HomeMy WebLinkAbout7/5/2022 Item 6b, Hermann / Read - Staff Agenda CorrespondenceCity of San Luis Obispo, Council Memorandum
City of San Luis Obispo
Council Agenda Correspondence
DATE: July 5, 2022
TO: Mayor and Council
FROM: Greg Hermann, Deputy City Manager
Chris Read, Sustainability Manager
VIA: Derek Johnson, City Manager
SUBJECT: ITEM 6b - INTRODUCTION OF TWO ORDINANCES SUPPORTING THE
CLEAN ENERGY FOR NEW BUILDINGS PROGRAM
Staff received a comment regarding the proposed technical exemption for process loads
(see Item 6b, Attachment A, Section 8.10.050.A.b) in a newly constructed industrial or
manufacturing facility. The comment expressed concern that the proposed process for
allowing Natural Gas Infrastructure when a tenant is not known at time of building permit
application may have unintended consequences on their newly constructed industrial or
manufacturing facility. As a proposed solution, the comment suggested removing the
requirement that an exemption be provided “pending review of initial tenant occupancy.”
Staff Reply: The intent of the proposed language in 8.10.050.A.b is to ensure that an
exemption issued for process load would be narrow and to otherwise require projects
to electrify end uses and not be used to also install Natural Gas Infrastructure for
domestic hot water, HVAC, or other non -process load appliances. However, staff
agrees with the public comment that the proposed language may lead to uncertainty
in some instances when a future tenant’s specific needs that might warrant an
exemption are not yet known.
The draft Ordinance provided in Attachment A of the Counci l Agenda Report already
has a process in place to support electrification of viable end uses in projects that
have exemptions for specific end uses (See Section 8.10.050.C). With this process in
place, should Council support amending the exemption as requested, staff would
recommend amending Section 8.10.050.A.b as follows:
b. Process Loads in a Newly Constructed Manufacturing and Industrial
Facility. For a Manufacturing and Industrial facilities facility with unknown
future tenants, an exemptions may be provided that allows the extension of
Natural Gas Infrastructure into the building at time of construction to support
future Process Loads. pending review of initial tenant occupancy.
Staff will be prepared to address this item and answer any questions at the Public
Hearing on July 5, 2022.