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LTC 613-2019 Energy Utility Billing Management Software Update MIAMI BEACH OFFICE OF THE CITY MANAGER NO. LTC# 613-2019 LETTER TO COMMISSION TO: Mayor Dan Gelber and Members of e City Co /mission i . FROM: Jimmy L. Morales, City Manager DATE: November 18, 2019 SUBJECT: Energy Utility Billing Management So ware Update I am excited to share that today we are launching EnergyCAP, the city's first energy utility billing management software. This software will streamline processes and improve operations efficiency by: • Facilitating energy bill payment processes through Bill CAPture • Discovering billing errors and electricity consumption anomalies with bill audits • Identifying inefficient facilities through peer benchmarking • Tracking energy management projects to monitor resulting cost avoidance • Connecting with Energy Star Portfolio Manager to receive ENERGY STAR building scores for eligible buildings Our annual greenhouse gas (GHG) emissions inventory over the past few years has continually shown that electricity use is the largest source of GHG emissions in our community. As a first step to better understand the city's electricity consumption, an energy assessment was compiled to benchmark the electricity use of municipal buildings using Energy Star Portfolio Manager. The process of conducting the energy assessment was lengthy given that all the data collection and data entry was manual. Several challenges were identified including addresses on Florida Power & Light (FPL) accounts that did not match buildings' actual address and accounts that are tied to more than a single building. Before the implementation of an energy utility billing management software, electricity bills were entered manually and approved by each department using the workflow approval process. EnergyCAP will pass each bill through a standard audit to verify that bills are correct and flag any electricity consumption fluctuations or anomalies. The goal of EnergyCAP is to improve energy efficiency and capture savings on our power bills, by tracking and auditing each FPL bill along with providing analytics and reports.The energy utility billing management system now houses the city's billing and electricity use data for each FPL account in a central location. This software will address challenges such as utility bill processing, data integration, transparency, tracking and verification of savings. This software will assist the city in reducing energy consumption, lowering emissions, and saving money. In 2013, Miami-Dade County implemented EnergyCAP for their electricity bills covering 4,500 electricity meters and totaling one billion kilowatt-hours (kWh)annually. The County reduced their electricity consumption and utility costs by 2% within the first year of implementing EnergyCAP, nearly two million dollars in savings. Given the success of EnergyCAP with their electricity bills, the county is in the process adding water utility bills to the program. Electricity consumption and cost savings will be tracked for general obligation (GO) bond projects that include energy efficiency or sustainability elements. Annual reports will also be run to summarize total electricity usage and cost savings across all city accounts. Regular reporting will identify trends and enable effective response to anomalies. This action will save money over time by facilitating the identification of less efficient properties. Energy savings reports need at least one year of data after projects are completed to collect enough electricity bill data to provide an accurate representation of trends before and after project completion. The first annual energy report will be completed by the end of 2020. The city's implementation of EnergyCAP was made possible through the support of the IT Steering Committee who provided funds for the implementation of the energy utility billing management system. The implementation of EnergyCAP was an inter-departmental collaboration between Finance, Property Management, and Environment and Sustainability Departments. I would like to recognize Alyssia Berthoumieux, Sustainability Specialist, for her work managing this project and coordinating with all the involved departments. This will continue to be a team effort across all departments as we track and analyze our monthly electricity bills. JLM/SMT/ESW/FCT/amb