HomeMy Public PortalAbout2011.08.04 Hotel McCall Solar Energy Project ContractSOLAR ENERGY PROJECT CONTRACT
This Solar Energy Project Contract, ereinafter referred to as "Contract", is made and
entered into this 4 day of • , 2011, by and between the City of McCall, an
Idaho municipal corporation, hereina referred to as the "City" and Hotel McCall, hereinafter
referred to as the "Project Partner".
PREMISES
WHEREAS, City has received American Recovery and Reinvestment Act (ARRA)
funding , through a Renewable Energy Enterprise Zone grant ("REEZ" grant) from the Idaho
Office of Energy Resources (OER) to facilitate the installation of photovoltaic and solar water
heating systems; and
WHEREAS, the City and OER have executed a contract for the REEZ grant which specifies that
the minimum total rated photovoltaic capacity to be installed for the entire project is 30kW; and
WHEREAS, City has entered into a Contract with Aurora Power & Design, Inc.
("Aurora") to design and install solar energy systems at various buildings in McCall; and
WHEREAS, Project Partner has been accepted by City to participate in the REEZ
Program and desires to install solar energy systems; and
WHEREAS, Project Partner has worked with Aurora to design a system suitable to
Project Partner's needs; and
WHEREAS, the Project Partner's system design will contribute 30.9 kW of the total
minimum rated photovoltaic capacity of 30kW; and
WHEREAS, Project Partner is ready, willing and able to pay thirty percent (30%) of the
project cost attributable to the installation of a solar energy project at Project Partner's building.
IN CONSIDERATION of the agreements contained herein and for other good and
valuable consideration, City and Project Partner agree as follows:
1. The total project cost for the installation at 1101 N. 314 Street, McCall, Idaho, as
reflected for the design and specifications set out in Exhibit A, is the sum of
$35,035. City agrees to pay seventy percent (70%) of this cost, upon completion,
in the amount of $24,524.50. Payment will be made directly to Aurora in
accordance with the terms of the existing contract between the City and Aurora.
SOLAR ENGERY PROJECT CONTRACT - PAGE 1
Project Partner agrees to pay thirty percent (30%) of the total cost, in the amount
of $10,510.50. Payment by Project Partner shall be made to the City
contemporaneously with Project Partner's execution of this agreement. City shall
hold said funds in trust for Project Partner and disburse to Aurora in accordance
with the terms of City's contract with Aurora. In addition to the 30% match,
Project Partner shall pay any required permit fees or zoning application fees.
2. The total project cost will only be adjusted if there are written change orders that
have been agreed to by the City, Aurora and the Project Partner. Cost savings or
increases shall be shared in the same proportions (70%/30%) as set out in
paragraph 1 above.
3. In the event that after this date, the Project Partner requests a project that is
different from that set forth in Exhibit A, or increases the amount of work to be
done, or equipment to be furnished, the Project Partner shall be solely responsible
for the increased cost. The Project Partner shall promptly pay to City, within five
(5) days of directing the increased project, the additional sum necessary to cover
the increased cost. City will hold the increased payment for payment to Aurora.
4. For the expected life of the installed system, the Project Partner agrees to maintain
and operate the system in accordance with all manufacturers' specifications. For
the purposes of this agreement, the expected life of a system is at least equal to
the longest warranty that is provided for any piece of the equipment. All
manufacturers' warranties shall be transferred to the Project Partner upon
completion. The Project Partner agrees that the City makes no warranties of any
kind whatsoever, express or implied, and the Project Partner will look solely to
the manufacturer's warranties to deal with any claims related to that equipment.
5. The Project Partner agrees to cooperate with Aurora to schedule the installation of
the equipment, to make arrangements for access to all the Project Partner's
facilities as necessary to perform the work, and to furnish electricity as may be
needed for power tools and other equipment.
6. The Project Partner is solely responsible for negotiation and execution of any net
metering agreements with Idaho Power Company, and Project Partner is also
responsible for any and all fees that may be charged by Idaho Power Company in
connection with the net metering agreement. The City makes no warranties or
representations regarding net metering agreements.
SOLAR ENGERY PROJECT CONTRACT - PAGE 2
7. This constitutes the entire agreement between the Project Partner and the City.
Any modification to this agreement must be in writing, duly authorized by the
Project Partner and the McCall City Council.
