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HomeMy WebLinkAboutAgenda 05-07-24; 8-d - Memorandum of Agreement for Co-Gen Rail Transformation Project 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: May 7, 2024 Action Agenda Item No. 8-d SUBJECT: Memorandum of Agreement for Co-Gen Rail Transformation Project DEPARTMENT: County Manager's Office ATTACHMENT(S): INFORMATION CONTACT: 1. Memorandum of Agreement Amy Eckberg, Sustainability Programs Manager, 919-245-2626 David Stancil, DEAPR Director, 919- 245-2510 PURPOSE: To approve the Memorandum of Agreement (MOA) for the Co-Gen Rail Transformation Project. BACKGROUND: The attached proposed MOA formalizes Orange County being a part of an agreement between the Towns of Chapel Hill and Carrboro, the University of North Carolina- Chapel Hill, and the Southern Environmental Law Center ("the Parties") to collaboratively envision, plan, and jointly seek grant funding opportunities for the Co-Generation (Co-Gen) Rail Transformation Project. The co-gen rail line runs from downtown Carrboro north through Eubanks Road, continuing into the Rural Buffer and ending at the main Norfolk Southern railroad between Durham and Hillsborough. The rail line services UNC's cogeneration facility, which provides the University with the majority of its energy. The cogeneration facility's number one source of energy is natural gas, followed closely by coal which is delivered via the rail line. The Co-Gen Rail Transformation project seeks to envision the long-term transformation of the co-gen (UNC) rail line into a multi-modal greenway (a "rails to trails" project) in anticipation of UNC's eventual transition away from coal. Such a project has the potential to bring many beneficial opportunities and allow the Parties to advance collective goals to promote housing, economic development, and connectivity across each jurisdiction and between residential, institutional, commercial, and rural areas of the County. By identifying the potential benefits of the project today, the Parties can support a thoughtful and timely transition away from coal at the cogeneration plant, ensure alignment between local and countywide plans for development and connectivity, and to achieve environmental and climate goals that accompany the expansion of the county's network of greenways. The responsibilities of the Parties are outlined in the attached MOA (Attachment 1). FINANCIAL IMPACT: There is no financial impact associated with this item. 2 SOCIAL JUSTICE IMPACT: The following Orange County Social Justice Goals are applicable to this item: • GOAL: ENSURE ECONOMIC SELF-SUFFICIENCY The creation and preservation of infrastructure, policies, programs and funding necessary for residents to provide shelter, food, clothing and medical care for themselves and their dependents. • GOAL: ESTABLISH SUSTAINABLE AND EQUITABLE LAND-USE AND ENVIRONTMENTAL POLICIES The fair treatment and meaningful involvement of people of all races, cultures, incomes and educational levels with respect to the development and enforcement of environmental laws, regulations, policies, and decisions. Fair treatment means that no group of people should bear a disproportionate share of the negative environmental consequences resulting from industrial, governmental and commercial operations or policies. ENVIRONMENTAL IMPACT: The following Orange County Environmental Responsibility Goal impact is applicable to this item: • ENERGY EFFICIENCY AND WASTE REDUCTION Initiate policies and programs that conserve energy, reduce fuel/utility/resource consumption, increase the use of recycled products and renewable energy services, and minimize waste stream impacts on the environment. RECOMMENDATION(S): The Manager recommends that the Board approve and authorize the Chair to sign the Memorandum of Agreement for the Co-Gen Rail Transformation Project. 3 X Memorandum of Agreement for the Co-Gen Rail Transformation Project Purpose The purpose of this Memorandum of Agreement(MOA) is to formalize an agreement between the Towns of Chapel Hill and Carrboro, Orange County,the University of North Carolina-Chapel Hill,and the Southern Environmental Law Center("the Parties"), and to collaboratively envision, plan,and jointly seek grant funding opportunities for the Co-Gen Rail Transformation Project. Background In late 2023, the Southern Environmental Law Center and UNC-Chapel Hill entered into contracts with Central Pines Regional Council to jointly cover the cost to facilitate the development of strong grant applications for long-term economic and transportation planning activities along the Co-Gen Rail Line. As entities with primary control of land use decisions, as well as ownership of numerous properties along the rail line, and/or organizations with an interest in the Project, it is essential that"the Parties" are foundationally involved in the process. Mutual Interest of the Parties The long-term transformation of the Co-Gen (UNC) rail line into a multi-modal greenway (a"rails to trails" project) can bring extensive opportunity and allow the Parties to advance collective goals to promote housing, economic development,and connectivity across each jurisdiction and between residential, institutional, commercial, and rural areas of the county. By identifying the potential benefits of the project today, the Parties can support a robust and timely transition away from coal at the Co-Gen plant and ensure alignment between local and countywide plans for development and connectivity and to achieve environmental goals that accompany the expansion of the county's network of greenways. Responsibilities of the Parties - Appoint one representative of the Party to serve on the Co-Gen Rail Transformation Project's Policy Steering Committee, comprised of local and state elected officials, community groups, institutional partners, and others impacted by the project. - Provide guidance and direction to the steering group and Central Pines Regional Council, as the grant writer, on submission of grant applications,grant cost-share allocations, and alignment or coordination with local priorities and funding applications. - Designate local staff members to provide information or data related to project outcomes and assist with grant applications. - As appropriate and/or when most competitive, serve as the lead applicant on grant applications for the project. Central Pines Regional Council can administer any grant where capacity is a concern. - Work collaboratively with the Co-Gen Rail Transformation Project's Policy Steering Committee to design and implement communications and messaging on the project, its purpose, and its progress. - Appoint relevant staff to serve on a Technical Working Group to provide technical guidance on implementation of an awarded grant application(s). 4 This MOA does not anticipate any present exchange of monies between the Parties or guarantee specific funding. Rather, it documents this understanding for mutual records. Town of Chapel Hill Acknowledgement and Acceptance: Date: Town of Carrboro Acknowledgement and Acceptance: Date: 1-2- 2,0 Orange County Acknowledgement and Acceptance: Date: University of North Carolina-Chapel Hill Acknowledgement and Acceptance: Date: 5 Southern Environmental Law Center Acknowledgement and Acceptance: Date: