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LTC 214-2009 Energy Audit UpdateMIAMIBEACH r' OffICE OF THE CITY MANAGER ~ _ NO. LTC# 214-2009 LETTER TO COMMlSSIO~ - •: ~, ro: Mayor Matti Herrera Bower and Members of the City Commission ~ 3 '`~ ~, FROM: Jorge M. Gonzalez, City Manag - r DATE. August 7, 2009 suelECr: ENERGY AUDIT UPDATE -- In early 2008, the City completed a competitive selection process (RFP) to identify and select a qualified vendor to work for the City in developing a comprehensive energy and resource conservation analysis. The purpose of the vendor selection was to identify a vendor capable of performing an investment grade energy audit that would identify a list of projects that could be undertaken by the City in order to reduce energy consumption and to increase the efficiency with which the City used other resources. The Citys RFP process was specifically intended to follow a provision of the Florida Statutes which provides a mechanism to undertake energy analyses and to finance any identified improvements with energy savings. Florida Statutes Section 489.145 entitled, Guaranteed Energy Water and Wastewater Performance Saving Contracting, is the mechanism which was pursued by the City, and a copy is attached, Exhibit 1, for the City Commission's information. After an interview of the final two (2) Guaranteed Energy Water and Wastewater Performance Saving Contractor applicants by the City Commission, the City Commission selected the firm Ameresco to undertake the required energy analysis and resultant work. The scope of the Ameresco Agreement which was approved by the City Commission in July 2008,inGuded: • Completion of a detailed Energy Audit which identifies all significant sources of energy consumption and establishes a base line utilization rate • Develop a list of potential Energy Conservation Measures (ECM) for review and approval by the City • Provide a detailed cost and fee estimate far implementation of the respective ECM's, together with potential savings. • After consultation with the City, develop a final list of ECM's and submit the Energy Audit for City wnsideralion. The agreement with Ameresco anticipates that upon completion of the Energy Audit thatthe City will enter into one or more Energy Performance Contracts with Ameresco, in order to complete the financing, construction and implementation of whatever ECM's are pursued. As such, no fees have been paid to Ameresco for the Energy Audit work. Ameresco's fees are to be paid as a part of the project implementation. The use of an Energy Savings Contractor (ESCO) is similar to the Construction Manager at Risk approach for a capital project, in that a contractor to manage the whole project al a fixed price is competitively selected at the development stage of the project and then follows through to the end of construction. An ESCO offers one additional feature/advantage in that the ESCO also costs and includes in the project contract period (10-15 years) operating and maintenance expenses. ESCO's can also include actual operation of certain projects if desired. The option of pursuing a Guaranteed Energy Water and Wastewater Performance Saving Contract was pursued by the City as a unique tool to severely limit risk and financial exposure by the City while addressing energy conservation and resource management. An Energy Savings Contract allows the City through a competitive process to select an Energy Savings Contractor who as part of the process provides the City with a minimum guarantee for energy savings that wilt be generated in each fiscal year for the term of the contract. In the event the City does not realize the full amount of projected energy savings, the Energy Savings Contractor through the guarantee must make up any short fall so that the City will never be obligated to spend more than the guarantee. The City's payment to the contractor and/or to finance the debt associated with construction of the energy savings measures or energy conservation measures comes from the operational energy savings realized by the City in each fiscal year. Ameresco began its engagement for the City with a September 2008 kick-off meeting, two (2) community meetings have been held as part of the process to identify any concerns within the community or suggestions within the communitythat might be pursued. Ameresco has routinely attended the Sustainability Committee meetings to advise them of progress and to solicit input and the Finance & Citywide Projects Committee devoted a workshop to the discussion of the Ameresco Preliminary Energy Assessment. Subsequent to the Finance & Citywide Projects Committee (FCWPC) meeting, individual Finance Committee members were briefed on questions that have been posed and which are the subject of this LTC for the entire Ciry Commission. Attached as Exhibit 2 is the list of ECM's which was submitted to FCWPC for discussion and review, also attached as Exhibit 3 is a list of the ECM's that were considered and not recommended for an energy conservation project. In the ECM's not recommended for further consideration in Exhibit 3, it is important to note that there are many potential worthwhile projects on the list that simply do not qualify for inclusion in the Guaranteed Energy Savings Contract which is being pursued the City. As recommended projects have to achieve some measure of savings in order to be included in an Energy Savings Program, many on the list not to be considered further either do not generate savings or potentially generate future savings that make them inappropriate for this project. For example, a desalination plant was assessed and determined not to fit the guaranteed energy savings program. The idea of a desalination plant was not flawed; however, since savings were only prospective and were potentially avoided costs from those that might eventually be charged by Miami-Dade County, it was not a fit in this contract. In the Finance & Citywide Projects Committee meeting, one of the measures on the preliminary list, ECM #13 the automated reader reading upgrade program, was recommended to be dropped by the FCW PC in light of its very large cost and poor amount of savings. Typically, an automated meter