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HomeMy WebLinkAbout1-4-21 Climate Action Commission Agenda 0Iowa City Climate Action Commission Agenda Monday, January 4, 2020, 3:30 – 5:00 p.m. Electronic Meeting, Zoom Platform Electronic Meeting (Pursuant to Iowa Code section 21.8) An electronic meeting is being held because a meeting in person is impossible or impractical due to concerns for the health and safety of Commission members, staff and the public presented by COVID-19. You can participate in the meeting and can comment on an agenda item by going to https://zoom.us/meeting/register/ tJUvdOispjgtGtxkBMyE5erAibbmvPG0t4xp via the internet to visit the Zoom meeting’s registration page and submit the required information. Once approved, you will receive an email message with a link to join the meeting. If you are asked for a meeting or webinar ID, enter the ID number found in the email. A meeting password may also be included in the email. Enter the password when prompted. If you have no computer or smartphone, or a computer without a microphone, you may call in by telephone by dialing (312) 626-6799. When prompted, enter the meeting or webinar ID. The ID number for this meeting is: 912 3148 3708. Once connected, you may dial *9 to “raise your hand,” letting t he meeting host know you would like to speak. Providing comments in person is not an option. Meeting Agenda: 1. Call to Order 2. Roll Call 3. Approval of Dec. 7, 2020 minutes 4. Public Comment of items not on the Agenda -Commentators shall address the Commission for no more than 3 minutes. Commissioners shall not engage in discussion with the public concerning said items. 5. Staff Announcements a. Action items from last meeting b. Updated Action Plan report (see attachment) 6. Old Business: a. Discussion of ideas to restructure working groups 7. New Business: a. Nomination and election of commission chair and vice chair b. Presentation by HDR on the Methane Feasibility Study c. Updates on working groups (see reports in agenda packet) i. Buildings (Krieger, Karr, Soglin, Grimm) ii. Transportation (Leckband, Giannakouros, Grimm) iii. Outreach (Krieger, Fraser, Holbrook, Bradley) iv. Equity/Adaptation (Tate, Hutchinson) v. Waste (Bradley, Grimm) 8. Recap of actionable items for commission, working groups, and staff 9. Adjourn If you will need disability-related accommodations in order to participate in this meeting, please contact Sarah Gardner, Climate Action Engagement Specialist, at 319-356-6162 or at sarah-gardner@iowa- city.org. Early requests are strongly encouraged to allow sufficient time to meet your access needs. Electronic Meeting (Pursuant to Iowa Code section 21.8) An electronic meeting is being held because a meeting in person is impossible or impractical due to concerns for the health and safety of Commission members, staff and the public presented by COVID-19. MINUTES PRELIMINARY IOWA CITY CLIMATE ACTION COMMISSION DECEMBER 7, 2020 – 3:30 PM – FORMAL MEETING ELECTRONIC MEETING MEMBERS PRESENT: Madeleine Bradley, Stratis Giannakouros, Ben Grimm, Grace Holbrook, Kasey Hutchinson, John Fraser, GT Karr, Jesse Leckband, Becky Soglin, Eric Tate MEMBERS ABSENT: Matt Krieger STAFF PRESENT: Sarah Gardner, Ashley Monroe OTHERS PRESENT: James Bechtel, Nancy Porter CALL TO ORDER: Soglin called the meeting to order. APPROVAL OF NOVEMBER 2, 2020 MINUTES: Fraser moved to approve the minutes from November 2, 2020. Tate seconded the motion. A vote was taken and the motion passed 10-0. PUBLIC COMMENT OF ITEMS NOT ON THE AGENDA: James Bechtel introduced himself as a public health systems analyst at Johnson County Public Health. They've been interested in trying to move forward on some climate action efforts and trying to find some alignment opportunities with Iowa City. He hopes to better understand where there are mutually beneficial opportunities on tackling some of this work. He said he was listening in to the meeting to learn more. Hopefully in the near future he'll be able to provide Climate Action Commission December 7, 2020 Page 2 of 8 2 updates on some of the things that they’re doing that intersects with some of this Commission’s work. STAFF/COMMISSION ANNOUNCEMENTS: Action Items from last meeting: Gardner noted the first item was for her to send out an email reminder with the dates to send updates to staff so they can include them in the agenda packet. She did send that out about a week after the last meeting and hoped that was helpful. She will continue that practice in the future. There was an action item asking staff to reach out to the consultant that has done the methane feasibility study to gauge their availability to give a presentation in January after new climate commission member comes on board. Monroe stated she has not heard back from that group but will check in again about the firm’s availability. The next action item was for the Commissioners to provide updates that can be included in the agenda packet on the working group activities. Gardner noted staff did receive an item from the building working group. Additionally, the Commission was to provide feedback to the building working group about the draft memo that they were putting together to submit to City Council. Krieger had an action item to submit working group expectations so that they could be included in the agenda packet for this month. That did not happen, in part because there have been ongoing discussions about restructuring some working groups, which was included as an agenda item for this meeting. Next was an action item for Commissioners to review the work plan that had been submitted in the packet last month. Finally, there was an action item asking staff to update the membership of different Commissioners in the working group listed on the agenda, which Gardner did. Climate Action and Outreach Office Updates: Gardner noted in terms of recent activity, it's been a busy couple of months in the office. The City has launched their TIF-funded climate action incentive program focused on commercial and industrial properties in the urban renewal areas. They have an outreach letter and flier developed, and have reached out to some of the entities in areas that are going to sunset first to make sure that they know this funding opportunity available to them. Staff has had a conversation with the owner of the Sycamore Mall and they will have a conversation later this week with P&G. Sycamore Mall had a number of projects already in mind, so staff are anticipating being able to fund something in the near future. As the program was structured, they settled on a forgivable loan program with loans up to $250,000 for projects such as HVAC and lighting system upgrades, building automation controls, solar power and water heating systems, envelope improvements, mechanical upgrades, and alternative refrigerate systems. Gardner noted the last item was an interesting one that came up in the project design process, as it wasn’t something on staff’s radar previously but it seems to have the potential to make a big difference in the emissions profile. Gardner also included updates for Green Iowa AmeriCorps, which has been working steadily since coming on board in September. Instead of offering home energy audits (due to COVID-19 concerns), they have shifted toward the Home Energy Kit delivery, which is a contactless service. Both the energy kits and the home energy audits are included in their tally of services provided so far and they have provided services to 162 households here in Iowa City. They have also organized 41 different education and outreach events within the community, most of which have happened virtually. In terms of energy efficiency outreach, staff has been having some very productive conversations with the Home Builders Association in Iowa City and have agreed to sponsor a home entry for the Parade of Homes. They're looking to showcase a Climate Action Commission December 7, 2020 Page 3 of 8 3 project that has been designed with a high number of energy efficiency measures. The HBA has been reaching out to its membership to make them aware of this opportunity. Staff also has planning underway for a Neighborhood Energy Blitz in the coming year. This as an action item called for in the Climate Action Plan. They are currently looking at rolling out the blitz in conjunction with Earth Day. They've been having some very productive discussions exploring partnerships with school environmental clubs and getting AmeriCorps to partner with them as well. They’re envisioning a door-to-door campaign rather than a campaign where they ask everybody to come together in one centralized location, given current COVID conditions. Gardner noted with enough boots on the ground this approach actually may result in a higher level of outreach and engagement than if they did ask people to come to one event. Gardner next discussed the marketing RFP. they have had interviews with the two highest scoring firms and staff is in the process of checking references for those firms. The next step in that process is a consensus meeting scheduled for tomorrow to determine whether to continue conversations or refine the proposals, but they’re looking to have someone on board before too long. Gardner stated they are going to be wrapping up the training of the Climate Ambassadors in two weeks. This week is the week the Ambassadors have been charged to conduct their climate conversations in the community, and staff has made the offer to help set up Zoom meetings for anybody who'd like to conduct their meetings that way. Others are going to be calling on friends and family. In the final week of the training, the Ambassadors will be reporting back to staff about how those conversations went. Staff has started thinking ahead to get training underway for the next cohort so that program continues to roll forward and take on momentum. Gardner then gave a quick update on current grant-funded projects. The EV Readiness Plan is moving forward at a steady clip. They had a second steering committee meeting in mid- November. Members of the steering committee have been asked to submit names of stakeholders from their individual communities to be involved in a virtual meeting that will be conducted virtually in January. The plan is to offer an EV 101 webinar/project overview to stakeholders in early January so that any who might be new to the conversation or want to understand the plan a bit better before coming in and offering their input will have a chance to do so. The webinar also will be recorded and made available for others to view in the future. Two weeks after the webinar they will have the stakeholder meeting which will be an interactive meeting. The consultant, ICF, is looking to use a platform called Mural, which is a virtual whiteboarding platform that allows facilitators to collect and consolidate feedback in real time as the meeting takes place. As for the carbon sequestration project, Gardner reported they have received a draft of a carbon management plan for Iowa City that is currently under review. Staff are going to have a discussion with the other cities participating in that project later this week to talk about what kinds of revisions they hope for from the consultants who are working on that project. Finally, Gardner updated the Commission on staffing. They have hired a part-time communication assistance, Bridget Williams, who's been great at helping develop some materials, including the flier mentioned earlier being sent out to area businesses about funding opportunities. Interviews are also currently underway with the final candidates for the climate action analyst position. Climate Action Commission December 7, 2020 Page 4 of 8 4 Monroe noted that staff are in budget preparation mode for next year's budget to start in July. Staff has a draft budget set and are preparing the presentation to Council in January, but the budget itself comes out for public review about two weeks from now. There will be funding dedicated from the emergency levy funds to address the climate action initiatives for the upcoming year. Soglin asked whether properties eligible for the TIF-funded energy projects are being required to first check if they can do a utility program or do this in conjunction with a utility rebate program. Gardner said she can't speak to the application itself, which is in development, but a discussion of whether or not they're participating in the utility offered programs has been part of the discussion with the businesses they've reached out to already. The expectation is that they would exhaust those funds first and the City would in turn would provide complimentary funding or fund an alternate project. A good example being in the Sycamore Mall conversation, there was a discussion about funding EV charging stations, which the City wants to encourage, but those stations can be more or less fully funded through the utility so while they pursue that avenue, the City will talk to them about some other projects. OLD BUSINESS: Development Density and Carbon Emissions Draft Memo: Soglin noted this memo was submitted by the building working group and asked if anyone has any major concerns to please raise them now so the entire group can discuss them. If there are line edits or typos, please email Krieger or Soglin with those types of changes. Hearing no comments, Soglin stated the memo will then be presented to City Council. Implicit Bias Training Discussion: Soglin noted several Commissioners attended the training last week. She thought what was very interesting was that it was about personal bias and how to respond to it, but also had a great emphasis on the structural issues. It really melded those two issues together. For her a big takeaway was that not all bias is bad, bias can serve a useful purpose in one's life, but obviously racial bias is not is not something that should be continued in any way. Awareness of it depends on both individual efforts, how they act as a Commission, and what policies bias may impact. Fraser stated he was struck by the idea of “doing no harm.” The challenge in doing no harm, he said, is something that all commissions, and specifically members of this Commission, need to be really cognizant of because the danger is doing harm and not realizing it. He noted it's one thing to say you have structural bias or personal bias, which are related, but in your hurry to do good for mankind you may miss the fact that for some segment you are doing harm. Fraser noted the challenge to him personally is asking himself enough challenging questions, not just “Is it going to be harmful in anyway?” He stated there are so many potentials for bias and causing harm when one is in a lucky, privileged class. One of the ways he finds helpful to think through potential harm is to talk to a lot of other people and really brainstorm any potential negative implications for any process, procedure, regulation, rule, or change that they cause to happen through their work. Frasier stated one person can’t figure out whether there's potential harm -- it really takes others challenging each other. He was also reminded that, by definition, unconscious bias is not a ticket to cause harm because someone doesn’t know he was causing harm. He said he really needs to challenge himself and have other people challenge him. Climate Action Commission December 7, 2020 Page 5 of 8 5 Karr observed the training could have been four or five hours long. It seemed like it provided a good overview, but at the end they were just starting to possibly have some good conversation or the opportunity for that. Additionally, he would highly recommend this as a good orientation for any new commissioners, whether it would be delivered by the gentleman from Des Moines that presented the training or by someone else. Soglin suggested staff find out if the presentation was recorded. Grimm stated he also felt like it was a good introductory course. He shared he also has to go through some of this training within the school district, and it takes a conscious effort to reflect on yourself and how you're thinking and how you're proceeding forward. He agreed anybody coming into the Commission should at minimum have an introductory course, but also there should be continuing training in some capacity for all Commissioners. Giannakouros asked if the primary form of bias that was discussed was racial. Soglin said it was primarily racial and secondarily addressed sexism. She added she has a concern about consistency in these trainings and discussions from commission to commission or board. Fraser shared that a number of years ago business schools at universities began teaching a class in ethics in particular because of what happened with two or three major organizations relative to unethical behavior. However, sometimes that class sounded more like how not to get caught than it did to change anyone's deep thoughts on what is ethical and what they should not be doing. As a result a lot of schools decided this one ethics class standing in isolation was kind of a waste, which echoes this discussion that bias training is not just a one-off and should be discussed in all Commissions and all meetings. NEW BUSINESS: Discussion of New Members and Commission Chair: Gardner noted this is the last meeting Karr will attend, and that his tenure on the Commission has been of great value. He has elected with the completion of his term to take on other projects and make space for some new voices and new perspectives on the Commission. Megan Hill has been appointed by the City Council to replace Karr. Hill is one of the AmeriCorps members who works on the energy audits and the Home Energy kits in Iowa City. She has been highly engaged with climate issues for several years now and had applied a while back to be a member of the Commission. Hill also attended the implicit bias training that took place last week so she has a good head start on her work as a Commission member. Gardner also noted that Krieger’s term as Commission Chair is also coming to a conclusion. He would like to ask his fellow Commission members to give some serious consideration as to whether someone else would like to step up as Chair so that the responsibilities are being shared out among different members and so that there is a chance for a different perspective or a different approach to these meetings and to guiding the work of the Commission. Soglin suggested at the January meeting to have nominations for Chair and Vice Chair and then have a vote. Gardner wanted to recognize Karr as having been critical in helping get things moving with the Neighborhood Energy Blitz, noting he did a lot of that legwork and is anticipating continuing to be involved with that project. She is looking forward to that ongoing collaboration. Climate Action Commission December 7, 2020 Page 6 of 8 6 Discussion of Idea to Restructure Working Groups: Gardner stated in the last several months the Commission has had ongoing discussions about the working groups and how to make sure they're using them efficiently, whether that means shifting to a project based model or some other way of structuring them. In the last several weeks she has spoken with several members one-on-one about the working groups and how they might move forward. In some of the working groups such as W aste, although Transportation is another example, there are dedicated departments and City staff that are managing related projects from the Climate Action Plan. For example, Resource Management handles recycling projects, has been spearheading the methane feasibility study, and also looking at ways to increase composting in the community. The same could be said for transportation, there is a transportation services department that has been helping with the electrification of the transit fleet and has been spearheading the transit study to help meet the goal of doubling transit ridership. They are also looking at increased EV adoption and participating in the EV Readiness Study. Therefore, it might not make sense to have working groups on the Commission that effectively duplicate some of these efforts, so the question becomes might there be other ways to use the talents and resources of Commission members more effectively. Gardner added as part of that discussion they started thinking ahead to the next Climate Action Plan update and the areas that they know they’d like to take a special look at to strengthen and build on what's already been done. In particular, they've been giving a lot of thought to the adaptation section, which is the section that addresses efforts they can make now to mitigate or prepare for some of the effects of climate change. She added we know that some of the effects of climate change are already locked in and we’re not going to be able to prevent them. The work as a City is twofold, one is to make sure that those effects don't get any worse, but two, also to prepare for the changes that are coming. Therefore, one idea for the working groups might be to allow the Transportation and Waste groups to stand down for the time being and to talk about maybe forming an adaptation working group that could begin laying some of the groundwork for the plan update in the future. Gardner noted in her discussions with Krieger she had outlined about a seven or eight month work plan that she could envision for this group taking on and there would be a clear plan going in with objectives and discussion ideas already laid out to achieve. Gardner noted they already have an adaptation group, it is combined with equity, so one of the ideas is for the new group to focus more explicitly on adaptation, and then have all the groups, Outreach, Adaptation, and Buildings, funnel their work through the Equity group, so that there's a chance to do an equity review for any of those discussions that are happening. Gardner believes this may allow for a more efficient workflow for all of the working groups but they want the whole Commission to have input and discussion on this. Tate agreed and said they can start by maybe making a clear delineation between mitigation and adaptation, because it seems like within working groups some of the things that they are looking at could be thought of as adaptation strategies as well. Also, even though they have this Equity and Adaptation group they’ve mostly been framing things around equity so if there's a clear charge the adaptation group it should be formed separately. Fraser noted they could have ad hoc functional groups with representatives from each of the four working groups work together on a voluntary basis to bring a project to fruition and then the ad hoc groups dissolve when the project is completed. He is wondering if there's any merit in drawing from each of these four or five working groups, one person or two people for specific projects with beginning and ending dates, so people wouldn't be stuck forever, just to get a project wrapped up. Then they would have somebody from communications or outreach, working with the transportation people and working with the equity people, instead of putting the Climate Action Commission December 7, 2020 Page 7 of 8 7 onus just on that one working group that, in theory, might be more effective with a representative from each of the working groups on the project group until the project was done. Soglin liked that idea, however she acknowledged it would require staff to coordinate all of their participation. She suggested perhaps the Commission would like to consider this at the next meeting. The first idea is to have a Building Working Group, an Outreach, an Equity, and then one that combines Mitigation and Adaptation. Then the mitigation piece would be project based but would require the Commissioners to be more involved. Fraser gave the example if it's a transportation project, somebody from Transportation Working Group would be the chairperson of that ad hoc group and they would draw from the other five groups, to bring somebody over from Outreach and bring someone from Equity, etc. and wouldn't put the work back on the staff person. He said staff are really busy and up to their ears already, so they don’t want to add more work to the staff. Soglin agreed, however understanding since most of the projects relate back to what staff may be working on having the Commission originating new projects could create more work in that respect. Grimm agreed and noted since he’s new it has been hard to figure out what some of the working groups were supposed to be accomplishing. He likes the idea Fraser has of if something came up regarding transportation to pull from those other groups to form an ad hoc committee to address that one issue and then collapse it after they've accomplished that goal. Having spent time both the Waste and Transportation committees he has seen compared to the building working group there's a lot more work on building working group, so they could better use their resources if they focused in on those groups that have something to work on do the rest in an ad hoc kind of situation. Gardner added in some ways what's being proposed is actually is a bit of what Fraser is discussing too. The idea would be to form an Adaptation Working Group to take a look in a more intensive way about what is and isn't in the adaptation section for the Climate Action Plan, take a look at what adaptation measures are included in other adaptation plans that are out there, and then make recommendations as to what should be looked at and explored when it comes time for the Climate Action Plan to be updated. Once they have come up with those recommendations, the Adaptation Working Group could stand down having completed that project. Giannakouros agreed and said sitting on the Transportation Working Group, he is basically just showing up to meetings and gets overwhelmed with thinking about transportation infrastructure. However, there are things that are initiative based that they can be working on with City staff, things that are identified in the Plan, where the group can give advice to or help move forward. It would be good to be more flexible. For example, the solar study that's being proposed, that's something that might be able to produce some results with some help for thinking about a renewable energy future. {Side note, Grimm introduced his newborn daughter Ximena} Soglin asked if Gardner would be willing to draft a paragraph outlining this idea to be discussed at the next meeting. Update on Working Groups: Soglin noted that group updates were included in the agenda packet. Climate Action Commission December 7, 2020 Page 8 of 8 8 RECAP OF ACTIONABLE ITEMS FOR COMMISSION, WORKING GROUPS, AND STAFF: Gardner will first check in with Wendy Ford, the economic development coordinator, about the TIF funded initiative to double check that they are requiring participants in the program to disclose any participation in utility-funded energy efficiency programs. Staff will also look into whether the implicit bias training was recorded and can be shared in the future. Finally, Gardner will draw up a description of the ideas for restructuring the working groups and share it with Soglin and Krieger to comment on and review in advance and then include it in the agenda packet for next month's meeting for all to discuss. ADJOURNMENT: Karr made a motion to adjourn. Tate seconded the motion. A vote was taken and the motion passed unanimously. Progress update on "Accelerating Iowa City's Climate Actions"  as of 12‐30‐20 New/ Next  Step Plan  Alignment Month to Initiate Workplan Equity Focus Status BPP‐1 New 1.5 April Brought forward one project to City Council in  April 2020 and was not approved. Will assess  opportunities as locations or chances present  themselves. since Oct. report, City and  Commission moved ahead with JCED  partnership proposal to create a solar   feasibility study for Iowa City to plan for  potential solar sites and engage community in  conceptual conversations. Mapping, technical  information gathering, and work plan  development has started with a community‐ led committee of stakeholders.  