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HomeMy WebLinkAboutKoliganek REF R7 FINALRenewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Application Page 1 of 29 7/2/2013 Application Forms and Instructions This instruction page and the following grant application constitutes the Grant Application Form for Round VII of the Renewable Energy Fund. A separate application form is available for projects with a primary purpose of producing heat (see 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 Request for Applications (RFA) and both application forms is available online at: http://www.akenergyauthority.org/REFund7.html.  If you need technical assistance filling out this application, please contact Shawn Calfa, the Alaska Energy Authority Grant Administrator at (907) 771-3031 or at scalfa@aidea.org.  If you are applying for grants for more than one project, provide separate application forms for each project.  Multiple phases 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.  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 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.  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.  In the sections below, please enter responses in the spaces provided, often under the section heading. You may add additional rows or space to the form to provide sufficient space for the information, or attach additional sheets if needed. REMINDER:  Alaska Energy Authority is subject to the Public Records Act AS 40.25, and materials submitted to the Authority 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 recommendations are made to the legislature.  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 the Authority. If you want information is 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 VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 2 of 29 7/1/2013 SECTION 1 – APPLICANT INFORMATION Name (Name of utility, IPP, or government entity submitting proposal) New Koliganek Village Council Type of Entity: Tribal Council Fiscal Year End Tax ID # 92-0046963 Tax Status: For-profit Non-profit X Government ( check one) Date of last financial statement audit: Mailing Address PO Box 5057 Koliganek, AK 99576 Physical Address Telephone 907-596-3519 Fax 907-596-3462 Email newkgkvc@hotmail.com 1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER Name Herman Nelson, Sr. Title President, New Koliganek Village Council Mailing Address PO Box 5057 Koliganek, AK 99576 Telephone 907-596-3519 Fax 907-596-3462 Email newkgkvc@hotmail.com 1.2 APPLICANT MINIMUM REQUIREMENTS Please check as appropriate. If you do not to meet the minimum applicant requirements, your application will be rejected. 1.2.1 As an Applicant, we are: (put an X in the appropriate box) An electric utility holding a certificate of public convenience and necessity under AS 42.05, or An independent power producer in accordance with 3 AAC 107.695 (a) (1), or A local government, or X A governmental entity (which includes tribal councils and housing authorities); Yes 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 governing authority is necessary. (Indicate Yes or No in the box ) Yes 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). Yes 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 http://www.akenergyauthority.org/veep/Grant-Template.pdf. (Any exceptions should be clearly noted and submitted with the application.) Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 3 of 29 7/1/2013 Yes 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. SECTION 2 – PROJECT SUMMARY This section is intended to be no more than a 2-3 page overview of your project. 2.1 Project Title – (Provide a 4 to 7 word title for your project). Type in space below. Koliganek Wind-Diesel and Heat Recovery 2.2 Project Location – Include the physical location of your project and name(s) of the community or communities that will benefit from your project in the subsections below. 2.2.1 Location of Project – Latitude and longitude, 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 assistance obtaining this information please contact AEA at 907-771-3031. Koliganek is located on the left bank of the Nushagak River and lies 65 miles northeast of Dillingham. The community lies at approximately 59.728610° North Latitude and - 157.284440° West Longitude. 2.2.2 Community benefiting – Name(s) of the community or communities that will be the beneficiaries of the project. Koliganek, Alaska will be the beneficiaries of this project. As of the 2010 Census, the population of Koliganek is 209, an increase of 14.8% since 2000. All community members of Koliganek, Alaska will benefit from the construction of the wind project. 2.3 PROJECT TYPE Put X in boxes as appropriate 2.3.1 Renewable Resource Type X 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 2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply) Pre-Construction Construction Reconnaissance X Final Design and Permitting Feasibility and Conceptual Design Construction and Commissioning Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 4 of 29 7/1/2013 2.4 PROJECT DESCRIPTION Provide a brief one paragraph description of the proposed project. This project proposes to install two remanufactured Vestas V20 wind turbines in the community of Koliganek. Koliganek was awarded a grant from the Alaska Energy Authority (AEA) in Renewable Energy Fund Round IV to complete a conceptual design for installation of wind turbines, with possible construction beginning in 2015. New Koliganek Village Council owns and operates the electric utility for the community of Koliganek. The moderate wind resource at this site could support a medium penetration wind-diesel system. The Draft Conceptual Design Report for the RPSU project does not currently include the prospect of integrating wind energy. Koliganek has received $300,000 for conceptual design and design completion for the Rural Power System Upgrade (RPSU) project. The 2009 Conceptual Design Report (CDR) will be updated starting in January 2014. This project proposes that the conceptual designs of both the wind-diesel and RPSU project proceed in coordination. If the projects are designed together, potential retrofitting expenses will be avoided and savings realized through the elimination of redundancies. 2.5 PROJECT BENEFIT Briefly discuss the financial and public benefits that will result from this project, (such as reduced fuel costs, lower energy costs, local jobs created, etc.) Benefits to the Community: The two largest direct benefits of this project are 1) decreased reliance on unstable diesel fuel sources and 2) diversification of Koliganek’s power supply. The energy market for Koliganek has been unstable because of its sole dependence on the price of fuel and the components of that price: crude oil, refinement , retail, tax, transportation and storage. It is believed that the use of an available local, renewable resource such as wind would offset the fuel cost component of the electric rate providing for more price stability, reducing the rate for the end-user and the amount of diesel required to power the generator. Moreover, diversifying Koliganek’s power supply ensures energy security when fuel supply problems occur. Fuel delivery windows to Koliganek are narrow and often complicated by climate conditions (low water levels and ice). Therefore, the wind-diesel and heat recovery projects both diversify energy sources in Koliganek and provide better energy security for the community. Benefits to AEA: A noteworthy component of the permitting phase requires that reported bat sightings be studied. Recent evidence shows that certain species of bats are particularly susceptible to mortality from wind turbines. Bats are beneficial consumers of harmful insect pests, and migratory species of bats cross international and interstate boundaries. The bats in Koliganek are considered valuable to the residents because they eat biting and annoying insects. If this proposal is funded, it will provide funds to conduct a study into bat mortality from turbines, the first of its kind in Alaska. This study would set a usable framework for all future wind projects Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 5 of 29 7/1/2013 in rural Alaska where bats are present. The bat study contained in this proposal (see attached) is a public benefit for all future wind projects. For that reason, Marsh Creek proposes that the costs for the bat study, while necessary, not be calculated into the benefit/cost of the project. The Koliganek Wind-diesel and heat recovery project is an opportunity to support local project coordination as well as an opportunity to further the knowledge available to U.S. Fish and Wildlife Service regarding avian impacts in rural Alaska. This additional knowledge could be referenced in other communities in the region that are developing wind-diesel projects to assist in the environmental process. 2.6 PROJECT BUDGET OVERVIEW Briefly discuss the amount of funds needed, the anticipated sources of funds, and the nature and source of other contributions to the project. The total estimated amount of funds needed is $316,000. This amount includes $85,000 dedicated to bat monitoring (see attachment). Funds to this project have also been matched by New Koliganek Village Council at $10,000. One advantage for wind power development in Koliganek is the availability of the former and now abandoned airstrip where the meteorological test tower had been located. Because the village and surrounding area is comprised of permafrost soils, construction of wind turbines on the old airstrip could significantly reduce foundation construction costs. 2.7 COST AND BENEFIT SUMARY Include a summary of grant request and your project’s total costs and benefits below. Grant Costs (Summary of funds requested) 2.7.1 Grant Funds Requested in this application $306,000 2.7.2 Cash match to be provided $0 2.7.3 In-kind match to be provided $10,000 2.7.4 Other grant funds to be provided $N/A 2.7.5 Other grant applications not yet approved $N/A 2.7.6 Total Grant Costs (sum of 2.7.1 through 2.7.4) $316,000 Project Costs & Benefits (Summary of total project costs including work to date and future cost estimates to get to a fully operational project) 2.7.7 Total Project Cost Summary from Cost Worksheet, Section 4.4.4, including estimates through construction. $2,566,000 2.7.8 Additional Performance Monitoring Equipment not covered by the project but required for the Grant Only applicable to construction phase projects. $N/A 2.7.9 Estimated Direct Financial Benefit (Savings) $66,399/yr 2.7.10 Other Public Benefit If you can calculate the benefit in terms of dollars please provide that number here and explain how you calculated that number in Section 5 below. $ 85,000 (bat study) SECTION 3 – PROJECT MANAGEMENT PLAN Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 6 of 29 7/1/2013 Describe who will be responsible for managing the project and provide a plan for successfully completing the project within the scope, schedule and budget proposed in the application. 3.1 Project Manager Tell us who will be managing the project for the Grantee and include contact information, a resume and references for the manager(s). In the electronic submittal, please submit resumes as separate PDFs if the applicant would like those excluded from the web posting of this application. 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. The project will be managed by the New Koliganek Village Council with progress reports and assistance, as needed, provided by Marsh Creek LLC and Bristol Bay Native Association. The Project Manager will be Herman Nelson, Sr., President of the New Koliganek Village Council. Candice Andrew, Village Council Administrator, will be responsible for grant administration in compliance with grant reporting requirements including the documentation of in-kind services. Marsh Creek LLC has been selected as the contractor for performance of all work described in Section 3.2 – Project Schedule and Milestones. John Lyons of Marsh Creek will serve as the Project Engineer and will oversee all work performed by Marsh Creek. Please see attached resumes. 