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2018-048 - Making findings dispensing with the formal bidding requirements per CA Government Code and authorizing the Town Manager to execute an Energy Services Agreement with Syserco, Inc.RESOLUTION 2018 -048 RESOLUTION OF THE TOWN COUNCIL OF THE TOWN OF LOS GATOS MAKING FINDINGS DISPENSING WITH THE FORMAL BIDDING REQUIREMENTS PER THE CALIFORNIA GOVERNMENT CODE SECTIONS 4217.10- 4217.18 AND AUTHORIZING THE TOWN MANAGER TO EXECUTE AN ENERGY SERVICES AGREEMENT WITH SYSERCO, INC. FOR THE DESIGN, INSTALLATION AND COMMISSIONING OF HVAC AND LIGHTING IMPROVEMENTS AT VARIOUS TOWN FACILITIES FOR A TOTAL PROJECT COST NOT TO EXCEED $1,664,358. WHEREAS, Syserco, Inc. has developed an Energy Services Proposal (Exhibit A) to provide a turnkey, comprehensive approach towards designing, building, managing, commissioning, monitoring and validating Energy Conservation Measures (ECMs); WHEREAS, the Energy Services Proposal allows for implementing energy conservation projects at designated Town facilities to address existing building infrastructure needs providing for more energy efficient, safe, reliable, and sustainable operations; WHEREAS, in orderto participate in the Energy Services Program, the Town hired Syserco, Inc. to perform an Investment Grade Audit (IGA), consisting of professional engineering services necessary to complete a full assessment of energy efficiency opportunities at Town Hall, Library, Police Operations Building, Adult Recreation Center, Youth Recreation Center, Lot #4 Garage, and the Corporation Yard; WHEREAS, Syserco, Inc. has issued the IGA Final Report (included in Exhibit A), which identified a variety of economically viable energy efficiency and operational upgrades, including capital improvement projects that, when implemented, will allow the Town of Los Gatos to achieve long -term sustainability goals; WHEREAS, California Government Code Section 4217.12 allows the Town to forgo standard procurement processes for "energy services contracts" if it finds it best serves the Town's interest and that the anticipated cost to the Town for the conservation services provided under the contract will be less than the anticipated marginal energy cost to the Town that would have been incurred in the absence of the contract; Iof3 Resolution 2018 -048 October 2, 2018 WHEREAS, the Energy Services Agreement terms include: a scope of work containing the ECMs selected by the Town Council, insurance and indemnity provisions approved by the Town Risk Manager and Town Attorney, and those terms in the Town's standard construction contract necessary to comply with all applicable public contracting laws, including prevailing wage, bonds, etc.; and WHEREAS, the Town Council held a public hearing on October 2, 2018, to consider Energy Conservation Measure options as required by California Government Code Sections 4217.12. NOW, THEREFORE, the Town Council of the Town of Los Gatos, California, does resolve as follows: Section 1. Based upon reports of staff, reviewed by the Town Council in connection herewith, and pursuant to Government Code section 4217.12, the Town Council finds that the anticipated cost to the Town for the Energy Conservation Measures provided pursuant to the terms of the Energy Services Agreement will be less than the anticipated marginal costs to the Town of thermal, electrical or other energy that would have been consumed by the Town in the absence of such purchases. Section 2. It is in the best interest of the Town to enter into an agreement pursuant to the terms set forth in the Energy Services Agreement in Exhibit A, subject to minor revisions approved by staff and legal counsel that do not alter the Town's obligations thereunder, or reduce the benefits to the Town approved in this Resolution. Section 3. The Town Manager is authorized to negotiate and execute the attached Energy Services Agreement with Syserco, Inc. to implement the Energy Conservation Measures described in the agenda report to the Town Council dated October 2, 2018, subject to approval as to form by the Town Attorney. Section 4. The Town Manager is authorized to enter into a financing agreement with PG &E for the On -Bill Financing (OBF) Program. 2of3 Resolution 2018 -048 October 2, 2018 PASSED AND ADOPTED at a regular meeting of the Town Council of the Town of Los Gatos, California, held on the 2nd day of October 2018 by the following vote: COUNCIL MEMBERS: AYES: Marcia Jensen, Steve Leonardis, Marico Sayoc, Barbara Spector, Mayor Rob Rennie NAYS: None. ABSENT: None. ABSTAIN: None. SIGNED: MAYOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA lots /r9 DATE: ATTEST: TOWN CLERK ADMINISTRATOR OF THE TOWN OF LOS GATOS LOS GATOS, CALIFORNIA DATE: % 3of3 Resolution 2018 -048 October 2, 2018 ENERGY SERVICES CONTRACT This Energy Services Contract ( "Contract ") is made and entered into as of ( "Date "), between Syserco, Inc., a California company ( "Energy Services Contractor "), having its principal offices at 215 Fourier Ave, Fremont, CA 94539, and Town of Los Gatos, having its principal office at 110 East Main Street, Los Gatos, CA 95030.( "Customer"), who are collectively referred to as the ( "Parties "), or individually as a ("Party "). WHEREAS, Energy Services Contractor is a company with experience and technical and management capabilities to provide for the discovery, engineering, procurement, installation, financing, maintenance and monitoring of energy saving measures, solar power generation measures, and/or operations and maintenance cost reductions at facilities similar to Customer's facilities; WHEREAS, Energy Services Contractor has prepared a project proposal in the form of an investment grade audit, ( "Proposal ") for Customer; and WHEREAS, Customer desires for Energy Services Contractor to perform certain work as identified in this Contract, and Energy Services Contractor desires to perform such work; WHEREAS, if Customer is a public entity, this Contract is procured pursuant to the following procurement statute or other authority: CA Legislative Government Code 4217. Energy Services Contractor enters into this Contract in reliance on Customer's representations concerning the appropriateness and validity of the procurement mechanism(s) under which this contract is procured. Customer as a fiduciary acknowledges such reliance by Energy Services Contractor. NOW THEREFORE, the parties agree as follows: 1. Contacts. As of the Effective Date, and subject to change from time to time, the following persons are the primary representatives of each party as related to execution of this project: For Energy Services Contractor: Name: Gabe Johnson Title: Account Executive Address: 215 Fourier Ave., Fremont, CA 94539 Telephone: 707- 227 -6377 Email: g.johnson @syserco.com For Customer: Name: Title: Address: Telephone: Email: 2. Scope of Work. Energy Services Contractor agrees to perform the design and/or construction work set forth in the proposal described as Investment Grade Audit ( "Work") and attached hereto as Exhibit A. Customer agrees to take all actions identified in this Contract that are necessary to achieve the project benefits identified. Energy Services Contractor will provide all labor, materials, equipment, and supervision, including subcontractors, necessary to perform the Work. If included in the Proposal or other exhibit to this Contract, Energy Services Contractor also agrees to perform post - construction services, which may include monitoring, measurement and verification services, following Substantial Completion of the Work ( "Services "). Page 1 of 9 EXHIBIT A 3. Compensation. Customer shall pay Energy Services Contractor O n e M i 11 i o n S i x Hundred Sixty Four Thousand Three Hundred Fifty Eight d o 11 a r s ($1,664,358) ( "Price ") as compensation for Energy Services Contractor's performance of the Work and Services as provided herein. Unless different payment terms are specified in this Contract, Customer shall pay Energy Services Contractor in accordance with the schedules set forth in Exhibit C. Customer shall pay Energy Services Contractor within fifteen (15) days of receiving an invoice. Energy Services Contractor will be entitled to interest at the rate allowed by law on all sums overdue and unpaid from the date due. Additional project financial information including total compensation and payment terms is as set forth in the Proposal, or other attached exhibits, as applicable. 4. Time. The Work to be performed under this Contract shall begin within 30 days of the date of an Executed Contract or Letter of Award ( "Commencement Date ") and is anticipated to end by the earlier of the dates set forth in Section 4.a. or 4.b., below ( "Time "). If the Work is divided into phases or individual projects, each phase or project will start in accordance with the timeline included as part of this Contract. The Work, but not the Services, shall be completed by the date that is the earlier of a. The date on which Energy Services Contractor is substantially complete with the Work. Substantial completion means that Energy Services Contractor has performed enough of the Work so that Customer may use the Work for its intended purpose or realize an intended benefit from the Work. If the Work is divided into phases or individual projects for which individual prices have been negotiated ( "Phase "), then substantial completion dates shall apply to each phase or individual project as indicated in this Contract. Substantial completion should be demonstrated via execution by Customer of a certificate of substantial completion. b. (365) days after the Commencement Date, subject to equitable extensions of Time, or pursuant to this Contract. Any Services shall commence on the substantial completion date, unless a different date is specified herein, and shall continue for a 1 -year period unless a different period is specified herein. The conditions of all utility cost savings as set forth in the Investment Grade Audit Proposal shall coincide with the term of the Services. If for any reason Customer terminates or breaches this Contract including but not limited to its obligations pursuant to the Services portion of the Contract or other separate agreement, the utility cost conditions of this agreement shall automatically terminate. 5. Permits, Approvals, Taxes. Unless obtained by Customer or otherwise specified in this Contract, Energy Services Contractor shall obtain all permits, licenses, and inspections that are required for the Work. Customer shall be responsible for securing all other necessary approvals, easements, zoning changes, or similar entitlements. An equitable adjustment in the Time and Price of the Contract shall be made to account for any time Customer spends securing any of these items after the Commencement Date, and reasonable costs incurred by Energy Services Contractor as a result. Customer shall pay all taxes associated with the Work including, sales, use, real estate, and personal property taxes. 6. Safety. Energy Services Contractor shall be responsible for initiating, maintaining, and supervising safe performance of the Work. Energy Services Contractor shall comply with all applicable laws, ordinances, rules, regulations, and lawful orders of public authorities related to safety of persons or property. 7. Cleanup. Energy Services Contractor shall keep the premises and the surrounding area free from accumulation of waste materials or rubbish caused by the Work. Upon completion of the Work, Energy Services Contractor shall remove all waste materials, rubbish, tools, construction equipment, machinery, and surplus materials. 8. Subcontractors. Energy Services Contractor may hire subcontractors to perform any portion of the Work or Services under this Contract. Energy Services Contractor is entirely and ultimately responsible for compliance with the provisions of this Contract and for any part of work that is performed by a subcontractor. Page 2 of 9 9. Borrowed Equipment. If requested by Energy Services Contractor and if permitted by Customer's representative, Energy Services Contractor may use Customer's equipment in performing the Work or Services. Energy Services Contractor assumes full and complete responsibility for the use of the equipment, will ensure that only a competent operator will be permitted to use the equipment and only after fully inspecting the equipment, shall not modify the equipment, shall be solely responsible for all claims, demands, lawsuits, losses, expenses and/or liabilities that arise from its use of the equipment to the extent of Energy Services Contractor's negligence, and agrees that Customer makes no representation or warranty regarding the condition or suitability of equipment for any intended use. 10. Insurance. Prior to commencing Work, Energy Services Contractor shall provide to Customer a certificate of insurance. Energy Services Contractor shall maintain such insurance in full force and effect at all times until the Work has been completed, in the following minimum amounts: General Liability $2,000,000 General Aggregate / $1, Automobile Liability $1,000,000 Combined Single Limit Workers Compensation Statutory All deductibles or self — insured retentions (SIR) related to the above insurance requirements, regardless of size, will remain the responsibility of the party causing the claim. 11. Bonds. If required by Customer and not included in the Proposal, Energy Services Contractor shall furnish a performance bond and/or a payment bond, in an amount equal to the construction cost of the Work, and such cost shall be paid by Customer in addition to the Price. The performance bond shall cover completion of the physical work per the approved design. The bonds shall not guarantee or warranty the efficiency or performance of any aspect of the Work or Services, and shall not cover any obligation of Energy Services Contractor to ensure that the Work as constructed, or Services, will result in any particular level of energy savings. Any suit on the Bonds must be brought within the period of one (1) year after substantial completion; provided, however, that if this suit limitation is void or prohibited by law, the minimum period of limitation available to sureties as a defense in the jurisdiction of the suit shall be applicable. Energy Services Contractor may finnish a retention bond in lieu of retainage held on respective monthly invoices. Because such bond is for Customer's protection, the cost of such bond shall be paid by Customer in addition to the Price. 12. Hazardous Materials. The Work and Services expressly exclude any work of any nature associated or connected with the identification, abatement, cleanup, control, removal, or disposal of hazardous materials or substances, including but not limited to asbestos, lead, or PCBs. As of the Effective Date, Customer represents that, to the best of its knowledge, there is no hazardous material on the premises that may in any way relate to the Work or affect Energy Services Contractor's ability to deliver the Work or Services. Prior to the Commencement Date, Customer shall provide to Energy Services Contractor a comprehensive good faith survey that at a minimum complies with applicable regulatory requirements, and identifies all actual or suspected hazardous materials, quantities, and specific locations of such materials on the premises. Failure to provide such good faith survey timely shall result in an equitable adjustment to Time. If Energy Services Contractor becomes aware of or suspects the presence of hazardous materials on the premises during the Work or Services, Energy Services Contractor shall notify Customer, Customer shall investigate and correct the suspected hazardous materials in accordance with all applicable laws, Energy Services Contractor shall have the right to stop work in the affected area until the suspected hazardous materials are investigated and remediated by Customer, and the Time and Price shall be equitably adjusted relative to the duration of Customer's investigation and remediation of the suspected hazardous materials. 13. Delays. If Energy Services Contractor is delayed in the commencement or completion of the Work or Services by causes beyond its control, including but not limited to fire, flood, theft, vandalism, labor disputes, abnormal adverse weather conditions, acts of God, acts of the public enemy, riot, war, unavailability of Page 3 of 9 equipment or supplies, or supply chain delays caused by any of the foregoing, then Energy Services Contractor shall provide written notice to the Customer of the existence, extent of, and reason for such delays, and an equitable adjustment in the Time of the Contract shall be made as a result. If a delay is attributable to failure by Customer to perform its obligations under the Contract or failure to cooperate with Energy Services Contractor in the timely completion of the Work, an equitable adjustment to Time and Price shall be made as a result. 14. Certificate of Substantial Completion. Upon Substantial Completion of any Phase of the Work, Customer shall execute a certificate of substantial completion acknowledging: a. The portion of the Work substantially completed, and the date of substantial completion. b. Receipt of any manuals and training provided by Energy Services Contractor under this Contract. C. Any warranty start date and warranty period. d. A punchlist of items remaining to be completed by Energy Services Contractor. Timing of Substantial Completion does not depend on Customer's timely executing a certificate of substantial completion, and failure by Customer timely to execute a certificate of substantial completion shall not operate to extend the date of Substantial Completion. 15. Customer Use. Upon substantial completion or start of beneficial use, whichever occurs first, Customer is responsible for use, operation, and maintenance of all aspects of the Work and Services. Energy Services Contractor shall not be responsible for improper use, operation, or maintenance of any aspect of the Work or Services by Customer or others at any time. 16. Warranty. Energy Services Contractor warrants that the Work will be of good quality and new; that the Work will be free from defects not inherent in the quality required or permitted; and that the Work will conform to this Contract. Energy Services Contractor warrants that the Work shall be free from defects in material and workmanship arising from normal usage for a period of one ( 1 ) year from the date of substantial completion, or start of beneficial use by Customer, whichever is earlier. This warranty does not cover any improper use, operation, or maintenance of any aspect of the Work, or if the Work has been abused, altered, or repaired by the Customer or third parties without supervision by or prior written approval from Energy Services Contractor, or if serial numbers or warranty date decals have been removed or altered. Customer must report any warranty claims to Energy Services Contractor in writing, and such claims must be presented immediately upon having reason to know that a warranty issue exists. Failure by Customer to notify Energy Services Contractor of the need for warranty service within ten days of discovery of a warranty claim will void this warranty. Additionally, Customer shall not hire or direct others to repair any warranty item without Energy Services Contractor's written consent. Customer's repair of any warranty item without the written consent of Energy Services Contractor shall void this warranty with respect to such item, and the cost of such repair shall not be reimbursable to Customer by Energy Services Contractor. Energy Services Contractor makes no warranty whatsoever regarding materials or products provided by third parties that are incorporated into the Work. THE WARRANTIES CONTAINED IN THIS CONTRACT ARE EXCLUSIVE AND IN LIEU OF ALL OTHER WARRANTIES, WHETHER EXPRESS, IMPLIED, OR STATUTORY, INCLUDING WITHOUT LIMITATIN ANY WARRANTIES OF MERCHANTABILITY, HABITABILITY, OR FITNESS FOR A PARTICULAR USE OR PURPOSE. 17. Indemnity. Each Party ( "Indemnitor ") shall indemnify and hold harmless the other Party and its directors, officers, agents and employees against loss, liability, damage, and expense including attorneys' fees awarded by a court of competent jurisdiction, for third party claims for injury or death to persons or damage to property, caused by the negligent conduct of the Indemnitor in connection with the work, but only to the extent of the Indemnitor's negligence. 18. Damages. NEITHER PARTY SHALL BE LIABLE TO THE OTHER PARTY FOR ANY Page 4 of 9 CONSEQUENTIAL, INDIRECT, SPECIAL, INCIDENTAL, EXEMPLARY, OR SIMILAR DAMAGES OR LOSSES, INCLUDING LOSS OF PROFITS, ARISING OUT OF OR RELATING TO THIS CONTRACT, WHETHER BASED IN CONTRACT OR TORT OR ANY OTHER THEORY, EVEN IF A PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. 19. Force Majeure. Energy Services Contractor shall not be liable to Customer for damages, loss, injury, or delay caused by conditions that are beyond the reasonable control of Energy Services Contractor. Such conditions include, but are not limited to fire, flood, theft, vandalism, labor disputes, abnormal adverse weather conditions, acts of God, acts of the public enemy, riot, war, unavailability of equipment or supplies, or supply chain delays caused by any of the foregoing. 20. Fire Safety and Security Equipment. If this Contract covers fire safety or security equipment, Customer acknowledges that Energy Services Contractor is not an insurer regarding those services, and Energy Services Contractor shall not be responsible for any damage or loss that may result from fire safety or security equipment that fails to perform properly or fails to prevent a casualty loss. 21. Changes. The Work or Services may be changed pursuant to a written change order executed by an authorized Energy Services Contractor signer and Customer signer ( "Change Order "). A Change Order is valid only to the extent that it changes the scope of Work or Services, Price, and/or Time. Any invalid portions of a Change Order shall be disregarded. The Parties contemplate that Change Orders may include scope changes such as installation of additional utility conservation measures, facility improvement measures, and operational efficiency improvements or the furnishing of additional services within the identified facilities, as well as other facilities owned or operated by Customer. Energy Services Contractor shall be entitled to a Change Order for additional or extra work or services provided by Energy Services Contractor to Customer at Customer's request, without regard to whether such request is verbal or in writing. 22. Intellectual Property. Plans, designs, specifications, drawings, materials, exhibits, reports, memoranda, studies, software code, electronic data, and other intellectual information and materials provided by Energy Services Contractor to Customer (collectively the "Intellectual Property ") as part of the Work or Services are instruments of service owned by Energy Services Contractor and are not "work made for hire" as such term is deemed under U.S. copyright law. If this Contract is performed to completion, then Energy Services Contractor grants to Customer a limited license to use the Intellectual Property to operate, maintain, renovate, and manage the subject matter of this Contract. The Intellectual Property shall not be used on other projects or for completion of the Work or Services by others, unless Energy Services Contractor is adjudged to be in material breach of this Contract, in which case Customer shall use the Intellectual Property at its sole risk, and shall hold Energy Services Contractor harmless from any and all errors or omissions in the Intellectual Property. The parties acknowledge that monetary damages may not be a sufficient remedy for unauthorized use of Intellectual Property and that Energy Services Contractor shall be entitled, without waiving any other rights or remedies, to such injunctive or equitable relief as may be deemed proper by a court of competent jurisdiction. If any bond is required in connection with such an action, the allegedly breaching party agrees that $3,000 shall be a reasonable amount of such bond. Energy Services Contractor and Customer recognize that the damages to be sustained by Energy Services Contractor in the event of improper use of Intellectual Property by Customer will be difficult if not impossible to ascertain. Consequently, Energy Services Contractor and Customer, after each having consulted with their respective legal counsel and being fully aware of their rights herein, do hereby agree that in the event that Customer breaches this Agreement with respect to use of Intellectual Property, Customer agrees to pay to Energy Services Contractor $1,000.00 per day as liquidated damages for the period of three (3) years following the date of breach. Customer and Energy Services Contractor, after consulting with their respective legal counsel on their rights herein, do hereby agree and stipulate that the liquidated damages sum is a fair and reasonable estimate of the damages which Energy Services Contractor will sustain in the event Customer materially breaches this Agreement with respect to use of Page 5 of 9 Intellectual Property, and that nothing herein shall be construed to be a penalty. 23. Termination. This Contract may be terminated at any time as described below: a. Termination for Cause. If Energy Services Contractor materially fails to perform under this Contract, Customer may notify Energy Services Contractor in writing of Customer's intent to terminate this Contract along with a description of the alleged failure. If Energy Services Contractor does not in good faith take reasonable steps to correct such failure within fifteen (15) days after receipt of such notice, Customer may terminate this Contract, and Energy Services Contractor shall be entitled to receive payment for all amounts earned prior to termination. If it is determined for any reason that termination was improper, the termination shall be treated as a termination for convenience. b. Termination for Convenience. Customer may terminate this Contract in whole or in part for any reason by providing written notice of termination to Energy Services Contractor and specifying the date on when the termination becomes effective. Upon receipt of such notice, Energy Services Contractor shall incur no further obligations in connection with the terminated work and will stop work to the extent specified. Energy Services Contractor shall also terminate outstanding orders and subcontracts as they relate to the terminated work. Energy Services Contractor shall settle liabilities and claims arising out of the termination of subcontracts and orders connected with the terminated work, and Customer shall pay Energy Services Contractor for such expensees, demobilization costs incured by Energy Services Contractor due to the termination, overhead through the end of work performed due to termination of the Contract, and lost profits on terminated work. Such amounts shall be paid by Customer to Energy Services Contractor within fifteen (15) days of Energy Services Contractor's delivery to Customer of a request for payment. In addition, Energy Services Contractor may terminate this Contract in whole or in part for any reason by providing written notice of termination to Customer and specifying when termination becomes effective. In such case, Energy Services Contractor shall refund to Customer all amounts prepaid by Customer and unearned by Energy Services Contractor as of the date of termination, and Customer shall have no payment obligation to Energy Services Contractor for unperformed Work. C. Unappropriated Public Funds. If Customer is a public entity that is prohibited by law from making fiscal commitments beyond the term of its current fiscal period, and does not currenty have funds set aside to pay for this Contract in future years, then Energy Services Contractor's compensation in future years is contingent upon the availability of appropriations in future years sufficient to pay for this Contract. Payments pursuant to this Contract shall be made only from funds appropriated or available, as of the Effective Date of this Contract, to pay for this Contract, and Customer's liability for payments shall be limited to the amount of appropriated or available funds as of the Effective Date of this Contract. If Customer funds are not appropriated or available to fund this Contract, then Customer may terminate this Contract without further obligation related to the non appropriated or unavilable funds. 