reading project is funded Bywater saved through improved and more efficient water meters. The City's water system has very little water meter loss due to the regular purchase and maintenance of the meters and not a sufficient amount of labor savings can be generated tojustify paying forthe capital associated with the project. Another project which was recommended to be dropped by the FCWPC was ECM #11, a renewable energy project at the Convention Center. This project as well had a very poor ratio of capital costs to savings generated and was largely intended to be a demonstration project for public education and awareness. The members of the FCW PC determined that the Scott Rakow Renewable Energy Project ECM #12 could fulfill that public demonstration issue and asked for more information on the Scott Rakow project. The FCW PC recommended that the remaining eleven (11) Energy Conservation Measures be kept on the list and continue to be analyzed. Specifically, the Committee asked for additional information on ECM #6 Convention Center Chiller Upgrade and Expansion, ECM #12 Renewable Energy Project at the Scott Rakow Youth Center previously mentioned, and ECM #4 Irrigation Water Conservation/Scalping Plant. The FCWPC also made a recommendation which was subsequently ratified by the full City Commission to apply $839,000 to be received by the City of Miami Beach for energy conservation measures as part of the Federal Stimulus Package to ECM #7 Geothermal Cooling Project at the Police Station and ECM # 3 Domestic Water Conservation Citywide. Projects requiring further information: ECM #2 Street Lighting Upgrades Replacing all of the street lights in the City was originally anticipated as a desirable project which paid for itself in a very short period of time. This measure has been further analyzed and it has been determined that FPL has an artificially low rate associated with street lights that is based on a per unit charge rather than actual energy consumed. to the event that new fixtures were installed, even though they would be significantly more energy efficient, in the current rate structure it would cost the City more than it pays now based on FPL's pricing structure rather than saving money. As such, this measure has been temporarily set to the side to revisit in the event the FPL rate structure changes at some point in the future. ECM #4 Irrigation Water Conservation/Water Reclamation Plant This energy conservation measure involves the construction of what is referred to as a water reclamation plant somewhere in the vicinity of the Cites sewer pump station at 28"' Street and Sheridan. The water reclamation plant literallytakes the sewage effluentfrom a sanitary sewer line and filters usable irrigation water from the flow. A series of membranes are used for this filtering process and the technique is in common use around the world. The ECM is very appealing in that the water that is derived from the plant would be used to entirely fulfill the freshwater irrigation needs at the Miami Beach Golf Club, thereby avoiding the need to purchase any irrigation water for the golf course. The plant capacity anticipated is sufficient to irrigate the golf course and potentially other City properties, which are now being explored as part of a continued due diligence on this item. There also may be opportunities to sell the reclaimed water to the community at a reduced rate, which would provide a revenue stream. If the entire plant capacity can be utilized, there will also be a significant savings associated with avoided sewage disposal costs since a significant amount of the liquid would be diverted from the sewage flow. The most significant issue for this Energy Conservation Measure was where would the plant be located. Several different locations were reviewed with the most feasible being to have the plant located at the Green waste site, which is internal to the Miami Beach Golf Course. The footprint for the plant fits easily within this space and we have been informed by Ameresco that placement of the plant in this location will not adversely affect (through noise and/or odor) the operations of the golf course nor any neighbors which are in the general area. This is a project which is of significant interest to the EPA, to DERM and the SFWMD as it is a dependable technology that produces significant benefit. It is a very green and environmentally beneficial project. This ECM will continue to be studied both as to possible savings/revenues. The project will also warrant review and discussion by the community that will most likely necessitate splitting this project from the other possible ECM's for later consideration. ECM #12 Renewable Enerpv at the Scott Rakow Youth Center In conversation, this ECM similar to the renewable energy project at the Convention Center which has been deleted has a very poor payback in terms of savings generated. The appeal this particular program is to be able to have a demonstration project at a Youth Center around which an education and information program for children and the community could be developed. The City has submitted a grant request to the EPA to seek assistance for funding for this project which the members of the FCWPC have indicated might be a good reason to retain the project on the list. In the event the grant is not received, the City Commission always reserves the right to drop the project from a final Energy Conservation Project list. One advantage to pursuing a group of energy savings projects is that those with faster paybacks can be used to help support desirable projects, such as the Scott Rakow project, that do not stand on their own financially. ECM #6 Convention Center Chiller Uograde and Expansion The FCWPC had asked that this particular Energy Conservation Measure be further analyzed as to its component parts. As this project has multiple components, the FCWPC asked for more details to see if proceeding with some, but perhaps not all of the components, made sense. What the measure involves is using groundwater as the source for the chilling tower water in the Convention Center, maximizing the operation of the chiller plant with appropriate controls and other mechanical devices and