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HomeMy WebLinkAboutAPPLICATION - Levelock Rnd 15 Signed ApplicationRenewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 1 of 31 10/04/2022 Application Forms and Instructions This instruction page and the following grant application constitutes the Gr ant Application Form for Round 15 of the Renewable Energy Fund (REF). A separate application form is available for projects with a primary purpose of producing heat (see Request for Applications (RFA) Section 1.5). This is the standard form for all other projects, including projects that will produce heat and electricity. An electronic version of the RFA and both application forms is available online at: https://www.akenergyauthority.org/What-We-Do/Grants-Loans/Renewable-Energy-Fund/2022- REF-Application. What follows are some basic information and instructions for this application: • If you are applying for grants for more than one project, provide separate application forms for each project. • Multiple phases (e.g. final design, construction) for the same project may be submitted as one application. • If you are applying for grant funding for more than one phase of a project, provide milestones and grant budget for each phase of the project (see Sections 3.1 and 3.2.2). • In order to ensure that grants provide sufficient benefit to the public, AEA may limit recommendations for grants to preliminary development phases in accordance with 3 Alaska Administrative Code (ACC) 107.605(1). • If some work has already been completed on your project and you are requesting funding for an advanced phase, submit information sufficient to demonstrate that the preceding phases are completed and funding for an advanced phase is warranted . Supporting documentation may include, but is not limite d to, reports, conceptual or final designs, models, photos, maps, proof of site control, utility agreements, business and operation plans, power sale agreements, relevant data sets, and other materials. Please provide a list of supporting documents in Section 11 of this application and attach the documents to your application. • If you have additional information or reports you would like the Authority to consider in reviewing your application, either provide an electronic version of the document with your submission or reference a web link where it can be downloaded or reviewed. Please provide a list of additional information; including any web links, in Section 12 of this application and attach the documents to your application. For guidance on application best practices please refer to the resource-specific Best Practices Checklists; links to the checklists can be found in the appendices list at the end of the accompanying REF Round 15 RFA. • In the Sections below, please enter responses in the spaces provided. You may add additional rows or space to the form to provide sufficient space for the information, or attach additional sheets if needed. • If you need assistance with your application, please contact AEA’s Grants Coordinator by email at grants@akenergyauthority.org or by phone at (907) 771-3081. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 2 of 31 10/04/2022 REMINDER: • AEA is subject to the Public Records Act AS 40.25, and materials submitted to AEA may be subject to disclosure requirements under the act if no statutory exemptions apply. • All applications received will be posted on the Authority web site after final recomme ndations are made to the legislature. Please submit resumes as separate PDFs if the applicant would like those excluded from the web posting of this application. • In accordance with 3 AAC 107.630 (b) Applicants may request trade secrets or proprietary company data be kept confidential subject to review and approval by AEA. If you want information to be kept confidential the applicant must: o Request the information be kept confidential. o Clearly identify the information that is the trade secret or proprietary in their application. o Receive concurrence from the Authority that the information will be kept confidential. If the Authority determines it is not confidential , it will be treated as a public record in accordance with AS 40.25 or returned to the applicant upon request. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 3 of 31 10/04/2022 SECTION 1 – APPLICANT INFORMATION Please specify the legal grantee that will own, operate, and maintain the project upon completion . Name (Name of utility, IPP, local government, or other government entity) Levelock Village Council Tax ID # 92-0074206 Date of last financial statement audit: Mailing Address: Physical Address: Box 70 401 Main Street Levelock, AK Levelock, AK 99625-0070 99624 Telephone: Fax: Email: 907-287-3030 907-287-3032 <levelockadmin@bbna.com> 1.1 Applicant Point of Contact / Grants Coordinator Name: Alexander Tallekpalek Title: Tribal Council President Mailing Address: Same as Above Telephone: Fax: Email: 907-287-3030/ 907-287-6187 907-287-3032 1.1.1 Applicant Signatory Authority Contact Information Name: Alexander Tallekpalek Title: Tribal Council President Mailing Address: Same as above Telephone: Fax: Email: Same as above 1.1.2 Applicant Alternate Points of Contact Name Telephone: Fax: Email: None at this time Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 4 of 31 10/04/2022 1.2 Applicant Minimum Requirements Please check as appropriate. If applicants do not meet the minimum requirements, the application will be rejected. 1.2.1 Applicant Type ☐ An electric utility holding a certificate of public convenience and necessity under AS 42.05 CPCN #______, or ☐ An independent power producer in accordance with 3 AAC 107.695 (a) (1) CPCN #______, or ☐ A local government, or ☒ A governmental entity (which includes tribal councils and housing authorities) Additional minimum requirements ☒ 1.2.2 Attached to this application is formal approval and endorsement for the project by the applicant’s board of directors, executive management, or other governing authority. If the applicant is a collaborative grouping, a formal approval from each participant’s gover ning authority is necessary. (Indicate yes by checking the box) ☒ 1.2.3 As an applicant, we have administrative and financial management systems and follow procurement standards that comply with the standards set forth in the grant agreement (Section 3 of the RFA). (Indicate yes by checking the box) ☒ 1.2.4 If awarded the grant, we can comply with all terms and conditions of the award as identified in the Standard Grant Agreement template at https://www.akenergyauthority.org/What-We-Do/Grants-Loans/Renewable-Energy- Fund/2022-REF-Application (Any exceptions should be clearly noted and submitted with the application.) (Indicate yes by checking the box) ☒ 1.2.5 We intend to own and operate any project that may be constructed with grant funds for the benefit of the general public. If no please describe the nature of the project and who will be the primary beneficiaries. (Indicate yes by checking the box) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 5 of 31 10/04/2022 SECTION 2 – PROJECT SUMMARY 2.1 Project Title Provide a 4 to 7 word title for your project. Type in the space below. Levelock Feasibility and Conceptual Design 2.2 Project Location 2.2.1 Location of Project – Latitude and longitude (preferred), street address, or community name. Latitude and longitude coordinates may be obtained from Google Maps by finding you project’s location on the map and then right clicking with the mouse and selecting “What is here? The coordinates will be displayed in the Google search window above the map in a format as follows: 61.195676.