HomeMy WebLinkAboutMemo - Mail Packet - 7/12/2022 - Memorandum From John Phelan Re: June 28, 2022 Work Session Summary: Solar 120% Sizing Rule And Rates
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PO Box 580
Fort Collins, CO 80522-0580
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M E M O R A N D U M
DATE: July 1, 2022
TO: Mayor Arndt and City Councilmembers
THRU: Kelly DiMartino, Interim City Manager
Kendall Minor, Utilities Executive Director
FROM: John Phelan, Energy Services Manager and Policy Advisor
RE: June 28, 2022 Work Session Summary: Solar 120% Sizing Rule and Rates
The purpose of this memo is to summarize the discussion from the work session regarding the solar 120% sizing
rule and associated electric utility rates. Councilmembers Arndt, Francis, Pignataro, Peel, Gutowsky and Ohlson
were present. The overall objectives for local solar policy and practice are twofold: 1) to support scaled up
adoption in alignment with Our Climate Future and resource planning targets; with 2) a sustainable and equitable
funding for Utilities customer service, operations, and infrastructure. The existing sizing requirement articulated in
City Code limits new solar systems to provide no more than 120% of Combined with
replacement of the 120% rule, proposed changes to several components of the current rate structure align with
accomplishing these outcomes.
Feedback from Council included:
Several Councilmembers expressed support for all five of the primary recommendations presented by
staff.
Staff responded to several questions related to how solar sizing may impact requirements related to
Platte River Power Authority.
Councilmembers expressed support for continued collaboration with Platte River and the other member
cities towards accomplishing community energy goals.
A Councilmember asked about the role of community solar in addition to rooftop solar.
A Councilmember asked questions about several rate components, expressing:
o An interest to re-examine the base rate
o Strong support for the tier component of the time-of-day rate
o Support for replacing the 120% sizing rule, and
o Pointed to the staff proposed next step of a written summary of potential benefits and risks of
removing the tier component from the current rates
Next steps:
Bring forward ordinance language to revise City Code with regards to the Solar 120% Rule with
replacement by an administrative model for flexibly managing solar sizing, including coordination with
Platte River
Deliver a written summary to Council regarding the potential benefits and risks of removing the tier
component of the TOD rate regarding electrification, customer service, and solar
Prepare related options for the fall electric rate ordinances that support solar and electrification goals
CC: Gretchen Stanford, Utilities Deputy Director Customer Connections
Lance Smith, Utilities Finance Director
Randy Reuscher, Utilities Rate Analyst