REPORT TO THE CITY COUNCIL FROM: GEORGEANNE A. WHITE, City Manager Office of Mayor and City Manager BY: KELLY TREVINO, Assistant Director Economic Development Department BILLY ALCORN, Fire Chief Fire Department KELLI FURTADO, Chief of Staff Office of the Mayor SUBJECT ..Title ***RESOLUTION - Adopting the 41st amendment to the Annual Appropriation Resolution No. 2024-122 to appropriate a charitable contribution of $500,000 from Pacific Gas & Electric (PG&E) to fund a small business grant program and the acquisition of chest compression devices for the Fire Department (Requires Five Affirmative Votes) (Subject to Mayor's Veto) ..Body RECOMMENDATION Staff recommends Council adopt the 41st Amendment to the Annual Appropriation Resolution 2024-122 to appropriate a charitable contribution in the amount of $500,000 received from Pacific Gas & Electric Company (PG&E) in Fiscal Year 2025. EXECUTIVE SUMMARY On January 6, 2025, the Mayor's Office led efforts for the City to apply for a charitable donation in the amount of $500,000 from PG&E to fund two independent City of Fresno projects. With the approval of this charitable contribution, $400,000 will be used by the Economic Development Department to fund a Small Business Grant Program. Another $100,000 will be used to fund the purchase of five (5) chest compression devices by the Fire Department. The Economic Development Department will leverage the $400,000 charitable donation with an additional $400,000 approved in the Fiscal Year 2025 (FY25) budget for a total of $800,000 to provide grants to qualified small businesses. BACKGROUND FIRE DEPARTMENT: The Fire Department identified an operational need to purchase automated Cardiopulmonary Resuscitation (CPR) devices to further increase cardiac arrest survivability and place devices on medical squads. In combination with high performance CPR and the utilization of automated chest compression devices, the department has experienced a tremendous increase in the amount of cardiac arrest survivors. The Fire Department currently has six Lund University Cardiopulmonary Assist System (LUCAS) devices. Four devices are placed on medical squads, two are on Engines. The additional devices will provide the department with the opportunity to equip an additional five Engines. The LUCAS device was one of many devices originally evaluated, and ultimately selected, by the Fire Department's Emergency Medical Services (EMS) coordinator and EMS/CPR instructors. LUCAS has been proven safe and effective in large randomized controlled trials, the highest level of clinical evidence. Moreover, American Ambulance (Fresno's ambulance provider), Clovis Fire Department, and almost every hospital in Fresno carries LUCAS devices. The purchase of the additional LUCAS devices is proposed through a sole source purchase. ECONOMIC DEVELOPMENT DEPARTMENT: Escalating energy costs, coupled with wage and lease rate increases, are significantly impacting small businesses who typically operate on thin profit margins. According to input from Fresno businesses working with the department, an increasing number of brick-and-mortar businesses are being forced to pivot significantly, or risk being shut down permanently, as they struggle to remain profitable and compete with their online and big box counterparts. For small, locally owned restaurants that require ovens, fryers, refrigeration systems and other energy-intensive equipment to operate, the burden can be even more substantial. Rising food and lease rates, coupled with mandated wage increases and substantial energy usage required for daily operations, are forcing these restaurant owners to adjust in a number of ways, including reducing operating hours and laying off staff. Some also attempt to mitigate these increasing costs by raising prices, but this is a risky decision that can drive away customers, especially in the food service industry, which equally cash-strapped customers often see as a luxury that can be omitted. By providing qualified Fresno businesses with a grant incentive to help fund energy efficiency upgrades and sustainable improvements to their business, the City can help reduce their energy costs to a more manageable level and support local businesses in remaining competitive and profitable. ENVIRONMENTAL FINDINGS This item is not a project as defined by the California Environmental Quality Act (CEQA) Guidelines Section 15378. LOCAL PREFERENCE Local preference was not implemented because this item does not include an award of a service or construction contract. FISCAL IMPACT The FY 2025 budget included $400,000 in the general fund. Attachment: 41st Annual Appropriation Resolution No. 2024-122