attachment a - small business efficiency...

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Attachment A - Small Business Efficiency Program A subset of the Main Street Efficiency Initiative

A roadmap for communities to support energy efficiency in small businesses May 24th, 2010

Small Business Efficiency Program

Program Manager: Joel Asrael Commercial Program Manager The Governor’s Energy Office 1580 Logan Street, Suite 100 Denver, CO 80203 303.866.2100 [email protected] The Governor’s Energy Office (GEO) The GEO's mission is to lead Colorado to a New Energy Economy by advancing energy efficiency and renewable, clean energy resources. The GEO recognizes the critical role it will play in charting Colorado’s leading role in the provision of clean and renewable forms of energy. The GEO works with communities, utilities, private and public organizations, and individuals to promote renewable energy such as wind, solar, and geothermal, and energy efficiency technologies in commercial and residential buildings. The New Energy Economy benefits Colorado by creating jobs and protecting our natural environment. Project Manager: John Canfield Consultant to the Governor’s Energy Office Trident Energy Services, Inc. 1430 Nelson Road, Suite 204 Longmont, Colorado 80501 303.247.0193 [email protected] Project Coordinator: Emily Evans Consultant to the Governor’s Energy Office Trident Energy Services, Inc. 1430 Nelson Road, Suite 204 Longmont, Colorado 80501 303.247.0193 [email protected] This program is funded by the American Reinvestment and Recovery Act of 2009 (ARRA) The GEO is one of Colorado’s state agencies responsible for use and distributing ARRA funds in Colorado.

Small Business Efficiency Program Table of Contents

INTRODUCTION ..................................................................................................................... 1 Program Background ........................................................................................................... 1

EXECUTIVE SUMMARY ......................................................................................................... 2 Program Outline ................................................................................................................... 2 Summary of Roles and Responsibilities ............................................................................... 6

PROGRAM GOALS AND OUTCOMES .................................................................................. 7

PROGRAM STEPS IN DETAIL ............................................................................................... 8 Step 1. Outreach and Application Period ............................................................................. 8 Step 2. Education and Energy Data Management ............................................................... 9 Step 3. Facility Assessment ............................................................................................... 11 Step 4. ECM Implementation ............................................................................................. 12 Step 5. Measurement and Verification and Project Funding .............................................. 13 Step 6. Recognition ............................................................................................................ 15

PROGRAM ADMINISTRATION ............................................................................................ 17 Program Types .................................................................................................................. 17 Budgets and Timelines ...................................................................................................... 17 Summary of Roles and Responsibilities ............................................................................. 19

OTHER RESOURCES .......................................................................................................... 20 Education and Training ...................................................................................................... 20 Rebates ............................................................................................................................. 20


Page 1

Introduction

Program Background The Main Street Efficiency Initiative (MSEI) provides support and funding to Colorado Cities for developing energy efficiency programs for small- and medium-sized businesses. City programs will support businesses by providing training on energy data management, funding for facility assessments and energy efficiency upgrades, and conducting technical reviews at key steps of the process. MSEI is funded by the American Recovery and Reinvestment Act (ARRA) with the goals of reducing energy needs and costs for small businesses, creating local jobs in the community, and reducing overall carbon emissions. The intent of this program is to incubate sustainable local programs that can continue to thrive after the MSEI program is complete. As part of the ARRA funding, select communities in Colorado have received funding for the development of their own energy efficiency program through the Energy Efficiency and Conservation Block Grants (EECBG). Four of these communities, the City of Arvada, the City of Littleton, the City of Pueblo, and the City of Westminster, have elected to have their programs developed and managed by the Governor’s Energy Office (GEO). The program created for these four communities is called the Small Business Efficiency Program. GEO1 will be responsible for a majority of the program development and its administration; however, each participating City and business will have a role to play in ensuring the program’s success.

1Trident Energy Services is a consultant to GEO and will be developing and managing each City’s program. As GEO’s consultant all references to “GEO” refer to Trident Energy Services, unless stated otherwise.


Executive Summary

Program Outline The steps below highlight key program components for each City’s SBEP program. Step 1. Outreach and Application Period

Cities will advertise the program through their in-house business outreach groups. Businesses can apply to the program by completing a GEO-developed application/commitment form that requests facility information including: business type, square feet of space, maintenance issues, most recent 12 months of electricity and heating fuel bills, and any general information required for ARRA reporting. The application will provide enough detail to support contractors and businesses when applying for utility rebates. Completed applications shall be submitted to GEO. Delivery of the applications will be determined by each City and include two options:

1) Cities may request businesses to submit applications electronically to GEO. The date and time of the email will act as a timestamp for receipt. OR

2) Cities may request that businesses hand deliver applications to each City’s City Hall and a City representative will timestamp each application. GEO will collect all applications from the City Hall and proceed with the selection process.