Elements of the JCED solar feasibility study will  require a study of equity measures, engagement  efforts, and actionable measures to confidently go  forward with concepts for solar infrastructure and  placement. Underway BE‐3 New 1.1 & 1.6 May Staff met with local realtors from ICAAR  about housing trends and potential for  education and cooperation on energy  efficiency and projects benefitting residential  properties. ICAAR and City exploring example  programs and will plan to meet again in 2021.  In the iterim, City staff is finishing a  complilation of information about assistance  programs, many of which enhance climate  action initiatives. ICAAR is supportive of  sharing these programs with the community.   ICAAR shared that several initiatives  supporting sustainability measures are in  development. Staff has conceptualized new  ideas for partnering with ICAAR but has not  Benefits for informed buying/selling, may need  incentive assistance later on, if concentration of  activity falls within only a few neigborhoods or  stakeholder interest lacking. Education for all  residents and renters about housing with energy  efficiency and indoor air quality speaks to equity  concerns. Commission and Working Group  recommendations and feedback needed. Underway BI‐4 New 1.2 & 5.4 May In August 2020, Council finalized approved  establishing and approving Urban Renewal  Areas at Heinz, Sycamore, and Scott Six and  approved changes to downtown URA in Sept.  2020. Staff is beginning to engage with  businesses in these areas and is encouraging  them to take advantage of funding assistance  in remaining years of the TIF agreement.  Interest from at least one property owner so  far with additional meetings planned and an  informational handout has been created to  supplement the application for assistance,  which is in the final stages.  Underway BCP‐1 New 1.1 – 1.4 May The spring 2020 meeting was delayed by  COVID, with hopes to reconvene later in the  year. We do not have confirmation that a  meeting was held. City Council legislative  priorities included this, noting that although  approval is administrative, assistance and  support from Iowa policymakers will help.  Could support these efforts with help from education  and advocacy from underserved groups that directly  benefit from housing improvements. Staff reached  out to several aligned groups in September but did  not hear back. Discussions may need to take place  when equity planning/outreach is further along.  Underway BCP‐2 New 1.1 – 1.4 May Eligible staff voted for adoption of new IECC  codes earlier in 2020. City Council legislative  priorities included this, with a request for the  State of Iowa to develop an energy plan or  update that will address climate actions.  Could support these efforts with help from education  and advocacy from underserved groups that directly  benefit from housing improvements. Staff reached  out to several aligned groups in September but did  not hear back. Discussions may need to take place  when equity planning/outreach is further along.  Underway Note: Many actions initiated in 2020 have continuing activities. There is an expectation that the actions will continue to develop over time, as they become integrated throughout City and  community operations.   Action Buildings Solar Partnership with  MidAmerican Encourage the Local Realtor  Community to Include Energy  Performance in the Multiple  Listing Services (MLS)  Property Inventory  Launch a TIF‐funded climate  action incentive program  aimed at reducing industrial  energy consumption  Advocate for State Adoption  of Advanced Energy Codes  Advocate for Aggressive  Energy Code Development  and Adoption *(New) BE‐1 Next 1.1 – 1.2, 1.6 June Initiate planning and needs assessment.  Identify resources, contacts, and content.  Assess web access and source development,  method of dissemination. Support eventual  actions with strategy from communications  plan (Action 5.1 ‐ EDU); Communications RFP  proposals received. Selected a consultant and  working out contract agreement. Staff  discussions with community groups are  positive and developing ideas. Promotion of  programmable thermostats went out in fall.  Additional promotion planning underway.  Imperative. Review of equity report and assistance  from EHR staff essential. Commission and Working  Group recommendations and feedback needed.   In  Development BE‐2 New 1.1‐1.4 June Started introduction to organizations, several  more meetings and expansion of contacts  necessary. Met with City development staff  and Home Builders Association. Plan to  engage small group of stakeholders to discuss  barriers and interest in pursuing green build  strategies to create new alliances/education  opportunities. Writing up proposed ideas and  will schedule meetings with community  stakeholders. Support more actions with  strategy from eventual communications plan  (Action 5.1 ‐ EDU). Use equity report to ensure stakeholders from  impacted groups are represented, and feedback is  shared with development community, landlords, and  builders. Staff is continuing work on an equity  outreach plan that involves community‐based  organizations that may provide valuable insights on  needs, benefits, and barriers. Commission and  Working Group recommendations and feedback  needed.   Underway BI‐2 Next 1.1 June Received updated report from NDS on  current activity and efforts. Staff currently  exploring alternatives for rehab projects and  ability for City to support incentives or  supplemented energy efficent equipment if  homeowners cannot/won't pay the difference  to upgrade. Have met with two local HVAC  providers to identify key issues and ideal  projects. Proposal still in development; will  bring to Commission and community  stakeholders for feedback and further  guidance. Education components also  necessary ‐ communications strategy  outcomes. GIS equity mapping underway; will  bring mapping tool and toolkit info to  Assisted households currently meet federal income  requirements.  Establish a mapped GIS inventory of  energy efficiency assessments and investments.  Ensure access to energy effciency and other  sustainable design elements in each project through  education and engagement. Adding GreenIowa  AmeriCorps energy assessment property addresses to  GIS Equity Map, to further gauge possible geographic  or demographic gaps in program services and  outcomes.   Underway BR‐1 New 1.1 ‐1.2 June Additional inspector budgeted in FY21. Met  with NDS staff in September to review items  staff will be looking at and addressing  through compliance checks, such as pre‐ drywall conditoins, R and U values of walls  and windows.  Altered inspections program  and initial education about necessary  inspections planned for initiation shortly after  additional inspector hired.  Commission/Working Groups should assist with how  they would like to measure equity and what should  be reported to show progress.  Underway BI‐5 New 1.1 – 1.4 July As discussions with community organizations  progress, new ideas for how to accomplish  this task are being generated. Commission  will need to weigh in on neighborhood pilot  program/s which are in conceptual  development. Explore RFQ for external  partner/s to implement a program.   Significant interest in supporting youth or  young adult skills training program. GIA crew  conducted first in‐home energy assessments  in late October but held off on indoor visits  from November through the end of the year.  Instead, they have delivered energy saver kits  for residents to install themselves for over  160 households. Planning for this item  continues into 2021.  Approach to populations served critical.  Commission  and Working Group recommendations and feedback  needed for further development.   In  Development Develop or Partner with Local  Stakeholders on a  Comprehensive Climate  Action Rehabilitation Program Create a More Robust Energy  Code Inspection Program Promote Energy Efficiency  and Performance Tips to the  Public Partner with Stakeholders to  Promote Green Building and  Rehabilitation Enhance Energy Standards for  City Rehabilitation Projects BR‐2 New 1.3 – 1.4 Aug Begin review of options, develop revisions to  policy, introduce for Council adoption. While  codifying these efforts is not fully in motion  due to existing project load, staff continues to  encourage and require actions informally  through the development process. Elements  of recent development approvals require  energy efficiency measures, including LEED  Silver standard build (minimum of 8 points  from energy category), rooftop solar, low flow  fixtures, and incorporated stormwater  improvements. These measures will be  administrative components of the process  until these measures or enhancements are  amended into Code. Greater equity can be achieved through a geographic  distribution of benefits.  Education and advocacy  could benefit populations impacted and served by  policy implementation.  In  Development BI‐1 Next 1.1 Sept Energy Assessments with the Green Iowa  Americorps team look slightly different this  year but still are included in their  responsibilities. Supplemental weatherization  kits available through GIA, available to IC  residents have been shared with many  households this fall.  Exploring non‐ AmeriCorps group to perform other  weatherization services. Americorps is focused on certain groups ‐ seniors, low  income, veterans. Not sure how they track or report  these demographics. Education delivery and  equipment installation/provision alternatives  probably needed in short term. Development of a  mapped GIS inventory of energy efficiency  assessments and investments is underway. Underway BI‐3 New 1.1 Fall Coordinate efforts with Neighborhood  Planner, Recreation, and community  organizations; Support actions with strategy  from communications plan (Action 5.1 ‐ EDU).   Party in the Park efforts cancelled due to  COVID‐19. Climate Action Grant awarded to  Green Iowa AmeriCorps for a lightbulb  exchange. Staff and community stakeholder  planning in progress, will bring concepts to  Commission for feedback and review. Plan to  launch first project in spring around Earth  Day, hoping to include students and  neighborhood residents as volunteers.  Assess equity report to determine any areas of focus.  NDS can assist with housing/permit data that can  help focus on neighborhoods with less efficient  housing stock. Outreach to underserved groups may  spur interest in blitz programs or projects. Working  Group recommendations and feedback needed. GIS  equity mapping in progress.  In  Development Commission Working Group BE1 & BE2 discuss plans for educating and  engaging residents and business; BI2 ‐ await  staff proposal for enhancing Energy standards  for City rehabilitation projects; BI3 ‐ direction  on neighborhood energy blitz programs,  including type, scale, areas of focus for  programs BR1 ‐ define how City should measure equity in  housing inspection program; BI5 ‐ Recommendations  needed to develop comprehensive energy efficiency  building rehab programs, identify best practices,  suggest example programs, assist with equity efforts;  BR2 ‐ involvement in stakeholder review when  proposal shared later in year New/ Next  Step Plan  Alignment Month to  Initiate Workplan Equity Focus Status TPP‐1 New 2.1 Ongoing Completed study in early fall; was somewhat  delayed from Covid‐19. Presentation of  proposed measures went to City Council for  initial discussion on October 6. Interest in  moving forward with recommended system  route changes, more information coming for  consideration of service expansions and rate  changes. Primary implementation of  recomendations to begin in 2021. Dependent upon study recommendations and  selected actions for implementation. Goal is to serve  residents most needing transit service. Components  of public messaging to be part of upcoming  development of Communications Strategy.  Commission and Working Group recommendations  needed.   Underway TCP‐1 New 2.2 May Written policy completed in Sept. New text  includes preference for EVs, describes process  by which new vehicle purchases are  considered and directs purchase when  multiple factors determine EV appropriate  option and available for needs. Included in  Nov 2020 CAC agenda for reference. Although every vehicle the City purchases cannot be  EV at this time, continually increasing the presence of  non‐emitting vehicles creates a healthier air quality as  City vehicles move about and provide services in the  community.   Complete Complete the Transit Study  and Implement  Recommendations to Bolster  Service and Increase  Ridership  Establish an Electric and Fuel‐ Efficient Vehicle Purchasing  Policy  Transportation Incorporate Stricter Energy  Standards into Tax Increment  Financing Policies Offer Free Home Energy  Assessments through Green  Iowa AmeriCorps Coordinate Neighborhood  Energy Blitz Events Additional Notes This row shares more information for Commission members,  including probable action steps and questions from staff. For  reference, follow up items are started with the Action code (far left  of charts) (i.e. "BI3" (Building Incentives, project 3))  Action TCP‐1 Next 2.7 May AVL equipment provides idling data. 37  vehicles currently have the technology and  another AVL for another 60 will be ordered in  FY2021. Reformatting reports to make it  easier to read for improved use and analysis.  Staff will compile data and CAO will assist  with reporting. Transportation Working  Group needs to define and clarify their  recommendation before staff can pursue  li f hl Underway TE‐1 New 2.3 August The Climate Ambassador program included  segments about transportation. Must  continue to identify how we will engage all  residents. A significant portion of this effort  will come from a combination of the  developing climate action communications  strategy and coordination of marketing by the  Transportation Services Department.  Transportation reporting metrics are defined.  Review equity Report to identify groups and locations  to focus attention. Explore language translations.  Components of public messaging to be part of  upcoming development of Communications Strategy.  Commission and Working Group recommendations  and feedback needed.   Underway Commission: Working Group:  TPP1 ‐ Continued feedback on proposed  Transit Study TPP1 ‐ Continued feedback on proposed Transit  Study, TE1 ‐ Working group may want to contribute  ideas and suggestions for initiatives, partnerships,  and outreach.  New/ Next  Step Plan  Alignment Month to Initiate Workplan Equity Focus Status WP‐1 Next 3.7‐3.8 May Preliminary models discussed by staff in  September. Plans and estimated costs are  being refined and should be presented to  Council by year end. Study is complete and  presentation from consultant will be made to  Commission at January 4, 2021 meeting.  Consideration will be given after final  recommendations, to impacts on fiscal health of  Enterprise funds and needs to supplement with rate  changes over time.  Underway WE‐1 Next 3.2 June Resource Mangagement and NDS engaged in  composting education. Course materials  created for educators Determine how to  tailor it with equity in mind. Expand  opportunities with local businesses. Ties into  carbon sequestration project underway. Plans  for increased downtown access to  composting budgeted in FY2022. An  education unit for Climate Ambassadors  focused on waste. Focus is reliant upon meetings with staff, current  efforts, working Equity Working Group, equity report,  translations services available, and outcomes from  Communications strategy. Underway WCP‐1 New 3.5 June Staff reconnected for this project and  finalized simple agreements for sports  organizations renting athletic facilities.  Community education needed. Testing results  with athletics first but the next step to   general facility rental requirements will  require community and equity input.  Must assess whether new requirements impact  populations differently.  Working Group  recommendations needed.   Underway WE‐2 Next 3.3 July Met with Resource Management to assess  current materials. Staff is coordinating efforts  with Neighboorhood Planner, local schools,  and other City staff to share information.  Specific messaging about reduced  consumption or minimizing waste at the  source forthcoming, ideas welcome. An  education unit for Climate Ambassadors  Focus reliant upon meetings with staff, current  efforts, working Equity Working Gorup, equity report,  translations services available, and outcomes from  Communications strategy. Underway Commission: Working Group:  WP1 ‐ When project is presented to Council,  Commission members may consider  preparing a response or recommendation WCP1 ‐ Review new contracts for parks athletics use  and provide guidance for general parks rentals,  including equity review; WE1 and WE2 ‐ feedback or  direction on how these programs are going. Require All Park/Public Space  Rentals to Recycle and Use  "Green" Event Best Practices. Education Campaigns for  Neighborhoods to Reduce  Waste/Consumption at the  Source Additional Notes Engage the Public to Compost  Organic Waste Track Adherence to City Idling  Policy  Significant Transportation  Education and Outreach  Campaigns  Additional Notes This row shares more information for Commission members,  including probable action steps and questions from staff. For  reference, follow up items are started with the Action code (far left  of charts) (i.e. "BI3" (Building Incentives, project 3)) Action Waste Initiate a Methane Feasibility  Study New/ Next  Step Plan  Alignment Month to Initiate Workplan Equity Focus Status AE‐1 New 4.2 May First cohort is successfully complete. A new  cohort will begin in early 2021. Continued,  regular engagement with the Ambassadors is  planned.  Development of program includes application process  not reliant upon technology to participate. If tech is  necessary, funding available to purchase tablets or  other device to loan to ambassador participants for  training activities. Special attention paid to  connection with local groups that can recommend  ambassador applicants. Initial cohort varied in  background and experience. Complete APP‐2 New 4.5‐4.6 May Work agreement executed with AES in May.  Significant follow up with neighborhoods  required during process. Planned  concentration on intensive maintenance in  neighborhood park prairies. Education  needed about purpose, need and care for  natural areas; build community partnerships  with advocacy groups. About 60 acres of  public land areas were prepared for prairie  plantings this fall. Discussions held between  staff and the University of Iowa about  additional opportunities to expand support  Geographic distribution, education variables  dependent on groups impacted. Engage natural area  advocacy groups that can assist with public  education. Underway APP‐4 Next 4.1‐4.2 May Commission review of project equity review  tool for City and other community climate  projects. Staff is developing a  mapping  tool/resource requested by Equity Working  Group. Additionally, staff is exploring better  documentation for City climate equity efforts.  Theupcoming development of a  Communications Strategy will also  incorporate a signficant emphasis on equity  and true engagement with highly impacted  Emphasis on highly impacted groups, targeted  outreach and collaboration for development and  implementation of each climate action. Staff and GIA  are coordinating an expansion on the USDN Equity  report completed last summer. Their efforts include  cataloguing community based organizations in a way  that speaks to equity and climate impacts, connection  and communication with the City, and strengthening  resources for future engagement and outreach.  Underway APP‐1 Next 4.5 June Met with Stormwater Team. Collected and  reviewed current volunteer lists. Assessed if  we need to promote existing program.   Streamlined City operations for managing  creek clean ups and volunteer processes.  Involving various community groups dependent on  makeup of existing volunteer listing and schedules.  Review equity report to verify benefits and  participation equitable. Recent stormwater  management projects are included as a layer in the  GIS EitM Underway AE‐1 New 4.6 July Root for Trees  tree planting program began  in October with high interest and over 250  vouchers requested. Residents are able to use  a voucher for a discount on tree purchase  from Iowa City nurseries. Low income  residents are permitted greater discount for  tree purchase. Parks and Recreation  Department is managing program and will  conduct targeted interpersonal and  neighborhood outreach. Need to connect  with Project Green for additional  opportunities for education and outreach  programs. Commission provided recommendations and  feedback on program proposal. Income eligible  properties will be permitted a greater discount.  City  is tracking planting addresses (but no other  identifying information) to monitor geographic  distribution. Additionally, staff engagement will be  focused in areas that have less tree canopy than  other parts of town. Engagement will also provide an  opportunity to inform about the utility discount  program. Program participation is included as a layer  in the GIS Equity Map.  Underway AR‐1 Next 4.6 August NDS will draft ordinance. Research has begun  but needed a meeting with stakeholders in  fall. Drafting beginning in early 2021.  New Ordinance will apply to new developments. In  Development APP‐3 Next 4.6 September Provided Tree Canopy memo in 9‐17‐20  Information Packet for Council review and  discussion; demonstrates need for  incremental tree canopy replacement  activities.  Possible small group discussion  with impacted groups ‐ residents, landlords,  City staff, businesses or development groups.  Address negative perceptions through   modifcations or education.  Review inventory maps, locate areas in need, target  workplan outreach accordingly. Emphasis on benefits  of tree canopy in low‐mod neighborhoods. Soon‐to‐ be‐hired Climate Action Analyst will lead this analysis.  In  Development Partner with Project Green on  a Tree Planting Partnership;  Incentives for Private Tree  Planting Street Tree Ordinance Expand Public Tree Planting  Flood Mitigation and  Stormwater Management  Programs/Projects; Buyouts Action Adaptation Develop Climate Amassador  Team Continue Implementation of  the Natural Areas  Management Plan Equity Review of  Neighborhood and  Population Outreach; Develop  Outreach Plan for Populations  Highly Impacted by Climate  Change AE‐2 Next 4.3 October Staff held preliminary meeting with Invest  Health partner to identify current needs and  to explore co‐benefits of climate action  projects centered on public health issues.  Stakeholder group would serve as connection  for further meetings with Johnson County  Public Health, University of Iowa, etc.  Meeting date yet to be set but stakeholders  agree to reconvene this initiative.  Equity reach will become more clear with agency  coordination and partnering. Can use equity  scale/report to identify starting agency discussions. If  full stakeholder meeting held for Invest Health with  focus on climate issues, will seek participation from  Commission.  Underway Commission: Working Group:  AE2 ‐ attend invitation to public health  stakeholder meeting (unscheduled), consider  guidance about ideal projects, or other  partners   APP4 ‐ gudiance on areas of focus or process for  equity review; AE1 ‐ could restart discussions with  Project Green, Master Gardeners, etc. to plan  additional projects New/ Next  Step Plan  Alignment Month to Initiate Workplan Equity Focus Status SLE‐2 Next 5.5 June Pilot awards program introduced and  received applications in summer 2020.  Awarded five businesses. Additional  opportunities for business‐related programs  will be to build a network of businesses with  climate interests that can support additional  demand and resources for infrastructure and  policy upgrades. Program confirmed and  content in development with Iowa City Area  Business Partnership.   Initial program relies heavily on voluntary  participation. Potential for granted funding tied to  participation. Will need to make a greater effort to  identify and work with businesses with less access to  resources. Geographic access and type of business  should also be taken into account. Mapped  geographic participation. Need assistance from  Economic Development staff, Equity & Outreach  Working Groups, and other econ dev and small  business assistance groups. For Climate Action at  Work Awards, contacted over 80 community groups  with an emphasis on diversity, inviting their  Complete SLPP‐2 Next 5.5 June Released RFP for consultant to develop  marketing plan; drafted in June, reviewed by  Commission and received proposals in  September. Plan will be focused on Iowa City  attributes, alignment with current initiatives,  focused attention to branding, models for  promotional rollout schedules, template  materials for modification by project or  program, equity and "language" for how to  frame climate activities as broadly appealing  content.  Equity principles will integral to the process. Selected  consultant (yet to come to an agreement) greatly  emphasized equity and  integrating stakeholder  feedback from a variety of community populations.  Commission member participated in consultant  interviews.    Underway SLE‐1 Next 5.5 September Climate Festival held week of Sept 19‐25.  Activities included digital and written  storytelling, coordinated  indvidual/community acivities, and expanded  local partnerships. Outreach began in  June/July, finalized steps and promotions in  August. Next significant programs in planning.  Intentional outreach with underserved groups to  ensure access to awareness, education, and  participation. Staff, planning committee, and CAC  Working Group to connect with local ogranizations  willing to partner on activities, promotion, or hosting  remote event. Efforts underway to include translated  festival materials in digital and print formats.  Complete SLPP‐1 Next 5.5 September Working with Parks Department to see if  there are plans for additional community  garden areas.  Equity mapping for plot rentals exists. New Analyst  will identify gaps in geographic coverage and gaps in  possible access for certain groups. Need focused  outreach to see where needs might be to connect  unresourced individuals with plot availability in  upcoming years; will assist in identifying  needs/potential for pocket gardens in ROW, or  working with local organizations that may host new  garden plots on private property.    In  Development SLI‐1 Next 5.4 November Consider adding non‐profit and business  categories and define what the new program  will look like next year. Identify how grant  program ties into other City funding  initiatives. Initial discussions underway,  seeking Commission feedback on  considerations that will guide staff in  finalizing the 2021 grants process.  