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HomeMy WebLinkAbout2020-10-15; Clean Energy Alliance JPA; ; Clean Energy Alliance Bid Evaluation Criteria PolicyClean Energy Alliance JOINT POWERS AUTHORITY Staff Report DATE: October 15, 2020 TO: Clean Energy Alliance Board of Directors FROM: Barbara Boswell, Interim Chief Executive Officer ITEM 7: Clean Energy Alliance Bid Evaluation Criteria Policy RECOMMENDATION: Approve Clean Energy Alliance Bid Evaluation Criteria Policy BACKGROUND AND DISCUSSION: At its September 17, 2020 regular meeting, the Clean Energy Alliance (CEA) Board considered the proposed Bid Evaluation Criteria Policy (Policy). The Board provided input and requested the Policy be revised and brought back to the October meeting for consideration. Changes reflected in the revised Policy include: •Change title of Local Economic Sustainability category to Environmental Stewardship •Add Social Equity Category •Revise Environmental Stewardship criteria to remove societal, health, and economic benefits •Add Social Equity criteria that reflects societal, health and economic benefits that address social equity to be evaluated as High or Low •Revise Local Job Growth criteria to add creation of new jobs to High rating; add a Medium rating to reflect employment of local workers and use of local businesses All other aspects of the Policy as proposed on September 17, 2020 remain unchanged. FISCAL IMPACT There is no fiscal impact by this action. ATTACHMENTS: Attachment A - Proposed Clean Energy Alliance Bid Evaluation Criteria Policy — Redlined Attachment B - Proposed Clean Energy Alliance Bid Evaluation Criteria Policy — Clean CEA-12 Clean Energy Alliance JOINT POWERS AUTHORITY BID EVALUATION CRITERIA POLICY Clean Energy Alliance (CEA) desires to establish a Bid Evaluation Criteria Policy (Policy) that establishes a process for comparing bids to select the best offer to achieve the goals of CEA as identified in the Joint Powers Authority Agreement and adopted policies. CEA has identified the following evaluation criteria categories, for non-energy goods or services in excess of $100,000 requiring a formal bid, power purchase agreements with third parties and to the extent permitted by law, CEA owned generation projects: $ Value Innovation Development Risk Project Location Environmental Stewardship Social Equity Local Job Growth Workforce Development Projects will be ranked high, medium, low or neutral based as determined by applying the following criteria: $ Value: Projects will be ranked based on the $ value as compared to other bids received and estimated costs in CEA financial pro forma Innovation •High: Project contains a novel, innovative, or otherwise meritorious concept, application, approach or method •Neutral: Project does not contain a novel, innovative, or otherwise meritorious concept, application, approach or method Development Risk: Projects will be ranked from high (good) to low (bad) based on: •Site Control •Interconnection status •Environmental impacts •Land use and permits City of Carlsbad I City of Del Mar I City of Solana Beach •Project financing •Developer experience Project Location •High: In San Diego County and any additional area served by CEA •Medium: Other areas within California •Low: Out of state projects Environmental Stewardship •High: Demonstrates environmental benefits beyond the climate and GEIG reduction benefits of renewable energy •Low: Project does not demonstrate environmental stewardship as defined above Social Equity •High: Demonstrates societal, health, or economic benefits that address social equity •Low: Project does not demonstrate social equity benefits as defined above Local Job Growth •High: Creates new jobs that employ workers and uses businesses in San Diego County and any additional areas served by CEA •Medium: Employs existing workers and uses businesses in San Diego County and any additional areas served by CEA •Low: Employs workers and uses businesses outside San Diego County and any additional areas served by CEA Workforce Development •High: Employ workers from San Diego County and any additional areas served by CEA; utilize California approved apprenticeship programs; follows fair compensation practices including proper assignment of work to crafts that traditionally perform the work •Low: Does not demonstrate workforce development as defined above The evaluation criteria will be included in formal bid documents and requests for proposals, as appropriate. Clean Energy Alliance 2 Bid Evaluation Criteria Adopted October 15, 2020