At the discretion of each City, all small- to medium-sized businesses are encouraged to apply to the program. GEO will select businesses based on the following criteria:

• Operate in a space that is equal to or less than 25,000 square feet; and • On a first-come, first-serve basis.

Each City will provide a maximum rebate of $5,200 to each participating business. Based on the information provided in the application form GEO will make a recommendation for the business to either: 1) receive a lighting audit and implement lighting retrofits through Xcel Energy’s (Xcel) Small Business Lighting Program; or 2) receive a comprehensive facility energy audit and implement lighting retrofits, re-commissioning, and setback thermostats. Note: the lighting-only audit is not available to businesses located in the City of Pueblo.2

2 This program is part of Xcel’s Small Business Lighting Program and because Pueblo businesses receive their electricity from Black Hills they are not able to participate in “electric” programs from Xcel.

Page 2

Small Business Efficiency Program Step 2. Education and Energy Data Management

GEO will develop and host two training workshops for businesses and other interested parties to learn more about the program and energy data management. One workshop will be held in the Denver Metro area and a second workshop will be held in Pueblo. A video recording of the workshops will be available for those who cannot attend and a viewing of the workshop will be broadcasted on each City’s Channel 8 station. Presence at the workshop is mandatory for program participation; however, if a business representative is not able to attend the workshop watching a recording of the workshop is acceptable. During the workshop, businesses will learn how to develop a baseline of their most recent 12 months of utility use and costs. Participating businesses must establish a utility baseline. Businesses will also be prepared to continue data tracking post-implementation.

Step 3. Facility Assessment

Lighting-Only Audits Businesses that have been selected by GEO to receive a lighting-only audit will coordinate with Xcel’s Small Business group to receive their audit. This audit is free and the $100 audit rebate amount provided by the City will be added to the rebates for lighting upgrades. Xcel’s Small Business consultant will continue to work with the business through the energy conservation measure (ECM) implementation phase. If a business has had a lighting audit performed by a qualified lighting contractor within the last 12 months, the audit requirement may be waived depending on GEO’s review and the business shall proceed with the implementation phase included with the comprehensive energy audit.

GEO will provide a third party review of audits and proposed upgrades and will reserve the rebate amount on the business’s behalf for future distribution. Comprehensive Energy Audits Businesses that have been selected by GEO to receive a comprehensive energy audit will coordinate with Xcel’s Business Solution Center to receive an energy audit of their facility. Cities will reimburse businesses 50% of the cost, up to $100. The audit rebate will be paid at the same time that any installation rebates are awarded. If businesses have had an audit performed by a qualified energy audit contractor within the last 12 months, the audit requirement may be waived depending on GEO’s review and the $100 will be added to any subsequently awarded rebate amount.


GEO will provide a third party review of audits and proposed upgrades and will reserve the rebate amount on the business’s behalf for future distribution.

Step 4. ECM Implementation

Lighting Retrofits Only Businesses that have received the lighting-only audit will work with Xcel’s lighting consultant through Xcel’s Small Business Program to have lighting retrofits implemented. Xcel’s consultant will create a pre-bid form based on information from the lighting audit and will provide the business three recommended contractors to choose from to install recommended lighting upgrades. Businesses that receive an audit and decide not to proceed with the ECM implementation must provide written notification to GEO stating reasons why. GEO will review ECM installation scopes of work and costs before implementation and verify that the proposed improvements meet the intent of the audit. GEO will then make recommendations to the City for each business reimbursement amount.

Lighting Retrofits, Re-commissioning, and Setback Thermostats Using GEO-provided standard contractor bid templates and a contractor vetting checklist from GEO, businesses will select local contractors (if at all possible) to install the ECMs recommended in the audits. Businesses located in Pueblo will receive a list of recommended contractors to choose from. This list will be provided by Black Hills Energy and will include contractors that have completed a training(s) class offered by Black Hills on installing ECMs.

Businesses that receive an audit and decide not to proceed with the ECM implementation must provide written notification to GEO stating reasons why. GEO will review ECM installation scopes of work and costs before implementation and verify that the proposed improvements meet the intent of the audit. GEO will then make recommendations to the City for each business reimbursement amount.

