUND / DISCUSSION Fort Collins has a long and thoughtful history of community planning, including taking steps to reduce our carbon footprint and implementing actions to improve our resiliency against a changing climate. Community support for reducing greenhouse gas goals has been significant since the Climate Action Plan (CAP) was first adopted in 1999 and then updated in 2008. In 2012, the community reduced greenhouse gas emissions while population rose and a key measure of economic growth - sales and use tax revenue - increased. The Climate Action Plan and corresponding Energy Policy continue to support several community values and strategic outcomes including Economic Health, Community Livability, Environmental Health, Safe Community, and Transportation. The Energy Policy sets a solid foundation for successful, nationally recognized energy efficiency programs and increased renewables. The ClimateWise voluntary business assistance program, born out of the original Climate Action Plan, now assists over 300 local businesses in reducing emissions while saving money. Energy Policy programs provided $20M annual benefits in 2012 and ClimateWise partners Agenda Item 11 Item # 11 Page 2 saved $14 million in 2012 alone, and over $73 million since the program began in 2000. Important community activities such as the Mason MAX corridor, economic clusters (clean energy, water, and local food), and the new Road to Zero Waste Plan serve many community priorities while also reducing greenhouse gas emissions. Air quality benefits also accrue from actions that reduce fossil fuel emissions and resource consumption. Need to Update Climate Action Plan There are several reasons why Fort Collins should update its Climate Action Plan, including the opportunity to capitalize on new technological and economic opportunities that have emerged since 2008, and the increasing urgency to reduce our carbon footprint and become more resilient in the face of climate disruption. Fort Collins has an opportunity to sustain and advance its leadership position by developing and implementing an updated CAP that leverages existing achievements and opportunities. In doing so, Fort Collins could embark on a transformative path of reinvestment in community-based energy systems, put itself at the national forefront of innovation, stimulate local economic health, reduce outflows of money from the community, improve security, and reduce risk. On February 11, 2014, the City Council held a work session to discuss alternative community greenhouse gas goals. There was strong support for the upcoming climate action planning to work towards a steeper rate of greenhouse gas reduction, with a special emphasis on accomplishing reduction now and in the near-term, through upcoming budget cycles. The importance of partnerships was emphasized, especially with Platte River Power Authority and its owner cities, as well as with university and academic institutions, and the private sector. Attachment 3 summarizes that discussion. Overall, two primary themes have emerged from recent public outreach on community greenhouse gas goals. There is interest in more aggressive community GHG goals, and there is interest in seeing more details about the anticipated benefits and costs of meeting these goals. The upcoming Climate Action Plan process is intended to address both of these themes by developing a draft plan to meet more aggressive goals and assessing the associated costs and benefits, and gathering public input throughout this process. CAP Update Planning Goals The proposed resolution requests that the Climate Action Plan be updated to describe steps the community could take to accelerate our goal to achieve community-wide greenhouse gas emissions reduction of 80% below 2005 levels by 2030. That end point represents the result of an analysis prepared by the Rocky Mountain Institute to evaluate how fast Fort Collins could achieve an 80% reduction below 2005. Their report (<http://www.rmi.org/PDF_fort_collins_energy_climate_goals>) investigates opportunities in three sectors: buildings, electricity supply, and transportation. The report draws on best practices, technology trends, and plausibly achievable goals for customer adoption. The analysis is based on existing technologies and proven adoption rates, but assumes maximum proven adoption rates in all sectors, sustained over time. The report suggests that Fort Collins can achieve 80% reduction below 2005 by 2030 while: Reducing building energy use 31% through efficiency, Achieving carbon neutral electricity by 2030, Reducing transportation emissions by 48%, Achieving $165 million net present value savings by 2030, and Achieving $1.8 billion net present value savings by 2050. The RMI report provides a good starting point for an update to the Climate Action Plan. Additionally, community stakeholders have expressed interest in seeing Fort Collins aspire to a vision of becoming carbon neutral. (See Attachment 1 describing Council advisory board recommendations.) The 2009 Fort Collins Energy Policy also describes a 2050 vision for becoming carbon neutral: Agenda Item 11 Item # 11 Page 3 To ensure for the Fort Collins community a highly reliable, competitive, carbon neutral electricity supply, managed in a sustainable, innovative, responsible and efficient manner. To that end, the CAP update will include a list of steps the community could take to achieve carbon neutrality (a 100% reduction in greenhouse gas emissions) by 2050. The list of additional strategies to get from 2030 to 2050 will not undergo a comprehensive quantitative analysis but will identity opportunities that the community should be planning for to achieve