8. NOTICES: All notices required to be given to each of the parties hereto under
the terms of this Agreement shall be given by depositing a copy of such notice in
the United States mail, postage prepaid and registered or certified, return receipt
requested, to the respective parties hereto at the following address:
City:
City of McCall
Attn: City Manager
216 E. Park St.
McCall, ID 83638
Project Partner: Hotel McCall
Attn: David Carey
1101 N. 3rd Street
McCall, ID 83638
or to such other address as may be designated by writing delivered to the other
party. All notices given by certified mail shall be deemed completed as of the
date of mailing except as otherwise expressly provided herein.
9. REPRESENTATIONS: It is understood and agreed by and between the parties
hereto that there are no verbal promises, implied promises, agreements,
stipulations, representations or warranties of any character excepting those set
forth in this Agreement.
10. BINDING EFFECT: The provisions and stipulations hereof shall inure to the
benefit of and bind the heirs, executors, administrators, assigns and successors in
interest of the respective parties hereto.
11. ATTORNEY FEES: In the event an action is brought to enforce any of the
terms or provisions of this agreement, or enforce forfeiture thereof for default
thereof by either of the parties hereto, the successful party to such action or
collection shall be entitled to recover from the losing party a reasonable attorney
fee, together with such other costs as may be authorized by law.
12. ENTITY AUTHORITY: Each individual executing this Agreement on behalf of
an entity represents and warrants that he or she is duly authorized to execute and
deliver this Agreement on behalf of said entity in accordance with duly adopted
SOLAR ENGERY PROJECT CONTRACT - PAGE 3
organizational documents or agreements and if appropriate a resolution of the
entity, and that this Agreement is binding upon said entity in accordance with its
terms, and said individual shall cause, within five days after execution of this
Agreement, deliver to the other party a certified copy of proof of such authority of
said entity authorizing or ratifying the execution of this Agreement and, if a
corporation, partnership, limited partnership or limited liability company, then a
Certificate of Good Standing issued by the Secretary of State of the state of said
corporation's incorporation dated not earlier than thirty (30) days prior to the
execution hereof, along with proof of qualification to do business in Idaho.
13. SITUS: This is established and accepted under the laws of the State of Idaho, and
all questions concerning its validity, construction and administration shall be
determined under such laws.
14. ENTIRE AGREEMENT: The parties agree that this agreement constitutes the
entire agreement between the parties hereto.
15. HEADINGS: The bolded paragraph headings are for convenience only and are
not a part of this agreement and shall not be used in interpreting or construing this
Lease agreement.
16. SEVERABILITY: If any portion or portions of this agreement shall be, for any
reason, invalid or unenforceable, the remaining portion or portions shall
nevertheless be valid, enforceable and carried into effect, unless to do so would
clearly violate the present legal and valid intentions of the parties hereto.
IN WITNESS WHEREOF, the City and Project Partner do execute this Agreement the
day and year first above written.
CITY: PROJECT PARTNER:
HOTEL McCALL
THE CITY OF McCALL
Dona T . Bailey, Mayor
Attest: l,1.1 ►_iil
City Clerk ' r
SOLAR ENGERY PROJECT CONTRACT - PAGE 4
STATE OF IDAHO, )
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County of Valley, )
On this LI day of aixtt 5 , in the year of 2011, before me the
undersigned Notary Public in and for theJstate of Idaho, personally appeared Donald C. Bailey
and BessieJo Wagner, known or identified to me to be the Mayor and the City Clerk of the City
of McCall, that e'e cited ,he said instrument, and acknowledged to me that such City of McCall
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SOLAR ENGERY PROJECT CONTRACT - PAGE 5
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Section 9O0G Simplified A lication Solar H
iiiL (Total Eligible Project Costs of $200,000 or less)
Applicant,lnformation
Document Checklist
First Name: David
Middle Initial:
Last Name: Carey
Zip Code: 83638
Company/Organization (if applicable): McCall Hotel
Project Name: McCall Hotel Solar Thermal Pool
Heating System
Attach the following documentation:
1. Describe project site. Preferably attach a one page
color site map. Must indicate location of solar array,
structures or trees, location of storage tank, controls,
pumps, etc. and location of existing equipment to be
interfaced with new solar equipment /1
2. Annual average energy at location for selected
azimuth and tilt (attach documentation and data
source)
3. Attach a schematic diagram of system showing all
major installed structural, mechanical and electrical
components of the system ►�
4. Optional, but helpful, site photos. Preferred method
is to take a series of photographs from the proposed
array location. Rotate 360 degrees clockwise taking
pictures every 45 degrees. Indicate azimuth on each
photo El
Section a: Qualifications of key service providers.