Step 5. Measurement and Verification and Project Funding

Lighting Retrofits Only

Following installation, GEO will review contractor invoices to verify that the installed equipment matches the proposed ECM installation. Rebates from the City will be available to businesses for 50% of the lighting equipment cost, up to $2,100.


Businesses are encouraged to continue with energy data tracking for at least 12 months following ECM installation.3 At any time, GEO may ask businesses for energy use and cost data following installation to assist in required reporting responsibilities. All businesses are strongly encouraged to establish an easy to use process to continue to actively track and manage the energy use of their building(s). Businesses will share success stories and “lessons learned” of the program and energy savings and cost data with GEO and the City. This information will be used to improve future programs and may be used in City and ARRA reporting documents. Lighting Retrofits, Re-commissioning, and Setback Thermostats

Following installation, GEO will review all contractor invoices to verify that the installed equipment matches the proposed ECM installation. Rebates from the City will be available to businesses for lighting retrofits, re-commissioning, and setback thermostats. Rebates will cover up to 50% of the re-commissioning services4, up to $3,000, 50% of lighting equipment costs, up to $2,000, and up to $100 for setback thermostats. Other ECMs identified in the audit or desired by the business will not be covered by this program, but are still strongly encouraged.

Businesses are encouraged to continue with energy data tracking for at least 12 months following ECM installation.3 At any time, GEO may ask businesses for energy use and cost data following installation to assist in required reporting responsibilities. All businesses are strongly encouraged to establish an easy to use process to continue to actively track and manage the energy use of their building(s). Businesses will share success stories and lessons learned of the program and energy savings and cost data with GEO and the City. This information will be used to improve future programs and may be used in City and ARRA reporting documents.

Step 6. Recognition

Participating business will be recognized for their involvement and can advertise their efforts with window stickers and/or placards describing the program.

3 Although businesses are not required to track utility data following ECM implementation and GEO will not follow-up with businesses during this time, GEO may request this data from the businesses at any time during the 12-month post-implementation period. It remains in the businesses best interest to track utility data following ECM implementation. 4 Labor costs will not be covered. Typically equipment costs make-up 50% of the entire project cost.

Small Business Efficiency Program Summary of Roles and Responsibilities Although GEO will be responsible for program development, managing the program, and overseeing implementation, each participating City and business will have a role to play to ensure the program’s success. An outline of general roles and responsibilities follows. Responsibilities of GEO Responsibilities of City Responsibilities of Business Step 1. Outreach Prepare materials Conduct outreach Submit application Select businesses Edit and print out materials Step 2. Education and Energy Data Management Provide energy savings tips Send representative to

workshop Send representative to workshop Establish utility baseline

Provide summary of programs Provide handout on data input Develop presentation content Host presentation Train businesses on data input Step 3. Facility Assessment Review audits N/A Coordinate w/Xcel for audit OR Reserve business’s rebates Submit previous audits to GEO Step 4. ECM Implementation and Project Funding Review all bids N/A Solicit and select contractor Make rebate recommendations Submit contractor bids to GEO

Schedule work w/contractor Step 5. Measurement and Verification Review invoice and OK rebate N/A Submit invoices to GEO Calculate estimated savings Distribute rebates Step 6. Recognition Prepare recognition materials Distribute recognition materials N/A Recognize achievements Recognize achievements

Small Business Efficiency Program Program Goals and Outcomes The goals of each City’s SBEP program reflect goals outlined by the U.S. Department of Energy, GEO, and each participating City. The intent of each goal is met as follows: 1. Reduce total energy use and energy costs of the participating businesses.

By implementing as a minimum, the three chosen ECMs, participating businesses can expect to save between an estimated 15% to 30% of their monthly energy consumption and utility costs. The chosen ECMs include lighting retrofits, re-commissioning, and setback thermostats and have the greatest potential to reduce energy consumption and costs for small businesses.

2. Foster the creation and retention of local jobs in the energy efficiency industry and

build economic growth in the community. ECMs should be installed by local contractors whenever possible. This will ensure that EECBG funding stays within each local community to foster the creation and retention of clean energy jobs.

3. Reduce greenhouse gas emissions emitted by the participating businesses.

By implementing the three chosen ECMs, participating businesses can expect to save up to 15% to 30% of their total greenhouse gas emissions.

4. Create a program that will be community-sustaining after the EECBG funds are

spent. Teaching business owners to understand their energy consumption and learn strategies for energy reduction will promote a culture of energy efficiency in the business community and will encourage business owners to continue to improve their energy performance. This process can further sustain itself by involving local Chamber of Commerce and Economic Development Groups in ongoing communication and outreach efforts.

