Upload
others
View
5
Download
0
Embed Size (px)
Citation preview
BOARD AGENDA FACT SHEET
CLERK USE ONLYBOS ACTION
Public WorksDepartment /Agency
1. Request:Board Approval
Other (specify)
January 27, 2015Requested Board Date
InformationOnly/PresentationSchedule HearingTime:
XX
2. Requested Action: Type requested action below
Adopt the Resolution Approving the Solar Power and Services Agreement withSunEdison Origination, LLC, to provide solar energy to various County sites.
3. Cost $ Source:
4. If approval of Contract, reviewed/approved by County Counsel on:
By: Katherine Turner Action Request # 14-0515 DPW Assigned by County Counsel's Office
5. If approval of position allocation change, approved by Human Resources on:
By:
6. Electronic copy submittal date: By:
114) Department Head/Agency Representative
INSTRUCTIONS: Back-up must be submitted 11 BUSINESS days prior to requested date. Back-upsubmitted must contain an Original and 6 copies. Back-up must be submitted in a PDF format [email protected].
CEO/CLERK USE ONLY: BOARD DATE:
Action Filing Consent Presentation
Hearing CEO Approval Other (specify)
Review:Clerk Date CEO Date
COUNTYIMPERIAL
DEPARTMENT OFPUBLIC WORKS
155 S. 11th StreetEl Centro, CA
92243
Tel: (760) 482-4462Fax: (760) 352-1272
Public Works works for the Public
January 22, 2015
Honorable Board of SupervisorsCounty of Imperial Administration Center940 West Main StreetEl Centro, CA 92243
Dear Board Members:
Requested Board Action:
Adopt the Resolution Approving the Solar Power and Services Agreement with SunEdison Origination,LLC, to provide solar energy to various County sites.
Background:
The County of Imperial, through its Department of Public Works (DPW) and County Executive Office,has expressed a desire to develop energy efficient practices for County facilities. The County believesthat a Power Purchase Agreement (PPA) for on-site solar power generation will provide a long-termfinancial benefit by reducing energy costs through reduction of peak demand loads and daily energyconsumption at selected County sites. The program will provide high quality power with minimalenvironmental impact. The agreement will have a twenty year duration, with an option to renew for anadditional five years. Through this PPA, the County hopes to:
• Reap the financial benefits of more affordable electricity at a minimal cost to the County.• Reduce environmental impact by the County's energy use.• Provide an example of successful renewable energy generation and showcase the County as a
leader in development of renewable energy sources.
On March 26, 2013, the Department of Public Works (DPW) released a Request for Proposal (RFP) fora Solar Energy Generation Program for County facilities. The RFP was advertised on the ImperialCounty Public Works web site under Projects out to Bid. Five (5) firms submitted proposals by thedeadline of May 16, 2013. Copies of all proposals are on file with the Clerk of the Board.
Proposals were reviewed by County staff with the assistance of a Consultant, Government FinancialStrategies, Inc. (GFSI). A copy of GFSI's financial evaluation of the proposals is attached. The tablebelow shows a comparison of proposed kilowatt hour (kWh) pricing of the five respondents, for the firstyear of the project. The County's current average rate for electricity usage is approximately $0.1159 perkWh.
Firm kWh price for CountyAdministration Center
kWh price for County CenterII
Enfinity $0.0795 $0.0795SunEdison $0.1060 $0.1060Amsolar $0.1190 $0.0850Solar City $0.1305 $0.0880PsomasFMG $0.1398 $0.1092
An Equal Opportunity / Affirmative Action Employer
P:\WORDDOCS\Codie Rowin \ Solar Energy Program County \Draft of Board Letter for PPA with SunEdison for Solar County Facilities (approved wsb)DM.docx
During the evaluation process, the County was notified that Enfinity had been purchased by SunEdison,LLC; with a statement that SunEdison would honor the pricing offered by Enfinity. The Countyperformed due diligence review of both Enfinity and SunEdison, including background and referencechecks, as well as review of audited financial statements by GFSI, all of which yielded favorableresponses. Both County staff and GFSI recommended Enfinity (acquired by SunEdison), as the mostqualified firm, with the best value pricing for energy purchase by the County
County Counsel Coordination:
This agreement was approved by County Counsel under AR 14-0515 DPW.
Fiscal Impact:
There will be no cost to the County to enter into this agreement. All costs for construction,maintenance and operation of the solar photovoltaic systems will be paid by SunEdison. The Countywill purchase solar energy generated by the systems to supplement the County's energy needs.
Respectfully,
vd IWilliam S. Brunet, P.E.Director of Public Works
CR/dm
PAWORDDOCS \Cod e Rowin \ Solar Energy Program County \Draft of Board Letter for PPA with SunEdison for Solar County Facilities (approved wsb)DM.docx
SYSTEM DESCRIPTIONMODULE TYPE SunEdison F3358yCQUANTITY 612
aar
."/: '111 ,01
SYSTEM SIZE (DC) 205,020W
SYSTEM SIZE (AC)TILT ANGLEAZIMUTHINVERTER
186,000W7°180°5x CPS SCA28KTL-DO2x CPS SCA23KTL-DO
wititimiligkoaw""P"m"-
90 modules5 strings of 18Inverter: lx Chint 23kW
AREAe a,
396 modules22 strings of 18Inverter: 4x Chint 28 kW
MMMmmmmmmmm
unnotommummunU i ainn • la c i 4% $
— tsti !amuse
" " 14411'II !iIRI II
126 modules7 strings of 18Inverter: 2x Chint 23kW
mom.. OP.
I. I
,•C600 Clipper Drive
• '. Belmont, CA 94002'SunEclisrm (888 )_SUN EDISON
sm." (888-786-3347
(c) 2014 SUNED/SON, LLC AND ITSAFFILIATES, ALL RIGHT RESERVED
THIS DRAWING IS THE PROPERTY OF SUNEDISON,LLC. THISINFORMATION IS CONFIDENTIAL AND IS TO BE USED ONLY INCONNECTION WITH NARK DESCRIBED BY SUNEDISON ,LLC.NO PART IS TO BE DISCLOSED TO OTHERS WITHOUTNRITTEN • RMI 1•11 FROM S NEDISON L
PROJECT NAME PROPOSAL
Imperial County - Behavioral Health Bldg 12E11 NO
A
SUBMITTAL SOLAR ELECTRIC SYSTEM CLIENT SHEET NO:
DESIGNER 131 DATE 10/21/2014
MANAGER DATE SCALE
ENERGY CONSULTANT DATEPROJECT NUMBER MINCA-14-0300
TITLEPRELIMINARY DESIGNNOT FOR CONSTRUCTION
SYSTEM SIZE (DC)SYSTEM SIZE (AC)TILT ANGLE
416,405W364,000W10° (rooftop),7° (canopies)
108 modules6 strings of 18Inverter: lx Chint 28kW
tali,
AZIMUTH
180° -011111MillnikINVERTER 13x CPS SCA28KTL-DO
AREA 28,000 sq
4,
# 'I I
!NU ; f!_t1 it396 modules22 strings of 18Inverter: 4x Chint 28kW
I. MIL 3 Ilt/1111111111111111111111111M11
HM111111E/IliIII IIHlifli ff 11'!7111P
lunar 4., 1'1 111-
P4.
9itAfi
4 111 M 11p1i 111
rirrsoncr 11,101$ fit
11 } i 4,10
180 modules10 strings of 18Inverter: 2x Chint 28kW
11111111W 11111It11111111111111illt
W11111111
Mbar
361 modules19 strings of 19Inverter: 4x Chint 28kW
GLIM. labI.
