August 6, 2007 Minutes of the Senate Bill 91 Task Force

Senate Bill 91 Task Force on Renewable Resource Generation Development Areas

Colorado Legislative Services Building, Denver, Colorado

And Notice of Work Committee Meeting, August 15, 1:30

Attendance: Fourteen members of the Task Force (Glenn Gibson, Dan McClendon, Barbara Walker, Craig Cox, Rick Gilliam, Richard Smart, John Bleem, Ron Lehr, Tony Frank, Ron Larson, Frank Prager, John Nielsen, David Hurlbut, and Morey Wolfson). There were two excused absences (Mac McLennan, Sam Mamet).

The meeting was convened at 1:30 p.m. by Tom Plant, Director, Governor’s Energy Office (GEO). Mr. Plant welcomed the SB07-091 (SB91) Task Force (TF) and members of the audience (about 20 people, who introduced themselves). He referenced the importance of the work and his encouragement that the TF work productively to develop the maps that will have wide application. Mr. Plant introduced Morey Wolfson, who he asked to serve as GEO’s Project Manager for SB91.

Mr. Wolfson welcomed the TF and audience to the meeting. He presented a draft agenda, which had been sent in advance to a broad distribution notice list. A slide presentation was given that began with background information on the legislation. Copies of the “GEO Summary of 2007 Colorado Energy Legislation” was distributed. A copy of SB91 was also distributed. A slide was shown that described the general requirements of SB91: “Pursuant to the requirements of Colorado Senate Bill 07-91, the map shall include existing generation and transmission lines and potential renewable resource generation development areas within Colorado that have potential to support competition among renewable energy developers for development of renewable resource generation projects.”

The SB91 objectives were then presented and briefly discussed, including these major elements:

• Identify Colorado’s Renewable Energy Resources
• Assemble Renewable Resource Information
• Create the Colorado Renewable Resource Generation Development Areas Map

The formation and membership of the TF was then discussed. The audience was reminded that on July 12 the 16-member TF was appointed by the Governor, the President of the Senate, and the Speaker of the House to accomplish the SB91 objectives. The result of the TF work will be a set of geographic information that assists Colorado in achieving the objectives of the New Energy Economy.

The budget was then discussed, referencing the portion of SB91 that says: “The Governor’s Energy Office may accept private gifts, grants, and donations.” Copies of the budget were distributed and displayed on the screen:

Anticipated Expenditures:

• Technical work and report writing $24,000
• Prepare, print report, web work, postage 6,000
• Contingency- room rental for Task Force meetings (three times @ $300) 900
• Mileage for Task Force Members to attend meetings 400
• Refreshments at Task Force meetings 400
• Coordination and logistics - GEO 0
• GIS assistance
• NREL Technical Assistance Contract - $10,000 0
• Department of Local Affairs - Colorado GIS Coordinator 0
• Electric utilities and others 0
• $31,700
• Donations to date:
• Aquila $2,000
• Colorado Association of Municipal Utilities 2,000
• FPL Energy 3,000
• Iberdrola 3,000
• Interwest Energy Alliance 5,000
• Midwest Research Institute (committed, will receive soon) 5,000
• PPM Energy 3,000
• Tri-State G & T Association (committed, will receive soon) 5,000
• Vestas Wind (committed, will receive soon) 3,000
• Xcel Energy 5,000
• $36,000

There were no concerns or discussion offered regarding the budget.

The TF members introduced themselves. Biographical information about the TF members was included in the agenda material emailed and distributed in hard copy to the TF and the audience. The TF members described their background and their individual goals for the TF. The TF was then asked to review, modify, and approve the draft agenda. No substantive changes were recommended.

The TF then elected a Chair and Vice-Chair. Dan McClendon was nominated, seconded, and voted by unanimous voice vote to be Chairman. Barbara Walker was nominated, seconded, and voted by unanimous voice vote to be Vice-Chair. Certain individuals were then introduced, including Dave Skiles, GEO’s SB91 project contractor; Jon Gottsegen, State of Colorado GIS Coordinator; and Donna Heimiller, National Renewable Energy Laboratory. Morey Wolfson then referenced an informal work group that met in July to prepare maps for the first TF meeting. A TF Member requested minutes of those meetings and requested to know who was in attendance and what was discussed. Mr. Wolfson said that participants included himself, representatives from NREL, Craig Cox, Jon Gottsegen, Dave Skiles, and Ron Lehr. Minutes were not taken and the meetings were held in order to prepare maps for the first TF meeting. Mr. Wolfson described that since the TF is now formed, that TF members will receive notice of Work Committee meetings. TF members are encouraged to send their representative(s). The next TF Work Committee meeting is scheduled for Wednesday, August 15 at 1:30 at the National Renewable Energy Laboratory. A visitors badge must be secured after showing a photo ID, in Building 17. Non U.S. citizens should contact Morey Wolfson to learn the procedure for foreign nationals to visit NREL. Please note: if you are interested in attending this meeting, please email morey.wolfson@state.co.us as NREL security control has asked to receive a list of attendees in advance to avoid delays going through the security check-in.

