CCC/IOU Energy Efficiency Partnership

Proposition 39: Year 1 Successes and Year 2 Planning

CA Higher Education Sustainability ConferenceSan Diego State UniversityJune 17, 2014

Karen Powell, Director, Facilities Maintenance and Operations San Mateo Community College District

Tony Ichsan, Dean, Facilities Planning and OperationsSanta Rosa Junior College District

Bob Bradshaw, Construction Manager, FacilitiesEl Camino College

Linh-Chi Hua, Program Advisor, Institutional Partnerships San Diego Gas & Electric Company

Linh-Chi2009 ACBO Conference1Proposition 39Adopted by the voters in November 2012 to close corporate tax loopholes and will provide roughly $550 million annually to K-12 and CCCs for Energy Projects for five yearsCCCs will allocate $31.6 million for FY 2014-2015 distributed on an FTES basis to all CCC Districts for energy efficiency and renewable generation projectsFunding approved annually by legislature with state budget

2Linh-Chi2Proposition 39CCC Chancellors Office will work with Districts and CCC/IOU Partnership to identify and fund projectsImplementation will parallel CCC/IOU Partnership process to combine Prop 39 funds and leverage utility incentives. IOUs to provide technical assistance to identify and develop projectsChancellors Office will also work with POUs to coordinate processes, services, and any incentivesA Program Consultant has been contracted through CCCCO to provide program administration and technical assistance

3Linh-Chi3How Have We Done So Far?: Year 1Year 1 Project Approvals to Date (Oct 2013 June 2014)$39.7 Million in Prop 39 Funding ApprovedAll 72 Districts participating $6.8 Million in Utility Incentives 313 Projects Approved with resulting ANNUAL energy cost savings of $4.6 million to Districts!4Linh-Chi4

Impact of Proposition 39 5Linh-Chi

5FY 14-15 Proposed Budget $31.6M 20% less fundingYear 2 Projects: Over 200 already submitted25+ Solar Projects68/72 Districts have projects identified $42M est. Construction Costs Year 2 Budget and Pipeline6Linh-Chi

6Implementing Prop 39 Projects on a Short TimelineKaren PowellDirector, Facilities Maintenance and Operations, San Mateo Community College District

Karen7Overview Year One Projects Basic Project InformationProject TimelineProcess StepsTalking SolarChallenges and VictoriesQ & A

8 Year One Prop 39 ProjectsProject 1 Leveraging $500,000 P39~1MW Solar InstallationOver 4100 Highly Efficient, High Quality Panels 41 String level power invertersPoured-in-place concrete drilled piersHigh tensile, galvanized steel infrastructure20 Year O&M Package20 year Performance Guarantee

Project 2 Leveraging $211,000 P39Parking Lot and Street Light LEDs120 Fixtures at Caada College80 Fixtures at College of San MateoLighting Controls (dimming, safety, and typical scheduling)Building Management System Integration (See Challenges*)

9Process StepsLeverage Available CCC -IOU ResourcesLeverage Available Technical ExpertiseCombined RFQ/P to appropriate selection of vendors

10Talking Solar Caada College Solar Photovoltaic Solar System Project - Proposal ScoringScoring Summary for Individual Reviewer - Final Review with BAFOCriteriaMax Points Available Proposer A Proposer BProposer CProposer DProduction Model and Economic Evaluation 350350312338260NonFinancial Evaluation by District CommitteeBackground, References and Experience250192227203187Approach200164135.4117161Respondent's Financial Information150120130120108Use of Local Contractors5040304040NonFinancial Score650516522.4480496Final Combined Score1000866834.4818756

11ChallengesVictories1212

Year Two & Three Prop 39 ProjectsYear TwoParking Lot, Roadway, Pedestrian Pathway lighting retrofit, Skyline CollegePedestrian Pathway lighting retrofit, Caada College, College of San Mateo

Year ThreeInterior Lighting retrofit, Caada College, College of San Mateo, Skyline College

1313El Camino College

Bob Bradshaw, Construction ManagerEl Camino College

CHESC: CCC/IOU-Prop 39

2009 ACBO Conference14E1-1

15E2-1

16E2-2

17Master Plan

1818El Caminos Prop 39 StrategiesBidding avenuesPiggy back on Purchase agreements to expedite the first year process for completion. Considering 4217 for HVAC replacement Custom manufactured unit Selection of an experienced manufacturer/ installer will be critical to the installation timeline.

Looking ahead to Prop 39 Years 3 and 4 allocations:More exterior lighting, poles and wall packs. New construction that are not remodels but may be an opportune time for lighting retrofits and HVAC work.

