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HomeMy WebLinkAbout20242737RESOLUTION RE: APPROVE DECOMMISSIONING PLAN AND ACCEPT COLLATERAL FOR SITE SPECIFIC DEVELOPMENT PLAN AND USE BY SPECIAL REVIEW PERMIT, USR22-0024, FOR A SOLAR ENERGY FACILITY (SEF) OUTSIDE OF SUBDIVISIONS AND HISTORIC TOWNSITES IN THE A (AGRICULTURAL) ZONE DISTRICT - LYTLE FARMS, LLC, C/O SUNSHARE, LLC, DBA BECLEE SOLAR, LLC WHEREAS, the Board of County Commissioners of Weld County, Colorado, pursuant to Colorado statute and the Weld County Home Rule Charter, is vested with the authority of administering the affairs of Weld County, Colorado, and WHEREAS, on January 25, 2023, the Board of County Commissioners approved the application of Lytle Farms, LLC, 21417 County Road 66, Greeley, Colorado 80631, c/o SunShare, LLC, dba BecLee Solar, LLC, 1724 Gilpin Street, Denver, Colorado 80218, for a Site Specific Development Plan and Use by Special Review Permit, USR22-0024, for a Solar Energy Facility (SEF) outside of subdivisions and historic townsites in the A (Agricultural) Zone District, on the following described real estate, being more particularly described as follows: Lot B of Family Farm Division, FFD21-0008; being part of the E1/2 SW1/4 of Section 22, Township 6 North, Range 65 West of the 6th P.M., Weld County, Colorado WHEREAS, pursuant to Condition of Approval #5.A of the Resolution of USR22-0024, BecLee Solar, LLC, has presented the Board with a Decommissioning Plan for said USR, and requests the Board accept Surety Bond #SU 1198241-0000, insured through Atlantic Specialty Insurance Company, 605 Highway 169 North, Suite 800, Plymouth, Minnesota 55441, in the amount of $138,000.00, guaranteeing maintenance, replacement, removal, relocation, and/or reclamation of said solar energy facility, and WHEREAS, staff recommends approval of the Decommissioning Plan and acceptance of Surety Bond #SU 1198241-0000, since they comply with Section 23-4-1030.B of the Weld County Code and will satisfy Condition of Approval #5.A of the Resolution of USR22-0024. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, Colorado, that the Decommissioning Plan, be, and hereby is, approved and accepted. BE IT FURTHER RESOLVED by the Board of County Commissioners that Surety Bond #SU 1198241-0000, insured through Atlantic Specialty Insurance Company, 605 Highway 169 North, Suite 800, Plymouth, Minnesota 55441, in the amount of $138,000.00, guaranteeing maintenance, replacement, removal, relocation, and/or reclamation of said solar energy facility, as permitted and operated under USR22-0024, be, and hereby is, approved and accepted. 4989875 Pages: 1 of 2 10/23/2024 10:25 AM R Fee:$0.00 Carly Koppes, Clerk and Recorder, Weld County CO IIII �I�'� Ih�L�Vi�l hJilLli �l ILIAINkIefIYvh 1I II 1 cc :PL (ER/MW/bA/TriA/ KR/Mw/ca) lO/3ol2y 2024-2737 PL2846 DECOMMISSIONING PLAN AND ACCEPT COLLATERAL (USR22-0024) - LYTLE FARMS, LLC, C/O SUNSHARE, LLC, DBA BECLEE SOLAR, LLC PAGE 2 The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 16th day of October, A.D., 2024. BOARD OF COUNTY COMMISSIONERS ATTEST: .4Qej Weld County Clerk to the Board APP Deputy Clerk to the Board ounty A ney /0 Date of signature: _ 71 / 24 Lori Saine 4989875 Pages: 2 of 2 10/23/2024 10:25 AM R Fee:$0.00 Carly Koppes, Clerk and Recorder, Weld County CO VIII I ��li ,w�l'I4 i'I�Rk I: Iti'��i1��kL�t��i�r'S W�h 11111 WELD COUNTY, 7c Ross, Chair Freeman i 2024-2737 PL2846 BOARD OF COUNTY COMMISSIONERS PASS AROUND REVIEW PASS -AROUND TITLE: Surety Bond for a Solar Energy Facility (USR22-0024) DEPARTMENT: Planning Services DATE: 09/26/2024 PERSON REQUESTING: Diana Aungst Brief description of the problemlissue: Sunshare, LLC, dba BeeLee Solar, LLC, has submitted a Surety Bond for the Board of County Commissioner's consideration. The applicant submitted the decommissioning and reclamation plan for USR22-0024 Solar Energy Facility. USR22-0024 was conditionally approved by the Board of County Commissioners on January 25, 2023. The Surety Bond (#SU 1198241-0000) meets the intent of Condition of Approval #5.A of the resolution. The Surety Bond meets the requirements of Section 23-4-1030.B.4 of the Weld County Code. What options exist for the Board? 