City of Culver City, California
City Council Agenda Item Report
1
RECOMMENDATION:
Staff recommends the City Council:
1. Introduce an ordinance establishing a mandatory 1 kilowatt (“kw”) solar
photovoltaic requirement for each 10,000 square feet of gross floor area of
new construction, or fraction thereof, for commercial, industrial and multi-
family projects. This requirement would not apply to one and two family
homes, renovations and additions, parking garages and parking structures;
and,.
2. Adopt a resolution establishing the amount and process for the collection,
utilization and return of in-lieu fees contemplated by the Ordinance.
BACKGROUND / DISCUSSION:
On June 18, 2007, the City Council directed staff to develop a Solar Photovoltaic
Ordinance subject to approval of the California Energy Commission (“CEC”). The
intent of the ordinance is to require photovoltaic electricity production for on-site
energy consumption and reduce carbon emissions generated by buildings. A 1 kW
solar voltaic system produces 1,151 kilowatt hours (“kwh”) annually which, in turn,
reduces carbon emissions by 940 pounds each year.
On June 21, 2007, the CEC unanimously approved Culver City’s application for a
"Locally Adopted Energy Standard," with one revision. The previously proposed
Meeting Date: 01/22/08 Item Number: A-2
AGENDA ITEM: 1) Introduction of an Ordinance Establishing a Mandatory 1
Kilowatt Solar Photovoltaic Requirement for Each 10,000 Square Feet of Gross
Floor Area of New Construction for Commercial and Multi-Family projects; and 2)
Adoption of a Resolution Establishing the Amount and Process for the
Collection, Utilization and Return of In-Lieu Fees Contemplated by the Ordinance.
Contact Person/Dept.: Craig Johnson/
Building Safety Division
Phone Number: (310) 253-5802
Fiscal Impact: Yes [X] No [] General Fund: Yes [X] No []
Public Hearing: [] Action Item: [X] Attachments: [X]
Public Notification: Major commercial, industrial and multifamily builders on file
(01/03/08); Master Notification List (1/16/08).
Department Approval:
Sol Blumenfeld (01/14/08)
City Attorney Approval:
Carol Schwab (by H. Baker)(01/15/08)
Fiscal Impact Review:
Jeff Muir (01/15/08)
City Manager Approval:
Jerry B. Fulwood (01/16/08) City of Culver City, California
City Council Agenda Item Report
2
"one empty conduit" requirement for projects not qualifying for mandatory solar
photovoltaic, as set forth in the draft ordinance, was not approved by the CEC and
as such has been removed from the proposed Ordinance. (Attachment 1)
On July 16, 2007, staff returned to City Council with a revised ordinance based upon
the CEC’s approval. At that time staff clarified that the ordinance was intended to
apply to all new construction, with the exceptions noted above, regardless of size.
However, the Council had several questions and concerns. Staff utilized the time
Between the Council’s discussion on July 16 and this evening’s presentation, to
refine the proposed ordinance. Therefore, the following additional items are being
presented as part of this evening’s item for the City Council’s consideration. (1)
Clarifying the minimum project size and building additions vs. new construction, (2)
rounding to meet the required fractional equivalent for a required photovoltaic
system, (3) in lieu payment and (4) on-site installation options. Due to these
changes to the Ordinance, it must be re-introduced. However, staff has confirmed
with the CEC that the ordinance does not need to return to them for approval prior to
Council’s adoption.
Additionally, responses to the questions posed at prior meetings are presented
below:
1. Required thresholds – Does the requirement apply to projects less than
10,000 sq. ft.? What is the requirement for projects 10,000 sq. ft. or
greater and how is the project requirement established when the area
calculation does not result in a whole number? Is the square footage
determined by the footprint of the building?
The revised floor area threshold requirement in the proposed Ordinance now
applies only to new construction projects of 10,000 sq. ft. or greater with the
requirement determined by the gross floor area rather than building footprint.
For example, a qualifying three-story building with 3,334 s.f. per floor would
meet the minimum 10,000 s.f. threshold. (Qualifying projects include
commercial, industrial and multifamily residential projects. One and two family
structures, garages and parking structures are exempted from the proposed
Ordinance).
