Agenda packet — Healdsburg City Council, March 6, 2023 (part 2 of 2)

WHEREAS, the Governor further stated that as a result of the operational preparedness built up and the measures that will continue to be employed moving forward, California is ready to phase out the State of Emergency; and
WHEREAS, the statements by the Governor in ending of the State of Emergency are reflective of local conditions in Sonoma County related to the COVID-19 pandemic and that the City no longer requires the use emergency powers authorized under the City of Healdsburg Municipal Code and state law to obtain supplies, equipment, as needed for the protection of life or property and to authorize the City Manager to issue orders or take actions to mitigate effects of the declared local emergency.

NOW, THEREFORE, BE IT RESOLVED that based on the above facts and circumstances, the City Council of the City of Healdsburg hereby terminates the Proclamation of the Existence of a Local Emergency issued on March 16, 2020, and the proclamation issued by the City Manager on March 12, 2020 arising out of the COVID-19 pandemic.

PASSED and ADOPTED by the City Council of the City of Healdsburg, this 6th day of March 2023, by the following vote:

AYES: Councilmembers: (0)
NOES: Councilmembers: (0)
ABSENT: Councilmembers: (0)
ABSTAINING: Councilmembers: (0)
SO ORDERED: ATTEST:
________________________________ ___________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Packet Pg. 129 Attachment: Resolution (3959 : Termination of Local Emergency - COVID-19)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: March 6, 2023
SUBJECT: Appointment of Senior Citizen Advisory Commissioner PREPARED BY: Raina Allan, City Clerk
STRATEGIC INITIATIVE(S):

Provide Resident-Driven Community Services
RECOMMENDED ACTION(S):

By motion, appoint Barbara Erickson to the Senior Citizen Advisory Commission for a term of nine months due to expire January 1, 2024.

COMMUNITY ENGAGEMENT/OUTREACH:

A notice of vacancies for the Senior Citizen Advisory Commission (SCAC) was advertised in the Press Democrat for seven weeks, posted on the City of Healdsburg website and social media channels as well as posted as the Healdsburg Senior Center.

BACKGROUND:

In the fall of 2022 two positions on the SCAC were vacated by commissioners for different reasons. In January 2023, two terms expired. To date, Council has filled three of the four vacant seats.

DISCUSSION/ANALYSIS:

In February of 2023, Community member Barbara Erickson expressed her interest in serving on the SCAC. Staff has reviewed the application and recommends appointing Barbara Erickson to the Commission for a term of nine months, due to expire January 1, 2024. If Council chooses to appoint Barbara Erickson, the SCAC will be a full commission.

ENVIRONMENTAL STEWARDSHIP:

Not Applicable.

ALTERNATIVES:

Council may choose not to appoint Barbara Erickson to the Commission at this time and instead appoint a subcommittee to interview her or provide alternative direction to staff.

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FISCAL IMPACT:

There is no fiscal impact related to the proposed action.

ENVIRONMENTAL ANALYSIS:

Pursuant to Title 14, the California Code of Regulations, Section 15378(b)(5) of the California Environmental Quality Act (“CEQA”) guidelines, the proposed action is an administrative activity of the City that will not result in direct or indirect physical changes to the environment.

ATTACHMENT(S):

Commission Application

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Attachment: Commission Application (3954 : Senior Citizen Advisory Commission Appointment)

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Attachment: Commission Application (3954 : Senior Citizen Advisory Commission Appointment)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: March 6, 2023
SUBJECT: Appointment of a Council Member to the Healdsburg Tourism Improvement District Development Committee
PREPARED BY: Raina Allan, City Clerk
STRATEGIC INITIATIVE(S):

Effective & Efficient Government
Establish Proactive Policies/Programs to Continue to Promote Economic Diversity & Sustainable Growth
Provide Effective Governance
Provide Resident-Driven Community Services
RECOMMENDED ACTION(S):

By motion assign one Council Member to the Healdsburg Tourism Improvement District Development Committee for calendar year 2023.

COMMUNITY ENGAGEMENT/OUTREACH:

Not applicable.

BACKGROUND:

Annually, after the selection of Mayor and Vice Mayor, the City Council re-assigns appointments to various boards and commissions. At the December 19, 2022 Council meeting, Council postponed the appointment to the Healdsburg Tourism Improvement District (HTID) District Development Grant Committee at the request of the Healdsburg Chamber of Commerce.

DISCUSSION/ANALYSIS:

The Healdsburg Chamber of Commerce held their annual board meeting in early 2023 and has decided to move forward with one Councilmember being appointed to the HTID District Development Grant Committee. In 2022, Councilmember Mitchell was the representative and former Councilmember Jimenez was the alternate. At this time, staff recommends that the City Council appoint a representative for 2023 and eliminate the alternate position.

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Board/Commission/Committee Representative
Healdsburg Tourism Improvement District Council Member Mitchell, Representative Mayor Jimenez, Alternate
ENVIRONMENTAL STEWARDSHIP:

Not applicable.

ALTERNATIVES:

The City Council may choose not to appoint anyone to the HTID Development Committee and provide further direction to staff.

FISCAL IMPACT:

No fiscal impact is anticipated from the proposed Council action.

ENVIRONMENTAL ANALYSIS:

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CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: March 6, 2023
SUBJECT: Downtown Directional Wayfaring Sign Program Modernization PREPARED BY: Andrew Sturmfels, Assistant City Manager
STRATEGIC INITIATIVE(S):

Establish Proactive Policies/Programs to Continue to Promote Economic Diversity & Sustainable Growth
Provide Effective Governance
RECOMMENDED ACTION(S):

1. Receive a presentation from City staff; and

2. Adopt a Resolution rescinding Resolution No. 73-2012, authorizing exceptions to the existing business sign program requirements within the Land Use Code for a period of 12 months and directing staff to update the Land Use Code to modernize the Downtown Directional Wayfaring Sign program.

COMMUNITY ENGAGEMENT/OUTREACH:

Auditing and promoting the business sign program is a deliverable included within the professional services agreement with the Healdsburg Chamber of Commerce for economic development support services for Fiscal Year 2022-23.

BACKGROUND:

In 1997, the former Redevelopment Agency established the Downtown Directional Wayfaring Sign Program (Program) to enhance awareness of downtown businesses and points of interest and provide general directions to them. The initial program included generic signs to identify the direction of downtown businesses, using terms like “Bakery” and “Gift Shops.” Beginning in 2004, businesses were provided the opportunity to install customized signs on the signposts specific to their business. Criteria to guide program participation was determined by the City Council but was not formally established in the land use code.

In 2009, businesses outside the downtown corridor expressed an interest in participating. As a result, in 2010 the Council directed staff to evaluate the feasibility of allowing owners of businesses outside the downtown to participate in the program. After multiple Planning

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Commission and Council meetings on the topic, the Council ultimately directed staff to draft an ordinance codifying the program. In May 2012, the Downtown Directional Wayfaring Sign Program was codified in the Healdsburg Municipal Code under section 20.16.212. The current land use code includes a series of requirements for participation, including eligibility criteria, a limit on the number and location of sign plaques, design criteria, and sign installation and removal requirements. The Code additionally provides the City Council discretion to determine the types of businesses that may and may not participate in the program and make exceptions to the eligibility criteria as needed to promote program use.

In July 2012, the City Council adopted Resolution 73-2012, authorizing specific types of businesses and destinations of general interest for participation in the Program. Those business types included:

The Resolution states that these types of businesses are likely to be of interest to and patronized by visitors. By specifying types of businesses who can participate, the above list excludes several types of businesses. Examples of businesses currently excluded from participating include service providers like architectural and design firms, drycleaners, insurance and financial advisory service providers, printing service providers, and co-working spaces.

In July 2012 the Council also approved exceptions to the land use code that were meant to serve as a pilot to encourage participation. The exceptions were valid for a 12-month period, and included:

1. Allowing businesses facing the plaza to participate.

2. Allowing businesses located on properties adjacent to the Downtown Business and Parking Improvement District

3. Allowing Private Recreational facilities
Today, the Program includes 14 direction signposts in the downtown corridor. The exceptions approved under Resolution 73-2012 have expired and the program currently follows the current Land Use Code. Participation is generally limited to businesses within the Downtown business district unless it is a destination of general interest outside the business district to encourage exploration. Plaza business cannot participate. Businesses must be open on weekends and must

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be “visitor serving” in nature. The limits on business types included in resolution 73-2012 remain in place.

Additionally, in 2017, during the construction of the Roundabout, the City partnered with the Chamber of Commerce to provide additional business signage to support businesses impacted by the construction. Three additional signs were installed on Healdsburg Avenue between Mill Street and Matheson Street. These signs do not match the signs in the program and have not been updated or maintained since the construction of the Roundabout.

DISCUSSION/ANALYSIS:

As part of the annual contract agreement between the City and the Chamber of Commerce for economic development support services, the City Council approved a deliverable that included the following:

1. Conduct an audit of business wayfinding signs to ensure accuracy.

2. Coordinate with City staff to have the outdated signs replaced or updated.

3. In collaboration with the City, prepare written materials to share with businesses that explain the program.

4. Directly market sign availability opportunities and information on how to take advantage of the program to local businesses.

In January 2023, the Chamber delivered to the City the completed audit, which identified over 40 signs within the program that need to be removed. Chamber staff also provided the following recommendations to City staff to help garner broader participation in the program and help fill the vacant spaces on downtown signs.

1. Remove the current restrictions on participation by business type, opening the program to all businesses located in the downtown.

2. Remove the requirement that the business identified on the sign must primarily meet the needs of visitors to Healdsburg.

3. Remove the requirement that the business must be open on the weekends.

4. Remove the requirement that the business cannot be located on the Plaza.

The Chamber of Commerce has expressed the view that the sign program should be open to all businesses in the downtown business district. While there may have been value at the time to focus the program on tourism serving businesses, staff agree that the current program rules in place limit participation and are worthy of revision.

Staff recommend adopting a resolution that would:

1. Rescind resolution 73-2012, which would eliminate the requirement that businesses be of a specific type to participate. Rescinding this resolution would allow all businesses in the business district to participate in the program.

2. Adopt temporary exceptions to the program for a period of 12 months to allow the Chamber to advertise and make the program available to all Healdsburg businesses within the business district. Exceptions would include:
a. Remove the requirement that businesses identified must primarily meet the needs of visitors to Healdsburg.

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b. Remove the requirement that the business must be open on the weekend. c. Remove the requirement that the business cannot be located on the Plaza.

3. Direct staff to come back before the 12-month expiration to permanently remove the above requirements from the land use code.

Finally, staff are recommending that the non-conforming signs that were installed during the construction of the roundabout be removed. A substantial portion of the businesses listed on these signs are no longer in operation – and the signs are inconsistent with the formally established program. As the Mill District and other projects South of Downtown come online, staff will look at new opportunities to expand the program within the business district to promote economic activity.

ENVIRONMENTAL STEWARDSHIP:

Having a downtown business sign program reduces the use of temporary signage, reducing waste and promoting more sustainable promotion and marketing of participating businesses.

ALTERNATIVES:

Council may choose to:

1. Not approve the proposed resolution rescinding the business type approvals or provide specific direction limiting program use by specific businesses.

2. Not provide direction to staff to modernize the land use code by removing the other outdated and limited program participation criteria or propose modifications to the proposal.

3. Provide direction on other changes the Council would like to see to the program.

4. Make no changes to the program.

FISCAL IMPACT:

None. Signs are purchased by the business owner. The business owner pays a fee to the City to apply for the program which covers staff time to review the sign for conformance with the design criteria.

ENVIRONMENTAL ANALYSIS:

Modernizing the Downtown Directional Wayfaring Sign Program eligibility requirements is an administrative activity, which is not considered a 'project' as defined by the California Environmental Quality Act (“CEQA”) (CEQA Guidelines§15378). Consequently, no CEQA action is required.