1. Do not approve the Surety Bond. 2. Approve the Surety Bond. Consequences: Consequence of not approving/accepting the surety - the County won't have collateral in the event that the operator fails to follow through with reclamation. Taxpayers will be on the hook to remove solar equipment and reclaim the property. Impacts: Unknown Costs (Current Fiscal Year / Ongoing or Subsequent Fiscal Years): Unknown Recommendation: Staff recommends that the Board approve the Surety Bond because it meets the requirements of Section 23-4- 1030.6.4 of the Weld County Code and staff has accepted the related decommissioning/reclamation plan. If the surety bond is approved by the Board of County Commissioners it will satisfy Condition of Approval #5.A. of the resolution. Support Recommendation Schedule Place on BOCC Agenda Work Session Other/Comments: Perry L. Buck, Pro-Tem Mike Freeman Scott K. James Kevin D. Ross, Chair Lori Seine mf 2024-2737 0/IV) PL2$`-kb Jessica Reid From: Sent: To: Cc: Subject: Attachments: Karla Ford Thursday, October 3, 2024 7:55 AM Michelle Wall Cheryl Pattelli; Jill Scott; Esther Gesick; Chloe White; Jan Warwick; Jessica Reid; Cheryl Hoffman; Diana Aungst; Maxwell Nader; Elizabeth Relford RE: Pass -Around USR22-0024 Decommissioning Bond Review 9.26.24 Surety Bond Solar Energy Facility - USR22-0024.pdf Four of the five commissioners support the recommendation to put this item on the agenda, if needed. Commissioner Saine did not respond. You may move forward with four. Original coming back through interoffice mail. Thank you Karla Ford R Office Manager, Board of Weld County Commissioners 1150 O Street, P.O. Box 758, Greeley, Colorado 80632 :: 970.336-7204 :: kford@weld.gov :: www.weldgov.com **Please note my working hours are Monday -Thursday 7:00a.m.-4:00p.m.° Confidentiality Notice: This electronic transmission and any attached documents or other writings are intended only for the person or entity to which it is addressed and may contain information that is privileged, confidential or otherwise protected from disclosure. If you have received this communication in error, please immediately notify sender by return e-mail and destroy the communication. Any disclosure, copying, distribution or the taking of any action concerning the contents of this communication or any attachments by anyone other than the named recipient is strictly prohibited. From: Michelle Wall <mwall@weld.gov> Sent: Wednesday, October 2, 2024 8:49 AM To: Karla Ford <kford@weld.gov> Cc: Cheryl Pattelli <cpattelli@weld.gov>; Jill Scott <jscott@weld.gov>; Esther Gesick <egesick@weld.gov>; Chloe White <cwhite@weld.gov>; Jan Warwick <jwarwick@weld.gov>; Jessica Reid <jreid@weld.gov>; Cheryl Hoffman <choffman@weld.gov>; Diana Aungst <daungst@weld.gov>; Maxwell Nader <mnader@weld.gov> Subject: Pass -Around USR22-0024 Decommissioning Bond Review Importance: High Good morning, The entire pass -around packet for the Commissioner's to sign is attached. Cheryl: If you could please provide hearing dates for the applicant to consider for this hearing. They would like to have this completed ASAP. Diana is available on October 9th, le or 16th. Thank you, Weld County Planning Department 1402 North 17th Avenue Greeley CO 80631 Ph: 970.400.3531 Fx: 970.304.6498 mwall@weldgov.com OOB Confidentiality Notice: This electronic transmission and any attached documents or other writings are intended only for the person or entity to which it is addressed and may contain information that is privileged, confidential or otherwise protected from disclosure. If you have received this communication in error, please immediately notify sender by return e-mail and destroy the communication. Any disclosure, copying, distribution or the taking of any action concerning the contents of this communication or any attachments by anyone other than the named recipient is strictly prohibited. 