5. Increase energy efficiency education and awareness in the business community.

GEO will conduct a training workshop for business owners to learn how to read utility bills and strategies to reduce energy consumption. This will help business owners understand the importance of energy management and will increase awareness in the community.

6. Build a foundation for efficiency to be a part of regular business activities and

decisions. Through education, established local business outreach groups will keep energy discussions as regular part of business decisions.

7. Equitably involve interested businesses in the program.

By completing an application form, businesses will self-select their participation in the program. The application will be designed to select motivated businesses with a serious interest in energy efficiency.

Small Business Efficiency Program Program Steps in Detail Step 1. Outreach and Application Period Cities will advertise the program through their in-house business outreach groups including: Economic Development Groups, local Chamber of Commerce groups, and other outreach groups. At the Cities’ discretion, all small- to medium-sized businesses are encouraged to apply to the program. Each City will receive promotional material and business application/commitment forms from GEO. This material will be reproduced by each City and may be edited to include logos, templates, and other custom formatting. Program contacts will be listed as GEO. Promotional material will include: program goals and outcomes, implementation strategies, requirements of participating businesses, and dates for upcoming, mandatory training workshops. Businesses will apply to the program using an application/commitment form. The form will request facility information including: business type, square feet of space, maintenance issues, most recent 12 months of electricity and heating fuel bills, and any general information required for ARRA reporting. GEO will provide instructions on how to acquire the last 12 months of energy data if the business does not have a copy of this data. The application will provide enough detail to support contractors and businesses when applying for utility rebates. The application will also act as a Memorandum of Understanding (MOU) between the business, each City, and GEO for rebate payouts. If the business owner does not own the property, GEO will issue one application and two MOUs. The application and complete MOU will be issued to the building owner and a modified MOU will be issued to the business owner. Completed forms shall be submitted to GEO. Delivery of the applications will be determined by each City and include two options:

1) Cities may request businesses to submit applications electronically to GEO. The date and time of the email will act as a timestamp for receipt. OR

2) Cities may request that businesses hand deliver applications to each City’s City Hall and a City representative will timestamp each application. GEO will collect all applications from the City Hall and proceed with the selection process.

At the discretion of each City, all small- to medium-sized businesses are encouraged to apply to the program. GEO will select businesses based on the following criteria:

• Operate in a space that is equal to or less than 25,000 square feet; and • On a first-come, first-serve basis.

Small Business Efficiency Program Each City will provide approximately $100 for an energy audit, $2,000 for lighting retrofits, $3,000 for re-commissioning, and $100 for setback thermostats, for a total rebate potential of $5,200. Depending on the information provided in the application form, GEO will recommend that the business should either: 1) receive a lighting-only audit and implement lighting retrofits through Xcel’s Small Business Lighting Program; or 2) receive a comprehensive energy audit and implement lighting retrofits, re-commissioning, and setback thermostats. Note: the lighting-only audit option is not available to businesses located in the City of Pueblo.5 Estimated timeframe: Approximately 6-8 weeks

1) GEO to provide outreach information to Cities once SBEP contract is signed by each City and GEO, unless otherwise authorized.

2) Cities to conduct outreach for up to 4 weeks following contract date. 3) Business to submit applications to GEO within 5 weeks of initial outreach. 4) GEO to select businesses within 2 days of receipt of applications.

5) Cities to notify businesses within 1 week of GEO’s selection.

Estimated budget: EECBG funds: Cities to print out outreach material and applications - $100

GEO will: 1) Prepare promotional material and application forms, including MOUs.

2) Select participating businesses.

City will: 1) Conduct outreach efforts and distribute materials. 2) Edit promotional material as appropriate. 3) Print out all promotional material and application forms.

Business will: 1) Complete application and MOU and submit to GEO for approval. Step 2. Education and Energy Data Management GEO will develop and host two ½ day training workshops for businesses, City representative(s), and local contractors to learn more about the program and become trained in energy data management. One workshop will be held in the Denver Metro area and a second workshop will be held in Pueblo. A video recording of the workshops will be available for those who cannot attend and a viewing of the workshop will be broadcasted on each City’s Channel 8 station. Presence at the workshop is mandatory for program participation; however, if a business representative is not able to attend the workshop watching a recording of the workshop is acceptable. Interested contractors are also encouraged to attend the last

5 This program is part of Xcel’s Small Business Lighting Program and because Pueblo businesses receive their electricity from Black Hills they are not able to participate in “electric” programs from Xcel.