ATTACHMENT(S):

Resolution
Attachment A: Resolution No. 73-2012

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CITY OF HEALDSBURG
RESOLUTION NO. _____-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
HEALDSBURG RESCINDING RESOLUTION NO. 73-2012

AND ADOPTING TEMPORARY EXCEPTIONS TO THE

ELIGIBILITY CRITERIA FOR THE DOWNTOWN

DIRECTIONAL WAYFARING SIGN PROGRAM
WHEAREAS, Subsection 20.16.212 (B)(1) of the Healdsburg Municipal Code authorizes the City Council to adopt a list of business types that may participate in the Downtown Directional Wayfaring Sign Program (Program); and
WHEREAS, Subsection 20.16.212 (B) (5) of the Healdsburg Municipal Code authorizes the City Council to adopt exceptions to the eligibility criteria where such exceptions are intended to promote the filling of blank spaces on underutilized sign faces; and WHEREAS, in 2012 the City Council adopted Resolution No. 73-2012, adopting a list of specific business types and destinations of general interest for participation in the program, based on the Program requirement that the business identified on a sign plaque is likely to be of interest to and patronized by visitors; and
WHEREAS, in adopting Resolution No. 73-2012, the City Council authorized exceptions to the eligibility criteria in the Municipal Code to promote the filling of underutilized sign faces for a period of 12 months; and
WHEREAS, the City Council wishes to diversify the type of businesses eligible for participation in the Program; and
WHEREAS, the temporary exceptions to the eligibility criteria established in 2012 have expired, and the business sign program is in need of modernization to promote economic opportunity; and
WHEREAS, staff intends to bring a revision of Section 20.16.212 to the Council for consideration; and
WHEREAS, adopting this resolution is an administrative activity, which is not considered a 'project' as defined by the California Environmental Quality Act (“CEQA”) (CEQA Guidelines§15378). Consequently, no CEQA action is required.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby:

1. Rescinds Resolution No. 73-2012.

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Packet Pg. 140 Attachment: Resolution [Revision 1] (3946 : Downtown Directional Wayfaring Sign Program Modernization) Resolution No. -2023

Page 2 ends

2. Pursuant to Section 20.16.212(B)(5), determines that sign plaques may be approved for businesses that:
a. Face the plaza.
b. Are not open on the weekends.
c. Do not have a primary focus of meeting the needs of visitors to Healdsburg.

3. Approves the exceptions listed in (2) above for a period of 12 months from the approval date of this Resolution.

PASSED, APPROVED AND ADOPTED, this 6
th day of March 2023, by the following vote:

AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAINING: Councilmembers: ( )
SO ORDERED: ATTEST:
___________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Packet Pg. 141 Attachment: Resolution [Revision 1] (3946 : Downtown Directional Wayfaring Sign Program Modernization)

CITY OF HEALDSBURG
RESOLUTION NO. 73-2012

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG ADOPTING ELIGIBILITY CRITERIA AND

EXCEPTIONS FOR THE DOWNTOWN DIRECTIONAL

WAYFARING SIGN PROGRAM
WHEREAS, Subsection 20.16.212(B)(1) of the Healdsburg Municipal Code authorizes the City Council to adopt a list of business types that may participate in the Downtown Directional Wayfaring Sign Program (Program); and
WHEREAS, Subsection 20.16.212(B)(5) authorizes the City Council to adopt exceptions to the eligibility criteria where such exceptions are intended to promote the filling of blank spaces on underutilized sign faces.

NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby approves the following business types and destinations of general interest for participation in the Program, based on the Program requirement that the business identified on a sign plaque is likely to be of interest to and patronized by visitors:

Alcoholic beverages (off-sale) Visitor lodging
Artisan shops Wine tasting facilities
Grocery and specialty food sales Bars, night clubs
Retail, general Restaurants
Retail, secondhand goods Fitness center
Banks Government facilities
Massage (licensed, therapeutic, non-sexual) Real estate services Hair, skin and nail care, including tanning,
body piercing and tattooing
Rental and repair of bicycles and
scooters
Specialty transportation rental, touring
services
BE IT FURTHER RESOLVED that the City Council hereby finds that allowing the following exceptions to Section 20.16.212(B) of the Healdsburg Municipal Code will promote the filling of underutilized sign faces, hereby defined as a side of a sign post with four or more blank sign spaces. Sign plaques may be approved for the following exceptions:

1. Eligible businesses facing the Plaza

2. Eligible businesses located on properties adjacent to the Downtown Business and Parking Improvement District

3. Private recreational facilities.

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Packet Pg. 142 Attachment: Attachment A: Resolution No. 73-2012 (3946 : Downtown Directional Wayfaring Sign Program Modernization)

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Packet Pg. 143 Attachment: Attachment A: Resolution No. 73-2012 (3946 : Downtown Directional Wayfaring Sign Program Modernization)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: March 6, 2023
SUBJECT: Informational introduction of the Electric Department's Cost of Service Analysis and Electric Rates
PREPARED BY: Terry Crowley, Utilities Director
STRATEGIC INITIATIVE(S):

Maintain and Improve Infrastructure and Facilities
RECOMMENDED ACTION(S):

Receive an informational report and presentation regarding the Electric Department's Cost of Service Analysis and key issues that will affect future electric rates.

COMMUNITY ENGAGEMENT/OUTREACH:

This is the first of a series of presentations being provided in a public forum to discuss electric rates. The intent of this agenda item is to introduce the rate setting process. Future agenda items over the next several months will present a detailed cost of service analysis and proposed electric rates.

BACKGROUND:

In providing Healdsburg with electric service, the City in turn incurs costs to provide the service.

Those costs must be recovered through the setting of electric rates to bill customers. Ideally, rates should be adjusted annually to account for inflation and ensure long-term financial and system stability. In July of 2018 the City implemented the last of three annual rate increases with the last increase at 2.1%. Until recently, the city has received enough electric revenues to maintain daily operations, increase the department’s operating reserve to 50% of annual operating costs plus a $4 million capital reserve, and complete large capital improvement projects such as Healdsburg Ave & Mill St Undergrounding ($2.6 million) and the Badger Substation upgrades ($5.0 million). However, the FY 22-23 and 23-24 budgets show the fund entering a deficit. The lack of annual rate increases, along with more recent extreme inflation and energy market volatility necessitate rate increases to ensure fund stability.

Healdsburg’s electric rates are very favorable as compared to both PG&E and Sonoma Clean Power. The graph below shows current rates for Healdsburg, PG&E, and Sonoma Clean Power’s (SCP) customers under various rate structures. On average, Healdsburg’s electric rates are 50%

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lower than both PG&E and SCP. Annually, Healdsburg’s lower cost for electricity results in over $12 million dollars in combined community savings.

Comparison of Average Residential Electric Costs
- Rates shown above are Healdsburg’s average cost for residential customers compared to PG&E and SCP’s July 2022 joint rate comparison for residential customers. Healdsburg small and large commercial customers show the same level of savings and are roughly half the cost of PG&E and SCP.

While maintaining affordable electric rates remains a core goal, rate adjustments are necessary to provide financial stability and support the City’s electric enterprise’s long-term viability. To support continued financial stability, the City Council approved a professional service agreement with GDS Associates to develop a detailed cost of service analysis (COSA) and recommend rate increases for fiscal years 2023-2024, 2024-2025, 2025-2026 and 2026-2027. Over the past few months staff have been working with GDS to provide background financial and asset information for the development of the COSA. Understanding this work is still in progress, this report will present background and process information related to the development and implementation of electric rate increases ahead of presenting final numbers to Council.

DISCUSSION/ANALYSIS:

The table below shows annual operating costs, capital cost, and energy sales alongside revenues for the past three years. Operating expenses can vary from year to year due to changes in maintenance needs, such as replacement of underground cable, transformers, or unplanned equipment failures.

FISCAL YEAR OPERATING COSTS

CAPITAL

COSTS ENERGY SALES
TOTAL

REVENUES
FY 2019-20 $9.98 mil $0.2 mil 73,909,659 kWh $13.23 mil FY 2020-21 $12.75 mil $ 0.7 mil 71,559,792 kWh $13.49 mil FY 2021-22 $14.49 mil $3.6 mil 73,932,200 kWh $12.69 mil Rate Setting Process – The setting of electric rates falls under the guidelines of Proposition 26.

Unlike Proposition 218’s majority-protest requirement, Proposition 26 allows the City Council to implement rate increases but in doing so the Council must find that the rates are justified and reasonable without the continuation or creation of subsidies between various customer types. To assure electric rates are justified and reasonable, a COSA must be done to identify how the City

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incurs costs to provide service to various types of electric customers. Primarily the COSA identifies when and how much energy is used by Healdsburg’s electric customers and allocates the cost to provide that service proportionally. Additionally, the COSA must look forward to developing adequate funding in support of planned capital improvements and forecasted operational cost increases.

Market Energy Cost & Supply Chain - Over the past year market energy costs and issues related to the global supply chains have dramatically driven up the City’s operating costs. As an example, the purchase price of utility transformers has increased by 300 to 500 percent in the last year with delivery times extending out to 2025. Additionally, due to peak energy demands last summer and drought resulting in low hydro-generation, energy prices doubled last summer and were 5 to 6 times higher in December and January of this year. While some of these costs are expected to be temporary, it’s unlikely that prices will return to pre-COVID levels. To buffer electric customers from these market increases, the City has relied on a strong reserve policy and existing stock of utility equipment. However, both the operation reserves and existing material stocks will need to be replenished.

In future years the City’s demand for electricity will increase due mainly to electrification of the transportation and building sectors. This electrification will require the City to acquire new longterm contracts for renewable and carbon free power. In most cases this will require the development of new generation plants with higher energy costs. As the timing and rate of adoption for electrification is not known with precision, these new clean generation sources may require early procurement and result in initially higher energy costs due to excess procurement.

Capital Improvement Projects – The City’s electric system continues to provide safe and reliable electric service that far exceeds that of the neighboring investor-owned utility. To maintain this level of service requires future planning and funding the replacement of aging facilities. Two such projects to consider funding are underground of overhead lines on both Healdsburg Ave and Grove Street. These two projects, while discretionary in nature, are driven by recently received grant funds for the Public Works Department. Undergrounding projects come with large costs. In early 2021, before inflation and supply chain issues exploded, the combined estimated for these two projects was $5.7 million, with inflation and market supply chain issues this cost could climb above $8 million. Ongoing capital projects are also required to maintain reliable electric service and include continued replacement of rotting or damaged wood utility poles, replacement of aging or undersized conductors, and replacement of utility transformers to prepare for electrification. Each of these projects will need to be supported by revenue generated through electric rates.

Staffing – Over the seven years between 2015 and 2022 the Electric Department’s staffing levels have remained flat at 15 employees. The lowest staffing levels were in 2010/11 with 11 employees and the highest was in 2008 with 18. Further three of the office staff within the electric department split their time between water, wastewater and electric, reducing the overall staffing resource for electric centric work.

While maintaining low staffing levels helps to lower operating costs, the level of work has not remained flat. Increased staffing may be required to meet growing regulatory requirements such

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as wildfire mitigation, a desire for increased customer support and communication (online presentation of customer usage), and the need for larger and more complicated capital replacements (undergrounding). Additionally, over 40% of the Electric department’s current staff will be eligible for retirement within the next four years. These pending retirements create a need for succession planning that may require funding additional positions to create overlap and opportunities to transition existing staff’s working knowledge.

Net Energy Metering (NEM) & Electrification – In reviewing existing rates and performing the COSA, Healdsburg will need to consider the if any adjustments are needed to the existing NEM rate structure. Currently the City offers a straight one-for-one credit for energy generated and energy consumed. This is sometimes referred to as the original NEM structure or NEM 1.0.

While NEM 1.0 has done well to incentivize roof-top solar it can shift costs away from generating customers and to non-generating customers. Under Proposition 26 and the requirement recover costs only from those benefitting, these cost shifts cannot continue to exist in the same manner.

As the community purchases more electric vehicles and installs more electric appliances in their homes and businesses, the City’s electric grid will see an increase in demand. To prepare for this, the City will need to fund system upgrades to support the transition away from fossil fuels.

Additionally, rate structures developed today should help send accurate price signals to traditional customers as well as early adopters of transportation and building electrification.

Typically, these transitional rate structures will include monthly system access charges and perunit energy charges closer to wholesale market rates.

In summary, the above issues facing the City’s electric department will require additional funding beyond what current rate structures are generating. The level of funding needed and supporting electric rates will largely depend on what programs the Council wishes to support and how soon they need to be implemented.

Next steps for City staff are to continue to work with the consultant to complete the COSA along with possible options for council consideration. This is planned to be complete and presented to the City Council during the April 17 council meeting. This meeting will include discussions on funding of capital improvements, policies regarding the electric department’s reserve policy, and the rate structures that recover those costs.

ENVIRONMENTAL STEWARDSHIP:

While the COSA does not have a direct impact on the environment, depending upon the funding levels electric rates set and informed by the COSA could fund several projects to reduce carbon intensity of the Healdsburg’s electric supply and support the transition away from fossil fuels in the transportation and building sectors, Healdsburg two largest sources of GHG emissions.

ALTERNATIVES: Staff is not seeking a recommendation from Council at this time. Rather staff’s goal is to inform the City Council and community of the rate making process and key decision points that will be discussed along the way.

