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HomeMy WebLinkAbout01-10-2022 Climate Action CommissionIowa City Climate Action Commission Agenda Monday, Jan. 10, 2022, 3:30 – 5:00 p.m. Emma J. Harvat Hall Iowa City City Hall 410 E Washington Street Meeting Agenda: 1. Call to Order 2. Roll Call 3. Approval of Nov. 1, 2021 minutes 4. Public Comment of items not on the Agenda Commentators shall address the Commission for no more than 3 minutes. Commissioners shall not engage in discussion with the public concerning said items. 5. Staff Announcements a. Welcome New Climate Action Commission Appointees: i. Gabe Sturdevant ii. Michal Eynon-Lynch b. Action items from last meeting (November) c. Climate Action Plan Update (Staff request deferring discussion to Feb.) 6. Officer Elections a. Chair b. Vice-Chair 7. Old Business: a. Presentation of Iowa City Climate Action Marketing Study by Cause Impacts b. Presentation of Draft Iowa City Solar Study by Johnson Clean Energy District 8. New Business: a. Updates on working groups (see reports in agenda packet) i. Buildings (Krieger, Soglin, Grimm) ii. Outreach (Krieger, Fraser, Bradley) iii. Equity (Hutchinson, Hill) iv. Adaptation (Leckband, Giannakouros) 9. Recap of actionable items for commission, working groups, and staff 10. Adjourn If you will need disability-related accommodations in order to participate in this meeting, please contact Sarah Gardner, Climate Action Engagement Specialist, at 319-887-6162 or at sarah-gardner@iowa- city.org. Early requests are strongly encouraged to allow sufficient time to meet your access needs. MINUTES PRELIMINARY IOWA CITY CLIMATE ACTION COMMISSION NOVEMBER 1, 2021 – 3:30 PM – FORMAL MEETING EMMA J. HARVAT HALL, CITY HALL MEMBERS PRESENT: John Fraser, Stratis Giannakouros, Ben Grimm, Megan Hill, Matt Krieger, Becky Soglin, Eric Tate, Kasey Hutchinson (via zoom), Jesse Leckband (via zoom) MEMBERS ABSENT: Grace Holbrook STAFF PRESENT: Daniel Bissell, Sarah Gardner, Rachel Kilburn OTHERS PRESENT: V Fixmer-Oraiz, Judy Joyce CALL TO ORDER: Fraser called the meeting to order at 3:46 p.m. Noted technical difficulties impacting Hutchinson and Leckband ability to participate virtually. APPROVAL OF OCTOBER 4, 2021 MINUTES: Krieger moves to approve the minutes from October 4, 2021. Soglin seconds the motion, a vote was taken and the motion passes 7-0. PUBLIC COMMENT OF ITEMS NOT ON THE AGENDA: None. STAFF ANNOUNCEMENTS: Action Items from last meeting: Staff researching repair costs for covered equipment for energy efficiency incentive program. Jane Wilch, Iowa City Recycling Coordinator, will present at January 2022 meeting. Fraser encouraged watching the UN advertisement for COP 26: Dinosaur lobbies against extinction. 2020 Greenhouse Gas Inventory Updates: Achieved 49% reduction from 2010 to 2020 (surpassed goal of 45% reduction by 2030), Kilburg noted significant drop in industrial sector and impacts from MidAmerican’s shift to 83.6% renewable energies. Results will be reported with Annual Climate Action Report in late Fall Climate Action Commission November 1, 2021 Page 2 of 4 2 Discussed opportunity to revise timeline and adopted climate actions in coordination with accelerated progress. Climate Action and Outreach Staffing Updates o Coordinator job description revised to include supervisory responsibilities and budget authority and will require City Council approval. Plan to seek Council approval in November. Kilburg acknowledged work of Gardner and Bissell during Coordinator position vacancy. o Introduced new Commission member, Clarity Guerra Updated Action Plan Report: Kilburg noted updates to reporting format in conjunction with larger Office organizational efforts and reviewed progress updates: o Bissell developing Climate Action equity mapping tool o Hiring for additional building inspector underway with plan to get all inspectors trained in energy code and add additional building envelope inspection items o Bissell and Gardner to attend Iowa Energy Summit and hope to translate what they learned to a contractor Lunch & Learn o HID to LED lighting replacement project underway for all City parking ramps o Downtown/RFX TIF Energy Efficiency Matching Grant program anticipated to roll out soon, will start with 10 awards. o Electric buses expected to be in operation Mid-December o Gardner and Wilch developing an outreach and engagement campaign focused on various resource management and climate action issues, will be piloted in November. o 1,200 new trees were planted in 2021 o Education and outreach on Resilience Hubs conducted during ClimateFest 2021. Gardner collaborating with community partners to advance concept of Teen Resilience Corps. Tate encouraged re-evaluating actions and priorities. Discussed lack of details on adaptation section of Climate Action Report and suggested evaluating other metrics Discussed inviting Building Inspection Services staff to report on energy code inspector program Krieger expressed approval of new reporting method and action plan timeline and accountability measures. Climate Action Staff will begin reporting on both Climate Action Office Updates and Updated Action Plan progress in tandem, bi-monthly. OLD BUSINESS: Discussion of updated residential incentive programs for energy efficiency: Bissell reported staff are evaluating options for bolstering existing Community Development Energy Efficiency Rehab Loan program to address gaps Presentation on Flood Resilience Action Plan for Coralville, by Astig Planning and Impact 7G: Fixmer-Oraiz and Joyce presented on outreach and planning work in developing Flood Resilience Action Plan for Coralville, including targeted outreach efforts, business pledge component, and asset mapping Climate Action Commission November 1, 2021 Page 3 of 4 3 Commissioners expressed praise for efforts to reach diverse populations Discussion of the role cities can play in building a support network, being proactive, and planning for displacement and compound disasters Soglin and Krieger recommended working with Johnson County and Business Partnership to promote this work and directory/map of resources Krieger noted intersection with resilience hubs Giannakouros encouraged evaluating these issues beyond preparing marginalized individuals for loss and focusing proactive efforts at an institutional level NEW BUSINESS: Update on Working Groups: Buildings: Met after agenda packet was released and will include October meeting report in next agenda packet. Outreach: report in agenda packet Equity/Adaptation: October report will be included in next agenda packet General Discussion: None RECAP OF ACTIONABLE ITEMS FOR COMMISSION, WORKING GROUPS, AND STAFF: Working Groups to review new Updated Action Plan format ADJOURNMENT: Motion to adjourn at 5:05 p.m. Motion seconded. A vote was taken and the motion passed unanimously. Meeting adjourned. Climate Action Commission November 1, 2021 Page 4 of 4 4 NAME TERM EXP. 5/3/2021 6/7/2021 7/5/2021 8/ 2/2021 9/6/2021 10/4/2021 11/1/2021 Madeleine Bradley 12/ 31/2022 NM x O/E NM -- -- -- John Fraser 12/ 31/2021 NM x x NM x O/E x Stratis Giannakouros UI Rep NM x x NM x x x Megan Hill 12/31/2022 NM x x NM x x x Grace Holbrook 12/31/2021 NM O/E O/ E NM O/E O/E O/E Kasey Hutchinson 12/31/2022 NM x x NM x x O/E Matt Krieger 12/31/2023 NM O/E x NM x x x Jesse Leckband MidAmerican Rep NM x O/E NM x x O/E Becky Soglin 12/31/ 2022 NM X x NM x x x Eric Tate 12/31/ 2021 NM x O/E NM x x x Ben Grimm 10/31/2022 NM x x NM x x x Clarity Guerra 12/ Summary of New Updates to Climate Action Work Plan – Updated January 6, 2022 Buildings Energy Efficient City Rehab Projects: Climate Action and Neighborhood Services staff collaborated to develop a process and update energy efficiency and electrification improvement priorities and guidelines for City rehab projects. First tier improvement priorities include insulation, electrical panel upgrades, house wrap, and window replacements. A pre- and post- home energy audit of all rehabbed units benefitting from Climate Action funds has also been incorporated into the process. Staff will begin rehab on the next duplex to be sold as part of the South District Homeownership Program, with the additional layered benefit of work being performed in collaboration with a women in construction trades course through Kirkwood Community College (BI-2, BI-5). Neighborhood Energy Blitz Expansion: The Climate Action Engagement Specialist and Neighborhood Services Coordinator have partnered to plan a neighborhood-driven Energy Blitz Phase 2 with the South District Neighborhood. Planning has also begun to launch a Phase 1 Energy Blitz in the Lucas Farms neighborhood in April 2022 (BI-3). Commercial/Industrial Energy Efficiency Incentive Program: In December 2021, the City launched a Commercial Energy Efficiency Matching Grant Program for property owners in the Downtown, Riverfront Crossings, and Northside Marketplace areas. The Heinz/Sycamore/Scott/Six Industrial Program remains open. Residential Electrification & Energy Efficiency Rehab Grant Program: Based upon Commission feedback, Climate Action staff collaborated with Neighborhood Development Staff to implement a residential rehab grant available to existing rehab loan participants in targeted neighborhoods. The grant will fund additional electrification improvements (i.e. panel upgrades) and energy efficiency improvements (i.e. insulation or appliances) that would otherwise not be made or would require the household to take on more loan debt (BI-9). Municipal Facility Efficiency and Electrification Updates: The City is undertaking a full upgrade from HID to LED lighting on all parking ramp top decks. 10 have been completed on the Court St. Ramp and an additional 31 are planned for Spring 2022 at the Dubuque, Capitol, and Swan ramps. Public Works staff are proceeding with a direct purchase solar installation on the new Public Works Facility (approx. 39kw). Upcoming Priorities: Hold educational Lunch & Learn with building and construction professionals (BE-2). Re-engage potential community partners (contractors, community college, economic development groups, landlords and tenants) (BI-5) Review recommendations and outcomes of Solar Study (BP-1). Long-term/ongoing opportunities: Promote energy efficiency, weatherization, and performance tips to the public, focusing on cross- promotion of incentives from multiple parties and targeted landlord outreach (BE-1) Continue to support and promote Green Iowa AmeriCorps Energy Audits (BI-1) Transportation EV Readiness Plan Implementation: Staff developing a multi-family EVSE rebate program to assistant multi- family property owners with electrical upgrades and installation costs of EV charging units (TI-2) Upcoming priorities: Establish regular reporting protocol for tracking adherence to City idling policy (TCP-2). Assist with promotion of new electric buses, expected to be in operation in January 2022 (TE-1). Long-term/ongoing opportunities: Explore Sunday service, late night on-demand, and low-income fare programs (TPP-1) Waste Organic Waste Initiatives: As part of the partnership with Table to Table on a residential food waste reduction outreach campaign and a small-scale commercial food waste processing system, In November 2021, staff completed a food waste audit with Table to Table and CommUnity in November. 600 pounds of food and 50 pounds of trash were recorded in one week, representing the potential for about 15 tons of potential food waste reduction per year. Resource Management continues to advance this project and have also initiated an accompanying campaign for household food waste reduction. Planning underway for Zero-Waste 2022 Farmer’s Market. Wintertime organics collection tips were disseminated in December (WE-1). Construction Waste Diversion: Public Works’ staff have completed a rock crushing program which converted road rehabilitation waste to usable rock for various City departments. Resource Management staff are also beginning to explore possible partnerships for a construction and demolition recycling program (WI-1). Upcoming priorities: Explore opportunity for first regional mattress recycling facility in the state. Adaptation Teen Resilience Corps: The next steering committee meeting will be held in February. This is a concept spearheaded by the Engagement Specialist and is a skill-building program intended to engage teens in local resilience work and emergency preparedness (AE-2). Athletic Field Environmental Certifications: Iowa City Parks & Recreation earned an Environmentally Responsible Management Certification from the Sports Turf Managers Association. There are currently only 45 facilities worldwide that have achieved the Environmentally Responsible Management certification. Iowa City currently holds the record for having the most fields/complexes certified. The facilities include, Mercer Park ball diamonds, City Park ball diamonds, Iowa City Kickers Soccer Complex, and Napoleon Softball Field Complex. Natural Areas Management Plan Update: The 100+ prairie acres planted between 2019 and 2020 are progressing nicely with pioneering native species like black-eyed susan putting on a colorful yellow show this year. Other native species are developing a strong root system before they begin to flourish in the coming 2-3 years. All areas were mowed 2-3 times this season at a high mowing height to help the natives establish and keep weeds from developing seed. Parks staff are working to prepare 50 more acres for seeding in 2022. Extreme Weather Preparedness: Funded through a Climate Action Grant, the Multicultural Development Center held an Extreme Weather Event targeting underserved youth. As part of the event, Raspberry Pi computer kits were distributed to youth with barriers technology access. In addition to gaining STEM skills in assembling the technology, the students used the computers to play educational extreme weather games, learned to assemble an emergency preparedness kit, learned about a watershed and flood risks, and learned to build an air- conditioning unit out of a cooler, fan, and frozen water bottles. A partnership with Johnson County also enabled distributed of 30 emergency backpack kits. Upcoming priorities: Launch Climate Ambassador Program Climate Leader component (AE-1) Evaluate EAB tree removal impact on low-income populations (ACP-4) Follow up on outcomes of AWSPO Resilience Hub study (AE-2) Educate and Coordinate with Local Agencies on Health Impacts (AE-3) Sustainable Lifestyle Community Garden Expansions: In December, Iowa City Parks & Rec conducted a survey to collect public input on improving and expanding the City’s Community Garden Plot program. Planning is also underway for expansion and enhancement of community garden plots at Chadek Green Park, with work anticipated to be completed in 2022 (SLP-1). Speaking Of…” Education & Engagement Series: Climate Action & Resource Management staff held the first event of a public outreach series designed to generate organic conversation with the community around different climate action/resource management topics each month. January’s topic is weighing the impacts of climate actions (SLE-1, WE-2). Upcoming priorities: Receive mid-year report from FY22 grant awardees, begin planning for FY23 Grant Program (SLI-1) Develop a City Sustainability Operations Guide to share with the public (SLCP-2) Phase Action Task Lead Jan Feb Mar Apr May O/A SLI 1 Expand Community Climate Grants Climate Coordinator) O/A ACP 2 Continue Implementation of the Natural Areas Management Plan Parks Rec O/A ACP 3 Expand Public Tree Planting Parks Rec O/A SLE 1 Host Sustainability Forum and Events Climate Engagement Specialist) O/A SLE 2 Launch a Green Business Program:Climate Action at Work"Economic Development O/A BI 4 Launch a TIF funded climate action incentive program aimed at reducing industrial energy consumption Economic Development O/A AE 1 Develop Climate Ambassador Team Climate Engagement Specialist) O/A BI 1 Offer Free Home Energy Assessments through Green Iowa AmeriCorps Climate Engagement Specialist) O/A BI 3 Coordinate Neighborhood Energy Blitz Events Climate Engagement Specialist) O/A BE 1 Promote Energy Efficiency and Performance Tips to the Public Climate Engagement Specialist) O/A BCP 2 Advocate for Aggressive Energy Code Development and Adoption NDS 1 SLPP 2 Develop a Climate Action Strategic Communications Plan Climate Engagement Specialist) 2 BI 9 Launch an Electrification Incentive Program Climate Analyst) 1 WE 1 Engage the Public to Compost Organic Waste Resource Management 1 BR 1 Create a More Robust Energy Code Inspection Program NDS 1 BI 5 Develop or Partner with Local Stakeholders on a Comprehensive Climate Action Rehabilitation Program Climate Coordinator) 1 BP 1 Solar Partnership Climate Coordinator) 2 AP 1 Develop Review Standards for New City Facility Construction and Major Rehabilitation Adaptation Government Buildings 2 BI 6 Consider a Building Permit Fee Rebate Program for Enhanced Energy Standards Climate Analyst) 3 TI 2 Explore Electric Vehicle EV)Incentives Based on the Readiness Plan Climate Analyst) 1 BE 2 Partner with Stakeholders to Promote Green Building Construction Rehab Climate Engagement Specialist) 2 SLCP 2 Develop a City Sustainability Operations Guide and Make Climate Intern) 1 AE 3 Educate and Coordinate with Local Agencies on Health Impacts CMO/NDS 2 WCP 1 Require All Park/Public Space Rentals to Recycle and Use Green"Event Best Practices. Parks Rec 2 AE 2 Establish Resilience Hubs" Climate Coordinator) FY22 Iowa City Climate Action Projects & Priorities Outlook (Updated 1/5/2022) IOWA CITY SOLAR 2035 A strategy for expanding solar energy in the coming decade December 2021 Draft 3.7*** 1IOWACITYSOLAR2035 ***DRAFT*** Acknowledgements The Johnson Clean Energy District led the development and creation of this report in partnership with the University of Iowa’s Iowa Initiative for Sustainable Communities, with contributions from faculty and students in the School of Planning and Public Affairs and the Department of Geography and Sustainability Sciences. Survey design and administration was done by Bailey Leadership Initiative. Many individuals from both public and private sectors aided in the development of the project as advisors and consultants. In particular, City of Iowa City staff provided valuable insight and feedback throughout the process. We thank all contributors for generously sharing their time and expertise. Organizing Committee Cheryl Miller, Johnson Clean Energy District Craig Mosher, Johnson Clean Energy District David Osterberg, Common Good Iowa Warren McKenna, consulting solar engineer Collaborators City of Iowa City Rachel Kilburg Ashley Monroe Ron Knoche Sarah Gardner Raymond Heitner Mohsen Vahidzadeh University of Iowa Travis Kraus, Director, Iowa Initiative for Sustainable Communities and Associate Professor of Practice, School of Planning and Public Affairs Scott Spak, Professor, School of Planning and Public Affairs 2IOWACITYSOLAR2035 ***DRAFT*** Adam Skibbe, GIS Administrator, Department of Geographical and Sustainability Sciences Students: Madeleine Bradley, Joshua Engelbrecht, Mia Gerace, Spencer Gibson, Flavia Hauss, Molly Hooks, Julia Krist, Ellie Mullins, Caleb Smith, Henry Wakamiya, Matthew Little, Ian Ochoa Regenia Bailey, Bailey Leadership Initiative Steve Fugate, solar consultant Advisors Ben Grimm, Iowa City Consolidated Community School District Becky Soglin, Sustainability Coordinator, Johnson County Matt Krieger, Neumann-Monson Architects, Iowa City Climate Action Commission Brian Gibbs, MidAmerican Energy Wim Murray, MidAmerican Energy Don Roth, Eastern Iowa Light and Power Dave Mohr, Eastern Iowa Light and Power 3IOWACITYSOLAR2035 ***DRAFT*** Executive Summary This report examines the role of solar energy in meeting Iowa City’s energy needs now and in the future. Currently, solar electricity represents less than one- half percent of the city’s energy load1. Iowa City’s leadership in combatting climate change is focused primarily on energy efficiency and electrification, with solar energy generation playing a much lesser role. In 2020, the City’s partnership with MidAmerican Energy to develop a solar farm at Waterworks Park drew strong community opposition, as many residents objected to the loss of open space at the park. What is solar’s future in Iowa City? Iowa City’s greenhouse gas emissions have declined 49% since 2010, largely the result of MidAmerican Energy’s deep investments in wind energy in the state. Despite this success, there are important reasons to keep solar energy a significant part of the community’s energy mix. The modular nature of solar photovoltaics allows them to be deployed virtually anywhere, connected to the electric grid or not. Technological advances and falling prices have enabled more people to generate their own solar energy, lower their energy bills and carbon footprint, and contribute excess electricity to the grid. This locally- generated energy can help offset rising demand caused by the push for greater electrification of buildings and transportation. Paired with storage batteries and microgrids, both rapidly evolving technologies, solar energy would support community resilience during extended outages from weather-related events. These and other developments are behind a paradigm shift in how people make, use, and either store or sell electricity they produce. In the months after the Waterworks Park project was halted, a small group of solar and policy experts gathered to discuss Iowa City’s solar future. Based on these discussions, Johnson Clean Energy District and the University’s Iowa 1 Estimate based on I.5 MW interconnected solar nameplate capacity (2020) compared to City’s most recent GHG emissions report (2017). 