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HomeMy WebLinkAboutCapital Solar Integration Policy August 2025 SELECT BOARD POLICY Capital Projects & Solar Canopy Integration Policy (CSIP) & Implementation Guidelines -building (>=:82EA=8<A46?0A4A744C0:B0A8=<0<38<@A0::0A8=<=5@=:0?20<=>84@8<A=,4D8<6A=<F@<=< capital projects Date Approved by SB: August 18, 2025 Signature of Chair: ___________________ Jill I. Hai 1. Purpose of Policy 1.1. To maximize the installation of onsite renewable energy on Town properties by installing solar canopies, while taking into account the intended use and physical constraints of the site. 1.2. To integrate solar installation planning and funding requests into the capital budgeting process to ensure that needed information is available at appropriate stages of the process. 1.3. To provide guidance on the types of sites, surfaces, and applications where solar canopies are appropriate. 1.4. To deliver emission reductions, financial savings, and health benefits. 2. Policy Scope 2.1. The policy applies to all Town-funded capital projects (including projects using CPA funds, revolving funds, enterprise funds, grants, and donations) with the following exceptions: 2.1.1. Building projects. The installation of solar canopies as part of a new construction building project (e.g., solar canopies on a parking lot for a new Tg\[^V\[`Y'\[eSVVdWeeWV\[`fZWJai`me?`fWYdSfWV8g\[^V\[`Y:We\[Y`%9a`efdgUf\[a` Policy. JZW\[`efS^^Sf\[a`aXea^Sda`Wj\[ef\[`YTg\[^V\[`Ye\[eUahWdWVTkBWj\[`Yfa`me Municipal Decarbonization Roadmap. 2.1.2. Underground utility work (e.g., sanitary sewer, water, stormwater). \[Note: the design of underground utility work should consider the potential for future solar canopy installations and locate the utilities so that they do not preclude future solar canopy installations.\] 2.1.3. Paving of roadways. 2.1.4. Sidewalks adjacent to roadways. 2.1.5. Minor preservation/maintenance projects (e.g. sealing cracks or patching parking lots or roadways) 1 2.2. There may be other Capital requests for which staff determine the policy need not be applied. Once all CIPs have been prepared, the Sustainability & Resilience Officer, in coordination with other departments, will prepare a list any CIPs for which staff recommend an exemption from the policy. The list will be submitted to the Select Board for approval. 3. Overview 3.1. For relevant projects, the following steps shall be taken during the capital planning and capital project budgeting process: 3.1.1. An initial solar feasibility assessment 3.1.2. A solar design funding request 3.1.3. A solar construction funding request The design and construction funding request may be combined into a single request if deemed feasible by staff. JZWba^\[Ukme?_b^W_W`fSf\[a`=g\[VW^\[`WeVWfS\[^ZaifaUSddk out the above steps to satisfy the policy. 4. Responsibilities 4.1. The Select Board (SB) is responsible for adopting this policy. 4.2. The Director of Public Works, Town Engineer, Director of Public Facilities, and the Sustainability & Resilience Officer are responsible for adherence to this policy, under coordination from the Town Manager. Other affected departments (e.g., Recreation, Lexington Public Schools, Conservation, Planning) shall be consulted, as appropriate, to ensure policy requirements are met. 4.3. The Sustainability & Resilience Officer is responsible for reviewing Capital Improvement Project (CIP) requests to ensure that the policy and implementation guidelines are being followed and that opportunities to implement solar projects are appropriately considered. 5. Policy Revisions and Updates 5.1. No changes to the policy may be made without the formal approval of the Select Board. 5.2. This policy shall be reviewed by the Department of Public Works, the Department of Public Facilities, and the Sustainability & Resilience Officer for approval by the Select Board every three years or sooner as required to reflect current, best practices. Other impacted stakeholders, including but not limited to the Town Departments responsible for facilities and land, shall be consulted during review. 2 Implementation Guidelines Please note: Projects within the scope of this policy are typically funded through two rounds of capital requests: an initial request for design funding and, if approved, a second request for construction funding. Individual projects may vary from this approach. If a project utilizes a single capital request that includes both design and construction, all requirements defined in this implementation guide should be addressed in a single request. 6. Initial Solar Feasibility Study 6.1. For any capital project included under the scope of this policy, the Town shall complete an initial solar feasibility study of the affected site, before requesting project funding, to identify the solar canopy potential for each site. 6.2. The initial solar feasibility study should exclude areas that are more than 50% shaded, and areas that would entirely prevent the use of the site as intended. 