Keyport BOE takes first step toward solar power

Final approval will go to voter referendum April 21

BY LORI ANNE OLIWA Correspondent

KEYPORT — Keyport schools may be powered by the sun in the not-sodistant future.

On Nov. 5 the Keyport Board of Education (BOE) voted to submit preliminary applications for a solar panel system to the New Jersey Department of Education (DOE). According to BOE Secretary Jo Ann Podracky, installing solar panels would help defray the $1.5 million price tag of replacing the roof on Central School, which she said is mandatory. The roof was last replaced in 1987 for a cost of $387,000.

While the solar panels themselves could cost as much as $2.4 million, Podracky confirmed that the district would receive revenue in the form of energy credits.

“This is really a win-win situation,” Podracky said. “The project will virtually pay for itself.”

Podracky was quick to add that the board was guided by financial advisers.

“Based on the information I gave them, they said the project will pay for itself,” she noted.

On Oct. 25, a forum was held to assess public reaction to the proposal. Solar energy expert Lyle Rawlings, president of Advanced Solar Products, explained the manner in which the district would receive revenue.

He cited solar renewed energy credits — known as SRECs — which would be sold back to the N.J. Board of Public Utilities. Based on preliminary production estimates, Rawlings stated that Keyport could generate about $255,000 in SRECs each year and noted that the solar panel system could produce as much as 30 percent of energy needs in the district’s two schools. Electric bills, which currently stand at about $90,000 per year, would be reduced. Rawlings said the project could pay for itself in 6.2 years. Additionally, energy credits would continue to accrue during the summer months while school would be in recess.

“The district would essentially be spinning the meter backwards,” Rawlings said.

The BOE will pay $8,000 to architectural firm Tokarski and Millemann, Brick, for preparing and submitting applications to the state, a process that Podracky labeled “Phase I.”

The applications break the project down into five components: roof replacement at Central School; roof replacement on the board administration offices; and solar panels at Central School, Keyport High School, and the board administration offices.

According to Podracky, the purpose of the application process is to secure financing for the project in the form of debt service aid, or bonding, which would amount to roughly 40 percent of the estimated $4 million cost of the project.

Additionally, Podracky noted that the district has approximately $550,000 in a capital projects reserve account, which could be utilized.

“We are almost assured of getting the aid, though,” said Podracky. “Our bond counsel has assured us.”

Final approval of the entire project — roofing, solar panels and the remaining $2.2 million — will ultimately rest with Keyport residents in the form of a referendum, which is slated for April 21.

Podracky noted that a plurality of 50 percent plus one from voters would be necessary for the two ballot questions to pass.

If that happens, Podracky confirmed the next step would be preparation of bid specifications by the architect, a process that would require an additional expenditure from the board.

She emphasized that the project would be subject to competitive bidding.

“I really do hope this passes,” Podracky stated. “We would pay a lot less on electricity, and it’s important to have a consistent revenue source for future projects like the athletic fields.”

The BOE must file plans with the state by Nov. 20. Announcements will be made in the near future regarding additional public forums. If that happens, Podracky confirmed the next step would be preparation of bid specifications by the architect, a process that would require an additional expenditure from the board.

She emphasized that the project would be subject to competitive bidding.

“I really do hope this passes,” Podracky stated. “We would pay a lot less on electricity, and it’s important to have a consistent revenue source for future projects like the athletic fields.”

The BOE must file plans with the state by Nov. 20. Announcements will be made in the near future regarding additional public forums.