2 SURETY BOND C Cop\D BOND NUMBER SU 1198241-0000 KNOW ALL MEN BY THESE PRESENTS, that BecLee Solar, LLC, as Principal, and Atlantic Specialty Insurance Company, a corporation duly organized under the laws of the State of Ohio, as Surety, are held and firmly bound unto The Board of County Commissioners of Weld County, Colorado , as Obligee in the sum of $138,000.00 lawful money of the United States, for payment of which, well and truly to be made, we bind ourselves, our heirs, executors, administrators, successors and assigns, jointly and severally, firmly by these presents, the liability of the Surety being limited to the penal sum of this bond regardless of the number of years the bond is in effect. WHEREAS, the Principal has entered into a written agreement with the Obligee for the placement of a solar energy facility comprised of solar energy collection cells/panels and related facilities necessary to harness sunlight for energy generation and distribution and associated support structure, braces, racking, wiring and related interconnection equipment which agreement sets forth the terms and conditions which govern the use of such Permit USR22-0024 and which agreement is hereby specifically referred to and made part hereof as Exhibit A ("Resolution"), and WHEREAS, Weld County requires the submission of a bond guaranteeing the maintenance, replacement, removal or relocation of said solar energy facility located at BecLee Solar LLC - 21417 CR, Greely, CO 80631, Weld County, CO and as further detailed in the revised Decommissioning Plan, attached as Exhibit B. NOW THEREFORE, the condition of this obligation is such, that if the above bounden Principal shall perform in accordance with the aforesaid Township Resolution and indemnify the Obligee against all loss caused by Principal's breach of any ordinance or agreement relating to maintenance, replacement, removal or relocation of side solar energy facility, then this obligation shall be void, otherwise to remain in full force and effect unless cancelled as set forth below. Whereas, the Obligee has agreed to accept this Bond, this Bond shall be effective for the definite period of September 10, 2024 to September 10, 2025. THIS BOND shall automatically renew for successive one-year terms unless, at least forty-five (45) days prior to the next annual renewal date (which shall be December 31 of each calendar year), the Surety delivers written notice to Principal and to Obligee, or Principal delivers written notice to Surety and Obligee, that the notice -sender seeks to modify the terms of, or cancel, this bond. Written notice is effective if delivered to, or sent by certified mail, postage prepaid, and deposited in the U.S. Mail, at least forty-five (45) days prior to the next annual renewal date addressed to the Principal or Surety, as the case may be. and to the Obligee requiring bond, as outlined in the notice section of this Bond, and is actually received by the Principal or Surety, as the case may be, and the Obligee at least thirty (30) days prior to the renewal date. However, neither: (a) the Surety's decision to cancel, nor (b) the failure or inability of the Principal to file a replacement bond or other security in the event the Surety exercises its right to cancel this Bond, shall itself constitute a loss to the Obligee recoverable under this Bond or any extension thereof. NOTICE: Principal: BecLee Solar, LLC 1724 Gilpin Street Denver, Colorado 80218 Surety: Atlantic Specialty Insurance Company 605 Highway 169 North, Suite 800 Plymouth, MN 55441 Obligee: The Board of County Commissioners of Weld County 1555 N 17th Avenue Greeley, CO 80631 THIS BOND is signed, sealed, dated on the 10th day of September, 2024. This bond is effective the 10th day of September, 2024. BecLee Solar, LLC By: C sev. Atlantic Specialty Insurance Company is Hernande ., At rney-in-Fact [intact] INSURANCE Power of Attorney KNOW ALL MEN BY THESE PRESENTS, that ATLANTIC SPECIALTY INSURANCE COMPANY, a New York corporation with its principal office in Plymouth, Minnesota, does hereby constitute and appoint: John L Habit, Nathan Wonder, Senfa Hernandez, Jack Meikle, each individually if there be more than one named, its true and lawful Attorney -in -Fact, to make, execute, seal and deliver, for and on iu behalf as surety, any and all bonds, recognizances, contracts of indemnity, and all other writings obligatory in the nature thereof; provided that no bond or undertaking executed under this authority shall exceed in amount the sum of: unlimited and the execution of such bonds, tecogntrances, contracts of indemnity, and all other writings obligatory in the nature thereof fn pursuance of these presents, shall be as binding upon said Company as if they had been fully signed by an authorized officer of the gompany and sealed with the Company seal. This Power of Attorney is made and executed by authority of the following resolutions adopted by the Board of Directors of ATLANTIC SPECIALTY INSURANCE