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HomeMy WebLinkAboutORDINANCE 6256OF FAYEr, J � 1 0 A Rai ....«� 4RkA NS PS 113 West Mountain Street Fayetteville. AR 72701 (479) 575-8323 Ordinance: 6256 File Number: 2019-0679 OZARKS ELECTRIC COOPERATIVE AND TODAY'S POWER, INC. INTERCONNECTION AGREEMENT: AN ORDINANCE TO WAIVE COMPETITIVE BIDDING AND APPROVE CONTRACTS WITH OZARKS ELECTRIC COOPERATIVE CORPORATION AND TODAY'S POWER, INC. TO PROVIDE FOR THE INTERCONNECTION OF THE CITY'S SOLAR FACILITIES AT THE WESTSIDE AND NOLAND WASTEWATER TREATMENT PLANTS WITH THE OZARKS ELECTRIC UTILITY GRID, AND TO PROVIDE FOR THE ONGOING MAINTENANCE OF THOSE INTERCONNECTED FACILITIES AT A COST OF $20,116.00 PER YEAR FOR THE 20 -YEAR TERM OF THE SOLAR PROJECT WHEREAS, on November 20, 2018, the City Council approved several contracts with Ozarks Electric Cooperative Corporation and Today's Power, Inc. that provided for the development, construction, and operation of solar power generation and energy storage facilities at the City's wastewater treatment plants; and WHEREAS, on June 21, 2019, the Arkansas Public Service Commission approved the City's application for the solar generation, net metering, and energy storage project; and WHEREAS, the solar facilities were completed on June 30, 2019, and were interconnected with the electric utility grid of Ozarks Electric on July 18, 2019; and WHEREAS, City staff recommend the approval of a Contract for Maintenance of Interconnection Facilities with Ozarks Electric to provide for ongoing maintenance of the overhead and underground electric distribution facilities that connect the City's solar power generation and battery storage units to the Ozarks Electric grid at a cost of $20,116.00 per year; and Page 1 Printed on 1116119 File Number 2019-0679 Ordinance 6256 WHEREAS, City staff also recommend the approval of a Contract for Interconnection of Customer - Owned Generation with Ozarks Electric and Today's Power, which more specifically defines the roles and responsibilities of each party with respect to the interconnection of the solar power generation and battery storage components with the Ozarks Electric utility grid; and WHEREAS, both agreements will be in effect for the 20 -year term of the Trilateral Agreement and are necessary to satisfy Arkansas Public Service Commission's requirements for interconnection of the system and to ensure that the solar power generation is not interrupted by a distribution system failure; and WHEREAS, it is neither feasible nor practical to competitively bid the maintenance contract because of the existing Trilateral Agreement, Facilities Upgrade Agreement, and Energy Management Agreement with Ozarks Electric, because of Ozarks Electric's position as the City's monopoly power provider in these areas, and because both the City and Ozarks Electric have an ongoing responsibility to comply with the Arkansas Public Service Commission's rules and orders governing this project. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby determines an exceptional situation exists in which competitive bidding is deemed not feasible or practical and therefore waives the requirements of formal competitive bidding and authorizes Mayor Jordan to sign the Contract for Maintenance of Interconnection Facilities with Ozarks Electric Cooperative Corporation to provide for ongoing maintenance of the City's interconnected solar power generation and battery storage components with the electric utility grid at a cost of $20,116.00 per year. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan to sign a Contract for Interconnection of Customer -Owned Generation with Ozarks Electric and Today's Power to further define the roles and responsibilities of each party with respect to the interconnection of the City's solar power generation and battery storage components with the Ozarks Electric utility grid as approved by the Arkansas Public Service Commission. PASSED and APPROVED on 11/5/2019 Jordan.-)kayor K Attest: : FAYETTEVILLE: X = �9 .� `r % 'P, NSP• ��'��.� Lisa Branson, Deputy City Clerk`"J"1111 `"\ Page 2 Printed on 1116119 . City of Fayetteville, Arkansas 113 West Mountain Street Fayetteville, AR 72701 (479) 575-8323 Text File File Number: 2019-0679 Agenda Date: 11/5/2019 Version: 1 Status: Passed In Control: City Council Meeting File Type: Ordinance Agenda Number: C. 6 OZARKS ELECTRIC COOPERATIVE AND TODAY'S POWER, INC. INTERCONNECTION AGREEMENT: AN ORDINANCE TO WAIVE COMPETITIVE BIDDING AND APPROVE CONTRACTS WITH OZARKS ELECTRIC COOPERATIVE CORPORATION AND TODAY'S POWER, INC. TO PROVIDE FOR THE INTERCONNECTION OF THE CITY'S SOLAR FACILITIES AT THE WESTSIDE AND NOLAND WASTEWATER TREATMENT PLANTS WITH THE OZARKS ELECTRIC UTILITY GRID, AND TO PROVIDE FOR THE ONGOING MAINTENANCE OF THOSE INTERCONNECTED FACILITIES AT A COST OF $20,116.00 PER YEAR FOR THE 20 -YEAR TERM OF THE SOLAR PROJECT WHEREAS, on November 20, 2018, the City Council approved several contracts with Ozarks Electric Cooperative Corporation and Today's Power, Inc. that provided for the development, construction, and operation of solar power generation and energy storage facilities at the City's wastewater treatment plants; and WHEREAS, on June 21, 2019, the Arkansas Public Service Commission approved the City's application for the solar generation, net metering, and energy storage project; and WHEREAS, the solar facilities were completed on June 30, 2019, and were interconnected with the electric utility grid of Ozarks Electric on July 18, 2019; and WHEREAS, City staff recommend the approval of a Contract for Maintenance of Interconnection Facilities with Ozarks Electric to provide for ongoing maintenance of the overhead and underground electric distribution facilities that connect the City's solar power generation and battery storage units to the Ozarks Electric grid at a cost of $20,116.00 per year; and WHEREAS, City staff also recommend the approval of a Contract for Interconnection of Customer -Owned Generation with Ozarks Electric and Today's Power, which more specifically defines the roles and responsibilities of each party with respect to the interconnection of the solar power generation and battery storage components with the Ozarks Electric utility grid; and WHEREAS, both agreements will be in effect for the 20 -year term of the Trilateral Agreement and are necessary to satisfy Arkansas Public Service Commission's requirements for interconnection of the system and City of Fayetteville, Arkansas Page 1 Printed on 11/Q/2019 File Number 2019-0679 to ensure that the solar power generation is not interrupted by a distribution system failure; and WHEREAS, it is neither feasible nor practical to competitively bid the maintenance contract because of the existing Trilateral Agreement, Facilities Upgrade Agreement, and Energy Management Agreement with Ozarks Electric, because of Ozarks Electric's position as the City's monopoly power provider in these areas, and because both the City and Ozarks Electric have an ongoing responsibility to comply with the Arkansas Public Service Commission's rules and orders governing this project. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby determines an exceptional situation exists in which competitive bidding is deemed not feasible or practical and therefore waives the requirements of formal competitive bidding and authorizes Mayor Jordan to sign the Contract for Maintenance of Interconnection Facilities with Ozarks Electric Cooperative Corporation to provide for ongoing maintenance of the City's interconnected solar power generation and battery storage components with the electric utility grid at a cost of $20,116.00 per year. