Notice of Intent to Award to the Hopi Tribe

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Bureau of Reclamation (Reclamation) executed an Interagency Agreement (IA) with the Department of Energy (DOE) contracting the National Renewable Energy Laboratory (NREL) to publish an analysis of potential clean energy alternatives to Navajo Generating Station (NGS) in June 2012, “Navajo Generation Station and Clean-Energy Alternatives: Options for Renewables.” The NREL Phase I report was the first step in a phased approach to evaluate scenarios for the future operations of the NGS. The technical report included recommendations for further analysis (Phase II). Reclamation executed a subsequent IA with DOE to enlist NREL as a technical resource in March 2013 to participate in the tribal energy development planning activities. The Technical Working Group (TWG) agreement included, among a number of tasks, a Department of Interior (DOI) commitment to complete the NREL Phase II study within a framework emphasizing water, economic and renewable energy development. While the Recipient is not a signatory to the NGS Settlement Agreement and is not a party of the TWG, technical assistance was provided because the Recipient will be negatively impacted due to its reliance on coal revenue related to the NGS. The Technical assistance funding is being afforded to the Recipient to support development of a Clean Energy Plan (Plan), including water, economic development, and renewable energy goals. In February 2017, the NGS owners and participants formally decided not to continue operations beyond 2019 and outlined operations scenarios in accordance with the 1969 NGS lease. The economic impacts resulting from the closure of NGS at the end of 2019 combined with commitments made by the Department of Interior (Interior) (2013 NGS Technical Working Group Agreement) has altered the time-frame and tasks required to complete the Plan. This modification is to increase the scope of work (SOW) and budget in order to complete the Plan prior to the expiration of the NGS lease. The objective is to identify water resource development and management elements that can be served by renewable energy generation alternatives.

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