The TF then discussed future TF meetings. Mr. Wolfson described the results of the polling that he conducted of TF members to check on their availability for future proposed meeting dates. He stated that with the exception of two TF members who were “tentative” for just two meetings, it was advisable to proceed with the dates listed below. He asked whether the TF would like to have more than three more TF meetings and three Work Committee meetings. There was a consensus that the answer to those questions should remain unanswered until it is determined how the TF progresses. It was agreed that, for planning purposes, the following meetings will be held:

• September 10, 1:30: Receive public comment, review progress stemming from the Work Committee, and define next steps. The location will be determined.
• October 15, 1:30: Receive public comment, review progress from the Work Committee, and define next steps. The location will be determined.
• November 19, 1:30- Final meeting- receive public comment, review progress from the Work Committee, complete the TF work. The location will be determined.

There was agreement that the TF should avoid scheduling meetings during the holiday season. It was also agreed that in the event that the TF does not complete its work by late November, the GEO will prepare the final deliverables following appropriate TF review and approval via email and/or conference calls.

The TF then discussed the location of its meetings. The question was posed whether any of the meetings should be held outside of the metropolitan Denver area. A TF member suggested that there ought to be a meeting on the Western Slope. It was agreed that the TF should strive to obtain public comment from all parts of the state. However, scheduling a TF meeting on the Western Slope, for example, may take a block of time that may result in low TF member participation. Alternative approaches were discussed, including perhaps having representatives from the TF hold a Western Slope meeting. Another suggestion was to determine if time may be available at the Geothermal Investor’s Forum Geothermal Investor's Forum agenda scheduled for October 18-19 in Montrose. Other suggestions included requesting that the PUC reference the SB91 mapping process at their series of public hearings around the state and receive a report back to the TF. A clear decision was not reached on the question of locations for future meetings. Accordingly, GEO will generate a recommendation in this regard. It was suggested that would be better if we had a different seating configuration for the meetings. This would permit TF members to sit around a table, rather than in fixed chairs facing the front. Various Denver area locations were recommended, such as a Committee Hearing Room in the Capitol, the NREL Visitors Center, and Tri-State Generation and Transmission Association. There was not a firm decision in this matter. Accordingly, GEO will generate a recommendation in this regard.

The TF then discussed a proposed process for the notice of TF meetings. Mr. Wolfson described and distributed a list serve of about 125 individuals that was developed to notify people about the first TF meeting. The distribution list includes TF members, the legislative sponsors and co-sponsors of SB91, and a variety of individuals who expressed an interest in the topic. Mr. Wolfson encouraged the TF to review the list and email suggested additions to him. The August 6 meeting was posted on the GEO website and was included in the GEO’s electronic newsletter. The TF was encouraged to use whatever media they prefer to notify the public of the TF meetings.

The TF then reviewed the proposed approach to meet the SB91 requirements regarding the receipt of public written and verbal comments. It was suggested that the TF must first develop sufficient information for comments to be received. In that regard, it was recommended that the TF post a proposed Generation Development Areas (GDA) document on the GEO website by October 1. The GDA would form the basis for public comment, with a target deadline for comments to be emailed to GEO by October 12. GEO would then assemble the responses and email them to the TF by October 31. The written comments will be compiled for inclusion into the final report. It was reported hat State of Colorado policy does not allow State agencies to host a blog. Other organizations are free to develop a blog. However, there may be a remaining question whether material from such a blog should be formally admitted into the final report. The TF then discussed the process for receipt of verbal comment. It was suggested that the TF receive verbal comments at the beginning of the September 10, October 15 and November 19 TF meetings. The verbal comments will be entered into the minutes of the meeting, serving as a record that will appear in the final report.

