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Town of Potsdam evaluating two solar project proposals for old landfill

Posted 2/9/20

BY CRAIG FREILICH North Country This Week POTSDAM -- The Potsdam Town Council is considering two responses it received to its request for proposals on a commercial solar array installation at an old …

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Town of Potsdam evaluating two solar project proposals for old landfill

Posted

BY CRAIG FREILICH

North Country This Week

POTSDAM -- The Potsdam Town Council is considering two responses it received to its request for proposals on a commercial solar array installation at an old town landfill.

The board held an executive session at a recent special meeting to talk about the two plans, and has contacted the references the responders supplied in preparation for subsequent steps in the process.

The proposal outlines received by the town were not bids for a lease, which will come later.

At some point, if they accept either or both project plans for further consideration, they will ask for bids on a lease for the landfill photovoltaic (PV) installation.

“I discussed the two responses to the town's RFP with the board. References have been contacted,” said Town Supervisor Ann Carvill.

It is too early to disclose the names of the submitters or their plans at this sensitive stage.

“I have additional information for the board and need to get further legal advice on it. Once full information is shared with the board, a public discussion of our conclusions will occur,” she said.

The board had hoped to have something on the agenda for their next regular meeting Feb. 11, but next steps might not be achieved before then.

The plan for a solar array at the old Reynolds Road landfill was prompted by a developer with an idea to do it, which in turn prompted the town to revise the section of the local building code to cover the growing trend for large commercial and community PV arrays beyond the rooftop and yard installations which been accommodated in the old code.

The Reynolds Road site, closed in 1986, was sealed up according to environmental law and was thought to be of little if any value to anyone until such sites began being used for new solar power generation.

The town says a developer could lease or license all or part of the roughly 77 acres on the 163.5-acre site that might be available for such a project.

"Of course the landfill is valueless right now,” said Carvill when the possibility was first considered last year. “It will only have value if someone can make use of it," she said.

The town clerk received responses from two parties by the Dec. 6, 2019 deadline. TheTown Council, meeting in executive session at a special meeting Jan. 23, began their official evaluation of the proposals.

“The first step, should we move ahead with one proposal, is that the solar developer will be given an option to do an initial study whereupon the developer may back out or enter into negotiations,” Carvill said. “The initial lease amounts could change, even significantly, after a developer does such preliminary research.”

The Town Council saw a presentation for background on such a solar array development last August, and after some discussion decided to take preliminary steps toward such a development.

The council then voted unanimously to seek a determination of fair market value of the land "to contemplate the notion of a lease" to any developer, Carvill said at the time.

"If things move in a positive direction it could be of tremendous benefit for the town," Carvill said.

Other local municipalities, including Canton, Parishville, and the Village of Potsdam have similar solar generation project proposals before them.

In the RFP, the town specified conditions they would place on any lease and any development.

"…the Town reserves the right to reject any and all proposals and to waive any informality in a proposal when to do so would be to the advantage of the Town or its taxpayers. Proposals that contain conditions or limitations to the requirements set forth in the RFP may be considered non-responsive and rejected," the document said.

“This Request for Proposals is being issued to allow the Town to evaluate options and determine the project and financial arrangements that best meet the Town’s interest and goals. The goal of this RFP is to lease the Site for the purposes of siting a Solar Energy System in order to provide a revenue stream to the Municipality in the form of monthly payments. The Town notes that it is not seeking proposals whereby it would be a mandatory off-taker of energy from the System(s), but Responders may include such an option or such an alternative option as part of their proposal. The Town also will consider proposals that include a community solar option or component and/or the ability of local consumers to purchase power from the project,” the RFP said.

Owing to other considerations, "The Town has the right to accept any bid even if it does not generate the highest revenue for the Town."

The landfill stopped receiving waste in 1986, and was closed and capped. There are continuing restrictions on the site to preserve the integrity of the landfill's seal, which the state DEC has prescribed.

“Whoever wins the contract will be responsible for "all tasks required to design, fabricate, deliver, install, operate, and maintain a Solar Energy System on the Site," and for removal of all of its installation and equipment at the end of their lease.

The RFP required the prospective operator to provide such plans as project schedule, a description of the system including layout, estimated production of electricity, and the connection to the power grid.

The RFP called for the submission of project drawings and operating manuals.

It also called for the respondent to supply information about relevant development experience, resumes of key personnel, financial records and project financing plans.

“Proposals will be evaluated by the Town based on:

• The competence to perform the services as reflected by past experience in providing the services outlined herein.

• The ability to meet the requirements of this RFP.

• Overall package and financial benefit to the Town,” the town’s RFP document said.