24. Disputes. The Parties agree that the following process will be used to resolve any dispute between them. All dispute resolution shall be conducted in good faith, shall be confidential, shall be treated as compromise and settlement negotiations for purposes of applicable rules of evidence, and shall be inadmissible in any litigation, or other judicial proceeding. a. Negotiations. First, the Parties will attempt to negotiate a resolution. b. Mediation. If a dispute remains unresolved more than thirty (30) calendar days after the commencement of negotiations and the Parties have not mutually agreed to extend the negotiation Page 6 of 9 period, then the Parties shall pursue mediation. In mediation, the Parties shall mutually select a mediator, the cost of the mediator and other administrative costs shall be shared equally by the Parties, and each Party shall be responsible for its own costs and expenses. C. Arbitration. If any dispute remains unresolved more than sixty (60) calendar days after the commencement of mediation, and the Parties have not mutually agreed to extend the mediation period, then either Party may pursue arbitration. The following rules shall apply to arbitration: The Parties shall mutually select an arbitrator. In the interest of fairness and to ensure that any arbitrator renders an award in accordance with California law, the Parties agree that the arbitrator shall not have the power to commit (a) errors of law or legal reasoning, (b) errors of fact, (c) errors with regard to mixed questions of law and fact; or to render an award: (d) not based on substantial evidence, (e) based on evidence not presented at the hearing, or (f) not in conformity with the substantive and procedural law of the state of California. If the arbitrator exceeds any of the foregoing specific powers, the award may be vacated or corrected by filing a petition pursuant to the Act in the Superior Court in and for the county where the project is located. In reviewing the award, the Superior Court shall sit as if it were an appellate court, in all respects, including but not limited to the scope of review. The decision of the Superior Court is, itself, subject to review by the California appellate courts. The arbitrator shall hear and determine the matter, and shall execute and acknowledge the award in writing and cause a copy thereof to be delivered to each of the parties. The award shall include factual findings, conclusions of law, and the reasons on which the decision is based. The decision of the arbitrator shall be final, binding, and conclusive, except to the extent the decision may be submitted for judicial review as provided herein. The award of the arbitrator may be confirmed by the Superior Court in the county where the project is located, and such Court may vacate, modify, or correct the award in accordance with the prevailing sections of the Act and in accordance with the terms and conditions herein. The non - prevailing Party shall reimburse the prevailing Party for all of its reasonable attorneys' fees, costs, and expenses related to the arbitration, provided, however, that as a precondition to such award, the prevailing Party shall have participated in negotiations and mediation in good faith. 25. Notices. All notices to Energy Services Contractor shall be written, shall be sent via certified mail or a national courier service or personally delivered, shall consist of one original to Attn: General Counsel, Energy Services Contractor, 215 Fourier Ave, Fremont, CA 94539, and one original to the primary Energy Services Contractor contact for the Work, and shall be deemed delivered when received by the General Counsel. 26. Non - Solicitation of Employees. Customer shall not, so long as Energy Services Contractor is engaged by Customer and for twelve (12) months after such engagement ends, directly or indirectly solicit or recruit any employee of Energy Services Contractor to leave his or her employment with Energy Services Contractor. This provision does not apply if the Energy Services Contractor employee approaches Customer of his or her own accord. Energy Services Contractor and Customer recognize that the damages to be sustained by Energy Services Contractor in the event of unauthorized hiring of an employee of Energy Services Contractor by Customer will be difficult if not impossible to ascertain. Consequently, Customer and Energy Services Contractor, after each having consulted with their respective legal counsel and being fully aware of their rights herein, do hereby agree that in the event that Customer causes Energy Services Contractor to lose any Energy Services Contractor employee, Customer agrees to pay to Energy Services Contractor an amount equivalent to the total prior twelve (12) months' compensation, including but not limited to salary, bonuses, and benefits, of the Energy Services Contractor employee lost due to the unauthorized conduct of Customer. Company and Energy Services Contractor, after consulting with their respective legal counsel on their rights herein, do hereby agree and stipulate that the liquidated damages sum is a fair and reasonable estimate of the damages which Energy Services Contractor will sustain in the event Company materially breaches this Agreement as referenced above, and that nothing herein shall be construed to be a penalty. Page 7 of 9 27. Choice of LawNenue. This Agreement shall be governed and construed under the laws of the State of California, notwithstanding any choice of law provision whether statutory, common law, or contractual. The Parties consent to exclusive jurisdiction and venue in the state courts of California. Energy Services Consultant and Customer waive all defenses of lack of personal jurisdiction and forum non conveniens. 28. Assignment. Neither Party may assign or transfer its rights and/or obligations under this Contract without the prior written consent of the other Party which shall not be unreasonably withheld, unless the assignment is to an affiliate of the Party. 29. No Waiver. No waiver of a breach, failure of any condition, or any right or remedy contained in or granted by the provisions of this Contract shall be effective unless it is in writing and signed by the party waiving the breach, failure, right, or remedy. No waiver of any breach, failure, right, or remedy shall be deemed a waiver of any other breach, failure, right, or remedy, whether or not similar, nor shall any waiver constitute a continuing waiver. 30. No Third Party Beneficiaries. There are no third party beneficiaries under this Contract or any portion thereof. 31. Severability, Survival. If any portion of this Contract shall be held invalid in whole or in part under any law, rule, regulation, or order, then such portion shall remain in effect only to the extent permitted, and the remaining portions of the Contract shall remain in full force and effect. Any invalid portions shall be substituted with an interpretation that most accurately reflects the Parties' intentions. 32. Tax Benefits. Unless otherwise specified in this Contract, Energy Services Contractor is solely entitled to claim tax benefits available under section 179D of the Internal Revenue Code (EPAct), or its successor. 33. Waiver of Subrogation. The Parties waive all rights against each other and their directors, officers, agents, and employees, and other contractors, for damages or losses to the extent covered by insurance. 34. Amendment. This Contract may not be amended except pursuant to a written amendment signed by an authorized signer of each Party. 35. Headings. The headings of this Contract are for purposes of reference only and shall not limit or define the meaning of the provisions of this Contract. 36. Complete Agreement. This Contract, including the exhibits attached hereto, is a fully integrated agreement and contains the entire understanding between Energy Services Contractor and Customer with respect to the subject matter hereof. Any legal terms and conditions appearing in any attachment to this Contract shall be ignored to the extent they contradict or are inconsistent with the terms and conditions contained in the foregoing numbered paragraphs. All previous agreements between Energy Services Contractor and Customer as to the Work are superseded by this Contract. 37. Contract Documents. By this reference, the following exhibits are attached hereto and made a part of this Contract: Exhibit A: Investment Grade Audit, dated (9/7/18) Exhibit B: Construction Schedule Exhibit C: Payment Schedule Exhibit D: Energy Services Proposal (ESP) Exhibit E: Insurance Requirements Page 8 of 9 IN WITNESS WHEREOF, the parties hereto have executed this Contract as of the Effective Date. ENERGY SERVICES CONTRACTOR TOWN OF LOS GATOS Printed Printed Name: Date Signed: Date Page 9 of 9 Town of Los Gatos Investment Grade Audit SYS E RCO ENERGY SOLUTIONS Investment Grade Audit — Exhibit A Prepared for the Town of Los Gatos, CA SYSERCO ENERGY SOLUTIONS Date Submitted: September 7, 2018 Presented by: Chad Olsen, PE, CEM Gabe Johnson Doc Revision: R01.3 September 2018 Proprietary and Confidential Page 0 Town of Los Gatos Investment Grade Audit Table of Contents SYSERCO FNFRGY S01O110e5 0. Executive Summary 3 1. Introduction 5 Approach 5 Energy Savings Best Value Contract Process 5 Current Conditions 7 Report Overview 7 1. Site Summaries 11 Civic Center 11 Police Operations Building 12 Public Library 13 Youth Recreation Center 14 Adult Recreation Center 15 Corporate Yard 16 3. Baseline Utility Analysis 18 Introduction 18 Electricity Analysis 18 Natural Gas Analysis 24 Water & Sewer Analysis 27 Utility Cost & Rate Analysis 28 Environmental Impact Analysis 35 4. System Diagnostics 39 System Age Analysis 39 Data Logging 40 Key Findings 58 S. ECM Summaries 61 Introduction 61 ECM Section 5.1 - Controls 62 ECM Section 5.2 — HVAC 65 ECM Section 5.3 — Lighting 73 ECM Section 5.4 - Envelope 75 September 2018 Proprietary and Confidential Page 1 Town of Los Gatos Investment Grade Audit ECM's Investigated but Not High Priority SYSERCO ENERGY SOIV /IONS 76 6. On -Bill Financing — Non - Incentive Path 79 7. Implementation & Verification Plans 8. Construction Schedule 81 87 September 2018 Proprietary and Confidential Page 2 Town of Los Gatos Investment Grade Audit 0. Executive Summary SYSERCO ENERGY SOLUTIONS Syserco Energy Solutions is pleased to present the following energy efficiency and facility improvement project to the Town of Los Gatos (Los Gatos). This project is requesting funding from PG &E's On -Bill Financing - Non - Incentive (OBF_NI) program. The Comprehensive Project is the project that Los Gatos is purchasing form Syserco Energy Solutions and is inclusive of the entire agreed upon scope of work. The main goal of this Project is to replace and integrate the existing building management systems in the Civic, Police and Library buildings while maximizing funding from PG &E's On -Bill Financing program. The following two tables show the existing utility and cost consumption of Los Gatos and the proposed savings from the project and the associated impact to the end use consumption. Utility Use Savings CIVIC POLICE LIBRARY ADULT YOUTH CORP -YARD PARK PARKING TOTAL UNITS 2017 Actual Elect Use 2017 Actual Gas Use 756,122 28,502 1 %23 ,0 2.921 3,127 -'- 5483 - -' ,38a $0 $8,736 53 1,906,091 kW r 44,602 therms /r Total Electrical Savings Savings from Lighting 351,811 93,509 92,321 67,820 31,219 16,448 50,647 41,075 25.021M, 18,561 41.739 37,520 48,381 48,381 3 - 30,235 353,550 kWh/ r kWh/yr Savings from HVAC 64,939 5,210 0 9572 1,946 4,219 0 0 85,886 kWhlyr Savi from Balance Savings from HVAC 193,363 6` 1,823 19,291 0 14,771 0 0 140 140 4,516 255 28 0 334 334 0 0 0 0 0 231,941 2,325 kWh/ r therms/ therms/ Savings from OHW 0 0 0 0 0 0 01 $0 0therms/ $40,403 Savings from Balance 4,3381 710 140 0 227 Ol 01 0 5,415 therms Total Water Savings 0 0 24.3% 0 0 21.5% 0 0 0 CCIF yr Proposed Elec Use 404,311 103,702 394,135 89,674 29,1931 125,099 75,034 23,567 1,234,714 kWh/ r Proposed Gas Use 22,341 2,211 2,987 5,343 9301 3'0'0 0 0 36,862 therms/ r Proposed Elec Saying % 46.5% 47.1% 7.3% 36.1% 46.2% 26.6% 39.2% 56.2% 35.2% $143,999 Proposed Gas Savi % 21.6% 24.3% 4.5% 2.6% 21.5% 9.9% 0.0% 0.0% 17.4% 33.5% tual Elect Use ICE j LIBRARY '-" - ADULT $28,696 YOUTH $12,733 CORP YARD PARK -' 522,285 PARKING $9.796 TOTAL $381,097 UNITS $ /yr tual Gas Use ectrical Saw 3,606 1,442 $3,817 $6,122 $4,863 $10,358 $1,273 $5,877 $13,687 $0 $8,736 $0 $49,015$ /yr $5,505 $135,388 $/ r s Savin 7GasSt21..6%2C4.3%I $877 $171 $124 $274 $419 $0 $0 $8611 $ /yr tilit Savin 2,319 $6,293 $10A82 $6,151 $14,106 $. ' 505 $143,999 $ /yr d Elec Use 4,138 $77,284 $18,339 $6,856 $28,092 $13,549 $4,291 $245,709 $ /yr d Gas Use $2,730 $3,646 $4,739 $999 $3,824 $0 $0 $40,403 $/ r d Elec Savi % 47.0% 7.3% 36.1% 46.2% 32.8% 39.2% 56.2% 35.5% Proposed Gas Savin % avings 24.3% 4.5%1 2.6%1 21.5% 9.9%1 0.0% 0.0%1 17.6% Act ual Annual Utility Cost $168,036 $49,1861 $87,222 $33559 $14,0061 $46,022 $22285 $9,795 $430,112$ r Est Annual Cost Savings $70,409 $22319 $6,293 $10,482 $6151 $14106 $8,736 $5,505 $143,999 $/r Est Annual Savi ngs % 1 41.9%1 45.4%1 7.2%1 31.2%1 43.9%1 39.2% 56.2% 33.5% September 2018 Proprietary and Confidential Page 3 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS The following table is the firm -fixed Project Cost and estimated OBF_NI funding and the estimated net project cost to the Town of Los Gatos. Project Cost $1,664,358 Estimated OBF_NI Funding $1,439,995 Est On Bill Financin8l$1 $421,997 87% of Project Cost Estimated Net Cost to the Town of Los Gatos $224,363 The following table is the ECM break down of Total Cost Savings, ECM Price, Simple Payback, the Estimated OBF Financing amount and Estimated Emission Savings. 1.01 Integrate / O timize BMSto Alerton Total Cost savings ($ /yr) $42,200 ECM Price ($) , $472,100 Est On Bill Financin8l$1 $421,997 Savin 22 1.06 Install Controls $6,661 $135,946 $66,615 5 2.03 Replace Split DX units for Server Rooms $1,054 $73,275 $10,535 0 2.05 Replace MAU on Roof $1,294 $73,972 $12,937 1 2.06 Replace RTU on Roof $487 $100,142 $4,871 0 2.07 Coil Protection $1,998 $18,319 $19,980 0 2.09 Mech Shop Heater Replacement $87 $32,276 $865 0 2.10 HVAC En r Office Replacement $1,716 $117,326 $17,158 1 2.11 VFD &Damper on AHU -1S $12,694 $18,668 $126,938 30 3.01 Lighting Efficiency & Controls Installation $60,961 $516,837 $609,608 0 3-OL Park & Parkin Lots - Lighting Efficiency & Controls Upgrade $14,241 $98,344 $142,410 0 7.01 Replace Door Sweeps and Seals $608 $7,153 $6,079 2 Total $143,999 $2,664,3581 $1,439,995 4 September 2018 Proprietary and Confidential Page 4 Town of Los Gatos S� J SYSERCO Investment Grade Audit \ NfROT SOLUTIONS 1. Introduction Syserco Energy Solutions (SES) is pleased to present this Investment Grade Audit report (IGA) to the Town of Los Gatos (Los Gatos) for the purpose of implementing an Energy Services Agreement (ESA) contract for the identified buildings in Los Gatos, CA. This report marks the culmination of a detailed energy audit of the buildings, during which the energy consuming systems and equipment were analyzed to understand their potential for energy savings either by retrofitting equipment or by installing new devices and /or employing new strategies to improve operational efficiency. The intent of this report is to provide an outline of implementation costs and energy savings implications of the proposed Energy Conservation Measures (ECMs). On the basis of these projections, Syserco Energy Solutions will provide Los Gatos with a project that updates existing systems, improves occupant comfort and reduces energy consumption, maintenance and operational costs for the site. Approach The IGA process involved numerous site visits, extensive interaction with the Town management and facilities staff, as well as a detailed analysis of existing equipment and systems, current utility consumption and any available logs and profiles of equipment. Studies of the energy and water usage, operating conditions and interviews with facility personnel were valuable sources of information that contributed greatly to this effort. Syserco Energy Solutions has taken into consideration the input provided and has integrated the various infrastructure needs of Los Gatos through the proposed ECMs. This IGA report provides a qualified and prioritized list of recommended ECMs to help address immediate infrastructure needs and provide a comprehensive energy efficiency and environmental improvement plan for meeting current and future needs. Energy Savings Best Value Contract Process Best Value contracting per CA Government Code Section 4217.1 was created by the state over 37 years ago to encourage energy efficiency within existing public facilities by allowing public agencies the ability to utilize the ensuing energy savings as an alternative funding source to finance infrastructure upgrades that were deemed a net benefit and cost effective. Government Code Section 4217 authorizes local governments to enter into energy contracts on terms that are found to be "in the best interests" of the agency, notwithstanding any other provision of law. In essence, Section 4217 allows a public agency to select a qualified Energy Services contractor to design and deliver energy efficiency projects so long as the anticipated cost for the energy project or efficiency services are September 2018 Proprietary and Confidential Page 5 Los Gatos Civic Center CIVIC 38,000 Police Operations Building POLICE 12,260 Los Gatos Public Library LIBRARY 29,000 LG5 Recreation - Adult Center ADULT 12,000 LGS Recreation - Youth Center YOUTH 6,479 Los Gatos Corporation Yard CORP—YARD 15,479 Town Parks PARK -- Town Parking Lots PARKING -- Total 8 113,218 The intent of this report is to provide an outline of implementation costs and energy savings implications of the proposed Energy Conservation Measures (ECMs). On the basis of these projections, Syserco Energy Solutions will provide Los Gatos with a project that updates existing systems, improves occupant comfort and reduces energy consumption, maintenance and operational costs for the site. Approach The IGA process involved numerous site visits, extensive interaction with the Town management and facilities staff, as well as a detailed analysis of existing equipment and systems, current utility consumption and any available logs and profiles of equipment. Studies of the energy and water usage, operating conditions and interviews with facility personnel were valuable sources of information that contributed greatly to this effort. Syserco Energy Solutions has taken into consideration the input provided and has integrated the various infrastructure needs of Los Gatos through the proposed ECMs. This IGA report provides a qualified and prioritized list of recommended ECMs to help address immediate infrastructure needs and provide a comprehensive energy efficiency and environmental improvement plan for meeting current and future needs. Energy Savings Best Value Contract Process Best Value contracting per CA Government Code Section 4217.1 was created by the state over 37 years ago to encourage energy efficiency within existing public facilities by allowing public agencies the ability to utilize the ensuing energy savings as an alternative funding source to finance infrastructure upgrades that were deemed a net benefit and cost effective. Government Code Section 4217 authorizes local governments to enter into energy contracts on terms that are found to be "in the best interests" of the agency, notwithstanding any other provision of law. In essence, Section 4217 allows a public agency to select a qualified Energy Services contractor to design and deliver energy efficiency projects so long as the anticipated cost for the energy project or efficiency services are September 2018 Proprietary and Confidential Page 5 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SO r ll n ON less than the anticipated energy cost savings to be derived from those services. This code is commonly used by Energy Services Companies that pursue performance -based contracts. A significant advantage of utilizing an integrated and turnkey Energy Services Contract via 4217 is that the Owner has a single contract and point of accountability for both the design and implementation of the Energy Conservation project. The contract is fully inclusive of all services and products to be delivered by Syserco Energy Solutions. We will work collaboratively with Los Gatos through the design and development process, while demonstrating a thorough and detailed knowledge of the project requirements, so that we are able to deliver this project in the most efficient, transparent, cost - effective, and predictable manner as possible. The process for utilizing "Best Value" contracting to implement an Energy Savings Project is shown in the following flow chart. • Town selects & contracts with Syserco Energy Solutions to complete lmmslment Grae Audit (IGA) perform Utility Data Analysis • Perform Detailed Site Audit • Identify Energy Coruervation Measures (ECMS)r Cakulate energy savings, create conrtruc[ion4rade cost estimates, identify unity irrpmiws/FUnding a • Engage PG &E to Investigate OBF_NI financing / /II gI� Town until East Value cadractingapproicli(GOY4Cods 4217.1) to procureand s•kct paehmd ProNN _ _ • ImpMmematbn Partner �'' `` • Coumdl aNhodtts project and Desig"uild Implementation contract b executed. Project Wall September 2018 Proprietary and Confidential Page 6 • Floalhe ECM savings and costs for IGA ashflow anelob, • Final IGA report creation baud on agreed upon scope and financing plan • Syserco Energy Solutions and Town n Ww Final WA report and requirements for Funding gI� Town until East Value cadractingapproicli(GOY4Cods 4217.1) to procureand s•kct paehmd ProNN _ _ • ImpMmematbn Partner �'' `` • Coumdl aNhodtts project and Desig"uild Implementation contract b executed. Project Wall September 2018 Proprietary and Confidential Page 6 Town of Los Gatos Investment Grade Audit Current Conditions SYSERCO ENERGY SO[ UIIONS The most important information for the investigation is the starting point of the existing utility consumption and costs. By understanding what the existing energy usage profile is for the sites it is possible to determine what a realistic conservation project is possible. The following table shows the current existing energy use, emissions and cost. CIVIC 756,122 28,502 $168,036 142.92 $4.42 492 POLICE 196,023 2,921 $45,580 43.79 $1.90 64 LIBRARY 425,354 3,127 $87,222 60.84 $3.01 208 ADULT 140,321 5,483 $33,559 85.60 $2.80 92 YOUTH 54,216 1,185 $14,006 46.85 $2.16 31 CORP—YARD 156,838 3,384 $41,779 35.87 $1.64 47 Total 1,906,091 44,602 $381,097 69.31 $3.08 933 This snap shot shows many of the key metrics indicating the energy health of the town. The Town of Los Gatos owns and operates the Civic, Police, Library and Corp Yard sites. LGS Recreation District operates and pays the utilities for the Adult and Youth Rec buildings but the Town owns and maintains the buildings and equipment. Report Overview Recognizing the needs of the Town of Los Gatos, Syserco Energy Solutions has attempted to provide ECM - related information as specific as possible to enable the evaluation of each measure. The intent of this report is to provide the technical background information of the proposed ECMs and their effects on the overall utility consumption. Relevant product specifications, a general listing of operating assumptions and other related technical data has been included for review. The proposed ECMs provide additional benefits such as: • Energy and cost savings generated through the ECMs will benefit the town for years to come • Ease capital improvement needs for future budget requirements • Improve the buildings indoor environment from a health, safety and comfort point of view • Help protect the environment through reduced energy consumption • Reduce the carbon foot print of the buildings This project will cost Los Gatos $1,664,358 and be submitted to PG &E OBF_NI program with intent to secure On -Bill Financing for Los Gatos in the amount of $1,439,995. This entire project capital cost will need to be deployed for the construction of the project and then the loan amount will be loaned back to relieve the capital outlay. The following table shows the hard costs and savings for the proposed ECM's included in this project. September 2018 Proprietary and Confidential Page 7 Do W W ^ O �w tw Y_ a J Q � O1 O a U � N Y a c v o E c � 3 o > F C tu! C a T N 0D m Y N u a c �T+ Y 3 L 01 4 ro bD 3 0 0 w v H m a m N Vf O O V O O O N ID O O t0 H m N V} N M V W M m Vf VF N H W H H V} t-1 Vt M m M tD N W C LL ur ut vt M 00 m r°Dir N m O n w O V M t0 LO N w O 'Q 1n n 1n m v! w m lD v W co tD M O N V m O M W m N N fn ; t` Lr N H Vf .•-i N .ti O O V N U1 VT u u* ur rl 2 n u° u vHi ° v'ii V m m M N H N d V1' m co OH V rn N o .�-I o V1'. m N\ O N to O to w m to M o N tmo ttoo N m a H m co N n N zr C C F � N 0 00 h n w N n o N H a O' .•9 _ H 1n n C l!1 w 00 n m 0 c N N H m W 1n M to m v v r 0) N v a a W r. i to N N u „ to N ^ CA e l�0 c7 A 01 N W N N N W h m, W 1p V N 00 w m M O' m M 00 w t0 n m W. M uYi M H tD O lil m w N,. N p t0 N N H vt H ut A U u OD W yr d C W j D N O 0 O V V V1 M 0 C0 Y C M _ C - O E U H c ca a h t0 O E Y u H H O r M m H V1 n N 0 — C y H -IT O M W M n m of M N LO O n M N M •N H N .--I O ll1 N 00 O N Y U m M ty� � N O) V M n A r C Y C w N Q N V � ' E 0) tw N n y E O c V VI t_ U cu C L 9 uUi � w w a m o m Z OU C3 U Q ,� O w d m a= u O W W Q ca O E u a0 Q u a a F H O p 0 v o c J 3 '0 0 Q '-' <] 4 x w O a a w u no c `o ' c N ¢ K E " y p Y O m (O W A O m u w O a u u u 0 tLit o7S m s 06 u o`o m to m d L U to C C K K w U 2 i J d K H to M 1n w n m O H H M H O O 0 O O O O H H O O O H H N N N N N N N M M n Y p H tu! C a T N 0D m Y N u a c �T+ Y 3 L 01 4 ro bD 3 0 0 w v H m a m N V N N n 111.. Ol O N lD O t0 V 0 0 to M 0 V VT VT vT N C t-1 N W C LL tD M 00 m 111 N m It V O H M t0 LO n N m 00 00 t` N M 01 M y R O .-i N 01 tD N N C y M O I� to n N V N tD •� h N N H H N V} ur tD IL N N VT V? VT rl 2 to u W m m M N H 1p lO V1' m co OH V rn N V .�-I n V1'. m N\ O N to O to d' 00 to M O V C O F � h n n H V V m O O' .•9 _ aA N. n 00 N N N V Lo N Cbo ur N N ut VT N VAT` u „ e c7 A N N N N W h m, W 1p V N 00 w m M O' m M 00 w t0 n m W. M uYi M H tD O lil m w N,. N p t0 N N H vt H ut ut. M U u OD yr d C W j N O 0 tD V V V1 M 0 C0 N M n C - j ' E H a t0 H H m r M m H V1 n N H N H -IT N M W M n m of M N LO O n M N M ' c>. H N .