3.2 Project Schedule and Milestones Please fill out the schedule below. Be sure to identify key tasks and decision points in 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 of your proposed project. Please fill out form provided below. You may add additional rows as needed. Milestones Tasks Start Date End Date Site Visit Inspections 6/6/2014 Facility Turbine Site Power Plant Resources Meet with local power company operators Community Meeting 6/3/2014 Data Gathering Interviews, Meetings, data gathering & Analysis 4/15/201 4 9/1/2014 35 % Design Executive Summary 6/6/2014 7/15/201 4 Purpose Background Existing Documentation Resource and Permitting issues Preliminary Homer modeling results Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 7 of 29 7/1/2013 Geotechnical Issues Integration issues Conceptual Design Conclusions and Recommendations Appendices Site Visit Findings Site Plans 65% Design Civil Drawings 9/5/2014 Electrical Drawings Wind Turbines Power Plant Distribution Mechanical Drawings Control Drawings Updated Modeling Results Homer Generation Down East Outline Specifications Environmental and Permitting Summary Proposed Wind Turbines and Power Plant Equipment Existing integration issues ROM cost Estimate 95% Design Civil Drawings 9/1/2014 10/31/20 14 Structural Drawings Electrical Drawings Wind Turbines Power Plant Distribution Mechanical Drawings Control Drawings Final Modeling Results Homer Generation Down East Specifications Equipment and Materials List Final Environmental and Permitting Information Remaining integration issues 95% operational Business Plan Financing Plan Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 8 of 29 7/1/2013 95% Cost Esimate +/- 15% Geotechnical Investigation Geotechnical Site Visit 6/3/2014 6/6/2014 Permitting Final Permitting 4/15/201 4 10/31/20 14 Avian / Bat Study Spring and Fall Avian / Bat studies 6/1/2014 9/5/2014 RPSU Coordination Meetings with RPSU design team to coordinate designs and add value engineering 2/1/2014 10/31/20 14 Integrated Business Plan Submittal of a coordinated Business Plan with RPSU 4/15/201 4 10/31/20 14 We are optimistic about working with the RPSU program in Koliganek, which is receiving an upgrade to their power system in 2015. If a wind-diesel project is funded during round 7 of the renewable energy fund, it will eliminate the need for retro-fitting a wind-diesel system into their new generator. This would both save money and prove that the RPSU and REF programs can work well together on project design and construction. If this current proposal is not funded, and given the upcoming construction of the RPSU in Koliganek, the timetable for this project will be moved back six months to a year. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Application Page 9 of 29 7/2/2013 Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 10 of 29 7/1/2013 Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Application Page 11 of 29 7/2/2013 3.3 Project Resources Describe the personnel, contractors, accounting or bookkeeping personnel or firms, equipment, and services you will use to accomplish the project. Include any partnerships or commitments with other entities you have or anticipate will be needed to complete your project. Describe any existing contracts and the selection process you may use for major equipment purchases or contracts. Include brief resumes and references for known, key personnel, contractors, and suppliers as an attachment to your application. Herman Nelson Sr., New Koliganek Village Council President, will serve as the project sponsor and will coordinate with Marsh Creek. Candice Andrew, Village Council Administrator, will be responsible for submittal of required financial and status reports to the Alaska Energy Authority. Melody Nibeck, Tribal Energy Program Manager and Patty Heyano, Program Development Director, for Bristol Bay Native Association will be available to assist Candice Andrew, as needed, with financial and status reports submittal to the Alaska Energy Authority. Both Ms. Nibeck and Ms. Heyano have grant and project management experience. Marsh Creek’s project team will work closely with Herman Nelson and Candice Andrew to ensure their duties are manageable. Marsh Creek LLC will be responsible for carrying out the Scope of Work described in this application. See attached resumes and Marsh Creek Capability Statement. 3.4 Project Communications Discuss how you plan to monitor the project and keep the Authority informed of the status. Please provide an alternative contact person and their contact information. Marsh Creek's Community Relations Manager, Connie Fredenberg, will be responsible for maintaining regular communications between the New Koliganek Village Council and Marsh Creek. Marsh Creek’s Senior Project Coordinator Maggie McKay will be responsible for maintaining communications between Marsh Creek and the Alaska Energy Authority including quarterly progress reports and other communication methods as required in the grant agreement. Marsh Creek’s Renewable Energy Systems Division Manager John Lyons will facilitate coordination between all Marsh Creek personnel. 3.5 Project Risk Discuss potential problems and how you would address them. Like any project in rural Alaska, transportation and construction challenges pose a reasonable risk to project completion. Marsh Creek LLC has 25 years in rural energy projects and an excellent record in energy systems ranging from 25kW to megawatt size. A similar project to the one proposed here was successfully completed in the community of Kokhanok, proving that Marsh Creek can complete wind projects in rural Alaska on time and to specification. It is unrealistic to believe that something as complicated as a wind electric system will operate unattended and untouched for the 20-year-plus life expectancy of the system. Wind turbine technology has made great strides in the past 10 years in terms of reliability especially in the area of specialized lubricants, equipment and replacement parts. Most of these improvements have not come from new designs. Indeed, the technology has evolved from system users and Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 12 of 29 7/1/2013 their operations strategies attempting to gain maximize reliability. The risk of damage to the unit will be moderated by good caretaking of the power plant and wind-diesel system. The local utility manager is Candice Andrews and the powerplant operator is Herman Nelson Jr., both of whom plan to remain in Koliganek for the foreseeable future. A table of known risks, impact, and probability is listed below. This information is also plotted on a risk impact/probability matrix. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 13 of 29 7/1/2013 Risk ID Risk Impact Probability Value R - 1 Design takes longer than anticipated 10% 15% 1.50% R - 2 USFWS permitting takes additional effort 50% 15% 7.50% R - 3 FAA permitting takes additional effort 5% 10% 0.50% R - 4 Geotech is not as anticipated 50% 1% 0.50% R - 5 Weather Delays - additional days on site 3% 75% 1.88% R - 6 Design standards change 25% 1% 0.25% R - 7 Integration issues 75% 1% 0.75% R - 8 Bad judgment on finances 50% 5% 2.50% R - 9 Under Value turbine 35% 1% 0.35% R - 10 Underestimate penetration 20% 5% 1.00% R - 11 Undervalue training of Utility personnel 75% 50% 37.50% R - 12 Community Buy-in 30% 25% 7.50% R - 13 Continued support for maintenance 75% 50% 37.50% R - 14 Technological advances 15% 5% 0.75% R - 15 Non experienced Developer 25% 5% 1.25% R - 16 Non experienced Project Manager 25% 5% 1.25% R - 17 Under value construction costs 20% 5% 1.00% Risks were developed based on their direct impact to this stage as well as the entire project. It is important to recognize risks that could potentially be non-starters in the future. The impact/probability matrix above indicates that significant risks to the project are not linked to the design phase, but rather to project sustainability after construction is completed. The critical risks identified are R-11, undervalue training of utility personnel and R-13, continued support for maintenance. We have allocated sufficient funding at this stage to address these risks. At this Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 14 of 29 7/1/2013 stage in the project we work with the community to enhance understanding of O&M requirements. We also strongly suggest a five-year O&M plan funded outside the AEA REF. O&M training is usually managed in the construction phase of the project, however, we have identified O&M training as a high enough priority to warrant action during the current design phase. SECTION 4 – PROJECT DESCRIPTION AND TASKS  The level of information will vary according to phase(s) of the project you propose to undertake with grant funds.  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 satisfied and funding for an advanced phase is warranted. 4.1 Proposed Energy Resource Describe the potential extent/amount of the energy resource that is available. Discuss 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. 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. The wind resource in Koliganek is good with measured wind power class 4 by measurement of wind power density and class 3 by measurement of wind speed. Given the cool temperatures of Koliganek, air density is higher than standard conditions, leading to relatively high wind power densities. By other measures important for wind power analysis, the site has a low extreme wind probability and experiences relatively low turbulence at the 30 meter level. One advantage for wind power development in Koliganek is the availability of the former and now abandoned airstrip where the meteorological test tower had been located. Because the village and surrounding area is comprised of permafrost soils, construction of wind turbines on the old airstrip could significantly reduce foundation construction costs. This revised wind resource report is an update of the original version written in 2007. Additional data filtering has been applied, specifically for tower shading and icing conditions. An analysis of extreme wind probability was also added. The Koliganek community pathway as identified by the Alaska Energy Authority ("Alaska Energy Pathway, Toward Energy Independence") report calls for immediate action of efficiency and conservation assuming the demand-side for residential and non-residential electric and space heating. On the supply side, the community of Koliganek will be receiving a power system upgrade and currently operates a heat recovery system which benefits the clinic. The V3 energy report identifies a wind-diesel hybrid power system as a potential for short-, mid- and long-term deployment of a local, renewable resource for electric distribution. The above referenced report confirms this and implementation of this project is warranted. Please reference Wind-Diesel Project CDR, bat study scope of work and budget, and Koliganek RPSU CDR. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 15 of 29 7/1/2013 4.2 Existing Energy System 4.2.1 Basic configuration of Existing Energy System Briefly discuss the basic configuration of the existing energy system. Include information about the number, size, age, efficiency, and type of generation. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 16 of 29 7/1/2013 Based on the 2009 CDR, the existing Koliganek powerplant is equipped with two diesel generators: a John Deere 6081AF generator set rated at 180kW with a 220kW generator end, and a John Deere 6068HF485 generator set rated at 160kW with a 200kW generator end. Annual diesel consumption is 64,917 gallons per year, with a peak load of 140 kW. Gen-set #1 is currently operating at 29,411 hours and gen-set #2 is currently operating at 16,892 hours. The third bay was empty, but there are plans to install an identical set to generator one in position number 3 in 2013. This is a refurbished generator set from the powerplant in Ekwok. This generator was decommissioned when Ekwok joined Alaska Village Electric Co-Operative (AVEC). All three generators are large enough to operate individually with sufficient excess spinning reserve to handle peak loads. The 2009 CDR will be updated starting in January 2014. This proposal suggests that effort be supplemented with this timeline. It is requested that the AEA coordinate with Marsh Creek, LLC on the RPSU CDR update process, while it will occur in advance of approval of this grant request. 4.2.2 Existing Energy Resources Used Briefly discuss your understanding of the existing energy resources. Include a brief discussion of any impact the project may have on existing energy infrastructure and resources. The electric power system in Koliganek is owned and managed by New Koliganek Village Council, an independent electric utility. The school has its own tank and backup generator but it does not self- generate. The plant operator of record is Mr. Herman Nelson, Jr. The present powerplant is a modular unit installed in 1987 by Alaska Power Systems, Inc. The module was designed for three generator set spaces and is very cramped. Current power consumption is approximately 619,034 kWh per year. The Alaska Energy Authority Rural Power Systems Upgrade (RPSU) has received funding to provide New Koliganek a new powerplant with conceptual design, business planning, and design funding available and scheduled for January 2014. Marsh Creek and the AEA plan to coordinate the final genset configuration for the plant. For planning purposes, the three most likely configurations are as follows: 1) four 6090 AFMs, 2) four 4045 AFMs, 3) two 6090 and two 4045 AFMs. A heat recovery loop currently runs to the clinic. 