INSTITUTIONAL BUILDINGS PROGRAM
The purpose of these rules is to provide procedures, standards and criteria for administration by the Oregon Department of Energy of a contract agreement with the Bonneville Power Administration to acquire electricity energy savings through subcontracts with schools, hospitals, public care, government buildings and eligible facilities other than buildings.
(1) "Bonneville" means the Bonneville Power Administration, an agency of the U.S. Department of Energy.
(2) "Building" means any structure in which the efficiency of electric energy use can be improved through the installation of an energy conservation measure (ECM), and which was completed by October 28, 1982, and which is owned and operated by an Institution.
(3) "Care Institution" means:
(a) An institution for long-term care, a rehabilitation institution, or a health center, as described in Section 1633 of the Public Health Service Act (42 U.S.C. 300s-3; 88 Stat. 2270); or
(b) A residential child care center, other than a foster home, which is primarily intended to provide fulltime residential care with an average length of stay of at least 30 days for at least ten minor persons who are in the care of such institution as a result of a finding of abandonment or neglect, or of being persons in need of treatment or supervision.
(4) "Department" means the Oregon Department of Energy.
(5) "Administrative Costs" are those allowed under OMB Circular A-87, "Cost Principles for State and Local Governments", as amended.
(6) "Effective Date" means October 28, 1982.
(7) "Energy Audit" (EA) means the survey of an Institution by an energy auditor, which is conducted according to standards established by Bonneville, and which provides a description of the energy-using characteristics of the buildings and identifies O&M activities.
(8) "Energy Auditor" means a representative of an institution or a licensed engineer or architect who is certified by the Department to perform energy audits under this program.
(9) "Energy Conservation Measure" (ECM) means an installation of material or equipment or the provision of services for weatherization, water heating, space heating or cooling, ventilation, lighting, food preparation, pumps and motors, automatic energy control, and energy recovery resulting in improved efficiency of electric energy use. An ECM is also a direct application renewable resource.
(10) "Facility Other Than Buildings" means an installation such as, but not limited to, a:
(a) Sewage treatment plant;
(b) Potable water treatment and pumping system;
(c) Fish hatchery;
(d) Parking structure; and
(e) Stadium or arena, which was completed by October 28, 1982 and which is owned and operated by an institution.
(11) "Hospital" means an institution which is a general or specialized hospital, other than a hospital furnishing primarily domiciliary care, and which is duly authorized to provide hospital services under the laws of the state in which it is located.
(12) "Initial Budget Year" means the period starting with the effective date and ending with the end of the federal fiscal year.
(13) "Institution" means a nonprofit institution or a public institution located within an operating area as listed in rule 330-068-0080.
(14) "Nonprofit Institution" means a hospital, care institution, or school owned and operated by an entity which is exempt from income tax under Section 501(c)(3) or 501(c)(4) of the Internal Revenue Code of 1954, as amended.
(15) "Occupied Building" (for buildings located within facilities) means an enclosed structure in which people are located for more than seven hours per week, and which contains an operative heating and/or cooling system used for human comfort and/or for process environmental control.
(16) "Operation and Maintenance" (O&M) means the operation of, or scheduled maintenance, repair and adjustment of, equipment or components of buildings to assure improved energy efficiency.
(17) "Program" means the Institutional Buildings Program funded by Bonneville through an agreement with the Department as may be periodically amended.
(18) "Project" means one or more ECMs, defined by the TAS, which are submitted by an institution to the Department for funding.
(19) "Public Institution" means an institution owned and operated by:
(a) The federal government;
(b) A state;
(c) A political subdivision of a state empowered to levy taxes;
(d) A recognized governing body of an Indian tribe; or
(e) A body delegated general government functions under state or local legislative authority.
(20) "School" means an institution which provides, and is legally authorized to provide, elementary, secondary, post-secondary, or vocational education on a day or residential basis.
(21) "Technical Assistance Study" (TAS) means a study which is performed according to standards provided by Bonneville which analyzes the potential energy savings in a building and includes recommendations for accomplishing such energy savings through ECMs.