108 modules6 strings of 18Inverter: lx Chint 28kW
90 modules5 strings of 18Inverter: lx Chint 28kW
viGNU a.
11061
SYSTEM DESCRIPTIONMODULE TYPE
SunEdison F3358yC I isQUANTITY
1,243 •
600 Clipper Drive PROJECT NAME PROPOSAL SUBMITTAL SOLAR ELECTRIC SYSTEM CLIENT SHEET NO:• 8e.Imont, CA 94002‘SunEdison (888)-SUN EDISON
(888-786-3347
(c) 2014 SUNEDISON, LLC AND ITSImperial County - County Admin Center NO DESIGNER DATE 10/21/2014
-MANAGER DATE SCALEAFFILIATES, ALL RIGHT RESERVED
THIS DRAWING IS THE PROPERTY OF SUNEDISON1LC THISINFORMATION IS CONFIDENTIAL AND IS TO BE USED ONLY IN
ENERGY CONSULTANT DATEPROJECT NUMBER ---- TITLECONNECTION WITH WORK DESCRIBED BY SUNEDISON1LCNO PART IS TO BE DISCLOSED TO OTHERS VVITHOUTWRITTEN PERMI NN FROM SUN DISON L
CA-14-0295 PRELIMINARY DESIGNNOT FOR CONSTRUCTION-a
AREA
PROPOSAL SUBMITTAL
SYSTEM DESCRIPTIONMODULE TYPE SunEdison F3358yCQUANTITY 522SYSTEM SIZE (DC) 174,870WSYSTEM SIZE (AC) 135,000WTILT ANGLE 7'AZIMUTH 180°INVERTER
216 modules12 strings of 18Inverter: 2x Chint 28 kW
4x CPS SCA28KTL-DO1 x CPS SCA23KTL-DO 11,250 sq
216 modules12 strings of 18Inverter: 2x Chint 28kW 90 modules
5 strings of 18Inverter: lx Chint 23kW
min
600 Clipper Drive
SunEdiso n (781r8")°-t N ED9I4SOWN(888-786-3347
(c) 2014 SUN EDISON, LLC AND ITSAFFILIATES, ALL RIGHT RESERVED
THIS DRAWING IS THE PROPERTY OF SUNEDISON.LLC. THISINFORMATION IS CONFIDENTIAL AND IS TO BE USED ONLY INCONNECTION WITH WORK DESCRIBED BY SUNEDISON.LLC.NO PART'S TO BE DISCLOSED TO OTHERS WITHOUTWRITTEN PERMISSION FROM SUNEDISON LLC.
Imperial County - Behavioral Health BldgCarports Bldg 10 REV. NO. DESIGNER PH DATE 10/21/2014
MANAGER DATE SCALE
PROJECT NUMBER
CA-19-0378
ENERGY CONSULTANT DATETITLE PRELIMINARY DESIGN
NOT FOR CONSTRUCTION
SOLAR ELECTRIC SYSTEM CLIENT SHEET NO:PROJECT NAME
SYSTEM DESCRIPTIONMODULE TYPE SunEdison F335ByC
1,980QUANTITYSYSTEM SIZE (DC) 663,300 W
504,000 WSYSTEM SIZE (AC)
TILT ANGLE 15'180'AZIMUTH
INVERTER 18x CPS SCA28KTL-DO70,000 sq.ft.AREA
1,980 modules110 strings of 18Inverter: 17x Chint 28kW
4
SunEdison ;,600IPP
IZ
er
D
D9
/SO
r
140
veu
N2(888-786-3347
(c) 2014 SUNEDISON, LLC AND ITSAFFILIATES, ALL RIGHT RESERVED
PROJECT NAME
Imperial CountyJail: Probation Bidgs 39-41
PROPOSAL SUBMITTAL SOLAR ELECTRIC SYSTEM CLIENT SHEET NO:
NO. DESIGNER 131 DATE 10/21/2014
A MANAGER DATE SCALE
THIS DRAWING IS THE PROPERTY OF SUNEDISON,LLC. THISINFORMATION IS CONFIDENTIAL AND IS TO BE USED ONLY INCONNECTION \MTH WORK DESCRIBED BY SUNEDISON,LLC.NO PART IS TO BE DISCLOSED TO OTHERS WITHOUTWRITTEN PERMISSION FROM SUNEDISON LLC.
PROJECT NUMBER
CA-14-0298-- ENERGY CONSULTANT • DATE
TITLEPRELIMINARY DESIGNNOT FOR CONSTRUCTION
SYSTEM DESCRIPTION - RADFSunEdison F335ByCMODULE TYPE
QUANTITY 3,420
SYSTEM SIZE (CC) 1,145,700 W
SYSTEM SIZE (AC) 970,000 W
TILT ANGLEAZIMUTH
15°180°
INVERTERAREA
1x PE Freesun FS0970CU
Pad for inverter & switchgearInverter: PE Freesun FS0970CU
MODULE TYPESYSTEM DESCRIPTION - HHCC
SunEdsson F335ByCQUANTITY 1,242
SYSTEM SIZE (DC) 416,070 W
SYSTEM SIZE (AC) 336,000 W
TILT ANGLE 15'AZIMUTH 180°INVERTER 12x CPS SCA28KTL-DOAREA
HHCC Array1,242 modules69 strings of 18Inverters: 12x Chint 28kW
RADF Array3,420 modules190 strings of 18
• 0 Belmont, CA 94002‘SUnFd1S011 600 Clipper Drive
(888)-SUN EDISON(888-786-3347
(c) 2014 SUNEDISON, LLC AND ITSAFFILIATES, ALL RIGHT RESERVED
PROJECT NAME
Imperial County - Jail: HHCC & RADF
PROPOSAL SUBMITTAL SOLAR ELECTRIC SYSTEM CLIENT SHEET NO:
NO DESIGNER Ell DATE 10/21/2014
MANAGER DATE SCALE
THIS DRAWING IS THE PROPERTY OF SUNEDISON,LLC THISINFORMATION IS CONFIDENTIAL AND IS TO BE USED ONLY INCONNECTION WITH WORK DESCRIBED BY SUNEDISON,LLC
ENERGY CONSULTANT DATEPROJECT NUMBERCA-14-0297 -- TITLE PRELIMINARY DESIGN
NO PART IS TO BE DISCLOSED TO OTHERS WITHOUT CA-14-0299 NOT FOR CONSTRUCTIONWRITTEN PERMISSION FROM SUNEDISON I. C.
GovernmentFinancial
Strategiesinc.
County of Imperial
Financial Evaluation ofRFP Responses for the
Solar Energy Generation ProgramCounty Project No. 5763CE0
January 2014
Government
Financial
7Strategies
I inc.
TABLE OF CONTENTS
Introduction 3
Summary of RFP Responses 3
Analysis of RFP Responses 5
Budget Analysis 7
Risk Analysis 8
Conclusion 9
Appendix A: Financial Analysis of RFP Responses for the Solar Energy Generation Program
County of Imperial Page 2
EnfirPsomasFMGRFP Response
SolarCity SunEdison Amsolar
RFP Respondents Proposed a Wide Variety of Solar System Sizes, Ranging from 142 - 667 kw Dcfor the CAC and 1,114 - 2,409 kw DC for the Jail
System Size(kw DC)
3,000
2,500
2,000
1,500
1,000
500
•County Administration Center • County Jail
0,400
GovernmentFinancial
Strategiesinc.
Introduction
This report provides a financial evaluation of the responses to the RFP for the County's SolarEnergy Generation Program using quantitative financial metrics. It does not evaluate thecompanies themselves or energy-related criteria such as the quality and performance of theproposed solar energy generation equipment. It also considers the financing structure as calledfor in the RFP (a Power Purchase Agreement) and does not consider the merits of alternativefinancing options.
