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Home My WebLink About2007-136 Agreement - PECI EnergySmart Program p E c July 2, 2007 Mr. Lee Tuneberg City of Ashland 20 E. Main Street Ashland, OR 97520 Dear Mr. Tuneberg: Enclosed please find a copy ofthe service agreement signed by your utility representative and PECl. We're excited about your participation and look forward to working with you and your customers. If you have any questions, please do not hesitate to contact me. Thank you. Sincerely, c.::: ~CA~ PECI Sr. Project Coordinator Ene. (1) PORTLAND ENERGY CONSERVATION, INC. PEel EnergySmart Program Service Agreement Overview Portland Energy Conservation Incorporated (PECI) is implementing the EnergySmart Program (ES) throughout various utility territories in the Northwest. The City of Ashland has signed and submitted a participation letter inviting PECI to conduct the ES program in their territory. This agreement outlines each party's involvement and commitment. Program Timeframe The tenn of this agreement shall commence on April 1, 2007 and continue tlrrough September 30, 2009. PECI Commitment A scope of work is outlined in Attaclm1ent A and provides specific details regarding PECI services. A general listing of PECI services include: · Scheduling audits · Conducting audits · Installing measures such as compact fluorescent lamps and cooler misers during site visits where appropriate · Managing and enrolling contractors into program · Teclmical design reviews · Rebate processing · Determining installed measure savings · Generating and submitting Carts via PTR system · Keeping utilities abreast of program activity PECI also commits to the following PECI will correct any discrepancies between the measure Cart and the documentation for any returned Carts. PECI will provide all completed project Carts to Utility in time for the bi-annual and annual reports which occur on April 30 and October 31 of each year reporting period for the Bonneville Power Administration (BP A) funded measures. PECI and Utility will monitor reimbursement expenditures as the EnergySmart Program is implemented and, in coordination with PECI, make budget adjustments as appropriate. Additional incentives in excess of allocated funding will require written approval from Utility. UTILITY Commitment Utility commits to fulfill the following: · Utility will complete and submit EnergySmart pm1icipation letter, which includes funding mechanism and incentive allocation amount. · Utility shall review documentation sent with the PTR Shopping Cart and verify contents comply with prot,lTam terms and conditions and resolve any issues Utility discovers between the PTR Cart and the documentation. Utility shall notify PECI within two (2) PECI ES Service Agreement (v2) weeks from receipt of the Cart with any questions regarding submitted materials. Participating facilities must be willing to allow random inspections of measures installed under this program conducted by BP A. Utility will either accept or reject the submitted PTR Cart for cause. Rebates and kWh will be reported to BP A for all accepted Carts. Rejected Carts will be returned to PECI for modification. PECI a!:,'Tees to correct any Cart and documentation inconsistencies. Utility and PECI will not report energy or rebates to BP A until issue(s) are resolved. · Please initial the option under which Utility agrees to reimburse rebates. The two options are outlined in Attachment B: Rebate Reimbursement Roles and Responsibilities. Option One: Advanced Funding Provide two (2) months advanced funding for rebates. Option Two: Utility Generates Check _X_ Issue rebate check with two (2) weeks of accepted Cart. · Select facility types that Utility would like PECI to target. Please initial next to each facility type or initial next to "all eligible facility types." _X _ All eligible facility types Regional chain groceries Food marts Convenience stores Specialty retailers (ice cream, butchers, etc) Institutional kitchens (schools, hospitals, prisons, factories, universities, assisted living and nursing care facilities, etc.) National chain supermarkets Independent groceries Corner groceries Buffet restaurants Sit-down restaurants Liquor Stores · Select methodology for PECI to use when making first contact with your customers _X_Utility will contact customer base prior to PECI making calls. Utility will report back to PECI regarding the specific names and addresses of interested customers. PECI will then call customer and provide the customer with additional information if needed and schedule date and time for audit. Utility will generate a letter to the customer base informing them about program opportunities. The letter will outline next steps in the process and provides program contact information to facilitate scheduling audits. PECI will follow up the letter with a call to the customer and provide additional information, if needed, and schedule date and time for audit. PECI will generate a letter to the customer base informing them about program opportunities. The letter will outline next