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Committee approves consent items, hears update on clean-energy tax-credit credits; four councilmembers vote yes, one absent

3214369 · May 7, 2025
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Summary

The committee approved routine consent agenda items and received a progress report on the city's use of clean-energy tax credits tied to the Inflation Reduction Act; staff said some projects were ineligible and that staff will seek to reinvest unspent funds in eligible clean-energy projects.

A City Council committee approved routine consent agenda items and received a staff report on municipal use of clean-energy tax credits connected to the federal Inflation Reduction Act, advancing staff recommendations and asking for follow-up analysis.

The committee approved consent items (agenda items 1, 2, 3 and 5) during a roll call and later approved item 4, a progress report from the office of municipal administration on crediting projects under the Inflation Reduction Act. Four councilmembers voted in favor and one member was recorded as absent.

On the clean-energy credits report, staff said some projects submitted for credits in fiscal 2023 were ineligible because of timing, ownership or other project characteristics; examples of projects that were processed include electric vehicle chargers and solar street lighting, while others were not eligible. Staff recommended reinvesting remaining program funds into eligible projects and said they will perform further analysis to expand claims in future cycles.

The committee adopted staff recommendations for handling the credits and asked staff to analyze opportunities to increase future claims and to identify projects that could receive reinvested funds in the next fiscal year. No additional funding allocations were approved at the meeting.

Votes and procedural notes - Consent items (1, 2, 3 and 5): approved by recorded roll call. Councilmember Gerardo was absent; Councilmembers Nisheren, Yorzovsky, Ramen and Padilla voted yes. - Item 4 (report from municipal administration on clean-energy tax credits): staff presented the report and recommendations; the committee adopted the recommendations by vote (same attendance as above).

Background and next steps Staff said projects that were not eligible in 2023 included some installations where ownership or installation schedule prevented use of credits; staff will pursue reinvestment of prior program receipts into eligible projects and return with an analysis of opportunities to increase claims in future program cycles. The planning and administration teams will coordinate to identify candidate projects for the next fiscal year.