Summary of RFP Responses
The County received responses from five companies:• SolarCity• SunEdison• PsomasFMG• Enfinity• Amsolar
The companies were asked in the RFP to provide recommendations on solar system sizes forinstallation at the County Administration Center (CAC) and County Jail complex. The chart belowsummarizes the recommended sizes:
Chart 1
County of Imperial
Page 3
$0.1398•County Administration Center • County Jail
RFP Respondents Proposed a Wide Variety of PPA Rates in the First Year of the Project, Rangingfrom 7.95C - 13.98C per kWh for the CAC and 7.95C - 10.92C per kWh for the Jail
Year 1PPA Rate($/kWh)
$0.1600
Notes: RFP Response- All RFP respondents had PPA rates escalate 4% annually over a 20 year term.
$0.1400
$0.1200
$0.1000
$0.0800
$0.0600
$0.0400
$0.0200
$0.0000
$0.1305
SunEdiso PsomasFMG Enfinity Amsolar
$0.1190
$0.1060 90.1060$0.1092
$0.0850$0.0795 $0.0795
Government
Financial
Strategies
1 inc.
The companies were also asked to propose pricing for the solar systems using a Power PurchaseAgreement (PPA). A PPA is a financing structure whereby the County contractually agrees topurchase whatever power is produced by the solar systems, and another company (the PPAprovider, typically a bank or investor) maintains ownership of the solar systems and expects toreceive a return on their investment. Since the County does not own the solar systems under aPPA, the County would not be responsible for operations and maintenance, equipmentreplacement and repair, etc. At the end of the term of the PPA, the County would have the optionto purchase the solar systems (typically, at the market value at the time) or have the solarsystems removed from the County sites.
The County requested that companies provide PPA pricing for the first year of the PPA, assumingthat the PPA price escalated 4% annually over a 20-year term. The chart below summarizes theprices proposed for the first year of the PPA:
Chart 2
The chart demonstrates that Enfinity proposed the lowest PPA pricing while PsomasFMGsuggested the highest PPA pricing.
We also note that three of the companies (SunEdison, PsomasFMG, and Enfinity) indicated theyexpected to receive rebates from the IID Solar Solutions Rebate Program while the other twocompanies (SolarCity and Amsolar) made no mention of the potential rebates. To the extent theserebates are no longer available, or can no longer be obtained at the rebate amounts assumed,this may lead to a negotiation process of the PPA pricing because the vendor may resist awardingthe same pricing without the benefit of the rebates.
County of Imperial
Page 4
Based on a Sampling of County Utility Bills, the Average Rate Charged for Electricity Usage isApproximately $0.1159 per kWh
Average Electricity Rate = $0.1159
1 2 34----
5 — 6 7 8 9 10 11 12 13 14 15 16Sample Utility Bill
$/kVVh
$0.1400
$0.1200
$0.1000
$0.0E300
$0.0600
$0.0400
$0.0200 4
$0.0000
Notes:- Sampling of County utility bills for various buildings and meters at CAC and Jail, for August 2012 (generally a high usage month) and March 2013 (generallya low usage month). excluding the flat fee $4 customer charge.
GovernmentFinancial
Strategies
1 inc.
Another area of consideration is evaluating whether Enfinity can reasonably deliver on the low PPApricing. PPAs have been a shrinking market in recent years with the decline of rebates and taxincentives. However, Enfinity identifies, among others, Wells Fargo Bank as a source of PPAfinancing, and claims a track record of completing over 200 PPAs. Therefore, it would seemreasonable that based on the RFP response, Enfinity has the experience and financial backing tofollow through on its proposal. While no additional due diligence has been performed at this time,should the County proceed with Enfinity, we would recommend further due diligence to confirm theclaims made in the RFP response.
Analysis of RFP Responses
For comparison against the PPA prices, a baseline of the County's existing energy prices with thelocal utility company, Imperial Irrigation District, was established using a sampling of utility bills.The sampling was intended to create an approximation of what the County currently pays forelectricity, based on reviewing the bills for a variety of buildings and meters at both the CAC andJail during a time of year that is generally high energy usage and a time of year that is generallylow energy usage. The results of the sampling are shown in the chart below:
Chart 3
County of Imperial
Page 5
N/A
$1 752,486
$573,739$651,159
N/A ($124,893) N/A
•PV Watts •PVsyst $4,636,138$4,892,140
$2,780,923
SolarCity SunEdison MPsomasFMG Enfinity Amsolar
Total SavingsOver PO Years Over the 20 Year Term of the PPA, Enfinity's Proposal Offers the Most Savings on the Basis of
Both PV Watts and PVsyst
$5,500,000
$4,500,000
$3,500,000
$2,500,000
$1,500,000
$500,000
($500,000)Notes:- Amsolar did not provide energy generation output on the basis of PV Watts.- Estimated energy generated and PPA rates per RFP responses.- Imperial Irrigation District (11D) rate based on sampling of billing.- IID rate assumed to escalate 4% annually.- Assumed annual system degradation rate of 0.5o%.
RFP Response
GovernmentFinancial
Strategiesinc.
The PPA prices were compared to the County's existing electricity prices, utilizing the energygeneration output that was provided by each company in their RFP response. Companies providedenergy generation output using two models:
1) PV Watts: this is a model developed by the National Renewable Energy Laboratory of theU.S. Department of Energy. The County suggested this model be used in the RFP.
2) PVsyst: this is a model developed by a private company of the same name. Somecompanies preferred to include the output from this model because they stated it allowsfor customizing to specific PV technology. Output from high-efficiency modules would beunderestimated using PV Watts, which is designed for standard modules.
For comparison purposes, results were evaluated using both models of energy generation output.One company, Amsolar, did not provide output using PV Watts, and two companies, SolarCity andPsomasFMG, did not provide output using PVsyst.
For the energy generation outputs provided, the estimated total savings was determined for boththe CAC and Jail combined, and using the proposed PPA prices over the 20-year term. Theresults are shown in the chart below:
Chart 4
The chart shows that Enfinity's proposal offers the most savings, followed by SolarCity, Amsolar,and SunEdison. The proposal from PsomasFMG is estimated to result in an increased cost to theCounty rather than a savings, and so is shown in the chart as a negative savings.
County of Imperial
Page 6
Project Cash Flow With Assumed 4% Inflation in Electricity Rates from IID, Enfinity's Proposal Would Lead toSavings of $4.6 Million Over 20 Years
$1,200,000
Total Savings Over 20 Years: $4.6 Million
$1,000,000
$800,000 AnnualSavings. $315,
$600,000 -
=Estimated PPA Payments
Estimated Avoided Cost to IID With 4% Growth
I Annual Savings: $165,000 I$400,000
$200,000
$o1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
Notes:- Energy generation output is on the basis of PV Watts. Year of PPA- Estimated energy generated and PPA rates per RFP response.- Imperial Irrigation District (IID] rate based on sampling of billing.- !ID rate assumed to escalate 4% annually.- Assumed annual system degradation rate of 0.5CP/o.
GovernmentFinancial
Strategiesinc.
Budget Analysis
Since Enfinity's proposal provides the most total savings, this proposal was given a more in-depthevaluation that considers the project's cash flow and how it impacts the budget on an annualbasis. These results are shown in the chart below, assuming output on a PV Watts basis andthat the inflation rate in electricity prices from IID is the same 4% annual rate as the PPA prices:
Chart 5
The chart illustrates the annual savings is estimated to range from a low of $165,000 in the firstyear of the PPA to a high of $315,000 in the final year of the PPA, totaling $4.6 million over the20-year period. These figures are in unadjusted dollars, not discounted for inflation or the timevalue of money.
