Explanation
This ordinance authorizes the Director of Public Utilities to modify the Power Purchase Agreements with DG Columbus Jackson Pike LLC and DG Harvest 2023 LLC, to provide funding for the purchase of energy and environmental attributes generated at the photovoltaic (PV) solar energy facilities at the Jackson Pike Water Reclamation Plant and the Parsons Avenue Water Plant.
The solar PV facilities have approximately 27 MWAC and 18 MWAC aggregate nameplate capacity at the Parsons Avenue and Jackson Pike sites, respectively. MWAC means a megawatt of alternating current electric generating capacity.
Ordinance 0210-2021 authorized the Director of Public Utilities to enter into a letter of intent and negotiate solar power purchase agreements for the Division of Power and to enter into associated interconnection agreements. It also authorized the Director of Finance to enter into license or lease agreements for selected Department of Public Utilities (DPU) sites. Ordinance 3114-2022 modified the terms and conditions of these power purchase agreements to increase the negotiated price and to amend the right of entry agreements.
Ordinance 1849-2024 further modified the agreements by appropriating funds to pay for the negotiated prices. The invoices for the 2024 payments were received in January 2025. However, one of the agreement’s previous vendors - DG Columbus Solar LLC - merged with DG Harvest 2023 LLC in November 2023. Due to this change, Ordinance 0597-2025 authorized the Director of Public Utilities to modify past outstanding, present, and future contracts and purchase orders with DG Columbus Solar LLC and authorized the assignment of all past outstanding, present, and future business done by the City of Columbus from DG Columbus Solar LLC to DG Harvest 2023 LLC. These entities are under the same parent company, vendor 043736, NextEra Energy Capital Holdings Inc.
Similarly, Ordinance 3135-2025 modified past outstanding, present, and future contracts and purchase orders with DG Columbus Jackson Pike LLC under parent vendor NextEra Energy Capital Holdings Inc (Vendor # 043736) and authorized the assignment of all past outstanding, present, and future business done by the City of Columbus from NextEra Energy Capital Holdings Inc dba DG Columbus Jackson Pike LLC to DG 2025 Retained Holdings LLC. The doing-business-as name remains the same.
This Ordinance is being submitted in accordance with the relevant provisions of Chapter 329 of City Code pertaining to contract modifications.
1. Amount of additional funds: The total amount of additional funds needed for this contract modification is $2,800,000 to cover payments through March of 2027 ($1,680,000 for the solar energy facilities at Parsons Ave and $1,120,000.00 for the solar facilities at Jackson Pike)
2. Reason additional funds were not foreseen: The need for additional funds was known at the time of the initial contract with the expectation that amounts would be developed later, after contract negotiations that included the price per megawatt hour (MWh).
3. Reason other procurement processes were not used: N/A - this vendor was selected through the RFP process and this is a planned modification.
4. How was cost determined: The modification is based upon estimated requirements to purchase the solar energy less estimated savings at a contract price per megawatt MWh negotiated between NextEra and DPU.
SUPPLIER:
DG 2025 Retained Holdings, LLC, dba DG Columbus Jackson Pike LLC | D365 Vendor #054020 | Federal EIN on file | Expires 11/14/2027
NextEra Energy Capital Holdings, Inc., dba DG Harvest 2023 LLC | D365 Vendor #043736 | Federal EIN on file | Expires 10/22/2027
The company is not debarred according to the Excluded Party Listing System of the Federal Government or prohibited from being awarded a contract according to the Auditor of State Unresolved Findings for Recovery Certified Search.
FISCAL IMPACT:
$2,800,000.00 is budgeted and available for this modification.
$1,590,405.14 was spent YTD in 2026
$3,081,244.55 was spent in 2025
$0.00 was spent in 2024
EMERGENCY DESIGNATION:
This ordinance is being submitted as an emergency due to additional invoice review that was performed to ensure data at the solar fields were accurate, which resulted in delayed projections for FY26 amounts.