COMPANY on the twenty-fifth day of September, 2012: Resolved: That the President, any Senior Vice President or Vice -President (each an "Authorized Officer") may execute for and in behalf of the Company any and all bonds, recogr.ances, contracts of indemnity, and all other writings obligatory in the nature thereof, and affix the seal of the Company thereto; and that the Authorized Officer may appoint and authorize an Attorney -in -Fact to execute on behalf of the Company any and all such instruments and to affix the Company seal thereto; and that the Authorized Officer may at any time remove any such Attorney -m -Fact and revoke all power and authority given to any such Attorney -in - Fact Resolved: That the Attorney -in -Fact may be given full power and authority to execute for and in the name and on behalf of the Company any and all bonds, recogt.ances, contracts of indemnity, and all other writings obligatory in the nature thereof, and any such instrument executed by any such Attorney -in -Fact shall be as binding upon the Company as if signed and sealed by an Authorized Officer and, further, the Attorney -in -Fact is hereby authorized to verify any affidavit required to be attached to bonds, recognizances, contracts of indemnity, and all other writings obligatory fn the nature thereof. This power of attorney is signed and sealed by facsimile under the authority of the following Resolution adopted by the Board of Directors of ATLANTIC SPECIALTY INSURANCE COMPANY on the twenty-fifth day of September, 2012: Resolved: That the signature of an Authorized Officer, the signature of the Secretary or the Assistant Secretary, and the Company seal may be affixed by facsimile to any power of attorney or to any certificate relating thereto appointing an Attorney -in -Fact for purposes only of executing and seaWug any bond, undertakhng, recognizance or other written obligation in the nature thereof, and any such signature and seal where so used, being hereby adopted by the Company as the original signature of such officer and the original seal of the Company, to be valid and binding upon the Company with the same force and effect as though manually affixed. IN WITNESS WHEREOF, ATLANTIC SPECIALTY INSURANCE COMPANY has caused these presents to be signed by an Authorized Officer and the seal of the Company to be affixed this twenty-seventh day of April, 2020. By STATE OF MINNESOTA HENNEPIN COUNTY fin" — Paul J. Brehm, Senior Vice President On this twenty-seventh day of April, 2020, before me personally came Paul J. Brehm, Senior Vice President of ATLANTIC SPECIALTY INSURANCE COMPANY, to me personally known to be the individual and officer described in and who executed the preceding instmment, and he acknowledged the execution of the same, and being by me duly swam, that he Is the said officer of the Company aforesaid, and that the seal affixed to the preceding instrument is the seal of said Company and that the said seal and the signature as such officer was duly affixed and subscribed to the said instrument by the authority and at the direction of the Company. ALISON DWAN NASH-TROUT NOTARY POIeLOC -MINNESOTA I' My Commission Expires `f:�, L� January 31, 2026 Notary Public I, the undersigned, Secretary of ATLANTIC SPECIALTY INSURANCE COMPANY, a New York Corporation, do hereby certify that the foregoing power of attorney is fn full force and has not been revoked, and the resolutions set forth above are now in force. day of September 2024. Signed and sealed. Dated 10th This Power of Attorney expires January 31, 2025 , ,,SP 0R,tTFn% SEAL ^e 1986 0 FS Kara Barrow, Seaetary Please direct bond verifications to siirsty@intartinsuranrn.cont Decommissioning/Reclamation Plan Fora USR Permit BecLee Solar LLC In Compliance with: (Section 23-4-1030 B of the Weld County Code) Case Number: USR Permit Lytle Farms LLC (Parcel ID No. 080322300023) Prepared for: Weld County Department of Planning Services 1555 North 17th Avenue Greeley, CO 80631 Prepared by: SunShare, LLC Denver, Colorado JIB; IL ''1§!MSNre ��� i.o Overview As a condition of approval for the Site -Specific Development Plan and Use by Special Review Permit, Weld County required that SunShare prepare a Decommissioning/Reclamation Plan for the solar facility, that is to be reviewed and approved by the Weld County Department of Planning Services. The intent of