The TF then discussed the process for developing a Technical Work Plan. Mr. Wolfson introduced Dave Skiles, who serves as GEO’s GIS contractor. Mr. Skiles provided a brief biographical background, followed by a slide presentation that facilitated interaction with the TF on the following elements:

• Proposed deliverables
• Maps of solar, wind, geothermal, biomass, and small hydro
• Overlay of socio-economic data
• Analytical document
• Online access to the data
• Mapping project focus
• Potential use of enterprise zones in the development of renewable resource generation development areas
• Transmission needs of the renewable resource generation development areas to locations in which customers can use the renewable resources
• Potential development of various renewable resources, including, but not limited to, wind, solar, hydropower, biomass, biofuel, ethanol, and geothermal resources.
• Schedule
• Maps and accompanying document completed no later than December 31, 2007

Mr. Skiles presented these elements for TF consideration:

• Plan requirements
• Design information products
• Create technical design
• Develop map components
• Review and refine map components
• Document map components
• Construct prototype assembly
• Review prototypes
• Create finished maps
• Document finished maps
• Publish map set and documentation
• Work review approach

Mr. Skiles described how the TF work plan will use geographic information systems (GIS) to map renewable energy resource areas for the state. He described how GIS work uses land features and scientific modeling results (like solar and wind studies) to describe locations suitable for renewable resource development areas. He then presented further information regarding a proposed work plan, including these elements:

• Phase 1 – Develop detailed requirements
• Phase 2 – Create map information components. The map components and descriptive text represent spatial considerations for renewable energy resources
• Phase 3 – Assemble renewable resource maps and documents into a final map set publication

Mr. Wolfson thanked Mr. Skiles for his presentation and described that initial information GIS resources have come primarily from NREL. Mr. Wolfson introduced TF member Dave Hurlbut, NREL. Mr. Hurlbut gave a brief biographical background and referenced that he was appointed by NREL’s Director Dan Arvizu due to his experience as a Staff Member at the Texas Public Utility Commission where he led the Staff’s work on the development of the Texas competitive renewable energy zones. He said that the contractor who operates NREL, the Midwest Research Institute, has provided financial support to the overall SB91 effort. In addition, he said that GEO has secured a technical assistance contract with NREL/DOE valued at $5,000. It is likely that the contract will soon be expanded to a value of $10,000.

Mr. Hurlbut then introduced his NREL colleague, Donna Heimiller. After giving a brief biographical background, she described the nature of NREL’s technical assistance and scientific studies of renewable resources to the TF. The initial data provides a foundation for the TF work. The mapping approach was described in some detail, using sample base maps for solar, wind, biomass, small hydro, and geothermal. The discussion included these elements:

• Estimate renewable energy potential
• Summarize areas after screening
• Estimate installed capacity
• Estimate renewable generation

Following her presentation the TF had further discussion, clarification, and feedback. The TF identified potential gaps, helped refine goals, and offered proposed improvements. This was followed by a break at 3:00.

The TF reconvened at 3:20. TF members offered general comments on the presentations and discussion prior to the break. Most of the discussion centered on identifying the audience for the TF output, the scope of the overall effort, the need for specific GIS data format needed to overlay on the base maps, how the final product should be marketed, and how to ensure relevance to decision-makers in business, government, and the citizenry. It was clarified that GIS is a powerful tool, acknowledging its limitations, and the challenge to the TF given the limited time it has to conclude the work.

The TF then heard a presentation by Jon Gottsegen, who was introduced by Mr. Wolfson. Jon is the State of Colorado GIS Coordinator. Jon was contacted by GEO in June to see how socio and economic data from the Department of Local Affairs (DOLA) could be overlaid onto the resource maps. Mr. Gottsegen described a recent meeting with GEO and DOLA officials to familiarize DOLA with the objectives of the SB91 effort. He described DOLA and his role working with the State Demography Office, the Workforce Development Council, the Colorado Rural Development Council, and the Office of Smart Growth. He described his statewide GIS coordination function, which includes encouraging availability and discovery of spatial data, and the facilitation and coordination of collaborative projects to leverage state dollars. He serves as a liaison to local and federal agencies.

Jon then gave a presentation demonstrating how a variety of socio-economic data can be overlaid on the resource maps. He then described potential elements that could be overlaid on the base maps, including: demographics, availability of labor, education/training, support resources for employees, access to infrastructure, and others. He said that from an economic development perspective, the TF may want to identify locations that have a certain labor pool to avoid importing too much labor, access to transportation infrastructure, support facilities for labor (health care, education). He mentioned other potential infrastructure such as potential financing (try to use local financing), and land data. He suggested census variables that might be useful for the maps: sex and age, household type, housing, occupancy, tenure, education, school enrollment, educational attainment, marital status, veteran status, language spoken at home, employment status, commuting, industry, income, housing unit information. He then described data available to the maps through Census Geographic Units and Demographic Variables. He specified examples, including labor source/availability, education attainment (block group), employed/unemployed (2000 census, blockgroup), unemployment rate (2006, county), population density (2000 census, block group), population (2006, incorporated/unincorporated), per capita income (2000 census, block group), support infrastructure, facilities – hospitals, schools, journey to work, land assemblage, land ownership (parcels)

Jon suggested that it may be adequate to look at a county basis rather than subcounty since in rural areas, most of the population lives in the town and cities. Jon then showed a series of maps, some of which included overlays over renewable resource maps. These maps included: educational attainment, economic variables and critical facilities, overlay of economic variables on renewable energy data, three dimensional display of county unemployment with rendered solar potential, three dimensional display of solar potential with rendered county unemployment, overlay of county parcel data on renewable energy data, and land ownership data.