4.2.3 Existing Energy Market Discuss existing energy use and its market. Discuss impacts your project may have on energy customers. Customers with the biggest need for electricity are ordered as follows: 1) Local homes 2) The school 3) The airport 4) FAA 5) Satellite dishes. The average load in the summer is between 30 – 50 kW and the peak load is 140 kW when school is in session during the winter. With the current generator make up of a rated 160kW and 180kW, there is no appropriate generator option available during summer months. Currently all electrical loads are being met. Ground was broken on a new school facility that is planned to be completed summer 2014. The new school will be built next to the existing school, which will be demolished. New teacher housing will be constructed on the site of the former school and previous teacher housing will be moved to the old runway for donation to the community. There are plans for a new DOT building to house airport equipment. There is ample opportunity to incorporate the proposed heat recovery loop into non-school infrastructure. All impacts that we foresee from this project are positive for the current energy market in Koliganek. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 17 of 29 7/1/2013 This project reduces community consumption of diesel. This project will provide excess heat to a heat recovery system. The project integrates two (2) Vestas V20s into the new diesel generator designed for Koliganek and get both power sources working together optimally. 4.3 Proposed System Include information necessary to describe the system you are intending to develop and address potential system design, land ownership, permits, and environmental issues. 4.3.1 System Design Provide the following information for the proposed renewable energy system:  A description of renewable energy technology specific to project location  Optimum installed capacity  Anticipated capacity factor  Anticipated annual generation  Anticipated barriers  Basic integration concept  Delivery methods This proposal calls for design and permitting of two (2) Vestas V20 turbines. Two turbines provide duplicity in the system which increases potential for turbine up-time availability during wind events. We propose integrating these two Vestas V20 turbines into the new powerplant that will be constructed into Koliganek as part of a successful RPSU proposal (see attached). The draft RPSU bases heat recovery calculations on a proposed 117 kW charge air cooled (CAC) Tier 3 rated John Deere 4045HF485 generator. Generation heat recovery capacity of the CAC unit is 2,000BTU/kWh. Based on simulation it appears that there is adequate generation heat available to justify connection of both the school and clinic to the heat recovery system. The selected generator has the potential to offset approximately 7,400 gallons of space heating fuel from heat recovery and would consume approximately 2,000 gallons less fuel than the current power plant for a net fuel savings of 9,400 gallons annually. Calculations may be subject to change depending on final genset configuration. The school building was originally supplied with generation heat recovery from the school generators, which prior to 1987 were used to power the entire community. The existing arctic pipe supply and return lines from the school generator building to the school boiler room remain serviceable as do the school heat recovery circulating pumps. The heat recovery expansion project will include: 1) a short extension of the existing buried clinic heat recovery piping to the new power plant location; 2) installation of new buried school heat recovery piping a distance of approximately 100’ from the power plant to the school generator building; 3) a new school heat exchanger and circulating pump located in the school generator building. Our proposed turbine system has an optimum installed capacity of 200 kW, anticipated capacity factor of 15.5% at 80% turbine availability, and annual generation of 328,923 kWh. There are no significant barriers to integrating wind power into a new powerplant as opposed to retrofitting. The basic integration concept is to have an electrical load primary; thermal load secondary; thermal load served via secondary load controller (SLC)/electric boiler inserted into the diesel generator heat recovery loop, or more likely considering the thermal load requirements, via remote node into the school hydronic system. The proposed delivery is to use a new 3-phase distribution connection to the existing power distributor system. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 18 of 29 7/1/2013 4.3.2 Land Ownership 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. One advantage for wind power development in Koliganek is the availability of the former and now abandoned airstrip where the meteorological test tower had been located. Because the village and surrounding area is comprised of permafrost soils, construction of wind turbines on the old airstrip could significantly reduce foundation construction costs. New Koliganek Village Council is highly supportive of wind turbine construction on the abandoned airstrip. Attached is a letter of support. 4.3.3 Permits Provide the following information as it may relate to permitting and how you intend to address outstanding permit issues.  List of applicable permits  Anticipated permitting timeline  Identify and discussion of potential barriers Potential permits required of the project include: Alaska Pollution Discharge Elimination System No permits are needed as less than one acre of soil will be disturbed. Federal Aviation Administration A FAA Form 7460-1 (Notice of Proposed Construction or Alteration) is required. Obstruction lighting on the wind turbine(s) is likely required and would be installed in all circumstances. Alaska Department of Natural Resources  Alaska Coastal Management Program Consistency Review Koliganek falls outside the coastal zone of Alaska.  State Historic Preservation Office (SHPO) The project design consultant will complete a consultation under Section 106 of the Historic Preservation Act with the State Historic Preservation Office (SHPO), to receive a letter concurring that a wind project would affect no historic properties. Based on the fact that the wind turbines will be sited on the old runway, we believe this issue has already been investigated and expect no problems.  US Army Corps of Engineers The US Army Corps of Engineers (USACE) requires the placement of fill in “waters of the United States”, including wetlands and streams, under Section 404 of the Clean Water Act (CWA). Based on the fact that the wind turbines will be sited on the old runway, we believe this issue has already been investigated and expect no problems.  Wetlands and Waterways The project area has been reviewed for the presence and distribution of wetlands and aquatic resources using the US Fish and Wildlife Service (USFWS) National Wetland Inventory Wetland Mapper (2012). The NWI Wetland Mapper indicates complete coverage of the proposed project area by freshwater emergent, freshwater pond, lakes, and riverine features. It is important to note, however, that in wind energy development projects; wetland loss is largely due to road construction and foundations for wind turbines, issues far less at issue when building on a former airstrip. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 19 of 29 7/1/2013  US Fish and Wildlife Service Koliganek is located in an area that is mapped by the Anchorage US Fish and Wildlife Service (USFWS) Field Office as “No Consultation Necessary” for listed species under the Endangered Species Act (ESA). However, during a site visit to devise a local avian study to confirm that no consultation would be necessary, the biologist discovered bats in the community. The USFWS Wind Turbine Guidelines Advisory Committee developed guidelines and recommendations for wind power projects to avoid impacts to birds and bats. These recommendations were sent to the Secretary of the Interior in March 2010 and should be referred to during design and construction. We believe we can collect the necessary data to understand bat activities near the proposed wind turbine site in Koliganek by spending 5-10 days collecting bat observation during June (peak insect season) around the proposed turbine site and 5-10 days in September. If we find that bats present a concern to the wind turbine project we have some mitigation measures we can consider including; moving the turbine to a location less likely to kill bats; use a vertical axis turbine which is generally more bird friendly; only use the turbine when the bats have migrated south or are hibernating and not at risk. 4.3.4 Environmental Address whether the following environmental and land use issues apply, and if so how they will be addressed:  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 discuss other potential barriers Threatened or endangered species  No threatened or endangered species reside in the area. Habitat issues  Habitat issues have been addressed by siting turbines at the city’s abandoned airstrip. Wetlands and other protected areas  Impact on wetlands and other protected areas have been addressed by siting turbines at the city’s abandoned airstrip. Archaeological and historical resources  Archaeological and historical resources have been addressed by siting turbines at the city’s abandoned airstrip. Land development constraints  Land development constraints have been addressed by siting turbines at the city’s abandoned airstrip. Telecommunications interference  No significant telecommunication interference is anticipated. Telecommunication interference will be addressed in the design phase and if required, means of suppression will be implemented. Aviation consideration  A FAA Form 7460-1 (Notice of Proposed Construction or Alteration) is required. Obstruction Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 20 of 29 7/1/2013 lighting on the wind turbine(s) is likely required and would be installed in all circumstances. Visual, aesthetic impacts  New Koliganek Village Council supports construction of turbines on their abandoned airstrip which indicates that visual impacts are of secondary importance to the benefits offered by turbine construction. Identify and discuss other potential barriers  Bat mortality has been identified as a potential barrier for turbine operations. We propose to address this issue with a thorough assessment of bat species in the area. Please see attached bat study proposal. 4.4 Proposed New System Costs and Projected Revenues (Total Estimated Costs and Projected Revenues) The level of cost information provided will vary according to the phase of funding requested and any previous work the applicant may have done on the project. Applicants must reference the source of their cost data. For example: Applicants records or analysis, industry standards, consultant or manufacturer’s estimates. 4.4.1 Project Development Cost Provide detailed project cost information based on your current knowledge and understanding of the project. Cost information should include the following:  Total anticipated project cost, and cost for this phase  Requested grant funding  Applicant matching funds – loans, capital contributions, in-kind  Identification of other funding sources  Projected capital cost of proposed renewable energy system  Projected development cost of proposed renewable energy system Installation of two remanufactured Vestas V20 wind turbines or two Northern Power Systems NPS100- 24 wind turbines in medium penetration mode without electrical storage is evaluated to demonstrate the economic benefit of the project options. Note that in the analyses turbines are connected to the electrical distribution system with first priority to serve the electrical load and second priority to serve the thermal load via a secondary load controller and electric boiler. For this CDR, HOMER modeling is used to determine system performance and energy balance, but economic valuation is accomplished with use of the Renewable Energy Fund Round 7 economic valuation spreadsheet developed by University of Alaska’s Institute for Social and Economic Research (ISER) for use by the AEA. HOMER and ISER models both assume construction of a new generator system in Koliganek. Summary statistics for both models are in the following table: Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 21 of 29 7/1/2013 We are requesting $306,000 from AEA with $10,000 matching from the community of Koliganek. There are no other sources of funding. This renewable energy project is both economically viable and current infrastructure, such as a location on the old runway, make this project even more advantageous. 