[Publications: The publication(s) referred to or incorporated by reference in this rule are available from the agency.]
The program is available to institutions for buildings and facilities other than buildings located in the operating area as listed in OAR 330-068-0080.
(1) Energy auditor training: The Department shall provide to representatives of institutions (except for facilities other than buildings), energy auditor training or orientation which meets guidelines and standards provided by Bonneville. The Department shall certify individuals as energy auditors in accordance with procedures approved by Bonneville.
(2) Energy audit: The Department shall provide, at no direct cost to an institution, a list of energy auditors and model forms for use in conducting energy audits (for buildings and occupied buildings only).
(3) Technical assistance studies (TAS):
(a) The Department shall solicit, evaluate, rank, and select for funding applications for TASs. Ranking shall be in accordance with OAR 330-068-0085(1). The Department shall notify applicants in writing whether or not they have been selected for funding;
(b) The Department shall ensure that the requirements in paragraphs (A), through (E) of this subsection, are met before disbursing funds for a TAS (for buildings and occupied buildings only):
(A) An energy audit has been completed by an ODOE certified energy auditor;
(B) All O&M activities identified in the energy audit have been implemented by the institution, except those which the Department determines, in accordance with guidelines and environmental restrictions provided by Bonneville, need not be implemented;
(C) The institution has solicited qualifications of licensed engineers or licensed architect-engineer teams for accomplishing the TAS before choosing a licensed engineer or licensed architect-engineer team, unless otherwise agreed to by the Department and such Institution;
(D) The TAS has been performed by a licensed engineer or licensed architect-engineer team, and has been reviewed and approved by the Department;
(E) The institution provides the Department with proof of payment to the licensed engineer or architect-engineer team of all agreed upon costs for performing the technical assistance study.
(c) The Department shall ensure that the requirements in paragraphs (A) through (D) of this subsection are met before disbursing funds for a TAS (for facilities other than buildings):
(A) All O&M activities identified in the facilities TAS have been implemented by the institution, except those which the Department determines, in accordance with guidelines and environmental restrictions provided by Bonneville, need not be implemented;
(B) The institution has solicited qualifications of licensed engineers or licensed architect-engineer teams, with at least one year of documented experience in the design or operation of the particular facility other than a building being studied, for accomplishing the TAS before choosing a licensed engineer or licensed architect-engineer team, unless otherwise agreed to by the Department and such institution;
(C) The TAS has been performed by a licensed engineer or licensed architect-engineer team and has been reviewed and approved by the Department;
(D) The Institution provides the Department with proof of payment to a licensed engineer or architect-engineer team of all agreed upon costs for performing the technical assistance study.
(d) The Department shall pay an Institution 50 percent of the amount determined in accordance with the TAS payment formula in rule 330-068-0090, upon completion of the TAS in accordance with the above requirements. The Department shall pay the institution the remaining 50 percent of the TAS amount when the conditions in either of paragraphs (A) or (B) of this subsection are met:
(A) The Institution installs, at its own expense, ECMs recommended in the TAS, the total cost of which is at least equal to the remaining 50 percent of the TAS amount;
(B) The institution agrees in writing to install, upon approval of funding, ECMs recommended in the TAS, the total cost of which is at least equal to the remaining 50 percent of the TAS amount. If an institution which has received the remaining 50 percent of the TAS amount, or any portion thereof, does not install such ECMs upon approval of funding, the Department shall require the institution to return the payment for the remaining 50 percent of such institution's TAS amount, or any portion thereof received, to the Department;
(C) The Department shall not pay the institution the total remaining 50 percent of its TAS if one of either condition in paragraph (A) or (B) of this subsection is not satisfied and if:
(i) The TAS does not recommend any eligible electrical ECMs even though its TAS does satisfy the requirements as stated in subsections (3)(b) and (c) of this rule;
(ii) The total cost of the recommended eligible electrical ECMs does not equal the remaining 50 percent of the TAS amount, even though the TAS does satisfy the requirements as stated in subsections (3)(b) and (c) of this rule.