--I O ll1 N 00 O N 1n m M 111 N V M n A r ^ tD N V � W d E m z a w F- Z OU U Q J H d Y Y m O 1^ u a0 Q u a a F a1 v v C1 < D r m f1 o 0 0 w 0 D m m 0 G1 D < d 0 3 m Wt+ A N _ O' W t+ f+ 3 N O O V 01 O V1 V1 l0 m x � N W V O m N W w In N lD W V 1p N N � 3 3 N O o 0 o O o 0 o 0 _ :. L7 s N m � ' 3 m m N � \ W N 1� N V N QG O O A tNr+ G � 3 O O- a� N O = A w = 3 N O O N r N N A W 3 m O � vNi O N O O N F+ N N A W 1n o m 3 W N � V O O O N A A vNi V O w A In 'G v O a O_ m 3 3 � � a ' 3 \ y d ry a o m i 3 0 cl � r � O � N C N O O N Im C a =N 'cy om .;v o0 :O Town of Los Gatos Investment Grade Audit Site Summaries SYSERCO ENERGY SOLUTIONS September 2018 Proprietary and Confidential Page 10 Town of Los Gatos Investment Grade Audit 2. Site Summaries Civic Center N ^e J IL Y - P The Civic Center building houses the city hall and clerk offi Museum Los Gatos. There is a large meeting room, office display spaces. The facility is generally in good condition. though most are still original or from past renovations. l wing of the SYSERCO ENERGY SOLUTIONS Facility Facts: Civic Center & Museum 110 E Main St Los Gatos, CA 95030 Area (ft') 38,000 sqft Year Built 1963 Number of Buildings 1 Number of Floors 2 Description ces, planning department, a police station and the New >paces, police office, IT closets for servers and museum ;ome of the finishes have been updated over the years, 'he police 911 dispatch center is located in the Police building. The building is heated by a single natural gas fired boiler in the basement to supply HHW to reheat coils and VAV reheat coils. The boiler runs year round. There is a chiller used to supply chilled water to the (4) air handling units in the building. This is a newer chiller and in good condition with a newer cooling tower. The system tends to short cycle and runs year round. There are 4 built up AHLI's that serve the different sections of the building. Three of them are newer and in good condition, with the fourth being installed in 1974 and in fair to poor condition. There are 2 split DX systems used to cool server IT closets, these units are in fair to poor condition. There is an emergency generator located next to the cooling tower used as backup power for the building. The building is controlled by a mix of Tracer Summit, Alerton BMS and pneumatic systems. DHW is provided from a gas fired heater located in the basement mechanical room. Lighting is a mix of linear Fluorescents, compact florescent pin lamps, and high pressure sodium lamps for exterior. Some lamps have been uceraded to LED in spaces. There are toilets, urinals, sinks and kitchen sinks in the Roof Construction: Flat roof with built up and gravel ballast roof systems Exterior Finishes: Brick Windows: Mix of single pane and double pane systems, many original to the building Building Occupancy Hours: 8:00 am to 5:00 pm M -F year round Police Dispatch manned 24/7 September 2018 Proprietary and Confidential Page 11 Town of Los Gatos Investment Grade Audit Police Operations Building SYSERCO JENERGY SOLUTIONS Los Gatos Police Operations Facility Facts: Police Operations 15900 Los Gatos Blvd e Los Gatos, CA 95030 Area (ftz) 12,260 sqft Year Built Renovated 2009 Number of Buildings 1 Number of Floors 1 This building houses the police headquarters operations. There are offices, sally ports, evidence locker, intake rooms, holding cells, interrogation, armory, IT closet and conference room spaces. The building is manned 24/7 and the rest of the building is generally near office hours. Conditioning Heating, Ventilation & Air Equipment The building is heated and cooled with packaged RTUs serving different zones of the building. There are 7 units rated at 3, 4, 5 and 7 tons of DX cooling and natural gas fired heat rated at 72,000 BTUh and 125,000 BTUh for the 7 ton unit. There are two split Mr. Slim heat pumps each rated at 3 tons to cool the IT server closet. There is a large solar PV array across the roof to supply power to the building with ballast mounted racking system. This is under a PPA to the Town. There are 5 exhaust fans. Equipment is controlled only by programmable thermostats. Domestic Hot Water DHW is provided from a gas fired heater located in the mechanical closet with roof access. Lighting Systems Lighting is a mix of linear fluorescents, compact florescent pin lamps, and metal halide lamps for exterior. Typical - Devices There are toilets, urinals, sinks, showers and kitchen sinks in the facility. Other Building Construction: Concrete and steel frame Roof Construction: Flat roof with built up system Exterior Finishes: Painted stucco Windows: Double paned in good condition Building Occupancy Hours: Manned 24/7 September 2018 Proprietary and Confidential Page 12 Town of Los Gatos Investment Grade Audit Public Library SYSERCO ERGY SOLUTIONS Los Gatos • Library Facility Facts: L Public Library 110 Villa Ave F..�_ ......... _ r „.... � Los Gatos, CA 95030 ...'? Area (W) 29,000 .1_ Year Built l Number of Buildings 1 Number of Floors 2 General Facility Description This is a new building and was originally designed to meet LEED Gold standards. This is a two story building with high ceilings and large glass exposures around the building to let in lots of natural light. There are reading/work spaces disbursed throughout the book stacks. There are a number of classrooms and meeting spaces utilized in the building by different community groups. There are offices and administration on the first floor with an IT closet. There is a solar PV system on the roof that supplements the building electrical load and is owned by the Town. Conditioning Heating, Ventilation & Air Equipment The building is ventilated and cooled via a large packaged RHU on the roof with an integrated chiller and water cooling tower. This unit serves the underfloor VAV zone boxes located throughout the building. There is a packaged 100% outside air unit on the roof that has integrated evaporative cooler to precondition a portion of the underfloor air. There are two VRF heat pumps that serve zones in the office spaces. There are two air source heat pumps that serve the IT sever closet. There is a HHW boiler in the 2 "d floor mechanical room with duplex HHW pumps on VFDs. In the 2 "d floor electrical room is the BMS Trane Tracer Summit control modules and VFD drives for the HHW pumps. The power inverters for the solar PV system are also located in this room. There is a Powersmitsh Cyberhawk data logging system installed on all major systems. The system currently collects data, but the service is not being paid for and there is no data output to the Town for analysis. Domestic DHW is provided from the solar thermal array on the roof and supplemented with electric fired elements in the storage tank. Lighting Systems Lighting is predominantly LED with some CFL. There is a Lutron lighting control system deployed throughout the building that is in good condition and works well. Typical Devices There are toilets, urinals, sinks and kitchen sinks in the facility. Other Building Construction: Concrete and steel frame Roof Construction: Flat roof with built up system and white membrane Exterior Finishes: Stone, painted concrete and windows Windows: Double paned in good condition Building Occupancy Hours: M &T 11 am — 8 pm; W — F 10 am — 6 pm; Sat 10 am — 5 pm; Sun 30 am — 3 pm (J un — Aug) & 12 pm — 5 pm (Sept — May) September 2018 Proprietary and Confidential Page 13 Town of Los Gatos Investment Grade Audit Youth Recreation Center SYSERCO ENERGY SOtUTIONS LGS •- • —Youth Facility Facts: Youth Recreation Center 123 E Main St Los Gatos, CA 95030 Area (ft') 6,479 sgft Year Built 1970s Number of Buildings 1 Number of Floors 1 General Facility Description This building houses the youth recreation facilities and staff. There are offices, activity rooms, storage, dance rooms and meeting spaces. These spaces are utilized daily by various groups. Generally the building is in fair condition though on the older side. Conditioning Heating, Ventilation & Air Equipment The building is conditioned with a single packaged RTU and 2 residential style split furnace systems. The RTU is gas fired heating with DX cooling and is in poor shape. The two split systems are located in closets in the building and are in fair shape. One of the two condensers was been replaced in 2014 and is in good condition. The other is older and in fair to poor shape. Equipment is controlled by programmable thermostats. Domestic Hot Water DHW is provided from a gas fired heater located in the alley. Lighting Systems Lighting is a mix of linear fluorescents, compact florescent pin lamps, and high pressure sodium lamps for exterior. Typical Devices There are toilets, urinals, sinks and kitchen sinks in the facility. Other Building Construction: Wood frame and concrete block Roof Construction: Hip roof with asphalt shingles and flat roof with built up system Exterior Finishes: Painted brick Windows: Double paned in good condition and single pane in fair condition Building Occupancy Hours: 8:00 am to 5:00 pm M -F year round September 2018 Proprietary and Confidential Page 14 Town of Los Gatos Investment Grade Audit Adult Recreation Center SYSERCO ENERGY SOLUTIONS LGS '- • n —Adult Center Facility Facts: Adult Recreation Center 208 E Main St Los Gatos, CA 95030 Area (W) 12,000 sqft ,r Year Built 1978 Number of Buildings1 J Number of Floors 2 General Facility Description The Adult Recreation building houses meeting rooms, community rooms, offices and a kitchen. Meals are served every Wednesday for seniors. The building is used daily for activities. The LGS Recreation main offices are located on the second floor of the building. Heating, Ventilation & Air Conditioning There is a single packaged air cooled chiller located on the roof that supplies chilled water to the building. There is a single heating hot water boiler that supplies hot water to the building. The spaces are conditioned with (20) 4 pipe fan coil units located in the walls. The large meeting area is served by (2) original Trane built up FCUs that supply air to the rooms. One of these units has a water leak in what appears to be the heating coil pipe. The units are generally in fair condition but have some deferred maintenance items that need to be addressed. Generally they all could use new CVs and balancing on the air and water sides. Generally the pipe insulation is in fair to poor condition throughout the building. There are 3 exhaust fans throughout the building. Equipment is controlled by a mix of old non and new programmable thermostats. Domestic DHW is supplied by a single natural gas fired heater original to the building. Lighting Systems Lighting is a mix of linear fluorescents, compact florescent pin lamps, and high pressure sodium lamps for exterior. Typical Water Consuming Devices are toilets, urinals, sinks and kitchen sinks in the facility. Other Building Construction: Wood frame and concrete block Roof Construction: Flat roof with white gravel ballast Exterior Finishes: Brick Windows: Double paned in fair condition Building Occupancy Hours: 8:00 am to 5:00 pm M -F year round September 2018 Proprietary and Confidential Page 15 Town of Los Gatos Investment Grade Audit Corporate Yard SYSERCO ENERGY SOLUTIONS Los Gatos • • ra r ` Facility Facts: Corporate Yard c e ' Y 41 Miles Ave Los Gatos, CA 95030 m.. Area (ft2) 15,479 sgft Year Built 1960s— 1980s Number of Buildings 6 Number of Floors 1 for all except White House which has 2 General Facility Description The Corp Yard is where the facilities operations, engineering and service departments are located. There are 5 buildings at the yard and one covered parking lot structure. The White House is the main offices with administration, conference room and kitchen. The storage building is a temporary building used for storage and offices. This is scheduled to be demolished and replaced with a permanent building in the future. The shop building houses 5 different shops and the locker room and break room. There is also a portable building behind the shops used for offices. These shops have various functions and have rollup doors for entrances. The mechanics shop and engineering department share a building. Conditioning Heating, Ventilation & Air Equipment The White House has a split residential furnace with DX cooling. The storage building has Bard heat pumps. The shop building has no cooling in the shops, just ceramic gas fired heaters. There is a ground mount packaged RTU that serves the locker room and break room. The portable behind the shops has a single Bard heat pump to heat and cool the space. The mechanics shop has two original Carrier packaged gas heaters for the shop and no cooling. The engineering offices have a split system for heating and cooling. All spaces have standalone thermostats to control the building equipment. There is a mix of old mercury and new programmable thermostats. There are some mechanical timer interlocks for thermostats in some space, otherwise no building automation controls. The car wash house has a natural gas fired pressure washer engine used to clean equipment. There is a water submeter that is read daily by facilities staff and logged. Domestic There is a gas fired DHW in the White House. There are DHW heaters serving the shop and engineering buildings. Lighting Systems Lighting is a mix of linear fluorescents, compact florescent pin lamps, and induction and LED lamps for exterior. Typical Water Consuming Devices There are toilets, urinals, sinks and kitchen sinks in the facility. Other Facility Information Building Construction: Wood frame and concrete block Roof Construction: Flat roof with white gravel ballast and hip roof with asphalt shingles Exterior Finishes: Brick, painted block and painted siding Windows: Double paned in fair condition, single pane in fair condition, some have window film Building Occupancy Hours: 7:00 am to 400 pm M -F year round September 2018 Proprietary and Confidential Page 16 Town of Los Gatos Investment Grade Audit Baseline Utility Summary SYSERCO [NFRGY SOL N LIONS September 2018 Proprietary and Confidential Page 17 Town of Los Gatos Investment Grade Audit 3. Baseline Utility Analysis Introduction SYSERCO ENERGY SOLUTIONS The basis of this Investment Grade Audit is the energy baseline of the sites. By understanding the energy usage of each utility and how that energy is consumed in the buildings, it is possible to find the most effective measures to improve the efficiency of the buildings. This section will look at the consumption of each of the utilities separately and then the dollar consumption for each utility, the utility rates and how that information interacts with the environment and weather and how the buildings compare to similar buildings in California. Syserco Energy Solutions reviewed utility data for the identified buildings which includes electricity and natural gas consumption and costs. Water and sewer bills were not received and excluded from this analysis. The period over which utility data was analyzed is calendar year 2015 to 2018. The base year for the report is 2017. Electricity Analysis Electricity is the primary energy source consumed at the Town of Los Gatos. Electrical data for 2014 to 2018 was analyzed for the building identified in this IGA. The most complete utility year was 2017 and is the baseline for the IGA. These buildings consume an annual average of 1,750,000 kWh /yr over the past three years. The following table shows the electrical consumption for the buildings over the last three years. The Town of Los Gatos receives electric commodity from Silicon Valley Clean energy and is enrolled in their Deep Green program which provides 100% renewable energy to Los Gatos. This means that there are no carbon emissions associated with electrical energy. Short Name #of - Elec Use Cal Year 2015 (kWh /yr) Ekt Use Cal Year2016 (kWh /yr) Ekc Use Cal Year2017 (kWh /yr) Total Elec Use (kWh /3yr) Average Electric Use (kW h /yr) %of Total Use Bldg Rank on Usage( #) CIVIC 1 751,608 757,161 756,121 2,264,891 754,964 43.15% 1 POLICE 1 116,588 107,516 106,869 330,973 110,324 6.31% 5 LIBRARY 1 431,110 439,027 425,354 1,295,491 431,830 24.68% 2 ADULT 1 137,335 148,298 140,321 425,954 141,985 8.11% 3 YOUTH 1 1 66,279 57,147 54,216 177,642 59,214 3.38% 7 CORP YARD 3 85,037 85,291 66,959 237,287 79,096 4.52% 6 PARK 13 117,479 104,127 123,416 345,022 115,007 6.57% 4 PARKING 7 62,927 55,026 53,802 171,755 57,252 3.27% 8 Total 1,768,364 1,753,593 1,727,058 5,249,015 1.749,672 -- The following table shows the demand consumption for the buildings over the last three years. 1 1 TYOUTH 1 Demand Cal Year 2015 (kW /yr) 158.8 0.0 118.3 Demand Cal Year 2016 (kW/ r Demand Cal Year 2017 (kW /yr) Average Demand Use (kW /yr) %of Total Use Bldg Rank on Urge ( #) 117.6 152.8 23.4 108.5 155.4 7.8 114.8 42.34% 2.12% 31.27% - 1 13 2 1 34.0 35.2 32.2 33.8 9.20% 3 1 22.3 21.2 20.3 21.3 5.80% 6 CORP YARD 3 1 21.7 22.5 20.7 21.6 5.89% 5 PARK 13 8.1 6.6 5.3 6.7 1.82% 15 PARKING 7 5.8 5.6 5.8 5.7 1.56% 16 Total 369.1 363.3 368.9 367.1 September 2018 Proprietary and Confidential Page 18 Town of Los Gatos Investment Grade Audit The following chart shows the relative usage by site across the portfolio. YOUTH 3% ADULT 8% Elec Use Cal Year 2017 (kWh /yr) PARK PARKING 7% 3% CORP_YAF 4% 116RARY 25% POLICE 6% VIC 4440 SYSERCO ENIRGY SOLUTIONS The following chart shows the total calendar year consumption by building from 2014 to 2016. 1,600,000 3 1,400,000 1,200,000 j 1,000,000 800,000 V 600,000 v 400,000 W 200,000 Y Electrical Energy Use by Calendar Year Elec Use Cal Year 2015 Elec Use Cal Year 2016 Elec Use Cal Year 2017 (kWh /yr) (kWh /yr) (kWh /yr) ■ CIVIC ■ POLICE ■ LIBRARY ■ ADULT ■ YOUTH ■ CORP YARD r- PARK ■ PARKING September 2018 Proprietary and Confidential Page 19 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS The following chart shows the monthly consumption for each building during the base year of 2016. Energy Use by Building for Base Year 200,000 0 180,000 E 160,000 r 140,000 3 120,000 i •- w 100,000 - 80,000 60,000 40,000 20,000 0 O,^ Oti^ IS, 01� O1^ 01^ p1� p,^ p~^ O,Y'1 p1^ 4z;' 'L 'L 'L 'L 'L 'L ti 1 ti 1 ti ti lac` �e� eras" PQ�' jai � 4 p�4i SeQ 0�< dos Oe� ■ CIVIC ■ POLICE ■ LIBRARY ■ ADULT ■ YOUTH ■ CORP YARD PARK ■ PARKING The following chart shows the total demand by building for the past three years. Demand Energy Use by Calendar Year 400.0 350.0 300.0 Y 250.0 v 200.0 N D 150.0 C E 100.0 p� 50.0 :DIY, Demand Cal Year 2015 Demand Cal Year 2016 (kW /yr) (kW /Yr) ■ CIVIC ■ POLICE ■ LIBRARY ■ ADULT ■ YOUTH ■ CORP_YARD Demand Cal Year 2017 (kW /yr) PARK ■ PARKING September 2018 Proprietary and Confidential Page 20 Town of Los Gatos Investment Grade Audit The following chart shows the monthly demand breakdown by building for the base year. Demand Use by Building for Base Year 450.0 E 400.0 _ 3 350.0 m 300.0 M 250.0 N 200.0 a 150.0 CM 100.0 E 50.0 0.0 >ac fee `Sac PQ� `Sa4' lac SYSERCO ENERGY SOLUTIONS ■ CIVIC ■ POLICE ■ LIBRARY ADULT ■YOUTH ■ CORP YARD PARK , PARKING The following chart shows the total project 3 year monthly energy and average consumption. Total Project Monthly Electrical Use by Year with Average Annual Use 200,000 180,000 E 160,000 140,000 Y 120,000 100,000 D 80,000 60,000 v 40,000 w 20,000 0 Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec 2015 � 2016 � 2017 - 3 Yr Avg - Total Project September 2018 Proprietary and Confidential Page 21 ,LO .y0 .t0 .LO .LO ,ti0 °� °� � pJp� SeQ p dos pec ■ CIVIC ■ POLICE ■ LIBRARY ADULT ■YOUTH ■ CORP YARD PARK , PARKING The following chart shows the total project 3 year monthly energy and average consumption. Total Project Monthly Electrical Use by Year with Average Annual Use 200,000 180,000 E 160,000 140,000 Y 120,000 100,000 D 80,000 60,000 v 40,000 w 20,000 0 Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec 2015 � 2016 � 2017 - 3 Yr Avg - Total Project September 2018 Proprietary and Confidential Page 21 Town of Los Gatos Investment Grade Audit The following chart shows the total project 3 year monthly demand and average usage. Total Project Monthly Billed Demand by Year with Average Annual Use 700 0 600 I , E • • 3 500 Y 0 400 E 300 0 0 200 v E3 100 0 on Nil 11 11 11 11 11 11 on Jan Feb Mar Apr May June July Aug Sept Oct Nov Dec momm 2015 000m 2016 momm 2017 3 Yr Avg - Total Project The following chart shows the total energy and demand use for the base year. Total Energy and Demand Comparison for Base Year SYSERCO ENERGY SOLU11ONS � Energy Use — Demand Use The key findings from the electric utility analysis is that the town has a strong seasonal component (^20,000 kWh from winter baseline to summer peak) to the energy profile with a relatively flat demand profile (-100 kW from winter baseline to summer peak). Individual buildings and sites have differing profiles. The Civic building is the dominant account in the portfolio which sets the trend. The Library is the second largest consumer which has a relatively flat energy consumption with non - seasonal swings. The Adult center is the third largest account with a very strong seasonal swing, of slightly more than doubling during the summer. Energy use has decreased 2.3% between 2015 and 2017 with demand decreasing by 6.4% over the same September 2018 Proprietary and Confidential Page 22 200,000 450 -'� 400 z 150,000 -� 350 3 300 x 700,000 250 w N 200 ISO 50,000 100 j c so 9 0 0 ,y'� .1'� tit 11 11 tit 1� '�'� tit tit tit '11 O tio tio tio yo tio ctio �,yo `tio \tio `yo ,tio `tio la Fe `S2 FQ 'aa ;c '' p�f' SyQ Oc. `ao Oe � Energy Use — Demand Use The key findings from the electric utility analysis is that the town has a strong seasonal component (^20,000 kWh from winter baseline to summer peak) to the energy profile with a relatively flat demand profile (-100 kW from winter baseline to summer peak). Individual buildings and sites have differing profiles. The Civic building is the dominant account in the portfolio which sets the trend. The Library is the second largest consumer which has a relatively flat energy consumption with non - seasonal swings. The Adult center is the third largest account with a very strong seasonal swing, of slightly more than doubling during the summer. Energy use has decreased 2.3% between 2015 and 2017 with demand decreasing by 6.4% over the same September 2018 Proprietary and Confidential Page 22 Town of Los Gatos Investment Grade Audit SYSERCO FNFPGY SOLUTIONS period. The minimum monthly average usage was observed to be 123,847 kWh /mo and 454 kW /mo. The maximum monthly average usage was observed to be 175,598 kWh /mo and 582 kW /mo. September 2018 Proprietary and Confidential Page 23 Town of Los Gatos Investment Grade Audit SYSERCO Natural Gas Analysis Natural gas is used for building heating in the central plant, packaged equipment, domestic hot water generation and minor kitchen use. Gas data for 2014 to 2018 was analyzed for the buildings identified in this IGA. The building consumes an average of 73,670 therms /yr over the past three years. The following table shows the gas consumption for the building over the last three years. '� Name # of Accts Gas Use Cal Year 2015 (therms /yr) Gas Use Cal Year 2016 (therms /yr) Gas Use Cal Year 2017 (therms /yr) Total Gas Use (therms /3yr) Average Gas Use (therms /yr) % of Total Use Bldg Rank on Usage (p) CIVIC 1 24,979 30,699 28,502 84,180 28,060 64.26% 1 POLICE 1 2,757 2,935 2,921 8,613 2,871 6.57% 4 LIBRARY 1 2,735 2,597 3,127 8,459 2,820 6.46% 5 ADULT 1 4,899 6,438 5,483 16,820 5,607 12.84% 2 YOUTH 1 1 1,024 1,055 1,185 3,264 1,0881 2.49% 6 YARD 2 3,071 3,211 3,384 9,666 3,222 7.38% 3 [CORP Total -- 1 39,4651 46,9351 44,6021 131,0021 43,667 -- -- The following chart shows the relative usage by site across the portfolio. Gas Use Cal Year 2016 (therms /yr) ADULT 14% LIBRARY 6% POLICE 6% CORP-YARD YOUTH 7% CIVIC 65% September 2018 Proprietary and Confidential Page 24 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS The following chart shows the total calendar year consumption by building from 2015 to 2017. Gas Use by Calendar Year 50,000 45,000 40,000 35,000 E 30,000 25,000 N 20,000 N 15,000 C7 10,000 5,000 0 Gas Use Cal Year 2015 (therms /yr) Gas Use Cal Year 2016 (therms /yr) Gas Use Cal Year 2017 (therms /yr) ■ CIVIC ■ POLICE ■ LIBRARY I ADULT ■ YOUTH ■ CORP YARD The following chart shows the monthly consumption for each building during the base year of 2017. Gas Use by Building for Base Year 8,000 0 7,000 6,000 E 5,000 a Y 4,000 °w 3,000 2,000 l7 1,000 0 'tit 11 'tit tit 11 11 11 '11 'tit 11 11 'tit c ,L .l ,ti o o 0 `O o o \,L , O LO 'T , `tio y0 1a Qe �Sa PQ �Sa, 1`�c 1� pJQO yyQ cl ■ CIVIC ■ POLICE ■ LIBRARY ■ ADULT ■ YOUTH ■ CORP_YARD September 2018 Proprietary and Confidential Page 25 Town of Los Gatos Investment Grade Audit The following chart shows the 3 year monthly gas usage and average for the past 3 years. Total Project Monthly Natural Gas Use by Year with Average Annual Use 9,000 8,000 E 7,000 ,) 6,000 ! '� L 4.000 3,000 1,000 iI lan Feb Mar Apr May June July Aug Sept Oct Nov Dec 2015 2016 � 2017 3 Yr Avg - Total Project SYSERCO ENERGY SOLUTIONS The key findings from the natural gas utility analysis that the town consumes a slightly higher amount of natural gas relative to other buildings of comparable size. Typically domestic hot water generation corresponds to the minimum consumption in the annual profile. However, this is not the case in the Adult Rec building due to the cooking operations that are a daily occurrence, resulting in increased baseline usage. The minimum average monthly use was observed to be 1,328 therms /mo in June, with a maximum of 3,624 therms /mo in November. Natural gas use across the sites has a 3 year increase of 15.7 %, though there was a substantial decrease between 2016 and 2017 of 7 %. September 2018 Proprietary and Confidential Page 26 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS Water & Sewer Analysis Water is used domestically for sinks, toilets, kitchens, drinking and domestic hot water for sinks, irrigation locally around the buildings and in parks and for cooling tower make up. Water data was not collected as part of this project since no ECMs were impacting the usage of water. Measures that produce water and sewer savings are not eligible for funding under PG &E's On -Bill Financing Program. Syserco Energy Solutions believes that there are numerous opportunities for the Town of Los Gatos to reduce its water and sewer use and welcomes the opportunity to explore and present these in a future Phase of work under this Design -Build Project. September 2018 Proprietary and Confidential Page 27 Town of Los Gatos Investment Grade Audit SYSERCO FNERGY SOLUTIONS Utility Cost & Rate Analysis With the consumption data analyzed it is important to now understand how the costs of the utilities impact the bottom line. The following tables show the account numbers and provider of each utility. All of the meters are master meters. Site CIVIC 3208598057 7366362090 POLICE 0937949595 0937949826 LIBRARY 146833791 146833002 ADULT 4767550290 4767550010 YOUTH 5093917404 5093917775 CORP YARD 3208598488 3208598955 6664727780 3208598814 7366362290 PARK Varrious N/A PARKING Varrious N/A Utility provider breakdown. Site PG &E & San Jose Water West Valley CIVIC PG &E SVCE Company Sanitation District PG &E & San Jose Water West Valley POLICE PG &E SVCE Company Sanitation District PG &E & San lose Water West Valley LIBRARY PG &E SVCE Company Sanitation District PG &E & San Jose Water West Valley ADULT PG &E SVCE Company Sanitation District PG &E & San lose Water West Valley YOUTH PG &E SVCE Company Sanitation District PG &E & San lose Water West Valley CORP YARD PG &E SVCE Company Sanitation District PG &E & San Jose Water West Valley PARK N/A SVCE Company Sanitation District PG &E& San lose Water West Valley PARKING N/A I SVCE Company Sanitation District The following table shows the total costs for each calendar year 2015 -2017 by utility. The total cost is shown and the relative percentage of dollars spent per building each year and as a percent of total for all three years. Water and sewer data was not included. September 2018 Proprietary and Confidential Page 28 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS Site and Year Annual Elec Cost 1$ /vrl Annual Gas Cost ($/ l Total Annual cost ($/ r %of Total -j2015 $328,482 $38,773 $367,255 32.1% ADULT $26,599 $4,823 $31,422 8.6% CIVIC $127,356 $23,548 $150,904 41.1% LIBRARY $80,267 $2,951 $83,2181 22.7% POLICE $23,821 $2,833 $26,654 7.3% YOUTH $14,311 $1,193 $15,505 4.2% +i CORP $17,689 $3,424 $21,113 5.7% +j PARK $25,429 $25,429 6.9% ±j PARKING $13,010 $1,142,893 $13,010 3.5% 712016 $336,746 $49,360 $386,107 33.8% ADULT $29,094 $6,649 $35,743 9.3% CIVIC $130,693 $30,975 $161,668 41.9% LIBRARY $85,068 $3,097 $88,166 22.8% POLICE $22,107 $3,388 $25,495 6.6% YOUTH $13,038 $1,319 $14,358 3.7% + CORP $20,635 $3,931 $24,567 6.4% PARK $23,750 $23,750 6.2% ±PARKING $12,361 $12,361 3.2% 712017 $340,517 $49,015 $389,532 34.1% ADULT $28,696 $4,863 $33,559 8.6% CIVIC $136,823 $31,213 $168,036 43.1% LIBRARY $83,405 $3,817 $87,222 22.4% POLICE $24,821 $3,606 $28,427 7.3% YOUTH $12,733 $1,273 $14,006 3.6% +'CORP $21,958 $4,243 $26,201 6.7% ±1 PARK $22,285 $22,285 5.7% ±'PARKING $9,796 $9,796 2.5% Grand Total $1,005,7451 $137,148 $1,142,893 The following table shows the average annual costs for each utility, the percent of costs to each, the relative rank and the rate of cost escalation for each utility. September 2018 Proprietary and Confidential Page 29 Total Cost Total Cost Total Cost Rank on Avg Cost utility Cal Year Cal Year Cal Year Total Cost Average % of Total Total Escalation 2015 ($ /yr) 2016 ($ /yr) 2017 ($ /yr) ($ /3yr) Cost ($ /yr) Cost Cost (lt) ( % /yr) Electricity $328,482 $336,746 $340,517 $1,005,745 $335,248 88.0% '1 Gas $38,773 $49,360 $49,015 $137,148 $45,716 12.0% Total $367,255 $386,107 $389,532 $1,142,893 $380,964 -- -- 3.01% September 2018 Proprietary and Confidential Page 29 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS The utility bills for all of the sites for the full three years was received for the electricity and natural gas accounts, water was partial for 2017 and extrapolated from May to December. All of the data that was received is shown as part of this analysis. The following chart shows the total utility cost by calendar year and site. $450,000 $400,000 $350,000 $300,000 T N $250,000 tl $200,000 0 " $150,000 $100,000 $50,000 $0 Total Utility Cost per Calendar Year Total Cost Cal Year 2015 Total Cost Cal Year 2016 Total Cost Cal Year 2017 ($ /yr) ($ /Yr) ($ /Yr) ■ CIVIC ■ POLICE ■ LIBRARY ■ ADULT ■ YOUTH ■ CORP_YARD PARK ■ PARKING The following chart shows the utility cost by calendar year and utility. Total Utility Cost Breakdown by Calendar Year and Utility $400,000 N $380,000 o $360,000 Y $340,000 $320,000 o $300,000 : rra Total Cost Cal Year 2015 Total Cost Cal Year 2016 Total Cost Cal Year 2017 ($ /Yr) ($ /Yr) ($ /yr) ■ Electricity ■ Gas September 2018 Proprietary and Confidential Page 30 Town of Los Gatos Investment Grade Audit The following chart shows the breakdown of costs for the average year by utility. Total Utility Cost Breakdown by Utility for Average Year Gas 12% Electricity 88% SYSERCO ENERGY SOtYTIONS The following charts show the rate history for each utility broken down by calendar year and site. The electric rates for the buildings is trending up over the last three years. Electric Rate History by Site $0.3500 $0.3000 3 $0.2500 Y $0.2000 F z $0.1500 u $0.1000 u d W $0.0500 $0.0000 Avg Elec Rate Cal Year Avg Elec Rate Cal Year Avg Elec Rate Cal Year 2015($ /kWh) 2016($ /kWh) 2017($ /kWh) CIVIC -*.