One project will install a solar array on the roof of the electric department garage at 1711 Sheridan Road. The city awarded the job to Peninsula Solar out of Marquette, which presented the lowest-cost proposal among the four who responded with bids. The project is already in the budget and the contract price — not to exceed $165,000 — is under what was set aside.

Electric Utility Director Gerald Pirkola, who explained the project to council Thursday, credited Distribution Engineer Josh Krajniak for doing a lot of the “legwork” in researching, compiling the bid request and contacting vendors. Krajniak also evaluated the bids and determined Peninsula Solar was the best choice, Pirkola said.

Initially, the idea had been to put panels on the roof of the office portion of the Electric Department building as well. There were a couple reasons for only doing the sloped, steel garage roof for now — for one, it allows for repairs to be done on the membrane-style office roof before a solar array goes on top; for another, there was some concern that because snow often drifts on the flat office roof, it could potentially damage or block any panels there.

On the pitched garage roof, the panels will be clamped as opposed to penetrating or ballasted.

From left to right, Escanaba City Council members Tyler DuBord, Todd Flath, Mark Ammel, Ron Beauchamp, Karen Moore and City Manager Jim McNeil hear plans to install solar panels on the roof of the electric department's garage. (R. R. Branstrom | Daily Press)

By moving forward now, the city expects to receive tax credits — a rebate from the federal government — if they incur 5% of the cost of the project before the end of the year. The credit is an incentive for moving toward renewable energy sources.

Another reason to press forward and get 5% of the work done this year is “we avoid a lot of the requirements of the One Big Beautiful Bill, some of which are the foreign entity rule. And if we wait until next year, certain amounts of construction need to be done at certain times,” Pirkola said. “So basically, if we can start this project this year and incur at least 5% of the total project, we’re pretty much guaranteed to get that 40% return.”

Even if the tax credit doesn’t end up coming through, Pirkola said, payback would be about 12 to 13 years.

He added that while proceeding with other solar projects — like installing similar arrays on other city buildings, as Council Member Tyler DuBord suggested — is also doable in 2026, those future projects would require more work in order to comply with the Big Beautiful Bill.

Once the solar panel array is installed on the steel roof of the electric department garage, it is expected to have a 25-plus-year lifespan. While no exact figure was presented on how much savings/offset the solar addition could yield, Pirkola said it will be “significant,” and estimated it could offset about a third.

Escanaba Mayor Mark Ammel proclaims Oct. 19 to 25 as "Friends of Libraries Week." (R. R. Branstrom | Daily Press)

A second request the council approved Thursday was for engineering on a 1.4 megawatt AC solar facility in the industrial park. The city is hiring Power System Engineering, or PSE, for the work, which should include an environmental analysis, preliminary electrical and civil engineering, development of requests for proposals, engineering design, construction oversight and project testing. The contract cost is not to exceed $280,485.

Earlier in the year, during budget hearings, the city opted not to include a solar project like this in the budget, instead hoping for grants. Escanaba was indeed awarded one under the “Solar for All” program — but the grant was withdrawn when the Environmental Protection Agency announced in August the program had been canceled. Multiple states, nonprofits and solar installers have since filed lawsuits over the cancellation, claiming the EPA overreached its authority by cutting a program and funding that had been approved by Congress in 2022.

The City of Escanaba seeking to contract with PSE for a solar facility at the industrial park was “a reaction to ‘Solar for All’ falling through,” City Manager Jim McNeil said. While they had looked into other property not owned by the city, working with unused industrial park land would be quicker and also meant the city could consider removing the panels after their useful life and selling the land. Maintenance is expected to be minimal during operation.

The project makes financial sense, McNeil explained, when current market prices for energy are considered. Prices right now can be about $60 per megawatt hour, but the City of Escanaba plans to use domestic products for the new solar facility and get a rebate to bring their cost down to $31 per megawatt hour.

Regarding hiring PSE, “we feel that it’s important to use an engineering firm to ensure that we meet the requirements” to get the tax incentives, Pirkola said.

After some queries and discussion, the council voted unanimously to approve both solar endeavors.

In other business Thursday, the council:

— Heard from Public Works Director Kent DuBord about a project to double-chip-seal South 18th Street between 20th and 22nd avenues. A public hearing is set for Nov. 6.

— Approved the use and closure of the 1000, 1100 and possibly 1200 blocks of Ludington Street and 11th Street to the alleys for the Spooktacular trunk-or-treat event Sunday. The road will be inaccessible between 2:30 and 7 p.m.

— Agreed to hire FDS Engineering and Electrical Services of Iron Mountain to upgrade the SCADA network and wi-fi at the water department. “We had worked with FDS during the wastewater plant upgrade, and we’re looking to repeat that work over at the water plant,” said McNeil, after stating the water plant has had “chronic wi-fi failures.” The project is not to exceed $16,000 and is in the budget.

— Awarded a $117,625 contract to Elexco Inc. of Seymour, Wis., to prepare substation foundations and trenching for new equipment. Money was budgeted for the project.

— Backed applying for a $25,000 grant from America in Bloom to support flowerpots and planters in town. While the grant application is in the city’s name, partners are Enhance Escanaba, the nonprofit whose goal is to beautify Esky, and the Escanaba Downtown Development Authority. “Enhance Escanaba will be the major facilitator and coordinator until completion,” a letter from the nonprofit states.

— Authorized seeking a $200,000 Michigan Shared Streets and Spaces grant.

— Heard three public comments in favor of allowing chickens in Escanaba, and two opposed to the development of condominiums.

— Recognized Oct. 19 to 25 as National Friends of Libraries Week in Escanaba, with a proclamation by Mayor Mark Ammel.

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R. R. Branstrom can be reached at 906-786-2021, ext. 140, or rbranstrom@dailypress.net.