Company/Organization Name: Aurora Power & Design Inc.
First Name: Mike Last Name: Leonard Title: CEO
Daytime Phone (include area code): 208-368-0947 Web Site: www.aurorapower.net
Mailing Address: 3412 N. 36th St.
City: Boise State: Idaho Zip: 83703
Function: Alternative Energy Design and Installation
Last manufacturer workshop attended: 04/2010
Credentials and years of related experience: 26 years design and installation experience
Number and type of similar systems installed: 25 solar thermal heating for Domestic and Pool usage
Company/Organization Name:
First Name: Last Name: Title:
Daytime Phone (include area code): Web Site:
Mailing Address:
City: State: Zip:
Function:
Last manufacturer workshop attended:
Credentials and years of related experience:
Number and type of similar systems installed:
Company/Organization Name:
First Name: Last Name: Title:
Daytime Phone (include area code): Web Site:
Mailing Address:
City: State: Zip:
Function:
Last manufacturer workshop attended:
Credentials and years of related experience:
Number and type of similar systems installed:
Disclaimer: This technical requirements worksheet is applicable only for projects eligible under the Section 9006 Simplified Application
Process (total eligible project costs $200,000 or less). This worksheet is provided by the National Renewable Energy Laboratory (NREL)
to assist applicants in meeting technical requirements contained in Appendix A of 7 CFR Part 4280. This worksheet is meant for guidance
purposes only, and is not considered a requirement of the program. The above rule is the final authority for application requirements.
1
Section b: Agreements, permits, and certifications.
(1) Identify all required building agreements and permits.
Building have permit attached ❑initiated ❑needs to be sent /1 none required
Electrical have permit attached ❑initiated 1/ needs to be sent ❑none required
Zoning have permit attached ❑initiated ❑needs to be sent ►/ none required
Other have permit attached ❑initiated ❑needs to be sent ❑none required
(2) Environmental
Are there any additional environmental concerns that are not previously identified on Form RD 1940-20?
❑Yes 0 No
If yes, describe:
Section c: Resource assessment.
Latitude: 44.91 Longitude:-116.10 Elevation: 5013 ft Azimuth: S Tilt: 30 Deg.
Estimated average annual energy output of system: kWh 90,000,000 BTU (Choose One)
(Estimates using NREL's Solar Maps http://www.nrel.gov/gis/solar.html and/or NREL's PVWATTS tool for
grid -tied systems http://rredc.nrel.gov/solar/codes algs/PVWATTS/ are acceptable)
Section d: Design and engineering.
Collector: All Collectors shall be SRCC Certified see: http://www.solar-rating.org/default.htm
Briefly describe the proposed system and its use: This system will consis of 10 Glazed flat plate collectors and
will be used as the primary heat source for the pool in the summer months and a secondary source in the
winter months.
Solar collector manufacturer: UMA Solar Model: SLAR-32
Solar collector type (unglazed, glazed, evacuated tube, parabolic trough): Glazed
Y intercept (tau alpha) and slope (U-value) of the solar collector: 35 Deg.
Rated Output for Single Panel: 35,000 BTU/Day
Number of Collectors: 10
Total system output: 350,000B BTU/Day (No. of collector x output rating for each panel)
Total System Dimensions: 3.95 L ft. or ❑ m by 8.04 L ft. or ❑ m
Storage
Storage type (integrated collector system (ICS), storage tanks, swimming pool): Storage Tank
Storage tank manufacturer: Rheem Model: 81V120HE1
Rated capacity for a Single Tank: 120 Gal.
