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HomeMy WebLinkAbout2001-196 Agrmt - BPA 01ES-10379 Contract No. OlES-10379 PURCHASE OF CONSERVATION AGREEMENT executed by the UNITED STATES OF AMERICA DEPARTMENT OF ENERGY acting by and through the BONNEVILLE POWER ADMINISTRATION and CITY OF ASHLAND. Table of Contents Section Page 1. Term of Agreement 2 2. Definitions 2 3. Purchase of Energy Savings 4 4. Implementation Budget 4 5. Other Sources of Funding 5 6. Project Implementation 5 7. Consumer Agreements 5 8. Invoicing and Payment 6 9. Records and Audits 6 10. Bonneville Oversight 7 11. Evaluations 7 12. Procedures for Addition or Removal of Measures and Units 8 13. Suspension and Withholding Payment 8 14. Termination 9 15. Environmental Provisions 11 16. Standard Provisions 11 17. Uncontrollable Force 13 18. Liability 13 19. Dispute Resolution 15 '20. Notices 17 21. Signature Clause 17 Exhibit A Project Proposals, Energy Savings, and Project Budgets This PURCHASE OF CONSERVATION AGREEMENT, is executed by the UNITED STATES OF AMERICA, Department of Energy, acting by and through the BONNEVILLE POWER ADMINISTRATION (Bonneville) and the CITY OF ASHLAND, (Ashland), a municipal Ashland organized under the laws of the State of Oregon, hereinafter may be referred to individually as "Party" or collectively as "Parties." RECITALS Bonneville is required by the Pacific Northwest Electric Power Planning and Conservation Act, Public Law 96-501 (Northwest Power Act), to meet the net firm power load requirements of its customers in the Pacific Northwest; and Bonneville is authorized to acquire Conservation to reduce the firm power load requirements of its customers in the Pacific Northwest; and Bonneville intends to acquire Conservation which is reliable and dependable as part of its efforts to augment the supply of Federal power; and Ashland intends to produce Completed Units within its service area, producing a quantity of Energy Savings in exchange for an Implementation Budget from Bonneville; and NOW, THEREFORE, the Parties agree as follows: 1. TERM OF AGREEMENT This Agreement becomes effective at 2400 hours on the date of execution by both Parties (Effective Date), and shall remain in effect until 2400 hours on September 30, 2006, unless terminated earlier as provided in section 14. Except as provided for in section 3(d), all obligations shall remain until satisfied. 2. DEFINITIONS All capitalized terms used herein shall have the following meaning: (a) "Completed Unit" means a Unit that is properly installed, operating and, when applicable, commissioned in accordance with the manufacturer's requirements and specifications for normal operations; and as applicable has satisfied or met any specification requirements set forth in Exhibit A. (b) "Conservation" means any reduction in electric energy consumption resulting from an increase in the efficiency of electric energy use, production or distribution. (c) "Consumer" means any end user of electric energy in the Ashland's service area that contributes to Ashland's total retail load. (d) "Contracting Officer" means the person designated by Bonneville who has the authority to enter into, administer, modify, suspend, or terminate this Agreement; and to make related interpretations, determinations and findings. (e) "Contracting Officer's Technical Representative" or "COTR" means the authorized representative of the Contracting Officer knowledgeable in the technical aspects of this Agreement designated in writing by the Contracting Officer. 01ES-10379, City of Ashland 2 (f) "Energy Savings" means the ascribed, deemed, estimated, evaluated, or verified Conservation, in first year kilowatt-hours (kWh) attributable to Completed Units as specified in Exhibit A. (g) "Fiscal Year" means the consecutive twelve (12) month period which begins on every October 1 and ends on the following September 30, during the term of this Agreement. (h) "Implementation Budget" means the amount of money Bonneville shall make available to Ashland pursuant to Exhibit A to expend on Implementation Costs during the Implementation Period. (i) "Implementation Costs" means the sum of all or part of the actual total costs to install or implement Measures which result in Completed Units as identified for each Project in Exhibit A. (j) "Implementation Period" means the period of time from the Effective Date through 2400 hours on September 30, 2006, during which Completed Units are delivered, unless extended by written agreement of the Parties. (k) "Measure(s)" means materials or equipment installed, or activities implemented, to achieve Conservation, as identified in Exhibit A. (1) "Other Requirements" means any revision, restriction, or alteration which Bonneville may impose on any Measure as a result of any directive or order of any court or regulatory agency of competent jurisdiction, or the result of a final record of decision of any process conducted by Bonneville pursuant to the National Environmental Policy Act. (m) "Project" means the total of all Completed Units installed for each proposal under this Agreement. (n) "Regional Technical Forum" (RTF) means an organization composed of Bonneville customers, state agencies, public interest groups and Bonneville that has responsibility for developing the list of recommended qualifying measures, some of which are eligible for purchase under the Conservation Augmentation as deemed measures. (o) "Unit" means any Measure or combination of Measures which achieve Conservation as provided in each Conservation proposal agreed to and incorporated in Exhibit A. (p) "Work in Progress" means Projects committed to by Ashland, the installation of which has not been completed as of the date of any notice of termination of this Agreement. (q) "Workday" means a day that both Parties recognize as a regular day of work. 01ES-10379, City of Ashland 3 3. PURCHASE OF ENERGY SAVINGS (a) Bonneville agrees to purchase and Ashland agrees to sell the Energy Savings from each Project incorporated into Exhibit A. (b) Ashland may at any time propose additional Projects for Bonneville's consideration to purchase during the term of this Agreement. Proposals submitted shall include the information as outlined in the Bonneville Invitation to Reduce Loads through Conservation, dated October 17, 2000, and include the funding sources as required in section 5(a). Bonneville may request additional information on any project submitted prior to acceptance. If Bonneville agrees to the terms for the purchase of Energy Savings from additional Projects proposed, then Exhibit A shall be amended to add such Projects. (c) Bonneville may at any time during the term of this Agreement send Ashland notice that Bonneville will no longer accept proposals for additional Projects under this Agreement. (d) Bonneville shall not be obligated to pay for a Project that is completed and the Energy Savings delivered after September 30, 2006. 4. IMPLEMENTATION BUDGET (a) On the Effective Date of this Agreement, or when a Project is amended into Exhibit A, Ashland is authorized by Bonneville to incur Implementation Costs in an amount equal to the Implementation Budget for each Project described in Exhibit A. (b) Bonneville's purchase commitment, consistent with the Exhibit A, shall be available to Ashland for the term of this Agreement, except as provided for in section 3(d) (Purchase of Energy Savings) sections 13 (Suspension and Withholding Payment) and 14 (Termination). (c) Unless otherwise described in Exhibit A, Bonneville shall not be obligated to pay costs in excess of the Implementation Budget for any individual Project. Such costs shall solely be paid by the Ashland. (d) Bonneville may, but is under no obligation to supplement the Implementation Budget or provide additional budget authority under this Agreement. (e) Unless otherwise agreed in writing, the balance of any Implementation Budget remaining after the completion, acceptance and payment for a Project shall be made available to Bonneville. (f) Agreements entered into by Ashland with their Consumers under this Agreement that commit the Implementation Budget shall be signed prior to September 30, 2006. 01ES-10379, City of Ashland 4 5. OTHER SOURCES OF FUNDING (a) For any proposal submitted, Ashland shall list all other sources of funding for Projects and Measures other than that provided by Bonneville. Bonneville and Ashland may then agree to the allocation of costs among the various funding sources. (b) Bonneville shall not pay for any portion of the cost of a Project under this Agreement that has been or would be paid or given credit for under any other Bonneville or Federal contract or financial assistance agreement. No Project or Measure claimed under Bonneville's C&RD shall be eligible for payment under this Agreement. 