steps in the process and provides program contact information to facilitate scheduling audits. PECI will then call customer and provide additional infonnation, if needed, and schedule date and time for audit. PECI will contact customers and inform them about program and process. PECI will schedule audits for interested customers. PECI ES Service Agreement (v2) 2 Indemnification Each Party will indemnify, hold hannless, and defend the other, its officers, employees, agents, representatives, and affiliates against any and all losses, liabilities, damages, claims, suits, proceedings, judl:,'1l1ents, assessments, costs, and expenses (including interest and penalties), and including reasonable attorney fees and expenses, incurred by Party and arising from and to the proportionate extent of any (i) negligent or wrongful acts or omissions of the Party or of its officers, employees, agents, representatives, or subcontractors, affiliates, (ii) breach by the Party or of its officers, employees, agents, representatives, subcontractors, or affiliates of this Agreement, or (iii) any finding, judgment or other determination or settlement whereby the Party is deemed or considered to be the employer of the other Party. Portland Energy Conservation, Ine Name &Lw~ ~S- /v1 7 Utility Date: Name: 4~ ~ ,?;N-'lAlU b,1Z1E. f!. I 7"'7 ~ /frIfUfftJ.tJ Date: " /// /ZPP'7 PECI ES Service Agreement (v2) 3 Attachment A: Scope of Work Attachment A outlines services PECI will perform. Eligible Customers The EnergySmart Grocery program defl11es eligible customers as those who have commercial refrigeration load. Customers include: I) National chain supermarkets 2) Independent b'Toceries 3) Comer groceries 4) Specialty shops (ice cream, butchers, etc) 5) Institutional kitchens (schools, hospitals, prisons, factories, universities, assisted living and nursing care facilities, etc.) 6) Regional chain groceries 7) Food marts 8) Convenience stores 9) Florists 10) Liquor Stores 11) Buffet restaurants 12) Sit-down restaurants PEGI Program Services Service 1. Initiating Customer Contact: PECI will contact Utility before making customer contact. PECI will work out any of Utility's specific requirements before initial customer contact is made. Specific actions a utility may require for initial contact may include anyone of the following: 1. Utility will contact customer base prior to PECI making calls. Utility will report back to PECI on their assessment of customer interest in ESG. PECI will then call retail customer and provide additional information, if needed, and schedule date and time for audit. 2. PECI or Utility will generate a letter to be mailed to customer base informing them about program opportunities. The letter will outline next steps in the process and provides program contact information for scheduling audits. PECI will then call customer and provide additional infom1ation if needed and schedule date and time for audit. 3. PECI will contact customers and inform them about program and process. PECI will schedule audits for interested customers. As the program gains momentum, local contractors will be interested in leveraging the program in their calls. Contractors will see the benefits of promoting the EnergySmart Program to their customers, which will spur market activity and result in increased energy savings. Contractor actions are not controlled by this Service Agreement. Service 2. Audit Appointment Scheduled: After any of the above pre-requirements are met, PECI program staff will schedule an appointment with the customer. PECI will communicate dates and times for all scheduled audits along with a list of customers contacted and whether they accepted, declined or were not able to be reached. Utility is welcome to attend any ofthe audits. Not every customer will receive an audit from the program. Experience shows that many facilities can take action through a well trained cadre of contractors and that an audit does not deliver the same retum in terms of energy saving activity. Soliciting audits is at the discretion ofPECI and 1 Service Agreement (v2): Attachment A will be made on a case-by-case basis. Any audit requests made by the utility or customer will be fulfilled. Service 3. Conducting Audit: Store type will detem1ine the variety of audit needed to move the customer forward. Larger facilities with complex refrigeration loads, such as national chain supermarkets, regional chain b'TOceries and independent groceries, will receive a comprehensive audit and report. The comprehensive audit and report include: 1. Detailed walk through of the store conditions and equipment 2. Site specific recommendations with proj ected cost savings, payback, estimate of proj ect cost and projected incentive 3. Letter outlining recommendations 4. Pictures of store conditions (as needed) 5. Input report of store conditions 6. Program materials such as rebate applications, marketing materials, etc. Smaller facilities such as food marts, comer groceries, convenience stores, fast food establishments, florists, etc. will receive a site assessment. A site