City of Peoria - File #: 20-185

• File #: 20-185
• Version: 1
• Name: Street Lighting Upgrade Project - TEN
• Type: Agreement
• Status: Approved
• File created: 6/9/2020
• In control: City Council
• On agenda: 6/23/2020
• Final action: 6/23/2020
• Title: Communication from the City Manager and Chief Innovation Officer with a Request for the Following: A. APPROVE and AUTHORIZE the City Manager to Enter into an AGREEMENT with THE EFFICIENCY NETWORK (TEN), in the Amount of $2,066,963.00, for a STREETLIGHT UPGRADE PROJECT of the City-Owned Streetlight System to Reduce Annual Energy and Maintenance Costs Related to the System; B. APPROVE and AUTHORIZE the City Manager to Enter into a FINANCING AGREEMENT with Either INB, N.A. or MUNICIPAL LEASING CONSULTANTS (MLC), in an Amount not to Exceed $2,067,000.00, with a rate not to exceed 4.00% and a term not to exceed Fifteen (15) Years; C. ADOPT an ORDINANCE Amending the City of Peoria 2020 - 2021 BIENNIAL BUDGET Relating to the Capital Fund to Recognize the Cost to Implement the Streetlight Upgrade Project, in the Amount of $2,067,000.00, and the Corresponding Financing of the Project.

Date	Ver.	Action By	Action	Result
6/23/2020	1	City Council	approved	Pass
6/23/2020	1	City Council	approved	Pass
6/23/2020	1	City Council	adopted	Pass

ACTION REQUESTED:
Title
Communication from the City Manager and Chief Innovation Officer with a Request for the Following:

A. APPROVE and AUTHORIZE the City Manager to Enter into an AGREEMENT with THE EFFICIENCY NETWORK (TEN), in the Amount of $2,066,963.00, for a STREETLIGHT UPGRADE PROJECT of the City-Owned Streetlight System to Reduce Annual Energy and Maintenance Costs Related to the System;

B. APPROVE and AUTHORIZE the City Manager to Enter into a FINANCING AGREEMENT with Either INB, N.A. or MUNICIPAL LEASING CONSULTANTS (MLC), in an Amount not to Exceed $2,067,000.00, with a rate not to exceed 4.00% and a term not to exceed Fifteen (15) Years;

C. ADOPT an ORDINANCE Amending the City of Peoria 2020 - 2021 BIENNIAL BUDGET Relating to the Capital Fund to Recognize the Cost to Implement the Streetlight Upgrade Project, in the Amount of $2,067,000.00, and the Corresponding Financing of the Project.

Body
BACKGROUND: Additional documents to be distributed under separate cover. As outlined in the City's 2020 budget, a request for proposals (RFP) was issued for a budget-neutral approach to upgrade streetlighting within the City to light emitting diodes (LEDs). Upgrading high pressure sodium (HPS) streetlight lamps with more efficient and longer lasting LED lamps will reduce City maintenance costs and lower energy costs paid to utility companies. A physical inventory and an investment-grade audit (IGA) have now been completed and have provided a detailed analysis of the energy and maintenance costs related to the City-owned streetlight system.

This request is for approval to enter into an Agreement based upon the technical and economic analysis provided by TEN. The Agreement outlines a budget-neutral approach to perform LED upgrades to City-owned streetlights that reduce energy and increase operational efficiency. This approach allows the City to pay for today's upgrades with tomorrow's energy savings - without tapping into capital budgets.

An outline...