HomeMy WebLinkAbout(0021) M&C 19-0235City of Fort Worth, Texas
Mayor and Council Communication
DATE: 10/15/19 M&C FILE NUMBER: M&C 19-0235
LOG NAME: 21RESOURCE CONSERVATION PROGRAM INCENTIVES 2019
SUBJECT
Authorize the Transfer of $20,000.00 from the Resource Conservation Program Project of the Special Purpose Fund to Partially Reimburse the
Property Management's Recurring Facility Maintenance Project of the General Capital Project Fund for the Purchase and Installation of an Energy
Efficient Chiller Serving Both City Hall and the Public Safety Building and Adopt Appropriation Ordinance. (ALL COUNCIL DISTRICTS)
RECOMMENDATION:
It is recommended that the City Council:
1. Authorize the transfer of $20,000.00 from the Resource Conservation Program Project of the Special Purpose Fund to partially reimburse
the Property Management's Recurring Facility Maintenance & Repair Project of the General Capital Projects Fund for the purchase and
installation of an energy efficient chiller serving both City Hall and the Public Safety Building;
2. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Recurring Facility Maintenance Project
of the General Capital Projects Fund in the amount of $20,000.00; and
3. Authorize the receipt of any utility incentive secured by the contractor for deposit back into the Special Trust Fund's Energy Conservation
Reserve.
DISCUSSION:
The City's Resource Conservation Program periodically implements energy conservation projects at City -owned facilities. Such projects have
included the installation of high -efficiency equipment and renewable energy systems.
As part of their customer service offerings, Oncor Electric Delivery Company LLC (Oncor) has energy efficiency programs which offer incentives
for the installation of such systems and equipment. By application to Oncor's energy efficiency programs, the City has previously secured and
received utility incentives that have been available for the City implementing these projects. Such incentive funds are deposited into the Special
Trust Fund to fund future Resource Conservation Program efforts.
The proposed project includes replacement of one of the two older chillers that are nearing the end of their useful life associated with the central
utility plant serving both City Hall and the Public Safety Building. As part of the cost/benefit-analysis of chiller equipment options, staff identified as
best -value option, a high -efficiency chiller that uses magnetic bearings to improve performance and reduce operating costs. The Property
Management Department now seeks to utilize $20,000.00 from available funds for use in this project. The $20,000.00 sought from the Resource
Conservation Fund is intended as an incentive to the purchase of this higher performance chiller considering that its 4.8-year simple payback is
within the City's 10-year threshold.
The total cost of the chiller is $335,542.21. Below is a breakdown of the total funding sources of the project:
$315,542.21 HVAC/Plumbing Improve Capital Project
$20,000.00 Resource Conservation Program
$335,542.21 Total
As has often been the case with such projects, the contractor will act as the City's agent in making application to Oncor for any incentive that may
be offered for the selected chiller. Any utility incentive secured by the contractor will be passed through to the City for deposit back into the Special
Trust Fund's Energy Conservation Reserve and made available for future use.
A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies upon approval of the above recommendations and adoption of the attached appropriation ordinance, funds will
be available in the General Capital Project Fund. Prior to an expenditure being incurred, the Property Management Department has the
responsibility of verifying the availability of funds.
Submitted for City Manager's Office by: Kevin Gunn 2015
Originating Business Unit Head: Steve Cooke 5134
Additional Information Contact: Roger Venables 6334