9.2. SR 05-16-2016City of
Elk az
—
River
Request for Action
To
Item Number
Mayor and City Council
9.2
Agenda Section
Meeting Date
Prepared by
Work Session
May 16, 2016
Kristin Mroz, Environmental Technician
Item Description
Reviewed by
Climate -Smart Municipalities
Cal Portner, City Administrator
Reviewed by
Action Requested
Review Climate -Smart Municipalities partnership acceptance and discuss delegates.
Background/Discussion
This year, the city had the opportunity to apply for the Climate Smart Municipalities partnership. The
international exchange program is part of the German government's Transatlantik-Programm and partners
five Minnesota cities with five award-winning German cities to work collaboratively on climate -smart
energy projects. The Transatlantik-Programm is part of the Marshall Plan (European Recovery Program), a
US -sponsored program designed to rebuild the economies of 17 European countries after World War II.
The Minnesota partnership received a 3 year grant to fund this particular program.
Elk River, along with the cities of Duluth, Rochester, Morris, and Warren, were selected from eight
applicants. The German partners from the state of North Rhine-Westphalia have not yet been selected
but each city will pair up with a similar German counterpart for a three-year correspondence. The
program aims to apply university research to solve energy-related environmental challenges on the
ground.
The project includes partners such as the University of Minnesota's Institute on the Environment and
Natural Resources Research Institute, Germany's Federal Ministry of Economic Affairs and Energy, the
Ministry for Climate Protection, Environment, Agriculture, Nature Protection and Consumer Institute in
the state of North Rhine-Westphalia, the Minnesota Department of Agriculture, the Minnesota Pollution
Control Agency, the Minnesota Environmental Quality Board, the Minnesota Department of Commerce,
the Great Plains Institute, Ever -Green Energy, and the Minnesota Credit Union Network.
Two representatives from each Minnesota city will travel to the state of North Rhine-Westphalia from
July 3-10, 2016, to tour energy facilities and work with their partner community to develop strategies for
meeting the state goal of reducing greenhouse gas emissions at least 30% below 2005 levels by 2025,
while boosting the local economy. The delegation from Minnesota will have 20-25 members including
officials from EQB (Will Seuffert), MPCA (Commissioner Linc Stine [tbc]); private sector partners Ever -
Green Energy (Ken Smith), MN Credit Union Network (Affinity Plus Federal Credit Union CFO Brian
Volkmann); nonprofit Great Plains Institute (Abby Finis); University of Minnesota representatives
(Natural Resources Research Center: Rolf Weberg. Institute on the Environment: Lewis Gilbert, Sabine
Engel). The German communities will send representatives to Minnesota in September of 2016.
P a w E R E U 6 Y
NaA f RE]
Financial Impact
The cost of the program is covered by the grant. The only cost to the city is the cost of airfare for the two
delegates (currently $1,000-$2,000 per person, round trip).
Attachments
■ Application Two Page Description
■ Statement of Support
City of Elk River Climate -Smart Project
March 21, 2016
The City of Elk River aspires to become a climate -smart municipality. Some of the goals to achieve
this are outlined in the Energy City 10 -year Action Plan. These project ideas are essential for our
community to become energy resilient in a climate changing atmosphere, and to maintain
competitiveness in our business culture and residential way -of -life.
Background
Under Goal 3: Showcase Ideas of Energy City, the Energy City Action Plan has the objective of
"Identify and promote renewable energy resources." Although the tasks listed are not entirely
inclusive of all possible actions, the tasks listed are higher priority and often more difficult to
achieve.
Objective
High Priority Action Tasks
Identify and promote renewable energy
Explore neighborhood energy systems (PV
resources
Systems, Water Collection Systems) and make
a plan for improvements by 2024
Explore District Heating Systems and make a
plan for development by 2024
Achieve 15% above State/Federal mandates of
renewable energy city-wide by 2024
These goals, objectives, and tasks have been approved by the Energy City Commission and the Elk
River City Council. These steps make logical sense for a Climate -Smart Municipality Project
partnership. Many larger communities and universities in Minnesota and the United States are
capable of achieving such actions but the complexities involved makes some tasks difficult to
research, plan for, develop, maintain, and assess for smaller communities. The City of Elk River has
not yet explored these three tasks or developed baseline assessments.
Project Descriptions
Explore Neighborhood Energy Systems
This project involves small scale renewable energy systems located in regional settings throughout
the community. Systems may include community solar, water collection, biomass energy, geothermal
heating and cooling, sewer heat collection, etc. These systems would be integrated into the local
community by the city, a private contractor, and/or the municipal utility.
Explore District Heating Systems
District Heating Systems are a side project of Neighborhood Energy Systems. Any residual heat
from energy projection or collection of renewable heating would be captured at a local scale for
13065 Orono Parkway
Elk River, MN 55330
Phone: 763.635.1000
Fax: 763.635.1090
www.ElkRiverMN.gov
P O M E R E O e r
NWUR
neighborhood use. These systems would most likely be a city project with collaboration from the
Elk River Municipal Utilities and possible the downtown association or individual businesses.
