Fiscal Note
The proposed resolution approves the application for two Energy Innovation Grant Program (EIGP) applications to the Public Service Commission (PSC) of Wisconsin and if awarded, amends the Engineering - Facilities Management Capital Budget to add the grant revenue to the Energy Improvements Program (Munis #10562). The first grant would add up to $1,000,000 of revenue associated with the Central Library Lighting project. The second grant would add up to $750,000 in revenue associated with a micogrid at the Streets West Badger Road Campus. No appropriation is required.
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Supporting two Energy Innovation Grant Program (EIGP) Applications to the Public Service Commission (PSC) of Wisconsin, Wisconsin Office of Energy Innovation (OEI) for Central Library lighting improvements and to demonstrate reliable and cost-effective efficiency and demand flexibility strategies in municipal facilities, utility service territory and beyond (District 4).
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WHEREAS, the City of Madison set the goal of reaching 100% renewable energy and zero emissions for City operations by 2030, based on the 2018 100% Renewable Madison report <https://madison.legistar.com/View.ashx?M=F&ID=7072081&GUID=1129163D-F7C1-41D8-9694-AA9EFFCA66FF>, and;
WHEREAS, to reach this goal, additional state and federal grant funding is needed, and;
WHEREAS, the Energy Innovation Grant Program (EIGP) supports the mission of the Wisconsin Office of Energy Innovation (OEI) by supporting a wide variety of energy projects, and;
WHEREAS, this round of EIGP is funded by the Infrastructure Investment Jobs Act (IIJA), also known as the Bipartisan Infrastructure Law (BIL), State Energy Program (SEP) funds that were awarded as a grant through the U.S. Department of Energy (U.S. DOE), and;
WHEREAS, EIGP funding can be used for multiple activities including, renewable energy systems combined with energy storage systems, energy efficiency and demand response, comprehensive energy planning and feasibility studies for microgrids and;
WHEREAS, two projects have been determined to fit the scope of the grant under two of the eligible applicant types and activity categories, including Activity 1: Renewable Energy and Energy Storage and Activity 2: Energy Efficiency and Demand Response, and;
WHEREAS, the City of Madison’s Capital Improvement Plan includes city funding for Central Library lighting improvements and other energy improvements, of which this grant submittal supports and helps implement; and,
WHEREAS, the City of Madison’s Capital Improvement Plan includes city funding for Streets Improvements, of which this grant submittal supports and helps implement; and
WHEREAS, there is no cost match requirement for this grant program,
NOW, THEREFORE, BE IT RESOLVED, that City Staff is authorized to submit an EIGP application for up to $750,000 under Activity 1 - Renewable Energy and Energy Storage, to fund the installation of an energy storage system combined with installation or upgrade of a solar PV or other renewable energy system, and an EIGP application for up to $1,000,000 under Activity 2 - Energy Efficiency and Demand Response, for the installation of commercial demand response technology that reduces or shifts electricity usage during peak periods in response to time-based rates, or other demand response project; and,
BE IT FURTHER RESOLVED that, if awarded the grant, the Mayor and City Clerk are authorized to sign a grant agreement with Public Service Commission (PSC) of Wisconsin, Wisconsin Office of Energy Innovation (OEI), in a format approved by the City Attorney, and any other documents necessary to comply with the grant requirements and to secure the grant funding; and
BE IT FURTHER RESOLVED, that if awarded the grant, the Engineering-Facilities Management Adopted Capital Budget will be amended to appropriate the grant revenue and expenditures in the amount of the grant funds awarded (up to $1,750,000); and,
BE IT FINALLY RESOLVED, that the City of Madison will comply with all local, state, and federal rules, regulations, and ordinances relating to this project and the grant agreement.