County of Imperial
Page 7
$1,600,000
$1,400,000 —
$1,200,000
$1,000,000
$800,000
$600,000
$400,000
$200,000 T
$0
4% Growth in IID RatesTotal Savings Over 20 Years: $4.6 MillionAnnual Savings: $165,000 - $315,000
Estimated PPA Payments
"""" Estimated Avoided Cost to HD With 2% Growth
°'® Estimated Avoided Cost to IID With 4% Growth
...I'. Estimated Avoided Cost to HD with 6% Growth
6% Growth in HD RatesTotal Savings Over 20 Years: $8.1 MillionAnnual Savings: $165,000 - $755,000
2% Growth in IID RatesTotal Savings Over 20 Years: $2.0 MillionAnnual Savings: $5,000 - $165,000
Project Cash Flow With a Range of 2% - 6% Inflation in Electricity Rates from IID, Enfinity's Proposal Would Lead toSavings of $2.0 Million - $8.1 Million
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20Notes:- Energy generation output is on the basis of PV Watts.- Estimated energy generated and PPA rates per RFP response.- Imperial Irrigation District [IID) rate based on sampling of billing.- IID rate assumed to escalate 2%, 4%, and 6% annually.- Assumed annual system degradation rate of 0.50%.
Year of PPA Break-even Rate: 0.15% InflationTotal Savings Over 20 Years = $0
Government
Financial
Strategies
1 inc.
Risk Analysis
Because it is not possible to forecast with certainty the inflation rate in 110's electricity prices overthe next 20 years, a risk analysis was conducted that considers how the savings to the Countywould change depending on various inflation rates. The savings to the County were determinedassuming that the inflation rate would be 2% annually, 4% annually, and 6% annually over the next20 years. The results of this analysis are shown in the chart below:
Chart 6
The chart demonstrates that even at a 2% annual inflation rate in 110's electricity prices, the PPAwould achieve savings in every year. Savings is estimated to range from a high of $165,000 inthe first year of the PPA to a low of $5,000 in the final year of the PPA, totaling $2.0 million overthe entire term.
If the inflation rate in IlD's electricity prices were 6% annually, the County is estimated to save$165,000 in the first year of the PPA to $755,000 in the last year of the PPA, for a totalsavings of $8.1 million.
The County's break-even rate was also calculated. In a break-even situation, the County mightsave money in some years and have higher costs in other years, but overall achieve $0 in savings.In order for the County to break-even on the PPA, it is estimated that IlD's inflation rate wouldneed to be 0.15% annually on average over the next 20 years.
County of Imperial
Page 8
GovernmentFinancial
Strategiesinc.
The underlying assumption required to achieve benefit from the PPA is that energy prices willcontinue to escalate in the future. Therefore, by locking in prices now, the County will avoid therisk of inflation and experience savings over the next 20 years. Should there be deflation in energyprices, so that prices decline over time, the County will not benefit from entering into the PPA.Given the historical record of energy prices though, it is reasonable to assume that absentsignificant technological shifts in energy procurement, prices will continue to generally rise overtime and result in benefit to the County.
Conclusion
Based on a financial evaluation of the RFP responses, we recommend the County proceed withEnfinity because this company's proposal offers:
• The most savings of all the RFP responses, estimated to be $4.6 million over the 20-yearterm of the PPA.
• Positive cash flow, so that savings are expected to be achieved in every year of the PPA,ranging from $165,000 to $315,000 annually.
• Given a range of inflation rates in electricity prices from IID of 2% - 6% annually, theCounty is estimated to save a low of $2.0 million to a high of $8.1 million over the 20-yearterm, and positive cash flow in every year.
• IlD's inflation rate would need to be 0.15% annually on average over the next 20 years forthe County to break even on the PPA (achieve no savings).
• Based on the RFP response, it seems reasonable to conclude that Enfinity has theexperience and financial backing to deliver the terms of the PPA as proposed, althoughfurther due diligence is recommend in this area.
County of Imperial Page 9
GovernmentFinancial
Strategiesi inc.
Appendix A: Financial Analysis of RFP Responses for the Solar Energy Generation Program
County of Imperial Page 10
GovernmentFinancial
County of Imperial Strategiesinc.
Financial Analysis of RFP Responses
for the Solar Energy Generation Program
As of January 2014
PPA Analysis.xlsx (Cover) 1/12/14 KW Page 1 of 13
County of ImperialGovernment
FinancialStrategies
inc.Summary of PPA Analysis
SolarCity SunEdison PsomasFMG Enfinity AmsolarPV System Size RFP RFP RFP RFP RFP
County Administration Center 590 142 667 454 406County Jail 2,409 1,237 1,669 2,181 1,114
Year 1 PPA RatesCounty Administration Center $0.1305 $0.1060 $0.1398 $0.0795 $0.1 190County Jail $0.0880 $0.1060 $0.1092 $0.0795 $0.0850
PV WattsEst. Total Savings Over 20 Years $2,780,923 $573,739 ($124,893) $4,636,138 n/aEst. NPV Savings (Today's Dollars) $2,001,035 $412,954 ($89,332) $3,335,568 n/a
PVsystEst. Total Savings Over 20 Years n/a $651,159 n/a $4,892,140 $1,752,486Est. NPV Savings (Today's Dollars) n/a $468,678 n/a $3,519,754 $1,260,970
PPA Analysis.xlsx [Summary) 1/12/14 KW Page 2 of 13
County of Imperial
Government
Financial
Strategies
1 inc.