also providing a district cooling solution such that the Convention Center chilling system would provide chilled water to cool City Hall and the new parking garage. The cost breakout of the components is below: • Geothermal cooling at the Convention Center - $2,896,225 • Chiller Plant Mechanical Optimization - $339,506 • District Cooling Plant/Providing Chilled Water to City Hall - $2,138,075 The members of the FCWPC expressed their support for at least two (2) of the three (3) measures, those being the Chiller Plant Optimization and the District Cooling solution to cool City Hall and the new parking garage. The FCMPC had an outstanding question as to the advisability of proceeding with the geothermal source for cooling water as it has a high capital cost and a long payback time associated with savings. Further information is being researched on this measure to determine if additional savings exist that will justify keeping this project on the overall list, or if it should proceed with a lesser scope. Final oroiect list and financing Also attached as Exhibit 4 is the current list of ECM's under study, together with a cash flow model that illustrates how the debt could be structured. In Exhibit 4, ECM 2, ECM 4, ECM 9 and ECM 13 have been dropped and ECM 6 has been divided into the three (3) component parts discussed in the memo. Both the street lighting and water reclamation plant will continue to be analyzed for further discussion. Rather than delay the entire energy savings project to continue to develop information on ECM 2 and ECM 4, the FCWPC will be asked to proceed with the balance of 8 ECM's and also asked to clarify which of the component parts of ECM 6 to include in the overall project. Also reflected on Exhibit 4, as a net deduction to the project cost, is the $839,000 federal stimulus grant to be received. In the model as shown, the capital project is now estimated as $14,645,319 the payback time is 10.3 years and annual savings estimated at $1,352,511. The cash flow model on the bottom of exhibit 4 illustrates over the life of the program how debt payments are spread together with other program costs versus the savings that is anticipated and to be guaranteed by Ameresco. W hile annual energy savings is the source for project costs, it is necessary to obtain financing at the front end to provide for construction funding and project cash flow. Subsequent to the energy audit completion, the City will need to undertake a detailed review of the assumptions and projections contained therein and negotiate a number of the contract terrns. This would not occur until after the final energy audit is submitted to the City Commission and direction to negotiate on a final project list is granted. Financing the list of projects is anticipated to be done by a note, preferably tax exempt, which is similar to those used by the City for equipment financing. As we approach the construction contract approval date, the Administration will compare the cost of a note held by Ameresco versus one held by the City to determine which is the least expensive. It is most likely that the Ciry holding the note will be cheaper because the City can obtain tax- exempt financing unavailable to Ameresco. On an annual basis, the budget and our financial management system capture of data will need to be closely coordinated so that the savings that are projected are actually captured and that those funds are available to apply to the debt payments. Included in Exhibit 4 is also a brief description of each of the ECM's still under review Ameresco expects to be able to return the FCW PC late in August with final information on the follow-up measures and a recommendation for proceeding with an Energy Conservation Project. It may be possible that this report will also be submitted for the September 9, 2009 City Commission meeting for consideration by the City Commission. This LTC is intended to provide a snapshot of how the project is moving ahead. In the event you have questions, or would like a more detailed individual briefing as the information on this project is significant, please feel free to let me know. JMGlRCMlsam f:Mangr~ $ALLIBOB\LTGAmeresco&7-09.doc Attachments Statutes & Constitution :View Statutes : flsenate.gov F.XAiRIT I Page 1 of 5 Select Year: 2~~8,;3 .God ".l'he 2c)OH t~]<trida Statutes Title XXXII Chapter 489 View Entire Chapter REGULATION OF PROFESSIONS AND OCCUPATIONS CONTRACTING 489.145 Guaranteed Energy, water, and wastewater performance savings contracting.-- (1) SHORT TITLE.--This section may be cited as the "Guaranteed Energy, Water, and Wastewater Performance Savings Contracting Act." (2) LEGISLATIVE FINDINGS.-•The Legislature finds that investment in Energy, water, and wastewater efficiency and conservation measures in agency facilities can reduce the amount of Energy and water consumed and wastewater produced and produce immediate and longterm savings. It is the policy of [his state to encourage each agency to invest in Energy, water, and wastewater efficiency and conservation measures to minimize Energy and water consumption and wastewater production and maximize Energy, water, and wastewater savings. It is further the policy of this state to encourage agencies to reinvest any savings resulting from Energy, water, and wastewater efficienty and conservation measures in additional Energy, water, and wastewater efficiency and conservation measures. (3) DEFINITIONS.--As used in this section, the term: (a) "Agency" means the state, a municipality, or a political subdivision (b) "Energy, water, and wastewater efficiency and conservation measure' means a training program incidental to the contract, facility alteration, or equipment purchase to be used in new construction, including an addition to existing facilities or infrastructure, which reduces Energy or water consumption, wastewater production, or Energy-related operating costs and includes, but is not limited to: 1. Insulation of the facility structure and systems within the facility. 2. Storm windows and doors, caulking or weatherstripping, multiglazed windows and doors, heat• absorbing, or heat-reflective, glazed and coated window and door systems, additional glazing, reductions in glass area, and other window and door system modifications that reduce Energy consumption. 