assessment includes the following: 1. Detailed walk through of the store conditions and equipment 2. Discussion with store decision maker around Field Energy Analyst (FEA) assessment 3. Program materials such as rebate applications, marketing materials, etc. These smaller facilities typically do not have the sophisticated refrigeration system loads and therefore do not require the extensive audit report. If an FEA determines a smaller facility warrants the comprehensive energy saving report one will be produced. Where appropriate, the FEA may decide to install small, quick payback items on the first store visit. These items may include but not limited to: 1. Cooler Miser controls: Cooler Misers use a passive infrared sensor to detennine occupancy in the area of the cooler. These devices will be installed on beverage merchandisers in stores that do not operate 24 hours a day. 2. Compact Fluorescent Lamps (CFLs): CFLs may be installed in walk-in coolers and freezers, check-out stands, offices and other spaces that are cun'ently utilizing incandescent bulbs. The installation serves two purposes. First and foremost, it produces immediate success, gaining the trust of the business and engendering good will for the program. Secondly, it ensures savings at every site, even if the business decides not to move forward with larger retrofits. BPA is paying for these installations and therefore claims the savings. Service 4. Managing and Enrolling Contractors: To effectively service BPA's large ten'itory and maximize resources PECI will train and manage a group of contractors to communicate the Program and provide retrofits. To accomplish tlus, PECI will have two levels of contractor relationships: Preferred and Participating. The methods for recruiting, training and overseeing quality assurance for all contractors participating in the program is outlined below. Preferred Contractors Preferred Contractors will have a high level of collaboration with the Program. These contractors will help service the small, hard to reach refrigeration businesses such as convenience, fast food, comer markets, and others. These smaller stores typically have refrigeration systems and energy Service A!,'Teement (v2): Attaclunent A 2 requirements that are less complicated then a full size grocery store and do not always necessitate a full EnergySmart audit. Energy efficient measures will be identified through trained and managed vendor relationships. PECI has strict requirements for Preferred Contractors. Contractors are chosen for their high quality of work, ability to understand and adapt to new processes and effectiveness in the market. Participating Contractors Participating Contractors will likely be the larger refrigeration contractor and supply companies. Participating Contractors will likely follow the FEA Energy Saving Report recommendations or generate their own leads. Some of the Participating Contractors will come from the store personal contractor relationships. These contractors will be trained about the program and requirements as they arise. PECI will meet with all contractors to evaluate their skills and level of interest in working with the ProbTfam. Interested contractors will be required to complete a Contractor Participation Application and receive marketing materials, training and general support from the ProbTfam. PECI cannot prevent contractors from contacting their customers and promoting the Program. If PECI determines a contractor has been misrepresenting the Program by any means, PECI will immediately contact the contractor to resolve the issue. Service 5. Technical Design Review: The Program can provide a technical design review for proposed work in a store on equipment such as multiplex, efficient compressors and efficient condensers. A fonnal technical review is conducted on system oriented projects and a letter will be provided noting potential rebates and whether or not proposed items meet the Program terms and conditions. This service is designed to assist in the decision making process of purchasing energy saving equipment. This review can be requested by the program FEA or customer. Service 6. Process rebates and Reporting: see Attachment B Service 7. Program Communication: PECI will keep Utility informed around program activity and audits. PECI will provide the following information as necessary to Utility: · Listing of customer audits perfomled · Electronic version of audited store Energy Saving Report · Projected monetary commitments PECI program staff will also be in conununication with Utility in person, phone and email as necessary . Service 8. Determining installed kWh savings: PECI will use its Regional Technical Forum approved proprietary modeling software, GrocerSmart, to determine energy savings by measure installed. The energy savings are based on DOE-2 parametric runs and engil)eering calculations which account for many variables including the facility's particular climate zone, compressor configuration, condenser type, condenser degradation factors, and hours of operation. PECI's software