Local Development Fund
Reconciliation
Annie Henderson | March 2025
Methodology
• Budget time frame start date : starting FY20 with first specific budget allocation to the Local Development Fund, year in which fund was established
o FY18 and FY19 had funding for local development but it was not placed into a fund and unspent budget did not roll over
• Budget time frame end date: through FY25
• Expenses time frame: Starting in July 2019 through September 2024 • This presentation focuses on budget, actual expenses through September 2024, and anticipated spending (called "Earmarked") under current contracts and programs in development or already launched.
2 Methodology/Assumptions: Budget Notes
• Some "spent" and/or "earmarked" funds will eventually be reimbursed o Expenses are eligible for reimbursement under a CPUC program ▪ Disadvantaged Community Green Tariff (DAC-GT)
▪ Building Efficiency Accelerator
o Expenses that will be repaid as part of a loan
▪ Residential Electrification Program Loan (BlocPower)
▪ MHD Drayage Loan (Forum Mobility)
▪ Beneficial Municipal Electrification Loan (City of Piedmont) 3 Original Budget Allocation FY19/20 through FY24/25
4 Category Total
Transportation Electrification $42,070,000
Building Electrification $24,790,000
Resilience** $13,740,000
Grants $7,400,000
Other* $1,565,000
Grand Total $89,565,000
* legal, marketing, sponsorships and memberships, admin **Does NOT include any surplus budget allocations
Major Budget Centers - Original
5 Category Program Area Total
Transporation Electrification
Ava Charge (DCFC) $14,350,000
Ava Bike Electric $6,000,000
Drayage Loan $5,250,000
EV Adoption $5,000,000
CaleVIP $3,896,000
Municipal Fleet CaaS $2,000,000
Building Electrification
Health-e Communities $10,000,000
Electrification Incentives $3,850,000
Electrification Install Network $2,000,000
Municipal Electrification $2,000,000
Resilience
Critical Municipal Facilities $8,140,000
Resilience Hub Tech Asst $2,000,000
VPP Manager $2,000,000
Grants Grants: Community $7,400,000
• Total of $73,886,00, accounting for
~83% of the original budget.
• Remaining budget covers individual
items <$2M such as:
o Workforce Training
o Energy Efficiency
o Managed Charging
o Legal expenses
o Induction lending
Original Budget Allocation, YoY
6 Category | FY 20 21 22 23 24 25 Total
Building Electrification $1,250,000 $1,340,000 $2,000,000 $4,700,000 $8,500,000 $7,000,000 $24,790,000 Resilience** $600,000 $400,000 $580,000 $660,000 $4,000,000 $7,500,000 $13,740,000 Transportation Electrification $2,000,000 $4,600,000 $5,470,000 $12,250,000 $11,750,000 $6,000,000 $42,070,000 Grants $600,000 $- $- $4,200,000 $1,400,000 $1,200,000 $7,400,000 Other* $65,000 $- $300,000 $250,000 $250,000 $700,000 $1,565,000 Grand Total $4,515,000 $6,340,000 $8,350,000 $22,060,000 $25,900,000 $22,400,000 $89,565,000 * legal, marketing, sponsorships and memberships, admin **Does NOT includes any surplus budget allocations
Why an Updated Budget?
• Over time some initially proposed budget areas:
o Achieved savings through efficient execution
o Did not go beyond a pilot project
o Were not relevant/necessary due to changes in regulatory policy o Transitioned to other departments/SG&A related budget line items o Were better allocated to a different category within the Local Development Fund o Were consolidated
o Did not end up being an execution priority
o Additional budget assigned as part of surplus budget allocation • This reconciliation is intended to identify and report changes between original budget presentation to the board and current strategy and priorities. 7 Cumulative Comparison of Original to Updated Budgets
Category Original Updated Differential
Transportation Electrification $42,070,000 $41,870,000 $(200,000) Building Electrification $24,790,000 $22,190,000 $(2,600,000) Resilience* $13,740,000 $28,603,130 $14,863,130
Grants** $7,400,000 $10,100,000 $2,700,000
Other*** $1,565,000 $1,765,000 $200,000
Grand Total $89,565,000 $104,528,130 $14,963,130
8 *Includes $14,963,130 in FY24 from surplus budget allocation as indicated in Nov-2024 board meeting **Grants may be associated with Ava Program areas like Resilience *** legal, marketing, sponsorships and memberships, admin Building Electrification
Original $24,790,000
Resilience Municipal Electrification to CMF -$150,000
Rate Pilot to Medical Baseline Battery -$50,000
Grants Workforce Training to Workforce -$1,650,000
Electrical Showcase to COVID -$50,000
NEM Enhancements to COVID -$350,000
Demand Response to COVID -$250,000
Connected Communities to AMP -$100,000
Updated $22,190,000
9 Resilience
Original $13,740,000
Building Electrification Municipal Electrification to CMF $150,000 Rate Pilot to Medical Battery $50,000
Grants Collaborative Procurement to COVID -$300,000
FY24 Budget Surplus Solar + Storage Upfront Incentives $14,963,130 Updated $28,603,130
Transportation Electrification
Original $42,070,000
Other Asset Ownership to Legal -$200,000
Updated $41,870,000
Grants
Original $7,400,000
Building Electrification Workforce Training to Workforce $1,650,000 Electrical Showcase to COVID $50,000
NEM Enhancements to COVID $350,000
Demand Response to COVID $250,000
Connected Communities to AMP $100,000
Resilience Collaborative Procurement to COVID $300,000
Updated $10,100,000
Other
Original $1,565,000
Transportation Electrification Asset Ownership to Legal $200,000 Updated $1,765,000
Details of Original to Updated Budget
This slide shows the details on how funding
was moved between categories and program
areas from original budget to updated budget.
