Board directs feasibility to start with smaller B5 microgrid boundary, asks staff to optimize to include Lucerne if feasible

The Lake County Board of Supervisors on Aug. 4 directed staff to open the Flash microgrid feasibility under the smaller B5 service boundary for contracting and grant purposes, while stating a policy intent to maximize coverage and seek options to add Lucerne later.

Ben Rickleman, deputy county administrative officer, introduced the two boundary maps and said Trane projects both B4 (larger, includes Lucerne) and B5 (smaller) are viable but that B5 produces stronger project economics. Michael Day of Trane told the board the county must define an initial boundary for PG&E grant documents but that “if you give us direction that you want the project to generate as much free cash flow as possible, we can optimize to that. If your North Star is to cover as many people as possible, we can optimize around that.”

Board members split on risk and reach. One board member urged pursuing the larger B4 to reach more residents and seize competitive funding opportunities; others favored B5 as easier to contract and with stronger near-term economics. The chair summarized the outcome as consensus to “start with the smaller footprint” but to provide staff with clear direction that the county’s intent is to try to expand coverage to include Lucerne during the feasibility and design process.

There was no formal vote. Staff said the feasibility work is grant-funded predevelopment work (environmental review and engineering) and does not commit the county to construction or to fund capital costs beyond staff time.

Next steps: staff will finalize the PG&E grant-boundary documentation using B5 for now, pursue feasibility analyses over the coming 9–15 months, and report back with options and financial details for any decision about expanding to a larger boundary.