estimates are site and climate specific. PECI will use these savings calculations when submitting measure Carts to Utility. PECI will also derive prescriptive energy savings for measures that do not require an onsite audit. These measures are not climate or system specific. BP A has accepted these calculations for the purpose of PTR reporting. Service Agreement (v2): Attaclunent A 3 Lighting savings will be estimated using the BP A Conm1ercialllndustrial Lighting Offer (CILO) procedures. Gaskets and auto-closers Gaskets and auto-closers for reach-in and walk-in doors are low to no cost energy saving measures. The program utilizes these measures to deliver immediate energy savings while building the relationship with the store to move them forward with larger, more complex energy opportunities. PECI adopted the California Public Utility Commissions (CPUC) saving methodology for these measures. The Regional Technical Forum has reviewed the CPUC's methodolob'Y and determined that there is not enough empirical evidence to justify the proposed savings. However, they do feel that these measures are worthwhile and save energy. The Regional Teclmical Forum has created a subcommittee to perform onsite monitoring and lab testing in order to better understand the actual savings for these measures. Until the Regional Technical Forum has finalized the energy savings these measures are no longer available for an incentive from the utility. BP A believes the test data will show good savings and will reinstate these measures after the savings have been verified. Until the analysis is complete BP A is offering to pay for these measures through program administrative funds. No savings will be claimed by the utility or BP A until savings have been approved by the Regional Technical Forum. Service 9. Post-Installation Inspections PECI will provide 100 percent verification that measures are installed and operating through reviewing applications, installing contractor invoices and other technical documents (as applicable) for all installed measures. Measures with a total project cost (installation and materials) exceeding $5,000 will receive an on-site inspection from Program staff. A project is defined as the installation of measures at a customer facility. A customer may have multiple projects throughout the duration of the program, which mayor may not require an on-site inspection. Example of when an on-site inspection is required: Store A receives work on gaskets and auto- closers in May and the total project cost is $3,500. PECI will verify by reviewing applications and installing contractor invoices. In July, Store A installs night covers with a project cost of $10,000. PECI will perfonn on-site inspection to verify night cover installation. For all on-site inspections, the FEA will complete and sign a post-installation forn1, and rebates are not issued until the Program receives the completed post-installation form. Controls may have a project cost over $5,000 but not require an on-site inspection if the customer or contractor can provide sufficient documentation that the controls are installed and performing properly. Under current Commercial & Industrial Lighting rules, utilities are required to perform a pre and post inspection. Therefore, either PECI, or its representative, or the utility representative must perform both inspections to count energy savings for measures subject to these requirements. . Service Agreement (v2): Attaclunent Af 4 Installed measures - existing contractor - project cost < $5,000 lnstalled refrigeration measures - existing contractor - project cost> $5,000 ] 00% site inspections Installed controls ] 00% site inspection OR documentation controls have been installed and 0 eratin y 100% site inspection either by PECI or utility . Installed lighting measures Service 10. Reporting via Planning, Tracking and Reporting (PTR) system: After installation is verified through application and invoices, PECI will generate and submit EnergySmart Cart to Utility. The measure Cart will include the following information: . Store infonnation including site address, store type, building identification where applicable . Identification of audits perfom1ed prior to the installation using the unique ill function · Measures installed reference number . Rebate per measure (the amount to be reimbursed/credited by BP A) · kWh per measure(s) . Supporting documents such as invoices, applications, spec sheets, etc. will be sent to Utility under separate cover (email). Measure Cart will be submitted to Utility for acceptance. Utility review process is outlined in option one and two of Attachment B. Measure List and Rebates Approved measure list and specifications will be available via the PTR system. Any approved savings values associated with a measure are also found on the PTR site. Measures without savings values means a measure where the GrocerSmart model will be used to calculate the savings values. For strip curtains, autocIosers, and door gaskets, BP A will also accept retroactive savings for measures that are approved