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan to sign a Contract for Interconnection of Customer -Owned Generation with Ozarks Electric and Today's Power to further define the roles and responsibilities of each party with respect to the interconnection of the City's solar power generation and battery storage components with the Ozarks Electric utility grid as approved by the Arkansas Public Service Commission. City of Fayetteville, Arkansas Paye 2 Printed on 111612019 City of Fayetteville Staff Review Form 2019-0679 Legistar File ID 11/5/2019 City Council Meeting Date - Agenda Item Only N/A for Non -Agenda Item Peter Nierengarten 10/10/2019 SUSTAINABILITY/RESILIENCE (631) Submitted By Submitted Date Action Recommendation: Division / Department Approval of a solar maintenance and interconnection agreement with Ozarks Electric Cooperative and Today's Power, Inc. for the interconnection, maintenance and operation of electrical infrastructure at the 10 MW of Solar Power Generation and associated 24 MWh of Storage at the two Fayetteville Wastewater Treatment Facilities. Budget Impact: Account Number Project Number Budgeted Item? NA Current Budget Funds Obligated Current Balance Does item have a cost? Yes Item Cost Budget Adjustment Attached? No Budget Adjustment Purchase Order Number: Change Order Number: Original Contract Number: Comments: Remaining Budget Fund Project Title $ 20,116.00 V20180321 Previous Ordinance or Resolution # Ord 6115 Approval Date: CITY OF FAYETTEVILLE ARKANSAS MEETING OF NOVEMBER 5, 2019 TO: Mayor and City Council THRU: Don Marr, Chief of Staff CC: Tim Nyander, Utilities Director FROM: Peter Nierengarten, Sustainability Director DATE: October 10, 2019 CITY COUNCIL MEMO SUBJECT: Solar Maintenance and Interconnection Agreements RECOMMENDATION: Staff recommends approval of a solar maintenance and interconnection agreement with Ozarks Electric Cooperative and Today's Power, Inc. for the interconnection, maintenance and operation of electrical infrastructure at the 10 MW of Solar Power Generation and associated 24 MWh of Storage at the two Fayetteville Wastewater Treatment Facilities. BACKGROUND: On January 2, 2018, the City Council adopted an Energy Action Plan by Resolution 25-18. This Energy Action Plan was created to build a framework and energize action around the City of Fayetteville's efforts to be a resource and energy efficient community. Included among the Energy Action Plan's high-level goals was a City specific goal of 100% clean energy consumption by City facilities by 2030. On November 20, 2018 City Council approved a Trilaterial Agreement with Ozarks Electric and Today's Power, Inc. that provides for the development, construction and operation of 10 MW of Solar Power Generation and associated 24 MWh of energy storage at the two Fayetteville Wastewater Treatment Facilities. The two projects, consisting of 5 MW of ground mounted solar photovoltaic panels and 12 MWh of battery storage at each wastewater treatment facility, broke ground on March 4, 2019. On September 9, 2019, the City flipped the switch on 10 MW of Solar Power Generation and associated 24 MWh of Storage at the two Fayetteville Wastewater Treatment Facilities. These two projects moved the City's clean energy consumption from 16% to 72%. DISCUSSION: The Maintenance Agreement details the preventative maintenance, repair, and replacement work that Ozarks Electric will provide for overhead and underground electric distribution facilities behind the meter (owned by the City of Fayetteville) that connect to the solar and battery Mailing Address: 113 W. Mountain Street www.fayetteville-ar.gov Fayetteville, AR 72701 storage at the two Wastewater Treatment Plants. The cost for this maintenance is $20,116 per year. The interconnection agreement allows the City and Today's Power, Inc to generate (and store electricity) with the solar array and battery storage and feed it onto the Ozarks Electric grid according to the Arkansas Net Metering rules. There is no cost for this agreement. Both agreements will be in effect for the 20 -year term of the Trilateral Solar Agreement and are necessary to satisfy the Public Service Commission requirements for interconnection of the Solar Array and Battery Storage and to ensure that the solar facility generation is not interrupted by a distribution system failure. BUDGET/STAFF IMPACT: The cost for the maintenance agreement is $20,116 per year. This will be paid for by the Water/Sewer Department starting in 2020. Attachments: Contract for Maintenance of Interconnection facilities Contract for Interconnection of Customer -Owned Generation Attachment 1, Fayetteville West Identification Map Attachment 2, Fayetteville East Identification Map Attachment 3, Generator Interconnection Rules and Requirements 150KW and Above ozarks ELECTRIC COOPERATIVE Contract for Maintenance of Interconnection facilities This MAINTENANCE AGREEMENT ("Agreement") is made and entered into this ��ay of Noie til 20by Ozarks Electric Cooperative Corporation, a corporation organized under the laws of Arkansas and Oklahoma (Cooperative), and The City of Fayetteville, each hereinafter sometimes referred to individually as "Party", or referred to collectively as the "Parties". WITNESSETH: WHEREAS, Ozarks Electric Cooperative. (or Cooperative) is a rural electric cooperative corporation serving, among other areas, portions of the territory in and around the City of Fayetteville, Arkansas; and WHEREAS, the City of Fayetteville (or City), Arkansas, is a municipal corporation which owns and operates two water and sewer treatment facilities, and 5.2 miles of electrical overhead and underground distribution; located in Cooperative's territory at 1500 Fox Hunter Rd, Fayetteville, AR; and 5 Broyles Rd, Fayetteville, AR; and WHEREAS, City of Fayetteville, Arkansas, operates distributive generation for use in providing off-peak generation to such facilities as a distributive generation owner/operator ("DG Owner/Operator"); and WHEREAS, the parties hereto define the terms and conditions under which the Cooperative provides routine maintenance and repairs to overhead distribution facilities owned and operated by the City of Fayetteville at 1500 Fox Hunter Rd and 5 Broyles Rd. NOW, THEREFORE, in consideration of the mutual covenants and terms set forth herein, the parties agree as follows, to -wit: 1. Scope of Agreement — This agreement is applicable to conditions under which the Cooperative and the DG Owner/Operator agree that the Facilities (further described in "Attachment 1 and 2") will be routinely inspected and repaired under normal and routine conditions. A true and correct copy of Attachment 1 and 2, Facilities Identification Map showing Zone of Maintenance, is attached hereto and incorporated by reference herein. 2. Responsibilities of Cooperative — The Cooperative will perform a bi-annual drone inspection of all covered above ground facilities and will perform an infrared survey of all covered facilities annually. The Cooperative will perform routine maintenance, repair, and replacement, at its own cost and expense, to the overhead and underground distribution facilities owned and operated by the City of Fayetteville and identified in Attachment 1 and 2. Any transformers, switchgear or underground risers that are not directly connected or associated with the Solar/Battery DG installation shall be excluded from this maintenance Page I of 5 agreement. Said maintenance shall be in accordance with industry standards and prudent engineering practice. The Cooperative shall, upon discovery or request, make routine repairs as necessary to reasonably minimize the likelihood of a malfunction or other disturbance, affecting or impairing the System. Annually, a summary of inspection results and necessary preventative maintenance or repairs shall be submitted to the City. The Cooperative will notify the City of Fayetteville or designated facility operator, when evidence of Facility malfunction or deterioration is discovered. 3. Responsibilities of The City of Fayetteville — The Facility DG Owner/Operator will immediately notify The Cooperative when maintenance and repair needs are discovered on the facilities identified in Attachment 1 and 2. Further, the Facility DG Owner/Operator will immediately notify the Cooperative of any emergency or hazardous condition or occurrence with the Facilities, which could affect safe operation of the System. 