3. Automatic Energy control systems. 4. Heating, ventilating, or air-conditioning system modifications or replacements. 5. Replacement or modifications of lighting fixtures to increase the Energy efficiency of [he lighting system, which, at a minimum, must conform to the applicable state or local building code. 6. Energy recovery systems. 7. Cogeneration systems that produce steam or forms of Energy such as heat, as well as electricity, for use primarily vrithin a facility or complex of facilities. 8. Energy conservation measures that reduce British thermal units (Btu), kilowatts (kW), or kilowatt hours (kWh) consumed or provide long-term operating cost reductions. htq,:!?~+•ww.flscnalu.goviStatutes'index.cfin?p=2&mode=View Statutesc4~:SubVlenu-I&r1... U7??3!2009 5tanttcs c~' Constitution :View Statutes : flsenate.gov Page ? of 5 9. Renewable Energy systems, such as solar, biomass, or wind systems. 10. Devices that reduce water consumption or sewer charges. 11. Energy storage systems, such as fuel cells and thermal storage. 12. Energy-generating technologies, such as microturbines. 13. Any other repair, replacement, or upgrade of existing equipment (c) "Energy, water, or wastewater cost savings" means a measured reduction in the cos[ of fuel, Energy or water consumption, wastewater production, and stipulated operation and maintenance created from the implementation of one or more Energy, water, or wastewater efficiency or conservation measures when compared with an established baseline for the previous cost of fuel, Energy or water consumption, wastewater production, and stipulated operation and maintenance. (d) "Guaranteed Energy, water, and wastewater performance savings contract" means a contract for the evaluation, recommendation, and implementation of Energy, water, or wastewater efficiency or conservation measures, which, at a minimum, shall include: 1. The design and installation of equipment to implement one or more of such measures and, if applicable, operation and maintenance of such measures. 2. The amount of any actual annual savings that meet or exceed total annual contract payments made by the agency for the contract and may include allowable cost avoidance if determined appropriate by the Chief Financial Officer. 3. The finance charges incurred by the agency over the life of the contract. (e) "Guaranteed Energy, water, and wastewater performance savings contractor" means a person or business that is licensed under chapter 471, chapter 481, or this chapter and is experienced in the analysis, design, implementation, or installation of Energy, water, and wastewater efficiency and conservation measures through Energy performance contracts. (f) "Investment grade Energy audit" means a detailed Energy, water, and wastewater audit, along with an accompanying analysis of proposed Energy, water, and wastewater conservation measures, and their costs, savings, and benefits prior to entry into an Energy savings contract. (4) PROCEDURES.-- (a) An agency may enter into a guaranteed Energy, water, and wastewater performance savings contract with a guaranteed Energy, water, and wastewater performance savings contractor to reduce Energy or water consumption, wastewater production, or Energy-related operating costs of an agency facility through one or more Energy, water, or wastewater efficiency or conservation measures. (b) Before design and installation of Energy, water, or wastewater efficiency and conservation measures, the agency must obtain from a guaranteed Energy, water, and wastewater performance savings contractor a report that summarizes the costs associated with the Energy, water, or wastewater efficiency and conservation measures or Energy-related operational cost-saving measures and provides an estimate of the amount of the cost savings. The agency and the guaranteed Energy, water, and wastewater performance savings contractor may enter into a separate agreement to pay for costs associated with the preparation and delivery of the report; however, payment to the contractor shall be contingent upon the report's projection of Energy, water, and wastewater cost savings being equal to or greater than the total projected costs of the http:irrvrvrv.Ilsenate.gor;Statutesiindex.cfm'?p-2&made-View Statutes&SubNtenu-l&A... 07.'2-3'3009 Statutes & Constitution :View Statutes : flsenate.gov Pace 3 0l' S design and installation of the report's Energy conservation measures (c) The agency may enter into a guaranteed Energy, water, and wastewater performance savings contract with a guaranteed Energy, water, and wastewater performance savings contractor if the agency finds that the amount the agency would spend on the Energy, water, and wastewater efficiency and conservation measures will not likely exceed the amount of the cost savings for up to 20 years from the date of installation, based on the life cycle cost calculations provided in s. 255.2.55, if the recommendations in the report were followed and if the qualified provider or providers give a written guarantee that the cost savings will meet or exceed the costs of the system. However, actual computed cost savings must meet or exceed the estimated cost savings provided in each agency's program approval. Baseline adjustments used in calculations must be specified in the contract. The contract may provide for installment payments for a period not to exceed 20 years. (d) A guaranteed Energy, water, and wastewater performance savings contractor must be selected in compliance with s. 287.055; except that if fewer than three firms are qualified to perform the required services, the requirement for agency selection of three firms, as provided in s. 287.055(4) (b), and the bid requirements of s. 287.057 do not apply. (e) Before entering into a guaranteed Energy, water, and wastewater performance savings contract, an agency must provide published notice of the meeting in which it proposes to award the contract, the names of the parties to the proposed contract, and the contracts purpose. (f) A guaranteed Energy, water, and wastewater performance savings contract may provide for financing, including