Eagle Point Energy Power Purchase Agreement Reinstatement Copyright 2014
City of Dubuque Action Items # 1.
ITEM TITLE: Eagle Point Energy Power Purchase Agreement Reinstatement
SUMMARY: City Manager recommending approval of reinstating the August 1 , 2011
Agreement with Eagle Point Energy- 1 , LLC effective May 1 , 2015.
RESOLUTION Reinstating the August 1 , 2011 Agreement for Solar
License and Power Purchase Between the City of Dubuque, Iowa and
Eagle Point Energy- 1 , LLC
SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s)
ATTACHMENTS:
Description Type
❑ Eagle Point Energy Power Purchase Agreement-MVM Memo City Manager Memo
❑ Staff Memo Staff Memo
❑ Resolution Staff Memo
❑ Shear Letter Supporting Documentation
THE CITY OF Dubuque
UBE I
erica .i
Masterpiece on the Mississippi 2007-2012-2013
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Reinstating the August 1, 2011 Agreement for Solar License and Power
Purchase between the City of Dubuque, Iowa and Eagle Point Energy— 1,
LLC
DATE: March 23, 2015
On August 1, 2011, the City of Dubuque and Eagle Point Energy - 1, LLC entered into
Agreement for Solar License and Power Purchase (hereinafter referred to as the
"August 1 Agreement").
A controversy arose as to whether the August 1 Agreement was consistent with Iowa
law. The City and Eagle Point then entered into the October 3, 2011 License
Agreement Regarding Solar Photovoltaic Equipment (hereinafter referred to as the
"October 3 Agreement").
The October 3 Agreement provided in Section 44 that upon the mutual written consent of
the parties, at any time during the Term of the October 3 Agreement, that Eagle Point is not
a "public utility" under Iowa law and that Eagle Point would not be in violation of any law or
regulation if Eagle Point engaged in selling the power generated by Eagle Point to City on
the basis of the amount of power actually generated by Eagle Point, then City could in its
sole discretion and upon not less than 30 days written notice to Eagle Point elect that the
October 3 Agreement would be deemed null and void and the August 1 Agreement would
be reinstated as the binding agreement between the parties.
The City and Eagle Point now agree that Eagle Point is not a public utility and would not be
in violation of any law or regulation in selling the power generated by it to City.
City Attorney Barry Lindahl recommends City Council approval of a resolution reinstating
the August 1, 2011 Agreement effective May 1, 2015.
1 concur with the recommendation and respectfully request Mayor and City Council
approval.
Mic ael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
2
THE CITY OF
DUB UE MEMORANDUM
Masterpiece on the •sissippi
w
BARRY LIND
CITY ATTORNEY
To: Mich el C. Van Milligen
City anager
DATE: March 16, 2015
RE: Reinstating the August 1, 2011 Agreement for Solar License and Power
Purchase between the City Of Dubuque, Iowa and Eagle Point Energy—
1, LLC
On August 1 , 2011, the City of Dubuque and Eagle Point Energy — 1, LLC entered into
Agreement for Solar License and Power Purchase (the August 1 Agreement).
A controversy arose as to whether the August 1 Agreement was consistent with Iowa
law. The City and Eagle Point then entered into the October 3, 2011 License
Agreement Regarding Solar Photovoltaic Equipment (the October 3 Agreement).
The October 3 Agreement provided in Section 44 that upon the mutual written consent
of the parties, at any time during the Term of the October 3 Agreement, that Eagle Point
is not a "public utility" under Iowa law and that Eagle Point would not be in violation of
any law or regulation if Eagle Point engaged in selling the power generated by Eagle
Point to City on the basis of the amount of power actually generated by Eagle Point,
then City could in its sole discretion and upon not less than 30 days written notice to
Eagle Point elect that the October 3 Agreement would be deemed null and void and the
August 1 Agreement would be reinstated as the binding agreement between the parties.
The City and Eagle Point now agree that Eagle Point is not a public utility and would not
be in violation of any law or regulation in selling the power generated by it to City.
The attached Resolution reinstates the August 1, 2011 Agreement. Eagle Point has
consented to the Resolution. Attached is a letter from Barry R. Shear requesting that
the Resolution be placed on the April 6, 2015 City Council agenda and that the
reinstatement of the August 1 Agreement be effective May 1, 2015.
1 recommend that the Resolution be submitted to the City Council for consideration.
OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA
SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944
TELEPHONE (563)583-4113/FAx (563)583-1040/EMAIL balesq@cityofdubuque.org
BAL:tls
Attachment
cc: Don Vogt, Public Works Director
Maurice Jones, Economic Development Director
John Klostermann, Street & Sewer Maintenance Supervisor
F:\USERS\tsteckle\Lindahl\Eagle Point Solar-Maintenance Garage-PowerPurchaseAgeement\MVM_ReinstatementOfAug12011 PowerPurchaseAgreement_031615.doc
OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA
SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001-6944
TELEPHONE (563)583-4113/FAX (563)583-1040/EMAIL balesq@cityofdubuque.org
Prepared by Barry A. Lindahl 300 Main Street Suite 330 Dubuque IA 52001 563 583-4113
RESOLUTION NO. 118-15
REINSTATING THE AUGUST 1, 2011 AGREEMENT FOR SOLAR LICENSE AND
POWER PURCHASE BETWEEN THE CITY OF DUBUQUE, IOWA AND EAGLE
POINT ENERGY- 1, LLC
Whereas, on August 1, 2011, the City of Dubuque, Iowa (City) and Eagle Point
Energy - 1, LLC (Eagle Point) entered into an Agreement for Solar License and Power
Purchase (the August 1 Agreement); and
Whereas, a controversy arose as to whether the August 1 Agreement was
consistent with Iowa law; and
Whereas, City and Eagle Point then entered into the October 3, 2011 License
Agreement Regarding Solar Photovoltaic Equipment (the October 3 Agreement); and
Whereas, the October 3 Agreement provided in Section 44 that upon the mutual
written consent of the parties, at any time during the Term of the October 3 Agreement,
that Eagle Point is not a "public utility" under Iowa law and that Eagle Point would not be
in violation of any law or regulation if Eagle Point engaged in selling the power
generated by Eagle Point to City on the basis of the amount of power actually generated
by Eagle Point, then City could in its sole discretion and upon not less than 30 days
written notice to Eagle Point elect that the October 3 Agreement would be deemed null
and void and the August 1 Agreement would be reinstated as the binding agreement
between the parties; and
Whereas, City and Eagle Point now agree that Eagle Point is not a public utility
and would not be in violation of any law or regulation in selling the power generated by it
to City; and
Whereas, the City Council finds that it is in the best interest of the City of
Dubuque to reinstate the August 1 Agreement; and
Whereas, City by this resolution hereby provides notice to Eagle Point that the
October 3 Agreement should be deemed null and void and the August 1 Agreement
should be reinstated.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
DUBUQUE, IOWA AS FOLLOWS:
Section 1. The October 3, 2011 License Agreement Regarding Solar Photovoltaic
Equipment is hereby declared null and void.
Section 2. The August 1, 2011 Agreement for Solar License and Power Purchase
is hereby reinstated effective May 1, 2015.
Passed, approved and adopted this 6th day of April, 2015.
Attest:
Trish L. Gleason, Assistant City Clerk
RD. Buol, Mayor
CONSENT TO RESOLUTION
Eagle Point Energy — 1, LLC hereby consents to the foregoing Resolution.
Eagle Point Energy — 1, LLC
By:
Barry S' ear, Member/Manager
3
Prepared by Barry A. Lindahl 300 Main Street Suite 330 Dubuque IA 52001 563 583-4113
RESOLUTION NO. -15
REINSTATING THE AUGUST 1, 2011 AGREEMENT FOR SOLAR LICENSE AND
POWER PURCHASE BETWEEN THE CITY OF DUBUQUE, IOWA AND EAGLE
POINT ENERGY— 1, LLC
WHEREAS, on August 1, 2011, the City of Dubuque, Iowa (City) and Eagle Point
Energy — 1, LLC (Eagle Point) entered into an Agreement for Solar License and Power
Purchase (the August 1 Agreement); and
WHEREAS, a controversy arose as to whether the August 1 Agreement was
consistent with Iowa law; and
WHEREAS, City and Eagle Point then entered into the October 3, 2011 License
Agreement Regarding Solar Photovoltaic Equipment (the October 3 Agreement); and
WHEREAS, the October 3 Agreement provided in Section 44 that upon the
mutual written consent of the parties, at any time during the Term of the October 3
Agreement, that Eagle Point is not a "public utility" under Iowa law and that Eagle Point
would not be in violation of any law or regulation if Eagle Point engaged in selling the
power generated by Eagle Point to City on the basis of the amount of power actually
generated by Eagle Point, then City could in its sole discretion and upon not less than
30 days written notice to Eagle Point elect that the October 3 Agreement would be
deemed null and void and the August 1 Agreement would be reinstated as the binding
agreement between the parties; and
WHEREAS, City and Eagle Point now agree that Eagle Point is not a public utility
and would not be in violation of any law or regulation in selling the power generated by it
to City; and
WHEREAS, the City Council finds that it is in the best interest of the City of
Dubuque to reinstate the August 1 Agreement; and
WHEREAS, City by this resolution hereby provides notice to Eagle Point that the
October 3 Agreement should be deemed null and void and the August 1 Agreement
should be reinstated.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF
DUBUQUE, IOWA AS FOLLOWS:
Section 1. The October 3, 2011 License Agreement Regarding Solar
Photovoltaic Equipment is hereby declared null and void.
Section 2. The August 1, 2011 Agreement for Solar License and Power
Purchase is hereby reinstated effective May 1, 2015.
031515bal
Eagle Point
SOLAR
[hinging you the SUN
March 11,2015
Mr. Michael C.Van Milligan
City Manager,City of Dubuque Iowa
Dubuque City Hall
50 West 13th Street
Dubuque, Iowa 52001
RE: Reversion of Solar Lease to PPA (Power Purchase Agreement)
Dear Mike:
With great pleasure I am forwarding to you an executed resolution, prepared by Barry Lindahl, a
resolution REINSTATING THE AUGUST 1, 2011 AGREEMENT FOR SOLAR LICENSE AND POWER PURCHASE
BETWEEN THE CITY OF DUBUQUE, IOWA AND EAGLE POINT ENERGY-1, LLC.
I am requesting that you slot this for the April 6th City Council meeting to be effective 5/1/2015.
This battle with the utility universe has been long and costly but we are finally starting to generate
municipal and academic projects throughout the state. These PPA deals can solarize a portion of
virtually any facility and I hope we can do more of them with the City in the near future. These projects
require minimal capital by the counterparties to the PPA yet are commercially viable and
environmentally desirable.
Bestregards,�j
Barry� ar
Enclosure
CC: Barry Lindahl, Esq.
900 Jackson St.Suite 108 r Dubuque,IA 52001•563-582-4044 Corporate Offices
923 Peru Rd. • Dubuque,IA 52001•563-583-1613 Warehouse