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HomeMy WebLinkAboutResolutions - No. 2017-43RESOLUTION NO. 2017-43 A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING THE CITY MANAGER TO EXECUTE A THIRD PHASE AGREEMENT FOR RENEWABLE ENERGY POWER PURCHASE AGREEMENT WITH THE NORTHERN CALIFORNIA POWER AGENCY WHEREAS, the City of Lodi (Lodi) is a signatory to the Joint Powers Agreement (JPA) which created the Northern California Power Agency (NCPA) and therefore is a Member; and WHEREAS, Lodi and other NCPA Members have executed the Amended and Restated Facilities Agreement which establishes the framework under which Project Agreements are created for the development, design, financing, construction, and operation of specific NCPA Projects; and WHEREAS, Lodi is a signatory to the Second Phase Agreement for Renewable Energy Power Purchase Agreement (PPA) with NCPA, whereby Lodi agreed to fund NCPA work activities related to the identification of renewable energy resources and negotiation of a power purchase agreement on Lodi's behalf under a total not -to -exceed cost to all NCPA participants of $35,000; and WHEREAS, Lodi and other Members desire NCPA to enter into a Renewable Energy PPA for the Antelope Expansion 1 B Solar Project (Project), a 17 -megawatt photovoltaic plant to be constructed in Los Angeles County; and WHEREAS, under the terms of the PPA, NCPA will purchase the electrical output, capacity attributes, renewable energy credits, and all other environmental attributes associated with the Project from sPower (dba Antelope Expansion 1 B, LLC) over a 20 -year delivery term at $39 per megawatt hour (MWh); and WHEREAS, the Project is anticipated to be completed by December 2021; and WHEREAS, the Third Phase Agreement for Renewable Energy Power Purchase Agreement with NCPA (Agreement) is a contract between NCPA and the Port of Oakland and the cities of Biggs, Gridley, Healdsburg, and Lodi; and WHEREAS, the Agreement facilitates the transfer of all costs, obligations, and benefits associated with the PPA from NCPA to the signatories to the Agreement in proportion to each signatory's Project Participation Percentage as identified in the Agreement, for the life of the PPA; and WHEREAS, Lodi's Project Participation Percentage share of the PPA will produce approximately 30,000 MWh of renewable energy products per year, which can be used to meet Renewables Portfolio Standard requirements, at an annual cost of approximately $1,170,000; and WHEREAS, on January 27, 2017, the Risk Oversight Committee received a report and recommended approval of the Agreement with NCPA. NOW, THEREFORE, BE IT RESOLVED that the Lodi City Council hereby authorizes the City Manager to execute a Third Phase Agreement for Renewable Energy Power Purchase Agreement with the Northern California Power Agency for the Antelope Expansion 1 B Solar Project. Dated: March 15, 2017 I hereby certify that Resolution No. 2017-43 was passed and adopted by the City Council of the City of Lodi in a regular meeting held March 15, 2017, by the following vote: AYES: COUNCIL MEMBERS — Chandler, Johnson, Nakanishi, and Mayor Kuehne NOES: COUNCIL MEMBERS — None ABSENT: COUNCIL MEMBERS — Mounce ABSTAIN: COUNCIL MEMBERS — None NIFER FERRAIOLO Ity Clerk 2017-43