4IOWACITYSOLAR2035 ***DRAFT*** Initiative for Sustainable Communities organized a collaborative study to explore alternative project sites and strategies and to solicit public input on solar expansion. Four action steps in the City’s Climate Action and Adaptation Plan and Accelerating Iowa City’s Action Plan provided direction in calling for: (1) increased on-site renewable energy and electrification; (2) community solar projects; (3) support for electric vehicles; and (4) weather preparedness. That guidance, along with the City’s strong commitment to social justice, framed the approach described in this report. Study participants obtained technical and siting information from Google’s Project Sunroof, geospatial information assembled at UI’s Department of Geographical and Sustainability Sciences, and from an earlier city-commissioned report by Bluestem Energy Solutions on the feasibility of solar on municipal buildings in Iowa City. 1F 2 Policy research was conducted through the School of Planning and Public Affairs Environmental Policy and Management course. An online community survey was conducted by Bailey Leadership Initiative. Key Findings The technical potential for distributed rooftop photovoltaic in Iowa City is large but not universally accessible. About 60% of Iowa City buildings are considered solar-viable, potentially giving the city an estimated 238 MW of rooftop solar energy. However, access to rooftop solar PV is not consistent across residential neighborhoods. Renters, people unable to cover capital costs, and the 40% of homeowners and businesses without suitable roofs cannot currently access the benefits of solar. See map of solar values. A lack of available land has constrained efforts to develop centralized solar farms and solar gardens in Iowa City. 2 Madala, Srikanth et al. A Comprehensive Study of the Solar Energy Power Systems for the City of Iowa City. Bluestem Energy Solutions, Omaha NE, 2018. 5IOWACITYSOLAR2035 ***DRAFT*** Solar farms (usually investor-owned) and solar gardens (usually community solar) are large PV arrays that, because they are sited for maximum solar potential and to capture economies of scale, can dramatically reduce the costs of solar2F 3. Finding acceptable public sites for large arrays in Iowa City has proved difficult (e.g., floodplain issues at the Iowa City airport, competing uses at Meskwaki Park and the Wastewater Treatment Center). Portions of the 420th Street Industrial Park may provide a viable option, along with smaller projects 250 - 500kW) that utilize urban infill (parking lots or small, unused areas near city buildings). Renting or purchasing land outside Iowa City may also be an option. See map of public lands and impervious surfaces. Community solar, an innovative approach to make solar more affordable, is further constrained by utility policies governing net metering and a lack of clarity in state law. Community solar refers to projects in which members – residents, businesses, nonprofits, and government – can purchase or lease PV panels at a centralized project and receive credit on their utility bill, just as they would by installing solar on their own roof. Many states, including Minnesota, Illinois, and Wisconsin, and numerous municipal and rural energy cooperatives in Iowa, offer this type of off-site net-metering to their customers, but it is not currently allowed by MidAmerican Energy and it is not specifically enabled in state law. This may be changing: MidAmerican is expected to ask for legislation to allow greater flexibility for the company to build a solar farm for selected subscribers. This legislation may prove a pathway for broadening access to Iowa City customers. Alternative solutions, such as the “Sustainable Energy Utility” outlined in an October 2021 City of Ann Arbor report, could also be explored. Capturing tax incentives is a key strategy for improving the economics of solar and stimulating local investment. The Bluestem feasibility study concluded that the City should scale up the size of solar projects and utilize third-party public-private partnership to take advantage 3 Feldman, David, at al. U.S. Solar Photovoltaic System and Energy Storage Cost Benchmark: Q1 2020. National Renewable Energy Laboratory. Golden, Colorado 2020. 6IOWACITYSOLAR2035 ***DRAFT*** of substantial tax incentives3F 4. Solar partnerships called third party power purchase agreements (PPAs) are long-term arrangements in which an investor installs, maintains, and operates solar arrays on a tax-exempt host’s property, sells the electricity generated to the host at a contracted rate, and uses solar tax credits and other tax effects, depreciation, and electricity income to cover expenses. Typically the host buys out the system at a lower price when it is fully depreciated. The relative profitability for such arrangements versus cash purchase, along with other strategies to attract private capital (homeowners and investors) needs further study. Iowa City does not have specific targets or action plans for broad solar deployment. Iowa City has taken steps to promote solar to homeowners, incentivize solar on commercial developments, and install solar on several municipal buildings but currently does not have a cohesive set of planning, zoning, and permitting policies for wide-scale solar energy. Model ordinances covering solar zoning, design standards, solar easements, solar-ready building codes, and other issues not currently operational in Iowa City can be obtained through Midwest Renewable Energy Association and Great Plains Institute4F 5. Iowa City residents and businesses who participated in a 2021 community survey have strong interests in solar energy, driven largely by people’s stated desire to do my part to combat climate change”. Many Iowa City residents are concerned about the climate crisis and want to do something about it. People interested in solar expressed interest in rooftop PVs on individual buildings, utility-provided solar, and the lesser-known community solar. The upfront costs of solar panels on individual buildings present significant challenges to many survey 4 Madala, et al. Page vi-v. 5 Great Plains Institute. Iowa Local Government Solar Toolkit. 2020. https://www.betterenergy.org/wp-content/uploads/2016/08/Iowa-Toolkit-May2020.pdf and Midwest Renewable Energy Association. Iowa Solar Model Ordinance. 2020. https://www.growsolar.org/wp-content/uploads/2020/09/IA-Solar-Ordinance-2020.pdf 7IOWACITYSOLAR2035 ***DRAFT*** respondents. Large majorities of survey respondents support municipal policies to increase solar, including financial incentives for nonprofit organizations and residents (78%); incentives to businesses (69%); requiring solar on new buildings receiving financial benefits from City (70%); and solar-ready new building requirements (62%). Survey results indicate support for the existing City of Iowa City programs and policies related to solar, as well as additional proactive efforts. Recommendations We recommend scaling up and integrating solar energy into Iowa City’s infrastructure and neighborhoods, with a focus on strategies combining mitigation and adaptation that support the City’s goals to increase electrification, resilience, and social equity. Because of site limitations, opportunities for urban infill scale projects mounted on rooftops, parking canopies, and marginal areas should be sought. Leasing or purchasing land should also be considered. Recommendation 1: Iowa City should conduct new demonstration projects of solar project types with high intrinsic value, equitable access, and wide public support. Demonstration projects educate the community (the East Side Recycle Center with solar, wind, and LEED platinum designation is a good example) and test environmental, equity, and resilience co-benefits. They examine new financial and legal models. Three project types with important equity co-benefits are described below. Further engineering and analysis to fully understand direct and ancillary costs and benefits are needed. 1A: Solar energy generation and battery storage for emergency services, critical infrastructure, and resilience hubs at City-owned buildings. Solar energy generation and storage should be targeted and sized strategically for emergency services and essential City operations during extreme weather events and grid outages. Potential 8IOWACITYSOLAR2035 ***DRAFT*** demonstration sites for rooftop systems are City Hall Complex (city hall, police, fire station), Mercer Park, and other municipal facilities evaluated in the Bluestem report5F 6. A separate Iowa City-funded project is presently evaluating sites for more broadly-defined resilience hubs. 1B: Solar parking lot canopies. Solar panels over parking lots near schools, government buildings, business districts, and recreational areas are an option where rooftop and ground-mounted arrays are not optimal. They can provide numerous benefits on urban spaces otherwise entirely devoted to parked automobiles. Such canopies could include EV charging stations, help reduce the urban heat island, protect vehicles from hail, and enable popup events such as farmers markets. Parking lots adjacent to buildings should be targeted, e.g., Mercer Park. If off-site net metering becomes a reality, the canopies could generate electricity for nearby buildings. Caveats: The cost of parking canopies is higher than roof- or ground-mounted systems. Estimates contained in the Bluestem report (2018) were $1.86/watt for carport solar versus $1.67/watt for commercial rooftop6F 7 but more recent estimates from local installer are higher7F 8. 1C: Combined utility and community solar demonstration project with MidAmerican Energy. Electricity generated at a joint site would be divided between the utility and community solar subscribers, with carveouts for low-income participants. The project would replace the Waterworks Park proposal, which was to produce only utility-owned power. A joint project would better align with the actions called for in the Climate Action Plan. It could serve as a demonstration project of off-site 6 Madala, et al. 7 ibid, pp. 143 8 Interviews with Vu Nguyen (Tenaska Power Services), Josh Clark (Simpleray), and Chris Hoffman Moxie Solar) by Cheryl Miller and Craig Mosher, August – September, 2021. 9IOWACITYSOLAR2035 ***DRAFT*** net metering called for by the Iowa Utility Board in 2015. Potential sites are a portion of the 420th Street Business Park and parcels for sale or lease outside the city limits. Caveat: Community solar is currently constrained by state and utility policies (see discussion at 2B below). Also, the City and MidAmerican have been unable to find a mutually acceptable parcel for a centralized solar project. It may be necessary for the City to undertake the project alone (third party developers currently are not allowed to initiate community solar projects). In this case, the City would negotiate with MidAmerican on allowable size of project (net metering is currently limited to 1 MW) and apply for interconnection to the distribution grid. Recommendation 2: Create an environment in which rapidly advancing solar technologies can be adopted into Iowa City’s energy portfolio. 2A: Create cohesive energy efficiency and solar policies in zoning, building code, city operations, and comprehensive planning to enhance quality of life, resilience, and economic and environmental objectives. Scaling up public and private efforts to capture the solar benefits discussed in this report would be helped by setting a long-term vision and targets, such as “local generation of 10% of the community’s energy load”. These solar policies should directly support Climate Action Plan goals, support successful solar deployment, and promote local investment in solar. 2B: Support legislation or action at the Iowa Utility Board to allow community solar programs. Enabling legislation for virtual net-metering would open the door for municipalities and third-party PPAs and greatly expand options for community solar. Unlike many other states, third party partners in Iowa can only develop solar projects for individual buildings. A bill in the coming legislative session would allow a utility greater flexibility to offer programs, such as MidAmerican Energy’s 10IOWACITYSOLAR2035 ***DRAFT*** Renewable Subscription Program, outside of a rate case, as is normally required. The City of Iowa City’s support could help advance legislation that includes robust language regarding aggregation in net-metering programs. Aggregation allows electric customers to offset energy use at all meters or building with solar at a large site, a key component of community solar. 2C: Support funding and continuation of existing state and federal incentives and explore new local incentives. Iowa’s solar energy tax credit expires on December 31, 2021: it is no longer available for residential buildings after 2021 and for businesses after 2022. Federal tax credits are funded through 2024, although at declining levels. The City of Iowa City should advocate to preserve and fund state and federal tax credits and explore additional local incentives, including working with the local banking community to expand loan and grant opportunities. Recommendation 3: Develop a solar vision for the community by engaging residents from different neighborhoods, demographic groups, business communities, and other groups to tailor solar programs for discrete sections of the city. Over the next ten years, Iowa City neighborhoods should have the opportunity to develop a set of projects, including resilience hubs, parking canopies, and community solar that benefit neighborhood residents and businesses. Engaging community groups, business, banking, and other groups early in conceptual stages will help establish priorities, identify concerns and areas of opposition, engage partners, increase financing options, and build trust, support, and participation. Exemplary community-hosted solar projects sited on city-owned or leased properties may feature: PV arrays and storage batteries for emergency services and resilience hub; one or more 500kW opt-in community solar arrays with virtual net metering. In business districts without adjacent public land; community 11IOWACITYSOLAR2035 ***DRAFT*** solar could also be possible by leasing accessory use from landowners for panels on roofs and parking lots; one or more solar parking lots with shaded multi-use spaces for covered bicycle parking, electric vehicle charging, and pop-up events; a solar garden with interpretive displays and real-time energy production indicators; discounted group buys for residences, businesses, and non-profits, and special programs for low-to-moderate income (LMI) consumers. Caveats: A modest goal for locally-generated solar – 10% of the community’s electricity usage – is approximately 100 MW of solar energy8F 9. Even with falling prices, this represents a sizeable investment from governments and the private sector over the coming decade. However, lower energy costs and other avoided costs over time help offset upfront investments. New business and job opportunities in the solar market would also benefit from these investments. The high cost of land and aesthetic requirements in Iowa City require thoughtful and innovative siting decisions. Sites should be evaluated for their potential to produce additional “stacked benefits”, such as those mentioned above. Recommendation 4: Create and market a highly visible, well-integrated, and socially beneficial solar program. Iowa City is home to one of the state’s most important educational resources and, as such, has a crucial role in advancing the proliferation of solar technology in Iowa. Educating visitors and students about the potential of a well-designed solar energy program to address a range of environmental and social issues would have far-reaching benefits now and in the future. A portfolio of educational outreach programs is contained in the Bluestem report. 9 Iowa City Community-wide Greenhouse Gas Emissions, Inventory Update. June, 2017. 12IOWACITYSOLAR2035 ***DRAFT*** 13IOWACITYSOLAR2035 ***DRAFT*** Table of Contents Acknowledgements 1 Executive Summary 3 Key Findings 4 Recommendations 7 Table of Contents 13 Introduction 16 Study goals and methods 18 Public Input 20 Key findings 20 Recommendations for additional outreach 24 Distributed Solar Systems 25 Potential for Greenhouse Gas Emissions Reduction 25 Other Environmental Impacts 30 Potential Rooftop Capacity 30 Solar Costs 38 Solar Incentive Programs 38 Federal Renewable Energy Tax Credits 38 State of Iowa Solar Rebates and Incentives – expired 2020 39 Funding Models and State Policies 40 Net Metering and Interconnection 41 Collective Purchasing 41 Alternative Energy Revolving Loan Program 41 14IOWACITYSOLAR2035 ***DRAFT*** Solar Loans 42 HomeStyle Energy Program 42 Third Party Power Purchasing Agreements 42 Commercial Operating Leases 44 Property assessed clean energy financing (PACE) 44 Municipal Subsidies 45 Social Equity Options + Resiliency Needs 45 Centralized Solar Systems 46 Projected Projects to Reach Targets 48 Ownership Models and State Policies 49 Investor Owned 49 Power Purchase Agreements 52 Community Solar 53 Community Solar Economic Analysis Error! 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Virtual Net Metering 56 Solar Crowdfunding 59 Microgrids 59 Social Equity Options + Resiliency Needs 60 Solar Policy: Planning, Zoning, Easements, and City Operations 66 Contemporary Zoning in Iowa City 66 Iowa Law 67 Iowa Smart Planning 68 Planning and Zoning: Prior Implementation in Iowa 70 Solar Access Rights and Solar Easements 70 Planning and Zoning: Best Management Practices 71 15IOWACITYSOLAR2035 ***DRAFT*** Iowa Solar Model Ordinance 71 Iowa Government Solar Toolkit 72 Solar-ready building code 74 Certification Programs and Guidance 75 Principal Findings & Planning Considerations 76 Demonstration Projects & Partnerships 82 Example Iowa City Community Solar Projects and Criteria 82 Design Criteria 83 Site Analysis 84 Sourcing and Disposal 88 Solar Sourcing 88 Disposal and recycling 91 References 93 Appendix I: Maps 100 16IOWACITYSOLAR2035 ***DRAFT*** Introduction In September 2018, the Iowa City City Council established its first community- wide greenhouse gas emissions target and created a Climate Action and Adaptation Plan to achieve emission reductions. The following August, the Council declared a Climate Crisis and approved new emissions goals in accordance with those set by the Intergovernmental Panel on Climate Change IPCC): reduce carbon emissions by 45% from 2010 levels by 2030 and achieve net zero carbon emissions by 2050. City staff were charged with creating the Accelerating Iowa City's Action Plan to meet these goals. In drafting the Climate Action & Adaptation Plan, the City was influenced by MidAmerican Energy’s commitment to 100% renewable energy, which, as of 2020, is credited with the majority of the City’s emission reductions. Accordingly, the Accelerated Action Plan prioritizes electrification and reducing energy consumption, with belief that this could have a greater impact and higher return on investment (dollars spent on these activities yield greater emissions reduction results). To cover gaps left by other emission reduction activities, the City has also taken steps to promote solar, including: Grow Solar Linn + Johnson Counties, which incentivizes rooftop solar projects; Municipal Facilities, starting with a solar feasibility study by Bluestem Energy Solutions (2018) and recent solar Power Purchase Agreement for PV installations on the Iowa City Public Works Facility and the Terry Trueblood Recreation Area Lodge. Building & Development Incentives for three projects in the Riverfront Crossings District require the developer to attempt to provide solar. TIF & Financial Incentives: Tax Increment Financing (TIF) was used to promote stricter energy efficiency and solar at Riverside West Apartments and Hieronymus Square/Element Hotel and a 17IOWACITYSOLAR2035 ***DRAFT*** commercial/industrial matching grant program for energy efficiency projects in the Sycamore/First Ave./Heinz/Scott 6 Urban Renewal Areas. The City is preparing to launch a similar matching grant program for commercial properties in the Downtown/Riverfront Crossings district and will require solar proposals to be bundled with an energy efficiency project. City Housing Rehab Projects in the South District Homeownership Program, including rooftop solar panels. In 2019, MidAmerican Energy approached the City of Iowa City with a proposal to develop a utility-scale solar complex on City-owned property. The City explored several location options, including the municipal airport, with MidAmerican and selected Waterworks Prairie Park due to its proximity to electrical infrastructure and high visibility along Interstate 80. The project proposed development of a 3 MW, 10,000-panel solar complex on 19 acres of City leased-parkland. The City Council approved code changes to consider the lease, but the proposal received significant public opposition towards the end of deliberations and the project was ultimately rejected by City Council vote in March 2020. Several Council members urged the City to step back, consider alternative strategies and sites, and develop a long-term vision for solar energy in the City. City staff and MidAmerican Energy re-reviewed alternative locations and were unable to identify a location that would meet infrastructure, flood plain, and public support needs. In 2021, MidAmerican developed a similar project north of Hills, IA. In the weeks after the Waterworks project vote, members of Johnson Clean Energy District convened a small discussion group of solar and policy experts to consider the situation and options for moving forward. The group was determined to prevent a loss of momentum in the City’s solar efforts and set about identifying alternative sites for the project. The group also took note of statements by Council members calling for a larger and longer-term vision for solar energy in the community and a better understanding of community views on solar projects. In October 2020, they presented a proposal to the Climate 18IOWACITYSOLAR2035 ***DRAFT*** Action Commission to study feasibilities and public support for an expanded solar program. In November, the City Council unanimously endorsed the proposal and awarded $12,500 to conduct the study. Study goals and methods The Johnson Clean Energy District, the University of Iowa’s Iowa Initiative for Sustainable Communities, and the City of Iowa City are the lead institutional partners behind this study. Three working committees - technical, policy and economics, and public outreach -- were formed to conduct the study. An advisory committee comprised of representatives from Iowa City’s Climate Action Commission, Johnson County, Iowa City Community School District, MidAmerican Energy, and Eastern Iowa Light and Power was recruited to provide input. Together, the collaborators worked out a list of topics to be covered, task list, and timeline to further define and assist interaction between the committees and partners. To assess public attitudes about solar expansion, Bailey Leadership Initiative conducted an online survey, distributed through social media and listservs of nonprofit, government, academic/educational, religious, and business organizations. A total of 464 people responded, including 15 business owners. Respondents were primarily homeowners (91%); highly educated (56% with advanced degrees); and wealthier (40% over $100,000 income) than Iowa City averages. Analysis of results did not find significant differences among different income levels (<$75K, < $50K) and from different sections of the city. Renters, a key demographic in Iowa City, are not well-represented among survey respondents. Technological analysis focused on identifying optimal sites for distributed and centralized solar projects. Staff and students at UI’s Dept of Geographical and Sustainable Sciences used ArcGIS 10.8, ESRI Solar Radiation toolset, and Google’s Project Sunroof to assess the city’s solar resources and identify potential project sites. These data were combined with policy criteria to identify viable sites, regulatory or landscape constraints, etc. Information from “A Comprehensive 19IOWACITYSOLAR2035 ***DRAFT*** Study of the Solar Energy Systems for the City of Iowa City Locations” by Bluestem Energy Solutions (2018) was used to quantify energy demand and solar potential at potential project sites. The public policy context and options for financing solar was researched by UI’s Urban & Regional Planning 6246: Environmental Policy & Management. The report below contains in-depth information and analysis of funding models and programs for distributed and centralized solar, with case studies of applications in other communities, and a particular focus on social equity options. Current state and local regulations are described, along with best practices, model solar ordinance, model building code, and a detailed set of possible reforms to support solar development. 