6. PROJECT IMPLEMENTATION (a) Ashland shall: (1) implement the Projects as described in Exhibit A; (2) deliver Completed Units within the timelines described in Exhibit A unless as otherwise agreed to by the Parities; (3) cause only those Measures identified in Exhibit A to be installed in accordance with any specifications for those Measures; (4) implement Projects in accordance with all applicable building, electrical, environmental, and health and safety regulations imposed by Federal, state and local laws, codes and ordinances; (5) unless otherwise specified in Exhibit A, submit a summary report, that includes the information required by section 8(a), together with the associated invoice(s) to the Bonneville representative identified in section 8(b); and (6) Ashland may subcontract to provide Completed Units under this Agreement. If Ashland does create such an arrangement, Ashland shall, by contract, require that the entity comply with the terms and conditions of sections 9 (Records and Audits), 10 (Bonneville Oversight), 11 (Evaluations), 13 (Suspension and Withholding Payment), and 14 (Termination). 7. CONSUMER AGREEMENTS (a) For projects where Ashland establishes an agreement with the Consumer, wherein the Consumer returns the funds to Ashland either through an addition to their Ashland bill, or due to an obligation created by the Consumer's removal of the equipment, Ashland shall use those returned funds to purchase additional Energy Savings. 01ES-10379, City of Ashland 5 0 S. INVOICING AND PAYMENT (a) Unless otherwise specified in Exhibit A Ashland shall provide for each . Project, an invoice with the documentation detailing the Project costs and the Energy Savings. This shall include, but is not limited to: the Energy Savings methodology, including, if the Energy Savings are not deemed, any pre- and post metered data, formulas, assumptions, operating hours used for determining the Energy Savings; the equipment installed; and the Project costs, including but not limited to equipment costs, architecture and engineering costs, labor, and other direct and indirect costs. Unless specified in Exhibit A for the Project, the frequency of invoices shall either be: (1) no more often than monthly for Projects with multiple Units expected to be delivered throughout the term of this Agreement; or (2) a single invoices when the Project is completed. (b) Invoices shall be transmitted to Bonneville at the following address: Bonneville Power Administration P.O. Box 3621 Portland, Oregon 97208 - 3621 Attn: Ms. Terry L. Regan Telephone (503) 230-4592 Fax (503) 230-5147 Email: tlregan@bpa.gov (c) Bonneville shall pay on a cost reimbursement basis the amount invoiced by electronic transfer of funds from Bonneville to the Ashland's bank account. Payment by Bonneville shall be made on or before the close of business on the 30th day following the date of receipt and acceptance of a proper invoice by Bonneville's COTR. Should the 30th day be a day other than a Workday, the payment shall be due on the next Workday. (d) Should there be a disagreement in the invoice amount, Bonneville and Ashland agree to work together to correct errors to the invoice submitted and any revisions noted on the revised invoice. The Parties shall make reasonable efforts to make invoice adjustments as soon as possible after Bonneville's receipt of the invoice. 9. RECORDS AND AUDITS (a) Ashland shall establish and maintain supporting documents and records for each Project. The files for all projects implemented under this Agreement shall be clearly designated as being Conservation Augmentation projects. The records for each Project, Measure or Unit as appropriate shall include, but is not limited to: (1) the name, address, and telephone number of the recipient; (2) the measure installed; (3) the kWh savings from the measure; (4) documents detailing how the energy savings were determined; (5) the total cost of the measure; and (6) the dollar amount invoiced to Bonneville. 01ES-10379, City of Ashland 6 • 0 (b) If Ashland participates in any of Bonneville's Conservation Programs, Ashland shall maintain records sufficient to demonstrate the source of Bonneville funding, or credit for each Project, Measure or Unit as appropriate. 10. BONNEVILLE OVERSIGHT (a) Bonneville or Bonneville's agent shall have the right to conduct inspections of Units or Completed Units and monitor or review Ashland's procedures, records, verified Energy Savings methods and results, or otherwise oversee Ashland's implementation of this Agreement. The number, timing, and extent of such audits shall be at the discretion of Bonneville. Such audits shall occur at Bonneville's expense. Financial audits shall be in compliance with the audit standards established by the Comptroller General of the United States. Bonneville may contact appropriate Federal, State, or local jurisdictions regarding environmental, health, or safety matters related to Units.or Completed Units. (b) Prior to any physical inspection pursuant to section 10(a), Bonneville shall give Ashland written notice. Upon receipt of notice, Ashland shall have 30 days to arrange for the inspection of Units or Completed Units, or review of energy audit or Measure installation procedures, technical documents, records, or verified savings methods and results. (c) Bonneville's Contracting Officer, or COTR, may issue interpretations, determinations, and findings of the body of this Agreement that are binding on the Parties. Such decisions shall be provided to Ashland in writing. In administering this Agreement, only the written statements of Bonneville officials acting within the scope of their authority shall be considered to be official Bonneville statements. 11. EVALUATIONS (a) Bonneville may conduct, and Ashland shall cooperate in, Conservation impact and Project implementation process evaluations to assess the amount, cost effectiveness, and reliability of Conservation in Ashland's service area or region. Bonneville shall select the timing, frequency, and type of such evaluations. (b) Bonneville shall set the specific requirements for evaluations with consideration for the schedules and reasonable needs of Ashland and Ashland's customers. (c) Any evaluation of the Project initiated by Bonneville shall be conducted at Bonneville's expense and such costs shall be excluded from the Implementation Budget. 01ES-10379, City of Ashland 7 0 12. PROCEDURES FOR ADDITION OR REMOVAL OF MEASURES AND UNITS (a) Measures may be removed from Exhibit A only upon agreement of the Parties; except however, Bonneville may unilaterally remove any Measure from Exhibit A when such removal is necessitated by Other Requirements. (b) Units may be removed from Exhibit A, or the descriptions of Units revised, only upon the agreement of the Parties; except however, Bonneville may unilaterally remove any Unit or make necessary revisions to Unit descriptions when necessitated by Other Requirements. (c) Bonneville may provide notices that establish procedures for implementing this Agreement. When such procedures are adopted by mutual agreement they shall be amended into this Agreement. 13. SUSPENSION AND WITHHOLDING PAYMENT (a) Bonneville and Ashland agree to amend Exhibit A to reflect a change to any Measure that is required due to Other Requirements during the term of this Agreement. (b) Bonneville and Ashland agree to an immediate suspension of the Project related to any Measure that either Party determines after a reasonable investigation presents a significant environmental, health, or safety threat to Consumers. Ashland shall take actions within 60 days, or another number of days as agreed in writing, to remedy the environmental, health or safety threat to Consumers from past Measure installation, and/or implement such other actions as the Parties agree to. The Project shall resume only when Bonneville is satisfied that the Contractor has remedied the environmental, health or safety threat to Consumers. (c) If Bonneville determines that Ashland's Project implementation is not in substantial compliance with the environmental, technical, and/or record-keeping requirements of this Agreement, Bonneville shall provide a written report to Ashland identifying the specific nature of the noncompliance and the Measures affected thereby and withhold further payment of Implementation Costs claimed by Ashland for such Measures. (d) Upon receipt of the report specified in subsection 13(c), Ashland shall not submit additional invoices for Implementation Costs for the Measures identified in the report. (e) Ashland shall take action to bring the Project into substantial compliance with the environmental, technical and/or record-keeping requirements of this Agreement within thirty (30) days and shall notify Bonneville when corrective action has