4.4.2 Project Operating and Maintenance Costs Include anticipated O&M costs for new facilities constructed and how these would be funded by the applicant. (Note: Operational costs are not eligible for grant funds however grantees are required to meet ongoing reporting requirements for the purpose of reporting impacts of projects on the communities they serve.) Operating and maintenance costs vary from year to year but generally average at ~$10,000/year. New Koliganek Village Council and Marsh Creek LLC are currently in negotiations in terms of long-term O&M strategy. Similar agreements in other villages (i.e. Kokhanok) have proven to be successful. This contract would consist of training for local personnel to maintain the equipment. Local capacity to maintain the system will help keep O&M costs to a minimum after the 5-year contract with Marsh Creek LLC has ended. At this point O&M costs will become the responsibility of the local utility. 4.4.3 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  Proposed rate of return from grant-funded project The New Koliganek Village Electric Utility serves the community of Koliganek. The residents and businesses in New Koliganek will be the customers. The current electric rate for Residential Customers and Community Facilities is $.50/kWh. Non PCE Customers also pay $.50/kWh. These rates should be increased to cover the cost of producing power with the equipment on hand. Koliganek is first in line for a new power plant. Integrating wind energy to offset fuel will provide some relief to non-PCE Customer rates, but the loss of PCE in conjunction with decreased fuel usage will cause PCE Customer rates to remain stagnant. The payback period for this project is over 20 years. The community of Koliganek as a whole wins big by reducing the need to import fuel. 4.4.4 Project Cost Worksheet Complete the cost worksheet form which provides summary information that will be considered in evaluating the project. Please fill out the form provided below. Renewable Energy Source The Applicant should demonstrate that the renewable energy resource is available on a sustainable basis. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 22 of 29 7/1/2013 Annual average resource availability. Class IV Wind Power Unit depends on project type (e.g. windspeed, hydropower output, biomasss fuel) Existing Energy Generation and Usage a) Basic configuration (if system is part of the Railbelt1 grid, leave this section blank) i. Number of generators/boilers/other 2 diesel generators ii. Rated capacity of generators/boilers/other 220kW, 200kW iii. Generator/boilers/other type Both generators are John Deere iv. Age of generators/boilers/other 29,411 and 16,892 hours v. Efficiency of generators/boilers/other 9.54 kWh/gallon sold b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank) i. Annual O&M cost for labor $52,462 ii. Annual O&M cost for non-labor $61,507 c) Annual electricity production and fuel usage (fill in as applicable) (if system is part of the Railbelt grid, leave this section blank) i. Electricity [kWh] 681,625 kWh ii. Fuel usage Diesel [gal] 61,917 gallons Other iii. Peak Load 140 kW iv. Average Load 75 kW v. Minimum Load 49 kW vi. Efficiency 9.54 kWh/gallon sold vii. Future trends We expect the community load to remain stable, or rise slightly. A new school is planned, but the old school will be demolished. New teacher housing is planned and the old housing will be moved to new locations. d) Annual heating fuel usage (fill in as applicable) i. Diesel [gal or MMBtu] ii. Electricity [kWh] iii. Propane [gal or MMBtu] iv. Coal [tons or MMBtu] v. Wood [cords, green tons, dry tons] vi. Other Proposed System Design Capacity and Fuel Usage (Include any projections for continued use of non-renewable fuels) a) Proposed renewable capacity Wind 1 The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Association, Golden Valley Electric Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage Municipal Light and Power. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 23 of 29 7/1/2013 (Wind, Hydro, Biomass, other) [kW or MMBtu/hr] 240 kW b) Proposed annual electricity or heat production (fill in as applicable) i. Electricity [kWh] 328,923 kWh ii. Heat [MMBtu] c) Proposed annual fuel usage (fill in as applicable) i. Propane [gal or MMBtu] ii. Coal [tons or MMBtu] iii. Wood or pellets [cords, green tons, dry tons] iv. Other Project Cost a) Total capital cost of new system $2,250,000 b) Development cost c) Annual O&M cost of new system ~$10,000 d) Annual fuel cost Project Benefits a) Amount of fuel displaced for i. Electricity 17,337 gallons ii. Heat iii. Transportation b) Current price of displaced fuel $6.63/gal c) Other economic benefits d) Alaska public benefits Power Purchase/Sales Price a) Price for power purchase/sale $0.50/kWh Project Analysis a) Basic Economic Analysis Project benefit/cost ratio 0.76 Payback (years) 20+ 4.4.5 Impact on Rates Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 24 of 29 7/1/2013 Briefly explain what if any effect your project will have on electrical rates in the proposed benefit area. If the is for a PCE eligible utility please discus what the expected impact would be for both pre and post PCE. Power consumption is approximately 619,034 kWh per year. Current rates for all classes at the utility are $.50/kWh. This is not sufficient to cover the cost of producing power. Marsh Creek has reviewed the rates and recommends that PCE Customer rates be raised to $.70/kWh and non-PCE Customer rates be raised to $.55/kWh. The PCE rate is now $.3594. If PCE Customer rates are raised to $.70, the PCE rate will rise to cover the difference and the resulting rate will still be $.1406 for eligible monthly kWhs. Wind power will ultimately help stabilize power costs against rising fuel costs. We will recommend the utility charge for recovered heat at a rate less than the current cost for diesel heating fuel. SECTION 5– PROJECT BENEFIT Explain the economic and public benefits of your project. Include direct cost savings, and how the people of Alaska will benefit from the project. The benefits information should include the following:  Potential annual fuel displacement (gallons and dollars) over the lifetime of the evaluated renewable energy project  Anticipated annual revenue (based on i.e. a Proposed Power Purchase Agreement price, RCA tariff, or cost based rate)  Potential additional annual incentives (i.e. tax credits)  Potential additional annual revenue streams (i.e. green tag sales or other renewable energy subsidies or programs that might be available)  Discuss the non-economic public benefits to Alaskans over the lifetime of the project Installation of two Vestas V20 turbines would displace 17,337 gallons of diesel oil, produce 328,923 kWh/yr, and save Koliganek $114,944. There is also a potential for waste heat in a two- turbine scenario. A waste-heat recovery system connected to these turbines could save an estimated 7,400 gallons of diesel oil at an estimated annual savings of $49,062 No tax credits are available for this project. Renewable energy credits would net the utility an estimated $500. Non-economic benefits to Alaskans over the lifetime of the project are the obvious avoidance of fuel transport and fuel spill risks in addition to the reduction in emissions. The people of Koliganek would like to be less dependent on the variable price of diesel fuel, lessen the environmental risks of fuel transport and storage hazards by requiring less diesel fuel to power their community. 5.1.1 Public Benefit for Projects with Private Sector Sales Projects that include sales of power to private sector businesses (sawmills, cruise ships, mines, etc.), please provide a brief description of the direct and indirect public benefits derived from the project as well as the private sector benefits and complete the table below. See section 1.6 in the Request for Applications for more information. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 25 of 29 7/1/2013 Renewable energy resource availability (kWh per month) N/A Estimated sales (kWh) N/A Revenue for displacing diesel generation for use at privet sector businesses ($) N/A Estimated sales (kWh) N/A Revenue for displacing diesel generation for use by the Alaskan public ($) N/A SECTION 6– SUSTAINABILITY Discuss your plan for operating the completed project so that it will be sustainable. Include at a minimum:  Proposed business structure(s) and concepts that may be considered.  How you propose to finance the maintenance and operations for the life of the project  Identification of operational issues that could arise.  A description of operational costs including on-going support for any back-up or existing systems that may be require to continue operation  Commitment to reporting the savings and benefits Koliganek has a wind resource and cost of fuel that make a wind-diesel hybrid system desirable. This report has demonstrated through both HOMER analysis and the ISER/AEA economic valuation model that both modeled wind turbine configurations provide a positive net project benefit. In order for the project to benefit the community as a whole and to be sustainable in the years to come, key elements must be in place. The village of Koliganek currently operates the power plant and electric al distribution system in Koliganek. The Utility will incorporate flat-rate O&M costs into its rate structure to cover the costs of operating and maintaining the renewable energy infrastructure. All O&M costs are incorporated into a flat-rate 5-year contract and included in the kWh rate charged to each consumer in the village of Koliganek. All O&M costs outside of the five year agreement will become the responsibility of the village of Koliganek. New Koliganek Village Council must continue to be a participant in the State of Alaska’s PCE Program, maintain a near perfect collection rate from customers, continue to maintain the diesel plant and maintain the wind system in good working order. Sustainability of this project will rely on the village of Koliganek operating the turbines properly and servicing them regularly according to maintenance protocols. There will be a learning curve in operating the proposed wind-diesel system. Adequate training and support has been budgeted, and will be provided by Marsh Creek under a 5 year O&M service agreement. This service agreement will consist of training, operations assistance, and storage of spare parts. This style of service agreement offered by Marsh Creek is working successfully in the village of Kokhanok. Selection of proper O&M protocols will take into account surrounding community systems already in existence. This will positively contribute to the wind market penetration to support trained personnel. We will report savings and benefits in compliance with AEA’s requirements. Similar information will also be included in the annual PCE report. SECTION 7 – READINESS & COMPLIANCE WITH OTHER GRANTS Discuss what you have done to prepare for this award and how quickly you intend to proceed Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 26 of 29 7/1/2013 with work once your grant is approved. Tell us what you may have already accomplished on the project to date and identify other grants that may have been previously awarded for this project and the degree you have been able to meet the requirements of previous grants. The CDR is complete, and it is requested that coordination begin in January 2014 alongside the RPSU CDR process, which has received $300,000. Funding in the amount of $308,000 is requested to update the wind-diesel CDR, in addition to the heat recovery project. SECTION 8 – LOCAL SUPPORT AND OPPOSITION Discuss local support and opposition, known or anticipated, for the project. Include letters of support or other documentation of local support from the community that would benefit from this project. The Documentation of support must be dated within one year of the RFA date of July 2, 2013. See attached letters. SECTION 9 – GRANT BUDGET Tell us how much you are seeking in grant funds. Include any investments to date and funding sources, how much is being requested in grant funds, and additional investments you will make as an applicant. Provide a narrative summary regarding funding source and your financial commitment to the project Project funding is estimated at $316,000. Matching funds will be provided in a form of Cash/in- kind in amount of $10,000. Grant funds requested in the amount of $306,000. In the event that tasks are completed under budget, funds will be allocated to assisting the utility and village council in developing a maintenance schedule. A maintenance schedule will be outlined in the final design and will be implemented during the construction phase. Advanced work in this section will allow for the end users to have advanced understanding on eventual responsibilities. Engaging the community in this process earlier than planned will enhance sustainability of the project. Please provide a short narrative, and cost estimate, identifying the metering equipment, and its related use to comply with the operations reporting requirement identified in Section 3.15 of the Request for Applications. The Supervisory Control and Data Acquisition System (SCADA) will be programmed, after inclusion of wind turbines, to collect necessary energy production and load information to support reporting requirements. