HomeMy WebLinkAboutAgenda 10-21-2025; 8-c - Memorandum of Understanding Between Orange County and Town of Hillsborough for the Solar Feasibility Study, and Approval of Budget Amendment #3-A 1
ORD-2025-034
ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: October 21, 2025
Action Agenda
Item No. 8-c
SUBJECT: Memorandum of Understanding Between Orange County and Town of
Hillsborough for the Solar Feasibility Study, and Approval of Budget Amendment
#3-A
DEPARTMENT: Sustainability, Asset
Management Services, and
County Attorney
ATTACHMENT(S): INFORMATION CONTACT:
1) MOU for Solar Feasibility Study with Angel Barnes, Capital Projects Manager,
Attachment A - Pisgah Energy 919-245-2628
Proposal Amy Eckberg, Sustainability Program
2) Year-to-Date Budget Summary Manager, 919-245-2626
Joseph Herrin, County Attorney, 919-
245-2316
PURPOSE: To:
1) Approve a Memorandum of Understanding (MOU) between Orange County and the Town
of Hillsborough for a Solar Feasibility Study of properties owned by the Town of
Hillsborough;
2) Authorize the County Manager to execute the MOU, subject to final review by the County
Attorney, and any subsequent amendments on behalf of the Board;
3) Approve and authorize the County Manager to execute a Professional Services Contract
with Pisgah Energy and a written exemption from North Carolina General Statute 143-
64.31, subject to final review by the County Attorney, and any subsequent amendments on
behalf of the Board; and
4) Approve Budget Amendment #3-A to provide for the receipt of revenue from the Town of
Hillsborough and the total cost of the project.
BACKGROUND: The Orange County Board of Commissioners previously approved Capital
Investment Plan funding to complete a Solar Feasibility Study. In January 2025, staff prepared
and advertised the Request for Qualifications. In February 2025, staff received eleven (11)
responses, and in May 2025, staff completed interviews with firms and negotiated a contract with
Pisgah Energy. The Town of Hillsborough subsequently requested that Orange County enter into
an MOU with the Town of Hillsborough so that Orange County could procure Pisgah Energy to
perform the same study on four (4) Town facilities (the Town Hall Annex, the Highway 86 Fleet
Facility, the Water Treatment Plant, and the Wastewater Treatment Plant) utilizing a written
exemption from North Carolina General Statute (NCGS) 143-64.31, since the total cost is less
than $50,000.
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The agreement with Pisgah Energy is for the feasibility professional services to assess the
facilities for solar, either on the roof or canopy systems. If approved, Orange County will serve as
the fiscal agent, utilizing County funds to initiate the project. The Town would reimburse the
County up to $24,750 ($23,460 plus $1,290 in reimbursable expenses) within 30 days of receiving
the completed solar feasibility study.
FINANCIAL IMPACT: The BOCC approved funding in prior years for the professional services
for Orange County's solar feasibility study. The total cost of the project including the Town of
Hillsborough's portion is $111,920 plus reimbursable expenses not to exceed $4,720. This budget
amendment recognizes revenues from the Town of Hillsborough, authorizes additional expense
authority of $24,750, and updates the following project ordinance.
Solar Photovoltaic ($24,750) - Project# 10090
Revenues for this fund:
Current FY 2025-26 FY 2025-26
FY 2025-26 Amendment Revised
Alternative Financing $779,559 $0 $779,559
Contribution from Hillsborough $0 $24,750 $24,750
Total Funding $779,559 $24,750 $804,309
Appropriated for this fund:
Current FY 2025-26 FY 2025-26
FY 2025-26 Amendment Revised
Project Expenditures $779,559 $24,750 $804,309
Total Costs $779,559 $24,750 $804,309
ALIGNMENT WITH STRATEGIC PLAN: This item supports:
• GOAL 1: ENVIRONMENTAL PROTECTION AND CLIMATE ACTION
OBJECTIVE 2. Invest in our infrastructure to reduce the environmental impact of the
County fleet/facilities and improve safety.
