proposition 39 program, senate bill 110 overview, and ecaa ... · california energy commission...

California Energy Commission

Proposition 39 Program, Senate Bill 110 Overview, and ECAA-Ed Competitive Loan

Program ConceptApril 2018

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Proposition 39 K-12

Background, Update and Reminders

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Prop 39 K-12 Appropriations

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Fiscal Year

2013/14

Fiscal Year

2014/15

Fiscal Year

2015/16

Fiscal Year

2016/17

Fiscal Year

2017/18

Five YearTOTAL

$381 $279 $313.4 $398.8 $376.2 $1.748(in billions)


EEP Final Deadline

February 26, 2018 was the last date to submit energy expenditure plans to the Energy Commission!

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Estimated Remaining $114.5 M


Prop 39 Participation

• 100% of State Special Schools

• 98% of County Offices of Education

• 98% of Public School Districts

• 66% of Charter Schools

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Current ProgramKey Things to Remember…

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Important Deadlines

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Current Program Timeline

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2017 2018 2019 2020 2021

June 30, 2021Final project reporting date.June 30, 2019

LEA Encumbrance Date

2013 2014 2015 2016 2017

February 26, 2018FINAL DATE to submit an EEP Application and Amendments that request an increase in Prop 39 funding.

June 30, 2020All Projects Must be Completed

On-going ReportingAnnual Progress Reporting

On-going ReportingFinal Project Completion Reporting


Annual Progress Report Deadline

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Annual Progress Reports Due by: September 30th


Final Project Completion Reports

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Final Reports are due 12-15 months after Project Completion. Tip – Be Organized and Document1.Track energy usage and billing data throughout the

year.2.Track project cost. 3.Take photos now! Work in progress and project

completion. Don’t wait and go back later.


LEA Encumbrance Deadline

Final LEA Encumbrance Date is June 30, 2019

The 2017-18 Budget Act changed date from June 30, 2018 to June 30, 2019.

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LEA Encumbrance DeadlineCalifornia School Accounting Manual (CSAM), Procedure 210-11:http://www.cde.ca.gov/fg/ac/sa/documents/csam2016complete.pdf

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Procurement Reminders

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No Sole Source

• Public Resources Code section 26235(c), states:

“A community college district or LEA shall not use a sole source process to award funds pursuant to this chapter. A community college district or LEA may use the best value criteria…”

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No Sole Source• No sole source applies to all Proposition 39

funding; planning funds and energy project implementation funds.

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No Sole Source• “The LEA shall defer to their own

procurement regulations and procedures, as long as they reflect applicable state and local laws and regulations and do not conflict with the minimum legal standards specified above.”

In other words…consult your attorney.

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Senate Bill 110Overview

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Background Information• Legislative Authority Senate Bill 110

(Chapter 55, Statues of 2017)

• Objective Create energy efficiency and clean energy jobs New programs start fiscal year 2018/19

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Funding Details• Funds remaining after 2017-18 fiscal year

shall be appropriated as follows:• First $75 million, School Bus Program• Next $100 million, ECAA-Ed Competitive

Loan Program• Remaining Money (if any), Proposition 39

K-12 Competitive Grant Program

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Estimated Remaining $114.5 M


NewECAA-Ed Competitive

Loan Program

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Who is Eligible for a Loan?

Local Education Agencies (LEAs)

– Public School Districts (K-12)

– County Offices of Education

– Charter Schools

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Eligibility Administrative Screening Criteria

Applications must be received by due date in solicitation – no exceptions

Applications include:

–Eligible energy measures

–Required authorizations and certifications

–Required back-up documentation

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Eligible Energy Measures

• Lighting Systems• Heating, Ventilation and

Air-Conditioning (HVAC)• Controls/Thermostats • Pumps and Motors• Plug Loads• Building Envelope• Clean Energy Generation

(solar photovoltaic)

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Preliminary Program Design

Legislative DirectionCompetitive priority based on:

1.Geographic diversity

2.Diversity in size of LEAs student population

3.Percentage of students eligible for free or reduced-price meals (FRPM) in prior year

4.Energy savings

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Geographic Diversity

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Green = NorthPurple = CentralPink = South Yellow = Los Angeles Co


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Diversity of size of LEA student population

• Tier 1 - Up to 1,000 students• Tier 2 - >1,000 to <2,000 students• Tier 3 - >2,000 students


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Funding by Tier and Region

Tier Max Loan Amount

Total Funding Tier Max Loan

AmountTotal

Funding1 $3,000,000 $3,000,000 1 $3,000,000 $3,000,0002 $3,000,000 $3,000,000 2 $3,000,000 $3,000,0003 $3,000,000 $3,000,000 3 $3,000,000 $3,000,000

TOTAL $9,000,000 TOTAL $9,000,000

Tier Max Loan Amount

Total Funding Tier Max Loan

AmountTotal

Funding1 $3,000,000 $3,000,000 1 $3,000,000 $3,000,0002 $3,000,000 $3,000,000 2 $3,000,000 $3,000,0003 $3,000,000 $3,000,000 3 $3,000,000 $3,000,000

