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HomeMy WebLinkAboutBill No. 16-57 In Support of Clean Energy Transitionf9pUiN - a, L; C The South Bend Common Council 227 West Jefferson Boulevard, Room 441 Downtown South Bend, Indiana 46601 574.235.9321 574.235.5567 TDD Members of the Common Council 0 Floor County -City Building South Bend, Indiana 46601 Re: Bill No. 16 -57 Proposed Clean Energy Resolution Dear Council Members: Filed in Clerk's office- AUG 1 E 201 KAREEMAH FOWLER CITY CLERK, SOUTH BEND, IN August 16, 2016 Greetings. Bill No. 16 -57 has been the topic of discussion at two (2) informational meetings held by the Council's Utilities Committee to date. Ongoing discussions have taken place with Therese Dorau, the City's Director of Sustainability, since the proposed Resolution was continued at the July 25th Council meeting. She is continuing to work on providing additional data on best clean energy practices for the City of South Bend. In order for more information and updates to be prepared, I am requesting that Bill No. 16 -57 not be heard at the August 22nd Common Council meeting, so that more data can be collected. In this way, the Utilities Committee would have the opportunity to have additional discussions. To date, we have received a great deal of public comments, along with candid updates from representatives from AEP Indiana Michigan Power and the Sierra Club. As Dr. Varner noted, when he chaired the last Utilities Committee, he would like the final version of the proposed Resolution "...to be supportive of the best parts of both rather than completely objective to only one (1) side ". I believe that that is a reasonable objective, that we should continue to pursue. I therefore request that Bill No. 16 -57 be continued to September 12tH Sincerely, Cou e er Oliv J. Council Vice- President 6th District Council Member cc: The Office of the City Clerk Therese Dorau, Director of Sustainability Sierra Club & AEP Indiana Michigan Power representatives News Media Resolution No. A RESOLUTION OF THE COMMON COUNCIL OF THE CITY OF SOUTH BEND, INDIANA IN SUPPORT OF A REASONABLE TRANSITION TO CLEAN ENERGY FOR SOUTH BEND Whereas, a transition to clean energy has begun in the City of South Bend and nearby communities, with solar panels installed at the South Bend Century Center, South Bend Mutual Homes and Near Northwest Neighborhood; l and Whereas, Rev. John I. Jenkins, C.S.C., president of the University of Notre Dame, announced on September 21, 2015, that the University will cease burning coal entirely within five years, and cut its carbon footprint by more than half by 2030;2 and Whereas, at least six faith communities in South Bend have installed or are planning to install solar panels to reduce their energy costs and better care for the Earth, including the First United Methodist Church, Islamic Society of Michiana, Kern Road Mennonite Church, Olivet AME Church, St. Anthony de Padua Catholic Church and First Unitarian Church;3 and Whereas, the South Bend Century Center expects to save $1.5 million over 15 years by installing solar panels, LED lighting and energy efficient heating and cooling systems;4 and Whereas, Real Services provided winter heating assistance to 9,432 struggling families in its Northern Indiana service area in 2015, and summer cooling assistance to 9,202 families that same year;5 and Whereas, investments in solar power and energy efficiency in South Bend could benefit our local economy while reducing energy use and making it easier for residents to afford their electric bills; 6,7 and Whereas, with more than 146 watts installed per person, Indianapolis ranks second in the nation for solar power capacity per capita, second only to Honolulu, Hawaii, and ahead of all other U.S. cities such as San Jose, San Diego and Albuquerque;8 and Whereas, Northern Indiana Public Service Co. offers a program to purchase renewable energy from customers through a program that is creating 35 megawatts of solar, wind and other local energy in Northwest Indiana;9 and Whereas, Indiana Michigan Power (I &M) has begun installing small solar projects totaling 15 megawatts10 yet still generates approximately 40 percent of South Bend's electricity from the 2,600- megawatt AEP- Rockport 1 http:// www .iaced.org /wp- content/uploads/ 2015 /07/ South - Bend - SUN - Solar- Awards.i)df 2 http: / /news.nd.edu/ news /61083 - notre- dame - goal -no -coal/ 3 http:/ /www.southbendtribune.com / news /local/ south - bend - congregations- turn - skyward -to- conserve - energy /article 732c968d -b43f- 59ae- babd- ac8e079ebbaa. html 4 https:Hdowntownsouthbend com /century- center - surges- ahead - multi - million - dollar - energy- savings - project 5 https: / /www.realservices.org/ wp /wp- content/uploads/ 2016 /04 /2015 - Northem- indiana.pdf (page 11) 6 http: / /energy.gov/ sites / prod /files /2016 /05 /f31 /Factsheet -EE Savings and Benefits.pdf http : / /www.thesolarfoundation.org /national/ - 3 http: / /wishtv.com/ 2015 /05 /27 /f`orbes- indy -is- 2nd - best -city- for - solar - power/ 9 https: / /www.nip co.com/ our - services /renewable - energy- projects /feed -in- tariff - program 10 https: / /www.indianamichiganpower.com/ info / news /viewRelease.aspx ?releaselD =1695 Resolution In Support of Reasonable Transition to Clean Energy Page 2 coal -fired power plant," the second most toxic power plant in Indiana 12,13 and the nation's sixth largest carbon polluter in 2014,14 according to the U.S. Environmental Protection Agency; and Whereas, Dr. Norma Kreilein, a Notre Dame alumna and pediatrician in Washington, Indiana, says pollution from the AEP- Rockport coal plant is harming the health of children and their families in southern Indiana and the plant should be shut down; 15 and Whereas, the AEP- Rockport power plant sends hundreds of millions of dollars from South Bend and other I &M communities each year to pay for out -of -state coal from Wyoming and Kentucky; 16 and Whereas, I &M must decide whether it will spend more than $3 billion of customers' money during the next 12 years to add more pollution controls to the AEP- Rockport plant or invest in clean energy jobs and technology in communities where I &M customers live, such as South Bend, Elkhart, Fort Wayne and Muncie;17 and Whereas, I &M's lease- operate agreement expires in 2022 on one -half of the AEP - Rockport plant owned by a group of out -of -state corporations -- General Electric, Verizon, Philip Morris, Citigroup and J.P. Morgan -- who use the plant's assets to reduce their income tax burden;18 and Whereas, according to I &M's own analysis, phasing out one half of the AEP - Rockport plant in 2022 and replacing it with cleaner forms of energy would be less expensive than I &M's preferred plan to keep burning coal; 19 and Whereas, retiring the AEP- Rockport plant would achieve half of Indiana's carbon reduction goal under the federal Clean Power Plan, 20 reduce financial risks for customers, and potentially generate more local jobs and economic opportunities; and Now, Therefore, be it resolved by the Common Council of the City of South Bend, Indiana, as follows: Section I. The Common Council calls on Indiana Michigan Power to transition as expeditiously and cost - effectively as possible away from coal -based power to cleaner forms of energy, such as wind, solar and energy efficiency and to do so in a reasonable manner that minimizes rate impacts. I &M's transition plan should include: Identifying locations in South Bend and nearby communities where jobs can be created through investments in energy efficiency, wind or solar power; and 2. Developing a more aggressive plan to weatherize and improve energy efficiency in homes with low- income residents so families can afford their utility bills; and hops: / /www. indianamichiganpower.com /global/ utilities /lib /docs /info /projects /I nteg rated ResourcePlan /2015 %201 &M %201 RP %20Publ ic% 20Summary.pdf 12 https:Hiaspub.epa.gov /triexplorer /td release.facility 13 http: / /enewspf.com/ 2016 /02/02/ new -epa- data -im- facility- 2nd - most - toxic - power - plant -in- indiana/ 14 hops: / /ghgdata.epa.gov /ghgp /main.do 15 http: / /www.iournalgazette.net/opinion /columns/ Doctor -s- prescription- Less -I -M- pollution- 11896586 16 Source: www.sni.com (subscription service) 17 http: / /wboi.org /i)ost/coal- fired- plants- adapt- new - costly -epa- standards #stream /0 18 https:Hdrive.google.com/ file/ d/ OB- POypoYthHLaU5Zb3FIZEJPcVRHZzBffiUilWdWN4OXJPSEFB /view ?usp = sharing 19 hops: / /drive. google.com /file /d /OB37irMi -Cg JWmIBeEdgTIdTRFk /view ?usp = sharing 20 At 19.7 million short tons of CO2 emitted in 2012 and 17.4 million short tons in 2014 (ghgdata.epa.gov — metric tons converted to short tons), the AEP - Rockport plant represents more than half of Indiana's Clean Power Plan goal to reduce CO2 emissions by 31 million short tons by 2030 (https: / /www3. epa. gov /airquality /cpptoolbox/indiana.pdf) Resolution In Support of Reasonable Transition to Clean Energy Page 3 3. Working with the local community in Spencer County to create a just transition plan for AEP- Rockport plant workers and surrounding communities who today are dependent on the plant for income. Section II. The Office of the City Clerk shall send a copy of this Resolution, following Common Council disposition, to Indiana Michigan Power Company, the Office of the Utility Consumer Counselor located at 115 West Washington Street, # 1500, Indianapolis, Indiana 46204 and the Indiana Utility Regulatory Commission located at 101 West Washington Street, Suite 1500E, Indianapolis, Indiana 46204. Section III. This Resolution shall be in full force and ffec fro ker its adoption b e Common Council and approval by the Mayor. Co it Member C6iv J. Davis, 6th Distract Council Member Tim Scott, I" District Council Member at Large Gavin Ferlic Common Council Vote Totals: In Favor In Opposition Filed in Clerk's Office JUN 2 1 2016 nese t KAREEMAH FOWLER CITY CLERK, SOUTH BEND, IN S.