(4) Energy conservation measures (ECMs):
(a) The Department shall solicit, evaluate, and select Projects for funding at least once but not more than four times annually. The Department shall notify applicants in writing whether or not they have been selected for funding;
(b) The Department shall comply with the procedures in paragraphs (A) through (E) of this subsection prior to approving a Project application for funding:
(A) The Department shall provide a licensed professional engineer, other than the engineer or architect-engineer team who performed the TAS, to review and certify that energy savings and project cost estimates of ECMs recommended in the TAS were calculated using standard engineering practices, and that only ECMs recommended in a TAS are included in a project;
(B) The Department shall rank and select for funding projects in accordance with the ranking formula for ECM's found in OAR 330-068-0085(2)(a), if requests for project funding exceed the portion of the approved budget approved for ECMs;
(C) The Department shall ensure that the following conditions will not occur as a result of project installation:
(i) Installation of low-pressure sodium vapor lights indoors;
(ii) Use of toxic transfer fluids in solar heating systems;
(iii) Use of high pressure sodium vapor lights indoors except for:
(I) General lighting in warehouses with low visual demand activities and short duration occupancies; and for
(II) High visual demand lighting in high bay areas, as defined by IES Lighting Handbook, where the mixture of HPS to incandescent, fluorescent, or metal halide fixtures is at least 1-to-1 with similar lumen output from both types of fixtures and the HPS fixtures are staggered on a multiple phase circuitry.
(iv) Removal or disturbance of previously installed asbestos;
(v) Installation of Urea Formaldehyde Foam Insulation (UFFI).
(D) The Department shall ensure that Bonneville funds are not used to pay for ECM's which Bonneville has determined are environmentally restricted;
(E) The Department shall obtain from the institution a written agreement to indemnify Bonneville and hold it harmless from and against all claims and liability and expenses, including reasonable attorneys fees, arising from the negligent or other tortious acts or omissions of the Institution's officers, agents, or employes.
(c) The Department shall comply with the procedures in paragraphs (A) through (D) of this subsection, prior to disbursing funds to institutions for completed projects:
(A) For projects that require the preparation of design documents by, or have had design documents prepared by a licensed professional engineer, a licensed architect or licensed architect-engineer team, the Department shall provide a licensed professional engineer, other than the engineer, architect or architect-engineer team who prepared the design documents, to review and verify prior to bid release, that the project design has been prepared in accordance with standard engineering practice and can reasonably be expected to produce the energy savings identified for the project in the TAS;
(B) The Department shall ensure that the institution has solicited three competitive bids for ECM installations unless otherwise agreed to by the Department and the institution, and has chosen an installer on the basis of price and capability;
(C) The Department shall inspect each project for proper and complete installation of ECMs and confirm such installation in writing in accordance with the following:
(i) Projects that require the preparation of design documents by, or have had design documents prepared by a licensed professional engineer, a licensed architect or licensed architect-engineer team (except that projects involving the installation of insulation, windows, doors and lighting will not require inspection by a professional engineer), shall be inspected by a licensed professional engineer other than a licensed professional engineer, licensed architect or licensed architect-engineer team installing ECMs as part of such project; and
(ii) Projects that do not require professional design work, or any project involving the installation of insulation, windows, doors and lighting, shall be inspected by an inspector with qualifications approved by Bonneville.
(D) The Department shall obtain from the institution proof of final payment of all agreed upon costs for ECM installations.
(d) The Department shall pay an institution in accordance with OAR 330-068-0090 for installed ECMs.
(5) Performance bond. A performance bond shall be furnished and maintained in the amount of 100 percent of the project amount when the project amount exceeds $10,000 and when the Department has authorized progress payments for such project.
(6) The Department may limit the amount of TAS or ECM funding any single institution may receive, so long as such limitations do not result in unreasonable discrimination. Eligible institutions shall be notified of funding limitations at the beginning of each program cycle.
(1) The Department shall contract with an institution for TAS or ECM projects which meet the requirement of OAR 330-068-0020. The Department shall prepare and submit to Bonneville a request in the form of a table for each additional measure or group of measures for which obligations are created which extends past the end of the federal fiscal year. Each such table shall be prepared in accordance with procedures and format provided by Bonneville, and signed by the Department's authorized contracting officer. Upon execution by Bonneville's authorized contracting officer, such table shall become effective as of the date specified therein, provided such table is received by Bonneville on or before a date to be determined annually by Bonneville.
