REPORT TO COUNCIL
SUBJECT
Title
Action on Substation Service Agreement with MECP1 Santa Clara 1, LLC for San Tomas Junction Substation and Related Budget Amendment [Council Pillar: Deliver and Enhance High Quality Efficient Services and Infrastructure]
Report
BACKGROUND
MECP1 Santa Clara 1, LLC (MECP1) will be constructing a new data center at 2201 Laurelwood Road. MECP1 anticipates that the maximum energy demand for their data center will be 99MVA. MECP1 has requested the City's Electric Utility, Silicon Valley Power (SVP) to provide 60kV electric service to the site through a 60kV single customer substation (San Tomas Junction).
DISCUSSION
The new data center facility will be served by SVP from San Tomas Junction under the terms of this Agreement. SVP will design the control building and related 60kV switchyard equipment and structures. MECP1 will procure, and construct, all Station equipment necessary and required per SVP's specifications to provide electric service to the data center facility. SVP will design and construct the 60kV transmission line interconnection to San Tomas Junction in accordance with the City's design and procurement standards. SVP will perform testing and commissioning activities on the completed 60kV station. Costs incurred by SVP related to the design, procurement, construction, inspection and testing associated with San Tomas Junction will be paid in full by MECP1 as Developer Contributions. The completed San Tomas Junction will be owned, operated and maintained by SVP at SVP's sole cost and expense.
This Substation Service Agreement requires the City to design and construct the 60kV transmission line interconnection, with related conductor and steel pole structures (long lead materials). The conductor and steel poles typically have a long lead time between procurement ordering and delivery of the conductor and poles to the site. Due to the expedited time frame associated with this agreement, staff is requesting that Co...
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