Loading...
Attachment 1-Exhibit APage 1 of 9 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”). EXHIBIT A Page 2 of 9 3.Compensation. Customer shall pay Energy Services Contractor One Million Six Hundred Sixty Four Thousand Three Hundred Fifty Eight dollars($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 anExecuted Contract or Letter of Award (“Commencement Date”) and is anticipated to end by the earlier of thedates 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, butnot 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 3 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: Type of Insurance Coverage General Liability $2,000,000 General Aggregate / $1,000,000 Each Occurrence 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 furnish 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 4 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 5 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 defined 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 6 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 7 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 8 of 9 27. Choice of Law/Venue. 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 9 of 9 IN WITNESS WHEREOF, the parties hereto have executed this Contract as of the Effective Date. ENERGY SERVICES CONTRACTOR By: Printed Name: Title: Date Signed: TOWN OF LOS GATOS By: Printed Name: Title: Date Signed: Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 0 Investme nt Grade Audit – Exhibit A Prepared for the Town of Los Gatos, CA Date Submitted: September 7, 2018 Presented by: Chad Olsen, PE, CEM Gabe Johnson Doc Revision: R01.3 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 1 Table of Contents 0. Executive Summary _________________________________________________________ 3 1. Introduction _______________________________________________________________ 5 Approach ________________________________________________________________________ 5 Energy Savings Best Value Contract Process _____________________________________________ 5 Current Conditions _________________________________________________________________ 7 Report Overview __________________________________________________________________ 7 2. 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 5. 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 2 ECM’s Investigated but Not High Priority ______________________________________________ 76 6. On-Bill Financing – Non-Incentive Path _________________________________________ 79 7. Implementation & Verification Plans __________________________________________ 81 8. Construction Schedule ______________________________________________________ 87 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 3 0. Executive Summary 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 756,122 196,023 425,354 140,321 54,216 156,838 123,416 53,802 1,906,091 kWh/yr 2017 Actual Gas Use 28,502 2,921 3,127 5,483 1,185 3,384 0 0 44,602 therms/yr Total Electrical Savings 351,811 92,321 31,219 50,647 25,023 41,739 48,381 30,235 671,377 kWh/yr Savings from Lighting 93,509 67,820 16,448 41,075 18,561 37,520 48,381 30,235 353,550 kWh/yr Savings from HVAC 64,939 5,210 0 9,572 1,946 4,219 0 0 85,886 kWh/yr Savings from Balance 193,363 19,291 14,771 0 4,516 0 0 0 231,941 kWh/yr Total Gas Savings 6,161 710 140 140 255 334 0 0 7,740 therms/yr Savings from HVAC 1,823 0 0 140 28 334 0 0 2,325 therms/yr Savings from DHW 0 0 0 0 0 0 0 0 0 therms/yr Savings from Balance 4,338 710 140 0 227 0 0 0 5,415 therms/yr Total Water Savings 0 0 0 0 0 0 0 0 0 CCF/yr Proposed Elec Use 404,311 103,702 394,135 89,674 29,193 115,099 75,034 23,567 1,234,714 kWh/yr Proposed Gas Use 22,341 2,211 2,987 5,343 930 3,050 0 0 36,862 therms/yr Proposed Elec Saving % 46.5% 47.1% 7.3% 36.1% 46.2% 26.6%39.2% 56.2% 35.2% -- Proposed Gas Savings % 21.6% 24.3% 4.5% 2.6% 21.5% 9.9% 0.0% 0.0% 17.4% -- Utility Cost Savings CIVIC POLICE LIBRARY ADULT YOUTH CORP_YARD PARK PARKING TOTAL UNITS 2017 Actual Elect Use $136,823 $45,580 $83,405 $28,696 $12,733 $41,779 $22,285 $9,796 $381,097 $/yr 2017 Actual Gas Use $31,213 $3,606 $3,817 $4,863 $1,273 $4,243 $0 $0 $49,015 $/yr Total Electrical Savings $63,662 $21,442 $6,122 $10,358 $5,877 $13,687 $8,736 $5,505 $135,388 $/yr Total Gas Savings $6,747 $877 $171 $124 $274 $419 $0 $0 $8,611 $/yr Total Utility Savings $70,409 $22,319 $6,293 $10,482 $6,151 $14,106 $8,736 $5,505 $143,999 $/yr Proposed Elec Use $73,161 $24,138 $77,284 $18,339 $6,856 $28,092 $13,549 $4,291 $245,709 $/yr Proposed Gas Use $24,466 $2,730 $3,646 $4,739 $999 $3,824 $0 $0 $40,403 $/yr Proposed Elec Saving % 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% 9.9% 0.0% 0.0% 17.6% -- Actual Annual Utility Cost $168,036 $49,186 $87,222 $33,559 $14,006 $46,022 $22,285 $9,796 $430,112 $/yr Est Annual Cost Savings $70,409 $22,319 $6,293 $10,482 $6,151 $14,106 $8,736 $5,505 $143,999 $/yr Est Annual Savings % 41.9% 45.4% 7.2% 31.2% 43.9% 30.7% 39.2% 56.2% 33.5% -- Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 4 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 87% of Project Cost Estimated Net Cost to the Town of Los Gatos $224,363 The following table is the ECM break down of Total Cost Savings, ECM Price, Simple Payback, the Estimated OBF Financing amount and Estimated Emission Savings. ECM # ECM Description Total Cost Savings ($/yr)ECM Price ($)Est On Bill Financing ($) Total Emissions Savings (mtCO2/yr) 1.01 Integrate / Optimize BMS to Alerton $42,200 $472,100 $421,997 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 Engr 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 & Parking 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 $1,664,358 $1,439,995 41 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 5 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. Building Short Name Area (sqft) Los Gatos Civic Center CIVIC 38,000 Police Operations Building POLICE 12,260 Los Gatos Public Library LIBRARY 29,000 LGS 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 6 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. Step 1 • Town selects & contracts with Syserco Energy Solutions to complete Investment Grae Audit (IGA) Step 2 • Perform Utility Data Analysis • Perform Detailed Site Audit • Identify Energy Conservation Measures (ECMs), Calculate energy savings, create construction-grade cost estimates, identify uility incentives/funding Step 3 • Engage PG&E to investigate OBF_NI financing Step 4 • Finalize ECM savings and costs for IGA cashflow analysis • Final IGA report creation based on agreed upon scope and financing plan • Syserco Energy Solutions and Town review Final IGA report and requirements for funding Step 5 • Town utilzies Best Value contracting approach (Gov't Code 4217.1) to procure and select preferred Project Implementation Partner • Council authorizes project and Design-Build Implementation contract is executed. Project begins Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 7 Current Conditions 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. Building Electricity Use (kWh/yr) Natural Gas Use (therms/yr) Base Year Utility Spend ($/yr) Energy Use Index (kBTU / sqft / yr) Energy Cost Index ($ / sqft / yr) Existing Carbon Emissions (mtCO2/yr) 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. To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 8 Th e f o l l o w i n g t a b l e s h o w s t h e u t i l i t y a n d c o s t s a v i ng s b y s p e c i f i c E C M . Th e f o l l o w i n g t a b l e s h o w s t h e u t i l i t y a n d c o s t s a v i ng s b y b u i l d i n g . EC M # E C M D e s c r i p t i o n EC M E l e c En e r g y S a v i n g s (k W h / y r ) EC M G a s S a v i n g s (t h e r m s / y r ) El e c C o s t S a v i n g s ( $ / y r ) Ga s C o s t Sa v i n g s ( $ / y r ) To t a l C o s t Sa v i n g s ( $ / y r ) ECM Price ($)Est On Bill Financing ($)Total Emissions Savings (mtCO2/yr) 1. 0 1 I n t e g r a t e / O p t i m i z e B M S t o A l e r t o n 2 0 6 , 5 7 8 4 , 1 8 0 $3 7 , 6 0 5 $ 4 , 5 9 5 $ 4 2 , 2 0 0 $ 4 7 2 , 1 0 0 $ 4 2 1 , 9 9 7 2 2 1. 0 6 I n s t a l l C o n t r o l s 23 , 8 0 7 9 3 7 $ 5 , 5 4 1 $ 1 , 1 2 0 $ 6 , 6 6 1 $ 1 3 5 , 9 4 6 $ 6 6 , 6 1 5 5 2. 0 3 R e p l a c e S p l i t D X u n i t s f o r S e r v e r R o o m s 5 , 8 2 2 0 $ 1 ,0 5 4 $ 0 $ 1 , 0 5 4 $ 7 3 , 2 7 5 $ 1 0 , 5 3 5 0 2. 0 5 R e p l a c e M A U o n R o o f 5, 7 1 9 1 4 0 $ 1 , 1 7 0 $ 1 2 4 $ 1 , 2 9 4 $ 7 3 , 9 7 2 $ 1 2 , 9 3 7 1 2. 0 6 R e p l a c e R T U o n R o o f 1, 9 4 6 2 8 $ 4 5 7 $ 3 0 $ 4 8 7 $ 1 0 0 , 1 4 2 $ 4 , 8 7 1 0 2. 0 7 C o i l P r o t e c t i o n 9, 0 6 3 0 $ 1 , 9 9 8 $ 0 $ 1 , 9 9 8 $ 1 8 , 3 1 9 $ 1 9 , 9 8 0 0 2. 0 9 M e c h S h o p H e a t e r R e p l a c e m e n t 0 6 9 $ 0 $ 8 7 $ 8 7 $ 3 2 , 2 7 6 $ 8 6 5 0 2. 1 0 H V A C E n g r O f f i c e R e p l a c e m e n t 4, 2 1 9 2 6 5 $ 1 , 3 8 4 $ 3 3 2 $ 1 , 7 1 6 $ 1 1 7 , 3 2 6 $ 1 7 , 1 5 8 1 2. 1 1 V F D & D a m p e r o n A H U - 1 S 59 , 1 1 7 1 , 8 2 3 $ 1 0 , 6 9 7 $ 1 , 9 9 6 $ 1 2 , 6 9 4 $ 1 8 , 6 6 8 $ 1 2 6 , 9 3 8 1 0 3. 0 1 L i g h t i n g E f f i c i e n c y & C o n t r o l s I n s t a l l a t i o n 2 7 4 , 93 4 0 $ 6 0 , 9 6 1 $ 0 $ 6 0 , 9 6 1 $ 5 1 6 , 8 3 7 $ 6 0 9 , 6 0 8 0 3. 0 3 P a r k & P a r k i n g L o t s - L i g h t i n g E f f i c i e n c y & C o n tr o l s U p g r a d e 7 8 , 6 1 7 0 $ 1 4 , 2 4 1 $ 0 $ 1 4 , 2 4 1 $ 9 8 , 3 4 4 $ 1 4 2 , 4 1 0 0 7. 