By Donna Beth Weilenman
Staff Reporter
Benicia’s extensive city solar array project is officially finished, the City Council has confirmed.
The formal action, taken Tuesday at the Council’s final meeting of 2013, also approved $49,173 in change orders caused by conditions beyond the control of Chevron Energy, the contractor that built the photovoltaic arrays on city property, including at City Hall, the Benicia Community Center and the James Lemos Aquatic Center.
Among the unexpected occurrences was the discovery of two underground wells at City Hall, requiring additional environmental mitigation, as well as delays caused by a land inspection and purchase for an array for Pump Station 3.
Construction of 10 solar arrays and the retrofitting of about 2,000 street lamps to make them more energy efficient actually ended December 2012.
Since then, the project has been evaluated by an outside consultant, Public Works Director Melissa Morton wrote in a report to the Council.
The Council declared the job complete, though city staff is negotiating with Chevron for $35,700 in reimbursement for additional expenses at the Benicia Community Center. Morton wrote the Council that those negotiations shouldn’t prevent acceptance of the construction project.
Also Tuesday, the Council extended its lease with Bay Area Ship Services, which uses the East Fifth Street Pier for some of its oil spill containment operations.
Under terms of the lease, the city will be paid $38,400 during 2014 and the company will be responsible for property maintenance and water access to the site.
The contract extension makes few changes in the arrangement between Benicia and the company, but would increase rent 3 percent to $3,200 a month the first year and by another 3 percent beginning in 2016.
While Bay Area Ship Services currently uses two boats, should it increase its fleet its monthly license rate would increase by $600 per boat.
Bay Area Ship Services, which has leased the pier since 2006, is a maritime industry service provider that provides boats and equipment for spill response, shuttles and boarding safety.
It also operates in Southern California as So Cal Ship Services, with locations at the Los Angeles Port and Long Beach harbors and in Ventura.
The company has maintained its Oil Spill Response Organization rating from the U.S. Coast Guard and the state of California since 1991.
Old timer says
Anyone know if energy savings $$ covering debt service $$?
Robert Livesay says
waiting for reply from City Finance Director
Tom says
At the time of construction, there was a range of numbers for the cost of the energy that would be saved. If I recall correctly, the anticipated annual savings ranged from $60,000 to $125,000. The energy cost savings do not, and never will, come close to paying the debt service costs.
DDL says
The energy cost savings do not, and never will, come close to paying the debt service costs.
It is easy to be generous with money that is not yours.
Robert Livesay says
Tom it was a 26 year pay out of $26,044,101. Cost of project $13,195,000, interest $12,849,101=$26,044,101 which is the debt service over 26 years. CES projected revenue over 25 years at $28,212,172 which leaves a savings of $2,168,071 over the 25 years. So if these figures work out it will pay for itself over the projected time. In the first 4 or 5 ,years there are E credits of about 2 mil. So the savings may be a little overstated. Take away the E credits of close to 2 mil and this is a bad investment. There is no money alotted for maintenance or re-placement parts on a project that is probably already outdated. Now do not tell that to the Enviro Greenies. I should be getting some figures after the first of the year. Merry Christmas to all.
environmentalpro says
Hmmmmm! Only two comments.
Danny DeMars says
Three.