With regard to projects of 10,000 s.f. or greater, the project applicant will be
required to install 1 kw of solar photovoltaic, or fraction thereof. For example, a
15,000 s.f. qualifying project would be required to install 1.5 kw of solar energy
production; a 28,000 s.f. qualifying project would be required to install 2.8 kw,
and so on. Solar systems range in size from 175 watt to 200 watt panels. As
such, it is possible that new construction projects can meet the proposed
energy requirements in fractional energy loads. Staff recommends rounding City of Culver City, California
City Council Agenda Item Report
3
down to the nearest whole number to establish the required number of
photovoltaic energy panels. Thus the calculation to establish the total number
of required panels is determined by multiplying the project square footage by
0.1 (to determine the total required energy production capability of the system
in watts) and dividing that number by the energy production capability (in watts)
of a single panel of the type utilized by the project, then rounding down to the
nearest whole number to determine the total number of panels required.
Example:
15,000 sq ft x 0.1= 1500 watts total system requirement
1500w / 175-watt panels = 8.57 panels
1500w / 200-watt panels = 7.5 panels
Rounded down to nearest whole number = 8 panels required at 175 watts
each or 7 panels required at 200 watts each
Section 15.02.1005 of the proposed Ordinance has been revised accordingly:
“For qualifying projects, the number of panels required for any
given system shall be the total required energy production of the
project, divided by the energy production capability of a single
panel as specified on the project, rounded down to the nearest
whole number.”
The systems can typically be accommodated on new project roof areas, even
when there is significant gross floor area in a project. Each panel is
approximately 4’ x 6’ so in the 8 panel system described above, only 192 sq. ft.
of roof or surface area would be required. If a project was 75,000 sq. ft., 37
panels would be required at 200 watts per panel, which would only require 888
sq. ft.
2. Does the requirement apply to building additions?
As currently proposed, all qualifying new construction projects greater than
10,000 sq. ft. must conform to the proposed Ordinance. The revised ordinance
is directed at new building projects and specifically excludes renovations or
additions to existing buildings and one and two family residences, garages and
parking structures. Section 15.02.1005 of the proposed Ordinance provides
that all new buildings with 10,000 sq. ft. or more of gross floor area are subject
to the requirement to install photovoltaic systems.
It is important to note that the Building Code identifies alterations and new
construction as new freestanding buildings and several smaller areas of City of Culver City, California
City Council Agenda Item Report
4
additions. In the event that there is a dispute about the application of the
Ordinance, a building permit applicant may file an appeal with the City’s
Building & Safety Board of Appeal.
3. Other than solar photovoltaic, what alternate energy production could
be used to satisfy the requirement?
Staff originally proposed to the CEC that the requirement include solar hot
water heating or other renewable energy sources as alternates. The CEC staff
specifically required that other alternate energy sources be excluded due to the
energy output of other means being much more unpredictable. The output of
solar photovoltaic systems are reasonably predictable based on the type of
panels, the mounting configuration of the panels, the annual percentage of
cloud cover of the specific area (in this case Culver City), and the estimated
dust coverage of the solar panels.
Staff has investigated with other cities the potential use of windmills to satisfy
the alternate energy requirement. These cities have reported neighborhood
complaints related to noise and view problems associated with windmills. Due
to these concerns, staff does not recommend that windmills be included as an
alternate means of complying with the Ordinance. An individual may
nevertheless voluntarily install a windmill on their property, provided, they are
able meet all City Building and Zoning Code requirements, as well as all other
applicable County requirements.
4. Can a project applicant install a solar photovoltaic system on another
building rather than pay the in-lieu fee?
The proposed Ordinance provides that a project applicant who is unable to
meet the solar photovoltaic requirement as part of a proposed project because
it is infeasible or impractical to do so because of spatial constraints, may elect
to meet their requirement in two options:
Pay to the City an in-lieu fee in an amount equivalent to the cost of the
required solar photovoltaic system. The in lieu fee would then be used for the
installation of a solar photovoltaic system on existing City buildings. This action
would require that the City Council adopt a resolution outlining the process to
utilize the collected funds for installation on existing city buildings; or
Install a solar photovoltaic system equivalent to the requirement on another
location on the property as approved by the Building Official.
City of Culver City, California
City Council Agenda Item Report
5
5. What are the exceptions to the requirement? Should the discretion to
waive the requirement be placed with the Community Development
Director rather than the Building Official?