0 1 R e p l a c e D o o r S w e e p s a n d S e a l s 1, 5 5 6 2 9 8 $ 2 8 2 $ 3 2 6 $ 6 0 8 $ 7 , 1 5 3 $ 6 , 0 7 9 2 To t a l - - 6 7 1 , 3 7 7 7 , 7 4 0 $ 1 3 5 , 3 8 8 $ 8 , 6 1 1 $ 1 4 3 , 9 9 9 $ 1 , 6 6 4 , 3 5 8 $1,439,995 4 1 Sh o r t N a m e El e c S a v i n g s (k W h / y r ) Ga s S a v i n g s (t h e r m s / y r ) El e c C o s t S a v i n g s ( $ / y r ) Ga s C o s t S a v i n g s ( $ / y r ) To t a l C o s t S a v i n g s ( $ / y r ) EC M P r i c e ( $ ) Es t O n B i l l Fi n a n c i n g ( $ ) Total Emissions Savings (mtCO2/yr)Average Annual Emissions by Site (mtCO2/yr)% Emission Saved (%) C I V I C 3 5 1 , 8 1 1 6 , 1 6 1 $ 6 3 , 6 6 2 $ 6 , 7 4 7 $ 7 0 , 4 0 9 $ 7 3 4 , 9 4 6 $ 7 0 4 , 0 86 3 3 1 4 9 2 2 . 0 % PO L I C E 9 2 , 3 2 1 7 1 0 $ 2 1 , 4 4 2 $ 8 7 7 $ 2 2 , 3 1 9 $ 2 0 0 , 8 4 3 $ 2 2 3 , 1 8 6 4 1 5 2 4 . 8 % L I B R A R Y 3 1 , 2 1 9 1 4 0 $ 6 , 1 2 2 $ 1 7 1 $ 6 , 2 9 3 $ 7 1 , 8 0 8 $ 6 2 , 9 2 5 1 1 5 5 . 0% AD U L T 5 0 , 6 4 7 1 4 0 $ 1 0 , 3 5 8 $ 1 2 4 $ 1 0 , 4 8 2 $ 1 5 2 , 7 1 9 $ 1 0 4 , 8 1 7 1 3 0 2.5% YO U T H 2 5 , 0 2 3 2 5 5 $ 5 , 8 7 7 $ 2 7 4 $ 6 , 1 5 1 $ 1 7 9 , 2 3 5 $ 6 1 , 5 1 0 1 6 2 3 . 5 % C O R P _ Y A R D 4 1 , 7 3 9 3 3 4 $ 1 3 , 6 8 7 $ 4 1 9 $ 1 4 , 1 0 6 $ 2 2 6 , 4 6 2 $ 1 4 1 , 0 6 0 2 1 7 1 0 . 4 % PA R K 4 8 , 3 8 1 0 $ 8 , 7 3 6 $ 0 $ 8 , 7 3 6 $ 4 2 , 3 6 9 $ 8 7 , 3 6 1 0 0 0 . 0 % PA R K I N G 3 0 , 2 3 5 0 $ 5 , 5 0 5 $ 0 $ 5 , 5 0 5 $ 5 5 , 9 7 5 $ 5 5 , 0 4 9 0 0 0 . 0 % To t a l 6 7 1 , 3 7 7 7 , 7 4 0 $ 1 3 5 , 3 8 8 $ 8 , 6 1 1 $ 1 4 3 , 9 9 9 $ 1 , 6 6 4 , 3 5 8 $ 1 ,4 3 9 , 9 9 5 4 1 2 3 2 1 7 . 8 % To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 9 Th e f o l l o w i n g t a b l e s h o w s t h e r e d u c t i o n i n g r e e n h o u se g a s e m i s s i o n s f o r t h e s i t e s b a s e d o n t h e s a v i n g s a n d t h e e s t i m a t e d e n v i r o n m e n t a l i m p r o v e m e n t s . Sh o r t N a m e Av e r a g e An n u a l Em i s s i o n s b y S i t e (m t C O 2 / y r ) El e c S a v i n g s (k W h / y r ) Em i s s i o n s Sa v e d f r o m El e c (m t C O 2 / y r ) Ga s S a v i n g s (t h e r m s / y r ) Em i s s i o n s Sa v e d f r o m Ga s (m t C O 2 / y r ) To t a l Em i s s i o n s S a v i n g s (m t C O 2 / y r ) % E m i s s i o n S a v e d ( % ) P r o p o s e d An n u a l Em i s s i o n s b y Si t e (m t C O 2 / y r ) Tree S e e d l i n g s Gr o w n f o r 1 0 yrs (#)Acres of Trees Storing Carbon for 1 yr (#)Passenger Vehicles Driven for 1 yr (#)Gallons of Gasoline Consumed (#)Homes Electrical Use for 1 yr (#) C I V I C 1 4 9 3 5 1 , 8 1 1 0 6 , 1 6 1 3 3 3 3 2 2 . 0 0 % 1 1 6 8 4 0 3 9 7 8 0 , 3 3 5 5 PO L I C E 1 5 9 2 , 3 2 1 0 7 1 0 4 4 2 4 . 7 8 % 1 1 9 7 4 1 9 , 2 5 8 1 L I B R A R Y 1 5 3 1 , 2 1 9 0 1 4 0 1 1 4 . 9 7 % 1 4 1 9 1 0 1 , 8 2 5 0 AD U L T 3 0 5 0 , 6 4 7 0 1 4 0 1 1 2 . 5 0 % 2 9 1 9 1 0 1 , 8 2 5 0 YO U T H 6 2 5 , 0 2 3 0 2 5 5 1 1 2 3 . 4 8 % 4 3 5 2 0 3 , 3 2 5 0 C O R P _ Y A R D 1 7 4 1 , 7 3 9 0 3 3 4 2 2 1 0 . 3 9 % 1 5 4 6 2 0 4 , 3 5 5 0 PA R K 0 4 8 , 3 8 1 0 0 0 0 0 . 0 0 % 0 0 0 0 0 0 PA R K I N G 0 3 0 , 2 3 5 0 0 0 0 0 . 0 0 % 0 0 0 0 0 0 To t a l 2 3 2 - - 0 - - 4 1 4 1 1 7 . 7 6 % 1 9 1 1 , 0 5 6 4 8 9 1 0 0 , 9 2 4 6 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 10 2 Site Summaries Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 11 2. Site Summaries Civic Center Los Gatos Civic Center Facility Facts: Civic Center & Museum 110 E Main St Los Gatos, CA 95030 Area (ft2) 38,000 sqft Year Built 1963 Number of Buildings 1 Number of Floors 2 General Facility Description The Civic Center building houses the city hall and clerk offices, planning department, a police station and the New Museum Los Gatos. There is a large meeting room, office spaces, police office, IT closets for servers and museum display spaces. The facility is generally in good condition. Some of the finishes have been updated over the years, though most are still original or from past renovations. The police 911 dispatch center is located in the Police wing of the building. Heating, Ventilation & Air Conditioning (HVAC) Equipment 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 AHU’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. Domestic Hot Water DHW is provided from a gas fired heater located in the basement mechanical room. Lighting Systems Lighting is a mix of linear fluorescents, compact florescent pin lamps, and high pressure sodium lamps for exterior. Some lamps have been upgraded to LED in spaces. Typical Water Consuming Devices There are toilets, urinals, sinks and kitchen sinks in the facility. Other Facility Information Building Construction: Cast in place concrete and block construction 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 12 Police Operations Building Los Gatos Police Operations Building Facility Facts: Police Operations 15900 Los Gatos Blvd Los Gatos, CA 95030 Area (ft2) 12,260 sqft Year Built Renovated 2009 Number of Buildings 1 Number of Floors 1 General Facility Description 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. Heating, Ventilation & Air Conditioning (HVAC) 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 Water Consuming Devices There are toilets, urinals, sinks, showers and kitchen sinks in the facility. Other Facility Information 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 13 Public Library Los Gatos Public Library Facility Facts: Public Library 110 Villa Ave Los Gatos, CA 95030 Area (ft2) 29,000 Year Built 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. Heating, Ventilation & Air Conditioning (HVAC) 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 2nd floor mechanical room with duplex HHW pumps on VFDs. In the 2nd 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 Hot Water 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 Water Consuming Devices There are toilets, urinals, sinks and kitchen sinks in the facility. Other Facility Information 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 10 am – 3 pm (Jun – Aug) & 12 pm – 5 pm (Sept – May) Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 14 Youth Recreation Center LGS Recreation – Youth Center Facility Facts: Youth Recreation Center 123 E Main St Los Gatos, CA 95030 Area (ft2) 6,479 sqft 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. Heating, Ventilation & Air Conditioning (HVAC) 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 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: 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 15 Adult Recreation Center LGS Recreation – Adult Center Facility Facts: Adult Recreation Center 208 E Main St Los Gatos, CA 95030 Area (ft2) 12,000 sqft Year Built 1978 Number of Buildings 1 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 (HVAC) Equipment 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 Hot Water 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 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 Exterior Finishes: Brick Windows: Double paned in fair condition Building Occupancy Hours: 8:00 am to 5:00 pm M-F year round Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 16 Corporate Yard Los Gatos Corporate Yard Facility Facts: Corporate Yard 41 Miles Ave Los Gatos, CA 95030 Area (ft2) 15,479 sqft 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. Heating, Ventilation & Air Conditioning (HVAC) 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 Hot Water 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 17 3 Baseline Utility Summary Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 18 3. Baseline Utility Analysis Introduction 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. The following table shows the demand consumption for the buildings over the last three years. Short Name # of Accts Elec Use Cal Year 2015 (kWh/yr) Elec Use Cal Year 2016 (kWh/yr) Elec Use Cal Year 2017 (kWh/yr) Total Elec Use (kWh/3yr) Average Electric Use (kWh/yr) % of Total Use Bldg Rank on Usage (#) CIVIC 1 751,608 757,161 756,122 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 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 -- -- Short Name # of Accts Demand Cal Year 2015 (kW/yr) Demand Cal Year 2016 (kW/yr) Demand Cal Year 2017 (kW/yr) Average Demand Use (kW/yr) % of Total Use Bldg Rank on Usage (#) CIVIC 1 158.8 154.7 152.8 155.4 42.34% 1 POLICE 1 0.0 0.0 23.4 7.8 2.12% 13 LIBRARY 1 118.3 117.6 108.5 114.8 31.27% 2 ADULT 1 34.0 35.2 32.2 33.8 9.20% 3 YOUTH 1 22.3 21.2 20.3 21.3 5.80% 6 CORP_YARD 3 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 -- -- Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 19 The following chart shows the relative usage by site across the portfolio. The following chart shows the total calendar year consumption by building from 2014 to 2016. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 20 The following chart shows the monthly consumption for each building during the base year of 2016. The following chart shows the total demand by building for the past three years. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 21 The following chart shows the monthly demand breakdown by building for the base year. The following chart shows the total project 3 year monthly energy and average consumption. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 22 The following chart shows the total project 3 year monthly demand and average usage. The following chart shows the total energy and demand use for the base year. 