Explanation
BACKGROUND: This legislation authorizes the Director of Public Utilities to modify the terms and conditions of existing purchase power agreements and right of entry agreements entered into with DG Columbus Solar, LLC and DG Columbus Jackson Pike, LLC.
NextEra was selected for award of these contracts through an RFP process, in which the Director of Public Utilities sent out a request for proposals to potential solar vendors for solar power purchase agreements at three Department of Public Utilities’ sites: the Parsons Avenue Water Plant, Jackson Pike Wastewater Treatment Plant, and the Sewer Maintenance Building.
To date the Department of Public Utilities has executed purchase power agreements for solar facilities at Parsons Avenue Water Plant and Jackson Pike Wastewater Treatment Plant.
Build costs of the Parsons Road Solar Project and Jackson Pike Landfill Solar Project have increased since Power Purchase Agreements (PPAs) between the City and NextEra were executed December 2021. The increases are the result of inflationary pressures such as commodity price increases, supply and material increases, supply chain disruptions, increased labor costs, and, at the Jackson Pike Landfill, landfill conditions uncovered during diligence and engineering.
Due to these conditions, the original negotiated price of the PPAs cannot support these added costs and the City and NextEra would like to negotiate different terms and conditions to account for these price increases.
The current Right of Entry agreements will also be amended to allow access to the Parsons Road Solar Project and Jackson Pike Landfill Solar Project properties for final due diligence in advance of the amended PPAs and lease agreements.
CONTRACT COMPLIANCE #:
DG Columbus Solar, LLC, 700 Universe Boulevard, A1A/JB, Juno Beach, FL 33408 | Tax ID#: 87-2135792
DG Columbus Jackson Pike, LLC, 700 Universe Boulevard, A1A/JB, Juno Beach, FL 33408 | Tax ID#: 87-3597176
FISCAL ...
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