by the RTF. Refrigeration rebate values can be found on the program rebate application. PECI may change the rebate application and refrigeration rebate values anytime during the duration of the contract (at the Utility service territory level, where program implementation costs justify such a change). The incentive to the utility remains the same as provided in the PTR. PECImust work with the retail utility to determine what the rebate to the consumer will be if it is different than that provided in the PTR. PECI may add measures to their rebate list based on these agreements with the utility. PECI will work with the utility customers to assure there isn't confusion regarding measure reporting to assure that measures are not reported more than once in the PTR system. Service Agreement (v2): Attachment A 5 PTR measure list also includes custom projects. Customers must comply with PTR specifications, standards, process, forms and any required inspections or evaluations. CRC, CAA or HWM willingness to pay amounts set by BP A. Service Agreement (v2): Attaclmlent A 6 Attachment B: Rebate Reimbursement Roles & Responsibilities PECI is providing utilities with two options regarding rebate reimbursements. Utility is required to select one of the options and initial the selected option on the Service Agreement form. Option 1: Advanced Funding Utility will provide a cash advance on two (2) months forecasted activity. Forecasted activity will be determined by PECI based upon audits and discussions with utility customers and contractors. Cash advance ensures that customers and contractors are paid for measures installed in a timely manner. The cash advance will only be used to pay rebates for probTfam measures installed in accordance with the programs terms and conditions. The rebate will be paid to either the utility customers or installing contractor. Utility has the right to request cash advance be returned on sixty (60) days written notice. PECI will refund any unspent advance funds at the end of program contract. The following flow diagram outlines Option 1 process. II "_~------,,-~ "_~-i , .-, I. IAuditronducte~~,. L~~-,,-,-,----__~ r----:::-'.,.-,"C~-.,.....,..-.-.--..-, I I Re~~ss~ssRebat~l I Forecast _~ji l ......... . ........ '..'.....) n.. . ... "._,... ... -.. .., ,.... "",'-' ,.." ,.. ~__~:...~.~---..w ... ... --'Report'~ckto(~1 utility. No actiol1'~ no required at this:' time. Commits or Interest? I PEcl'~e~:s-~ 1 I approval' '''j . d ... Increased Activity approved yes Utility invoiced for 2 month activity .;~ -- ;~ --,---:--- --::'1 Generate &0";'1 -S-UI1U~ilfrirtJQ:,'r I I - -~'----A----- -~- rejected I Work with : customer! ,-- -contractorto"";-; 1__!E!~:>~:_is~ue __:; _ _ '-'-'-- -------......1 PECI Gather: Necessary 'r no D~cument~tion .~ ,. r~-l , J I G'",ffi~ Ch,~ Measures Installed/Job Complete ... Documentation Submitted? yes 1'1 ~ Process Rebate 'I I I II I I Service Agreement (v2): Attachment B Audit Conducted and Interest: PECI will conduct audits and assess EnergySmarl efficiency measure opportunity. A PECI Field Energy Analyst will work with the store decision maker to understand interest and outline next steps. Based on this information, PECI will forecast measures and rebates for a two-month time period. This forecast will be a weighted assessment of the rebate dollars required within the specified timeframe. PECI will also take into account any known contractor activity in the region. Invoicing: Based upon above forecast PECI will invoice utility for projected activity. Invoice will include list of customers, projected measures and rebate amounts. These projections are estimates and may change. Job Completed: PECI will track the progress of the job. Once the contractor has completed the measure installation, the contractor or utility customer will submit to PECI all pertinent documentation. Once all required documentation is received, PECI will process the paperwork. Process Rebate and Generate Checks: PECI will review and approve all rebate applications and invoices to ensure they are completed in full and contain necessary inforn1ation. Once documentation is approved data is entered into program database and sent to accounting. Accounting will cut checks once a week. Program turn around time is within two (2) weeks of completed application and invoices. Checks will be accompanied by letter with utility logo explaining the reason for the check. Utility will need to provide logo to PECI. Generate and Submit PTR Cart: PECI will generate and submit a measures Cart to Utility via the PTR System. Submittals will specify rebates paid for installed measures and calculated savings per measure. Utility will receive copies of the completed rebate forms, invoices and any other documentation necessary to approve Measure Cart. PECI will notify Utility that Cart has been submitted. Utility will be required to review documentation sent with the PTR Shopping Cart and verify contents comply with program terms and conditions. A site inspection by Utility is not required. Participating facilities must