WASTEWATER QUALITY CONTROL FACILITYSOLAR PHOTOVOLTAIC & BATTERY ENERGY STORAGE SYSTEM PROJECTDELIVERY PURSUANT TO GOVERNMENT CODE 4217 ATTACHMENT 5
CALIFORNIA GOVERNMENT CODE §4217
California Government Code, Title 1 – General , Division 5 – Public Works and Public Purchases, Chapter 3.2 — Energy Conservation Contracts, §§4217 Allows the City to implement and finance energy-conservation improvements through a flexible energy-services contracting process when Council makes the following findings:
Project is in the City's best interest
Energy savings will be greater than anticipated project costs Energy savings will be grater than project financing + project costs No issues with fair rental value associated with land lease ATTACHMENT 5
The Problem
WQCF PG&E Costs
July $247,629.07
August $259,994.86
Approximately $2.5 million annually
Increased 10% last 5 years
Increased 7.5% last 10 years
Increased 6% last 15 years
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Do nothing
No PG&E increases
No change in power usage
$25 million cumulative over the next 10 years
The Proposal
Floating Solar Panels
Battery Storage
Approximate cost $15 to 18 million
Up to $6 million in federal incentives, if completed by end of 2027 ROI 8 years
Solar Panel Life Expectancy 25 years
Battery Life Expectancy 20 years
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100% PAYGO
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FRONT $2M, FINANCE $16M
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Recommendation
Find that the
Project is in the City's best interest
Energy savings will be greater than anticipated project costs Energy savings will be grater than project financing + project costs There is no issues with fair rental value associated with land lease Approve the Project and any related agreement(s) pursuant to CGC §4217 Amend FY27 Capital Improvement Program to include the Project Assigning a new Project Number
Disencumber
$910,442.00 from CIP 12013 – WQCF Alternaitve Energy Development Fund 640 (640.00.00.900-8450.03) $1,089,558.00 from CIP 12013 – WQCF Alternaitve Energy Development Fund 640 (640.00.00.900-8450.20) Appropriating $2,000,000.00 from Fund 640 to the Project Awarding the PDB Agreement for Services to Willdan for an amount not-to-exceed $15,000,000 with an additional $3,000,000 in contingency available via written authorization for a total not-to-exceed amount of $18,000,000 Approving a Project contingency of $3,000,000; and authorizing the City Manager or designee to take all appropriate actions necessary to carry out the purpose and intent of the resolution.
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QUESTIONS?THANK YOU!
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