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 23 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 24 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. The following chart shows the relative usage by site across the portfolio. Short 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 (#) 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 1,024 1,055 1,185 3,264 1,088 2.49% 6 CORP_YARD 2 3,071 3,211 3,384 9,666 3,222 7.38% 3 Total -- 39,465 46,935 44,602 131,002 43,667 -- -- Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 25 The following chart shows the total calendar year consumption by building from 2015 to 2017. The following chart shows the monthly consumption for each building during the base year of 2017. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 26 The following chart shows the 3 year monthly gas usage and average for the past 3 years. 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%. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 27 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 28 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. Utility provider breakdown. 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. Site Electric Acct # Gas Acct # 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 Site Elec Gas Water Provider Sewer Provider CIVIC PG&E & SVCE PG&E San Jose Water Company West Valley Sanitation District POLICE PG&E & SVCE PG&E San Jose Water Company West Valley Sanitation District LIBRARY PG&E & SVCE PG&E San Jose Water Company West Valley Sanitation District ADULT PG&E & SVCE PG&E San Jose Water Company West Valley Sanitation District YOUTH PG&E & SVCE PG&E San Jose Water Company West Valley Sanitation District CORP_YARD PG&E & SVCE PG&E San Jose Water Company West Valley Sanitation District PARK PG&E & SVCE N/A San Jose Water Company West Valley Sanitation District PARKING PG&E & SVCE N/A San Jose Water Company West Valley Sanitation District Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 29 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. Site and Year Annual Elec Cost ($/yr) Annual Gas Cost ($/yr( Total Annual Cost ($/yr) % of Total 2015 $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 $83,218 22.7% POLICE $23,821 $2,833 $26,654 7.3% YOUTH $14,311 $1,193 $15,505 4.2% CORP $17,689 $3,424 $21,113 5.7% PARK $25,429 $25,429 6.9% PARKING $13,010 $13,010 3.5% 2016 $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% 2017 $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% PARK $22,285 $22,285 5.7% PARKING $9,796 $9,796 2.5% Grand Total $1,005,745 $137,148 $1,142,893 -- Utility Total Cost Cal Year 2015 ($/yr) Total Cost Cal Year 2016 ($/yr) Total Cost Cal Year 2017 ($/yr) Total Cost ($/3yr) Average Cost ($/yr) % of Total Cost Rank on Total Cost (#) Avg Cost Escalation (%/yr) Electricity $328,482 $336,746 $340,517 $1,005,745 $335,248 88.0% 1 1.82% Gas $38,773 $49,360 $49,015 $137,148 $45,716 12.0% 2 13.30% Total $367,255 $386,107 $389,532 $1,142,893 $380,964 -- --3.01% Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 30 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. The following chart shows the utility cost by calendar year and utility. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 31 The following chart shows the breakdown of costs for the average year by utility. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 32 The natural gas rates are trending slightly up over the last three years. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 33 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. 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 $22,000 in 3 years. The main driver of the cost increase is the increase in gas use, costs and rate have all grown dramatically in the past three years. The following table shows the baseline year 2017 consumption of energy, utility cost, utility rate and the individual utility escalation of usage, cost and utility rate from 2015 to 2017. What this table shows is that the actual observed cost escalation is 3% per year on average. This is on par with the industry standard EERC (v2.0-17 currently) escalation of 3.43%. It should be noted that water use and costs would dramatically change this utility picture. Short Name Elec Rate ($/kWh) Gas Rate ($/therm) CIVIC $0.1810 $1.10 POLICE $0.2323 $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 $0.2174 $1.13 Utility Utility Use Cal Year 2017 (Units/yr) Total Cost Cal Year 2017 ($/yr) % of Total Cost Rank on Total Cost (#) Avg Cost Escalation (%/yr) Electricity (kWh/yr) 1,727,058 $340,517 88.0% 1 1.82% Gas (therms/yr) 44,602 $49,015 12.0% 2 13.30% Total -- $389,532 -- -- 3.01% Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 34 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. The following chart shows what the cumulative utility costs would be for “business as usual” and with the ESA for a 10 year period. The total difference between these two escalations is $1.7M over 10 years. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 35 Environmental Impact Analysis 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. Short Name Total Emissions from Cal Year 2015 (mtCO2/yr) Total Emissions from Cal Year 2016 (mtCO2/yr) Total Emissions from Cal Year 2017 (mtCO2/yr) Average Annual Emissions by Site (mtCO2/yr) Rank on Total Emissions (#) 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 6 CORP_YARD 16 17 18 17 3 PARK 0 0 0 0 PARKING 0 0 0 0 Total 210 249 237 232 -- Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 36 The following chart shows the percent breakdown of emissions by utility for the average emissions over 2015-2017 for the buildings. The following chart shows the total emissions by calendar year broken down by total building emissions. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 37 The following chart shows the percentage of emissions by site. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 38 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 Average Annual Emissions by Site (mtCO2/yr) Elec Savings (kWh/yr) Emissions Saved from Elec (mtCO2/yr) Gas Savings (therms/yr) Emissions Saved from Gas (mtCO2/yr) Total Emissions Savings (mtCO2/yr) % Emission Saved (%) Proposed Annual Emissions by Site (mtCO2/yr) CIVIC 149 351,811 0 6,161 33 33 22.00% 116 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 0 140 1 1 2.50% 29 YOUTH 6 25,023 0 255 1 1 23.48% 4 CORP_YARD 17 41,739 0 334 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 Short Name Total Emissions Savings (mtCO2/yr) % Emission Saved (%) Tree Seedlings Grown for 10 yrs (#) Acres of Trees Storing Carbon for 1 yr (#) Passenger Vehicles Driven for 1 yr (#) Gallons of Gasoline Consumed (#) Homes Electrical Use for 1 yr (#) CIVIC 33 22.00% 840 39 7 80,335 5 POLICE 4 24.78% 97 4 1 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 0 0.00% 0 0 0 0 0 Total 41 17.76% 1,056 48 9 100,924 6 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 39 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: Abbv. Description Abbv. Description AC AIR CONDITIONER DX FCU FAN COIL UNIT AHU AIR HANDELING UNIT HP HEAT PUMP BLR 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 40 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 AHU’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 AHUs. Pneumatic Control System The building has a legacy pneumatic control system in the building that controls the AHU-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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 41 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 42 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. 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 43 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. 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 44 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. 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. 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 45 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. 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. 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 46 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. 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. 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 47 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. 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 48 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 over time. 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 49 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 50 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. 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 51 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 52 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. 