Achieve 15% Above State/Federal Mandates of Renewable Energy City -Wide
Currently, Minnesota requires our utility to achieve 25% renewable energy by 2025. This task would
look to achieve the utility's goal plus an additional 15% across city and private installations of solar,
wind, geothermal, and other renewable technologies. The utility is currently just above 9%
renewables.
Questions to Consider
Are these projects feasible in Elk River?
Are they feasible to complete prior to 2024?
What location would best be utilized for development and distribution?
What communities have implemented these projects to date?
What costs may be associated with these projects?
What resources and funding opportunities exist for finances?
Do the paybacks for these projects make economic sense for our community?
How much carbon can we reduce by implementing these projects?
Community Involvement
Renewable energy resources affect the entire community. By using clean energy, our air quality
improves. Xcel Energy's 2,222 MW Sherco Coal plant is located not far from Elk River city limits.
Although we have not had air quality exceedances, this fuel source inevitably affects our community.
In addition, producing locally sourced renewable energy allows for energy independence, unlike coal,
that is mostly imported from other states. In the case of continued climate change, having locally
produced energy is also beneficial for climate resilience in times of power outages due to natural
disasters or increased energy demands. The City of Elk River also has two major highway
thoroughfares (Highways 10 and 169) that see large amounts of traffic in the community. By
converting our energy sources to clean energy, we can further improve air quality and reduce
greenhouse gas emissions as we wait for cleaner vehicle fuels.
Elk River has the unique opportunity of having our own Elk River Municipal Utilities who reports
to City Council. This provides the prospects of increased integration with utility scale infrastructure
and programs and education on electricity, water, and solid waste.
These projects would be a part of the community, utilizing community input and desired outcomes
as a part of the planning processes. The goal would be to educate the community on the project
design, development, and usage and create projects that are highly desired and capable of being used
permanently in the future.
Other Projects to Consider
Transportation — Electric Vehicle Integration
Small Scale Dam Retrofit for Energy Production
Bio -digester Opportunity
of
ver
March 21, 2016
Dr. Sabine Engel
University of Minnesota - Institute of the Environment
1954 Buford Avenue
325 LES Building
St. Paul, MN 55108
Dr. Engel,
The City of Elk River is submitting a proposal for the "Climate -Smart Municipalities: Modeling
Integrated Energy Communities for the 21" Century in Minnesota and Germany" through the
University of Minnesota Institute for the Environment and the German state of North Rhine-
Westphalia.
As a part of the application process, we are including this statement confirming our commitment to
the following:
1. The City of Elk River will make available funding for two members of the city's leadership
to participate in the summer delegation to Germany in each of the three project years. This
willinclude the transatlantic airfare, estimated at about $1,800/person/year.
2. The City of Elk River will conduct regular virtual meetings with the municipal project twin
in Germany.
3. The City of Elk River will connect with experts and researchers at the University of
Minnesota to accelerate our community's progress toward a lower carbon footprint.
4. The City of Elk River will share findings and experiences with other Minnesota communities
at Minnesota forum events.
5. The City of Elk River will designate one individual to provide continuity across all three
project years and participate in each year's delegation.
a. Kristin Mroz, Environmental Technician
If selected, the City of Elk River will be committed to these requirements and maintain flexibility in
other program changes and challenges.
Sincerely,
Kristin Mroz
Environmental Technician
13065 Orono Parkway
Elk River, MN 55330
Phone: 763.635.1000
Fax: 763.635.1090
www.ElklbverNfN.gov
Cal Portner
City Administrator
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3 -Jul
Sunday
Duesseldorf
Arrival Day
4 -Jul
Monday
Duesseldorf
Topics: Germany's energy transition, integrated approaches, NRW
climate communities and Euopean Energy Award
Site Visit: Lausward combined cycle gas fired power plant
Site Visit: Dortmund
5 -Jul
Tuesday
Saerbeck
Travel: Duesseldorf to Saerbeck
Topics: Wind+Solar+Biomass, district energy, education and citizen
involvement, meet mayor and council, NRW Agency Partners
5 -Jul
Wednesday
Saerbeck
Topics: In depth planning, finance tools, involvement with farmers
discussion
7 -Jul
Thursday
Soest
Travel: Saerbeck to Soest
Topics: climate friendly new homes, city traffic, district heating,
municipal utility
8 -Jul
Friday
Rural
Communities
around Soest
Travel: around Soest Soest at night
Topics: renewable energy, agrictulture
Site Visit: NRW Chamber of Agriculture research and training center
9 -Jul
Saturday
Duesseldorf
Travel: Soest to Dusseldorf
Topics: Roundtable discussion on next steps
10 -Jul
Sunday
Depature
Department Anytime