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HomeMy WebLinkAboutResponse to Constituent Letter - Mail Packet - 04/08/2025 - Letter from Mayor Jeni Arndt to Energy Board re City of Fort Collins Grant Funding Resources (2) Mayor City Hall Fort Collins, CO 80522 970.416.2154 970.224.6107 - fax fcgov.com April 3, 2025 Energy Board c/o Christie Fredrickson, Staff Liaison PO Box 580 Fort Collins, CO 80522 Dear Chair Smith and Board Members: On behalf of City Council, thank you for providing us with the April 1, 2025 memorandum regarding the Board’s recommendation that the Council evaluate the benefits of adding additional dedicated grant support staff to bring in additional funds to the City, given that there may be additional grant money available if the City had more resources dedicated to pursuing it. Thank you for the expertise and perspectives that you bring to the Board and share with City Council. Best Regards, Jeni Arndt Mayor /sek cc: City Council Members Kelly DiMartino, City Manager Utilities – Energy Board 700 Wood St. PO Box 580 Fort Collins, CO 80522 970.221.6702 970.416.2208 - fax fcgov.com M E M O R A N D U M DATE: April 1, 2025 TO: Mayor Arndt and City Councilmembers FROM: Brian Smith, Energy Board Chairperson RE: City of Fort Collins Grant Funding Resources BACKGROUND At our regular meeting on February 13, 2025, the Fort Collins Energy Board received a presentation by Kerri Ishmael, Senior Analyst, Grants Admin on citywide grant funding. The presentation provided a high-level overview of types of grants that are available, the sources of these grants, and an update on grants awarded to the city. ENERGY BOARD DUTIES AND FUNCTIONS The Energy Board has considered Citywide grant funding as presented by its staff in accordance with our chartered duties and functions, specifically: (2) To advise the City Council and staff in developing City policies that encourage the incorporation of energy conservation and efficiency, carbon emissions reduction, and renewable energy into the development and provision of City utility services, the design and construction of City transportation projects, and the way in which the City impacts the overall built environment within the City. (3) To advise the City Council and staff regarding the alignment of energy programs and policies with City, ratepayer and community values and service delivery expectations; (6) To advise the City Council and staff regarding budgetary, rate-making and operational matters related to the electric utility. OBSERVATIONS  Certain city operations such as transportation are dependent upon “Federal Formula Grants.” Regardless of millions of dollars received from Federal Formula Grants there are still funding gaps that the city needs to meet. The pursuit of these funds is managed by ded- icated Full Time Equivalents (FTE’s) in the Transportation department.  The City also pursues Competitive Grants to support funding gaps and other city priorities. These competitive grants are available from State and Federal government agencies. The pursuit of these funds is not managed by dedicated FTE’s across departments. However, grant support comes from a Grant Administrator and a third-party consultant is often need- ed. Docusign Envelope ID: 88C545E3-355B-47F8-8268-94B6ADE28605  Key grant highlights from the year 2024: o The city identified a total of 26 “energy” related funding opportunities with more than $71M in grant funds available. o This city pursued 13 of the identified “energy” related funding opportunities with more than $52M in grant funds available. o The city was awarded 9 of the “energy” related funding opportunities (70% of the total grants pursued) for more than $31M in grant funding.  The Energy Board is impressed with the City's high success rate in securing grant awards and praises the Grant Administrator and staff for their significant achievement.  Based on the Energy Board limited knowledge of Federal & State grants dollars available (e.g. $82B in energy grants from the Inflation Reduction Act alone), we believe there may be opportunities to secure significantly more in grant awards if the city had addit ional resources to pursue.  The Energy Board acknowledges the current uncertainty related to Federal appropriations. We remain optimistic that some Federal grants, as well as grants from other funding sources, will continue to be obtainable or will become accessible in a reasonable period of time. RECCOMENDATION Given the total Federal & State grant dollars available and the city’s past grant success rate, the Energy Board respectfully recommends in the City Council evaluate the benefits of adding additional dedicated grant support staff. An evaluation of adding grant staff to identify, qualify, and pursue grant funding compared to forecasted grant awards will demonstrate the potential return to the city and value to the citizens. We expect the outcome of such an evaluation will demonstrate that adding grant support staff can result in securing additional grants representing millions of dollars for the city. As always, the Energy Board is grateful for the opportunity to provide comments and appreci- ates City Council’s consideration. Respectfully submitted on behalf of the Energy Board, __________________________ Brian P. Smith Energy Board Chairperson Docusign Envelope ID: 88C545E3-355B-47F8-8268-94B6ADE28605