HomeMy WebLinkAbout05-15-2012 Regular MeetingCo1nmittee:
Date & Time:
Place:
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•
Public Meeting Notice
Fairhope Financial Advisory Committee
Subco1nmittee for Energy Savings
Tuesday, May 15, 2012 at 8:30 a.m.
Delchamps Room
161 North Section Street
See Attached Agenda
Notice must be stan1ped, dated and initialed before posted on
bulletin board.
1/MdJ D~ rt ~~
SIGNATURE
City of Fairhope Financial Advisory Committee
Subcommittee For Energy Savings
Agenda -Tuesday May 15, 2012
8:30 a.m. in the Delchamps Room
City Hall -161 N. Section St., Fairhope, AL
1. Discussion of Alabama Guaranteed Energy Savings Legislation, and the potential
application at Fairhope for up gradi n g energy-related infrastructure. (See
addendum for relevant sections of the Alabama Code.)
Schedule Of Future Meetings
• To be determined
ADDENDUM
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Alabama Code -Section 41-16-140: SHORT TITLE
This articl e sh a ll b e known as the "Guaranteed Energy Cost Savin gs Act."
Alabama Code -Section 41-16-141: DEFINITIONS
For purposes of this article , the fo llo w in g t erms shall have the following meanings:
(1) ENERGY COST SAVINGS MEASURE. A training program or n ew facility or
existing fac ility a lt eration designed to redu ce energy consumption or operating cost s, or
water and other natu ral resources co n sumption , and may includ e one or more of the
following:
a. Ins ul ation and reduced air infiltration of the building s tru cture including walls ,
ceilings , and roofs o r systems w ithin the building.
b. Storm windows or doors, caulkin g or weather-stripping , multiglazed windows or
doors, h eat a b sorbing or heat reflective g lazed and coate d w indow or door systems ,
additional g lazing, reductions in g lass area, or other windo w and door system
modifications that r educe energy co n sumption.
c. Automated or computerized energy co ntrol systems, including computer software and
technical data li cen ses .
d. Heatin g, ve ntil atin g , or air cond iti onin g system modifications or replacements .
e. Rep lacement or m odificatio n of li g hting fixtures to increase the en ergy efficiency of
the lighting sys t em w i thout increasing the overall illumination of a facility, unless an
increase in illumination is necessary to co n form to the app li cabl e state or local building
code for the li ghtin g system after the proposed modifications are made.
f. Indoor air quality improvements.
g . Energy recovery systems .
h. Electri c sys tems improvement s.
i. Life safety measures that provide long-term operating cost reductions.
j. Buildin g operation programs th at reduce operating costs.
k. Oth er ene rgy -con servat io n-r elated impro ve m ent s or equipment , including
im provem ent s or equipm en t re late d to renewabl e energy.
1. Water and other n a tur a l reso urc es con se rv ati on.
(2) G OV ERNMENTAL UN IT. A state gove nm1 ent age nc y, d epaiiment, in stitution,
co ll ege, uni ver sity, techni cal school , leg is lati ve body, or other es ta bli shment or offi cial of
the Executi ve, Judici a l, or Leg islati ve B ra nc hes of th e state a uth ori ze d by law to ent er
into contracts , in cludin g all loca l politi cal subd ivisions su ch as counti es, municip aliti es ,
or p ubli c sch ool di str icts .
(3) GUARANT EED ENER GY C O ST SAVINGS CONTRACT. A contract for the
imp lem ent ation of one or m or e ener gy co st sav in gs m eas ures .
(4) OP ERATIONAL C O ST SAVING S. Exp en ses e liminated and futur e r ep lacem ent
expe nditures av oided as a res ult of n ew equipm ent ins tall ed or se rv ices p erformed .
(5) QUALI FIED PRO VI DE R . A p ers on or bu sin ess experi en ce d in the design,
imp lem ent ati on , and in sta ll at ion of en er gy cos t savings m easures .
(6) RE QUES T F OR PROPOSAL S. A nego ti ated procurem ent th at is announce d through
a public noti ce from a governmental unit whi ch w ill admini ster the gu arantee d en er gy
cos t sav in gs contract r equ es tin g inno vati ve soluti o ns and propo sal s for energy
conse rvation m ea s ures . T he requ es t for propo sa l s hall includ e the fo llo w ing:
a. T he name and address of the gove nm1e nt a l unit.
b. T he na me, a ddr ess , title , a nd phone numb e r of a co nt ac t p er so n .
c . Th e date, tim e, a nd p lace wh ere prop osals mu st be rece ive d .
d . The evalu ation criteria fo r asses sin g th e proposals.
e. An y other stipul ati on s and clarifi cati on s th e government a l unit m ay requi re.
Alabama Code -Section 41-16-142: ENERGY COST SAVINGS
ME ASURES AUTHORIZED
(a) A gove rnm enta l unit m ay ent er into a gua ra n tee d en er gy co st savings contract in ord er
to re duc e en er gy consump t io n or op eratin g co sts of government fa ciliti es in acc ord anc e
with thi s articl e .
