HomeMy WebLinkAboutMinutes - February 27, 2018 SSLODI CITY COUNCIL
SHIRTSLEEVE SESSION
CARNEGIE FORUM, 305 WEST PINE STREET
TUESDAY, FEBRUARY 27, 2018
A. Roll Call by City Clerk
An Informal Informational Meeting ("Shirtsleeve" Session) of the Lodi City Council was held
Tuesday, February 27, 2018, commencing at 7:01 a.m.
Present: Council Member Chandler, Council Member Kuehne, and Mayor Nakanishi
Absent: Council Member Johnson, and Mayor Pro Tempore Mounce
Also Present: City Manager Schwabauer, City Attorney Magdich, and City Clerk Ferraiolo
B. Topic(s)
B-1 Northern California Power Agency Solar Project (EU)
Electric Utility Rates & Resources Manager Melissa Price provided a PowerPoint presentation
regarding the Northern California Power Agency (NCPA) solar project. Specific topics of
discussion included project highlights, project phases, Lodi project candidate sites, project costs,
project benefits, Lodi Renewables Portfolio Standard status before and after the project, and next
steps.
In response to Council Member Chandler, Ms. Price and City Manager Schwabauer both
confirmed that staff is not seeking Council direction for a specific project location at this time;
however, staff welcomes Council feedback or concerns on any of the potential site locations.
Council Member Kuehne stated he would not support the Pixley West or Pixley Basin locations at
this time based on the fact there have been discussions about a public-private partnership to
create a park there; however, he would support the parking garage location. Further, if greater
acreage is needed for the solar project, he suggested considering the plot on Guild Avenue.
Mr. Schwabauer responded the parking garage is a popular location for many; however, it is a
small site and would have high construction costs. He added there are challenges with the
Guild Avenue location because an unknown portion of the acreage will be utilized for the 230 kV
project and it would be difficult to commit that property until the project comes to fruition.
Mike Lusk stated Lodi should build its own solar power project and questioned why Lodi would
not consider going outside of the NCPA to build a plant. Mr. Schwabauer explained the benefits
of working with NCPA, of which Lodi is a member, most importantly the economies of scale,
contributions of each representative body, and costs. Mr. Lusk stated he supports the Pixley
Basin site location because of its proximity to the meter.
Ms. Price informed Council that this matter, which will come before Council soon, will seek
authorization to spend up to $1.1 million for Phases 2a and 2b and to delegate authority to the
City Manager, with Risk Oversight Committee (ROC) approval, to authorize project development
authorization forms for submittal to NCPA for Phases 2c and 2d. She explained this type of
authorization with ROC approval is within the scope and is included in the risk management
policy; it is no different than power purchases and long-term contracts.
B-2 Inform City Council on Lodi Improvement Committee's Increased Role in Community
Development Block Grant Program through Committee's Participation in (A) Determining
Priority Needs and (B) Scoring Community -Based Applications for 2018/19 Annual Action
Plan Process (CD)
1
Community Development Block Grant Administrator Patrice Clemons provided information
regarding the Lodi Improvement Committee's increased role in the Community Development
Block Grant program through its participation in determining priority needs and scoring
Community -Based applications for the 2018/19 Annual Action Plan process. Ms. Clemons
explained this change will provide a public forum for input on scoring and give the process greater
transparency. The new process also encourages greater public participation and input during the
front-end of the process, prior to prioritizing projects, which is helpful for staff. The Lodi
Improvement Committee will also serve as a forum to collect information on community needs
and priorities at public workshops.
C. Comments by Public on Non -Agenda Items
None.
D. Adjournment
No action was taken by the City Council. The meeting was adjourned at 7:43 a.m.
ATTEST:
Jennifer M. Ferraiolo
City Clerk
2
TM
CITY OF LODI
COUNCIL COMMUNICATION
AGENDA ITEM
AGENDA TITLE: Northern California Power Agency (NCPA) Solar Project
MEETING DATE: February 27, 2018
PREPARED BY: Electric Utility Director
8-i
RECOMMENDED ACTION: Receive information on NCPA Solar Project.
BACKGROUND INFORMATION: NCPA and its members are working to develop multiple photovoltaic
solar power plants throughout member service territories.
In August 2016, NCPA presented the Utility Directors with a concept for an NCPA managed behind -the -
meter solar project to be completed by 2019. Such a project would consist of a series of solar plants
located within participating member territories with an aggregate project capacity up to 40 megawatts.
There are currently nine NCPA members participating in the project, including Lodi. The project would be
wholly managed by NCPA to oversee all activities required to assess the feasibility of each potential site
identified by members, and to perform all necessary due diligence and preparation required to execute a
Power Purchase Agreement (PPA) with a third party.