-149.898663. If you would like a ssistance obtaining this information , please contact AEA’s Grants Coordinator by email at grants@akenergyauthority.org or by phone at (907) 771- 3081. Latitude <59°6′37″N 156°51′31″W (59.110141> Longitude 156051'3"W (- 156.858684) [Other description of location] Levelock sits on the west bank of the Kvichak River, 18 miles (29 km) north of its mouth at Kvichak Bayand 47 miles (76 km) by river southwest (downstream) from Igiugig at the outlet of Iliamna Lake. According to the United States Census Bureau, the Levelock CDP has a total area of 12.1 square miles (31.3 km), all of it land. 2.2.2 Community benefiting – Name(s) of the community or communities that will be the beneficiaries of the project. Levelock, AK 2.3 Project Type Please check as appropriate. 2.3.1 Renewable Resource Type ☒ Wind ☐ Biomass or Biofuels (excluding heat-only) ☐ Hydro, Including Run of River ☐ Hydrokinetic ☐ Geothermal, Excluding Heat Pumps ☐ Transmission of Renewable Energy ☒ Solar Photovoltaic ☒ Storage of Renewable ☐ Other (Describe) ☐ Small Natural Gas Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 6 of 31 10/04/2022 2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply) Pre-Construction Construction ☐ Reconnaissance ☐ Final Design and Permitting ☒ Feasibility and Conceptual Design ☐ Construction Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 7 of 31 10/04/2022 2.4 Project Description Provide a brief, one-paragraph description of the proposed project. As the wind assessment is completed, our community has generally selected a potential wind site, and is considering different configurations and sites for community solar installations. Our community members and leaders are ready to develop local renewable energy resources to reduce dependence on fossil fuels. Funds are being requests from AEA – REF to determine the feasibility and options for a community based plan. Our goals are to reduce energy costs, reduce dependence on fossil fuels, and of course building, operating, and maintaining a sustainable project are all met. We have determined that wind combined with solar and energy storage has potential to meet all of our goals. An initial goal for the feasibility project is to create an option for development of a hybrid energy system that could displace up to 40% of the fuel used for power generation and 20% of the diesel fuel used for heating. The Feasibility Study and Conceptual Design are needed to determine the technical options, site conditions, constructability, issues related to sustainable system operations, and management and economics. 2.5 Scope of Work Provide a short narrative for the scope of work detailing the tasks to be performed under this funding request. This should include work paid for by grant funds and matching funds or performed as in-kind match. Final Feasibility Study and Conceptual Design Report will provide a detailed evaluation of the technical options, economic impacts, and operational and project development viability. The final report will address all tasks related to available resources, project location and siting details, market analysis, load profiling, preliminary grid impacts and system upgrades required, as well as site plans, geotechnical findings/issues, resource production targets, draft operations and management plans, identification of site control and regulatory issues. The Feasibility Study and Conceptual Design Report will provide documentation and project descriptions which can serve as a basis for further project development such as permitting, construction and operations. Levelock is able to contribute in-kind match for housing and transportation for contractors when they are on site/in the community. Please see the budget. 2.6 Previous REF Applications for the Project See Section 1.15 of the RFA for the maximum per project cumulative grant award amount Round Submitted Title of application Application #, if known Did you receive a grant? Y/N Amount of REF grant awarded ($) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 8 of 31 10/04/2022 SECTION 3 – Project Management, Development, and Operation 3.1 Schedule and Milestones Please fill out the schedule below (or attach a similar sheet) for the work covered by this funding request. Be sure to identify key tasks and decision points, including go/no go decisions, in your project along with estimated start and end dates for each of the milestones and tasks. Please clearly identify the beginning and ending of all phases (I. Reconnaissance, II. Feasibility and Conceptual Design, III. Final Design and Permitting, and IV. Construction) of your proposed project. See the RFA, Sections 2.3-2.6 for the recommended milestones for each phase. Add additional rows as needed. Task # Milestones Tasks Start Date End Date Deliverables 1 Project scoping: Establish the basis for developing a wind-solar-battery project. Description of project economic objectives relative to history and trends of community energy use and development. Collect information about community – people and population, energy use and production trends, site conditions, initial studies, examination of historical operations, powerhouse, and distribution infrastructure – equipment and services, near term and long-term development plans, and market issues that can affect the potential project Within 1 month of start date Within 4 months of start date Scoping Report - Status of the power system - Resource evaluation - Market context for wind and solar and battery development Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 9 of 31 10/04/2022 2 Develop preliminary project description: Describe how the renewable project meets the community’s goals Develop technical project descriptions for: -Scope -Performance targets – -Budget considerations -Possible options Within 1 month of start date Within 4 months of start date Preliminary Project Report -Environmental -Siting -Land ownership issues -Project size and scope -Operational, financial and development restrictions or constraints 3 On-site data collection: To identify condition and characteristics of the existing energy system and the readiness of the community and energy system for renewable development Install onsite monitoring equipment at the powerhouse to evaluate relative wind speed solar