89-745 WHITE - GTV CLERK 4 , � '� � .
PIM7[ - i1NANCE GITY F SAINT PAUL Council
CANARV - BEPARTMENT ��
BLUE - MAYOR File NO. �
YCo n i Resolution 'g
� '
Presented By
� � �
Referred To Committee: Date
Out of Committee By Date
WHEREAS, Northern States Power ( SP is required by Minnesota Statute
216B.241, Subdivision 2, to make si ificant investments in and expenditures
for energy conversation improvem nt, and
WHEREAS, NSP is required annuall t file on or before May 1 a Conservation
Improvement Program (CIP) propos 1 ith the Minnesota Public Utilities
Commission (MPUC) which meets Mi . Stat. 216B.241, Subd. 2 requirements and
MPUC Rules 7840.0200 to 7840.140 , nd
WHEREAS, the City of Saint Paul s n a unique position to assess the energy
conservation needs of citizens w th n the City and direct resources to
programs and projects which best ad ress those needs, and
WHEREAS, the City and NSP entere i to an agreement, dated April 29, 1988,
which gives the City responsibil'ty for the development and operation of CIP
programs within the City of Sain P ul including the annual City-NSP filing to
the MPUC, as designated by Resol ti n No. 88-587 April 28, 1988, and
WHEREAS, the NSP-City agreement eq ires NSP to pay a maximum annual amount of
$500,000 to the City for the ope at on of CIP programs, subject to MPUC
approval, and
WHEREAS, the City recognized the ex erience of non-profit community-based
energy service organizations in ai t Paul and desires to utilize their •
expertise in the delivering of C P- Zded services, and
WHEREAS, the City has prepared a co rehensive package of programs to serve •
the energy conservation needs of S gas customers within the corporate limits
of Saint Paul for the� period to e overed by the 1989-1990 CIP c+rder, and
COUNCIL MEMBERS Requested by De tme t f:
Yeas Nays � �f�
Dimond � �
�.on$" [n F vor
Goswitz � �
��;�� _ Agai st BY , ��
Sonnen
Wilson
Form Ap r City Attorn
Adopted by Council: Date
Certified Passed by Council Secretary BY
/
By,
t#pproved by �Vlavor: Date _ Appro y Mayor for Submi ' n o�oun '
By BY
WHITE - C�TV CLERK COIIIICll ,/L.
PINK -,FINANCE
CANARV - BEPARTMENT GITY O AINT PAUL File NO. ���� -
BLUE - MAVOR
Counc 'l Resolution
Presented By
Referred To Committee: Date
Out of Committee By Date
NOW, THEREFORE, BE IT RESOLVED tha t City supports NSP�s filing with the
MPUC of a CIP proposal for 1989 - 90 consisting of the following programs
and funding amounts.
1. Technical and informatio re erral service $50,�+06
2. Single family loan pro j e $30,�+9�+
3. Multifam.ily loan project $16,137
�+. Multifamily audit and co r t management $30,87g
project
5. Project insulate $�+6,326
6. Project insulate audit sistance project $131,800
7. MEIS 1-�+ unit energy aud' p o j ect $�+3,200
8. Low income house doctor oj ct $70,000
9. NI�S weatherization/rehab' it tion $�+�+,000
10. Replacement Furnace Gran P ject �31 800
.� 9+�'S',OT2-
FURTHER RESOLVED that staff is aut ri ed to negotiate and enter into contracts
with the Energy Resource Center, t ighborhood Energy Consortium, Dayton�s
Bluff Neighborhood Housing Services a West Side Neighborhood Housi.ng Services
substantially in accordance with t p ograms and funding levels described
herewith, in the 1989-90 Conservat' n mprovement Program filing and as
approved by the Minnesota Public U 'li ies Commission .
COUNCIL MEMBERS Requested by Department of:
Yeas Nays �
Dimond
1� [n Fav r
Goswit�
Rettman �p B
s�ne;nei _ Agains Y
rseaee�r
Wilson
MQY ' � 1�0 Form Approved by City Attorney �
Adopted by Council: Date
Certified Pas e b Counci Se ry BY —
gy,
Approved 1 avor: D te �� " � Appro b Mayor for Submi ion o.�ounc'
By � _ �e By
TU3L�SilG�1 !�'r�fi t 1 � � UJ
. . � �� ��
oernar�r�rroF�couNae a►� mn o O O�
P.E.D. - Hous iti 4 14 s 9 GREEN S� No. °Nm�wAr�
CONTACT PERSON 3 PFIONE ��PARTIr1ENT�RE �CITY OOUNpL
Allen C rls - m�'�T��' ����
MU8T BE ON WUNpL AOENDA BY(DATE) �BUDQET DIRECTOR �FIN.3 AiK�T.SERVICES aR.