20IOWACITYSOLAR2035 ***DRAFT*** Public Input An online survey was conducted in May, 2021 to assess the level of interest Iowa Citians have in solar energy and, importantly, their preferences and opposition to different solar options that may be employed if a solar expansion program is undertaken. The survey also sought information on what motivates people’s interest in solar energy and what challenges they face to taking action. Finally the survey asked people what they believe is the proper role of City government in transitioning to solar energy and what kinds of programs they would support or oppose. This last set of questions is designed to help city planners focus efforts on projects with wide public support. Key findings A survey of Iowa City residents and business-owners found: Strong interest in solar energy in Iowa City, with 94% of survey-takers either “very interested (67%) or “somewhat interested” (27%). Interest was equally strong across income groups. People interested in solar want options. Three options form a tightly- clustered group of favored options: rooftop panels on individual buildings 80%); utility-provided solar electricity (77%); and opportunity to buy into community solar gardens (68%). Across the board, the upfront costs of solar panels on individual buildings are the primary challenge. Other challenges are structural issues, shade trees, and duration of residence. Support is strong for Iowa City government assisting the transition to solar energy. Most popular are placing solar panels on public buildings, parking lots and garages (90%), and financial incentives for residents and non-profit organizations (78%). 21IOWACITYSOLAR2035 ***DRAFT*** Interest and Preferences Respondents expressed interest in both distributed (rooftop panels), solar farms, and solar gardens. When asked which options were of most interest, people ranked three options high: Most people expressed interest in solar panels on their own building 80%); along with desire for electricity produced at utility-scale solar farms (77%); and community solar gardens, where residents and businesses could own or lease solar panels (68%). Interest in owning ground-mounted panels is lower, with 23% expressing interest in this option. In addition to their own homes, respondents also want to see solar energy projects in their neighborhood. Rooftop solar on neighbor’s houses has strong 94%) support, and even ground-mounted solar arrays on neighborhood lots has considerable support (66%). Survey-takers expressed strong interest in community solar gardens. When asked if they would consider leasing or owning panels at a solar garden, the average score among 363 respondents was 74%; one third of respondents gave it top (100%) approval. Among business owners, 73% say they are “very interested” in solar, with the majority (58%) preferring that the utility company provide solar energy rather than take independent action. One commenter said “I do not want to hire someone to maintain my alternate source of energy. I am a small business and can’t afford more overhead.” The key motivations with this group, some of whom had already added panels to their building, are energy cost savings and enhancing business image. Motivations The survey found that overwhelming majorities of people are interested in solar energy because of climate change: 93% responded “I want to do my part to address climate change” and 91% indicated they didn’t want to rely on fossil 22IOWACITYSOLAR2035 ***DRAFT*** fuels. Other drivers are spending less money on electricity (69%) and greater energy self-reliance (60%). Business owners ranked cost savings over time as the most important driver of switching to solar. A small percentage of respondents (6%) are not interested in solar energy, saying it is not a priority (50%), is too expensive (33%), or that they do not plan to stay in current housing (29%). Several people expressed satisfaction that MidAmerican Energy was already providing clean energy. Challenges The upfront costs of installing solar arrays on individual buildings are a significant challenge to 72% of respondents. Additionally, a range of issues exist on individual buildings that discourage people from purchasing rooftop solar arrays including the building’s structural condition, anticipated length of residence, presence of shade trees, zoning and condominium or HOA restrictions. A comment that captured some of these hesitations: “I live in a historic district and need to comply with improvements to the exterior of my house and 2) I’m not sure my old house (roof) has the right design to accommodate solar panels.” In addition to upfront costs, 42% of business owners reported that they lease their property and are uncertain how solar energy might benefit them. People expressed a range of opinions on where solar panels are placed. Numerous people commented on their opposition to loss of green space or parks to solar installations or cutting down trees for solar projects. Other commenters want ground-mounted systems to be hidden with fencing and wanted guidelines for the ground beneath the panels and the aesthetics of the whole package. Inducements Given the widespread concern about upfront costs, financial incentives rank highest as inducements for taking action. Tax credits, low interest loans or 23IOWACITYSOLAR2035 ***DRAFT*** grants, and getting money back on electrical bills ranking highest, followed more specific information about solar on one’s own property. For respondents in households with incomes <$75K or <$50K, getting money back on electrical bills and low interest loans and grants were highest ranked inducements. Support or opposition to City solar energy programs A majority of respondents want the City to assist in the transition to solar energy. 90% of respondents want to see solar panels installed on City buildings, parking lots and garages, and other properties, where feasible. 78% also support financial incentives for nonprofit organizations and residents, irrespective of income level. Between 60 – 70% of respondents also support a variety of programs, including sponsorship of community solar (71%); requiring solar on new buildings receiving financial benefits from City (70%); incentives to businesses (69%); solar EV charging stations (66%); solar education (64%); and solar-ready new building requirements (62%). A policy restricting financial incentives to LMI residents had very little support, nor did public funds to privately-owned utility for solar projects. Some people opposed use of public funds to support transition to solar. As one commenter said “Stay out of funding and promoting this. If people/business want (because it makes sense) they will find a way to do it.” Numerous people praised the Solarize Johnson County or Grow Solar programs for providing a combination of solar education, efficient process, and low (group- buy) costs to consumers. Conclusions This survey tapped into a segment of Iowa City residents and businesses that are personally interested in transitioning to solar energy and support an expansion of solar energy in the community. Iowa City policymakers can expect a strong cadre of supporters that are concerned about climate change, want to do something about it, and would participate in well-organized solar programs that 24IOWACITYSOLAR2035 ***DRAFT*** can address financial and site-specific challenges many people face. Policymakers will also have strong support for solar panels on public buildings and spaces, though they risk opposition to solar projects in public parks and where trees and other green space are replaced with solar panels. Recommendations for additional outreach 1. Solicit input about solar projects in different sections of Iowa City. The solar study, of which this survey is a part, envisions a set of solar projects resilience hubs, community gardens, solar parking, etc) tailored to opportunities and needs in discrete sections of the City. Specific project ideas, while still in concept stage, could stimulate community conversation and partnerships. 2. Engage Iowa City residents from different demographic groups in targeted discussions about options and challenges for participating in solar energy programs. 3. Ground-mounted solar arrays raise aesthetic, land-use, and wildlife considerations. Focus groups could provide useful information to improve social acceptability (siting, fencing, vegetation, etc). 4. Many people mentioned the prevalence of restrictions on solar arrays in historic districts, on condos, and by housing associations. Solicit input on acceptable options in these settings. 5. Community solar projects are of interest to many residents and business owners who cannot put solar panels on their own buildings. An in-depth outreach program to solicit input on preferences for leases or ownership, number of panels, price points, etc., would be helpful in developing pilot projects. 6. Financial incentives are crucial to motivating action. Engage community, business, banking, and other groups in drafting incentive programs. 25IOWACITYSOLAR2035 ***DRAFT*** Distributed Solar Systems The City’s Climate Action Plan targets new buildings thermal decarbonization and energy efficiency and adoption of electric vehicle. For new buildings, the targets are to achieve 45 to 48 percent energy savings in new buildings due to code enforcement by 2025 and 80 percent energy savings by 2050 due to code enforcement and phased-in approach to net zero energy policies” and for renewable energy to “transition 3 percent of buildings with natural gas to high efficiency electrical heat, powered through low-carbon electricity sources by 2025 and 25 percent by 2050.” Distributed solar on new solar-ready construction and existing buildings contributes to both goals. Potential for Greenhouse Gas Emissions Reduction Solar photovoltaic (PV) energy provides an immediate emissions reduction and potential long-term emissions reductions. While distributed and community solar are not expected to contribute substantially to total long-term emissions reductions, and no targets for solar have been set based on emissions, substituting solar PV for utility generation in the next 5-10 years will likely lead to substantial net emissions reductions over the lifetime of the panels. In the most recent National Renewable Energy Laboratory (NREL) review, median estimates of life cycle CO2e GHG emissions from distributed and utility- scale photovoltaic are 3.7 to 4.4 times higher than from wind (Figure 1.1, Figure 1.2), and remain higher after accounting for transmission losses between distant wind and local solar. However, solar PV emissions are just 21% of the net CO2e for Mid-American’s current mix of generation and purchases, estimated at 278 g CO2e/kWh for 2020 (Table 1.1). At present, both distributed and utility-scale solar are far lower in life cycle emissions than grid energy, as fossil fuels in Mid- American generation and purchases from the regional Midcontinent Independent System Operator (MISO) grid dominate the utility emissions profile. 26IOWACITYSOLAR2035 ***DRAFT*** As this mix continues to change, even a reduction in coal to less than 10% of Mid-American generation and grid imports using the lowest GHG MISO 2039 generation scenarios (Table 1.2) would still lead to grid CO2e emissions more than double those of contemporary solar. Thus, near-term lifecycle emissions reductions and avoided emissions from distributed, City, and community solar are expected to continue throughout the panels’ deployment. Figure 1.1. Life Cycle GHG Emissions for Wind Energy (gCO2e/kWh) Source: NREL, 2013 27IOWACITYSOLAR2035 ***DRAFT*** Figure 1.2. Life Cycle GHG Emissions for Solar Photovoltaic (gCO2e/kWh) Source: NREL, 2013 Table 1.1 CO2 emissions and life cycle CO2e (g/kW) estimates for Mid- American Energy’s 2020 Generation Portfolio. Generation and CO2 emissions rate data from Mid-American Energy (2021), CO2e rates from IPPC (2014), grid purchase CO2e estimated from MISO generation mix (MISO, 2021). Life Cycle gCO2e/kWh 2020 Emissions Fuel Type GWh % of Mix gCO2/ kWh Min Median Max Tons CO2e median) Tons CO2 Coal 6,518 20.7 1022 740 820 910 5,344,760 6,661,028 Natural Gas 668 2.1 4156 410 490 650 327,320 277,851 Nuclear 3,464 11.0 - 3.7 12 110 41,568 - Oil 1 - 767 460 Wind 20,371 64.6 - 7 11 56 224,081 - 28IOWACITYSOLAR2035 ***DRAFT*** Solar - rooftop - 26 41 60 - Solar - utility - 18 48 180 - Biomass 60 0.2 - 130 230 420 13,800 - Null 433 1.4 223 96,632 Unknown purchases 4,263 385 441 547 1,878,576 Total 35,784 7,830,105 7,035,971 29IOWACITYSOLAR2035 ***DRAFT*** Table 1.2. MISO grid estimated life-cycle fuel-weighted net CO2e (g/kW) for 2020 and 2039 low-emissions scenario. Data from MISO (2021), CO2e rates from IPPC (2014). 2020 2039 Fuel type % of mix CO2e contribution % of mix CO2e contribution Coal 33 271 0 0 Natural Gas 34 167 31 152 Nuclear 17 2 6 0.72 Oil Wind 13 1 40 4 Solar - rooftop - - - Solar - utility - 10 5 Biomass - Null - Other 3 13 Total 100 441 100 162 Table 1.3. Projected Mid-American CO2e (g/kWh) estimate for a low- emissions generation scenario with 10% grid purchases from the 2039 low- emissions MISO scenario. CO2e (g/kWh) Fuel Type % of mix Minimum Median Maximum Coal 10 74 82 91 Natural Gas 2 9 10 14 Nuclear 11 0.4 1 12 Oil - - - - Wind 75 5 8 42 Solar – rooftop - - - - Solar – utility 2 0.4 1 4 Biomass - - - - Null - - - - Unknown purchases 10 13 16 25 Total 102 119 187 30IOWACITYSOLAR2035 ***DRAFT*** Other Environmental Impacts Large solar farms can generate flashy runoff, especially over non-vegetated surfaces (Cook and McCuen, 2013), and some states classify panels as impervious. Six states currently regulate stormwater permitting for solar sites Kennedy Jenks, 2017), considering slope, vertical clearance, ground cover, panel arrangement, and support structures. Minnesota regulates siting of solar farms, requiring that all construction projects that disturb one or more acres of land apply for a Minnesota NPDES/SDS Construction Stormwater General Permit and apply best management practices during construction, and any construction project that creates one or more acres of new impervious surface must design and construct a permanent stormwater management system (MPCA, 2021). Recent preliminary research suggests that heavy metals in some solar panels can leach into sediment, but not at concentrations that would pose a risk to nearby ecosystems (Robinson and Meindl, 2019). The city is encouraged to consider implementing national best practices in siting for stormwater in its own building code and zoning. Solar PV panels reflect more and absorb and radiate less heat than parking lots, roofing shingles, and asphalt roofs, so rooftop solar and solar parking lots can reduce the Urban Heat Island effect. By shading roofs, urban distributed solar panels slightly increases the need for domestic heating, but reduce the energy needed for air-conditioning (by 12%) and reduce daytime and nighttime UHI Masson et al., 2014). Impacts are higher for solar thermal panels. Solar gardens with native plantings further reduce Urban Heat Island effect and yield stormwater management co-benefits. The Center for Rural Affairs provides best practices for low-cost native vegetation management at solar sites (CFRA, 2020). Potential Rooftop Capacity In 2021, there are 323 permitted solar arrays in Iowa City on roughly 3% of city properties. How much potential exists for rooftop solar in Iowa City? Data from 31IOWACITYSOLAR2035 ***DRAFT*** Google Sunroof and ESRI’s solar toolkit characterize the opportunity (listed below), while the map in Appendix I shows solar potential considering aspect and tree cover. 1. Distributed rooftop photovoltaic potential in Iowa City is significant. The city has over 238 megawatts direct current (MWDC)of solar rooftop potential on all buildings (Figure 1.3). Small household-scale installations 100 kW) represent nearly 60% of the total rooftop generation potential. Half of all potential is on flat roofs, including large commercial and industrial buildings that account for the largest potential installations Figures 1.3, 1.7). Even the census tracts with the lowest distributed rooftop potential in the city still represent larger opportunities for generation capacity than any existing utility-scale or community solar projects in the state. 2. Access to distributed rooftop solar PV is not consistent across residential neighborhoods and not universal. Total annual generation potential (Figure 1.4), rooftop capacity (Figure 1.8), and potential reduction in CO2 emission (Figure 1.8) are correlated and vary by a factor of four across city census tracts. An estimated 64% of the buildings in Iowa City are solar-viable [9], within the range of solar viable properties in other Iowa metros. This leaves between 30% and 40% of homeowners and businesses to join renters, students, and others unable to actively participate in on-site residential solar PV. This includes renters in the downtown business district, which has the highest median technical rooftop potential (Figure 1.7). City census tracts vary in buildings suitable for solar range from <50% to 86% (Figure 1.6), and low and middle income (LMI) census tracts are among areas with the highest number of eligible buildings (Figure 1.5). Nationally, 42% of residential rooftop solar potential is located on buildings in LMI neighborhoods and over 45% in Johnson County (Sigrin and Mooney, 2018). 32IOWACITYSOLAR2035 ***DRAFT*** 3. Iowa City’s distributed rooftop solar photovoltaic resource potential is lower than most peer cities nationally and in Iowa. The metropolitan area’s per capita generation potential is 329th of 484 nationally, and lowest among Iowa metros (Table 1.4). Adjusted for incident sunlight, per capita generation potential is 398th nationally Google Sunroof, 2021). 4. Opportunities for rooftop solar on multifamily buildings is substantial, and a potential contributor to environmental justice. Solar development on existing multifamily buildings is currently limited due to owner-tenant principal agent barriers to adoption. Deployment on multi-family and renter occupied buildings would be needed to reach substantial deployment of rooftop solar on LMI residential buildings in residential areas and in the downtown business district. Realizing the solar potential in future new multifamily construction could be enabled by city policies on solar-ready buildings. 5. Rooftop solar thermal and ground-mount solar and are also large potential low-carbon renewable energy resource for residential and commercial properties in Iowa City. While this analysis focuses on rooftop solar PV as the most widely installed and has the highest potential for energy, economic, and climate change mitigation returns, solar hot water is feasible on nearly all buildings that can support a small solar PV system, and ground-mount solar PV is feasible for many parcels not suitable for rooftop solar. 