4. Conditions not covered under Maintenance Agreement. Conditions that affect the facilities identified in Attachment 1 and 2 that are a result of a Force Majeure event such as: acts of war, public disorder, dig in, third party damage, rebellion or insurrection; floods, hurricanes, earthquakes, lightning, ice, snow, storms or other natural calamities: explosions or fires; strikes, work stoppages or labor disputes; embargoes: and sabotage that involve more than one structure, or any two spans of wire. or one underground location are not covered under this agreement. 5. Limitation of Liability and Indemnification a. Notwithstanding any other provision in this Agreement, with respect to the Cooperative's provision of electric service to DG Owner/Operator and the services provided by the Cooperative pursuant to this Agreement, Cooperative's liability to DG Owner/Operator shall be limited as set forth in the Cooperative's tariffs and terms and conditions for electric service, which are incorporated herein by reference. b. For the purposes of this Agreement, a Force Majeure event is any event: (a) that is beyond the reasonable control of the affected party; and (b) that the affected party is unable to prevent or provide against by exercising reasonable diligence, including the following events or circumstances, but only to the extent that they satisfy the preceding requirements: acts of war, public disorder, rebellion or insurrection: floods. hurricanes, earthquakes, lightning, storms or other natural calamities; explosions or fires; strikes, work stoppages or labor disputes; embargoes; and sabotage. If a Force Majeure event prevents a party from fulfilling any obligations under this agreement, such party will promptly notify the other party and will keep the other party informed on a periodic basis as to the scope and duration of the Force Majeure event. The affected party will specify the circumstances of the Force Majeure event, its expected duration, and the steps that the affected party is taking to mitigate the effect of the event on its performance. The affected party will be entitled to suspend or modify its performance of obligations under this Agreement, but will use reasonable efforts to resume its performance as soon as possible. 6. Right of Access, Equipment Installation, Removal & Inspection — Employees, agents, and/or contractors under the direction of the Cooperative shall have access to the premises of the Facility DG Owner/Operator at any time to inspect, maintenance, repair, or replace covered components of the Facilities identified in Attachment 1 and 2. Pair 2 of 5 ozarks ELECTRIC COOPERATIVE �1#,►; 7. Effective Termand Termination Rights — This Agreement becomes effective when executed by both Parties and shall continue in effect until terminated. This Agreement may be terminated as follows: (a) DG Owner/Operator may terminate this Agreement at any time by giving the Cooperative at least sixty (60) days' written notice; (b) Cooperative may terminate upon failure by the DG Owner/Operator to generate energy from the Facilities within six (6) months after completion of the interconnection; (c) Any Party may terminate by giving the other Parties at least thirty (30) days prior written notice that another Party is in default of any of the terms and conditions of the Agreement or the Rules or any rate schedule, tariff, regulation, contract, or policy of the Cooperative, so long as the notice specifies the basis for termination and there is opportunity to cure the default; (d) Cooperative may terminate by giving DG Owner/Operator at least sixty (60) days notice in the event that there is a material change in an applicable law, or any requirement of the Cooperative's wholesale electric suppliers or of any transmission utility, independent system operator or regional transmission organization having responsibility for the operation of any part of the System, No termination of this agreement by any party constitutes a release of financial responsibility due to a rate schedule, tariff or other separate agreement. 8. Compliance with Laws, Rules and Tariffs — The Cooperative and the DG Owner/Operator shall be responsible for complying with the laws, rules, tariffs and regulations of the State of Arkansas. 9. Severability —If any portion or provision of this Agreement is held or adjudged for any reason to be invalid or illegal or unenforceable by any court of competent jurisdiction, such portion shall be deemed separate and independent, and the remainder of this Agreement shall remain in full force and effect. 10. Amendment — This Agreement may be amended only upon mutual agreement of the Parties, which amendment will not be effective until reduced to writing and executed by the Parties. 11. Entire Agreement and Prior Agreements Superseded — This Agreement, including all attached Exhibits and Facilities Schedules, which are expressly made a part hereof for all purposes, constitutes the entire agreement and understanding between the Parties with regard to the maintenance of the facilities of the Parties at the Points of Interconnection expressly provided for in this Agreement. The Parties are not bound by or liable for any statement, representation, promise, inducement, understanding or undertaking of any kind or nature (whether written or oral) with regard to the subject matter hereof not set forth or provided for herein or in the DG Owner/Operator application, or other written information provided by the DG Owner/Operator in compliance with the Rules. It is expressly acknowledged that the Parties may have other agreements covering other services not expressly provided for herein, which agreements are unaffected by this Agreement. 12. Assignment — At any time during the term of this Agreement, the DG Owner/Operator may assign this Agreement to a corporation, an entity with limited liability, or an individual (the "Assignee") to whom the DG Owner/Operator transfers ownership of the Facilities; provided that the DG Owner/Operator obtains the consent of the Cooperative in advance of the assignment. The Cooperative's consent will be based on a determination that the Assignee is financially and technically capable to assume ownership and/or operation of the Facilities, which will not be unreasonably withheld. The company or individual to which this Agreement is assigned will be responsible for the proper operation and maintenance of the Facilities, and must agree in writing Pate 3 of 5 to be subject to all provisions of this Agreement. Cooperative may also assign the Agreement to another entity with the written approval of the DG Owner/Operator. 13. Notices — Notices given under this Agreement are deemed to have been duly delivered if hand delivered or sent by United States certified mail, return receipt requested, postage prepaid, to: (a) If to Cooperative: Troy Scarbrough, VP of Engineering and Operations Ozarks Electric Cooperative Corporation P. O. Box 848 Fayetteville, AR 72702-0848 (b) If to DG Owner/Operator: The City of Fayetteville (City) Attn: Peter Nierengarten, Fayetteville Environmental Director 113 W. Mountain St. Fayetteville, AR 72701 The above -listed names, titles and addresses of either Party may be changed by written notification to the other, notwithstanding Section 19. 14. Invoicing, Payment, and Terms — The Facility owner pay a maintenance agreement fee of $20,116 per year for the services described herein. The cooperative will periodically re-evaluate the cost of associated services provided herein, and reserves the right, upon notice, to adjust the fee as appropriate. Payment shall be made in January of each year, starting in January of 2020, and continuing until the agreement is terminated. Payment for the current year (2019) shall be waived. 15. Limitations (No Third -Party Beneficiaries, Waiver, etc.) — This Agreement is not intended to and does not create rights, remedies or benefits of any character whatsoever in favor of any persons, corporations, associations or entities other than the Parties, and the obligations herein assumed are solely for the use and benefit of the Parties. This Agreement may not be assigned by the DG Owner/Operator without the prior written consent of the Cooperative as specified in Section 12. The failure of a Party to this Agreement to insist, on any occasion, upon strict performance of any provision of this Agreement will not be considered to waive the obligations, rights or duties imposed upon the Parties. 