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Council authorizes Peninsula Clean Energy agreement; $422,711 budget amendment to replace city HVAC units
Summary
Council approved an agreement with Peninsula Clean Energy and amended the FY 2024–25 facilities budget to add $422,711 for replacing inefficient HVAC units and installing energy‑efficient heat‑pump technology; staff said the full project cost is larger and the city will provide the remainder.
The Los Banos City Council on March 19 authorized the interim city manager to enter into an agreement with Peninsula Clean Energy Authority and amended the FY 2024–25 facilities budget to increase revenues and expenditures by $422,711 for a program to replace outdated HVAC units at city facilities.
Viridiana Renteria, the Peninsula Clean Energy representative attending the meeting, invited residents to a ribbon cutting for a solar carport at the Community Center scheduled for March 28 and summarized benefits of the Peninsula Clean Energy collaboration: increased energy efficiency, lower energy bills and replacement of older HVAC systems with heat‑pump technology.
City staff said the $422,711 is a partial award. Council Member Deborah Lewis read figures from the staff materials and stated the full project cost appears to be $692,000, which would leave an approximate city share of $270,000. Staff said the grant and budget amendment will permit replacement of about 20 of the city’s oldest or most heavily used HVAC units, with an inventory already identified and a planned procurement to maximize dollars. Lewis asked about backup power for facilities moving from gas to electric heat pumps; staff responded that the community center is wired for a generator but does not currently have a generator installed and that some buildings—such as public works—do not yet have backup coverage. Council discussion asked staff to evaluate generator/backup power needs for critical facilities before converting additional units.
Council approved Resolution No. 6900 to enter into the agreement with Peninsula Clean Energy and to amend the facility fund budget by $422,711. Renteria and staff said the Peninsula Clean Energy solar carport at the community center was installed at no cost to the city and a public ribbon cutting is planned for March 28.