tax-exempt financing, by a third party. The contract for third-party financing may be separate from the Energy, water, and wastewater performance contract. A separate contract for third-party financing under this paragraph must include a provision that the third•party financier must not be granted rights or privileges that exceed the rights and privileges available to the guaranteed Energy, water, and wastewater performance savings contractor. (g) Financing for guaranteed Energy, water, and wastewater performance savings contracts may be provided under the authority of s. 287.064. (h) The Office of the Chief Financial Officer shall review proposals from state agencies to ensure that the most effective financing is being used. (i) Annually, the agency that has entered into the contract shall provide the Department of Management Services and the Chief Financial Officer the measurement and verification report required by the contract to validate that savings have occurred. (j) In determining the amount the agency will finance to acquire the Energy, water, and wastewater efficiency and conservation measures, the agency may reduce such amount by the application of any grant moneys, rebates, or capital funding available to the agency for the purpose of buying down the cost of the guaranteed Energy, water, and wastewater performance savings contract. However, in calculating the life cycle cost as required in paragraph (c), [he agency shall not apply any grants, rebates, or capital funding. (5) CONTRACT PROVISIONS.-- (a) A guaranteed Energy, water, and wastewater performance savings contract must include a written guarantee that may include, but is not limited to the form of, a letter of credit, insurance policy, or corporate guarantee by the guaranteed Energy, water, and wastewater performance savings contractor that annual cost savings will meet or exceed the amortized cost of Energy, water, and wastewater efficiency and conservation measures. (b) The guaranteed Energy, water, and wastewater performance savings contract must provide http:!iwww.flsenate.gov!Statutes!uidex.cfm?p=2Ncmode=View Statutes&Subh4enu°]&A... 07!23%2009 Statutes & Constitution :View Statutes : flsenate.eov Page 4 of that all payments, except obligations on termination of the contract before its expiration, may be made over time, but not to exceed 20 years from the date of complete installation and acceptance by the agency, and that the annual savings are guaranteed to the extent necessary to make annual payments to satisfy the guaranteed Energy, water, and wastewater performance savings contract. (c) The guaranteed Energy, water, and wastewater pertormance savings contract must require that the guaranteed Energy, water, and wastewater performance savings contractor to whom the contract is awarded provide a 100-percent public construction bond to the agency for its faithful performance, as required by s. 255.05. (d) The guaranteed Energy, water, and wastewater performance savings contract may contain a provision allocating to the parties to the contract any annual cost savings that exceed the amount of the cost savings guaranteed in the contract. (e) The guaranteed Energy, water, and wastewater performance savings contract shall require the guaranteed Energy, water, and wastewater performance savings contractor to provide to the agency an annual reconciliation of the guaranteed Energy or associated cost savings. If the reconciliation reveals a shortfall in annual Energy or associated cost savings, the guaranteed Energy, water, and wastewater performance savings contractor is liable for such shortfall. If the reconciliation reveals an excess in annual cost savings, the excess savings may be allocated under paragraph (d) but may not be used to cover potential Energy or associated cost savings shortages in subsequent contract years. (f) The guaranteed Energy, water, and wastewater performance savings contract must provide for payments of not less than one-twentieth of the price to be paid within 2 years from the date of the complete installation and acceptance by the agency using straight-tine amortization for the term of the loan, and the remaining costs to be paid at least quarterly, not to exceed a 20-year term, based on life cycle cost calculations. (g) The guaranteed Energy, water, and wastewater performance savings contract may extend beyond the fiscal year in which it becomes effective; however, the term of any contract expires at the end of each fiscal year and may be automatically renewed annually for up to 20 years, subject to the agency making sufficient annual appropriations based upon continued realized Energy, water, and wastewater savings. (h) The guaranteed Energy, water, and wastewater performance savings contract must stipulate that it does not constitute a debt, liability, or obligation of the state. 'ION AND CONTRACT REVIEW.--The Department of Management Services, tffice of the Chief Financial Officer, shall, within available resources, ssistance to state agencies contracting for Energy, water, and =onservation measures and engage in other activities considered gent for promoting and facilitating guaranteed Energy, water, and tntracting by state agencies. The Department of Management Services -grade audit for each proposed project and certify that the cost savings rnt for the term of the contract. The Office of the Chief Financial of the Department of Management Services, shall, within available ontractual and related documents for use by state agencies. Prior to Energy, water, and wastewater performance savings contract, any tarty financing, or any combination of such contracts, a state agency contract or lease to the Office of the Chief Financial Officer for review ~ntract or lease shall include: (a) Supporting information required by s. 276.G23(4)(a)9. in ss. 7.87.Ob3(5) and 287.064(11). For contracts approved under this section, the criteria may, 'at a minimum, include the specification of a benchmark cost of capital and minimum real rate of return on Energy, water, or wastewater http:,•'iwww.llsrnate.gov,'Statutes'utdex.cfni?p=2&tnodc-View StatulesRcSubMemt-1&A... 07.'23;2009 Stahrtes & Constitution :View Stahttcs : flsenatagov Page 5 of 5 savings against which proposals shall be evaluated. (b) Documentation supporting recurring funds requirements in ss. 287.063(5) and 287.06x(11) (c) Approval by the head of the agency or his or her designee. (d) An agency measurement and verification plan to monitor cost savings. (7) FUNDING SUPPORT.