NSA Annapolis RFI_Navy Response to Questions 21MAR2024 (Copy).pdf

REQUEST FOR INFORMATION (RFI)

N40080RFI10678

NAVAL SUPPORT ACTIVITY ANNAPOLIS

UNITED STATES NAVAL ACADEMY

NAVAL FACILITIES ENGINEERING SYSTEMS COMMAND WASHINGTON

(NAVFACSYSCOM WASHINGTON)

RESPONSE TO QUESTIONS

MARCH 21, 2024

Industry Questions Navy Response

What would be the total kwhs used at the Academy that you are looking to offset?

The Navy is seeking information from Industry on creative solutions, compatible with rural and agriculture use, that would maximize energy offsets, as aligned with the Department of Defense

(DoD) Carbon Free Electricity (CFE), Climate Resilience, and Energy requirements. At this stage, the

Navy does not have a specific target for offsets associated with renewable energy development at the Dairy Farm.

Will companies need to be registered with sam.gov to participate in the

RFP?

Yes, Sam.gov registration is required to respond to a federal government issued RFP. However, to participate in the current RFI response, no Sam.gov registration is required and there is no cost to register.

Can you provide the KMZ or KML file for the Dairy Farm? Maryland Federal Lands property data is available for download in various formats on Maryland.gov:

https://data.imap.maryland.gov/datasets/e8c94de89d6f4319bef28897c6a89581_0/explore?locatio n=39.059314%2C-76.679140%2C14.80

We understand that the land is leased to Anne Arundel County through

2038. Is Anne Arundel County supportive of transitioning the property into a (partial) solar farm? Will Anne Arundel County assist the developer in securing necessary permits for a solar farm?

The Navy is pursuing this RFI with the support of Anne Arundel County and with the goal of exploring options to maximize benefit to both the Department of the Navy and the County. As the Navy proceeds through the process of evaluating the RFI responses, it will work in close coordination with the County to ensure any potential action aligns with their goals and continues to have their support. All necessary permits will be the sole responsibility of the developer to obtain.

Does the Navy have an objective timeframe for completion of the property redevelopment (e.g., to meet DoD decarbonization goals by

2045)?

At the RFI stage, the Navy is looking to gather any and all useful information for consideration as we consider an RFP, to include potential project development timelines. As stated in the RFI, responses should include potential constraints, dependencies, or conditions that would affect the development timeline of the project.

Is there potential to interpret the agricultural nature limitation of Title 10

U.S.C. § 8476 to apply to only a portion of the 876 acres to allow for an increase in energy production potential? Or does the Navy prefer to prioritize the agricultural nature and limit the energy production potential?

Title 10 U.S.C. § 8476 applies to any and all portions of the Dairy Farm proposed for renewable energy development. The Navy is looking for industry to provide insight and ideas for renewable energy concept development that would maintain the property in its rural and agricultural nature.

The Navy is seeking RFI responses that recommend options and solutions for renewable energy development compatible with rural and agriculture uses that it may consider moving forward and there is no preference over agriculture vs. energy usage at this stage.

Has the Navy considered specific forms of agrivoltaics and the level of intensity they’re expecting?

No, the Navy is looking for industry to provide insight and ideas for renewable energy concept development that would maintain the property in its rural and agricultural nature.

The RFI states that the Navy has no desire to be an energy off taker. Does the Navy want to own the facility or simply host it? If the Navy only intends to host the energy generation facility, will the Navy provide a rent-free lease?

The Navy is envisioning an outlease with a developer and as such, any proposed generation facility will be owned and operated by a developer and the Navy will require, at a minimum, fair market value for the leased property.

Can the Navy provide examples of “in-kind consideration” they are envisioning for the energy generation facility on the redeveloped property?

The Navy is seeking In-Kind Consideration (IKC) in the form of infrastructure upgrades, climate and energy resilience and/or renewable energy credits at NSA Annapolis. General categories of IKCs that may be considered are listed in 10 USC § 2667 and include: maintenance, protection, alteration, repair, improvement, or restoration (including environmental restoration) of property or facilities;

construction of new facilities; provision of facilities for use; provision or payment of utility services;

provision of real property maintenance services; and provision of such other services relating to activities that will occur on the leased property as the Secretary concerned considers appropriate.

Is the Navy planning to wholly or partially fund the green energy redevelopment project and, if so, at what level of funding?

No, the Navy is not intending to fund, wholly or partially, any renewable energy development project. The Navy is envisioning an outlease with a developer and as such, any proposed generation facility will be owned and operated by a developer. In preparing responses to the RFI, Industry is encouraged to explore and recommend financing options, incentives, and potential cost-saving measures, to include opportunities in partnership with other federal and state agencies.

RFI hit on this topic to an extent; but, would the Navy not be offtake for energy project? Is that decision firm?

The Navy does not intend to consume or purchase power from a potential renewable energy generation project at the Dairy Farm.

If you extract the red highlighted areas shown on the constraint map from the acreage; what is the remaining acreage?