Small Business Efficiency Program hour of the workshop to learn how they can best position themselves for ECM implementation. At the workshop businesses will receive information on energy saving facts and tips; existing State, Federal, and utility rebate and incentive programs; and a tutorial on energy data management. Businesses will come to the workshop with their most recent 12 months of utility data in hand, and during the workshop, businesses will develop a baseline of their utility use and costs. GEO will provide a tool to all businesses to use for energy data input. To maintain participation in the program, businesses must establish a utility baseline. If this is not done during the workshop a baseline of utility data will have to be emailed to GEO for approval. Following the workshop, businesses will be prepared to continue utility data tracking post-implementation. Immediately following the training workshops GEO will send out an electronic copy of a contractor bid template and contractor vetting checklist to all participating businesses and contractors that attended the workshop. Businesses can use these templates to hire and select local contractors for ECM implementation. Estimated timeframe: Approximately 3 weeks.

1) Training workshops will be held 1-2 weeks after businesses are notified of participation.

2) GEO will send out template documents to businesses within week of training workshop.

3) Businesses not attending workshop to submit utility baseline to GEO within 1 week after training workshop.

Estimated budget: GEO funds: GEO to print out training workshop material - $200

GEO funds: GEO to provide lunch for attendees at both workshops - $200

GEO will: 1) Provide energy savings facts and tips to workshop attendees. 2) Provide summary of existing rebate and incentive programs. 3) Provide handout on how to enter utility data into energy data tracking tool. 4) Develop presentation content for workshop and host workshop.

5) Train businesses on how to establish a baseline of utility use and costs.

City will: 1) Send at least one City representative to workshop.

Business will: 1) Send at least one representative who manages and/or is familiar with business utility accounts to workshop. 2) Establish baseline of utility use and costs.

Small Business Efficiency Program Step 3. Facility Assessment

Lighting Audits Businesses that have been selected by GEO to receive a lighting-only audit will coordinate with Xcel’s Small Business group to receive their audit. This audit is free and the $100 audit rebate amount provided by the City will be added to the rebates for lighting upgrades. Xcel’s Small Business consultant will continue to work with the business through the ECM implementation phase. If a business has had a lighting audit performed by a qualified lighting contractor within the last 12 months, the audit requirement may be waived depending on GEO’s review and the business shall proceed with the implementation phase included with the comprehensive energy audit. GEO will provide a third party review of audits and proposed upgrades and will reserve the rebate amount on the business’s behalf for future distribution.

Comprehensive Energy Audits Businesses will contact Xcel Energy’s Business Solution Center and coordinate with Xcel to receive an energy audit of their facility. Xcel provides subsidized facility energy audits for $200 for businesses less than 25,000 square feet. Cities will reimburse businesses 50% of the cost, up to $100. Businesses will receive this rebate with the final ECM installation rebate. If businesses have had an energy audit performed by a qualified energy audit contractor within the last 12 months, the audit requirement may be waived depending on GEO’s review and the $100 will be added to the ECM rebate amount. GEO will provide a third party review of audits and proposed upgrades and will reserve the rebate amount on the business’s behalf for future distribution. Estimated timeframe: Approximately 10 weeks.

1) Businesses to have audit completed within 8 weeks of training workshop. 2) GEO to review audits and reserve rebate amounts within 2 weeks of

receipt of business audits.

Estimated budget: EECBG funds: City to reimburse each business $100 for facility audits.

GEO will: 1) Review all energy audits.

2) Reserve rebate amount on business’s behalf.

City will: 1) N/A.


Business will: 1) Coordinate with Xcel to have energy audit completed OR

2) Submit previous energy audit to GEO for approval. Step 4. ECM Implementation

Lighting Retrofits Only Businesses that have received the lighting-only audit will work with Xcel’s lighting consultant through Xcel’s Small Business Program to have lighting retrofits implemented. Xcel’s consultant will create a pre-bid form based on information from the lighting audit and will provide the business three recommended contractors to choose from to install recommended lighting upgrades. Businesses that are located in historic buildings are responsible for ensuring efficiency upgrades meet any related requirements for historic buildings. Businesses that receive an audit and decide not to proceed with the ECM implementation must provide written notification to GEO stating reasons why. GEO will review ECM installation scopes of work and costs before implementation and verify that the proposed improvements meet the intent of the audit. GEO will then make recommendations to the City for each business reimbursement amount.