16. Headings — The descriptive headings of the various articles and sections of this Agreement have been inserted for convenience of reference only. and are to be afforded no significance in the interpretation or construction of this Agreement. 17. Multiple Counterparts — This Agreement may be executed in two or more counterparts, each of which is deemed an original, but all constitute one and the same instrument. Page 4 of ti ozarks FLECTRIC COOPERATIVE IN WITNESS WHEREOF, the Parties have caused this Agreement to be signed by their respective duly authorized representatives. Ozarks Electric Cooperative Corporation (Cooperative) By. TITLE: PresidenUCEO DATE: 9 P; I _' e 5 o f 5 The (Cit, 11-YA TITLE: Lo - DATE: ozarksAML ELECTRIC COOPERATIVE Contract for Interconnection of Customer -Owned Generation This -INTERCONNECTION AGREEMENT ("Agreement") is made and entered into this 1�day of I 16IV64)e 20 ! ` by Ozarks Electric Cooperative Corporation, a corporation organized under the laws of Arkansas and Oklahoma (Cooperative), and The City of Fayetteville, and Today's Power Inc., each hereinafter sometimes referred to individually as "Party", or referred to collectively as the 'Parties". WITNESSETH: WHEREAS, Ozarks Electric Cooperative, (or Cooperative) is a rural electric cooperative corporation serving, among other areas, portions of the territory in and around the City of Fayetteville, Arkansas; and WHEREAS, the City of Fayetteville (or City), Arkansas, is a municipal corporation which owns and operates two water and sewer treatment facilities located in Cooperative's territory at 1500 Fox Hunter Rd, Fayetteville, AR; and 5 Broyles Rd, Fayetteville, AR; and WHEREAS, Today's Power Inc., (or TPI), will, upon execution of associated agreements, install, own, and maintain distributive generation in the form of solar generation and a battery storage system interconnected to the City of Fayetteville's distribution system; and WHEREAS, City and TPI are hereinafter collectively referred to as DG Owner/Operator, and WHEREAS, the parties hereto define the terms and conditions under which DG Owner/Operator shall operate independently to produce power synchronized with the Cooperative's system. NOW, THEREFORE, in consideration of the mutual covenants and terms set forth herein, the parties agree as follows, to -wit: 1. Scope of Agreement — This agreement is applicable to conditions under which the Cooperative and the DG Owner/Operator agree that the Facilities (further described in the Facility Schedules) will be interconnected at 12.470 kV or less, to the Cooperative's electric power distribution system ("System"). DG Owner/Operator shall receive interconnection service from Cooperative in accordance with the terms this agreement and in accordance with all applicable fillings with the Arkansas Public Service Commission, as now in force and from time amended hereafter. A true and correct copy of Attachment 1 and Attachment 2, Facility Identification Maps, showing Point of Interconnection, is attached hereto and incorporated by reference herein. Page I of 10 2. Establishment of Point of Interconnection — The point where the electric energy transitions from the wires or facilities owned by the Cooperative to the facilities provided by DG Owner/Operator, or vice versa, is the "Point of Interconnection." Cooperative and DG Owner/Operator agree to interconnect the Facilities at the Point of Interconnection in accordance with the Cooperative's Operational Requirements ("Rules"), which are incorporated herein by reference as Attachment #3. The interconnection equipment installed by the DG Owner/Operator ('Interconnection Facilities') shall be in accordance with the Rules as well. 3. Responsibilities of Cooperative and DG Owner/Operator for Installation, Operation and Maintenance of Facilities — DG Owner/Operator will, at its own cost and expense, install, operate, maintain, repair and inspect, and shall be fully responsible for its Facilities and Interconnection Facilities. DG Owner/Operator shall conduct operations of its Facilities and Interconnection Facilities in compliance with all aspects of the Rules, and in accordance with industry standard prudent engineering practices. The Cooperative shall conduct operations of its electric distribution facilities in compliance with all aspects of the Rules, or as further described and mutually agreed to in the applicable Facilities Schedule attached hereto. Maintenance of Facilities and Interconnection Facilities shall be performed in accordance with the applicable manufacturers' recommended maintenance schedule. The DG Owner/Operator agrees to cause its Facilities and Interconnection Facilities to be constructed in accordance with the Rules and specifications equal to or better than those provided by the National Electrical Safety Code and the National Electrical Code, both codes approved by the American National Standards Institute in effect at the time of construction. The DG Owner/Operator covenants and agrees to cause the design, installation, maintenance and operation of its Facilities and Interconnection Facilities so as to reasonably minimize the likelihood of a malfunction or other disturbance, damaging or otherwise, affecting or impairing the System. DG Owner/Operator shall comply with all applicable laws, regulations, zoning codes, building codes, safety rules and environmental restrictions applicable to the design, installation, operation and maintenance of its Facilities and Interconnection Facilities. Cooperative will notify DG Owner/Operator if there is evidence that the Facilities' or Interconnection Facilities' operation causes disruption or deterioration of service to other customers served from the System, or if the Facilities' or Interconnection Facilities' operation causes damage to the System. DG Owner/Operator will notify the Cooperative of any emergency or hazardous condition or occurrence with the DG Owner/Operator's Facilities or Interconnection Facilities, which could affect safe operation of the System. If agreeable to the Parties, the Cooperative shall perform periodic inspections and maintenance on specific sections of the interconnection facilities and non-cooperative owned distribution systems in accordance with a separate maintenance agreement if entered into by the Cooperative and the City. 4. Operator in Charge — The DG Owner/Operator shall each identify an individual (by name or title) who will perform as "Operator in Charge" of the Facilities and the DG Owner/Operator portion of the Interconnection Facilities. This individual must be familiar with this Agreement, as well as provisions of the Rules and any other agreements or regulations that may apply. 5. Power Sales to Cooperative - This Agreement does not constitute an agreement to purchase or deliver the DG Owner/Operator's power. The purchase or delivery of power and other services that the Cooperative may require will be covered under separate agreements. Page 2 of 10 The Interconnection Customer will be responsible for separately making all necessary arrangements (including scheduling) for delivery of electricity. 