33IOWACITYSOLAR2035 ***DRAFT*** Table 1.4. Rooftop solar potential across Iowa metropolitan areas. Data from Google Sunroof (2021) by census tract, aggregated to metropolitan area. Total Per Capita Metropolitan Area Potential kWDC) Panels Potential kWDC) Panels Waterloo-Cedar Falls 701,931 2,807,725 4.17 16.66 Cedar Rapids 1,161,832 4,647,329 4.26 17.02 Quad Cities 1,618,594 6,474,377 4.27 17.08 Des Moines 2,954,438 11,817,753 4.22 16.90 Sioux City 617,378 2,469,512 4.27 17.07 Dubuque 303,957 1,215,827 3.12 12.49 Ames 274,717 1,098,868 2.23 8.91 Iowa City 351,539 1,406,157 2.03 8.12 34IOWACITYSOLAR2035 ***DRAFT*** Figure 1.3. Google Sunroof Estimated Rooftop Solar (Google Sunroof, 2021). 35IOWACITYSOLAR2035 ***DRAFT*** Figure 1.4. Total annual rooftop solar PV generation potential (kWh/year) by census tract. Data: Google Sunroof. Figure 1.5. Number of buildings suitable for solar PV. Data: Google Sunroof. 36IOWACITYSOLAR2035 ***DRAFT*** Figure 1.6. Percent of buildings suitable for solar PV by census tract. Data: Google Sunroof. Figure 1.7. Median number of solar PV panels per roof by census tract. Data: Google Sunroof. 37IOWACITYSOLAR2035 ***DRAFT*** Figure 1.8. Potential rooftop solar PV capacity (kWDC) by census tract. Data: Google Sunroof. Figure 1.9. Potential avoided CO2 emissions (metric tons/year) from all viable rooftop solar by census tract. Data: Google Sunroof. 38 Solar Costs Costs for solar have dropped significantly in recent years, making solar a more viable alternative to fossil fuels. Figure XX Utility scall solar costs 2010-2020. Source: Rameznaam.com. Solar Incentive Programs A total of 26% of the total cost of all private solar electricity and thermal installations are eligible for federal tax credits, the systems are exempt from sales tax, and the assessed value of a solar installation is exempt from property taxes for 5 years. Mid-American customers with systems less than 500 kW are eligible for net-metering, which sells energy back to the utility as a credit on monthly bills. Federal Renewable Energy Tax Credits All private solar arrays in Iowa City are eligible for federal tax credits. Investment Tax Credit extends to entire system 39IOWACITYSOLAR2035 ***DRAFT*** 30% for systems placed in service by 12/31/2019 26% for systems placed in service after 12/31/2019 and before 01/01/2023 22% for systems placed in service after 12/31/2022 and before 01/01/2024 State of Iowa Solar Rebates and Incentives – expired 2020 There are no current state incentives. The most recent state incentives, expired in 2020, consisted of: Iowa residential solar tax credit: 15% back on state Income Tax, up to 5,000 System exempt from state sales tax Assessed value exempt from property taxes for 5 years 40IOWACITYSOLAR2035 ***DRAFT*** Funding Models and State Policies A wide range of financing options are available from federal, state, and local governments, public utilities, solar installers, and private lenders. Table 1.5 Distributed Ownership Models and State Policies Overview Is it legal in Iowa? Does Iowa Code include enabling legislation? Does the Iowa Utility Board have a directive for this? Is this approach currently operational in the state? Is this approach currently operational Iowa City? Net Metering YES "# N/A YES "# YES* "# YES "# Collective Purchasing YES "# NO X NO X YES "# YES "# AERLP YES "# YES "# N/A YES "# YES "# HomeStyle Energy Program YES "# N/A N/A YES "# YES "# Solar Loans YES "# N/A N/A YES "# YES "# Commercial Operating Leases YES "# NO X YES "# YES "# ?? Third-Party Ownership PPAs YES "# YES "# YES "# YES "# ?? PACE YES "# NO X NO X NO X NO X Local Subsidies YES "# NO X NO X YES "# NO X 41IOWACITYSOLAR2035 ***DRAFT*** Net Metering and Interconnection Net metering is a utility rate structure program that requires regulated public utilities to purchase excess solar energy produced by customers’ solar panels at retail rates. All customers of Iowa’s two investor-owned utilities (IOUs) are eligible for net metering, all grid-connected PV systems currently operating in Iowa City are net metered, and net metering is foundational to cost recovery in financing programs. While there is no explicit limit on the size of net-metered systems, separate rule waivers have allowed each of the utilities to limit individual systems to 500 kW. Interconnection standards for IOUs apply to distributed generation facilities no greater than 10 MW. There are four levels of review for interconnection requests, which must all be met before they can be approved. General interconnection rules apply to all utilities, both rate regulated and non-rate- regulated, and rules cover power quality, safety, and technical standards. Net metering applies independent of the solar array’s financing model and ownership. Collective Purchasing Collective purchasing group buys have been available through Midwest Renewable Energy Association’s Solarize Johnson County programs in 2018 and 2020 and Grow Solar Linn + Johnson Counties program in 2021.These large, collective educational and purchase offerings at discounted rates have led to nearly 250 residential solar installations in Johnson County. Iowa City households have participated in all three years and account for just over one-third of the group buy installs in the county. Alternative Energy Revolving Loan Program Iowa’s Alternative Energy Revolving Loan Program (AERLP) provides 20-year 0% interest loans for up to 50% of the cost of a renewable energy system, from a minimum of $25,000 up to $1 million. All Iowa residents and businesses are eligible (Iowa Energy Center, 2020). This $5.9 million revolving loan fund is 42IOWACITYSOLAR2035 ***DRAFT*** managed by the Iowa Energy Center. This “green bank” is currently limited by the size of the revolving fund. Solar Loans In addition to standard home equity loans for solar, specialized residential and commercial solar loans have increased in popularity in recent years. One example is Mosaic of Connecticut, which loans funds to homeowners to install residential solar. Residents are able to own their solar panels and reap tax credits and other benefits, while the lender gathers interest on repayments. Multiple solar lenders currently operate in the state. HomeStyle Energy Program The HomeStyle Energy Program is a Fannie Mae financing program for new and existing properties to fund energy and/or water efficiency and decrease utility costs. It provides up to 15% of the “as completed” appraised value of the property for renovation to make energy-related improvements and pay off secured or unsecured debt that financed energy-related improvements. HomeStyle Energy may also be used to create home resiliency for environmental disasters such as floods, storms, and earthquakes, or to repair damage from these types of disasters. All one-to-four-unit existing properties are eligible and all occupancy types permitted, and there are no other eligibility criteria. Third Party Power Purchasing Agreements A Solar Power Purchase Agreement (PPA) is a long-term agreement where a business agrees to purchase all of the electricity generated by a solar system at a contracted rate. The PPA provider installs, maintains, and operates the solar system and the business only pays for the power that is generated. Power Purchase Agreements require no upfront costs for the property owner. The contract typically lasts for the lifetime of the system and may include an annual rate increase escalator. At the end of the contract, a new PPA can be negotiated or the system purchased. PPAs provide customers low-cost renewable electricity 43IOWACITYSOLAR2035 ***DRAFT*** at no upfront cost, while enabling the system’s owner to take advantage of tax credits and obtain income from net-metered electricity sales. A Solar PPA can be a low-risk financing option for distributed solar and is often the only way for a non-profit or government to realize tax benefits of solar PV. Local installers and specialized firms offer PPAs for commercial and residential customers in Iowa, but awareness among potential residential and small commercial purchasers in the area is low, and Iowa does not feature the ubiquitous advertisements for PPAs seen in areas with higher solar resource potential. PPAs were approved for use in Iowa through a 2014 Iowa Supreme Court decision, SZ Enterprises LLC v. Iowa Utilities Board (Iowa Supreme Court, 2014). Third-party generation can happen through a non-rate-regulated utility, or through a purchase agreement from a third-party producer to a rate-regulated utility. Third-party purchase allows these non-utility operations to sell to power to utilities. In practice, this most frequently means a solar installer or third-party financer paying for a system, recovering the cost with monthly payments from the customer, and selling power to the utility. There are multiple ways that payment can be set, but many pay based on avoided costs. These purchase agreements can satisfy utility Renewable Portfolio Standards. Multiple Iowa state laws deal with the operations of third-party energy production after the legalization of these agreements. Detailed information on the functions and abilities of third-party generation and purchase can be found in the Iowa State Code in Title XI: Natural Resources, Subtitle 5: Public Utilities, Chapter 476: Public Utility Regulation and rules detailed in Chapter 15: Cogeneration and Small Power Production. Some highlights applying the third- party generation and rates include: 15.5(5) Purchases “as available” or pursuant to a legally enforceable obligation. Each qualifying facility shall have the option either: a. To provide energy as the qualifying facility determines the energy to be available for the purchases, in which case the rates for the purchases shall be based on the purchasing utility’s avoided costs calculated at the time of delivery; 44IOWACITYSOLAR2035 ***DRAFT*** or b. To provide energy or capacity pursuant to a legally enforceable obligation for the delivery of energy or capacity over a specified term, in which case the rates for the purchases shall, at the option of the qualifying facility exercised prior to the beginning of the specified term, be based on either: The avoided costs calculated at the time of delivery; or the avoided costs calculated at the time the obligation is incurred. 476.47 Alternate energy purchase programs. 1. Beginning January 1, 2004, an electric utility, whether or not rate-regulated under this chapter, shall offer an alternate energy purchase program to customers, based on energy produced by alternate energy production facilities in Iowa.2. The board shall require electric utilities to file plans for alternate energy purchase programs offered pursuant to this section. Commercial Operating Leases The traditional operating lease provides a low-cost path to ownership at a more affordable price than upfront purchasing and extends the benefits of residential PPAs to larger commercial applications. Many Iowa solar installers offer operating leases. Property assessed clean energy financing (PACE) Property assessed clean energy financing (PACE) is 100% upfront financing repaid on property tax bill over the life of the project, enabling longer payback periods and positive cash flow throughout. Through PACE, private lenders and state and local governments can provide loan funds to eligible properties, and local government then remits tax payments to the financer. Governments can finance PACE programs through bond offerings. Began in 2010 and overseen by the U.S. Department of Energy, PACE is supported by enabling legislation in 37 states and PACE programs are now active in 26 states. Most PACE programs are for commercial properties, while residential PACE is currently offered in California, Florida, and Missouri. A hybrid “PACE-secured PPA” approach can maximize benefits and reduce limitations of each individual model. 45IOWACITYSOLAR2035 ***DRAFT*** There are no historic or current commercial or residential PACE programs in Iowa. As Iowa is a home rule state, passage of enabling legislation for PACE by the state would be supportive but not essential. PACE financing is available to residential or commercial property owners within local jurisdictions that "opt in" to or create a program. For localities to establish a PACE program, a local government must create a PACE assessment through a land or real property secured benefit district. Localities will issue bonds to finance projects, while administrative costs are usually paid by bond interest. Localities can choose to administer programs, contract an administrator or allow private organizations administer programs. Municipalities can also develop a list of pre-approved contractors that can conduct energy audits or complete projects for weather sealing, insulation, window replacements, HVAC, roofing, low-flow toilets or renewable energy projects, such as solar panels or solar thermal. Programs may include education for building owners, contractors and lenders, as well as program evaluation and quality assurance measures (NCSL, 2016). If available, PACE could be the most effective and cost-effective way for the City to assist in making distributed solar widely affordable for commercial and residential buildings. Case Study: Municipal Subsidies In July 2021, the Dubuque City Council unanimously approved the Renew DBQ pilot project, which will provide $3,285 to 10 LMI residents to install 5 kW rooftop solar installations, reducing up-front costs from $10,000 (pre-tax credits) to less than $2,600 and saving each household $800-1,000 per year (Hildebrandt, 2021; Hinga, 2021). Social Equity Options + Resilience Needs All financing models have potential roles in expanding affordable access to distributed solar ownership and its private goods of cost savings and grid backup 46IOWACITYSOLAR2035 ***DRAFT*** resilience and public good of lower GHG emissions. Residential loans and PPAs represent the only models without significant up-front costs. Distributed solar contributes to resilience to extreme weather and grid outages when combined with battery storage and microgrids. Distributed solar becomes equitable only when all residents have an equal and attainable opportunity to gain equity in owning a productive solar installation that yields economic, environmental, and resilience benefits. In 2021, the up- front cost of meeting household demand through solar on the median home would require 18% of median annual disposable income. This puts solar ownership out of reach for most households, including LMI homeowners, all renters, and all homes without the roof area, angle, or insolation for a viable solar installation. Until prices and area requirements drop substantially, distributed rooftop and ground-mount solar will not be equitable. Without PACE, the city has few options other than incentives for directly making distributed solar more attainable for more homeowners. Three consecutive years of widely publicized county-wide discounted group buys have led to 3% adoption, state tax credits are oversubscribed and set to expire on December 31, 2021, and residential PPAs are not common in the area. These limitations on distributed residential and commercial solar PV support the development of large-scale solar with higher potential for widespread equitable benefit and access to capital. Centralized Solar Systems Centralized solar systems may be described as “shared,” “community-hosted,” community solar,” or “locally controlled.” Each of these terms represent different concepts to different stakeholder groups: 47IOWACITYSOLAR2035 ***DRAFT*** When the solar industry and utilities use the term “community solar,” they generally refer to a large shared solar installation in which customers can purchase subscriptions or ownership of part of the array. The installation does not necessarily have to be in the same community as the subscribers and can often be located elsewhere in an electric utility’s service territory. The subscribers do not all need to come from the same town or city. The subscribers receive credit on their electricity bills for their share of the electricity generated by the solar installation. Not all states allow these types of projects. Depending upon the rules and practices in a state, such shared solar installations can be developed by private developers, utilities, nonprofit organizations, or groups of residents. Participation in a large shared solar project can be especially appealing for households and organizations without suitable roofs for their own onsite solar installation. Community groups in under-resourced communities and environmental justice organizations mean something very different when they talk about “community solar.” They seek to advance solar projects that are located in the community, are shaped by the community, and provide tangible benefits to the community, including local wealth building. The projects do not necessarily have to involve subscriptions for individual customers, and they can also be located at and provide electricity for community institutions, such as schools, churches, and social service organizations. Some community representatives link projects that are locally owned to their definition of community solar (CESA, 2019). Centralized solar initiatives may be owned by utilities, PPAs, special purpose entities, or non-profits. In a utility shared solar program, utilities or third parties own the solar array. It is financed by the utility, grants, or ratepayer subscriptions and hosted by the utility or third-party operator. In a special purpose entity program (SPE), the solar infrastructure is owned by the members of the SPE. It is financed by member investments, grants, and/or incentives and hosted by a third party. Those subscribing to the solar are community investors, and they are looking for a return on their investment or to 48IOWACITYSOLAR2035 ***DRAFT*** offset their electricity usage. These may eventually be sold to the host and retained for electricity production. In a non-profit program, this non-profit owns the solar infrastructure. It is financed by memberships, donor contributions, and grants and hosted by the non-profit. Subscribers include donors and members looking for a return on investment or as philanthropy. This report does not promote any specific version or definition of community solar, and rather highlights the many potential opportunities that currently do and could, with regulatory approval, power communities in Iowa. Projected Projects to Reach Targets 49IOWACITYSOLAR2035 ***DRAFT*** Ownership Models and State Policies Table 2.1 Ownership Models and State Policies Overview Is it legal in Iowa? Does Iowa Code include enabling legislation? Does the Iowa Utility Board have a directive for this? Is this approach currently operational in the state? Is this approach currently operational Iowa City? INVESTOR- OWNED Investor-Owned YES "# YES "# YES "# YES "# NO X Power Purchasing Agreements YES "# YES "# YES "# YES "# NO X COMMUNITY SOLAR Community-hosted Solar YES "# NO X YES "# YES "# NO X Virtual Net Metering YES "# NO X YES "# YES "# NO X Microgrids YES "# NO X NO X YES "# YES "# Crowdfunding YES "# NO X NO X YES "# NO X Investor Owned Investor-owned centralized solar provides a direct path to solar energy access with the fewest legal, regulatory, and financial challenges. It could yield a small reduction in Mid-American’s GHG emissions profile, but otherwise does not inherently provide the community benefits sought from solar: community resilience potential for powering microgrids, 50IOWACITYSOLAR2035 ***DRAFT*** control, and equity. The nature of public community solar programs for Iowa City, if any, would determine potential private and community benefits from additional Mid-American grid energy generation facilities located within city limits or on city land, beyond lease payments. Investor interest Mid-American Energy previously proposed a 3 MW Iowa City solar public-private partnership on land leased from the city Economics, Environmental, Social Equity benefits While all customers have equal access to utility generation and affordability programs, investor-owned solar does not yield local energy control, ownership, resilience, economic or equity benefits to residents or businesses. Regulated utility rates do not change, and generation does not exclusively serve the city. There are public benefits of grid resilience and climate adaptation for grid-tied investor-owned utility solar complementing wind. Legal/Regulatory Utility ownership greatly simplifies the legal and regulatory path to large-scale solar PV generation in the city. 51IOWACITYSOLAR2035 ***DRAFT*** Case Study: Community-hosted Utility Solar in Perry In 2021, Perry became the first Iowa city with a community-hosted solar project without a municipal electric utility. Alliant Energy will build a 1 MWDC solar facility on a 7-acre remediated brownfield site and lease the land from the City of Perry for roughly $45,000 per year for at least 25 years, with options to extend after the initial period. Alliant will oversee construction, own, operate and maintain the facility. The city will buy back renewable energy credits to offset up to 50% of city electric use and consumption including all electricity used by the wastewater treatment plant, the city’s largest user (Teays, 2021). 