Follow Equity Report recommendations to identify  and connect with preferred applicant agencies from  first tier needs. Community organizations geared  towards underserved and highly impacted groups  could also fall into this expansion, or, the next year's  funding could be introduced specifically to certain  groups from equity report and an info session can be  held by invitation for these groups, like other  commissions have done. In  Development Commission: Working Group:  SLE1 ‐ Feedback on Climate Festival; SLE2 ‐  Feedback on Climate Action at Work program SLI1 ‐ WG can offer suggestions or thoughts on grants  program focus, eligible entities, increments, etc. Additional Notes Develop a Climate Action  Strategic Communications  Plan Host Sustainability Forum and  Events Community Garden  Expansion/Additions Expand Community Climate  Grants Launch a Green Business  Program: "Climate Action at  Work"  Educate and Coordinate with  Local Agencies on Health  Impacts Additional Notes Action Sustainable Lifestyle Workplan for 2021 "Accelerating Iowa City's Climate Actions" (12‐30‐20) New/ Next  Step Plan  Alignment Month to  Initiate Workplan Equity Focus Status BI‐6 New 1.3 Feb‐21 Discussion with NDS, identify requirements,  potential costs, and offset. Present to local  stakeholders and Commission for feedback.  Understanding that locally, incremental home "price  creep" tends to price homebuyers out for every  $1,000 more, we need to keep inflation of housing  costs to a minimum and ensure that the program  does not add costs. Geographic review could also  ensure that program is applied somewhat evenly  through all areas of new  Not Started BI‐7 New 1.3 Aug‐21 Have determined that competition should  include student and professional categories  but needs further shaping. Potential for  resulting designs to be functionally built.  Modification of this program includes a  category for retrofit/remodel at lower energy  savings.    Potential for outcome of contest to be constructed by  the City with income‐requirements for  hoemownership. Modified competition categories  could define different pricing models and occupant  populations. Working group can provide suggestions  and feedback.  In  Development BI‐8 New 1.1 & 1.4 Mar‐21 In discussion with NDS about upcoming  project opportunities. Budgeted FY22 funds  for preliminary or complete  rehabilitation/construction. Equity will be required in review of the project  placement, occupants, and local impacts.  Not Started BI‐9 New 1.1‐1.2 & 1.4 May‐21 Starting with a few rental induction stovetop  appliances to begin to introduce residents to  non‐natural gas technology. Development of  a rebate program in early part of the year will  require research and stakeholder feedback.  Explore opportunities for multi‐family properties.  Working group and stakeholder feedback helpful.  In  Development BR‐3 New 1.3 – 1.4 2022 At this time, NDS is working on an update to  the Riverfront Crossings District Code, in  which the height and density bonuses apply  more frequently than other zoning districts.  Application of the height bonus provision is  discretionary and staff has been instructed to  require energy efficiency measures as a  category for height bonuses. These provisions  closely mirror the existing TIF standards.  Recent projects that have come before  Council and upcoming projects are  incorporating these provisions and the City  will continue this until the Code is amended.  Not Started BR‐4 Next 1.6 2022 Initial research. Consideration of current laws,  existing programs in and out of Iowa needed  before application of this type of regulation.  Not Started BR‐5 New 1.1 & 1.7 Jun‐21 Discussions with NDs and stakeholders,  including property owners, landlords,  realtors, renters, and development  community.   Renters should be impacted as little as possible while  receiving benefits of any improvements made to  comply with a proposed program.  Not Started BPP‐2 Next 1.1 & 1.7 2022 Must determine where this project would  take place or be retrofitted. Discussions likely  underway in 2021, no final actions until 2022.  Not Started Commission Working Group As work progresses on BR3, BR4 & BR5 will  require Commission feedback and  recommendations.   Feedback and recommendations welcome for BI6,  BI7, BI8, BI9.  Net‐Zero Public Housing Initiate a Net‐Zero House Design Competition Complete a Net‐Zero Demonstration Rehabilitation Project Incorporate Strict Energy Standards into Height and Density Bonuses Initiate Energy Benchmarking Requirements Develop Climate Action Requirements for all Existing  and Future Rental Permits Note: Actions below are identified as Phase 2 of the Accelerating Climate Actions report and can begin between 2021 and 2023. The following is a proposed workplan for these actions,  prioritized by initiatives already in motion and based upon availability of City staff and coordination with outside agencies.     Additional Notes This row shares more information for Commission members,  including probable action steps and questions from staff. For  reference, follow up items are started with the Action code (far left  of charts) (i.e. "BI3" (Building Incentives, project 3))  Launch an Electrification Incentive Program  Action Buildings ‐ 2021 ‐ 2023 Consider a Building Permit Fee Rebate Program for Enhanced Energy Standards New/ Next  Step Plan  Alignment Month to  Initiate Workplan Equity Focus Status TE‐2 New 2.5 Jul‐21 Grants planned for employer installation of  EV charging ports. Paired with an  informational campaign and car‐free week.  Education campaigns must be coordinated  with employers. Post‐pandemic expand to  shared driving or transit campaign.  Not Started TI‐1 New 2.2 Sep‐21 Coincide any education with Transportation  Services rollout and preparation for system  changes. Can accompany passes for riders,  celebrations/thank you's to dedicated riders,  and supplement transit facility or stop  improvements.   Not Started TR‐1 New 2.6 Fall 2021 Start with NDS review. Some issues may be  identified during the development of the  updated affordable housing action plan,  starting 2021.  Considerations include pricing models, transit  alternatives, physical access to housing and work, last  mile options.  Not Started TPP‐2 Next 2.2 Jul‐21 Project is on track. Stakeholder meeting will  be held in January and final report should be  delivered in summer 2021. Recommendations to come from Study. Underway TPP‐3 Next 2.3 Aug‐21 Bicycle infrastructure continues to be a focus  of the City and teh network has grwon  considerably in the last few years.  Unfortunately, the pandemic year prevented  some of the planned bicycle education and  enagement components that are standard for  Gold‐level Bicycle Friendly Communities and  therefore the application was delayed by one  year. The City plans to apply for a Gold  designation again in August.  Education and access components include equity  practices.  Underway Commission Working Group Commission should weigh in on staff  proposals for TR1 when drafts of policy,  ordinance or plans ready. Recommendations  or priority issues for TR1 welcome between  January and August.   Recommendations welcome for TE2 and TI1.  New/ Next  Step Plan  Alignment Month to Initiate Workplan Equity Focus Status WR‐1 New 3.4 Feb‐21 Although some initial discussions and  research have started at a staff level, this  initiative will begin in 2021. Policy examples  and research are needed, as well as  exploration of programs that can assist with  meeting requirements of recycling and  Not Started WR‐2 New 3.1 Jan‐21 Staff continues to field calls from multi‐family  areas that do not feel they either have access  to recycling or are witnessing improper use of  waste containers. Many times, this is traced  back to a lack of simple signage. Plan is to  work directly with haulers to get voluntary  labeling on waste and recycling containers.  After this effort is made, staff will assess  whether any legal requirements will be  necessary.  Ensuring signed containers in multi‐family properties  will help renters with access to recycling, preventing  additional trips, and recycling stream contamination.  Additional emphasis will be put on language  accessibility.  In  Development Commission Working Group Priority issues for WR1 welcomed, in order to draft  more comprehensive policy, ultimately  recommended to Council by CAC.  Suggestions or program model examples welcomed  for WR1. Feedback helpful for WR2.  Mandating Signage to Assist Waste Collection Develop a Policy/Ordinance Requiring Specific Demolition or Deconstruction Recycling Standards/Procedures Action Transportation ‐ 2021 ‐ 2023 Launch an Eco‐Driving Campaign Alongside Employers  Incentivize Public Transit Options Review Parking Regulations and Consider Innovative Ways to Encourage Alternative Modes of Travel Complete Electric Vehicle (EV) Readiness Plan and Implement Recommendations  Action Waste ‐ 2021 ‐ 2023 Achieve Gold Friendly Bicycle Friendly Community Status and Begin Work Toward Platinum Status Additional Notes Additional Notes New/ Next  Step Plan  Alignment Month to  Initiate Workplan Equity Focus Status AE‐3 New 4.2 Apr‐21 Begin with consultation between public  health and community stakeholders. Plan to  hold events at these identified resilience hubs  to connect them as places for help, security,  and comfort for nearby residents.  Ideally, the community stakeholders will identify their  own preferred resilience hub and this project will  include their ideas and feedback, as well as the buy‐in  from the property itself. Language accessibility,  cultural competence, and geographic proximity all  play roles in this effort.  Not Started AE‐4 Next 4.5 Apr‐21 Staff led campaign, will align with developing  communications strategy. Budgeted  promotional materials and activities. Green  Iowa AmeriCorps have interest in rain barrel  program, in addition to their standard  educational programs and activities and Parks  and Recreation native prairie planting  education opportunities. Additionally, City  and University staff have discussed crossover  native planting education and volunteer  opportunities for students and community  Equity involved in rain barrel initiatives, as well as  educational opportunities. Geographic analysis  required prior to planned activities.  In  Development AE‐5 Next 4.3‐4.4 Mar‐21 Discussion must be scheduled for further  development of actions.  Not Started AR‐2 New 4.6 Fall 2021 Initial research and planning required by NDS. Not Started ACP‐1 New 5.7 2022 Initial research and planning required by NDS  and PW. Supplemented by analysis by Climate  Action Analyst. Possible that a City facility  construction or improvements could be made  earlier than 2022, with sustainable design  review and engineering.  Not Started Commission Working Group CAC should provide any priority issues for City  to consider in landscaping standards (AR1)  and developing review standards for City  buildings (ACP1).  Suggestions about anything related to resilience hubs  (AE3) welcome. Working group feedback on natural  areas and stormwater management programs  welcome (AE4), identify any priority issues to be  brought up with emergency management ‐  specifically equity concerns (AE5). New/ Next  Step Plan  Alignment Month to  Initiate Workplan Equity Focus Status SLE‐3 New 5.3 Jun‐21 City staff in discussion with community  partners about local consumption/reduced  consumption campaign. Small budget of  funding to promote and support local  economy and resident access to goods and  May be able to identify equity issues through  research on existing similar programs. Working group  feedback and recommendations welcome.  In  Development SLCP‐1 Next 5.3 2022 City Purchasing division went through recent  re‐organization and needs a little time before  they're able to support the development of  such a policy. In the meantime, there may be  opportunties internally to start gathering  existing procedures and modifying, with local  and sustainable acquisition principles in mind.   Not Started Adaptation ‐ 2021 ‐ 2023 Establish "Resilience Hubs" Concentrated Education Campaign for Private Properties about Native Plantings, Permeable Pavement, Rain Gardens, Soil  Health, Rain Barrels and Cisterns Coordinated Efforts with Local  Emergency Agencies and  Utility Agencies Providing  Critical Infrastructure Increase Tree Planting Requirements in Landscaping Standards, Parking Lot Standards and Upon Renewal of Rental Permits Develop Review Standards for  New City Facility Construction  and Major Rehabilitation that Accounts for Climate Adaptation Principles Action Additional Notes Action Sustainable Lifestyle ‐ 2021‐2023 Local Procurement Campaign ‐ Buy‐in from Local Commercial Groups Develop a Green  Procurement Policy SLCP‐2 Next 5.7 Aug‐21 The City's staff Climate Action Committee can  begin to collect best practices to create an  outline for the guide. Research may result in  an existing guide from another location that  could be modified to meet the needs of our  community.  Not Started Commission Working Group Welcome examples and feedback on SLE3 and SLCP2. Additional Notes Develop a City Sustainability Operations Guide and Make Available to Organizations Throughout Iowa City Draft Proposal for Climate Action Commission Working Group Restructuring Currently, the Climate Action Commission has five working groups focused on different aspects of the Climate Action and Adaptation Plan (CAAP) for Iowa City: Buildings, Transportation, Waste, Equity/Adaptation, and Outreach. Two of these groups, Buildings and Outreach, have regular monthly meetings, while the other groups have experimented with meeting on a monthly, quarterly, and/or as-needed basis. Recent discussions about restructuring the working groups have explored options to help make more efficient and productive use of the working groups, some of which have struggled to find and maintain a good work flow. Two ideas were brought forth in the November meeting of the Climate Action Commission to explore. The first would be to allow the Transportation and Waste Working Groups to stand down or dissolve, as the majority of the projects identified in the CAAP in these areas are currently undertaken by City staff in departments responsible for transportation and resource management services. A new working group could then be formed to review adaptation plans and actions in other communities with a goal of making recommendations for the next CAAP update, a project not currently assigned to a specific department/City staff . The Outreach Group would continue to function as it currently does, and the Building Group would potentially revert to meeting approximately every other month instead of monthly until another major project is assigned. The Equity Working Group would focus primarily on equity while allowing the new Adaptation group to assume that half of its responsibilities. All Commission members would have the opportunity to move or stay in the working group(s) that most aligns with their knowledge and interests. Once the Adaptation group completed its project, it could then stand down until again needed. The second idea brought forth was to move toward a project-based model for forming new working groups. Specific projects needing attention and input from Commission members would be identified, and then representatives from some or all of the five current working groups would be assigned to this subcommittee, so that perspectives related to buildings, transportation, waste, outreach, and equity/adaptation could be brought to bear on the projects as needed. Once the projects were completed, the subcommittee would dissolve. This model would require members to participate in both the current working groups as well as the project subcommittees to which they are assigned. Date: December 28, 2020 To: Climate Action Commission From: Ashley Monroe, Assistant City Manager Re: Methane Feasibility Study Documents At the January 4, 2021 Climate Action Commission meeting, HDR will be presenting the results of the Methane Feasibility Study conducted in 2019 and 2020. This study was conducted to meet the Climate Action and Adaptation Plan initiatives 3.7 and 3.8. (https://www8.iowa- city.org/weblink/0/edoc/1803121/Climate%20Action%20Plan.pdf). Two of the resulting reports, Feasibility Report and Facility Evaluation provide good overviews of the project and are provided for your reference in this packet. The HDR team evaluated current and future biogas generation potential and identified alternatives for utilizing biogas at the Iowa City Wastewater Treatment Plant (WWTP) and/or the Landfill and Recycling Center (Landfill). HDR used its Sustainable Return on Investment (SROI) process to measure the feasibility of the objectives. The study was based on three categories for feasibility: net greenhouse gas emissions; net energy impact; and economics. Three alternatives were evaluated at each facility with three different scenarios for diversion of organic wastes from the Landfill. These study parameters led to seventy different combinations of alternatives and scenarios between the two facilities, of which, they will present an overview of the project and highlight top recommendations. HDR will present their findings and be available for questions in order to assist the Commission, City Council, staff, and other interested parties with any next steps. If you have specific questions, Joseph Welter, Senior Civil Engineer, managed this project and has offered his contact information. Please feel free to email or call Joe at joe-welter@iowa- city.org and 319-356-5144. 5815 Council Street NE Suite B Cedar Rapids, IA 52402-5893 (319) 373-2536 hdrinc.com Biogas Utilization Feasibility Report CAAP – Methane Recovery Feasibility Study Completed by HDR Engineering, Inc. on behalf of the City of Iowa City, to support the Climate Action and Adaptation Plan (CAAP) and the associated Action Items 3.7 and 3.8. Iowa City, Iowa December 30, 2020 VERSION: 2 ii Contents Executive Summary .............................................................................................................. ES-1 1 Introduction ..................................................................................................................... 1 2 Project Background ........................................................................................................ 1 2.1 Climate Action and Adaptation Plan ...................................................................... 1 2.2 Feasibility Study .................................................................................................... 2 3 Renewable Natural Gas as a Resource ......................................................................... 4 3.1 Renewable Natural Gas - Environmental Attributes as Vehicle Fuel .................... 4 4 Description of Project Alternatives ............................................................................... 9 4.1 Alternative 1: Natural Gas Pipeline Injection ......................................................... 9 4.2 Alternative 2: Electricity Generation ...................................................................... 9 4.3 Alternative 3: WWTP Natural Gas Replacement ................................................... 9 4.4 Alternative 4: Composting ................................................................................... 10 4.5 Organics Diversion Scenarios ............................................................................. 10 4.6 Estimated Costs .................................................................................................. 12 4.7 Description of Impact Categories ........................................................................ 13 5 Summary Economic, and Environmental Impacts of Alternatives ........................... 24 5.1 Findings and Insights .......................................................................................... 27 6 References: .................................................................................................................... 30 Figures Figure 1: SROI Triple Bottom Line Accounting ............................................................................. 3 Figure 2: EPA RFS Nested RIN Categories and Volumes ........................................................... 5 Figure 3: Historical RIN values From the EPA from 2015 Through August 2020 ......................... 6 Figure 4: California LCFS Market History ..................................................................................... 7 Figure 5: PhysRNG Value Considerations .................................................................................... 8 Figure 6: Organics Diversion ...................................................................................................... 11 Figure 7: Lifecycle Cost Structure and Logic Diagram. ............................................................... 14 Figure 8: RIN Credit Value Structure and Logic Diagram. .......................................................... 15 Figure 9: Renewable Electricity Production Value Structure and Logic Diagram ....................... 16 Figure 10: Renewable Natural Gas Value Structure and Logic Diagram .................................... 17 Figure 11: GHG Emissions Structure and Logic Diagram. ......................................................... 23 ii Tables Table ES-1: Summary and Ranking of Monetary and Non-Monetary Results .............................. 3 Table ES-2: Indexed and Weighted Scores for each Alternative .................................................. 4 Table ES-3: Potential Biogas Utilization Alternatives Combinations ............................................. 5 Table 1: Summary of the Alternatives and Diversion Scenarios evaluated for Feasibility .......... 11 Table 2: Biogas Utilization Alternatives Summary ...................................................................... 13 Table 3: Value of RIN Credits ..................................................................................................... 15 Table 4: Value of Renewable Electricity Production ................................................................... 16 Table 5: Estimated Energy Inputs for Each Alternative .............................................................. 19 Table 6: Estimated GHG Emissions ........................................................................................... 22 Table 7: Social Costs of GHG Emissions ................................................................................... 23 Table 8: Summary of Monetary Benefits and Costs ($ Millions, 2019) ....................................... 24 Table 9: Summary of Non-Monetary Impacts ............................................................................. 25 Table 10: Summary and Ranking of Monetary and Non-Monetary Results ................................ 26 Table 11: Indexed and Weighted Scores for each Alternative .................................................... 27 Table 12: Potential Biogas Utilization Alternatives Combinations ............................................... 28 Appendices Appendix A - Low Diversion Scenario Digester Costs Appendix B – Financial Proforma – Breakeven Analysis City of Iowa City | CAAP Methane Recovery Feasibility Study Executive Summary ES-1 Executive Summary In December 2019, the City of Iowa City (City) selected HDR Engineering, Inc. (HDR) to perform a Methane Recovery Feasibility Study to address two specific Action Items included in the Iowa City Climate Action and Adaptation Plan (CAAP): Action Number 3.7: Take Action on a Study to Efficiently Capture and Use Methane from Wastewater Operations “After water is used by residents, it flows into the wastewater system and then goes to the City’s Wastewater Treatment Facility. While the City currently captures methane gas from the digesters used in the wastewater treatment process, only a portion of the methane is used to offset natural gas usage for the plant. To explore other options for further management of wastewater greenhouse gas (GHG) emissions, the City should conduct a study to determine the feasibility of using all captured methane to create renewable fuel or electricity that can be used to operate the facility, and take specific actions based on the results of this study.” Action Number 3.8: Take Action on a Feasibility Study on Energy Generation from Landfill Methane “The methane produced by decomposition of organic waste in the Iowa City Landfill is currently being flared to transform it into carbon dioxide, which is a less potent GHG. The City has been considering methods to use the methane as a renewable energy source, and to further explore this opportunity, the City will conduct a Feasibility Study in FY2019 and take specific actions based on the results of this study.” This Feasibility Report incorporates a number of recently completed Technical Memorandums (TMs) that evaluated current and future biogas generation potential and identified alternatives for utilizing biogas at the Iowa City Wastewater Treatment Plant (WWTP) and/or the Landfill and Recycling Center (Landfill). HDR used its Sustainable Return on Investment (SROI) process to measure the feasibility of the objectives. The Study objectives are to evaluate current and future methane generation, collection, processing, and reuses at the two facilities based on the following three categories for feasibility: • Net GHG emissions, considering both incremental emission sources and direct and indirect reductions; • Net Energy impacting, applying an Energy Return on Energy Invested (EROEI) methodology; • Economics, using HDR’s SROI framework to monetize the benefits associated with beneficial reuse of methane sourced from the Landfill and WWTP. HDR analyzed three alternatives to beneficially reuse biogas generated at the WWTP and Landfill, as well as GHG emissions and financial impact of expanding composting operations to handle City of Iowa City | CAAP Methane Recovery Feasibility Study Executive Summary ES-2 incremental food waste diverted from the Landfill. The following is a description of each alternative: • Alternative 1: Natural Gas Pipeline Injection. This alternative is divided into two sub- alternatives: o Alternative 1a – WWTP NG Pipeline Injection. o Alternative 1b – Landfill NG Pipeline Injection. • Alternative 2: Electricity Generation. This alternative is divided into two sub- alternatives: o Alternative 2a – WWTP Electricity Generation. o Alternative 2b – Landfill Electricity Generation. • Alternative 3: WWTP Natural Gas Replacement • Alternative 4: Composting Recognizing the synergy with another Action in the City’s CAAP, Item 3.2 Increase Composting of Organics, the alternatives consider impacts of diverting incremental volumes of food waste from the Landfill to the existing WWTP, a new, dedicated anaerobic digester (AD) located at the WWTP, and expanded composting operations. Each of the alternatives listed except Alternative No. 4 consider three organics diversion scenarios: 1) No incremental organics diversion (No-Diversion) 2) Additional 1,500 tons organics diverted from Landfill, which represents the available capacity at the existing WWTP AD (1,500 tons) 3) 20% of food waste diverted from landfill to a future “new” AD (Low-Diversion) HDR developed an opinion of probable construction costs (OPCC) and opinion of operations and maintenance (O&M) costs for the No-Diversion scenario for each alternative. The No-Diversion scenario costs were then extrapolated to estimate costs for the two diversion scenarios for each alternative. The SROI analysis considers the triple bottom line (i.e., economic, environmental, and social) benefits of methane reuse. This study focuses on the economic and environmental impacts. The analysis took into account: • Estimated reductions