19Not sooner than one year but no later than 15 months after completion of its first eligible project, the District shall submit an Annual Expenditure Report to the CO containing the following information (to the extent practical):The total final gross project costThe estimated amount of energy saved, accompanied by specified energy consumption and utility bill cost dataThe name plate rating of new clean energy generation installed.The entitys energy intensity (energy use per sf) before and after project completion as determined from an energy rating or benchmark system.Actual Job Creation

Key Issue: Annual Expenditures

2020Job Tracking FormsMonthly and Project Completion ReportingDirect FTE and Trainees created from Prop 39 implementationDistrict shall require that any project implementation entity architects, engineers, and implementation contractors fill out these reports and submit to the Districts as a requirement of contract

21Test Prop 39 funds to verify that they are tracked and reported separately. They are not to be comingled with other state or local funds.Review Final Project Verification Report to ensure completion and that it has appropriate signatures.Trace items on approved CCC Prop 39 Project Funding application and Project Verification Report to supporting documents. (Invoices, purchase orders, etc)Verify compliance with competitive bid process and other PCC requirementsDistrict Prop 39 expenditures will be subject to an annual state compliance test as outlined in the Contract District Audit Manual and pursuant to Education Code 84040 and Public Resources Code 26240(g). The Audit Test Procedures are as follows:

Key Issue: State Compliance

2222Proposition 39 In ActionTony Ichsan, ARM, CEFP, LEED AP Dean, Facilities Planning and OperationsSonoma County Junior College District ~ Santa Rosa Junior College

23

Western Association of Schools and CollegesAccrediting Commission for Community and Junior Colleges

24Accrediting Commission for Community & Junior Colleges (ACCJC)25Section III, B Physical Resources:Physical resources, which include facilities, equipment, land, and other assets, support student learning programs and services and improve institutional effectiveness. Physical resource planning is integrated with institutional planning.Section III, B 2:To assure the feasibility and effectiveness of physical resources in supporting institutional programs and services, the institution plans and evaluates its facilities and equipment on a regular basis, taking utilization and other relevant data into account.

Accrediting Commission for Community & Junior Colleges (ACCJC)26Section III, B 2a:Long-range capital plans support institutional improvement goals and reflect projections of the total cost of ownership of new facilities and equipment.

Total Cost of Ownership (TCO)Stage One Land, Design, Construction, (5-15%)Occupancy

Stage Two Operation, Maintenance (65-80%)Renewal/Modernization

Stage Three Decommission, Demolition(1-5%)

Facility Life Cycle Stages (50 Year, and longer)Stage One Land, Design, Construction, (5-15%)Occupancy

Stage Two Operation, Maintenance (65-80%)Renewal/Modernization

Stage Three Decommission, Demolition(1-5%)

Facility Life Cycle Stages (50 Year, and longer)Stage One Land, Design, Construction, (5-15%)Occupancy

Stage Two Operation, Maintenance (65-80%)Renewal/Modernization

Stage Three Decommission, Demolition(1-5%)

Facility Life Cycle Stages ($20M Construction)Stage One Land, Design, Construction, (5-15%)Occupancy

Stage Two Operation, Maintenance (65-80%)Renewal/Modernization

Stage Three Decommission, Demolition(1-5%)

Facility Life Cycle Stages (Example: $136M TCO)Stage One Land, Design, Construction, ($20M)Occupancy

Stage Two Operation, Maintenance ($109M)Renewal/Modernization

Stage Three Decommission, Demolition($7M)

Effect of adequate and timely maintenance and repairs on the service life of a building. Source: NRC, 1993

$109,000,000

33$109,000,000REALLY??!??

34$109,000,000REALLY??!??...Wow

35$109,000,000REALLY??!??...WowDont Panic!

36$109,000,000REALLY??!??...WowDont Panic!Were Here to Help

37Common required projects (ROI 5-10 years Estimates Only):

Common required projects (ROI 5-10 years Estimates Only):Install Occupancy Sensors$5,000

Common required projects (ROI 5-10 years Estimates Only):Install Occupancy Sensors$5,000Replace Standard Motors with High Efficiency Motors$25,000

Common required projects (ROI 5-10 years Estimates Only):Install Occupancy Sensors$5,000Replace Standard Motors with High Efficiency Motors$25,000Replace HPS with LEDs$25,000

Common required projects (ROI 5-10 years Estimates Only):Install Occupancy Sensors$5,000Replace Standard Motors with High Efficiency Motors$25,000Replace HPS with LEDs$25,000Indoor/Outdoor Pool Pump Replacement with VSD$64,000

Total Cost of Ownership Projects(ROI 10-20 years Estimates Only):Parking Structure replace lights with (300) LEDs$150,000

