AN ORDINANCE relating to the City Light Department; authorizing execution of a 20-year agreement with WM Renewable Energy, LLC for the purchase of renewable power and environmental attributes from the expansion of the Columbia Ridge landfill gas generating facility that are necessary or convenient for reliably meeting load growth and meeting the requirements of the Washington State Energy Independence Act; and further authorizing the execution of other necessary and convenient agreements for the receipt, tracking, transmitting, transferring, management and sale of power and environmental attributes from the Columbia Ridge landfill gas generating facility expansion.

WHEREAS, WM Renewable Energy, LLC ("WMRE") owns and operates an electric generating facility fueled by landfill gas, extracted from the Columbia Ridge Landfill which is located within the City of Arlington, Gilliam County, Oregon ("Facility"); and

WHEREAS, City Light currently purchases all the electrical output and associated environmental attributes from the Facility; and

WHEREAS, WMRE intends to expand the Facility and increase the capacity by 6.4 MW ("Facility Expansion"); and

WHEREAS, the Revised Code of Washington Chapter 19.285 (the "Washington State Energy Independence Act") requires the City Light Department to acquire renewable resources and/or environmental attributes; and

WHEREAS, the energy and environmental attributes generated at the Facility Expansion meet the requirements of the Washington State Energy Independence Act; and

WHEREAS, City Light may be required to sign agreements with other parties related to the receipt, tracking, transmitting, transferring, management and sale of power and environmental attributes associated with this resource; and

WHEREAS, WMRE wishes to sell and City Light wishes to purchase all electrical output generated by WMRE's Facility Expansion, together with all associated Environmental Attributes; NOW, THEREFORE,

BE IT ORDAINED BY THE CITY OF SEATTLE AS FOLLOWS:

Section 1. The Superintendent of the City Light Department ('City Light"), or his designee, is hereby authorized to execute for and on behalf of the City, a 20-year Renewable Power Purchase Agreement, substantially in the form attached hereto as Attachment 1. This agreement with WMRE sets forth the terms under which WMRE will deliver new renewable energy and environmental attributes in the form of renewable energy certificates ("RECs") to City Light from the Facility Expansion.

Section 2. The Superintendent of City Light, or his designee, is hereby further authorized to execute for and on behalf of the City additional agreements necessary and convenient for receipt, tracking, transmitting, transferring, management and sale of power and environmental attributes and other necessary and convenient agreements to enable City Light to efficiently and effectively use the energy and RECs purchased hereunder.

Section 3. Upon determining the availability of surplus energy and environmental attributes within City Light's portfolio, and in order to minimize the cost to City Light's customers of compliance with the Washington State Energy Independence Act when the Superintendent believes it is costeffective to acquire energy and RECs in advance of need, the Superintendent, or his designee, is further authorized to execute for and on behalf of the City agreements for the sale of all or a portion of the energy and RECs provided by the Renewable Power Purchase Agreement authorized in Section 1, on terms and conditions that the Superintendent deems in the best interests of City Light provided, however, that no such sale shall jeopardize City Light's compliance with the Washington State Energy Independence Act.

Section 4. As required by R.C.W. 80.80.070, the City Council finds that WM's Facility complies with the green house gas performance standards required by R.C.W. 80.80.040 because it will be powered exclusively by landfill gas, a renewable resource as defined by R.C.W. 19.280.020.

Section 5. This ordinance shall take effect and be in force 30 days after its approval by the Mayor, but if not approved and returned by the Mayor within ten days after presentation, it shall take effect as provided by Seattle Municipal Code Section 1.04.020.

Passed by the City Council the ____ day of ________________________, 2012, and signed by me in open session in authentication of its passage this

_____ day of ___________________, 2012.

_________________________________

President __________of the City Council

Approved by me this ____ day of _____________________, 2012.

_________________________________

Michael McGinn, Mayor

Filed by me this ____ day of __________________________, 2012.

____________________________________

Monica Martinez Simmons, City Clerk

(Seal)

Robert W. Cromwell, Jr./MLS SCL WMRE Renewable Power Purchase #2 Authorization ORD April 27, 2012 Version #3

Attachment 1: Renewable Power Purchase Agreement #2 (1.2 MB PDF)