This is for modification No. 1 for a contract for solar energy services to Cherry Street Energy, LLC in the amount not to exceed $5,750,000. The Sustainability Department will use this agreement to fund the design, installation, operation, maintenance, and decommissioning of 1.26 MW of solar capacity across 14 City sites in support of the City’s 100% Savannah goals, while also producing an estimated $1,400,000 million in energy savings over the contract term. This is a sole source procurement due to the following reasons: In 2021 this was released as an RFP and was approved by Council in 2022, no need to negotiate a new contract, no need to meet with different organizations to manage the contract, the original contract allows for additional sites to be added, no need to process separate invoices each month.

In July of 2022, Council authorized the City Manager to execute a contract with Cherry Street Energy to install, operate, and maintain solar energy systems at 19 City facilities, though the scope was ultimately reduced to 16 facilities due to operational changes and planned renovations. This phase 1 portfolio has delivered substantial benefits to the City, including more than $45,000 in energy savings over less than a year of performance (and with one system yet to be installed); three roof replacements valued at more than $300,000; workforce training for 8 unemployed and underemployed residents, most of whom are still working in the solar industry on the Georgia BRIGHT program; a 56% DBE participation rate (46% local); and generation of approximately 1000 MWh of local renewable energy in support of the City’s 100% Savannah goals.

If approved, this modification will continue the City’s progress on the 100% Savannah initiative, generate energy savings and predictability at a time when electricity rates are continuing to increase, meet or exceed an LDBE participation target of 35%, and continue the City’s leadership in the clean energy space by positioning us to install the first floating solar array in Georgia.

The contract term expires on July 11, 2049. Delivery: As needed. Terms: Net 30 days. The bidder was:

S.S.         Cherry Street Energy, LLC (Atlanta, GA)^(D)                          $5,750,000

 (D) Indicates non-local, non-DBE business.

Local available: No

Total sent: 1

Total received: 1

Approval