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Council corrects AMP contract authorization; city staff outlines solar and generation projects
Summary
Council approved a resolution correcting authorization to sign a power sales agreement with AMP for the Michigan CAP project; staff also briefed the council on a proposed 5 MW solar project on city-owned land and other local solar developments.
The Coldwater City Council approved a resolution to authorize city staff to sign a power sales agreement with American Municipal Power (AMP) for the Michigan CAP project, after the BPU board identified that the contract required city council authorization.
Paul, speaking for the municipal utilities, said the June 2023 BPU resolution authorized execution of a power sales agreement and related contracts for 7.5 megawatts of natural-gas-fired generation at the Michigan Avenue substation (the Michigan CAP project) but that AMP's paperwork mistakenly named the BPU rather than the City of Coldwater. Paul asked the council to approve resolution 25-11 and agreement 25-05 to allow him to sign the corrected power sales agreement. The city approved the action by voice vote.
Paul also updated the council on renewable-energy plans tied to city-owned land (the "Lopez" parcel along US-69). He said staff are finalizing 4/25 (net-metering) agreements with Coldwater Township and the developer and expect to sign a term sheet within the next three to four months. Paul described the proposed project as roughly 5 megawatts of behind-the-meter solar, aimed to serve city load and help meet renewable portfolio objectives; staff estimated full operation in 2026 if schedules hold. He noted special site needs raised by the developer, including water for panel washing and options for vegetation control such as sheep grazing.
Paul said the AMP-related contract correction was largely an administrative fix needed before AMP completes financing for the Michigan CAP unit and related power-secure units. The council approved the resolution on a voice vote; no roll-call was recorded.
Ending: With council authorization corrected, staff said they will finalize the AMP agreement signature and continue negotiating the solar term sheet and 4/25 arrangements with township and developer partners, with construction likely in 2025 and operation targeted for 2026 if approvals proceed on schedule.