4/2 5/8 9 �MAYOR(OR A8818T
TOTAL#�OF SIGNATURE PAQES (CLIP LL OCATIONS FOR SIQNATUR� 1
ACi10NREf]UE8TED: A�JPY'OV(' Joirit City-N P 'oriservation improvement Program _jC�P)
To be submi.tted to the Mis�tiesota Pub ic tilities Comnissiori (MPUC) or� May 1, 1989
aiid authorize staff to et�ter irito cor tr ts with service providers performirig proq�
tasks. FtECE��" <
RECOMMENDATIONB:MP►ove(A1 a►Rsle�(RI COUN MITTEEI�SEARCH REPORT OPTIONAL
_PLANNIN(i COMM188WN _qVIL SERVICE COMMIS810N ANALY PHONE 1�. {'��7 �+
N
_CIB COMMITTEE _
A BTAFF _ COMM . EV�i������
_D18TRICT WURT _
SUPPORTS WHICH COUNqI�JECTIVE?
�Ieighbonc�x�d
INITIATINO PROBLEM.ISSUE.OPPORTUNITY(Who,What,When.Whero.Wh»:
City NS� ea�tered irito a three year a ee it April 28, 1_988, whereby the City agreed
to develop arid opesate CIP Qrograms th n Sai.rit Paul for NSP. NSP agreed to furid
the programs in their er�ti.rety up to imum of $500,000 per year upon approval by
the 1�1PUC. Approval of the resolution c iveys the message to the MPUC the City's
preferetice for eriergy coriservation pr gr • to be provided. This is the 2rid year
of ttie cor�tract.
ADVANTAOES IF APPROVED:
CIP provides a compreherisive package f �ergy consexvatio�� programs to City residerits
with emphasis towards lower iiicome fa ' 1 es ai�d rer�ters. Reducirig the consumption
of et�ergy provides cost savings to pr gr m participarits arid beriefits to society.
asn�v�rir�aES iF nP�oveo:
Noi�e
DISADVANTAOE8 IF NOT APPROVED:
City would no longer have right to det ie the type of eriergy conservation programs
provided to City residerits aiid who wou d eliver the services.
G°��'c:1 �ese�rch Center
/�PP, 1 g ���u�
TOTAL AMOUNT OF TRANSACTION 5 495,�42 (�gT/REVENUE BUD�TED(CIRCLE ONE) YES NO
�N���� Erier Cot�servation Improvemeri f i����NUMSER 102-36250-3699
FlNANCIAL INFORMA170N:(EXPWI� �, agreemetit NSP futids 10 � of CIP costs.
lrr / �--��— /�`-'�I'i
�'� op l/�
o� o '�
CITY OF SAINT PAUL
� iiii t 1��i '
' DEP RT ENT OF PLANNING AND ECONOMIC DEVELOPMENT
y hC
♦
�ea•
GEORGE LATIMER KENNETH R.JOHNSON, DIRECTOR
MAYOR 25 West Fourth Street,Saint Paul,Minnesota 55102
612-228-3200
DATE: May 14, 1989
T0: Mayor Latimer
Council President Sch ibe and Members of the City Council
FROM: Kenneth R. Johnson �� ''�
,�`f`"
SUBJECT: CITY-NSP CONSERVATION MP OVEMENT PROGRAM ANNUAL FILING
The agreement entered into last y r etween the City and NSP requires the
City to develop �ointly with NSP co prehensive energy Conservation
Improvement Program (CIP) to be f e with the Minnesota Public Utilities
Comrnission (MPUC) by May 1, 1989.
Attached is a resolution which ou i s and supports the proposed program to
be filed by NSP to the MPUC. The es lution also authorizes staff to
negotiate and enter into contract wi h the service providers upon approval of
the CIP filing by the MPUC.
The Program
Proposed is a comprehensive progr r addressing energy conservation needs
in Saint Paul.
Request for Proposals
Notification requesting energy co se ation proposals was advertised in the
St. Paul Pioneer Press and Dispat . Individual requests for proposals were
mailed to each District Community o cil, the Neighborhood Housing Services,
and other known non-profit organi at ns which may want to become involved in
providing energy conservation.
Service Providers
Project proposals were submitted e Energy Resource Center (ERC) , the
Neighborhood Energy Consortium (N C) , and Dayton's Bluff/West Side
Neighborhood Housing Services (NH ) .
The City has a history of involve en with these non-profit agencies and is
familiar with their capabilities. E h of the three organizations has
valuable experience in community ' v lvement, as well as expertise in energy
conservation.
, \ - : � , ��9-- ��
The ERC, created in 1981 as a publ - ivate partnership between the City and
NSP, has considerable technical, 1 d" g and professional energy management
experience, and has originated ove $ million in energy improvement loans to
rental and single family property s since its inception eight years ago.
The NEC is a coalition of neighbor oo -based organizations within Saint Paul,
which provides energy conservation an recycling programs. More that 12,500
households in Saint Paul have rece ve energy audits from NEC. The NHS
integrates energy conservation wit h using rehabilitation work in the West
Side and Dayton's Bluff neighborho ds These three organizations are working
very closely to coordinate their e fo ts and make use of one another's special
expertise.