been completed. (f) If Ashland has not brought the Project into substantial compliance as provided for in subsection 13(e), then Bonneville may either: 01ES-10379, City of Ashland 8 0 (1) continue to withhold payment of Implement Costs until such time as Bonneville and Ashland agree that the Project is in substantial compliance with the environmental, technical and/or recording-keeping requirements of this Agreement; or (2) terminate this Agreement in accordance with section 14. (g) If Bonneville continues to withhold further payment of Implementation Costs pursuant to subsection 13(c), Bonneville shall not accept and make payment for any Energy Savings from the Measures or Completed Units which are not in substantial compliance with the environmental, technical, and/or record-keeping requirements of this Agreement. (h) After a suspension imposed under section 13(a) or 13(b) has been lifted or an event of noncompliance under section 13(c) has been corrected, Bonneville shall pay for all claims that are in substantial compliance with this Agreement. including claims for work performed during the previous suspension period, except that for environmental, health, or safety costs incurred due to noncompliance with Federal, State, or local agency regulations, Ashland'shall bear the costs of compliance. Bonneville shall also accept the Energy Savings from the affected Completed Units if a section 13(a) or (b) suspension is lifted and if Ashland has completed actions bringing the affected Completed Units into substantial compliance with this Agreement. 14. TERMINATION (a) Either Party may terminate this Agreement upon thirty (30) calendar days' written notice. Ashland shall have one (1) year from the effective date of termination pursuant to this section to complete Work in Progress, except as provided in section 3(d), and 14(d) below. (b) Bonneville may terminate this Agreement by giving Ashland thirty (30) days' written notice, if Ashland has failed to comply with the following: (1) the environmental, technical, or record-keeping requirements. Ashland's commitments to Consumers shall be the responsibility of Ashland. (2) for cause upon Ashland's failure to comply with this Agreement, including use of any portion of the Implementation Budget in a manner that is inconsistent with this Agreement. (c) Bonneville may terminate this Agreement by giving Ashland thirty (30) days' written notice if Ashland: (1) gives notice to Bonneville that it will stop placing firm load on -Bonneville pursuant to its existing, amended, or new firm power sales 01ES-10379, City of Ashland 9 contract with Bonneville (for the sale of power and energy to meet all or a portion of Ashland's firm electrical energy load or electric peaking requirements) for a period of at least one (1) year; (2) gives notice to Bonneville of its intent to terminate, or terminates, such existing or new firm power sales contract with Bonneville; or (3) if Ashland becomes insolvent, files a petition for bankruptcy or reorganization, or assigns substantially all assets to creditors and consequently Bonneville no longer serves Ashland's loads. Ashland's commitments to Consumers shall be the responsibility of Ashland. (d) There shall be no period to complete work in progress beyond the effective date of termination available to Ashland for a termination under subsection 14(b) and 14(c). Ashland's commitments to Consumers shall be the responsibility of Ashland. (e) If this Agreement is terminated in accordance with section 14(c), a termination charge shall be determined pursuant to this subsection 14(e). The termination charge shall be based on the ratio of the total Conservation expected for the life of the Completed Units less the Energy Savings achieved to the date of termination, compared to the total Conservation expected for the life of the Completed Units. Ashland shall pay the termination charge returning payments received from Bonneville for the Conservation not yet acquired by Bonneville in accordance with the following formula: R = P*(T-A)/T Where: R= Reimbursement to Bonneville; P= Bonneville payments made to Ashland for Implementation Costs to the termination date of this Agreement; A= Total Energy Savings through the date of termination of this Agreement: and T= Total estimated Conservation for the life of all Completed Units achieved to the date of termination of this Agreement. The following conditions apply to this charge: (1) The Energy Savings values for Completed Units shall be consistent with Exhibit A. Measure life values shall be consistent with the Bonneville Energy Conservation Guidebook published in October 1993, or in effect at the time this reimbursement is calculated. 01ES-10379, City of Ashland 10 i ~ (2) Bonneville shall present an invoice to Ashland for payment calculated pursuant to this section 14(e). (3) Ashland may reimburse Bonneville by either: (a) making a lump sum payment within thirty (30) calendar days of the date of Bonneville's invoice; or (b) by making no more than 12 consecutive equal monthly payments, with the first payment and each succeeding payment due within thirty (30) days of the date of Bonneville's invoice. (4) If reimbursement is accomplished by installments, interest shall be charged on the outstanding balance in accordance with average Bonneville Interest Earning Rate with the United States Treasury. Interest shall be calculated for the period of time between the date of the first payment made by Bonneville to Ashland and the date of the first reimbursement payment made by Ashland to Bonneville for which reimbursement to Bonneville is being made in accordance with this section. 15. ENVIRONMENTAL PROVISIONS (a) Bonneville in the performance of this Agreement shall comply with all of its obligations pursuant to the National Environmental Policy Act. (b) The Parties agree to: (1) comply fully with all applicable Federal, State, and local environmental laws; (2) to assist and to cooperate with each other in meeting each other's environmental obligations, to the fullest extent economically and technically practical and mutually agreeable; and (3) provide upon request of the other Party a copy of the pollution abatement plans as required by the Clean Air Act, by the Clean Water Act, by other federal statutes, or by an agency having jurisdiction and within a reasonable time submit evidence that such plans have been approved or have not been objected to by agencies with jurisdiction. 16. STANDARD PROVISIONS (a) No oral or written amendment, rescission, waiver, modification, or other change of this Agreement shall be of any force or effect unless set forth in a written instrument signed by authorized representatives of each Party. 01ES-10379, City of Ashland 11 • (b) This Agreement is binding on any successors and assigns of the Parties. Bonneville may assign this Agreement to another Federal agency to which Bonneville's statutory duties have been transferred. Neither Party may otherwise transfer or assign this Agreement, in whole or in part, without the other Party's written consent. Such consent shall not be unreasonably withheld. Bonneville shall consider any request for assignment consistent with applicable Bonneville statutes. (c) The Parties shall provide each other with any information that is.reasonably required, and requested by either Party in writing, to operate under and administer this Agreement. Such information shall be provided in a timely manner. If such information is subject to a privilege of confidentiality, a confidentiality agreement or statutory restriction under state or Federal law on its disclosure by a Party to this Agreement, then that Party shall endeavor to obtain whatever consents, releases, or agreements are necessary from the person holding the privilege to provide such information while asserting the confidentiality over the information. Information provided to Bonneville which is subject to a privilege of confidentiality or nondisclosure shall be clearly marked on each appropriate page as such and Bonneville shall not disclose such information without obtaining the consent of the person or Party asserting the privilege, consistent with Bonneville's obligation under the Freedom of Information Act. The Consumer's company name, estimated and/or actual Energy Savings, and estimated and/or actual Implementation Costs for Units and Completed Units may not be designated as proprietary information. (d) This Agreement, including all provisions, exhibits incorporated as part of this Agreement, and documents incorporated by reference, constitutes the entire agreement between the Parties. It supersedes all previous communications, representations, or contracts, either written or oral, which purport to describe or embody the subject matter of this Agreement. (e) The exhibits