in GHG emissions and the associated social cost of carbon; • Value of Renewable Identification Number (RIN) credits under the Renewable Fuel Standard Program; • Value of electricity exported to the grid under net metering and buyback agreements with MidAmerican Energy Company and the Eastern Iowa Light and Power Cooperative; • Value of avoided natural gas purchases; • Capital investment and O&M costs of biogas reuse alternatives; and • Energy Return on Investment (EROEI). The results of this study are intended to help the City assess the viability of, and prioritize, alternatives with the greatest potential to reduce GHG emissions under CAAP Action Items 3.7 City of Iowa City | CAAP Methane Recovery Feasibility Study Executive Summary ES-3 and 3.8. This Report details technical information on the feasibility analysis and summarizes the previous Technical Memorandums (TMs) that were completed by HDR leading up to the SROI analysis: 1. Evaluation of Existing Facilities TM 2. Wasteshed Analysis TM 3. Biogas Utilization Alternatives TM The monetary and non-monetary results and rankings by metric are presented in Table ES-1. The evaluation of economic and environmental impacts considered a time horizon or study period, which includes project development (construction and implementation) and 30 years of operation and benefit. This extends to 2050 and aligns with the planning horizon of the City’s CAAP. All monetary Costs and benefits have been converted to present value using a 3% discount factor and are compared using a benefit to cost ratio (BCR), benefits divided by costs. BCR’s exceeding 1.0 indicate that the benefits from the alternative exceed the costs of the inv estment over a 30 year period. The non-monetary metrics include EROEI and lifecycle change in CO2e emissions. Table ES-1: Summary and Ranking of Monetary and Non-Monetary Results Alternative Description Location Alternative GHG Reduction GHG Rank EROEI EROEI Rank BCR BCR Rank Pipeline Injection WWTP Alt. 1a - ND 40,500 15 6.9 9 0.20 11 Alt. 1a - 1500 77,800 12 7.9 6 0.22 9 Alt. 1a - LD 436,200 6 7.9 4 0.39 8 Landfill Alt. 1b - ND 820,500 3 7.5 8 1.62 3 Alt. 1b - 1500 844,500 2 7.6 7 1.63 2 Alt. 1b - LD 931,800 1 7.9 5 1.69 1 Electricity Generation WWTP Alt. 2a - ND 19,000 16 2.0 13 0.05 16 Alt. 2a - 1500 60,000 13 12.4 3 0.10 15 Alt. 2a - LD 395,600 7 13.3 1 0.18 12 Landfill Alt. 2b - ND 459,200 5 1.5 15 0.76 6 Alt. 2b - 1500 386,500 8 2.1 12 0.69 7 Alt. 2b - LD 585,200 4 12.6 2 0.89 5 Natural Gas Replacement WWTP Alt. 3 - ND 40,900 14 4.6 10 0.11 14 Alt. 3 - 1500 78,300 11 3.4 11 0.13 13 Alt. 3 - LD 252,200 10 1.8 14 0.20 10 Expanded Composting Compost Alt. 4 365,100 9 0.0 16 0.96 4 The results show that: • Only Alternative 1b (landfill natural gas) has benefits that exceed the costs; • The highest BCR (1.69) is Alternative 1b – Low-Diversion. This alternative ranks highest on total lifecycle CO2e emission reductions, and when combined with the value of RIN credits results in the greatest economic benefits; • All of the alternatives result in a net reduction in CO2e over the next 30 years; City of Iowa City | CAAP Methane Recovery Feasibility Study Executive Summary ES-4 • All alternatives except for composting result in an EROEI of 1.0 or greater (incremental composting of food waste does not generate energy); • Alternative 2a (WWTP Electricity Generation) – Low-Diversion ranks highest on EROEI; • Alternative 1b – Low-Diversion is ranked 5th on EROEI; and • Changing the value of the SCC was found to have no effect in ranking as the value influences all of the alternatives equally. To aid in the comparison of the monetary and non-monetary metrics and provide insight from this Feasibility Study towards actions under 3.7 and 3.8, the results have been combined into a weighted score as shown below in Table ES-2. Each result was converted to an index (1 to 0) and were then weighted equally into a total score with a maximum value of 1. Table ES-2: Indexed and Weighted Scores for each Alternative Alternative Description Location Alternative GHG Reduction EROEI BCR Total Score Rank Pipeline Injection WWTP Alt. 1a - ND 0.01 0.17 0.04 0.23 13 Alt. 1a - 1500 0.03 0.20 0.04 0.27 11 Alt. 1a - LD 0.16 0.20 0.08 0.43 6 Landfill Alt. 1b - ND 0.29 0.19 0.32 0.80 3 Alt. 1b - 1500 0.30 0.19 0.32 0.81 2 Alt. 1b - LD 0.33 0.20 0.33 0.86 1 Electricity Generation WWTP Alt. 2a - ND 0.01 0.05 0.01 0.07 16 Alt. 2a - 1500 0.02 0.31 0.02 0.35 7 Alt. 2a - LD 0.14 0.33 0.04 0.51 5 Landfill Alt. 2b - ND 0.16 0.04 0.15 0.35 8 Alt. 2b - 1500 0.14 0.05 0.14 0.33 9 Alt. 2b - LD 0.21 0.32 0.18 0.70 4 Natural Gas Replacement WWTP Alt. 3 - ND 0.01 0.12 0.02 0.15 14 Alt. 3 - 1500 0.03 0.08 0.02 0.14 15 Alt. 3 - LD 0.14 0.05 0.04 0.23 12 Expanded Composting Compost Alt. 4 0.13 0.00 0.19 0.32 10 Based on the indexing and weighting exercise: • Alternative 1b (landfill natural gas) – Low-Diversion has the highest score (0.86). • Alternative 1b (landfill natural gas) – 1500 ton diversion is ranked second. • Alternative 1b (landfill natural gas) – No-Diversion is ranked third. If the City is instead focused on reductions that will be reflected in its municipal and community - scale GHG emission inventory, then evaluation should be narrowed to focus on Alternative 2, Electricity Generation, and Alternative 3, Natural Gas Replacement. While electricity generated at the WWTP or Landfill (2a and 2b, respectively) could very well be pushed to the power grid, contractual agreements with local utilities could allow the City to retain and retire RECs for GHG accounting purposes. Specifically, RECs could be applied to the City’s Scope 2 market -based GHG inventory. Using RNG to displace natural gas use at the WWTP would result in lower City of Iowa City | CAAP Methane Recovery Feasibility Study Executive Summary ES-5 Scope 1 GHG emissions. Focused on these two alternatives, Alternative 2b – Low-Diversion is ranked highest (fourth overall), followed by Alternatives 2a – Low-Diversion and 2a – 1500. These alternatives are ranked 4, 5 and 7 overall. Finally, biogas utilization alternatives can be combined together with others, and some can be incorporated as standalone projects (as shown in Table ES-3). Table ES-3: Potential Biogas Utilization Alternatives Combinations There are 18 unique possible combinations of alternatives, boxes in Table ES-3 with blue numbering indicate the individual alternative scenarios at either the Landfill or at the WWTP. The individual alternatives can be combined together, but must be done so following the same waste diversion scenario from the Landfill. Specifically, an alternative from No-Diversion scenario cannot be combined with an alternative from the Low-Diversion scenario. When combining the alternatives the scores from the Landfill and WWTP alternatives can be added together to identify the optimal combination of actions under each of the waste diversion scenarios. The highest scored individual alternatives are consistently Alternative 1b – NG Pipeline Injection (landfill alternatives for each of the No-Diversion, 1500 ton diversion, and Low-Diversion scenarios). Identifying the optimal combination of actions may be approached as follows: select the highest scored alternative from the desired waste diversion scenario (shown to be from the Alternative 1b – NG Pipeline Injection landfill alternatives) then work down the column to the corresponding green shaded boxes. Select the highest scored, or desired, combination. Corresponding capital costs for each individual alternative are also additive when combined. For example, if choosing NG Pipeline Injection Electricity Generation NG Pipeline Injection Electricity Generation NG Pipeline Injection Electricity Generation Alt 1b-ND Alt 2b-ND Alt 1b-1500 Alt 2b-1500 Alt 1b-LD Alt 2b-LD 0 0.80 0.35 0.81 0.33 0.86 0.70 NG Pipeline Injection Alt 1a-ND 0.23 1.02 0.58 Electricity Generation Alt 2a-ND 0.07 0.87 0.42 NG Replacement Alt 3-ND 0.15 0.95 0.50 NG Pipeline Injection Alt 1a-1500 0.27 1.08 0.60 Electricity Generation Alt 2a-1500 0.35 1.16 0.68 NG Replacement Alt 3-1500 0.14 0.95 0.47 NG Pipeline Injection Alt 1a-LD 0.43 1.30 1.13 Electricity Generation Alt 2a-LD 0.51 1.37 1.21 NG Replacement Alt 3-LD 0.23 1.09 0.93WWTP LocationLandfill Location Low Diversion1500 ton/yr DiversionNo Diversion 1500 ton/yr Diversion Low Diversion Do Nothing Weighted and Indexed Performance Indicators Total Score, inclusive of: GHG Reduction, EROI, and BCR Do Nothing No Diversion City of Iowa City | CAAP Methane Recovery Feasibility Study Executive Summary ES-6 from Alternative 1b – NG Pipeline Injection (at the Landfill, Total Score of 0.81), with 1500 ton diversion to the WWTP, work down the column (or “diversion lane”) to the desired combination scenario. In this case, combining with Alternative 2a – Electricity Generation at the WWTP, results in a combined score of 1.16. As capital costs are also additive, consideration should be given to the seemingly minor weighted score differential. In the example of combined Alt 1b-1500 with Alt 2a-1500, there is an estimated $6.2M savings to select Alt 1b-1500 with Alt 1a-1500. Path Forward HDR recognizes that incremental food waste diversion is not an instantaneous process, but the SROI analysis provides an assessment of the resulting impact when achieved. This Report provides decision tools to support the City’s further consideration and decision making. Consequently, the City might consider the following path forward to further evaluate and implement the preferred alternative(s): i. City decision on desired diversion scenario and methane utilization at the WWTP to narrow the field of alternatives. (0-6 months) ii. Further technical analysis to develop organics management strategies to achieve a targeted diversion scenario and further evaluate life cycle costs of co-digestion (if desired) and biogas utilization to generate electricity or RNG. Consideration of impacts to planned digester rehab project. (3-6 months) iii. Conceptual Design Development of the selected alternative(s), providing basis of design parameters and implementation planning. (3-6 months) iv. Detailed Design Development. (TBD) v. Bidding and Construction. (TBD) It may be prudent for the City to complete items i) and ii) within the next 6-months for capital planning purposes. City of Iowa City | CAAP Methane Recovery Feasibility Study Introduction 1 1 Introduction In December 2019, the City of Iowa City (City) selected HDR Engineering, Inc. (HDR) to perform a Methane Recovery Feasibility Study to address Action Items 3.7 and 3.8 included in the Iowa City Climate Action and Adaptation Plan (CAAP). The CAAP contains objectives for conducting a study that would determine the feasibility of methane generation, collection, processing, and potential re-use at the Iowa City Wastewater Treatment Plant (WWTP) and/or the Landfill and Recycling Center (Landfill). HDR used its Sustainable Return on Investment (SROI) process to measure the feasibility of the objectives. This Feasibility Report evaluates alternatives for methane gas recovery and beneficial reuse of biogas at the City WWTP and/or Landfill as part of the City’s CAAP objectives. This evaluation focuses on monetizing the benefits associated with the reuse of methane sourced from either the WWTP and/or the Landfill. The SROI analysis considers the triple bottom line (i.e., economic, environmental, and social) benefits of methane reuse. This study focuses on the economic and environmental impacts. The analysis took into account: • Estimated reductions in Greenhouse Gas (GHG) emissions and the associated social cost of carbon; • Value of Renewable Identification Number (RIN) credits under the Renewable Fuel Standard Program (RFS); • Value of electricity exported to the grid under net metering and buyback agreements with MidAmerican Energy Company and the Eastern Iowa Light and Power Cooperative; • Value of avoided natural gas purchases; • Capital investment and O&M costs of biogas reuse alternatives; and • Energy Return on Investment (EROEI). The results of this Study are intended to help the City assess the viability of alternatives with the greatest potential to reduce GHG emissions under CAAP Action Items 3.7 and 3.8. This Report details technical information on the feasibility analysis and summarizes the previous Technical Memorandums (TMs) that were completed by HDR leading up to the SROI analysis: 1. Evaluation of Existing Facilities TM 2. Wasteshed Analysis TM 3. Biogas Utilization Alternatives TM 2 Project Background 2.1 Climate Action and Adaptation Plan In September of 2018, the City Council approved its Climate Action and Adaptation Plan. CAAP included specific actions to achieve GHG emissions targets. The plan’s targets are in accordance with the Paris Agreement and include city-wide carbon emissions reductions of 25-28% over 2005 City of Iowa City | CAAP Methane Recovery Feasibility Study Project Background 2 levels. On August 6th, 2019, the City passed Resolution 19-218 declaring a climate crisis and requesting accelerated action toward carbon emissions reductions in an effort to meet the Intergovernmental Panel on Climate Change (IPCC) target of limiting global warming to 1.5 Celsius. CAAP identified 35 actions related to buildings, transportation, waste, adaptation, and sustainable lifestyle to help the City achieve its goals for reducing carbon emissions. Furthermore, th ese 35 actions were broken into 3 phases with phase 1 actions to be initiated by the end of 2020. Under waste actions 3.7 and 3.8 the City is looking to explore ways to recover and beneficially reuse methane from landfill and WWTP. The importance of these actions were reiterated in the Accelerating Iowa City’s Climate Action Plan, published in April 2020. As noted in the CAAP: Action Number 3.7: Take action on a feasibility study to efficiently capture and use methane from wastewater operations: “After water is used by residents, it flows into the wastewater system and then goes to the City’s Wastewater Treatment Facility. While the City currently captures methane gas from the digesters used in the wastewater treatment process, only a portion of the methane is used to offset natural gas usage for the plant. To explore other options for further management of wastewater greenhouse gas (GHG) emissions, the City should conduct a study to determine the feasibility of using all captured methane to create renewable fuel or electricity that can be used to operate the facility, and take specific actions based on the results of this study.” Action Number 3.8: Take action on a feasibility study on energy generation from landfill methane. “The methane produced by decomposition of organic waste in the Iowa City Landfill is currently being flared to transform it into carbon dioxide, which is a less potent GHG. The City has been considering methods to use the methane as a renewable energy source, and to further explore this opportunity, the City will conduct a feasibility study in FY2019 and take specific actions based on the results of this study.” 2.2 Feasibility Study The objective of this Feasibility Study is to evaluate alternatives developed to support actions 3.7 and 3.8. To conduct this study, HDR applied its SROI framework to evaluate alternatives. The following sections of this report detail: • The approach used. • The alternatives considered. • The economic analysis methods used to evaluate alternatives. • A summary of the economic analysis results. • Recommendations for waste actions 3.7 and 3.8. City of Iowa City | CAAP Methane Recovery Feasibility Study Project Background 3 2.2.1 SROI Background SROI evaluates whether the public value of a project is sufficient to justify the money required to develop the project and which alternative provides the greatest financial and societal return relative to the project cost. SROI process is an enhanced form of benefit cost analysis (BCA) that involves a systematic comparison of the benefits and costs of projects in ways that communicate a project’s triple-bottom line outcomes, (i.e. its full range of environmental, social and economic impacts). SROI originated from a commitment by HDR to develop a new generation of public decision support metrics for the Clinton Global Initiative (CGI) in 2007. SROI was developed with input from Columbia University’s Graduate School of International Public Affairs and launched at the 2009 CGI annual meeting. Since then, the SROI process has been used by HDR to evaluate the monetary value of numerous sustainability programs and projects for water and wastewater infrastructure utilities around the country. 2.2.2 Methodology of SROI Process The SROI process draws from standard economic BCA methods and the best available data to systematically calculate and compare the benefits and costs of project alternatives. The process addresses sustainability goals and outcomes from a triple bottom-line perspective, meaning the range of potential environmental, social, and economic impacts (see Figure 1). In this Feasibility Study, impacts are associated with the economic and environmental benefits related to the value of RIN credits to the City as well as the social cost of carbon associated with changes in GHG emissions. In addition, the EROEI and tons of GHG emissions are estimated as non-monetary metrics. Figure 1: SROI Triple Bottom Line Accounting The SROI process builds on best practices in benefit-cost and financial analysis methodologies, complemented by advanced risk analysis and stakeholder elicitation. Typically, the SROI process is implemented in four steps, which include: 1. Develop the structure and logic diagrams (S&L’s): Structure and logic diagrams are useful to display the understanding of how key variables within an analysis interact to influence the intermediate or final outputs being measured. These diagrams provide a City of Iowa City | CAAP Methane Recovery Feasibility Study Renewable Natural Gas as a Resource 4 transparent view of the calculations being made in the analyses for key stakeholders and subject matter experts to review and understand the process better. 2. Assign values to inputs: Values are assigned to inputs based on logic established in the S&L’s. In some instances, ranges for inputs are established to enable the analysis to capture how an input will impact the project with the potential variability of its value essentially simulating real world conditions. 3. Develop consensus among stakeholders to validate inputs: The S&L’s and inputs are then presented to stakeholders for validation. This is a key step in the SROI process. Stakeholders and subject matter experts are consulted regarding the values used to understand their view on these inputs. This step is critical for getting stakeholder buy-in on the process and seeking out additional knowledge that may not have been captured previously. 4. Evaluate impact on agency goals (e.g. cost, environmental impact, public perception, etc.), including simulation if applicable: These inputs will then be added into the model structure detailed with the structure and logic diagrams to evaluate the agency goals, specifically the costs or environmental impact. The alternative that best meets these criteria will be the one that is the most desirable alternative. 3 Renewable Natural Gas as a Resource Renewable Natural Gas (RNG) is biogas or landfill gas that has been treated or refined to natural gas (NG) quality. The resulting RNG can be used interchangeably with NG, but is considered renewable as it doesn’t rely on petroleum and can therefore provide additional environmental attributes through federal and state programs. 3.1 Renewable Natural Gas - Environmental Attributes as Vehicle Fuel 3.1.1 EPA - Renewable Fuel Standard The United States Congress created the Renewable Fuels Standard (RFS) through the Energy Policy Act of 2005 and revised the program with the Energy Independence and Security Act in 2007. The RFS is a renewable fuels program within the Clean Air Act which mandates that large fuel producers and blenders (Obligated Parties) must include within their fuel mix a growing portion of renewable fuels. The quotas required of the Obligated Parties are referred to as Renewable Volume Obligations (RVOs) and are established and tracked by the United States Environmental Protection Agency (EPA) through the use of renewable credits, also known as, Renewable Identification Numbers (RINs). The original program was designed to increase the RVOs until 2022 and then level off beyond that point unless Congress issued another amendment. The EPA can lower or raise the RVOs up to the maximum RVO quota set for 2022, but Congressional action would be required to eliminate the RFS program. The RFS program has pressure against it from the Oil and Gas Industry, but also has a strong support from the Corn Ethanol Industry, who represent half of the RIN market. City of Iowa City | CAAP Methane Recovery Feasibility Study Renewable Natural Gas as a Resource 5 As the EPA’s RFS, RVOs are developed by categorized RIN types based on their environmental benefit and the production pathway. These categories, D3 through D7, encompass lower value biofuels like corn-based ethanol (D6) up to high value biofuels like cellulosic biodiesel or ethanol (D3) (see Figure 2). RNG produced from landfill gas is considered D3 cellulosic biofuel in the RFS. RNG produced from wastewater biogas production from anaerobic digestion or co-digestion is considered D3 cellulosic or D5 advanced biofuel depending on the feedstocks used to production. The biogas produced from the digestion of municipal biosolids will be considered D3 cellulosic and have the highest value. However, any biogas produced by the co-digestion of municipal solids with hauled in or high strength wastes will be considered D5 advanced, unless each individual feedstock has a 75% or higher cellulosic content. Figure 2: EPA RFS Nested RIN Categories and Volumes Figure 3 presents the historical RIN values as reported by the EPA from 2015 through August 2020. City of Iowa City | CAAP Methane Recovery Feasibility Study Renewable Natural Gas as a Resource 6 Figure 3: Historical RIN values From the EPA from 2015 Through August 2020 Source: https://www.epa.gov/fuels-registration-reporting-and-compliance-help/rin-trades-and-price-information 3.1.2 California Low Carbon Fuel Standard In addition to RINs, carbon offset credits are also available through California’s Low Carbon Fuel Standard (LCFS) program. The LCFS market has become a healthy market with more transactions and higher values throughout the last seven years (see Figure 4) and is not anticipated to end until 2032. LCFS credits can be obtained in addition to RIN credits as long as the renewable fuel is contracted for sale to an Obligated Party with end use in California. City of Iowa City | CAAP Methane Recovery Feasibility Study Renewable Natural Gas as a Resource 7 Figure 4: California LCFS Market History 3.1.3 Requirements and Pathways A requirement to be aware of for both of these programs (RFS and LCFS) is that they are specifically renewable fuels for transportation programs. As such, the fuel must ultimately be used as a transportation fuel in order for the renewable attribute to be recognized. A renewable fuel producer is not required to explicitly find a transportation end user of the fuel it produces, however, at some point along the fuel supply pathway, it must be used as transportation fuel so that an Obligated Party can claim the RIN and/or the LCFS credit and meet its obligation with the EPA or with California. The production and sale of RNG and environmental attributes like RINs and/or LCFS occurs in two pathways; the physical pathway and the contractual pathway for the attributes. The physical pathway is the sale of the RNG by the producer to end user of the gas via the natural gas grid. The contractual pathway for the attributes is separate and handled by third party which verifies that the RNG is truly renewable and markets the attributes to Obligated Parties. Figure 5 illustrates the two pathways of RNG and RIN/LCFS sales. It is important to note that the molecules of natural gas don’t actually have to be used as vehicle fuel, but the physical pathway needs to be verified through the grid system. City of Iowa City | CAAP Methane Recovery Feasibility Study Renewable Natural Gas as a Resource 8 Figure 5: PhysRNG Value Considerations The value of RNG should take into account following: 1. The value of the RNG as natural gas based on the natural gas commodity market. 2. The value of environmental attributes obtained through the RFS (D3 or D5) 3. The value environmental attributes obtained through the LCFS. 4. The cost of compliance with the RFS and LCFS. 5. The cost of marketing the environmental attributes to Obligated Parties. Items 1-3 should be considered as ranges (low, median, high) to account for the variability in future market values. The biogas revenues at the WWTP need to be divided into D3 and D5 categories. The biogas produced in the anaerobic digesters handling municipal biosolids will produce D3, but biogas produced at the co-digestion facility will be D5, but may be eligible for LCFS depending on the carbon intensity score. Items 4 and 5 are included to reflect the cost of bringing the gas to market within the environmental attribute programs. The RFS is highly regulated, so market RIN values are typically reduced by 15% and the LCFS values by 15-30% to account for the third part cost of compliance and marketing the environmental attributes to Obligated Parties. The third parties are either gas marketing companies or the Obligated Parties themselves, and are typically selected by a Request for Proposal (RFP) process. The resulting contractual arrangement specifies the City’s share be based on either a fixed price or percentage of total revenue and the term of the agreement. The third party will qualify the RINs with EPA, qualify with California for LCFS credits, develop QA programs for certification, and administer the program. The City is then paid by the third party for both the natural gas commodity value and the associated renewable attributes based on a monthly or quarterly invoice. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 9 4 Description of Project Alternatives Three beneficial reuse alternatives were analyzed for current and future biogas generated at the WWTP and Landfill. For a complete and detailed assessment, please refer to the Biogas Utilization Alternatives Analysis Technical Memorandum previously provided by HDR, dated July 17, 2020. Recognizing synergy with another action in the City’s CAAP, Action Item 3.2 Increase Composting of Organics, HDR also considered impacts of diverting incremental volumes of food waste from the Landfill to the existing WWTP, a new, dedicated anaerobic digester, and expanded composting operations. The following is a description of each alternative. 4.1 Alternative 1: Natural Gas Pipeline Injection Biogas Utilization Alternative 1 assumes that the City purchases and operates equipment to condition the biogas to natural gas quality (RNG) for injection into the natural gas pipeline. To provide an interconnection point, the natural gas utility (MidAmerican Energy Company) would route a new pipeline from the existing natural gas distribution system to the City’s property. The City would be required to reimburse the utility for the cost of the connecting pipe, and also pay an annual pipeline usage fee. This pipeline usage fee is dependent on the amount of RNG injected into the natural gas pipeline by the City. Assuming natural gas quality meets the RFS Program, the City would sell RIN credits and surrender any downstream GHG emissions reductions that would be realized by the Obligated Party purchasing the credits. Alternative 1 is applicable to both the WWTP and Landfill, presented as alternatives 1a and 1b, respectively. 