The Projects
The 1989-90 CIP-funded conservatio p ogram for the City of Saint Paul will
include the following projects:
1. Project Insulate -- to be o er ted by the ERC and NEC. Initiated to
improve marketing and delive y f major weatherization improvements to
Saint Paul residents and 1-4 un t rental property owners. The program
is a four-step process invol in neighborhood workshops, energy
audit/consultation, completi n f work by guaranteed contractors, and
post-installation inspection . This comprehensive one-stop shop service
is effective in motivating p rt cipants to follow through on major
energy conservation improvem nt .
Objective: 350 pro�ect insu at contracts
2. Technical and Information Re er al Service - to be operated by the ERC.
Provides information to resi en s on weatherization products and
techniques and available fi nc ng programs, makes referrals to other
City and State housing progr s, and provides on-going customer service.
3. Single Family Energy Loan Pr gr - to be operated by the ERC. Provides
support for the loan origin io of below market rate MHFA Home Energy
Loan Program, MHFA Home Imp ve ent Loan Program, and the CDBG Deferred
Loan Program.
Ob�ective: originate 450 1 ns
4. Multifamily Loan Program - operated by the ERC. Provides below
market financing and techni al services to owners of rental property.
Program is designed to over om barriers to conservation investment
which exists in the rental ar et. Coordinated with Project Insulate
and Multifamily Audit and C ns ruction Management Project.
Objective: originate 135 1 an
5. Multifamily Audit and Const uc ion Management Project - to be operated
by the ERC. Promotes energ e ficiency improvements in rental
properties with five or mor u its. Program consists of workshops,
direct mailings, conducting en rgy audits and construction management of
energy improvements to be u de taken by rental property owners.
Objective: 35 construction ma agement contracts, 85 audits
: + � ��._ ��-�
6. Replacement Furnace Grant Pr �e t - to be operated by the ERC. Provides
grants to very low income ho eo ers who participate in the NEC's Low
Income House Doctor Program, an are in need of a replacement furnace to
correct an existing health o s fety problem.
Objective: replace 14 furna es
7. Pro�ect Insulate Audit and A si tance Project - to be operated by the
NEC. To be performed in coo di ation with ERC's Project Insulate
program. NEC does energy au it , assists property owners with contract
preparation and conducts pos i stallation inspections.
Objective: 1200 audits
8. RCS 1-4 Unit Energy Audit Pr gr m - to be operated by the NEC. Provides
energy audits and conservati n ecommendations to property owners of 1-4
unit structures, with specia e phasis for low-cost/no-cost improvement
instruction and materials fo 1 w income customers.
Ob�ective: 600 audits
9. Low Income "House Doctor" Pr gr m - to be operated by the NEC. Provides
check and tune-up of furnace, b ower-door air infiltration testing,
concentrated sir tightening ca lking, weather-stripping, pipe
insulation) , and post-instal at on testing for very low income
households. Program targets po ulations that typically do not qualify
for other weatherization or oa programs.
Objective: 148 households
10. Weatherization/Rehabilitatio P oject - to be operated jointly by
Dayton's Bluff and West Side NH . Provides energy conservation
materials to low income hous ho ds in the Dayton's Bluff and West Side
neighborhoods who are in the pr cess of rehabilitating their homes.
Ob,jective: 40 households
Bud�e t
The proposed budget by program and pr vider is as follows:
Pro ect Provider
ER NEC NHS Total
Project Insulate 4 ,3 6 46,326
Tech/Info Services 5 ,4 6 50,406
SF Loan Program 3 ,4 4 30,494
Multifamily Loan Program 1 ,1 7 16,137
Multifamily Audits & Contracts 3 ,8 9 30,879
Replacement Furnace 3 ,8 0 31,800
Project Insulate Audits 131,800 131,800
RCS Audits 43,200 43,200
Low Income House Doctor 70,000 70,000
Weatherization/Rehabilitation 44.000 44.000
Total $20 ,0 2 $245,000 $44,000 $495,047
.
,
- �. ' (..,��--���''
The package of programs proposed or CIP funding is coordinated with other
funding sources from the private, st te and local government sectors.
Schedule
NSP must submit its filing to the MP C by May 1, 1988. While the MPUC is not
bound to issue its order within y iven timeframe, past experience indicates
that the order should be made in i to begin programs October 1, 1989, the
start of the CIP year funding cyc e. The City will develop contracts with the
service providers for the deliver o the programs in the interim.
I am very excited by the program ro osed for this year's CIP filing. Through
your support of the attached reso ut'on, the City will be able to assure a
coordinated effort to meet the co se ation needs of the residents of Saint
Paul. Thank you for your suppor .
KRJ/gh
Attachment
cc: Mary Tingerthal
Allen Carlson