OBJECTIVE 3. Improve educational opportunities for County Staff and community
members on climate action and available resources to advance climate action projects, by
working with our local jurisdictions to support their climate action plans.
RECOMMENDATION(S): The Manager recommends that the Board:
1) Approve the Memorandum of Understanding (MOU) between Orange County and the
Town of Hillsborough for a Solar Feasibility Study of properties owned by the Town of
Hillsborough;
2) Authorize the County Manager to execute the MOU, subject to final review by the County
Attorney, and any subsequent amendments on behalf of the Board;
3) Authorize the County Manager to execute a Professional Services Contract with Pisgah
Energy and written exemption from North Carolina General Statute 143-64.31, subject to
final review by the County Attorney, and any subsequent amendments on behalf of the
Board; and
4) Approve Budget Amendment #3-A to provide for the receipt of revenue from the Town of
Hillsborough, the additional expense authorization of $24,750, and the total cost of the
project.
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Attachment 1
MEMORANDUM OF UNDERSTANDING ("MOU")
Between
Orange County
And
Town of Hillsborough
I. PURPOSE AND SCOPE
The purpose of this MOU is to clearly identify the roles and responsibilities of each party as they
relate to the Solar Feasibility Study for Orange County and the Town of Hillsborough.
In particular, this MOU is intended to:
1. Define the roles and delineate the roles and responsibilities of each party.
2. Outline communication,financial, and other expectations of the parties until the final
feasibility study documents are completed and turned over to both parties.
II. PARTIES
The parties of this Memorandum of Understanding are: Orange County("the County") and the Town
of Hillsborough ("Hillsborough").
III. BACKGROUND
Orange County recently completed the Request for Qualifications (RFQ) process and selected Pisgah
Energy to perform a solar feasibility study for select facilities in Orange County.The Town of
Hillsborough has requested to join the County with a joint contract to perform a solar feasibility
study on select Hillsborough-owned properties.
IV. IT IS MUTUALLY UNDERSTOOD AND AGREED BY AND BETWEEN THE PARTIES THAT:
1. Both County and Hillsborough shall be responsible for any costs associated with their
respective locations as outlined in "Attachment A".
2. The terms of this MOU shall begin on the date of execution and shall expire upon receipt of
completed Solar Feasibility Study documents.
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3. The parties shall at all times remain in compliance with all applicable local, state, and federal
laws, rules, and regulations, including, but not limited to, all state and federal non-
discrimination laws, policies, and rules.
4. Modifications of this MOU must be in writing and approved by both parties.
5. This MOU and any exhibits and amendments attached hereto, and any documents
incorporated specifically by reference, represent the entire agreement between the parties
and supersede all prior oral and written statements or agreements.
6. Hillsborough shall be responsible for providing coordination and access to its facilities and
shall provide all documentation as requested for Pisgah Energy to complete the solar
feasibility study.The list of Hillsborough facilities is outlined in Attachment A.
7. Upon submission of the final solar feasibility study to Hillsborough, Hillsborough shall
reimburse the County within 30 days for its portion of work, as detailed on Attachment A—
Pisgah Energy proposal dated July 3, 2025.
Parties indicate agreement with this MOU by their signatures:
ORANGE COUNTY TOWN OF HILLSBOROUGH
By: By: _
Name: Name:
Title: Title:
Date: Date:
• Orange County routing sheet shall also be attached for all other parties within Orange County to
sign.