Title
To authorize the Director of Public Utilities to modify the Power Purchase Agreements with DG Columbus Jackson Pike LLC and DG Harvest 2023 LLC, to provide funding for the purchase of energy and environmental attributes generated at the photovoltaic (PV) solar energy facilities at the Jackson Pike Water Reclamation Plant and the Parsons Avenue Water Plant; to authorize the expenditure of $2,800,000.00 from the Electricity Operating Fund; and to declare an emergency. ($2,800,000.00)
Body
WHEREAS, Ordinance 0210-2021 authorized the Director of Public Utilities to enter into a letter of intent and negotiate solar power purchase agreements for the Division of Power and to enter into associated interconnection agreements; and
WHEREAS, power purchase agreements with DG Columbus Jackson Pike LLC and DG Columbus Solar LLC, both subsidiaries of NextEra Energy Capital Holdings, Inc., were signed in December of 2021 for the Jackson Pike and Parsons Avenue solar sites, respectively; and
WHEREAS, Ordinance 3114-2022 modified the terms and conditions of these power purchase agreements to increase the negotiated price and to amend the right of entry agreements; and
WHEREAS, Ordinance 1849-2024 further modified the agreements by appropriating funds to pay for the negotiated prices; and
WHEREAS, one of the agreement’s previous vendors - DG Columbus Solar LLC - merged with DG Harvest 2023 LLC in November 2023; and
WHEREAS, Ordinance 0597-2025 authorized the Director of Public Utilities to modify past outstanding, present, and future contracts and purchase orders with DG Columbus Solar LLC and authorized the assignment of all past outstanding, present, and future business done by the City of Columbus from DG Columbus Solar LLC to DG Harvest 2023 LLC; and
WHEREAS, Ordinance 3135-2025 modified past outstanding, present, and future contracts and purchase orders with DG Columbus Jackson Pike LLC under parent vendor NextEra Energy Capital Holdings Inc (Vendor # 043736) and authorized the assignment of all past outstanding, present, and future business done by the City of Columbus from NextEra Energy Capital Holdings Inc dba DG Columbus Jackson Pike LLC to DG 2025 Retained Holdings LLC.; and
WHEREAS, this ordinance also authorizes the Director of Public Utilities to modify the Power Purchase Agreements to provide additional funding for the purchase of energy and environmental attributes generated at the solar sites; and
WHEREAS, this ordinance is being submitted in accordance with the relevant provisions of Chapter 329 of City Code pertaining to contract modifications; and
WHEREAS, the expenditure of $2,800,000.00 or so much thereof as may be needed, is hereby authorized from Fund 6300, Electricity Operating Fund, in object class 02, Materials & Supplies, per the accounting codes attached to the ordinance; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Utilities, Division of Power, in that it is immediately necessary to modify the Power Purchase Agreements with DG Columbus Jackson Pike LLC and DG Harvest 2023 LLC, to provide funding for the purchase of energy and environmental attributes generated at the photovoltaic (PV) solar energy facilities at the Jackson Pike Water Reclamation Plant and the Parsons Avenue Water Plant, due to additional invoice review that was performed to ensure data at the solar fields were accurate, which resulted in delayed projections for FY26 amounts, all for the immediate preservation of the public health, peace, property safety and welfare; now, therefore
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the Director of Public Utilities is hereby authorized to modify the Power Purchase Agreements with NextEra Energy Capital Holdings, Inc., dba DG Columbus Jackson Pike LLC and DG Harvest 2023 LLC, to provide funding for the purchase of energy and environmental attributes generated at the photovoltaic (PV) solar energy facilities at the Jackson Pike Water Reclamation Plant and the Parsons Avenue Water Plant, in accordance with the terms and conditions as shown in the Power Purchase Agreement on file in the office of the Division of Power. This modification adds $2,800,000.00 for these payments.
SECTION 2. That this modification is in accordance with the relevant provisions of Chapter 329 of City Code.
SECTION 3. That the expenditure of $2,800,000.00 or so much thereof as may be needed, is hereby authorized from Fund 6300, Electricity Operating Fund, in object class 02, Materials & Supplies, per the accounting codes attached to the ordinance.
SECTION 4. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated and the City Auditor shall establish such accounting codes as necessary.
SECTION 5. That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 6. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure, and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.