--For purposes of consolidated financing of deferred payment commodity contracts under this section by an agency, any such contract must be supported from available funds appropriated to the agency in an appropriation category, as defined in chapter 216, that the Chief Financial Officer has determined is appropriate or that the Legislature has designated for payment of the obligation incurred under this section. The Office of the Chief Financial Officer shall not approve any contract submitted under this section from a state agency that does not meet the requirements of this section. History.--s. 1, ch. 94-112; s. 1, ch. 2001-81; s. 510, ch. 2003-261; s. 99, ch. 2008-227 'Note.-•The word "at" was substituted for the word "add" by the editors. lhsclaimor: The informaUOn on this system is unverified. The journals or printed bills of the respective chambers should be constrlted for official purposes. Copyright ~~ 2000.2006 State of Rorida. httpaiwww. flsenate.govt'StahRes!index.cfni.'p°2&madc=View Stauttest~SubMemr 1 ~K.A... 07'2%2009 ~\1lIBiT ? 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Y.i S = F =~; C L r I .I. ~, ~ z 4 i E ~ : ~ b -'.3 i ~ F $ t>r ~ 3°: 5Yg i Y C ~ ~~ s N 6 H f ~ ~+ ! _ N t NM ~ A. ~' 3 q ~~,t 4 'c ' r.,c y .. _ s ~ { i 36' L^ 2 ~~ ~: y ~ 2 a _ L .' 1j/~M1~'~,~,'i~ 1~~~ n, ~I SG[ F R Z ~3 9 3 o II r F ` ' I ' ` + € 3 ~ '> ~ i: ~$ .;~ +•. ~:• AMERESCO c; rein .Clean • sustainable City of Miami Beach Energy Conservation Measures Summaries H:CM 1: Lighting and Controls Upgrades: Dttring the Ptelintinary Energy Audit (PL.4), Ameresco found several Jiffcrent lamp:ballastitixhtre combinations throughout the City of Miami Beach (the City) facilities. ~Tost of the facilities currently have high-efficiency 1'A's and compact fluorescent lighting fixtures installzd. Although a majority of the lighting systems throughout the City have been updated with 32 watt TA lamps and electronic ballas[, v<•trious areas of improvement still exist within the Guy's f<•tcilities..4meresco proposes to install a more energy efficient lighting system within these facilities that will reduce the cost of energy, operation, and maintenance for the City. A more eflicieut 28 watt T8 lamp in combination with high efficiency electronic ballast will replace the existing TR system. Pttrking garage lighting at the Anchor garage consists of surface mounted high pressure sodium (HPS) fixtures throughout the garage and I IPS pole fixtures on the roof. The goal of a successful lighting retrofit project is to provide recommended light levels for safe and comfortable use of all areas, while reducing the amount of energy consumed by the lighting system. This may mean that areas no[ meeting minimum standards require improved lighting. The City of D•fiami Beach currcndy has a minimal aznount of lighting contmis insutllcd throughout the City's facilities. With the exception of the Convention Center, none oY'the facilities in the current projec[ scope have a building lighting contmis system or occupancy sensors. Ameresco proposes to install wall and ceiling mounted occupaucy sensors and photo sensors in appropriate loea[iotts (e.g. multiple controllable fixtures, intermittent occuptncy, and where no safety hazards exist) Special attention will be given when recommending ceiling sensors in places where wall sensors are subject to vaudalism. Parking garage lighting will be replaced with LLD fixhtres and the perimeter fixhtres in the parking decks will be equipped with phow sensors that will make use of daylighting to decrease energy consumption. R1ten theve is sufficient light along the perimeter, the photo sensors will turn the perimeter lights aff-thus saving eneryry and extending the useful life of the fixture. *EC~'[ 2: Street Lighting Upgrades: (CURREI\Tl.l' VOT RI:CONIR~IEVDED IV PROGRAM) Ameresco proposes to install au energy efficient lightntg system for the street lighting and other outdoor pole lighting throughout the City of Miami Beach (the City). A city wide audit of the existing xtreet lighting and other outdoor lighting w•as pertbrmed to detenuine the different types, st}4es and locations of the fixtures. The City also provided a list of exisring street and outdoor lighting that detailed the quamities, wattages and styles. `Page mn(s~t is su6i8cY fo Confioenl(alit/ Resfriclions' AMERESCO Green .Clean . Sustainable The strce[ lightinc and other outdoor lighting throughout the Cih tttilizcs both IIPS and M H lamps and ballasts fix exterior lighting. However, due to adv<wces in technology, more efficient lamp technologies that provide better light duality and longer lamp life are available Ameresco proposes replacing many of the IIPS and :vIH s[reet and outdoor pole fixtures with induction technology. ECJt 3: Domestic N•ater Conservation: Ameresco proposes to reduce domestic water consumption in the City of tvfiwti Beach facilities by replacing stwdard flow toilet ftxiures with low Ilow water tlxtures. As a ptut of this energy conservation savings measure, Ameresco will also reUOfit urinals with low flow flush vahes and modify lavatory faucets with low flow aerators. In addition, savings will be realized using show•erhead rtplacemeuts, ice machine retrofits, and laundry washer replacements. Water conservation is the mast enciromnentallp• sound anJ cost-effective way to reduce water consumption. In addition to water savings there are reductions in sewage treatment charges and charges pertaining to w•atcr heating for lavaton ,sink and laundry• washer fixtures. Ameresco proposes to install salt chlorine generators at three pools (Flamingo f ark, Normandy Isle Activity Center, and the Scott Kakow Youth Center). Salt chlorine gcr[era[ors will reduce the wst of chemical treatment for the pools. In addition, the benefits include: no fitnher storage of chlorine; no further shockn~g will be necess<•tp~; easier chemical treatment; no staining of clothes; and the pool