Orange County-Solar Feasibility Study Submitted by Pisgah Energy 4
PISGAH ENERGY
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July 3rd, 2025
Orange County
Attn:Angel Barnes
RE: Solar Feasibility Study
RFQ No: 367-005449
Solar Feasibility Study Services for Orange County and Town of Hillsborough
Scope of Work—Basic Services
The scope of work for basic services is for solar feasibility study services requested in RFQ No. 367-005449 and is
based on the (19) facilities identified by Orange County staff. The (19) facilities reflect the removal of Central
Recreation, Fuel Station and Hillsborough Commons from the studies.This revised proposal also includes the following
(4)facilities to be studied for the Town of Hillsborough; Town Hall Annex(rooftop solar only- 1 utility account) , Motor
Pool (rooftop solar only— 1 utility account), Water Treatment Plant (ground-mounted solar only— 5 utility accounts),
and Wastewater Treatment Plant (ground-mounted solar only— 1 utility account). The Price includes provision of all
labor,preliminary design,site assessment equipment,and software tools to complete the services.The system designs
provided with the feasibility studies will be based on the 2023 National Electric Code,the 2024 NC Building Code, and
current AHJ (Authority Having Jurisdiction) requirements.We anticipate these services will last up to 18 weeks.
1) Kickoff Meeting—Key team members will be identified and discussions around site/facility accessibility will occur at
kickoff.The schedule for feasibility will be reviewed at a high level. Orange County staff members to provide feedback
on critical milestone due dates during feasibility for their staff reporting needs. At kickoff, we will discuss and request
the deliverables needed from Orange County and Town of Hillsborough to conduct the services. These deliverables
include energy usage information for the facilities, construction and/or record drawings (if available), identification of
existing roof warranties and roof manufacturer, and identification of the Authority Having Jurisdiction serving each
facility.
2) Site Identification/Qualification—Prior to conducting site visits at these facilities,we will identify any known keep-out
or restricted areas for solar panel placement with Orange County and Town of Hillsborough staff. For Orange County,
the general location for solar panel placement on rooftops and placement opportunities for solar parking canopies will
be identified. For the Town of Hillsborough,the general location for solar panel placement on rooftops and placement
opportunities for ground-mounted solar will be identified. The code requirements will be reviewed at a high level to
communicate the rooftop and property setback requirements for solar construction and for the owner to provide any
additional setback needs.
3) Energy Usage Analysis—The energy usage analysis will consist of reviewing the most recent 12-month kWh(Energy)
and kW(Demand) electricity usage and confirming the rate schedule to qualify the customer's cost per kWh and kW
and to understand any potential rate schedule changes. The maximum solar PV capacity, based on the historical
energy usage for the given account, will be established after the energy usage analysis. Further definition of the
maximum solar capacity will be determined after visiting the site.
4) Site Visit and Electrical Analysis—Solar site investigation includes: confirming the location for all solar equipment,
identifying the physical point of interconnection for behind the meter application, identifying communications equipment
location, confirming roof-type, assessment of roof condition, identifying setback requirements for existing rooftop
equipment and setbacks for solar panels from roof edge and parapet walls, determining parapet wall heights,verifying
parking canopy and ground-mounted compatibility for the site including underground stormwater/sewer/ utility lines,
confirming property lines,recording switchgear and transformer data,determining site-specific system sizing limitations
based on available real estate or the facilities'existing electrical distribution system and identifying upgrades to existing
electrical system where applicable, and identifying shading concerns from nearby objects. The maximum
recommended solar PV installation capacity will be determined after all relevant site data is obtained. The solar site
Solar . Proposal
Orange County-Solar Feasibi I ity Study Submitted by Pisgah Energy 4
PISGAH ENERGY
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investigation will require support from County and Town staff members to access the facilities.Access to the rooftops,
electrical rooms and IT rooms must be provided. Site visit reports submitted to County and Town staff.
5) Preliminary Solar Design and Helioscope Production Reports — Helioscope is the solar design and production
modeling software that will be used for the preliminary designs. The Helioscope report defines the DC/AC capacity of
the solar project, lists all model numbers/quantities for the equipment used in the preliminary designs, and displays
the estimated annual/monthly energy generation in kilowatt-hours (kWh).A comparison of electricity consumption at
the site to the solar PV system output will be provided. The location and layout of the solar project, as well as the
shading analysis is shown in the report.The CO2 offset from the solar PV system will be provided.
