TITLE
Recommendation to authorize City Manager, or designee, to execute all documents necessary for the Second Amendment of Power Purchase Agreement No. 29265 with Dissigno Holdings, LLC, for the solar photovoltaic system at the Long Beach Convention and Entertainment Center. (District 2)
DISCUSSION
The City of Long Beach (City) is the owner in trust of the Long Beach Convention and Entertainment Center (Facility) and contracts with SMG to operate the Facility under Management Agreement No. 21667. Under its agreement with the City, SMG is required to provide heating and air conditioning to both the Facility and the Hyatt Regency Hotel through a common Heating, Ventilation and Air Conditioning (HVAC) system, which is energized by electricity from Southern California Edison (SCE).
On October 19, 2004, the City Council authorized the City Manager to execute and submit application forms to SCE, as administrator of the California Public Utilities Commission’s Self-Generation Incentive Program, for approval (subsequently granted) of a rebate reservation for the installation of a Solar Photovoltaic (PV) system that converts sunlight into conventional electricity at the Facility. The City subsequently solicited proposals for the installation and operation of the PV System and selected DeLiddo and Associates, dba DEERS (DEERS), which entered into a Power Purchase Agreement (Agreement) dated of May 27, 2005, with the City for the installation of a 600 kW capacity PV system. In 2007, the Agreement was assigned by DEERS to MMA LB Power, LP.
In February 2008, a thermal event occurred related to the PV system. The small fire that resulted damaged several of the solar panels and caused the PV system to be shut down for investigation and repair. In March 2009, the PV system was reactivated, but shortly thereafter (June 2009), it was again shut down as a precautionary measure in response to a thermal event that occurred on a similar PV system, operated by the system owner...
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