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HomeMy WebLinkAbout03.a. Adopt Resolution No. 2024-XXX Authorizing Execution of Grant Easement to Pacific Gas and Electric (PG&E) over Central San Property located at 4451 Blum Road, Martinez (APN: 159-140-04)Page 1 of 4 Item 3.a. DCENTRALSAN MEETING DATE: FEBRUARY20, 2024 BOARD OF DIRECTORS POSITION PAPER DRAFT SUBJECT: REVIEW DRAFT POSITION PAPER TO ADOPT RESOLUTION NO. 2024- XXX AUTHORIZING EXECUTION OF GRANT OF EASEMENT TO PACIFIC GAS AND ELECTRIC (PG&E) OVER CENTRAL SAN PROPERTY LOCATED AT4451 BLUM ROAD, MARTINEZ (APN: 159-140-04) SUBMITTED BY: INITIATING DEPARTMENT: DAVID KRAMER, REAL PROPERTYAGENT ENGINEERING AND TECHNICAL SERVICES - MELODY LABELLA, RESOURCE RECOVERY PDS -DEVELOPMENT SERVICES -RIGHT OF PROGRAM MANAGER WAY REVIEWED BY: DANEA GEMMELL, PLANNING AND DEVELOPMENT SERVICES DIVISION MANAGER GREG NORBY, DEPUTY GENERAL MANAGER - OPERATIONS J. LEAH CASTELLA, DISTRICT COUNSEL ROGER S. BAILEY, GENERAL MANAGER ISSUE A Resolution of the Board of Directors (Board) is required to execute a Grant of Easement. BACKGROUND I n November 2020, Central San's Board authorized the execution of a 25-year Power Purchase Agreement (PPA) with REC Solar for a 1.75 megawatt (MW) solar array on the Lagiss property. The array would be designed, constructed, owned, operated, and maintained by REC Solar and Central San would be obligated to purchase all solar power produced by the array at a cost of $0.0866/kilowatt-hour (kWh) with no price escalation. By July of 2021, the project's design was sufficient to complete the environmental review process in accordance with the California Environmental Quality Act (CEQA). In January 2022, Central San's Board adopted a CEQA mitigated negative declaration and, after more than a year of conducting biological surveys on the Kiewit property as part of the project's CEQA mitigation, construction of the solar array began in July 2023. Construction of the array is nearly complete, and it is now time for PG&E to complete the electrical interconnection to the power grid, which was directly funded by Central San under District Project 100029. 1 n order to construct the electrical interconnection facilities on Central San's Lagiss property, PG&E requires an easement from Central San. February 20, 2024 REEP Committee Meeting Agenda Packet - Page 3 of 39 Page 2 of 4 PG&E recently transmitted the easement documents to staff, so staff is now requesting approval of the necessary easement. ALTERNATIVES/CONSIDERATIONS The Board could decline to grant PG&E the easement, although this action would prevent Central San from connecting its solar array to PG&E's power grid. FINANCIAL IMPACTS This Grant of Easement is part of District Project 100029 and there will be no monetary exchange for the Grant of Easement. COMMITTEE RECOMMENDATION The Real Estate, Environmental and Planning Committee reviewed this matter at its February 20, 2024 meeting and recommended RECOMMENDED BOARD ACTION Adopt the Proposed Resolution 2024-XXX authorizing execution of the Grant of Easement to PG&E as related to 4451 Blum Road, Martinez (APN: 159-140-042). Strategic Plan Tie -In GOAL ONE: Customer and Community Strategy 1 - Deliver high -quality customer service GOAL SIX: Infrastructure Reliability Strategy 1 - Manage assets optimally ATTACHMENTS: 1. Proposed Resolution February 20, 2024 REEP Committee Meeting Agenda Packet - Page 4 of 39 Page 3 of 4 RESOLUTION NO. 2024- A RESOLUTION OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT AUTHORIZING EXECUTION OF A GRANT OF EASEMENT TO PACIFIC GAS & ELECTRIC, RELATED TO DISTRICT PROJECT NO. 100029 AT 4451 BLUM ROAD, MARTINEZ (APN 159-140-042) WHEREAS, Central Contra Costa Sanitary District (Central San) has determined the easement is necessary for its installation of its solar facilities on 4451 Blum Road Martinez CA. WHEREAS, the attached Grant of Easement was prepared to grant easement rights to Pacific Gas and Electric (PG&E). NOW THEREFORE BE IT RESOLVED by the Board of Directors of Central San as follows: THAT Central San hereby consents to the execution of a Grant of Easement to PG&E, related to the Solar Energy Project, District Project 100029, in Martinez, CA; and THAT the President of the Board of Directors and the Secretary of the District are hereby authorized to execute said document for and on behalf of Central San; and PASSED AND ADOPTED this 7th day of March, 2024 by the Board of Directors of Central San by the following vote: AYES: Members: NOES: Members: ABSENT: Members: Mariah N. Lauritzen President of the Board of Directors Central Contra Costa Sanitary District County of Contra Costa, State of California COUNTERSIGNED: Katie Young, CPMC, CMC Secretary of the District Central Contra Costa Sanitary District County of Contra Costa, State of California February 20, 2024 REEP Committee Meeting Agenda Packet - Page 5 of 39 Page 4 of 4 Central Contra Costa Sanitary District Resolution No. 2024- Page 2 of 2 Approved as to form: J. Leah Castella, Esq. Counsel for the District February 20, 2024 REEP Committee Meeting Agenda Packet - Page 6 of 39