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 53 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 54 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. Police Operations Building 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. To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 55 To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 56 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 57 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 58 Key Findings • Civic o CHW system appears to be operating around the clock o Chiller has CHW reset in place, but reversed o Chiller hunts / short cycles during periods o CHW/CDW systems suffer from low DT syndrome o HHW system appears to be operational around the clock o HHW pump operates 24/7 regardless of boiler firing or cycling o No HHW OAT reset implemented o HHW system suffers from low DT o AHU-1S operates 24/7 to service the 911 Dispatch center o Space temps for the unit are constant throughout the day regardless of time or occupancy o Majority of supply air is new fresh air rather than return air o Many areas supplied are conditioned when they do not need to be • Police Operations o All RTUs appear to be running 24/7 to cool/heat the space o Some RTUs have the fan overridden in the on position o The space temperatures in the building are generally below 74F o Even though all RTUs have an economizer package installed, none appear to be functional or operational based on the logged data o 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 o Zone temps in the building are maintained between 70F and 75F around the clock o There are no set temperature setbacks implemented in the zones o Lighting controls seem to be turning the lights off when unoccupied • Adult Recreation o The MAU serving the 2nd floor offices cycles daily, but has no modulation or schedule other than a daily, operates ~64% of the time o The small multipurpose room is maintained between 70F and 74F around the clock with no temperature setbacks or schedule o 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 The fan runs 100% of the time based on motor state logging o The FCUs in the spaces condition the space 24/7 based on data logged with ranges of temperatures between 69F and 78F • Youth Recreation o Main office space temperature range was between 68F and 83F indicating that the main RTU conditioned the space nearly the whole time o Based on the rises and falls in the temperatures it looks like the unit never turned off o 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 59 • General o It appears that economizers across the town are non-functional, either wide open or closed resulting in excessive energy use o Many systems operate 24/7 for no reason o 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 o Spaces are often cold when entering o Occupants are reasonably good about turning lights off when the space is unoccupied Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 60 5 ECM Summaries Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 61 5. ECM Summaries Introduction 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. ECM # ECM Description ECM Elec Energy Savings (kWh/yr) ECM Gas Savings (therms/yr) Elec Cost Savings ($/yr) Gas Cost Savings ($/yr) Total Cost Savings ($/yr) 1.01 Integrate / Optimize BMS to Alerton 206,578 4,180 $37,605 $4,595 $42,200 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 $0 $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 $0 $1,998 2.09 Mech Shop Heater Replacement 0 69 $0 $87 $87 2.10 HVAC Engr Office 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 Lighting Efficiency & Controls Installation 274,934 0 $60,961 $0 $60,961 3.03 Park & Parking Lots - Lighting Efficiency & Controls Upgrade 78,617 0 $14,241 $0 $14,241 7.01 Replace Door Sweeps and Seals 1,556 298 $282 $326 $608 Total -- 671,377 7,740 $135,388 $8,611 $143,999 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 62 ECM Section 5.1 - Controls ECM 1.01 – Integrate / Optimize BMS to Alerton 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 63 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), AHUs (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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 64 ECM 1.06 – Install BMS in Buildings 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 65 ECM Section 5.2 – HVAC ECM 2.03 – Replace Split DX Units for Server Rooms 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 66 ECM 2.05 – Replace MAU on Roof Existing Conditions 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 67 ECM 2.06 – Replace RTU on Roof 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 68 ECM 2.07 – DX Coil Protection – HVAC Armor 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. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 69 ECM 2.09 – Replace Mechanics Shop Heaters Existing Conditions 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 70 ECM 2.10 – HVAC Replacement in Engineering Office 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 71 ECM 2.11 – Install VFD & Dampers on AHU-1S Existing Conditions In the Civic building the existing AHU-1S 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 Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 72 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 73 ECM Section 5.3 – Lighting ECM 3.01 – Building Lighting Efficiency & Controls Upgrade Existing Conditions 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 74 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 75 ECM Section 5.4 - Envelope ECM 7.01 – Repair / Replace Door Sweeps and Seals Existing Conditions 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 entering the building increasing the heating load. Both result in higher energy use to condition the spaces. 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 76 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. ECM Name ECM Category ECM Description Reason for Not Including Install Programmable Thermostats 1 – Controls Install new programmable thermostats for standalone equipment The customer elected to install building wide BMS negating this measure. Install VFD on HHW Pump 2 – HVAC Install VFD on the existing HHW pump system to vary the flow rate of water. Capital cost to replace existing reheat CVs with new DDC and re-pipe to 2 way was cost prohibitive for the savings generated. Replace V-Belts with Cogged Belts 2 – HVAC Install new cogged V- belts on belt driven equipment. 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. Separate HVAC for 911 Dispatch 2 – HVAC Add new dedicated HVAC system for 911 dispatch center in order to completely turn off AHU-1S This is operationally less desirable than installing a VFD on AHU-1S Street Lighting Controls Upgrade 3 – Lighting Retrofit existing street lighting system with new dimmable controls 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 Replace Power Transformers with High Efficiency 6 – Electrical Replace existing power transformers with new high efficiency ones Upon deeper investigation it was concluded that there were no viable Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 77 ECM Name ECM Category ECM Description Reason for Not Including transformers to be retrofit Emergency Generator Block Heater Replacement 6 – Electrical replace the existing electric block heater for generator with new heat pump system to elongate life of heater and reduce energy consumption this was removed from the project due to unfavorable economics Install Low Flow Water Devices 4 – Water Upgrade existing water consumption devices with low flow fixtures and aerators. Water conservation measures are not eligible for PG&E OBF_NI funding and are removed from this project. Window Film 7 – Envelope Install window film to reduce heat gain and glare Upon detailed investigation there was too much shade over windows, reducing the savings potential. Computer Power Management System 8 – Plug Load Management Implement an IT level software system to monitor and turn off computer, printers and peripheral equipment to save energy. After initial interest by the IT Department, it was determined that this would place too much burden on the team to support and implement Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 78 6 On-Bill Financing – Non-Incentive Path Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 79 6. On-Bill Financing – Non-Incentive Path 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. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 80 7 Implementation & Verification Plans Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 81 7. 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, O&M manuals and as built audits and drawings. To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 82 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & Ve r i f i c a t i o n P l a n Operations & Maintenance Plan 1. 0 1 Up g r a d e B M S Co n t r o l s BM S w i l l b e i n s t a l l e d a n d t h e co n t r o l s c o n t r a c t o r w i l l c o m p l e t e a f u l l p o i n t t o p o i n t v e r i f i c a t i o n . Co m m i s s i o n i n g a g e n t w i l l v e r i f y . Fu l l B M S p o i n t - t o - p o i n t c h e c k w i l l be c o m p l e t e d o n a l l e q u i p m e n t . Po s t i n s t a l l a t i o n t r e n d s c a n b e us e d t o v e r i f y s y s t e m r u n h o u r s , te m p e r a t u r e s e t p o i n t s , ec o n o m i z e r s e t t i n g s a n d op e r a t i o n a l s c h e d u l e s . T h i s t r e n d da t a c a n b e u t i l i z e d t o r e c a l c u l a t e sa v i n g s i f n e e d b e . C Ut i l i z e I P M V P O p t i o n C , w h o l e bu i l d i n g a n a l y s i s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Tr e n d p o i n t s t o b e s e t u p a n d co l l e c t e d i n c l u d e O A T ( b u i l d i n g wi d e ) , S A T , R A T , f a n s t a t u s , f a n s p e e d we r e i n s t a l l e d , d a m p e r p o s i t i o n s , s e t po i n t a n d s p a c e t e m p f o r e a c h p i e c e of e q u i p m e n t . Controls contractor will provide onsite and classroom training to facilities personnel on operation of new BMS. Comprehensive operation and maintenance manual will be provided. 