Total Cost of Ownership Projects(ROI 10-20 years Estimates Only):Parking Structure replace lights with (300) LEDs$150,000

Total Cost of Ownership Projects(ROI 10-20 years Estimates Only):Parking Structure replace lights with (300) LEDs$150,000

Total Cost of Ownership Projects(ROI 10-20 years Estimates Only):Parking Structure replace lights with (300) LEDs$150,000Replace outdoor pole lights with Bi-Level LEDs$300,000

Total Cost of Ownership Projects(ROI 10-20 years Estimates Only):Parking Structure replace lights with (300) LEDs$150,000Replace outdoor pole lights with Bi-Level LEDs$300,000

Total Cost of Ownership Projects(ROI 10-20 years Estimates Only):Parking Structure replace lights with (300) LEDs$150,000Replace outdoor pole lights with Bi-Level LEDs$300,000Install VFDs and Economizer on Existing HVAC$160,000

Build-On Partnerships Projects

Photovoltaics$1,508,000.00

Build-On Partnerships Projects Estimates Only

Photovoltaics$1,508,000.00Total 553 kW

Build-On Partnerships Projects Estimates Only

Photovoltaics$1,508,000.00Cogeneration/CHP$ 240,000.00

Build-On Partnerships Projects Estimates Only

Photovoltaics$1,508,000.00Cogeneration/CHP$ 240,000.00340 kW

Build-On Partnerships Projects Estimates Only

53Photovoltaics$1,508,000.00Cogeneration/CHP$ 240,000.00340 kW

Build-On Partnerships Projects Estimates Only

Photovoltaics$1,508,000.00Cogeneration/CHP$ 240,000.00

Build-On Partnerships Projects Estimates Only

Photovoltaics$1,508,000.00Cogeneration/CHP$ 240,000.00Savings-By-Design$ 200,000.00

Build-On Partnerships Projects Estimates Only

Build-On Partnerships Projects

Photovoltaics$1,508,000.00Cogeneration/CHP$ 240,000.00Savings-By-Design$ 200,000.00Other Incentives$ 250,000.00TOTAL$2,198,000.00

Build-On Partnerships Projects Estimates Only

and to help your Institution support the TCO requirements and if applicable, complete the Prop-39 process

59and to help your District support the TCO requirements and complete the Prop-39 process here to do your heavy lifting

60and to help your District support the TCO requirements and complete the Prop-39 process here to do your heavy liftingis the IOU Partnership!

61The CCC/IOU Energy Efficiency PartnershipHow to Utilize Proposition 39 Funding for Energy and Cost Saving Projects

CHESC: CCC/IOU-Prop 39

Linh-Chi Hua, Program AdvisorSDG&E

Lisa2009 ACBO Conference62Prop 39 and the CCC/IOU PartnershipCCC Guidelines Leverage Partnership Processes, Services, and IncentivesDistricts should work with IOUs to identify projects, prepare energy calculations, and submit both incentive and Prop 39 funding Project M&V and Reporting will be facilitated by utility processYour Success is our Success!We both want Energy Savings2009 CCLC Trustee's Conference 2009 CISOA ConferenceProgram Incentives for 2013-14MEASUREINCENTIVE RATEElectricity$0.24 / kWhPackaged HVAC, HVAC Controls, Motors, DrivesLighting, Lighting Controls, DaylightingCentral Plants, Chiller Retrofits, and other major Energy Efficiency Infrastructure ProjectsMonitor Based Commissioning (MBCx) IT ProjectsNatural Gas$1.00 / thermALL Gas Measures

642009 CCFC Conference64Open ForumQuestions?Suggestions?Process Improvements?Complaints?Contact InformationNameOrganizationE-mailPhoneSusan YeagerCCCCOsyeager@cccco.edu(916) 324-9508Linh-Chi HuaSDG&ELHua@semprautilities.com(619) 206-1040Karen PowellSMCCDpowellk@smccd.edu(650) 574-6512Tony IchsanSanta Rosa JCaichsan@santarosa.edu(707) 527-4432Bob BradshawEl Camino CCDrbradshaw@elcamino.edu(310) 363-1102Dave HatherPG&Edth2@pge.com(916) 386-5007Sarina DitoPG&ESCU1@pge.com(415) 973-0777Paul DeangSCGPDeang@semprautilities.com(213) 444-8961Lori AtwaterSCELori.Atwater@sce.com(626) 302-0502 Lisa Hannaman SCELisa.Hannaman@SCE.com(714) 895-0616Matt SullivanNewcomb Anderson McCormickmatt_sullivan@newcomb.cc(415) 896-0300Linh-Hua2009 ACBO Conference66