water will be much less corrosive w stainless steel than regular chlorine-tmated water. ECAf 4: Domestic ~Yater Consen•ation Scalping Planr..4meresco will reduce domestic water consumption at the City of Miwu Beach Golf Club by installing a Scalping Reclaim 1~•'ater Plant. The Scalping Reclaim N'a[er Plant will utilize sewer reclaim water as the source for irrigation. Scalping consists of intaking a portion of the sewer water currently being pumped to btiami Dade County, treating it and re-using it fur ircigation water. The direct economic benefit of using Scalping technology for irrigation water is hvo-fold, as potable water usage is significantly reduced, as well as avoiding sewer teeter discharged into the A4iatui Dade County system. Ameresco has considered the potential site for locating the MBR plant on the South East edge of the PAR 3 Golf Course. This site is sn open ground space, which reduces cost versus placing it on a high concrete or paved area, it is out of the w•ay of prime real estate property, such as the GoICCourse and the Scott Rttkow Youth Center, and it is located in a strategic location to receive anJ to discharge excess sewage to a 30" diameter pressurized setvt.K line coating out of the ZS'" Street Sewer Pump Station. The proposed system will maintain the Golf Course mention ponds water level, by delivering the processed water from the IvIBR plant, at which time the Flowtronex system will use only the existing salt water pumps w irrigate the golf course. The kiBR pkwt will reduce its flow nr c<w even shut down its process when the water levels at the retention pond are satisfied. 'Page cornea[ is sub,+ecr ro Canfideana~iry ResMu'ia^s" AMERESCO~ Green .Clean . ~us`mnable ECD4 5: H~'AC Controls: Ameresco proposes to perform upgrades to the existing building level control systems found at seventeen facilities owned by the Ciry of Miami Beach and then integrate these buildings into a single, citywide energy mauagement system (EMS). "The ciryrn•ide EMS will interface to the existing control systems found at the building level so that building conditious, schedules, setpoints and alarnvs are easily viewable tluough a conunon interface. The system will be accessible from any Internet enabled computer with web browsing software, once the user is properly authenticated. Also, the citywide E1viS will be modular and expandable, allowing existing buildings or newly constructed buildings to be added at a later date. Integrating the existing building Icvel control systems iuto a single, web-based E:viS allows the conditions at each building to be monitored in real-time tiom any location. This enhances occupant comfort while providing significant energy savings. The cirylvide 6MS will also display real-time alarms; allowing for quick response times and remote troubleshooting by the Property blwagement s[aff. Additionally, Ameresco proposes to implement energy savings strategies such as De~rnand Controlled Vemilatiar (DCV), active building scheduling and unoccupied setback. Building schedules can he applied through the cit}•tvide LD4S, allowing H~'AC equipment to be mined off or set back when the building is unoccupied. TKV ensures adequate building ventilation and provides significant enerbry savings by controlling building outside air ind[ke based ou CU; levels iu the space. ECDt 6: Geothermal District Cooling Plant Opfimizatton: Ameresco proposes to extend the existing chilled w•ster loop at the Com•ention Center and Jackie (rleason Theater w provide chilled water for City hall and the new Municipal Parking Cruage. This euergu conservation measure (EC41) will convert the Com•ention Center cooling plant into a District Cooling Plant. This project will shift inefficient chilled water operations at City Hall and the new ~4unicipal Parking Garage chilled water systems to the modentized plant current$• serving the Convention Center. In order to m.tximize the efficiency of the new DisWe[ Cooling Plant, the project also will install a Chiller Plant Optiutization Package to the plant, along with a Geothermal Condenser \~i~ater System. These combined efliciency improvemer[ts to the C'omcrttion Center Chiller Plwt will am:atly unprove cooling efficiency to dte buildings sen ed utilizing stilled wstcr. F.CDt 7: Geothermal Cooling at Police Station: Ameresco proposes ro siamificantly improve the efficiency oC[he chillers at the City of Miami Beach Police Station by changing the hest rejection fiom the building cooling system from water cooled towers on the nx~f to geothermal cooling using the earth as an underground water source to serve as the condenser water cooling system for the Police Station Chiller Plant. Ameresco proposes to build a gco-thermal condenser water cooliug system that will intake underl,~round water tiom an aquifer and reject the same amount of water back into the same aquifer in an open loop configtuation. Thhc water will have a stable temperature of 78 degrees 'Page content is subject to Confro'engaAty Resmcnons' AMERESCO Green C.I?an . susta~~nab~e Fahrenheit, which is dillereut from the higher and weather dependant water temperatures provided by the existing cooluig tow•cts. Both production and rejecrion wells will be drilled on the North side of the property with a maximum volume oC 1,000 gallons per minute of water at 75 degrees Faluenheit. ECDI 8: lee Arena Cooling: Ameresco proposer through the implementation of this energy couservatiun measure (EC~1) to capitalize on the fact that there is an existing and very' efficient chiller plant at the Scutt Rakow Youth Centty facilih .However, the current air-cooled air handling writs in the facility are veq• incfficieut and ineffective. 