52IOWACITYSOLAR2035 ***DRAFT*** Power Purchase Agreements Utility-scale corporate PPAs operate similarly to residential PPAs and are widespread. In Iowa, PPAs are common with rural electric cooperatives. A 2014 Iowa Supreme Court decision allows municipalities to enter third-party PPAs without becoming subject to rate regulation as public utilities under state law. There is an active corporate solar PPA industry serving the MISO grid (Level10 Energy, 2020) with both brownfield and greenfield development. Investor interest According to the Renewable Energy Buyers Alliance's (REBA) recent analysis of corporate purchases by state, investor interest in Iowa has been relatively low, with 16 projects in 2018 (REBA 2019). Economics, Environmental, Social Equity benefits PPAs can help municipalities access tax credits, but otherwise bring no inherent additional local economic, environmental or social equity benefits, but offer flexible contracts and incentives to meet community needs. As with investor-owned, the nature of the public program determines the potential scope of local benefits Legal/Regulatory PPAs add complex legal, regulatory, financial, and operational relationships with installer, operator, owner, public utility, and ISO. 53IOWACITYSOLAR2035 ***DRAFT*** Community Solar Community solar describe local projects or purchasing programs that benefit multiple customers at multiple locations. In most cases, customers benefit from energy generated at an off-site, grid-tied utility-scale or neighborhood-scale solar array owned and operated by local government, a non-profit or special purpose entity, an investor-owned or municipal utility, a third party or community members. 22 states have adopted enabling legislation for community solar. In 2020, community solar projects represent more than 3 GW of installed capacity (NREL, 2020). While Iowa does not have enabling legislation for community renewable energy, 15 community projects by electric cooperatives and municipal utilities account for 4,538 kW capacity (NREL, 2020), and the state’s first community solar project with an investor-owned utility was announced in April 2021 (Tayes, 2021). Economics, Environmental, Social Equity benefits allows all community residents and businesses to directly benefit from and invest in local solar affordably supports community control over generation for community benefit provides power for public purposes, including municipal operations allows communities to hold and buy back renewable energy credits and claim GHG emissions reductions requires clear public purpose Legal/regulatory issues additional legal and regulatory complexity, even with utility ownership As noted in the Bluestem report, “MidAmerican Energy’s net metering policy does not allow for sharing of energy among neighboring facilities, nor does it allow for the remote location of the generating PV facility (i.e. the PV facility must be located at the site property of energy usage.” A revision or exception to this policy seems necessary for a community solar project to move forward. 54IOWACITYSOLAR2035 ***DRAFT*** In Iowa, community solar customers usually buy or lease a share of the solar panels in the array and receive a utility bill credit for electricity generated by their share of the community solar system. In a subscription model, customers commit to purchasing electricity from the community array, which may be at lower or higher prices than standard utility rates. Community solar has numerous potential direct benefits to the community (SF Environment, 2012): Democratizes the benefits of solar and the enables more residents and businesses to take part in the “clean economy” – particularly important in regions where all ratepayers help fund solar incentive programs; Reduces greenhouse gas emissions and emissions of other air pollutants from electricity demand; Supports the local solar industry and fosters local green jobs; Enables participants to keep their solar energy when they move (within the eligible territory); Enables use of sites with high solar potential that would otherwise remain undeveloped due to regulatory barriers or lack of financial impetus (e.g., parking structures, warehouses, landfills); Increases financial viability due to increased and reliable consumer demand, economies of scale from larger systems and use of best sites with highest solar potential; and When located in the communities it serves, reduces transmission and distribution costs compared to utility-scale electricity generation. In Iowa, community solar programs need different approval depending on their type. Investor-owned utilities need state legislation or approval from the Iowa Utilities Board to create public programs for public purpose. Municipalities and PPAs require utility interconnection approval, and solar energy systems with a total capacity of 25 MW or more require a generating certificate from the Iowa Utilities Board. 55IOWACITYSOLAR2035 ***DRAFT*** Case Study: Community Municipal Utility Solar in Cedar Falls Cedar Falls’ 8-acre Simple Solar project provides an early example of virtual net metering in a community solar project. As a municipal utility, Cedar Falls can offer virtual net metering. Simple Solar is the largest community solar project in Iowa, and in operation since 2016. The project includes families, businesses, and organizations who have purchased a portion of the energy generated by the 6,516-panel installation at a park (Kinney, 2017). The project provides virtual utility credits to around 6% of the total customer base of the Cedar Falls Utilities (Cedar Falls Utilities, 2021). Subscribers receive credits on their energy bill based on the amount of energy produced by their shares of the solar installation. Each refundable share, with an upfront cost of $174, is equivalent to about a 170 Watt of solar panel or about 300 kWh/month, and its refund value depreciates with the production efficiency of the panels. One share generates on average $14.40/year per month in bill credit, and each customer can purchase up to 100% of their average monthly usage. The University of Northern Iowa purchased roughly 20% of the solar project Cedar Falls Utilities, 2021). In an interview with Matt Hein, an energy services manager at Cedar Falls Utilities, Mr. Hein declared the Simple Solar project to be an overall success. The project was initially set to provide 500 kW of energy, but with interest 3x larger than expected they increased the size to 1.5 MW (Hein, 2021). He spoke about how the City of Cedar Falls has a strong interest in finding ways to be “green”, and that this gave people an outlet to participate if they couldn’t afford their own panels or didn’t have the space for them on their own home. One strength of the simple solar framework was that it took care of the complexity that can come with owning and permitting residential solar panels. With no installation needs, and a program to easily increase or decrease the number of units as well as buy back units, the customer doesn’t face risks from participation. 56IOWACITYSOLAR2035 ***DRAFT*** Virtual Net Metering Virtual net metering is a system for crediting utility bills for community solar installations. Off-site or on-site solar generates credits that are then shared on the utility bills of subscribers based on their share of a solar garden or solar array. Under a virtual net metering agreement, generation credits mirror the value of the retail rate for electricity. Virtual net metering reduces expenses at the building and community scales. Virtual net metering is essential for Homeowners Associations (HOAs) and multi- family property owners who wish to provide tenants with solar. Multifamily properties would otherwise need to install discrete solar arrays on its roof, each serving an individual unit, or to include utilities with rent. Larger systems are less expensive than residential arrays, often by a factor of 2 or more per kW, meaning that costs would be cut for customers participating in community solar projects using virtual net metering instead of purchasing their own systems. Community solar also eliminates the up-front cost burden on low- and middle-income households, while eliminating property ownership as a prerequisite for benefitting from solar. While not yet adopted in Iowa, at least 15 states have virtual net metering policies, and awareness of virtual net metering and its benefits is growing across the U.S. Case Study: Community Municipal Utility Solar in Ames The SunSmart project, operational in 2020, is a 2 MW community solar farm. Customers of Ames Electric Services can buy shares in the solar farm, called Power Packs.” Each Power Pack is a one-time investment of $300 and represents 175W of generating capacity. Owners of Power Packs receive monthly credits on their utility bill based on production. Payback is possible by years 16-18 of the 20-year contract (Ames, 2021). 57IOWACITYSOLAR2035 ***DRAFT*** 58IOWACITYSOLAR2035 ***DRAFT*** Case Study: Virtual Net Metering Policy in Austin, TX In 2018, Austin Energy in Texas committed to developing a virtual net metering policy that would align with the city’s goal of bringing solar to multi-family and affordable housing, low-income residents, renters, and non-profits” (a goal aligning with many of the values described by the City of Iowa City’s Climate Action Plan) (White, 2017). The virtual net metering policy for Austin will significantly lessen expenses for multifamily property owners hoping to provide their tenants with access to solar arrays. One example from a multifamily property in Austin exemplifies the benefits of virtual net metering. This property originally installed 140 discrete solar arrays on its roof, each serving a different individual unit and each with their own meter. Due to the city’s updated policy around virtual net metering, a larger array could be installed eliminating the need for the individual and more expensive arrays. Case Study: Virtual Net Metering and Economic Net Benefits in California California created a virtual net metering program in 2009 within MASH, the state’s multifamily solar program (SF Environment, 2012). However, they found a result of virtual net metering was that the utility allowance structure in California made it challenging to provide a net monthly benefit to participating households living in HUD subsidized housing. In HUD subsidized housing in California, rent and utilities combined paid by tenants is adjusted to less than 30% of their income, so in some cases the proportion of rent paid by the tenant increases when the utility costs decrease due to solar credits [6]. This creates no monthly net financial benefit to the household, which is a primary purpose of the community solar arrays. The impacts of utility allowance structure and rental and utilities subsidy profiles on potential benefits of virtual net metering in Iowa City would need to be evaluated to ensure that proposed programs can provide consistent benefit to low-income households. 59IOWACITYSOLAR2035 ***DRAFT*** Solar Crowdfunding Crowdfunded solar allows individuals or investors to fund or invest in a solar installation. This allows the upfront costs of solar to be divided among multiple participants and to allow the growth of solar as part of the grid, without necessarily using it directly. It incentivizes its installation by allowing people to reap the net benefits of their investiture. As well, it allows communities to install and use solar with reduced upfront costs. Solar crowdfunding can also be achieved through crowdfunded loans. This involves a crowd-funding company and some sort of financial institution. In this model, investors back the loans for homeowners to purchase solar and are able to get a return on their investment. The bank provides these loans on the assumption of future energy savings from solar installation. In 2020 the Security and Exchanges Commission (SEC) clarified crowdsourcing rules. A main takeaway from these rulings is that the commission allows companies to be funded by crowdsourcing up to $1 million a year. While this rule does not solely apply to renewables and energy production, it does pave the way for these types of investments (Montgomery, 2013). With rules opening up the path for new financing models, special attention should be paid to this form of community solar for local ownership of neighborhood and city-scale projects. Microgrids Microgrids are localized grids, installed redundantly with grid infrastructure, that can disconnect from the traditional grid to power neighborhoods or campuses and operate autonomously during outages. They can strengthen grid resilience and help mitigate grid disturbances as well as function as a grid resource for faster system response and recovery. The University of Iowa’s semi-independent local energy infrastructure functions as a form of microgrid within the city. Microgrids can provide efficient, low-cost, clean energy from local sources, enhance local resiliency, and improve the operation and stability of the regional electric grid. The DOE Smart Grid R&D Program considers microgrids as a key 60IOWACITYSOLAR2035 ***DRAFT*** building block for a Smart Grid and has established microgrid R&D as a key focus area. The Energy Act of 2020 establishes a Department of Energy storage and microgrid grant and technical assistance program to help public utilities and rural electric cooperatives design energy storage and microgrid projects that use renewable energy. Microgrid management practices beyond single-user municipal, corporate, and campus applications are not well established. While there are many projects in development and application (Wood, 2021), microgrids are in an early stage of testing and are not yet commercially viable but have proven to be valuable at creating resilience and energy independence co-located with grid energy. Case studies to date (California Energy Commission 2018, 2019a, 2019b; Microgrid Projects, 2021) have identified common contemporary challenges: multiple value streams are essential to cover the installed cost of a microgrid, local zoning and set-back requirements can be a primary limitation, no rate structures or tariffs exist that benefit microgrid users and utilities in blue sky and outage conditions, and intermittent generation and distribution protection require energy storage systems and smart technology to match renewable energy supply and demand. Social Equity Options + Resilience Needs Community solar can contribute to climate adaptation and resilience to extreme weather and grid outages only when co-located with and able to directly power Resilience Hubs, city operations, and neighborhood microgrids. Community solar represents the solar model that can most directly enable equitable, affordable, universal opt-in access to the economic, environmental, and local resilience potential of solar. The public program and its terms determine these features, and project siting determines the potential for on-site microgrids. The optimal model for community solar in Iowa City will depend most on the nature of the community solar program. Investor-owned, PPA, and community ownership are broadly compatible with these benefits, with major differences in regulatory, operational, and financing issues. 61IOWACITYSOLAR2035 ***DRAFT*** While community solar is an effective tool for expanding solar access, it does not create or ensure low-income participation. According to the low-income solar policy guide, “Almost all of the same barriers to entry–particularly financing, education and outreach, and market forces–exist for community solar as for rooftop solar”. The Clean Energy States Alliance Solar with Justice report (CESA, 2019), the most recent and authoritative report social equity strategies in solar, identifies ten common obstacles to solar for under-resourced communities: 1. The solar market is still developing in many places 2. Lack of solar marketer interest and customer awareness in under- resourced communities 3. Financial barriers for community institutions 4. Competition between solar and existing LMI energy programs 5. Policy barriers 6. Utility opposition 7. Competing priorities for advocates and service groups 8. Housing policies 9. Finance policies 10. Vestiges of discriminatory practices and residential segregation National experience to date has shown that a targeted policy and programmatic focus on serving low-income consumers is necessary to successfully expand community solar’s reach to low-income communities at scale. At least 14 states have included low-income provisions in their community solar programs. States have taken various approaches to date, including: Carveouts: A carveout designates a certain amount of program or project capacity to LMI customers. Project carveouts have been included under community solar programs in initial years of Colorado and New York Phase 1, which mandate that a certain percentage of all community solar projects be dedicated to low-income, and for utility-led facilities in Hawaii. Program carveouts have been included in Maryland and Oregon, which mandate a certain percentage of overall program dedicated to low-income customers 62IOWACITYSOLAR2035 ***DRAFT*** LMI-only projects: Projects designed specifically to serve only low to moderate income households Anchor-tenant projects: project developers can seek a single non- residential anchor tenant to subscribe to a large portion of the project’s capacity Incentives: Incentives and adders have been used to incentivize low- income participation in states like Illinois and Massachusetts, with higher payback rates Purchasing Programs: Programs have been designed specifically for low- income community solar, towards the goal of low-income participation and benefit. Colorado Energy Office deployed a dedicated low-income community solar program aimed at reducing low-income energy burden, California’s Community Services Department and New York (NYSERDA) has developed a program under which the state entity serves as an intermediary purchaser of community solar and allocates capacity to low- income customers through electric bill assistance offerings. Each of these options have been analyzed by NREL (2016), finding the most effective strategy will be based on the characteristics of the community. The shared primary finding from NRL and CESA is that partnerships with community groups and existing LMI energy programs are important and effective means of including LMI communities in community solar expansion. CESA’s general recommendations for communities include: 1. Partnerships involving trusted community organizations are essential 2. LMI solar is still in the experimental phase 3. Installations for community institutions deserve special consideration 4. Resilience should be a component of LMI solar 5. Financial risk needs to be minimized for LMI households and community organizations 63IOWACITYSOLAR2035 ***DRAFT*** 6. Strong consumer protection is crucial 7. Shared solar projects can play a useful role, but they are not a panacea 8. Training and workforce development should remain a priority 9. Solar education is important 10. Increasing the availability of financing for solar projects in under- resourced communities is essential The NAACP Solar Equity Initiative (NAACP, 2021) recommends that to create tangible progress for BIPOC and other frontline communities, equitable solar policy should: 1. Reflect an inclusive and community-driven theory of change guided by the Principles of Environmental Justice and the Jemez Principles of Democratic Organizing. 2. Address past, current, and future impacts of climate change by fostering the development of solar energy policies that move us toward a resilient and just transition. Solar energy policies should exist as part of a suite of policies to direct a Just Transition towards a decarbonized economy. 3. Result in measurable improvements in solar adoption rates and whenever possible ownership and control of solar with strong consumer protections in place. 4. Increase and advocate for resilience (grid, community, and individual). 5. Be cross-cutting, so that they address water quality, housing affordability, community development, clean air, workforce equity, and jobs, contracting equity, economic development, education, food access and affordability, transportation, utility regulation, community engagement, and other concerns. 6. Be integrated with energy efficiency, grid upgrades, other renewables, building, and transportation/transit electrification, storage, etc. 64IOWACITYSOLAR2035 ***DRAFT*** 7. Drive both economic and political benefits of solar to reduce energy burdens, make energy more affordable, increase ownership opportunities, create jobs within these communities, and support entrepreneurs and minority and women-owned businesses. Policies should also foster the creation of an inclusive solar energy workforce and business community. 8. Strive for equitable, accessible solar that also delivers net positive impacts or benefits, educates consumers, and empowers them to make their own, informed decisions. Companies and organizations should operate at the highest ethical standards and not engage in deceptive or abusive acts or practices. CESA recommendations for state governments and community organizations relevant to the city include measuring progress towards energy equity, designing solar programs for specific market segments, and ensuring financial benefits reach LMI households (CESA, 2019). Best practices from the Low Income Solar Guide (2018) include: 1. Customer Preference – “When starting a new community solar program, it is essential to keep low-income customers at the forefront of the discussion to ensure they will be able to participate and benefit. Inclusion of language that establishes prioritization and enables preference for low-income customers will allow regulators, utilities, and stakeholders to create targeted, low- income community solar policies that ensure strong low-income participation and flow of program benefits to these customers.” 