insolation temperature electrical load. Coordinate data with available geotechnical engineering data to evaluate soils for wind turbine engineering requirements Within 2 months Within 6 months Current Power System Report - Powerplant equipment -Preliminary Grid and site map - Summary monitoring report correlating electrical load, temperature, relative wind speed and solar insolation - Preliminary soil evaluation 4 Develop and evaluate proposed options Options that advance renewable heat, power, and local transportation For each option describe: -Proposed equipment -Siting -Readiness of utility and power system to accept renewable integration -Sustainability to operate system -Initial consultations with environmental regulatory agencies -Identify needed improvements to existing power system Within 4 months Within 12 months Options Analysis and Development Report -Proposed project scope -Initial system designs -Project benefits -Budgets -Preferred site and specific project design to meet the fuel displacement and operational goals of the community Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 10 of 31 10/04/2022 5 Detailed evaluation of technical options, economic impacts, and operational and project development viability to identify option that best meets the community’s most feasible alternative Documentation for: -Available resources -Project location and siting details -Market analysis -Load profiling -Preliminary Grid impacts -System upgrades required Within 6 months Within 15 months Final Feasibility Analysis and Conceptual Design Report Detail most feasible alternative/option: -Resource -Load -Market assessments -Financial and operation viability -site plans -Geotechnical findings/issues -Resource production targets -Draft operations and management plans identify site control and regulatory issues Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 11 of 31 10/04/2022 3.2 Budget 3.2.1 Funding Sources Indicate the funding sources for the phase(s) of the project applied for in this funding request. Grant funds requested in this application $197,000 Cash match to be provideda $ In-kind match to be provideda $ 9,000 Energy efficiency match providedb $ Total costs for project phase(s) covered in application (sum of above) $206,000 Describe your financial commitment to the project and the source(s) of match. Indicate whether these matching funds are secured or pending future approvals. Describe the impact, if any, that the timing of additional funds would have on the ability to proceed with the grant. Levelock is providing in-kind match for housing and transportation when the contractor(s) need to be on-site. a Attach documentation for proof (see Section 1.18 of the Request for Applications) b See Section 8.2 of this application and Section 1.18 of the RFA for requirements for Energy Efficiency Match. 3.2.2 Cost Overruns Describe the plan to cover potential cost increases or shortfalls in funding. The contractor has committed to a fixed amount for the Feasibility Study & Conceptual Design Report. 3.2.3 Total Project Costs Indicate the anticipated total cost by phase of the project (including all funding sources). Use actual costs for completed phases. Indicate if the costs were actual or estimated. Reconnaissance [Actual/Estimated] $ Feasibility and Conceptual Design [Actual/Estimated] $206,000 Final Design and Permitting [Actual/Estimated] $ Construction [Actual/Estimated] $ Total Project Costs (sum of above) Estimated $ Metering/Tracking Equipment [not included in project cost] Estimated $ 3.2.4 Funding Subsequent Phases If subsequent phases are required beyond the phases being applied for in this application, describe the anticipated source s of funding and the likelihood of receipt of those funds . • State and/or federal grants • Loans, bonds, or other financing options • Additional incentives (i.e. tax credits) • Additional revenue streams (i.e. green tag sales or other renewable energy subsidies or programs that might be available) Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 12 of 31 10/04/2022 3.2.3 Budget Forms Applications MUST include a separate worksheet for each project phase that was identified in Section 2.3.2 of this application — I. Reconnaissance, II. Feasibility and Conceptual Design, III. Final Design and Permitting, and IV. Construction. Please use the tables provided below to detail your proposed project’s total budget. Be sure to use one table for each phase of your project, and delete any unnecessary tables. The milestones and tasks should match those listed in 3.1 above. If you have any question regarding how to prepare these tables or if you need assistance preparing the application please feel free to contact AEA’s Grants Coordinator by email at grants@akenergyauthority.org or by phone at (907) 771-3081. Phase 2 — Feasibility and Conceptual Design Milestone or Task Anticipated Completion Date RE- Fund Grant Funds Grantee Matching Funds Source of Matching Funds: Cash/In- kind/Federal Grants/Other State Grants/Other TOTALS (List milestones based on phase and type of project. See Sections 2.3 thru 2.6 of the RFA ) $ $ $ 1 -Project scoping $28,000 $ $28,000 2 - Develop preliminary project description $32,000 $ $32,000 3 - On-site data collection $44,000 $3,500 $47,500 4 - Develop and evaluate proposed options $46,000 $3,500 $49,500 5 - Detailed evaluation of technical options $47,000 $2,000 $49,000 $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ TOTALS $ $ $206,000 Budget Categories: Direct Labor & Benefits $ $ $ Travel & Per Diem $ $9,000 $ 9,000 Equipment $ $ $ Materials & Supplies $ $ $ Contractual Services $197,000 $ $197,000 Construction Services $ $ $ Other $ $ $ TOTALS $ $ $206,000 Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 13 of 31 10/04/2022 3.2.4 Cost Justification Indicate the source(s) of the cost estimates used for the project budget, including costs for future phases not included in this application. Cost Quote from experienced contractor. 3.3 Project Communications 3.3.1 Project Progress Reporting Describe how you plan to monitor the progress of the project and keep AEA informed of the status. Who will be responsible for tracking the progress? What tools and methods will be used to track progress? The contractor will provide on-going reports to Levelock, based on milestones and deliverables. Levelock will then provide those deliverables to AEA with a request for cost reimbursement. Our selected contractor has worked has experience working with communities that have received AEA-REF grants and understands AEA-REF’s reporting requirements. 3.3.2 Financial Reporting Describe the controls that will be utilized to ensure that only costs that are reasonable, ordinary and necessary will be allocated to this project. Also discuss the controls in place that will ensure that no expenses for overhead, or any other unallowable costs w ill be requested for reimbursement from the REF Grant Program. The contractor will provide invoices based on milestones/deliverables to Levelock, and we will then provide those deliverables to AEA with a request for cost reimbursement. Only contractor’s cost will be requested from the REF Grant Program. Pati Crofut, an independent grant administrator, accountant, consultant, and trainer, will also support our efforts. