Broward County Commission Regular Meeting

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AI-29005

48.

Meeting Date:	04/16/2019
Director's Name:	Bertha Henry
Department:	County Administration

Information

Requested Action

MOTION TO DISCUSS terms proffered by FPL for an agreement, subject to review and approval by the County Attorney’s Office, in exchange for locating solar panels on the BB&T Center, at no cost to the County, subject to an early termination fee; including the County’s purchase of real property owned by FPL located between the Sawgrass Expressway and Canal L-35A at fair market value (offset by FPL easements) to allow for the potential construction of pedestrian/bicycle bridges and associated ramps connecting the BB&T Center to the Conservation Levee’s pedestrian/bicycle pathway into the Everglades.

ACTION: (T-12:30 PM) Following discussion, the Board directed staff to negotiate a final Agreement, and bring an Item back to the Board on Tuesday, May 7, 2019, if a negotiated Agreement is reached. (Refer to minutes for full discussion.)

VOTE: 9-0. Commissioner Geller voted in the affirmative telephonically.

Why Action is Necessary

To discuss the benefits and risks of FPL’s proposal.

What Action Accomplishes

Allows Broward County to accept or decline the FPL proposal to install solar panels on the front façade of the BB&T Center Arena and to include the County’s purchase of real property between the Sawgrass Expressway and Canal-L35A from FPL, prior to the County Administrator entering an agreement.

Is this Action Goal Related

Previous Action Taken

County Administrator was authorized to negotiate and enter into an agreement.

Summary Explanation/Background

FPL Solar Panels on BB&T Center Arena:

The license term for allowing FPL to install solar panels on the BB&T Center will be for 20 years. FPL will only do a 20 year license term.
The power generated from the solar panels to be installed on the front façade of the BB&T Center arena goes to FPL’s power grid, due to a program that is funded by “Solar Now”.
FPL will donate their net profits from this electricity to Broward County charities to pay for or off set their electric bills which is estimated to be approximately $945 annually. Over the 20 year term of the agreement this will equal approximately $18,900.
Broward County will receive an annual license payment from FPL of approximately $2,500. Over the 20 year term of the agreement this will equal approximately $50,000.
According to the County’s Environmental Planning and Community Resilience Division, Florida does not have a market for solar renewable energy credits (SRECS) and local government cannot use such tax credits. Also, in Florida there are no markets for carbon offset, notwithstanding, Broward County’s goal to reduce carbon emissions by 80% from 2015 through 2050.
FPL has agreed to install six Electric Vehicle (EV) charging stations on the BB&T Center parking lots, BB&T Center arena garage, or other designated County facility (valued at $75,000) at no cost to the County.
FPL has agreed to install three phone charging stations inside the BB&T Center arena at no cost to the County. Each charging station can charge 15 phone at one time.

Cost for Broward County to acquire FPL’s property on the west side of the Sawgrass Expressway:

The estimated value of FPL’s property is $47,000. For the value of the easements (covering 100% of the property) being granted back to FPL, FPL will reduce the value to an estimated $14,100. In addition, Broward County will be required to survey the property including establishing the topography and the running heights of the power lines. The estimated cost for this surveying work is approximately $25,000.
The easements that FPL are willing to give Broward County to construct the pedestrian/bicycle bridges and their associated ramps will not, under good design principals, allow for the ramps to fit within the property that FPL is contemplating to sell to the County. For the ramps to function properly, the County would have to acquire easements from the Turnpike Enterprise and the South Florida Water Management District. It might be a year or two before the County will be able to establish if these two right-of-ways will be available.
With the information the County has today, it could build the ramps or a single bridge through FPL’s property, but this would require FPL to raise their existing power lines. FPL has given the County a very rough estimate to raise the power lines of $400,000 to $600,000.

Source of Additional Information

None.

Fiscal Impact

Fiscal Impact/Cost Summary:

There is no cost to the County for installing the solar panels on the BB&T Center Arena. The County’s obligation would occur should the Panthers not renew their License and Operating Agreements and the County would have an early termination with FPL. An early termination is estimated to be $500,000 after ten years.

Attachments
No file(s) attached.