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11/23/2004 Resolutions 2004-299 I I I RES 0 L UTI 0 N 2004-299 WHEREAS, on March 24, 1997, by Resolution 97-80, the City of Grand Island authorized the City's participation in the Nebraska Wind Turbine Demonstration project also known as the Department of Energy/Electric Power Research Institute (DOE/EPRI) Wind Turbine Verification Program; and WHEREAS, with the success ofthis project, NPPD is constructing a 59.4 MW Wind Energy Facility near Ainsworth; and WHEREAS, the City's Utilities Department has participated in the preliminary development of this project at a 1 MW level; and WHEREAS, it is anticipated that NPPD will issue bonds and charge the City annually for its share of the project, and the City would receive wind produced electric energy at its proportioned share; and WHEREAS, the first full year of operation is scheduled for 2006, with the City's share of debt and operating cost for 2006 expected to be $126,000; and WHEREAS, by using wind energy to displace fossil fired generation, atmospheric emissions are reduced, and with subsidies, the cost of wind energy is comparable to the cost of coal generation; and WHEREAS, total annual all-in participation costs, with 0 & M costs, capital costs, and transmission service to Grand Island, are projected at approximately $150,000 per year; and WHEREAS, it is recommended that the City be authorized to continue participation for the life of this project; and WHEREAS, the City Attorney has reviewed and approved the proposed agreement for such project. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF GRAND ISLAND, NEBRASKA, that the City of Grand Island is hereby authorized to participate in NPPD's Wind Power Project in Ainsworth at a level of 1MW. BE IT FURTHER RESOLVED, that the Mayor is hereby authorized and directed to execute the agreement on behalf of the City of Grand Island for such proj ect. Adopted by the City Council of the City of Grand Island, Nebraska, November 23,2004. QJ\~ <illw~ RaNae Edwards, City Clerk Approved as to Form n November 18, 2004