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File #: 2017-0427   
Type: Informational Report Status: Passed
File created: 6/8/2017 In control: Construction Committee
On agenda: 7/20/2017 Final action: 7/27/2017
Title: CONSIDER: A. REAFFIRMING the use of a Power Purchase Agreement (PPA) to implement a design-build project at Divisions 9, 11, 14 (Expo Yard), and 22 (see Funding and Operating Sustainability-Related Infrastructure report, attached as Attachment B)1 including the design, construction and installation of new roofs for Divisions 11 and 22 to be paid for through a PPA; and B. FINDING that use of the design-build contracting delivery approach pursuant to Public Utilities Code Section 130242, et. seq. will achieve certain private sector efficiencies in the integration of the design and construction by providing for the award of a design-build contract to the lowest responsive and responsible bidder for the installation of new roofs at Divisions 11 and 22 and installation of solar photovoltaic ("PV") systems at Divisions 9, 11, 14, and 22, which will be solicited through either an Invitation for Bid (IFB) or Request for Proposal (RFP) procurement method.
Sponsors: Construction Committee
Indexes: Bids, Construction, Contractors, Contracts, Design build, Division 09, Division 11, Evaluation and assessment, Informational Report, Invitation For Bids, Maintenance, Maintenance practices, Metro Blue Line, Metro Divisions, Metro Rail A Line, Policy, Procurement, Project, Project delivery, Request For Proposal, Safety, Solar energy, Sustainability Environmental Management System (Project)
Attachments: 1. Attachment A - Renewable Energy Policy (9-4-2011).pdf, 2. Attachment B - Funding and Operating Sustainability-Related Infrastructure Report (9-18-2014).pdf, 3. Attachment C - Report on Design Build November 19 2015.pdf, 4. Attachment D - Report on Alt Fin Mechanisms for Energy Projs.pdf, 5. Staff Report, 6. Staff Report
Meeting_Body
CONSTRUCTION COMMITTEE
JULY 20, 2017

Subject
SUBJECT: ALTERNATIVE FINANCING MECHANISM FOR
RENEWABLE ENERGY AND ROOF REPLACEMENT

Action
ACTION: REAFFIRM THE USE OF POWER PURCHASE AGREEMENT TO IMPLEMENT A DESIGN-BUILD PROJECT AND APPROVE USE OF DESIGN-BUILD PROJECT DELIVERY METHOD FOR ROOF REPLACEMENTS AND SOLAR PHOTOVOLTAIC SYSTEMS

Heading
RECOMMENDATION

Title
CONSIDER:

A. REAFFIRMING the use of a Power Purchase Agreement (PPA) to implement a design-build project at Divisions 9, 11, 14 (Expo Yard), and 22 (see Funding and Operating Sustainability-Related Infrastructure report, attached as Attachment B)1 including the design, construction and installation of new roofs for Divisions 11 and 22 to be paid for through a PPA; and

B. FINDING that use of the design-build contracting delivery approach pursuant to Public Utilities Code Section 130242, et. seq. will achieve certain private sector efficiencies in the integration of the design and construction by providing for the award of a design-build contract to the lowest responsive and responsible bidder for the installation of new roofs at Divisions 11 and 22 and installation of solar photovoltaic ("PV") systems at Divisions 9, 11, 14, and 22, which will be solicited through either an Invitation for Bid (IFB) or Request for Proposal (RFP) procurement method.

Issue
ISSUE

Pursuant to Metro's Renewable Energy Policy attached as Attachment A,2 Metro has committed to a 66% renewable energy use goal by 2020. One of the strategies that Metro has employed to achieve that goal is to install solar PV systems on its facilities at various Metro properties (see Funding and Operating Sustainability-Related Infrastructure report, attached as Attachment B).3 That authority allows the use of Renewable Energy Power Purchase Agreements (PPAs). This mechanism allows for guaranteed revenue to repay the investment of renewable energy systems or rental of land or roof space to 3rd party providers.
Staff's a...

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