Title
Resolution to Authorize a Subgrant Agreement with ICLEI - Local Governments for Sustainability U.S.A., Inc., Accept Associated Grant Funds, and Appropriate Grant Funds to the Office of Sustainability and Innovations Major Grants Budget ($250,000.00) (8 Votes Required)
Memorandum
Attached for review and consideration is a resolution to authorize acceptance and appropriation of grant funding from ICLEI - Local Governments for Sustainability U.S.A., Inc. (ICLEI USA) to support market-readiness activities for the Ann Arbor Sustainable Energy Utility (SEU). This grant award is entitled "National Clean Investment Fund Second-Tier Subgrant Agreement," and the funds for this award are from an encumbered award from the National Greenhouse Gas Reduction Fund that ICLEI USA and the Coalition for Green Capital secured earlier this year.
In early 2025, the Office of Sustainability and Innovations prepared a grant application to ICLEI USA to support market-building activities to help prepare the newly created Ann Arbor SEU for launch. Specifically, the successfully submitted grant application included costs to support the following:
* Staff time needed to initiate foundational elements of the SEU, including funding for the new Executive Director, Director of the Office of Sustainability and Innovations, Chief Financial Officer, finance staff, legal staff, and a few others.
* Preliminary engagement with a rate firm to help identify key sensitivities related to SEU market-readiness.
* Additional legal assistance to help with drafting sample easements and contracts the SEU will use with future customers.
* The development of a public-private partnership plan, inclusive of extensive engagement with key stakeholders, that outlines necessary action items and key steps needed to secure market support to fully launch the SEU.
In July 2025, the City was informed that it is one of 52 communities across the country selected to receive an award of $250,000.00 through the Nat...
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