listed in the table of contents are incorporated into this Agreement by reference. The exhibits may only be revised upon mutual agreement between the Parties unless otherwise specified in this Agreement. The body of this Agreement shall prevail over the exhibits to this Agreement in the event of a conflict. (f) The Parties agree that there are no unspecified third party beneficiaries of this Agreement. Nothing contained in this Agreement is intended to confer any right or interest to anyone other than the Parties, their respective legal representative, assigns or successors. (g) Except as otherwise provided herein or as agree by the Parties, no provision of this Agreement may be waived except as confirmed in writing. Any waiver at any time by a Party of its rights with respect to a default under this Agreement, or any other matter arising in connection therewith, shall not be DIES-10379, City of Ashland 12 deemed a waiver with respect to any subsequent default or matter. Either Party may waive any notice or agree to accept a shorter notice that specified in the Agreement. Such waiver of notice or acceptance of shorter notice by a Party shall not be considered a wavier with respect to any subsequent notice required under this Agreement. (h) If any term of this Agreement is found to be invalid by a court of competent jurisdiction then such term shall remain in force to the maximum extent permitted by law. All other terms shall remain in force unless that term is determined not to be severable from all other provisions of this Agreement by such court. (i) This Agreement shall be governed by and interpreted under Federal law. 17. UNCONTROLLABLE FORCE (a) Any obligation of a Party to perform under this Agreement, except an obligation to pay amounts due under this Agreement, shall be excused when such failure to perform is due to an Uncontrollable Force. In the event that either Party is unable to perform due to an Uncontrollable Force, such Party shall exercise due diligence to remove such inability with reasonable dispatch. Nothing in this section shall be construed to require either Party to settle any strike or labor dispute in which it may be involved. (b) Each Party shall notify the other in writing as soon as practicable of any Uncontrollable Force that may impair performance under this Agreement. Failure to give such notice within a reasonable period shall be deemed a waiver of such Uncontrollable Force. (c) Uncontrollable Force is an act or event beyond the reasonable control of a Party, and which by exercise of due diligence and foresight such Party could not reasonably have been expected to avoid or remove, which impairs the ability of the Party to perform and, includes, but is not limited to, failure of or threat of failure of facilities, flood, earthquake, storm, accident, fire, lightning, and other natural catastrophes; epidemic, war, labor, or material shortage, strike or labor dispute, or sabotage; and also includes restraint by an order of a court of competent jurisdiction or by regulatory authorities against any action taken or not taken by a Party, after a good faith effort by the appropriate Party to obtain: (1) relief from such order; or (2) any necessary authorizations or approvals from any governmental agency or regulatory authority. 18. LIABILITY (a) To the extent allowed by the Federal Tort Claims Act, Bonneville agrees to defend, indemnify, and hold harmless Ashland, its affiliated companies, their respective boards of directors, officers, employees, agents and representatives, against and from any and all loss, claims, actions, or suits, 01ES-10379, City of Ashland 13 for or on account of injury, bodily or otherwise to, or death of persons, or for damage to or destruction of property belonging to Ashland or others, resulting from Bonneville's negligent acts or omissions or intentional misconduct in connection with the performance of this Agreement, excepting that any liability attaching to Bonneville shall be reduced by any proportion that such injury or harm is caused by negligence or intentional misconduct of Ashland, its affiliated companies, their respective boards of directors, officers, employees, agents or representatives. (b) Ashland agrees to defend, indemnify, and hold harmless Bonneville, its employees, agents and representatives, against and from any and all loss, claims, actions, or suits, for or on account of injury, bodily or otherwise to, or death of persons, or for damage to, or destruction of property belonging to Bonneville, or others, resulting from Ashland's negligent acts or omissions or intentional misconduct in connection with the performance of this Agreement, excepting that any liability attaching to Ashland shall be reduced by any proportion that such injury or harm is caused by negligence or intentional misconduct of Bonneville, its employees, agents or representatives. (c) No Party ("First Party") shall be liable to the other Party ("Second Party") for any injury or death to any person, or for any loss or damage to any property, caused by or arising out of an electric disturbance on the First Party's electric system, whether or not such electric disturbance resulted from the First Party's negligent, grossly negligent, or wrongful act or omission. (d) Bonneville and Ashland assert that neither Party is the agent or principal for the other, nor are they partners or joint ventures; and the Parties agree that they shall not represent to any other party that they act in the capacity of agent or principal for the other. (e) In no event shall either Party be liable to the other Party hereto for any special, punitive, exemplary, consequential, incidental, or indirect losses or damages for any failure of performance howsoever caused, whether or not arising from a Party's sole, joint, or concurrent negligence. (f) Ashland agrees that Bonneville has no responsibility for production of Energy Savings under this Agreement. (g) Independent contractors contracting with either Party to implement the provisions of this Agreement shall be required by contract to indemnify and hold harmless the other Party from all claims, damages, losses, liability, and expenses arising from breach of contract. statutory and regulatory claims, and the negligent or other tortious acts or omissions of such independent contractors, their officers, employees, or agents. Nothing in this Agreement shall establish, or be construed as establishing, a contractual relationship between Bonneville and any contractor or subcontractor hired by Ashland to participate in the Project's implementation. OlES-10379, City of Ashland 14 19. DISPUTE RESOLUTION (a) The Parties shall make a good faith effort to negotiate a resolution of disputes before initiating litigation. During a contract dispute or contract issue between the Parties arising out of this Agreement, the Parties shall continue performance under this Agreement pending resolution of the dispute, unless to do so would be impossible or impracticable. Ashland reserves the right to seek judicial resolution of any dispute arising under this Agreement that is not subject to arbitration under this section 19. (b) Final actions subject to section 9(e) of the Northwest Power Act are not subject to binding arbitration and shall remain within the exclusive jurisdiction of the United States Ninth Circuit Court of Appeals. Any dispute regarding any rights of the Parties under any Bonneville policy, including the implementation of such policy, shall not be subject to arbitration under this Agreement. Ashland reserves the right to seek judicial resolution of any dispute arising under this Agreement that is not subject to arbitration under this section 19. For purposes of this section 19 Bonneville policy means any written document adopted by Bonneville as a final action in a decision record or record of decision that establishes a policy of general application, or makes a determination under an applicable statute. If either Party asserts that a dispute is excluded from arbitration under this section 19, either Party may apply to the Federal court having jurisdiction for an order determining whether such dispute is subject to arbitration under this section 19. (c) Any contract dispute or contract issue between the Parties arising out of this Agreement, except for disputes that are excluded through section 19(a) above, shall be subject to binding arbitration. The Parties shall make a good faith effort to resolve such disputes before initiating arbitration proceedings. During arbitration, the Parties shall continue performance under this Agreement pending resolution of the dispute, unless to do so would be impossible or impracticable. (d) Any arbitration shall take place in Portland, Oregon, unless the Parties agree otherwise. The CPR