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 14 of 31 10/04/2022 SECTION 4 – QUALIFICATIONS AND EXPERIENCE 4.1 Project Team Include resumes for known key personnel and contractors, including all functions below, as an attachment to your application. In the electronic submittal, please submit resumes as separate PDFs if the applicant would like those excluded from the web postin g of this application. 4.1.1 Project Manager Indicate who will be managing the project for the Grantee and include contact information. If the applicant does not have a project manager indicate how you intend to solicit project management support. If the applicant expects project management assistance from AEA or another government entity, state that in this section. Tony D’Aoust (Lead Project Manager and Assessment Specialist) Is responsible for all Milestones being accomplished. For over 20 years Tony has specialized in remote solar and battery installations and operations, primarily aboard marine research vessels deployed for 3-6 months at a time. Deciding to transfer these skills and capabilities to remote communities, Tony is supporting these communities’ efforts to increase their sustainability by reducing dependence on diesel fuel. His work includes the first ever installation of Alaska’s coastal remote powered autonomous HF radar system; this design was later incorporated into similar Antarctica deployment. In addition to being well-versed in remote renewable energy systems, he has substantial experience working with research teams from universities and federal agencies requiring detailed documentation of the projects for whic h he is responsible. Tony will lead the IES team to coordinate feasibility and conceptual design activities by drawing on experience with over 20 years of experience in remote Alaska. IES intends to establish the same level of on-going commitment to Napaskiak as it has to other remote, rural communities in Alaska. (Milestone Tasks 1-5 and Associated Tasks) 4.1.2 Project Accountant Indicate who will be performing the accounting of this project for the grantee. If the applicant does not have a project accountant indicate how you intend to soli cit financial accounting support. Pati Crofut (Grants Manager), Highly experienced rural utility accounting consultant and trainer. She has been solely responsible for the grant accounting and financial management on numerous USDA High Energy Cost and US Dept of Energy grants awarded to villages in Western Alaska. 4.1.3 Expertise and Resources Describe the project team including the applica nt, partners, and contractors. For each member of the project team, indicate: • the milestones/tasks in 3.1 they will be responsible for; • the knowledge, skills, and experience that will be used to successfully deliver the tasks; • how time and other resource conflicts will be managed to successfully complete the task. If contractors have not been selected to complete the work, provide reviewers with sufficient detail to understand the applicant’s capacity to successfully select contractors and manage complex contracts. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 15 of 31 10/04/2022 IES TEAM (Resumes are included in Cost Quote) Tony D’Aoust (Lead Project Manager and Assessment Specialist) Is responsible for all Milestones being accomplished. For over 20 years Tony has specialized in remote solar and battery installations and operations, primarily aboard marine research vessels deployed for 3-6 months at a time. Deciding to transfer these skills and capabilities to remote communities, Tony is supporting these communities’ efforts to increase their sustainability by reducing dependence on diesel fuel. His work includes the first ever installation of Alaska’s coastal remote powered autonomous HF radar system; this design was later incorporated into similar Antarctica deployment. In addition to being well-versed in remote renewable energy systems, he has substantial experience working with research teams from universities and federal agencies requiring detailed documentation of the projects for which he is responsible. Tony will lead the IES team to coordinate feasibility and conceptual design activities by drawing on experience with over 20 years of experience in remote Alaska. IES intends to establish the same level of on-going commitment to Napaskiak as it has to other remote, rural communities in Alaska. (Milestone Tasks 1-5 and Associated Tasks) Terrance Meyer, Mechanical Engineer is a veteran of renewable energy having run his own development company and consulting company as well as working for some of the major players in the field. His inspiration was hydro power, interned in solar power, grew his career with the wind energy boom, and has supported community scale and biomass projects. He has participated in assessments for hundreds of renewable energy projects and various technologies. These include system design, strategic planning, feasibility studies, due diligence investigations, performance testing, technical and financial analyses, product development research, market analyses, and patent writing. The projects have been a wide variety of generation technologies from utility scale to distributed generation and include wind, hydroelectric, biomass, pumped hydro energy storage, ultracapacitors, batteries, renewable fuels, cogeneration, solar photovoltaic, solar thermal, hydroelectric, in addition to conventional energy technologies. (Co-Lead for All Milestones and Associated Tasks) Pati Crofut (Utility Financial Management Specialist and IES Grant Manager) Responsible for IES (the contractor) reporting requirements and determination of business operating plans for standalone community microgrids. Pati has spent the last 20 years of her career as a rural Alaskan utility accounting consultant and trainer. She has been responsible for assisting communities like Napaskiak to develop financial accounting and management practices. She provides QuickBooks training and consulting services to the State of Alaska Department of Commerce & Rural Development. For the past 5 years, Pati has been IES’s financial operations manager. (All Milestones and Associated Tasks) Dale Letourneau (Electrical Engineer), with more than 30 years of electrical and power system design experience in Alaska. Dale has experience with controls, switchgear, electrical distribution, and power systems integration design, and has worked with IES over the last 15 years. Specializing in standalone power energy generation and grid integration. Dale has managed large and small projects across Alaska, and his projects benefit from his years of practical experience, working with