1. 0 6 Im p l e m e n t A l e r t o n Co n t r o l s BM S w i l l b e i n s t a l l e d a n d t h e co n t r o l s c o n t r a c t o r w i l l c o m p l e t e a f u l l p o i n t t o p o i n t v e r i f i c a t i o n . Co m m i s s i o n i n g a g e n t w i l l v e r i f y . Fu l l B M S p o i n t - t o - p o i n t c h e c k w i l l be c o m p l e t e d o n a l l e q u i p m e n t . Po s t i n s t a l l a t i o n t r e n d s c a n b e us e d t o v e r i f y s y s t e m r u n h o u r s , te m p e r a t u r e s e t p o i n t s , ec o n o m i z e r s e t t i n g s a n d op e r a t i o n a l s c h e d u l e s . T h i s t r e n d da t a c a n b e u t i l i z e d t o r e c a l c u l a t e sa v i n g s i f n e e d b e . C Ut i l i z e I P M V P O p t i o n C , w h o l e bu i l d i n g a n a l y s i s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Tr e n d p o i n t s t o b e s e t u p a n d co l l e c t e d i n c l u d e O A T ( b u i l d i n g wi d e ) , S A T , R A T , f a n s t a t u s , f a n s p e e d we r e i n s t a l l e d , d a m p e r p o s i t i o n s , s e t po i n t a n d s p a c e t e m p f o r e a c h p i e c e of e q u i p m e n t . Controls contractor will provide onsite and classroom training to facilities personnel on operation of new BMS. Comprehensive operation and maintenance manual will be provided. 2. 0 3 Re p l a c e S p l i t D X Un i t s f o r S e r v e r Ro o m s P re a n d p o s t vo l t a g e a n d am p e r a g e r e a d i n g s w i l l b e t a k e n to v e r i f y p o w e r c o n s u m p t i o n . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . M echanical contractor will provide onsite training of operation of new equipment. Comprehensive To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 83 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & Ve r i f i c a t i o n P l a n Operations & Maintenance Plan ag e n t w i l l v e r i f y . Pr e a n d p o s t th e r m o s t a t s e t p o i n t s w i l l b e re c o r d e d . Co l l e c t EE R a n d t e m p e r a t u r e s e t po i n t s t o v e r i f y s a v i n g s . operation and maintenance manual will be provided. 2. 0 5 Re p l a c e M A U o n Ro o f Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l iz e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Fo l l o w o n t r e n d i n g w o u l d r e q u i r e da t a l o g g e r s t o b e d e p l o y e d . D a t a t o be g a t h e r e d w o u l d b e u n i t S A T , R A T , cu r r e n t d r a w , s p a c e t e m p e r a t u r e s an d O A T . T h e s e p a r a m e t e r s w o u l d b e ut i l i z e d t o m o d i f y s a v i n g s c a l c u l a t i o n s if n e e d e d . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 0 6 Re p l a c e R T U o n Ro o f Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , e qu i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Fo l l o w o n t r e n d i n g w o u l d r e q u i r e da t a l o g g e r s t o b e d e p l o y e d . D a t a t o be g a t h e r e d w o u l d b e u n i t S A T , R A T , cu r r e n t d r a w , s p a c e t e m p e r a t u r e s an d O A T . T h e s e p a r a m e t e r s w o u l d b e ut i l i z e d t o m o d i f y s a v i n g s c a l c u l a t i o n s if n e e d e d . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 0 7 DX C o i l P r o t e c t i o n – H V A C A r m o r Pr e a n d p o s t p h o t o s o f t h e co n d i t i o n o f t h e c o i l s a n d a n y sy s t e m c o m p o n e n t s t h a t a r e d i r t y or d a m a g e d a n d c o i l c o a t i n g a n d co a t i n g c o n t a i n e r s . M a n u f a c t u r e r in s t a l l a t i o n p r o c e d u r e s w i l l b e fo l l o w e d . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t O A T , c o m p r e s s o r i n l e t a n d ou t l e t p r e s s u r e s a n d t e m p e r a t u r e s , co n d e n s e r o u t l e t t e m p e r a t u r e a n d Coating contractor will provide onsite training of operation of new equipment. Comprehensive operation and To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 84 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & Ve r i f i c a t i o n P l a n Operations & Maintenance Plan ca l c u l a t e C O P o f u n i t . P e r f o r m t h i s te s t i n g p r e a n d p o s t i n s t a l l a t i o n t o ve r i f y s a v i n g s . maintenance manual will be provided. 2. 0 9 Re p l a c e M e c h a n i c s Sh o p H e a t e r s Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t c o m b u s t i o n e f f i c i e n c y a n d te m p e r a t u r e s e t p o i n t s t o v e r i f y sa v i n g s . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 1 0 HV A C R e p l a c e m e n t in E n g i n e e r i n g Of f i c e Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t c o m b u s t i o n e f f i c i e n c y a n d te m p e r a t u r e s e t p o i n t s t o v e r i f y sa v i n g s . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 1 1 In s t a l l V F D & Da m p e r s o n A H U - 1S Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w a t v a r i o u s op e r a t i o n a l s e t p o i n t s . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y sc h e d u l e a n d s e t p o i n t s o n a l l eq u i p m e n t v i a B M S . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t O A T , S A T , R A T a n d s e t p o i n t te m p e r a t u r e s a l o n g w i t h V F D s p e e d to v e r i f y s a v i n g s . Mechanical and controls contractors will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 3. 0 1 Li g h t i n g E f f i c i e n c y & C o n t r o l s Up g r a d e Up d a t e l i n e b y l i n e a u d i t w i t h ac t u a l c o u n t s a n d w a t t a g e s o f ne w e q u i p m e n t . S p o t c h e c k in s t a l l a t i o n o f s t a t i s t i c a l l y A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Lighting contractor will provide training on new fixtures and provide appropriate To w n o f L o s G a t o s In v e s t m e n t G r a d e A u d i t Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 85 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & Ve r i f i c a t i o n P l a n Operations & Maintenance Plan si g n i f i c a n t q u a n t i t y o f f i x t u r e s . Ch e c k w a t t a g e d r a w f o r f i x t u r e t o ve r i f y a g a i n s t p r o p o s e d sp e c i f i c a t i o n . If n e e d e d , d e pl o y d a t a l o g g e r s t o tr a c k l i g h t i n g o u t p u t t o c a l c u l a t e r u n ho u r s . maintenance stock of new lamps and fixtures. Comprehensive operation and maintenance manual will be provided. 3. 0 2 Pa r k i n g L o t s & Pa r k s L i g h t i n g Ef f i c i e n c y & Co n t r o l s U p g r a d e Up d a t e l i n e b y l i n e a u d i t w i t h ac t u a l c o u n t s a n d w a t t a g e s o f ne w e q u i p m e n t . S p o t c h e c k in s t a l l a t i o n o f s t a t i s t i c a l l y si g n i f i c a n t q u a n t i t y o f f i x t u r e s . Ch e c k w a t t a g e d r a w f o r f i x t u r e t o ve r i f y a g a i n s t p r o p o s e d sp e c i f i c a t i o n . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . If n e e d e d , d e p l o y d a t a l o g g e r s t o tr a c k l i g h t i n g o u t p u t t o c a l c u l a t e r u n ho u r s . Lighting contractor will provide training on new fixtures and provide appropriate maintenance stock of new lamps and fixtures. Comprehensive operation and maintenance manual will be provided. 7. 0 1 Re p l a c e D o o r Sw e e p s a n d S e a l s Re c o r d p r e a n d p o s t p h o t o s o f do o r g a p s a r o u n d s w e e p s a n d se a l s . M e a s u r e a n i n d i c a t i v e sa m p l i n g o f o b s e r v e d g a p s . A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l a n a l y s i s t o r e a l i z e e n e r g y sa v i n g s . M e a s u r e a i r g a p s p r e a n d po s t . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Envelope contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 86 8 Construction Schedule Town of Los Gatos Investment Grade Audit September 2018 Proprietary and Confidential Page 87 8. Construction Schedule 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. Exhibit B – Project Schedule ID Ta s k Mo d e Ta s k N a m e Du r a t i o n S t a r t F i n i s h Pr e d e c e s s o r s 1 2 No t i c e t o P r o c e e d 0 d a y s Mo n 1 0 / 8 / 1 8 Mo n 1 0 / 8 / 1 8 3 Is s u e S u b - c o n t r a c t s 13 d a y s Mo n 1 0 / 8 / 1 8 We d 1 0 / 2 4 / 1 8 4 Pr e p a r e s u b c o n t r a c t s 10 d a y s Mo n 1 0 / 8 / 1 8 Fr i 1 0 / 1 9 / 1 8 2 5 Su b c o n t r a c t s t o m a j o r s u b s 3 d a y s Mo n 1 0 / 2 2 / 1 8 We d 1 0 / 2 4 / 1 8 4 6 De s i g n a n d s u b m i t t a l s 15 d a y s Th u 1 0 / 2 5 / 1 8 We d 1 1 / 1 4 / 1 8 5 7 Me c h a n i c a l 10 d a y s Th u 1 0 / 2 5 / 1 8 We d 1 1 / 7 / 1 8 5 8 Co n t r o l s 15 d a y s Th u 1 0 / 2 5 / 1 8 We d 1 1 / 1 4 / 1 8 5 9 Li g h t i n g 10 d a y s Th u 1 0 / 2 5 / 1 8 We d 1 1 / 7 / 1 8 5 10 En v e l o p e 5 d a y s Th u 1 0 / 2 5 / 1 8 We d 1 0 / 3 1 / 1 8 5 11 Ci t y P e r m i t f o r H V A C S O W 20 d a y s Th u 1 1 / 8 / 1 8 We d 1 2 / 5 / 1 8 7 12 Pr o c u r e m e n t o f E q u i p m e n t 55 d a y s Th u 1 1 / 1 / 1 8 We d 1 / 1 6 / 1 9 13 Me c h a n i c a l 30 d a y s Th u 1 2 / 6 / 1 8 We d 1 / 1 6 / 1 9 7, 1 1 14 Co n t r o l s 30 d a y s Th u 1 1 / 1 5 / 1 8 We d 1 2 / 2 6 / 1 8 8 15 Li g h t i n g 25 d a y s Th u 1 1 / 8 / 1 8 We d 1 2 / 1 2 / 1 8 9 16 En v e l o p e 10 d a y s Th u 1 1 / 1 / 1 8 We d 1 1 / 1 4 / 1 8 10 17 Si t e I n s t a l l a t i o n / C o n s t r u c t i o n 13 7 d a y s Fr i 9 / 2 8 / 1 8 Mo n 4 / 8 / 1 9 18 Mo b a l i z a t i o n / S i t e K i c k O f f M e e t i n g 2 d a y s Th u 1 1 / 1 5 / 1 8 Fr i 1 1 / 1 6 / 1 8 16 19 Ho l i d a y s 5 d a y s Mo n 1 2 / 2 4 / 1 8 Fr i 1 2 / 2 8 / 1 8 20 Me c h a n i c a l S O W 94 d a y s Fr i 9 / 2 8 / 1 8 We d 2 / 6 / 1 9 21 2. 