Institute for Dispute Resolution's arbitration procedures for commercial arbitration, Non-Administered Arbitration Rules (CPR Rules), shall be used for each dispute; provided, however, that: (1) the Parties shall have the discovery rights provided in the Federal Rules of Civil Procedure unless the Parties agree otherwise; and (2) for claims of $1 million or more, each arbitration shall be conducted by a panel of three neutral arbitrators. The Parties shall select the arbitrators from a list containing the names of 15 qualified individuals supplied by the CPR Institute for Dispute Resolution. If the Parties cannot agree upon three arbitrators on the list within 20 business days, the Parties shall take turns striking names from the list of proposed arbitrators. The Party initiating the arbitration shall take the first strike. This process shall be repeated until three arbitrators remain OlES-10379, City of Ashland 15 on the list, and those individuals shall be designated as the arbitrators. For disputes involving less than $1 million, a single neutral arbitrator shall be selected consistent with section 6 of the CPR Rules. (e) Except for arbitration awards, which declare the rights and duties of the Parties under this Agreement, the payment of monies shall be the exclusive remedy available in any arbitration proceeding. Under no circumstances shall specific performance be an available remedy against Bonneville. The arbitration award shall be final and binding on both Parties, except that either Party may seek judicial review based upon any of the grounds referred to in the Federal Arbitration Act, 9 U.S.C. §1-16 (1988). Judgment upon the award rendered by the arbitrators may be entered by any court having jurisdiction thereof. (f) Each Party shall be responsible for its own costs of arbitration, including legal fees. The arbitrators may apportion all other costs of arbitration between the Parties in such manner as they deem reasonable taking into account the circumstances of the case, the conduct of the Parties during the proceeding, and the result of the arbitration. 01ES-10379, City of Ashland 16 20. NOTICES (a) Any notice required under this Agreement shall be in writing and shall be delivered: (1) in person; (2) by a nationally recognized delivery service; or (3) by United States Certified Mail. Notices are effective when received. Either Party may change its address for notices by giving notice of such change consistent with this section'. If to Ashland: If to Bonneville: City of Ashland Bonneville Power Administration 20 East Main P O Box 3621, Ashland, OR 97520 Portland, OR 97208 Attn: Dick Wanderscheid Attn: Terry Regan PNG-1 Phone: (503) 230-4592 Phone: (541) 488-5306 FAX: (503) 230-3380 21. SIGNATURE CLAUSE Each Party hereto represents that it has the authority to execute and deliver this Agreement and that it has been duly authorized to enter into this Agreement. IN WITNESS WHEREOF, the Parties have executed this Agreement. CITY OF ASHLAND UNITED STATES OF AMERICA Department of Energy Bonneville Power Administration By BY cc unt Executive Name Dick Wanderscheid (Print/Type) Name n Lebens A-&, Title 'Dtrt.+YZ ~ e4mas (PrinUTYPe) 2- Date ~ej~ O` Date 19 I 01ES-10379, City of Ashland 17 Exhibit A PROJECT PROPOSALS, ENERGY SAVINGS, AND PROJECT BUDGETS Ashland agrees that all Energy Savings achieved under this Agreement are incremental to the conservation savings Ashland has achieved under Bonneville's Conservation and Renewable Discount Program. 1. Conservation Augmentation Proposal No. 1 (a) Bonneville establishes an Implementation Budget of $150,000 for the term of this Agreement. Ashland shall invoice Bonneville for Completed Units in the amounts as described below. Bonneville's payment to Ashland for their administrative costs shall be included as part of this Implementation Budget. (b) Residential Sector Conservation Measures (1) Ashland intends to install the following residential Measures at the agreed upon assumed savings (kWh) shown below. Bonneville shall pay Ashland the amount shown below in the payment column for such Measures actually installed. Ashland shall invoice Bonneville pursuant to the instructions as described in section 4 of this exhibit. Ashland may submit a written proposal to Bonneville for the installation of other types of residential measures not identified below. Such written proposal shall state the types of Measures Ashland intends to install and the amount of incentive payments they intend to offer for such Completed Units. Bonneville will review the proposal, and, if Bonneville approves such proposal, shall revise this Exhibit A to include such Measures. Agreed Upon Assumed Savings (kWh) 1. Full weatherization single family 2,531 $1,165 ? 2. Window Replacement Single Family 11.56 kWh/sq. ft. $3.50/s q. ft. 3. Performance Tested Comfort Systems PTCS a. Manufactured homes ! $5002/ b. Site-Built 11 $50091 4. Bri htwa Solar Water Heaters 2,332 $600 5. Heat Pump Conversion v $1,000 6. Heat Pump Conversion with PTCS v $1,500 if Energy savings values shall be determined from the RTF's latest Appendix L. 2! Bonneville shall the pay the lessor of 35 percent of the actual cost of the Measure or the amount shown. 1/ To be determined. (2) Specifications Installation requirements for all residential measures identified above shall be based on the specifications as required for each measure as 01ES-10379, City of Ashland 1 of 19 Exhibit A, Project Proposals, Energy Savings and Project Budgets stated in the Regional Technical Forum's (RTF) Revised Appendix L, dated June 1, 2001. Further specifications for the individual residential measures are specified below: (A) Full Weatherization Single Family Full weatherization shall consist of at least three individual measures and infiltration. Ashland will follow the Bonneville's Weatherization Specifications contained in the Regional Technical Forum Guide Recommendations (RTFGR), for residential conservation measures. Ashland may, if it wishes, adopt any subsequent Bonneville authorized RTFGR, provided Ashland notifies the COTR of that intent by letter. Until the RTFGR specifications include weatherization specifications Ashland may use the attached Bonneville 2001 Weatherization Specifications. (B) Windows Single Family All windows in the home shall be replaced. The windows must meet Energy Star specifications and the dwelling must have all other major weatherization measures already installed. (C) Performance Tested Comfort Systems (PTCS): Work must meet PTCS Certification or Equivalent Requirements Ashland shall require PTCS certified individuals perform tests on each Project in accordance with PTCS requirements for testing, sealing, and retesting. In general, each system shall be pressure tested, and any air leaks sealed in accordance with PTCS requirements and the system pressure tested to ensure the leaks are sealed, Ashland shall require all materials and workmanship be warranted. (D) Brightway Solar Hot Water Heaters The solar residential hot water heaters must be designed, installed, and inspected per Eugene Water and Electric Board's (EWEB) Solar Water Heater Program specification. (E) Heat Pumps (i) General Heat Pump Equipment Standards And Requirements For Site Built Structures (1) Equipment All equipment shall be listed in the Air Conditioning and Refrigeration Institute (ARI) Directory and manufactured by company(s) appearing in said directory. Only appropriately 01ES-10379, City of Ashland 2 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets matched equipment shall be used. Units shall be listed by Underwriters' Laboratories. (II) Ratings Heat pump equipment shall meet the performance, safety, and rating requirements as given in the latest revision of ARI Standard 240. (III) Protective Devices Reciprocating compressors shall be provided with a crankcase heater and a liquid-line dryer. Compressor motor start-assist kits shall be installed when recommended by the manufacturer. The Compressor shall be protected form abnormal operating pressures and temperatures, and loss of refrigerant by suitable pressure and temperature overload devices. To prevent flood back of liquid refrigerant to the compressor, a suction line accumulator should be installed. (IV) Warranty Heat pump equipment shall be warranted by the manufacturer against defects in material and workmanship for a minimum of one year from the date of start-up of the equipment. In addition, the compressor shall be warranted by the manufacturer against defects in material and workmanship for a minimum of five years from the date of start-up. (V) Supply Fan All heat pump systems shall be equipped with a three (3) speed fan. (VI) Air Flow The indoor fan and duct systems shall be sized to meet the air flow requirements of the heat pump equipment (ii) Specific Heat Pump System Requirements (I) Air Source Heat Pumps Performance It is recommended that the highest efficiency equipment available be used. The HSPF rating for a split system shall be 8.00 BTUh/watt or greater. The HSPF rating for a package system shall be 8.0 BTUh/watt or greater, as certified by ARI. 01ES-10379, City of Ashland 3 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (II) Gas Backup Heat Pumps (aa) The gas auxiliary heat shall be sized to provide no more that 100 percent of the design heating load. (bb) Heat pumps with backup gas furnaces shall meet one of the following minimum efficiencies: (AA) 8.0 HSPF with 90 percent AFUE gas furnace. (BB) 8.0 HSPF with 80 percent AFUE gas furnace. (cc) All gas backup heat pumps shall have an outdoor thermostat. The outdoor thermostat shall be set no higher that 35°F so that the gas furnace will not operate in the heating mode when the outdoor temperature is above 35°F. The heat pump and gas furnace shall not operate simultaneously, except in the defrost mode. (dd) The indoor coil of the heat pump shall always be installed down stream of the heat exchanger for the gas furnace. Condensate form indoor coil shall not be allowed to drip onto the gas furnace's heat exchanger. (III) Ground Source Heat Pumps The proposed ground source equipment must have a Coefficient of Performance (COP) of 3.0 at 50 F entering water temperature. (iii) Equipment Installation The consumer shall be responsible for disclosure to the contractor and Ashland any known past or present standing water conditions noted under the dwelling. The customers responsible for installation of a sump pump, OR suitable trenching, OR any other method(s) necessary to property drain the crawl space. Completion of this (these) measure(s) shall be made prior to installation, repair or replacement of any equipment that are located in the crawl space. 01ES-10379, City of Ashland 4 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (I) Access Equipment shall be located to allow easy service access and adequate working space for servicing without removal of piping, ductwork, or other permanently installed fixtures. Special care shall be taken in locating components which require frequent attention, such as filters. (II) Location and Support of Indoor Units Equipment shall be installed according to State and local building codes. Indoor units shall be located to permit smooth duct transition and shall be adequately supported or placed on a suitable platform in accordance with manufacturer's instructions and recommendations. Attic and underfloor installations shall be noted in original proposal. If the indoor unit is lower that the floor drain or dry well a condensate pump shall be installed. Automatic controls to shut down the system in case of pump failure shall be installed. A back flow prevention device shall be installed if the pump is not equipped with one. (III) Location and Support of Outdoor Units All equipment shall be installed according to State and local building codes. Outdoor units shall be located to avoid restriction in the outdoor airstream. Units shall be mounted on an adequate, solid, secure pad which provides proper drainage and prevents a buildup of water and ice. In all installations there shall be a minimum of three inches of free and clear area under the outdoor drainage area. Condensate shall not drain onto areas where ice formation may create a hazard (e.g. walkways). Condensate drain lines shall be pitched to prevent backup and overflow of water in the drain pan. (iv) Ducting System and Sizing Standards (I) Metal, Flez, and Fiber Board plenums are all acceptable materials, provided they are properly designed, sealed, and installed. (II) All ducting shall meet manufactures requirements and be properly sized using a standardized system to provide the airflow that 01ES-10379, City of Ashland 5 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets is needed to meet the calculated heating and cooling loads for each space. (III) Multi-level homes or homes exceeding 1,800 square feet of gross living area shall have a minimum of two (2) returns. (When appropriate, return ducts should be positioned higher in relation to the supply ducks.) (IV) All duct joints shall be mechanically fastened. (V) Hangers shall hold ducting as straight as possible limiting restriction of airflow and supported off ground whenever possible. (VI) All boots shall be mechanically fastened to the sub-floor. (VII) Duct insulation shall be installed without excessive compression, using non-corrosive and rot proof materials. (VIII) Air Velocity (FPM) Guidelines Air velocity guidelines listed below should be used in the design of the duct system. Air Velocity (FPM) Guidelines Supply Side Return Side Rigid Flex Rigid Flex Main Trunk Plenum 700 600 600 600 Branch Ducts 600 600 400 400 Supply Outlet Face Velocity 500 Return Grille Face Velocity 400 Return Grille Face Velocity 300 (IX) Proper diffusers and registers shall be selected and installed in the proper locations. (X) All metal connections must be sealed using RCD No. 6 Mastic or Air Seal No. 33 Mastic (or other mastic material meeting the same material standards). Connections include, but are not limited to: butterfly joints, boots, gores, branch connections, or plenum joints. DIES-10379, City of Ashland 6 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (XI) All boots shall be sealed to the sub-floor connection. (XII) No duct tape shall be used in the installation of ANY equipment. (XIII) Blower door testing will be random after the first five (5) successful installs by any on installer. (Purpose: quality control and to offer feedback to the installer). Ashland will provide this diagnostic service at no charge to the customer or installer. (IX) Building cavities shall not be used as supply or return plenums. (v) Retrofits Retrofit shall be defined as modification of the existing ducted heating system. (I) Heat pump equipment must meet the equipment standards previously referred to under Heat Pump Equipment Standards. (II) If blower door diagnostic test indicated the duct system needs sealing, duct sealing shall be reimbursed under current weatherization payment structures. (III) To provide adequate air flow, the installer must verify that the existing air handler and heat strips are compatible with the new heat pump system (refer to section 2(f)). (VI) Supplemental Heat Pump System Requirements Sections 7(a) through 7(d) are to be considered for manufactured home installations. These requirements are to be considered in combination with ALL other requirements and standards herein noted. (aa) A fan kit shall be required that matches the heat pump outdoor unit. (bb) No blower door testing will be required for duct analysis. (cc) For manufactured homes that are considered "heat pump ready," all 01ES-10379, City of Ashland 7 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets • equipment must be matched and meet ARI standards. (dd) The cross-over duct shall be properly sized, free of damage, properly supported, fastened in a secure manner, and not restrict air flow. (vi) Insulation (I) Flex ducting shall be a minimum of R-8. (11) Metal ducting shall be properly wrapped with a. minimum R-8 material or higher. (III) Fiber board plenums shall be wrapped to achieve a minimum or R-11. (vu) Inspections (1) An in-progress inspection shall be performed for duct sealing. Twenty-four (24) hour notice shall be given. (Ashland will be available for site assistance for those unfamiliar with mastic procedures.) (II) Blower door testing will remain available to all customers and installers upon their request. Ashland will provide this diagnostic service at no charge to the customer or installer. (viii) Indoor Thermostats An operational 24 hr/7 day programmable thermostat shall be installed in accordance with manufacturers specifications. Product literature and operating instructions shall be provided to the customer. (I) Installation Indoor thermostats shall be located and installed according to the manufacturer's instructions and recommendations. (II) Heating and Cooling Indoor thermostats shall have the capability to operate both the heating and cooling cycles. The thermostat shall have a manual changeover feature or heating/cooling lockout to prevent cross-cycling. Heat pumps with supplemental heat strips shall have a two (2) stage thermostat. OIES-10379, City of Ashland 8 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (III) Emergency Heat Relay All indoor thermostats shall include a manual selector switch to permit all supplemental heaters, to the furnace, to be energized under control of the indoor thermostat (with the compressor and outdoor thermostats by passed) when the system is operating on emergency heat. (ix) Air