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HomeMy WebLinkAboutMemo - Mail Packet - 4/9/2024 - Memorandum From Brian Tholl And Leland Keller Re: Riverside Community Solar Project UpdateEnergy Services 222 Laporte Ave PO Box 580, Fort Collins, CO 80522 970-416-4326 btholl@fcgov.com CC: Cyril Vidergar, Assistant City Attorney II MEMORANDUM Date: April 3, 2024 To: Mayor and City Councilmembers Through: Kelly DiMartino, City Manager Tyler Marr, Deputy City Manager & Interim Utilities Executive Director Gretchen Stanford, Utilities Deputy Director, Customer Connections From: Brian Tholl, Energy Services Manager Leland Keller, Sr. Energy Services Engineer Subject: Riverside Community Solar Project Update The purpose of this memo is to provide information on the inverter failure at Riverside Community Solar Project, the plan and timeline to repair the system, and how we are engaging and communicating with owners. BOTTOM LINE On August 20, 2023, the Riverside Community Solar Project experienced an inverter failure that caused power to stop generating. A request for proposals (RFP) has been posted that solicits bids to restore the solar power generation. We anticipate selecting a vendor proposal in May.   The owners of the Riverside Community Solar Project are eager to start generating power again and have expressed concerns along the way. Utilities staff acknowledge the frustrations of the owners and have made it a priority to keep them updated on the progress of this fix, through email and website updates. Additionally, we are planning to host an open house to listen to owners’ concerns, answer questions, and provide an overview of the design and timeline anticipated for completing the repowering project. BACKGROUND Fort Collins takes climate action very seriously. Established in 2015 and under an agreement with Clean Energy Collective, the Riverside Community Solar Project started as one way to prove our commitment to clean energy. Community Solar provides Utilities electric customers the opportunity to own solar generation assets without installing solar at their home. This makes solar more accessible and provides a way for local government, and the community it serves, to work together to achieve climate goals. The Riverside Community Solar Owners are Fort Collins community members who have DocuSign Envelope ID: 113F5F5E-3A3F-4C68-B41F-1C8299D8CEA2 monetarily invested in this program and have committed to helping us achieve these larger climate goals. In 2020, Utilities acquired the Riverside Community Solar Project, including all responsibilities and assets owned or controlled by Clean Energy Collective. Program Rules were then approved and adopted by Council (Ordinance No. 141-2020). The Program Rules and Customer Agreement for the Riverside Community Solar Project can be viewed at fcgov.com/community- solar.    Since the site’s inverter failure in August, Utilities staff have been working closely with partners to troubleshoot and fix the problem. After working with the inverter manufacturer to explore warranty coverage and repair costs, Utilities did additional research on technology options available in the marketplace and systems designs that could improve performance of the project and reduce risks for the City and Riverside owners. Ultimately, Utilities decided to pursue inverter replacement, instead of a repair as the optimal solution. On March 22, City staff posted an RFP soliciting bids from qualified solar contractors to replace the failed inverter equipment. This RFP solicits a requirement for a re-engineered design, procurement and construction, so a qualified bidder that understands the project in all three phases can be chosen and the repowering is completed as soon as possible. This reduces the likelihood of this issue reoccurring in the future. We expect to select a vendor proposal in May.   To fund the inverter replacement, Utilities staff are evaluating several options. However, each funding option will require Council approval. The RFP responses will provide more accurate cost estimates but are expected to cost around $250,000 to $300,000.    Communication with the Riverside Community Solar owners is a major focus for us so that we provide transparency and important updates about this project and the process of completing it. So far, Utilities staff have communicated five updates to participating owners, and continue to regularly provide updates, through a Community Solar Owners Resources web page: Community Solar Participant Resources - City of Fort Collins (fcgov.com). In addition to these webpage updates, we send out emails to each owner with the same information. Last, staff are planning to host the Riverside owners in May to share the outcomes of the RFP and answer any questions or concerns. NEXT STEPS Utilities staff continue work to support affected customers and implement technical solutions to repowering Riverside, including the following next steps:   Evaluate the proposed cost of repairs, design, and equipment replacement options once we receive proposals, which we expect to have by May.    Revisit and determine final project funding options upon receipt of proposals.   Continue to communicate updates to participants on progress towards repowering the Riverside Community Solar Program.     Provide another memo update to City Leadership when solution and timeframe for repair is available.  DocuSign Envelope ID: 113F5F5E-3A3F-4C68-B41F-1C8299D8CEA2