2. Equitable Benefit – “The program should be structured to ensure that low-income customers in all housing types receive proportionate access and economic benefits under the program. Generally, programs should strive to enable proportionate access for all rate classes, and low-income participation should reflect low-income demographics within the rate base/utility/state service territory. For example, if 30% of residential 65IOWACITYSOLAR2035 ***DRAFT*** customers are low- income, and 10% of the commercial rate class is affordable housing, these demographics should inform the structure of the program and any participatory targets. This principle ensures that a program is not disproportionately weighted towards a certain customer class and that benefits flow equitably to all eligible customer classes and income levels. Program designers may also want to include low-income service providers, such as nonprofits serving low-income communities, in policies” 3. Housing Considerations – “Low-income customers reside in a diverse range of housing, from single family homes to multifamily rental properties. Often, low-income customers may not pay their bills directly, and are represented by an affordable housing operator or other service organization. These unique housing characteristics create both barriers and opportunities. For example, low-income affordable housing operators are often able to serve as financeable offtakers for projects and can serve as passthrough intermediaries for their tenants to benefit from community solar. Single-family households can capture program benefits bill credits) directly, but typically face the highest financial barriers to entry for programs. As such, it is essential to ensure that all low- income customers are included in policy and program design, to ensure opportunity for participation regardless of housing type, and that incentives are structured which account for difference in financing barriers between low-income residential customers, low- income housing providers, and low-income service organizations (if included). Low- income residential customers who pay their bills directly will typically require the highest incentives as they face the highest financial barriers to entry.” 66IOWACITYSOLAR2035 ***DRAFT*** Solar Policy:Planning,Zoning,Easements, and City Operations Local government solar policy can be limited or supported by state legislation and the Iowa Utility Board. Table XXX shows the relationship between solar approaches in Iowa City relevant to state policy. Table 3.1. Solar policies overview Is it legal in Iowa? Does Iowa Code include enabling legislation? Does the Iowa Utility Board have a directive for this? Is this approach currently operational in the state? Is this approach currently operational Iowa City? Solar Zoning YES "# YES "# NO X YES* "# YES "# Solar Easements YES "# YES "# NO X YES "# NO X Solar-ready building code YES "# NO X NO X YES "# NO X Solar in comprehensive planning YES "# YES "# NO X YES "# NO X Certification programs YES "# NO X NO X YES "# NO X Contemporary Zoning in Iowa City Utility-scale ground-mounted solar facilities are currently allowed in Iowa City in areas zoned commercial, industrial/research, interim development, and public. 67IOWACITYSOLAR2035 ***DRAFT*** Some zones may be provisional or require special exception (Iowa City Zoning Code, Iowa City, 2021b). The American Planning Association (APA, 2014) finds one of the biggest potential barriers to solar energy use is the lack of clarity in the local zoning code about what types of solar energy systems are permitted in what locations.” In Iowa City, most solar panel installations are categorized as accessory mechanical structures (more specifically as utility equipment), per section 14-4C- 2N of the City Code. These accessory structures are allowed in all zones, but do have some additional requirements pertaining to location and setbacks of the structure on each property. These additional requirements can also be found in section 14-4C-2N of the City Code. https://codelibrary.amlegal.com/codes/iowacityia/latest/iowacity_ia/0-0-0- 23239 The City also has a separate code section detailing the allowance of Utility-Scale Ground-Mounted Solar Energy Systems, which can be found in section 14-4B-4D- 18 of the City Code. These structures, which are intended for larger utility-scale solar operations, are allowed via special exception in all commercial zones, RDP, ORP, and ID-RP zones, and as a provisional use in P-1 and P-2 zones. Iowa Law Iowa statutes leave most solar development regulation to local governments. The State does not pre-empt or guide solar development. Most importantly, Iowa law mostly leaves to local governments the challenge of defining solar rights, including when property owners have an as-of-right solar development opportunity, when solar rights trump or are trumped by other property rights, and how or whether to protect solar installations from trees or buildings on adjacent properties. State law specifically enables certain actions, such as creation of solar energy “easements” and standard to limit HOAs from restricting solar development, but local governments must take the initiative to adopt and administer these protections (Great Plains Institute, 2020). 68IOWACITYSOLAR2035 ***DRAFT*** Iowa state law allows the purchase and holding of easements protecting access to solar. In situations where easements are not voluntarily agreed to, the individual or entity installing the solar energy system may apply to have a local board review and potentially grant an easement (Iowa Code 564A.7. Access to Solar Energy.) Iowa code authorizes municipalities to issue zoning ordinances prohibiting subdivisions from including restrictions that limit the use of solar collectors (Iowa Code 564A.8. Restrictive Covenants.) Iowa Smart Planning The State of Iowa smart planning law (State of Iowa, 2011) requires state agencies, local governments, and other public entities to consider 10 principles during deliberation of all appropriate planning, zoning, development, and resource management decisions. Several of these principles provide a pathway to the integration of solar development best practices into community regulations and programs: Principle 2. Efficiency, Transparency, and Consistency: “Planning, zoning, development, and resource management should be undertaken to provide efficient, transparent, and consistent outcomes. Individuals, communities, regions, and governmental entities should share in the responsibility to promote the equitable distribution of development benefits and costs.” Solar Best Practice: “Regulation and permitting process should be transparent, predictable, and consistent with surrounding jurisdictions.” Principle 3. Clean, Renewable, and Efficient Energy: “Planning, zoning, development, and resource management should be undertaken to promote clean and renewable energy use and increased energy efficiency.” Solar Best Practice: “Acknowledge the value of solar resources and recognize and enable the varied forms of solar development in plans, policies, and regulations.” 69IOWACITYSOLAR2035 ***DRAFT*** Principle 4. Occupational Diversity: “Planning, zoning, development, and resource management should promote increased diversity of employment and business opportunities, promote access to education and training, expand entrepreneurial opportunities, and promote the establishments of businesses in location near existing housing, infrastructure, and transportation.” Solar Best Practice: “Recognize the economic development and job creation benefits of solar development in economic plans and programs.” Principle 7. Community Character: “Planning, zoning, development, and resource management should promote activities and development that are consistent with the character and architectural style of the community and should respond to local values regarding the physical character of the community.” Solar Best Practice: “Proactively plan for addressing potential conflicts of solar development with other valuable community resources, such as historic community character, urban forest, agricultural practices, and natural systems.” Principle 8. Natural Resources and Agricultural Protection: “Planning, zoning, development, and resource management should emphasize protection, preservation, and restoration of natural resources, agricultural land, and cultural and historic landscapes, and should increase the availability of open spaces and recreational facilities.” Solar Best Practice: “Recognize the environmental benefits of solar energy production as articulated in local, state, or national policy and regulation.” Principle 9. Sustainable Design: “Planning, zoning, development, and resource management should promote developments, buildings, and infrastructure that utilize sustainable design and construction standards 70IOWACITYSOLAR2035 ***DRAFT*** and conserve natural resources by reducing waste and pollution through efficient use of land, energy, water, air, and materials.” Solar Best Practice: “Include solar development as a component of public and private sector building and infrastructure standards development.” Planning and Zoning: Prior Implementation in Iowa In 2017, Johnson County revised their solar ordinances and made the solar application process more efficient as part of earning a SolSmart Gold designation. More recently, Johnson County updated their utility-scale ordinance. Similarly, Linn County is a part of the Iowa Solar Readiness Initiative and has amended their zoning standards to permit consumer and utility scale solar installations. Linn County received Solsmart Gold Designation for making solar more accessible to homes and businesses. Fayette, IA adopted a Solar Energy Systems Ordinance as part of the City Code that outlines the permit process and requirements (i.e., height, location, setbacks, easements, screening, aesthetics, etc.) Decorah, IA allows solar “by-rights” as an accessory structure in all residential zones and is permitted as an accessory use in all other zones as accessory uses and structures customarily incidental to any principal permitted use.” Solar Access Rights and Solar Easements Easements provide long-term assurance of access to incident sunlight and ensure compensation for any lost access. Easements are necessary prerequisites for distributed and centralized solar investment in dense and growing areas where vertical development could limit solar resource during the lifetime of the panels. Iowa City does not currently support solar easements. 71IOWACITYSOLAR2035 ***DRAFT*** Planning and Zoning: Best Management Practices 1. An amendment to the comprehensive plan should precede a solar ordinance/zoning to state intentions for solar development, the benefits of investments in solar, and the key considerations around regulating solar siting (Johannsen et al., 2020). Spatial analysis in GIS is recommended to evaluate candidate zoning policies, determine potential parcels for utility scale solar that won’t be visible from residential areas, create visibility standards, and enable primary solar uses in appropriate locations for large- scale centralized solar installations. 2. Solar facilities generating power for on-site use should typically be regulated as “by right” uses (depending on size and location), while utility-scale solar should typically be “conditionally” permitted regardless of the zoning district, and best in brownfields, remote areas, and agriculture areas (Coffe, 2019). This regulatory approach is true in Iowa City. 3. “The zoning ordinance should be amended to more specifically set forth the process and requirements necessary for a thorough land-use evaluation of an application” (Coffe, 2019). Iowa Solar Model Ordinance The Great Plains Institute suggests an Iowa Solar Model Ordinance (Great Plains Institute, 2020) with state-specific standards to: a. Create an as-of-right solar installation path for property-owners. Create a clear regulatory path (an as-of-right installation) to solar development for accessory uses and - if appropriate - for principal uses such as large-scale solar and ground-mounted community shared solar installations. 72IOWACITYSOLAR2035 ***DRAFT*** b. Enable principal solar uses. Define where community- and large-solar energy land uses are appropriate as a principal or primary use, set development standards and procedures to guide development, and capture co-benefit opportunities for water quality, habitat, agriculture. c. Limit regulatory barriers to developing solar resources. Ensure that access to solar resources is not unduly limited by height, setback, or coverage standards, recognizing the distinct design and function of solar technologies and land uses for both accessory and principal uses. d. Define appropriate aesthetic standards. Retain an as-of-right installation pathway for accessory uses while balancing design concerns in urban neighborhoods and historic districts. Set reasonable aesthetic standards for solar principal uses that are consistent with other principal uses that have visual impacts. e. Address cross-property solar access issues. Consider options for protecting access across property lines in the subdivision process and in zoning districts that allow taller buildings on smaller (urban density) lots. f. Promote “solar-ready” design. Every building that has a solar resource should be built to seamlessly use it. Encourage builders to use solar- ready subdivision and building design. g. Include solar in regulatory incentives. Encourage desired solar development by including it in regulatory incentives; density bonuses, parking standards, flexible zoning standards, financing/ grant programs, promotional efforts. Iowa Government Solar Toolkit As part of The Great Plain Institute’s Solar Ready Iowa, the Local Government Solar Toolkit: Iowa (Great Plain Institute, 2020) has been developed to equip local governments in Iowa with information regarding solar development as it relates to planning, zoning, and permitting. The toolkit provides resources and 73IOWACITYSOLAR2035 ***DRAFT*** BMPs that will assist communities in addressing barriers to solar energy installations in a manner tailored to each community’s needs. These model ordinances offer language to address a variety of solar land uses, aligned with local conditions and priorities. Zoning elements include: 1. Use – Which land uses are permitted, which are conditional, and which are prohibited in each zoning district? Should the community allow solar farms in industrial districts, or ground-mount accessory solar in the backyards of residential districts? 2. Dimensional standards – Where on the lot can solar land uses be placed? If the solar resource is only viable in the front yard, or only available above the peak of the roof because of the neighbor’s trees, should the community allow solar development in those locations? Most communities allow some exceptions to height and setback requirements. Does solar meet the same standard to qualify for an exception? 3. Coverage and bulk – How much of the property can be developed consistent with the preferred development pattern for that zoning district? Should solar panels in the backyard count as an accessory structure if the number of accessory buildings is limited on the lot? Does the surface of a solar collector count as impervious surface for storm water standards? Some communities’ zoning ordinances have more advanced elements that should also be addressed to remove barriers and to take advantage of incentives. Examples include: Design standards - Are community aesthetic or character standards part of local regulations? How can solar development fit into areas where the community has set design goals? Solar easements or cross-property protection – Iowa law enables the creation of easements across property lines to protect solar resources, and the use of a local solar access regulatory board to create easements 74IOWACITYSOLAR2035 ***DRAFT*** through a regulatory process. Should local regulation protect the solar resource when someone makes a long-term investment in solar infrastructure? Is there a public purpose in protecting solar access across property lines? Homeowners Associations – Iowa law allows communities to limit private covenants that prevent individual homeowners’ investment in on- site solar. Should the community guide homeowners’ association choices on solar installation design? Integrating with other processes – How does solar development conflict or support agricultural protection, historic preservation, urban forests, urban expansion areas, municipal utility goals? Capturing co-benefits – Solar farms or other principal uses are subject to stormwater management regulations. Properly designed ground cover requirements for solar farms can create a stormwater amenity or pollinator” habitat. Solar-ready building code Iowa State Energy Code for residential and commercial buildings, based on the 2012 International Energy Conservation Code (IECC), does not regulate solar- ready building. While local governments cannot modify the code or adopt stricter standards on regulated topics, they can adopt supplemental building codes on other issues, and Iowa Code 414.3 allows for regulations to promote reasonable access to solar. IECC Appendices RB and CA prepare buildings for future installation of solar energy equipment, piping, and wiring. The California Energy Commission introduced the California solar mandate which requires rooftop solar photovoltaic systems to be equipped on all new homes built on or after January 1, 2020 (California Energy Commission, 2019c) The 2019 Building Energy Efficiency Standards requires that all new single-family homes and multi-family buildings that are under three stories must conform to the new solar code standards and is climate zone-specific depending on the sizing of a 75IOWACITYSOLAR2035 ***DRAFT*** home’s floor area. The Building Energy Efficient Standards also encourages home batteries and heat-pump water heaters. The size of the equipped system will be determined by the ability to offset 100% of the home’s electricity usage. Homes do not need to offset 100% of their home’s energy with solar. Solar-ready residential and commercial building codes from California (2019), International Energy Conservation Code (2021), the North Carolina Clean Energy Technology Center’s DSIRE database, and an NREL sample of U.S. municipal codes (Cook et al., 2016) provide contemporary examples of adopted in-use codes. No Iowa building codes were included in the NREL study due to insufficient data. Certification Programs and Guidance SolSmart, funded by the U.S. Department of Energy Solar Energy Technologies Office, provides a comprehensive state-specific certification program and no- cost technical assistance to help communities develop municipal solar policies. Designees must meet requirements across the five categories of the SolSmart criteria. Communities must meet program prerequisites and requirements in the foundational categories of Permitting and Inspection and Planning and Zoning and elective focus areas of Government Operations, Community Engagement, Market Development (Solsmart, 2021). The Great Plains Institute, the Iowa Environmental Council and Center for Rural Affairs, the Grow Solar program, and the American Planning Association provide best practices, model ordinances, and tools, and the North Carolina Clean Energy Technology Center’s DSIRE database comprehensively catalogs state, county, and municipal solar policies. 76IOWACITYSOLAR2035 ***DRAFT*** Principal Findings Planning Considerations Iowa City can become a state and national leader in applying renewable energy and energy efficiency policy through cohesive and comprehensive solar policies in zoning, building code, easements, city operations, and comprehensive planning to enhance quality of life, resilience, and economic and environmental objectives. Solar policies provide direct support for Climate Action Plan goals of increasing on-site renewable energy systems and electrification and initiating community solar projects while integrating solar with the goal of increasing compact and contiguous development. Iowa City can apply proactive solar policies, planning and zoning, utility and community-scale projects, solar thermal, and ground-mount solar PV to offset a lower potential for rooftop solar on existing residential and commercial buildings than peer communities in Iowa and among college towns and small metros. Solar policy is foundational to the success of all specific projects and objectives, and each component is essential. Establishing solar easements and solar-ready building, planning, and zoning in the near term is necessary if distributed solar is to contribute meaningfully to city objectives within the planning time horizons of the current Comprehensive Plan and Climate Action Plan. On-site solar and microgrids for existing and proposed city buildings can help accomplish climate action plan recommendations for existing city buildings, ensure continuity of city operations, establish Resilience Hubs, and achieve other public purposes during extreme weather events, grid outages, and emergencies. 