4.2 Alternative 2: Electricity Generation Biogas Utilization Alternative 2 assumes that biogas is conditioned and utilized in engine generators owned and operated by the City to produce renewable electricity. The electric power utility (MidAmerican Energy or Eastern Iowa Light & Power) would establish a connection to the grid, enabling the City to sell the renewable power. The City would be required to reimburse the electric utility for all system upgrades required to accommodate the connection. Under this alternative, HDR assumes that the City’s contract with the electric power utility would allow the City to retain Renewable Energy Credits (RECs) to offset GHG emission associated with electricity use in their buildings and facilities. Alternative 2 is applicable to both the WWTP and Landfill, presented as alternatives 2a and 2b, respectively. 4.3 Alternative 3: WWTP Natural Gas Replacement Biogas Utilization Alternative 3 involves conditioning biogas to natural gas quality with the intent of using the RNG in place of the natural gas at the WWTP. Biogas would be conditioned to natural gas quality by equipment owned and operated by the City to be installed at the WWTP. The WWTP RNG produced will exceed the amount of natural gas used at the plant. As such, the City would need to either: find a use for the excess RNG produced, flare the excess gas, or the City would only condition the amount of biogas needed and the excess biogas would be flared. For this analysis, it was assumed that RNG production would be capped at 62,848 standard cubic feet per day. Alternative 3 is only applicable to the WWTP as natural gas is not consumed at the landfill. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 10 4.4 Alternative 4: Composting Alternative 4 consists of diverting organic waste that would typically be placed in the landfill to a new or expanded composting facility. Because the existing composting operation is at capacity, this alternative assumes the City would utilize existing owned-land and purchase equipment to expand composting capacity. This alternative is only relevant for the Low-Diversion scenario, further described in the section below. 4.5 Organics Diversion Scenarios Recognizing the synergy with the City’s goal to increase composting of organics, HDR evaluated the relative cost and GHG emissions impact for each of the four alternatives under three food waste diversion scenarios. HDR’s previous technical analysis determined the impact on future biogas generation quantity when some of the City’s organic matter is diverted from the Landfill for co-digestion or composting. The three organics diversion scenarios include: 1) No Organics Diversion. The No Organics Diversion scenario assumes that all organics material is disposed of in the Landfill (i.e. current operation). 2) 1,500 tons. The 1,500 tons scenario assumes that an additional 1,500 tons of food waste material will be diverted from the Landfill to the existing WWTP anaerobic digester each year. This quantity represents the current available capacity in the WWTP anaerobic digester; therefore, no additional digester capacity is required for this diversion scenario. This scenario is not applicable to composting, as the existing facility is operating at capacity. 3) Low-Diversion. The Low-Diversion scenario assumes that 20% of organic material (7,960 tons/year) currently disposed of at the Landfill is diverted to new anaerobic digesters or an expanded composting facility. For GHG emissions modeling purposes, HDR assumed that the additional diverted organic material is entirely comprised of food waste. The required anaerobic digester volume required for the Low-Diversion scenario is 1.4 million gallons (MG). For purposes of this study, HDR assumed that the new waste receiving station and standalone anaerobic digesters required to accept the additional diverted food waste would be located at the WWTP. A standalone digester facility for the diverted organic waste was assumed because the RIN credits for RNG produced in a municipal WWTP digester will have a higher value than those for RNG produced by a diverted waste digester. Additionally, the WWTP digester gas con tains high levels of siloxanes. It is beneficial to keep the two sources of biogas separated until the siloxanes are removed from the WWTP biogas. Over the course of the Study development, discussion with City staff supported retaining digester capacity within the existing complex to support municipal biosolids. Therefore, for a planning level, Feasibility Study, an independent system to support new low-diversion digesters is proposed. Implementation would include independent operation, and not an expansion of the existing digester facility. However, as the plan is refined, a more detailed evaluation and conceptual design should be conducted to further determine the best approach for the City. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 11 Figure 6: Organics Diversion A summary of the alternatives and diversion scenarios selected for the SROI analysis are listed in Table 1. Table 1: Summary of the Alternatives and Diversion Scenarios evaluated for Feasibility Alternative Description Facility Location Scenario Name Pipeline Injection (Alt. 1) Sell RIN credits, & no additional organics diversion WWTP Alt. 1a - ND Landfill Alt. 1b - ND Sell RIN credits, & 1,500 TPY organics diverted from landfill WWTP Alt. 1a - 1500 Div Landfill Alt. 1b - 1500 Div New AD facility, sell RIN credits, & 7,960 TPY organics diverted from landfill WWTP Alt. 1a - LD Landfill Alt. 1b - LD Electricity Generation (Alt. 2) No additional organics diversion WWTP Alt. 2a - ND Landfill Alt. 2b - ND 1,500 TPY organics diverted from landfill WWTP Alt. 2a - 1500 Div Landfill Alt. 2b - 1500 Div 7,960 TPY organics diverted from landfill WWTP Alt. 2a - LD Landfill Alt. 2b - LD Natural Gas Replacement (Alt. 3) No additional organics diversion WWTP Alt. 3 - ND 1,500 TPY organics diverted from landfill WWTP Alt. 3 - 1500 Div New AD facility, & 7,960 TPY organics diverted from landfill WWTP Alt. 3 - LD Expanded Composting (Alt. 4) 7,960 TPY organics diverted from landfill Compost Alt. 4 Some of the alternatives listed in Table 1 can be constructed as standalone alternatives. Additionally the alternatives can be constructed together in various combinations provided the same waste diversion scenario is followed. For example, Alternative 1b – NG Pipeline Injection at the Landfill may be constructed at the Landfill with no improvements at the WWTP. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 12 Alternatively, Alternative 1b could be selected for utilization of the biogas at the Landfill, with Alternative 2a (Electricity Generation) selected for biogas utilization at the WWTP. A more detailed explanation and associated matrix table of possible combination scenarios is included later under Section 5.1. 4.5.1 Impacts to Existing Wastewater Treatment Plant Implementation of anaerobic digestion for organics diversion can result in impacts to the existing WWTP. The diverted organics need to be incorporated into a mixture with a target feed total solids (TS) content of 6 percent. This requires the use of makeup water to create th e mixture in a receiving station. Typically, the makeup water is a combination of digester recycle and WWTP effluent. The total water feed rate into the digester is estimated near 90,000 gallons per day, and the makeup water stream would be small. A more important impact to the existing WWTP is the return stream from the diversion digester. After dewatering of the digested solids, some of the excess water must be returned to the plant as recycle. Digestion of organics results in the release of nutrients, ni trogen and phosphorus in the forms of ammonium and phosphate, respectively. After dewatering, the nutrients are divided between the solids and liquids residuals. A fraction of the nutrients would remain with the solids to their ultimate disposal (e.g. land application or landfilling). The remaining fraction is recycled with the liquid residuals to the WWTP. Recycled nutrients then consume part of the nitrification and nutrient removal capacities of the treatment facility. In addition, the carbon to nutrient ratio is skewed and biological nutrient removal becomes less favorable. This means that carbon addition may be needed to support biological nutrient removal. Further, liquid treatment capacity and cost must be reevaluated with potential increases to nutrient loading. Organic waste nutrient content varies considerably. The nitrogen content can vary between 5 and 50 percent of the TS, and the phosphorus content can vary between 1 and 10 percent of the TS. This analysis used typical food waste values of roughly 10 percent for nitrogen content and 5 percent for phosphorus for the analysis. The result is an additional 150 to 200 lb-N/d nitrogen load and an additional 30 to 50 lb-P/d phosphorus load estimated for the WWTP for every ton/d of organics diversion. In all, every 1 ton/d of diverted wastes results in a recycle containing between 2 and 3 percent of the WWTP’s nitrogen capacity. The Low-Diversion scenario is based on about 4 ton/d of organics diversion, which could use between 8 and 12 percent of the WWTP’s TKN capacity1. 4.6 Estimated Costs A detailed opinion of probable costs and opinion of O&M costs was developed for the No- Diversion scenario for each alternative. The No-Diversion scenario costs (gas conditioning system and electricity generation equipment) were then extrapolated to estimate costs for the two diversion scenarios for each alternative. For the Low-Diversion scenario, costs were added for a new anaerobic digester and waste receiving station. The estimated biogas quantities for each 1 Design TKN capacity of WWTP identified as 6,311 lb-N/d based on NPDES permit issued 05/01/2020 City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 13 scenario as a basis for the extrapolation. Equipment proposals were also obtained for the No-Diversion scenario for each alternative. Table 2 contains a summary of the capital and O&M costs for each alternative selected for the detailed SROI analysis. Table 2: Biogas Utilization Alternatives Summary Alternative Scenario Alternative Designation Opinion of Probable Construction Costs Opinion of Probable Annual O&M Costs 1a: WWTP NG Pipeline Injection No Diversion 1A - ND $8,600,000 $1,353,000 1,500 Ton/Year 1A - 1500 $10,800,000 $1,815,000 Low Diversion 1A - LD $41,400,000 $3,112,000 1b: Landfill NG Pipeline Injection No Diversion 1B - ND $29,200,000 $2,292,000 1,500 Ton/Year 1B - 1500 $29,000,000 $2,282,000 Low Diversion 1B - LD $28,000,000 $2,200,000 2a-2: WWTP Electricity Generation No Diversion 2A - ND $13,500,000 $1,067,000 1,500 Ton/Year 2A - 1500 $17,000,000 $1,432,000 Low Diversion 2A - LD $50,000,000 $2,538,000 2b-2: Landfill Electricity Generation No Diversion 2B - ND $20,500,000 $1,288,000 1,500 Ton/Year 2B - 1500 $20,300,000 $1,282,000 Low Diversion 2B - LD $19,600,000 $1,236,000 3: WWTP NG Replacement No Diversion 3 - ND $7,700,000 $867,000 1,500 Ton/Year 3 - 1500 $9,700,000 $1,163,000 Low Diversion 3 - LD $39,800,000 $2,136,000 4: Composting Low Diversion 4 $5,700,000 $495,000 4.7 Description of Impact Categories The effect of an alternative differs across the individual impact categories (individual economic and environmental benefits and/or costs) and depends on the design of the project alternative, site conditions where the project is implemented, and characteristics in the community. Estimation of benefits and costs from a project depends on the degree to which linkages can be quantified between alternatives and a benefit or cost, and then available economic literature to value this change. This section develops the general assumptions and inputs used in the SROI analysis framework and describes the impacts. 4.7.1 General Assumptions and Inputs The SROI analysis measures benefits and costs throughout a 30-year period of analysis from 2021 to through the year 2050 representing the GHG emissions reduction goal year in the City’s City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 14 CAAP. The methodology makes several important assumptions and seeks to avoid overestimation of benefits and underestimation of costs. Specifically: • Input prices are inflated to 2019 dollars; • The analysis period begins in 2021 and ends in 2050. It includes twenty-nine years of operations (2022-2050); and • A constant 3 percent real discount rate is assumed throughout the period of analysis. 4.7.2 Impact Categories Each of the evaluated impacts is discussed in detail in the following sections. The impacts are organized by their respective triple bottom line categorization (economic and environmental). 4.7.2.1 ECONOMIC IMPACTS Economic benefits include impacts that are created by the project after deducting the cost of all inputs, including the cost of the capital expenditures (CAPEX) and annual operations and maintenance (O&M) costs (lifecycle costs of the project alternatives). Economic benefits include value of RIN credits to the City. Additionally a non-monetary measure of economic efficiency includes energy return on investment. 4.7.2.1.1 Lifecycle Costs Lifecycle costs include CAPEX and annual O&M for each alternative. The costs are estimated as a 30 year life-cycle costs as shown below in the S&L diagram. Figure 7: Lifecycle Cost Structure and Logic Diagram. Capital Costs ($ / yr) O&M Costs ($ / yr) Dis count Ra te (%) Total Cos ts ($ / yr) Present Value of Total Costs ($) 4.7.2.1.2 RIN Credit Benefits RIN credits provide a potential unique revenue source to Alternative 1. RINs are the credits that the US Environmental Protection Agency (EPA) uses to track and enforce compliance with the renewable fuels mandates set by the federal RFS Program. The City may be able to generate and sell RIN credits to Obligated Parties by producing RNG from biogas and injecting it into the pipeline for blending with conventional, non-renewable natural gas. Figure 8 illustrates the value of RIN credits. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 15 Figure 8: RIN Credit Value Structure and Logic Diagram. RIN Credit Value ($/MMBTU)RNG Production (MMBTU/ Year) Dis count Ra te (%)Value of RIN Credits ($/Year) Present V alue of RIN Credits ($) The potential value of RIN credits beyond 2020 is shown below in Table 3. Based on this information and discussions between the City and HDR, the median D3 value ($16.18) was used in the SROI analysis for alternatives involving gas produced from the landfill. For alternatives located at the WWTP and food waste diversion scenarios the D5 value ($7.70) was used presuming the mix of a lesser quality gas. Table 3: Value of RIN Credits RIN and Carbon Market2 Units Value Most likely Low Median High Total for D3 + Commodity $/MMBTU $16.18 $8.20 $11.69 $25.15 Total for D5 + Commodity $/MMBTU $12.37 $5.71 $6.71 $9.70 Total for D5 + Commodity + LCFS $/MMBTU $7.70 $5.71 $11.69 $19.70 4.7.2.1.3 Renewable Electricity Production Revenue from electricity sales are assumed to be captured from both net metering and negotiated buyback agreements with MidAmerican Energy Company and Eastern Iowa Light and Power Cooperative. MidAmerican Energy Company (which supplies the electricity to the Iowa City Landfill) allows for net metering agreements for a facility nameplate generation capacity of up to 1 megawatt (MW) or 110% of its annual load. Credits from net metering agreements are paid out at the average locational marginal price (LMP) from the Midcontinent Independent System Operator (MISO) based on the generation profile of the resource. For energy produced beyond a nameplate capacity of 1 MW or 110% of its annual load, energy can be sold to MidAmerican Energy at a negotiated buyback rate. The Eastern Iowa Light and Power Cooperative allows for buyback agreements for facilities with a nameplate generation capacity exceeding 20 kilowatts (kW). Figure 9 illustrates the value of renewable electricity production. 2 HDR is NOT providing a revenue projection or analysis of financial feasibility of alternatives. Such projections are highly dependent on open market commodity pricing, political volatility, and local, state, and federal programs and policies. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 16 Figure 9: Renewable Electricity Production Value Structure and Logic Diagram Electricity Sales Rate ($/kWh) Renewable Electricity Production (kWh/Year) Discount Rate (%) Value of Rene wable Electricity Production ($/Year) Present Value of Renewable Electricity P roduction ($) Electricity production was monetized under the assumptions shown in Table 4. The landfill is assumed to export 110% of its 2019 electricity usage at the net metered rate offered by MidAmerican Energy Company, and any excess generation is monetized at the negotiated buyback rate. The wastewater treatment plant receives the Eastern Iowa Light and Power Cooperative avoided cost rate for all of its electricity generation. Table 4: Value of Renewable Electricity Production Electricity Sales Assumptions Units Value MidAmerican Energy Net Metering Rate ¢/kWh 2.6¢3 MidAmerican Energy Negotiated Buyback Rate ¢/kWh 2.6¢4 Eastern Iowa Light and Power Cooperative Avoided Cost Rate ¢/kWh 4.2¢5 2019 Iowa City Landfill Electricity Usage kWh 278,882 4.7.2.1.4 Value of Avoided Natural Gas Purchases The WWTP RNG produced will exceed the amount of natural gas used at the plant. As such, the City would need to either: find a use for the excess RNG produced, flare the excess gas, or the City would only condition the amount of biogas needed and the excess biogas would be flared. Production of RNG would prevent the facility from needing to purchase natural gas. For this analysis, it was assumed that RNG production would be capped at 62,848 standard cubic feet 3 The net metered rate is assumed to be a weighted average LMP based on 2019 hourly real-time LMP prices for the Illinois hub and the MISO load. Calculated based on data from Midcontinent Independent System Operator’s market reports. ***********.misoenergy.org/markets-and-operations/real-time--market-data/market-reports/#nt=. MISO historical load data was gathered from EnergyOnline from January 1, 2019 to December 31, 2019. **********.energyonline.com/Data/GenericData.aspx?DataId=17. 4 Negotiated buyback rate is assumed to be equivalent to the average LMP price calculated for the net metering rate. 5 Weighted average calculation based on Eastern Iowa Light and Power Cooperative’s posted avoided cost of generation during peak and off-peak hours. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 17 per day and valued at the delivered cost of natural gas at the facility assumed to be $3.166 per MMBtu. The value stream is shown in Figure 10. Figure 10: Renewable Natural Gas Value Structure and Logic Diagram Natural Gas Price ($/MMBtu) Renewable Natural G as Produced (MMBtu /Year) Discount Rate (%) Value of Rene wable Natural Gas Produced ($/Year) Present Value of Renewable Natural Gas Produce d ($) 4.7.2.1.5 Energy return on energy investment Energy return on energy investment is the ratio of the amount of usable energy delivered from a particular energy resource to the amount of energy used to obtain that energy resource as illustrated below. 퐸푅푂퐸퐼 = 퐸표 퐸푖 Where: Eo = Energy output Ei = Energy input The resulting ratio demonstrates the relative energy inputs necessary to produce the energy output for each alternative. The higher the EROEI, the greater the amount of energy that is yielded for the amount of energy produced. EROEI was estimated for each alternative except for Alternative 4, because composting does not generate energy. Energy output was based on the quantity of RNG produced or electricity generated. In addition to energy generated, HDR also factored in lifecycle energy use reduction using the USEPA Waste Reduction Model (WARM), which compares GHG emissions reductions and lifecycle energy savings from baseline and alternative waste management scenarios. HDR estimated change in lifecycle embodied energy by utilizing WARM to compare the baseline conditions to both 1,500 tons and Low-Diversion scenarios. Specifically, the output of the WARM model estimated the lifecycle energy use reduction by co-digesting or composting additional diverted food waste as compared to the baseline of landfilling this material. Because WARM is a lifecycle assessment tool, meaning impacts are estimated from cradle-to-grave, the estimated energy use reduction 6 Calculated based on natural gas delivered and delivery charges from the wastewater treatment plant’s bill for the month of October 2020. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 18 occurs outside of the City’s reporting boundary and would not be evident in annual GHG emissions inventories. Direct energy input is based on the parasitic load of new equipment installed for the purposes of generating RNG or electricity, and does not include base load energy use required to operate the WWTP and Landfill Facilities based on current conditions. Specifically, direct energy input includes the parasitic load of the biogas conditioning equipment and electric generators. All energy output and input measures were converted into million British thermal units (MMBtu) to allow a relative comparison of alternatives. Table 5 provides details on each energy output and input value. The resulting EROEI’s are presented in the results section of this report. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 19 Table 5: Estimated Energy Inputs for Each Alternative Alternative Description Location Alternative Energy Input Energy Output (Lifecycle Output + Lifecycle Energy Reduction) EROEI kW/hr1 lifecycle (MMBTU) RNG (scfm)2 kW- hr/day1 Lifecycle Output (MMBTU) Lifecycle Energy Reduction (MMBTU) Total Lifecycle Energy Output (MMBTU) Pipeline Injection WWTP Alt. 1a - ND 158 141,680 71 0 1,056,062 0 1,056,062 7.5 Alt. 1a - 1500 Div 243 217,901 95 0 1,417,070 0 1,497,046 6.9 Alt. 1a - LD 375 336,266 142 0 2,121,111 79,976 2,545,515 7.6 Landfill Alt. 1b - ND 1,145 1,026,733 541 0 8,096,474 424,404 8,096,474 7.9 Alt. 1b - 1500 Div 1,145 1,026,733 536 0 8,026,070 0 8,106,045 7.9 Alt. 1b - LD 1,145 1,026,733 515 0 7,710,000 79,976 8,134,404 7.9 Electricity Generation WWTP Alt. 2a - ND 305 273,497 0 10,915 407,816 424,404 407,816 1.5 Alt. 2a - 1500 Div 353 316,539 0 14,644 547,143 0 627,118 2.0 Alt. 2a - LD 650 582,862 0 21,921 819,033 79,976 1,243,437 2.1 Landfill Alt. 2b - ND 317 284,257 0 94,517 3,531,432 424,404 3,531,432 12.4 Alt. 2b - 1500 Div 317 284,257 0 93,695 3,500,720 0 3,580,696 12.6 Alt. 2b - LD 317 284,257 0 89,997 3,362,552 79,976 3,786,956 13.3 Natural Gas Replacement WWTP Alt. 3 - ND 158 141,680 71 0 653,776 424,404 653,776 4.6 Alt. 3 - 1500 Div 243 217,901 95 0 653,776 0 733,752 3.4 Alt. 3 - LD 650 582,862 142 0 653,776 79,976 1,078,180 1.8 Expanded Composting Compost Alt. 4 0 0 0 0 0 424,404 0 0.0 Notes: 1) The conversion from kw/hr to MMBTU is: kw/hr * 24 hours * 3,412.14 BTU per kW/hr * 365 days * 30 years divided by 1,000,000. 2) The conversion from scfm to MMBTU is: scfm * 1440 mins/day * 950 BTU per scfm natural gas * 365 days * 30 years divided by 1,000,000. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 20 4.7.2.2 ENVIRONMENTAL IMPACTS Environmental benefits include impacts that are valued based on the project’s change in natural resource quality or quantity. The environmental included in this analysis include the social cost of carbon measured by changes in the emissions of carbon dioxide equivalents (CO2e). 