Final project costs will be dependent upon the number of member participants, project capacity, and
location. Costs will be funded by greenhouse gas free allowance proceeds as authorized by the
City Council via Resolution 2014-110.
Investing in this project supports the Lodi Electric Utility Strategic Plan goal of maintaining a cost-effective
power portfolio. The joint purchases and shared contractors proposed as part of these efforts will provide
economies of scale, and the aggregation of plants as a single project may provide opportunities for a
prepay PPA option ultimately reducing the purchase price. Finally, direct connection within a member's
distribution system will help avoid increasing transmission charges.
Staff will provide Council with information regarding NCPA's efforts to assist members with this project.
FISCAL IMPACT: Not applicable.
FUNDING AVAILABLE- Not applicable,
Elizabeth -,4" Kirkley
Electric Utility Dire or
PREPARED BY: Melissa Price, Rates & Resources Manager
EK/MP/nb
APPROVED:'IM
OD
- • -n Schwa■ - - ,City Manager
NCPA Solar Project
LODI CITY COUNCIL
SHIRTSLEEVE
February 27, 2018
Project Highlights
Multiple photovoltaic solar power plants located throughout NCPA
member service territories
Nine (9) member participants including Lodi
Individual projects ranging
--1 to to megawatts (MW)
NCPA will serve as project manager
Owned and operated by third party
• Purchase option
PROJECT
PARTICIPANTS
Alameda (2.4 MW)
Healdsburg (1.8 MW)
Lodi (Up to 9.7 MW)
Lompoc (5.6 MW)
Palo Alto (0.7 MW)
Plumas-Sierra (Up to 8.5 MW)
Port of Oakland (2 MW)
Redding (Up to 27.3 MW)
Ukiah (2 MW)
Project Phases
Phase 1 (Complete)
Identify potential member participants and sites
Phase 2 (Spring 2018)
Phase 2
Site
Recommendation
Phase 2B
Site Screening
(Go/No Go)
Authorization upon execution of
Second Phase Agreement
Site Screening/Preliminary Development
Phase 3 (2018/2019)
Agreement and Award
Operational by 12/31/19
Phase 2C
Preliminary
Development
(Planning)
Phase 2D
Project
Development
Project Development
Authorization Form Required
Project Development and
Developer Solicitation
Lodi Project Candidate Sites
Site
D Century
(5.6 Acres)
° Pixley Basin
(25.6 Acres)
O Pixley West
(7 Acres}
0 Locust
(1.2 Acres)
r i
Allied Machine
', r s Welding
,r.
L Cid
•Parking Garage
(13 Acres)
•Awani
(33 Acres)
°nr fri,.• e- 1 &21- ' - o o h
Project Costs
Dependent on several factors
Number of participants
Project capacity
Location
Depends on sites deemed feasible to move beyond Phase 2B
Current estimate (selection of 1 to 3 sites) :
1
~$25K
Phase 2A
Site
Recommendation
$3oK-$9OK*
Phase 2B
Site Screening
(Go/No Go)
$7oK-$200K $25oK-$75oK
Phase 2C
Preliminary
Development
(Nanning)
*Additional $15K/site to evaluate storage feasibility
Phase 2D
Project
Development
Project Benefits
Meets RPS requirements
Cost effective
Aggregate plants provide for prepay option
lo -20% reduction in $/MWh
Behind the meter connection helps avoid increasing transmission
charges
x -'$2o/MWh
Economies of scale realized through joint purchases / shared
contractors
Could be used as a Community Solar Project
1
Lodi RPS Status (Before Project)
•
.1W_
(MWh)
250,000
200,000
150,000
100,000
50,000
LEU Renewables Portfolio Standard (RPS) Status
33%
50%
30%
�p',� 3') 3') .10`10 .101". 303 3033 30'1 y03C; 10 1031 101$ ,10 ' yo"P
Future Procurement Historic Carryover
= Existing (includes Astoria 2 & Antelope) —iioRPS Req.
Lodi RPS Status (After Project)
(MWh)
250,000
200,000
150,000
1
100,000
50,000
25%
1.04,0t 1.06
--•
LEU Renewables Portfolio Standard (RPS) Status
33%
0.1b 2a� 1 0'1$ zo1c 01.0
1
1
1
50%
Mi 32%
61,
0-11 0-a z01-1) 01A ol-c)
159- i011 °1-'6 °1 203c)
I Future Procurement Historic Carryover NCPA Solar Project - Existing (includes Astoria 2 & Antelope) --RPS Req.