SolarCity RFP Response Cashflow
Year
PV WattsCAC
PPA RateEscalation
JailPPA Rate Payment toEscalation PPA Provider
4.00%HD Rate
EscalationAvoided
Energy Costs
EstimatedPPA
Savings
CACEnergy
Generated
JailEnergy
Generated1 898,834 4,020,287 $0.1305 $0.0880 ($471,083) $0.1 159 $570,126 $99,0432 894,339 4,000,186 $0.1357 $0.0915 ($487,477) $0.1205 $589,790 $102,3143 889,868 3,980,185 $0.1411 $0.0952 ($504,441) $0.1253 $610,218 $105,7774 885,418 3,960,284 $0.1468 $0.0990 ($521,995) $0.1303 $631,395 $109,4005 880,991 3,940,482 $0.1527 $0.1029 ($540,161) $0.1355 $653,310 $113,1496 876,586 3,920,780 $0.1588 $0.1071 ($558,959) $0.1409 $675,949 $116,9907 872,203 3,901,176 $0.1651 $0.1113 ($578,410) $0.1465 $699,300 $120,8908 867,842 3,881,670 $0.1717 $0.1158 ($598,539) $0.1524 $723,826 $125,2879 863,503 3,862,262 $0.1786 $0.1204 ($619,368) $0.1585 $749,034 $129,666
10 859,186 3,842,951 $0.1857 $0.1253 ($640,922) $0.1648 $774,912 $133,99011 854,890 3,823,736 $0.1932 $0.1303 ($663,226) $0.1714 $801,916 $138,69012 850,615 3,804,617 $0.2009 $0.1355 ($686,306) $0.1783 $830,028 $143,72113 846,362 3,785,594 $0.2089 $0.1409 ($710,190) $0.1854 $858,765 $148,57514 842,130 3,766,666 $0.2173 $0.1465 ($734,905) $0.1928 $888,576 $153,67115 837,920 3,747,833 $0.2260 $0.1524 ($760,479) $0.2005 $919,443 $158,96416 833,730 3,729,094 $0.2350 $0.1585 ($786,944) $0.2085 $951,349 $164,40517 829,562 3,710,448 $0.2444 $0.1648 ($814,330) $0.2168 $984,274 $169,94518 825,414 3,691,896 $0.2542 $0.1714 ($842,668) $0.2255 $1,018,653 $175,98519 821,287 3,673,436 $0.2644 $0.1783 ($871,993) $0.2345 $1,054,013 $182,01920 817,180 3,655,069 $0.2749 $0.1854 ($902,338) $0.2439 $1,090,782 $188,443
[$13,294,735) $16,075,658 $2,780,923
Net Present Value Savings Over 20 Year Term of PPA: $2,001,035
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.x/sx [SolarCity] 1/12/14 KW Page 3 of 13
County of ImperialGovernment
FinancialStrategies
inc.SunEdison RFP Response Cashflow
Year
PV WattsCAC
PPA RateEscalation
JailPPA RateEscalation
Payment toPPA Provider
4.00%IID Rate
EscalationAvoided
Energy Costs
EstimatedPPA
Savings
CACEnergy
Generated
JailEnergy
Generated1 231,000 1,844,000 $0.1060 $0.1060 ($219,950) $0.1159 $240,493 $20,5432 229,845 1,834,780 $0.1102 $0.1102 ($227,604) $0.1205 $248,787 $21,1833 228,696 1,825,606 $0.1146 $0.1146 ($235,525) $0.1253 $257,404 $21,8794 227,552 1,816,478 $0.1192 $0.1192 ($243,721) $0.1303 $266,337 $22,6165 226,415 1,807,396 $0.1240 $0.1240 ($252,203) $0.1355 $275,581 $23,3796 225,282 1,798,359 $0.1290 $0.1290 ($260,979) $0.1409 $285,131 $24,1527 224,156 1,789,367 $0.1341 $0.1341 ($270,061) $0.1465 $294,981 $24,9208 223,035 1,780,420 $0.1395 $0.1395 ($279,460) $0.1524 $305,327 $25,8679 221,920 1,771,518 $0.1451 $0.1451 ($289,185) $0.1585 $315,960 $26,775
10 220,810 1,762,660 $0.1509 $0.1509 ($299,248) $0.1648 $326,876 $27,62811 219,706 1,753,847 $0.1569 $0.1569 ($309,662) $0.1714 $338,267 $28,60512 218,608 1,745,078 $0.1632 $0.1632 ($320,438) $0.1783 $350,125 $29,68713 217,515 1,736,352 $0.1697 $0.1697 ($331,590) $0.1854 $362,247 $30,65714 216,427 1,727,671 $0.1765 $0.1765 ($343,129) $0.1928 $374,822 $31,69315 215,345 1,719,032 $0.1836 $0.1836 ($355,070) $0.2005 $387,843 $32,77316 214,268 1,710,437 $0.1909 $0.1909 ($367,426) $0.2085 $401,301 $33,87517 213,197 1,701,885 $0.1985 $0.1985 ($380,213) $0.2168 $415,190 $34,97718 212,131 1,693,376 $0.2065 $0.2065 ($393,444) $0.2255 $429,692 $36,24819 211,070 1,684,909 $0.2147 $0.2147 ($407,136) $0.2345 $444,607 $37,47120 210,015 1,676,484 $0.2233 $0.2233 ($421,304) $0.2439 $460,117 $38,813
($6,207,349) $6,781,088 $573,739
Net Present Value Savings Over 20 Year Term of PPA: $412,954
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (SunEdison) 1/12/14 KW Page 4 of 13
County of ImperialGovernment
FinancialStrategies
inc.SunEdison RFP Response Cashflow (Continued)
PVsystCAC
PPA RateEscalation
JailPPA Rate Payment toEscalation PPA Provider
4.00%HD Rate Avoided
Escalation Energy Costs
EstimatedPPA
SavingsYear
CACEnergy
Generated
JailEnergy
Generated1 258,000 2,097,000 $0.1060 $0.1060 ($249,630) $0.1159 $272,945 $23,3152 256,710 2,086,515 $0.1102 $0.1102 ($258,317) $0.1205 S282,359 $24,0413 255,426 2,076,082 $0.1146 $0.1146 ($267,307) $0.1253 $292,138 $24,8324 254,149 2,065,702 $0.1192 $0.1192 ($276,609) $0.1303 $302,277 $25,6685 252,879 2,055,374 $0.1240 $0.1240 ($286,235) $0.1355 $312,768 $26,5336 251,614 2,045,097 $0.1290 $0.1290 ($296,196) $0.1409 $323,607 $27,4117 250,356 2,034,871 $0.1341 $0.1341 ($306,503) $0.1465 $334,786 $28,2828 249,104 2,024,697 $0.1395 $0.1395 ($317,170) $0.1524 $346,527 $29,3589 247,859 2,014,573 $0.1451 $0.1451 ($328,207) $0.1585 $358,595 $30,388
10 246,620 2,004,500 $0.1509 $0.1509 ($339,629) $0.1648 $370,985 $31,35611 245,386 1,994,478 $0.1569 $0.1569 ($351,448) $0.1714 $383,913 $32,46512 244,159 1,984,506 $0.1632 $0.1632 ($363,678) $0.1783 $397,371 $33,69313 242,939 1,974,583 $0.1697 $0.1697 ($376,334) $0.1854 $411,129 $34,79414 241,724 1,964,710 $0.1765 $0.1765 ($389 , 43 1 ) $0.1928 $425,400 $35,97015 240,515 1,954,887 $0.1836 $0.1836 ($402,983) $0.2005 $440,178 $37,19516 239,313 1,945,112 $0.1909 $0.1909 ($417,007) $0.2085 $455,453 $38,44617 238,116 1,935,387 $0.1985 $0.1985 ($431,519) $0.2168 $471,215 $39,69718 236,926 1,925,710 $0.2065 $0.2065 ($446,535) $0.2255 $487,674 $41,13919 235,741 1,916,081 $0.2147 $0.2147 ($462,075) $0.2345 $504,602 $42,52720 234,562 1,906,501 $0.2233 $0.2233 ($478,155) $0.2439 $522,205 $44,050
($7,044,967) $7,696,126 $651,159
Net Present Value Savings Over 20 Year Term of PPA: $468,678
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (SunEdison) 1/12/14 KW Page 5 of 13