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FISCAL IMPACT:

There is no fiscal impact with this agenda item. Future agenda items will bring forward a detailed COSA and options for Council’s consideration. Future rates will set program funding levels for the electric department over the next four years.

ENVIRONMENTAL ANALYSIS:

The COSA is not subject to the provisions of the California Environmental Quality Act (CEQA) because the COSA is not a project, since it is not a discretionary action by a governmental agency and will not have a direct or reasonably foreseeable indirect impact on the environment.

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CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: March 6, 2023
SUBJECT: Commercial and Residential Energy Rebate Updates PREPARED BY: Terra Sampson, Utility Conservation Analyst STRATEGIC INITIATIVE(S):

Pursue Initiatives that Promote Environmental Stewardship RECOMMENDED ACTION(S):

Adopt a Resolution approving an amendment to the Professional Services Agreement with Efficiency Services Group, LLC to provide additional energy efficiency services, increase the not to exceed amount to $277,700, and authorizing the City Manager to execute the agreement on the City’s behalf, and authorizing a 2022-23 budget amendment for Green House Gas Reduction Measures for an additional $166,700 and a 2023-24 budget amendment for an additional $520,000.

COMMUNITY ENGAGEMENT/OUTREACH:

Various community outreach activities are underway for development of the Climate Mobilization Strategy, of which building energy is a key aspect. The rebate updates are in line with comments regarding energy efficiency, electrification, and affordability. The rebate updates are also in line with recent customer inquiries regarding available rebates.

BACKGROUND:

The City’s Electric Department has developed long-term goals to provide cost effective energy efficiency and conservation programs to its electric customers. In 2021, Healdsburg Electric used funds received through the State’s Cap & Trade program to incentivize projects that saved 65 MWh, with lifetime savings of 892 MWh, 89,400 therms, avoiding 933 tons of greenhouse gas (GHG) emissions. Commercial customers accounted for 47 MWh of the annual savings, while residential programs saved 18 MWh. The low-income insulation direct install program accounted for 10 MWh of the residential savings. The department’s goal in calendar year 2023 is 353 MWh annual savings.

These energy efficiency programs and other City greenhouse gas reduction programs are funded by the State’s Cap & Trade program. California’s Cap & Trade Program provides freely allocated allowances to Healdsburg Electric Utility, with the requirement that the value of

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allowances must be used to benefit electric ratepayers while reducing greenhouse gas emissions.

At the June 21, 2022 Council meeting, City Council approved for Healdsburg Electric to work with Efficiency Services Group (ESG) to conduct a review of the current energy efficiency programs, as well as potential program offerings, to ensure the programs remain impactful and effective. The review has identified new program offerings and updated specifications and requirements for existing programs. The program updates will help the City meet energy efficiency and GHG emissions reduction goals, and provide continued valuable service to our electric customers.

Healdsburg Electric currently works with ESG to administer the City’s commercial energy efficiency programs, low-income direct install programs, and a low-income online application portal. The current professional services agreement was approved for amendment on June 21, 2022 by Resolution No. 85-2022, and ends on June 30, 2024. ESG is familiar with the City and its customer base as well as regional energy efficiency programs.

DISCUSSION/ANALYSIS:

The Electric Department’s energy efficiency programs are designed to reduce energy use by incentivizing more efficient equipment (lighting, appliances, and HVAC), and to provide products that reduce heat gain and loss (insulation and windows). The updated rebates are also designed to promote further GHG reductions by encouraging customers to switch from natural gas appliances to electric appliances and support the electrification of the transportation sector.

Healdsburg Electric has worked with ESG to offer low-income direct install programs in the past, which have been an important service for providing lowered utility bills and increased home comfort for low-income customers. The updated direct install program will work with multi-family low-income properties to cover the full cost to replace old appliances with new high efficiency appliances, such as refrigerators, clothes washers, electric clothes dryers, dishwashers, and heat pump water heaters where feasible. Healdsburg Electric will work with ESG to further design the details of the program and issue a Request for Proposals from contractors qualified to install the appliances. Staff will return to Council for approval of installation contractor selection and budget amendments. The installation contractor’s work for all appliances under consideration is estimated to cost approximately $2,500,000 spread over several years. This estimated cost includes appliance and installation costs but will depend on final job specifications, scope of the direct install, level of customer participation, and proposals received.

Healdsburg Electric will work with ESG to develop an implementation timeline to spread the costs across multiple fiscal years to fit within the Cap & Trade funding, such as beginning with installation of the most cost-effective appliances first and/or removing appliances that are determined to not be cost-effective to replace from the program, and determining replacement requirements such as age or efficiency of existing appliances. Healdsburg Electric will also work with ESG to review and monitor other complementary programs, such as new State programs and implementation of Inflation Reduction Act programs that may offer similar incentives.

Healdsburg Electric currently offers standard residential rebates available to customers that install eligible energy efficient products. The updated residential rebates include:

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• Clothes washers
• Electric clothes dryers (new)
• Heat pump water heaters (new)
• Electric cooktops/stoves (new)
• Variable speed pool pumps
• HVAC heat pumps
• Attic and wall insulation
• Windows
• Smart thermostats
• E-bikes
• EV monthly bill discount
The rebates are outlined in Attachment 1 and updated rebate forms are included in Attachment 2.

In 2021, Healdsburg Electric issued approximately $25,000 in residential energy rebates and approximately $20,000 in transportation electrification incentives. With the new rebates, Healdsburg Electric expects to issue approximately $100,000 in residential energy rebates per year, for which there currently is sufficient Cap and Trade funding.

Commercial rebates currently include LED lighting, HVAC, and custom projects. The updated commercial program will also include specified HVAC and heat pump water heater equipment and a variety of electric commercial kitchen equipment, based on the California Energy Wise (https://caenergywise.com/) food service rebate program administered by investor-owned utilities. To support transportation electrification and charging during mid-day when there are abundant solar resources, the new rebates also include level 2 EV chargers to encourage workplace charging. The rebates are outlined in Attachment 3 and updated rebate forms are included in Attachment 4. In 2021, Healdsburg Electric issued approximately $20,000 in commercial rebates. With the new rebates and increased promotion of existing rebates, Healdsburg Electric expects to issue approximately $300,000 in commercial energy rebates per year, for which there currently is sufficient Cap and Trade funding.

City staff will monitor the new rebate programs and make minor modifications and updates, as needed, to ensure program success. New rebates will apply to projects completed on or after October 1, 2022, in order to offer the rebate for recently completed projects. City staff will make the necessary website and online rebate form updates by April 1, 2023 to begin offering the new rebates.

In order to meet the City’s annual energy efficiency goals and support low-income customers, staff recommends approval of an amendment to a professional services agreement with ESG to include:
• Expansion of Commercial Energy Rebate Administration, Field Services, and Technical Support
• Addition of Multi-Family Low-Income Appliance Direct Install Program Administration, Field Services, and Technical Support

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Multi-Family Low-Income Appliance Direct Install Program Administration, Field Services, and Technical Support - To support the low-income residents of Healdsburg, the Electric Public Benefits Fund funds a 25% electric utility low-income discount, known as the CARE program. The direct install program will focus on multi-family properties that are incomerestricted or have a high percentage of CARE customers as residents. Additional tasks for the Appliance Direct Install Program include program management, high efficiency equipment selection, job specification design, assistance with outreach to eligible properties, coordination with the selected installation contractor(s), project verification and follow up, and savings calculations. ESG’s energy efficiency program support costs range based on the number of multi-family projects and the actual work hours completed. The cost to complete this work is estimated to be $16,700 for program launch and up to $120,000 for the first round of program implementation.

Commercial Energy Rebate Administration, Field Services, and Technical Support - Since 2016, ESG has provided energy efficiency administration, field services, and technical support for our commercial projects. Additional tasks relating to the new HVAC, hot water, and kitchen equipment rebates include assistance with outreach to eligible customers, technical expertise, customer support, project verification, savings calculations, and rebate coordination. ESG’s energy efficiency program support costs range based on the number of commercial projects and the actual work hours completed. The current agreement includes sufficient budget to complete this additional work.

ENVIRONMENTAL STEWARDSHIP:

In 2021, Healdsburg Electric’s carbon content was 0.18 metric tons of CO2 per megawatt hour.

If the City meets its 2023 energy efficiency goal of 353 MWh, this will reduce approximately 63 metric tons of CO2 per year over the life of the energy efficiency measures.

ALTERNATIVES:

As an alternative the City Council could choose not to adopt the recommended resolution and provide further direction to staff.

FISCAL IMPACT:

Staff is recommending the City Council approve an amendment to the professional services agreement adding an additional $136,700. Services provided under the contract will be funded by proceeds from the sale of freely allocated Cap & Trade allowances. To cover the projected energy rebates and professional services, staff recommend increasing the 2022-23 budget for Green House Gas Reduction Measures by an additional $166,700 and the 2023-24 budget by an additional $520,000. There are sufficient Cap & Trade revenues in the Electric Public Benefits Fund to cover the proposed increase. Included in the additional funding is: $16,700 for launch and $120,000 for the first round of implementation for the Multi-Family Low-Income Appliance Direct Install Program Administration, Field Services, and Technical Support over the ESG contract period, and $550,000 for commercial and energy efficiency rebates through June 30, 2024.

ENVIRONMENTAL ANALYSIS:

Commercial and Residential Energy Rebate Updates is not subject to the provisions of the

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California Environmental Quality Act (CEQA) because Commercial and Residential Energy Rebate Updates is not a project, since it will not have a direct or reasonably foreseeable indirect impact on the environment.

ATTACHMENT(S):

Resolution
Resolution Exhibit A
Attachment 1: Residential Rebate Summary
Attachment 2: Residential Rebate Forms
Attachment 3: Commercial Rebate Summary
Attachment 4: Commercial Rebate Forms

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CITY OF HEALDSBURG
RESOLUTION NO. – 2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG APPROVING AN AMENDMENT TO THE

PROFESSIONAL SERVICES AGREEMENT WITH

EFFICIENCY SERVICES GROUP, LLC TO PROVIDE

ADDITIONAL ENERGY EFFICIENCY SERVICES,
INCREASING THE NOT TO EXCEED AMOUNT TO $277,700,

AUTHORIZING THE CITY MANAGER TO EXECUTE THE
AGREEMENT ON THE CITY’S BEHALF, AND
AUTHORIZING A 2022-23 BUDGET AMENDMENT FOR

GREENHOUSE GAS REDUCTION MEASURES FOR AN
ADDITIONAL $166,700 AND A 2023-24 BUDGET
AMENDMENT FOR AN ADDITIONAL $520,000
WHEREAS, in 1996, the State of California established the Public Benefits Fund through AB 1890 to support energy efficiency programs, support renewable energy generation, and lowincome discounts; and WHEREAS, California’s Cap-and-Trade Program provides freely allocated allowances to Healdsburg Electric Utility, with the requirement that the value of allowances must be used to benefit electric ratepayers while reducing greenhouse gas emissions; and WHEREAS, Healdsburg Electric Utility has long-term goals to provide cost effective energy efficiency and conservation programs to its commercial and residential customers; and WHEREAS, Healdsburg Electric Department has an energy efficiency goal to conserve 353 mega-watt hours in calendar year 2023; and
WHEREAS, Efficiency Services Group (ESG) currently provides administration, field services, and technical support for the City’s commercial energy efficiency programs, and provides quality customer service; and
WHEREAS, an evaluation of the current energy programs and potential program offerings identified program updates and new offerings to help the City meet its annual energy efficiency goals; and
WHEREAS, the current professional services agreement was authorized for amendment on June 21, 2022 by Resolution No. 85-2022, and ends on June 30, 2024.

WHEREAS, Commercial and Residential Energy Rebate Updates is not subject to the provisions of the California Environmental Quality Act (CEQA) because Commercial and Residential Energy Rebate Updates is not a project, since it will not have a direct or reasonably foreseeable indirect impact on the environment and not further environmental review is necessary.

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Packet Pg. 154 Attachment: Resolution (3951 : Commercial and Residential Energy Rebate Updates) Resolution No. -2022

Page 2 ends

NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Healdsburg does hereby;

1. Find that Commercial and Residential Energy Rebate Updates is not subject to the provisions of the California Environmental Quality Act (CEQA) because Commercial and Residential Energy Rebate Updates is not a project, since it will not have a direct or reasonably foreseeable indirect impact on the environment.

2. Authorize the City manager to execute an amendment to the agreement between the City of Healdsburg and Efficiency Services Group, LLC to provide additional energy efficiency services and increase the not to exceed amount by $136,700 for a total not to exceed of $277,700.