The acreage has not been calculated. The Navy purposefully used approximate boundaries to generalize the extent of site constraints on the map included in the RFI document and in the Industry

Day brief.

Can you discuss Anne Arundel County lease through 2038; and process for that? Can you discuss Anne Arundel County engagement? 30-year lease and details?

The Navy is pursuing this RFI with the support of Anne Arundel County and with the goal of exploring options to maximize benefit to both the Department of the Navy and the County. As the Navy proceeds through the process of evaluating the RFI responses, it will work in close coordination with the County to ensure any potential action aligns with their goals and continues to have their support.

Can you share attendee list with affiliations? We will not be posting an attendance list from Industry Day.

What crops are grown on the farm, now and seasonally? MD Sunrise Farm grows grass hay, corn, soybeans, milo, barley, wheat, triticale, and a diverse mix of cool season annual cover crops. Anne Arundel County 4-H Club currently cultivates a mix of grasses for dairy cattle on site and the University of MD Extension-Anne Arundel County grows various crops. For more info on MD Extension farming operations, visit:

https://extension.umd.edu/locations/anne-arundel-county/agriculture-food-systems/urban-farming-research-clinic/follow-progress/. Other crops grown on site, include grass for horses on site and a corn maze.

Is solar & storage possible? The Navy is seeking information from Industry on all current and emerging renewable energy technologies. Industry is encourage to respond to the RFI with proposed recommendations and/or considerations for a successful project.

Can the footprint be expanded? No, the footprint of the area of interest is confined to the 857-acre Dairy Farm parcel.

Is the Navy looking for a monetary land lease? The Navy is envisioning an outlease with a developer and as such, any proposed generation facility will be owned and operated by a developer and the Navy will require, at a minimum, fair market value for the leased property. The Navy is also seeking In-Kind Consideration (IKC) in the form of infrastructure upgrades, climate and energy resilience and/or renewable energy credits at NSA

Annapolis.

What storage are you looking for? We are seeking Industry expertise to assess and advise on potential storage capacity, given existing site constraints and statutory requirements.

Does the Navy want the electricity produced? How much do they want/ current uptake? What is the entity seeking the information? What is the effective cost of current usage?

The Navy does not intend to consume or purchase power from a potential renewable energy generation project at the Dairy Farm. The Navy is seeking information from Industry on creative solutions, compatible with rural and agriculture use, that would maximize energy offsets. At this stage, the Navy does not have a specific target for offsets associated with renewable energy development at the Dairy Farm. The Navy is the entity seeking the information. The Navy is not prepared to provide the effective cost of current usage at this time.

Does purchaser want the RECs? The Navy is interested in information on all possible solutions and opportunities, including potential

RECs, at the RFI stage.

Are you seeking multiple projects or one installation? The Navy does not have a preference at this point and is open to considering all possible solutions and opportunities.

What is the approval process with Navy as well as county? The Navy will be assembling an internal project team to review and make recommendations for moving any proposed action forward. The project team's recommendations will be submitted to

Navy leadership for consideration. The Navy will continue to work in close coordination with the

County to ensure any potential action aligns with their goals and continues to have their support.

Has any initial community engagement been done with the surrounding neighborhood on siting and developing a renewable energy system at the Dairy Farm? Has there been any positive or negative feedback?

Initial public information release and engagement with elected officials has not garnered substantial feedback at this time, either positive or negative. The Navy will continue to support community engagement with the surrounding neighborhood and the larger Anne Arundel County community as it moves forward through the RFI process; as well as any future proposed action.

Under Title 10 U.S.C. § 8476, can the USNA Superintendent or SECNAV retain and use all lease payment proceeds for energy related programs and /or infrastructure improvements on the campus?

No.

As we read and understand Title 10, U. S. Code, § 8476 lease authority, it says that the lessee must maintain the rural and agricultural nature of the leased property. If this is the case, can any new development occur like large utility scale Solar PV or Battery Energy Storage?

The Navy is looking for industry to provide insight and ideas for renewable energy concept development that would maintain the property in its rural and agricultural nature. The Navy is seeking information from Industry on all current and emerging renewable energy technologies.

Has the serving utility BG&E been informed in anyway about the potential plans for developing a large scale RE system at the site?

BGE is aware on the issuance of the RFI.

Has USNA completed any studies or modeling to determine what is the available acreage that can be used to site a renewable energy generating system?

The Navy has not completed any studies or modeling to assess or determine available acreage. The

Navy is looking to developers to propose solutions that would maximize energy generation, given generalized site constraints and statutory requirements.

Are there any known endangered species within the farm property? There are approximately 35 acres of non-tidal wetlands and three acres of protected stream restoration areas on site, and historical accounts of three state endangered species on site (one fish, one plant, one bird). No species surveys have been conducted in the last 15-20 years.

What types of crops are grown on the farm property and will farming continue after the Anne Arundel County lease ends?