(2) Each table shall contain the following information, as appropriate:
(a) Name and address of:
(A) The building, or the facility other than a building, in which a measure or measures are being installed or completed; and
(B) The institution owning and operating the building or the facility other than a building;
(b) The estimated cost of ECMs comprising the project which are approved by the Department for funding;
(c) The estimated first year kilowatt hour savings;
(d) The estimated first year energy cost savings;
(e) Related Department administrative costs if applicable; and
(f) The date certain of installation or completion of such measure or measures and an estimated payment schedule for progress payments, if applicable.
(3) Upon execution by both parties of each table, the institution shall be obligated for the completion of the measure or measures in such table no later that the date certain established by such table, or an extension thereof in accordance with OAR 330-068-0065.
(4) Upon completion of such measure or measures, and the Department's findings of compliance with the procedures of OAR 330-068-0020, the Department shall pay the institution in accordance with OAR 330-068-0090 for such measure or measures not to exceed the amounts specified in such table.
If a measure or measures recommended in the applicable TAS but not previously eligible for payment due to environmental restrictions become eligible for payment, the Department may:
(1) Pay retroactively for such measure or measures in accordance with the amounts established in OAR 330-068-0090, if such measure or measures were installed prior to the change in environmental restrictions; or
(2) Pay retroactively for the installation of such measure or measures in accordance with amounts established in OAR 330-068-0090 if such measure or measures are subsequently installed.
Limitation of Program Funds
In the event of a notice from Bonneville to the Department that sufficient funds may not be available to continue this program, the Department shall pay, in accordance with amounts established in OAR 330-068-0090, for TASs and ECMs which are completed by the date of such notice, and ECMs which are contractually obligated for by the Department in accordance with 330-068-0025 by the date of such notice, subject to the total amount established for each category in the approved budget.
Other Sources of Payment
The Department shall not pay for measures funded by a cost sharing grant under the U.S. Department of Energy Institutional Buildings Grants Program.
(1) The Department may pay an institution, in accordance with amounts established in rule 330-068-0090, for technical assistance studies meeting the requirements in section (2) of this rule, and for installed energy conservation measures meeting the requirements of section (3) of this rule, the funds for which were contractually committed to on or after December 5, 1980, and prior to the date that the utility serving an institution's building, or facility other than a building, was included in OAR 330-068-0080 as provided.
(2) Technical assistance studies are eligible for retroactive payment if they:
(a) Are comparable in quality and scope to a TAS performed in accordance with these rules;
(b) Resulted in accomplishment of O&M activities; and
(c) Resulted in the installation of energy conservation measures recommended in the technical assistance study, the cost of which were at least equal to the portion of the technical assistance study to be paid for by the Department.
(3) Energy conservation measures are eligible for retroactive payments if they were installed based on a recommendation contained in a study which is comparable in scope and quality to a TAS performed in accordance with these rules:
(A) A measure must be "similar" to a measure included in this program. "Similar" means that a measure accomplishes the same purpose as and is comparable to a measure included in this program in enough ways that its effectiveness can be evaluated to a reasonable degree of certainty;
(B) For measures installed or completed after the date of offering of this program, but before the Department has executed such program, retroactive payments shall be made only for those measures which achieve conservation to an equal or greater degree than would be achieved by measures under this program, and which otherwise substantially conformed to or exceeded the materials and installation specifications referenced in the most current version of this program offered at the time the measures were installed or completed;
(C) When Bonneville has provided funds for the installation or completion of measures under another agreement which meet the requirements of paragraph (A) or (B) of this subsection, no retroactive payments shall be made with respect to such measures under this program;
(D) Retroactive reimbursement shall be made for measures installed or completed prior to the date the measures were contained in the operating area to the extent such measures reduce the firm load obligations of Bonneville. The Department shall determine such reimbursement by applying a ratio to the payment levels contained in this program for such measures, the numerator being the whole number of years remaining in the useful life of the measure on the date the measures are included in the operating area and the denominator being the total whole number of years in the useful life of the measure.