3. Authorize amending the adopted FY 2022-2023 and FY 2023-2024 budget as depicted in the attached Exhibit A.

PASSED, APPROVED, AND ADOPTED by the City Council of the City of Healdsburg this 6 th
day of March, 2023, by the following vote:

AYES: Councilmembers: ( )
NOES: Councilmembers: ( )
ABSENT: Councilmembers: ( )
ABSTAINING: Councilmembers: ( )
SO ORDERED: ATTEST:
_________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

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Packet Pg. 155 Attachment: Resolution (3951 : Commercial and Residential Energy Rebate Updates) Resolution No.

Exhibit A
Account Number Increase Amount Decrease Amount Description 546-7576-49807-00000 $ 166,700 Increase Budget for Energy Efficiency Rebates Account Number Increase Amount Decrease Amount Description 546-7576-49807-00000 $ 520,000 Increase Budget for Energy Efficiency Rebates FY 22-23 Budget Amendment
FY 23-24 Budget Amendment

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Packet Pg. 156 Attachment: Resolution Exhibit A (3951 : Commercial and Residential Energy Rebate Updates)

APPLIANCES EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGE MADE Clothes Washer New Front Loading Only ENERGY STAR® Most Efficient or CEE Tier 2 or above unit $75/unit
Includes energy rebate for clothes washer using either
electric or gas hot water heater source. Previously
only eligible for electric hot water heater source.
(Removed $50 water rebate, dependent on water
conservation grant awards for reinstating.)
Clothes Dryer New Electric ENERGY STAR® unit $75/unit (if new construction or existing electric dryer) $175/unit (if existing natural gas dryer) New rebate offering.

Heat Pump Water Heater New ENERGY STAR® rated with 3.30 Unified Energy Factor minimum
$1,500/unit (if new construction or existing electric
water heater)
$2,000/unit (if existing natural gas water heater)
New rebate offering.

Electric Cooktop
Electric range with either induction cooktop or
electric resistance cooktop replacing a natural
gas cooktop
(homes with an existing electric cooktop are
not eligible)
$500/unit New rebate offering.

Variable‐Speed Pool Pump
Variable Speed Unit with Variable Speed Unit
Control no greater than 3 HP
(only for existing in‐ground pools with a single
speed motor)
$125/unit No significant changes.

HVAC IMPROVEMENTS EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGE MADE Air Source Heat Pump 17 SEER (16.2 SEER2) or Higher and 10 HSPF (8.5 HSPF2) of Higher
$1,500/unit (if new construction or existing electric
heating)
$2,000/unit (if existing natural gas heating)
Removed tiered rebates based on SEER and removed
per ton rebate calculation. Increased efficiency
requirement. Added additional rebate if replacing
natural gas heating equipment.

Attic Insulation Final Insulation R‐Value R‐38 or Greater (only for existing buildings)
$0.35/sq ft (if existing R‐value is greater than R‐19)
$0.75/sq ft (if existing R‐value is less than R‐19) Rebate increased from $0.65 to $0.75.

Wall Insulation Final Insulation R‐Value R‐13 or Greater (only for existing buildings) 0.75/sq ft No significant changes.

Replacement Windows
Double‐Pane Replacement Windows with U‐
Value 0.32 or Less and SHGC 0.25 or Less
(only for existing buildings with single‐pane
windows)
$1.50/sq ft Increased efficiency requirement.

Smart Thermostat
ENERGY STAR® Qualified Web‐Enabled Smart
Thermostat Unit
(only for existing buildings with standard
programmable or manual thermostat)
$50/unit No significant changes.

HVAC/Heat Pump Tune Up NA $150/service Removed rebate due to low participation and high administration.

TRANSPORTATION

ELECTRIFICATION EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGE MADE E‐Bikes Purchased e‐bike intended to replace trips
otherwise taken by automobile
$50 for e‐bike conversion kit
$300 for e‐bike
$400 for e‐bike purchased at a Healdsburg retailer
$700 for income‐qualified customers
No significant changes.

EV Monthly Bill Discount
Purchased battery electric vehicle registered
to Healdsburg service address and switched to
Time of Use electric rate
$20.25 per month
$40.50 per month for income‐qualified customers
(Monthly discount reduced by 10% each fiscal year
until sunset of program in June 2025)
No significant changes.

Seasonal Energy Efficiency Ration (SEER), Energy Efficiency Ratio (EER) and Heating Seasonal Performance Factor (HSPF) represent the efficiency ratings.

U‐Factor represents a composite rating for overall heat transfer.

Unified Energy Factor (UEF) is the US Department of Energy’s newly developed metric for communicating the energy efficiency of water heaters.

ELECTRIC RESIDENTIAL REBATE CHART
City of Healdsburg
R‐Value represents thermal resistance.

Solar Heat Gain Coefficient (SHGC) represents the solar transmittance.

Rebates will not exceed 50% of the installed cost. For CARE customers, rebates will not exceed 100% of the installed cost, after any Inflation Reduction Act incentives are applied. Find out more about IRA rebates and incentives here: https://www.rewiringamerica.org/app/ira‐calculator.

Small commercial also encouraged to participate where applicable.

Applicants must have an active Healdsburg electric account.

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Packet Pg. 157 Attachment: Attachment 1: Residential Rebate Summary (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Residential Equipment
Energy Rebate Application
Please complete application, sign, and date.

All information is required to process rebate(s).

CUSTOMER INFORMATION
Utility Account #
(if known) Full Name
Phone Email
Installation
Address
City State Zip
Property
Occupied by: Tenant Owner Occupant Name(if different)
Mailing Address
(if different)
City State Zip
Property Type Site Built Home (up to 4-plex) Manufactured Home Commercial Multi-Family (5 or more units)
Rebate applications must be submitted within twelve (12) months of purchase to qualify. Mail or email completed rebate application, copies of all invoices/receipts, and additional qualification information (if applicable) to the address below. Allow 6-10 weeks for processing.

Clothes dryer, water heater, and cooktop projects must be from on or after October 1, 2022 to qualify.

City of Healdsburg
Attn: Conservation
401 Grove Street
Healdsburg, CA 95448-4723
Email: [email protected]

REBATE REQUIREMENTS AND AMOUNTS
Equipment Type Existing Condition Final Condition Rebate per Unit Clothes Washer Standard efficiency unit with electric or gas hot water heat
New Front Loading Only ENERGY
STAR® Most Efficient or CEE Tier
2 or above
$75
Clothes Dryer Standard efficiency gas or electric unit *New Electric ENERGY STAR® certified unit
$75 New construction or existing electric
$175 existing gas converting to electric
Heat Pump Water
Heater
Standard efficiency gas or electric 40-
gallon to 80-gallon storage
*New ENERGY STAR® certified
unit with 3.30 Unified Energy
Factor minimum
$1,500 New construction or existing electric
$2,000 existing gas converting to electric
Electric Cooktop Existing natural gas range or new
construction
*New Electric range with either
induction cooktop or electric
resistance cooktop
$500
(existing electric cooktop replacements are
not eligible)
Variable-Speed Pool
Pump
Existing in-ground pools only; single or
two speed motor, filter and automatic
timer
Programmable variable-speed
drive pump; 1 to 3 horsepower $125
Applicants must have an active Healdsburg electric account.

Permits are required for most electrical, gas, mechanical, or plumbing work (such as HVAC, water heater, windows, or electrical panel replacements).

Please contact the Building Department at 707-431-3348 to apply for an over-the-counter permit.

Existing appliance brand and model numbers are required, in addition to new appliance brand and model numbers. *Newly installed electric appliance must remain in service for minimum of 10 years and gas service must be disconnected from the appliance. Photos showing capped gas line must be included with application and supporting documentation.

Small commercial buildings (5,000 sq ft or less) are also encouraged to apply for these rebates.

By providing your email address you consent to receiving updates regarding conservation and sustainability programs. You may unsubscribe at any time.

APPLIANCE PURCHASE TIPS
- ENERGY STAR® qualified appliances use 10% to 50% less energy than other appliances. - Go to www.energystar.gov for more information and a list of qualifying appliances. To view qualifying clothes washers, visit bit.ly/CoHQualifyingClothesWashers or Tier 2 and above models at bit.ly/CEEClothesWashers - Email [email protected] or call 707-431-3122 to learn about additional energy efficiency programs. - View all City of Healdsburg energy and water rebates at www.smartlivinghealdsburg.org.

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Packet Pg. 158 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Upon signing this agreement, customer acknowledges the following:

City of Healdsburg (City) reserves the right to inspect completed work and installed measures. Rebates will be paid only on work that meets City specifications. Customer certifies that they are familiar with, and agree to, the standards regarding this program. City disclaims any warranty, whether expressed or implied, for any materials or labor associated with installation, maintenance, repair, or any energy savings associated with the measures. City will not accept any liability resulting from participation in this program. This rebate offer may be changed or discontinued at any time by City.

I understand the above and certify that I am a customer of City and that the eligible energy efficiency measures were installed at the location indicated on this application.

CUSTOMER SIGNATURE DATE

EXISTING WATER HEATER INFORMATION
Electric Storage Electric On-Demand Heat Pump Water Heater Gas Storage Gas On-Demand Other: _______________
Size in gallons
(storage or heat
pump)

EXISTING EQUIPMENT BRAND MODEL NUMBER AGE (YEARS) STATUS Existing Clothes Washer
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION
ENERGY STAR® Most Efficient Clothes
Washer
Water heat: Electric Gas
Clothes dryer: Electric Gas
ENERGY STAR® proof included
Receipt included
Before and after installation photos if
converting from gas to electric

EXISTING EQUIPMENT BRAND MODEL NUMBER AGE (YEARS) STATUS Existing Clothes Dryer
Electric Gas
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION
ENERGY STAR® Clothes Dryer
New Dryer must be electric to qualify.

ENERGY STAR® proof included
Receipt included
Before and after installation photos if
converting from gas to electric
EXISTING EQUIPMENT Gallons BRAND MODEL NUMBER AGE (YEARS) STATUS Storage Hot Water
Heater
Electric Gas
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION
ENERGY STAR® Heat Pump Water
Heater 40 to 80 Gallons
ENERGY STAR® proof included
Receipt included
Final permit included
Before and after installation photos if
converting from gas to electric

EXISTING EQUIPMENT BRAND MODEL NUMBER AGE (YEARS) STATUS Natural gas range
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION
Electric Cooktop Receipt included
Before and after installation photos

EXISTING EQUIPMENT BRAND MODEL NUMBER AGE (YEARS) STATUS One or two-speed pool pump for inground pool
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION
Programmable Variable Speed Pool
Pump
Product specifiction sheet included
Receipt included

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Packet Pg. 159 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Residential HVAC Improvement
Energy Rebate Application
Please complete application, sign, and date.

All information is required to process rebate(s).

CUSTOMER INFORMATION
Utility Account #
(if known) Full Name
Phone Email
Installation
Address
City State Zip
Property
Occupied by: Tenant Owner Occupant Name(if different)
Mailing Address
(if different)
City State Zip
Property Type Site Built Home (up to 4-plex) Manufactured Home Commercial Multi-Family (5 or more units)
Year Built Square Footage (conditioned space only)
Rebate applications must be submitted within twelve (12) months of purchase to qualify. Mail or email completed rebate applicatio copies of all invoices/receipts, and additional qualification information (if applicable) to the address below. Allow 6-10 weeks for processing.

City of Healdsburg
Attn: Conservation
401 Grove Street
Healdsburg, CA 95448-4723
Email: [email protected]

REBATE REQUIREMENTS AND AMOUNTS
Equipment Type Existing Condition Final Condition Rebate per Unit Air Source Heat
Pump
Standard efficiency unit electric or gas
heat
AHRI Certified 17 SEER (16.2
SEER2) and 10 HSPF (8.5
HSPF2) or Higher
$1,500 new construction or existing electric
heat
*$2,000 existing gas heat converting to heat
pump
Smart Thermostat Existing Standard Programmable or
Manual Thermostat
New ENERGY STAR® Certified,
Wi-Fi-enabled Smart Thermostat $50
Attic Insulation
Retrofit
Existing R-value of R-0 up to R-19 Final Insulation R-Value R-38 or Greater
$0.75 per sq. ft.

Existing R-value > R-19 $0.35 per sq. ft.

Wall Insulation
Retrofit Existing R-value of R-0 Final Insulation R-Value R-13 or Greater $0.75 per sq. ft.

Replacement
Windows Single-Pane Windows
Double-Pane Replacement
Windows with U-Value 0.32 or
Less and SHGC 0.25 or Less
$1.50 per sq. ft.