0 5 - A d u l t - R e p l a c e M A U o n R o o f - C o o r d i n a t i o n 10 d a y s Th u 1 / 1 7 / 1 9 We d 1 / 3 0 / 1 9 13 22 2. 0 5 - A d u l t - R e p l a c e M A U o n R o o f - I n s t a l l a n d s t ar t u p . 5 d a y s Th u 1 / 3 1 / 1 9 We d 2 / 6 / 1 9 21 23 2. 0 6 - Y o u t h - R e p l a c e R T U o n r o o f - C o o r d i n a t i o n 10 d a y s Th u 1 / 1 7 / 1 9 We d 1 / 3 0 / 1 9 13 24 2. 0 6 - Y o u t h - R e p l a c e R T U o n r o o f - I n s t a l l 5 d a y s Th u 1 / 3 1 / 1 9 We d 2 / 6 / 1 9 23 25 2. 0 3 - C i v i c - R e p l a c e s p l i t D X u n i t s f o r s e r v e r - Co o r d i n a t i o n 10 d a y s Th u 1 / 1 7 / 1 9 We d 1 / 3 0 / 1 9 13 26 2. 0 3 - C i v i c - R e p l a c e s p l i t D X u n i t s f o r s e r v e r - In s t a l l 5 d a y s Th u 1 / 3 1 / 1 9 We d 2 / 6 / 1 9 25 27 1. 0 3 - C i v i c - S u b m e t e r U t i l i t i e s a t M u s e u m 10 d a y s Fr i 9 / 2 8 / 1 8 Th u 1 0 / 1 1 / 1 8 28 2. 1 1 - C i v i c - I n s t a l l d a m p e r s a t A H U - 1 S + V F D 15 d a y s Fr i 1 0 / 1 2 / 1 8 Th u 1 1 / 1 / 1 8 27 29 2. 0 9 - C o r p Y a r d - M e c h S h o p - H e a t e r R e p l a c e m e n t 10 d a y s Fr i 1 1 / 2 / 1 8 Th u 1 1 / 1 5 / 1 8 28 30 2. 1 0 - C o r p Y a r d - H V A C E n g r O f f i c e R T U R e p l a c e m e n t 15 d a y s Fr i 1 1 / 1 6 / 1 8 Th u 1 2 / 6 / 1 8 29 31 Co n t r o l s S O W 96 d a y s Mo n 1 1 / 1 9 / 1 8 Mo n 4 / 1 / 1 9 32 1. 0 1 - C i v i c - I n t e g r a t e / O p t i m i z e B M S t o A l e r t o n 15 d a y s Th u 1 2 / 2 7 / 1 8 We d 1 / 1 6 / 1 9 14 33 1. 0 1 - L i b r a r y - I n t e g r a t e / O p t i m i z e B M S t o A l e r t o n 10 d a y s Th u 1 / 1 7 / 1 9 We d 1 / 3 0 / 1 9 32 34 1. 0 1 - C i v i c - S u b m i t t e r U t i l i t i e s t o M u s e u m 10 d a y s Mo n 1 1 / 1 9 / 1 8 Fr i 1 1 / 3 0 / 1 8 18 35 1. 0 1 - L i b r a r y - S u b m e t e r i n t e g r a t i o n o f B l d g M e t e r s 5 d a y s Th u 1 / 3 1 / 1 9 We d 2 / 6 / 1 9 33 36 1. 0 6 - P o l i c e , Y o u t h - I n s t a l l C o n t r o l s / E c o n o m i z e r 50 d a y s Th u 1 / 1 7 / 1 9 We d 3 / 2 7 / 1 9 32 37 En s u r e a l l t r e n d s a r e s e t u p a n d o p e r a t i o n a l f o r M & V 3 d a y s Th u 3 / 2 8 / 1 9 Mo n 4 / 1 / 1 9 36 38 Li g h t i n g S O W 55 d a y s Th u 1 2 / 1 3 / 1 8 We d 2 / 2 7 / 1 9 39 3. 0 1 - C i v i c - L i g h t i n g & L i g h t i n g C o n t r o l s 30 d a y s Th u 1 2 / 1 3 / 1 8 We d 1 / 2 3 / 1 9 15 40 3. 0 1 - P o l i c e - L i g h t i n g & L i g h t i n g C o n t r o l s 15 d a y s Th u 1 2 / 1 3 / 1 8 We d 1 / 2 / 1 9 15 41 3. 0 1 - A d u l t - L i g h t i n g & L i g h t i n g C o n t r o l s 20 d a y s Th u 1 2 / 1 3 / 1 8 We d 1 / 9 / 1 9 15 42 3. 0 1 - Y o u t h - L i g h t i n g & L i g h t i n g C o n t r o l s 15 d a y s Th u 1 2 / 1 3 / 1 8 We d 1 / 2 / 1 9 15 43 3. 0 1 - C o r p Y a r d - L i g h t i n g & L i g h t i n g C o n t r o l s 20 d a y s Th u 1 2 / 1 3 / 1 8 We d 1 / 9 / 1 9 15 44 3. 0 1 - L i b r a r y - L i g h t i n g & L i g h t i n g C o n t r o l s 15 d a y s Th u 1 2 / 1 3 / 1 8 We d 1 / 2 / 1 9 15 45 3. 0 3 - P a r k s - O u t d o o r L i g h t i n g R e t r o f i t 50 d a y s Th u 1 2 / 1 3 / 1 8 We d 2 / 2 0 / 1 9 15 46 3. 0 3 - P a r k i n g L o t s - O u t d o o r L i g h t i n g r e t r o f i t 40 d a y s Th u 1 2 / 1 3 / 1 8 We d 2 / 6 / 1 9 15 47 Fi n a l M & V R e p o r t & C l o s e O u t 5 d a y s Th u 2 / 2 1 / 1 9 We d 2 / 2 7 / 1 9 45 48 No t i c e o f S u b s t a n t i a l C o m p l e t i o n 0 d a y s We d 2 / 2 7 / 1 9 We d 2 / 2 7 / 1 9 47 49 Mi s c . S O W 22 d a y s Mo n 1 1 / 1 9 / 1 8 Tu e 1 2 / 1 8 / 1 8 50 2. 0 7 - P o l i c e , A d u l t - C o i l P r o t e c t i o n 20 d a y s Mo n 1 1 / 1 9 / 1 8 Fr i 1 2 / 1 4 / 1 8 5, 1 8 51 7. 0 1 - C i v i c - I n s t a l l D o o r S w e e p s a n d S e a l s 10 d a y s Mo n 1 1 / 1 9 / 1 8 Fr i 1 1 / 3 0 / 1 8 10 , 1 8 52 Fi n a l M & V R e p o r t & C l o s e O u t 2 d a y s Mo n 1 2 / 1 7 / 1 8 Tu e 1 2 / 1 8 / 1 8 50 53 No t i c e o f S u b s t a n t i a l C o m p l e t i o n 0 d a y s Tu e 1 2 / 1 8 / 1 8 Tu e 1 2 / 1 8 / 1 8 52 54 Tu r n O v e r & C l o s e O u t 5 d a y s Tu e 4 / 2 / 1 9 Mo n 4 / 8 / 1 9 37 55 Su b m i t A s - B u i l t 5 d a y s Tu e 4 / 2 / 1 9 Mo n 4 / 8 / 1 9 56 Su b m i t O & M 5 d a y s Tu e 4 / 2 / 1 9 Mo n 4 / 8 / 1 9 57 Tr a i n i n g 5 d a y s Tu e 4 / 2 / 1 9 Mo n 4 / 8 / 1 9 58 Su b m i t O B F C l o s e O u t D o c u m e n t a t i o n 5 d a y s Tu e 4 / 2 / 1 9 Mo n 4 / 8 / 1 9 59 PG E L o a n F u n d i n g 0 d a y s Mo n 4 / 8 / 1 9 Mo n 4 / 8 / 1 9 58 10 / 8 2/27 12/18 4/8 Au g Se p Oc t No v Dec Jan Feb Mar Apr May Au g u s t Se p t e m b e r Oc t o b e r No v e m b e r De c e m b e r January February March April May Ta s k Sp l i t Mi l e s t o n e Su m m a r y Pr o j e c t S u m m a r y In a c t i v e T a s k In a c t i v e M i l e s t o n e In a c t i v e S u m m a r y Ma n u a l T a s k Du r a t i o n - o n l y Ma n u a l S u m m a r y R o l l u p Ma n u a l S u m m a r y St a r t - o n l y Fi n i s h - o n l y Ex t e r n a l T a s k s Ex t e r n a l M i l e s t o n e De a d l i n e Pr o g r e s s Manual Progress Pa g e 1 Pr o j e c t : T O L G C o n s t r u c t i o n S c h Da t e : T u e 9 / 2 5 / 1 8 Exhibit C – Payment Schedule Contract Amount 1-Oct-18 1-Nov-18 1-Dec-18 1-Jan-19 1-Feb-19 1-Mar-19 1-Apr-19 1-May-19 Total 1,664,358$ Mobilization - Oct 2018 Billing 416,090$ 195,000$ 250,000$ 200,000$ 250,000$ 155,000$ 145,000$ 53,268$ 1,664,358$ Nov 2018 - Billing 195,000$ Dec 2018 Billing 250,000$ Jan 2019 Billing 200,000$ Feb 2019 Billing 250,000$ Mar 2019 Billing 155,000$ Apr 2019 Billing 145,000$ May 2019 Billing 53,268$ Total 1,664,358$ TOWN OF LOS GATOS - ENERGY EFFICIENCY PROJECT - PROGRESS PAYMENT SCHEDULE Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Energy Services Proposal – Exhibit D Prepared for the Town of Los Gatos, CA Date Submitted: September 7, 2018 Presented by: Chad Olsen, PE, CEM Gabe Johnson Doc Revision: R02.1 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 1 Table of Contents SECTION 0 – EXECUTIVE SUMMARY ....................................................................................... 2 SECTION 1 – 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 .....................................................................................................................5 2.3 CLARIFICATIONS & EXCLUSIONS ................................................................................................7 2.4 EXTENT OF SUBCONTRACTING ..................................................................................................7 2.5 PROJECT SCHEDULE ..................................................................................................................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 4.1 FIRM-FIXED PROJECT COST ...................................................................................................... 29 4.2 ITEMS INCLUDED IN PROJECT COST ......................................................................................... 29 4.3 ONGOING SERVICES ................................................................................................................ 30 4.4 SES COMPENSATION ............................................................................................................... 30 4.5 TERMS AND CONDITIONS ........................................................................................................ 30 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 2 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 BMS 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. 