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Board approves 25‑year solar power purchase agreement for Santa Maria High School, estimates $2.46 million in 25‑year savings
Summary
Board held a public hearing and approved a power purchase agreement with AI Santa Maria JUHSD Solar LLC to install photovoltaic canopies at Santa Maria High School; staff cited estimated 25‑year savings of $2,462,000 and said the PPA includes maintenance by the system owner and allows future battery additions for resiliency but does not include battery backup now.
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The board held a statutorily required public hearing and adopted resolutions authorizing a power purchase agreement (PPA) with AI Santa Maria JUHSD Solar LLC to install photovoltaic canopy structures, inverters, transformers and related interconnection work on paved parking lots at Santa Maria High School.
Staff introduced the proposal and an outside consultant on the call. The district’s cost‑savings analysis projects an estimated $2,462,000 in avoided energy costs over 25 years. The PPA establishes an initial energy price and escalator: the contract was described as starting at $0.24 per kilowatt‑hour and rising to $0.30 per kilowatt‑hour at year 25; the system owner will operate and maintain the equipment under the agreement.
Board members asked whether the solar system would provide on‑site resiliency if the grid fails; staff said adding battery backup is feasible but expensive — earlier exploration estimated about $17,000,000 to provide roughly four hours of districtwide resiliency — and that batteries could be considered later in the system’s life. The PPA does not include a purchase of the system; the district will purchase energy under the agreement. Staff recommended and the board approved the PPA and adopted a CEQA notice of exemption based on a categorical exemption analysis prepared for construction within previously disturbed parking areas.
The board voted to adopt the required resolutions and authorized the district to enter the energy‑service contract and site lease.

