Board approves $25 million for solar installation

BY SARAH DE CRESCENZO
2009-11-12 21:02:28

Up to 15 acres of solar panels could be installed within city limits using bonds worth $25 million allocated to Porterville Unified School District for school facilities construction through the 2009 American Recovery and Reinvestment Act.
The funds allocated to PUSD are part of $700 million in Qualified School Construction Bonds available this year statewide.
A three-way partnership is currently in place between PUSD, Southern California Edison and the city of Porterville as the school district determines how to best sue the funds.
At a Thursday board meeting, PUSD trustees unanimously approved a resolution to authorize the issuance of Certificates of Participation with relation to the QSCB program by Dec. 31.
Superintendent John Snavely said the project, which may encompass three different solar sites, has the potential to be the "envy of the state."
According to assistant superintendent of business services Ken Gibbs, two out of the three tentative sites for solar installations have already been identified.
"It's good for the community to go as green as we can," Gibbs said.
The two school sites currently identified as potential candidates for solar installations are adjacent to Granite Hills High School and Porterville Adult School.
The third site has not been settled upon as of yet.
Snavely said the output of the installations could be from 2.5 to 7 megawatts, or potentially higher.
With only 2.5 megawatts, he estimated the district could potentially cover 40% of their current energy costs.
Were it to go about 100%, the district would be able to sell the extra power for a profit.
"There are real opportunities to help the finances of the district, " Gibbs said.
Gibbs cautioned the outcome of the partnership is contingent upon ongoing negotions with SCE.
"Especially in this economic climate, we don't want to spend this kind of money and not have it penciled out," he said.
According to Gibbs, the money will be used for school construction "one way or another," though the solar installation is currently the district's top choice.
QSCB funds must utilized for facility needs.
The money does not have to be repaid for 15 years, and the interest rate is likely to be extremely low.
Piper Jaffray Managing Director Jim Roth identified 2 percent as a "reasonable" interest rate for the COPs approved by the PUSD board for issuance.
Roth said the program was originally intended to have a zero percent interest rate, but "hasn't turned out that way."
City manager John Lollis confirmed the partnership with PUSD.
"We've been in conversation with them about potential locations for this development," he said.
Lollis said the installation would be the first photovoltaic project of such magnitude in the city.
The city has been involved in smaller solar installations, but "nothing to this extent," he said.
He said the city has been looking to "enhance the community" with alternative energy sources for some time now.
"We're pleased to be looking at something that furthers our community's entry into the green energy movement," Lollis said.
Southern California Edison region manager for local public affairs Cal Rossi said the potential installation is a facet of the company's efforts toward meeting the state of California's goal of having 33 percent renewable energy by 2020.
He said the approval of the PUSD trustees has paved the way for subsequent meetings to further the project negotiations.
"We've appreciated the interest of PUSD in renewable power," he added.
PUSD is one of two districts in Tulare County allocated QSCB funds in 2009.

--Contact Sarah de Crescenzo at 784-5000, Ext. 1045 or sdecrescenzo@portervillerecorder.com.