His presentation was followed by questions and answers between TF members and Mr. Gottsegen, including whether DOLA can assist with an overlay of enterprise zones, tax data, etc. The discussion moved to an expressed need to better understand the necessary development steps taken before renewable energy projects can be developed. In this regard, Mr. Wolfson referenced a partnership formed between GEO and the Office of Economic Development and International Trade (OEDIT), and how he intends to encourage bringing OEDIT into the SB91 process, similar to what is under way with DOLA.

The TF then reviewed data gaps that need to be filled. Mr. Wolfson appealed to representatives from utilities and others to work with Mr. Skiles to fill the data gaps. He said that he is hopeful that this takes place in advance of, and at the next Working Committee meeting. Specifically, the following data needs were referenced:

• electric utility service territories need to be overlaid on the base maps
• location and size of existing generation and transmission facilities, with available capacity
• existing and planned renewable resource projects
• detailed socio-economic data
• policy overlays (such as renewable energy incentives offered by taxing authorities and utilities)

The discussion also covered how much detail can be incorporated into the maps at the distribution and substation levels. It was offered that a comprehensive approach may very difficult, from a practical perspective. A follow-on thought suggested that entering data at the distribution and substation levels should be made in those areas where a strong renewable energy resource exists, as it would help locally-owned project development.

The final presenters were Doug Larson and Sean McGrath from the Western Governors Association’s (WGA) Western Interstate Energy Board. They described how, in February 2007, the nineteen governors who make up the WGA unanimously adopted a resolution with potential relevance to SB91. GEO and WGA met to discuss this matter in early July. The resolution instructed WGA to develop and conduct a process to “identify key wildlife migration corridors and crucial wildlife habitats in the West and make recommendations on needed policy options and tools for preserving those landscapes.” This process will generate policy recommendations from five working groups focusing on: oil and gas development, energy, transportation infrastructure, land use, and climate change. The recommendations will be compiled into a report that will be presented to the governors for adoption at the June 2008 WGA Annual Meeting. Additionally, a Science Committee will be established to provide a scientific framework for policy recommendations, and to make recommendations for improving states’ maps of corridors.

WGA and WIEB are pursuing a joint pilot project in the Eastern Plains of New Mexico, Colorado, and Wyoming in which GIS maps of wind potential will be overlaid by GIS maps of relevant wildlife values. The goal of the pilot is to demonstrate the benefit to considering wildlife values early in an energy development project in order to avoid potential conflicts and reduce impacts through more informed decisions.

Mr. Larson discussed the possible synergies between the WGA work and the SB91 process. Given transmission expansion plans, he also encouraged the TF to consider mapping renewable energy opportunities in neighboring states, particularly Wyoming and New Mexico. Mr. Wolfson thanked Mr. Larson and Mr. McGrath and expressed an interest in continuing to explore opportunities for cooperation.

Following further discussion and response to the WGA presentation, the TF concluded the meeting with reminders of the next steps, including:

• An appeal to the TF to provide Dave Skiles dave@skiles.mobi with data to fill the gaps that were identified in his presentation.
• The next TF Work Committee meeting is scheduled for Wednesday, August 15 at 1:30 at the National Renewable Energy Laboratory. A visitors badge must be secured after showing a photo ID, in Building 17. Non U.S. citizens should contact Morey Wolfson to learn the procedure for foreign nationals to visit NREL. Please note: if you are interested in attending the Work Committee meeting, please email morey.wolfson@state.co.us as NREL security control has asked to receive a list of attendees in advance to avoid delays going through the security check-in.
• The next TF Meeting will be held on Monday, September 10 at 1:30 p.m. The location will be determined.

GEO will email notices of meeting to the SB91 list serve. Today’s PowerPoint presentations (7 MB) will be sent by requesting them from morey.wolfson@state.co.us

The TF was thanked for their participation, and the meeting was adjourned at 4:35 p.m.

Respectfully submitted by Morey Wolfson, GEO Utilities Program Manager