carbon neutrality. Community Involvement in CAP Update Community support will be essential to achieve future community greenhouse gas goals. Staff proposes to convene an ad hoc advisory committee of stakeholders, including residents and business entities, to participate in the 2014 Climate Action Plan update to: Ensure various perspectives are heard and that the draft CAP reflects the desires of the community, Tap into the expertise and innovation in the community, and Build critical partnerships and support for CAP implementation, including recommendations for on- going public engagement to implement the plan. An Advisory Committee of key stakeholders will be convened to provide input to the update of the Climate Action Plan. Participants will be sought from the sectors listed below. Citizen Sector (Council advisory board representatives) Will seek representatives from among Air Quality Advisory Board, Economic Advisory Commission, Energy Board, Natural Resources Advisory Board, Parking Board, and Transportation Board. Business, Environmental, and Social Sectors Will include representatives to be drawn from groups such as ClimateWise Steering Committee, Chamber of Commerce, Fort Collins Sustainability Group, Board of Realtors, Energy and/or Water Cluster representatives, Home Builders of Northern Colorado, Northern Colorado Renewable Energy Society, Communities for Sustainable Energy, Sierra Club, faith-based communities, Community Foundation, Poudre Valley Health Systems, Vida Sana, etc. Major Stakeholders Will include at least one representative each from Colorado State University, Poudre School District, and Larimer County. Subject Matter/Technical Experts Will include subject matter experts to represent the issues of climate change science, water resources, public health, and utility providers (including a representative from PRPA). Technical experts may be formed into a separate sub-committee. An engagement and implementation committee may also be developed to focus on public engagement strategies to implement the plan, with special emphasis placed on key stakeholders and potential funders, reaching students and faith-based communities, and leveraging the work of non-profits. Additional public outreach to develop and vet the plan will include forums, presentations to Boards and community groups, and a Web site to provide information and obtain comments. CAP Update Technical Assistance Consulting expertise has been retained to support technical work associated with the plan update. Analyses will include: An updated greenhouse gas emissions forecast; Agenda Item 11 Item # 11 Page 4 Best practice research, including new areas such as net zero cities, food, etc.; Development of potential emission reduction strategies and generation of various scenarios for the emissions trajectory through 2030, which may include sector specific and interim targets; Evaluation of first-cost, ongoing costs/savings, return on investment, and other appropriate metrics; and where possible, other leading-edge benefit calculation methodologies; Analysis of who pays and who saves, cost impact scenarios, and financial model scenarios; Integration with climate adaption strategies; and Triple bottom line analysis of strategies to aid in strategy prioritization and mitigation of negative impacts. Next Steps The CAP update will occur during 2014 in close coordination with Platte River Power Authority's resource planning process. Additionally, sector specific strategies and targets within the CAP will align with and be informed by other initiatives being coordinated within Fort Collins, such as the Energy Policy and Road to Zero Waste. Following public outreach and adherence to a relatively aggressive schedule, a draft CAP will be prepared for Council consideration by the end of 2014. The draft CAP will be created in an accessible, visually pleasing format that is graphics-rich and text- light. The proposed schedule is below. April Form Ad Hoc Advisory Committee Apr- June Public forum/input Apr- June Discuss sector specific targets and begin strategy investigation July - Aug Various scenarios (groups of strategies) for meeting goals and targets developed August- Sep. Cost-benefit analyses and financial models developed for scenarios Sept - Oct Public Forum / possible Council work session Oct - Nov Draft plan developed and public/board comments sought Nov - Dec Council review and consideration of draft CAP. FINANCIAL / ECONOMIC IMPACTS $60,000 in funding to support the Climate Action Plan update has been identified through the 2014 Mid-Couse budget cycle. This funding will be used for consultant assistance on best practice research, evaluation of strategies and scenarios needed to meet the goal, cost:benefit analyses of strategies, and creation of the draft plan. Attachment 2 provides a preliminary “Sustainability Assessment” of accelerating community greenhouse gas reduction, including broad potential economic impacts. ENVIRONMENTAL IMPACTS The environmental impacts associated with the CAP update process itself (driving, materials use, etc.) will be minimized to the extent reasonable through the use of green meeting practices, capitalizing on electronic information, reducing paper use, etc. Attachment 2 provides a preliminary “Sustainability Assessment’ of accelerating community greenhouse gas reduction, including broad potential environmental impacts. Agenda Item 11 Item # 11 Page 5 BOARD / COMMISSION RECOMMENDATION City staff visited 5 boards at least twice in late 2013 and early 2014 to introduce the topic and then seek feedback on potential future greenhouse gas goals. Relevant Board memos are presented in Attachment 1 and summarized