Number of tanks: 1
Total system capacity: 120 (No. of tanks x capacity rating for each tank)
Total system dimensions: 2.5 ft. or ❑ m by 2.5 /1 ft. or ❑ m
Pump and Controls (if applicable)
Pump model/Pump rating: 006-B4/ 1/40hp Expected flow rate: 8 L gal/min or ❑ liter/min
Head pressure (PSI, feet or meter head): 15 ft
Pump voltage: 120 ►SAC or ❑DC
Pump controller model: DTT-84
System Type (check applicable)
❑ Integrated collector/storage
❑ Thermosyphon
❑ Direct pumped (potable water)
/1 Indirect pumped (heat transfer fluid and heat exchanger)
❑ Drain back
Disclaimer: This technical requirements worksheet is applicable only for projects eligible under the Section 9006 Simplified Application
Process (total eligible project costs $200,000 or less). This worksheet is provided by the National Renewable Energy Laboratory (NREL)
to assist applicants in meeting technical requirements contained in Appendix A of 7 CFR Part 4280. This worksheet is meant for guidance
purposes only, and is not considered a requirement of the program. The above rule is the final authority for application requirements.
2
Describe freeze protections, overheat protection and scald protection for users. The glycol will be mixed to
withstand the coldest temperatures in McCall ID. There will also be a passive overheat prevention system to
dump off excess heat produced by the system when demand is low or production is too high.
Application/ use: (fill out applicable category)
Indicate end use of hot water (domestic, pool heating, laundry, cafeteria, etc.): pool/domestic
Incoming cold water temperature: 83
Delivery temperature of heated water: 86
Gallons per day (weekend/weekday, seasonal variation?): 17000gallons/day continuous, non -consumptive
Section e: Project development schedule.
Check
What
Is the
Do you
Describe
boxes to indicate activity:
Month
Week
1
2
3
1 2 3 4
5 6 7 8
9 10 11 12
Equipment is ordered
/� ►1 ❑ ❑
❑ ❑ ❑ ❑
❑ ❑ ❑ ❑
Equipment arrives
❑ ❑ /1 /1
❑ ❑ ❑ ❑
❑ ❑ ❑ ❑
Construction
❑ ❑ ❑ ❑
L 0 // ❑
❑ ❑ ❑ ❑
Startup and Shakedown
❑ ❑ ❑ ❑
❑ ❑ ❑ //
❑ ❑ ❑ ❑
is the estimated start date?
proposed equipment readily available
anticipate any delays in receiving the equipment once it is ordered
the impact of any delays on the project completion:
►1Yes No
1Yes No
Section f: Project economic assessment.
Costs of project components:
Collectors $9,969.48
Storage Tanks $1,965.50
Hardware ... $5320.09
Pumps $250
Controls $148.50
Piping/Insulation $2499.03
Site Preparation $0
Foundation $0
Fee/Permits $200
Installer $12040
Other project cost $2642.36
Disclaimer: This technical requirements worksheet is applicable only for projects eligible under the Section 9006 Simplified Application
Process (total eligible project costs $200,000 or less). This worksheet is provided by the National Renewable Energy Laboratory (NREL)
to assist applicants in meeting technical requirements contained in Appendix A of 7 CFR Part 4280. This worksheet is meant for guidance
purposes only, and is not considered a requirement of the program. The above rule is the final authority for application requirements.
3
Description: Other includes Lift Equipment Rental,Per Diem, and Sales Tax
Total eligible project cost: $35034.96
Financial performance and simple payback calculation
Simple payback calculation:
Total Eligible Project Cost
Simple Payback Period (in years) _
Annual Savings/Income
Where:
Annual Savings/Income = Estimated Annual Energy Output x Local Cost of energy displaced (Electricity or gas)
Estimated Annual Energy Production/Savings:
40,692 kWhr/year x Cost of Energy Source: $0.08/kWhr = $3255 Annual Income or Savings
Provide calculation here or attach a separate sheet: See attached: Solar Thermal ROI Calculator xls
Describe any other incentives or savings not included in the simple payback calculation. 30% federal tax credit,
Idaho state income tax deducitons, incentives from REAP grant.
Section g: Equipment procurement.
Certify that "open and free" competition will be used in the procurement of components in a manner consistent
with the requirements of 7 CFR part 3015 of this title. See the Technical Requirements Certifications form.
Section h': Equipment installation.
The equipment must be installed in accordance with all applicable safety and work rules. See the Technical
Requirements Certifications form.
is Operations and maintenance.
,Section
Design life of system: 25years
Indicate length (years) of warranty for the following:
Design 10 Array 10 Inverter N/A Battery N/A Parts and Labor 10
Other:
Describe:
Does the have unique operation issues? ❑ Yes /1 No
project
If yes, please explain:
Section j Dismantling and disposal of project.
