TOWNSHIP OF ESQUIMALT STAFF REPORT
MEETING DATE: May 6, 2024 Report No. DEV-24-2024
TO: Council
FROM: Karen Hay, Policy Planner and Bill Brown, Director of Development Services
SUBJECT: Building Retrofit Study - FCM GMF Grant Application
RECOMMENDATION:
Recommendation
That Council resolves to endorse a municipal application to the Federation of Canadian Municipalities (FCM) Green Municipal Fund (GMF) for a Greenhouse Gas Reduction Pathway Feasibility Study Grant application with a goal to “identify a sequence of GHG reduction measures to reduce GHG emissions for community buildings by at least 50% within 10 years and by at least 80% (i.e. near net-zero GHG emissions) within 20 years” from 2023 (the base year), “while managing capital costs and reducing operating costs”.
That Council has committed to spending $50,000.00 towards a building retrofit study to reduce the GHG emissions from the Township’s corporate buildings as part of its GHG Reduction Roadmap.
And that Council acknowledges that the Township is eligible to only submit one application for the GMF Community Building Retrofit Feasibility (CBF) Study grant offer.
Body
EXECUTIVE SUMMARY:
The purpose of this report is to request Council endorse staff applying to the GMF through a resolution to be included as an essential part of the grant application. Council also needs to commit to the goal of the grant program which is to “identify a sequence of GHG reduction measures to reduce GHG emissions for community buildings by at least 50% within 10 years and by at least 80% (i.e. near net-zero GHG emissions) within 20 years while managing capital costs and reducing operating costs”. Further, Council needs to disclose how much they have committed towards the feasibility study and acknowledge the one identified eligibility limitation, which is that only one application can be submitted. Due to the single application limit, staff have proposed to include five municipal buildings in the study: the recreation centre, the sports centre, the municipal hall, the public works yard, and the park’s nursery.
BACKGROUND:
On January 22, 2024, the Committee of the Whole provided direction that the “Corporate Greenhouse Gas Reduction Road Map (Attachment A) be included in the Council Priorities Plan as an active project”. This direction was ratified by Council on January 29, 2024. Though Council has dedicated funding within the 2024 budget towards the Roadmap project, further funding could open up opportunities for a more robust retrofit study, and future funding opportunities.
ANALYSIS:
The FCM’s Green Municipal Fund (GMF) offers some of the best funding in Canada for retrofitting of municipal buildings. In order to qualify for this funding a municipality would have to show that it has completed a feasibility study that meets the FCM’s criteria. By applying for the Greenhouse Gas Reduction Pathway Feasibility Study, additional funding will provide for a more robust building retrofit feasibility study. Staff have completed the pre-application process and have been granted preliminary approval with an invite to complete a full application. The GMF offers varying grant programs for reducing municipal greenhouse gas emissions, lowering operating costs, and improving the building quality user experience, within the Community Buildings Retrofit (CBR) program. A feasibility study funded by and endorsed by FCM appears to offer the best possibility for future building retrofit funding.
It is estimated that it would be three to four months from full application submission to announcement of grant approval. The Roadmap project could continue to proceed prior to hearing from FCM, with work underway to hire a study consultant. Staff are also proposing to use 2023 as the base year for the feasibility study, as the base year must be within three years of the application submission, and 2023 was one of the busiest years post-pandemic for the recreation centre and sport centre.
BC Hydro has also been contacted and they have indicated they could provide some funding to top up FCM funding and would use the FCM GMF application as their application documentation.
Environmental Impact:
Retrofitting Esquimalt’s buildings “to reduce GHG emissions for community buildings by at least 50% within 10 years and by at least 80% (i.e. near net-zero GHG emissions) within 20 years” would be an essential step towards becoming a 100 per cent renewable energy community by 2050, one of Esquimalt’s climate action goals.
The FCM emphasizes multisolving in their granting programs. Multisolving is defined as the pooling of expertise, funding, and political will to solve multiple problems with a single investment of time and money (Elizabeth Sawin). Under a multisolving process, a building retrofit feasibility study with GMF funding would involve community engagement to investigate further economic and social benefits that could be gained with possible future building retrofits. This could include improvements to life safety, accessibility, skills training, to the extension of the facilities’ lifespan, lowering of operating costs, and the potential for increased revenue generation.
OPTIONS:
1. Resolve to endorse a municipal application to the Federation of Canadian Municipalities (FCM) Green Municipal Fund (GMF) for a Greenhouse Gas Reduction Pathway Feasibility Study Grant application with a goal to “identify a sequence of GHG reduction measures to reduce GHG emissions for community buildings by at least 50% within 10 years and by at least 80% (i.e. near net-zero GHG emissions) within 20 years” from 2023 (the base year), “while managing capital costs and reducing operating costs”.
That Council has committed to spending $50,000.00 towards a building retrofit study to reduce the GHG emissions from the Township’s corporate buildings as part of its GHG Reduction Roadmap;
And that Council acknowledges that the Township is eligible to only submit one application for the GMF Community Building Retrofit Feasibility (CBF) Study grant offer.
2. Not endorse the application and instruct staff to proceed with the Roadmap project without assistance from a Green Municipal Fund grant.
COUNCIL PRIORITY:
Climate Resilience and Environmental Stewardship
Engaged and Healthy Community
FINANCIAL IMPACT:
The staff hours taken to prepare the grant application are minimal, especially when compared to the potential benefits of the building retrofit study and possible subsequent grants for completion of retrofits to Esquimalt’s buildings.
COMMUNICATIONS/ENGAGEMENT:
Completion of the application has been a joint effort between Development Services, Parks and Recreation, and Engineering and Public Works staff. The building retrofit study will involve further involvement of staff, consultant, the Environment, Parks and Recreation Advisory Committee, community members, and local First Nations if they choose to be involved.
The Songhees, Esquimalt First Nations would be contacted to determine their desired level of participation in the feasibility study project. A letter would be sent to the Nations, to inform them of the project and gauge their interest in participation as they have similar facilities they may be interested in engaging in this project.
TIMELINES & NEXT STEPS:
Provide an overview of the anticipated timeline to complete the recommended action(s)
• Pre-application approved by FCM staff March 2024
• Full application submission May 2024
• Full application anticipated approval end of August 2024
• Consultant hired to begin the study September 2024
• Study Completion January 2025
REPORT REVIEWED BY:
1. Bill Brown, Director of Development Services, Reviewed
2. Deb Hopkins, Director of Corporate Services, Reviewed
3. Ian Irvine, Director of Finance, Reviewed
4. Dan Horan, Chief Administrative Officer, Concurrence
LIST OF ATTACHMENTS:
Attachment A - Corporate Greenhouse Gas Reduction Roadmap
Attachment B - cbr-ghg-reduction-pathway-feasibility-study-guidance