MD Sunrise Farm grows grass hay, corn, soybeans, milo, barley, wheat, triticale and a diverse mix of cool season annual cover crops. Anne Arundel County 4-H Club currently cultivates a mix of grasses for dairy cattle on site and the University of MD Extension Anne Arundel County Extension grows various crops. For more info on MD Extension farming operations, visit:

https://extension.umd.edu/locations/anne-arundel-county/agriculture-food-systems/urban-farming-research-clinic/follow-progress/ . Other crops grown on site, include grass for horses on site and a corn maze. Anticipated usage of the farm after the Anne Arundel County lease ends has not been discussed at this time.

When does the current lease end with Anne Arundel County and it is assumed, no other development can occur before this date – is this correct?

The lease with Anne Arundel County expires in 2038. No, it is not correct to assume that no other development could occur before this date. The Navy is pursuing this RFI with the support of Anne

Arundel County and with the goal of exploring options to maximize benefit to both the Department of the Navy and the County. As the Navy proceeds through the process of evaluating the RFI responses, it will work in close coordination with the County to ensure any potential action aligns with their goals and continues to have their support.

Are the two tenant farming organizations (“Horizon Organic Farm” and

“Maryland Sunrise Farm”) subleasing the land from Anne Arundel County and are they utilizing the entire 857 Acres or just certain parcels?

Anne Arundel County currently holds one sublessee, MD Sunrise Farms, which occupies approximately 714 acres. Horizon Organic Farm is not a current sublessee. Anne Arundel County is currently in negotiations with other entities for usage of approximately 22.6 acres. The remaining land under the County lease with the Navy is not being farmed nor is it encumbered with another sublease.

Are you able to say what form of lease payment does Anne Arundel

County provide USNA? Is it cash, IKC or something else?

Consideration is in the form of cash payment.

Please share the sign-in sheets from Industry Day with the RFI responses. We will not be posting an attendance list from Industry Day.

What discussions have been held with the County, current lease holder of the property, regarding options for alternative energy generation?

Are there any options unacceptable to the County?

The Navy is pursuing this RFI with the support of Anne Arundel County and with the goal of exploring options to maximize benefit to both the Department of the Navy and the County. As the Navy proceeds through the process of evaluating the RFI responses, it will work in close coordination with the County to ensure any potential action aligns with their goals and continues to have their support.

Where and when will the Industry Day presentation slides be posted? The slide deck, questions and responses will be posted Sam.gov on or before March 21, 2024 at 5:00 p.m.

Can we get a copy of the sign in sheets for Industry day? We will not be posting an attendance list from Industry Day.

Does the farm have an existing Nutrient Management Program? If so, what is it?

MD Sunrise Farm has an existing Nutrient Management Program, as required by state law. Nutrient

Management Program plans are proprietary, but must be registered with the Maryland Department of Agriculture and provide annual implementation reporting. The University of MD Extension-Anne

Arundel County also has an existing Nutrient Management Program for their activities onsite.

How many acres are currently being farmed? Are those crops being grown for human consumption or to feed the animals?

MD Sunrise Farm is farming all 714 of the acres within their leased footprint, with exception of areas covered by roadways, trees, waterways, etc. All crops grown are for livestock consumption.

University of Maryland Extension- Anne Arundel County Agricultural Extension grows crops for both human and animal consumption on an area of approximately one acre. Crops grown on an additional

~ 27 acres on the property are for animal consumption only.

How many animals are being raised on the farm? and what types? Approximately one dozen horses and heifer cows are on site seasonally between April and

September.

Do the sub leases from Anne Arundel County vary from year to year or are they longer term leases?

Current and typical Anne Arundel County subleases at the Dairy Farm are no more than two years in duration, but are subject to approval by the County and subleasee.

Does a company need to respond to the RFI to be considered to receive a copy of the RFP if/when NSA Annapolis releases one? Or will the RFP be released on a full and open basis to all interested bidders?

No, a company is not required to respond to the RFI to participate in a potential RFP. If the Navy moves forward with an RFP, it will be open to all interested bidders on Sam.gov. However, we encourage all interested companies to submit responses to the RFI so that the Navy can give proper consideration to whether or not to move forward with an RFP for this topic.

Would USNA consider a 1-2 week extension to the current RFI deadline submission of 29 March?

Yes, based off the interest at the USNA Dairy Farm Industry Day and the number of questions received from Industry as part of the RFI, the Navy will grant an extension to the original

(March 29, 2024) RFI response submission deadline. A modification to the RFI with an updated deadline will be posted to Sam.gov.

Who is the regulating body for permitting ? At this time, the Navy is just beginning the process of evaluating renewable energy generation capability at the Dairy Farm. If the Department of the Navy's requirements prompt a proposed change in the current use of the property, that proposed action will undergo a careful review in compliance with all applicable laws and regulations, including 10 U.S. Code §8476 and the National

Environmental Policy Act.

Does USNA experience brown outs or loss of electrical power often, on occasion or usually never?

NSA Annapolis and the USNA experience only occasional unplanned power disruptions (~ 10-

15/year; short in duration). Full loss of power supply is a rare occurrence.