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. Utility Use Savings CIVIC POLICE LIBRARY ADULT YOUTH CORP_YARD PARK PARKING TOTAL UNITS 2017 Actual Elect Use 756,122 196,023 425,354 140,321 54,216 156,838 123,416 53,802 1,906,091 kWh/yr 2017 Actual Gas Use 28,502 2,921 3,127 5,483 1,185 3,384 0 0 44,602 therms/yr Total Electrical Savings 351,811 92,321 31,219 50,647 25,023 41,739 48,381 30,235 671,377 kWh/yr Savings from Lighting 93,509 67,820 16,448 41,075 18,561 37,520 48,381 30,235 353,550 kWh/yr Savings from HVAC 64,939 5,210 0 9,572 1,946 4,219 0 0 85,886 kWh/yr Savings from Balance 193,363 19,291 14,771 0 4,516 0 0 0 231,941 kWh/yr Total Gas Savings 6,161 710 140 140 255 334 0 0 7,740 therms/yr Savings from HVAC 1,823 0 0 140 28 334 0 0 2,325 therms/yr Savings from DHW 0 0 0 0 0 0 0 0 0 therms/yr Savings from Balance 4,338 710 140 0 227 0 0 0 5,415 therms/yr Total Water Savings 0 0 0 0 0 0 0 0 0 CCF/yr Proposed Elec Use 404,311 103,702 394,135 89,674 29,193 115,099 75,034 23,567 1,234,714 kWh/yr Proposed Gas Use 22,341 2,211 2,987 5,343 930 3,050 0 0 36,862 therms/yr Proposed Elec Saving % 46.5% 47.1% 7.3% 36.1% 46.2% 26.6%39.2% 56.2% 35.2% -- Proposed Gas Savings % 21.6% 24.3% 4.5% 2.6% 21.5% 9.9% 0.0% 0.0% 17.4% -- Utility Cost Savings CIVIC POLICE LIBRARY ADULT YOUTH CORP_YARD PARK PARKING TOTAL UNITS 2017 Actual Elect Use $136,823 $45,580 $83,405 $28,696 $12,733 $41,779 $22,285 $9,796 $381,097 $/yr 2017 Actual Gas Use $31,213 $3,606 $3,817 $4,863 $1,273 $4,243 $0 $0 $49,015 $/yr Total Electrical Savings $63,662 $21,442 $6,122 $10,358 $5,877 $13,687 $8,736 $5,505 $135,388 $/yr Total Gas Savings $6,747 $877 $171 $124 $274 $419 $0 $0 $8,611 $/yr Total Utility Savings $70,409 $22,319 $6,293 $10,482 $6,151 $14,106 $8,736 $5,505 $143,999 $/yr Proposed Elec Use $73,161 $24,138 $77,284 $18,339 $6,856 $28,092 $13,549 $4,291 $245,709 $/yr Proposed Gas Use $24,466 $2,730 $3,646 $4,739 $999 $3,824 $0 $0 $40,403 $/yr Proposed Elec Saving % 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% 9.9% 0.0% 0.0% 17.6% -- Actual Annual Utility Cost $168,036 $49,186 $87,222 $33,559 $14,006 $46,022 $22,285 $9,796 $430,112 $/yr Est Annual Cost Savings $70,409 $22,319 $6,293 $10,482 $6,151 $14,106 $8,736 $5,505 $143,999 $/yr Est Annual Savings % 41.9% 45.4% 7.2% 31.2% 43.9% 30.7% 39.2% 56.2% 33.5% -- Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 3 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 87% of Project Cost Estimated Net Cost to the Town of Los Gatos (paid using approved CIP Funds) $224,363 The following table is the ECM break down of Total Cost Savings, ECM Price, Simple Payback, the Estimated OBF Financing amount and Estimated Emission Savings. ECM # ECM Description Total Cost Savings ($/yr)ECM Price ($)Est On Bill Financing ($) Total Emissions Savings (mtCO2/yr) 1.01 Integrate / Optimize BMS to Alerton $42,200 $472,100 $421,997 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 Engr 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 & Parking 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 $1,664,358 $1,439,995 41 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 4 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. Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 5 SECTION 2 – SCOPE OF WORK 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. 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. ECM # ECM Description ECM Elec Energy Savings (kWh/yr) ECM Gas Savings (therms/yr) Elec Cost Savings ($/yr) Gas Cost Savings ($/yr) Total Cost Savings ($/yr)ECM Price ($) 1.01 Integrate / Optimize BMS to Alerton 206,578 4,180 $37,605 $4,595 $42,200 $472,100 1.06 Install Controls 23,807 937 $5,541 $1,120 $6,661 $135,946 2.03 Replace Split DX units 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 Coil Protection 9,063 0 $1,998 $0 $1,998 $18,319 2.09 Mech Shop Heater Replacement 0 69 $0 $87 $87 $32,276 2.10 HVAC Engr Office Replacement 4,219 265 $1,384 $332 $1,716 $117,326 2.11 VFD & Damper on AHU-1S 59,117 1,823 $10,697 $1,996 $12,694 $18,668 3.01 Lighting Efficiency & Controls Installation 274,934 0 $60,961 $0 $60,961 $516,837 3.03 Park & Parking Lots - Lighting Efficiency & Controls Upgrade 78,617 0 $14,241 $0 $14,241 $98,344 7.01 Replace Door Sweeps and Seals 1,556 298 $282 $326 $608 $7,153 Total -- 671,377 7,740 $135,388 $8,611 $143,999 $1,664,358 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 6 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. 5. 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. Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 7 2.3 CLARIFICATIONS & EXCLUSIONS 2.3.1 CLARIFICATIONS • 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. Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 8 2.5 PROJECT SCHEDULE 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 building there is a mix of existing 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 9 Mechanical • Civic o Install new DDC 2W control valve on AHU-2 serving the Police expansion, valve provided by controls contractor o Install (2) new BTU flow meters on HHW & CHW lines going to Museum wing, meters provided by controls contractor o 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 o 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 o 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 o Provide sequence of operation and implement for all equipment in written and soft form o Remove and replace existing Trane Summit control system with new Alerton components o Provide and integrate (1) new 2W control valve for AHU-2 o Provide and integrate (2) new BTU meters for HHW & CHW lines feeding the Museum wing o Provide and integrate (1) new domestic cold water meter feeding the Museum wing o Provide and integrate (2) new electric meters to submeter the electrical systems feeding the Museum wing • Library o Provide and integrate communications card for existing Cyberhawk submeter system to communicate to BMS o 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 10 • 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) Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 11 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 RTU’s Youth: (1) packaged RTU, (2) residential style forced air furnace with split DX cooling Controls • Police o Provide, install and integrate all controllers, wiring, programing and thermostats to control equipment o Implement economization optimization programing o Implement demand control ventilation programing • Youth o Provide, install and integrate all controllers, wiring, programing and thermostats to control equipment o Implement economization optimization programing o Implement demand control ventilation programing o Implement occ/unocc building scheduling and expanded set points o 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 O&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) Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 12 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) Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 13 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 o Remove existing wooden sleeper and dispose of o 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 14 ECM 2.06 – Replace RTU on Roof General Intent 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 o convenience outlet o no coil coatings o 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 15 • Provide Cx support, participate in Cx meetings and provide required documentation of implementation (as builts, startup checklists, start up forms) Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 16 ECM 2.07 – Coil Protection HVAC Armor General Intent 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 protectant 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 17 ECM 2.09 – Replace Shop Heaters 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, O&M manual • Provide owner/operator training Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 18 ECM 2.10 – Replace HVAC at Engineering Office General Intent 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 19 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-1S 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, O&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 o Drives to have kW / kWh points read back to the BMS and trended o 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 20 • 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 • 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 Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 21 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) Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 22 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) Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 23 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, O&M manual • Provide owner/operator training • Provide replacement stock for equipment as needed Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 24 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, O&M manuals and as built audits and drawings. To w n o f L o s G a t o s En e r g y S e r v i c e s P r o p o s a l Se p t e m b e r 2 0 1 8 P r o p r i e t a r y a n d C o n f i d e n t i a l P a g e 2 5 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & V e r i f i c a t i o n P l a n Operations & Maintenance Plan 1. 0 1 Up g r a d e B M S Co n t r o l s BM S w i l l b e i n s t a l l e d a n d t h e co n t r o l s c o n t r a c t o r w i l l c o m p l e t e a f u l l p o i n t t o p o i n t v e r i f i c a t i o n . Co m m i s s i o n i n g a g e n t w i l l v e r i f y . Fu l l B M S p o i n t - t o - p o i n t c h e c k w i l l be c o m p l e t e d o n a l l e q u i p m e n t . Po s t i n s t a l l a t i o n t r e n d s c a n b e us e d t o v e r i f y s y s t e m r u n h o u r s , te m p e r a t u r e s e t p o i n t s , ec o n o m i z e r s e t t i n g s a n d op e r a t i o n a l s c h e d u l e s . T h i s t r e n d da t a c a n b e u t i l i z e d t o r e c a l c u l a t e sa v i n g s i f n e e d b e . C Ut i l i z e I P M V P O p t i o n C , w h o l e bu i l d i n g a n a l y s i s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Tr e n d p o i n t s t o b e s e t u p a n d co l l e c t e d i n c l u d e O A T ( b u i l d i n g wi d e ) , S A T , R A T , f a n s t a t u s , f a n s p e e d we r e i n s t a l l e d , d a m p e r p o s i t i o n s , s e t po i n t a n d s p a c e t e m p f o r e a c h p i e c e of e q u i p m e n t . Controls contractor will provide onsite and classroom training to facilities personnel on operation of new BMS. Comprehensive operation and maintenance manual will be provided. 