County of Imperial
GovernmentFinancial
1 Strategiesinc.
PsomasFMG RFP Response Cashflow
PV WattsCAC
PPA RateEscalation
JailPPA Rate Payment toEscalation PPA Provider
4.00%HD Rate Avoided
Escalation Energy Costs
EstimatedPPA
SavingsYear
CACEnergy
Generated
JailEnergy
Generated1 1,153,000 3,524,000 $0.1398 $0.1092 ($546,010) $0.1159 $542,064 ($3,946)2 1,147,235 3,506,380 $0.1454 60.1136 ($565,011) $0.1205 $560,761 ($4,251)3 1,141,499 3,488,848 $0.1512 60.1181 ($584,674) $0.1253 $580,182 ($4,491)4 1,135,791 3,471,404 $0.1573 $0.1228 (6605,020) $0.1303 $600,318 ($4,703)5 1,130,112 3,454,047 $0.1635 $0.1277 ($626,075) $0.1355 $621,154 ($4,922)6 1,124,462 3,436,777 $0.1701 $0.1329 ($647,863) $0.1409 $642,678 ($5,184)7 1,118,840 3,419,593 $0.1769 $0.1382 ($670,408) $0.1465 $664,880 ($5,528)8 1,113,245 3,402,495 $0.1840 $0.1437 ($693,738) $0.1524 $688,199 ($5,540)9 1,107,679 3,385,482 $0.1913 $0.1494 ($717,880) $0.1585 $712,166 ($5,714)
10 1,102,141 3,368,555 $0.1990 $0.1554 ($742,863) $0.1648 $736,771 ($6,092)11 1,096,630 3,351,712 $0.2069 $0,1616 ($768,714) $0.1714 $762,446 ($6,268)12 1,091,147 3,334,954 $0.2152 $0.1681 ($795,466) $0.1783 $789,174 (66,292)13 1,085,691 3,318,279 $0.2238 $0.1748 ($823,148) $0.1854 $816,496 ($6,652)14 1,080,263 3,301,687 $0.2328 $0.1818 ($851,793) $0.1928 $844,840 ($6,953)15 1,074,861 3,285,179 $0.2421 $0.1891 ($881,436) $0.2005 $874,188 ($7,248)16 1,069,487 3,268,753 $0.2518 $0.1967 ($912,110) $0.2085 $904,523 ($7,587)17 1,064,140 3,252,409 $0.2618 60.2045 ($943,851) $0.2168 $935,828 ($8,023)18 1,058,819 3,236,147 $0.2723 $0.2127 ($976,697) $0.2255 $968,515 ($8,182)19 1,053,525 3,219,966 $0.2832 60.2212 ($1,010,686) $0.2345 $1,002,134 ($8,552)20 1,048,257 3,203,867 $0.2945 60.2301 ($1,045,858) $0.2439 $1,037,093 ($8,765)
(615,409,302) $15,284,409 ($124,893)
Net Present Value Savings Over 20 Year Term of PPA: ($89,332)
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (PsomasFMG) 1/12/14 KW Page 6 of 13
County of ImperialGovernment
FinancialStrategies
inc.Enfinity RFP Response Cashflow
PV WattsCAC
PPA RateEscalation
JailPPA Rate Payment toEscalation PPA Provider
4. 00%HD Rate
EscalationAvoided
Energy Costs
EstimatedPPA
SavingsYear
CACEnergy
Generated
JailEnergy
Generated1 752,417 3,773,408 $0.0795 $0.0795 ($359,803) $0.1159 $524,543 $164,7402 748,655 3,754,541 $0.0827 $0.0827 ($372,324) $0.1205 $542,635 $170,3113 744,912 3,735,768 $0.0860 $0.0860 ($385,281) $0.1253 $561,429 $176,1484 741,187 3,717,089 $0.0894 $0.0894 ($398,689) $0.1303 $580,913 $182,2255 737,481 3,698,504 $0.0930 $0.0930 ($412,563) $0.1355 $601,076 $188,5136 733,794 3,680,011 $0.0967 $0.0967 ($426,920) $0.1409 $621,905 $194,9857 730,125 3,661,611 $0.1006 $0.1006 ($441,777) $0.1465 $643,389 $201,6128 726,474 3,643,303 $0.1046 $0.1046 ($457,151) $0.1524 $665,954 $208,8039 722,842 3,625,087 $0.1088 $0.1088 ($473,060) $0.1585 $689,147 $216,087
10 719,228 3,606,961 $0.1132 $0.1132 ($489,523) $0.1648 $712,956 $223,43311 715,631 3,588,927 $0.1177 $0.1177 ($506,558) $0.1714 $737,801 $231,24312 712,053 3,570,982 $0.1224 $0.1224 ($524,186) $0.1783 $763,665 $239,47913 708,493 3,553,127 $0.1273 $0.1273 ($542,428) $0.1854 $790,104 $247,67714 704,951 3,535,361 $0.1324 $0.1324 ($561,304) $0.1928 $817,532 $256,22815 701,426 3,517,685 $0.1377 $0.1377 ($580,838) $0.2005 $845,932 $265,09416 697,919 3,500,096 $0.1432 $0.1432 ($601,051) $0.2085 $875,286 $274,23517 694,429 3,482,596 $0.1489 $0.1489 ($621,967) $0.2168 $905,579 $283,61218 690,957 3,465,183 $0.1549 $0.1549 ($643,612) $0.2255 $937,209 $293,59819 687,502 3,447,857 $0.1611 $0.1611 ($666,010) $0.2345 $969,742 $303,73220 684,065 3,430,618 $0.1675 $0.1675 ($689,187) $0.2439 $1,003,571 $314,384
($10,154,232) $14,790,370 $4,636,138
Net Present Value Savings Over 20 Year Term of PPA: $3,335,568
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (Enfinity) 1/12/14 KW Page 7 of 13
Year
Enfinity RFP Response Cashflow (Continued)
PVsystCAC Jail
PPA Rate PPA RateEscalation Escalation
County of Imperial
Payment to IID RatePPA Provider Escalation
4.00%Avoided
Energy Costs
EstimatedPPA
Savings
GovernmentFinancial
Strategiesinc.
CACEnergy
Generated
JailEnergy
Generated1 805,269 3,970,467 $0.0795 $0.0795 ($379,671) $0.1159 $553,508 $173,8372 801,243 3,950,615 $0.0827 $0.0827 ($392,884) $0.1205 $572,599 $179,7153 797,236 3,930,862 $0.0860 $0.0860 ($406,556) $0.1253 $592,431 $185,8754 793,250 3,911,207 $0.0894 $0.0894 ($420,704) $0.1303 $612,991 $192,2875 789,284 3,891,651 $0.0930 $0.0930 ($435,345) $0.1355 $634,267 $198,9226 785,338 3,872,193 $0.0967 $0.0967 ($450,495) $0.1409 $656,246 $205,7527 781,411 3,852,832 $0.1006 $0.1006 ($466,172) $0.1465 $678,917 $212,7458 777,504 3,833,568 $0.1046 $0.1046 ($482,395) $0.1524 $702,727 $220,3339 773,616 3,814,400 $0.1088 $0.1088 ($499,182) $0.1585 $727,201 $228,019
10 769,748 3,795,328 $0.1132 $0.1132 ($516,553) $0.1648 $752,325 $235,77111 765,900 3,776,351 $0.1177 $0.1177 ($534,529) $0.1714 $778,542 $244,01212 762,070 3,757,470 $0.1224 $0.1224 ($553,131) $0.1783 $805,834 $252,70313 758,260 3,738,682 $0.1273 $0.1273 ($572,380) $0.1854 $833,733 $261,35314 754,468 3,719,989 $0.1324 $0.1324 ($592,299) $0.1928 $862,675 $270,37615 750,696 3,701,389 $0.1377 $0.1377 ($612,911) $0.2005 $892,643 $279,73216 746,943 3,682,882 $0.1432 $0.1432 ($634,240) $0.2085 $923,618 $289,37817 743,208 3,664,468 $0.1489 $0.1489 ($656,312) $0.2168 $955,584 $299,27218 739,492 3,646,145 $0.1549 $0.1549 ($679,151) $0.2255 $988,961 $309,81019 735,794 3,627,915 $0.1611 $0.1611 ($702,786) $0.2345 $1,023,290 $320,50420 732,115 3,609,775 $0.1675 $0.1675 ($727,243) $0.2439 $1,058,987 $331,744
($10,714,937) $15,607,077 $4,892,140