below. Energy Board (2/7/13) - recommendation to review community GHG goals and supporting plans, with the intent of moving towards more aggressive goals Natural Resources Advisory Board (1/16/14) - recommendation for 40% below 2005 by 2020 and aspire to carbon neutral by 2050 Air Quality Advisory Board (1/31/14) - recommendation for reduction of 80% below 2005 by 2030 and aspiring to carbon neutral by 2050 Energy Board (2/6/14) - recommendation that the City adopt more aggressive GHG goals, and adopt specific, achievable and measurable interim goals through 2030 PUBLIC OUTREACH Public outreach was conducted on possible future greenhouse gas goals, including a public forum on October 2013 that 65 people attended, board and commissions dialogue, and a Web site input opportunity. Two primary themes emerged from recent outreach; an interest in more aggressive community GHG goals, and an interest in the details about the anticipated benefits and costs. The upcoming Climate Action Plan process will address both of these themes by developing a draft plan to meet more aggressive goals and assessing the associated costs and benefits, and gathering public input throughout this process. ATTACHMENTS 1. Board recommendations (PDF) 2. Triple Bottom Line Sustainability Assessment (PDF) 3. Work Session Summary, February 11, 2014 (PDF) ATTACHMENT 3 - 1 - RESOLUTION 2014-028 OF THE CITY COUNCIL OF THE CITY OF FORT COLLINS DIRECTING THE CITY MANAGER TO CONVENE AN AD HOC ADVISORY COMMITTEE TO DEVELOP A CLIMATE ACTION PLAN FOR ACHIEVING A COMMUNITY-WIDE GREENHOUSE GAS EMISSIONS REDUCTION GOAL OF 80% WITH RESPECT TO 2005 LEVELS BY 2030 WHEREAS, climate models show that unless all humanity is able to reduce its greenhouse gas emissions to 80% below 2005 levels by the middle of this century, we are likely to cause “dangerous interference with the climate system,” which is defined as a two degrees Celsius temperature rise over the global average that existed in the year 1850; and WHEREAS, Fort Collins is especially vulnerable to the effects of climate change, and down-scaled climate models predict that it is highly likely that summers will be up to 6 degrees F warmer in this region by 2040; and WHEREAS, in 2008, City Council expressed its intent to reduce Fort Collins’ community-wide greenhouse gas emissions to 3.3% below 2005 levels by 2012; and additionally established the goals of reducing emissions to 20% below 2005 levels by 2020 and 80% below 2005 levels by 2050; and WHEREAS, in 2008, City Council adopted a Climate Action Plan that established a pathway toward achieving the 2012 greenhouse gas emissions reduction intent and a partial pathway toward achieving the 2020 goal; and WHEREAS, by 2012, Fort Collins’ community-wide greenhouse gas emissions were 8.7% below 2005 levels; and WHEREAS, the City’s current Climate Action Plan now needs to be updated because it does not identify a complete pathway to the current 2020 goal, and does not address how to achieve the 2050 goal; and WHEREAS, since 2008, new opportunities to reduce greenhouse gas emissions have emerged, including advancements in energy technologies such as smart grid, vehicle electrification opportunities, changes in the price of energy solutions, and new waste reduction strategies; and WHEREAS, Fort Collins values sustainability and works to systematically, creatively, and thoughtfully utilize environmental, human, and economic resources to meet our present needs and those of future generations without compromising the ecosystems on which we depend; and WHEREAS, Fort Collins is nationally recognized as a leader both in finding ways to reduce greenhouse gas emissions and in adapting to climate change; and - 2 - WHEREAS, in November 2013, President Obama named Mayor Karen Weitkunat to his Administration’s Task Force on Climate Preparedness and Resilience to advise the Administration on how the Federal Government can respond to the needs of communities nationwide that are dealing with the impacts of climate change; and WHEREAS, in February 2014, the U.S. Department of Agriculture named Fort Collins as one of seven national Climate Hubs that will provide farmers and ranchers with information about changing climate and its impact on the landscape; and WHEREAS, Fort Collins is well-positioned to demonstrate to other communities both in the United States and abroad how deep reductions in greenhouse gas emissions can be made within the span of several decades while remaining economically vibrant. NOW THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS as follows: Section 1. That the City Manager is hereby directed to appoint and convene an ad hoc advisory committee consisting of members selected from City boards and commissions, the environmental community, the social services community, the business community, major institutions, subject matter experts, and City staff, to develop for City Council’s consideration a proposed updated Climate Action Plan that describes the steps the Fort Collins community will need to take to achieve a community-wide greenhouse gas emissions reduction goal of 80% (relative to 2005 levels) by the year 2030. Section 2. That said Plan shall also describe steps for the Fort Collins community to take after the year 2030 to achieve carbon neutrality (a 100% reduction in greenhouse gas emission (relative to 2005 levels) by the year 2050. Section 3. That said Plan shall be presented to the City Council for consideration and proposed adoption before the end of calendar year 2014. Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 1st day of April, A.D. 2014. _________________________________ Mayor ATTEST: _____________________________ City Clerk