Lighting Retrofits, Re-commissioning, and Setback Thermostats Using a contractor bid template and a contractor vetting checklist provided by GEO, businesses will solicit and select a local contractor (if at all possible) to install the ECMs recommended in the energy audit. Businesses located in Pueblo will receive a list of recommended contractors to choose from. This list will be provided by Black Hills Energy and will include contractors that have completed a training(s) class offered by Black Hills on installing ECMs. Businesses that are located in historic buildings are responsible for ensuring efficiency upgrades meet any related historic building requirements. Businesses that receive an audit and decide not to proceed with the ECM implementation must provide written notification to GEO. These businesses will receive the audit reimbursement, but will not receive any additional funding from the City. Selected contractors will provide businesses a bid for the work. Businesses will submit this information to GEO and GEO will review contractor bids and verify that the proposed improvements meet the intent of the audit. GEO will then make recommendations to the City for each business reimbursement amount. Estimated timeframe: Approximately 14 weeks.

1) Businesses to solicit contractor bids within 2 weeks of GEO’s audit approval.

Small Business Efficiency Program 2) GEO to approve contractor bids within 2 weeks of receipt of bids.

3) Businesses to select contractor and schedule work within 2 week of GEO’s review and approval of contractor bids.

4) ECM implementation to be completed within 8 weeks of GEO’s contractor bid approval.

Estimated budget: None. See estimated budget for M&V.

GEO will: 1) Review all contractor bids.

2) Make rebate recommendations to each City.

City will:

1) N/A.

Business will: 1) Solicit and select local contractor.

2) Submit contractor bids to GEO for approval. 3) Schedule work to be done with contractor.

Step 5. Measurement and Verification and Project Funding

Lighting Retrofits and Rebates Following installation, GEO will review contractor invoices to verify that the installed equipment matches the proposed ECM installation. Rebates from the City will be available to businesses for $2,000 for lighting retrofits. Under no circumstances shall businesses receive rebates in excess of the cost of ECM implementation. If the combination of rebates exceeds the cost of the project the first priority of issued rebates shall be the use of rebates provided by this program. Rebates covered in this program are compatible with other rebate and incentive programs and businesses are encouraged to work with their contractors to maximize their subsidy amount. A list of other programs will be provided during the training workshop. Once GEO approves the final contractor invoices, GEO will distribute rebates to participating businesses on behalf of each City using an outside rebate contractor. It is expected that the application and MOU the business originally signed will act as a contract between the business, each City, and GEO for reimbursement purposes. The total number of businesses participating in all four City programs will be limited to no more than 50-60. If there is money remaining from the program, the extra money will be distributed at the discretion of each City and GEO and may include: 1) supplementing additional ECMs for participating businesses; 2) funding additional ECMs for new businesses that started at the audit phase but could not continue because their facilities’ did not need one of the three original ECMs; 3) additional training opportunities, etc…


Businesses are encouraged to continue with energy data tracking for at least 12 months following ECM installation.6 At any time, GEO may ask businesses for energy use and cost data following installation to assist in required reporting responsibilities. All businesses are strongly encouraged to establish an easy to use process to continue to actively track and manage the energy use of their building(s). Businesses will share success stories and lessons learned of the program and energy savings and cost data with GEO and the City. This information will be used to improve future programs and may be used in City and ARRA reporting documents.

Lighting Retrofits, Re-commissioning, and Setback Thermostats and Rebates

Selected contractors will provide businesses invoices for the work and any reporting information required by ARRA. Businesses will submit this information to GEO and GEO will review contractor invoices and verify that the ECM installations meet the initial recommendations. GEO will then give a final approval for rebate amounts. GEO will calculate the expected energy and cost savings from information provided by the contractor. Rebates from the City will be available to businesses for lighting retrofits, re-commissioning, and setback thermostats. Rebates7 will cover 50% of the re-commissioning services, up to $3,000, 50% of lighting equipment costs, up to $2,000 for lighting, and up to $100 for setback thermostats, not to exceed the cost of the thermostat. Other ECMs identified in the audit or desired by the business will not be covered by this program, but are still strongly encouraged. Under no circumstances shall businesses receive rebates, incentives, or tax credits in excess of the cost of ECM implementation. Rebates covered in this program are compatible with other rebate and incentive programs and businesses are encouraged to work with their contractors to maximize their subsidy amount. A list of other programs will be provided during the training workshop. Once GEO approves the final contractor invoices, GEO will distribute rebates to participating businesses on behalf of each City using an outside rebate contractor. It is expected that the application and MOU the business originally signed will act as a contract between the business, each City, and GEO for reimbursement purposes. The total number of businesses participating in all four programs will be limited to no more than 50-60. If there is money remaining from the program, the extra money will be distributed at the discretion of each City and GEO and may include: 1) supplementing additional ECMs for participating businesses; 2) funding additional ECMs for new businesses that started at 6 Although businesses are not required to track utility data following ECM implementation and GEO will not follow-up with businesses during this time, GEO may request this data from the businesses at any time during the 12-month post-implementation period. It remains in the businesses best interest to track utility data following ECM implementation. 7 Labor costs will not be covered. Typically equipment costs make-up 50% of the entire project cost.