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 27 of 29 7/1/2013 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 and Commissioning). Please use the tables provided below to detail your proposed project’s budget. Be sure to use one table for each phase of your project. 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 at 907-771-3031 or by emailing the Grant Administrator, Shawn Calfa, at scalfa@aidea.org. 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 Milestone list below. ) $ $ $ Site Visit 6/6/2014 $18,000.00 $725.00 Cash/In-Kind $18,725.00 Interviews, Meetings, data gathering & Analysis 9/1/2014 $26,000.00 $1,500.00 Cash/In-Kind $27,500.00 35% Design 7/15/2014 $30,000.00 $800.00 Cash/In-Kind $30,800.00 65% Design 9/5/2014 $42,500.00 $800.00 Cash/In-Kind $43,300.00 95% Design 10/31/2014 $46,500.00 $800.00 Cash/In-Kind $47,300.00 Geotechnical Investigation 6/6/2014 $15,000.00 $2,250.00 Cash/In-Kind $17,250.00 Permitting 10/31/2014 $20,000.00 $800.00 Cash/In-Kind $20,800.00 Bat Study 9/5/2014 $85,000.00 $725.00 Cash/In-Kind $85,725.00 RPSU Coordination 10/31/2014 $15,000.00 $800.00 Cash/In-Kind $15,800.00 Integrated Business Plan 10/31/2014 $8,000.00 $800.00 Cash/In-Kind $8,800.00 $ $ $ TOTALS $306,000.00 $10,000.00 $316,000.00 Budget Categories: Direct Labor & Benefits $277,200.00 $8,000.00 $277,200.00 Travel & Per Diem $28,800.00 $ $28,800.00 Equipment $ $2,000 $2,000.00 Materials & Supplies $ $ $ Contractual Services $ $ $ Construction Services $ $ $ Other $ $ $ TOTALS $306,000.00 $10,000.00 $316,000.00 Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 28 of 29 7/1/2013 SECTION 10 – AUTHORIZED SIGNERS FORM Community/Grantee Name: New Koliganek Village Council Regular Election is held: Date: Authorized Grant Signer(s): Printed Name Title Term Signature Herman Nelson, Sr. President, New Koliganek Village Council I authorize the above person(s) to sign Grant Documents: (Highest ranking organization/community/municipal official) Printed Name Title Term Signature Grantee Contact Information: Mailing Address: PO Box 5057 Koliganek, AK 99576 Phone Number: 907-596-3519 Fax Number: 907-596-3462 E-mail Address: newkgkvc@hotmail.com Federal Tax ID #: 92-0046963 Please submit an updated form whenever there is a change to the above information. Renewable Energy Fund Round VII Grant Application - Standard Form AEA 2014-006 Grant Application Page 29 of 29 7/1/2013 SECTION 11 – ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A. Contact information, resumes of Applicant’s Project Manager, key staff, partners, consultants, and suppliers per application form Section 3.1 and 3.4. Applicants are asked to provide resumes submitted with applications in separate electronic documents if the individuals do not want their resumes posted to the project web site. B. Letters or resolutions demonstrating local support per application form Section 8. C. For heat projects only: Most recent invoice demonstrating the cost of heating fuel for the building(s) impacted by the project. D. Governing Body Resolution or other formal action taken by the applicant’s governing body or management per RFA Section 1.4 that: - Commits the organization to provide the matching resources for project at the match amounts indicated in the application. - Authorizes the individual who signs the application has the authority to commit the organization to the obligations under the grant. - Provides as point of contact to represent the applicant for purposes of this application. - Certifies the applicant is in compliance with applicable federal, state, and local, laws including existing credit and federal tax obligations. E. An electronic version of the entire application on CD or other electronic media, per RFA Section 1.7. F. CERTIFICATION The undersigned certifies that this application for a renewable energy grant is truthful and correct, and that the applicant is in compliance with, and will continue to comply with, all federal and state laws including existing credit and federal tax obligations and that they can indeed commit the entity to these obligations. Print Name Herman Nelson, Sr. Signature Title President, New Koliganek Village Council Date Company Profile Marsh Creek, LLC is an ANC company jointly owned by Kaktovik Inupiat Cor- poration and SolstenXP Inc. Our company began as Marsh Creek Government Services in January 2004, and in June 2005, the name was changed to Marsh Creek, LLC with permanent offices in Anchorage, Alaska; Roseville, California; Honolulu, Hawaii; Nampa, Idaho; and Heber City, Utah, including operations in Wyoming and Montana. We also maintain project offices in Deadhorse and Kaktovik, Alaska. Marsh Creek employs over 140 full-time personnel and 25 to 75 additional project-specific hires to address seasonal workloads and meet client sched- ules. Our in-house workforce includes a wide range of craft laborers, special- ized technicians, construction personnel, and scientific and engineering profes- sionals. Marsh Creek maintains general contractor, electrical contractor, and civil engi- neering licenses, and provides a wide range of client-focused services in these areas - Energy Systems, Environmental, Construction, Telecommunications and Facility Operation / Maintenance. Commitment to Quality and Safety Marsh Creek is committed to establishing long-term working relationships by providing high quality services, safely, on schedule and within budget. This commitment starts at the top of our corporate management structure and extends throughout our entire workforce. To support our quality and safety programs Marsh Creek maintains corporate level Quality Control and Health and Safety Plans. These living plans are reviewed and updated frequently to meet changing regulations and new business line needs. While these programs provide the required guidelines for meeting quality expectations and safety compliance, our quality and safety cultures are driven by the pride our employees take in meeting our client’s needs and keeping each other safe. Mick McKay | Chief Executive Officer mick.mckay@marshcreekllc.com Jonathan Ealy | Chief Operating Officer jon.ealy@marshcreekllc.com Doug Koprowski | Chief Financial Officer doug.koprowski@marshcreekllc.com Jennifer Schmalle | HSE Manager jennifer.schmalle@marshcreekllc.com Bryan Lund | Environmental & Construction bryan.lund@marshcreekllc.com John Cameron | Energy Systems john.cameron@marshcreekllc.com John Lyons | Energy Systems john.lyons@marshcreekllc.com Todd Schmalle| Telecommunications todd.schmalle@marshcreekllc.com Duane Werner | Telecommunications duane.werner@marshcreekllc.com Craig Fay | California and Hawaii craig.fay@marshcreekllc.com Jeff Daun| Utah jeff.daun@marshcreekllc.com Marsh Creek, LLC 2000 E 88th Avenue | Anchorage, Alaska 99507 Phone (907) 258-0050 | Fax (907) 279-5710 www.marshcreekllc.com Company Contacts Marsh Creek, LLC Anchorage office Marsh Creek, LLC Statement of Qualifications Marsh Creek, LLC 2000 E 88th Avenue | Anchorage, Alaska 99507 Phone (907) 258-0050 | Fax (907) 279-5710 www.marshcreekllc.com ENERGY SYSTEMS DIVISION Renewable Energy Systems Rural Utility Management Engineered Power Hybrid Power Generation Systems Arctic Power Modules Parts, Sales and Service AC and DC Power Systems Remote Unmanned Power Systems Waste Heat Recovery Compressor System Development and Implementation Compressor and Driver Selection Re-rating of Existing Compressors Controls Upgrades Emissions Upgrades Relocation of Equipment Inlet Cooling Systems Intake and Exhaust Systems Power Generation and Compressor Skid Refurbishment ENVIRONMENTAL DIVISION Planning and Permitting Compliance Monitoring Debris Cleanup, Recycling, and Disposal Underwater Debris Removal Oil and Gas Reserve Pit Closures Hazardous Materials Removals Fuel Storage Tank Removals Contaminated Soil Removal, Transportation and Disposal Groundwater and Soil Remediation Building Demolition Site Restoration and Re-vegetation Ice Road Construction/Maintenance Building Demolition CONSTRUCTION DIVISION Construction Quality Control Oversight and Testing Industrial, Commercial and Residential Structures New Construction and Remodel Steel and Wood Frame Buildings Mechanical and Electrical Systems Earthwork and Drainage Systems Roads and Trails Landfill and Soil Capping Systems Construction Management Submittal Review TELECOMMUNICATIONS DIVISION Site Acquisition New Self-Supported Tower Builds New Monopole Builds New Rooftop Builds Co-Locations for Towers, Monopoles and Rooftops Civil Work and Foundations Tower and Antennae Systems Installation and Maintenance Site Upgrades and Improvements OTHER SERVICES Program Management Health, Safety, and Environment Program Development and Implementation Quality Assurance and Quality Control Program Development and Implementation Oil and Gas Exploration Well Plug and Abandonment Mobilization/Demobilization Support via Road, Cat-Train, Barge, and Air Camp Facilities and Operations Remote Fueling Representative Clients Air Force Center for Engineering and the Environment | Alaska Energy Authority Alaska Village Electric Cooperative | Bureau of Land Management | GCI Defense Energy Support Center DOE/Office of Indian Energy | FAA | Geophysical Institute UAF Native Village of Kokhanok | SKW Eskimos, Inc. | TDX Power | U.S. Army U.S. Coast Guard | U.S. Army Corps of Engineers | U.S. Fish and Wildlife Service Marsh Creek, LLC offers services in these areas: Energy Systems, Environmental, Construction, and Telecommunications Marsh Creek, LLC Statement of Qualifications Representative Energy Projects Page 3 Marsh Creek, LLC was selected by the Lake and Peninsula Borough and RISE Alaska to erect two reconditioned Vestas V-17 90kW wind turbines on 85’ lattice towers in the Southwestern Alaska vil- lage of Kokhanok. The high penetration hybrid configuration is designed to operate with diesels off when wind energy is consistently sufficient to cover the village load. In 2012 the wind turbines offset 5,922 gallons of fuel at the diesel plant while making nearly 50,000 kWhs over and above 2010 gen- eration from diesel only. Excess electricity from the wind turbines is directed to a hot water tank. This hot water is added to the diesel jacket water heat recovery system to supplement the diesel fired boilers that heat to the school and teacher housing. The school used 1,615 gallons less fuel for heat than in 2010. The hybrid system saved the village of Kokhanok $45,825 for diesel fuel in 2012. The same gallons saved would be worth $82,907 at the most recent diesel price of $11 per gallon. Once completely commissioned in the Summer of 2013, the hybrid system will provide sig- nificantly higher fuel savings. Marsh Creek will provide operation and maintenance service to Kok- hanok’s Wind-Diesel System through the Lake and Peninsula Borough for 5 years. During that time Marsh Creek plans to train a local operator to do, at a minimum, basic O&M on the system. Hybrid Wind-Diesel System Construction and O&M, Kokhanok, Alaska Marsh Creek installed a Vbine Vertical Axis Wind Turbine (VAWT) that is currently surpassing all expectations, and is in the process of installing an additional 4 at the U.S. Fish and Wildlife's (USFWS) Izembek National Wildlife Refuge (NWR) headquarters in Cold Bay, Alaska and Alaska Peninsula NWR headquartered in King Salmon, Alaska. The turbines look very different from the typical horizontal axis wind turbines, which use large blades to harness the energy of the wind. These VAWT’s are specifically designed to reduce the risk to migratory birds because the birds see the spinning cylinders as solid objects and avoid them. The USFWS is actively exploring alternative energy sources on various national wildlife refuges. With some of the highest winds in Alaska, Cold Bay is a prime site to harness wind power. The in- tent was to reduce dependence on fossil fuels and develop a sustainable, ecologically-friendly power generation system. The USFWS is actively exploring alternative energy sources on various national wildlife refuges. With some of the highest winds in Alaska, Cold Bay is a prime site to harness wind power. The intent was to reduce dependence on fossil fuels and develop a sustainable, ecologically- friendly power generation system. The wind energy generated will be used primarily to offset heating fuel. The majority of the energy generated by the turbines will be sent to special “ceramic brick” boilers used to heat water which will augment the building heating and domestic hot water systems. Once the buildings are heated to the desired temperatures, excess energy can then be used to offset facility electric usage. USFWS Cold Bay & King Salmon VAWT Installation Marsh Creek provides O&M and power generation services to several communities around Alaska with complete parts support. Services include preventive mainte- nance and repair of prime power generation systems, switchgear, uninterruptible power supply (UPS) systems and standby generator sets. Support and service of other DC and alternating current (AC) power equipment including stationary battery systems. Construction and maintenance of underground and overhead electrical distribution systems. Sales and installation of standby and prime power generator sets, single and three-phase UPS systems, DC power boards and accessories. 