6) Structural Analysis of Proposed PV Systems—Solar layouts will be provided to NV5 along with the dead-load weight
of the solar PV system, as well as any existing structural drawings that are available. NV5 will conduct a site visit to
evaluate the roof framing structure to determine whether the roof has the structural capacity to safely support the
proposed solar system. If the assumed system increases the force in the structural supporting elements by more than
ten (10) percent, NV5 will provide general strengthening recommendations. Following the visit, NV5 will provide a
certified report summarizing the findings,assessing the conditions of the roof structure, and making recommendations
for each building.
7) Project Budgeting-Each project will be estimated via line-item estimate.The budgets will include the estimated costs
for continued design-development, interconnection with utility, construction,and construction administration.
8) Financial Analysis—After completing project estimating and system design details (including annual production and
the applicable utility rate schedule), we will complete a financial analysis that includes the applicable incentives for
each project and aggregated portfolio. The metrics for financial analysis include Net Present Value (NPV), Internal
Rate of Return (IRR) and Levelized Cost of Energy (LCOE). Operation and Maintenance costs, facilities service
upgrades(where applicable)and interconnection costs will also be included in the financial analysis. We will work with
County and Town staff to prioritize which projects are most beneficial and likely to have the best return on investment.
9) Compiled Feasibility Report — Once the feasibility studies are complete, we will compile our findings into a
comprehensive report and present it to County and Town Staff.
10) Meetings—Meeting with owner as required at key milestones to present findings. Progress report emails will be sent
to staff members every two weeks.
11) Pricing-Valid for 30 days.
12) Any changes in scope are excluded from Basic Services.
Orange County Fees-The lump sum fee for the basic services above, excluding reimbursables expenses is:
Eighty-Eight Thousand Four Hundred Sixty Dollars........................................................................$88,460
Town of Hillsborough Fees-The lump sum fee for the basic services above, excluding reimbursables expenses is:
Twenty-Three Thousand Two Hundred Sixty Dollars........................................................................$23,460
Payment Terms—Project will be invoiced monthly for the project's work in progress. Payment is due Net 30 from date
of the invoice. Should the project be postponed, put on hold, canceled,or delayed, payment for any services provided
will be due. Please be advised that a fee may be incurred if the project is put on hold or reactivated later.
Additional Services—Upon mutual agreement,we may provide services not listed in this proposal or items excluded
per the hourly rate schedule provided below, unless a specific fee is proposed and agreed upon before work on the
additional service begins.Additional services include, but are not limited to, the following:
• Changes in scope during the feasibility study.
• Revisions, alternates, or changes to the preliminary solar PV system designs.
• Detailed design of any reinforcement to existing structures.
• Eno River Parking Deck—Following completion of the feasibility study,additional design services are available
to develop the solar canopy structural design.The structural drawings will contain plan views,elevations with
Solar •.. _
Orange County-Solar Feasibi I ity Study Submitted by Pisgah Energy �4
PISGAH ENERGY
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overall layout and heights, as well as basic information about the solar PV system such as capacity and total
area of PV system, and the upward, downward, lateral reaction forces that the canopy will transfer to the
parking deck. NV5 will review these details and verify that that the garage can or cannot accommodate the
structural forces from the solar PV canopy.
• Recommendations and design for battery-based systems for critical back-up power and/or utility savings.
• Continued design-development, production of construction documents, and construction administration
services after feasibility.
• Design-Build Construction Services and Commissions Services.
• 3-D Modeling.
• EV Charging station evaluation.
Current standard billing rates are as follows:
Pisgah Energy Position Title
Senior Project Manager...................................................................................................................$196/hr.
Project Manager/Designer............................................................................................................$176/hr.
MasterElectrician........................................................................................................................$176/hr.
Energy Usage Analyst/Utility Interconnection Specialist...................................................................$176/hr.
ConstructionManager..................................................................................................................$156/hr.
NV5 Position Title
VicePresident..................................................................................................................................$295/hr.
GroupLeader.................................................................................................................................$200/hr.
ProjectManager...........................................................................................................................$150/hr.
ProjectEngineer.....................................................................................................................................$140/hr.