(b) A ll energy cos t sav ings measures sha ll co m p ly w ith c urre nt local, state, an d fe deral
constru cti on and env ironmental co des and reg ul at ions. No tw ith standin g anyt hin g to th e
contrary, a gu ara nt ee d e nergy cos t sav in gs co nt ract does n ot includ e improveme nt s or
equip m ent th a t a llo w or cause water fro m a~y co n dens in g, cooling , or indu stri a l pro cess
or any sys tem of nonp otable usage over which public water supply system officials do
not have sa nitary control , to be r eturn ed to th e potable water suppl y .
Alabama Code -Section 41-16-143: REQUEST FOR PROPOSALS;
MEETING; PUBLIC NOTICE; GUARANTEE REQUIRED; BOND;
TYPE, DURATION, FUNDING, ETC., OF CONTRACT
(a) Before entering into a guara nt ee d en ergy cost savings contract, a governmental unit
shall submit a requ est for proposa ls. Th e gove nm1 enta l unit sh a ll evalu ate any proposal
from a qualifi ed pro vider and sh all se lec t th e qu alified provider th at b est meets the needs
of the unit. Afte r reviewing the proposals , th e government al unit may ent er into a
guaranteed en er gy cost savings contract with a qualified provider if it finds that the
amount it wo uld spend on the ener gy cost sav in gs measures r eco nm1 end ed in the
proposal wo uld not exceed the amount of en ergy or operational cost savings, or both ,
withi n the lesser of a 20-year period or th e average useful life of th e en ergy cost sav in gs
measures from the date installation is complete and has bee n accepted b y the
governm ental unit , if the recommendations in th e proposal are followed. The
governm ent al unit sh a ll analyze the following:
( 1) The es tim ates of all costs of in stall at ion , m odificatio ns, or remodeling , including ,
withou t limit ation , costs of a pre-installation energy aud it or analysis , design,
engineerin g, in stallati on, ma intenance, repa ir s, debt service, and po st-in stallation proj ect
monitoring , data collection , and reporting, as we ll as whe th er energy consumed or the
operat in g costs, or both , w ill be reduced.
(2) The qualifications of the provider.
(b) Th e gove rnm ent a l unit shall pro vi de public notice of th e m eetin g at which it proposes
to award a guara nt eed energy cos t sav in gs contract , of the n am es of th e parties to th e
proposed co ntract , and of the purpose of th e contract. Th e public notice shall be mad e at
least 10 days prior to the meeting.
( c) The guarant ee d energy cost sav in gs contract shall include a written guarantee of the
qualified pro v id er that either the en ergy or operational cost savi ngs, or both, wi ll mee t or
exceed the costs of th e energy cos t sav in gs m easures within th e lesser of 20 years or the
average u sefu l li fe of the energy cos t sav in gs measures. The qualifi ed provider sh a ll
reimb ur se the governmental unit fo r any short fa ll of guarantee d en er gy cost savings on an
annua l b as is. The gu aranteed en ergy cost savi n gs contract may pro v id e for payment s over
a period of time , not t o exceed th e lesse r of 20 years or the average u seful li fe of the
energy cost sav in gs measures.
(d) No twith standing any law to th e contrary, b efore ente rin g into a gu aranteed ene r gy
cost sav in gs contract, the governm ental unit m ay require th e qualifi e d provider to file
with the governm ent a l unit a payment and performance bond relating to the install at ion
of energy cost sav in gs mea sures th at i s in an amount the governm ental unit finds
reasona bl e and necessary to protect it s int ere sts and that m ay also cover the value of the
guaranteed sav ings on the contract and i s conditioned on the faithful executi on of the
terms of the contract.
(e) A governmental unit, or several gove rnm enta l units to gether, may enter into an
installment paym ent contract or lease purchase agreement with a qualifi e d provider or a
third party financin g company d es ig nated by the qualifi ed prov ide r, or both, for the
purchase and installation of energ y cost savings m eas ures with a term not to exceed the
lesser of 20 years or the average useful life of the en ergy cost sav ings m easures from the
date the en er gy cost savings measures have b een complet e d and accepted by the
governmental unit.
(f) Guaranteed e n e r gy cost sav in gs contracts, including installme nt pay m ent contracts
and lease purchase agreements finan c in g th e contracts, may ext end beyo nd the fiscal year
in whi ch they become effective. The governm ent a l unit may include in its annual bud get
and appro pri ations m easures for each sub sequent fiscal year any amounts payable under
guaranteed energy savings contracts, includin g installme nt paym e nt contracts and lease
purchase agreements financing the contracts, during that fiscal year.
(g) A govenunental unit may u se a combination of funds de s ig nat ed for operating, capital
expend itures, or othe r speciall y d es i g nated fund s for any g uaranteed energy cost savings
contract including purchases u s in g in st allment payment contracts or lease purchase
agreem en ts.
(h) State aid and other amounts appropriated for distribution to , or reimbursement to , a
governmental unit may not be r educe d as a res ult of energy co st savings realized from a
guaranteed energy cost savings contract or a lease purchase agreement for the purchase
and installation of energy cost sav ings m eas ur es.
Alabama Code -Section 41-16-144: CONSTRUCTION OF ARTICLE
The provisions of thi s article sh all not be construed to alt er or circumvent present law
which requires educati on suppo rt p erso 1mel to work under the direct supervision,
emp lo ym ent , and/or control of lo ca l boards of educatio n.