Title
Approval of Services Agreement No. AGR17-10 with Siemens Industry, Inc. in the amount of $311,000.00, plus Applicable Gross Receipts Tax, for the Purpose of Developing an Integrated Resource Plan and Approval of Related Budget Revision 2017-08
Recommended Action
I move that the Board of Public Utilities approve Services Agreement No. AGR17-10 with Siemens Industry, Inc., in a form acceptable to the County Attorney, in the amount of $311,000.00 and a contingency in the amount of $21,100.00, for a total of $332,100.00, plus applicable gross receipts tax, for the purpose of Development of an Integrated Resource Plan. I further move that the Board of Public Utilities approve the related Budget Revision No. 2017-08 in the amount of $132,100.00 and forward both to Council for approval.
Staff Recommendation
Staff recommends approval of the motion as presented.
Body
The County has partnered with DOE-LANL through the Electric Coordination Agreement (ECA) since 1985 to meet the electrical power needs of both parties. The current ECA expires June 30, 2025. This partnership is often referred to as the Los Alamos Power Pool (LAPP). Since 1985 the LAPP has developed and maintained a Power Supply Study, commonly referred to as an integrated resource plan, for planning purposes.
An integrated resource plan, or IRP, is a utility plan for meeting forecasted annual peak and energy demand, plus some established reserve margin, through a combination of supply-side and demand-side resources over a specified future period. IRPs compare the Levelized Cost of Electricity (LCOE) for generation resource options while also considering utility specific goals and objectives in the planning process.
While both Los Alamos County and Los Alamos National Laboratory believe it is beneficial to continue the ECA post 2025, a change in philosophy on generating assets will likely affect future agreements. Today, LANL and the County have different goals and objective to meet their ...
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