Applicants must have an active Healdsburg electric account.

Insulation and windows rebates apply to existing construction only.

Permits are required for most electrical, gas, mechanical, or plumbing work (such as HVAC, water heater, windows, or electrical panel replacements).

Please contact the Building Department at 707-431-3348 to apply for an over-the-counter permit.

Small commercial buildings (5,000 sq ft or less) are also encouraged to apply for these rebates.

Existing HVAC equipment brand and model numbers are required, in addition to new equipment brand and model numbers.

Heat pump must be new and certified by the Air Conditioning, Heating and Refrigeration Institute (AHRI):
https://www.ahridirectory.org/Search/SearchHome. Manufacturer claims of “equivalent to AHRI certified equipment” will not qualify for a rebate. *Newly installed electric heat pump must remain in service for minimum of 10 years and gas service must be disconnected from equipment.

Final invoice or documentation stating existing and final R-value, and square footage is required for insulation projects. U-Value and SHGC documentation, along with sizes and quantities of replacement windows (i.e., manufacturer cut sheets or copies of windows stickers documenting ratings), are required.

By providing your email address you consent to receiving updates regarding conservation and sustainability programs. You may unsubscribe at any time.

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Packet Pg. 160 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Upon signing this agreement, customer acknowledges the following:

I understand the above and certify that I am a customer of City and that the eligible energy efficiency measures were installed at the location indicated on this application.

CUSTOMER SIGNATURE DATE

EXISTING HEATING INFORMATION
Gas Forced Air Furnace Electric Forced Air Furnace Air Source Heat Pump Gas Overhead/Wall Furnace Electric Baseboard/Ceiling/Wall Other: _____________________ None

EXISTING COOLING INFORMATION
Central Air Conditioning Portable/Window Air Conditioner Qty: ____ Other: _________________ None

CONTRACTOR INFORMATION
Company Name Contact Name
Business Phone Email
Street Address,
City and Zip Code

EXISTING EQUIPMENT BRAND MODEL NUMBER AGE (YEARS) STATUS Heating System
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND OUTDOOR MODEL NUMBER DOCUMENTATION
Heat Pump
AHRI certificate included
Receipt/Invoice included
Final permit included
Before and after installation photos if
converting from gas to heat pump

INDOOR MODEL NUMBER

EXISTING EQUIPMENT BRAND MODEL NUMBER PREVIOUS TYPE
Thermostat
Manual
Programmable
Other

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION
ENERGY STAR® Smart
Thermostat ENERGY STAR® proof included
Receipt/Invoice included

INSULATION AND WINDOWS
Ceiling/Attic Insulation

SQUARE FOOTAGE OF

INSULATION INSTALLED EXISTING R-VALUE FINAL R-VALUE DOCUMENTATION Receipt/Invoice included
Wall Insulation

SQUARE FOOTAGE OF

INSULATION INSTALLED EXISTING R-VALUE FINAL R-VALUE DOCUMENTATION Receipt/Invoice included
Replacement Windows
TOTAL AREA (Sq Ft) FINAL U-VALUE FINAL SOLAR HEAT GAIN

COEFFICIENT (SHGC) DOCUMENTATION
U-value and SHGC (cut sheet or stickers)
Receipt/Invoice included
Final permit included
Window quantities and sizes documents

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Packet Pg. 161 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates)

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Packet Pg. 162 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates)

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Packet Pg. 163 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates)

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Packet Pg. 164 Attachment: Attachment 2: Residential Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates)

COMMERCIAL KITCHEN PRODUCTS EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE Electric Kitchen Equipment
Efficient equipment as specified in Qualifying
Commercial Kitchen Equipment spreadsheet
(only for existing buildings)
As specified in Qualifying Equipment spreadsheet New rebate offering.

One‐time electrification rebate
Existing gas appliance or equipment converting to
electric
(only for existing buildings)
$500 New rebate offering.
*MULTI‐FAMILY APPLIANCES EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE Multifamily Clothes Washer, In‐Unit Front Loading Only ENERGY STAR® Most Efficient unit (only for existing buildings) Direct Install for Multifamily Low‐Income Housing New rebate offering.

Multifamily Clothes Dryer, In‐Unit Electric ENERGY STAR® unit (only for existing buildings) Direct Install for Multifamily Low‐Income Housing New rebate offering.

Multifamily Clothes Washer, Coin‐Op
ENERGY STAR® Commercial Min. Modified Energy
Factor 2.20 and Max Integrated Water Factor 4.0
(only for existing buildings)
Direct Install for Multifamily Low‐Income Housing New rebate offering.

Multifamily Dishwasher, In‐Unit ENERGY STAR® Most Efficient unit (only for existing buildings) Direct Install for Multifamily Low‐Income Housing New rebate offering.

Multifamily Heat Pump Water Heater, In‐Unit ENERGY STAR® rated with 3.30 Unified Energy Factor minimum Direct Install for Multifamily Low‐Income Housing New rebate offering.

Multifamily Refrigerator, In‐Unit ENERGY STAR® Most Efficient unit (only for existing buildings) Direct Install for Multifamily Low‐Income Housing New rebate offering. *To be developed further and Request for Proposals for installation contractor(s) to be issued.

HVAC EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE Unitary Air‐Cooled Heat Pump, Under 65 kBtu/hr 17 SEER (16.2 SEER2) or Higher $500 per ton Added prescriptive rebate offering.
(Existing rebate based on pre and post
equipment calculations at $0.15 per kwh
savings.)
Unitary Air‐Cooled Heat Pump, Over 65 kBtu/hr 17 SEER (16.2 SEER2) or Higher $1000 per ton Added prescriptive rebate offering.
(Existing rebate based on pre and post
equipment calculations at $0.15 per kwh
savings.)
Package Terminal Heat Pump under 24 kBtu/hr Exceeds code minimum by 20% $600 per unit replacement $100 per unit new construction
Added prescriptive rebate offering.
(Existing rebate based on pre and post
equipment calculations at $0.15 per kwh
savings.)
One‐time electrification rebate
Existing gas appliance or equipment converting to
electric
(only for existing buildings)
$500 New rebate offering.

WATER HEATER EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE Heat Pump Water Heater Minimum UEF varies depending on size (only for existing buildings) $1,500 per unit
Added prescriptive rebate offering.
(Existing rebate based on pre and post
equipment calculations at $0.15 per kwh
savings.)
One‐time electrification rebate
Existing gas appliance or equipment converting to
electric
(only for existing buildings)
$500 New rebate offering.

LIGHTING MEASURES EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE 1‐For‐1 and Other Upgrades
Calculated reduction in annual kWh usage based on
pre and post equipment
(only for existing buildings)
$0.15 per kWh (plus $250 per kW demand
reduction) No significant changes.

CUSTOM MEASURES EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE Special Projects with Pre‐Approval
Varies, savings calculated based on pre and post
equipment
(only for existing buildings)
$0.15 per kWh (plus $250 per kW demand
reduction) No significant changes.

EV CHARGERS EFFICIENCY REQUIREMENTS ELECTRIC REBATE CHANGES MADE Level 2 EV Charger New ENERGY STAR® 240‐volt Level 2 Charger installed (only for existing buildings) $5,000 per connector New rebate offering.

City of Healdsburg ELECTRIC COMMERCIAL REBATE CHART
Rebates will not exceed 50% of the installed cost. For multi‐family properties, schools, non‐profit organizations, and governmental agencies, rebates will not exceed 100% of the installed cost, after any other funding sources are applied.

9.C.e
Packet Pg. 165 Attachment: Attachment 3: Commercial Rebate Summary (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Commercial HVAC, Hot Water, and Kitchen Equipment
Energy Rebate Application
Please complete application, sign, and date.

All information is required to process rebate(s).

CUSTOMER INFORMATION
Utility Account # Phone Number
Company Name Email Address
Site Address
Mailing Address (if
different from above)

CONTRACTOR INFORMATION
Company Phone Number
Address
Contact Name Email Address
Contractor Class License # State Expiration

PROJECT INFORMATION
Property Type/Use
Year Built Square Footage
Rebate applications must be submitted within twelve (12) months of purchase to qualify. Mail or email completed rebate application, copies of all invoices/receipts, and additional qualification information (if applicable) to the address below. Allow 6-10 weeks for processing.

Projects must be from on or after October 1, 2022 to qualify.

City of Healdsburg
Attn: Conservation
401 Grove Street
Healdsburg, CA 95448-4723
Email: [email protected]

REBATE REQUIREMENTS AND AMOUNTS
Equipment Type Existing Condition Final Condition Rebate per Unit Unitary Air-Cooled Heat Pump,
Under 65 kBtu/hr
<65 kBtu/hr Standard Efficiency or
New Construction 17 SEER (16.2 SEER2) or Higher $500 per Ton Unitary Air-Cooled Heat Pump,
Over 65 kBtu/hr
>65 kBtu/hr Standard Efficiency or
New Construction 17 SEER (16.2 SEER2) or Higher $1,000 per Ton Package Terminal Heat Pump
under 24 kBtu/hr
Standard efficiency package terminal
air conditioner or heat pump unit <24
kBtu/hr
Exceeds code minimum by 20% (see chart
for minimum efficiency requirements)
$600 Replacement
$100 New Construction
Heat Pump Water Heater Existing Electric or Gas Storage Unit New ENERGY STAR® certified unit with

3.30 Unified Energy Factor minimum $1,500
Kitchen Equipment Standard efficiency commercial
kitchen equipment
Qualified equipment and efficiency varies
(see chart for minimum efficiency
requirements for qualified equipment)
Varies (see chart for
rebates for qualified
equipment)
Electrification Rebate Existing gas appliance or equipment *One-time electrification rebate for the above measures (Up to 3 per customer) $500
Applicants must have an active Healdsburg electric account.

Rebates will not exceed 50% of the installed cost. For multi-family properties, schools, non-profit organizations, and governmental agencies, rebates will not exceed 100% of the installed cost, after any other funding sources are applied.

Permits are required for most electrical, gas, mechanical, or plumbing work (such as HVAC, water heater, windows, or electrical panel replacements).

Please contact the Building Department at 707-431-3348 to apply for an over-the-counter permit.

Existing equipment brand and model numbers are required, in addition to new equipment brand and model numbers. *Newly installed electric appliance must remain in service for minimum of 10 years and gas service must be disconnected from the appliance. Photos showing capped gas line must be included with application and supporting documentation. One rebate available for a heat pump HVAC project, one for a water heater project, and one for a kitchen equipment project.

By providing your email address you consent to receiving updates regarding conservation and sustainability programs. You may unsubscribe at any time.

9.C.f
Packet Pg. 166 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23

EXISTING HEATING INFORMATION
Gas Forced Air Furnace Electric Forced Air Furnace Air Source Heat Pump Gas Overhead/Wall Furnace Electric Baseboard/Ceiling/Wall Other: _____________________ None

EXISTING COOLING INFORMATION
Central Air Conditioning Portable/Window Air Conditioner Qty: ____ Other: _________________ None

EXISTING
EQUIPMENT BRAND MODEL NUMBER kBtu/hr
AGE
(Years) STATUS
HVAC System
Heating Cooling Heating Cooling Functioning
Non-functioning
None
NEW EQUIPMENT BRAND MODEL NUMBER kBtu
/hr

DOCUMENTATION
Unitary AirCooled Heat
Pump
AHRI certificate included
Receipt/Invoice included
Final permit included
Before and after
installation photos if
converting from gas to
electric

EXISTING
EQUIPMENT BRAND MODEL NUMBER AGE (Years) QTY STATUS
Package Terminal
AC or Heat Pump
<24 kBtu/hr
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER QTY DOCUMENTATION
Package Terminal
Heat Pump under
24 kBtu/hr
AHRI certificate included
Receipt/Invoice included
Final permit included
Before and after
installation photos if
converting from gas to
electric

EXISTING
EQUIPMENT BRAND MODEL NUMBER SIZE AGE(Years) STATUS
Gas or Electric
Storage Water
Heater
Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER SIZE DOCUMENTATION
Heat Pump Water
Heater

ENERGY STAR
certificate included
Final permit included
Receipt/Invoice included

EXISTING
EQUIPMENT BRAND MODEL NUMBER AGE (Years) QTY STATUS
Kitchen
Equipment
Description: Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER QTY DOCUMENTATION
Kitchen
Equipment
Description:

Receipt/Invoice included
Final permit included (if
applicable)
Before and after
installation photos if
converting from gas to
electric

9.C.f
Packet Pg. 167 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 For questions about qualifying equipment and technical assistance, please contact Efficiency Services Group at [email protected] or 1-855-516-2105.