- POLICE -40-- LIBRARY -41,--ADULT --&- YOUTH - ♦ —CORP YARD ' PARK -+- PARKING September 2018 Proprietary and Confidential Page 31 Town of Los Gatos Investment Grade Audit The natural gas rates are trending slightly up over the last three years. Natural Gas Rate History by Site $1.40 $1.20 E $1.00 $o-so a $0.60 $0.40 $0.20 $ SYSERCO / ENERGY SOLUTIONS Avg Gas Rate Cal Year Avg Gas Rate Cal Year Avg Gas Rate Cal Year 2015($ /therm) 2016($ /therm) 2017($ /therm) —411�-CIVJC —0- POLICE LIBRARY -41�-ADULT YOUTH —0—CORP-YARD September 2018 Proprietary and Confidential Page 32 Town of Los Gatos Investment Grade Audit SYSERCO / ENFIGY SOLUTIONS The following table shows the average utility rates for the building that will be used as the basis of the savings analysis for this IGA. Savings will be calculated based on the site level utility rates for the greatest accuracy. R:EIe Rate Wh) 1810 Gas Rate ($ /therm) $1.10 POLICE $0.23231 $1.23 LIBRARY $0.1961 $1.22 ADULT $0.2045 $0.89 YOUTH $0.2349 $1.07 CORP—YARD $0.3279 $1.25 PARK $0.1806 $0.00 PARKING $0.1821 $0.00 Total $0.21741 $1.13 Key findings from the utility cost and rate analysis are that costs have been trending up over the past three years. The rate of increase is nearly 6% year over year cost increase, or just over $22,000 in 3 years. The main driver of the cost increase is the increase in gas use, costs and rate have all grown dramatically in the past three years. The following table shows the baseline year 2017 consumption of energy, utility cost, utility rate and the individual utility escalation of usage, cost and utility rate from 2015 to 2017. What this table shows is that the actual observed cost escalation is 3% per year on average. This is on par with the industry standard EERC (v2.0 -17 currently) escalation of 3.43 %. It should be noted that water use and costs would dramatically change this utility picture. September 2018 Proprietary and Confidential Page 33 Utility Use Total Cost Rank on Avg Cost Cal Year % of Total Utility Cal Year Total Escalation 2017 ($ /yr) Cost Cost ( #) ( % /yr) (U2017 r) Electricity(kWh /yr) 1,727,058 $340,517 88.0% 1 Gas (therms /yr) 44,602 $49,015 12.0% 13.30% Total -- $389,532 -- 3.01% What this table shows is that the actual observed cost escalation is 3% per year on average. This is on par with the industry standard EERC (v2.0 -17 currently) escalation of 3.43 %. It should be noted that water use and costs would dramatically change this utility picture. September 2018 Proprietary and Confidential Page 33 Town of Los Gatos Investment Grade Audit SYSERCO F N F RON 50111 FI ON Based on the current utility spend and this escalation rate along with the esitmated ESA savings the following chart shows the estimated future spending on these buildings. Annual Utility Cost BAU v. ESA $600,000 $500,000 N_ V, $400,000 O U $300,000 $200,000 c G $100,000 $0 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 t BAU Utility Spend t ESA Utility Spend The following chart shows what the cumulative utility costs would be for "business as usual' and with the ESA for a 10 year period. Cumulative Annual Utility Cost Business As Usual v. Energy Services Agreement for 10 yrs M=14 N $5,000,000 c $4,000,000 U $3,000,000 $2,000,000 n c $1,000,000 Q 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 —0—Cumulative Utility Cost ($) —6—Cumulative ESA Utility Cost ($) The total difference between these two escalations is $1.7M over 10 years. September 2018 Proprietary and Confidential Page 34 Town of Los Gatos Investment Grade Audit Environmental Impact Analysis SYSERCO S. l FN[RGY SOlurlONf Existing Environmental Impact The environmental impact of the energy use by these buildings is an important factor to consider as part of the analysis of the project. The following table shows the estimated utility emissions from each building by calendar year. The conversions were obtained from the PG &E utility emission factors from 2015. The roughly 1,029 metric tons of CO2 emissions is broken down by year and utility source in the following chart. 300 T O 250 0 200 N C 0 150 W 100 C 'g 50 Q V�Ii Total Emissions by Year and Source 2015 2016 2017 ■ Emissions from Elec Cal Year (mtCO2 /yr) ■ Emissions from Gas Cal Year (mtCO2 /yr) September 2018 Proprietary and Confidential Page 35 Average Total Total Total Rank on Annual Emissions from Emissions from Emissions from Total Short Name Emissions by Cal Year 2015 Cal Year 2016 Cal Year 2017 Emissions Site (mtCO2 /yr) (mtCO2 /yr) (mtCO2 /yr) (g) (mtCO2 /yr) CIVIC 133 163 151 149 1 POLICE 15 16 16 15 4 LIBRARY 15 14 17 15 5 ADULT 26 34 29 30 2 YOUTH 5 6 6 6 CORP YARD 16 17 18 17 3 PARK 0 0 0 0 PARKING 01 01 01 0 Total 2101 2491 2371 232 -- The roughly 1,029 metric tons of CO2 emissions is broken down by year and utility source in the following chart. 300 T O 250 0 200 N C 0 150 W 100 C 'g 50 Q V�Ii Total Emissions by Year and Source 2015 2016 2017 ■ Emissions from Elec Cal Year (mtCO2 /yr) ■ Emissions from Gas Cal Year (mtCO2 /yr) September 2018 Proprietary and Confidential Page 35 Town of Los Gatos Investment Grade Audit SYSERCO ENTAGY SOLUTIONS The following chart shows the percent breakdown of emissions by utility for the average emissions over 2015 -2017 for the buildings. Emissions Distribution by Fuel Emissions from Elec 0% Emissions from Gas - 100% The following chart shows the total emissions by calendar year broken down by total building emissions. tict N 250 0 U E 200 an 0 150 N to E 100 E: w 50 G > 0 c W Total Emissions by Year by Site Total Emissions from Cal Total Emissions from Cal Total Emissions from Cal Year 2015 (mtCO2 /yr) Year 2016 (mtCO2 /yr) Year 2017 (mtCO2 /yr) ■CIVIC ■POLICE ■LIBRARY ■ADULT ■YOUTH ■CORP YARD I PARK ■PARKING September 2018 Proprietary and Confidential Page 36 Town of Los Gatos Investment Grade Audit The following chart shows the percentage of emissions by site. Average Annual Emissions by Site (mtCO2 /yr) CORP—YARD PARK PARKING YOUTH 7% 0% 0% 3% ADULT 13% LIBRARY 6% POLICE 7% CIVIC 64% SYSERCO ENERGY SOLUTIONS September 2018 Proprietary and Confidential Page 37 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS Environmental Impact from Proposed Project The estimated utility savings for the project is shown in the following table with the corresponding reduction in carbon emissions. The estimated emissions savings is 41 mtCO2 /yr or a reduction of just under 18% of the building totals. One hundred percent (100 %) of the emissions savings are from the reduction in gas use by the buildings. The table below shows the equivalent metrics compared to the amount of emissions savings as a result of implementing the recommended ECMs laid out in this project. Short Name :EEmissions otal vings 02 /yr) %Emission Saved ( %) Tree Seedlings Grown for 10 ,( #) Acres of Trees Storing Carbon for 1 yr { #) EM—PRO, , Gallons of Gasoline Consumed ( #) Homes Electrical Use for 1 Proposed 33 Annual 840 7 80,335 _ m Annual 24.78% 97 Elec Savings Saved from Gas Savings Saved from Emhsions %Emission 4.97% Name Emissions by y" 0 1,825 0 ADULT 1 2.50% Emissionsby - - 0 (&kwh /yr) Elec (therms /yr) Gas Savings Saved ( %) 0 3,325 0 (mtCO2 /yr) 2 (mtCC2 /yr) (mtCO2 /yr) 2 Site 4,355 0 PARK 0 0.00% 0 0 0 mtS02 /yr 0 6,161 33 33 22.00% 116 civic 149 351,811 POLICE 15 92,321 0 710 4 4 24.78% 11 LIBRARY 15 31,219 0 140 1 1 4.97% 14 ADULT 30 50,647 01 1401 1 11 2.50%1 29 YOUTH 6 25,023 01 2551 1 1 2148% 4 CORP YARD 17 41,739 0 3341 2 2 10.39% 15 PARK 0 48,381 0 0 0 0 0.00% 0 PARKING 0 30,235 0 0 0 0 0.00% 0 Total 232 0 41 41 17.76% 191 The estimated emissions savings is 41 mtCO2 /yr or a reduction of just under 18% of the building totals. One hundred percent (100 %) of the emissions savings are from the reduction in gas use by the buildings. The table below shows the equivalent metrics compared to the amount of emissions savings as a result of implementing the recommended ECMs laid out in this project. Short Name :EEmissions otal vings 02 /yr) %Emission Saved ( %) Tree Seedlings Grown for 10 ,( #) Acres of Trees Storing Carbon for 1 yr { #) Passenger Vehicles Driven for 1 yr ( #) , Gallons of Gasoline Consumed ( #) Homes Electrical Use for 1 CIVIC 33 22.00% 840 39 7 80,335 5 POLICE 4 24.78% 97 4 11 9,258 1 LIBRARY 1 4.97% 19 1 0 1,825 0 ADULT 1 2.50% 19 1 0 1,825 0 YOUTH 1 23.48% 35 2 0 3,325 0 CORP YARD 2 10.39% 46 2 0 4,355 0 PARK 0 0.00% 0 0 0 0 0 PARKING Total 0 41 0.00% 0 0 0 9 0 100924 0 17.76% 1,056 48 6 September 2018 Proprietary and Confidential Page 38 Town of Los Gatos S' SYSERCO Investment Grade Audit ` J I ENERGY —1-1— 4. System Diagnostics The following sections discuss the analysis of the equipment, trends, data logs and findings of the IGA audit. This section is not comprehensive of all data analysis completed, rather a representative sampling of information gathered, analyzed and presented in the most concise format. The full data set is quite voluminous and not additive to this report in its raw form. System Age Analysis A complete equipment inventory was done as part of the IGA audit. This provided a significant amount of data about the equipment and the condition. The following charts were generated based on the equipment in the buildings and the average equipment age. The red line shows the 15 year mark which is the average maximum useful life of the equipment portfolio. While some equipment will have aged out, there can be younger equipment in the fleet that will bring down the average age resulting in less than 15 years. A line by line equipment inventory is included in the appendices. Key: Average Age of Equipment VRF VAV MORRISROE 5F RTU RE PMP MAU Hp FAF . WEN EF DM CT CMD CHER CC BUR AHU AC 0 10 20 3D 40 Avg Age of Equipment )yrs) September 2018 Proprietary and Confidential Page 39 AC AIR CONDITIONER DX FCU FAN COIL UNIT AHU AIR HANDELING UNIT HP HEAT PUMP BUR BOILER MAU MAKE -UP AIR UNIT CC COOLING COIL PMP PUMP CHLR CHILLER RF RETURN AIR FAN COND CONDENSER RH REHEAT COIL CT COOLING TOWER RTU ROOF TOP UNIT DHW DOMESTIC HOT WATER HEATER SF SUPPLY AIR FAN EF EXHAUST FAN VAV VARRIABLE AIR VOLUME BOX EGEN EMERG GENERATOR VRF VARRIABLE REFRIGERANT FLOW UNIT FAF FORCED AIR FURNACE Average Age of Equipment VRF VAV MORRISROE 5F RTU RE PMP MAU Hp FAF . WEN EF DM CT CMD CHER CC BUR AHU AC 0 10 20 3D 40 Avg Age of Equipment )yrs) September 2018 Proprietary and Confidential Page 39 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS Data Logging Data about the function, operation and condition was gathered by visual inspection, interviews with site personnel and BMS trends on the equipment. A large amount of data was gathered as part of the IGA and not all of it can be presented here. A sample of the data will be displayed and discussed in order to provide indicative information utilized for the energy savings calculations. Data logger trend data is from June 26, 2018 through July 25, 2018. Typical trends gathered are as follows: • Space temperature, relative humidity, light level (F, %RH, Lum /sqft) • Motor state logger (% ON /OFF) • Outside air temperature (F) • Supply air, return air, mixed air temperatures (F) • Current transformer (amps) The most effective ways to analyze these trends is to compare each temperature and control signal to the OAT since that is common to all data points and equipment. Additionally, comparison to OAT will allow extrapolation to the rest of the year through bin data analysis. Due to the volume of data gathered and the amount of space that would be required to discuss every data trend only the Civic Center and Police Operations buildings will be discussed here as they are the most complex and most used buildings in the portfolio. All trend data is included in the appendices for reference. Civic Center The Civic Center is the most mechanically complex building in the Town. There are 4 AHLI's, a chiller, cooling tower, boiler and duct mounted reheat coils. There are three separate building management control systems installed and the building has multiple zone types. There is a 911 dispatch center which operates round the clock and a museum with tight temperature requirements. The following discussion will investigate each of the AHLIs. Pneumatic Control System The building has a legacy pneumatic control system in the building that controls the AHLI-2 dampers and control valve as well as the reheat valves for all zones except the new museum VAV zones. All other central equipment is controlled by either the Trane Summit or Alerton BMS. The following chart shows the motor state logger for the air compressor motor. Overall the motor was shown to be operational 57% of the time. September 2018 Proprietary and Confidential Page 40 Town of Los Gatos Investment Grade Audit SYSERCO fNFAGY SOLUtION5 CIVIC - Motor Analysis Timebound 100 90 80 70 Z 60 O 0 so ° 40 30 20 10 0 Womikiw 0 6/24/2018 6/29/2018 7/4/2018 7/9/2018 7/14/2018 7/19/2018 7/24/2018 7/29/2018 —Air compressor The following chart shows the air compressor motor state compared to OAT which yields the same result as the time bound analysis. Since the building equipment operates continuously, the air compressor must keep the control pneumatics operational. There appears to be no lag in the overnight hours to confirm either many air leaks or constant operation. CIVIC - Motor Analysis to OAT 100 0 80 a° Z 60 D W w 40 • O • M 1• O 20 0 2000E 60 65 70 75 80 85 90 95 100 105 OAT (F) • Air compressor Chilled Water System The chilled water system serves all four AHUs with a 155 ton centrifugal chiller built in 2005 and rebuilt around 2015. The chilled water and condenser water supply and return temperatures were trended. The chilled and condenser water supply return delta was calculated. The following charts show the various trends. September 2018 Proprietary and Confidential Page 41 Town of Los Gatos Investment Grade Audit m5 IW 95 90 m 85 O 75 70 65 CIVIC - CHW System Analysis Timebound SYSERCO ENERGY SOLU11ONS 65 63 61 u m 59 a` E E 57 c 55 53 n sl 3 49 " 47 60 45 6/24/2018 6/27/W18 6/30/2018 7/3/2018 7/6/2018 7/9/2018 711212018 7/15/2018 7/18 /X118 7/21/2018 7/24/2018 —OAT —CHW Supply temp —CHW Return pamp The chilled water system analysis shows that the chiller is operating around the clock to maintain a supply temperature between 47 and 51 F. There is some hunting and short cycling that is happening towards the beginning of the logging period. This can contribute to excessive wear on the chiller. There looks to be a chilled water reset sequence in place, however it looks to be implemented in reverse. When the OAT drops, so does the CHWS temp rather than an increase. The return temperature of the chilled water system operates between 50 and 61 F with some hunting and short cycling that matches the supply data. After 7/13/18 the system looks to have had a change that stopped the hunting. The return temperatures track with the OAT temp. CIVIC - CHW System Analysis to OAT 65 6.00 LL -- 60 E 55 a f— E 50 T 45 40 Gil 70 80 90 100 OAT (F) •CHW Supply temp •CHWReturntemp •DT 5.00 4.00 LL 3.00 F 0 2.00 1.00 0.00 110 The above chart shows supply, return and DT of the chilled water system against the OAT. This shows that the supply and return temperatures above 80 F OAT are typically flat showing the system is running. Below 80 F OAT the system operates in a wide range which shows that there is some improved sequencing and scheduling that can be implemented to reduce run times. The most important aspect of this chart is the DT series that shows the temperature difference between the supply and return temperatures. This chiller is designed to operate on a 10 F DT, this trend shows that the chiller never went above 5.5 F DT. This results September 2018 Proprietary and Confidential Page 42 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY 50lYTIONS in low DT syndrome with excessive chiller, pump and cooling tower operation to satisfy the cooling loads of the AHUs serving the spaces. During site walks it was noticed that many spaces were cool when entering. uo 100 90 i so 0 70 60 CIVIC -CDW System Analysis Timebound s0 6/24/2018 6/29/2018 7/4/2018 7/9/2018 711412018 7/19/2018 7/14/2018 —OAT — (DWSupplytemp -- CDWRelmnlemp 100 Bo E E F 70 H 3 0 60 50 7/29/2018 The condenser water system cooling the chiller operates very much the same way as the chilled water system did. The supply temperatures ranged between 76 and 87 F and the return temperatures between 76 and 93 F. the same hunting and short cycling shows up on the condenser water side as the chilled water side. As the OAT rises during the day the condenser supply and return temperatures track. II[ro 80 LL n E 60 v E 40 '^ 20 0 60 CIVIC - CDW System Analysis to OAT 70 80 90 100 OAT (F) • CDW Supply temp • CDW Return temp • DT 7.00 6.00 5.00 4.00 i 3.00 0 2.00 1.00 0.00 110 The above chart shows that the condenser water system operates relatively flat across the range of OAT with relatively little variation. The DT of the supply and return water is interesting in that it has nearly the same shape as the chilled water DT profile. The highest DT is up to 6.28 F, still well below the design DT of 10 F. This all shows that the chilled water system is operating around the clock at less than optimal load conditions. September 2018 Proprietary and Confidential Page 43 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOIYTIONS A motor state logger was placed on the chilled water pump to determine when the pump was running. The following chart shows that during the logging period, the motor was on 100% of the time confirming that they chilled water system operates around the clock. CIVIC - Motor Analysis Timebound 100 90 80 70 0 60 `0 50 40 30 20 30 0 0 6/24/2018 6/29/2018 7/4/2018 7/9/2018 7/14/2018 7/19/2018 7/24/2018 7/29/2018 —CHWP Heating Hot Water System The heating hot water system serves 22 original reheat coils, 7 reheats in the police expansion and 17 VAV reheats in the Museum renovation. The following chart shows the HHW supply and return system temperatures with the OAT. Generally, the HHW system is running around the clock with minimal variation in system set point. There are two distinct periods when the supply and return temperatures dropped to 60 F, indicating that the boiler was turned off for a period of time. There was no insights from the facility operators as to why the boiler would have shut down like this. 1811 CIVIC - HHW System Timebound 160 140 ;4120 0 e 80 E E r � 40 20 0 6/27/2018 6/30/2018 7/3/2018 7/612018 7/9/2018 7/12/2018 7/15/2018 7/18/2018 7/21/2018 7/24/2018 7/27/2018 —OAT —HHW Supply temp —HHW Retum temp The following chart shows the same data against OAT and the DT of the system. This shows that there are a number of curves down to the "OFF" state of the HHW system. These are shown as the long "legs" going down to a flat line. The DT of the system consistently operates between 0 and 10 F with the average being around 3.3 F. this is pretty low for the system and maybe why there is long run times. The negative DT data September 2018 Proprietary and Confidential Page 44 Town of Los Gatos Investment Grade Audit SYSERCO FRGY SOLUTIONS points are from times that the system was shut down and the return temp at the point of logging dropped below that of the supply side. 170 150 `. 130 E IT 110 E F n 90 70 CIVIC - HHW System Analysis to OAT 1S 10 0 F c 5 10 SO 15 60 65 70 75 80 85 90 95 100 105 OAT (F) •HHW Supply temp •HHWRetumtemp *DT The following chart shows the HHW pump and boiler blower motor run time. The HHW pump is shown to run 100% of the time. This is problematic because the system was shown to be shut down in previous charts for a period of days, but the pump continued to operate wasting energy. The second series in the chart below is the blower motor on the boiler. This is shown to operate around 45% time during a given logging period, indicating that the boiler may be short cycling. However, there is room for improvement in the control of the system. CIVIC - Motor Analysis Timebound 100 100 90 90 80 80 70 70 Z O 60 60 o 50 50 40 40 30 Ott 30 20 20 10 10 0 0 6/24/2018 6/29/2018 7/4/2018 7/9/2018 7/14/2018 7/19/2018 7/24/2018 7/29/2018 HHWP —BLR BLOWER The following chart shows the motor run times compared to OAT which shows that the boiler is operating between 20% and 60% of the time when the system is firing. The time period of the logging is 5 minute September 2018 Proprietary and Confidential Page 45 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY sOIYIIONS intervals, which means that for every 5 minutes approximately 2.25 minutes is spent operational, while the rest of the time the boiler is off. CIVIC - Motor Analysis to OAT 100 1 M • 0 80 Z9 Z 60 z w 40 O F- 0 20 2 X 60 65 70 75 80 85 90 95 100 105 OAT (F) 0 BLR BLOWER AHU -1S — Police /Council Areas The air handler serving the original police wing and the council chambers and hallways was originally two separate H &V units. In 2006 a retrofit was done to have a single unit serve both zones. This 12,000 CFM unit uses a 15 HP supply air fan to provide cooled air to the various reheat zones in the ducts. This unit serves the 911 dispatch center which is manned 24/7. The public access area on the upper floor is also technically 24/7 though rarely manned. The supply, mixed air temperatures and the motor state were logged in the unit along with the 911 dispatch, main floor office of the police department and the council chambers space temperatures. CIVIC - AHU -1S Analysis Tinnebound uo zm im so 8o E 1. ` 60 50 W 8U ro — z 60 y 50 % <o S 3U E IU 10 au a E /zn /mze a /n/zms c /. /zma ps /m/e v /yzmE zh /zma zpz /zo,e >/151m a rpa /zone r /n /zo/e 7/2+R01e z /n /mia —. —5Ai —M4i Molm #CN The chart above shows the SAT, MAT and OAT of the unit over the course of the data logging. It can be seen that the SAT shows a similar hunting trend that happened with the chilled water system. There are no insights from facilities as to the root cause of this hunting. The SAT tracks higher during the evenings when building shuts down. However, the band of SAT is from 50F to 55F outside of the hunting which rises to 62F. If the unit is operating normally it looks to be suppling colder air during the evening hours and higher September 2018 Proprietary and Confidential Page 46 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS when the building is occupied. This is counterproductive to the energy use of the building. The MAT follows the same tend as the OAT, nearly matching the profile, indicating that the majority of the mixed air is coming from outside rather than return air. This is energy intensive to supply chilled water to the coil to condition the air. 95 LL 85 a w 75 H 65 1= 55 CIVIC - AHU -1S Aanalysis to OAT Yr 80 i O d° 60 Z O 40 p I— O 20 2 45 0 60 70 80 90 100 110 OAT (F) • SAT • MAT • Motor % ON • OAT The chart above shows the SAT, MAT and motor against OAT. The flat line of the SAT past 80F shows that there is little set back in the temperature. The temperatures below 80F are boxed in from 50F to 62F showing little OAT setback or resets. The MAT has a very similar profile to the OAT series showing how much outside air is brought into the unit rather than utilizing return air. This also shows that the motor is running 24/7 regardless of OAT. 105 100 95 M' 90 E 8S <' 80 m n '^ 75 70 65 60 6/24/2018 CIVIC - Space Temp Analysis Timebound 6/29/2018 7/4/2018 7/9/2018 7/14/2018 7/19/2018 7/24/2018 —PD911 Disp —PD2nd open office — Council chambers —OAT 10S 1W 95 90 85 LL r 80 p 75 70 65 60 7/29/2018 The chart above shows the space temperatures of the zones served by AHU -1S, 911 Dispatch, PD 2nd floor office and the council chambers. There is some variability in the police zones but within a tight band around 75F. The council chambers stays at or below 72F regardless of time of day or occupancy. It was observed on multiple occasions when entering the room that the temperature was cold. September 2018 Proprietary and Confidential Page 47 Town of Los Gatos Investment Grade Audit CIVIC - Space Temp Analysis to OAT 85 80 LL 75 n E r ]0 n � 65 bD 55 60 65 70 75 80 85 90 95 100 105 OAT (F) •PD 911 Disp • PD 2nd open office • Council chambers SYSERCO ENERGY SOLUTIONS The chart above shows the space temperatures against OAT. This shows that there is no temperature setback in the zones and that there is little variability in the space temperatures overtime. This is common in pneumatic control systems that are controlling the reheat valves in the building. AHU -5S — Admin /Finance Dept The finance and administration areas of the building are supplied by AHU -5S which was replaced in 2009 with a new dual SAF system with a barrel fan for return air. The SAF's both have VFDs on them as per the drawings, however there was no observed variability in the speed of the fans. The following chart shows the SAT and MAT of the unit alongside the OAT. The SAT has the same hunting concerns as the chilled water system and AHU -1S. Outside of that the SAT is constant and flat at 55F across the whole logging period showing that the unit is constantly running and that there are no SAT setbacks based on OAT, occupancy or schedule. The MAT is also relatively flat with some minor variations that track the OAT indicating that the unit is using very little outside air and mostly return air. Irn 95 Y � )f "e E v es CIVIC - AHU -55 Analysis Timebound as e /za /zola s /nRms a /rl /wIe ry /hole x /s /xooe >HROhe rryz /xva p¢lmhs xlla /:ole zpLmhe z /xe /xmE Un /mhx —OAI —SAT —MA1 The following chart shows the SAT, MAT and motor state against OAT. This shows that the motor is always on regardless of temperature. The SAT and MAT are both relatively flat with little variation across the OAT profile. This also shows that the economizer is not being used at all and that the AHU is using chilled water all the time to cool the air. September 2018 Proprietary and Confidential Page 48 Town of Los Gatos Investment Grade Audit Ins 95 g 85 - 75 g 65 N 7 55 45 60 CIVIC - AHU -5S Analysis to OAT 70 80 90 100 OAT (F) •SAT *MAT *OAT •Motor %ON aA 80 2 O 60 = 0 40 0 0 20 0 110 SYSERCO ENERGY SOLUTIONS The following chart shows the Finance, Admin Kitchen, Office and Permit desk zone served by the AHU over time. There is minimal variation in the space temperatures over the wide band of OAT. Some of the spaces even show the same cooling dip as the council chamber served by AHU -1S in that the temperature is constant then drops dramatically for 2 -3 days. 105 100 95 90 E 85 r � 80 n 75 70 65 60 6/24/X18 CIVIC -Space Temp Analysis Timebound 6/29/M18 1/4/2018 7/9/2018 7/14/1018 1/19/2018 7/24/2018 — Finance -- Amin KikNen — Admin08ite — Permit desk —CAT 105 loo 95 90 85 80 O 75 70 65 60 7/29/2018 The following chart shows the zone temperatures against the OAT. This shows that there are no setbacks in the zones and that the bounds of the space temperatures are from 66F up to 77F. CIVIC - Space Temp Analysis to OAT so 75 > 70 E r "IEW 65 60 55 W 65 70 75 80 85 90 95 WO 105 OATIF) •Finame •Admin Kitt Len 4Admin OBiu OPernildeA September 2018 Proprietary and Confidential Page 49 Town of Los Gatos Investment Grade Audit ' SYSERCO -/ ENERGY SOLUTIONS AHU -4 —Museum Wing The museum AHU -4 was rebuilt during the renovation that occurred in 2014. This is a unit that sits in different rooms and used the plenum for draw through ventilation. The SAF is a 15 HP VFD fan with cooling coils, OA and RA dampers. The unit serves 17 VAV boxes with reheats. The chart below shows the SAT, MAT and OAT at the unit. The same hunting occurs in the SAT as the previous discussed chiller and AHUs. The SAT is typically between 46F and 55F and cycles during the day roughly with OAT. The MAT and OAT track nearly identically indicating that the unit is using 100% outside air rather than return air with economization. Lou w 90 e 70 Ti E � so CIVIC - AHU -4 Analysis Timebound ao 6 /2G /2MB 6 /21/2.l. 5 /SVIII 1/1 /101e 7/6/2018 1/9/2019 ]pz /zmR 711512018 7116 1MlR 7/21/2018 7/24/2016 1121/2018 —S. _MT.' —MAl The following chart shows the SAT, MAT, unit OAT and supply fan amp draw to the global OAT. Similar to all other AHUs, the SAT is relatively flat and tightly bound between two temperatures. The MAT and OAT track very closely indicating that there is little return air being used. The SF amp draw is relatively constant but varies between 18 and 36 amps. CIVIC - AHU -4 MUSEUM ANALYSIS TO OAT 100 120 90 100 80 80 � a 70 60 G 60 40 Spam N 50 20 40 0 60 65 70 75 80 85 90 95 100 105 OAT T) *SAT •OATOnit *MAT *OAT •SFAmps The following chart shows the space temperatures in two zones in the museum. A third logger was deployed as part of the data gathering but was lost /stolen during the course and is not presented here. The zone temperatures show little variation over time with only small fluctuations throughout the day. There is ample opportunity to implement some setbacks in the space. Sensitivity to the requirements of the museum exhibits is needed but still reduce energy consumption. September 2018 Proprietary and Confidential Page 50 Town of Los Gatos Investment Grade Audit 105 100 95 90 E 85 a 7s 70 6S 60 6124/2018 6/29/2018 CIVIC - Space Temp Analysis Timebound 105 100 95 90 es c r 60 0 7s 70 65 60 7/412018 7/9/2018 7/14 /2018 7/1912018 7/24/2018 7/29/2018 —MUS -0w1 Tstat —MUS VAV 85lat —OAT SYSERCO ENERGY SOtUtIONS The following chart shows the zone temperatures against OAT and it can be seen that there is no setbacks or changes in space temperatures over time. There are some anomalous points above 73F on the VAV 8 zone which are likely due to a manual adjustment to the thermostat. CIVIC - Space Temp Analysis to OAT 90 85 !' B • E 75 5 f•••Y•N» v • g 70 65 60 55 60 65 70 75 80 85 90 9S un ws OAT (F) • MUS lower Tstat • MUS VAV 8 Slat The following chart shows the trend of the SAF amp draw over time. The fan is always on but is being turned down at over night in most cases. This indicates that the VFD is operational. 