his family’s electrical business. (Milestones 3, 4 and 5 and Associated Tasks) Greg Egan (Senior Solar PV Specialist), President of Remote Power, Inc. Fairbanks, Alaska. Greg Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 16 of 31 10/04/2022 was the first NABCEP certified PV installer in Alaska and a journeyman electrician. Over the last 25 years, Greg has been responsible for the design and installation of hundreds of photovoltaic power systems for residential, commercial, and industrial applications across the state. It is not unreasonable to state that Mr. Egan is the most experienced solar designer and installer in Alaska. This includes the design of the solar power systems and custom array racking that were installed at the Water Treatment Facilities located in Deering, Kobuk, Noatak, and Noorvik and Shungnak. (Milestones Milestones 3, 4, and 5 and Associated Tasks: Consultant for Written Documentation) Ian Knapp (Technical Specialist), Ian skills range from data collection to technical analysis. Ian will be responsible for data collection, mapping, data analysis, load monitoring, and aggregation of data for analysis. Ian will develop methods of data collection and analysis. He specializes in control and communications systems architectures, and maintaining system reliability. (Assistance and support for Milestones 1 - 5 and Associated Tasks) Patrick Boonstra (Senior Project Manager. Intelligent Energy Systems, LLC (IES). Patrick is an experienced and dedicated project manager and operations manager for IES. He has 20+ years of experience bringing complex, remote projects to successful completion. He has 10 years’ designing, managing, constructing, and commissioning hybrid microgrid projects. Patrick has a keen sense for the practicalities of remote construction and this experience is invaluable to plan and develop remote hybrid microgrids from budgeting, to knowing vendor capabilities to working with subcontractors - including those locally hired from the remote communities IES works in. In 2022 Patrick led the IES team to complete a similar system in Kokhanak. This experience is important for efficient installation, integration, and commissioning of the BESS and ETS units with the wind-diesel system. (Available for all Milestones and Tasks as needed.) Dennis Meiners (Principal and Founder of Intelligent Energy Systems, LLC (IES). Dennis has 25+ years developing alternatives to diesel-power generation for remote Alaskan communities. This project will benefit from Dennis’s many years of experience, and his understanding of the importance of system practicality, reliability, and ability to support field deployed technology. Over the years, Dennis has developed IES into one of the most experienced and capable teams of renewable microgrid technologists and specialists in North America. IES has demonstrated its ability to assist communities to develop high penetration renewable projects from concept to operations. (Available for all Milestones and Tasks as needed.) 4.2 Local Workforce Describe how the project will use local labor or train a local labor workforce. At the time this application is being made, we don’t have a local workforce identified. However, our contractor, IES has indicated it would like to use local workforce for data collection and other assistance, and we will work with them to find appropriate local workers after the award is made. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 17 of 31 10/04/2022 SECTION 5 – TECHNICAL FEASIBILITY 5.1 Resource Availability 5.1.1 Assessment of Proposed Energy Resource Describe the potential extent/amount of the energy resource that is available , including average resource availability on an annual basis. For pre-construction applications, describe the resource to the extent known. For design and permitting or construction projects, please provide feasibility documents, design documents, and permitting documents (if applicable) as attachments to this application (See Section 11). Likelihood of the resource being available over the life of the project . See the “Resource Assessment” section of the appropriate Best Practice Checklist for additional guidance. Wind resource was completed by V3 Energy, LLC for the Lake and Peninsula Borough in 2017. Levelock was determined to have a moderate Class 3 wind resource. With a wind turbine such as the Frontier 24 meter 100 kW turbine on a 50 meter tiltup tower, this resource level offers the potential for wind power development. PVWatts from NREL indicates a potential solar resource that a 200 kW system could produce approximately 170,000 kWh. 5.1.2 Alternatives to Proposed Energy Resource Describe the pros and cons of your proposed energy resource vs. other alternatives that may be available for the market to be served by your project. N/A 5.1.3 Permits Provide the following information as it may relate to permitting and how you intend to address outstanding permit issues. See the “Environmental and Permitting Risks” section of the appropriate Best Practice Checklist for additional guidance. • List of applicable permits • Anticipated permitting timeline • Identify and describe potential barriers including potential permit timing issues, public opposition that may result in difficulty obtaining permits, and other permitting barriers A primary purpose of this Study is to identify permitting requirements/needs. 5.2 Project Site Describe the availability of the site and its suitability for the proposed energy system . Identify potential land ownership issues, including whether site owners have agreed to the project or how you intend to approach land ownership and access issues. See the “Site control” section of the appropriate Best Practice Checklist for additional guidance. A primary purpose of this Study is to identify sites. 5.3 Project Technical & Environmental Risk 5.3.1 Technical Risk Describe potential technical risks and how you would address them . • Which tasks are expected to be most challenging? • How will the project team reduce the risk of these tasks? • What internal controls will be put in place to limit and deal with technical risks? Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 18 of 31 10/04/2022 See the “Common Planning Risks” section of the appropriate Best Practice Checklist for additional guidance. Technical risks are low. 5.3.2 Environmental Risk Explain whether the following environmental and land use issues apply, and if so which project team members will be involved and how the issues will be addressed. See the “Environmental and Permitting Risks” section of the appropriate Best Practice Checklist for additional guidance. • Threatened or endangered species • Habitat issues • Wetlands and other protected areas • Archaeological and historical resources • Land development constraints • Telecommunications interference • Aviation considerations • Visual, aesthetics impacts • Identify and describe other potential barriers The final Report will identify these items. 