DATE: October 20, 2026
TO: Mayor and City Council
FROM: Director of Public Works
SUBJECT
Title
Adopt a Resolution Modifying the Heat Pump Water Heater Direct Installation Program
End
RECOMMENDATION
Recommendation
That the City Council adopts a resolution (Attachment II) approving expansion of the eligibility area for the Heat Pump Water Heater Direct Installation Program (Program) to include all properties within the City of Hayward.
End
SUMMARY
In September 2023, City Council approved a $1.25 million expenditure plan for the Calpine Clean Energy Fund, including $328,000 for heat pump water heater (HPWH) installations for income-qualified households in three census tracts near the Russell City Energy Center (RCEC). The Program launched in September 2025 and is administered by Larratt Bros Plumbing, Inc. (LBP).
To date, the Program has completed 22 installations and has approximately $132,404 remaining, which is estimated to fund approximately 15 additional installations. Despite extensive outreach within the existing eligibility area, participation has been lower than anticipated. At its meeting on September 14, 2026, Council Sustainability Committee (CSC) recommended that the City Council expand program eligibility to include all properties within the City of Hayward. As such, staff recommends expanding eligibility citywide to increase participation and ensure that the remaining program funds can benefit additional income-qualified Hayward households.
ATTACHMENTS
Attachment I Staff Report
Attachment II Resolution