By Roland Murphy for AZBEX
The City of Phoenix Aviation Department has issued a Request for Information as it looks to sell approximately 820 acres of City-owned land near Olive Avenue and Litchfield Road near Luke Air Force Base.
According to the announcement, “This could include private development compatible with zoning restrictions related to Luke Air Force Base, along with a cooperative development of a utility scale solar facility in several zoned areas where Aviation would retain the Renewable Energy Credits for the power produced at the site.”
Aviation originally acquired the 10 parcels listed in the RFI to protect Luke’s airspace. Since the purchase, state law has been changed to provide adequate protection, so the City no longer needs the property.
The Department has set Net Zero Carbon Emission goals for all three of its airports and will need to acquire either carbon-free electricity or RECs through development partnerships. As a result, a new, utility-scale solar facility is an ideal use. Aviation will also benefit from the revenues generated by the sale of the land.
Because of height restrictions on development near the AFB and Federal Aviation Administration limits near airports, solar use is thought to be a viable deployment for the site.
Aviation had looked into developing and operating a City-owned solar facility on the property, but since renewable power development tax incentives are not available to the City, it is not cost effective to pursue the project in house. Private developers, however, will be able to take advantage of incentives packages.
The Development Options portion of the RFI clearly lays out Phoenix and Aviation’s vision for development:
Development north of Olive Avenue may be composed of commercial uses compatible with current or amended zoning. Development south of Olive Avenue (or in combination with the area north of Olive Avenue if solar is found to be incompatible in the APZ 1 area) within this project will require production of a minimum of 80 megawatts of green solar power of which Aviation would retain the RECs.
Development proposals may be joint ventures between solar developers and light industrial developers to maximize the development opportunity. Solar power produced from the site may be sold or used by the Respondent in the most financially beneficial form.
If a developer is selected, it will have the option of breaking the site into smaller parcels with different development phases and timelines.
The City will hold a pre-response meeting via WebEx on August 17th at 9 a.m. Written inquiries are due by 2 p.m. August 31st. The answer deadline is September 9th, and the RFI due date is October 18th at 2 p.m.
The solicitation announcement and additional links are available here.