77IOWACITYSOLAR2035 ***DRAFT*** On-site solar maximizes City government’s ability to implement the action plan to increase on-site renewable energy systems and electrification of City operations and assure coordination in preparedness planning with relevant agencies. Applying a portion of this solar for the public purpose of electric vehicle charging by city vehicles at city facilities will support efforts to embrace electric vehicles and reduce the City’s vehicle emissions footprint and accelerate investment in electrical and facilities upgrades for vehicle charging to enable electric and plug-in hybrid City vehicle fleets. On-site solar with backup supports existing City buildings participating in transitioning 3 percent of buildings with natural gas to high efficiency electrical heat, powered through low-carbon electricity sources by 2025 and 25 percent by 2050. If the regulatory environment permitted, ideally by legislation enabling virtual net-metering in Iowa, City-wide and neighborhood community solar programs could help allow all residents to benefit from solar savings and household resilience and contribute to the environmental benefits of solar. Community solar is foundational to solar equity and an example funding mechanism to support community-wide climate action. Important considerations for implementing community solar include: Passing state legislation to enable subscription-based community solar projects, or identifying alternatives within the existing regulatory environment. Identifying ground mount and rooftop community solar capacity on city properties Partnering with Mid-American Energy on community solar ownership and operations to reduce regulatory, financial, and operational complexity and enable the city to focus on the public program, public purposes, and public benefit. 78IOWACITYSOLAR2035 ***DRAFT*** Ensuring net economic benefits to low-income residents and prioritize LMI households, renters, students, and buildings not suitable for solar in initial programs to build an effective and inclusive community solar program. Conduct the financial analyses to ensure viability for the entire community, and especially for energy cost-burdened households. Considering community objectives in community solar and develop local community projects based on neighborhood needs and characteristics and public participation. Public participation is essential in developing community solar projects, and especially for neighborhood-scale community solar and microgrids. Applying community solar installations and solar gardens to reduce Urban Heat Island (UHI) impacts for neighborhoods and buildings with high UHI. Measuring progress toward energy equity, solar equity as defined by communities, and reduced energy cost-burden for LMI households Catalyzing private investment in solar PV and thermal by homeowners, businesses, and investors, and leveraging interest in solar ownership to increase energy efficiency through weatherization, high efficiency electrical heating, and solar hot water can help achieve climate action goals. Strategies to accomplish these objectives might include: Educate and encourage households, businesses, and landlords on the specific benefits and costs of going solar for their buildings and adding battery storage. Increase awareness of reliable estimates of the economic benefits of investment in solar after federal tax credits, AERLP, and other state and federal programs. Conduct outreach with businesses on benefits of investing in solar across the city and in federally designated Opportunity Zones. 79IOWACITYSOLAR2035 ***DRAFT*** Educate and encourage households, businesses, and landlords on the larger benefits of pursuing energy efficiency improvements before adding solar or battery storage. Connect residents and businesses to firms offering PPAs and commercial operating leases in the state to enable competitive private-sector financing options for larger investments. Applying distributed and community solar to power thermal decarbonization and pair community solar with energy efficiency and weatherization programs can help maximize potential life-cycle greenhouse gas mitigation. A solar-ready electrical and construction workforce can help grow a solar community. Pertinent training and certification is likely possible through Kirkwood Community College. Encouragement and commitment to responsible solar panel purchasing and supply-side certification addresses negative issues related to human rights and environmental impact. This goal directly connects going solar with the Climate Action Plan goal of encouraging the purchase of local products and responsible purchasing. The following local actions and needs can help accomplish the objectives mentioned above: 1. Continue to implement best practices in city solar policies for permitting and inspection, building code, planning and zoning, solar easements, and historic preservation, and prepare city staff and operations for a solar city. The city can complete the SolSmart program as a path to adopting best practices in solar tailored to community plans, 80IOWACITYSOLAR2035 ***DRAFT*** characteristics, opportunities, and needs. Iowa City can join Johnson County, Linn County, Cedar Rapids, and 8 other Iowa counties and municipalities as a SolSmart Gold Designee. The SolSmart process and guidance and Midwest Renewable Energy Association’s Grow Solar program provide state-specific planning, zoning, and permitting toolkit and model ordinances. Immediate steps toward this milestone include: map current solar zoning by parcel consider a comprehensive solar zoning ordinance consider rooftop solar guidelines for designated historic buildings and historic districts evaluate opportunities and implement solar-ready building code requirements according to Iowa Code 414.3 that allows for regulations to promote reasonable access to solar adopt solar easements to support distributed solar throughout dense neighborhoods identify community public purposes for community solar projects consider both PV and solar thermal in all applications consider municipal adoption of corporate and residential PACE 2. Develop community solar options for renters, students, and LMI households. Community solar has the highest potential for solar PV generation to contribute to climate action goals for existing buildings, especially when paired with community energy efficiency and thermal decarbonization programs. This significant goal faces the regulatory and operational challenges of implementing one of the first community- hosted solar programs in Iowa without a municipal electrical utility. 3. Seek IUB clarification on community-hosted projects including business district solar, neighborhood solar gardens, microgrids, and other community purposes for community-hosted solar. 81IOWACITYSOLAR2035 ***DRAFT*** 4. Conduct public participation on solar planning. Identify community public purposes for community solar projects. Scale and implement community solar projects based on neighborhood needs. 5. Create a Comprehensive Waste Management Plan for solar decommissioning and recycling. Integrate solar into a Comprehensive Waste Management Plan and prepare to administer a recycling program. 82IOWACITYSOLAR2035 ***DRAFT*** Demonstration Projects Partnerships Demonstration projects introduce innovative ideas and approaches to address needs and areas of concern, requiring relatively low capital investment and providing an opportunity to determine whether the project can be scaled up or replicated. Demonstration projects are effective mechanisms for forging partnerships between public and community sectors, garnering public input, and generating measurable results. Example Iowa City Community Solar Projects and Criteria Community solar is foundational to broad and equitable participation in solar and responds to the Climate Action Plan’s call to initiate community solar projects. Caveat: Absent enabling state legislation for property assessed clean energy, the city has limited options to support private commercial or residential solar purchases. In business districts without adjacent public land, community solar could be possible by leasing accessory use from landowners to place panels on roofs and parking lots. It is important to note that utility policy currently only allows for solar projects to serve on- site usage- off-site subscriber-based community solar would require a change or exception to this policy. Exemplary community-hosted solar projects generate electricity on city-owned or leased properties to support multiple public goods and private co-benefits. The objectives for community-hosted solar projects might include: resilient city services and emergency services cost savings for net-metered city operations equitable access to solar cost savings for all residents and businesses lower greenhouse gas emissions reductions in the urban heat island effect 83IOWACITYSOLAR2035 ***DRAFT*** a visible commitment to the city’s climate action plan anchors for solar business districts initial seeds to catalyze neighborhood microgrids Features of a community solar project might include: photovoltaic arrays on public buildings one or more 500kW opt-in community solar arrays with virtual net metering one or more solar parking lots with shaded multi-use spaces for covered bicycle parking, electric vehicle charging, and pop-up events a solar garden with interpretive displays and real-time indicators discounted group buys for residences, businesses, and non-profits At 500 kW capacity per community-hosted solar array, each project meets the electricity resilience needs of the city host buildings plus: 572 MWh/year, the equivalent of 60+ residential rooftop solar installations 205 metric tons of avoided CO2 emissions per year relative to Mid- American Energy’s 2020 Iowa emissions rate, equivalent to taking 45 cars off the road Design Criteria A neighborhood community solar demonstration project using city buildings and public spaces in each neighborhood and business district should consider design criteria, such as: maximize equitable access through initial projects in low and middle- income areas, neighborhoods with high rental and student populations who cannot directly invest in residential solar, federal opportunity zones, and public housing prioritize resilience and greenhouse gas reductions for city operations a visible solar cityscape for residents and visitors 84IOWACITYSOLAR2035 ***DRAFT*** city buildings to serve as anchors for adjacent solar business districts projects at multiple scales Site Analysis Solar projects on City-owned properties can provide local public benefits, such as resilience to power outages and extreme weather events, may help increase project feasibility, and can help provide equitable access to solar benefits. Appendix I includes a map of public lands in Iowa city 3-acres or larger, identified as parks or not parks. Facilities to be considered for on-site solar and storage, subject to limitations and feasibility, include: Iowa City Public Library City Hall Police Station Fire Station #1 Robert A. Lee Community Recreation Center Senior Center Downtown Parking Ramps Mercer Park Aquatic Center and Scanlon Gym Fire Stations #2 and #3 Airport South Side Recycling Center Landfill Terry Trueblood Recreation Area Napoleon Ln Water Department Absent enabling state legislation for property assessed clean energy, the city has limited options to support private commercial or residential solar purchases. In business districts without adjacent public land, community solar could be possible by leasing accessory use from landowners to place panels on roofs and 85IOWACITYSOLAR2035 ***DRAFT*** parking lots. Again, it is important to note that utility policy currently only allows for solar projects to serve on-site usage- off-site subscriber-based community solar would require a change or exception to this policy. This analysis considers all city-owned non-school buildings and adjacent parking facilities, parks, open spaces, and residential and commercial buildings. These projects total 10-30 MW of generation capacity and supplement potential community-hosted solar projects in residential neighborhoods. Potential pilot project sites combining City Operations, Business Districts, and Community Solar opportunities are shown below. Downtown Business District Iowa City Public Library City Hall Police Station Fire Station #1 Robert A. Lee Community Recreation Center Senior Center Downtown Parking Ramps Towncrest (Opportunity Zone) Mercer Park Aquatic Center and Scanlon Gym Sycamore Mall (Opportunity Zone) Fire Station #2 Highway 1/6 corridor (Opportunity Zone) East Side Recycling Center/ReStore Roosevelt Airport South Side Recycling Center Additional City Operations locations Fire Station #3 Landfill Terry Trueblood Recreation Area Napoleon Ln Water Department 86IOWACITYSOLAR2035 ***DRAFT*** Business districts and LMI residential areas with high potential for commercial and utility-scale solar, adjacent private parking lots, nearby public parks and public schools, but no city buildings, could also be potential project sites. They include: Fairmeadows North Dodge/Pearson/ICCSD Riverfront Crossings (Opportunity Zone) South District/Pepperwood Plaza/Wetherby Park Walden Square Figure 4.1 Potential pilot projects for city operations and business districts. Strategy: pilot projects for city operations, business districts, and opportunity zones Resilient City Operations Solar business district 87IOWACITYSOLAR2035 ***DRAFT*** Figure 4.2 Potential pilot projects incorporating city operations, business districts, and federally designated Opportunity Zones. Potential priority pilot projects combine multiple objectives Resilient City Operations Solar business district 88IOWACITYSOLAR2035 ***DRAFT*** Sourcing and Disposal Solar Sourcing The questions surrounding the conditions and inputs used to produce solar panel components have been a more recent area of concern. While questions surrounding the environmental impacts of production have been circulating for a few years (Mulvaney, 2014), recent concerns of forced labor and worker safety have pushed solar consumers and sources to examine where their solar products come from (Murtaugh, 2021; Swanson and Buckley, 2021). Recent reports have raised concerns that polysilicon factories in China’s Xinjiang region are used forced labor from ethnic minorities. The solar issue is a component the wider concerns of the oppression of the Uighur and other minorities in China. While the claims of forced labor are being denied by companies operating in the region, multiple reports cite ‘red flags’ in Chinese documents that may indicate that these workers are being coerced and forced into these factory positions. It has pushed sourcing companies to cut ties with the region and look for polysilicon in other places, a difficult thing to do as China produces 82% of global silicon (Swanson and Buckley, 2021). In a year that was already seeing increases in solar installation, limiting of the Chinese supply may result in a tighter, backed up market for solar components and, thus, solar panels (BloombergNEF, 2021). The situation in China is still developing, and legislation or other sanctions may be enacted in the coming months (Swanson and Buckley, 2021). However, when sourcing solar it is prudent to ask local suppliers where they source their panels from and to investigate whether those companies have signed on to a pledge opposing forced labor put forth by the Solar Energy Industries Association in early February 2021 (SEIA, 2021). In addition to these recent concerns, there are also other resources for sourcing solar responsibly. While the carbon-free energy provided by solar can offset 89IOWACITYSOLAR2035 ***DRAFT*** some of its production energy, there are still environmental concerns when it comes to the energy and chemical usage used to create the cells. It is important to, again, investigate the regions where the solar you are sourcing is produced and what practices they may be using. What types of energy is predominantly used for industrial practices? What sorts of precautions and regulations do they have for dealing with hazardous materials? What are their workers right and protections? To aid this process, the Silicon Valley Toxics Coalition prepares a scorecard rating solar companies on multiple metrics. These include the following: Extended Producer Responsibility; Emissions Reporting; Worker Rights, Health, and Safety; Supply Chains; Module Toxicity & Materials; Emissions; Water; and Conflict Materials (Silicon Valley Toxics Coalition, 2019). Figure 4.3 shows their solar scorecard for 2018-2019 (keeping in mind that circumstances may have changed, especially emerging concerns in Xinjiang). As newer solar cell technologies develop into mainstream production, there may be a greater variety of environmentally responsible and sustainable options. From the mine to assembly, the sourcing of components and labor fall on a spectrum of sustainability and ethics. Environmental and human rights sourcing issues also apply to battery storage systems for solar. For implementation of solar to be truly sustainable, these factors must be considered and shape sourcing decisions. 90IOWACITYSOLAR2035 ***DRAFT*** Figure 4.3. SVTC 2018-2019 Solar Scorecard 91IOWACITYSOLAR2035 ***DRAFT*** Disposal and recycling More than 95% of materials in contemporary solar panel and rack system materials are recyclable, but separating the materials and recycling them is complex and often expensive. PV recycling in the US is voluntary, except in Washington, where manufacturers are required to collect panels at their end of life for recycling free of charge. There will be two decades after initial launch before the recycling program hits its peak, which provides a window to define and expand the program. In 2021, the Iowa Department of Natural Resources is forming a subcommittee to investigate and propose strategies for the disposal of material from solar generation and other renewable energy sources. Considerations for the group include: Which brands of solar panels will be used? The city should consult with its waste management in selecting panel technologies. The many solar installers in the Midwest install multiple types of panels, such as monocrystalline, polycrystalline, thin film, etc. The North Carolina Department of Environmental Quality provides guidance on how to classify whether a solar panel is hazardous waste and could be used as a framework for Iowa City to select panels for municipal installations and establish regulations (NC DEQ, 2019). What is the estimated rate of solar panel decommissioning? Estimates for the maximum number of solar panels that would need to be recycled depend on the peak installation rate. Google Sunroof estimates total rooftop potential in Iowa City at 10.2 million panels. Assuming 10% of the total potential is installed in one year and that these panels would all need to be decommissioned and recycled at the same time yields a maximum of 1 million recycled panels per year. As solar panels have a lifespan of 25 to 30 years, there is time for the program to reach full capacity (Richardson, 2021). 92IOWACITYSOLAR2035 ***DRAFT*** Who are the local and regional recyclers? Area solar installers and solid and hazardous waste management firms do not provide recycling for solar panels. There are few dedicated solar panel recyclers in the Midwest, and several specialized national firms with regional depots. The Solar Energies Industry Association has a national recycling program to help find recyclers and facilitate panel recycling (SEIA, 2019). Cascade Eco Minerals has a zero-landfill policy, Midwest depots, and recycles solar panels in-house. Recycle PV offers nationwide solar panel services for domestic re-use or recycling. PV panel manufacturers First Solar and SunPower have recycling programs for scrap, warranty returns, and end of life. 93IOWACITYSOLAR2035 ***DRAFT*** References American Planning Association, 2014. Planning for Solar Energy. PAS Report 575. https://www.planning.org/publications/report/9117592/ Ames, City of (2021). SunSmart: Ames' First Community Solar Farm. https://www.cityofames.org/government/departments-divisions-a- h/electric/smart-energy/solar-energy/sunsmart-ames-first-community-solar- farm BloombergNEF, 2020. Household Solar Demand Surges Through the Roof in 2020. BloombergNEF, 23 Oct. 2020. https://about.bnef.com/blog/household- solar-demand-surges-through-the-roof-in-2020/ California Energy Commission, 2018. Microgrid Analysis and Case Studies Report California, North America, and Global Case Studies. 