Volume After installation and start-up, the contractor shall prepare a report documenting the total airflow across the heat pump coil, recorded at the air handler. This, along with the temperature difference across the coils and outdoor ambient air temperature at the outdoor coil, should be reported to the customer, included on the Heat Pump Start-Up Checklist, and submitted to Ashland. (x) Filters Air filters shall be installed in the return air system in a location that will be easily accessible to the user for filter servicing in a position where all return air and outside air will pass through the filters before crossing the indoor coil. Filter types and sizes shall meet the standard manufacturer's instructions and recommendations. The filter media shall have an average efficiency of not less than 30 percent on ASHRAE 52-76-test standard. (c) Invoicing and Payment Ashland shall invoice Bonneville on a quarterly basis (once every three months) for Completed Units. Payment shall be made based on the provisions of section 8 "Invoicing and Payment" in the body of this Agreement. Ashland shall include a separate line item as part of their invoice for their administrative costs to install the conservation measures under this Agreement. Ashland's administrative costs shall be 10 percent of the amount it invoices Bonneville for Completed Units. 2. Conservation Augmentation Proposal No. 2 (a) Commercial Lighting Limited Standard Offer This LSO provides rebates for retrofits of lighting in commercial buildings. The Measures eligible for payment under this LSO include only those listed in the Verification Report. In addition, a 25 percent watt reduction for each Project is required to receive the rebate. Ashland shall ensure that all materials, including PCB ballasts, are disposed of in accordance with current environmental laws. Ashland shall implement a commercial sector lighting retrofit program designed to install the Measures listed in the Verification Report below. 01ES-10379, City of Ashland 9 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets • Ashland may implement the program using Ashland's staff or contractors to provide the services necessary to install the Measures. Ashland shall provide a work plan to Bonneville which includes: (1) a brief description of Ashland's program; (2) method for determining eligible buildings; and (3) qualifications required for auditors, installers and inspectors. Bonneville shall review this work plan and upon acceptance, send written notification to proceed. (b) Implementation Period This LSO is available from the Execution Date of the Agreement, or amendment through September 30, 2003. This may be extended by modification of this LSO. (c) Energy Savings Verification Ashland shall inspect all installations to ensure Measures are installed correctly and the Measures meet the specifications listed in Section F of this LSO. Ashland shall complete and sign the Verification Report and attach the Wattage Reduction Summary Sheet, or equivalent, for each Project and submit it with the invoice as described in section D below. Ashland shall retain all supporting documents for each Project that include, but are not limited to, purchase orders, subcontractor invoices, preproject estimates, or other related Project documents. Bonneville may review these records as provided for in this Agreement. (1) Bonneville Payment and Invoicing Requirements Bonneville shall provide $200,000 for implementation of this proposal. Ashland may invoice Bonneville up to this total Implementation Budget for this LSO through September 30, 2003. If Ashland expends this Implementation Budget amount prior to September 30, 2003, Ashland may request additional Implementation Budget. Bonneville will review the request and may add additional funds to the Implementation Budget by modification to this Agreement. Ashland may invoice Bonneville when Projects are complete, but no more often than once a month. Bonneville shall review and upon acceptance pay the reimbursements for measures installed. Ashland shall, if requested by Bonneville, arrange for an on-site inspection by Bonneville of the Measures installed. (2) Program Requirements (A) The facility shall be non-residential and served by Ashland. (B) The rebate shall not exceed 100 percent of the actual total cost. 01ES-10379, City of Ashland 10 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (C) All retrofit Projects must reduce the connected lighting wattage by 25 percent. (D) Rebates are available for existing facilities only. (E) Specify Energy Star labeling if available. (3) Specifications for Installation (A) Electronic Ballasts for Full Size Fluorescent Lamps (i) Listing The ballast must be listed on the most current Lighting Design Lab Specification Committee's Electronic Ballast List for Full Size Fluorescent Lamps. (ii) General All electronic ballasts shall meet the requirements of U.L. 935 and shall bear the appropriate U.L. label. (iii) Warranty The electronic ballast shall be warranted against defects in material and workmanship for three years. The warranty shall include either a $10 replacement labor allowance or complete replacement including labor by an agent of the manufacturer. (iv) Mechanical Characteristics Electronic ballasts shall have the same physical dimensions and mounting arrangements as those of their core and coil counterparts. (v) Electrical Characteristics The electronic ballast shall withstand input power line transients as defined in ANSI C62.41. The ballast shall tolerate a line voltage variation of 10 percent. (vi) The power factor shall be 95 percent or higher. The lamp crest factor shall measure 1.7 or less for rapid start ballasts and 1.85 or less for instant start ballasts. (vii) Total harmonic distortion of the input current to the electronic ballast shall not exceed 20 percent of the input current. (viii) The electronic ballast shall be Class "A" sound rated and UL Class "P" thermally protected. DIES-10379, City of Ashland 11 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (ix) The electronic ballast shall comply with FCC rules and regulations Part 18 concerning the generation of both EMI (electromagnetic interference) and RFI (radio frequency interference). (x) Electronic ballasts shall operate the lamp at a frequency of 20 khz or greater. (xi) The ballasts shall start and operate standard lamps at 50 °F and energy savings lamps at 60 °F. Ballast case temperature shall not exceed 25 °C rise above a 40 °C ambient temperature. (xii) The ballast shall be provided with an internal fuse to protect the electrical power supply from internal component failure. The ballast shall also be short- circuit protected in the event of miswiring. (B) Compact Fluorescent Low Wattage Fluorescent Ballasts This specification applies to magnetic and electronic ballasts of either integral or modular configuration operating 5 to 30 watt fluorescent lamps, regardless of shape or number of driven lamps. This specification does not apply to ballasts operating fluorescent lamps 2' and longer. (i) • Listing The ballast must be listed on the most current Lighting Design Lab Specification Committee's Electronic Ballast List for Low Wattage Fluorescent Lamps. (ii) All ballasts shall comply with Underwriters Laboratory (U.L.) requirements and shall bear the appropriate labels. (iii) The power factor for all ballasts shall be 90 percent or higher. (iv) Total harmonic distortion (THD) of the input current shall not exceed 33 percent of the fundamental 6011z. current. (v) Electronic Ballasts shall comply with FCC rules and regulations Part 18, concerning Electromagnetic and Radio Frequency Interference (EMI and RFI) (vi) Electronic ballasts covered by this specification shall withstand input power line transients as defined in ANSI C62.41. 