TOTAL $9,000,000 TOTAL $9,000,000

North Central

Los Angeles County South


Funding Amount

Maximum Loan $3,000,000

No more than:• Total Energy Costs Savings over the

Estimated Useful Life (EUL) of Measures

• Actual Project Cost

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Percentage of students eligible for FRPM in the prior year

FRPM participation provided by the California Department of Education

FRPM multiplied by weighing factor of 15%

Number of students eligible for FRPM X 100% X 15%Total Enrollment

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Energy SavingsBaseline energy consumption before implementing energy project

Energy savings multiplied by weighing factor of 85%

Energy Savings X 100% X 85%Baseline Energy Use

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Energy Savings CalculationsStep 1 – Energy Benchmarking• 12 Consecutive Months Energy Consumption Data• Convert Electricity, Natural Gas, Propane, and Fuel Oil Consumption into MMBtu• Conversion Factors:

Electricity 10,716 Btu/kWhNatural Gas 100,000 Btu/thermPropane 92,500 Btu/galFuel Oil 138,500 Btu/gal

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Energy Savings Calculations

Step 2a – Energy Savings• Estimate Annual Energy Savings from EACH Measure

– Energy Saving Method Must be Articulated– Calculations and Assumptions (if any) must be provided in

Audit Report– If software is used, the output must be provided with

assumptions (if any)

• Convert Each Measure’s Annual Energy Savings into MMBtu using Conversion Factors in Step 1

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Step 2a – Energy Savings

• Multiply Each Measure’s Annual Energy Savings (MMBtu) with its Respective EUL to get Total Energy Savings Over Measure’s Life Span

(EUL for ECAA-Ed Loans will be the Lesser of Actual EUL of the EEM or 20 Years)

• Add Individual Energy Savings (MMBtu) for All Measures to Estimate Total Energy Savings From the Project

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Step 2a – % of Energy Savings• Convert Energy Savings into Million Btu

• Divide Energy Savings (MMBtu) by the Energy Benchmarking (MMBtu) to get the % of Energy Savings

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Step 2b – Total Cost Savings from Measures

• Multiply Annual Energy Cost Savings from Each Measure with Respective EUL to get Total Cost Savings from the Measure over its EUL

• Add Total Cost Savings from All Measures to get Total Savings from the Project

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Step 2c – Role of Simple Payback Period• Add First Year’s Cost Savings from each Measure to get Total First Year Cost Savings• Divide Project Cost by Total First Year Cost Savings to get Simple Payback period

• If the Final Score of Two Applications is the Same, the Application with the Shorter Simple Payback will be Ranked Higher

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Example of FRPM and Energy Savings Calculation/Total Score/Ranking

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Bright School Program(Technical Assistance)

Apply, Apply, Apply!!!Technical Assistance can beused for an Energy Audit tohelp identify eligible projectsand energy cost savings

A simple application is allthat’s needed to get started

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Program Implementation Funding Awarded by Competitive Solicitation

• Limited time period to apply

• Application subject to evaluation criteria

• Energy Commission reviews and scores

• Applications based on final overall score

• Competitive loans approved at CEC Business Meeting

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Tentative Schedule

• July 2018 - Final funding known

• August 2018 - ADA and FRPM figures from CDE

• Summer/Fall 2018 - Solicitation Released

• Winter/Spring 2019 – Loan Awards

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Energy Commission’s Prop 39 web page:http://www.energy.ca.gov/efficiency/proposition39/index.html

Contact our Prop 39 Hotline:(855) 380-8722 (Toll-free in-state)(916) 653-0392 (Toll-line out-of-state)

Contact us by email:[email protected]

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BEYOND PROP 39 – WHAT’S NEXT?REBECCA WETZSTEIN, PE, CEM

©2018 Ameresco, Inc. All rights reserved. 2

RATES, TARIFFS AND FUELS

CALIFORNIA K12

EVOLVING LANDSCAPE

FUNDING PROJECTS

• DEFERRED MAINTENANCE

• STATE & GO BOND PROGRAMS & MODERNIZATION

• ENERGY PERFORMANCE CONTRACTING

• BONDS – QSCB, CREB

• POWER PURCHASE AGREEMENTS

• UTILITY GRANTS, INCENTIVES, PROGRAMS

• PROPOSITION 39

• NOW WHAT?

TECHNOLOGY IMPROVEMENTS ENVIRONMENTAL RESPONSIBILITY

RELIABILITY

AGING INFRASTRUCTURE GRANTS, REBATES, INCENTIVES

©2018 Ameresco, Inc. All rights reserved.