6. Limitation of Liability and Indemnification a. Notwithstanding any other provision in this Agreement, with respect to the Cooperative's provision of electric service to DG Owner/Operator and the services provided by the Cooperative pursuant to this Agreement, Cooperative's liability to DG Owner/Operator shall be limited as set forth in the Cooperative's tariffs and terms and conditions for electric service, which are incorporated herein by reference. b. For the purposes of this Agreement, a Force Majeure event is any event: (a) that is beyond the reasonable control of the affected party; and (b) that the affected party is unable to prevent or provide against by exercising reasonable diligence, including the following events or circumstances, but only to the extent that they satisfy the preceding requirements: acts of war, public disorder, rebellion or insurrection; floods, hurricanes, earthquakes, lightning, storms or other natural calamities; explosions or fires; strikes, work stoppages or labor disputes; embargoes; and sabotage. If a Force Majeure event prevents a party from fulfilling any obligations under this agreement, such party will promptly notify the other party and will keep the other party informed on a periodic basis as to the scope and duration of the Force Majeure event. The affected party will specify the circumstances of the Force Majeure event, its expected duration, and the steps that the affected party is taking to mitigate the effect of the event on its performance. The affected party will be entitled to suspend or modify its performance of obligations under this Agreement, but will use reasonable efforts to resume its performance as soon as possible. c. Notwithstanding Paragraph 6.b of this Agreement, TPI shall assume all liability for, and shall indemnify the Cooperative and its members, trustees, directors, officers, managers, employees, agents, representatives, affiliates, successors and assigns for, and shall hold them harmless from and against any claims, losses, costs, and expenses of any kind or character to the extent that they result from TPI's negligence or other wrongful conduct in connection with the design, construction, installation, operation or maintenance of the Facilities or Interconnection Facilities. Such indemnity shall include, but is not limited to, financial responsibility for (a) monetary losses; (b) reasonable costs and expenses of defending an action or claim; (c) damages related to death or injury; (d) damages to property; and (e) damages for the disruption of business. d. Cooperative and DG Owner/Operator shall each be responsible for the safe installation, maintenance, repair and condition of their respective lines, wires, switches, or other equipment or property on their respective sides of the Point of Interconnection. The Cooperative does not assume any duty of inspecting the DG Owner/Operator's lines, wires, switches, or other equipment or property and will not be responsible therefor. DG Owner/Operator assumes all responsibility for the electric service supplied hereunder and the facilities used in connection therewith, at or beyond the Point of Interconnection, if not mutually agreed upon in a separate agreement, which if executed, would supersede inspection and/or maintenance terms only within this agreement. 7. Testing and Testing Records — The DG Owner/Operator shall provide to the Cooperative all records of testing. Testing of protection systems for intermediate and large units shall be limited to records of compliance with standard acceptance procedures and by industry standards and practices. These records shall include testing at the start of commercial operation Page 3 of 10 and periodic testing thereafter. Factory testing of pre-packaged Interconnection Facilities and the protective systems of small units shall be acceptable. In the case of a factory test, the DG Owner/Operator needs to provide a written description and certification by the factory of the test, the test results, and the qualification of any independent testing laboratory. In addition, the settings of the equipment being installed shall to be approved by the Cooperative prior to DG operation. Furthermore, the DG Owner/Operator shall retest the DG Owner/Operator's protective/synchronization equipment each time a settings change is made, and provide all records of testing to the Cooperative. 8. Right of Access, Equipment Installation, Removal & Inspection — The Cooperative may send an employee, agent or contractor to the premises of the DG Owner/Operator at any time whether before, during or after the time the Facilities first produce energy to inspect the Facilities and Interconnection Facilities, and observe the Facility's installation, commissioning (including any testing), startup, operation and maintenance. At any time, Cooperative shall have access to DG Owner/Operator's premises for any reasonable purpose in connection with the interconnection described in this Agreement, the Rules, or to provide service to its customers. 9 Disconnection of Facilities — DG Owner/Operator retains the option to disconnect its Facilities and Interconnection Facilities from the System, provided that DG Owner/Operator notifies the Cooperative of its intent to disconnect by giving the Cooperative at least thirty (30) days' prior written notice. Such disconnection shall not be a termination of this Agreement unless DG Owner/Operator exercises rights under Section 12 that do not lead to a resolution of the issue. DG Owner/Operator shall disconnect Facilities and Interconnection Facilities from the System upon the effective date of any termination resulting from and required by actions under Section 13. Cooperative shall have the right to disconnect or cause the DG Owner/Operator to disconnect the Facilities and Interconnection Facilities from the System and suspend service in cases where continuance of service to DG Owner/Operator will or may endanger persons or property. During the forced outage of the System serving DG Owner/Operator, Cooperative shall have the right to suspend service and disconnect or cause the DG Owner/Operator to disconnect the Facilities from the System to effect repairs on the System, but the Cooperative shall use its reasonable efforts to provide the DG Owner/Operator with reasonable prior notice. The Cooperative shall have the right, upon reasonable notice, to suspend service and disconnect or cause the DG Owner/Operator to disconnect the Facility from the System to allow the Cooperative to effect routine standard planned maintenance and /or repairs on the System. Additionally, the Cooperative may disconnect any DG equipment after written notice stating the reason for such discontinuance has been given to the DG Owner/Operator in the event of the following. 1) Any time service is discontinued under the terms of this Agreement. 2) If the DG Owner/Operator refused to provide the Cooperative reasonable access to its equipment upon DG Owner/Operator property 3) Violation of any Rule or non-compliance with any applicable federal, state, municipal, or other local laws, rules or regulation. Page 4 of 10 4) Violation of or non-compliance with any approved tariff or this Agreement. 5) Failure of DG Owner/Operator to make application for service. 6) Failure of DG Owner/Operator to make application for service in the true name of the DG Owner/Operator for the purpose of avoiding payment of any unpaid obligation for electric service provided. The Cooperative may disconnect any DG equipment without advance notice for any of the following reasons: 1) Existence of a dangerous or defective condition or wiring or equipment on DG Owner/Operator's premises. 2) Fraudulent use or sale of electricity. 3) Tampering with the Cooperative's controlling, regulating, and/or measuring equipment or other property. 4) Emergency condition. 10. Reactive Power — The Interconnection Customer shall design its Small Generating Facility to maintain a composite power delivery at continuous rated power output at the Point of Interconnection at a power factor at or near unity, unless the Interconnection Service Provider establishes different requirements for the reasons of system voltage stability. The Interconnection Service Provider may require a power factor other than unity in the range of 0.98 leading to 0.98 lagging. If for the reasons of voltage stability, the Interconnection Service Provider is required to provide the Interconnection Customer reactive power, the Interconnection Customer shall comply with a resolution plan to be provided by the Cooperative if necessary. 