3s 8 EE 15 L a x0 CIVIC -AHU -4 SAF Amps Timebound 10 6/24 /NIB 6/27/2018 6 /30 /M18 ]/3/1016 7/02MS 1/9/1011, Ml /)016 l/l111018 '/18/1018 7/l MIS 7/24/418 7/27/2016 September 2018 Proprietary and Confidential Page 51 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS The following chart shows the estimated speed based on max amp draw against OAT, which shows a trend of increased speed as OAT goes up. However, there is a wide band for any given temperature indicating that there is room to improve the control curve of the unit. 100% 9 90% °w 80% v n 70% 0 > 60% r an 50% CIVIC - AHU -4 Est Speed to OAT 40% 60 65 70 7S 80 85 90 95 100 105 OAT (F) • EST % SPD The following chart shows a histogram breakdown of the run time of the VFD at a given speed. The vast majority of time, 92%, is spent operating between 60% and 85% of full load. It is possible that utilizing return air more effectively and economizing only when needed this load profile could be tightened and reduced in order to save energy. CIVIC - AHU -4 VFD Speed Histogram 2500 2" Iwo Iwo 0.50 0.55 0.6 0.65 0.7 0.75 OP 0.85 (19 OAS 100 AHU -2 — Police Expansion In 1975 the original police wing was expanded and an additional air conditioning unit was added to serve the expansion. This unit has a supply and return fan serving 9 reheat zones, return, exhaust and outside air dampers. The following chart shows the SAT, MAT and OAT over time. Similar to AHU -5S this unit is running continouslly, had the same hunting periods early in the logging and then flattened out with little variation. The MAT tracked with the OAT but at significantly lower values indicating that only minimum outside air was being used and that the bulk of the air was return air. This indicates that there is little economization occurring in the unit. September 2018 Proprietary and Confidential Page 52 Town of Los Gatos Investment Grade Audit CIVIC - AHU 2 Analysis Timebound SYSERCO ENERGY SOIUIIONS Ili" Ial 90 AO )0 0 60 G � z Z 80 sC. O O O o Z 30 so 1444 LAS xo 0 0 0 6 /za /zone a /v /xme s /w /zmA I/A /role z/6 /zme zry /xme Ipa /zone z /ss /sme x /ze /zma zRVxoza I /z4 /zoxa I /zx /x01a —MI —MI —AIAI MotOr%GN The following chart shows the SAT, MAT and motor state against OAT. The SAT and MAT are relatively flat with little variation both operating in a 10F band of temperatues. The motor is shown to operate continuously. CIVIC - AHU -2 ANALYSIS 110 C _ -- _. TOO 90 ]00 8o LL 90 20 2 O 6 b W 80 o � �/� 50 O 20 40 O H 60 10 20 So 10 40 0 60 05 20 25 80 85 90 95 11/21 105 OAT (F) • SAT • MAI C OAT • Motor %ON The following chart shows the one space temperature logged associated with this unit. The temperature is very flat showing minimal change in set point or setbacks. This is typical for pneumatic zone thermostats. 105 too 95 _ 90 E 85 so i )5 )0 65 60 6/24/2018 6/29 /2018 CIVIC - Space Temp Analysis Timebound J /4/2018 lo5 10.1 95 90 85 u so 25 20 65 60 2 /9/2018 211412018 / /19 /2ma 7/2412018 2/29/2019 — POP213 —OAT September 2018 Proprietary and Confidential Page 53 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS The following chart shows the zone temperature against OAT and the zone operates between 67F and 73F regardless of the time of day or OAT. CIVIC - Space Temp Analysis to OAT 75 73 71 u 69 � n 67 E r 65 a � 63 a '^ 61 59 57 55 60 65 70 75 80 85 90 95 IDO OAT (F) • PD P213 Police Operations Building 105 The Police building is conditioned with 7 packaged RTUs with gas heat and DX cooling. Sizes range from 3 to 7 tons of cooling with typical EERs of 11 and a heating efficiency of 82 %. Three of the seven RTUs were logged directly in the housing at the fan motor power and the SAT of the unit. There were also associated space temperature measurements made to correlate against. RTU -6 also logged the OAT of the building which was higher than the Civic OAT, likely due to being on the roof. Care was taken to place the sensor out of direct sunlight but the radiation from the roof could have impacted the readings. The following charts show the analysis for RTU -1, 5 & 6 and space temperature analysis for RTU -4. September 2018 Proprietary and Confidential Page 54 C CD �o m 3 O" N N O 00 1 0) d d 7 d n O CL O_ A 7 2 d N Ul N TEMP (F) • o o ao 0 0 y a N o O � o m m '^ 0 y A O c N O z °n O y m W O n 3 9 • o 0 z O 2 m 9 �L tJ Y W iu N VI N VI N FAN POWER (AMPS) O mm O m Z O n m D Z D 0 O f1 m C O m Z O T m m D Z D m W O C Z v TEMP (F) N W P W Q� 1c 0 0 0 0 0 0 0 0 0 0 0 °o TEMP (F) 1 0 0 0 0 0 0 0 0 0 298 595 _ 892 1189 1486 1783 2080 2377 2674 2971 3268 A 3565 3862 O 4159 4456 4753 -- - 5050 5347 5644 5941 D 6238 6535 6832 y 7129 7426 7723 3 b. N N W W W W W W OJ b N O IJ IV W lu N W N N N v FAN POWER (AMPS) O mm O m Z O n m D Z D 0 O f1 m C O m Z O T m m D Z D m W O C Z v TEMP (F) N W P W Q� 1c 0 0 0 0 0 0 0 0 0 0 0 °o O O O Y Y N N W W fly tlt IJ� tl� FAN POWER (AMPS) TEMP (F) 0 0 0 0 0 0 0 0 0 0 r 335 - _ 669 A 1003 x 1337 r 1671 2005 2339 2673 3007 3341 A M C O a 4009 x D -- - 4677 5011 N A 5679 D c 6013 m 6681 y p O n ^� 7349 y 3 3 7683 v O Y N N W W • FAN POWER (AMPS) A � ,c, o n T V O O O Y Y N N W W fly tlt IJ� tl� FAN POWER (AMPS) O r_ m m c N n_ m z D z D to N O r mm C n S m z D Z D N !n m m 00 O C z 0 o m F 3 0 r ,may O Gl N d N O 01 O y, D c d =N <N �m 0:0 z O TEMP (F) 0 0 0 0 0 0 0 0 0 0 1 335 - _ 669 A 1003 x 1337 r 1671 2005 2339 2673 3007 3341 c 3675 a 4009 4343 -- - 4677 5011 5345 A 5679 c 6013 Y x 6347 6681 n' 7015 n ^� 7349 y 3 7683 O O Y N N W W N N N W FAN POWER (AMPS) O r_ m m c N n_ m z D z D to N O r mm C n S m z D Z D N !n m m 00 O C z 0 o m F 3 0 r ,may O Gl N d N O 01 O y, D c d =N <N �m 0:0 z O Oo U� wo W^ V% u N W Y v 7 0-0 t7 � N y O c G O E C N 0 > � c 0 z Z) O [L1 cwc C H J a z V O W to cc cc w V J O CL N J ¢ z V O w l0 I- lr w U J O CL (SdV4V)83MOd NVj 0 a �`• - _.. _ .. w mz _ 611£L Slot N y� 1899 LV£9 E109 6L9S dft S4£S i Ilos .. i CC9b £4£4 6004 u - -- - SL9£ ow T4££ � too£ £L9Z i 6££Z Sooz TZ91 L££T p E001 y 699 F S££ ' 0 g o 0 0 0 oT (3) d VY31 (Sd WV)Il3MOd NVj Q ti LL u O e o � r • Cd C 8 a a u O ow o � m � • a u i� O O a 0 8 a 0 °v o 0 (j) dvul W N J ¢ z Q to � z Z) Lr O Y co J F o: w U J O Cl. N N J Z o_ K Y J V H K w v J O a (Zlj /iNni)13A311H911 V1 ill N N m m Ni ry 'i ti o 0 2 f w TZ9L w OVZL 6S89 8LV9 Y 1609 z 9TLS SEES Q V56V (j) dV431 £LSV Z6TV TTS£ 0£V£ Off u 8992 L8Z2 x 906T z SZST VVTT v £9L Z8£ T (213 /wni) 13A311HDIl Ilt N t!1 N M m N N N r O O p Q o � 2 W 8 • Q O r V 00 a z z w o � � a e (j) dV431 • to Ln no m CL Y c v c u° v c m Y CL O a` 00 0 N 41 W CL w Town of Los Gatos SYSERCO Investment Grade Audit ENERGY SOLUTIONS RTU -1 serves the SW corner of the building which includes offices, hallways and the kitchen space. The space data logger was placed in the kitchen space. The charts for RTU -1 show that the fan is running 35% of the time while maintaining a SAT between 35F and 75F. The space temperature stays between 66F and 76F the whole time data was gathered. While the fan cycled during the logging, the space temperature remained fairly constant indicating that the unit operates 24/7 with no temperature setbacks or control. There also appears to be no economization happening based on the SAT, space temperature and OAT. RTU -5 serves the east side of the building open offices and hallways. The space data logger was placed on top of a filing cabinet on a wall near where the unit controlling thermostat is located. The charts for RTU -5 show that the fan is running 100% of the time, the amperage never dropped below 3 Amps. Upon retrieval of the loggers it was noted that the manual override for the fan to be running was engaged. This corroborates the data that the fan runs continuously. The SAT for the unit shows a range of 75F to 115F. This is unlikely to be accurate since the space temperature logged arrange of 67F to 71F, a very tight band. It is likely that the temperature sensor in the SAT stream could have been in the motor exhaust or may have shifted and been touching a metal or side wall surface in the unit. The actual temperatures are less reliable, but the variation still gives some indications about what is happening in the SAT. It is clear that there is no economization happening with the unit. RTU -6 serves the emergency operations center (EOC), a large conference room on the north side of the building that is rarely used. The charts for RTU -6 show that the fan is running 47% of the time while maintaining a SAT between 42F and 122F. The space temperature stayed between 65F and 77F for the duration of the logging. The usage patterns show that the unit is cycling roughly during the day and then going quiet for the majority of the evening hours allowing the space temperature to drift up to a set point around 78F until cooling is reengaged. There was an event in the data between 7/7/18 and 7/11/18 where the unit appears to not have turned on in the same pattern as the rest of the data series. There are periods when the fan cycles and the temperature drops, but there are long periods and higher amplitudes of fluctuations. Facilities operators were unaware of any issues with the unit. An occupant may have changed a setting on the thermostat then changed it back without anyone's knowledge. It is clear that there is no economization happening with the unit. September 2018 Proprietary and Confidential Page 57 Town of Los Gatos Investment Grade Audit Key Findings SYSERCO ENERGY SOLUTIONS • Civic • CHW system appears to be operating around the clock • Chiller has CHW reset in place, but reversed • Chiller hunts / short cycles during periods • CHW /CDW systems suffer from low DT syndrome • HHW system appears to be operational around the clock • HHW pump operates 24/7 regardless of boiler firing or cycling • No HHW OAT reset implemented • HHW system suffers from low DT • AHU -1S operates 24/7 to service the 911 Dispatch center • Space temps for the unit are constant throughout the day regardless of time or occupancy • Majority of supply air is new fresh air rather than return air • Many areas supplied are conditioned when they do not need to be • Police Operations • All RTUs appear to be running 24/7 to cool /heat the space • Some RTUs have the fan overridden in the on position • The space temperatures in the building are generally below 74F • Even though all RTUs have an economizer package installed, none appear to be functional or operational based on the logged data • There are no temperature setbacks implemented in the building • Library o RTU -1 is scheduled to come on at 6:15 am M -F and 8:45 am S -S and turn off at 10 pm every day • Zone temps in the building are maintained between 70F and 75F around the clock • There are no set temperature setbacks implemented in the zones • Lighting controls seem to be turning the lights off when unoccupied • Adult Recreation • The MAU serving the 2nd floor offices cycles daily, but has no modulation or schedule other than a daily, operates —64% of the time • The small multipurpose room is maintained between 70F and 74F around the clock with no temperature setbacks or schedule • The big multipurpose room is maintained between 67F and 83F around the clock with limited temperature setbacks • It is possible that the occupants of the space enjoy the temperature being higher IS The fan runs 100% of the time based on motor state logging • The FCUs in the spaces condition the space 24/7 based on data logged with ranges of temperatures between 69F and 78F • Youth Recreation • Main office space temperature range was between 68F and 83F indicating that the main RTU conditioned the space nearly the whole time • Based on the rises and falls in the temperatures it looks like the unit never turned off • Multipurpose room A was maintained between 68F and 79F the whole time • This room was always cold when entered during site visits • Serves as a dance studio so the higher temperatures are likely due to high occupancy and activity levels September 2018 Proprietary and Confidential Page 58 Town of Los Gatos Investment Grade Audit SYSERCO ENEAGT SOLUTIONS • General • It appears that economizers across the town are non - functional, either wide open or closed resulting in excessive energy use • Many systems operate 24/7 for no reason • There are no temperature setbacks for zones or central equipment, partially due to installed technology and partially due to lack of programing in the BMS • Spaces are often cold when entering • Occupants are reasonably good about turning lights off when the space is unoccupied September 2018 Proprietary and Confidential Page 59 Town of Los Gatos Investment Grade Audit ECM Summaries �SYSERCO ENERGY September 2018 Proprietary and Confidential Page 60 Town of Los Gatos Investment Grade Audit S. ECM Summaries Introduction . SYSERCO Based on the investigation of the Investment Grade Audit, a number of Energy Conservation Measures, (ECMs), have been identified. ECM identification and selection is the result of Syserco Energy Solutions detailed review of the sites, in conjunction with the Town of Los Gatos building plans, specification, equipment arraignments and interviews with Town personnel. These ECM's are intended to improve the efficiency of the buildings through new equipment, repair, retrofit and reprogramming of the different systems in the buildings. Implementation of these ECM's will play a significant role in improving facility operations, decreasing utility cost and increasing occupant comfort levels in the buildings. A detailed scope of work is presented in the appendices. These proposed ECM's provide additional benefits including, but not limited to: • Energy and utility cost savings generated through ECM's, after any debt service, which will benefit the town for years to come • Help mitigate capital improvement needs • Improve occupant comfort within the buildings • Help to further protect the environment • Reduce the Town's carbon footprint The following descriptions go into the specific details about each ECM. Each description includes the existing and proposed conditions, design method, planned scope of work, measurement and verification and any operational and maintenance impacts. 1.01 Inte rate /O imize BMS to Alerton 206,578 4,1&1 $ 1.06 Install Controls 23,807 937 $5,541 $1,120 $6,661 2.03 Replace Split DX units for Server Rooms 5,822 0 $1,054 $o $1,054 2.05 Replace MAU on Roof 5,719 140 $1,170 $124 $1,294 2.06 Replace RTU on Roof 1,946 28 $457 $30 $487 2.07 Coil Protection 9,063 0 $1,998 $o $11998 2.09 Mech Shop Heater Re lacemem 0 69 $0 $87 $87 2.10 HVAC En r Off ice Replacement 4,219 265 $1,384 $332 $1,716 2.11 VFD & Damper on AHU -1S 59,117 1,823 $10,697 $1,996 $12,694 3.01 Li hti Efficient &Coat- Islrtstallation 274,934 0 $60,961 $0 $601961 3.03 Park &Parkin Lots -L' tin Efficie &ControlsU ade 78,637 0 $14,241 $0 $14241 7.01 1 Replace Door Sweeps and Seals 1,5561 I 298 $282 $326 $608 Total I 67L3771 7,7401 $135,3881 $8,6111 $143,999 September 2018 Proprietary and Confidential Page 61 Town of Los Gatos Investment Grade Audit ECM Section 5.1 - Controls ECM 1.01— Integrate / Optimize BMS to Alerton SYSERCO / ENERGY SOLUTIONS Existing Conditions The town has two buildings with existing BMS, Civic and Library. The Civic building has an original pneumatic control system, a Trane Tracer Summit system installed in the early 2000's and an Alerton system installed in 2014 when one wing was renovated. The Library has a new Trane Tracer Summit system that was installed when the building was built in 2014. All of the systems are operated and maintained by the town without a service contract. The systems in Civic are distinct and do not have any overlap, most of the systems operate around the clock with no schedules or setbacks. The library has a schedule but no setbacks implemented. This measure will remove the existing Trane Tracer Summit in the Civic building and replace it with Alterton controls and integrate into the existing front end. The central equipment that is pneumatically controlled will be converted to Alerton DDC while the zone level pneumatic controls will be retrofit with Cypress Technologies Wireless Pneumatic Thermostats (WPT). The Library BMS will remain intact but will be connected to the Alerton front end in the Civic building to receive commands and schedules there rather than the existing Tracer front end. This will integrate all building submeters into the BMS for reporting back to the facilities operators. Proposed Conditions The intent of this ECM is to install a new comprehensive building automation system for the Civic building and replace to the zone level thermostats with WPTs. This will include new building controllers, equipment controllers on all major equipment and new thermostats. The new technology will allow facility operators to more effectively control the building in real time as well as allow enhanced control of building systems as they are upgraded. The Library system will be integrated to the existing Alerton system and remain in place. Design Method Savings calculations are based on an excel bin models where improved control strategies are implemented. These strategies can include better scheduling reducing annual operational hours, better temperature resets and improved economizer control scheduling reducing the need for mechanical cooling. September 2018 Proprietary and Confidential Page 62 1h191.M WifiStlar f]- Ar -_`Atl rIOIECClNNa1ENV .. ��•�! su w IOCYWL T� 7 _ V, LY � Proposed Conditions The intent of this ECM is to install a new comprehensive building automation system for the Civic building and replace to the zone level thermostats with WPTs. This will include new building controllers, equipment controllers on all major equipment and new thermostats. The new technology will allow facility operators to more effectively control the building in real time as well as allow enhanced control of building systems as they are upgraded. The Library system will be integrated to the existing Alerton system and remain in place. Design Method Savings calculations are based on an excel bin models where improved control strategies are implemented. These strategies can include better scheduling reducing annual operational hours, better temperature resets and improved economizer control scheduling reducing the need for mechanical cooling. September 2018 Proprietary and Confidential Page 62 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS ECM Benefits New BMS software and hardware will allow greater control with dynamic operation for the building to realize savings through reduced run time and set points. Impacted Equipment Civic: Front end computer (1), AHLIs (4), chilled water pump (1), condenser water pump (1), chiller (1), cooling tower (1), heating hot water boiler (1), heating hot water pumps (2), Return /exhaust fans (4), zone thermostats (30), existing Alerton controls (1), building submeters (5) Library: existing Trane Tracer system (1) Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the BMS in the identified buildings. Maintenance on the new system should be on par with what is currently happening in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new BMS in the building. Overall the new BMS should keep the maintenance needs of the building down and more regularly scheduled. It is recommended that the Town implement a service contract to more effectively and efficiently maintain this system into the future. September 2018 Proprietary and Confidential Page 63 Town of Los Gatos Investment Grade Audit ECM 1.06— Install BMS in Buildings SYSERCO ENERGY S0LurION5 Existing Conditions The Police and Youth buildings all operate the HVAC equipment based on standalone thermostat control. There is no centralization or visibility of the operation and alarms for these buildings. This contributes to the equipment running continuously with little to no setbacks. The thermostats in the Police and Youth buildings are newer programmable thermostats, but data trending showed that the equipment was running over night, and in some cases that the fan was left on continuously. This all results in excessive energy use. Proposed Conditions The intent of this ECM is to install new BMS controls in the Police and Youth buildings to control the existing HVAC systems. These new controllers will be integrated into the upgraded BMS as part of ECM 1.01 and visible on the town wide control system at Civic. Design Method Savings calculations are based on an excel bin models where improved control strategies are implemented. These strategies can include better scheduling reducing annual operational hours, better temperature resets and improved economizer control scheduling reducing the need for mechanical cooling. ECM Benefits New BMS software and hardware will allow greater control with dynamic operation for the building to realize savings through reduced run time and set points. Impacted Equipment Police: (7) packaged RTUs Youth: (1) packaged RTUs, (2) FAF with DX Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the BMS in the identified buildings. Maintenance on the new system should be on par with what is currently happening in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new BMS in the building. Overall the new BMS should keep the maintenance needs of the building down and more regularly scheduled. It is recommended that the Town implement a service contract to more effectively and efficiently maintain this system into the future. September 2018 Proprietary and Confidential Page 64 Town of Los Gatos Investment Grade Audit ECM Section 5.2 — HVAC ECM 2.03 — Replace Split DX Units for Server Rooms SYSERCO ENERGY SOLMONS Existing Conditions The Civic building has two IT closets that serve the town IT network and the Police IT network. These units were installed in 1994 and are past the end of their useful life. The systems work but are running frequently. Proposed Conditions The intent of this ECM is to install new high efficiency split systems to cool the IT closets with minimum EER rating of 14. Design Method Savings calculations are based on Excel bin model where improved efficiency are implemented. ECM Benefits By installing a new high efficiency DX equipment a full maintenance cycle will be realized on the coolers and have better controls and operational efficiency resulting in energy savings. Impacted Equipment Civic: (2) DX air conditioners Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the cooling equipment. Maintenance on the new equipment will be comparable to the existing. New equipment installed will not need maintenance initially. September 2018 Proprietary and Confidential Page 65 t -_ i WN Proposed Conditions The intent of this ECM is to install new high efficiency split systems to cool the IT closets with minimum EER rating of 14. Design Method Savings calculations are based on Excel bin model where improved efficiency are implemented. ECM Benefits By installing a new high efficiency DX equipment a full maintenance cycle will be realized on the coolers and have better controls and operational efficiency resulting in energy savings. Impacted Equipment Civic: (2) DX air conditioners Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the cooling equipment. Maintenance on the new equipment will be comparable to the existing. New equipment installed will not need maintenance initially. September 2018 Proprietary and Confidential Page 65 Town of Los Gatos Investment Grade Audit ECM 2.05 — Replace MAU on Roof Existing Conditions SYSERCO ENERGY SOIYiIONS The existing 13 year old make up air unit (MAU) serving the upstairs offices at the Adult Rec building is aging and in poor condition. The unit doesn't keep the supplied spaces conditioned well. Additionally, the sleepers that the unit rests on are wooden and starting to show age. Proposed Conditions The intent of this ECM is to install a new MAU to serve the spaces. This unit will have new equipment and be integrated into ECM 1.06 for better control through scheduling, set points and air use. Design Method Savings calculations are based on an Excel bin model where improved efficiency and control strategies are implemented. These strategies can include better scheduling reducing annual operational hours and better temperature resets. ECM Benefits This measure will realize a full maintenance cycle on the MAU and improve the efficiency and operation of the system. Impacted Equipment Adult: (1) MAU Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the MAU. Maintenance on the new systems should be on par or less than what is currently installed in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new control strategies and maintenance operations. September 2018 Proprietary and Confidential Page 66 Town of Los Gatos Investment Grade Audit ECM 2.06 — Replace RTU on Roof SYSERCO ENERGY SOLUTIONS Existing Conditions The Youth Rec building has a packaged