Net Present Value Savings Over 20 Year Term of PPA: $3,519,754
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (Enfinity) 1/12/14 KW Page 8 of 13
County of ImperialGovernment
Financial- Strategies
inc.Enfinity RFP Response Cashflow (Continued)
Year
2.00%IID Rate
Escalation
4.00%IID Rate
Escalation
6.00%IID Rate
Escalation
PV Watts2.00%
PPASavings
4.00%PPA
Savings
6.00%PPA
Savings
2.00%Avoided
Energy Costs
4.00%Avoided
Energy Costs
6.00%Avoided
Energy Costs1 $0.1159 $0.1159 $0.1159 $524,543 $524,543 $524,543 $164,740 $164,740 $164,7402 $0.1182 $0.1205 $0.1229 $532,278 $542,635 $553,443 $159,954 $170,311 $181,1193 $0.1206 $0.1253 $0.1303 $540,370 $561,429 $583,833 $155,089 $176,148 $198,5514 $0.1230 $0.1303 $0.1381 $548,368 $580,913 $615,688 $149,679 $182,225 $216,9995 $0.1255 $0.1355 $0.1464 $556,716 $601,076 $649,428 $144,153 $188,513 $236,8656 $0.1280 $0.1409 $0.1552 $564,967 $621,905 $685,023 $138,047 $194,985 $258,1027 $0.1306 $0.1465 $0.1645 $573,561 $643,389 $722,441 $131,783 $201,612 $280,6638 $0.1332 $0.1524 $0.1744 $582,054 $665,954 $762,089 $124,903 $208,803 $304,9389 $0.1359 $0.1585 $0.1849 $590,883 $689,147 $803,932 $117,823 $216,087 $330,872
10 $0.1386 $0.1648 $0.1960 $599,610 $712,956 $847,933 $110,087 $223,433 $358,41111 $0.1414 $0.1714 $0.2078 $608,665 $737,801 $894,487 $102,107 $231,243 $387,92912 $0.1442 $0.1783 $0.2203 $617,614 $763,665 $943,553 $93,428 $239,479 $419,36713 $0.1471 $0.1854 $0.2335 $626,884 $790,104 $995,088 $84,457 $247,677 $452,66014 $0.1500 $0.1928 $0.2475 $636,047 $817,532 $1,049,477 $74,743 $256,228 $488,17315 $0.1530 $0.2005 $0.2624 $645,524 $845,932 $1,107,095 $64,686 $265,094 $526,25716 $0.1561 $0.2085 $0.2781 $655,310 $875,286 $1,167,468 $54,259 $274,235 $566,41717 $0.1592 $0.2168 $0.2948 $664,982 $905,579 $1,231,387 $43,015 $283,612 $609,42018 $0.1624 $0.2255 $0.3125 $674,957 $937,209 $1,298,794 $31,345 $293,598 $655,18219 $0.1656 $0.2345 $0.3313 $684,815 $969,742 $1,370,044 $18,806 $303,732 $704,03520 $0.1689 $0.2439 $0.3512 $694,970 $1,003,571 $1,445,076 $5,783 $314,384 $755,890
$12,123,118 $14,790,370 $18,250,821 $1,968,886 $4,636,138 $8,096,589
Net Present Value Savings Over 20 Year Term of PPA: $1,583,470 $3,335,568 $5,584,546
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 2%, 4%, and 6% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (Enfinity)
1/12/14 KW Page 9 of 13
GovernmentFinancial
Strategiesinc.
County of Imperial
Enfinity RFP Response Cashflow (Continued)
Year
Break-even PV Watts
Payment toPPA Provider
0.15%PPA
Savings
0.15%IID Rate
Escalation
0.15%Avoided
Energy Costs1 $0.1 159 $524,543 ($359,803) $164,7402 $0.1161 $522,821 ($372,324) $150,4973 $0.1163 $521,103 ($385,281) $135,8224 $0.1165 $519,389 ($398,689) $120,7005 $0.1167 $517,679 ($412,563) $105,1166 $0.1169 $515,974 ($426,920) $89,0537 $0.1171 $514,272 ($441,777) $72,4958 $0.1173 $512,575 ($457,151) $55,4249 $0.1175 $510,882 ($473,060) $37,822
10 $0.1177 $509,192 ($489,523) $19,67011 $0.1179 $507,507 ($506,558) $94912 $0.1181 $505,826 ($524,186) ($18,360)13 $0.1183 $504,150 ($542,428) ($38,278)14 $0.1185 $502,477 ($561,304) ($58,827)15 $0.1187 $500,808 ($580,838) ($80,029)16 $0.1189 $499,144 ($601,051) ($101,907)17 $0.1 191 $497,484 ($621,967) ($124,484)18 $0.1193 $495,827 ($643,612) ($147,784)19 $0.1 195 $494,175 ($666,010) ($171,834)20 $0.1197 $492,527 ($689,187) ($196,659)
$10,168,358 ($10,154,232) $14,126
Net Present Value Savings Over 20 Year Term of PPA: $283,888
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx [Enfinity] 1/12/14 KW Page 10 of 13
County of ImperialGovernment
FinancialStrategies
inc.Amsolar RFP Response Cashflow
Year
PVsystCAC
PPA RateEscalation
JailPPA RateEscalation
Payment toPPA Provider
4.00%IID Rate
EscalationAvoided
Energy Costs
EstimatedPPA
Savings
CACEnergy
Generated
JailEnergy
Generated1 610,454 2,079,785 $0.1190 $0.0850 ($249,426) $0.1159 $311,799 $62,3732 607,402 2,069,386 $0.1238 $0.0884 ($258,106) $0.1205 $322,553 $64,4473 604,365 2,059,039 $0.1287 $0.0919 ($267,088) $0.1253 $333,725 $66,6374 601,343 2,048,744 $0.1339 $0.0956 ($276,383) $0.1303 $345,306 $68,9245 598,336 2,038,500 $0.1392 $0.0994 ($286,001) $0.1355 $357,291 $71,2916 595,345 2,028,308 $0.1448 $0.1034 ($295,953) $0.1409 $369,673 $73,7197 592,368 2,018,166 $0.1506 $0.1076 ($306,253) $0.1465 $382,443 $76,1918 589,406 2,008,075 $0.1566 $0.1119 ($316,910) $0.1524 $395,856 $78,9469 586,459 1,998,035 $0.1629 $0.1163 ($327,939) $0.1585 $409,642 $81,704
10 583,527 1,988,045 $0.1694 $0.1210 ($339,351) $0.1648 $423,795 $84,44411 580,609 1,978,105 $0.1761 $0.1258 ($351,160) $0.1714 $438,564 $87,40312 577,706 1,968,214 $0.1832 $0.1309 ($363,381) $0.1783 $453,938 $90,55713 574,817 1,958,373 $0.1905 $0.1361 ($376,026) $0.1854 $469,653 $93,62714 571,943 1,948,581 $0.1981 $0.1415 ($389,112) $0.1928 $485,957 $96,84515 569,084 1,938,838 $0.2061 $0.1472 ($402,653) $0.2005 $502,838 $100,18516 566,238 1,929,144 $0.2143 $0.1531 ($416,666) $0.2085 $520,287 $103,62217 563,407 1,919,498 $0.2229 $0.1592 ($431,166) $0.2168 $538,294 $107,12918 560,590 1,909,901 $0.2318 $0.1656 ($446,170) $0.2255 $557,096 $110,92619 557,787 1,900,351 $0.2411 $0.1722 ($461,697) $0.2345 $576,433 $114,73720 554,998 1,890,850 $0.2507 $0.1791 ($477,764) $0.2439 $596,542 $118,779
($7,039,203) $8,791,685 $1,752,486
Net Present Value Savings Over 20 Year Term of PPA: $1,260,970
Notes:Estimated energy generated and PPA rates per RFP response.Imperial Irrigation District (IID) rate based on sampling of billing.IID rate assumed to escalate 4% annually.Assumed annual system degradation rate of 0.50%.NPV discount/inflation rate assumed to be 3.00%.