11. Insurance — TPI shall carry adequate insurance coverage that shall be acceptable to the Cooperative, and the initial coverage shall be not less than $5,000,000.00. TPI agrees to defend, indemnify and hold harmless the Cooperative from any and all claims whatsoever of any nature or kind; including, but not limited to, those brought by employees or subcontractors of TPI or any other person, including the general public, arising out of or as a result of any failure to act, whether or not negligent, arising out of the performance of this Agreement. No party shall be liable for revenue loss resulting from interruption or partial interruption of service hereunder. Notwithstanding any provisions of this Agreement to the contrary, TPI shall be responsible for all damage to, or loss of the Cooperative's property located upon and adjacent to the DG Owner/Operator's property, unless occasioned by causes beyond the DG Owner/Operator's control. The DG Owner/Operator shall not authorize or allow anyone to change, alter, remove or tamper with the Cooperative's property. The City shall provide the same level of security as is provided to all other City infrastructure on properties associated with this agreement. 12. Effective Term and Termination Rights — This Agreement becomes effective when executed by all Parties and shall continue in effect until terminated. This Agreement may be terminated as follows: (a) DG Owner/Operator may terminate this Agreement at any time by giving the Cooperative at least sixty (60) days' written notice; (b) Cooperative may terminate upon failure by the DG Owner/Operator to generate energy from the Facilities within six (6) months after completion of the interconnection; (c) Any Party may terminate by giving the other Page 5 of 10 Parties at least thirty (30) days prior written notice that another Party is in default of any of the terms and conditions of the Agreement or the Rules or any rate schedule, tariff, regulation, contract, or policy of the Cooperative, so long as the notice specifies the basis for termination and there is opportunity to cure the default; (d) Cooperative may terminate by giving DG Owner/Operator at least sixty (60) days notice in the event that there is a material change in an applicable law, or any requirement of the Cooperative's wholesale electric suppliers or of any transmission utility, independent system operator or regional transmission organization having responsibility for the operation of any part of the System. No termination of this agreement by any party constitutes a release of financial responsibility due to a rate schedule, tariff or other separate agreement. 13. Compliance with Laws, Rules and Tariffs — The Cooperative and the DG Owner/Operator shall be responsible for complying with the laws, rules, tariffs and regulations -of the State of Arkansas, and the Rules. The interconnection and services provided under this Agreement shall at all times be subject to the terms and conditions set forth in the Rules, which Rules are hereby incorporated into this Agreement by this reference. The Cooperative shall have the right to publish changes in any of the Rules at any time. 14. Severability —If any portion or provision of this Agreement is held or adjudged for any reason to be invalid or illegal or unenforceable by any court of competent jurisdiction, such portion shall be deemed separate and independent, and the remainder of this Agreement shall remain in full force and effect. 16. Amendment — This Agreement may be amended only upon mutual agreement of the Parties, which amendment will not be effective until reduced to writing and executed by the Parties. 16. Entirety of Agreement and Prior Agreements Superseded — This Agreement, including the Rules and all attached Exhibits and Facilities Schedules, which are expressly made a part hereof for all purposes, constitutes the entire agreement and understanding between the Parties with regard to the interconnection of the facilities of the Parties at the Points of Interconnection expressly provided for in this Agreement. The Parties are not bound by or liable for any statement, representation, promise, inducement, understanding or undertaking of any kind or nature (whether written or oral) with regard to the subject matter hereof not set forth or provided for herein or in the DG Owner/Operator application, or other written information provided by the DG Owner/Operator in compliance with the Rules. It is expressly acknowledged that the Parties may have other agreements covering other services not expressly provided for herein, which agreements are unaffected by this Agreement. 17. Assignment — At any time during the term of this Agreement, the DG Owner/Operator may assign this Agreement to a corporation, an entity with limited liability, or an individual (the "Assignee") to whom the DG Owner/Operator transfers ownership of the Facilities; provided that the DG Owner/Operator obtains the consent of the Cooperative in advance of the assignment. The Cooperative's consent will be based on a determination that the Assignee is financially and technically capable to assume ownership and/or operation of the Facilities, which will not be unreasonably withheld. The company or individual to which this Agreement is assigned will be responsible for the proper operation and maintenance of the Facilities, and must agree in writing to be subject to all provisions of this Agreement. Cooperative may also assign the Agreement to another entity with the written approval of the DG Owner/Operator, Page 6 of 10 18. Notices — Notices given under this Agreement are deemed to have been duly delivered if hand delivered or sent by United States certified mail, return receipt requested, postage prepaid, to: (a) If to Cooperative Troy Scarbrough, VP of Engineering and Operations Ozarks Electric Cooperative Corporation P. 0. Box 848 Fayetteville, AR 72702-0848 (b) If to DG Owner/Operator: The City of Fayetteville (City) Attn: Peter Nierengarten, Fayetteville Environmental Director 113 W. Mountain St. Today's Power Inc. (TPI) The above -listed names, titles and addresses of either Party may be changed by written notification to the other, notwithstanding Section 19. 19. Invoicing and Payment — Payment terms, rates, and any other such monetary or like kind exchanges between the cooperative and the DG Owner/Operator shall be covered in a separate agreement, which shall not supersede any such conditions of this agreement. 20. Limitations (No Third -Party Beneficiaries, Waiver, etc.) — This Agreement is not intended to and does not create rights, remedies or benefits of any character whatsoever in favor of any persons, corporations, associations or entities other than the Parties, and the obligations herein assumed are solely for the use and benefit of the Parties. This Agreement may not be assigned by the DG Owner/Operator without the prior written consent of the Cooperative as specified in Section 17. The failure of a Party to this Agreement to insist, on any occasion, upon strict performance of any provision of this Agreement will not be considered to waive the obligations, rights or duties imposed upon the Parties. 21. Headings — The descriptive headings of the various articles and sections of this Agreement have been inserted for convenience of reference only, and are to be afforded no significance in the interpretation or construction of this Agreement. 22. Multiple Counterparts — This Agreement may be executed in two or more counterparts, each of which is deemed an original, but all constitute one and the same instrument. Page 7 of 10 23. Modification of the Generating Facility - The DG Owner/Operator must receive written authorization from the Cooperative before making any change to the DG Facilities that may have a material impact on the capacity, operational characteristics, safety, or reliability of the System. Such authorization shall not be unreasonably withheld. Modifications shall be done in accordance with Good Utility Practice. Any modifications made by the Interconnection Service Provider that are reasonably necessary as a result of modifications to the Cooperative's facilities shall be made at the expense of the DG Owner/Operator. If the DG Owner/Operator make such modification without the Cooperative's prior written authorization, the latter shall have the right to temporarily disconnect the DG Facility. IN WITNESS WHEREOF, the Parties have caused this Agreement to be signed by their respective duly authorized representatives. Ozarks Electric Cooperative Corporation (Cooperative) BY: TITLE: President/CEO DATE 913o//I Today's Power Inc. (TPI) BY:� '. Y TITLE: DATE. / 0 - 1- 19 Page 8 of 10 The City of Fayetteville (City) . TITLE.