City Council Minutes 2016 08 02 - Laserfiche WebLink

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City Council Meeting Minutes August 2, 2016 Page 7 of 15 projections for the next 40 years. Projections are very long term but pursued with break-even point at 10 years or less. Alpine Bank just came back with a higher interest rate; City Manager Fleming suggested the ordinance be approved contingent on 4.75% interest rate or Tess for the first five years. Mayor Pro Tem Lipton noted the decrease in interest rate in out years noted in the packet. He wondered if there could be a dedication of kilowatt hours to the recreation center. City Manager Fleming said staff would evaluate what meters would net the greatest overall savings for the City. Mayor Pro Tem Lipton suggested the City look for ways to increase the amount of energy derived from solar arrays. Council member Maloney asked if the agreement allows for scaling up, increasing the kilowatts, without entering into another agreement. City Manager Fleming answered not on these particular facilities, the lease/purchase agreement would allow for buying outright after five years and thus reduce the lease payments. Council member Stolzmann noted this is consistent with citizen input and felt this is positive, allows the City to de -peak the system, lower the bills and wanted to continue to look for ways to reduce the carbon footprint. She suggested alternatives be sought for financing if the interest rate was too high. Amy Thompson, with Clean Energy Collective, thanked Council for pursuing solar. She noted they will work with the bank and the City to achieve the financing rate. She noted the lease is not a package that would go toward the recreation center. If there are other economically viable opportunities, she would let the City know. Mayor Muckle was glad to see this acquisition of solar for the City and was interested in continuing to seek these opportunities. MOTION: Council member Stolzmann moved to approve Resolution No. 38, Series 2016, seconded by Council member Loo. Roll Call Vote: 7-0 City Attorney Light noted the City Manager suggested a condition concerning the interest rate upon approval of Ordinance No. 1726 on first reading. MOTION: Councilmember Keany made a motion to approve Ordinance 1726, Series 2016, an Ordinance approving a lease purchase agreement with Alpine Bank for 198.555 KW of community solar capacity with Clean Energy Collective on 1st Reading, upon the condition that the lease to be executed provide for financing that, for at least the remainder of the initial five-year period, is at an interest rate of no more than 4.75%,