5.4 Technical Feasibility of Proposed Energy System In this section you will describe and give details of the existing and proposed systems. The information for existing system will be used as the baseline the proposal is compared to and also used to make sure that proposed system can be integrated. Only complete sections applicable to your proposal. If your proposal only generates electricity, you can remove the sections for thermal (heat) generation. 5.4.1 Basic Operation of Existing Energy System Describe the basic operation of the existing energy system including: description of control system; spinning reserve needs and variability in generation (any high loads brought on quickly); and current voltage, frequency, and outage issues across system. See the “Understanding the Existing System” section of the appropriate Best Practice Checklist for additional guidance. Part of the purpose of this Study is to detail the existing energy system. 5.4.2.1 Existing Power Generation Units Include for each unit include: resource/fuel, make/model, design capacity (kW), minimum operational load (kW), RPM, electronic/mechanical fuel injection, make/model of genset controllers, hours on genset Unit 1: 5.4.2 Existing Energy Generation Infrastructure and Production In the following tables, only fill in areas below applicable to your project. You can remove extra tables. If you have the data below in other formats, you can attach them to the application (see Section 11). Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 19 of 31 10/04/2022 Unit 2: Unit 3: Unit 4: Unit 5: Unit 6: 5.4.2.2 Existing Distribution System Describe the basic elements of the distribution system . Include the capacity of the step-up transformer at the powerhouse, the distribution voltage(s) across the community, any transmission voltages, and other elements that will be affected by the proposed project. 5.4.2.3 Existing Thermal Generation Units (if applicable to your project) Generation unit Resource/ Fuel type Design capacity (MMBtu/hr) Make Model Average annual efficiency Year Installed Hours 5.4.2.5 Annual Electricity Production and Fuel Consumption (Existing System) Use most recent year. Replace the section (Type 1), (Type 2), and (Type 3) with generation sources Month Generati on (Type 1) (kWh) Generatio n (Type 2) (kWh) Generatio n (Type 3) (kWh) Fuel Consumptio n (Diesel- Gallons) Fuel Consumptio n [Other] Pea k Loa d Minimu m Load January February March April May Is there operational heat recovery? (Y/N) If yes estimated annual displaced heating fuel (gallons) 5.4.2.4 O&M and replacement costs for existing units Power Generation Thermal Generation i. Annual O&M cost for labor ii. Annual O&M cost for non-labor iii. Replacement schedule and cost for existing units Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 20 of 31 10/04/2022 June July August Septembe r October November December Total 5.4.2.6 Annual Heating Fuel Consumption (Existing System) Use most recent year. Include only if your project affects the recovered heat off the diesel genset or will include electric heat loads. Only include heat loads affected by the project. Month Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood (Cords, green tons, dry tons) Other January February March April May June July August September October November December Total 5.4.3 Future Trends Describe the anticipated energy demand in the community, or whatever will be affected by the project, over the life of the project. Explain how the forecast was developed and provide year by year forecasts. As appropriate, include expected changes to energ y demand, peak load, seasonal variations, etc. that will affect the project. One of the drivers for this effort is the plan to re-open our Fish Processing Plant. The Plant will need considerable energy. In order for the Plant to be as economical as possible we wish to utilize to the greatest extent possible, renewable energy. We also need to identify/find a solution to ensure that the community is not burdened by added energy costs due to the Plant coming back on-line. 5.4.4 Proposed System Design Provide the following information for the proposed renewable energy system: • A description of renewable energy technology specific to project location • The total proposed capacity and a description of how the capacity was determined • Integration plan, including upgrades needed to existing system(s) to integrate renewable energy system: Include a description of the controls, storage, secondary loads, distribution upgrades that will be included in the project Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 21 of 31 10/04/2022 • Civil infrastructure that will be completed as part of the project —buildings, roads, etc. • Include what backup and/or supplemental system will be in place See the “Proposed System Design” section of the appropriate Best Pract ice Checklist for additional guidance. The contractor will evaluate wind and solar along with battery storage as possible renewable energy sources and how they can be integrated with our current diesel system. The purpose of the study is to develop a conceptual design to allow us to address these items. 5.4.4.1 Proposed Power Generation Units Unit # Resource/ Fuel type Design capacity (kW) Make Model Expected capacity factor Expected life (years) Expected Availability 5.4.4.2 Proposed Thermal Generation Units (if applicable) Generation unit Resource/ Fuel type Design capacity (MMBtu/hr) Make Model Expected Average annual efficiency Expected life 5.4.5 Basic Operation of Proposed Energy System • To the best extent possible, describe how the proposed energy system will operate: When will the system operate, how will the system integrate with the existing system, how will the control systems be used, etc. • When and how will the backup system(s) be expected to be used See the “Proposed System Design” section of the appropriate Best Practice Checklist for additional guidance. The purpose of the study is to develop a conceptual design to allow us to address these items Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 22 of 31 10/04/2022 5.4.3.1 Expected Capacity Factor % 5.4.5.2 Annual Electricity Production and Fuel Consumption (Proposed System) Month Generation (Proposed System) (kWh) Generation (Type 2) (kWh) Generation (Type 3) (kWh) Fuel Consumption (Diesel- Gallons) Fuel Consumption [Other] Secondary load (kWh) Storage (kWh) January February March April May June July August September October November December Total 5.4.5.3 Annual Heating Fuel Consumption (Proposed System) Month Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood (Cords, green tons, dry tons) Other January February March April May June July August September October November December Total 5.4.6 Proposed System Operating and Maintenance (O&M) Costs O&M costs can be estimated in two ways for the standard application. Most proposed renewable energy projects will fall under Option 1 because the new resource will not allow for dies el generation to be turned off. Some projects may allow for diesel generat ion to be turned off for periods of time; these projects should choose Option 2 for estimating O&M. Option 1: Diesel generation ON $ Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 23 of 31 10/04/2022 For projects that do not result in shutting down diesel generation there is assumed to be no impact on the base case O&M. Please indicate the estimated annual O&M cost associated with the proposed renewable project. Option 2: Diesel generation OFF For projects that will result in shutting down diesel generation please estimate: 1. Annual non-fuel savings of shutting off diesel generation 2. Estimated hours that diesel generation will be off per year. 3. Annual O&M costs associated with the proposed renewable project. 