RTU utilizing natural gas for heat and DX for cooling. The unit was installed in 1990 and is past the end of its useful life and in poor condition. There are two residential style forced air furnaces with duct mounted DX coils for cooling. One of the systems has a condenser that was installed in 1993 and is in poor condition. The other was installed in 2014 and is in good condition. Proposed Conditions The intent of this ECM is to install new packaged RTU serving the main office with a new high efficiency unit. Also to replace the aged condenser unit on the FAF system with a new high efficiency unit. Design Method Savings calculations are based on an Excel bin model where improved cooling efficiency and control strategies are implemented. These strategies can include better scheduling reducing annual operational hours and better temperature resets. ECM Benefits This measure will realize a full maintenance cycle on the RTU and condenser systems and improve the efficiency and operation of the systems. Impacted Equipment Youth: (1) packaged RTU, (1) DX cooler Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the equipment. Maintenance on the new systems should be less than what is currently installed in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new control strategies and maintenance operations. September 2018 Proprietary and Confidential Page 67 i Ec ieunn a u� nli. i Yea a sn ao :ice rn.w ax .N wa e.e...w ve.weW Proposed Conditions The intent of this ECM is to install new packaged RTU serving the main office with a new high efficiency unit. Also to replace the aged condenser unit on the FAF system with a new high efficiency unit. Design Method Savings calculations are based on an Excel bin model where improved cooling efficiency and control strategies are implemented. These strategies can include better scheduling reducing annual operational hours and better temperature resets. ECM Benefits This measure will realize a full maintenance cycle on the RTU and condenser systems and improve the efficiency and operation of the systems. Impacted Equipment Youth: (1) packaged RTU, (1) DX cooler Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the equipment. Maintenance on the new systems should be less than what is currently installed in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new control strategies and maintenance operations. September 2018 Proprietary and Confidential Page 67 Town of Los Gatos Investment Grade Audit ECM 2.07 — DX Coil Protection — HVAC Armor SYSERCO ENERGY Existing Conditions The existing air cooled DX equipment at the Police and Adult buildings is relatively new, generally less than 10 years old and in good condition. However, as DX coils age there is both internal and external fouling that occurs resulting in reduced heat rejection and degraded performance. The existing coils are in fair to good condition but have bent fins and oxidation and debris build up. The interior surfaces of the coils will have become fouled by oil migration over time and made the filter /dryer significantly less efficient. L� Proposed Conditions This measure will deep clean the equipment, deep clean the DX coils and then repair any bent fins. Additionally, the filter /dryer will be replaced with new to improve internal performance. With the unit clean a solution of aluminum and UV stabilized polyurethane will be sprayed on all surfaces of the coil to protect the aluminum from further oxidation and degradation from UV rays. The aluminum will improve the heat transfer of the coil, improving the overall efficiency of the unit. Design Method Savings for this measure are based on improved conditions of interior and exterior heat transfer surfaces of the DX cooling system. Additionally, a polyurethane and aluminum exterior surface coating is applied to improve heat transfer and coil longevity. This results in improved heat transfer resulting in reduced energy consumption. ECM Benefits By cleaning and coating the DX coils further degradation of performance can be stalled while protecting the physical structure of the coil. This will defer capital costs, elongating the life of the equipment. Impacted Equipment Police: (7) packaged RTUs Adult: (1) air cooled chiller Operation & Maintenance Impacts By cleaning the DX coils a full round of operational cleaning will be realized on the equipment. By changing the filter /dryer in the refrigerant line a round of maintenance will be completed there as well. This will overall reduce operational costs of cleaning and maintain the DX coils while improving the efficiency of the equipment. Facility staff will be trained on the operations and maintenance of the new coatings. September 2018 Proprietary and Confidential Page 68 Town of Los Gatos Investment Grade Audit ECM 2.09 — Replace Mechanics Shop Heaters Existing Conditions SYSERCO ENERGY SOSRYIONS The Corp Yard has a mechanics shop that has two (2) original shop heaters installed. These heaters are past the end of their useful life and are in need of replacement. The heaters were stated to barely maintain temperature during the winter months in the shop. Proposed Conditions This measure will replace the existing Carrier heaters with a new radiant tube heating system with high IR reflective surfaces to heat the shop. The new heaters are more efficient than the existing systems and will provide a more comfortable and comprehensive heat to the occupants. Design Method Savings calculations are based on Excel bin model where improved efficiency are implemented. ECM Benefits By replacing the heaters with new more efficient heaters less energy will be used to heat the space as well as reducing the run time of the units. Impacted Equipment Corp Yard: (2) UH -1 & 2 Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the equipment. Maintenance on the new systems should be less than what is currently installed in the building. New equipment installed will not need maintenance initially. September 2018 Proprietary and Confidential Page 69 Town of Los Gatos Investment Grade Audit ECM 2.10 — HVAC Replacement in Engineering Office SYSERCO ENERGY SOLUTIONS Existing Conditions The Corp Yard currently houses the engineering office in a building served by a residential style forced air furnace with DX cooling. The FAF is physically installed in the mechanics shop and vapors from the shop tend to get entrained in the duct work. Efforts have been made to seal the duct work and unit to prevent the situation. The unit is in fair condition but nearing the end of its useful life. Proposed Conditions This measure will replace the existing FAF and DX unit with a new packaged gas RTU that will sit on the roof of the shop. This will remove the unit from the mechanics shop, removing the potential for vapor infiltration, free up storage space and improve the efficiency of the unit. The new RTU will sit on a new curb and sleeper system on the roof connecting it to the existing duct work. Design Method Savings calculations are based on an Excel bin model where improved cooling efficiency and control strategies are implemented. These strategies can include better scheduling reducing annual operational hours and better temperature resets. ECM Benefits This measure will realize a full maintenance cycle on the RTU and condenser systems and improve the efficiency and operation of the systems. Impacted Equipment Corp Yard: (1) FAF & DX unit Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the equipment. Maintenance on the new systems should be less than what is currently installed in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new control strategies and maintenance operations. September 2018 Proprietary and Confidential Page 70 M ; n b19EU SOW � .gym 6R� w�oeTnru�n°'�� r AI Lei tVtN ��Miw L ! \ Proposed Conditions This measure will replace the existing FAF and DX unit with a new packaged gas RTU that will sit on the roof of the shop. This will remove the unit from the mechanics shop, removing the potential for vapor infiltration, free up storage space and improve the efficiency of the unit. The new RTU will sit on a new curb and sleeper system on the roof connecting it to the existing duct work. Design Method Savings calculations are based on an Excel bin model where improved cooling efficiency and control strategies are implemented. These strategies can include better scheduling reducing annual operational hours and better temperature resets. ECM Benefits This measure will realize a full maintenance cycle on the RTU and condenser systems and improve the efficiency and operation of the systems. Impacted Equipment Corp Yard: (1) FAF & DX unit Operation & Maintenance Impacts This measure will result in a full maintenance cycle implemented on the equipment. Maintenance on the new systems should be less than what is currently installed in the building. New equipment installed will not need maintenance initially, while it will take some time to learn and implement the new control strategies and maintenance operations. September 2018 Proprietary and Confidential Page 70 Town of Los Gatos Investment Grade Audit ECM 2.11— Install VFD & Dampers on AHU -1S Existing Conditions SYSERCO ENERGY SOIYYIONS In the Civic building the existing AHU -15 serves both the original police wing and the council chambers and hallways. Originally two separate heating and ventilation units used to serve these different zones. When the two units were combined into a single unit a significant change in operation occurred. Now both zones served by the new unit were conditioned 24/7 due to the 911 dispatch center ventilation requirements. The full 12,000 CFM of the unit were constantly moving even when the building was unoccupied, with the exception of the 911 dispatch center. The fan in the unit is 15 HP and operates as a constant volume fan. Proposed Conditions This measure will install new custom dampers into the duct work in two locations to zone off the building. A damper for the council chambers and hallways will be installed and a damper down duct from the zones serving the 911 dispatch center will be installed to zone off the balance of the police wing. These dampers will be utilized to reduce air flow to the spaces when unoccupied or to turn the zones off when the building is shut down. The Police wing has a 24/7 public area that can receive visitors at any time of day. The control sequence for the different for each zone so that the air flow requirements are minimized during any given period of the day. The purpose of these dampers will be to install a VFD on the SAF of AHU -1S so that the fan speed can be reduced during both occupied and unoccupied times to match building load. Design Method Savings calculations are based on an Excel bin model where improved air flow and control strategies are implemented. These strategies can include VFD speed reductions, better scheduling reducing annual operational hours and better temperature resets. ECM Benefits By installing a VFD on the SAF it will be possible to reduce the fan speed when the building load is reduced. This will reduce the amount of heating and cooling water requirements as well as fan energy resulting in energy savings. Impacted Equipment Civic: AHU -1S SAF & associated duct work Operation & Maintenance Impacts This measure will increase the amount of equipment that needs to be maintained by the facility operators with the addition of a new VFD and (2) new dampers and actuators. Long term this will reduce the amount September 2018 Proprietary and Confidential Page 71 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLU11ON5 of wear and tear on the fan motor and associated equipment. Facility staff will be trained on the operations and maintenance of the new equipment. September 2018 Proprietary and Confidential Page 72 Town of Los Gatos Investment Grade Audit ECM Section 5.3 — Lighting ECM 3.01— Building Lighting Efficiency & Controls Upgrade Existing Conditions SYSERCO ENERGY SOLUTIONS The existing lighting systems in the buildings are mostly original to the construction and consists of linear T8 fluorescent tubes, recessed can lights with 2 and 3 lamp CFL pin lamps and a mix of accent lighting. Some spaces in various buildings have been converted to LED. The Library was most recently constructed and has the majority of the lighting systems as LED already. Proposed Conditions The intent of this ECM is to install new LED lamps, drivers and fixtures were identified in the line by line audit. Additional controls will be installed to help reduce lighting burn hours as identified in the audit. Design Method Savings calculations are based on Excel spreadsheet calculations. Savings are based on reduced lighting wattage per lamp and fixture and reduced burn hours where controls are installed. Annual burn hours are stipulated based on conversations with the facility operations personnel. ECM Benefits By replacing the exiting lighting systems with LED a full round of maintenance will be realized as well as longer lamp life with reduced energy consumption and increased light production. Impacted Equipment Lighting systems identified in the line by line audit Operation & Maintenance Impacts This measure will result in a full maintenance cycle on the lighting systems of the building as identified in the lighting audit. The new lighting will have a significantly longer life resulting in reduced manpower utilization for lighting maintenance. New systems will require less maintenance than existing systems. September 2018 Proprietary and Confidential Page 73 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY 30lUS10NS ECM 3.02 — Parking Lots & Parks Lighting Efficiency & Controls Upgrade Existing Conditions The existing lighting systems in the parking lots, parking garage, park pathway and park buildings is HPS, MH, linear fluorescent T8, compact fluorescent pin lamps and induction lamps. These lamps are a range of different efficiencies depending on the specific technology utilized. The most efficient are the induction lamps. However, current LED technology is more efficient at illuminating spaces. Proposed Conditions The intent of this ECM is to install new LED lamps, drivers and fixtures were identified in the line by line audit. Additional controls will be installed to help reduce lighting burn hours as identified in the audit. Design Method Savings calculations are based on Excel spreadsheet calculations. Savings are based on reduced lighting wattage per lamp and fixture and reduced burn hours where controls are installed. Annual burn hours are stipulated based on conversations with the facility operations personnel. ECM Benefits By replacing the exiting lighting systems with LED a full round of maintenance will be realized as well as longer lamp life with reduced energy consumption and increased light production. Impacted Equipment Lighting systems identified in the line by line audit Operation & Maintenance impacts This measure will result in a full maintenance cycle on the lighting systems of the building as identified in the lighting audit. The new lighting will have a significantly longer life resulting in reduced manpower utilization for lighting maintenance. New systems will require less maintenance than existing systems. September 2018 Proprietary and Confidential Page 74 Town of Los Gatos Investment Grade Audit ECM Section 5.4 - Envelope ECM 7.01— Repair / Replace Door Sweeps and Seals Existing Conditions SYSERCO ENERGY SOLUTIONS The exterior doors have missing or damaged door sweeps and seals. This allows for air, water and pest infiltration to the building. This results in higher HVAC loads throughout the year. With higher outside temperatures this results in cool conditioned air leaking outside increasing the cooling load. With lower outside temperatures this results in cool drafts enteringthe building increasingthe heating load. Both result in higher energy use to condition the spaces. }ice' Proposed Conditions The intent of this ECM is to install new door sweeps and seals around the exterior door perimeters to improve the seals of the doors and prevent infiltration of outside air, water and pests. This will result in lower energy use to condition the spaces and improve occupant comfort. Design Method Savings calculations are based on Excel spreadsheet calculations. Savings are based on reduced natural gas use to heat the spaces and reduced electrical load to cool the spaces. ECM Benefits Reduced infiltration and conditioned air migration will reduce the amount of energy needed to condition the occupied spaces. Impacted Equipment Exterior doors for all buildings Operation & Maintenance Impacts This measure will realize a full round of maintenance on the exterior door sweeps and seals. Attic stock will be provided as these seals wear down over time. No new maintenance will be required outside of current practices. September 2018 Proprietary and Confidential Page 75 Town of Los Gatos Investment Grade Audit SYSERCO ENERGY SOLUTIONS ECM's Investigated but Not High Priority During the course of the IGA audit every potential ECM was identified and investigated. However, not every identified ECM is as high a priority for the building or there is not sufficient funding available to implement every ECM. These ECM's have merit in their own right but have not been included in the final IGA project scope for a specific reason. Should the Town of Los Gatos want to pursue these measures in the future Syserco Energy Solutions would be happy to complete the development and implementation of ECM's should situations change. 1— Controls 2 — HVAC 2 — HVAC 2 — HVAC 3 — Lighting 6 — Electrical Install new programmable thermostats for standalone equipment Install VFD on the existing HHW pump system to vary the flow rate of water. Install new cogged V- belts on belt driven equipment. Add new dedicated HVAC system for 911 dispatch center in order to completely turn off AHU -1S Retrofit existing street lighting system with new dimmable controls Replace existing power transformers with new high efficiency ones The customer elected to install building wide BMS negating this measure. Capital cost to replace existing reheat CVs with new DDC and re -pipe to 2 way was cost prohibitive for the savings generated. A majority of the large equipment has been converted already, only minor savings to be realized for measure. Customer will replace as part of regular maintenance. This is operationally less desirable than installing a VFD on AHU -1S This would take too long to develop for the schedule of this project, additionally, the political will to implement was not identified as positive at the time of development Upon deeper investigation it was concluded that there were no viable September 2018 Proprietary and Confidential Page 76 Town of Los Gatos Investment Grade Audit 6 — Electrical 4 — Water 7 — Envelope 8 — Plug Load Management replace the existing electric block heater for generator with new heat pump system to elongate life of heater and reduce energy consumption Upgrade existing water consumption devices with low flow fixtures and aerators. Install window film to reduce heat gain and glare Implement an IT level software system to monitor and turn off computer, printers and peripheral equipment to save energy. SYSERCO ENERGY SOLUTIONS transformers to be retrofit this was removed from the project due to unfavorable economics Water conservation measures are not eligible for PG &E CBF_NI funding and are removed from this project. Upon detailed investigation there was too much shade over windows, reducing the savings potential. After initial interest by the IT Department, it was determined that this would place too much burden on the team to support and implement September 2018 Proprietary and Confidential Page 77 Town of Los Gatos Investment Grade Audit �•J On -Bill Financing — Non - Incentive Path SYSERCO INERGY SOi� /iOrv3 September 2018 Proprietary and Confidential Page 78 Town of Los Gatos Investment Grade Audit 6. On -Bill Financing — Non - Incentive Path SYSERCO ENERGY SOIufIo NS Capital Improvement Plan (CIP) projects that integrate energy efficiency and conservation strategies present unique opportunities for local governments to extend the useful life of community facilities and reduce ongoing operating costs. A program that is in place from PG &E is the On -Bill Financing — Non - Incentive Path (OBF_NI) financing vehicle. In short, this is a revolving line of credit that the customer can leverage to implement energy efficiency projects, which include measures that may not qualify for incentive based programs The specific strategies recommended herein comprise a comprehensive portfolio intended to improve building operations to modern performance standards. As a way to reduce "out of pocket" funding for the projects, Los Gatos intends to seek funding for the project from PG &E's OBF_NI program. As a customer of PG &E, Los Gatos is positioned to draw up to $4M of funding from the program for energy efficiency projects such as the one laid out in this IGA report. The Town of Los Gatos is working closely with PG &E, Syserco Energy Solutions and ARUP to meet the OBF_NI program requirements to ensure project eligibility and ultimately a significant amount of funding. September 2018 Proprietary and Confidential Page 79 Town of Los Gatos S' SYSERCO Investment Grade Audit \_� eHexc.r sc orio s Implementation & Verification Plans September 2018 Proprietary and Confidential Page 80 Town of Los Gatos Investment Grade Audit 7. Implementation & Verification Plans SYSERCO ENERGY SOIYIIONS The requirements for qualification for OBF_NI financing reside within the Investor Confidence Project (ICP) protocols. An Operational Performance Verification (OPV), Measurement & Verification (M &V) and Operation & Maintenance (O &M) plan is required for each ECM that is part of the Los Gatos' Project. The OPV plan will be implemented at the time of implementation for each ECM. The M &V plan methodology will be utilized for the duration of the OBF_NI financing period. Syserco Energy Solutions shall perform one (1) year of Measurement and Verification Services, which is included in this proposal. Additional Ongoing Services for M &V work beyond year 1 is not included in this proposal and will be contracted under a separate Service Agreement. The O &M plan will be included in any training and documentation provided to Los Gatos as part of the project close out. The Town of Los Gatos will be responsible for the ongoing maintenance and operation of the new equipment. In order to provide the Owner and PG &E with proof of installation of the scope of work, SES will provide the following for each ECM: pre and post pictures of equipment, bill of lading of equipment, training materials, O &M manuals and as built audits and drawings. 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O d w $. o d # a w C (D r N O N S 0 O D M n K u < (1 �• m (D °n' m 7 1 K N ON) C 0 w N G w T(a CL ti o -0 O x m M N O 0 V =4 <_. c n o <. < =' c a '~ w w m vi �c N •Cp m N 'r o rD w ,�, in O rD w v, 3 o_ w w N u w m c� v w m 3 m K I < M Q d. w o c C m a N o c R° < 'D CD 0 w '^ w o w a n d aq an o w 0 n a0 ' C N w N C O (a < w o N n 7 an CL O N O a 0 0 O O Cl. f. °o c 0 �. M F. D o X� m au E, .o a 'm o- - m 3 (00 3. v m 3 c F O< Imo+ 3 c f 3 M °;, ° F 3 a o m o ":, v N a m X °o m°° N d a �. O M a o m a, s' . a w c 1 an° y 3' =' .a w m rho o fD c� Q n o o m o -a m o < w CD 0 >>@ o. m o CL < �. -o 'o o a m �. w(D a m o �, w 0 K ° 3 (° o u, .° 03, M o o v Q ° Q 3 m a (^c N 00 7 + n C `� O O O Q0 w O w O O F w 0 7 f<D 3 O (D � r .+ O G) d w a m 0 D C CL c H oM =0 Town of Los Gatos Investment Grade Audit Construction Schedule SYSERCO ENERGY SOLUTIONS September 2018 Proprietary and Confidential Page 86 Town of Los Gatos Investment Grade Audit 8. Construction Schedule SYSERCO ENERGY 501UTION5 The construction period of the project will be finalized once all parties are under contract. The schedule shown below is the initial estimate of when different ECM's will be started and completed. This schedule will be confirmed and coordinated with the appropriate facilities personnel and spaces to minimize interruptions to work and utilities while minimizing overtime and labor costs. Contract signed — day 0, based on October 2, 2018 Subcontracts— 1 -2 week Material lead, engineering, permits, submittal approvals -10 -14 weeks Construction once material on site — 24 weeks Barring any major unforeseen conditions Time for permit pulls Total time 9 months from contract The following page is a projected construction schedule. September 2018 Proprietary and Confidential Page 87 Exhibit B — Project Schedule p M w N ti ti M w H ti H n b\ m N H \ « ti ;z ;4 �l ;4 "7 ;4 « g O > ] O ] ] ] > ] > ] ] ] ] > > > E O O i f f E r F E r f ti` r LL LL LL r r i r r E 3 f i pp �O i p 9 N p g p W 9 9 9 C p 9 9 9 p p O 9 9 9 9 9 9 L p 9 C O � G D U q O Y Y N S tF E P p 'c N g P m o 3 P u >^ d a S 'm Q c ..4 � i ggW m w a o n o u° O° e`o E n a :: u g 'B m a= o s c 1 << p o E °. 0 d s u m E m a s W \ 3 rc c¢ S W 5 a c > o n a O A _ u pF YG Y — tqi Y A q o v Q ppQ ] Y o £i o e a m p c ji 0 l rc a u y o 0 0 0� W o 0 0 0 0 0 0 o cW o 0 tI V Y N W W CO m> Y p Cp m f C O 0 y N N N N N N ei N IV N p C 'i N e� ti ti � T T MI T T T fYl 1.'1 LL 2 _M ry' Z � O UCC 6 �rrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrrr M Exhibit C — Payment Schedule C N T ti Q Q) LL H O H Q y U � p LL � Q Z 3 0 Y C Q Y U C O U Rl Vffl. E O 00 • O C O O O C O 0 O (p N N H O H Q y U � p LL � Q Z 3 0 Y C Q Y U C O U Rl Vffl. 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E 00 0 N u pp O > U C O m a m o F Town of Los Gatos Energy Services Proposal SYSERCO ENERGY SOLUTIONS Energy Services Proposa Exhibit D Prepared for the Town of Los Gatos, CA SYSERCO ENE9GY SOl11iiON5 Date Submitted: September 7, 2018 Presented by: Chad Olsen, PE, CEM Gabe Johnson Doc Revision: R02.1 September 2018 Proprietary and Confidential Town of Los Gatos Energy Services Proposal Table of Contents ¢m_ , SYSERCO / ENERGY SOLUTIONS SECTION 0 — EXECUTIVE SUMMARY ........................................................ ............................... 2 SECTION I — INTRODUCTION ................................................................... ............................... 4 1.1 TEAM EFFORT ............................................................................................. ..............................4 1.2 APPROACH ................................................................................................. ..............................4 SECTION 2 — SCOPE OF WORK ................................................................. ............................... 5 2.1 ENERGY CONSERVATION MEASURE (ECM) SUMMARY ................................. ..............................5 2.2 ENERGY SERVICES ............................ 2.3 CLARIFICATIONS & EXCLUSIONS....... 2.4 EXTENT OF SUBCONTRACTING ......... t�y;i;L�al�y>EY�1;14111 i�!!11!!IQl1111l1l11�1l11lI ................................ ..............................5 ................................ ..............................7 ........7 ............................................. ..............................8 2.6 ECM DESCRIPTIONS & DETAILED SCOPE OF WORK ....................................... ..............................8 SECTION 3 — ENERGY COST SAVINGS ..................................................... ............................... 24 3.1 IMPLEMENTATION & VERIFICATION PLANS ................................................ .............................24 SECTION 4 — PROJECT FINANCIALS ........................................................ ............................... 29 11 1 f 99 I� Ti L a i 74 7 7 Ci T aZ L i i 4.2 ITEMS INCLUDED IN PROJECT COST.. 4.3 ONGOING SERVICES ......................... 4.4 SES COMPENSATION ........................ 4.5 TERMS AND CONDITIONS....... ....................................................... ............................... 