this Decommissioning/Reclamation Plan is to provide a comprehensive plan for removal of the solar facility after its useful life and/or the termination of power generation operations; and to return the subject property to conditions that existed prior to the solar facility's construction. The solar power generation facility has an estimated useful life of 3o years or more, with an opportunity for a life of so years or more with equipment replacement and repowering. At the end of the useful life of the facility, SunShare will cease power generation, decommission the facility, and remove the components of the facility from the subject property. The site will be reclaimed and returned to the agricultural use that existed prior to the facility being constructed. This Decommissioning/Reclamation Plan is subject to refinement should future best practices or alternate methods be developed by the solar industry, during the life of this facility. SunShare will follow solar industry standards and best management practices (BMPs) that exist at the time of decommissioning and reclamation of the site. 1..1. Procedures for Decommissioning the Solar Facility After Useful Life & Termination of Power Generation The solar facility consists of numerous recyclable materials, including glass, semiconductor material, steel, aluminum, copper, and plastics. When the facility reaches the end of its operational life, the component parts can be dismantled, and for the most part, salvaged or recycled at properly licensed facilities. Some site features, such as internal roads, driveways, drainage features/improvements, and electrical interconnections may remain on the site, depending upon the anticipated future use of the property. All such improvements, that are scheduled to remain after the decommissioning of the site, will be approved by the Weld County Department of Planning Services. The following steps will be followed in the decommissioning of the solar facility: Approximately one year prior to the planned decommissioning of the facility, SunShare will schedule a pre -closure meeting with the Weld County Department of Planning Services to discuss the process for the site decommissioning and restoration. The final decommissioning details will be developed through consultation with the Weld County Department of Planning Services and other departments and agencies that have jurisdiction over activities in the decommissioning process. Any required permits will be obtained prior to implementation of the Decommissioning/Reclamation Plan. Appropriate temporary (construction -related) erosion and sedimentation control BMPs will be applied during the decommissioning phase of the project. The BMPs will be inspected on a regular basis to ensure proper functionality. Effectively, the decommissioning of the solar facility proceeds in reverse order of the installation: 1. A site -specific health and safety plan shall be developed, prior to beginning decommissioning activities, which incorporates the specific sequence and procedures to be followed. 2. Coordination with local departments and agencies to develop route plans and obtain necessary permits for the transportation of materials and equipment to and from the site. 3. The solar facility shall be disconnected from the utility grid. This process will be coordinated with Xcel Energy. 4. PV modules shall be disconnected, collected and transported to a properly licensed recycling facility. 5. Above ground and underground electrical interconnection and distribution cabling shall be removed and salvaged or recycled off -site at an approved recycling facility. 6. The aluminum racking that supports the PV modules shall be removed and salvaged or recycled off -site at an approved recycling facility. 7. PV module support steel and support posts shall be removed and salvaged or recycled off -site at an approved recycling facility. 8. Electrical and electronic devices, including transformers, semiconductors materials, inverters, and batteries, shall be removed and salvaged or recycled off -site at an approved recycling facility. 