4.7.2.2.1 Social Cost of Carbon GHG Emissions Impact Assessment: HDR understands that a key driver for decision-making is understanding the relative GHG emissions impact associated with each alternative and making progress towards the City’s climate action goals. GHG emissions were estimated for each alternative included in the SROI analysis, and considered both direct and lifecycle impacts , as well as avoided emissions resulting from the beneficial reuse of biogas . Calculation methodologies align with best practices described in the Global Protocol for Community-Scale Greenhouse Gas Emission Inventories (GPC) and Local Government Operations Protocol (LGOP) for GHG assessment. These considerations are described below and cumulative GHG emissions impacts for each alternative are presented in Table 6. • Direct GHG emissions were based on the incremental emissions resulting from processes required to beneficially reuse biogas. Specifically, direct GHG emissions are based on the parasitic load of new equipment installed for the purposes of generating RNG or electricity, such as energy consumed by the biogas conditioning equipment and electric generators. It is important to note that direct emissions do not include base load energy use required to operate the WWTP and Landfill Facilities based on current conditions, rather, the Feasibility Study analyzes the incremental change from current operations. At the City’s direction, HDR assumed that there would not be a material change in transportation - related GHG emissions associated with diverting food waste for the 1,500 tons and Low- Diversion scenarios. Lastly, it should be noted that GHG emissions associated with combustion of biogas/RNG is considered biogenic (CO2(b)), and per the GPC, is to be reported separately outside of Scope 1, 2, and 3 GHG emission categories. Biogenic emissions are those related to the natural carbon cycle, as well as those resulting from the combustion, harvest, digestion, fermentation, decomposition or processing of biologically based materials. • Lifecycle GHG emissions were estimated using the EPA WARM, which compares GHG emissions reductions and lifecycle energy savings from baseline and alternative waste management scenarios. HDR estimated change in lifecycle embodied carbon by utilizing WARM to compare the baseline conditions to both 1,500 tons and Low-Diversion scenarios. Specifically, the output of the WARM model estimated the lifecycle energy use reduction by co-digesting or composting additional diverted food waste as compared to the baseline of landfilling this material. Because WARM is a lifecycle assessment tool, meaning impacts are estimated from cradle-to-grave, the estimated GHG emissions reduction occurs outside of the City’s reporting boundary and would not be evident in annual GHG emissions inventories. • Avoided GHG emissions were estimated based on the beneficial reuse of biogas, including pipeline injection, electricity generation, and natural gas displacement, assuming: o Biogas injected into the natural gas pipeline would be utilized to generate and sell RIN credits, ultimately being used as a renewable fuel for mobile source City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 21 combustion. RNG is a market driver for commercial fleets to transition away from conventional diesel trucks to compressed natural gas (CNG)/RNG alternate fueled-vehicles. GHG emission reductions were estimated using a diesel fuel emissions factor published by the EPA. o Biogas used to generate electricity would ultimately offset electricity generated by local electric power utilities (MidAmerican Energy or Eastern Iowa Light & Power). Emission factors were provided by the City. While MidAmerican Energy does have a public goal related to 100% of retail sales being served by renewable energy, this is not equivalent to a net zero carbon production goal. Absent of either electric utility having a publicly stated carbon emissions reduction goal, GHG emission reductions were estimated using the emission factor provided by the City, held constant for the study period. o Biogas used as onsite fuel at the WWTP would displace natural gas on a 1:1 unit basis. GHG emission reductions were estimated using a natural gas emissions factor published by the EPA. City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 22 Table 6: Estimated GHG Emissions Alternative Description Location Alternative Change in Landfill GHG Inventory Parasitic energy load Change in biological treatment inventory Beneficial reuse GHG benefit Change in Net Embodied Carbon (EPA WARM) Total Annual Change in CO2e Metric Tons Pipeline Injection WWTP Alt. 1a - ND 0 666 0 -2,017 0 -1,351 Alt. 1a - 1500 Div 1,027 0 27 -2,707 -941 -2,594 Alt. 1a - LD 1,585 0 144 -4,052 -4,996 -7,318 Landfill Alt. 1b - ND 0 4,840 0 -32,190 0 -27,350 Alt. 1b - 1500 Div 0 4,840 0 -32,047 -941 -28,148 Alt. 1b - LD 0 4,840 0 -30,903 -4,996 -31,059 Electricity Generation WWTP Alt. 2a - ND 0 1,289 0 -1,922 0 -633 Alt. 2a - 1500 Div 1,492 0 27 -2,579 -941 -2,001 Alt. 2a - LD 2,748 0 144 -3,861 -4,996 -5,965 Landfill Alt. 2b - ND 0 1,340 0 -16,647 0 -15,307 Alt. 2b - 1500 Div 0 1,340 0 -13,282 -941 -12,884 Alt. 2b - LD 0 1,340 0 -15,851 -4,996 -19,507 Natural Gas Replacement WWTP Alt. 3 - ND 0 666 0 -2,030 0 -1,363 Alt. 3 - 1500 Div 0 1,027 27 -4,076 -941 -3,963 Alt. 3 - LD -7,221 144 2,748 -4,076 -4,996 -13,401 Expanded Composting Compost Alt. 4 -7,221 0 0 722 -5,670 -12,169 City of Iowa City | CAAP Methane Recovery Feasibility Study Description of Project Alternatives 23 Value of GHG Emissions: Scientific studies in the United States and internationally have widely concluded that GHG emissions are closely linked with climate change, a condition that has been determined to lead to future economic impacts from more extreme weather events and damaging conditions on coasts. The impact is estimated from the change in energy production and net embodied carbon in each of the waste diversion scenarios. In alternatives of 1A and 1B (pipeline injection), RIN credits are counted as an economic benefit and the environmental attributes would therefore be sold to Obligated party who purchases the RIN credits. As such, the value of the social cost of carbon (SCC) is not counted for the associated changes in GHG emissions to avoid double counting. GHG impacts were estimated using: • EPA WARM model for the change in metric tons of CO2e from embodied carbon in the waste stream; • an electricity conversion factor (converts megawatt hours to tons of pollution for each emission type); and • a cost of emission (monetizes the impact). The logic for the estimating impacts of changes in GHG emissions is illustrated in Figure 11. Figure 11: GHG Emissions Structure and Logic Diagram. Parasitic Energy Consumption (kWh / yr) GHG Emiss ions Rate (tons / kWh) Dis count Ra te (%) Net Change in GHG (tons / yr) Pre sent Value of Total Costs ($) Net Embodied GHG E missions - EPA WARM Model (tons / yr) Emissions Reduction Biogas Reuse (tons / yr) Economic Value of GHG – Social Cost of Carbon ($ / ton) Net GHG SCC ($ / yr) For CO2e; the value from the Interagency Working Group on the Social Cost of Carbon (IWGSCC) was used in the analysis. This value is then escalated annually at 2% using rates derived from the Federal Interagency Working Group on Social Cost of Carbon. All values are in 2019 US dollars per ton. Table 7: Social Costs of GHG Emissions GHG Emissions Unit Value Source CO2e $/Ton $46 IWGSCC (2013) City of Iowa City | CAAP Methane Recovery Feasibility Study Summary Economic, and Environmental Impacts of Alternatives 24 5 Summary Economic, and Environmental Impacts of Alternatives The evaluation of economic and environmental impacts considered a time horizon or study period, which includes project development (construction and implementation) and 29 years of operation and benefit. This extends to 2050 and aligns with the planning horizon of the City’s CAAP. Costs and benefits have been converted to present value using a 3% discount factor. Total benefits and costs are compared using a benefit to cost ratio (BCR), benefits divided by costs. BCR’s exceeding 1.0 indicate that the benefits from the alternative exceed the costs of the in vestment over a 30 year period. Results are shown below in Table 8. Consideration should be given to the implementation schedule of alternatives and potential for a phased approach. Revising the economic framework to account for a phasing of projects over 5-10 years would affect all of the alternatives equally and would not change the overall ranking or comparison of the alternatives. Furthermore, there is limited impact to the capital and O&M cost considerations as long as the period of study remains over 30-years. The more significant cost impacts are observed with a minimum delay of 8-10 years out of the study period. A number of implementation scenarios are possible, but the CIP planning impact is often similar from a planning perspective. Table 8: Summary of Monetary Benefits and Costs ($ Millions, 2019) Alternative Description Location Alternative Total Cost Total Social Cost of Carbon Total Value for RIN Credit and Energy Revenues Total Benefit Benefit -Cost Ratio Pipeline Injection WWTP Alt. 1a - ND $35.92 $1.67 $5.48 $7.15 0.20 Alt. 1a - 1500 $47.44 $3.21 $7.35 $10.56 0.22 Alt. 1a - LD $104.23 $18.01 $23.09 $41.10 0.39 Landfill Alt. 1b - ND $75.47 $33.87 $88.14 $122.01 1.62 Alt. 1b - 1500 $75.07 $34.86 $87.37 $122.23 1.63 Alt. 1b - LD $72.42 $38.46 $83.93 $122.39 1.69 Electricity Generation WWTP Alt. 2a - ND $35.04 $0.78 $1.58 $1.91 0.05 Alt. 2a - 1500 $45.91 $2.48 $2.71 $4.41 0.10 Alt. 2a - LD $101.24 $16.33 $2.77 $18.31 0.18 Landfill Alt. 2b - ND $46.50 $18.96 $27.16 $35.23 0.76 Alt. 2b - 1500 $46.18 $15.95 $26.91 $32.08 0.69 Alt. 2b - LD $44.55 $24.16 $25.75 $39.58 0.89 Natural Gas Replacement WWTP Alt. 3 - ND $25.20 $1.69 $1.09 $2.78 0.11 Alt. 3 - 1500 $33.18 $3.23 $0.93 $4.16 0.13 Alt. 3 - LD $82.92 $16.60 $0.15 $16.75 0.20 Expanded Composting Compost Alt. 4 $15.69 $15.07 $0.00 $15.07 0.96 City of Iowa City | CAAP Methane Recovery Feasibility Study Summary Economic, and Environmental Impacts of Alternatives 25 The results show that only Alternative 1b (landfill natural gas) has benefits that exceed the costs. The highest BCR is Alternative 1b – Low-Diversion. This alternative ranks highest on total lifecycle CO2e emission reductions, and when combined with the value of RIN credits results in the greatest economic benefits. However, the City should be aware that the CO2e emission reduction when RINs are sold to an Obligated Party will occur outside of the City’s municipal and community-scale GHG inventories. This alternative has the sixth highest cost of the 15 alternatives presented. The net result, of Alternative 1b, is a BCR of 1.69 dollars of benefit per dollar of cost invested. A sensitivity test was conducted to test the impact of key monetary values (RIN credits and SCC values) on the ranking of the alternatives. Changing the value of the SCC was found to have no effect in ranking as the value influences all of the alternatives equally. Conversely, the RIN credit value only affects the BCR of pipeline injection alternative (Alternative 1) and would have an impact on alternative ranking. The sensitivity analysis showed that the realized RIN credit value would need to be below $6.00 per MMBTU, or 5% greater than the low value of D5 RIN credits shown Table 3 for the BCR ranking of alternatives to change. Perhaps as important for consideration in CAAP are non-monetary considerations. The non- monetary metrics (EROEI and lifecycle change in CO2e emissions) are shown in Table 9. Perhaps the most important measure related to CAAP action objectives is CO2e reductions. All of the alternatives result in a net reduction in CO2e over the next 30 years. Alternative 1b – Low- Diversion results in the greatest net reduction. Table 9: Summary of Non-Monetary Impacts Alternative Description Location Alternative Lifecycle Change in CO2e Emissions Lifecycle EROEI Pipeline Injection WWTP Alt. 1a - ND 40,500 6.9 Alt. 1a - 1500 77,800 7.9 Alt. 1a – LD 436,200 7.9 Landfill Alt. 1b - ND 820,500 7.5 Alt. 1b - 1500 844,500 7.6 Alt. 1b - LD 931,800 7.9 Electricity Generation WWTP Alt. 2a - ND 19,000 2.0 Alt. 2a - 1500 60,000 12.4 Alt. 2a - LD 395,600 13.3 Landfill Alt. 2b - ND 459,200 1.5 Alt. 2b - 1500 386,500 2.1 Alt. 2b - LD 585,200 12.6 Natural Gas Replacement WWTP Alt. 3 - ND 40,900 4.6 Alt. 3 - 1500 78,300 3.4 Alt. 3 - LD 252,200 1.8 Expanded Composting Compost Alt. 4 365,100 0.0 City of Iowa City | CAAP Methane Recovery Feasibility Study Summary Economic, and Environmental Impacts of Alternatives 26 Finally, all alternatives, except for composting, result in an EROEI of 1.0 or greater. Incremental composting of food waste does not generate energy . Opposite of the economic and GHG measures, Alternative 2a (WWTP Electricity Generation) – Low-Diversion ranks highest on EROEI. Meanwhile Alt 1b – Low-Diversion is ranked 5th on EROEI. The overall ranking of the alternatives for the monetary (BCR) and the two non-monetary results are shown below in Table 10. Table 10: Summary and Ranking of Monetary and Non-Monetary Results Alternative Description Location Alternative GHG Reduction GHG Rank EROEI EROEI Rank BCR BCR Rank Pipeline Injection WWTP Alt. 1a - ND 40500 15 6.9 9 0.20 11 Alt. 1a - 1500 77800 12 7.9 6 0.22 9 Alt. 1a - LD 436200 6 7.9 4 0.39 8 Landfill Alt. 1b - ND 820500 3 7.5 8 1.62 3 Alt. 1b - 1500 844500 2 7.6 7 1.63 2 Alt. 1b - LD 931800 1 7.9 5 1.69 1 Electricity Generation WWTP Alt. 2a - ND 19000 16 2.0 13 0.05 16 Alt. 2a - 1500 60000 13 12.4 3 0.10 15 Alt. 2a - LD 395600 8 13.3 1 0.18 12 Landfill Alt. 2b - ND 459200 5 1.5 15 0.76 6 Alt. 2b - 1500 386500 9 2.1 12 0.69 7 Alt. 2b - LD 585200 4 12.6 2 0.89 5 Natural Gas Replacement WWTP Alt. 3 - ND 40900 14 4.6 10 0.11 14 Alt. 3 - 1500 78300 11 3.4 11 0.13 13 Alt. 3 - LD 402000 7 1.8 14 0.20 10 Expanded Composting Compost Alt. 4 365100 10 0.0 16 0.96 4 City of Iowa City | CAAP Methane Recovery Feasibility Study Summary Economic, and Environmental Impacts of Alternatives 27 5.1 Findings and Insights To make recommendations for actions under 3.7 and 3.8, the monetary and non-monetary results are combined into a weighted score as shown below in Table 11. Each result was converted to an index (1 to 0). The indexed results were then weighted equally into a total score with a maximum value of 1. Table 11: Indexed and Weighted Scores for each Alternative Alternative Description Location Alternative GHG Reducti on EROEI BCR Total Score Rank Pipeline Injection WWTP Alt. 1a - ND 0.01 0.17 0.04 0.23 13 Alt. 1a - 1500 0.03 0.20 0.04 0.27 11 Alt. 1a - LD 0.16 0.20 0.08 0.43 6 Landfill Alt. 1b - ND 0.29 0.19 0.32 0.80 3 Alt. 1b - 1500 0.30 0.19 0.32 0.81 2 Alt. 1b - LD 0.33 0.20 0.33 0.86 1 Electricity Generation WWTP Alt. 2a - ND 0.01 0.05 0.01 0.07 16 Alt. 2a - 1500 0.02 0.31 0.02 0.35 7 Alt. 2a - LD 0.14 0.33 0.04 0.51 5 Landfill Alt. 2b - ND 0.16 0.04 0.15 0.35 8 Alt. 2b - 1500 0.14 0.05 0.14 0.33 9 Alt. 2b - LD 0.21 0.32 0.18 0.70 4 Natural Gas Replacement WWTP Alt. 3 - ND 0.01 0.12 0.02 0.15 14 Alt. 3 - 1500 0.03 0.08 0.02 0.14 15 Alt. 3 - LD 0.14 0.05 0.04 0.23 12 Expanded Composting Compost Alt. 4 0.13 0.00 0.19 0.32 10 As noted previously, the Alternative 1b-LD (Landfill RNG Pipeline Injection) – Low-Diversion has the highest BCR. It also has the highest GHG reduction over 30 years. This is driven by the assumption that biogas injected into the natural gas pipeline would be utilized to generate and sell RIN credits, ultimately being used as a renewable fuel for mobile source combustion. Further, RNG is a market driver for commercial fleets to transition away from conventional diesel trucks to compressed natural gas (CNG)/RNG alternate fueled-vehicles. However, the City should be aware that when RINs are sold to an Obligated Party, the CO2e emission reduction will occur outside of the City’s municipal and community-scale GHG inventories. Opposite of the economic and GHG impacts, Alternative 2a (WWTP Electricity Generation) – Low-Diversion ranks highest on EROEI. Meanwhile Alternative 1b – Low-Diversion is ranked 5th on EROEI. Based on the indexing and weighting exercise, Alternative 1b (Landfill Natural Gas) – Low- Diversion has the highest score (0.86). Alternative 1b (landfill natural gas) – 1500 ton diversion is ranked second. Alternative 1b (landfill natural gas) – No-Diversion is ranked third. Again, CO2e emission reduction associated with pipeline injection and used as a renewable fuel will occur outside of the City’s municipal and community-scale GHG inventories. City of Iowa City | CAAP Methane Recovery Feasibility Study Summary Economic, and Environmental Impacts of Alternatives 28 If the City is instead focused on reductions that will be reflected in its municipal and community - scale GHG emission inventory, then evaluation should be narrowed to focus on Alternatives 2 (Electricity Generation) and 3 (Natural Gas Replacement). While electricity generated at the WWTP or Landfill (2a and 2b, respectively) could very well be pushed to the power grid, contractual agreements with local utilities could allow the City to retain and retire REC s for GHG accounting purposes. Specifically, RECs could be applied to the City’s Scope 2 market-based GHG inventory. Using RNG to displace natural gas use at the WWTP would result in lower Scope 1 GHG emissions. Focused on these two alternatives, Alternative 2b – Low-Diversion is ranked highest (fourth overall), followed by Alternatives 2a – Low-Diversion and 2a – 1500. These alternatives are ranked 4, 5 and 7 overall. If total GHG emissions reduction is the ultimately priority, Alternatives 1b (Landfill Pipeline Injection) offers the greatest potential, simply due to the volume of biogas generation and associated potential for renewable electricity generation. Finally, biogas utilization alternatives can be combined together with others, and some can be incorporated as standalone projects (as shown in Table 12). Table 12: Potential Biogas Utilization Alternatives Combinations There are 18 unique possible combinations of alternatives, Table 12 has been developed to more appropriately showcase combinations and the “diversion lanes” in which decisions would need to be maintained with a decision. Boxes with blue numbering indicate individual alternative scenarios NG Pipeline Injection Electricity Generation NG Pipeline Injection Electricity Generation NG Pipeline Injection Electricity Generation Alt 1b-ND Alt 2b-ND Alt 1b-1500 Alt 2b-1500 Alt 1b-LD Alt 2b-LD 0 0.80 0.35 0.81 0.33 0.86 0.70 NG Pipeline Injection Alt 1a-ND 0.23 1.02 0.58 Electricity Generation Alt 2a-ND 0.07 0.87 0.42 NG Replacement Alt 3-ND 0.15 0.95 0.50 NG Pipeline Injection Alt 1a-1500 0.27 1.08 0.60 Electricity Generation Alt 2a-1500 0.35 1.16 0.68 NG Replacement Alt 3-1500 0.14 0.95 0.47 NG Pipeline Injection Alt 1a-LD 0.43 1.30 1.13 Electricity Generation Alt 2a-LD 0.51 1.37 1.21 NG Replacement Alt 3-LD 0.23 1.09 0.93 Landfill Location No Diversion 1500 ton/yr Diversion Low Diversion Do Nothing Weighted and Indexed Performance Indicators Total Score, inclusive of: GHG Reduction, EROI, and BCR Do Nothing City of Iowa City | CAAP Methane Recovery Feasibility Study Summary Economic, and Environmental Impacts of Alternatives 29 at either the Landfill or at the WWTP. The boxes are also color coded in a “heat map” format, to show the overall ranking of the individual scenarios. The individual alternatives can be combined together, but must be done so following the same waste diversion scenario from the Landfill. When combining the alternatives the scores from the Landfill and WWTP alternatives can be added together to identify the best combination of actions under each of the waste diversion scenarios. From Table 11 above, the higher the score the better the alternative. The highest scored alternatives are: Alternative 1b – NG Pipeline Injection landfill alternatives for each of the No-Diversion, 1500 ton diversion, and Low-Diversion scenarios. Identifying the best combination of actions works as follows: select the highest scored alternative from the desired waste diversion scenario (shown to be from the Alternative 1b – NG Pipeline Injection landfill alternatives) then work down the column (or “diversion lane”) to the desired combination scenario. In the case of combining with Alternative 2a – Electricity Generation at the WWTP, a resulting combined score of 1.16. As capital costs are also additive, consideration should be given to the seemingly minor weighted score differential. In the example of combined Alt 1b-1500 with Alt 2a-1500, there is an estimated $6.2M savings to select Alt 1b-1500 with Alt 1a-1500. 5.1.1 Path Forward HDR recognizes that incremental food waste diversion is not an instantaneous process, but the SROI analysis provides an assessment of the resulting impact when achieved. This Report provides decision tools to support the City’s further consideration and decision making. Consequently, the City might consider the following path forward to further evaluate and implement the preferred alternative(s): i. City decision on desired diversion scenario and methane utilization at the WWTP to narrow the field of alternatives. (0-6 months) ii. Further technical analysis to develop organics management strategies to achieve a targeted diversion scenario and further evaluate life cycle costs of co-digestion (if desired) and biogas utilization to generate electricity or RNG. Consideration of impacts to planned digester rehab project. (3-6 months) iii. Conceptual Design Development of the selected alternative(s), providing basis of design parameters and implementation planning. (3-6 months) iv. Detailed Design Development. (TBD) v. Bidding and Construction. (TBD) It may be prudent for the City to complete items i) and ii) within the next 6-months for capital planning purposes. City of Iowa City | CAAP Methane Recovery Feasibility Study References: 30 6 References: City of Iowa City (2018), Climate Action and Adaptation Plan, https://www.icgov.org/project/climate-action. City of Iowa City (2019), City Resolution 19-218, https://www.icgov.org/project/climate-action. City of Iowa City, (2020), Accelerating Iowa City’s Climate Action Plan, https://www.icgov.org/project/climate-action. Clinton Global Initiative, (2007), https://www.clintonfoundation.org/clinton-global- initiative/commitments/creating-sustainable-return-investment-sroi-tool. Interagency Working Group on Social Cost of Carbon (IWGSCC), United States Government. (2010). Technical Support Document: Social Cost of Carbon for Regulatory Impact Analysis Under Executive Order 12866. U.S. Environmental Protection Agency (2019). Environmental Protection Agency Waste Reduction Model (WARM) version 15. https://www.epa.gov/warm/versions-waste- reduction-model-warm#15. City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix A A Appendix A Low-Diversion Scenario Digester Costs Costs Hauled Waste Receiving Station $2,960,000 Anaerobic Digester (1.4 MG)$18,325,000 Sludge Dewatering and Storage $4,990,000 $26,300,000 General O&M - Parts, Labor, Electricity 1.5% of capital subtotal $394,500 $394,500 Low Diversion Scenario (20% Diversion) - New Anaerobic Digester Complex Capital Cost Total Adjusted Base Bid with Installation Annual O&M Cost Annual O&M Costs OPINION OF PROBABLE CONSTRUCTION COSTS City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B B Appendix B Financial Proforma – Breakeven Analysis City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B - Memo | Financial Proforma - Breakeven Analysis 1 Appendix B - Memo Date: Wednesday, December 23, 2020 Project: CAAP Methane Recovery Feasibility Study (HDR #10203725) To: City of Iowa City (PM – Joseph Welter) From: HDR (PM – Morgan Mays; Marcella Thompson; Serguei Kouznetsov; Jeremy Cook) Subject: Financial Proforma - Breakeven Analysis Building on the Sustainable Return on Investment (SROI) and the Energy Return on Energy Invested (EROEI) analysis performed by HDR, a high-level breakeven financial analysis was performed for each of the options identified in the Final Feasibility Report. The financial analysis examines the impact of cash flows to Iowa City (the City) to compare the revenues (inflows) and costs (outflows). The purpose of the analysis was to identify the length of time for each alternative to break-even. This memorandum outlines the cash flows evaluated, key assumptions, and the results of the analysis. Key Assumptions The financial analysis examined revenue streams for the various alternatives. For the pipeline injection alternatives, the revenue is derived from the Renewable Identification Number (RIN) credits under the Renewable Fuel Standard Program. For the electricity generation alternatives, the revenue is derived from electricity sales through an agreement with the utilities and Renewable Energy Credits (RECs). For natural gas replacement alternatives, revenue or rather savings are derived from avoided natural gas purchases. Revenue from electricity sales are assumed to be captured from both net metering and negotiated buyback agreements with MidAmerican Energy Company and Eastern Iowa Light and Power Cooperative. MidAmerican Energy Company (which supplies the electricity to the Iowa City Landfill) allows for net metering agreements for a facility nameplate generation capacity of up to 1 megawatt (MW). Credits from net metering agreements are paid out at the average locational marginal price (LMP) from the Midcontinent Independent System Operator (MISO) based on the generation profile of the resource. For energy produced beyond a nameplate capacity of 1 MW, energy can be sold to MidAmerican Energy at a negotiated buyback rate. The Eastern Iowa Light and Power Cooperative allows for buyback agreements for facilities with a nameplate generation capacity exceeding 20 kilowatts (kW). RECs are earned for each megawatt-hour (MWh) of electricity generated. For the purposes of this analysis, an average LMP of 2.6¢1 per kilowatt- hour (kWh) was calculated based on the 2019 LMP prices for the Illinois hub and the 2019 1 Real time LMP prices gathered from Midcontinent Independent System Operator (MISO)’s historical LMPs for real-time markets from January 1, 2019 to December 31, 2019. ***********.misoenergy.org/markets-and-operations/real-time--market-data/market-reports/#nt=. MISO historical load data was gathered from EnergyOnline from January 1, 2019 to December 31, 2019. **********.energyonline.com/Data/GenericData.aspx?DataId=17. City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B - Memo | Financial Proforma - Breakeven Analysis 2 MISO load. This was assumed to be the price paid per kWh for MidAmerican Energy’s net metering agreements. It was also assumed that the negotiated buyback rate for electricity generation in excess of 1 MW was equivalent to the average LMP price of 2.6¢ per kWh. Eastern Iowa Light and Power Cooperative posts its avoided cost of generation during peak and off-peak hours online from which a weighted average rate of 4.2¢ per kWh was calculated for energy sales from the wastewater treatment plant. Renewable energy credits were monetized at an average rate of $17 per MWh based on the latest auction prices of $16.93 per MWh in and the approximate band of prices over the past couple of years (see figure below). The analysis assumed that prices would remain at that price for the full 30 years of the analysis. Figure 1: Historical Auction Prices for Renewable Energy Credits2 As mentioned in the main report, the WWTP RNG produced will exceed the amount of natural gas used at the plant. As such, the City would need to either: find a use for the excess RNG produced, flare the excess gas, or the City would only condition the amount of biogas needed 2 California Air Resources Board. California and Quebec Carbon Allowance Prices, December 4, 2020. ********ww2.arb.ca.gov/sites/default/files/2020-09/carbonallowanceprices_0.pdf. City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B - Memo | Financial Proforma - Breakeven Analysis 3 and the excess biogas would be flared. For this analysis, it was assumed that RNG production would be capped at 62,848 standard cubic feet per day and valued at the delivered cost of natural gas at the facility assumed to be $3.16 per MMBtu. Results High level results of the financial analysis are presented in the tables below. Projects were assumed to be bonded at a 3% interest rate and the breakeven term represents the minimum financing term that would be needed for the project to break even financially. Many alternatives have a payback term that is longer than 30 years, making them infeasible without grant funding support. Table 1: Lifecycle Financial Breakeven Analysis Results, Millions of 2019$ Alternative Description Location Alternative Total Cost Total Financial Benefit Project NPV (3% bond rate) Financial Breakeven Term Pipeline Injection WWTP Alt. 1a - ND $35.92 $5.48 -$30.44 N/A Alt. 1a - 1500 Div $47.44 $7.35 -$40.10 N/A Alt. 1a - LD $104.23 $23.09 -$81.14 N/A Landfill Alt. 1b - ND $75.47 $88.14 $12.67 17.9 years Alt. 1b - 1500 Div $75.07 $87.37 $12.30 18.0 years Alt. 1b - LD $72.42 $83.93 $11.52 18.2 years Electricity Generation WWTP Alt. 2a - ND $35.04 $1.58 -$33.47 N/A Alt. 2a - 1500 Div $45.91 $2.71 -$43.21 N/A Alt. 2a - LD $101.24 $2.77 -$98.47 N/A Landfill Alt. 2b - ND $46.50 $27.16 -$19.34 N/A Alt. 2b - 1500 Div $46.18 $26.91 -$19.28 N/A Alt. 2b - LD $44.55 $25.75 -$18.81 N/A Natural Gas Replacement WWTP Alt. 3 - ND $25.20 $1.09 -$24.11 N/A Alt. 3 - 1500 Div $33.18 $0.93 -$32.25 N/A Alt. 3 - LD $82.92 $0.15 -$82.77 N/A Expanded Composting Compost Alt. 4 $15.69 $0.00 -$15.69 N/A Table 2: Annual Financial Breakeven Analysis Results Alternative Description Location Alternative Annual Debt Service on Capital Costs Annual Operating Costs Annual Revenues/ Savings Net Annual Financial Impact Pipeline Injection WWTP Alt. 1a - ND $0.44 $1.35 $0.27 -$1.52 Alt. 1a - 1500 Div $0.55 $1.82 $0.36 -$2.00 Alt. 1a - LD $2.11 $3.11 $1.14 -$4.08 Landfill Alt. 1b - ND $1.49 $2.29 $4.37 $0.58 Alt. 1b - 1500 Div $1.48 $2.28 $4.33 $0.57 Alt. 1b - LD $1.43 $2.20 $4.16 $0.53 WWTP Alt. 2a - ND $0.69 $1.07 $0.08 -$1.68 City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B - Memo | Financial Proforma - Breakeven Analysis 4 Alternative Description Location Alternative Annual Debt Service on Capital Costs Annual Operating Costs Annual Revenues/ Savings Net Annual Financial Impact Electricity Generation Alt. 2a - 1500 Div $0.87 $1.43 $0.13 -$2.17 Alt. 2a - LD $2.55 $2.54 $0.14 -$4.95 Landfill Alt. 2b - ND $1.05 $1.29 $1.35 -$0.99 Alt. 2b - 1500 Div $1.04 $1.04 $1.33 -$0.74 Alt. 2b - LD $1.00 $1.24 $1.28 -$0.96 Natural Gas Replacement WWTP Alt. 3 - ND $0.39 $0.87 $0.05 -$1.21 Alt. 3 - 1500 Div $0.49 $1.16 $0.05 -$1.61 Alt. 3 - LD $2.03 $2.14 $0.01 -$4.16 Expanded Composting Compost Alt. 4 $0.29 $0.50 $0.00 -$0.79 Given that many of the alternatives do not generate enough financial benefits to break even in a reasonable time frame, the HDR team considered whether grant funding support could make the project feasible. The table below presents the minimum amount of grant funding required for each project to break even within specific time frames. Since grant funding is used to support up-front project capital costs, amounts above the initial capital costs are highlighted in red as not feasible. Amounts in green are feasible with the specified amount of grant funding. Table 3: Grant Funding Support Necessary for Projects to Break Even Alternative Description Location Alternative Initial Project Capital Cost Baseline Financial Breakeven Term Grant Funding Support to Break Even within 30 Years Pipeline Injection WWTP Alt. 1a - ND $8.60 N/A $30.44 Alt. 1a - 1500 Div $10.80 N/A $40.10 Alt. 1a - LD $41.40 N/A $81.14 Landfill Alt. 1b - ND $29.20 17.9 years $0 Alt. 1b - 1500 Div $29.00 18.0 years $0 Alt. 1b - LD $28.00 18.2 years $0 Electricity Generation WWTP Alt. 2a - ND $13.50 N/A $33.47 Alt. 2a - 1500 Div $17.00 N/A $43.21 Alt. 2a - LD $50.00 N/A $98.47 Landfill Alt. 2b - ND $20.50 N/A $19.34 Alt. 2b - 1500 Div $20.30 N/A $19.28 Alt. 2b - LD $19.60 N/A $18.81 Natural Gas Replacement WWTP Alt. 3 - ND $7.70 N/A $24.11 Alt. 3 - 1500 Div $9.70 N/A $32.25 Alt. 3 - LD $39.80 N/A $82.77 Expanded Composting Compost Alt. 4 $5.70 N/A $15.69 City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B - Memo | Financial Proforma - Breakeven Analysis 5 In general, pipeline injection and electricity generation at the landfill are the only options that generate enough revenues to pay for the operating costs on an ongoing basis. Pipeline injection is feasible with bonding terms of about 18 years, while electricity generation would require around $19 million in grant funding support to be financially viable within 30 years. That said, the electricity generation revenues are currently limited by the net metering and buyback agreements in place. This analysis has assumed that MidAmerican Energy Company (which provides electricity to the Iowa City Landfill) will negotiate a buyback agreement similar to the LMP-based rates they offer under their net metering agreement. However, if the City were able to negotiate a higher rate, it could make the alternatives financially viable. Specifically, an electricity sales rate of 5.7¢ per kWh would make all three of the alternatives financially viable within the 30-year time frame. Grant Funding A few federal and state grant programs could potentially be leveraged to reduce the City’s financial contribution and make the alternatives financially viable. The table below summarizes a few options based on literature review of the biggest programs which have had funding cycles within the past year. Table 4: Grant Funding Opportunities Program Administrator Funding Program Eligible Applicants Eligibility Requirements Funding Federal Programs US Department of Energy Office of Energy Efficiency and Renewable Energy Bioenergy Technologies Multi-Topic FOA Individuals, entities, state or local governments, corporations, etc. Varies based on year. FY2020 included area of Waste to Energy Strategies for the Bioeconomy, focusing on projects addressing topics such as advanced preprocessing of feedstocks, conversion of wet wastes to energy and products, and synergistic integration of algal biomass technologies with municipal wastewater treatment for greater energy efficiencies and lower costs. 