Small Business Efficiency Program the audit phase but could not continue because their facilities’ did not need one of the three original ECMs; 3) additional training opportunities, etc… Businesses are strongly encouraged to continue with energy data tracking for 12 months following ECM installation using the tool provided by GEO. At any time GEO may ask businesses for energy use and cost data following installation. As outlined in the initial application and MOU, businesses will share success and not-so-success stories of the program and energy savings and cost data with GEO and the City. This information will be used to improve future programs and may be used in City and ARRA reporting documents. Estimated timeframe:

Approximately 5 weeks.

1) GEO to review contractor invoices within 2 weeks of receipt of invoices. 2) GEO’s contractor to provide rebates to businesses for rebates and ECMs

within 3 weeks of OK from GEO.

Estimated budget:

EECBG funds: Cities to reimburse each business for equipment cost and 50% of re-commissioning up to $3,000, not to exceed $2,000 for lighting retrofits, and $100 for setback thermostats.

GEO will: 1) Review all contractor invoices and give final approval for rebate amount.

2) Calculate estimated energy and cost savings data and report to each City.

City will: N/A

Business will: 1) Submit invoices and reporting information to GEO. Step 6. Recognition GEO and each City will recognize participating businesses for their efforts and resulting energy and cost savings. GEO will prepare recognition materials to be distributed by each City to all participants. Recognition materials may include window stickers and/or placards describing the program. GEO and each City may also elect to recognize participating businesses through websites, newsletters, green maps, etc. Estimated timeframe: Variable, at Cities’ discretion.

1) GEO to provide recognition materials to each City early Fall 2010. 2) Cities to distribute recognition materials to businesses at Cities’ discretion.

3) Ongoing recognition efforts if appropriate.

Small Business Efficiency Program Estimated budget: EECBG funds: Cities to print out/create recognition materials - $200

GEO will: 1) Prepare recognition material templates

2) Recognize business achievements on website, newsletters, etc

City will: 1) Distribute recognition materials to each business 2) Recognize business achievements on website, newsletters, etc

Business will: 1) N/A.

Small Business Efficiency Program Program Administration Contracts This program requires a contract between each City and GEO and a MOU between GEO/Trident. The Cities of Arvada, Littleton, and Westminster have existing contracts with GEO and these will be amended by GEO to incorporate the SBEP program. GEO will create a new a contract for the City of Pueblo. The contracts will be used to transfer each City’s money to GEO. GEO will use an outside contractor to issue the rebates to businesses on each City’s behalf. Each City will give GEO 4.8% of their rebate money to pay for these contractor’s services. The MOU between each City and GEO/Trident will serve as the agreement on project scope, roles and responsibilities. This program description serves as Attachment A to the MOU. Program Types Programs will vary slightly depending on the business’s needs and the City in which they operate. A general outline of the different program types is shown below.

Facility Assessment Options Lighting-only Comprehensive

Denver Metro Yes Yes Pueblo No Yes

ECM Implementation Additional Rebate Potential

Contractor list provided

ECM options

Denver Metro – lighting-only audit Yes Lighting 1) Utility prescription lighting retrofits

2) CFL buy down from GEO Denver Metro – comprehensive audit No Lighting, RCx,

and thermostats 1) Utility prescription lighting retrofits 2) CFL buy down from GEO

Pueblo – comprehensive audit Yes Lighting, RCx,

and thermostats 1) Utility prescription lighting retrofits 2) CFL buy down from GEO

Budgets and Timelines Estimated Budget Each City has been allocated money from the Department of Energy through EECBG funding and a matching grant through GEO. The minimum number of participating businesses for

Small Business Efficiency Program each City is based on the available EECBG budget, with a $1,000 contingency and general administration costs considered including the 4.8% rebate contractor fee. The values below show the minimum number of potential participating businesses.

