Fresno City Council Approved $18 Million in Energy Upgrades for Parks and Police Buildings

In February 2022, Fresno City Council approved an $18 million contract to upgrade lighting, heating, cooling, and electrical systems at city parks and public safety facilities across Fresno.

The council awarded the design-build contract to Alliance Building Solutions, Inc., with financing provided through Alliance Funding Solutions, Inc. The financing agreement is a 15-year term at an interest rate not to exceed 2.62%. Pacific Gas and Electric is providing an additional $1.76 million through a zero-interest on-bill financing program.

The upgrades include LED lighting replacements, new HVAC equipment, system controls and monitoring technology, and transformer improvements. The work covers facilities managed by the Parks, After School, Recreation and Community Services Department and the city’s public safety buildings.

The Breakdown

• Total contract: $17,947,480 to Alliance Building Solutions for design and installation
• Financing: 15-year term at interest rate not to exceed 2.62% through Alliance Funding Solutions, Inc., plus $1,757,712 from PG&E at 0% interest through an on-bill financing program
• Scope: LED lighting, HVAC replacements and upgrades, monitoring systems, and transformer improvements
• Buildings affected: Parks department facilities and public safety buildings citywide
• On-bill financing: A loan arrangement where the borrower repays through their utility bill, with PG&E providing this loan at zero percent interest

What This Means for You

The Fresno City Council’s February 2022 vote committed the city to loan payments on this $18 million contract stretching through 2037. The council approved a 15-year financing agreement with Alliance Funding Solutions, Inc. at an interest rate not to exceed 2.62%, plus the separate zero-interest financing from PG&E.