Created : December 30, 2013 at 01:11 PM
March 15, 2005
Status: Pending
Open Agenda
Approve and authorize the execution of the attached Energy Services Agreement with Siemens Building Technologies for Energy Conservation Measures in nine schools.
On July 16, 2002, The School Board of Broward County, Florida, entered into an Energy Audit Agreement with Siemens Building Technologies to examine nine (9) schools to identify Energy Conservation retrofits which meet the requirements of State Statute 1013.23 for Energy Efficiency Contracting. This Energy Services Agreement stipulates that these improvements to the school will pay for themselves in a ten (10) year period of time, through avoided electric, fuel and maintenance material costs. This second phase of Performance Contracting builds on the financial benefits demonstrated in Phase One of Performance Contracting. The scope of work includes lighting retrofits with high efficiency lights, a new high efficiency chiller, enhanced control of lighting, air conditioning and water conservation.
These utility savings measures will avoid $2,354,953 in electrical, water and maintenance materials over 10 years guaranteed by Siemens Building Technologies. If there is any shortfall in savings, as outlined in the agreement, Siemens Building Technologies will monetarily reimburse the District. The retrofits will cost the District $1,728,826 and an additional $223,348 for ten (10) years of maintenance, measurement and verification of savings. The attached cash flow sheets detail the cost of financing the above costs and the net cash flows for years one through ten. Staff traditionally shows the cash flow coinciding with the term of the financing agreement, the savings guarantee and expected life of the installed equipment (all of which are ten years.) If the equipment lasts longer than the ten years, the District would benefit substantially. These potential savings for years eleven through fifteen are shown for informational purposes only and are not required for the 10 year payback.
This Energy Services Agreement will authorize Siemens Building Technologies to install utility savings measures as described above.
The Financial Impact is $1,952,174 which will be offset by the guaranteed savings or cost avoidance in the Energy Services Agreement over the 10 year period of that contract. Appropriations for this item are included in the Adopted District Facilities Educational Facilities Plan, Fiscal 2004-2005 to 2008-09, Appendix E, Page 107, Capital Improvement Program. The funding source for the $13 million Energy Management Performance Program will be a Certificate of Participation (COP) to be issued for a period of 10 years.
Requested Action
Approve and authorize the execution of the attached Energy Services Agreement with Siemens Building Technologies for Energy Conservation Measures in nine schools.
Summary
On July 16, 2002, The School Board of Broward County, Florida, entered into an Energy Audit Agreement with Siemens Building Technologies to examine nine (9) schools to identify Energy Conservation retrofits which meet the requirements of State Statute 1013.23 for Energy Efficiency Contracting. This Energy Services Agreement stipulates that these improvements to the school will pay for themselves in a ten (10) year period of time, through avoided electric, fuel and maintenance material costs. This second phase of Performance Contracting builds on the financial benefits demonstrated in Phase One of Performance Contracting. The scope of work includes lighting retrofits with high efficiency lights, a new high efficiency chiller, enhanced control of lighting, air conditioning and water conservation.
These utility savings measures will avoid $2,354,953 in electrical, water and maintenance materials over 10 years guaranteed by Siemens Building Technologies. If there is any shortfall in savings, as outlined in the agreement, Siemens Building Technologies will monetarily reimburse the District. The retrofits will cost the District $1,728,826 and an additional $223,348 for ten (10) years of maintenance, measurement and verification of savings. The attached cash flow sheets detail the cost of financing the above costs and the net cash flows for years one through ten. Staff traditionally shows the cash flow coinciding with the term of the financing agreement, the savings guarantee and expected life of the installed equipment (all of which are ten years.) If the equipment lasts longer than the ten years, the District would benefit substantially. These potential savings for years eleven through fifteen are shown for informational purposes only and are not required for the 10 year payback.
This Energy Services Agreement will authorize Siemens Building Technologies to install utility savings measures as described above.
School Board Goals
| Goal 3 - All operations of the school system will demonstrate best practices while supporting student achievement. |
Financial Impact
The Financial Impact is $1,952,174 which will be offset by the guaranteed savings or cost avoidance in the Energy Services Agreement over the 10 year period of that contract. Appropriations for this item are included in the Adopted District Facilities Educational Facilities Plan, Fiscal 2004-2005 to 2008-09, Appendix E, Page 107, Capital Improvement Program. The funding source for the $13 million Energy Management Performance Program will be a Certificate of Participation (COP) to be issued for a period of 10 years.
Source of Additional Information
Vijay Sonty 754 321-0400 Donnie Carter 754 321-2610
Associated File Attachments
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EnergyServicesAgreementSiemens (Files) | |
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AnnualCashFlow15yearschedule (Files) | |
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AnnualCashFlow10yearschedule (Files) | |
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ExecutedCompleteCopy (Files) |