20% cost share required. Varies based on topic. Based on the FY20 grant application documentation, minimum award was $1,000,000 and maximum award for most topics was between $2,000,000 and $4,000,000. US Department of Agriculture Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program Individuals, entities, state or local governments, corporations, institutions, public power entities, etc. Must be for development and construction or retrofitting of a commercial scale biorefinery using an eligible technology for the production of advanced biofuels and biobased products. Majority of production must be an advanced biofuel. Maximum loan guarantee of 80% of project costs or $250 million. Term length of the lesser of 20 years or the useful life of the project. State Programs Iowa Energy Center Iowa Energy Center Grant Iowa businesses, colleges and universities, and private nonprofit agencies and foundations Projects must provide benefit to Iowa ratepayers and aid in one of the key focus areas of the Iowa Energy Plan: 1) technology-based research and development, 2) energy workforce development, 3) support for rural and underserved areas, 4) biomass conversion, 5) natural gas expansion in underserved areas, 6) electric grid Minimum award of $10,000, maximum award of $1,000,000. City of Iowa City | CAAP Methane Recovery Feasibility Study Appendix B - Memo | Financial Proforma - Breakeven Analysis 6 Program Administrator Funding Program Eligible Applicants Eligibility Requirements Funding modernization, 7) alternative fuel vehicles. Iowa Energy Center Alternate Energy Revolving Loan Program Businesses, individuals, water and wastewater utilities, rural water districts and sanitary districts Eligible technologies and resources include solar, wind, waste management, resource recovery, refuse-derived fuel, agricultural crops and residue, and wood burning, hydroelectric facility at a dam, energy storage, anerobic digestion, biogas, combined heat and power, wind repower. Facility must be in Iowa and be wholly owned by the borrower. Minimum loan of $25,000, up to 50% of eligible project costs. Maximum loan of $1,000,000 per project. Loans offered at 0% interest. Iowa Department of Natural Resources Solid Waste Alternatives Program Any unit of local government, public or private group, or individual Projects to reduce the amount of solid waste generated and landfilled in Iowa. Funds can be used for waste reduction equipment and installation, recycling, collection, processing or hauling equipment, purchase and installation of recycled content products. 25% cash match required. First $10,000 is eligible as a forgivable loan, next $50,000 is eligible as a zero-interest loan, and 3% loan on the remainder. Existing Facility Evaluation TM CAAP – Methane Recovery Feasibility Study Completed by HDR Engineering, Inc. on behalf of the City of Iowa City, to support the Climate Action and Adaptation Plan (CAAP) and the associated Action Items 3.7 and 3.8. Iowa City, Iowa March 20, 2020 City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 1 Table of Contents Facility Evaluation - Wastewater Treatment Plant ........................................................................ 3 Existing or Baseline Facility Conditions ..................................................................................... 3 Flows and Loads .................................................................................................................... 4 Solids Production Rates ........................................................................................................ 7 Digestion Process Configuration and Design ...................................................................... 10 Digestion Process Loading Rates ........................................................................................ 12 Electrical, Natural Gas, and Chemical Usage ...................................................................... 16 Future WWTP - Facility Conditions ...................................................................................... 17 Facility Evaluation – Iowa City Landfill ........................................................................................ 21 Existing Landfill Overview ....................................................................................................... 21 Composting Overview ............................................................................................................. 21 Landfill Gas Collection and Control System ............................................................................ 22 Landfill Gas System Operations and Maintenance .............................................................. 23 Existing Landfill Gas System Deficiencies ........................................................................... 23 Historical Landfill Gas System Recovery ................................................................................ 24 Landfill Gas System Expansion Planning ............................................................................ 24 Conclusion ........................................................................................................................... 25 Table of Figures Figure 1. Influent Flow Rate .......................................................................................................... 5 Figure 2. Influent cBOD5 and TSS Loads ..................................................................................... 5 Figure 3. Influent TKN and TP Loads ........................................................................................... 6 Figure 4. Primary Sludge Flow Rates ........................................................................................... 7 Figure 5. Secondary Solids (WAS and TWAS) Flow Rates .......................................................... 8 Figure 6. Combined Solids (Primary and Secondary - Raw solids) Flow to Digesters ................. 9 Figure 7. Solids Loads – Primary Solids, Secondary Solids, and Digester Feed.......................... 9 Figure 8. Digestion Process Flow Scheme – Spring 2020 Operation ......................................... 10 Figure 9. Digestion Process Flow Scheme – Normal Operation ................................................. 10 Figure 10. Minimum Number of Digesters Required per Sludge Flow (peak 15-day rolling average) – from Iowa City WWTP O&M Manual ........................................................................ 11 Figure 11. Digestion Process Hydraulic Retention Times (HRTs) .............................................. 12 Figure 12. Digestion Process Volatile Solids (VS) Loading Rates .............................................. 13 Figure 13. BioWin™ Iowa City Anaerobic Digestion – Process Flow Scheme ........................... 14 Figure 14. Digester Loading Rates (HRT and VSR) ................................................................... 15 City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 2 Figure 15. Volatile Suspended Solids Reduction Efficiencies (Red is VSR in individual tanks, dark red is overall VSR) .............................................................................................................. 15 Figure 16. Iowa City WWTP – Electrical Power Usage (Total and Aeration) .............................. 16 Figure 17. Iowa City WWTP – Natural Gas Usage (Total and Boiler)......................................... 17 Table of Tables Table 1. Iowa City NPDES Permit ................................................................................................ 4 Table 2. Influent Flows and Loads ................................................................................................ 6 Table 3. Influent Pollutant Concentrations .................................................................................... 7 Table 4. Digester Tank Sizes (Capacities) .................................................................................. 12 Table 5. Digestion Process Capacity Assessment ..................................................................... 13 Table 6. Design Flows compared to 2017-2019 Flows (Table reproduced from O&M Manual) . 17 Table 7. Design Maximum Month Loads compared to 2017-2019 Loading ............................... 18 Table 8. Digester Design Solids Feed Flow Rates ..................................................................... 18 Table 9. Model Anaerobic Digestion Scenarios with External Organics (Hauled Waste) Additions .................................................................................................................................................... 20 Attachments Attachment A. Landfill Master Site Map Report prepared by: HDR Engineering, Inc. Morgan Mays, PE Project Manager 5815 Council St. NE, Suite B Cedar Rapids, IA 52302 D 319.423.6318 M 319.400.2718 Morgan.Mays@hdrinc.com hdrinc.com/follow-us City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 3 Technical Memorandum Date: Friday, March 20, 2020 Project: City of Iowa City – Climate Action and Adaptation Plan Methane Feasibility Study To: Joe Welter, IA City; Tim Wilkey, IA City; Jennifer Jordan, IA City From: Morgan Mays, HDR; Eric Evans, HDR; Eric Sonsthagen, HDR Subject: Existing Facility Evaluation TM This technical memorandum (TM) evaluates the existing facilities; specifically, the wastewater treatment plant (WWTP) and landfill; as part of the Climate Action and Adaptation Plan (CAAP) Methane Feasibility Study. The first part of the TM covers the assessment of the existing WWTP, including evaluation of existing and future conditions at the facility. The second part of this TM provides an evaluation of the existing and future conditions at the landfill facility. Facility Evaluation - Wastewater Treatment Plant Existing or Baseline Facility Conditions The existing Iowa City WWTP treats wastewater to meet permitted discharge requirements shown in Table 1. Treatment requires removal of five-day biochemical oxygen demand (BOD5), total suspended solids (TSS), ammonia and E. Coli. to low concentrations. In addition, the WWTP removes nutrients; as measured by total nitrogen (TN) and total phosphorus (TP) concentrations. Treatment processes at the WWTP include preliminary treatment (screening and grit removal), primary treatment with sedimentation, secondary biological treatment using an activated sludge based biological nutrient removal (BNR) process, and finally, anaerobic digestion of solids residuals generated. Outputs from the WWTP include the treated effluent that is discharged to the Ralston Creek-Iowa River, and Class A (digested) biosolids that are land applied. City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 4 Table 1. Iowa City NPDES Permit NPDES Permit IA 0070866 Effective Date: 05/01/2014 Parameter Units Month Max Daily Max Monitor Freq. Note BOD5 mg/L 25.0 40.0 Daily Technology Based Limit TSS mg/L 30.0 45.0 Daily Technology Based Limit Ammonia (Jan) mg-N/L 12.8 41.2 Daily Water Quality Based Limit Ammonia (Feb) mg-N/L 15.1 43.1 Daily Water Quality Based Limit Ammonia (Mar) mg-N/L 8.3 41.3 Daily Water Quality Based Limit Ammonia (Apr) mg-N/L 5.2 41.1 Daily Water Quality Based Limit Ammonia (May) mg-N/L 4.7 41.1 Daily Water Quality Based Limit Ammonia (Jun) mg-N/L 3.7 39.3 Daily Water Quality Based Limit Ammonia (Jul) mg-N/L 4.1 25.8 Daily Water Quality Based Limit Ammonia (Aug) mg-N/L 4.2 26.6 Daily Water Quality Based Limit Ammonia (Sep) mg-N/L 3.8 34.1 Daily Water Quality Based Limit Ammonia (Oct) mg-N/L 5.7 49.4 Daily Water Quality Based Limit Ammonia (Nov) mg-N/L 8.0 42.9 Daily Water Quality Based Limit Ammonia (Dec) mg-N/L 9.0 44.6 Daily Water Quality Based Limit E. Coli. #/100-mL 147 1/3 Months March - November Flows and Loads The current flows and loads are evaluated in this section based on flow data exported from SCADA and routine monitoring data reported by the WWTP for BOD5, TSS, TN, TKN, and TP. The monitored influent flow rate varies from about 1 million gallons per day (MGD) to nearly 40 MGD as shown in Figure 1 with higher seasonal flows in Spring and Summer. For the data period from Jan. 1, 2017 through Dec. 31, 2019, the average flow rate is 8.9 MGD, the median (50th percentile) flow rate is 8.0 MGD, the 91.7th percentile (statistical maximum month) flow rate is 11.9 MGD, and the 99.7th percentile (statistical maximum day) flow rate is 27.3 MGD. The cBOD5 and TSS loads on the WWTP are presented in Figure 2. These loads are about 20,000 lb/d on average with a max day cBOD5 load of roughly 38,000 lb/d and a max day TSS load over 47,000 lb/d. Figure 3 shows the TKN and TP loads, which average around 2,700 lb- N/d and 400 lb-P/d, respectively. City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 5 Figure 1. Influent Flow Rate Figure 2. Influent cBOD5 and TSS Loads 0 5 10 15 20 25 30 35 40 45 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19MGD WWTP Influent - Flow, MGD 14 per. Mov. Avg. (WWTP Influent - Flow, MGD) 0 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19Load, lb/dInfluent - cBOD5 Load (N/A), lb/d Influent - TSS Load (N/A), lb/d 14 per. Mov. Avg. (Influent - cBOD5 Load (N/A), lb/d)14 per. Mov. Avg. (Influent - TSS Load (N/A), lb/d) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 6 Figure 3. Influent TKN and TP Loads Overall influent flows and loads are summarized in Table 2 based on the statistical analysis of the data. On a per capita basis, the average flow rate is about 105 gpd/capita and the average cBOD5 load is 0.27 lb/d/capita; a relatively typical per capita flow rate but a per capita cBOD5 load that is about 50% higher than typical. The peaking factors for flow based on the data are about 1.5 for max month and 3.4 for max day conditions, and the peaking factors for cBOD5 based on the data are 1.3 for max month and 1.8 for max day conditions. The flows and loads translate to concentrations as shown in Table 3, which further support a classification of medium- to high-strength wastewater at the WWTP. Table 2. Influent Flows and Loads Parameter Unit Ave Annual Max Month Max Day Flow MGD 8.0 11.9 27.3 cBOD5 lb/d 20,600 27,300 38,000 TSS lb/d 20,200 30,000 47,300 TKN lb-N/d 2,730 3,290 4,180 Ammonia lb-N/d 1,500 1,870 2,270 TP lb-P/d 394 510 664 *Based on data from: 01/01/2017 - 12/31/2019 0 200 400 600 800 1,000 1,200 1,400 1,600 0 1,000 2,000 3,000 4,000 5,000 6,000 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19 lb-P/dlb-N/dInfluent - TKN Load (N/A), lb-N/d Influent - TP Load (N/A), lb-P/d 14 per. Mov. Avg. (Influent - TKN Load (N/A), lb-N/d)14 per. Mov. Avg. (Influent - TP Load (N/A), lb-P/d) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 7 Table 3. Influent Pollutant Concentrations Parameter Unit Ave Annual Max Month Max Day Flow MGD 8.0 11.9 27.3 cBOD5 mg/L 309 274 167 TSS mg/L 303 302 208 TKN mg-N/L 41 33 18 Ammonia mg-N/L 22 19 10 TP mg-P/L 5.9 5.1 2.9 Solids Production Rates Solids are produced at the Iowa City WWTP by the primary sedimentation process and by the second-stage BNR process. The solids are combined and treated in the anaerobic digestion process. PRIMARY SOLIDS Primary solids are pumped to Sludge EQ Tank T8001 and measured through one of two flow meters. Figure 4. Primary Sludge Flow Rates provides the raw output primary sludge flow rate data for the last five years. For the data period from January 2017 through December 2019, the average primary solids flow was 29,000 gpd with a median value of 28,800 gpd, a 91.7th percentile value of 38,800 gpd and a 99.7th percentile value of 64,200 gpd. This corresponds to a primary solids load of about 12,000 lb/d on average with a max day load near 33,000 lb/d. Figure 4. Primary Sludge Flow Rates 0 10 20 30 40 50 60 70 80 90 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-191,000 GPDPS to T8001A - Flow [F7101A], 1,000 GPD PS to T8001A - Flow [F3001A], 1,000 GPD Primary Sludge - Total Flow, 1,000 GPD 14 per. Mov. Avg. (Primary Sludge - Total Flow, 1,000 GPD) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 8 SECONDARY SOLIDS Secondary solids (Waste Activated Sludge [WAS]), produced by the BNR process, are first pumped and thickened by rotary drum thickeners (RDTs) generating thickened WAS (TWAS). Thickened secondary solids are combined with primary solids and secondary scum in the sludge EQ tank T8001. Figure 5 presents the raw flow data from each process for the past five years. Secondary solids flow to the RDTs varies from an average of 264,000 gpd (median of 254,000 gpd) to a 91.7th percentile flow of 346,000 gpd. Thickened solids flow depends on thickening efficiency but ranges from an average of 28,400 gpd to a 91.7th percentile of 43,300 gpd, and a 99.7th percentile of 69,900 gpd. Figure 5. Secondary Solids (WAS and TWAS) Flow Rates TOTAL DIGESTER FEED SOLIDS The total digester feed solids reflect the sum of primary and thickened secondary solids. This total digester feed is transferred from the sludge EQ tank T8001 to the thermophilic digester (T8101, T8201, or T8101 and T8201). The total digester feed solids flow averages 57,300 gpd with a 91.7th percentile flow of 70,800 gpd and a 99.7th percentile of 98,500 gpd. Figure 6 shows the flow data from the last 5 years. A general decline from between 60,000 and 80,000 gpd to between 40,000 and 60,000 gpd is evident on the graph. Total solids loads are shown in Figure 7 including the primary solids and secondary solids to Tank 8001 and the combined solids load from Tank 8001 to the digesters. Based on the data, the average loads are about 12,000 lb/d, 12,000 lb/d, and 19,000 lb/d for primary solids, secondary solids, and digester feed, respectively. The max month loads are about 17,000 lb/d, 17,000 lb/d, and 25,000 lb/d for primary solids, secondary solids, and digester feed, respectively. The data suggest that Tank 8001 provides some preliminary solids breakdown. 0 10 20 30 40 50 60 70 80 90 100 0 100 200 300 400 500 600 700 800 900 1,000 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19 Thickened Secondary Solids Flow, 1,000 gpdSecondary Solids Flow, 1,000 GPDWAS Thickener - Flow, 1,000 GPD TWAS - Flow, 1,000 gpd 14 per. Mov. Avg. (TWAS - Flow, 1,000 gpd) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 9 The key takeaway, however, is that the combined solids production results in an average solids yield from wastewater treatment of about 0.9 lb-TSS/lb-cBOD5 treated, which is consistent with high end yields in references (Tchobonagolous, Stensel, Tsuchihashi, & Burton, 2014). Figure 6. Combined Solids (Primary and Secondary - Raw solids) Flow to Digesters Figure 7. Solids Loads – Primary Solids, Secondary Solids, and Digester Feed 0 20 40 60 80 100 120 140 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-191,000 GPDRaw SL to DIG - Flow, 1,000 GPD 14 per. Mov. Avg. (Raw SL to DIG - Flow, 1,000 GPD) 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 50,000 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19lb/dWAS - Load, lb/d Raw Sludge - (Dig. Feed) Load (N/A), lb/d Primary Sludge - Load (N/A), lb/d 14 per. Mov. Avg. (WAS - Load, lb/d) 14 per. Mov. Avg. (Raw Sludge - (Dig. Feed) Load (N/A), lb/d)14 per. Mov. Avg. (Primary Sludge - Load (N/A), lb/d) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 10 Digestion Process Configuration and Design The digestion process at the WWTP is designed as a temperature-phased anaerobic digestion (TPAD) process; with thermophilic followed by mesophilic treatment phases/stages. During the study (Spring 2020), two digesters operate at thermophilic temperatures followed by mesophilic digestion with the remaining digesters. Figure 8 provides a schematic overview of the process flow scheme. The current operation uses two thermophilic digesters to support start-up of Tank T8101. Normal operation uses one thermophilic digester a shown in Figure 9 with T8101 acting as the thermophilic digester phase, tanks T8201, T8301, and T8401 acting as the mesophilic digesters, and tanks T8601 and T8701 acting as the second stage mesophilic digesters and storage step. Figure 8. Digestion Process Flow Scheme – Spring 2020 Operation Figure 9. Digestion Process Flow Scheme – Normal Operation City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 11 The WWTP Operations and Maintenance (O&M) Manual identifies the required minimum digester tanks online as presented in Figure 10. The system can operate with one or two thermophilic digesters online and as many as four mesophilic digesters online. The six tanks that make up the digestion system at the WWTP are identified in Table 4. The digestion process is designed for a max month hydraulic retention time (HRT) of 20 days and an average annual HRT of 15 days with one tank out of service (Themophilic HRT = 5 days, Mesophilic HRT = 10 days). The design volatile solids (VS) loading rate is between 350 and 450 lb-VS/(1,000 ft3•d) in the thermophilic digester(s). This translates to a design average flow of 96,600 gpd and a design max month flow of roughly 129,000 gpd. Figure 10. Minimum Number of Digesters Required per Sludge Flow (peak 15-day rolling average) – from Iowa City WWTP O&M Manual City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 12 Table 4. Digester Tank Sizes (Capacities) Digester Temperature Diameter (ft) Max. Depth (ft) Volume (gal.) T8101 Thermophilic 55 27 520,000 T8201 Thermophilic/ Mesophilic 55 27 520,000 T8301 Mesophilic 45 27 340,000 T8401 Mesophilic 45 27 340,000 T8601 Mesophilic 45 27 340,000 T8701 Mesophilic 45 27 340,000 Digestion Process Loading Rates The data were used to evaluate baseline loading rates on the digestion process at the WWTP. As shown in Figure 11, the Thermophilic HRT varied between 5 and 20 days (partly a function of 1 versus 2 thermophilic digesters online) from January 2015 through December 2019. The Mesophilic HRT varied from 10 to 40 days (also due to the number of digesters online) during the same period. On average, the thermophilic HRT was between 8 and 10 days and the mesophilic HRT was between 16 and 20 days. As shown in Figure 12, the volatile solids loading rates average 230 and 50 for the thermophilic and mesophilic digesters, respectively. Figure 11. Digestion Process Hydraulic Retention Times (HRTs) 0 5 10 15 20 25 30 35 40 45 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19d Thermophilic - HRT, d Mesophilic - HRT, d 14 per. Mov. Avg. (Thermophilic - HRT, d)14 per. Mov. Avg. (Mesophilic - HRT, d) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 13 Figure 12. Digestion Process Volatile Solids (VS) Loading Rates The basline digester process condition is compared to the design capacity in Table 5 showing available capacity that may be available for use in elevating biogas generation Based on the evaluation/comparison, the digesters operate below their design loading conditions. Available capacity within the digestion process is estimated between 30-60% depending on the loading condition and digester stage evaluated. Table 5. Digestion Process Capacity Assessment Digester Parameter 2017-2019 Digester Condition* Digester Design Capacity Ave. Annual Thermophilic HRT 8.4 5 Ave. Annual Mesophilic HRT 16 10 Max. Month Thermophilic HRT 5-10 7.5 Max. Month Mesophilic HRT 10-30 12.5 Ave. Annual Thermophilic VS Load 230 350-450 Ave. Annual Mesophilic VS Load 52 100-120 Max. Month Thermophilic VS Load 300-500 350-450 Max. Month Mesophilic VS Load 50-100 100-120 *Note: Average Annual Condition Assumes one digester offline 0 50 100 150 200 250 300 350 400 450 500 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19lb/(1,000 ft3 d)Thermophilic - VS Loading, lb/(1,000 ft3 d)Mesophilic - VS Loading, lb/(1,000 ft3 d)14 per. Mov. Avg. (Thermophilic - VS Loading, lb/(1,000 ft3 d))14 per. Mov. Avg. (Mesophilic - VS Loading, lb/(1,000 ft3 d)) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 14 In order to support an assessment of nutrients and sulfur loading effects on the digestion process with outside organics (Future WWTP Section), the existing digestion process was also setup and evaluated using the wastewater simulator – BioWin™ as shown in Figure 13. The model validation is shown in this section to demonstrate alignment with the observed process. First, the configuration is setup based on the preferred operating strategy for the digestion process. Then, the model is setup to calculate the hydraulic retention time (HRT) and volatile suspended solids loading rate (VS Load) as shown in Figure 14. Finally, treatment performance by the digesters is shown in Figure 15 with both individual and overall volatile suspended solids removal rates1 (VSRs). Figure 13. BioWin™ Iowa City Anaerobic Digestion – Process Flow Scheme 1 Note, data typically presents total volatile solids and total volatile solids removal efficiencies; whereas, the model presents based on volatile suspended solids. This is typically a small difference in solids treatment (digesters). City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 