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HomeMy WebLinkAboutMINUTES - 03261985 - X.4 T0:' BOARD OF SUPERVISORS FROM: J. MICHAEL WALFORD, PUBLIC WORKS DIRECTOR <-DATE: March 26, 1985 SUBJECT: SB 880 (Greene) eci is Request(s) or Recommendation(s) & Bac group us i ica ion RECOMMENDATION Adopt a position of support in principle to SB 880 (Greene) which appropriates $40 million from the federal Petroleum Violation Escrow Account Fund for local energy projects) . FINANCIAL IMPACT: Adoption of a position on SB 880 has no immediate financial impact for Contra Costa County. However, if PVEA Funds are made available to California and if this bill becomes law, then the County would become eligible to compete for financial assistance under the pro- visions of the bill . REASONS FOR RECOMMENDATION/BACKGROUND The federal Petroleum Violation Escrow Account (PVEA) funds were established to provide compensation to energy users who are overcharged by oil companies that violated federal oil price control regulations. The State of California may receive up to $160 million from PVEA in the next year and up to $500 million over the next five years. (However, note that the Reagan Administration has proposed to use these funds for other purposes) . , SB 880 (Greene) would provide $40 million from the PVEA account for training, management, and project assistance for local jurisdictions. Training and management assistance would be provided through grants ($2 million) . Energy project assistance would be provided through loans ($37.5 million) and additional $500,000 would be available for outreach to local government. Continue on attachment: X yes Signature: omnen a ion o oun y i s ra r- ecommen a ion o r e Approve Other: Signature(s): Action of Board on: Approved as Recommended_ Other Vote of Supervisors I HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT COPY OF AN ACTION TAKEN Unanimous (Absent ) AND ENTERED ON THE MINUTES OF THE Ayes: Noes: BOARD OF S ERYISORS ON DATE SHOWN. Absent: Abstain: Attested (, Iq 95 Orig. Div.: Public Works (Energy) Phil Batchelor cc: CSAC (via Public Works) Clerk of the Board of Supervisors and County Administrator By � ' DEPUTY SMH:md 32285.t3 f -2- In 2-In principle, SB 880 will ensure that local government 'receives its fair share of PVEA funding. However, certain provisions need to be fine-tuned in such areas as: 1 . Criteria for Funding Eligibility - the bill defines local jurisdictions as "local government, school districts, indian tribes and other local jurisdiction." This puts- local government in direct competition with school districts for energy efficiency projects, even though other Federal monies are available to schools for this specific purpose. 2. Type of Assistance - the energy project assistance portion of the bill provides for loans for energy projects, energy efficiency, and power production projects, as well as traffic and vehicle fleet management. However, traffic projects do not have a "pay back" and therefore would not be appropriate for loans. Grants should be available in this area. 3. Term of Loans - a six year term is set for all loans which may not be adequate for power production projects. CSAC, the League of California Cities and staff will be working with represen- tatives from the Senate Office of Research and Senator Greene to discuss refine- ments of the bill . At this time, however, a position of support in principle would indicate the need for financial assistance to local government for energy projects.