be willing to allow random inspections by BP A or the utility of measures installed under rebates funded with BP A dollars. Utility is responsible for reviewing documentation submitted by PECI to ensure: . The number of installed measures matches those reported in the Measure Cart. · The measure description on the documentation is consistent with the Measure Cart description. . Documentation such as a signature, initial or e-mail from the retail store's representative indicating that the items on the contractors invoice were received, installed and operating. · Dates are to coincide with effective dates of the program. Utility will either accept or reject the Cart. For all approved Carts, kWh and rebates will be reported to BP A. Rejected Carts will be sent back to PECI for clarification and no energy savings or rebates will be reported until issue(s) are resolved. PECI will record all approvals and rejections. Service Agreement (v2): Attachment B 2 Reassess Rebate Forecast: PECI will reassess rebate levels and projected activity as needed. PECI will request additional funds (not to exceed total allocation) on an as needed basis. Additional requested funds will follow the same invoicing process as above. Service Agreement (v2): AttaclU11ent B 3 Option 2: Utility Generates Check Utility will cut customer or contractor the rebate check. PECl will provide all the necessary documentation for Utility to generate rebate check. The following flow diagram outlines option two. Audit. Conducted,,; ". !'.:'r. :}t.~ T .-, . . .mm'-'-- -,' .'."'.L Report back to' ,(' utility. No action:' . d t th" no r.eqUlr~. a ISj1.:: I time. d" L.~---"-__~:""':'--_:'~ ,.,,~' Commits or Interest? I ;~E;~~~ordS' a~~::: i checks as ,'~ 1 complete" L_.~~~,~',--2 yes T Measures Installed/Job Complete Utility sends check.: I:~back,to_::~ij .i.. T PECI Gather ,~! . Necessary)::.... no Documentation"j: Documentation Submitted? Utility cuts check) Within 2 weeks .i.. yes Process Rebate! Generate PTR Cart Audit Conducted and Interest: PECI will conduct audits and assess EnergySmart efficiency measure oppOliunity. A PECI Field Energy Analyst will work with the store decision maker to understand their interest and outline next steps. PECI will track the progress of the job: Once the contractor has completed the measure installation, the contractor or utility customer will submit to PECl all pertinent documentation. Once all required documentation is received, PECl will process the paperwork. Generate and Submit PTR Cart: PECI will generate and submit a measures Cart to Utility via the PTR System. Submittals will specify rebates paid for installed measures and calculated savings per measure. Utility will receive copies of the completed rebate forms, invoices and any C;:prvir.e AlITeement (v2): Attachment B 4 other documentation necessary to approve measure Cart. PECI will notify Utility that Cart has been submitted. Utility will be required to review documentation sent with the PTR Shopping Cart and verify contents comply with program terms and conditions. A site inspection by Utility is not required. Participating facilities must be willing to allow random inspections by BP A or the utility of measures installed under rebates funded with BP A dollars. Utility is responsible for reviewing documentation submitted by PECI to ensure: · The number of installed measures matches those reported in the Measure Cart. · The measure description on the documentation is consistent with the Measure Cart description. · Documentation such as a signature, initial or e-mail from the retail store's representative indicating that the items on the contractors invoice were received. · Dates are to coincide with effective dates of the program. Utility will either accept or reject the Cart. kWh and rebates will be reported to BP A for all approved Carts. Rejected Carts will be sent back to PECI for clarification and no energy or rebates will be reported until issue(s) are resolved. PECI will record all approvals and rejections. Utility Cuts Check: The utility is required to cut the rebate check within two (2) weeks of submitted PTR cart. Additional payee infonnation will be provided to the Utility. Information will include: · Unique Customer ill Number* · Customer Name* · Street Address* · City* · State* · Zip Code* · Utility Account Number* · Tax Payer Info (utility responsible for 1099) · Measure installed · Rebate amount (per measure and total) * Data may vary from Utility records. Data primarily gathered from rebate application. Utility will be required to provide check infom1ation to PECI within two (2) weeks of submitted PTR cart. PECI will provide Utility with electronic version of requirements and fom1at. Required infonnation will include the following: · Unique Customer ill Number · Customer Name · Street Address · City · State · Zip Code · Utility Account Number · Measure install ed · Check Number (NEW) · Date Check was cut (NEW) Service Agreement (v2): Attachment B 5 PEel will record and update program tr(lcking system. Service Agreement (v2): Attachment B 6