Ypsilanti to Purchase More than 500 LED Streetlights

Ypsilanti will purchase 505 new LED streetlight as it continues an effort to replace all high-pressure sodium and mercury-vapor streetlights in the city. The Ypsilanti City Council voted unanimously to approve the purchase on July 23.

The move also was the next step in the city’s effort to establish a special assessment streetlight district that would impose a flat fee on residents and businesses to pay the city’s DTE bill and conversion to LED lighting. The city is anxious to convert the lighting in the coming months because it is one of the first cities in the state to complete a full conversion. Because of that, DTE is offering the bulbs and installation at a reduced rate.

The 505 bulbs will cost around $192,000, which includes a $22,000 rebate from DTE. The cost of running those 505 lights is expected to be $81,000, giving the city an annual savings of $40,000 comparing to the $121,000 annually in the past. That means the city will get its return on the investment in 4.8 years.

“In a period of less than five years, you get 100 percent of your investment, then you make a $40,000 dividend for the rest of time. That’s an extraordinary advantage,” said City Manager Ralph Lange. “This is a case where city being innovative is really paying off."

The city has already replaced 294 lights. Switching to LED lights will cut the city’s electric bill from $515,000 annually to an estimated $400,000 annually. The conversion from current lighting to LED will take place over the next two years and will cost approximately $555,000.

If the new streetlight fee gets final approval as proposed, a parcel owner will pay an estimated $98 in fiscal year 2014 and $92 in fiscal year 2015. That figure will drop to $84 through fiscal year 2020 and $67.51 through fiscal year 2031.
 

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