CityEECBG Budget

Available Rebate Money

Number of Businesses Total Cost

Cost Per Business

Arvada $79,800 $76,000 14 Audit $100 $73,200 $5,229Littleton $37,500 $35,700 6 Lighting $2,000 $31,600 $5,267Westminster $53,000 $50,500 9 RCx $3,000 $47,200 $5,244Pueblo $60,000 $57,000 10 Thermo $100 $52,500 $5,250

Total 39 $5,200

Rebates

EECBG Funds GEO Funds Total

EECBG Funds

GEO Funds Total

EECBG Funds

GEO Funds Total

EECBG Funds

GEO Funds Total

Promotional material $300 $100 $400 $300 $100 $400 $300 $100 $400 $300 $200 $500Outreach $100 - $100 - $100 - $100 -Program support for workshops - $100 - $100 - $100 - $200Recognition $200 - $200 - $200 - $200 -

Rebates $72,800 - $72,800 $31,200 - $31,200 $46,800 - $46,800 $52,000 - $52,000Audit $1,400 - $600 - $900 - $1,000 -Lighting retrofits $28,000 - $12,000 - $18,000 - $20,000 -Re-commissioning $42,000 - $18,000 - $27,000 - $30,000 -Setback thermostats $1,400 - $600 - $900 - $1,000 -

Total $73,200 $31,600 $47,200 $52,500

PuebloArvada Littleton Westminster

Estimated Timeline The program is expected to be implemented once contracts with each City and GEO have been signed by both parties and completed within 10 to 12 months of execution. It is expected that unintended circumstances may arise which may alter this timeline. However, each City will have their respective EECBG funding spent by their required date. The suggested timelines for this project are only estimates. There are a variety of factors outside of GEO’s control that may affect this proposed timeline.

Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10Step 1. Outreach and Application PeriodStep 2. Education and Energy Data ManagementStep 3. Facility AssessmentStep 4. ECM Implementation and Project FundingStep 5. Measurement and VerificationStep 6. Recognition

Small Business Efficiency Program Summary of Roles and Responsibilities Although the program will be managed and administered by GEO, all involved parties including each City and participating business, have a role to play to ensure the program’s success. Responsibilities of GEO Responsibilities of City Responsibilities of Business Step 1. Outreach Prepare materials Conduct outreach Submit application Select businesses Edit and print out materials Step 2. Education and Energy Data Management Provide energy savings tips Send representative to

workshop Send representative to workshop Establish utility baseline

Provide summary of programs Provide handout on data input Develop presentation content Host presentation Train businesses on data input Step 3. Facility Assessment Review audits N/A Coordinate w/Xcel for audit OR Reserve business’s rebates Submit previous audits to GEO Step 4. ECM Implementation and Project Funding Review all bids N/A Solicit and select contractor Make rebate recommendations Submit contractor bids to GEO

Schedule work w/contractor Step 5. Measurement and Verification Review invoice and ok rebate N/A Submit invoices to GEO Calculate estimated savings Distribute rebates to businesses Step 6. Recognition Prepare recognition materials Distribute recognition materials N/A Recognize achievements Recognize achievements


Other Resources Education and Training The Department of Energy offers training to commercial building owners through their Commercial Building Partnerships program. Funded by ARRA, DOE’s program will select and fund technical energy experts to work with building owners and operators on how to design, build, and maintain low-energy buildings. The National Renewable Energy Laboratory in Golden, Colorado will be one of the managers of this program. http://apps1.eere.energy.gov/news/progress_alerts.cfm/pa_id=318 Rebates Xcel Energy provides rebates for businesses ranging from facility assessments to energy efficiency upgrades and renewable energy projects: http://www.xcelenergy.com/Colorado/Business/programs_resources/Pages/Programs_and_Resources.aspx Black Hills Energy provides rebates for businesses that include energy efficiency, and renewable energy projects: http://www.blackhillsenergy.com/services/energyefficiency/ The Governor’s Energy Office offers State rebates for ECM implementation and hosts a database summarizing all potential rebates for a given area in Colorado: http://www.rechargecolorado.com/

http://apps1.eere.energy.gov/news/progress_alerts.cfm/pa_id=318

http://www.xcelenergy.com/Colorado/Business/programs_resources/Pages/Programs_and_Resources.aspx

http://www.xcelenergy.com/Colorado/Business/programs_resources/Pages/Programs_and_Resources.aspx

http://www.blackhillsenergy.com/services/energyefficiency/

http://www.rechargecolorado.com/

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