The proposed Ordinance provides that the Building Official may waive the
requirement where it is satisfied through other means or is unduly burdensome
or impractical. For example, it may be waived where a project has a LEED
Certification and is meeting the low energy impact intent of the Ordinance
without any solar photovoltaic system being installed. In such a situation, it
may be acceptable to waive the requirement.
Consistent with the Building Official’s purview over most of the Building Code,
the discretion to waive such requirement most appropriately resides with the
City’s Building Official, however, such matters may also be referred City’s
Building Safety Appeals Board or to the Community Development Director who
may refer the matter to the City’s Appeals Board for review.
To illustrate a sample project, the following example is provided:
A three story building with 3,334 sq. ft. of gross floor area per floor would meet
the minimum 10,000 sq. ft. qualification requiring installation of a 1 kw
photovoltaic system (3,334 sq. ft./floor x 3 floors = 10,002 Sq. ft. of gross floor
area). A 1 kw system would cost approximately $11,000 and the estimated
payback would be 16.5 years. However, due to the added energy savings for a
project, if the system is financed as part of overall building construction, this
payback may produce a positive cash flow of $3.00 per month or $34 per year
based on a 30 year loan and including Federal tax credits and State tax
rebates. The system will also produce energy savings of 1,151 kw hours per
year resulting in the economic benefit of energy savings irrespective of project
financing. As proposed, the proportionate cost for the energy system is less
than one-half of one percent of the overall building construction cost.
FISCAL ANALYSIS:
From the City’s perspective there will be less reliance upon utilities and less UUT
revenue generated on a per project basis. The 10,000 sq. ft. threshold means that
the effect will be small. (For example, if the proposed Ordinance had been in full
effect in FY 06-07, it is estimated there would have been a loss of $836 in UUT
revenues for all qualifying projects).
City of Culver City, California
City Council Agenda Item Report
6
ATTACHMENTS:
1. Staff Reports of June 18
th
and July 16
th
, 2007
2. Application to the California Energy Commission
3. Proposed Ordinance
4. Proposed Resolution
MOTIONS:
That the City Council:
1. Introduce the Ordinance establishing a mandatory 1 kw solar photovoltaic
requirement for each 10,000 square feet of gross floor area of new
construction for commercial, industrial and multi-family projects; and,
2. Adopt a Resolution establishing the amount and process for the collection,
utilization and return of in-lieu fees contemplated by the Ordinance.
MEETING DATE: January 22, 2008
AGENDA ITEM : Introduction of an Ordinance Establishing a Mandatory 1 Kw
Solar Photovoltaic Requirement for Each 10,000 Square Feet of Gross Floor
Area of New Construction for Commercial and Multi-Family projects.
ATTACHMENTS
Pages
1. Staff Report of June 18, 2007 1-6
2. Staff Report of July 16, 2007 7-14
3. Application to the California Energy Commission
15-21
4. Proposed Ordinance 22-26
ORDINANCE NO. 2007-
AN ORDINANCE OF THE CITY OF CULVER CITY,
CALIFORNIA, AMENDING CHAPTER 15.02 OF
THE CULVER CITY MUNICIPAL CODE TO ADD
SUBCHAPTER 15.02.1000, et seq., ESTABLISHING A
MANDATORY 1KW SOLAR PHOTOVOLTAIC
REQUIREMENT PER 10,000 SQUARE FEET OF
GROSS FLOOR AREA OF NEW CONSTRUCTION.
WHEREAS, California Health and Safety Code §13146 requires local
jurisdictions to enforce the California Code of Regulations (CCR), Title 24, also known
as the California Building Standards Code; and
WHEREAS, California Health and Safety Code § 17958(a) allows local
jurisdictions to establish more restrictive building standards than those contained in the
California Building Standards Code, if the amendment is reasonably necessary because of
local climatic, geological, or topographical conditions; and
WHEREAS, California Public Resources Code §25402.1 states that a
local agency may adopt more restrictive energy standards when they are cost-effective
and approved by the California Energy Commission (“CEC”); and
WHEREAS, energy efficiency is an important part of a sustainable
Culver City, and Culver City is part of the greater Los Angeles Basin, which climate and
topography are known to trap air pollutants that are known to be harmful to human
health; and
WHEREAS, solar photovoltaic power generation consumes no fossil
fuels, generates no air pollution and will therefore increase energy efficiency and will
reduce air pollution in the Los Angeles Basin and Culver City; and
WHEREAS, the City Council of the City of Culver City desires to establish a mandatory 1kw solar photovoltaic requirement per 10,000 square feet of new
construction for commercial and multi-family projects; and
WHEREAS, on June 21, 2007, the CEC approved the City’s application
for a “Locally Adopted Energy Standard” for a mandatory 1kw solar photovoltaic
requirement per 10,000 square feet of new construction for commercial and multi-family
projects.
