Submitted By: Tony Clayton
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Presentation By: Doug Peebles
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Department: Electric Utility
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FORMAL TITLE:
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Resolution 2027-7 to sunset the Ocala Community Solar Subscription Program
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OCALA’S RELEVANT STRATEGIC GOALS:
Fiscally Sustainable, Operational Excellence
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PROOF OF PUBLICATION:
N/A
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BACKGROUND:
Ocala's Community Solar Subscription Program launched in June 2020, allowing Ocala Electric Utility (OEU) customers to subscribe to 25 percent, 50 percent, or 100 percent of their usage under the City's 17 MW entitlement in the Florida Municipal Power Agency’s (FMPA) Florida Municipal Solar Project. Subscribers pay a Solar Energy Surcharge of $0.016/kWh, which was designed to reflect the cost of solar without affecting non-subscribers. As of October 2026, about 0.2 MW (1.17 percent) of the available capacity was subscribed. On September 16, 2026, the Utility Advisory Board approved the sunsetting of the program.
FINDINGS AND CONCLUSIONS:
After five years, the program has not achieved meaningful participation: as of April 2026, the largest participant canceled their subscription, leaving about 99 percent of the entitlement unsubscribed; residential uptake is negligible; and one customer previously held about 89 percent of subscribed capacity.
The cost of administering and marketing the program is disproportionate to its use. Customers frequently confuse it with net metering, and the surcharge no longer reliably reflects the actual cost of solar. Staff therefore recommend sunsetting the program, giving existing subscribers 45 days' notice, and continuing to serve Ocala's 17 MW FMPA solar entitlement through OEU's general power supply.
FISCAL IMPACT:
Sunsetting the program ends approximately $27,000 per year in Solar Energy Surcharge revenue. Ocala's 17 MW capacity under the FMPA ARP Solar Participation Agreement will be added to the general generation portfolio. A budget amendment is not required.
PROCUREMENT REVIEW:
N/A
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