1. $ 2. Hours diesel OFF/year: 3. $ The purpose of the study is to develop a conceptual design to allow us to address these items. 5.4.7 Fuel Costs Estimate annual cost for all applicable fuel(s) needed to run the proposed system (Year 1 of operation) Diesel (Gallons) Electricity Propane (Gallons) Coal (Tons) Wood Other Unit cost ($) Annual Units Total Annual cost ($) 5.5 Performance and O&M Reporting For construction projects only 5.5.1 Metering Equipment Please provide a short narrative, and cost estimate, identifying the metering equipment that will be used to comply with the operations reporting requirement identified in Section 3.15 of the Request for Applications. The purpose of the study is to develop a conceptual design to allow us to address these items 5.5.2 O&M reporting Please provide a short narrative about the methods that will be used to gather and store reliable operations and maintenance data , including costs, to comply with the operations reporting requirement identified in Section 3.15 of the Request for Applications Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 24 of 31 10/04/2022 SECTION 6 – ECONOMIC FEASIBILITY AND BENEFITS 6.1 Economic Feasibility 6.1.1 Economic Benefit Annual Lifetime Anticipated Diesel Fuel Displaced for Power Generation (gallons) Anticipated Fuel Displaced for Heat (gallons) Total Fuel displaced (gallons) Anticipated Diesel Fuel Displaced for Power Generation ($) Anticipated Fuel Displaced for Heat ($) Anticipated Power Generation O&M Cost Savings Anticipated Thermal Generation O&M Cost Savings Total Other costs savings (taxes, insurance, etc.) Total Fuel, O&M, and Other Cost Savings The purpose of the study is to develop a conceptual design to allow us to address these items 6.1.2 Economic Benefit Explain the economic benefits of your project. Include direct cost savings and other economic benefits, and how the people of Alaska will benefit from the project. Note that additional revenue sources (such as tax credits or green tags) to pay for operations and/or financing, will not be included as economic benefits of the project. Where appropriate, describe the anticipated energy cost in the community, or whatever will be affected by the project, over the life of the project. Explain how the forecast was developed and provide year-by-year forecasts The economic model used by AEA is avai lable at https://www.akenergyauthority.org/What-We- Do/Grants-Loans/Renewable-Energy-Fund/2022-REF-Application. This economic model may be used by applicants but is not required. The final benefit/cost ratio used will be derived from the AEA model to ensure a level playing field for all applicants. If used, please submit the model with the application. The purpose of the study is to develop a conceptual design to allow us to address these items. One of the drivers for this Study is for economic development and our plan to re -open our Fish Processing Plant. The Plant will need considerable energy. In order for the Plant to be as economical as possible we wish to utilize to the greatest extent possible, renewable energy. We also need to identify/find a solution to ensure that the community is not burdened by added energy costs due to the Plant coming back on-line. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 25 of 31 10/04/2022 6.1.3 Economic Risks Discuss potential issues that could make the project uneconomic to operate and how the project team will address the issues. Factors may include: • Low prices for diesel and/or heating oil • Other projects developed in community • Reductions in expected energy demand: Is there a risk of an insufficient market for energy produced over the life of the project. • Deferred and/or inadequate facility maintenance • Other factors This effort will provide insights about Economic Risks. 6.1.4 Public Benefit for Projects with Direct Private Sector Sales For projects that include direct sales of power to private sector businesses (sawmills, cruise ships, mines, etc.), please provide a brief description of the direct and indirect public benefits derived from the project as well as the private sector benefits and complete the table below. S ee Section 1.6 in the Request for Applications for more information. Renewable energy resource availability (kWh per month) Estimated direct sales to private sector businesses (kWh) Revenue for displacing diesel generation for use at p rivate sector businesses ($) Estimated sales for use by the Alaskan public (kWh) Revenue for displacing diesel generation for use by the Alaskan public ($) 6.2 Other Public Benefit Describe the non-economic public benefits to Alaskans over the lifetime of the project. For the purpose of evaluating this criterion, public benefits are those benefits that would be considered unique to a given project and not generic to any renewable resource. For example, decreased greenhouse gas emission, stable p ricing of fuel source, won’t be considered under this category. Some examples of other public benefits include: • The project will result in developing infrastructure (roads, trails, pipes, power lines, etc.) that can be used for other purposes • The project will result in a direct long-term increase in jobs (operating, supplying fuel, etc.) • The project will solve other problems for the community (waste disposal, food security, etc.) • The project will generate useful information that could be used by the public in other parts of the state • The project will promote or sustain long-term commercial economic development for the community One of the drivers for this Study is for economic development and our plan to re -open our Fish Processing Plant. The Plant will need considerable energy. In order for the Plant to be as economical as possible we wish to utilize to the greatest extent possible, renewable energy. We also need to identify/find a solution to ensure that the community is not burdened by added energy costs due to the Plant coming back on-line. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 26 of 31 10/04/2022 SECTION 7 – SUSTAINABILITY Describe your plan for operating the completed project so that it will be sustainable throughout its economic life. At a minimum for construction projects, a business and operations plan should be attached and the applicant should describe how it will be implemented. See Section 11. 