29 ......................................................... .............................29 ......................................................... .............................30 1f . .............................30 September 2018 Proprietary and Confidential Page 1 S' SYSERCO Town of Los Gatos ` ENERGY SOtUilONS Energy Services Proposal SECTION 0 - EXECUTIVE SUMMARY The Town of Los Gatos selected Syserco Energy Solutions as its Design -Build Contractor for Town -wide Energy Efficiency Upgrades via a competitive RFQ. The process of developing the Energy Conservation Measures for the Town involved performing an Investment Grade Audit (IGA) of the Town's facilities. The IGA established a historical energy baseline and identified facility improvement / energy conservation measures (ECMs) and incorporates the main needs of the Town's Facilities team. The main goal of this Project is to replace the existing building management systems (BMS) in the Civic, Police and Library buildings and integrate the new BIAS systems with the City's existing system while maximizing funding from PG &E's On -Bill Financing program. The following two tables show the existing utility and cost consumption of Los Gatos and the proposed savings from the project and the associated impact to the end use consumption. 2017 Actual Elect Use Civic 756,122 POLICE LIBRARY ADULT YOUTH 54,216 CORP YARD 156,838 PARK PARKING TOTAL 1,906,091 UNITS kWh/r 198,023 425,354 140;321 2017 Actual Gas Use 28,502 351,811 2,921 92,321 3,127 31,219 5,483 50,647 1,385 25,023 3,384 41,739 48,381 30,139- 44,602 67L377 therms /yr kWh/ r f661 Electrical Savings Savings from Lighting 93,509 67,820 16,448 41,075 18,561 37,520 48,381 30,235 353,550 kWh/ r Savings from HVAC 64,939 5,210 0 9,572 1,946 4,219 0 0 85,886 kWh r Savings from Balance 193,363 19,291 14,771 0 4,516 0 0 0 231,941 kWh/ r Tq Savings from HVAC 1,823 710 0 140 0 140 140 255 28 334 334 0 0 0 _.. 77 2,325 therms /yr therms/ r Savings from DHW 0 0 0 01 0 0 0 0 0 therms/ r ISavings from Balance 4,338 710 140 01 227 01 0 0 5,415 therms/ r Pro sed Elec Use 0 404,311 0 103,702 0 394,135 01 89,674 0 29,193 0 115,099 0 75,034 0 23,567 0 1,234,714 CCF r kWh/ r Proposed Gas USe 22,341 2,211 2,987 5,343 930 3,050 0 0 36,862 therms/ r Pro sed Elec Savin % 46.5% 47.1% 7.3% 36.1% 46.2% 26.6% 39.2%1 56.2% 35.2% Pro sed Gas Savi % 21.6% 24.3% 4.5% 2.6%1 21.5% 9.9% 0.()%l 0.0% 17.4% Civic 2017 Actual Elect Use 2017 Actual Gas Use POLICE LIBRARY ADULT YOUTH CORP-YARD1 PARK I PARKING TOTAL $381,097 $49,015 UNfTS $/ r $/ r Total Electrica $63,662 Total Gas Sa ' - $6,747 Total Utility $21,442 $877 56,122 .,$121 $10,358 $124 $10,482 $5,877 $274 $6,351 $13,687 $419 $14,106 $8,736 $0 $8,736 $5,505 $0 $5,505 $135,388 $8,611 $ /yr $/ r $/ r $143,999 Proposed Elec Use $73,161 $24,138 $77,284 $18,339 $6,856 $28,092 $13,549 $4,291 $245,709 $/ r Proposed Gas Use $24 66 $2,730 $3,646 $4,739 $999 $3,824 $0 $0 $40,403 $/ r Proposed Elec Savin % 46.5% 47.0% 7.3% 36.1% 46.2% 32.8% 39.2% 56.2% 35.5% Proposed Gas Savings% 21.6% 24.3% 4.5% 2.6% 21.5%1 9.9% 0.0% 0.0%1 17.6% Actual Annual Utility Cost $168,036 $49,1861 $87,222 $33559 $14,006 $46A22 $22,265 $9,7% $/yr Est Annual Cost Savings $70,409 $22,319 $6,293 $10,482 $6,151 $14,106 $8,736 $5,505 $143,999 $/ r Est Annual Savings % 41.9% 45.4% 7.2% 31.2%1 43.9%1 30.7%1 39.2% 56.2% 33.5% In summary, the proposed Project will result in 35.2% electricity and 17.4% gas savings for the Town of Los Gatos. The $143,999 annual cost savings will be used to fund the PG &E On -Bill Financing for the facility improvement measures. September 2018 Proprietary and Confidential Page 2 Town of Los Gatos I SYS E RCO / ENERGY SOLUTIONS Energy Services Proposal \v/ The following table is the firm -fixed Project Cost and estimated OBF_NI funding and the estimated net project cost to the Town of Los Gatos. Project Cost $1,664,358 Estimated OBF_NI Funding $1,439,995 Est On BNI Financing ($) $421,997 87% of Project Cost Estimated Net Cost to the Town of Los Gatos $224,363 (paid using approved CIP Funds) $135,946 The following table is the ECM break down of Total Cost Savings, ECM Price, Simple Payback, the Estimated OBF Financing amount and Estimated Emission Savings. Rol te rate / Optimize EMS to Alerton Total COSt $42,200 ECM Price $472,100 Est On BNI Financing ($) $421,997 22 1.06 Install Controls $6,661 $135,946 $66,615 5 2.03 Replace Split DX units for Server Rooms 51,054 $73,275 $10,535 0 2.05 Replace MAU on Roof $1,294 $73,972 $12,937 1 2.06 Replace RTU on Roof $487 $100,142 $4,871 0 2.07 Coil Protection $1,998 $18,319 $19,980 0 2.09 Mech Shop Heater Replacement $87 $32,276 $865 0 2.10 HVAC En r Office Replacement $1,716 $117,326 $17,158 1 2.11 VFD &Damper on AHU -1S $12,694 $18,668 $126,938 10 3.01 Lighting Efficiency& Controls Installation $60,961 $516,837 $609,608 0 3.03 Park &Parkin Lots - Li tin Efficient &Controls Upgrade $14,241 $98,344 $142,410 0 7.01 Replace Door Sweeps and Seals $608 $7,153 $6,079 2 Total $143,999 $1664,358 $1,439,995 41 September 2018 Proprietary and Confidential Page 3 S' SYSERCO Town Of Los Gatos ` SYS soiurioNe Energy Services Proposal SECTION 1 -INTRODUCTION Syserco's Energy Solutions group (SES) is pleased to present this Energy Services Proposal (ESP) to the Town of Los Gatos (Los Gatos) for the purpose of implementing the recommended Energy Conservation Measures (ECMs) included in the final Investment Grade Audit (IGA) at Los Gatos' various facilities. The intent of this proposal is to detail the Scope of Work, Project Cost and PG &E On -Bill Financing amount and energy savings that will result from the implementation of the identified ECMs. On the basis of these projections, SES will update existing systems, improve occupant comfort and reduce utility consumption. The Town of Los Gatos will also realize maintenance and operational cost savings as a result of this work, though these additional savings are not quantified herein. This Proposal marks the culmination of a detailed energy and operational audit of Los Gatos' facilities, during which resource consuming systems and equipment were analyzed to understand the potential for energy savings. To develop the recommended project, experienced Energy Engineers, Project Managers and Project Developers from SES have assessed and analyzed energy efficiency opportunities. Syserco Energy Solutions has investigated multiple means for accomplishing this goal, including retrofitting equipment or installation of new devices and /or employing enhanced strategies to improve operational efficiency. 1.1 TEAM EFFORT Syserco Energy Solutions would like to thank members of Los Gatos' staff and facilities personnel who worked closely with our team throughout this process. Without their assistance, this project would not have been possible. 1.2 APPROACH The IGA process involved numerous site visits, interaction with Los Gatos management and facilities staff, as well as a detailed analysis of existing equipment and systems, current utility consumption and any available logs and profiles of equipment. Studies of the energy usage, operating conditions and interviews with facility personnel were valuable sources of information that contributed greatly to this effort. Syserco Energy Solutions has taken into consideration the input provided and has integrated the various infrastructure needs of the Town of Los Gatos through the proposed ECMs. September 2018 Proprietary and Confidential Page 4 Town of Los Gatos Energy Services Proposal SECTION 2 - SCOPE OF WORK SYSERCO ENERGY SOLUTIONS 2.1 ENERGY CONSERVATION MEASURE (ECM) SUMMARY For the detailed scope of work descriptions please refer to the "2.6 ECM DESCRIPTIONS & DETAILED SCOPES OF WORK" section. The following table shows the description of each Energy Conservation Measures (ECMs), energy savings, cost savings and the total cost for each ECM. 1.01 ntWate /O 'n EMS to Merton Fnar8e5avirys 206,578 Savis 4,180 El" Coo $37,605 GnCog $4,5% Toni cog $42,800 �R $472,100 1.06 Install comrols Z3,BW 937 $5,541 $1,120 $6,661 $135,946 2.03 Re hce t DX wits for Server Rooms 5,822 0 $1,054 $0 $1,054 $73,275 2.05 Replace MAU On Roof 5,719 140 $1,170 $124 $1,294 $73,972 2.06 Replace RTU on Roof 1,946 28 $457 $30 $487 $100,142 2.07 CollRrotection 9,063 0 $1,998 $0 $1,998 $18,319 2.09 Mech Shop Heater Re cement 01 691 Sol U71 $87 $32,276 2.10 WAC EnEr Office Re lacem nt 4.2191 2651 S1,3841 $332 S1.7161 $117,326 211 VFD &Da on AHU -1S 59,117 1,8231 $10,697 $ $12,694 $18668 3.01 Lighting Effkienc &COntroklrstalWtion 214,934 0 $60, %1 $0 $60,961 $516,837 3.03 Parka Rarkl Lots- I ENkk &COmroIsU a4 78,817 0 $14,241 $0 $14,241 $98,341 7.01 Re ace DOOr Saree and Seals 1,556 298 $282 $326 $608 $7,153 Total -- 671,377 7740 I S"11111111 $8,611 $7/3,999 $1,664,358 Projected energy reduction and cost avoidance figures are estimated based upon existing building occupancy, operation and stipulated assumptions of performance. All calculations are based upon industry best practices and methodologies. The PG &E On -Bill Financing Non - Incentive (OBF_NI) program requires the review and approval of this project by a Qualified Reviewer in order to receive funding. PG &E currently utilizes ARUP as this 3rd party reviewer to minimize savings risk to all parties. Actual consumption and cost reductions may vary from values shown and are not guaranteed under this contract. 2.2 ENERGY SERVICES SES will include the following services related to this project: 1. ENERGY AUDIT: The energy audit is complete and has been reviewed and submitted separately as the final -'ToLG IGA R01.3 dated 6/7/18" 2. DESIGN SERVICES: SES will provide a detailed mechanical engineering design as needed to obtain Los Gatos' review and approval. In addition, SES will also provide Project / Construction management services, start-up, testing, as -built drawings of systems designed, and provide relevant operations and maintenance manuals. 3. CONSTRUCTION: Provide, or cause to be provided, all material, labor, and equipment, including paying for permits, fees, bonds, and insurance, as required for complete working installation of the proposed equipment. a. SES will provide a Site Superintendent who will be responsible for the onsite supervision and coordination of trades and subcontractors. This individual's responsibilities will include regular work observations, quality control, enforcement of site specific safety plan, as well as coordinating any impact upon building occupants with the Owner. September 2018 Proprietary and Confidential Page 5 Town of Los Gatos SYSERCO ENERGY SOLUTIONS Energy Services Proposal b. SES may perform portions of the contract work or may subcontract portions to qualified firms. c. When SES has completed the installation of the equipment, including start-up, operations verification, and training in accordance with the proposal, SES will provide to Owner a "Notice of Commencement of Energy Savings". d. At the conclusion of the project, SES will submit a "Notice of Substantial Completion" to the Owner. 4. CONSTRUCTION MANAGEMENT: SES will provide an experienced Construction Manager who will provide contract administration services for the Project. The Owner is expected to coordinate day - to -day communications with tenants and any scheduling of tenant relocations in and around occupied areas. S. OPERATION TRAINING: SES will provide on -going training of building staff during the construction and close out period. In addition to this, the manufacturer recommended training for all new and upgraded systems will be provided upon completion. 6. WARRANTY: SES will warrant equipment and workmanship for (1) year following Notice of Substantial Completion. Specific information regarding equipment warranties will be passed on to Owner. 7. EQUIPMENT MAINTENANCE: SES will provide no equipment maintenance or repairs after the warranty period. Following the completion of the installation and Owner acceptance of the equipment, the Owner shall provide all necessary service, repairs, and adjustments to the equipment so that the equipment will perform in the manner and to the extent set forth in the proposal. SES shall have no obligation to service or maintain the equipment after the warranty period. 8. HAZARDOUS WASTE: The Work and Services expressly exclude any work of any nature associated or connected with the identification, abatement, cleanup, control, removal, or disposal of hazardous materials or substances, including but not limited to asbestos, lead, or PCBs. As of the Effective Date, Customer represents that, to the best of its knowledge, there is no hazardous material on the premises that may in any way relate to the Work or affect the ability of SES to deliver the Work or Services. Prior to the Commencement Date, Customer shall provide to SES a comprehensive good faith survey that at a minimum complies with applicable regulatory requirements, and identifies all actual or suspected hazardous materials, quantities, and specific locations of such materials on the premises. Failure to timely provide such good faith survey shall result in an equitable adjustment to Time. If SES becomes aware of or suspects the presence of hazardous materials on the premises during the Work or Services, SES shall notify Customer. Customer shall investigate and correct the suspected hazardous materials in accordance with all applicable laws. SES shall have the right to stop work in the affected area until the suspected hazardous materials are investigated and remediated by Customer, and the Time shall be equitably adjusted relative to the duration of Customer's investigation and remediation of the suspected hazardous materials. September 2018 Proprietary and Confidential Page 6 Town of Los Gatos Energy Services Pr 2.3 CLARIFICATIONS & EXCLUSIONS 2.3.1 CLARIFICATIONS SYSERCO ENERGY SOLUTIONS • All work to be performed during regular work ours with the exception of lighting in occupied work areas, which work will be performed after work hours (after 6:00 PM) on week days. • All field craft labor will comply with prevailing wage requirements and current California DIR. • All existing field sensors, valves, actuators, conduit and wiring will be re -used. • Town of Los Gatos to provide all required static IP addresses and Ethernet drops for equipment. • It is assumed that all existing Library building management system controls are in good working condition and BACnet protocol is available. • All structural engineering related to the support of mechanical equipment as identified is included, all other structural work is excluded. • It is assumed that the Owner will provide a laydown and storage area during the construction period. • All existing curbs for rooftop equipment and support structures are assumed to be in good condition and are structurally adequate. • All permit drawings, Title 24 forms and permit fees required for the execution of the work are included. • It is assumed that the existing piping isolation valves are working in good order and are not leaking. • It is assumed that Los Gatos will provide electrical power to operate electrical construction tools and equipment. • Proposal is based on reusing existing electrical circuits unless specifically stated. • Assumes proper grounding exists for all electrical equipment. • Testing and Balancing for replaced equipment is included, all other is excluded. • Pricing is based on a single phase project, multiple phases or extensions to schedule may constitute a change in scope • A one year warranty from date of measure acceptance is included. 2.3.2 EXCLUSIONS • Replacement of isolation valves is excluded. • Temporary heating, cooling, fans and domestic water are excluded. • Pressure testing of existing piping is excluded. • Any repair work for existing systems is to be excluded, all existing equipment is assumed to be in good working order. • Work or other performance requirements shown in any other documents not stated in this proposal. • Fire and life safety system programming or related work associated with the Work. • Repairs or modifications to existing electrical, mechanical, controls, structural or other systems code violations unless specifically stated. 2.4 EXTENT OF SUBCONTRACTING Syserco's Energy Solutions group may subcontract portions of the final M /E /P design, equipment installation, start-up, and training of this contract to qualified firms upon review and approval by Owner. September 2018 Proprietary and Confidential Page 7 Town of Los Gatos Energy Services Proposal 2.5 PROJECT SCHEDULE SYSERCO ENERGY SOLUTIONS A proposed project schedule is included in Exhibit B. Final Construction Schedule start date shall be based upon execution of Contract as the predecessor milestone. Excluding holidays, owner directed work stoppages and weather events, overall schedule duration is as per schedule in Exhibit B. 2.6 ECM DESCRIPTIONS & DETAILED SCOPE OF WORK 2.6.1 INTRODUCTION Based upon the investigation of the IGA, a number of Energy Conservation Measures (ECMs) have been identified to meet the specific needs of the facility. ECM identification and selection is the result of SES detailed review of the sites, in conjunction with Los Gatos building plans, specification, equipment arraignments and interviews with personnel. These ECMs are intended to improve the efficiency of the buildings through new equipment, repair, retrofit and reprogramming of the different systems in the buildings. The following are the detailed description of each proposed ECM. Each description includes the existing and proposed conditions, design method, planned scope of work, measurement and verification and any operation and maintenance impacts. 2.6.2 DETAILED SCOPE OF WORK 1.0 — Controls ECM's ECM 1.01— Integrate / Optimize BMS to Alerton General Intent In the Civic buildingthere is a mix ofexisting building management systems including Alerton, Trane Summit and pneumatic. The Alerton system was installed in the renovation of the museum wing. Trane is used to control two air handlers, the chiller, cooling tower, boiler and pumps. The pneumatic system is used to control all of the reheat zones and one air handler. The intent of this measure is to remove the existing Trane system and install new Alerton controls on the central equipment. The existing pneumatic system will remain in place down to the zone level. The pneumatically controlled air handler will be converted to Alerton and the zone thermostats will be retrofit with Cypress wireless pneumatic thermostats. This will include the integration of building level submeters. In the Library building there is a comprehensive Trane Summit system installed and operating the building. This system will remain in place. The front end of the Summit will be integrated into the expanded Alerton system at the Civic building to provide unified building control and visibility under one system. This will include the integration of building submeters. ECM Benefits New BMS software and hardware will allow greater control with dynamic operation for the buildings to realize savings through reduced run time and optimized set points. Impacted Equipment Civic: (4) AHU's, (1) chiller, (1) cooling tower, (1) boiler, (4) pumps, (5) building submeters, (30) zone level thermostats Library: (1) front end, (1) building submeter system, all HVAC equipment September 2018 Proprietary and Confidential Page 8 Town of Los Gatos SYS E RCO / ENERGY SOLUTIONS Energy Services Proposal ��`/// Mechanical • Civic • Install new DDC 2W control valve on AHU -2 serving the Police expansion, valve provided by controls contractor • Install (2) new BTU flow meters on HHW & CHW lines going to Museum wing, meters provided by controls contractor • Install (1) new domestic cold water meter on line going to Museum wing, meter provided by controls contractor o Include any piping modifications needed to provide turnkey installation • Library o No scope • Provide and install all needed piping, valving, insulation and fittings as needed to provide complete turnkey installation • All piping, fittings, pumps and valves must be insulated in accordance with Title 24 requirements • Coordinate any sensor well /access points with controls contractor • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Controls • Civic • Provide and install Compass v1.5.1 (or better) control software with ability to operate the proposed expanded control system across the town ■ Buildings included: Civic Center, Library, Adult Rec, Youth Rec, Police Operations Building • Set equipment schedules and set points • Typical schedule • Weekdays • Weekends • Holidays • Special Spaces ■ Town to have final approval of all schedules ■ Set cooling to 72 -74F +2 / -1F ■ Set heating to 68 +2 / -1F • Provide sequence of operation and implement for all equipment in written and soft form • Remove and replace existing Trane Summit control system with new Alerton components • Provide and integrate (1) new 2W control valve for AHU -2 • Provide and integrate (2) new BTU meters for HHW & CHW lines feeding the Museum wing • Provide and integrate (1) new domestic cold water meter feeding the Museum wing • Provide and integrate (2) new electric meters to submeter the electrical systems feeding the Museum wing • Library • Provide and integrate communications card for existing Cyberhawk submeter system to communicate to BMS • Provide and integrate needed controls equipment to communicate with existing Trane Summit system in building • Set up trends for all submeters on 15 min interval September 2018 Proprietary and Confidential Page 9 Town of Los Gatos Energy Services Proposal 8 SYSERCO ENERGY SOLUTIONS • Reference Syserco Controls Points list • Implement optimized AHU /RTU economizer control • Provide number and location of Ethernet drops required • Provide control drawings for proposed building management system • Provide controls points list summary • Provide and install programing and graphics for building in existing BMS • Provide necessary engineering and project management for complete turnkey system • Provide cut sheets /submittal package and O &M manual • Provide owner /operator training, includes 2 seats at Syserco Training Center — Compass Operator seminar and 9 hrs of on site training Commissioning • This measure requires that the controls contractor be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) September 2018 Proprietary and Confidential Page 10 Town of Los Gatos Ce) ENERGY SOLUTIONS SYSERCO Energy Services Proposal ECM 1.06 — Implement Alerton Controls & Optimize General Intent The Police Operations Building and Youth Rec Center buildings currently have no centralized advanced building controls. All equipment is controlled via standalone thermostats. Much of this equipment operates round the clock as a result. This measure will install Alerton building controls in each of the buildings and integrate back to the central front end in the Civic Center. ECM Benefits New BMS hardware will allow greater control with dynamic operation for the buildings to realize savings through reduced run time and optimized set points. Impacted Equipment Police: (7) packaged RTLI's Youth: (1) packaged RTLI, (2) residential style forced airfurnace with split DX cooling Controls • Police • Provide, install and integrate all controllers, wiring, programing and thermostats to control equipment • Implement economization optimization programing • Implement demand control ventilation programing • Youth • Provide, install and integrate all controllers, wiring, programing and thermostats to control equipment • Implement economization optimization programing • Implement demand control ventilation programing • Implement occ /unocc building scheduling and expanded set points • Implement building optimum start programing • Provide set points and scheduling based on customer requirements • Include all power and communication electrical work • Disconnect / reconnect line voltage as needed • Provide control drawings for proposed building management system • Provide controls points list summary • Provide location and quantity of Ethernet drops • Provide and install programing and graphics for building in existing BMS • Provide necessary engineering and project management for complete turnkey system • Provide cut sheets /submittal package and 0 &M manual • Provide owner /operator training Commissioning • This measure requires that the controls contractor be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) September 2018 Proprietary and Confidential Page 11 Town of Los Gatos SYSERCO ENERGY SOLUTIONS Energy Services Proposal 2.0 — HVAC ECM's ECM 2.03 — Replace Split DX units in Server Rooms General Intent The Civic building has two IT closets served be dedicated DX air conditioners. These units are past the end of their useful life and in need of replacement. This measure will replace the exterior condenser and interior fan coil unit in each space. ECM Benefits This measure will realize a full maintenance cycle on the AC units and improve the efficiency and operation of the systems. Impacted Equipment Civic: (2) AC units Mechanical • Remove and properly dispose of existing AC condensers and FCUs in accordance with state and local code • Provide and install new high efficiency AC units, minimum SEER 18 • Include modifications to concrete pads as needed to support new condensers • Include refrigerant pipe replacement • Include new thermostat controller • Coordinate new sensor well or access with controls contractor • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Design • As required for mechanical permit • As required for electrical permit Commissioning • This measure requires that the mechanical and controls contractors be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) September 2018 Proprietary and Confidential Page 12 Town of Los Gatos / SYSERCO ENERGY SOLUTIONS Energy Services Proposal \v/ ECM 2.05 — Replace MAU on Roof General Intent The Adult Rec building has a 100% outside air make up air unit used to provide conditioned air to the second floor offices. This unit is past the end of its useful life and needs to be replaced. ECM Benefits This measure will realize a full maintenance cycle on the MAU and improve the efficiency and operation of the systems. Impacted Equipment Adult: (1) make up air unit Mechanical • Remove and properly dispose of existing MAU in accordance with all state and local codes • Provide and install new MAU with HHW and CHW coils • Include convenience outlet on unit • Include crane pick and rigging • Include new sleeper support structure • Remove existing wooden sleeper and dispose of • Provide and install new galvanized steel sleeper support structure • All piping, fittings, pumps and valves to be insulated in accordance with Title 24 • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Controls • Integrate new MAU into BMS system • Implement optimization sequence of operation per building operators • Provide and install updated programing and graphics for control system in existing BMS • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package and O &M manual • Provide owner /operator training Design • As required for mechanical permit Commissioning • This measure requires that the mechanical and controls contractors be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) Balancing • Provide water balancing through MAU to ensure proper operation September 2018 Proprietary and Confidential Page 13 Town of Los Gatos Energy Services Proposal ECM 2.06 — Replace RTU on Roof General Intent SYSERCO ENERGY SOLUTIONS The Youth Rec building has packaged RTU serving the front office that is past the end of its useful life. There are two split DX cooling systems serving other portions of the building. One of these condensers is past the end of its useful life and needs to be replaced. This measure will replace the packaged RTU and the older DX system. ECM Benefits By replacing the equipment it is possible to realize a full round of maintenance on the equipment as well as improve the energy efficiency. Impacted Equipment Youth: (1) packaged RTU, (1) split DX system Mechanical • Remove and properly dispose of existing RTU and DX system in accordance with all state and local codes • Provide and install new RTU o minimum cooling EER of 14 and heating efficiency of 82% o include economizer • convenience outlet • no coil coatings • no controls • Provide and install new residential style DX split system • Include crane pick and rigging • All piping, fittings, pumps and valves to be insulated in accordance with Title 24 • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Controls • Integrate new RTU into BMS system • Implement economizer