Major Budget Centers - Updated
10 Category Program Area Total
Transporation Electrification
Ava Charge $14,350,000
Managed Charging $6,000,000
Ava Bike Electric $6,000,000
Drayage Loan $5,250,000
EV Adoption $5,000,000
CaleVIP $3,896,000
Other $4,624,000
Building Electrification
Health-e Communities $10,000,000
Other $5,500,000
Resilience
Critical Municipal Facilities $8,850,000
Resilience Hub Tech Asst $2,000,000
VPP Manager $2,000,000
Upfront S+S Incentives $14,963,130
Grants Grants: Community $7,400,000
• Total of $90,833,000, accounting for
~87% of the updated budget.
• Remaining budget covers items
<$2M such as:
o Legal Expenses
o Energy Efficiency
o COVID Grants
o Workforce Grants
o Municipal Fleet Electrification
o Municipal Electrification Loan
Updated Budget Allocation, YoY
11 Category | FY 20 21 22 23 24 25 Total
Building Electrification $550,000 $1,040,000 $1,900,000 $4,700,000 $7,000,000 $7,000,000 $22,190,000 Resilience** $350,000 $550,000 $580,000 $660,000 $18,963,130 $7,500,000 $28,603,130 Transportation Electrification $2,000,000 $4,400,000 $5,470,000 $12,250,000 $11,750,000 $6,000,000 $41,870,000 Grants $1,550,000 $150,000 $100,000 $4,200,000 $2,900,000 $1,200,000 $10,100,000 Other* $65,000 $200,000 $300,000 $250,000 $250,000 $700,000 $1,765,000 Grand Total $4,515,000 $6,340,000 $8,350,000 $22,060,000 $40,863,130 $22,400,000 $104,528,130 * legal, marketing, sponsorships and memberships, admin **Includes $14,963,130 in FY24 from surplus budget for solar and storage incentives allocation as indicated in Nov-2024 board meeting NOTE: figures do not include any forecasted budget surplus allocation from FY 2025 Original Budget that is not currently planned for deployment 12 Other Program Area Budget
Transportation Electrification
EV admin/staffing $704,000
L2 Workplace/Public Charging $500,000
Medium-Heavy Duty Vehicles $1,420,000
Muni Fleet Charging as a Service $2,000,000
Transportation Electrification Total $4,624,000
Building Electrification
Electrification $400,000
Electrification Incentives $3,150,000
Electrification Install Network $1,950,000
Building Electrification Total $5,500,000
13 Category Total Budget
Expenses through
Sep-24 Earmarked Variance
Transportation Electrification $41,870,000 -$4,478,000 -$32,800,000 $4,592,000 Building Electrification $22,190,000 -$5,818,000 -$10,540,000 $5,832,000 Resilience $28,603,130 -$3,204,000 -$25,399,130 $0
Grants* $10,100,000 -$1,436,000 -$8,664,000 $0
Other** $1,765,000 -$2,720,000 -$955,000
Grand Total $104,528,130 -$17,656,000 -$77,403,130 $9,469,000 Cumulative Comparison of Original to Updated Budgets
with Expenses and Earmarks
• There are deficits in individual line items that result in an overall negative remaining budget. The most significant is within the Other category because of legal expenses. • Take away: There is approximately $9.5M in un-earmarked funding.
Earmarked Funds
14 Category Program Area Earmarked Status
Transportation Electrification
CALeVIP -$2,400,000 Committed per grant
Ava Charge (DCFC) -$13,150,000 Initial phase launched
MHD Drayage Loan -$5,250,000 Contracted but not dispersed Ava Bike Electric -$6,000,000 Program launch in FY25
Ava SmartHome Charging (Managed Charging) -$6,000,000 Program launch in FY25 Building Electrification BlocPower Loan -$540,000 In repayment Health-e Communities -$10,000,000 ~$2M committed to Pilot Resilience
Resilience Hub TA -$1,940,000 Contracted
Virtual Power Plant manager -$2,000,000 Contracted
Critical Municipal Facilities -$5,960,000 Program in progress Ongoing Solar + Storage Incentives -$500,000 Program launch in FY26 Upfront Solar + Storage Incentives -$14,963,130 Program launch in FY26 Grants Grants: Community -$6,650,000 Contracted and planned Grants: Workforce -$1,650,000 Contracted and planned
TOTAL -$77,003,130
Next Steps
15 • March-May: Staff will be working on overall FY25/26 budget, including any funding for Local Development work
o Staff will bring a proposal to the board on how to allocate the ~$9.5M in funds as part of the next budget cycle discussions.
o Additional longer term strategic planning is also underway through calendar year