7.1.1 Operation and Maintenance Demonstrate the capacity to provide for the long-term operation and maintenance of the proposed project for its expected life • Provide examples of success with similar or related long-term operations • Describe the key personnel that will be available for operating and maintaining the infrastructure. • Describe the training plan for existing and future employees to become proficient at operating and maintaining the proposed system. • Describe the systems that will be used to track necessary supplies • Describe the system will be used to ensure that scheduled maintenance is performed This effort will address O&M. 7.1.2 Financial Sustainability • Describe the process used (or propose to use) to account for operational and capital costs. • Describe how rates are determined (or will be determined). What process is required to set rates? • Describe how you ensure that revenue is collected. • If you will not be selling energy, explain how you will ensure that the completed project will be financially sustainable for its useful life. This Study will address Financial Sustainability. 7.1.2.1 Revenue Sources Briefly explain what if any effect your project will have on electrical rates in the proposed benefit area over the life of the project. If there is expected to be multiple rates for electricity, such as a separate rate for intermittent heat, explain what the rates will be and how they will be determined Collect sufficient revenue to cover operational and capital costs • What is the expected cost-based rate (as consistent with RFA requirements) • If you expect to have multiple rate classes, such as excess electricity for heat, explain what those rates are expected to be and how those rates account for the costs of delivering the energy (see AEA’s white paper on excess electricity for heat). • Annual customer revenue sufficient to cover costs • Additional incentives (i.e. tax credits) • Additional revenue streams (i.e. green tag sales or other renewable energy subsidies or programs that might be available) The purpose and part of the challenge of the design is to create a system that does not negatively impact the residents of Levelock while also providing power for the fish processing plant. Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 27 of 31 10/04/2022 7.1.2.2 Power Purchase/Sale The power purchase/sale information should include the following: • Identification of potential power buyer(s)/customer(s) • Potential power purchase/sales price - at a minimum indicate a price range (consistent with the Section 3.16 of the RFA) Identify the potential power buyer(s)/customer(s) and anticipated power purchase/sales price range. Indicate the proposed rate of return from the grant -funded project. Include letters of support or power purchase agreement from identified customers. Study will address Power Purchase/Sale. SECTION 8 – PROJECT READINESS 8.1 Project Preparation Describe what you have done to prepare for this award and how quickly you intend to proceed with work once your grant is approved. Specifically address your progress towards or readiness to begin, at a minimum, the following: • The phase(s) that must be completed prior to beginning the phase(s) proposed in this application • The phase(s) proposed in this application • Obtaining all necessary permits • Securing land access and use for the project • Procuring all necessary equipment and materials Refer to the RFA and/or the pre-requisite checklists for the required activities and delive rables for each project phase. Please describe below and attach any required documentation. Levelock has been working with the U.S. Dept of Energy-Tribal Office to begin collecting useful information as a starting point and we have been invited by US Economic Development Administration to submit a proposal for assistance to re-open our Fish Processing Plant. 8.2 Demand- or Supply-Side Efficiency Upgrades If you have invested in energy efficiency projects that will have a positive impact on the proposed project, and have chosen to not include them in the economic analysis, applicants should provide as much documentation as possible including: 1. Explain how it will improve the success of the RE project 2. Energy efficiency pre and post audit reports, or other appropriate analysis, 3. Invoices for work completed, 4. Photos of the work performed, and/or 5. Any other available verification such as scopes of work, technical drawings, and payroll for work completed internally. N/A Renewable Energy Fund Round 15 Grant Application – Standard Form AEA 23046 Page 28 of 31 10/04/2022 SECTION 9 – LOCAL SUPPORT AND OPPOSITION Describe local support and opposition, known or anticipated, for the project. Include letters, resolutions, or other documentation of local support from the community that would benefit from this project. Provide letters of support, memorandum of understandings, cooperative agreements between the applicant, the utility, local government and project partners. The documentation of support must be dated within one year of the RFA date of October 4, 2022. Please note that letters of support from legislators will not count toward this criterion. The project is supported by the Village Council and the local Utility, which is owned by the Village. SECTION 10 – COMPLIANCE WITH OTHER AWARDS Identify other grants that may have been previously awarded to the Applicant by AEA for this or any other project. Describe the degree you have been able to meet the requirements of previous grants including project deadlines, reporting, and information requests . N/A SECTION 11 – LIST OF SUPPORTING DOCUMENTATION FOR PRIOR PHASES In the space below, please provide a list of additional documents attached to support completion of prior phases. N/A SECTION 12 – LIST OF ADDITIONAL DOCUMENTATION SUBMITTED FOR CONSIDERATION In the space below, please provide a list of additional information submitted for consideration . Quote from experienced contractor/consultant. Renewable Energy Fund Round 15 Grant Application ....:. Standard Form SECTION 13 -AUTHORIZED SIGNERS FORM ALASKA ENERGY AUTHORITY Community/Grantee Name: Levelock Village Regular Election is held: J Date: I Authorized Grant Signer(s): Printed Name Title Term Signature Alexander Tallekpalek Chair I authorize the above person(s) to sign Grant Documents: Must be authorized by the highest ranking organization/community/municipal official) Printed Name Title Term Signature Alexander Tallekpalek I Grantee Contact Information: Mailing Address: P.O. Box 70/401 Main Street Levelock, AK 99625 Phone Number: (907)287-3030Fax Number: Email Address: tllkplk@yahoo.com levelockadmin@bbna.com Federal Tax ID #: Please submit an updated form whenever there is a change to the above information. AEA23046 Page 1 of 3 10/04/2022 President 920074206