1
Next Steps
NCPA Commission Consideration — February 23rd
Risk Oversight Committee Review — Early March
City Council Consideration — March 21st
Comments / Questions
TM
CITY OF LODI
COUNCIL COMMUNICATION
AGENDA TITLE:
MEETING DATE:
PREPARED BY:
AGENDA ITEM
�-2
Inform the City Council on the Lodi Improvement Committee's Increased Role
in the Community Development Block Grant Program through the Committee's
Participation in (A) Determining Priority Needs and (B) Scoring Community -
Based Applications for the 2018-19 Annual Action Plan Process
February 27, 2018
Community Development Director
RECOMMENDED ACTION: Inform the City Council on the Lodi Improvement Committee's
increased role in the Community Development Block Grant
program through the Committee's participation in (a) determining
priority needs and (b) scoring community-based applications for the 2018-19 Annual Action Plan
process.
BACKGROUND INFORMATION: The City of Lodi (City) receives an annual allocation of funds
(approximately $600,000) from the U.S. Department of Housing
and Urban Development (HUD) under the Community
Development Block Grant (CDBG) program. The primary purpose of the CDBG program is to improve
the quality of life for low- and moderate -income persons, households, and neighborhoods by
supporting public services, public facilities, crime prevention, access for disabled persons, affordable
housing, and economic development.
To properly allocate these funds on an annual basis, the City develops an Annual Action Plan. The
Annual Action Plan describes funding and eligible projects that meet priority goals. The City has
routinely provided an application process for potential grantees to apply for CDBG funding.
Historically, this process involved application review and scoring by City staff. Beginning this year, the
Lodi Improvement Committee (Committee) will score applications for the 2018-19 Annual Action Plan
cycle in order to formally advise City staff on the projects to select for CDBG program funds.
In compliance with HUD's Citizen Participation requirements, the City provides several opportunities
to collect community input on priority needs and goals to help select the projects for CDBG funding.
Also beginning this year, the Committee will assume the responsibility of collecting and summarizing
community needs from the Community Needs Workshop, which will then be used in the scoring of
applications. The workshop was held on February 13, 2018 at a regularly scheduled Committee
meeting.
Lodi Improvement Committee's New Role
The Committee's purpose, as stated in its bylaws, is to maintain and improve the quality of life and
appearance of Lodi. This aligns with HUD's goal to help improve the quality of life for low- and
moderate -income persons and neighborhoods. The Committee has traditionally reviewed and
commented on the City's CDBG-funded activities throughout the course of the year; however, until
this year, it has not formally scored or ranked applications.
APPROVED:
Step en Schwabaue
Manager
Shirtsleeve Lodi Improvement Committee's Role in CDBG
Page 2 of 2
The Committee's regularly scheduled meetings have often been a productive venue used for
conducting public outreach and gathering public comments on the CDBG program. Public attendance
at outreach meetings in general is typically low, and staff is looking for ways to increase community
input. This input is critical for the City to prioritize its funding needs, set attainable goals for meeting
those needs, and report on its progress. By having the Committee review and score applications in a
public setting, it creates a transparent process that should increase public participation, since the
public will be able to readily experience how their input impacts the activities and goals selected for
funding.
Details of New Process
Comments from the Community Needs Workshop will be gathered and tabulated by staff and
presented to the Committee at its March 5 meeting, where they will be available for public review and
comment. The Committee will then use the needs identified through the workshop as a guide to
scoring applications. The Committee will score only applications proposed by community-based
organizations, and not city -proposed projects. The Committee may request additional information from
staff or applicants regarding applications. Answers to Committee questions which cannot be
immediately addressed will be provided at the next meeting on March 13, 2018, where the scores will
be reviewed and finalized. Staff will receive the Committee's scores and determine grant amounts
based on the Committee's ranked applications.
Committee recommendations will be incorporated into the draft Annual Action Plan. The City Council
has the authority to review, comment, and approve the Annual Action Plan. The Committee's and
staff's recommendations for funding are not final but advisory to the City Council.
Timeline
The following are significant dates regarding the 2018-19 application cycle. The public may provide
feedback at any time during this process.
o City Council Shirtsleeve – February
o Community Needs Workshop (Committee meeting) – February 13
o Summary of Community Needs and Application Scoring (Committee meeting) – March 5
o Finalize Application Scores (Committee meeting) – March 13
o Draft Annual Action Plan released for public comment – April
o City Council hearing to review/approve draft Annual Action Plan – April
o City Council hearing to review/approve final Annual Action Plan – May
o Submit Annual Action Plan to HUD – May
In conclusion, these changes will improve transparency and citizen participation in the CDBG
application process through collaboration with the Lodi Improvement Committee.
FISCAL IMPACT: Not applicable.
FUNDING AVAILABLE: Not applicable.
SS/PC/kjc
da—
Step - .41Wifir abauer
Community Development Director