15 Figure 14. Digester Loading Rates (HRT and VSR) Figure 15. Volatile Suspended Solids Reduction Efficiencies (Red is VSR in individual tanks, dark red is overall VSR) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 16 Electrical, Natural Gas, and Chemical Usage Electricity, natural gas (NG), and chemical usage at the WWTP are evaluated in this section based on reported data from the last five years. Figure 16 shows total electricity usage at the WWTP, as well as showing specific usage for the aeration basins (the largest electricity consumer at the WWTP). On average, the WWTP uses 23,327 kWh per year (January 1, 2017 through December 31, 2019). Aeration demand reflects approximately 50% of the total electricity usage and the digestion process utilizes about 12% of the total electricity usage. Figure 16. Iowa City WWTP – Electrical Power Usage (Total and Aeration) Figure 17 shows the NG usage at the WWTP including both the total plant NG usage and the boiler NG usage. As is typical for the Midwest, NG usage reflects a seasonal pattern with winter peak NG usage and summer low NG usage. The average NG usage from 2017 to 2019 was 99,140 cubic feet per day. 0 5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000 45,000 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19kWh Plant - Total Elec. Power, kWh Aeration - Total Elec. Power, kWh 14 per. Mov. Avg. (Plant - Total Elec. Power, kWh)14 per. Mov. Avg. (Aeration - Total Elec. Power, kWh) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 17 Figure 17. Iowa City WWTP – Natural Gas Usage (Total and Boiler) Future WWTP -Facility Conditions DESIGN FLOWS AND LOADS The current WWTP liquid treatment processes are designed with capacity to support growth through 2025 (Phase I). The design flows and loads are compared to the 2017-2019 flows and loads in Table 6 and Table 7. Table 6 shows that flow rates (average, maximum, and peak) are significantly below design capacities. Design loads are compared to observed statistical maximum month loads, which also shows additional cBOD5 capacity (10-20%), TSS capacity (10-20%), and TKN capacity (50%) remains within the WWTP. A Phase II expansion is reflected in planning documents and provides capacity through 2040. Table 6. Design Flows compared to 2017-2019 Flows (Table reproduced from O&M Manual) Condition Design Flow [MGD] 2017-2019 Flow [MGD] Ave Annual --- 8.0 AWW (Max Month) 24.20 11.9 MWW (Max Day) 43.30 27.3 Note: 1EQ flow is 30 MGD, Hourly flow data not evaluated 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 18,000 20,000 0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 Jan-15 Jul-15 Jan-16 Jul-16 Jan-17 Jul-17 Jan-18 Jul-18 Jan-19 Jul-19 Boiler NG Usage, CFDPlant NG Usage, CFDPlant NG - Flow, CFD Total Boiler - NG Usage, CFD 14 per. Mov. Avg. (Plant NG - Flow, CFD)14 per. Mov. Avg. (Total Boiler - NG Usage, CFD) City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 18 Table 7. Design Maximum Month Loads compared to 2017-2019 Loading Parameter Design Loading [lb/d] 2017-2019 Loading [lb/d] BOD5 32,658 27,300 TSS 34,386 30,000 TKN-N 6,311 3,290 DESIGN SOLIDS PRODUCTION RATES The anaerobic digestion system was originally designed for the projected solids values (through 2040) for average annual and maximum month conditions shown in Table 8. The average annual capacity of nearly 97,000 gpd is approximately 40% higher than the current average feed flow, and the maximum month capacity of almost 129,000 gpd is roughly 80% higher than the current 91.7th percentile (statistical maximum month) flow. Additionally, the current solids mass fed to the digester (19,000-25,000 lb/d) is below the design capacity for the digestion process. Based on the current solids load and the recent growth trend, the 2040 projected solids production rate will average 23,000 lb/d with a maximum month mass of 28,000 lb/d indicating that residual capacity may be available for the entire design period. The comparison between digester feed flows and digestion capacity shows available capacity for hauled wastes can be used to increase biogas production potential. Overall, the available capacity varies from between 40 to 50% currently to 30 to 40% in the future. Typically, municipal digesters fed with outside wastes limit the external carbon feed to between 25% and 50% of the total feed. The available capacity is consistent with these operational goals. Therefore, the available capacity2 for outside wastes is between 4,000 (minimum) and 12,000 (peak) lb- solids/d currently (2020) and between 6,000 (minimum) and 14,000 (peak) lb-solids/d in 2040. This equates to a potential average external carbon feed of roughly 7,000-8,000 lb-solids/d in 2020 and 8,000-9,000 lb-solids/d in 2040. Table 8. Digester Design Solids Feed Flow Rates Parameter Design Capacity 2017-2019 Condition Ave Annual Flow, gpd 96,577 57,300 Ave Annual Mass, lb/d 32,218 19,000 Max Month Flow, gpd 129,148 70,800 Max Month Mass, lb/d 43,084 25,000 *Mass loadings assume 4% total solids content of digester feed. 2 In order to realize estimated capacities, operation of the digesters may require a shift to two thermophilic digesters, or feed of outside wastes directly to mesophilic digesters with lower loading rates. City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 19 ANAEROBIC DIGESTER – MODEL HAULED WASTE IMPACTS The anaerobic digestion model of the existing process, developed during this evaluation of existing conditions, can be used to test the impacts of hauled waste on the treatment process. This analysis is used to evaluate the increased biogas potential, changes to volatile solids reduction efficiency, impacts on biogas hydrogen sulfide (H2S) content, and the potential struvite generation due to the addition of external organics. The focus of the preliminary modeling exercise is evaluating general relationships and/or trends using the average annual operating condition. A base solids flow of roughly 61,000 gpd and a base TSS load of about 22,000 lb/d (corresponding to 25,000 lb/d COD load) is applied conservatively. This allows for a hauled waste addition between 0 and 10,000 lb/d of TSS corresponding to about 17,000 lb/d COD in about 20,000 gpd of feed flow (three to five hauled waste tanker trucks). The results of all the model scenarios tested (Base and hauled waste [HW] scenarios 1 through 10) are shown in Table 9. The goal of adding external organics or hauled waste is to increase the biogas production potential from the digesters. The baseline model shows a biogas production rate between 80 and 100 scfm. With the addition of hauled wastes, the biogas production rate increases to between 100 and 150 scfm. The biogas increase corresponds to a biogas yield between 8 and 15 ft3 per pound TSS added. In general, higher sulfur and phosphate content of the waste reduced the biogas yield due to competition for organics and reaction volume. The sulfur load for the model conditions varied from 0 to 134 lb-S/d compared to the base sulfur load of 2 lb-S/d (base sulfur load derived from current H2S concentration near 100 ppmv in digester). A high TSS to sulfur ratio in the hauled waste can dilute the hydrogen sulfide content of the biogas from the baseline of about 100 ppmv to 26 ppmv. A lower ratio between TSS and sulfur increased the sulfur concentration to 316 ppmv for the conditions modeled, but experience at other facilities shows higher ratios can result in over 2,000 ppmv of hydrogen sulfide in the biogas. Impacts to struvite generation on digestion are also tested. Hauled wastes can contain both phosphorus and magnesium, both of which are key to struvite formation in the digesters. When testing a range of phosphorus load increases to the digester from 0 to 667 lb-P/d, the struvite generation potential increased by less than 5%. However, when magnesium loading increased, which is generally the limiting factor, the struvite production can increase over 100%. A significant magnesium content would be required, however, to create the strong impact to struvite production. City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 20 Table 9. Model Anaerobic Digestion Scenarios with External Organics (Hauled Waste) Additions Primary + Secondary Solids Hauled Waste Digester Impact Scenario Flow, gpd COD, lb/d TSS lb/d Flow, gpd COD, lb/d TSS, lb/d Sulfur, lb-S/d Magnesium, lb/d Phosphorus, lb-P/d VSR, % Biogas, scfm Biogas H2S ppmv Struvite, lb/d Base 60,750 25,210 21,590 0 0 0 0 0.0 0 56.1 88.6 104.0 1,137 HW-1 60,750 25,210 21,590 5,000 4,172 2,608 4.2 0.0 41.7 59.8 113.2 26.0 1,124 HW-2 60,750 25,210 21,590 5,000 4,172 2,608 8.3 0.0 83.5 59.8 109.6 44.0 1,128 HW-3 60,750 25,210 21,590 5,000 4,172 2,608 16.7 0.0 167 59.9 102.3 75.5 1,131 HW-4 60,750 25,210 21,590 5,000 4,172 2,608 16.7 1.7 167 59.9 102.3 81.1 1,148 HW-5 60,750 25,210 21,590 5,000 4,172 2,608 16.7 3.3 167 59.9 102.3 81.1 1,164 HW-6 60,750 25,210 21,590 10,000 8,345 5,216 33.4 6.7 334 64.0 117.1 129.0 1,182 HW-7 60,750 25,210 21,590 15,000 12,516 7,823 50.1 10.0 500 67.2 132.2 158.0 1,199 HW-8 60,750 25,210 21,590 20,000 16,690 10,432 66.8 53.4 667 69.7 146.8 170.9 1,606 HW-9 60,750 25,210 21,590 20,000 16,690 10,432 66.8 106.8 667 69.7 146.3 168.6 2,129 HW-10 60,750 25,210 21,590 20,000 16,690 10,432 133.6 213.6 667 69.5 144.9 316.0 3,137 City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 21 Facility Evaluation – Iowa City Landfill The following sections provide a brief summary of the Iowa City Landfill facility and provides an overview of the existing landfill, an overview of the composting operations that take place on- site, a description of the landfill gas (LFG) collection and control system, known deficiencies of the existing LFG system, historical landfill gas recovery, and expansion and operational considerations. Existing Landfill Overview The Iowa City Landfill and Recycling Center is located at 3900 Hebl Ave. SW in Johnson County, Iowa. The landfill is owned and operated by the City of Iowa City, and began receiving waste in 1971. The facility serves Johnson County, Kalona and Riverside and accepts both residential and commercial waste haulers. In total, the landfill is approximately 400 acres in size and about half of the total footprint contains buried waste. The remaining land is primarily used for wetlands and as a buffer for surrounding properties. The facility is considered an Environmental Management System by the Iowa Department of Natural Resources (DNR), and offers community composting and educational opportunities. The current total permitted waste disposal capacity is approximately 7.71 million tons of municipal solid waste (MSW) for all cells. Based on historical waste disposal quantities, it is estimated that approximately 4.46 million tons of MSW are currently disposed of within th e landfill as of June 30, 2019. Recent records show that approximately 135,000 tons of waste is disposed of annually. The waste cell layout and other features of the landfill can be found in Attachment A, which was provided by the City. The overall development of the landfill has been constructed in phases that have generally progressed in a clockwise direction, with the first cell (FY72) being constructed in the northern portion of the site in 1971 and the FY06 cell constructed south of the FY74 cell. Cells FY09 and FY18 have deviated from the clockwise orientation and were constructed west of the FY95 through FY02 cells. Cells FY72 through FY91 were constructed prior to promulgation of Subtitle D and are currently closed while cells FY95 through FY18 were constructed after issuance of Subtitle D and are currently open for future waste disposal. Currently waste filling operations are in Cells FY09 and FY18, with construction of future North Cells, the first of which is scheduled for development within the next seven (7) years. Future expansion into the areas denoted “Future North” and “Future Northwest” in Appendix A, will be comprised of approximately 16 to 17 years of site life that should achieve the full 7.71 million ton capacity of the site. Current life of site estimates show the landfill continuing to accept waste through approximately January 2043. Composting Overview The City owns and operates a wind-row type composting operation at the landfill where yard waste and food waste are composted into a soil amendment. The composting operation manages approximately 9,000 tons of incoming waste material annually. The incoming material is composted at the landfill within an approximate 4-acre area located on the north side of the landfill on top of the FY73 and FY74 cells, with a portion of the operations located just west of these cells. The site produces approximately 1,900 tons of compost product and City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 22 2,200 tons of wood chips on an annual basis. The compost and wood chips are available at the landfill to businesses and the general public. There is a minimal cost for the compost and the wood chips are made available at no cost. Discussions with the City indicates that the composting operation is operating at capacity based on the current available footprint area designated for composting at the landfill. If additional organic material was either collected or diverted from the landfill towards composting, a new larger area for composting would need to be identified. Ideally, the composting operation would stay at the landfill to maintain synergies with staffing, equipment operations, and material drop- off. These planning considerations serve to limit the design composting capacity into the future to the currently through-put rate of approximately 9,000 tons of incoming waste material annually. Landfill Gas Collection and Control System The City utilizes an active LFG collection and control system at the landfill, which consists of a series of vertical gas extraction wells and horizontal collectors installed within the landfill footprint. Once LFG is collected within the extraction points, it is conveyed to a blower/flare station by a network of lateral and header pipes. The initial LFG collection system components were installed in 2000, and went online the following year. Components of the initial LFG collection system installation consisted of 37 gas extraction points (vertical wells and horizontal collectors) which were installed primarily within the pre-Subtitle D area of the site. In 2009, the system was expanded, with 9 horizontal trench collectors installed and connected to the LFG system. LFG connections to the leachate system risers were also constructed at this time. The LFG is routed to the blower/flare station located on the north side of the landfill on top of the FY73 cell (see Appendix A). The original LFG flare and blowers were replaced in 2016 and the existing system consists of a 46.5 million British Thermal Units per hour (MMBTU/h) enclosed ground flare manufactured by Perennial Energy, LLC. (PEI). The new blowers are rated for 85 inches of water column pressure differential and total flow rates between 155 and 1,550 standard cubic feet per minute (scfm) and are manufactured by National Turbine. Components of the LFG system are also presented in Appendix A. Although not shown in the Appendix A, there are several operations layer horizontal collectors that were installed at the bottom of the FY09 cell that extend west to east across the cell. The wells are connected to the LFG system near wells GW-09G and GW-09F on the west perimeter of cell FY09. The landfill is currently subject to the New Source Performance Standards (NSPS) promulgated under 40 Code of Federal Regulations (CFR) Part 60, Subpart XXX as it has commenced construction, reconstruction, or modification after July 17, 2014. It is also subject to the National Emission Standards for Hazardous Air Pollutants (NESHAP) Subpart AAAA, promulgated under 40 CFR 63. The landfill gas system has been installed to comply with the 40 CFR Part 60, Subpart XXX requirements. The facility is also subject to the Mandatory Reporting Rule (MRR) for greenhouse gases (GHG) promulgated under 40 CFR 98. City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 23 Landfill Gas System Operations and Maintenance The existing LFG system at the landfill is operated and maintained by City personnel. Monitoring of the LFG system wells and piping is necessary to collect operational data and is typically performed on a monthly basis to tune the wellfield and maintain compliance with regulatory requirements. Maintenance is performed on an as-needed basis to correct deficiencies within the LFG system and supporting infrastructure. Typical operation and maintenance activities include the following:  Monthly monitoring and tuning of each LFG wellhead for temperature, pressure and gas concentrations.  Re-checking LFG wellheads that have exhibited regulatory exceedances.  Inspection and routine repair of wellheads, flexible hosing, and exposed piping.  Inspection and routine repair of condensate management infrastructure such as sumps and pumps.  Monitoring of flow rates and LFG concentrations at the blower flare station.  Inspection and routine repair of leachate extraction and pumping equipment installed within LFG wells. Non-routine actions may include replacing or raising wellheads, troubleshooting of pipe blockages, excavation and replacement of piping sections, repair of sumps or pumps, and other minor construction related items. Existing Landfill Gas System Deficiencies From discussion with City staff there are a number of known deficiencies within the existing LFG collection and control system. A summary of these reported deficiencies are described in detail below:  There is a remote sump located near the intersection of the FY83 and FY98 cells near the eastern central portion of the landfill that connects to the north/south traversing center main header. This sump has historically had issues with drainage that has impacted flow to several LFG extraction wells in the area. Although this problem is located near the middle of the center main header, it has not caused significant blockage issues for the LFG system.  Just south of the remote sump near the overlapping area of FY86 and FY98 cells is an area that has historically experienced elevated concentrations of fugitive emissions during routine surface emission monitoring scans. This area is located between wells GW-126, GW-131, GW-315, GW-316, and GW-318. This area is approximately 0.75 acres in size.  Based on historical readings, there is limited vacuum available at the southern end of the east main header within the FY91 cell. This has inhibited gas recovery in the FY91 cell but is expected to be addressed in the near future.  Existing gas wells GW-209 through GW-216 are off-line and not actively collecting LFG. These wells are located on the southwestern portion of the landfill within the FY95, FY96, and FY98 cells. These 8 wells were required to be abandoned as waste filling operations in the area progressed above the well heights such that they could not be City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 24 extended and utilized in the future. It is anticipated that new wells within this area would need to be installed in the future after waste filling has moved from the area.  Existing gas wells GW-201 through GW-208 are currently actively collecting LFG. However, these wells will need to be abandoned in the future similar to wells GW-209 through GW-216 as filling progresses northward from FY09 to FY18 and into the future north cells that have not yet been constructed. Similarly, it is anticipated that new wells within this area would need to be installed in the future after waste filling has moved from the area. Historical Landfill Gas System Recovery Historical LFG recovery from initial system operation in 2001 through 2014 not provided for this evaluation and were estimated based on an assumed LFG recovery efficiency of 60 percent based on the approximate coverage area of the gas system. The average LFG recovery flow rate during 2001 through 2014 was estimated to be approximately 480 scfm. Actual LFG recovery flow data was provided by the City from December 2015 through December 2019. During 2015 and 2016 the system was operating at an average of approximately 630 scfm. From 2017 to 2019, the average flow rate increased to approximately 850 scfm during the past three years. The 2017 through 2019 enhanced gas recovered rates are believed to be attributed to the new flare and blowers that were installed in 2016. Additional information regarding historical and future LFG system recovery data will be presented in the forthcoming LFG Recovery Technical Memorandum. Landfill Gas System Expansion Planning The following section provides a brief description of known LFG system expansion based on discussion with City staff and future planned activities. Each of the planned activities as described by the City are provided in detail below:  In an attempt to address low vacuum being observed in the header line adjacent to well GW-136 at the southern end of the landfill in cell FY91, a new header line is planned for installation to connect the center main header and the east main header lines near GW- 135 to the west header line near GW-09B. Installation of this piping will create a looped header system that will allow more routes for the LFG collected on the southern end of the landfill to reach the blower/flare station and should increase the available vacuum to wells in the area, thereby increasing the LFG recovery from this area.  After construction of the future north cell(s), a new west header line will be installed from the blower/flare station to the west around the future north cell(s) and traverse the perimeter of the FY18, and FY09 cells. The west header line will connect to the existing gas infrastructure in place at the FY09 cell and promote gas capture in the FY18 and future north cell(s). Although this expansion is not anticipated for some time, it will continue to enhance gas recovery at that time and into the future.  New vertical LFG wells are typically installed periodically as cell expansion and waste filling progresses across the landfill. In general, LFG wells are installed approximately every 5 years to maintain adequate system coverage and regulatory compliance. City of Iowa City | CAAP Methane Feasibility Study Existing Facility Evaluation TM 25 Conclusion Based on the planning efforts outlined above the collection efficiency of the existing and future LFG collection system should generally improve and that future landfill expansions will incorporate LFG collection efforts in a timely manner and in accordance with regulatory requirements. The existing LFG system has capacity to collect more LFG as the landfill grows and additional waste is disposed of. The existing capacity of the blower and flare is anticipated to be sufficient for the fully permitted future buildout of the landfill, but this will be fully evaluated in the forthcoming LFG Recovery Technical Memorandum. Additional details regarding the LFG generation and recovery estimate will be included in the upcoming memorandum, which will provide quantitative values for determining the feasibility and evaluation of beneficial use projects. Conclusion paragraph here – can you take the above planning and make the case that collection efficiency will generally improve and that future landfill expansions will be installed with LFG collection in a timely manner? And will they still generally be within the capacity of the existing blower/flare? You may need to stop short of saying these things, but need to end similar to the WWTP section, with a statement that there is room to collect more LFG commensurate with the growth of the landfill, and that details of generation/collection will be provided and estimated into the future in the following TM to provide quantitative values for fueling a beneficial use project. Outreach Working Group, Meeting Agenda Wednesday, Dec. 16, 2020, noon – 1 p.m. Zoom Meeting Link: https://zoom.us/j/97398387268?pwd=Mmo2a1A0T1E2MytqU0Zia2Uxa3FHZz09 Members: Sarah Gardner, Matt Krieger, John Fraser, Marcia Bollinger, Cheryl Miller (JCED) 1. Welcome and Introductions 2. Updates • Ambassador program: The final training session for the first cohort will take place this week. Plans are being made to host virtual Ambassador meetups one evening a month to help keep them engaged with the program until regular volunteer opportunities are available again. Plans are underway to begin second cohort training in January. • Marketing RFP: Interviews were conducted with the two top-scoring firms and a preferred firm was selected. The next step is to begin negotiated a reduced scope of services to fit their proposal to the budget allotted for this program. If unable to come to an agreement, the next step would be to go to the second firm and negotiate a revised proposal to better fit the City’s objectives. • Climate Action webpage: The Climate Action and Outreach Division is beginning work to revise the existing Climate Action and Sustainability Services webpages to better reflect the focus of the division and to create a more user-friendly experience for those visiting the webpages in search of information. The Climate Action page will become the main page, with subpages dedicated to each of the five sections of the plan. Information from the Sustainability Services page will be slotted into the sustainable lifestyle subpage. Each subpage will have sections for residents and businesses. The plan is to start building the buildings/energy subpage in January. Matt requested a webpage tree showing the subpages and proposed content/links to be shared with the committee and Climate Action Commission. 3. Review outreach items from Accelerated Actions list pertaining to the Ambassador Program • Promote energy efficiency and performance tips to the public (phase 1) • Significant transportation education and outreach campaigns (phase 1) • Engage the public to compost waste (phase 1) • Education campaigns for neighborhoods to reduce waste/consumption at the source (phase 2) • Concentrated education campaign for private properties about native plantings, permeable pavement, rain gardens, soil health, rain barrels, and cisterns (phase 3) • Host sustainability forum and events (phase 1) • Local procurement campaign – buy-in from local commercial groups (phase 2) • Develop a climate action strategic communications plan (includes utilization of ambassadors as part that that plan) (phase 1) Sarah requested that outreach working group members brainstorm example projects for these items that Climate Ambassadors and Climate Leaders could work on in the future, such as developing an EV component for local drivers education courses (related to the second bullet). The group discussed plans underway for a door-to-door campaign for neighborhood energy blitzes as a potential first volunteer activity for the Ambassadors to participate in, along with high school environmental clubs and the Green Iowa AmeriCorps team. Kits containing LED light bulbs, furnace whistles, and sand timers for showers, as well as energy efficiency information were discussed. The blitz teams would also collect old light bulbs and batteries for proper disposal. Matt suggested included an e-waste collection box in the kit. Marcia emphasized the importance of outreach in advance of the event to increase the number of people answering their doors and offered to help make connections with the neighborhood group. 4. Discuss future meeting times: The January meeting was moved to 1/27 to accommodate scheduling conflicts. Sarah will send out a calendar reminder. 5. Other Items: Happy holidays! Next Meeting Wed, 1/27