Loading...
5. Staff Report- development agreement with New Energy Equity for the Oldfield Solar Gardenr -ti t SCANDIIA Staff Report Date of Meeting: June 7, 2017 To: City Council From: Neil Soltis, Administrator Re: Development agreement with New Energy Equity LLC for Oldfield Solar Garden Background: At the August 16, 2016 meeting the Council approved a conditional use permit for the construction of a community solar garden on Oldfield Ave. N. A copy of the resolution follows this cover memo. Most of the issues related to the agreement have been resolved by legal counsel with 3 exceptions that are to be discussed in a conference call on June 6. Those include the dedication of the road right-of-way, the amount to be escrowed for the construction of the berms and the installation of the landscaping, and the height of the fence. A copy of the development agreement as it currently stands also follows this report. The language on the height of the fence cannot change as suggested since those are the terms in the development code; however, the developer can apply for a fence permit for a fence higher than 6' which would be consistent with other approvals for community solar gardens. The original developer (Greenmark) is seeking to close an agreement with New Energy Equity LLC for the ownership and operation of the facility. Currently the parcel's western boundary is the centerline of Oldfield Ave. N. Dedication of the right-of-way has been a standard clause in development agreements and should not be deviated from. Issue: Should the Council approve the development agreement as presented at the meeting to reflect any changes agreed to by legal counsel? Proposal Details: See the attached draft agreement and conditional use permit. Fiscal Impact: All costs related to the agreement will be paid via the escrow deposit submitted. Once constructed that City will benefit from the increase valuation of the property and will receive a portion of the generation fees. Options: 1. Approve the agreement as presented at the meeting 2. Approve the agreement subject to presenting information of the right-of-way dedication in advance of the issuance of the building permit. 3. Defer action on the agreement. Recommendation: Option 2 - SCANDIA