- DATE: ITLE: DATE: FACILITIES SCHEDULE 1. Name: The City of Fayetteville, Arkansas 2. Facilities locations: 1500 Fox Hunter Rd, Fayetteville, AR and 5 Broyles Rd, Fayetteville, AR 3. Delivery voltage: 7200/12470 grounded Y 4. Metering (voltage location losses adiustment due to meterinq location and other: Metering at primary voltage at the Facility location. 5. Normal Operation of Interconnection: Continuous parallel operation. 6. One line diagram attached (check one)-/ X Yes / No 7. Facilities to be furnished by Cooperative: Existing primary facilities to point of interconnection. 8. Facilities to be furnished by DG Owner/Operator: Generation equipment and associated lines, transformers, and internal switch, tie breaker, sensing, and relaying beyond the point of interconnection. 9. Number of generating units: 10. Rating of each generator: 11. Cost Responsibility: DG Owner/Operator are responsible for all costs and/or fees associated with the design, setup, planning, coordination, and construction of facilities required or mandated by the Cooperative to accommodate the DG facilities to date and hereinafter. 12. Supplemental terms and conditions attached (check one): / X Yes / No 13. Cooperative rules for DG interconnection attached (check one): / X Yes / No Ozarks Electric Cooperative Corporation (Cooperative) BY TITLE: President/CEO DATE 9/fid/.? Page 9 of 10 The City o ayetteville, Arkansas (City) BY: TITLE: DATE: I _ 6+1 Today's Power Inc. (TPI) �ffilffijl 1 ION �. Page 10 of 10 Attachment 1, Facility Identification Map 5 Broyles Rd. Fayetteville, AR. WETTEA.M WM W 6OLM FMW 69kV 0 ME C) 0- MANSFOMAtR 1 5 I OSwTIU, Aft RECOW (& -MAW METER El -1 nuc 1PANVORMER (G) PEOCSTA, IEC SOW04,;w au% OWX MAWFE404a 20W t. Point of Interconnection gw= !=a Ep a co 2 c 0 ozarks ELECTRIC COOPERATIVE Attachment 3 Generator Interconnection Rules and Requirements I50KW and Above Scope — This document is a technical specification for generation interconnection in instances where interconnection is permissible through rates, tariffs or contract. It is not to be misconstrued as the sole requirements for interconnection. Also, this guideline is meant to cover basic requirements for most large industrial or commercial interconnected generation. However, given the wide variety of possible generating facilities, it becomes problematic to designate requirements for all the complex possibilities that might arise in conjunction with interconnected generation. Thus, any additional requirements for unique installations will be covered in an interconnection agreement between Ozarks Electric Cooperative Corporation (OECC) and the Distributed Generation (DG) Owner/Operator. Any such requirements or arrangements so stated in an interconnection agreement will supersede any rules stated in this guideline. Further, these rules and guidelines will require revision and updating as technology and techniques evolve in the industry. Thus, OECC shall have the right to publish changes to these rules at any time. 11. Definitions Application for Interconnection: A form that is required for application to interconnect DG facilities with the OECC System that state the Generation System's characteristics, including Generation Facility Capacity, desired interconnection method, Point of Common Interconnection device type and settings, etc. Closed Transition Transfer: Method of transferring the local loads between OECC's system and the generator such that the generator and OECC's systems are interconnected for a short time (100 msec. or less). Dedicated Facilities: The equipment that is installed due to the interconnection of the Generation System and not required to serve other OECC Members. DG Owner/Operator: The party or parties who will own/operate the Generation System and are responsible for meeting the requirements of the agreements and Technical Requirements. This could be the Generation System applicant, installer, owner, designer, or operator, or any combination of these entities. DNP 3.0: A SCADA communications protocol. Extended Parallel: The Generation System is designed to remain connected with OECC for an extended period of time. Generation/Generator: Any device producing electrical energy, i.e., rotating generators driven by wind, steam turbines, internal combustion engines, hydraulic turbines, solar, fuel cells, etc.; or any other electric producing device, including energy storage technologies. Generation System: The interconnected generator(s), controls, relays, switches, breakers, transformers, inverters and associated wiring and cables, up to the Point of Interconnection. Lock out: To make unavailable for a close of contacts by a physical means. If a device is locked out, it can not be physically made to close of its contacts until the lock out provision is physically reset or removed. Nameplate Capacity: The total nameplate capacity rating of all the Generation included in the Generation System. For this definition, the "standby" and/or maximum rated KW capacity on the nameplate shall be used. Open Transition Transfer: Method of transferring the local loads between OECC's system and the generator such that the generator and OECC's system are never interconnected. Point of Delivery: This is also the point where the energy changes possession from one party to the other. Typically, this will be where the metering is installed, but it is not required that the Point of Delivery is the same as where the energy is metered. The Point of Delivery may also be at the Point of Interconnection, but is not required to be. Point of interconnection/Point of Common Coupling (PCC)/. The point where OECC is connected to a Generation System. SCADA: Supervisory Control And Data Acquisition. Equipment and communications devices that allow control and monitoring of remote equipment from OECC dispatch center or offices. Soft Loading Transfer: Method of transferring the local loads between OECC and the generator such that the generator and OECC's system are interconnected for a limited amount of time (generally less than three minutes). If the interconnection extends beyond three minutes, the interconnection is then defined as extended parallel. III. General Requirements In general, all generator installations covered under these rules shall comply with the latest revision of IEEE Standards 1547, 1547.1, 1547.2, 519, 929, C37.90.1, C37.90.2, C62.41.2, C62.42, and ANSI C84.1, and ANSI/IEEE 466 and Standard 80, and any other such ANSI/IEEE standards that apply to the generation facilities referenced in this guideline. However, in areas where the Specific Requirements in these rules conflict or detail more stringent requirements, these rules supersede those specific areas of IEEE 1547, 1547.1, and 1547.2. The DG Owner/Operator shall be responsible for compliance with all applicable local, city, state, or federal codes, guidelines. Further, interconnected generation shall meet the latest revision of the National Electric Safety Codes (NESC) and National Electric Code ("NEC). IV. Specific Requirements A DG Owner/Operator shall submit an Application for Interconnection to OECC before any consideration shall be made in regard to interconnection of facilities. Interconnection agreements: An interconnection agreement shall be executed between OECC and the DG Owner/Operator before a Generator will be allowed to connect under any method except Open Transition Transfer. The DG Facilities shall not inject any abnormal voltage into the OECC system. The Cooperative may send an employee, agent or contractor to the premises of the DG Owner/Operator at any time whether before, during or after the time the Facilities