Upon signing this agreement, customer acknowledges the following:

City of Healdsburg (City) reserves the right to inspect completed work and installed measures. Rebates will be paid only on work that meets City specifications. Customer certifies that they are familiar with, and agree to, the standards regarding this program. City disclaims any warranty, whether expressed or implied, for any materials or labor associated with installation, maintenance, repair, or any energy or water savings associated with the measures. City will not accept any liability resulting from participation in this program. This rebate offer may be changed or discontinued at any time by City.

I understand the above and certify that I am a customer of City and that the eligible energy efficiency measures were installed at the location indicated on this application.

CUSTOMER SIGNATURE DATE
Email [email protected] or call 707-431-3122 to learn about additional energy efficiency programs.

View all City of Healdsburg energy and water rebates at www.smartlivinghealdsburg.org.

9.C.f
Packet Pg. 168 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates)

MIN EER MIN COP
≤ 7,000 Btu/hr 11.17 3.26
> 7,000 and ≤
15,000 Btu/hr 10.15 3.13
> 15,000 Btu/hr 9.13 3.01
≤ 7,000 Btu/hr 14.28 4.01
> 7,000 and ≤
15,000 Btu/hr 12.84 3.76
> 15,000 Btu/hr 11.4 3.5

PRODUCT TYPE INSTALLATION TYPE

MEASURE CASE EFFICIENCY
(EXCEEDS CODE BY 20%) CAPACITY RANGE
PTHP
Normal Replacement
New Construction
View the kitchen qualifying product list at
https://healdsburg.gov/DocumentCenter/View/16011/2023-
Kitchen-Equipment-Qualifying-Products-List.

9.C.f
Packet Pg. 169 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Commercial Lighting and Custom Equipment
Energy Rebate Application
Please complete application, sign, and date.

All information is required to process rebate(s).

CUSTOMER INFORMATION
Utility Account #
Company Name Phone Number
Contact Name Email Address
Site Address
Mailing Address (if
different from above)

CONTRACTOR INFORMATION
Company Phone Number
Address
Contact Name Email Address
Contractor Class License # State Expiration

PROJECT INFORMATION
Electricity Consumed last 12 months kWh Natural Gas Consumed last 12 months therms Project Description
Expected Savings
Electricity kWh Demand kW
Natural Gas therms Water gallons
Expected Rebate Electricity
($0.15 / kWh) $ Demand
($250 / kW) $ Total $
Pay Rebate to (if paid to contractor, quote & final invoice must account for rebate):

Rebate applications must be submitted within twelve (12) months of purchase to qualify. Mail or email completed rebate application, copies of all invoices/receipts, and additional qualification information (if applicable) to the address below. Allow 6-10 weeks for processing.

City of Healdsburg
Attn: Conservation
401 Grove Street
Healdsburg, CA 95448-4723
Email: [email protected]
Applicants must have an active Healdsburg electric account.

Rebates must be pre-approved to receive rebate.

Permits are required for most electrical, gas, mechanical, or plumbing work (such as HVAC, water heater, windows, or electrical panel replacements). Please contact the Building Department at 707-431-3348 to apply for an over-the-counter permit.

Existing equipment brand and model numbers are required, in addition to new equipment brand and model numbers.

By providing your email address you consent to receiving updates regarding conservation and sustainability programs. You may unsubscribe at any time.

9.C.f
Packet Pg. 170 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) © Efficiency Services Group, LLC. All Rights Reserved. V_01/23 Upon signing this agreement, customer acknowledges the following:

City of Healdsburg (City) reserves the right to inspect completed work and installed measures. Rebates will be paid only on work that meets City specifications. Customer certifies that they are familiar with, and agree to, the standards regarding this program. City disclaims any warranty, whether expressed or implied, for any materials or labor associated with installation, maintenance, repair, or any energy or water savings associated with the measures. City will not accept any liability resulting from participation in this program. This rebate offer may be changed or discontinued at any time by City.

I understand the above and certify that I am a customer of City and that the eligible energy efficiency measures were installed at the location indicated on this application.

CUSTOMER SIGNATURE DATE
For Official Use Only Application Received Application Approved Project Completed Rebate Approved Sent to Accounting Date:

Approved by:

Email [email protected] or call 707-431-3122 for questions or to learn about additional energy efficiency programs.

View all City of Healdsburg energy and water rebates at www.smartlivinghealdsburg.org.

EXISTING BUILDING INFORMATION
Property Type/Use
Year Built Square Footage

EXISTING EQUIPMENT BRAND MODEL NUMBER AGE (YEARS) STATUS Functioning
Non-functioning
None

NEW EQUIPMENT BRAND MODEL NUMBER DOCUMENTATION

Before project approval, the following items must be
submitted to and approved by the Healdsburg Electric
Department:
• completed rebate form
• live energy savings calculator
• project description
• project quote
• specification sheet(s) for proposed equipment
Pre- and post-installation inspections completed
Final receipt/Invoice
Final energy savings calculator
Final permit included (if applicable)
Rebate Assignment Form if rebate to be paid to contractor

9.C.f
Packet Pg. 171 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) City of Healdsburg Utility Department Rev. 1/2023
Commercial & Multi-Family EV Charger
Energy Rebate Application
Please complete application, sign, and date.

All information is required to process rebate(s).

CUSTOMER INFORMATION
Utility Account # (if
known) Contact Name
Phone Email
Installation Address
City State Zip
Property Occupied
by: Tenant Owner Company Name
Mailing Address (if
different)
City State Zip
EV Charger Use
(check all that apply)
Public Residents Other_______________
Employees Fleet
Rebate applications must be submitted within twelve (12) months of installation to qualify. Mail or email completed rebate application, copies of all invoices/receipts, W9 form, and additional qualification information to the address below. Allow 6-10 weeks for processing.

Projects must be from on or after October 1, 2022 to qualify.

City of Healdsburg
Attn: Conservation
401 Grove Street
Healdsburg, CA 95448-4723
Email: [email protected]

REBATE REQUIREMENTS AND AMOUNTS
Equipment Type Existing Condition Final Condition Rebate per Unit Level 2 EV Charger Existing commercial building or multifamily property New ENERGY STAR® 240-volt
Level 2 Charger installed $5,000 per connector
Permits are required for EV Charging Stations. Please contact the Building Department at 707-431-3348 to begin the expedited permit process.

Applicants must have an active Healdsburg electric account.

Applicants must have the authority to install a Charger at the installation address or have obtained property owner approval.

New construction is not eligible for the rebate.

Total rebates per site will not exceed $50,000 (10 connectors). For large projects, it is recommended to contact the Electric Department to ensure sufficient rebate funds are available.

Eligible costs include design, permit fees, electrical work, labor, and equipment.

Costs required to meet existing standards, such as ADA compliance, are not eligible.

Charger must be newly purchased, and cannot be used, resold, rebuilt, or received from warranty insurance claims.

Receipt(s)/invoice(s) must show customer information, site address, product/service/work descriptions, dates, costs, and installation company information.

Installation must be completed by a licensed electrician in accordance with all local, state and federal codes and permitting and inspection requirements.

Installed chargers must remain in service for a minimum of 5 years.

Charger must be mounted as a station, and cannot be portable.

Equipment must meet the international standard connector for L2 electric vehicle chargers. This connector is known as the J1772 connector.

Charging stations must be capable of 6.2 kW or greater per connector.

The City is not responsible for any taxes that customers may incur as a result of participation in the program. Please consult your tax advisor with questions or concerns.

All applicants receiving a rebate for a public station shall post information about their EVSE on the US Department of Energy Alternative Fuel Data Center website: www.afdc.energy.gov/fuels/electricity_locations.html Chargers must be installed in a shared parking location that is not assigned to a specific individual.

Businesses are encouraged to develop EV charging policies for their employees and/or residents, such as charging durations, times, fees, or priorities.

By providing your email address you consent to receiving updates regarding conservation and sustainability programs. You may unsubscribe at any time.

9.C.f
Packet Pg. 172 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates) City of Healdsburg Utility Department Rev. 1/2023
Upon signing this agreement, customer acknowledges the following:

I understand the above and certify that I am a customer of City and that the eligible energy measures were installed at the location indicated on this application.

CUSTOMER SIGNATURE DATE

CONTRACTOR INFORMATION
Company Name Contact Name
Business Phone Email
Street Address,
City and Zip Code

FUNDING INFORMATION
Were any other funding sources or incentives utilized, or will they be? Yes No If Yes, please fill out the applicable information below.

FUNDING PROGRAM INCENTIVE AMOUNT RECIEVED
Alternative Fuel Vehicle Refueling Property Credit (afdc.energy.gov/laws/10513) Communities in Charge (thecommunitiesincharge.org)
CALeVIP (calevip.org)
EnergIIZE Commercial Vehicles (energiize.org)
Other _________________

NEW EQUIPMENT BRAND MODEL NUMBER QUANTITY
(Connectors) DOCUMENTATION
Level 2 EV
Charger
ENERGY STAR® proof included
Receipt(s)/Invoice(s) included
Final permit included

9.C.f
Packet Pg. 173 Attachment: Attachment 4: Commercial Rebate Forms (3951 : Commercial and Residential Energy Rebate Updates)

CITY OF HEALDSBURG

CITY COUNCIL AGENDA STAFF REPORT
MEETING DATE: March 6, 2023
SUBJECT: Loan Agreement Amendment for the Healdsburg Scattered Site Affordable Housing Project
PREPARED BY: Griselda Villarreal, Administrative Analyst II STRATEGIC INITIATIVE(S):

Expand Affordable Housing Opportunities
Provide Effective Governance
Maintain and Enhance Public Health and Safety
RECOMMENDED ACTION(S):

Adopt a Resolution approving a Loan Agreement Amendment with Burbank Housing Development Corporation for the Healdsburg Scattered Site Affordable Housing Project, authorizing the City Manager to execute the agreement as approved to form by the City Attorney, and approving amendments to the adopted Budget.

COMMUNITY ENGAGEMENT/OUTREACH:

This item will be considered at a public meeting where time will be provided for public comment on the proposed loan agreement amendment. The loans provided by the City for the development and purchase of the affordable housing complexes have been previously heard before the Council where public input was considered. Additionally, the Healdsburg Scattered Site Project has been presented in a public forum through multiple different meetings and venues.

BACKGROUND:

In 2000, the Redevelopment Agency of the City of Healdsburg provided loans to Burbank Housing Development Corporation (Burbank) to purchase 1689 Canyon Run, a 51-unit affordable housing project.

In 2019, the City provided loans to Burbank to purchase 39 units of multi-family housing to preserve 24 very-low, 14-low, and 1 moderate-income apartment(s). These properties are located at 1302 Prentice Drive, 500 Piper Street, and 531-535 University Street. The intent of purchasing these properties was to preserve naturally occurring affordable housing from the purchased apartment units, improve the quality of life for the residents, and to deed-restrict these units for a 55-year affordability period.

9.D
Packet Pg. 174
In 2020, Burbank received nearly $23 million in tax-credit financing to remodel a total of 90 units consisting of the 39 units of multifamily housing at 1302 Prentice Drive, 500 Piper Street, and 531-535 University Street and the 51 units at 1689 Canyon Run known collectively as the Healdsburg Scattered Sites Project (Project). This Project also leveraged a $1M loan from the Homeless Emergency Aid Program (HEAP) which will provide 10 units for supportive housing managed by Reach for Home and will provide a pathway for individuals transitioning out of the L&M Village.

On March 15, 2021, Council adopted Resolution No. 19-2021, assigning the loans originally entered between the City and Burbank for the Project to Monte Vina, L.P., the managing entity for the Project. This was necessary for Burbank to meet the requirements to secure permanent financing and funding for the remodel of the properties through the Low-Income Housing Tax Credit (LIHTC) financing program.

To date, the City has contributed $4,255,061 towards the acquisition of the Scattered Site properties. The following chart outlines the City’s contributions:

Loan Type Amount
City Loan For 1302 Prentice Dr. (Acquisition) $1,076,500 City Loan for Repairs to Burbank Housing $275,000
City Loan for Piper St. & University Ave. $580,250
City Loan for Canyon Run $2,323,311
Totals $4,255,061
On June 21, 2021, Council adopted Resolution No. 84-2021, modifying the existing $275,000 Loan Agreement with Burbank, which was originally due and payable upon receipt of tax-credit financing, to a loan term of seventeen (17) years at 3% simple interest at the request of Burbank Housing.

