HomeMy WebLinkAboutStaff Report 1828City of Palo Alto (ID # 1828)
City Council Staff Report
Report Type: Consent Calendar Meeting Date: 7/18/2011
July 18, 2011 Page 1 of 2
(ID # 1828)
Council Priority: Environmental Sustainability
Summary Title: Approval of Agreement with SolFocus, Inc.
Title: Approval of an Agreement with SolFocus, Inc. for a Solar-Electric Research
Project at the Regional Water Quality Control Plant
From:City Manager
Lead Department: Public Works
Recommendation
Staff recommends that Council approve and authorize the City Manager to continue the
existing Installation and Use Agreement (Attachment A) and Amendment 01 and 02
with SolFocus, Inc. (SolFocus) for a continuing solar-electric research project at the
Regional Water Quality Control Plant (Plant).
Executive Summary
The Plant supports the use of renewable power onsite and as a city facility more than
50% of its consumed power comes from a variety of renewable sources.. SolFocus,
located in San Jose, develops, manufactures, and markets products that generate
electricity using solar concentrator photovoltaic technology. The partnership between
the Plant and SolFocus began June 11, 2007 and has continued to provide positive
results for each party (i.e., free power and research site).
Background
SolFocus needs a full-scale demonstration site to research, test, develop, and improve
its large-scale solar projects near industrial and marine environments. SolFocus
contacted Sustainable Silicon Valley and the Palo Alto Utilities Department in search of a
site to host the research project, and was referred to the Plant. Under the initial
agreement in 2007, SolFocus installed five arrays providing 15 KW of demonstration
units on Plant grounds at its own cost and began delivering power at zero cost to the
Plant. In October 2008, under Amendment-01 (Attachment B) approved by staff, the
agreement was extended. Power continues to be delivered at no cost; however the
agreement and extensions must be approved by Council because the original three-year
authority of the City Manager has been exceeded.
Discussion
Amendment (Amendment-02) extends the existing agreement until June 10, 2016. All
July 18, 2011 Page 2 of 2
(ID # 1828)
remaining terms and conditions under the initial Installation and Use Agreement will
remain in full force and effect. This amendment allows SolFocus to install additional
equipment at the Plant and continues the requirement that all power generated at the
Plant be provided to the Plant free of charge for the term of the agreement.
Policy Implications
Recommendation of this staff report is consistent with City Council’s environmental
sustainability priority.
Resource Impact
Approval of the amendment to extend the agreement results in no financial impact to
the City. Failure to extend this agreement would result in an annual increase of about
$2,000 to $3,000 in electric expenses for the Wastewater Treatment Fund to offset the
loss of about 15.7 kilowatts in photovoltaic energy
Attachments:
·A -SolFocus Agreement (PDF)
·B -SolFocus Amendment-01 (PDF)
·C -SolFocus Amendment-02 (PDF)
Prepared By:Althea Carter, Administrative Associate II
Department Head:J. Michael Sartor, Interim Director
City Manager Approval: James Keene, City Manager