PPA Analysis.xlsx (Amsolar) 1/12/14 KW Page 11 of 13
Review of RFP Data & Assumptions
County of ImperialGovernment
FinancialStrategies
inc.
SolarCity Page SunEdison Page PsomasFMG Page Enfinity Page Amsolar PageCom an • RFP Reference RFP Reference RFP Reference RFP
Reference RFP
ReferenceSystem Size - CAC [kw DC) 590 45 142 28 667 31 454 28 406 20System Size - Jail (kw DC) 2409 45 1237 28 1669 31 2181 28 1114 16Year 1 Output - CAC (kWh, PV Watts) 898,834 38, 41-43 231,000 34 1,153,000 31 752,417 30Year 1 Output-Jail (kWh, PV Watts) 4,020,287 39, 44 1,844,000 34 3,524,000 31 3,773,408 30Year 1 Output - CAC (kWh, PVsyst) 258,000 34 805,269 30 610,454 23, 27Year 1 Output - Jail (kWh, PVsyst) 2,097,000 34 3,970,467 30 2,079,785 18Year 1 PPA Rate - CAC ($/kWh) $0.1305 45 $0.1060 37 $0.1398 33 $0.0795 31 $0.1190 6Year 1 PPA Rate - Jail ($/kWh) $0.0880 45 50.1060 37 $0.1092 33 $0.0795 31 $0.0850 6PPA Term (years) 20 45 20 Not shown 20 33 20 31 20 Not shownPPA Escalation Rate (annual) 4% 45 4% 37 4% 33 4% 31 4% Not shownIID Solar Solutions Rebate Program No Not shown Yes 37 Yes 33 Yes 31 No 6IID Rebate Amount ($/kWh) Not shown Not shown Not shown Not shown $0.18 33 $0.18 31 $0.00 6Inverter Warranty (years) 10 36 10 30 10 30 10 29 10 33Module Warranty (years) 10 36 5 29 10 30 25 29 10 29Performance Warranty (years) 25 36 25 29 25 30 Not shown Not shown 25 29
Assumed Degradation Rate (annually) 0.50%
0.50%
0.50%
0.50%
0.50%
PPA Analysis.xlsx (RFP Data) 1/12/14 KW Page 12 of 13
County of ImperialGovernment
FinancialStrategies
inc.Sampling of IID Billing Data
Bill Invoice Billing Energy $/kWh Service AccountNumber Date Amount * Use (kWh) Charge Address Building Number
1 8/22/12 $1,212.30 10,360 $0.1170 Courthouse El Centro CA Bldg 1 Meter A 500160862 3/24/13 $115.92 960 $0.1208 Courthouse El Centro CA Bldg 1 Meter A 500160863 8/22/12 $833.02 7,040 $0.1183 Courthouse El Centro CA Bldg 1 Meter B 500160744 3/24/13 $550.09 4,640 $0.1186 Courthouse El Centro CA Bldg 1 Meter B 500160745 8/23/12 $7,150.04 66,000 $0.1083 202 N 8th St El Centro CA Bldg 10 Behavioral Health Admin 500520976 3/25/13 $3,659.39 32,800 $0.1116 202 N 8th St El Centro CA Bldg 10 Behavioral Health Admin 500520977 8/23/12 $560.69 4,730 $0.1185 801 Broadway St El Centro CA Bldg 11 Behavioral Health Admin 500520818 3/25/13 $186.78 1,560 $0.1197 801 Broadway St El Centro CA Bldg 11 Behavioral Health Admin 500520819 8/23/12 $1,628.18 14,000 $0.1163 852 Broadway St El Centro CA Bldg 16 Agricultural Commissioner 5043220410 3/25/13 $719.92 6,080 $0.1184 852 Broadway St El Centro CA Bldg 16 Agricultural Commissioner 5043220411 8/17/12 $616.13 5,200 $0.1185 Date 6 El Centro CA County Hospital near Bldg 10 Meter B 5001277012 3/20/13 $691.62 5,840 $0.1184 Date 6 El Centro CA County Hospital near Bldg 10 Meter B 5001277013 8/17/12 $17,275.02 159,500 $0.1083 1351 S Clark Rd El Centro CA Juvenile Hall 38 Mechanical Yard 5008482214 3/20/13 $11,901.27 106,500 $0.1117 1351 S Clark Rd El Centro CA Juvenile Hall 38 Mechanical Yard 5008482215 8/17/12 $3,447.01 29,920 $0.1152 314 W McCabe Rd El Centro CA Los Ninos Bldg 42 Betty Jo McNeese 5008506916 3/20/13 $3,026.58 26,240 $0.1153 314 W McCabe Rd El Centro CA Los Ninos Bldg 42 Betty Jo McNeese 50085069
Average: $0.1159
*Note: billing amount exludes flat rate $4 customer charge.August appears to generally be high usage and March appears to generally be low usages.
PPA Analysis.xlsx (Rate Data) 1/12/14 KW Page 13 of 13
RESOLUTION OF THE BOARD OF SUPERVISORS OF THE COUNTY OFIMPERIAL AUTHORIZE CONTRACT WITH SUNEDISON ORIGINATION, LLC
COUNTY PROJECT NO. 5763CEO
RESOLUTION NO.
WHEREAS, the County of Imperial (County) desires to develop energy efficientpractices at certain County sites;
WHEREAS, the County believes the purchase of on-site solar power would be bestexecuted through a Power Purchase Agreement (PPA) whereby a third party will bear all costs ofinstallation and maintenance of the system;
WHEREAS, a Request for Proposal (RFP) for a Solar Energy Generation Program wasreleased by the Department of Public Works on March 26, 2013 and posted on the ImperialCounty Public Works web site in accordance with applicable provisions of local, state andfederal law;
WHEREAS, the Department of Public Works received a total of five (5) proposals by thedeadline of May 16, 2013, and thorough review of all the proposals has determined thatSunEdison Origination, LLC is the most highly qualified firm offering the best value pricing;
WHEREAS, the Imperial County Public Works Director recommends that the Boardauthorize the County Executive Officer to enter into a contract and sign any necessarydocuments to complete the contract;
WHEREAS, the County is authorized to enter into contract under the provisions ofCalifornia Government Code Section 31000; and
NOW, THEREFORE, AFTER REVIEWING ALL BACKUP MATERIAL AND LISTENINGTO ALL EVIDENCE PRESENTED, THE IMPERIAL COUNTY BOARD OF SUPERVISORSFINDS AS FOLLOWS:
1. The above recitals are true and correct.2. The County followed all rules and regulations in selection and negotiation with solar
providers.3. Based on a review of all documents and information presented during the Board of
Supervisors meeting, the Board of Supervisors finds that entering into contract withSunEdison Origination, LLC would best meet the County's needs in developing energyefficient practices.
WHEREFORE, BASED UPON THE FACTS AND FINDINGS ABOVE, THE IMPERIALCOUNTY BOARD OF SUPERVISORS RESOLVES AS FOLLOWS:
Page 1 of 2
1. An agreement with SunEdison Origination, LLC for installation, financing andmaintenance for this Project shall be executed consistent with the submitted proposal,contingent upon approval by County Counsel as to form.
2. County Executive Officer is authorized to execute the agreement and any otherdocuments necessary to complete the contract.
3. The Director of Public Works is authorized to order changes or additions in the workbeing performed under this contract pursuant to Public Contract Code Section 20142.
PASSED AND ADOPTED by the Board of Supervisors, County of Imperial, State of California,this day of , 2015 by the following roll call vote:
Ryan E. Kelley,Chairman of the Board of Supervisors
ATTEST:
Blanca Acosta,Clerk of the Board of Supervisors
Page 2 of 2