Is there a plan for dismantling and disposal? ►1Yes No
Please describe: The system design life does not constitue system removal. System will require maintinace,
such as pump replacement after 25 years. System may also require panel replacement after 50years. Copper
plumbing will last 200+ years if well cared for. All failed parts may be recycled at a commercial metal facility.
Part life spans are estimates for your information; they do not constitute any form of warranty.
Disclaimer: This technical requirements worksheet is applicable only for projects eligible under the Section 9006 Simplified Application
Process (total eligible project costs $200,000 or less). This worksheet is provided by the National Renewable Energy Laboratory (NREL)
to assist applicants in meeting technical requirements contained in Appendix A of 7 CFR Part 4280. This worksheet is meant for guidance
purposes only, and is not considered a requirement of the program. The above rule is the final authority for application requirements.
4
AMENDMENT #1 TO SOLAR ENERGY PROJECT -HOTEL MCCALL
PROVISIONS
This contract, entered into between the CITY OF MCCALL ("City") and the HOTEL
MCCALL ("Project Partner"), is made in reference to the following facts:
RECITALS
1. The parties entered into a contract on August 4, 2011 for the installation of a solar
energy system at 1101 N. Third Street in McCall, Idaho.
2. The contract included a cost share of 70%/30% for the installation between the City and
the Project Partner. The City's funding source was federal funding through the American
Recovery and Reinvestment Act of 2009 (ARRA).
3. The solar energy project installation was completed November 9, 2011.
4. The Idaho Office of Energy Resources (OER) determined that the project design did not
comply with ARRA funding guidelines. OER agreed to the City's corrective action plan
on April 11, 2013.
5. The corrective action plan requires a redesign and reinstallation of certain components of
the solar thermal heating system at Hotel McCall.
6. The parties desire to modify the contract dated August 4, 2011.
IN CONSIDERATION OF THE PREMISES STATED, THE PARTIES AGREE AS
FOLLOWS:
1. The corrective action plan attached hereto as Exhibit A will be performed by Aurora
Power & Design, Inc.
Page 1 of 2
2. The cost of implementing the corrective action plan will be shared equally by Aurora
Power & Design and the City. The Project Partner will not be required to pay for the
redesign or reinstallation of the solar energy system.
3. The corrective action plan will be completed no later than May 31, 2013.
4. The Project Partner will allow Aurora Power & Design, its agents and employees, access
to the property so that the corrective action plan may be completed.
5. The Project Partner will comply with all requests for inspection by the City, OER and/or
the United States Department of Energy.
6. This amendment is executed in duplicate. Each of the two documents with an original
signature of each party shall be an original.
IN WITNESS THEREOF, the parties hereto have executed this contract on the date specified
below.
MCCALL
onald C. bailey, Mayor
//q2Date
Attest:
PROJECT PARTNER, HOTEL MCCALL
Da i Carey, Owner
S '16 /3
Date
�~ LP XkIS
BessieJo Wa:�er, ity C k Date
Page 2 of 2
EXHIBIT A Hotel McCall: Heating System Revision
Wire: -.._.._.._..
Plumbing:
Solar Panel Array
Min Temp 80°
Air heater
Air Temp.
Sensor
120 Utility
Power Source
Power
Relay
Temp.
Sensor
Control System
Room air
thermostat
i
Press. Blow -Off
Pump \4
Fresh water from City
40oWinter
58� Summer
Buffer Tank
80 gal.
Heat
Ex.
120 AC Backup
Power Source
battery
1
To Domestic use
120 AC
Input
Utility
Solenoid
Valve
Heat Dump
water Drain
source
Tempering
115 max
Domestic Hot
Water Tank
Domestic
Water Control
120 AC
Input Utility
Temp.
Sensor
Wire: -.._.._.._..
Plumbing:
Solar Panel Array
Min Temp 80°
Hotel McCall: Current Heating System
i
Temp.
Sensor
Control System
Press. Blow -Off
Pump
Fresh water from City
42 Winter
58Summer
Buffer Tank
80 gal.
Heat
Ex.
1
To Domestic use
120 AC Backup
Power Source
battery
Pump
3
120 AC
Input
Utility
Tempering
115 max
Domestic Hot
Water Tank
--►
Domestic
Water Control
120 AC
Input Utility
Temp.
Sensor
Solenoid
Valve
Heat Dump
water Drain
source
Heat
Ex.
4—
From Brine Heat Loop
To Brine Heat Loop
Removed in Revision