6.3. The initial solar feasibility study should include estimates of the following: 6.3.1. The expected location and physical size of the solar canopy/canopies (square feet) 6.3.2. The expected installed capacity (kW) 6.3.3. The expected solar production (kWh), assuming the use of solar panels that are readily available to municipal customers 6.3.4. A return on investment analysis generated using the Lexington Solar Screening Tool (Attachment A) 6.4. The results of the studies will provide a resource for staff when developing funding requests for the capital project. 7. Design Funding Requests 7.1. A funding request for the design of solar canopies should be made alongside or integrated into the primary capital project design funding request so long as the return on investment (6.3.4) is deemed favorable and the impact of the solar panels on the following factors have been carefully considered and accounted for: 7.1.1. intended use. JZWe\[fWme 7.1.2. The local vegetation. 7.1.3. Fire and emergency services access. 7.1.4. Snow plowing access. 7.2. The request for design funding for any capital project included under the scope of this policy shall include, at a minimum: 7.2.1. A statement indicating whether solar canopies are being considered as part of the project 7.2.2. For projects not considering solar canopies, a justification of why not (see Section 7.1 for potential justifications for exclusion) 7.2.3. For projects considering solar canopies, the results from the initial solar feasibility study (see section 6.3) 3 7.3. The request for design funding can include the cost of the solar canopy design as an independent line item or can reference a separate design funding request that includes the cost for the solar canopy design. 7.4. The request shall identify whether the funding will be requested from tax levy, CPC funding, or another source. 7.5. For approved design projects, the design shall be developed in consultation with the department with responsibility for the site. The results of the solar canopy design shall include the following, at a minimum: 7.5.1. Estimates for the construction cost of the solar canopy and electrical service required for interconnection, the annual energy production (kWh), the useful life of the solar canopy, and the annual and total revenue that will be generated by the system, and the estimated payback period. 7.5.2. Estimates for the maintenance cost of the solar canopy over its useful life and the identification of the department that will be responsible for maintenance. 7.5.3. For solar canopies that will be integrated into other systems (e.g., battery storage, EV chargers, buildings, etc.), the estimates shall also include the costs for integrating into those systems and the additional benefits (e.g., cost reduction) associated with adding solar energy generation to the overall system. 7.5.4. Renderings of the finished project to show the planned location of the solar canopy and the design of the structure. 7.5.5. A shade study to show the impact of shade caused by the solar canopy on the immediate area. 7.5.6. Approval of the design by the Fire Department to ensure access for emergency services. 7.5.7. Approval of the design by the Department of Public Works to ensure feasibility of snow removal services and utility access (e.g., sewer, water, stormwater). 7.5.8. For projects in the Historic District, the Certificate of Appropriateness (COFA). 7.5.9. An assessment by the department responsible for the site of the impact of the solar canopies on the intended use of the site. 7.5.10. For solar canopies over green space, an assessment by Public Grounds on any impacts to the local vegetation. 7.5.11. An evaluation of other impacts of the solar canopies, including but not limited to, loss of parking and open sky benefits. 4 8. Construction Funding Requests 8.1. For projects that include solar canopies in the request for design funding, the request for construction funding shall include, at a minimum: 8.1.1. If the project team determines that a solar canopy is not viable for the project, the request for construction funding shall include all results of the solar canopy design effort and a justification for why the opportunity identified in the request for design funding is not considered viable. 8.1.2. If the decision is to install solar canopies, the request for construction funding shall include: 8.1.2.1. A life cycle cost assessment of the solar canopy generated using the Lexington Solar Screening Tool (Attachment A), using refined inputs gathered from the design process. 8.1.2.2. Estimates for the capital costs for the solar canopies, separate from the overall project. 8.1.2.3. The results of the design effort as described in Section 5.5. 5