Reimbursable Expenses-Reimbursable expenses shall be in addition to the compensation for basic and
additional services and will be invoiced according to the line items below and will not exceed these values.
These services include actual expenditures incurred by Pisgah Energy and NV5. Reimbursable expenses
include:
Orange County Reimbursable Expenses:
• Lodging expenses—Not to Exceed -$1,080
• Meal expenses—Not to Exceed-$650
• Travel expenses(Mileage rates per current NCDOR)—Not to Exceed-$1,700
Town of Hillsborough Reimbursable Expenses:
• Lodging expenses—Not to Exceed -$540
• Meal expenses—Not to Exceed-$250
• Travel expenses(Mileage rates per current NCDOR)—Not to Exceed-$500
SolarProposal
Orange County-Solar Feasibility Study Submitted by Pisgah Energy
PISGAH ENERGY
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We appreciate the opportunity to participate on this project and look forward to working with you.This proposal is valid
for 30 days. Please let me know if you have any questions.
Sincerely,
Evan Becka
President
Pisgah Energy Inc.
Solar Feasibility . p• .
Locations for Solar Feasibility Study
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Orange County Locations
Location Address City State Zip Code
Animal Services Center 1601 Eubanks Road Chapel Hill NC 27514
Board of Elections (Government Services Annex) 208 S Cameron St Hillsborough NC 27278
Cedar Grove Community Ctr 5800 Hwy 86 N Cedar Grove NC 27231
Efland-Cheeks Community Center 117 Richmond Rd Efland NC 27243
Emergency Services Center 510 Meadowlands Drive Hillsborough NC 27278
Jerry M. Passmore Senior Center, Soltys Adult Day, Sportsplex 101, 103, 105 Meadowlands Drive Hillsborough NC 27278
Justice Facility 106 E Margaret Lane Hillsborough NC 27278
Motor Pool (Fleet Services) 600 Highway 86 N Hillsborough NC 27278
Orange County Public Library 137 W. Margaret Lane Hillsborough NC 27278
Orange Public Transportation 606 Highway 86 N Hillsborough NC 27278
Piedmont Food &Ag Processing Center 500 Valley Forge Rd Hillsborough NC 27278
Robert & Pearl Seymour Center 2551 Homestead Rd Chapel Hill NC 27514
Rogers Road Community Center 101 Edgar Street Chapel Hill NC 27514
Solid Waste Administration Building 1207 Eubanks Road Chapel Hill NC 27514
Southern Human Srvcs Ctr 2501 Homestead Road Chapel Hill NC 27514
West Campus Office Building 131 W Margaret Lane Hillsborough NC 27278
Whitted Human Services Center (Bldg A) Health Dept. 300 W Tryon St Hillsborough NC 27278
Whitted Human Services Center (Bldg B) Dental Clinic 300 W Tryon St Hillsborough NC 27278
ENO River Parking Deck 131 W Margaret Lane lHillsborough INC 1 27278
Combined Passmore Center, Soltys Adult Day&Sportsplex into one building on this list.
Orange Highlighted items are potential Resiliency Hubs
Town of Hillsborough Locations
Location Duke Energy Acct# Rate
Town Hall Annex 910035309490 SGS
Hwy 86 Fleet (Motor Pool Facility) 910035309713 OPT
Water Treatment Plant 910035309391 OPT
Adron F Thompson W/S Facility 910035309812 SGS
Wastewater Treatment Plant 910035309557 OPT
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Year-To-Date Budget Summary
Fiscal Year 2025-26
Fund Budget Summary County
Capital
Original Budget Revenue $36,635,068
Interfund Transfer Revenue $1,400,000
Fund Balance Appropiation $0
Total Original Budget $38,035,068
Additional Revenue Received Through
Budget Amendment #3-A (October 21 st)
Grant Funds $286,050
Non Grant Funds -$12,750
Additional Interfund Transfer Revenue $118,891
Additional Fund Balance Appropriation
Total Amended Budget $38,427,259
Dollar Change in 2025-26 Approved Budget $392,191
Change in 2025-26 Approved Budget 1.03%