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HomeMy WebLinkAbout~Master - Purchase Power Agreement with Garden Wind, LLC RESOLUTION NO. 09-437 RESOLUTION APPROVING PURCHASE POWER AGREEMENT WITH GARDEN WIND,LLC FOR THE CITY OF AMES WHEREAS, on June 10, 2008, the City Council and the Electric Utility Operations Review & Advisory Board(EUORAB)met in a joint session to discuss power supply options for the City of Ames for the next 20-25 years; and, WHEREAS, as a part of that discussion, the Council established a goal of providing 10% of electric power for the City of Ames from renewable resources above the current refuse-derived fuel(RDF) amount by 2015, and this goal increases to 15%by 2018, and 20%by 2021; and, WHEREAS, in late October 2008, the Council directed staff to represent the City as member participants in the Phase II Feasibility Study of the Iowa Association of Municipal Utility's Ridgeport wind energy proposal as a possible method to achieve the first step of the renewable energy goal; and, WHEREAS, on April 28, 2009, the Council authorized City staff to follow a parallel path of soliciting requests for proposal (RFP) for alternative renewable energy while continuing to work on IAMWind,and this was designed to allow the City to determine if there were other viable options besides IAMWind and to provide the City Council with the possibility of choices for the City's alternative energy purchase; and, WHEREAS, ten proposals were received, and a review committee analyzed and rated the proposals; and, WHEREAS,under the highest-rated proposals,the City of Ames could receive renewable energy by January 2010 from facilities either currently in operation,or on schedule to be in commercial operation prior to the first of next year; and, WHEREAS,the highest-rated proposal provides the City of Ames Electric Utility with an assured method of meeting the City Council's goal related to renewable energy resources for the electric utility with minimal risk and at the lowest cost to our rate payers; and, WHEREAS, at its meeting on August 6, 2009, EUORAB unanimously approved a recommendation that Council enter into a Purchase Power Agreement with NextEra Energy Resources, LLC, d/b/a Garden Wind, LLC; and, WHEREAS, the proposal for a wind energy Power Purchase Agreement received from NextEra is a very positive means for the City to begin reaching its goals of increasing a portion of energy provided to our customers from renewable resources, and NextEra is the leading producer of wind energy in the United States, with 65 wind facilities in North America; and, WHEREAS, the proposal from Garden Wind, LLC, represents a cost-effective way for the City to purchase renewable energy at a reasonable cost and with minimal risk to the rate payers. NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Ames,Iowa,that the Purchase Power Agreement with Garden Wind, LLC, for the purchase of 36 MW of renewable energy per year for the next 20 years is hereby approved. ADOPTED THIS 81h day of September, 2009. C�A�'X LX,4& A. ';v cla"v Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Rice Seconded by: Mahayni Voting aye: Doll, Goodman, Larson, Mahayni, Popken, Rice Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 8th day of September, 2009.