K12 ENERGY & ASSETS 3.01.0 Energy efficiency

2.0 Renewable energy

3.0 Asset management• Inventory & Assessment (FCA, SIA)

• Benchmarking (P39)

• Resiliency & community emergency integration

• Utility Management (Dynamic tariffs, commodity options, self-generation & storage)

• Alternative funding or ownership


• Classroom

• Transportation

• Building Codes

• Ongoing

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ZNE – SUSTAINABILITY


• Power interruption:• Energy reliability – incremental campus

opportunities

• Efficiency & on-site generation in place

• Storage & emergency planning

• Educational interruption:• Deferred maintenance

• Big data and data security

• Schools as emergency centers• Aging utility infrastructure

• Natural disaster events

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RESILIENCY


• Community Choice Aggregation (CCA), Public – Private – Partnerships (P3), Asset privatization

• Private sector capital – e.g., Obama’s presidential challenge (Federal)

• PPA’s increased renewable energy

• Utility procurement

• Asset privatization (long-term leases)

• Operational costsno longer addressableby “using less”

• Maximize District’savailable fundsthrough leverage

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COMMODITY & FINANCIAL STRUCTURES

THANK YOU

Your Trusted Sustainability Partner

ameresco.com

Rebecca Wetzstein, PE, CEMManager – California Business [email protected] S. State College BoulevardSuite 265Brea, CA 92821

C A L I F O R N I A E N E R G Y C O M M I S S I O N

Jennifer Masterson

School Bus Replacement Program

Fuels and Transportation DivisionCalifornia Energy Commission

April 2018

C A L I F O R N I A E N E R G Y C O M M I S S I O N 2

Senate Bill 110

• Funding: $75 million

• Eligible applicants: school districts and county offices of education (COE).

• Priority should be given to the oldest school buses, or school buses operating in disadvantaged communities and to schools that have a majority of students eligible for free or reduced-price meals in the prior year.

• Any school bus replaced shall be scrapped.


CARB and Local Air Districts: Historical Funding

• Since 2001, more than $500M has gone to retrofit or replace school buses through CARB and local air districts.

• Objective: To reduce kids’ exposure to toxic diesel exhaust, and reduce air pollution overall, by replacing the oldest school buses.

• State School Bus Funding https://www.arb.ca.gov/msprog/truckstop/funding/schoolbus_fa.htm


Program Goals and Objectives

Follow SB 110 and Governor's Executive Order

Children’s health and safety

Allocation scheme that best provides a level of funding equity

Build the future supporting network of advanced next generation infrastructure

Position as many schools with the options to embrace next generation zero emission vehicles

GHG reductions


Proposed Design Concept

Comprehensive Design:• School bus replacement (2 Phases)

Phase 1: Identify list of buses eligible for replacement.Phase 2: Solicit manufacturers to design, construct, and deliver the replacement buses to school districts.

• Provide EV fueling infrastructure to support bus and future expansion.

• Provide workforce training and development for EV buses.


Accomplishments to Date

Focus Group Meetings Public Workshops:

• Sacramento February 14, 2018• Los Angeles February 20, 2018• Clovis February 21, 2018

School Bus Replacement Program Web Pagehttp://www.energy.ca.gov/transportation/schoolbus/index.htm

Call Center Hotline (855) 279-6381


Next Steps

• Conduct a competitive solicitation for school districts/COE

• Award school districts/COE in ranked order until all funds available are exhausted.

• Provide grant funds directly to the eligible school districts/COE to purchase the buses identified in their application.

• Conduct a competitive solicitation for school bus manufacturers

• Award school bus manufacturer

• Order and build buses

• Install infrastructure and provide workforce training


Emphasizing Electric School Buses

1. Benefits Children’s Health

2. Lowered Emissions

3. Quieter Smoother Ride

4. Charging Overnight

5. Lower Maintenance

6. Lower Fuel Cost

7. Potential Vehicle to Grid


Cost Savings of Electric Buses

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Cost Diesel CNG ElectricMaintenance $9,075 $3,360 $1,770Fuel $5,930 $5,000 $2,714Total $15,005 $8,360 $4,484

• This program will cover the up-front capitol costs, passing on the annual O&M cost savings to the school districts, while replacing an older bus with a clean new one!

• Electric School Buses are an emerging technology…

They have a higher up-front front capitol cost compared to mature technologies.

But… have much lower annual operations and maintenance costs!


Available Electric Buses

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eLion

BlueBird

TransTech

GreenPower

Thomas


Size and Types of Buses

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Manufacturer Type Seating Range (miles) Availability

Greenpower Synapse 72 72 75-140 2017

Greenpower Synapse Shuttle

48 75-140 2018

Greenpower Synapse Shuttle

30 75-140 2018

Trans Tech Motiv SST 18-25 80-100 2013

Blue Bird Type C 75 80-100 2018

Blue Bird Type D 78-81 80-100 2018

Blue Bird Micro Bird G5

<30 80-100 2018

Daimler Jouley 81 80-100 2019


Infrastructure

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Workforce Training and Development

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• Alternative & Renewable Fuel & Vehicle Technology Program (ARFVTP) Funds.

• Determine training & development needs.• Work with Community Colleges and Schools to

develop a program and curriculum to meet needs.


Proposed Schedule

Activity DateSolicitation release and workshops May – June 2018

Funding Available July 1, 2018

Business meetings August – September 2018

Bus deliveries TBD


Stay Connected

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List Server: http://www.energy.ca.gov/transportation/school

bus/index.html Follow instructions in bottom left corner.

Contact: Jennifer [email protected]

School Bus Hotline :(855) 279-6381

proposition 39 program, senate bill 110 overview, and ecaa ... · california energy commission...

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