Agenda - 12-03-2007-6c - Laserfiche WebLink

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Orange County Hillsborough North Carolina Manager's Office November 28, 2007 Ms. Carolyn W. Eifland Associate Vice Chancellor for Campus Services The University of North Carolina at Chapel Hill 305 South Building, Campus Box 1000 Chapel Hill, NC 27599-1000 Dear Carolyn: Established 1752 This correspondence is in response to the letter you sent expressing your disgust with my decision to request direction from the Board of County Commissioners concerning the utilization of landfill gas. I wanted you to receive a response from me prior to the December 3rd Board meeting when this item will be discussed. I fully recognize the long term working relationship between the University and the County has been congenial and beneficial to the community as a whole. The University community is to be commended for being a good neighbor to Chapel Hill, Carrboro and Orange County. However, you admitted in your letter we have been engaged in "long standing" discussions regarding the use of the landfill gas. Each day that passes means more methane gas is being released into the atmosphere, which undermines our goal to be a leader in greenhouse gas emissions reduction. The University has acknowledged that there is not an immediate intention to utilize the gas, but only to flare the gas and obtain the carbon credits. I know you recognize the potential financial benefits the County can receive from selling the landfill gas either for use as an energy source or for the carbon credits that can be obtained. Such value is evident but currently unknown to the County without issuing an RFP to determine the marketability of this landfill byproduct. Our attorney can find no legal reason why the University can not respond to such an RFP. In the past you have told me you can not submit a proposal, but your letter simply states you will not bid against private sector companies. Is that the University's position, or. can you provide documentation that such action is legally prohibited? The agenda. item to be considered by the BOCC suggests entering into a five year (with three successive five year renewal options) agreement with the successful bidder that would include a buyout provision at the end of each five year period. The timeliness of your ability to utilize the gas for energy at Carolina North is unknown due to the uncertainty regarding the development schedule for the project. This buyout provision would give the County the flexibility should it desire to reconsider ownership of the collection system or revisit the matter with the University at a future date. 200 S. Cameron Street ~ PO Box 8181 ~ Hillsborough, North Carolina 27278 Phone: (919) 245-2300 Fax: (919) 644-3004