Ames City Council | April 21, 2026

The Ames City Council held a detailed workshop on April 21, 2026, focusing primarily on the city's electric utility projects, including the proposed construction of new natural gas-fired Rice engine generation units and a utility-scale solar farm at the Ames Municipal Airport. The council discussed the need for new generation capacity due to growing peak demand and the aging waste-to-energy Unit 7. The Rice engine project, estimated at $192 million, involves procuring three 18-megawatt units with bids due in May and contract awards anticipated in September. The council reviewed the financial modeling, including a proposed two-step financing plan with a drawdown facility followed by fixed-rate bonds, and discussed rate increases to cover debt service. Additionally, the council considered pursuing a revocable land lease agreement to enable a solar farm project, with estimated costs around $4 million for development and potential substation upgrades. The council voted unanimously to direct staff to continue negotiations on the lease option. Public comments supported both projects for their contributions to capacity, reliability, and carbon footprint reduction. The meeting also included discussions on the utility's energy mix, carbon reduction goals, and the impact of market dynamics on energy procurement.