optimization programing • Implement optimization sequence of operation per building operators • Provide and install updated programing and graphics for control system in existing BMS • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package and O &M manual • Provide owner /operator training Design • As required for mechanical permit Commissioning • This measure requires that the mechanical and controls contractors be present for any functional performance testing September 2018 Proprietary and Confidential Page 14 S' Town of Los Gatos SYSERCO ` � ENERGY SOLUTIONS Energy Services Proposal Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) September 2018 Proprietary and Confidential Page 15 Town of Los Gatos Energy Services Proposal ECM 2.07 — Coil Protection HVAC Armor General Intent SYSERCO ENERGY SOLUTIONS There are packaged RTUs at the Police and Youth Rec buildings and an air cooled chiller at the Adult Rec building. Aside from the Youth RTU all of this equipment is less than 10 years old and still has significant life left. However, as equipment ages the condenser coils degrade in performance, both internally and externally. This measure will clean, repair and install a coil protestant with 65% aluminum in the coating. This will improve the exterior coil appearance and heat transfer ability as well as facilitate rapid coil cleaning. ECM Benefits Energy savings will be realized from the enhanced ability of the DX units to reject heat more efficiently over a longer period of time. Impacted Equipment Police: (7) packaged RTUs Adult: (1) air cooled chiller HVAC Service • General clean -up of unit and remove debris from coils and unit • Capture up to one hour of M &V data on selected units for pre measurement • Disassemble equipment and deep clean condenser coils and remove debris • Straighten fins • Spray condenser coil with HVAC Armor from both inside and outside applying even and complete coverage of coil • Reassemble equipment and ensure complete and proper operation • Capture up to one hour of M &V data on selected units for post measurements • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training September 2018 Proprietary and Confidential Page 16 Town of Los Gatos Energy Services Proposal ECM 2.09 — Replace Shop Heaters SYSERCO ENERGY SOLUTIONS General Intent The existing Carrier heaters serving the mechanics bay at the Corp Yard are past the end of their useful life. This measure will replace these units with new higher efficiency units. ECM Benefits The energy savings will come from the installation of higher efficiency burners. Impacted Equipment Corp Yard: (2) shop heaters Mechanical • Remove existing heaters and properly dispose of in accordance with local, state and federal regulations • Provide and install new high efficiency shop heaters • Include any needed structural modifications • Include any lifts, rigging, etc needed for the installation • Provide new thermostat for each heater unit • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, 0 &M manual • Provide owner /operator training September 2018 Proprietary and Confidential Page 17 Town of Los Gatos Energy Services Proposal ECM 2.10 — Replace HVAC at Engineering Office General Intent S' SYSERCO ENERGY SOl11ilON5 There is an existing residential style forced air furnace with DX cooling installed in the mezzanine mechanics shop. This unit serves the engineering offices on the other side of the block wall. This unit has been sealed with duct tape to prevent orders from the mechanics shop from being entrained into the supply air to the engineering office. The facilities team would like to remove this FAF and replace it with a packaged roof top unit getting the equipment out of the mechanics shop. ECM Benefits The energy savings will come from the installation of a new higher efficiency air conditioning system. Improved operational controls will improve the scheduling of the system, reducing the run hours. Impacted Equipment Corp Yard: (1) forced air furnace with DX cooling Mechanical • Remove and properly dispose of existing forced air furnace and DX cooling system in accordance with state and local requirements • Provide and install new gas fired packaged roof top unit with minimum SEER of 14 and thermal combustion of 82% • Provide all structural engineering required to install new structural support and roof curb • Include electrical engineering design to size and install new electrical service to equipment • Provide and install new duct work to tie into existing distribution system • Include roof repair and patching for any new roof penetrations • Provide and install new gas service and condensate lines needed for complete installation • Provide and install all needed piping, valving, fittings, tools, etc. as needed to provide complete turnkey installation • Provide and install thermostatic control wiring with new smart thermostat to control system • All ducting must be insulated in accordance with Title 24 requirements • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Design • As required for mechanical permit • As required for electrical permit Commissioning • This measure requires that the mechanical contractor be present for any functional performance testing Balancing • As needed for proper air flow through the new equipment September 2018 Proprietary and Confidential Page 18 �; SYSERCO Energy Of Gat , / ENERGY SOLUTIONS Energy Servry Pr ices Proposal \y, ECM 2.11— Install VFD & Dampers on AHU -1S General Intent Air Handler Unit 1S (AHU -1S) was installed in the Civic building mechanical room in 2006 as a renovation project to the existing equipment. This AHU replaced two heating and ventilation units from the original construction of the building. This combined the two systems together, one serving the council chambers and associated hallways and the other serving the original police wing of the building. The 911 dispatch center is currently located in the basement of the police wing which is manned 24/7. This requires that AHU -1S operate 24/7 to serve this space. Which also means that all associated spaces are conditioned. This measure will install two new duct mounted zone dampers and a VFD on the supply fan. ECM Benefits The energy savings will come from the installation of VFD on the supply air fan for AHU -IS and being able to reduce the volume of air being sent into different sections of the building while maintaining flow into the 911 dispatch areas. Impacted Equipment Civic: (1) AHU -1S SAF, (2) new zone dampers Mechanical • Provide and install (2) new duct mounted zone dampers, sizes and specific location to be field verified o Intent is to isolate RH zones 21, 22 & 23 serving council chambers, duct size est to be 30" x 24" o Intent is to isolate RH zones down duct from RH 18 & 19 serving 911 Dispatch, duct size est to be 34" x 17" • Provide and install all needed ducting, sealants, fittings, tools, etc. as needed to provide complete turnkey installation • Utilize low leakage dampers • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, 0 &M manual • Provide owner /operator training Controls • Provide, install and integrate new pressure sensors for air system o Coordinate sensor location installation with mechanical contractor, well installation by mechanical contractor • Provide, install and integrate new VFD for (1) 15 HP supply air fan • Drives to have kW /kWh points read back to the BMS and trended • Properly calibrate drive and sequence of operation to properly provide flow to system • Provide, install and integrate (2) new Belimo damper actuators o Mechanical contractor to install new duct dampers • Provide all disconnect and reconnect of control and power wiring • Provide set points and optimized control sequence • Provide control drawings for proposed building management system • Provide controls points list summary • Provide and install programing and graphics for building in existing BMS September 2018 Proprietary and Confidential Page 19 S' SYSERCO Town of Los Gatos ENERGY SOLUTIONS Energy Services Proposal • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package and 0 &M manual • Provide owner /operator training Design • As required for mechanical permit • As required for electrical permit Commissioning • This measure requires that the mechanical and controls contractors be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) Balancing • As needed for proper air flow through AHU and ducts September 2018 Proprietary and Confidential Page 20 Town Of LOS Gat Pr ENERGY SOLUTIONS SYSERCO Energy Services Proposal \ \w /�, 3.0 — Lighting ECM's ECM 3.01— Lighting Efficiency & Controls Update General Intent The existing lighting systems in the Civic, Police, Library, Adult Rec, Youth Rec and Corp Yard buildings are generally original to the construction and consists of linear T8 fluorescent tubes, recessed can lights with 2 and 3 lamp CFL pin lamps, a mix of accent lighting and some LED lighting. The vast majority of the Library lights are LED already along with a portion of the exterior lights. This measure will replace the existing lighting systems identified in the lighting audit with new LED lamps or fixtures as recommended. Additional controls will be integrated where identified. ECM Benefits By replacing the exiting lighting systems with LED a full round of maintenance will be realized as well as longer lamp life with reduced energy consumption and increased light production. Impacted Equipment Civic, Police, Library, Adult Rec, Youth Rec, Corp Yard: Lighting systems identified in the line by line audit Lighting • Project per ECM Holdings line by line audit • Disconnect and reconnect line voltage • Coordinate working periods to minimize occupant impact • Clean all work areas of debris and dust after lighting work is completed • Dry wipe all new and remaining lighting surfaces to be free of dust and debris • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Design • As required for electrical permit Commissioning • This measure requires that the lighting contractor be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) September 2018 Proprietary and Confidential Page 21 Town of Los Gatos Energy Services Proposal S' SYSERCO ENERGY SOLUTIONS ECM 3.03 — Lighting Efficiency & Controls at Parks, Parking Lots & Sports Fields General Intent The existing lighting systems in the parks and associated buildings are original to the construction and consists HPS, MH and CFL lamps. This measure will replace the existing lighting systems identified in the lighting audit with new LED lamps or fixtures as recommended. Additional controls will be integrated where identified. ECM Benefits By replacing the exiting lighting systems with LED a full round of maintenance will be realized as well as longer lamp life with reduced energy consumption and increased light production. Impacted Equipment Lighting systems identified in the line by line audit Lighting • Project per ECM Holdings line by line audit • Disconnect and reconnect line voltage • Coordinate working periods to minimize occupant impact • Clean all work areas of debris and dust after lighting work is completed • Dry wipe all new and remaining lighting surfaces to be free of dust and debris • Include ladders, lifts, bucket truck, etc needed for complete installation of lighting system • Provide necessary engineering and project management for complete turnkey system • Provide as built drawings, cut sheets /submittal package, O &M manual • Provide owner /operator training Commissioning • This measure requires that the lighting contractor be present for any functional performance testing • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) September 2018 Proprietary and Confidential Page 22 S' , Town of Los Gatos SYSERCO ` � ENERGY SOIUlIONS Energy Services Proposal 7.0 —Envelope ECM's ECM 7.1— Repair / Replace Door Sweeps and Seals General Intent The exit stair well doors have missing or damaged door sweeps and seals. This allows for air, water and pest infiltration to the buildings. By repairing or replacing the door sweeps and seals of the exterior doors, the amount of infiltration will be reduced. By installing door sweeps on the interior exit doors the occupied spaces will be able to be conditioned better. ECM Benefits Reduced infiltration and conditioned air migration will reduce the amount of energy needed to condition the occupied spaces. Impacted Equipment Exterior doors for Civic Envelope • Provide and install appropriate door sweeps and seals for all exterior exit doors • Provide necessary engineering and project management for complete turnkey system • Provide cut sheets /submittal package, 0 &M manual • Provide owner /operator training • Provide replacement stock for equipment as needed September 2018 Proprietary and Confidential Page 23 Town of Los Gatos SYSERCO ENERGY SOLUTIONS Energy Services Proposal SECTION 3 - ENERGY COST SAVINGS 3.1 IMPLEMENTATION & VERIFICATION PLANS The requirements for qualification for OBF_NI financing reside within the Investor Confidence Project (ICP) protocols. An Operational Performance Verification (OPV), Measurement & Verification (M &V) and Operation & Maintenance (O &M) plan is required for each ECM that is part of the Los Gatos' Project. The OPV plan will be implemented at the time of implementation for each ECM. The M &V plan methodology will be utilized for the duration of the OBF_NI financing period. Syserco Energy Solutions shall perform one (1) year of Measurement and Verification Services, which is included in this proposal. Additional Ongoing Services for M &V work beyond year 1 is not included in this proposal and will be contracted under a separate Service Agreement. The O &M plan will be included in any training and documentation provided to Los Gatos as part of the project close out. The Town of Los Gatos will be responsible for the ongoing maintenance and operation of the new equipment. In order to provide the Owner and PG &E with proof of installation of the scope of work, SES will provide the following for each ECM: pre and post pictures of equipment, bill of lading of equipment, training materials, 0 &M manuals and as built audits and drawings. 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S v m o Q C W )o -a a .� W a -0 7 m C w W >• M c N `/ d c a m o � W C_ o W C E G V' C o W fO m 0 M> )o 3 m N z u E ? O �' C O O Y w O V 3 N V N W tko N u -p to Ou W L W CL 3 N C W C W 0 )o E u> O N C C N U> 0 D -° N N W N -O M y M W m W L in YO j 0 t° >6 D c O_ _m u u� J O W in N O d C n W Y Y U N y 6 l7 U O_ Q W U 0C VI O J W C o.0 Cq O O O F W 00 N m N CL Y C W C O U "O C m v a O 00 N O N V W W Q W N Town of Los Gatos Energy Services Proposal SECTION 4 - PROJECT FINANCIALS 4.1 FIRM -FIXED PROJECT COST The Firm -Fixed price for the Project is $1,664,358. ESYSERCO E J ENERGY SOIUiIONS Costs presented in this proposal are valid for 60 days from the date of publication. If the Notice to Proceed is issued after 60 days from publication, SES reserves the right to re- evaluate the project and make necessary modifications to the construction cost. Other factors that SES does not have direct control may affect the ability to complete the project in the time proposed. In the event of delay that SES could not control, we reserve the right to request schedule extensions and reasonable adjustments to Project Costs to cover additional costs associated with the delay. 4.2 ITEMS INCLUDED IN PROJECT COST Project costs include the following: 1. Engineering audit / Project Development, including the cost for preparation of this proposal. 2. Engineering design. 3. Construction management services. 4. In Installation of Syserco Energy Solutions equipment including the following as specified in the scope of work a. All costs paid by SES for the installation of the equipment. This includes costs paid to subcontractors or directly to Syserco personnel, when related to installation or system verification of equipment. b. The portion of reasonable travel, lodging, and meal expenses of officers or employees incurred while traveling in discharge of duties connected with the Work. c. Cost of all equipment, materials, supplies, and equipment incorporated in the Work, including costs of transportation thereof. d. Cost or rental charges, including transportation and maintenance, of all materials, supplies, equipment, temporary facilities, and hand tools not owned by the workers. e. Cost of premiums for all bonds and insurance, which SES is required to purchase and maintain. f. Permit fees, royalties, and deposits lost for causes other than the SES negligence. g. Losses and expenses not compensated by insurance or otherwise, sustained by SES in connection with the Work, provided they have resulted from causes other than the fault or neglect of SES. Such losses shall include settlements made with the written consent and approval of the owner. If, however such loss requires reconstruction and SES is placed in charge thereof, they shall be paid for their services a fee. h. Demolition cost and cost of removal of all debris. i. Costs incurred due to an emergency affecting the safety of persons and property. j. Other costs incurred in the performance of the Work if and to the extent approved in advance in writing by the Owner. k. Cost of equipment startup, training, system verification and balancing performed by SES. 5. Construction Bonds (including Performance BE Payment and Retention bonds), Liability Insurance, and Builder's Risk Insurance. 6. SES fee includes the remuneration for compensation of personnel, expenses, risks related to the project, overhead, and profit. September 2018 Proprietary and Confidential Page 29 Town of Los Gatos SYS E RCO ENERGY SOLUTIONS Energy Services Proposal a- 4.3 ONGOING SERVICES Syserco Energy Solutions shall perform one (1) year of Measurement and Verification Services, which is included in this proposal. Additional Ongoing Services for M &V work beyond year 1 is not included in this proposal and will be contracted under a separate Service Agreement. 4.4 SES COMPENSATION 1. Terms: Net 30 days from the date of invoice, monthly billing as the job progresses. 2. Payments: At a minimum, payments will be made in the amount of 100 %, less retention of five percent (5 %) per the contract, at the completion and implementation of any individual Energy Conservation Measure (ECM) in the amount of that ECM as delineated in the contract. If more than one ECM is completed in a monthly period, all of those ECM's will be paid. 3. Mobilization / Project Development / Engineering Fee invoice will be presented upon mutual execution of the Contract and will be in the amount of 25% of the Project's total value. 4. Finance Charges on Unpaid Balances: Payments due and unpaid shall be subject to interest charges per contract terms and conditions. 5. Construction Period Finance: The PG &E OBF_NI program requires Construction Period Financing by the Owner to provide construction progress payments since the PG &E OBF_NI Payment does not fund the project until after Substantial Completion. Construction Period Financing Costs ARE NOT included in this proposal at the direction of Owner. SES has a Construction Period Financing option available to provide construction period funding if required by the Owner. Final project schedule will determine the funding amount and length of required project construction period financing. Owner retains the right to use internal resources for Construction Period Financing. 4.5 TERMS AND CONDITIONS 4.5.1 TERMS OFAGREEMENT The Contract shall be effective and binding upon the parties immediately upon its execution and the period from contract execution until the Commencement Date shall be known as the 'Interim Period ". All energy savings achieved during the interim period will be fully credited to Owner as mutually agreed to by the Owner and SES. 4.5.2 INSURANCE AND BONDING Syserco Energy Solutions shall provide a Payment and Performance bond, Retention bond and Builder's Risk insurance 1. The bond amount consists of Labor and Materials and State Sales Tax. 2. This bond does not include any construction contingencies. 3. Certificates of General Liability Insurance will be provided prior to Contract Signing Syserco Energy Solutions shall provide a payment and performance bond in the amount of 100% of the construction cost. The amount shall include all authorized changes and state sales tax. September 2018 Proprietary and Confidential Page 30 Town Of LOS Gatos SYSERCO ENERGY SOLUTIONS Energy Services Proposal \ \ \w / /JJJ The Bond shall specifically exclude coverage for those portions of the Energy Services Agreement and /or Energy Services Agreement Addendum pertaining to design services, maintenance, utility incentives, and any other clauses which do not relate specifically to construction management and supervision of work for purchasing and installing of SES Equipment, or for work to be accomplished by the Owner. The Bond shall be with a Surety or Bonding Company that is registered with the State of California Insurance Commissioners Office. Syserco Energy Solutions shall provide proof of insurance naming the Town of Los Gatos, its officers, officials, agents, employees and volunteers as additionally insured under the General Liability Policy. Insurance will comply with the Town of Los Gatos requirements as provided for reference in Exhibit E. September 2018 Proprietary and Confidential Page 31 Exhibit E — Insurance Requirements TOWN OF LOS GATOS CLERK DEPARTMENT PHONE (408) 354 -6888 FAX (408) 354 -8431 clerk @LosGatosCa.gov CIVIC CENTER 110 E. MArN STREET Los GATos, CA 95030 INSURANCE REQUIREMENTS CERTIFICATE OF LIABILITY INSURANCE CERTIFICATE HOLDER Town of Los Gatos, 110 East Main Street, Los Gatos, CA 95030. DESCRIPTION OF OPERATIONS Town of Los Gatos, its officers, officials, employees and volunteers are named Additional Insured under this policy, as per attached endorsement as respects all operations of the Named Insured on a primary and non - contributory basis. ENDORSEMENT SEPARATE ENDORSEMENT FOR REQUIRED ADDITIONAL INSURED Must include: policy number, date, insured, agency, and code. NAME OF PERSON OR ORGANIZATION It is hereby agreed that the Town of Los Gatos, its officers, officials, employees and volunteers are named as additional insured under this policy. PRIMARY WORDING The primary wording is usually located on the endorsement but is sometimes found in the description box on the certificate. It must be located somewhere in the insurance documents and must say something similar to the following: "The insurance coverage extended under this endorsement is PRIMARY and will not seek contribution from any other insurance available to the organization or persons shown in the schedule, The Town of Los Gatos will not be responsible for providing insurance for indemnification or defense of the contractor / developer as part of this project / contract." ALL OTHER TERMS AND CONDITIONS OF THIS POLICY REMAIN UNCHANGED. BUILDERS RISK For all construction projects, Builders Risk Insurance (Builders All -Risk or Course of Construction Insurance) must be provided. The minimum amount of coverage is the "Completed Value of the Project." . Samples of acceptable language and forms are attached. CERTIFICATE OF LIABILITY INSURANCE DATE(MAVDDNYM ENTER DATE PRODUCER Name of insurance broker Vendor Name and Address (Should match name on contract, requisition, or purchase order) ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE INSURER A! NAME OF INSURANCE Cf INSURER C: NAIC # THE POLICTES OF INSURANCE LOW HAVE BEEN ISSUED O THE INSURED NAMED ABOVE FOR THE POLICY NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR LTR ADDI INSRK TYPE OFINSURANCE POLICY NUMBER POLICY EFFECTIVE DATE MMIDUN POLICY EXPIRATION DATE (MMV UNITS Los Gatos, CA 95030 REPRESENTATIVES. GENERAL UASIUTV policy number effective date expiration dais EACH OCCURRENCE 5 1,000,000 X COMMERCIAL GENERAL LIABILITY CLAYS MADE M OCCUR DAMAGE TO HhNTED PREMISES =WW S 1,000,000 MED EXP (Any one pown) 5 10,000 PERSONAL A AOV INJURY 5 1,000,000 GENERALAGGREGATE 5 GENT AGGREGATE LIMIT APPLIES PER: X I PCLr-YF-j jE LOC PRODUCTS - COMPICIP AGO S - S AUTOMOBILE LMBGnY ANY AUTO policy number effective date - expiration date COMBINED SINGLE LIM (Ea aeeident) S 1,000,000 X (Perpm tong (Par person] S ALL OWNED AUTOS SCHEDULED AUTOS - HIRED AUTOS N� NOOWNED AUTOS BODILY INJURY (Per eCeWonO 5 PROPERTY DAMAGE (Par azCWBN) S GARAGE UABRJTY AUTOONLY . EA ACCIDENT S ANY AUTO OTHER THAN EA ACC S S AUTO ONLY: AGG EXCESSNYBRELLAUMILITY OCCUR CLAIMS MADE EACH OCCURRENCE S AGGREGATE 5 S DEDUCTIBLE S RETENTION 5 S WORKERS COMPENSATION AND EMPLOYERS' UASIUTY policy number effective date expiration date X pgYUM TS fiR E.L. EACH ACCIDENT 51,000,000 ANY PROPRIETORIPARTNEREXECUTIVE OFFICEBMEMBER EXCLUDED? V yes, de ba abler El DISEASE - EA EMPLOYEE $1,000,000 E.L. DISEASE - POLICY LIMIT $1,000,0 SPECIAL PROVISIONS halwr OTHER Professional Liability enter amount if required by contract Errors and Otnmissiow DESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES! EXCLUSIONS ADDEO BY ENDORSEMENT I SPECIAL PROVISIONS The Town of Los Gatos, its officers, officials, employees, agents, and volunteers are named Additional Insured under the General Liability policy as per the attached endorsement as respects all operations of the Named Insured on a primary and non contributory basis. "A SEPARATE ADDITIONAL INSURED ENDORSEMENT MUST BE ATTACHED TO THE INSURANCE CERTIFICATE" 0 DER CANCELLATION U ACORD CORPORATION 1988 SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION Town of Los Gatos DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL 10 DAYS WRITTEN Attention: Clerk Department NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO $0 SMALL 110 East Main Street IMPOSE NO OBLIGATION OR LIABILITY OF ANY KIND UPON THE INSURER, ITS AGENTS OR Los Gatos, CA 95030 REPRESENTATIVES. AUTHORIZED REPRESENTATIVE A/�IlOrl ^C I°, M U ACORD CORPORATION 1988 SAMPLE ENDORSEMENT An Additional Insured Endorsement form must accompany the Certificate of Liability Insurance 1. Policy No. must match certificate. POLICY NUMBER:XXXXXXXXXXX COMMERCIAL GENERAL LIABILITY 2. Must list the INSURED: XXXXXX XXXX XXXXXXXX Insured's Name as THIS ENDORSEMENT CHANGES THE POLICY. PLEAES READ IT CAREFULLY, listed on Certificate. Name of Person or Organization: The Los Gatos, its officers, I_ officials, agents, employees, and volunteers are named Additional Insured under the General Liability Policy as respects all operations of the Named Insured on a primary & noncontributory basis. Endorsement must also state that coverage E afforded by the endorsement shall apply as Primary (wording may vary). ADDITIONAL INSURED — Endorsement This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART. SCHEDULE Name of Person or Organization: The Town of Los Gatos, its officers, officials, agents, employees, and volunteers are named Additional Insured under the General Liabilih, Policy as respects all operations of the Named Insured on a primary & non - contributory basis. (If no entry appears above, information required to complete this endorsement will be shown in the Declarations as applicable to this endorsement.) WHO IS AN INSURED (Section II) is amended to include as an insured the person or organization shown in the Schedule, but only with respect to liability arising out of your ongoing operations performed for that Insured. PRIMARY INSURANCE The Insurance coverage extended under this endorsement Is PRIMARY and will not seek contribution from any other insurance available to the organization or persons shown in the schedule. The Town of Los Gatos will not be responsible for providing insurance for indemnification or defense of the contractor f developer as part of project! contract. * *The wording for the additional insured must be exact. No abbreviations or changes in the structure of the sentence will be accepted. If you find it difficult to fit the wording in the space provided on your endorsement you may simply list "See Exhibit A" under Schedule and attach a separate "Exhibit A" (additional sheet with the proper wording). Please remember to list the policy number on the additional sheet. Town of Los Gatos —Clerk Department 110 East Main Street, Los Gatos, CA 95030 Phone: (408) 354 -6880 Fax: (408) 354 -8431