24- hour emergency response service. O&M agreements for wind: City of St. George, Kokhanok Electric, Unmak Electric (Nikolski), USFWS Cold Bay , USFWS King Salmon. Service agreement clients: AEA Village Emergency Response, DOT RWIS sites, Anchorage Crime Lab, Nunam Iqua Electric Company. Operations and Maintenance — Alaska Representative Energy Projects Page 4 An existing anemometer tower was moved from a turbulent spot to a location hoped to provide a more favorable resource. Five potential hydropower sites were visited for development potential. A 5 kW solar array on a tracker was installed (purchased with a different grant). Stakeholder meetings were convened to discuss energy use and potentials for reducing fuel use and/or saving money on energy. Youth at the Kake Culture Camp were treated to an energy lab to learn about electricity. A 3 day Community Energy Planning session resulted in a Community Energy Plan. Kake, Alaska Anemometer Erection and Feasibility Study Stakeholder meetings were convened to discuss energy use and potential ways to reduce fuel use and/or save money on energy. The Clinic was highlighted as an energy hog with design flaws. ANTHC participated in a stakeholder meeting and was able to get the w/ww lines repaired to one sink and one toilet during their visit. Damage to AVEC’s line to intertie Teller with Brevig Mission’s power plant was inspected. AVEC provided an update to the community on expected storm damage repairs to the line at the stakeholder meeting. The START Team facilitated a fuel transfer from an AVEC tank to the Teller Native Corporation tank. This saved traveling by snow machine to Brevig Mission to purchase expensive and limited fuel by the drum. RurALCAP spent a day with students and an evening with the community demonstrating energy concepts and energy saving techniques. A Community Energy Plan was completed to aid the community with future funding applications. Teller, Alaska Energy Workshop Many tribal communities in Alaska are in remote locations with extreme energy costs and low per capita incomes. These communities often have diverse energy issues. The START program has three main objectives; 1) reduce the portion of tribal household incomes spent on energy through enhanced energy efficiency, conservation, and renewable development; 2) improve community opportunities to apply for and win grants for developing clean energy-based private and commu- nity industry opportunities in Tribal areas; and 3) create a new model for community-scale renew- able energy development and energy consumption reductions. Five communities were selected for the 2012 season; Kake, Arctic Village, Teller, Venetie, and Kwinhagak. S.T.A.R.T. (Strategic Technical Assistance Response Team) - Alaska Initiative A Test Case Year Report was completed and provided to the RCA so Venetie Village Electric could be reinstated to the PCE Program. Utility Clerk Training was provided, but Marsh Creek is providing reporting and billing services until local staff is comfortable taking over. Youth were treated to an evening of energy lab experiments to learn about electricity. RurALCAP spent a day with students and an evening with the community demonstrating energy concepts and energy saving techniques. Electric metering problems were addressed – dangerous meter bases were replaced, old dial meters were replaced with new digital meters and the SRE building at the air- port was metered. A rebuilt gen-set on site was integrated at the diesel plant and two additional generators were serviced. Venetie, Alaska Stakeholder meetings were convened to discuss energy use and potential ways to reduce fuel use and/or save money on energy. Marsh Creek assisted Arctic Village Electric obtain a Certifi- cate of Public Convenience and Necessity for their utility so they are eligible to collect PCE. Marsh Creek provided Utility Clerk training, monthly PCE reporting and billing. One gen-set was overhauled and two other gen-sets were serviced. A fourth gen-set was determined to have fatal problems that cannot be repaired on site. RurALCAP spent a day with students and an evening with the community demonstrating energy concepts and energy saving techniques. AMPY Pre- Pay Electric Meters were installed in June 2013. Arctic Village, Alaska Energy Workshop, PCE, and Generator Sets Stakeholder meetings were convened to discuss energy use and potential ways to reduce fuel use and/or save money on energy. Housing problems and the new home designs being piloted by CCHRC were reviewed. A Heat Recovery System from the diesel plant to the nearby W/WW Plant was promoted to AVEC as the W/WW plant used 2,000 gallons of fuel a month in the winter of 2012 – ANTHC applied for a Renewable Energy grant to install the system. RurALCAP spent a day with students and an evening with the community demonstrating energy concepts and en- ergy saving techniques. Kwinhagak, Alaska Village Energy Workshop Marsh Creek and the Aleutians East Borough (AEB) worked with the community of Cold Bay and the local G&K Electric utility to submit a grant application to the Renewable Energy Fund Round IV. The grant was awarded and funding was made available in Fall 2011. Marsh Creek is working with AEB and G&K to complete a wind feasibility assessment in Cold Bay, Alaska. Cold Bay is located on the Izembek National Wildlife Refuge at the western end of the Alaska Peninsula. The wind feasibility work includes gaining a letter of non-objection for the wind tower, erecting a metrological tower, gath- ering wind data for one year, developing a permitting and avian study plan, and conducting a geo- technical reconnaissance to determine the soil conditions and engineering needs at the site. All of this information is gathered into a Conceptual Design Report addressing the current diesel power and distribution system to identify upgrades necessary to integrate wind power, a variety of wind turbine models, and quantity configurations considered. Cold Bay, Alaska Met Tower Erection and Feasibility Study Marsh Creek and the Aleutians East Borough (AEB) worked with the community of Nelson Lagoon and the local Electric Utility, Nelson Lagoon Electric Cooperative, to submit a grant application to the Renewable Energy Fund, Round IV. Nelson Lagoon is located on the North coast of the Alaska Pen- insula on a narrow spit that separates the lagoon from the Bearing Sea . The grant was awarded and funding was made available in Fall 2011. Marsh Creek is working with AEB and Nelson Lagoon to complete a wind feasibility assessment in Nelson Lagoon, Alaska. The wind feasibility work includes gaining a letter of non-objection for the wind tower, erecting a metrological tower, gathering wind data for one year, developing a permitting and avian study plan and conducting a geotechnical reconnais- sance to determine the soil conditions and engineering needs at the site. All of this information is gathered into a Conceptual Design Report addressing the current diesel power and distribution sys- tem to identify upgrades necessary to integrate wind power, a variety of wind turbine models, and quantity configurations considered. In summer 2012 Marsh Creek successfully obtained permission for the USFWS to erect a 10M monopole tower, with no guy wires, using a tilt up tower design. Nelson Lagoon, Alaska Wind Feasibility Study Marsh Creek and the Aleutians East Borough (AEB) worked with the community of False Pass and the local Electric Utility, owned and managed by the City of False Pass, to submit a grant application to the Renewable Energy Fund, Round IV. The grant was awarded and funding was made available in Fall 2011. Marsh Creek is working with AEB and False Pass to complete a wind feasibility assess- ment in False Pass, Alaska. False Pass is located on the eastern shore of Unimak Island on a straight connecting the Pacific Gulf of Alaska to the Bering Sea. The city of False Pass had already installed a meteorological tower and collected two (2) years of wind data. The wind feasibility work includes compiling a wind resource analysis and geotechnical investigation. The Conceptual Design Report will address the current diesel power and distribution system to identify upgrades needed to integrate wind power, a variety of wind turbine models, and quantity configurations considered. False Pass, Alaska Wind Energy Feasibility Study Representative Energy Projects Page 5 Ampy Pre-Pay Electric Meters have been installed in 34 villages from as far north as Chalkyitsik to the end of the Aleutian Chain and one system in British Columbia. The turn key package includes installation, utility staff training, a desktop computer, a lap top computer, a printer and all essential equipment for your single-phase customer metering needs. Utility and customer response has been overwhelmingly positive. Utilities appreciate the positive cash flow and customers are grate- ful for control over their usage and expenses. Watching your money go backwards on the in-home display is a powerful motivator to learn conservation techniques. Customers see the cost of usage in real time and can identify high usage appliances and limit their usage. The utility wins, and so does the customer. Ampy Projects, Statewide Alaska Marsh Creek provides utility management services which include training and assistance – as little or as much as is needed. We can instruct utility staff how to maintain records, bill customers and complete all monthly and annual reporting requirements for the State of Alaska Power Cost Equalization program. Or, MC can do the job for the utility. MC’s goal is “to work ourselves out of a job” and keep the money within the local community Utility Management, Statewide Alaska www.marshcreekllc.com Representative Energy Projects Page 6 This project was awarded funding in the Renewable Energy Fund Round II as a construction pro- ject to install one megawatt of wind generation. Dillingham is located at the extreme northern end of Nushagak Bay in northern Bristol Bay, at the confluence of the Wood and Nushagak Riv- ers. The project was re-scoped to be used for a study of integrating wind energy into the existing and proposed Nushagak Electric power generation and distribution system. In Fall 2011, Marsh Creek was brought onto the project to assess potential sites for wind power generation. Two (2) meteorological (met) towers were erected to gather wind data for one year. Marsh Creek will prepare wind resource analyses for the two new met towers, and will provide an analysis of the wind resources available in the area utilizing obtained and existing wind resource information. Marsh Creek will develop a permitting and environmental plan, conduct a geotechnical reconnais- sance, establish potential diesel, wind-diesel, hydro-diesel, and wind-hydro-diesel system power generation and transmission alternatives, and evaluate a potential intertie between Dillingham and Manokotak. All of this information will be gathered into a Conceptual Design Report. Dillingham Area Wind/Hydro Study This project was awarded funding in the Renewable Energy Fund Round I to provide feasibility, design, permitting, and construction funds for the communities of Buckland, Deering and Noor- vik. Deering is located on Kotzebue Sound at the mouth of the Inmachuk River, 57 miles south- west of Kotzebue. The grant was re-scoped to be used for an independent