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Solar with Justice: Strategies for Powering Up Under-Resourced Communities and Growing an Inclusive Solar Market. https://www.cesa.org/resource-library/resource/solar-with-justice/ CFRA, 2020. Fact sheet: Native vegetation and solar projects in Iowa. https://www.cfra.org/sites/default/files/publications/native-vegetation-and- solar-projects-in-iowa.pdf Coffe, Darren, 2019. Planning for Utility-Scale Solar Energy Facilities. PAS Memo, September/October 2019. https://www.planning.org/pas/memo/2019/sep/ Cook, J., Aznar A.,Dane A., Day M., Mathur S., Doris E., 2016. Clean Energy in City Codes: A Baseline Analysis of Municipal Codification across the U.S. National Renewable Energy Laboratory. http://www.nrel.gov/docs/fy17osti/66120.pdf. Cook L.M., McCuen R.H., 2013. Hydrologic Response of Solar Farms. Journal of Hydrologic Engineering 18, doi: 10.1061/(ASCE)HE.1943-5584.0000530. Dillemuth, Ann, Darcie White, 2014. Integrating Solar Energy into Local Development Regulations. American Planning Association Solar Briefing Papers 4, https://www.planning.org/publications/document/9148295/ Energy Local, 2021. Iowa City Electricity Rates. https://www.electricitylocal.com/states/iowa/iowa-city/ ESRI, 2021. Living Atlas of the World: Median Disposable Income in the United States. https://livingatlas-dcdev.opendata.arcgis.com/maps/esri::median- disposable-income-in-the-united-states/ Google Sunroof, 2021. https://sunroof.withgoogle.com/ Great Plains Institute for Sustainable Development, 2020. Iowa Local Government Solar Toolkit - Planning, Zoning and Permitting. https://www.betterenergy.org/wp-content/uploads/2016/08/Iowa-Toolkit- May2020.pdf Great Plains Institute, 2020. Iowa Solar Model Ordinance. https://www.growsolar.org/wp-content/uploads/2020/09/IA-Solar-Ordinance- 2020.pdf 95IOWACITYSOLAR2035 ***DRAFT*** Hein, Matt, 2021. Personal Communication, Telephone Interview 29n April 2021. Hildebrandt, E., 2021. City of Dubuque to help some residents pay for solar technology. Iowa Capital Dispatch 7 July 2021, https://iowacapitaldispatch.com/2021/07/07/city-of-dubuque-to-help-some- residents-pay-for-solar-technology/. Hinga, A., 2021. Dubuque pilot project would install solar panels on homes of low-income residents. Telegraph Herald 3 July 2021, https://www.telegraphherald.com/news/tri-state/article_3298f132-4178-50e8- b6e9-3bd66320af58.html International Energy Conservation Code, 2018. Appendix CA – Solar-Ready Zone Commercial. https://codes.iccsafe.org/content/iecc2018/appendix-ca-solar- ready-zone-commercial Iowa Supreme Court, 2014. No. 13-0642. SZ Enterprises LLC v. Iowa Utilities Board. https://caselaw.findlaw.com/ia-supreme-court/1672371.html Iowa City, City, C. o., 2021a. Rate schedules. https://www.icgov.org/city- government/departments-and-divisions/finance/revenue/utilities/rate- schedules. Iowa City, City, C. o., 2021b. Iowa City Zoning Ordinance - 12-1-19: ENERGY EFFICIENCY AND/OR CONSERVATION PROGRAMS:12-1-21: RENEWABLE ENERGY OPTIONS. https://codelibrary.amlegal.com/codes/iowacityia/latest/iowacity_ia/0-0-0-4687 Iowa Energy Center, 2020. Alternate Energy Revolving Loan Program Application Handbook. https://www.iowaeda.com/userdocs/programs/resources/aerlp- handbook-2020.pdf IPCC, 2014. IPCC Working Group III – Mitigation of Climate Change, Annex II Metrics and Methodology. https://www.ipcc.ch/site/assets/uploads/2018/02/ipcc_wg3_ar5_annex-ii.pdf IPCC, 2014. IPCC Working Group III – Mitigation of Climate Change, Annex III: Technology - specific cost and performance parameters. https://www.ipcc.ch/site/assets/uploads/2018/02/ipcc_wg3_ar5_annex-iii.pdf 96IOWACITYSOLAR2035 ***DRAFT*** Johannsen, K., Oster, J., Guyer, S., Nelsen, L., Smith, C., 2020. Iowa Solar Siting Resource Guide: A Roadmap for Counties. Center for Rural Affairs. https://www.iaenvironment.org/webres/File/Solar%20Siting%20Guide%202_20 20.pdf Kennedy Jenks, 2017. A Rainy Day at a Solar Farm. https://www.kennedyjenks.com/2017/11/10/a-rainy-day-at-a-solar-farm/ Kinney, Pat, 2017. Cedar Falls Power Customers down with the Solar Farm. Waterloo Cedar Falls Courier, 21 December 2017, wcfcourier.com/news/local/govt-and-politics/cedar-falls-power-customers- down-with-the-solar-farm/article_ac804733-4b86-50d2-ae7b- 87d8fc0bf462.html. Level10 Energy, 2020. The Buyer's Guide to MISO PPAs: What Corporate Renewable Energy Buyers Need to Know. https://www.leveltenenergy.com/post/miso-renewable-energy Low Income Solar Policy Guide, 2018. Low-Income Community Solar Policy Guidelines and Sample Bill Language. https://www.lowincomesolar.org/wp- content/uploads/2018/05/Community-Solar-Policy-Guidelines-and-Sample- Language.pdf Masson V., Bonhomme M., Salagnac J.-L., Briottet X., Lemonsu A., 2014. Solar panels reduce both global warming and urban heat island. Frontiers in Environmental Science 2, doi:10.3389/fenvs.2014.00014. Microgrid Projects, 2021. http://microgridprojects.com/property- location/united-states/ Mid-American Energy, 2021. Iowa AEP Annual Fuel Reporting Requirements - Per 199 IAC 15.17(5) for the year January 1 - December 31, 2020. https://www.midamericanenergy.com/media/pdf/iowaannualfuelreport.pdf MISO, 2021. MISO Futures Report. https://cdn.misoenergy.org/MISO%20Futures%20Report538224.pdf Montgomery, James. SEC Clarifies Crowdsourcing Rules, What’s the Impact on Renewables?. Renewable Energy World, 2013. 97IOWACITYSOLAR2035 ***DRAFT*** https://www.renewableenergyworld.com/storage/sec-clarifies-crowdsourcing- rules-whats-the-impact-on-renewables/#gref MPCA, 2021. Minnesota Stormwater Manual: Fact sheet on stormwater guidance for solar farm projects. https://stormwater.pca.state.mn.us/index.php?title=Fact_sheet_on_stormwater guidance_for_solar_farm_projects Mulvaney, Dustin, 2014. “Solar Energy Isn’t Always as Green as You Think.” IEEE Spectrum, 13 Nov. 2014. https://spectrum.ieee.org/green-tech/solar/solar- energy-isnt-always-as-green-as-you-think Murtaugh, Dan, 2021. “Why It’s So Hard for the Solar Industry to Quit Xinjiang.” Bloomberg Green, 10 Feb. 2021. https://www.bloomberg.com/news/articles/2021-02-10/why-it-s-so-hard-for- the-solar-industry-to-quit-xinjiang NAACP, 2021. Equitable Solar Policy Principles. https://naacp.org/resources/equitable-solar-policy-principles NCSL, 2016. PACE Financing. https://www.ncsl.org/research/energy/pace- financing.aspx NC DEQ, 2019. Solar Panel Recycling and Disposal. files.nc.gov/ncdeq/Waste%20Management/DWM/HW/Guidance%20Document 20table%20documents/Solar-Panel-Guidance.pdf. NREL, 2013. Life Cycle Assessment Harmonization. https://www.nrel.gov/analysis/life- cycle-assessment.html NREL, 2020. State, Local, & Tribal Governments: Community Solar. https://www.nrel.gov/state-local-tribal/community-solar.html REBA, 2019. Publicly announced contracted capacity of corporate Power Purchase Agreements, Green Power Purchases, Green Tariffs, and outright project ownership in the U.S., 2018 by quarter. https://assets-global.website- files.com/5f9c6250da3982973cc87bba/60466fac1d403691c41afcbd_603936a99 a73682330a513ae_PPA-by-State-Map-REBA.png 98IOWACITYSOLAR2035 ***DRAFT*** Richardson, Luke, 2021. How Long Do Solar Panels Last? Panel Lifespan Explained. Solar News, EnergySage, 3 May 2021, news.energysage.com/how- long-do-solar-panels-last/. Robinson, S.A., and Meindl G.A., 2019. Potential for leaching of heavy metals and metalloids from crystalline silicon photovoltaic systems. Journal of Natural Resources and Development 9, 19-24, doi: 10.5027/jnrd.v9i0.02. SEIA, 2019. PV End-of-Life Management. https://www.seia.org/sites/default/files/SEIA-PV-Recycling-Checklist.pdf SEIA, 2021. Solar Companies Unite to Prevent Forced Labor in the Solar Supply Chain. https://www.seia.org/news/solar-companies-unite-prevent-forced-labor- solar-supply-chain SF Environment, 2012. Community Shared Solar. San Francisco’s Department of the Environment. https://sfenvironment.org/sites/default/files/editor- uploads/energy_renewable/pdf/sfe_re_communitysharedsolar.pdf Sigrin, B., Mooney, M., 2018. Rooftop Solar Technical Potential for Low-to- Moderate Income Households in the United States. Golden, CO: National Renewable Energy Laboratory. NREL/TP-6A20- 70901. https://www.nrel.gov/docs/fy18osti/70901.pdf. Silicon Valley Toxics Coalition, 2019. 2018-19 Solar Scorecard. http://www.solarscorecard.com/2018-19/2018-19-SVTC-Solar-Scorecard.pdf State of Iowa, 2011. Smart Planning in Iowa: A Guide to Principles, Strategies and Policy Tools. http://publications.iowa.gov/11078/1/2011_Smart_Planning_in_Iowa_Guide.pdf Swanson, Ana, and Buckley, Chris, 2021. Chinese Solar Companies Tied to Us of Forced Labor. The New York Times, 28 Jan. 2021. https://www.nytimes.com/2021/01/08/business/economy/china-solar- companies-forced-labor-xinjiang.html Tayes, Dustin, 2021. Perry will have Iowa’s First Customer Hosted Solar Project. Racoon Valley Radio, 7 April 2021. https://www.raccoonvalleyradio.com/2021/04/07/perry-will-have-iowas-first- customer-hosted-solar-project/ 99IOWACITYSOLAR2035 ***DRAFT*** White, Kaiba, 2017. Austin Commits to Making Solar Accessible for Low-Income Residents and Renters. http://www.texasvox.org/austin-commits-making-solar- accessible-low-income-residents-renters/ Wood, Elisa, 2021. 21 Intriguing Microgrid Projects to Watch in 2021. https://microgridknowledge.com/microgrid-projects-to-watch-in-2021/ 100IOWACITYSOLAR2035 ***DRAFT*** Appendix I:Maps 101 102IOWACITYSOLAR2035 ***DRAFT*** Adaptation/Equity Working Groups, Meeting Minutes Tuesday, Dec. 21, 2021, 2-3 p.m. Present: Megan Hill, Matt Walter, Sarah Gardner, Daniel Bissell 1. Welcome and Introductions Volunteer to take minutes - Sarah 2. Updates ISU Social Justice and Climate Planning student project: the students submitted their final report on the project on Dec. 17. Proposals included a suggestion to add a human capital” section focused on green jobs and workforce development issues for the next Climate Action and Adaptation Plan update. The plan also includes maps that aim to frame vulnerabilities within Iowa City along different criteria. The bulk of the plan focuses on programs in other parts of the country that might be adopted in Iowa City with suggestions as to how that might be achieved, including projects related to urban agriculture, transit, parking regulations, and cool roofs. AmeriCorps activity: Sarah shared that efforts to promote home energy audits seem to be paying off as the team has been visiting several homes a week, with most of January already booked. In addition to energy efficiency opportunities, the GIA team has identified a number of gas leaks in homes recently and have helped bring MidAmerican to the properties to address those leaks. Megan noted that in her time in AmeriCorps the team only identified gas leaks on two occasions, so the number this team is identifying is notable. Megan also suggested a bill insert might be a good way to advertise GIA services in the future, and Matt suggested looking into how to reach those receiving electronic billing. 3. Discussion The working group discussed the following ideas and questions related to the solar study by JCED: Working group members noted surprise at the relatively small percentage of energy generation for Iowa City that comes from solar and found the table showing what was allowed in Iowa and what was occurring in Iowa City to be useful in understanding options and current efforts The group discussed some of the City’s previous efforts related to solar, including participation in the Grow Solar program, TIF-funded solar projects in commercial areas, and the Bluestem report that evaluated city-owned facilities for their solar potential Working group members asked what the genesis for this report was and to what degree it reflected a continuation of the City’s previous approach to solar versus a departure from it. In response, staff talked about the cancelled plans for a solar installation at Water Works park and how JCED approached the city with an offer to create this report, noting the report could be used as a resource in future discussion to help shape the City’s approach to solar in the future. The working group members noted the proposal does a great job of laying out all the different options; the challenge now is narrowing them down to the ones that make the most sense. In particular, the group discussed the trade-offs at different scales – that small scale solar installations on rooftops might not meet the same kind of resistance that a large-scale installation would, but large scale installations might be more cost effective and better meet equity goals. Parking lot installations were identified as a potential mid-sized development, but questions were raised if that size of installation would have the same economies of scale benefits of a larger scale installation or if it would have the broad support of rooftop solar. Working group members discussed how microgrids might fit the City’s plans for resilience hubs and the related battery storage technology. Working group members also asked about the regulatory/legal hurdles to community solar referenced in the report and what the prospects might be for overcoming those hurdles. The need for a solid public outreach and education efforts ahead of any large solar development was identified as a key strategy, including the report’s call for real time data displays on solar generation. 4. Other Items Next meeting Tuesday, January 18th, 2 p.m. The Equity and Adaptation groups will meet concurrently for this next meeting and decide then if they would like to continue doing so. Outreach Working Group, Meeting Minutes Wednesday, Dec. 15, 2021, noon – 1 p.m. Present: Sarah Gardner, Marcia Bollinger, Tena Kapp, John Fraser, Michal Eynon-Lynch, Anna Clowser 1. Welcome and Introductions Volunteer to take minutes - Sarah 2. Updates Marketing Plan – the plan is in its final stages of development and City staff have been presented with designs for a campaign logo, social media tiles, key strategies, and a mascot for future Climate Action initiatives. A final presentation on the project will be given to the Climate Action Commission at the Jan. 10 meeting. AmeriCorps – efforts to promote home energy audits seem to be paying off as the team has been visiting several homes a week, with several more weeks of audits already booked. In addition to energy efficiency opportunities, they have identified a number of gas leaks in homes recently and have helped bring MidAmerican to the properties to address those leaks. 3. Discussion: Draft solar study by JCED The working group discussed the following questions as opportunities for further discussion: What are the barriers to reaching the projected solar capacity on public buildings that have already been identified? Knowing the limitations of the Project Sunroof data (which is based on roof area, orientation, and shading, but not engineering of the building or structural age), is there a more accurate solar potential number we could work with? As we think about potential funding mechanisms, how much of the cost would/should be shouldered by the city and by residents, particularly as it relates to payback period? What kinds of resistance might we anticipate to large scale solar, based on what we’ve seen in Linn County? How should tax incentives on the federal and state level factor into incentives developed on the local level? What more can we learn about revolving loan programs and PPAs as possible mechanisms? Would a solar revolving loan program resemble other revolving loan programs the city administers? How could we get buy in for PACE loans at the state level? How do we best encourage a diverse energy generation portfolio for the city? Who are the people doing the work if we get a solar program going and what are the teaching and learning opportunities? How do we make it a workforce development opportunity? Each area of the report identified both positive aspects and negative aspects to the various approaches. How do we prioritize the program to identify low-hanging fruit or which approach to pursue first? Where do we start if we recognize we can’t do it all at once? How does solar fit into the current incentives used for development (like density bonuses in return for energy investments)? Could we start with the landlords? Is this something that might be more appealing to them than energy efficiency for their buildings, or do we face the same challenges in this sector? Could education for the private sector builders of larger multifamily structures provide the most benefits for the most people? Are older homes the “high hanging” fruit? Next Meeting Wed, 1/19 1 Iowa City: Climate Action Plan Equity Implementation Toolkit (June 2021) Step 1: Desired Outcomes and Goals 1a. Project Name: 1b. Project Description: 1c. Project Area: 1d. Project Type: 1e. What is the desired outcome for this proposal? 2 Step 2: Data 2a. Who is the targeted audience for this action? (Select all that apply) City-wide OR Residential Single-Dwelling Residential Owner-Occupied Rental Multi-Dwelling Residential Owner-Occupied Rental Commercial Small Business Large Business Industrial Other: Public/Non-Profit Institutions Non-Profit Organizations University of Iowa Kirkwood Community College Other: 2b. Are there impacts on specific neighborhoods or geographic areas? Yes No If yes, which neighborhoods or regions will be impacted by this action? Select all that apply) Regions North West East South Central Neighborhoods Bluffwood College Green Country Club Estates Creekside Eastside Galway Hills Goosetown Longfellow Lucas Farms South District Ty’n Cae Walnut Ridge Waterfront Washington Hills Windsor Ridge Other: Manville Heights Melrose Ave Miller Orchard Morningside/Glendale Parkview Ter./Normandy Northside Oak Grove Peninsula Area Penny Bryn 3 Please review the Climate Action Equity Map to consider other geographic factors that may be impacted by the proposed action(s). What are the observations? 2c. What are the primary demographics of those that would be impacted by the proposal? Consider who is being affected or involved in the action and whether all are able to participate and/or benefit to the same degree. (Select all that apply) Communities/people of color Young people People with disabilities Older people LGBTQ+ community Communities of immigrants and/or limited English proficiency People without employment People who depend on public transit or other non-single-driver transportation Other individuals or communities that have been disenfranchised Will remove, or potentially remove, barrier(s) that caused inequity in the first place (justice) Other: 2d. What is the budget of the work of the action and will that impact the ability to successfully address equity? Why use mapping as a tool to analyze the distribution of city services? It can demonstrate how differently a city action can affect different populations or geographical areas. It can illustrate the community’s assets and weaknesses. 4 2e. Is the individual or household’s personal wealth a determining factor in the ability to benefit from this action? 2f. Is there any essential data missing or need further exploration? How do you plan to find out the information? 5 Step 3: Stakeholder Involvement / Community Engagement 3a. Who are the stakeholders involved in this action? 3b. Which groups have been part of the decision-making? 3c. Are there groups that have been missing in the conversation? Which ones? If yes, what are opportunities for outreach to engage these groups? Who are the “stakeholders”? Stakeholders are those impacted or interested in the action. Examples include residents, city staff, community organizations, businesses, etc. 6 IOWA CITY COMMUNITY ENGAGEMENT & STAKEHOLDER MAP The Community Engagement & Stakeholder Map from the Addressing Climate Change, Health, and Equity in Iowa City Report is aimed to help the City understand how different stakeholders may be impacted by environmental policies differently due to client vulnerabilities and connectedness to the city. The purpose is to promote engagement between the City and community organizations. Depending on where the stakeholder is located on the map will impact how they will be engaged and reached by the City. Impacted by environmental policies and/or climate changes. Influence in environmental decision- making ( time, resources, information, perceived 7 3d. Using the Iowa City Community Engagement & Stakeholder Map above, where do the involved stakeholders fall in the quadrant(s)? How have the stakeholders or community member/groups been involved in the development of this proposal? (Fill in as applicable) Stakeholder #1: Quadrant: Informed Consulted Collaborated Shared Decision-Making Stakeholder #2: Quadrant: Stakeholder #3: Quadrant: Stakeholder #4: Quadrant: Stakeholder #5: Quadrant: Stakeholder #6: Quadrant: Stakeholder #7: Quadrant: Stakeholder #8: Quadrant: Informed Consulted Collaborated Shared Decision-Making Informed Consulted Collaborated Shared Decision-Making Informed Consulted Collaborated Shared Decision-Making Informed Consulted Collaborated Shared Decision-Making Informed Consulted Collaborated Shared Decision-Making Informed Consulted Collaborated Shared Decision-Making Informed Consulted Collaborated Shared Decision-Making 8 3e. How does the quadrant impact how the stakeholders are engaged? 3f. If applicable, where do the groups most impacted by the action fall in the quadrant(s) (identified in Step 2c)? 3g. What are the strategies to gather input and feedback from stakeholders? One-on-one interviews Focus groups Online survey Small group facilitated workshops Collaboration on activities or projects Other: 3h. Do the materials used to market this program need to be translated into other languages other than English? Yes No Maybe Not Applicable 9 Step 4 – Benefit / Burden Determination 4a. Are there other non-economic or non-direct-GHG-reduction benefits or advantages? (Select all that apply) Neighbors get to know each other Advances knowledge of some aspect of climate change or sustainability Provides for childhood learning or development in general Leads to access to other education or training for adults Improves air, land and/or water quality Improves healthier living in general Supports biodiversity Makes travel/transit easier/efficient, safer or reliable, especially people who are vulnerable Makes “greener” travel more possible for all by bus, walking, biking, etc. Otherwise supports part or all of action in one of the other action areas: Buildings, Transportation, Waste, Adaptation, Sustainable Living Easily replicable and scalable Engagement with community stakeholders or agencies Other: 4b. Are there other economic benefits? (Select all that apply) Increases home or building value Adds new or advances existing jobs/profession Supports local economy Other: 4c. Does it conflict with any other action in the 100-day plan? Buildings Transportation Waste Adaptation Sustainable Lifestyle If yes, how? 10 4d. Which group(s) will be more positively impacted by the outcome of this action? 4e. Are there any obstacles that are keeping particular groups from participating in the benefits of this action? (Select all that apply) Education Financial Time Physical accessibility Lack of cultural sensitivity Language barriers Other: 11 Step 5 – Strategies / Recommendations 5a. If applicable, what are the strategies for addressing the potential identified burdens/obstacles? 5b. How can partnerships with stakeholders be continued throughout the implementation process? 5c. What remains unresolved? What resources or internal/external partnerships do you still need to make changes? 12 Step 6 – Evaluation and Accountability 6a. In what ways would this action be considered “successful” for equity in the Iowa City community? 6b. How can the impacts and outcomes be documented and evaluated over time? 6c. Is there a clear way for stakeholders or community members to contact with questions or concerns over this action?