'These units will be rephtceJ for ~~cater efficiency and energy savings. The units under considerarion are mauufataured specifically for Ice Rink applications by 1.4unters. This blunter 1ceAire heat pump is a dedicated bate dehumidification system that utilises waste heat from the existing refrigeration plant to reactivate the desiccant wheel, instead of using Katural Gas for this propose. The new units will process the return air, but also the outside air required to properly balance the pressurization of the building, avoiding infiltration of hot and hwnid air. Additionally, these units have the abiliq to modulate the outside air intake, based on Carbon Dioxide levels mettsurcd inside the arena. Arenas can save signitcant utility costs by eliminatiug natural gas usage, and in this case, avoidance of service repairs and additional maintenance. Utilizing refrigerant plant cooling capacity and reclaiming compressor waste heat to reactivate the desiccant wheel allows this advanced teclmolugy to be capable of delivering low dew point air atior below' 30"F. *ECM 9: Wall Insulation: (CURRENTI.t' NOT RECO~INI:NDLD IV PROGRANT) Ai the Scott Rakow Youth Center, Ameresco determined that condensate (moisture) currently forms in the grytnnasiwn along the common wall shan:d by the gymnasiwn wd the ice rink. 'The ice rink is maintained at a nmch ctwlcr temperature than the g}wnasium. The cool temperantre of the ice rink is conducted through the slurred wall, creatutg a surface which is much choler thm the space temperature in the gymnasium. When the relatively wane air found in the gpm contacts the cool, common wall a significant amount of condensate forms. Ameresco proposes to install a layer of insulation along the common wall in the g}atutasium to isolate the axrl sru•face of the wall from the wamter air of the gytn, thus prcvcnting condensate from continuing to develop. Am~Kesco proposes installing rigid foam insulation along the bnannasium wall to isolate the cool wall sut•face from the w•ann L~yTnnasium air. Rigid insulation will not be installed inside the wall but along the wall surface in the gymnasium. The rigid fvam insulation will be protected by dry' wall panels to help prevent damage from normal activity' in the gynuuusium. All electronics and fixtures along this wall in Ute g}•m will be removed to allow installation of the rigid insulation and then reinsutl Icd. 'Page aMtBM is u~q'ect to ConfWeaea7ily ResficGOns' AMERESCO~ Green .Clean . Sustiinaole EC'~•i 10: Transformer Replacement: Atneresco recommends in this energy conservation measure to replace several existing step-down transformers with new energy-efficient transformers. A II of the transformers are dry-type indoor transformers that step-down (vansform) 480 volt puu•cr to 208Y~ 120 volt power. Dlost transformers in use today <•ue loaded at about 25-45°-0 of their total capaciq. They an desiymed to be able ro transform the elcctriciq~ up to a specific design rating and are most efficient at or around the recomtnendcd design rating. Operating at low levels for normal transformers is incfficieut. The Yow•ersmitlts E-SAVER model C31_ transformers prupased for this measure is designed to increase efficiency of the electricity vansfotrnation. A total of 47 step-dawn tmusfonners were identified for replacement with new energy-cfficieut tramfornters. Most of the tr<wsfonncrs are dry-type indoor transformers that step-down 480 volt power to 2081712(1 volt power. These transformers arc located in amd around the Com•cntion Center, Police Station, Old Cip~ Hall, theaters, and community centers. Tie-ins to the existing primary and secondary power feeds will be required. *EC~i l I: Renewable Energy at Convention Center: (CURREhiLY VO'f RN:CO~I~IEVDN:D IV PROG124M) Ameresco proposes to install hvo independently located renewable energy systems: • A i(~ kW Solar Photo-voltaic array on the Nest silt: of the Convention Ceuter roof, which will be connected to the w'cst Electrical room into the puw•cr grid of the facility • And a 50 k\1' Wind Generation Array, which will be installed on the sattheast corner of the Convection Center, and then be connected to the Las[ Electrical Room. Photovoltaic panels specified for this array are the Power-Spar PS-14U systt-tn, which provides superior perfornance by concenvath~g and magnifying the sun light reflected by mirrors into the sol<•v panels. This array will hate pe<dt power of 56 kN' during the peak time of day, which is t}•pically between 1:0U and 3:00 P.Yl. The photo-voltaic array wilt also automatically rotate and vack the sun for maximum eticiency. The system will also contain h+ro (2)Photo-Voltaic (P\•') powered 30 kW power im~erers. The proposed wind array, consisting of fifty (50) l k~1•' wind turbines, will be strategically located on the Southz<•tst corner of the Convention Center stmcture, which faces directly to the front of the ~Tiami Beach City HaII. Both installations will be properly pt~rmitted to comply with the City of Miami Reach and Miami Dade County construction building codes. 'PayC ~ontenl is SuD/Btl to CanfioenliaUpj Resrncoaac'• AMERESCO~ Green Gann . SustainaUle EC~112: Renewable Energy at Scott Rakow South Center: Ameresco proposes to install a photo-voltaic solar thermal array system at the Iviiami Beach Scott Rakow Youth Center that will provide electrical energy to the facility electrical grid and will provide hot water to the facility pool The system can be also used as an educational tool for the youth visiting the facility. .A 28 k~V Solar Photo-voltaic array combine) with a 43 k~\' Solar Thermal system on the West side of the Scow Rakow• roof is recommended. The electrical output of the array will be connected to the power grid of the facility, while the thermal array will he counected to [he pool heating system of the facility. The intey>ratcd solaz array that will provide the facility electrical grid with a maximum capacity of 28 k\4' on the electrical side and ~i3 kW of thermal cap:uity to be used for heating the tiacility pool, anJ will require a roof area of 2,124 sgttare fzet on the Southwrest side of the facility roof. The location has been strategically selected due to distances to the nearest electrical room and the facility pool heating mechanical room. Both installations will be properly permitted to comply with the City of Iviiami Beach and Miami Dade County construction building codes. *FOOTNOT'E: Energy Conservation D9easures (C'URI2ENTL]' No'I' REC0~1 ~~IENDED 1N }'ROGR4h1 j are due fo the significant capital costs that would be required to implement this type of energy measure compared to the minimal ener~• savings that would be rea-i~ed o~~er the term of the project guarantee. 'Page caVant 7s srq~ io Ccnf.~ent~aSy ResMCUcns'