1. 0 6 Im p l e m e n t A l e r t o n Co n t r o l s BM S w i l l b e i n s t a l l e d a n d t h e co n t r o l s c o n t r a c t o r w i l l c o m p l e t e a f u l l p o i n t t o p o i n t v e r i f i c a t i o n . Co m m i s s i o n i n g a g e n t w i l l v e r i f y . Fu l l B M S p o i n t - t o - p o i n t c h e c k w i l l be c o m p l e t e d o n a l l e q u i p m e n t . Po s t i n s t a l l a t i o n t r e n d s c a n b e us e d t o v e r i f y s y s t e m r u n h o u r s , te m p e r a t u r e s e t p o i n t s , ec o n o m i z e r s e t t i n g s a n d op e r a t i o n a l s c h e d u l e s . T h i s t r e n d da t a c a n b e u t i l i z e d t o r e c a l c u l a t e sa v i n g s i f n e e d b e . C Ut i l i z e I P M V P O p t i o n C , w h o l e bu i l d i n g a n a l y s i s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Tr e n d p o i n t s t o b e s e t u p a n d co l l e c t e d i n c l u d e O A T ( b u i l d i n g wi d e ) , S A T , R A T , f a n s t a t u s , f a n s p e e d we r e i n s t a l l e d , d a m p e r p o s i t i o n s , s e t po i n t a n d s p a c e t e m p f o r e a c h p i e c e of e q u i p m e n t . Controls contractor will provide onsite and classroom training to facilities personnel on operation of new BMS. Comprehensive operation and maintenance manual will be provided. 2. 0 3 Re p l a c e S p l i t D X Un i t s f o r S e r v e r Ro o m s Pr e a n d p o s t vo l t a g e a n d am p e r a g e r e a d i n g s w i l l b e t a k e n to v e r i f y p o w e r c o n s u m p t i o n . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . P r e a n d p o s t A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t E E R a n d t e m p e r a t u r e s e t po i n t s t o v e r i f y s a v i n g s . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and To w n o f L o s G a t o s En e r g y S e r v i c e s P r o p o s a l Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 26 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & V e r i f i c a t i o n P l a n Operations & Maintenance Plan th e r m o s t a t s e t p o i n t s w i l l b e re c o r d e d . maintenan ce manual will be provided. 2. 0 5 Re p l a c e M A U o n Ro o f Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Fo l l o w o n t r e n d i n g w o u l d r e q u i r e da t a l o g g e r s t o b e d e p l o y e d . D a t a t o be g a t h e r e d w o u l d b e u n i t S A T , R A T , cu r r e n t d r a w , s p a c e t e m p e r a t u r e s an d O A T . T h e s e p a r a m e t e r s w o u l d b e ut i l i z e d t o m o d i f y s a v i n g s c a l c u l a t i o n s if n e e d e d . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 0 6 Re p l a c e R T U o n Ro o f Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Fo l l o w o n t r e n d i n g w o u l d r e q u i r e da t a l o g g e r s t o b e d e p l o y e d . D a t a t o be g a t h e r e d w o u l d b e u n i t S A T , R A T , cu r r e n t d r a w , s p a c e t e m p e r a t u r e s an d O A T . T h e s e p a r a m e t e r s w o u l d b e ut i l i z e d t o m o d i f y s a v i n g s c a l c u l a t i o n s if n e e d e d . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 0 7 DX C o i l P r o t e c t i o n – H V A C A r m o r Pr e a n d p o s t p h o t o s o f t h e co n d i t i o n o f t h e c o i l s a n d a n y sy s t e m c o m p o n e n t s t h a t a r e d i r t y or d a m a g e d a n d c o i l c o a t i n g a n d co a t i n g c o n t a i n e r s . M a n u f a c t u r e r in s t a l l a t i o n p r o c e d u r e s w i l l b e fo l l o w e d . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t O A T , c o m p r e s s o r i n l e t a n d ou t l e t p r e s s u r e s a n d t e m p e r a t u r e s , co n d e n s e r o u t l e t t e m p e r a t u r e a n d ca l c u l a t e C O P o f u n i t . P e r f o r m t h i s Coating contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. To w n o f L o s G a t o s En e r g y S e r v i c e s P r o p o s a l Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 27 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & V e r i f i c a t i o n P l a n Operations & Maintenance Plan te s t i n g p r e a n d p o s t i n s t a l l a t i o n t o ve r i f y s a v i n g s . 2. 0 9 Re p l a c e M e c h a n i c s Sh o p H e a t e r s Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t c o m b u s t i o n e f f i c i e n c y a n d te m p e r a t u r e s e t p o i n t s t o v e r i f y sa v i n g s . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 1 0 HV A C R e p l a c e m e n t in E n g i n e e r i n g Of f i c e Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y th e r m o s t a t s c h e d u l e a n d s e t po i n t s o n a l l u n i t s . A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e e q u i p m e n t u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t c o m b u s t i o n e f f i c i e n c y a n d te m p e r a t u r e s e t p o i n t s t o v e r i f y sa v i n g s . Mechanical contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 2. 1 1 In s t a l l V F D & Da m p e r s o n A H U - 1S Pr e a n d p o s t a i r f l o w me a s u r e m e n t s a t t h e u n i t w i l l b e ta k e n t o v e r i f y a i r f l o w a t v a r i o u s op e r a t i o n a l s e t p o i n t s . Ma n u f a c t u r e r s t a r t u p p r o c e d u r e s wi l l b e f o l l o w e d . C o m m i s s i o n i n g ag e n t w i l l v e r i f y . S e t a n d v e r i f y sc h e d u l e a n d s e t p o i n t s o n a l l eq u i p m e n t v i a B M S . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Co l l e c t O A T , S A T , R A T a n d s e t p o i n t te m p e r a t u r e s a l o n g w i t h V F D s p e e d to v e r i f y s a v i n g s . Mechanical and controls contractors will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. 3. 0 1 Li g h t i n g E f f i c i e n c y & C o n t r o l s Up g r a d e Up d a t e l i n e b y l i n e a u d i t w i t h ac t u a l c o u n t s a n d w a t t a g e s o f ne w e q u i p m e n t . S p o t c h e c k in s t a l l a t i o n o f s t a t i s t i c a l l y si g n i f i c a n t q u a n t i t y o f f i x t u r e s . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . If n e e d e d , d e p l o y d a t a l o g g e r s t o Lighting contractor will provide training on new fixtures and provide appropriate maintenance stock of To w n o f L o s G a t o s En e r g y S e r v i c e s P r o p o s a l Se p t e m b e r 2 0 1 8 Pr o p r i e t a r y a n d C o n f i d e n t i a l Page 28 EC M # EC M D e s c r i p t i o n Op e r a t i o n a l P e r f o r m a n c e Ve r i f i c a t i o n P l a n IP M V P Op t i o n Me a s u r e m e n t & V e r i f i c a t i o n P l a n Operations & Maintenance Plan Ch e c k w a t t a g e d r a w f o r f i x t u r e t o ve r i f y a g a i n s t p r o p o s e d sp e c i f i c a t i o n . tr a c k l i g h t i n g o u t p u t t o c a l c u l a t e r u n ho u r s . new lamps and fixtures. Comprehensive operation and maintenance manual will be provided. 3. 0 2 Pa r k i n g L o t s & Pa r k s L i g h t i n g Ef f i c i e n c y & Co n t r o l s U p g r a d e Up d a t e l i n e b y l i n e a u d i t w i t h ac t u a l c o u n t s a n d w a t t a g e s o f ne w e q u i p m e n t . S p o t c h e c k in s t a l l a t i o n o f s t a t i s t i c a l l y si g n i f i c a n t q u a n t i t y o f f i x t u r e s . Ch e c k w a t t a g e d r a w f o r f i x t u r e t o ve r i f y a g a i n s t p r o p o s e d sp e c i f i c a t i o n . A Ut i l i z e I P M V P O p t i o n A , e q u i p m e n t le v e l m e a s u r e m e n t s t o r e a l i z e e n e r g y sa v i n g s . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . If n e e d e d , d e p l o y d a t a l o g g e r s t o tr a c k l i g h t i n g o u t p u t t o c a l c u l a t e r u n ho u r s . Lighting contractor will provide training on new fixtures and provide appropriate maintenance stock of new lamps and fixtures. Comprehensive operation and maintenance manual will be provided. 7. 0 1 Re p l a c e D o o r Sw e e p s a n d S e a l s Re c o r d p r e a n d p o s t p h o t o s o f do o r g a p s a r o u n d s w e e p s a n d se a l s . M e a s u r e a n i n d i c a t i v e sa m p l i n g o f o b s e r v e d g a p s . A Ut i l i z e I P M V P O p t i o n A , eq u i p m e n t le v e l a n a l y s i s t o r e a l i z e e n e r g y sa v i n g s . M e a s u r e a i r g a p s p r e a n d po s t . S t i p u l a t e b u i l d i n g u s a g e , oc c u p a n c y a n d o p e r a t i o n a l s c h e d u l e . Envelope contractor will provide onsite training of operation of new equipment. Comprehensive operation and maintenance manual will be provided. Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 29 SECTION 4 – PROJECT FINANCIALS 4.1 FIRM-FIXED PROJECT COST The Firm-Fixed price for the Project is $1,664,358. 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 & 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. Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 30 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 OF AGREEMENT 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. Town of Los Gatos Energy Services Proposal September 2018 Proprietary and Confidential Page 31 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 Commissioner’s 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. Exhibit E – Insurance Requirements