October 25, 2018 NM Infrastructure Finance Conference Statewide Energy Compatibility Project Funding Opportunities Sandra Gaiser, AICP Regional Planning Manager Mid Region Council of Governments (MRCOG) Office 505-724-3645 sgaiser@mrcog-nm.gov Seven Council of Governments in NM. Funded by 3 common sources: Economic Development – Federal funding, RTPO – NMDOT and State Grant in Aid – state appropriation. State Grant in Aid allows the COGs to provide technical assistance for land use planning, project management, resources planning, training, host ICIP workshops, and more. October 25, 2018 NM Infrastructure Finance Conference

OEA works with communities who are facing potential shifts in economic stability because of changes within the defense industry and provides grants in the following areas: Base Closure Base Realignment Base Reuse Compatible Use: Statewide Energy Compatible Project Defense Contractor Transitions Federal Assistance Coordination http://www.oea.gov/ Funding Source: Department of Defense Office of Economic Adjustment (OEA) I am here to talk about the funding that the Mid-Region Council of Governments from the Office of Economic Adjustment. The OEA is under the Department of Defense.

Five Military Facilities in New Mexico Kirtland AFB White Sands Missile Range Holloman AFB Cannon AFB Melrose AFR Out of the seven COGs, three COGs do not have a military facility. However, the Air Force uses the entire state for their military operations.

Why MRCOG OEA Timeline – Statewide Energy Project 2008 – MRCOG awarded $495,000 grant to manage Kirtland Air Force Base Joint Land Use Study (KAFB JLUS) 2011 – MRCOG received $132,000 grant for KAFB Implementation Report 2017 – MRCOG awarded $699,451 for Statewide Energy Compatibility Grant 2018 – MRCOG hires Matrix Design Group to oversee the project Why MRCOG There has several OEA grants awarded to NM. JLUS studies for KAFB, Southern New Mexico several million dollars.

The Project: A Statewide approach to siting energy projects Two-year grant from the Office of Economic Adjustment (OEA) Develop a state-wide process that will identify existing and potential conflicts with the siting of energy facilities. Focus on energy compatibility, promoting economic development, protecting both public health, safety as well as the operational missions of the military. Promote coordination with local governments, military facilities and energy developers. Facilitate better communication between the entities and promote economic development throughout the state. Development of a web-based tool to identify areas of potential conflict. The Project: A Statewide approach to siting energy projects

Why is this project important to New Mexico? “Air Force training route cuts possible wind turbine numbers: the military training route has displaced 61 of 114 wind turbine locations on state trust land. “ Mountain View Telegraph 3/23/2018 El Cabo also pays a total of $1.5 million annually to the state in lieu of taxes and for leases with eight private landowners, amounting to $37.5 million over the 25-year life of the project. “El Cabo [located in Torrance County] pays a total of $1.5 million annually to the state in lieu of taxes and for leases with eight private landowners, amounting to $37.5 million over the 25-year life of the project”. Albuquerque Journal 5/27/2018 “$3.1 billion Defense Spending FY 2015 in New Mexico”. Office of Economic Adjustment

Spending in New Mexico Wind Development Spending in NM Defense Spending in New Mexico Spending in New Mexico New Mexico added 571 MW in 2017 – 51% increase from 2016 1,682 MW of wind online, a total investment of $2.9 billion 2017 direct & indirect jobs supported: 3,001 to 4,000 Total capital investment through 2017: $2.9 billion* Annual land lease payments*: $5-10 million # 32 in Nation - $3.1 Billion spent in State #14 in Nation - 3.4% of State GDP 0.8% - % of total U.S. Defense Spending $1,475 per resident spending Source: Office of Economic Adjustment – FY2015 *calculations based on national & state averages Source: American Wind Energy Association (AWEA)

Defense Spending in New Mexico by Counties

Contacts Sandra Gaiser, AICP David Wilder, RA, PMP Regional Planning Manager and Project Manager Mid-Region Council of Governments Office 505-724-3645 sgaiser@mrcog-nm.gov David Wilder, RA, PMP David P. Wilder, RA, PMP, Executive Associate Matrix Design Group, Inc. Office 443.274.6098 | Mobile 937.564.3731 David_Wilder@matrixdesigngroup.com Contacts