RFP review paused as procurement and legal questions are resolved; loan-loss reserve proposed

Virginia Energy staff updated the advisory board on the draft solicitation for an LMI solar pilot, saying procurement and legal issues require further work before the full draft RFP can be reviewed in a public board meeting.

Carrie explained that questions raised by the procurement team and the Office of the Attorney General include public‑meeting logistics, freedom-of-information obligations, conflict-of-interest disclosure requirements, and distinctions between the board's advisory role and the agency's execution of contracts. "We had to kind of back up a little bit and pause our original plan in terms of providing you all with the full RFP for review," she said, noting staff will seek additional direction from the AG's representative and public procurement staff.

Carrie clarified funding rules: "The dollars that we have from the American Recovery and Reinvestment Act, are federal dollars... those funds are not able to go through the formal state treasury fund with a capital f," she said, and Virginia Energy will administer the ERA (federal) dollars through the state energy office. Staff reported last year's appropriation of $200,000 and this fiscal year's appropriation of $300,000, for a combined $500,000 available for the pilot.

Nate Hausman (Clean Energy States Alliance/CISA) described the solicitation as open ended on program structure and financing and raised concerns about ensuring continuing bill savings for LMI customers. He discussed mechanisms to guarantee savings and proposed that a loan-loss reserve administered by Virginia Energy could backstop provider failure or other events that prevent expected savings. Nate said the board could ask respondents to propose fund triggers and caps, and offered a ballpark capitalization: "we're thinking a 100,000, something in in that range," while acknowledging the figure is preliminary.

Staff said Virginia Energy has administered loan-loss reserve funds previously and that recycled ERA dollars could be used in a revolving manner. The board agreed staff would continue to consult with procurement and the AG and provide clarity on disclosure forms, executive session needs, or other procedural requirements before presenting a public draft RFP. The board also noted it will review RFP materials in December pending legal guidance and procurement input.

Separately, Nate announced he accepted a new position at the World Resources Institute and said his last day at CISA will be Dec. 3; Wafame Al Amin and Melanie Santiago Mosher were identified as continuing support for the project.