AGENDA TITLE:
title
Adopt a Resolution Authorizing Expansion of DIY Commercial Lighting Pilot Program to Additional Commercial Corridors (EU)
end
MEETING DATE:
August 20, 2025
PREPARED BY:
Melissa Price, Assistant Electric Utility Director
recommendation
RECOMMENDED ACTION:
Adopt a resolution authorizing the expansion of the DIY Commercial Lighting Pilot Program to additional commercial corridors.
body
BACKGROUND INFORMATION:
On April 2, 2025, City Council authorized a no-cost amendment to Lodi Electric Utility’s (LEU) contract with Efficiency Services Group, LLC (ESG) for implementation of a DIY commercial lighting pilot program on Central Avenue between Lodi Avenue and Tokay Street, and between Cherry Street and Watson Street.
Shortly after Council approval, LEU staff worked with ESG to establish a list of businesses in the area which were all contacted by mail, in person, or both regarding program requirements and offerings. A marketing flyer was created and distributed in both English and Spanish. As a reminder, the pilot program was established using existing funds of approximately $300,000 available as a result of reduced demand for LEU’s residential direct install program. The original DIY commercial lighting pilot program and initial target area was established in consultation with Luis Aguilar, the City’s Economic Development Director, to provide businesses with an additional resource to enhance the efficiency, safety and aesthetics of their establishment, while advancing the Council’s goals by expanding economic opportunities in the Central Avenue commercial corridor. The scope of the effort includes ESG’s assessment of existing lighting, identification of specific lighting retrofit fixtures, as well as delivery and inspection of the installations. Business owners are able to install the improvements themselves, or hire a contractor for a more extensive replacement.
Unfortunately, ESG has reported initial demand as less than expected. Many properties in the area are either residential or smaller commercial entities with very minor upgrade needs. Originally, three businesses indicated interest in participating, with two having signed participation agreements. ESG recently informed LEU that only one of the two signed projects will be going through. One business backed out of participating and the third business has yet to respond. The only confirmed project has an estimated project cost of less than $3,000.
Following discussions with ESG and Director Aguilar, LEU is proposing to expand outreach efforts and program offerings to the Cherokee Lane commercial corridor and possible additional areas in consultation with Director Aguilar, to maximize potential opportunities and savings as part of this initial pilot program prior to the expiration of ESG’s contract at the end of this fiscal year. Funding will continue to be made available to the Central Avenue corridor and funds will be distributed on a first come, first served basis.
This effort will continue to enhance LEU’s existing robust portfolio of energy efficiency rebates and financial assistance programs available to commercial and industrial customers.
STRATEGIC VISION:
2B. Economic Development: Expand and diversify economic opportunities.
FISCAL IMPACT:
Not applicable.
FUNDING AVAILABLE:
Funds included in ESG’s existing authorized contract.