NOW THEREFORE, the City Council of the City of Culver City,
California, DOES HEREBY ORDAIN as follows:
SECTION 1. Based on the foregoing recitations and findings, Chapter
15.02 of the Culver City Municipal Code is hereby amended to add subchapter
15.02.1000, et seq. as follows:
SOLAR PHOTOVOLTAIC SYSTEMS
§15.02.1000 Definitions.
§15.02.1005 Requirement.
§ 15.02.1010 Exceptions.
§ 15.02.1015 Building Permit Fees and Inspections.
§ 15.02.1000 DEFINITIONS.
Terms defined herein shall have the following meanings when
used in
this Subchapter:
Building Official shall mean the Building Official of the City of
Culver
City or his or her designee.
California Energy Efficiency Standards shall mean the California
Energy Efficiency Standards set forth in Title 24, Part 6 of the California
Code
of Regulations.
City shall mean the City of Culver City.
Solar Photovoltaic System shall mean a system that generates
electricity from the sun.
§ 15.02.1005 REQUIREMENT.
All new buildings of 10,000 square feet or more of gross floor
area, excluding one and two family residences, parking structures,
garages, and renovations or additions to existing buildings, shall be
equipped with a 1kw solar photovoltaic system per each 10,000 square
feet of gross floor area, or fraction thereof. Fractioned requirements may
be rounded down within 200w to comply with the provisions of this
Section. § 15.02.1010 EXCEPTIONS.
An applicant who is unable to install the required solar
photovoltaic system due to the configuration of the proposed construction
project shall comply with one of the following options in order to satisfy
the requirements set forth in Section 15.02.1005:
A. In-lieu Fee. An applicant shall pay an in lieu fee in an
amount equal to the cost of a solar photovoltaic system installed in a
comparable project. Fees generated from in lieu payments pursuant to this
subsection, shall be appropriated and disbursed only for solar photovoltaic
designs and installations on City properties or facilities. The process for
the collection, utilization and return of fees contemplated by this Section
shall be established by resolution of the City Council.
B. Alternate Location. An applicant shall install a solar
photovoltaic system equivalent to a system installed in a comparable
project on another building owned by the applicant.
§ 15.02.1015 BUILDING PERMIT FEES AND
INSPECTIONS.
A. All plan check and permit fees shall be waived for solar
photovoltaic installations.
B. The value of the required solar photovoltaic system shall
not be required to be included in the overall construction valuation of the
project for the purposes of determining building permit fees.
C. No final inspection shall be approved for a construction
project subject to the requirements of this Subchapter, nor shall a
temporary or final certificate of occupancy be issued for such project,
prior to the installation of the solar photovoltaic system being completed,
inspected and fully operational, unless otherwise excepted pursuant to
Section 15.02.1010.
SECTION 2. Pursuant to Section 619 of the City Charter, this Ordinance
shall take effect thirty (30) days after the date of its adoption. Pursuant to Sections 616
and 621 of the City Charter, prior to the expiration of fifteen (15) days after the adoption,
the City Clerk shall cause this Ordinance, or a summary thereof, to be published in the
Culver City News and shall post this Ordinance or a summary thereof in at least three
places within the City.
SECTION 3. The City Council hereby declares that, if any provision,
section, subsection, paragraph, sentence, phrase or word of this ordinance is rendered or
declared invalid or unconstitutional by any final action in a court of competent
jurisdiction or by reason of any preemptive legislation, then the City Council would have
independently adopted the remaining provisions, sections, subsections, paragraphs,
sentences, phrases or words of this ordinance and as such they shall remain in full force
and effect.
APPROVED AND ADOPTED this day of , 2007.
ALAN CORLIN, Mayor
City of Culver City,
California
ATTEST: APPROVED AS TO FORM:
CHRISTOPHER ARMENTA, City Clerk CAROL A. SCHWAB, City
Attorney