DISCUSSION/ANALYSIS:

Staff is recommending that the City Council approve an amendment to the original $275,000 Loan Agreement with Burbank Housing Development Corporation. As amended, the Loan Agreement of $275,000 would increase by $500,000, for a total of $775,000. The additional loan amount is requested to offset unanticipated and unforeseen rehabilitation expenditures associated with the Healdsburg Scattered Site. Specifically, the unanticipated precipitous increases of the construction loan interest rates that increased significantly from 2020 (See attached Exhibit A).

Burbank’s lender, JP Morgan & Chase Co., underwrote the interest rate for the 21-month construction loan term at 2.6%, however, the interest rate adjusts monthly during construction.

When Burbank closed their construction loan, the interest rate on the construction loan was

1.85%. Currently, the interest rate is 6.0%. Burbank budgeted $574,340 for construction interest over a term of 21 months. If interest rates continue at 6% and construction is completed in 30 months, the current estimate of construction interest is $1,494,163, $919,823 more than the budget.

9.D
Packet Pg. 175
Staff has reviewed Burbank’s request for additional funding and is recommending that the City Council approve an amendment to the existing $275,000 loan agreement with Burbank to remedy the financial gap in the unanticipated expenses incurred during the repair and remodel of the Project. The Scattered Site Project is essential in meeting the City’s 6th Cycle RHNA.

Terms of the proposed amended affordable housing loan agreement:

Original Loan Amount: $275,000
Additional Loan Amount: $500,000
Disbursement: $500,000 no later than April 1, 2023
Term: 17 Years at 3% simple interest with annual interest payments made to the City.

This loan will increase the City’s total contribution to the projects by $500,000 for a total of $4,755,061. These contributions will have supported the acquisition and rehabilitation of 39 new units of deed-restricted affordable housing at 1302 Prentice Drive, 500 Piper Street, 531-535 University Street, and 51 units of deed-restricted affordable housing at 1689 Canyon Run for a cost of $52,834 per unit. The total City contribution for the 90 units is well below the cost of building a new affordable unit which can cost upward of $700,000.

ENVIRONMENTAL STEWARDSHIP:

Modification of the loan agreement will provide funding necessary to fill the financial gap for Burbank Housing, aiding ongoing efforts of upgrading outdated building deficiencies, decreasing energy demand, and increasing energy efficiency.

ALTERNATIVES:

The City Council may choose not to adopt the proposed loan agreement. If this action is taken Staff requests additional direction.

FISCAL IMPACT:

The requested loan is proposed to be funded by the Measure S Affordable Housing Fund no later than April 1, 2023. The total proposed loan in the amount of $500,000 would be disbursed in one payment of $500,000 completed in the current fiscal year, 2022-2023. The proposed loan would incur simple interest at a rate of 3% per annum and would require annual payments to the City of all accrued interest no later than June 1st. There would be no annual principal payment. The entire principal amount of the loan would be due and payable to the City upon the Maturity Date.

The Maturity Date is proposed as 17 years from the date of execution of the Unsecured Promissory Note. Staff is proposing amending the FY 22-23 budget by $500,000 to accommodate the loan issuance.

ENVIRONMENTAL ANALYSIS:

Pursuant to Title 14, the California Code of Regulations, Section 15302(c) of the California Environmental Quality Act (“CEQA”) guidelines, the proposed action is an administrative activity of the City that will not result in direct or indirect physical changes to the environment.

9.D
Packet Pg. 176
ATTACHMENT(S):

Resolution
Exhibit A - Burbank Construction Loan Interest - Scattered Site Promissory Note - Scattered Sites Project - Additional Loan Amount First Amendment to Scattered Site Loan Agreement
Exhibit B - Budget Amendment

9.D
Packet Pg. 177

CITY OF HEALDSBURG
RESOLUTION NO. _______-2023

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF

HEALDSBURG APPROVING A LOAN AGREEMENT

AMENDMENT WITH BURBANK HOUSING DEVELOPMENT

CORPORATION FOR THE HEALDSBURG SCATTERED SITE

AFFORDABLE HOUSING PROJECT IN THE AMOUNT OF
$500,000, IN ADDITION TO THE ORIGINAL AGREEMENT OF
$275,000; AND AUTHORIZING THE CITY MANAGER TO

EXECUTE THE AGREEMENTS AS APPROVED TO FORM BY

THE CITY ATTORNEY
WHEREAS, the City of Healdsburg is committed to providing a diversified affordable housing stock to the community;
WHEREAS, the City partnered with Burbank Housing Development Corporation, a California non-profit public corporation for the acquisition, remodel and rehabilitation of multiple affordable housing sites throughout Healdsburg;
WHEREAS, these affordable housing sites, collectively known as the Healdsburg Scattered Site consist of 4 site locations and 90 units; WHEREAS, these properties are located at 1302 Prentice Drive, 500 Piper Street, 531-535 University Street, and 1689 Canyon Run;
WHEREAS, on June 21, 2021, Council adopted Resolution No. 84-2021, authorizing a Loan Agreement and Promissory Note with Burbank, for the Healdsburg Scattered Site Project in the amount of $275,000 for a term of seventeen (17) years, to be used for financing and funding to remodel the properties;
WHEREAS, unanticipated rehabilitation expenditures have resulted in precipitous increases in interest rates of the construction loan;
WHEREAS, Burbank has requested in addition to the $275,000 provided in the Original Agreement, $500,000, to be used for additional unforeseen improvement expenditures; WHEREAS, the City shall disburse the Additional Loan Amount in the amount of $500,000 no later than April 1, 2023.

WHEREAS, the terms of the loan agreement amendment will consist of 17 Years at 3% simple interest with annual interest payments made to the City; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Healdsburg hereby approves a Loan Agreement Amendment and Promissory Note with Burbank Housing

9.D.a
Packet Pg. 178 Attachment: Resolution [Revision 3] (3890 : Burbank Housing Loan Agreement Amendment) Resolution No. -2023

Page 2 ends

Development Corporation in favor of Monte Vina, L.P., in the amount of $500,000, in addition to the original agreement of $275,000, authorizes the City Manager to execute the agreements as approved to form by the City Attorney, and approves amending the budget as depicted in the attached Exhibit B.

PASSED AND ADOPTED by the City Council of the City of Healdsburg, this 6th day of March, 2023, by the following vote:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:

ABSTAINING: Councilmembers:

SO ORDERED: ATTEST:
_________________________________ ____________________________________ Ariel Kelley, Mayor Raina Allan, City Clerk

9.D.a
Packet Pg. 179 Attachment: Resolution [Revision 3] (3890 : Burbank Housing Loan Agreement Amendment) Healdsburg Scattered Site
Chase loan draw information
Initial Loan Amount 22,682,424
Undisbursed at closing 13,832,508
Disbursed at closing 8,849,916
Drawdown
Month Principal Interest Interest rate
8/2021 8,849,916 16,827 1.850%
9/2021 9,082,914 14,170 1.850%
10/2021 9,209,881 14,267 1.850%
11/2021 9,556,678 14,727 1.850%
12/2021 9,624,918 15,302 1.850%
1/2022 10,048,244 16,021 1.850%
2/2022 10,520,652 15,154 1.850%
3/2022 10,879,233 17,372 1.850%
4/2022 11,843,657 17,743 1.850%
5/2022 11,843,657 21,063 2.100%
6/2022 12,219,321 23,910 3.038%
7/2022 12,486,092 32,956 3.725%
8/2022 12,799,331 40,852 3.850%
9/2022 13,426,276 41,731 3.850%
10/2022 13,468,007 52,478 4.475%
11/2022 13,823,719 59,666 5.475%
12/2022 13,943,051 65,716 5.788%
1/2023 14,008,767 76,302 6.003%
2/2023 15,687,191 79,743 6.100%
3/2023 15,866,934 80,657 6.100%
4/2023 16,097,591 81,829 6.100%
5/2023 16,329,421 83,008 6.100%
6/2023 16,562,428 84,192 6.100%
7/2023 16,796,621 85,383 6.100%
8/2023 17,032,004 86,579 6.100%
9/2023 17,268,583 87,782 6.100%
10/2023 17,506,365 88,991 6.100%
11/2023 17,745,356 90,206 6.100%
12/2023 17,985,561 91,427 6.100%
Total 1,494,163

9.D.b
Packet Pg. 180 Attachment: Exhibit A - Burbank Construction Loan Interest - Scattered Site (3890 : Burbank Housing Loan Agreement Amendment) SF #4895-9351-3296 v1

UNSECURED PROMISSORY NOTE
$500,000.00 Healdsburg, California
___, 2023

FOR VALUE RECEIVED, BURBANK HOUSING DEVELOPMENT
CORPORATION, a California nonprofit public benefit corporation (“Borrower”), promises to pay to the CITY OF HEALDSBURG, a California municipal corporation (the “City”), in lawful money of the United States of America, the principal sum of Five Hundred Thousand and no/100ths Dollars ($500,000.00) (the “Additional Loan Amount”), together with interest on the outstanding principal balance in accordance with the terms and conditions described herein.

Interest shall accrue on the principal balance of this Unsecured Promissory Note (this “Note”) outstanding from time to time at the rate of three percent (3.0%) simple interest per annum. Interest shall be calculated on the basis of a year of 365 days, and charged for the actual number of days elapsed.

1. REPAYMENT OF ADDITIONAL LOAN AMOUNT.

1.1 REPAYMENT. The Additional Loan Amount, together with all interest accrued thereon and all other sums accrued hereunder, shall be due and payable to the City on the date which is seventeen (17) years from the date hereof (the “Maturity Date”). Payments of accrued interest only shall be made annually not later than June 1.

1.2 PREPAYMENT. Borrower may, without premium or penalty, at any time and from time to time, prepay all or any portion of the outstanding principal balance due under this Note, provided that each such prepayment is accompanied by accrued interest on the amount of principal prepaid calculated to the date of such prepayment. Prepayments shall be applied first to any unpaid late charges and other costs and fees then due, then to accrued but unpaid interest, and then to principal.

1.3 MANNER OF PAYMENT. All payments of principal and interest on this Note shall be made to City at 401 Grove Street, Healdsburg, CA 95448-4723, or such other place as City shall designate to Borrower in writing, or by wire transfer of immediately available funds to an account designated by City in writing.

2. DEFAULTS AND REMEDIES.

2.1 EVENTS OF DEFAULT. The occurrence of any one or more of the Events of Default set forth in the Affordable Housing Loan Agreement, dated ____________, 2021, by and between the City and Borrower (“Original Loan Agreement”), and the First Amendment to Affordable Housing Loan Agreement (“Amendment”) shall constitute an event of default (“Event of Default”) under this Note.

2.2 REMEDIES. Upon the occurrence of an Event of Default hereunder, City may, at its option (i) by written notice to Borrower, declare the entire unpaid principal balance of this Note, together with all accrued interest thereon and all sums due hereunder, immediately due and

9.D.c
Packet Pg. 181 Attachment: Promissory Note - Scattered Sites Project - Additional Loan Amount (3890 : Burbank Housing Loan Agreement Amendment) SF #4895-9351-3296 v1
payable regardless of any prior forbearance, (ii) exercise any and all rights and remedies available to it under applicable law, and (iii) exercise any and all rights and remedies available to City under this Note and the Original Loan Agreement and Amendment. Borrower shall pay all reasonable costs and expenses incurred by or on behalf of City including, without limitation, reasonable attorneys' fees, incurred in connection with City's enforcement of this Note and the exercise of any or all of its rights and remedies hereunder and all such sums shall be a part of the indebtedness evidenced hereby. The rights and remedies of City under this Note shall be cumulative and not alternative. Notice under this Note shall be deemed to have been duly given to and received by Borrower (i) upon personal delivery, (ii) as of the third business day after mailing by United States registered or certified mail, return receipt requested, postage prepaid, or (iii) the immediately succeeding business day after deposit with an overnight courier, and in each instance addressed for delivery to Borrower as follows:

Burbank Housing Development Corporation
1425 Corporate Center Parkway
Santa Rosa, CA 95407.

2.3 DEFAULT RATE. Upon the occurrence of an Event of Default, interest shall automatically be increased without notice to the rate of the lesser of ten percent (10%) per annum or the maximum rate permitted by law (the “Default Rate”); provided however, if any payment due hereunder is not paid when due, the Default Rate shall apply commencing upon the due date for such payment. When Borrower is no longer in default, the Default Rate shall no longer apply, and the interest rate shall once again be the rate specified in the first paragraph of this Note. Notwithstanding the foregoing provisions, if the interest rate charged exceeds the maximum legal rate of interest, the rate shall be the maximum rate permitted by law. The imposition or acceptance of the Default Rate shall in no event constitute a waiver of a default under this Note or prevent City from exercising any of its other rights or remedies.