third party review of a wind-diesel design in Deering prior to any construction. In summer 2012, Marsh Creek was se- lected by the Deering electric utility, Ipnatchiaq Electric Company, to provide third party verifica- tion. Marsh Creek will reinstall the SCADA system to allow for accurate system load modeling, provide a full assessment of the existing diesel system and electrical distribution survey to deter- mine what modifications are needed to integrate wind energy and provide and a third party review of the conceptual design provided by WH Pacific. Deering Wind System Assess Pre-Construction Marsh Creek worked with the community of Koliganek and the local electric utility, New Koliganek Village Council Electric (owned and managed by the Village) to submit a grant application to the Renewable Energy Fund, Round IV. The grant was awarded and funding was made available in Winter 2012. Marsh Creek is working with Koliganek to complete a wind feasibility assess- ment. Koliganek is located on the left bank of the Nushagak River and lies 65 miles northeast of Dillingham. The Village of Koliganek had already completed a wind resource analysis. The wind feasibility work includes developing a permitting and environmental plan, energy resource and cost analysis and conducting a geotechnical reconnaissance to determine the soil condi- tions. This information is gathered into a Conceptual Design Report which addresses the current diesel power and distribution system to identify upgrades needed to integrate wind power, a vari- ety of wind turbine models and quantity configurations considered, and the viability of a diesel heat recovery system. New Koliganek, Alaska Met Tower Erection and Feasibility Study Marsh Creek, LLC is the statewide distributor for HALUS Power Systems, a renewable energy products and services company. HALUS is America’s leading supplier of remanufactured wind turbines and offers the industry’s most advanced after-market controller for fixed-pitch wind tur- bines. HALUS has been providing wind turbines to Alaska for nearly a decade. HALUS’s unique controls are designed specifically for stall-regulated generators. The Marsh Creek-HALUS part- nership provides Alaska with unmatched logistical coordination of Vestas-certified turbine techni- cians and also a parts and services inventory specifically for your project. HALUS Power Systems Distributor — Alaska The Wind-Diesel Application Center, Alaska Center for Energy and Power, University of Alaska Fairbanks (WiDAC) contracted Marsh Creek to assist with the implementation of a Wind-Diesel Hybrid Test Bed. The Test Bed is intended to help forward wind-diesel research both within and outside the state of Alaska. To support this goal, Marsh Creek and WiDAC conducted high pene- tration wind-diesel research and will evaluate system components for performance and durability for use in rural and remote areas. Major components of this project included lead acid battery bank, wind turbine simulator, grid-forming energy storage power converter. Wind Diesel Hybrid Test Bed Design/Assemble and Initial Testing www.marshcreekllc.com Representative Energy Projects Page 7 Ocean Renewable Power Company (ORPC) and Marsh Creek worked together to submit a grant appli- cation to the Emerging Energy Technology Fund Round I. The grant was awarded and funded in winter 2013. The RivGen Project will be carried out in several distinct steps. Marsh Creek and ORPC will de- ploy and install the RivGen device “Cook Inlet” near the town of Nikiski, Alaska, where tidal currents offer a “virtual river” testing environment. After this testing is complete, the RivGen device will be disas- sembled and shipped to the village of Igiugig, Alaska. At Igiugig, the device will be installed in the Kvi- chak River, and connected to the village’s microgrid. The RivGen Power System will be monitored and evaluated for performance for a period of 6-12 months, after which the RivGen will be disconnected and redeployed to Nenana, Alaska for testing in the Tanana River. Emerging Energy Technology Fund: RivGen Power System Commercialization Project Marsh Creek and Flux Drive worked together to submit a grant application to the Emerging Energy Technology Fund Round I. The grant was awarded and funded in winter 2013. Marsh Creek will demonstrate a method of improving fuel efficiency for a diesel-electric generator set by allowing the diesel engine to operate at significantly lower rotational speed when power demand in- creases. A permanent magnet coupling, developed by Flux Drive, will be used for implementing controlled coupling between the diesel engine and electric generator, which will allow maintaining fixed rotational speed of the electric gen- erator at various engine rotational speeds. High Efficiency Diesel Electric Generator Set Marsh Creek is working with the Aleutian Pribilof Island Association Inc. (APIA) on a feasibility study to determine if a tidal energy project would be a viable means to generate electricity and heat to meet these long term fossil fuel use reduction goals; particularly to produce at least 30% of the electrical and heating needs of the tribally-owned building in False Pass. False Pass is located on the eastern shore of Unimak Island on a straight connecting the Pacific Gulf of Alaska to the Bering Sea. The feasibility work includes researching into existing reports and collecting data on False Pass and the Bering Pacific Seafood plant energy usage, researching and verifying current electrical transmission and genera- tion infrastructure to determine where possible interconnection locations are and what capacity of electricity could be safe, reliably and effi- ciently integrated into the False Pass Grid, and assessing the viability of using electrical power for heating either through resistive loads or a seawater heat-pump system and compiling the analysis into a report. Feasibility of Tidal and Ocean Current Energy in False Pass Ocean Renewable Power Company (ORPC) contracted Marsh Creek to assist with the development of a hydrokinetic technology for generating electricity from tidal, deep water ocean, and river cur- rents. Marsh Creek was tasked with conducting permitting, design, building, and testing of a bottom support frame (BSF), its anchoring system, and debris-detection system off the Nikiski dock. Testing included deployment, operation, retrieval, and decommissioning of BSF and its anchoring system. De- ployment and retrieval of the unit off of the Nikiski Dock in tidal currents will emulate a river environment and provide representative weight and drag loads the unit would be under. Future plans include testing the unit in a typical Alaskan River environment incorporating heavy debris and suspended sediment loads. Nenana, Alaska RivGen Power Project Phase I Acumentrics applications include cathodic protection on pipe- line, well casings, instrumentation/control (SCADA), chemical injection pumps, telecom sites, microwave repeater sites, and various other off-grid sites. Marsh Creek installed one unit at the Exit Glacier Nature Center, which provides 1kW of power for the center’s electrical needs. The fuel cell converts chemi- cal energy in fuel to electric power through an efficient electro- chemical process. Acumentrics Solid Oxide Fuel Cell www.marshcreekllc.com Marsh Creek, LLC provided Construction Management services for a new Hydro-Electric Plant in the village of Atka. Located on Atka Island, the village is approximately 1,200 air miles South- west of Anchorage in the Aleutian Chain, accessible only via small plane and boat. Scope of work included transmission and intertie with the existing diesel plant; construction of new dam and penstock; installation of switchgear and controls; setting and alignment of turbine and gen- erator; and full commissioning. Marsh Creek created a materials list for RFP and procurement; solicited skilled tradesmen, selected and procured necessary equipment, ensured compliance with permitting, and managed subcontracts. Marsh Creek also maintained complete records of construction; advised client of construction requirements; provided detailed reporting and invoic- ing; and managed all aspects of the new hydro-electric plant construction process. Representative Energy Projects Page 8 Marsh Creek worked with the Alaska Energy Authority (AEA) under a term contract agreement to replace the primary distribution system in Akutan, Alaska. Akutan is located on Akutan Island in the eastern Aleutians, one of the Krenitzin Islands of the Fox Island group. Work included complete replacement and upgrade of underground primary distribution system from 2,400/4,160V to 7,200/12,470 grounded WYE system. Project installed 18 single-phase pad- mounted transformers, 4 three-phase pad-mounted transformers and 6 three-phase junction boxes. Akutan Primary Distribution Upgrade The City of Akutan worked with Marsh Creek to receive a Community Development Block Grant (CDBG) through the U.S. Department of Housing and Urban Development to replace the secon- dary distribution in Akutan, Alaska. CDBG’s funds local community development activities such as affordable housing, anti-poverty programs, and infrastructure development. Under the CDBG Marsh Creek replaced and upgraded the secondary distribution system which included secon- dary service to 48 building and new meter boxed at the seven public buildings. At the same time the City of Akutan contracted Marsh Creek to replace 33 meter bases not covered under the CDBG. Akutan Secondary Distribution Upgrade Complete installation of underground primary and secondary distribution system. New system includes 6 single-phase transformers, 6 three-phase junction boxes, 13 secondary pedestals and 18 new stainless steel meterbases. Project is underway in Atka, located on Atka Island, about 1,200 airmiles Southwest of Anchorage in the Aleutian Chain and accessible via seaplane and boat only. Project deliverables included obtaining and complying with SWPPP, providing detailed reporting & invoicing, and complying with Davis-Bacon certified payroll requirements. Atka Electrical Distribution Upgrade Marsh Creek worked with the City of Akutan under the Renewable Energy Stimulus package for rural communities to save costs on projects that will save energy to replace existing High Pres- sure Sodium (HPS) streetlights with LED streetlights. Akutan is located on Akutan Island in the eastern Aleutians, one of the Krenitzin Islands of the Fox Island group. Marsh Creek replaced existing 150 Watt HPS streetlights with thirty seven (37) 50W Evolucia aimed LED Cobrahead lights, and replaced the existing aluminum streetlight arms with new galvanized ones. Annual energy consumption for the street lights was previously 25,629 kWh costing the City $8,392 a year with HPS streetlights. Annual consumption dropped to 8,544 kWh and cost the City $2,799, saving the city $5,593 in diesel fuel. Akutan Evolucia Aimed Optics LED Lighting Atka, Alaska Hydro-electric Plant www.marshcreekllc.com Proposal Title: Bat Monitoring Study for Proposed Windfarm at Koliganek, Alaska Introduction: The principal goal of this baseline bat study is to identify the species of bats found at the Koliganek, AK wind turbine site and describe the temporal and spatial use by bats of the study area. This baseline information on bats will be useful in evaluating the probable impact of installation of a wind turbine in Koliganek, Alaska. Recent evidence shows that certain species of bats are particularly susceptible to mortality from wind turbines. Bats are beneficial consumers of harmful insect pests, and migratory species of bats cross international and interstate boundaries. The bats in Koliganek are considered valuable to the residents because they eat biting and annoying insects. Bird studies regularly provide data that allows for predicting bird mortality from wind energy projects, but so little is known about bats and their interactions with turbines, predictions of bat strikes can be very difficult. Accordingly, this study design will include monitoring and data collection both before construction and after the wind turbine is operations. The secondary goal of this project is to use the data to provide predictive models for at strikes which will be useful for scientists in Alaska and North America to provide bat protection mitigation such as turbine placement and operational strategies. Methods: At this point in our understanding of bats and wind turbines we don't really know of good ways to accurately predict whether a turbine is likely to impact a lot of bats prior to construction, nor have we seen any clear patterns in how fatality rates of bats at turbines relate to the placement of a turbine in a landscape. Scientists in Alaska lack validated tools for predicting