9. Concrete foundations shall be removed and will be recycled off -site at an approved concrete recycling facility. io. Fencing shall be removed and will be recycled off -site at an approved recycling facility. ii. The site will be restored to its original condition, including any necessary sculpting of soils to match existing natural contours and the re -seeding of native grasses. Any soil that had been re -located for construction purposes will be redistributed on the site or used for landscaping purposes. Soils will be compacted for those areas where foundations or piers have been removed. 1.2 Equipment to be Used for the Decommissioning of the Solar Facility The decommissioning of the solar facility will be undertaken using traditional heavy construction equipment, including front-end loaders, bull dozers, cranes, excavators (track - mounted and rubber -tired), water tankers, trucks, and pick-ups. Semi -trucks will be used to transport materials to off -site salvage or recycle centers. 1.3 Dust Mitigation During the Decommissioning Phase Water tankers will be used to help control dust while the decommissioning activities are occurring on the site. During the decommissioning of the facility, SunShare will exercise BMPs to limit fugitive dust from being airborne and traveling beyond the property lines. Dust control efforts will be monitored by the site foreman on a regular basis to ensure fugitive dust is adequately controlled. Water spray will be applied, as needed, to unpaved areas during periods of dry weather. Care will be taken not to over -apply water and create mud. Vehicle tracking devices will be installed at truck exit drives, per the requirements of Weld County. Vehicles operating on the site during the decommissioning phase will limit their speed to 1.5 mph or less, to minimize dust emissions. 1.4 Decommissioning/Reclamation Cost Estimates Decommissioning/reclamation cost estimates, which shall be updated every five (5) years from the establishment and submittal of the Security, shall include all costs associated with the dismantlement, recycling, and safe disposal of facility components and site reclamation activities, including the following elements: Decommissioning: Fencing Structures Modules Electrical Site Restoration $3,000.00 $6o,000.00 $30,000.00 $20,000.00 $25,000.00 Total Clarifications — Inclusions and Exclusions $1.38,005 Go - 1. Based on project drawings provided. 2. Includes the specified appropriate project management and mobilization to adhere to the project schedule. 3. Breakouts provided for accounting purposes only. 4. All work is to be done in a single phase. 5. Includes recycling of steel, aluminum, modules and copper. 6. Includes restoration of the site back to like conditions before the solar array was installed. Scope specifically includes: 1. Electrical permit fees included. 2. Removal and disposal of game fence. 3. Removal of racking support structure and foundations. 4. Module removal, package and recycle. 5. Removal of electrical distribution equipment, transformers and electrical equipment pads. 6. Removal of electrical DC string wiring and AC underground. 7. Site restoration. 8. Safety and protection as required. 9. Waste disposal fees and containers. 10. Temporary Restrooms and site facilities for workers. Specifically excludes: 1. Payment and Performance Bond. 2. All utility specific tie in work to disconnect the site outside of property. 3. Engineering, fees, errors, omissions additional design intent not clearly delivered or identified on the referenced drawings. 4. Import or export of soils. 1.5 Financial Assurance to Cover the Decommissioning of the Solar Facility In the Board of County Commissioners' Resolution dated TBD , 2022, the Board requires SunShare, LLC to provide financial assurance to the County in the form of a surety bond, in an amount established by the Director of the Department of Planning Services, to ensure proper decommissioning of the facility. The surety bond is to name the Board of County Commissioners of Weld County as beneficiary and be current and active at all time during the life of the permit. The required surety bond will be provided as part of this Decommissioning/Reclamation Plan. Weld County shall have the right to draw upon the irrevocable standby letter of credit, or other form of financial security, to pay for decommissioning in the event that the holder has not commenced decommissioning/reclamation activities within ninety (9O) days of the Board of County Commissioners' order or resolution directing decommissioning/reclamation. 11 7-7 it NOT FOR CONSTRUCTION C - t E5 Hello