first produce energy to inspect the Facilities and Interconnection Facilities, and observe the Facility's installation, commissioning (including any testing), startup, operation and maintenance. At any time, Cooperative shall have access to DG Owner/Operator's premises for any reasonable purpose in connection with the interconnection described in this guideline or applicable interconnection agreement or to provide service to its customers. A protective device shall be installed at the Point of Interconnection that shall be capable of interrupting the total fault current available from either side of the Point of Interconnection. This device shall have the provision to lock out the device to prevent any electronic means of closure or any incidental manual close. This means of lock out shall either be by mechanical mean attached on an OECC pole at a height as to not be readily accessible to the general public, or be in an enclosure such that an OECC padlock can be installed to prohibit any close. Depending on the size and complexity of the DG facility, a utility grade relay controlled circuit breaker may be required as the protective device. This device may be required to communicate via DNP 3.0. The generator(s) on an interconnected system shall have an emergency stop button such that the entire installation will interrupt load and bring the generators to a stop in the quickest possible time without undue damage to the generators. The emergency stop button shall be located such that it is readily accessible to OECC personnel and be appropriately labeled. Acceptance testing shall be required for each DG installation and the records for these tests shall be made available to OECC. Further testing may be required by OECC depending on the size and type of DG installation. In addition, the settings of the equipment being installed are to be approved by OECC prior to DG operation. The DG Owner/Operator shall retest protective relaying on an annual basis. Furthermore, the DG Owner/Operator shall retest the DG Owner/Operator's protective/synchronization equipment each time a settings change is made, and provide all records of testing to the Cooperative. Monitoring and shutdown control of the DG facilities shall be made available to OECC via the cooperative's SCADA system. Islanding of the facilities on the load side of the Point Of Interconnection shall be allowed in certain instances, and shall be covered individually in an Interconnection Agreement. An engineering study shall be required to determine the impact of DG on the OECC system unless a v,,ritten waver from OECC is obtained. OECC retains the right to require a study or an additional study if the DG facilities increase in size or characteristic changes are made to the facility. In consideration of the applicability of this guideline, the full nameplate ratings of multiple generators at one location shall be summed and considered as the full generation capacity of the DG facility. The DG Otiyner,'Operator shall be financially responsible for OECC system modifications, additions, andtor dedicated facilities that are deemed reasonably necessary by the Cooperative, including but not limited modifications or additions of lines, structures, equipment, substations, relaying, monitoring, communications, supervisory control, training, engineering studies and grounding. NORTHWEST ARKANSAS RECEIVED NOV 19 201.9 Democrat �X;- ofazefte CITY OF FAYE7zV1LL- CITY C.LERK_5 J_zF1;L AFFIDAVIT OF PUBLICATION I, Cathy Staggs, do solemnly swear that I am the Accounting Manager for the Northwest Arkansas Democrat- Gazette, printed and published in Washington and Benton County, Arkansas, and of bona fide circulation, that from my own personal knowledge and reference to the files of said publication, the advertisement of: CITY OF FAYETTEVILLE Ord. 6256 Was inserted in the Regular Edition on: November 14, 2019 Publication Charges $ 231.40 rs _� q L L k -,(,z ;A�l, Cathy Sta g Subscribed and sworn to before me This 1S day of &/ y,' , 2019. az& lc�& Notary Public My Commission Expi s: 4U120Z4 CATHY WILES Arkansas - Benton County Notary Public -Comm# 12397118 My Commission Expires Feb 20, 2024 **NOTE** Please do not pay from Affidavit Invoice will be sent. Ordinance: 6256 File Number: 2019-0679 OZARKS ELECTRIC COOPERATIVE AND TODAY'S POWER, INC. INTERCONNECTION AGREEMENT: AN ORDINANCE TO WAIVE COMPETITIVE BIDDING AND APPROVE CONTRACTS WITH OZARKS ELECTRIC COOPERATIVE CORPORATION AND TODAY'S POWER, INC. TO PROVIDE FOR THE INTERCONNECTION OF THE CITY'S SOLAR FACILITIES AT THE WESTSIDE AND NOLAND WASTEWATER TREATMENT PLANTS WITH THE OZARKS ELECTRIC UTILITY GRID, AND TO PROVIDE FOR THE ONGOING MAINTENANCE OF THOSE INTERCONNECTED FACILITIES AT A COST OF $20,116.00 PER YEAR FOR THE 20 - YEAR TERM OF THE SOLAR PROJECT WHEREAS, on November 20, 2018, the City Council approved several contracts with Ozarks Electric Cooperative Corporation and Today's Power, Inc. that provided for the development, construction, and operation of solar power generation and energy storage facilities at the City's wastewater treatment plants; and WHEREAS, on June 21, 2019, the Arkansas Public Service Commission approved the City's application for the solar generation, net metering, and energy storage project; and WHEREAS, the solar facilities were completed on June 30, 2019, and were interconnected with the electric utility grid of Ozarks Electric on July 18, 2019; and WHEREAS, City staff recommend the approval of a Contract for Maintenance of Interconnection Facilities with Ozarks Electric to provide for ongoing maintenance ofthe overhead and underground electric distribution facilities that connect the City's solar power generation and battery storage units to the Ozarks Electric grid at a cost of 520,116.00 per year; and WHEREAS, City staff also recommend the approval of a Contract for Interconnection of Customer -Owned Generation with Ozarks Electric and Today's Power, which more specifically defines the roles and responsibilities of each party with respect to the interconnection of the solar power generation and battery storage components with the Ozarks Electric utility grid; and WHEREAS, both agreements will be in effect for the 20 -year term of the Trilateral Agreement and are necessary to satisfy Arkansas Public Service Commission's requirements for interconnection of the system and to ensure that the solar power generation is not interrupted by a distribution system failure; and WHEREAS, it is neither feasible nor practical to competitively bid the maintenance contract because of the existing Trilateral Agreement, Facilities Upgrade Agreement, and Energy Management Agreement with Ozarks Electric, because of Ozarks Electric's position as the City's monopoly power provider in these areas, and because both the City and Ozarks Electric have an ongoing responsibility to comply with the Arkansas Public Service Commission's rules and orders governing this project. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby determines an exceptional situation exists in which competitive bidding is deemed not feasible or practical and therefore waives the requirements of formal competitive bidding and authorizes Mayor Jordan to sign the Contract for Maintenance of Interconnection Facilities with Ozarks Electric Cooperative Corporation to provide for ongoing maintenance of the City's interconnected solar power generation and battery storage components with the electric utility grid at a cost of $20,116.00 per year. Section 2: That the City Council of the City of Fayetteville, Arkansas hereby authorizes Mayor Jordan to sign a Contract for Interconnection of Customer -Owned Generation with Ozarks Electric and Today's Power to further define the roles and responsibilities of each party with respect to the interconnection of the City's solar power generation and battery storage components with the Ozarks Electric utility grid as approved by the Arkansas Public Service Commission. PASSED and APPROVED on 11/5/2019 Approved: Lioneld Jordan, Mayor Attest: Lisa Branson, Deputy City Clerk 75149041 Nov. 14, 2019