01ES-10379, City of Ashland 12 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets (vii) All equipment covered by the specification shall be Class "P" thermally protected where required by Code. (viii) For all modular ballasts, the lamp current crest factor (ratio of peak current to RMS current of the modulated waveform) shall not exceed 1.7 for rapid start ballasts or 1.85 for instant start ballasts. (ix) The ballast shall be capable of starting the designated lamp at the minimum temperature established by the lamp manufacturer. Integral units shall state minimum starting temperature. (x) All ballasts shall be Class "A' sound rated. (C) Full Size Fluorescent Lamps (i) Lamps shall be 1" in diameter T8. (ii) Lamps shall have Rare Earth phosphor coating and have a minimum CRI of 80. (D) Fluorescent Luminaries Components or luminaries shall be U.L. listed or classified. (E) Compact Fluorescent Lamps Lamps shall have Rare Earth phosphor coating having a minimum CRI of 80. (F) Screw-in Compact Fluorescent (i) Total harmonic distortion (THD) of the input current shall not exceed 33 percent of the fundamental 60 Hz. current. (ii) Lamps shall meet Energy Star requirements. No equivalents allowed. (G) Compact Fluorescent Fixtures (i) Components or luminaries shall be U.L. listed or classified. (ii) Recessed downlights shall have a reflector specifically designed for the lamps. (iii) Recessed downlights shall be vented to provide convective cooling to the lamp. 01ES•10379, City of Ashland 13 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets • (II) HID Lighting Luminaries and retrofit kits shall be U.L. listed or classified per specific application, (e.g., exterior luminaries to carry a U.L. wet or damp label designation). (I) Occupancy Sensors (i) Occupancy sensors shall be U.L. listed or classified. (ii) Controlled luminaire wattage shall not exceed occupancy sensor electrical load capacity. (iii) Occupancy sensors shall be provided with manual sensitivity adjustment or and an adjustable or fixed time delay during which controlled luminaries remain on after the space is vacated. Fixed time delay shall be at least 30 seconds and no more than 20 minutes. (iv) Occupancy sensors shall be provided with a minimum 3 year manufacturer warranty. (J) Daylighting Controls (i) Electronic ballasts shall control the light output of the lamps continuously between 25 percent and 100 percent of full light output. (ii) Electronic ballast shall meet all other Fluorescent Ballast Specifications. (I) Programmable Thermostats (i) Programmable thermostat shall have deadband and 7-day setback capabilities; heat pump thermostats shall also have optimal start and emergency heat lockout features. (ii) Programmable thermostats shall include a switch to manually activate the fan. The fan shall run continuously when this switch is on. The fan shall run only when the thermostat calls for heating or cooling when this switch is off. (iii) Programmable thermostats shall be provided with a battery back up. 01ES-10379, City of Ashland 14 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets Verification Report Modifications to Existing Fixtures Item Installed Rebate uantity Total Rebate Existing Fluorescent Fixtures, with magnetic ballasts; And T12 lamps. Tor less, change to: T8 lamps and electronic ballasts with: $30 2 to 4 lamps 1 lamp $15 and T12 slimline lamps. 5' to 8', change to: T8 lamps and electronic ballasts with: $40 2 to 4 lamps Ilamp $20 and T12 HO or VHO lamps. 5' to 8', change to: T8 lamps and electronic ballasts with: $50 2 to 4 lamps 1lamp $40 Existing Incandescent Fixture, change to: Compact Fluorescent, hard wired, $30 replaceable lamp Screw-in Compact Fluor., locking base, $15 replaceable lamp Screw in compact fluorescent $7 Existing Exit Sign, over 17 watts, change to: Less than 5 Watts (LED) $35 Item Installed Rebate Quantity Total Rebate rFluorescent Fixtures, 4'or less with Elect. Ballasts and T 8lamps r 4 lamps $30 p $15 Fluorescent Fixture, over 4' with Elect. Ballasts and T8 Lam s 2, 3, or 4 lamps $40 l lamp $20 Compact Fluorescent Fixtures, Hard Wired 5 - 17 watts nominal $35 Greater than 17 watts nominal; $45 Exit Signs Less than 5 Watts (LED) $30 High Pressure Sodium or Metal Halide Fixtures 100 W or less $70 101 W - 399 W $120 400 W or greater $200 01ES-10379, City of Ashland 15 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets Item Installed Rebate uantit Total Rebate Occupancy sensors Wall-switch mount: 100 to 300 W $20 over 300 W $35 Ceiling or high wall mount, over $45 300 W Programmable Setback. Thermostat (with optimal start and emergency heat lockout) For HVAC systems with electric $50 resistance heat or Heat Pumps Total Building Name and Address: Total Cost: $ kWh Savings: percent Watt Reduction 0 Watt Reduction Achieved 0 All Equipment Meets Minimum Equipment Specifications 0 The Rebate Items listed above have been installed and are operational Inspected and Approved by: Date: 01ES-10379, City of Ashland 16 of 19 Exhibit A, Project Proposals, Energy Savings, and Project Budgets c o y v y ai E o d ~ y o U d x U y y U ~ O ~ a ~ v en a w ~ d c w c d a a m w p. o ~ y ~ ~ A E o W • 0 3. Conservation Augmentation Proposal No. 3 (a) Project Submission Process (1) Ashland shall implement a commercial and/or industrial sector energy conservation Program. Ashland shall follow the procedures and requirements described below to receive payment from Bonneville for Energy Savings delivered under this Agreement. (2) Ashland shall submit Project summaries to Bonneville. Ashland shall include in this Project Summary: a description of the Project; the timeline to complete the Project: the expected annual Energy Savings; the methodology for determining Energy Savings (including assumptions used for calculating Energy Savings); the estimated total project cost; and the total expected cost to Bonneville. The Ashland shall include a plan for measuring and verifying the energy savings. The Plan shall include a description of how the energy use will be measured or calculated for both before and after the project. Bonneville shall, upon completion of a review of the Project Summary, provide written notice either accepting, return for modification or rejecting the Project. The Parties agree that Bonneville's written acceptance of the Project unilaterally amends the Project into this Exhibit A. (3) Bonneville shall make available to Ashland an Implementation Budget of $500,000 for this Program. For each Project accepted by Bonneville, the Implementation Budget available for this Program shall be allocated to the accepted Project. Ashland may continue to submit Project Summaries until the Implementation Budget is allocated. (4) Ashland shall, upon completion of the Project, provide to Bonneville, along with the invoice, a Completion Report that includes, but is not limited to, the actual Energy Savings (including the assumptions and formulas used), the actual total Project costs, any changes in equipment' installation, or operations from what was described in the pre-Project report and other information relevant to the Project installation. (b) Delivery Schedule Ashland may begin implementation of this Program upon execution of this Agreement and may implement this Program through September 30, 2003. (c) Estimated Energy Savings (1) The Energy Savings methodology for each Project shall be described in the Project Summary. The actual Energy Savings for each Project as shown in the Completion Report shall be the basis for the payment from Bonneville. 01 ES-10379, City of Ashland 18 of 19 Exhibit A, Project Proposals, Energy Savings and Project Budgets (2) Bonneville may request and the Ashland shall make arrangements for site visits to approve the Project Summary or as part of Bonneville's receipt and acceptance of the Completion Report. (d) Bonneville Payment (1) For each completed Project accepted by Bonneville in the Completion Report, Bonneville shall reimburse Ashland the lessor of $0.18 per actual first year kWh saved or 80 percent of the project cost. The reimbursement paid for Energy Savings by Bonneville shall be paid to the Consumer. For each completed Project accepted by Bonneville in the Completion Report, Bonneville shall pay the Ashland 15 percent of the total Project cost for the Ashland's administrative costs. The total amount paid by Bonneville to Ashland for administrative costs under this Agreement shall be limited to 15% percent of the total Implementation Budget amount. For any Project, the Ashland may, if agreed to by Bonneville, request Bonneville's assistance in exchange for part of or all of this administrative payment. (2) Bonneville shall upon receipt and acceptance of the Completion Report, pay Ashland in accordance with this Agreement. (e) Eligibility Requirements (1) Projects with simple energy paybacks of one-year or less shall not be eligible for reimbursement from Bonneville under this Program. (2) The Project must contribute to a reduction of the amount purchased from Bonneville under its Power Sales Contract. (3) Only commercially available Measures shall be eligible for reimbursement by Bonneville. (4) All non-residential facilities are eligible for participation in this Program. (5) Bonneville will not pay reimbursements under this Program for Measures that have been paid for under another Bonneville. (6) Bonneville shall not pay for any Project where the equipment to be installed has already ready been purchased. (7) Equipment that has been retired in place is ineligible unless it is under renovation for installation in a new or expanding Facility and if an acceptable baseline for determining Energy Savings can be established. OI ES-10379, City of Ashland 19 of 19 Exhibit A, Project Proposals, Energy Savings and Project Budgets