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HomeMy WebLinkAboutE-3.1. Acceptance of Co-Funding for Irrigation Efficiency Retrofit Prog from USGMWDCONSENT CALENDAR E-3 TO: HONORABLE CHAIRPERSON AND MEMBERS OF THE AZUSA UTILITY BOARD FROM: TIKAN SINGH, GENERAL MANAGER DATE: JUNE 26, 2023 SUBJECT: ACCEPTANCE OF CO-FUNDING FOR IRRIGATION EFFECIENCY RETROFIT PROGRAM FROM THE UPPER SAN GABRIEL VALLEY MUNICIPAL WATER DISTRICT BACKGROUND: On September 26, 2022, the Utility Board approved an irrigation efficiency retrofit program to qualified residential customers for all Azusa Light & Water customers. The San Gabriel Valley Municipal Water District (SGVMWD) provides funding for customers under its service territory within Azusa city limits. In order to provide similar program opportunity to all its customers, all other residential water customers are funded by Azusa Light & Water (ALW). Staff secured co- funding from Upper San Gabriel Valley Municipal Water District (USGVMWD) for customers under its service territory, majority of which are outside the city limits, in order to minimize the impact on ALW budget. RECOMMENDATION: Staff recommends the Utility Board approve the following actions: 1) Accept co-funding from the Upper San Gabriel Valley Municipal Water District (Upper District) for irrigation efficiency retrofit program for ALW customers within the Upper District service territory in amount not-to-exceed $60,000; and 2) Authorize the General Manager to execute the Cooperative Agreement between USGVMWD and ALW in a form acceptable to the City Attorney. ANALYSIS: Azusa Light & Water is essentially divided into two areas based on corresponding wholesale “replacement water” district. Customers located within Azusa city limits are under the SGVMWD service territory, with a few exceptions. Customers outside Azusa City limits are Approved Utility Board 06/26/2023 Approval of Irrigation Efficiency Retrofit Program June 26, 2023 Page 2 within the Upper District. Due to funding appropriations by each district, ALW customers must apply for rebates offered by the corresponding water district. Customers under the SGVMWD apply for rebates through ALW while customers outside Azusa City limits apply for rebate programs online through www.socalwatersmart.com. In 2022, SGVMWD approved an irrigation efficiency retrofit program to qualified customers in Azusa, Alhambra, Monterey Park, and Sierra Madre. This program provides free irrigation inspection, replacement of existing irrigation controllers, sprinkler nozzle retrofit/replacement on existing spray heads of up to $1000 in equipment and service. Program services are performed by its contractor EcoTech Services and applicants must have a working irrigation system with a controller to be eligible. At its meeting on September 26, 2022, the Utility Board approved the same program for qualified customers not in SGVMWD service territory to be funded from ALW budget. To minimize the impact on its conservation budget, Staff requested co-funding from Upper District to pay for ALW customers under its service territory and was approved by the Metropolitan Water District (MWD) as part of its member agency water conservation programs. ALW will invoice Upper District of amount paid to contractor in amount not-to-exceed $60,000 and will be reimbursed after Upper District receives credit from MWD. FISCAL IMPACT: Water Conservation Fund has budgeted $100,000 for the retrofit program in account number 32- 40-721-791-6633. Co-funding from Upper District will offset the water conservation budget up to $60,000 in reimbursement. Prepared by: Reviewed and Approved: Liza Sagun Tikan Singh Environmental Programs Specialist General Manager Reviewed and Approved: Reviewed and Approved: Melissa Barbosa Sergio Gonzalez Assistant General Manager, Water Operations City Manager Attachment: 1) ALW - Upper San Gabriel MWD Cooperative Agreement