risk. Certain bats may be attracted to turbines (maybe as roosting sites or something else), in which case they may not be present and detectable at a turbine site until it is built. Nonetheless, most (about 75%) fatalities of bats at turbines in the lower 48 and Canada involve about three species we refer to as migratory tree bats. There are the hoary bat, eastern red bar, and silver-haired bat. The silver-haired bat is the only of the three that occurs in Alaska, so it is a species we will try and detect in the area where the turbine is going to be built. The little brown bat is common in Alaska, and we expect to detect this species in the study area. All surveys will be accompanied by a standardized set of environmental data collected at the beginning of all sampling sessions: (1) average wind direction (to the nearest 5); (2) average wind speed (mi/h); (3) cloud cover (to the nearest 5%); (4) ceiling height (10 categories; 0 m, 1– 50 m, 51–100 m, 100–150 m, 151–500 m, 501–1000 m, 1001–2500 m, 2501–5000 m, >5000 m, clear sky); (5) minimal horizontal visibility (seven categories; 0–50 m, 51–100 m, 101–500 m, 501–1000 m, 1001–2500 m, 2501–5000 m, or >5000 m); (6) light condition (six categories ; a combination of light level [day, crepuscular, night] and whether or not precipitation is occurring [no, yes]); and (7) precipitation level and type (10 categories; no precipitation, fog, drizzle, light rain, heavy rain, scattered showers, sleet, snow, hail, or mixed precipitation). MIST-NETS Mist nets will be deployed to catch bats for identification, tagging and release. All observations will be recorded in field notes and using recording equipment (Ipad) as appropriate and necessary. Record all observations of captured bats including sex, species, age and breeding condition. Include date, time of observations, observer's name, weather conditions, visibility, and observations (to include species of bat moving in the area and their proximity and altitude in relation to the proposed wind turbine site; flight behaviors; prey); note bat location on an area map; and photograph the bats to document species, sex, etc. BAT DETECTORS The ultrasonic calls of bats are used to navigate and detect and capture prey. Different species produce different echolocation calls. Sonic bat detectors collect and convert the ultrasonic calls into audio and sonograms which can be used to identify different bat species and note various behavioral patterns. We will deploy bat detectors at several locations during the study period. This will be accomplished by attaching a bat detector such as TrakaBat detector or AnaBat (either SD1 or those equipped with CF ZCAIMS) units to 1-2 meteorological towers, with 1 unit positioned at 5 meters of the ground, and/or 1 unit within or as close as possible to the rotor swept area. In an effort to standardize results among study sites, the AnaBat’s sensitivity will be adjusted to detect a calibration tone3 at 20 meters. AnaBat units will monitor from 0.5 hour before sunset until 0.5 hour after sunrise. A “pass” will be defined as any file with ≥2 echolocation pulses. When possible, detections will be identified to species or species group (e.g., big brown/silver-haired). AnaLook. Mist net surveys will be used for bat species identification verification, habitat use and enumeration. RADAR SURVEYS We will conduct radar/audiovisual surveys at night for 7 days in the summer (within the period, June 1-20) and 7 days in the fall (within the period, 27 August and 2 November); data will be collected during 8–9 hours/day. Radar data will be collected with a Furuno FR–1510 marine radar operating in surveillance mode at 9.410 MHz; these marine radars have been shown to be excellent for bat studies. This unit is an X-band radar that operates well to record bat movements but cannot sense targets through raindrops or snowflakes (but it can scan through fog). With the radar, we will measure (1) movement rates (number of targets/unit of time); and (2) target speed and direction and location on the radar screen (this allows description of where bats fly, their flight direction, and their location within the study area [for example, relative to possible turbine locations]). Data recorded during 10-minute movement counts will include: (1) sampling session number; (2) time; and (3) number of targets. Data collected during 15-minute speed/direction surveys will include: (1) sampling-session number; (2) time; (3) multiplier (number of targets flying the same direction); (4) cardinal transect crossed (north, east, south, west); (5) flight direction (to the nearest 1); (6) velocity (groundspeed; to the nearest 5 mi/h); (7) nearest perpendicular distance (to the nearest 1 m; used to reconstruct flightlines, if needed); and (8) location within the study area. In addition, species (or lowest possible taxon) and number of bats for each radar target will be recorded for those targets for which identifications are made. The audiovisual surveys will be conducted concurrently with the radar surveys (i.e., 8–9 hours/night) and the observer will use Generation 2 or 3 night-vision equipment to identify and study movements of bats; bats echolocation sounds also will be recorded. The performance of the night-vision equipment will be improved with the use of a 3-million-candlepower spotlight that has an IR filter so that the light is not visible to bats. The audiovisual observer will work interactively with the radar observer to locate and identify to species as many radar targets as possible. Data collected by the audiovisual observers will include: (1) session number; (2) time; (3) species (or lowest possible taxon); (4) number of bats; (5) ordinal flight direction (nine categories; north, northeast, east, southeast, south, southwest, west, northwest, non-directional); (6) minimal flight altitude (meters above ground level [m agl]; five categories; 1 m [if landing or taking off], 30 m, 31–100 m, 101–250 m, >250 m); (7) flight altitude (m agl; estimated actual value); (8) flight behavior (four categories; straight-line, erratic, circling, lands or takes off); and (9) location within the study area. Most bat fatalities happen between mid July and October, so if silver-haired bats are present in the area during those times prior to installation we may be able to make strike predictions. Other species of bats that occur in Alaska may be susceptible (like little brown bats or northern long- eared bats) but it’s unlikely they would be as susceptible. The study period would be two week periods between mid-summer and fall migration (September). Another consideration is that turbines mostly affect what we think are migrating bats and we do not know much about migration in Alaskan bats. Accordingly, data will be collected by interviewing Koliganek residents of first sightings in summer, last sightings in fall and information about bats hibernating in or near the community. It's also possible that hoary bats migrate as far north as Alaska, but haven't been detected yet. We will attempt to collect these data by bat species. These research data will be collected prior to construction, but it will be necessary to know whether the turbine is causing bat fatalities during late summer and fall like they consistently do at lower latitudes. Turbines seem much better at sampling that species than we ever have (about 40-50% of all bat fatalities are hoary bats) and if they are there in the state it's likely they will show up dead beneath a turbine. That might tell us important things about the bat strike process and allow for mitigating wind project effects on bats in Alaska. A subsequent study will collect data of bat strikes and focus on searching for dead bats under the turbine and surveying residents for changes in local bat behaviors and numbers. Data Analysis: The investigators will summarize the observational data as movement rates, flight directions, velocities, areas of movement, species and numbers of bats. We will summarize the night and day audiovisual data as movement rates, frequencies of flight directions, flight altitudes and frequencies of behaviors. The report will describe flight patterns and delineated areas around the proposed turbines site. The publication will present a predictive model for mitigating wind turbine projects so as to reduce or eliminate bat mortality. Schedule and Deliverables: March 2013 contract received March 2013 contracting for principal investigator and co-PI March-April 2013 purchase nets, tags, receivers, sonic detectors June 2013 - September 2013 conduct research, audiovisual, radar and visual surveys. December 1, 2013 submit the Draft Report for review. December 2013 prepare paper for submission to peer-reviewed journal January 2013 Submit the Final Report. Budget: Salary and benefits (project admin): $15,585 Travel: Anchorage to Koliganek (2 RTs) $1,000 Ft. Collins to Koliganek (1 RT) $1,500 Per Diem: 21 days @ $225/day $4,725 Contracts: Principal investigator/researcher $35,000 USFWS bat researcher (co-PI) and to assist in report writing $10,000 Sonic data anal ysis $4,000 Portable Radar Lab (includes Radar & Night Vision Goggles; $400/day) Radar data analyses $4,000 Supplies: nets, tags, receivers, sonic detectors $8,000 Marsh Creek, LLC Budget Existing Total Account Line Item or New Budget Adjusted Budget Adjustments Budget 5210 Salaries/Wages 11750.00 11750.00 5220 Fringe Benefits 0.34 3835.00 3835.00 5370 Client Services 61000.00 61000.00 5420 Travel 2500.00 2500.00 5440 Per Diem 4725.00 4725.00 5510 Rent 5540 Telephone 200.00 200.00 5540 Utilities 5610 Office/Field Supplies 8000.00 8000.00 5620 Copies 150.00 150.00 5840 Advertising/Subscriptions 5650 Postage 400.00 400.00 5670 Staff Training/Registrations/Dues 5840 Meeting Expense (On Site) 5810 Insurance 400.00 400.00 5215 Board Fees/Honorariums Total Direct Costs 82,360.00 82,360.00 Key Personnel: Bruce Wright will be the Principal Investigator for this project. Wright’s university studies included the study of birds, he was a University of Alaska professor for avian courses for 12 years, chairman of the Board of Directors of the Bald Eagle Research Institute and lead editor of Bald Eagles in Alaska. Bruce has studied wildlife since 1978 and has experience with visual studies of bird and bat movements and migration and at pre-construction baseline studies for windfarms. Wright is currently investigating a wind project’s affects on wildlife and especially for birds and bats in Alaska. Wright is a leader in avian and bat assessment and mitigation studies in Alaska. He worked of the Knik Tribal Council contracting with Tanadgusix Corporation which is an Alaska Native village corporation to do the avian, bat and wildlife studies for the Tatitlek, Alaska wind feasibility study. Wright was the PI on the Tatitlek project. Wright was the lead on the Sand Point wind project’s avian and bat studies. This project lasted two years and resulted in $2M from DOE to install two V39 wind turbines. Wright also led the Nikolski avian studies where a 65 kW turbine was installed. Wright is the past project manager for the Tanadgusix Corporation’s 3 Capes project consisting of installation of two V27 turbines at three sites in western Alaska; Cape Newenham, Cape Romonzof and Cape Lisburn for the USAF long-range radar sites. He oversaw avian and bat surveys for the $12M project. Confirmation of Business Organization: Marsh Creek, LLC (Marsh Creek), is a Small Business Administration certified 8(a) ANC company jointly owned by Kaktovik Inupiat Corporation and SolstenXP. Our company began as Marsh Creek Government Services in January 2004, and in June 2005, the name was changed to Marsh Creek, LLC with permanent operations in Anchorage, Alaska; Roseville, California; Honolulu, Hawaii; Nampa, Idaho; Heber City, Utah; and McLean, Virginia. We also maintain project offices in Deadhorse and Kaktovik, Alaska. Marsh Creek employs over 100 full-time personnel and 40 to 60 additional project-specific hires to address seasonal workloads and meet client schedules. Our in-house workforce includes a wide range of craft laborers, specialized technicians, construction personnel, and scientific and engineering professionals. Marsh Creek maintains general contractor, electrical contractor, and civil engineering licenses, and provides a wide range of client-focused services in four primary areas; Environmental, Energy Systems, Construction, and Telecommunications. Commitment to Quality and Safety Marsh Creek is committed to establishing long-term working relationships by providing high quality services, safely, on schedule and within budget. This commitment starts at the top of our corporate management structure and extends throughout our entire workforce. 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