REPORT TO COUNCIL
SUBJECT
Title
Action on Amendment # 1 to Incentive Program Implementation Services Agreement Between Center for Sustainable Energy and City of Santa Clara for the California Electric Vehicle Infrastructure Project (CALeVIP)
Report
COUNCIL PILLAR
Deliver and Enhance High Quality Efficient Services and Infrastructure and Sustainability
BACKGROUND
The California Electric Vehicle Infrastructure Project (CALeVIP) program is a state-wide electric vehicle (EV) infrastructure incentive project. This program is subdivided into regional programs. Silicon Valley Power (SVP), Silicon Valley Clean Energy (SVCE), Peninsula Clean Energy (PCE), San Jose Clean Energy (SJCE), and City of Palo Alto Utilities (CPAU) are part of the Peninsula-Silicon Valley Incentive Project. The California Energy Commission (CEC) funds the CALeVIP program and provides funding to the regional programs and participating members, like SVP.
The California Energy Commission (CEC) authorized the Center for Sustainable Energy (CSE) to deploy the CALeVIP program funding and administer the program. CALeVIP offers incentives for the purchase and installation of electric vehicle supply equipment (EVSE) at publicly accessible sites throughout California including, but not limited to, multi-unit dwellings, mixed-use commercial/residential, and businesses. The CALeVIP program works with local partners to develop and implement electric vehicle (EV) charger incentive projects that meet regional needs for Level 2 and Direct Current (DC) fast chargers.
On September 17, 2019, the City Council authorized SVP’s participation in the CALeVIP program. On April 3, 2020, the City of Santa Clara entered into the Incentive Program Implementation Services Agreement with CSE. This agreement authorized CSE to deploy $4,000,000 of CEC funds towards DC fast charging projects specifically in the City of Santa Clara with SVP contributing additional funds to rebate the installation of Level 2 charging stations. The agreement also included the scope of work for program design, deliverables, outreach, and program implementation.
DISCUSSION
The Peninsula-Silicon Valley Incentive Project under the CALeVIP program launched in December 2020 and is expected to sunset on September 30, 2025. The purpose of this amendment is to update the CALeVIP Program language, terms, and clarify funding obligations. These amendments are necessary to address project changes as well as to address program close-out.
Since the initiation of the CALeVIP program, $1,050,000 has been paid to SVP customers to install publicly available DC Fast and Level 2 EV charging projects in the City of Santa Clara, with the remaining funds reserved for projects still under construction. All approved projects are anticipated to result in 102 DC Fast charging connectors and 136 Level 2 EV charging connectors. In Santa Clara, 19% of funds have been reserved or issued to Disadvantaged and Low-Income Communities.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to section 15378(b)(4) of Title 14 of the California Code of Regulations in that it solely facilitates funding and is therefore a fiscal activity that does not involve the commitment to a specific project which may result in a potentially significant physical impact on the environment.
FISCAL IMPACT
Funding for this project comes from Low Carbon Fuel Standard (LCFS) program credit proceeds and is currently budgeted in the Electric Operating Grant Trust Fund. SVP committed $4,000,000 towards the program according to the Incentive Program Implementation Services Agreement.
COORDINATION
This report has been coordinated with the Finance Department and City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Authorize the City Manager to Execute Amendment No. 1 to Incentive Program Implementation Services Agreement Between Center for Sustainable Energy and City of Santa Clara (Agreement); and
2. Authorize the City Manager to take any actions as necessary to implement and administer the Agreement and to negotiate and execute amendments to the Agreement, subject to the appropriation of funds and review and approval as to form by the City Attorney.
Staff
Reviewed by: Manuel Pineda, Chief Electric Utility Officer
Approved by: Jovan D. Grogan, City Manager
ATTACHMENTS
1. CALeVIP - Incentive Program Implementation Services Agreement (executed)
2. CALeVIP - EV Charger Incentive Project Scope of Work
3. CALeVIP - Amendment #1 to Incentive Program Implementation Services Agreement (proposed)