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CITY COUNCIL AGENDA ITEM NO. 6
Meeting Date: December 9, 2003

Subject/Title: Authorize the City Manager to enter into a Generating Facility Interconnection Agreement (GFIA) and Special Agreement with Pacific Gas & Electric for electrical standby service

Submitted by: Craig Bronzan, Director of Parks and Recreation
Ken De Silva, Park Services Manager

Approved by: John Stevenson, City Manager

RECOMMENDATION
Authorize the City Manager to enter into a Generating Facility Interconnection Agreement (GFIA) and Special Agreement with Pacific Gas & Electric for electrical standby service.

PREVIOUS ACTION
• Approval of a Resolution to reinstate the Balfour Road Aquatic Complex (as part of the 2001-2006 Capital Improvement Program) approved by City Council on January 8, 2002 as CIP number 522-5202.
• A Professional Services Agreement with Water and Energy Management to perform a Cost Feasibility Analysis, and design this co-generation project, was approved by the City Council and was executed on February 26, 2002.
• Approved purchase of the Tecogen co-generator from Tecogen, Inc. in the amount of $65,158 at City Council meeting of February 11, 2003.

BACKGROUND
This project is one component of the Aquatics Complex Capital Improvement Program 522-5202.

A cost/benefit study was performed by Bob Spizka, of Water and Energy Management, to quantify the economic, technical, and environmental aspects of co-generation at the Aquatics Facility. He produced a report last March that recommended this would be a very good means of lowering the annual utility costs associated with the operation of the Brentwood Family Aquatics Complex. In his report he estimated that the project could save an estimated $41,875 annually (at current energy costs).

Co-generation is the simultaneous production of electricity and thermal energy (hot water) from a single energy source (natural gas). The study focused on how to lower the electrical and pool heating, costs by installing a 60 kw co-generation system to generate electricity while concurrently making hot water that is used to heat the pools. This would reduce the operation of the existing pool heaters and supply electricity for the pumps and other electrical needs of the Aquatics Facility. The natural gas purchased for running the co-generator is also half of the cost of our current rate due to the fact that the PUC is encouraging the use of such devices.

The attached Pacific Gas and Electric Company’s agreement states the need for this facility to still be provided power from PG&E. The co-generator is designed to provide most of the necessary load of the facility but will still need power for peak times and during maintenance of the equipment. This agreement was reviewed by the City Attorney.

FISCAL IMPACT
• Total cost of this project will be $170,000.
• A reduction of annual utility costs of $41,875 (this includes the purchase of co-generator fuel and an outside maintenance agreement).

Attachment:
Generating Facility Interconnection Agreement (GFIA)
Special Agreement from Pacific Gas & Electric
CIP Sheet – 522-5202

City Administration
City of Brentwood City Council
150 City Park Way
Brentwood, CA 94513
(925) 516-5440
Fax (925) 516-5441
E-mail allcouncil@brentwoodca.gov