3. MISCELLANEOUS.

3.1 WAIVERS; AMENDMENTS; BORROWER’S WAIVERS. No waiver by City of any right or remedy under this Note shall be effective unless in a writing signed by City.

Neither the failure nor any delay in exercising any right, power or privilege under this Note will operate as a waiver of such right, power or privilege, and no single or partial exercise of any such right, power or privilege by City will preclude any other or further exercise of such right, power or privilege or the exercise of any other right, power or privilege. No waiver that may be given by City will be applicable except in the specific instance for which it is given. No notice to or demand on Borrower will be deemed to be a waiver of any obligation of Borrower or of the right of City to take further action without notice or demand as provided in this Note. There shall be no amendment to or modification of this Note except by written instrument executed by Borrower and City.

To the maximum extent permitted by applicable law Borrower hereby waives presentment, demand, protest, notices of dishonor and of protest and all defenses and pleas on the grounds of any extension or extensions of the time of payment or of any due date under this Note, in whole or in part, whether before or after the Maturity Date and with or without notice.

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Packet Pg. 182 Attachment: Promissory Note - Scattered Sites Project - Additional Loan Amount (3890 : Burbank Housing Loan Agreement Amendment) SF #4895-9351-3296 v1

3.2 SEVERABILITY. If any provision in this Note is held invalid or unenforceable by any court of competent jurisdiction, the other provisions of this Note will remain in full force and effect. Any provision of this Note held invalid or unenforceable only in part or degree will remain in full force and effect to the extent not held invalid or unenforceable.

3.3 GOVERNING LAW; VENUE. This Note shall be governed by the laws of the State of California without regard to principles of conflicts of laws. Any legal action filed in connection with this Note shall be filed in the Superior Court of Sonoma County, California, or in the Federal District Court for the Northern District of California.

3.4 TRANSFER. Borrower shall not transfer or assign its obligations under this Note without the prior written consent of City, which consent may be granted or denied by City in its sole discretion.

3.5 PARTIES IN INTEREST. This Note shall bind Borrower and its permitted successors and assigns and shall accrue to the benefit of City and its successors and assigns.

3.6 SECTION HEADINGS, CONSTRUCTION. The headings of Sections in this Note are provided for convenience only and will not affect its construction or interpretation.

3.7 RELATIONSHIP OF THE PARTIES. The relationship of Borrower and City under this Note is solely that of borrower and lender, and the Loan evidenced by this Note will in no manner make City the partner or joint venturer of Borrower.

3.8 TIME IS OF THE ESSENCE. Time is of the essence with respect to every provision of this Note.

3.9 AUTHORITY. Borrower represents and warrants to City that it has duly and validly authorized the execution of this Note and that the person executing this Note on behalf of Borrower is duly and validly authorized to do so on behalf of Borrower.

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Packet Pg. 183 Attachment: Promissory Note - Scattered Sites Project - Additional Loan Amount (3890 : Burbank Housing Loan Agreement Amendment) SF #4895-9351-3296 v1
IN WITNESS WHEREOF, Borrower has executed this Note as of the date first written above.

BORROWER:

BURBANK HOUSING DEVELOPMENT CORPORATION,
a California nonprofit public benefit corporation
By:_______________________________

Print Name:________________________
Title:_____________________________

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Packet Pg. 184 Attachment: Promissory Note - Scattered Sites Project - Additional Loan Amount (3890 : Burbank Housing Loan Agreement Amendment) 1 FIRST AMENDMENT TO AFFORDABLE HOUSING LOAN AGREEMENT
THIS FIRST AMENDMENT TO AFFORDABLE HOUSING LOAN AGREEMENT (“Amendment”) is entered into as of March __, 2023 (the “Effective Date”), by and between the City of Healdsburg, a California municipal corporation (“City”), and Burbank Development Corporation, a California nonprofit benefit corporation (“Developer”). The City and the Developer are collectively referred to herein as the “Parties.”

R E C I T A L S
A. City and Developer entered into to that certain Affordable Housing Loan Agreement dated June 21, 2021 (the “Original Agreement”) whereby the City agreed to provide a loan to the Developer in the principal amount of Two Hundred Seventy-Five Thousand and no/100ths Dollars ($275,000.00), upon the terms and conditions and for the purposes set forth in the Original Agreement.

B. Subject to the terms and conditions set forth in this Amendment, City and Developer now desire to amend the terms of the Original Agreement.

A G R E E M E N T
NOW, THEREFORE, in consideration of the foregoing recitals and the mutual covenants contained herein, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, City and Developer hereby agree as follows:

1. Additional Loan Amount. City will provide to Developer, in addition to the $275,000.00 provided in the Original Agreement, $500,000.00 (“Additional Loan Amount”), to be used for additional required and unforeseen improvement financing to the units comprising the Scattered Site project.

2. The Additional Loan Amount shall be evidenced by the Note which shall be dated as of the Effective Date and executed by Developer substantially in the form attached hereto as Exhibit A. Provided that Developer has complied with all conditions precedent to disbursement of the amount set forth herein, the loan proceeds shall be disbursed at Closing pursuant to a settlement statement provided by the Escrow Agent and approved in writing by City. Notwithstanding the foregoing, the City shall have the right to accelerate the Maturity Date and declare all sums payable under the Note immediately due and payable upon the expiration of all applicable cure periods following the occurrence of an Event of Default

3. Interest Rate; Payment Dates; Cost Savings; Maturity Date. The principal balance of the Note outstanding from time to time will bear interest at a rate equal to three percent (3%) simple annual interest commencing upon the date of disbursement. The Loan shall be payable to the City on the Maturity Date, as set forth in the Note.

4. Prepayment. Developer shall have the right to prepay the Loan at any time and from time to time, without penalty or premium. Prepayments shall be applied first to accrued but unpaid interest and then to principal.

5. Escrow and Closing. City and Developer shall follow all provisions of Article III (Escrow and Closing) in the Original Agreement in disbursing the Additional Loan Amount. If the Developer complies with all conditions to closing in Section 3.2 of the Original Agreement, unless any such condition is waived in writing by City, City shall disburse the Additional Loan Amount in the amount of $500,000 no later than April 1, 2023.

6. Other Terms and Conditions. In addition to the terms and conditions stated in this Amendment, all relevant provisions of the Original Agreement, including but not limited to Articles I, II, V, and VI, shall apply to this Amendment.

7. Authority. Each person executing this Amendment on behalf of a party hereby covenants and warrants that: (a) such party is duly organized, validly existing and in good standing under the laws of the State

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Packet Pg. 185 Attachment: First Amendment to Scattered Site Loan Agreement [Revision 1] (3890 : Burbank Housing Loan Agreement Amendment) 2 of its organization; (b) such party has full power and authority to enter into this Amendment and to perform all such party's obligations under the Agreement, as amended by this Amendment; and (c) each person (and all of the persons if more than one signs) signing this Amendment on behalf of a party is duly and validly authorized to do so.

8. Entire Agreement: No Modifications. This Amendment and the Original Agreement, including all exhibits and schedules hereto and thereto, contain all of the terms and conditions agreed upon by the parties hereto with reference to the subject hereof. No other prior or concurrent agreements not specifically herein or therein, oral or otherwise, shall be deemed to exist or bind any of the parties hereto. Neither the Original Agreement nor this Amendment may be modified or amended except in writing, signed by the parties hereto.

9. Applicable Law. This Amendment shall be governed by and construed in accordance with the laws of the State of California.

10. Counterparts and Electronic Signature. This Amendment may be executed in multiple counterparts, each of which is to be deemed original for all purposes, but all of which together shall constitute one and the same instrument. An electronic copy of an original signature to this Amendment shall have the same force and effect, for all purposes, as the original signature. City and/or Developer may elect to execute this Amendment through an electronic signature platform. By signing through said electronic signature platform, and not solely through e-mail acceptance, the parties agree that they have read and understood this Amendment, agree to be bound by all of its terms and conditions and hereby waive any defense or counterclaim that electronic signature is an invalid form of signature and acceptance under applicable law.

11. No Further Modification. Except as set forth in this Amendment, all of the terms and provisions of the Original Agreement shall remain unmodified and in full force and effect. [Signatures on following page]

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Packet Pg. 186 Attachment: First Amendment to Scattered Site Loan Agreement [Revision 1] (3890 : Burbank Housing Loan Agreement Amendment) 3 IN WITNESS WHEREOF, the Parties have entered into this Affordable Housing Loan Agreement effective as of the date first written above.

CITY:

CITY OF HEALDSBURG, a California municipal corporation
By: _______________________________
Name: ______________________________
City Manager
ATTEST:
_______________________________
_____________________, City Clerk
APPROVED AS TO FORM:
_______________________________
Samantha W. Zutler, City Attorney
DEVELOPER:

BURBANK HOUSING DEVELOPMENT CORPORATION,
a California nonprofit public benefit corporation
By: ___________________________________
Lawrance Florin
Chief Executive Officer

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Packet Pg. 187 Attachment: First Amendment to Scattered Site Loan Agreement [Revision 1] (3890 : Burbank Housing Loan Agreement Amendment) Resolution No.

Exhibit B
Account Number Increase Amount Decrease Amount Description 106-2022-42501-00000 $ 500,000 Loan Disbursement to Burbank Housing FY 22-23 Budget Amendment

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Packet Pg. 188 Attachment: Exhibit B - Budget Amendment (3890 : Burbank Housing Loan Agreement Amendment)

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CITY OF HEALDSBURG

CITY COUNCIL FUTURE AGENDA ITEMS
(NOTE: The schedule is tentative and subject to change pending final publication and posting of the City Council meeting agenda) March 10, 2023
City Council Goal Setting Session
March 20, 2023 National Surveyors Week 2023 Proclamation Police Department Update
Healdsburg Jazz Request for Road Closure on June 17, 2023 Community Services Request for Road Closures for Tuesdays in the Plaza Healdsburg Farmers' Market Request for Road Closures and Consumption of Alcohol for the 2023 Season Rotary Club of Healdsburg Sunrise Request for Road Closures on July 4, 2023 Public Utility Easement for Safeway Electric Vehicle Chargers Pro Housing Designation Incentive Program
Housing Element Annual Progress Report
General Plan Annual Progress Report
Growth Management Ordinance Annual Report
Annual reauthorization of Military Equipment Act
Provide Feedback on Cannabis Dispensary Application Criteria and Process Establish Cannabis Permit Application Fee
Land Use Code Amendments and RFP Discussion for Cannabis Policy North Village – 4
th Development Agreement Amendment
Saggio Hills Affordable Housing Project
• Tentative Map
• Development Agreement
• Disposition and Development Agreement
April 3, 2023 Domestic Violence Awareness Month Proclamation

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Fire Department Annual Update
Land Use Code Amendments and Request For Proposals Discussion for Cannabis Policy Saggio Hill Affordable Housing Development Agreement
North Village – 4th Development Agreement Amendment
Establishing Cannabis Business Tax
Update on Climate Mobilization Strategy
L&M Village Quarterly Update
Commission Composition and Roles
April 17, 2023
Marie Sparks Annual Award Night
Transportation Development Act Article 3 (TDA3) Pedestrian and Bicycle Project Healdsburg Future Farmers Country Fair Request for Road Closures and Alcohol Consumption Fitch Mountain Public Access Improvements Phase A Bid Award Community Services Request for Road Closure for Art After Dark 3 North Street: Foley Family Pavilion GPA, LUCA, MND
Updated Draft Cannabis Dispensary Application Process, Scoring and Criteria Adopt Cannabis Business Tax Rate for Fiscal Years 2022-23 and 2023-24 Presentation of Electric Department Cost of Service Analysis and discussion of rate setting May 1, 2023
Amend Special Event Policy and Chapter 12.24 of Municipal Code Prune Packers Request for Alcohol Consumption for 2023 Baseball Season Redcom Contract Approval
Housing Element Update
May 15, 2023
Professional Services Agreement for Design Services for Healdsburg Avenue Quarter Three Financial update

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June 5, 2023
Diversity, Equity and Inclusion Plan Development Update June 20, 2023
Professional Services Agreement with the Chamber of Commerce August 7, 2023
Review Draft Climate Mobilization Strategy
(NOTE: The schedule is tentative and subject to change pending final publication and posting of the City Council meeting agenda)

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Packet Pg. 191 Attachment: Agenda Planning List (3963 : Future Agenda Items - March 6, 2023)

Healdsburg City CouncilMarch 6, 2023

Healdsburg City Council
March 6, 2023