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Nogales council approves McKinstry energy audit and street‑light upgrade plan
Summary
Council approved a McKinstry proposal to pursue LED street‑light and facility mechanical upgrades; staff said street‑light replacement could cost about $1.7 million with rebates and save roughly $166,000 annually, with payback times dependent on whether HVAC and other mechanical work is included.
The Nogales City Council voted July 30 to move forward with a McKinstry‑led plan to inventory and upgrade municipal street lighting and certain facility mechanical systems, including a scope that would replace existing street lights with LEDs and evaluate HVAC units in city buildings.
Mitch Kramer, city manager, described McKinstry’s work as part of a broader push for energy savings and lifecycle replacement of aging equipment. He said the McKinstry team prepared an inventory and rough cost estimates; McKinstry’s consultant presented projected project costs, available rebates and estimated annual energy savings.
According to materials presented, a street‑light‑only replacement package was estimated at about $1.7 million with available rebates; staff cited an estimated annual utility savings of about $166,000 on the street lights alone and additional interior lighting savings. Kramer said including HVAC and mechanical replacements across city facilities would raise total project costs and extend the payback period, with one estimate showing a 20‑ to 22‑year payback if mechanical systems were included. Kramer noted some mechanical components in city buildings are decades old and parts are no longer manufactured.
Vice Mayor and other council members supported pursuing the project in part for safety and beautification: improved and consistent lighting can aid public safety and reduce dark spots, Kramer said staff had discussed lights with Unisource and Franklin Energy, and McKinstry’s inventory identified pole rental charges and potential savings if the city were to assume ownership of poles in some locations.
The contract package presented used cooperative procurement (a state cooperative or co‑op contract) that staff said satisfied procurement requirements; vice mayor asked and staff confirmed standard state contract clauses (E‑Verify, prohibitions on boycotts of Israel and forced‑labor provisions) were included. Council approved the proposal on a voice vote.
Ending: Kramer said if council decides to pursue financing the program the city will return with financing scenarios; staff also flagged that if the city can obtain ownership of some poles the project’s payback could improve. No construction began at the meeting; staff said grant timing might permit a funding decision by November if council chooses to proceed.