(b) Amounts: Retroactive reimbursement amounts for each measure installed or completed shall be those provided for in this program when the latter of the following occurred:
(A) The effective date of this program; or
(B) When the measure was accomplished.
(A) The Department shall request retroactive reimbursement using the same form or format as is used for prospective payments. Such request shall clearly indicate that it is a request for retroactive reimbursement. The Department shall also maintain supporting documents and records for verification of costs retroactively reimbursed in accordance with this subsection;
(B) The Department shall pay the amount owing to the institution under this subsection in a lump sum or in no more than six consecutive equal monthly installments, without interest, commencing after the date Bonneville advises the Department that its claims for retroactive reimbursement have been included in the Department's approved budget.
(4) The Department shall inspect all measures for which an Institution is applying for retroactive payment and verify in writing the proper completion or installation of such measures.
(5) Requests for retroactive payment shall be submitted in the initial budget year or within 6 months of the date the operating area is expanded to include buildings, or facilities other than buildings, not previously eligible for retroactive payment.
(6) Any environmental prohibitions or requirement for mitigation measures contained in these rules shall apply to measures which are paid for in whole or in part retroactively in accordance with these rules.
The institution shall maintain the following records concerning disbursement of Department funds:
(1) For energy audits (for buildings and occupied buildings only):
(a) O&M activities implemented by the institution in a building;
(b) Reason for not implementing O&M activities in accordance with OAR 330-068-0020(3)(b)(B).
(2) For TAS:
(a) Name and address of institution;
(b) Name and address of building, or facility other than a building;
(c) Purpose for which the building, or facility other than a building, is used;
(d) Name of utility serving building, or facility other than a building;
(e) Total electric energy use expressed in kWh/yr/sq ft;
(f) Building, or facility other than a building, size;
(g) Supporting documents and records necessary to verify actual TAS cost;
(h) Amount of Bonneville reimbursement;
(i) Copy of each completed energy audit for buildings and occupied buildings only;
(j) Copy of each completed TAS;
(k) Instances and reasons for not requiring solicitation of a qualification statement.
(l) O&M activities implemented by the institution in a facility other than a building;
(m) Reason for not implementing O&M activities in a facility other than a building, in accordance with OAR 330-068-0020(3)(c)(A).
(3) For ECM:
(a) Name and address of institution and building, or facility other than a building;
(b) Purpose for which the building, or facility other than a building, is used;
(c) Total building electric energy use expressed in kWh/yr/sq ft;
(d) Total estimated annual kilowatt hour savings;
(e) Building, or facility other than a building, size;
(f) Copy of applicable table of obligated measures, if appropriate;
(g) Date and amount of Bonneville reimbursement(s);
(h) Total cost of ECM installation;
(i) Supporting documents and records necessary to verify actual cost to the institution of all installed ECMs;
(j) Name of utility serving building, or facility other than a building;
(k) Local retail electricity rate at time of application for each building, or facility other than a building, funded;
(l) Ranking results;
(m) Data supporting kWh savings estimates;
(n) Reason for exempting ECM installation from three bid requirement in OAR 330-068-0020(4)(c)(B);
(o) Inspection report including dates of inspection and project completion.
(4) Records maintained by the institution in accordance with this program shall contain the information specified in these rules. The records shall be maintained by the institution in a form determined solely by the institution, so long as the requirements of section (5) of this rule are met. The institution shall keep all records required by these rules for three years after termination of the program. Further, the institution shall provide 90 days' written notice to the Department prior to destruction of any such records.
(5) Program records shall be established and maintained in accordance with generally accepted accounting principles consistently applied, and in conformance with applicable laws and federal regulations, including the provisions of the Privacy Act of 1974. A summary of the system of records developed by Bonneville to comply with the Privacy Act shall be supplied by Bonneville.
The Department may, upon reasonable notice, conduct such audits, examinations, or inspections of the institution's program records, and of the institution's procedures under these rules as it deems appropriate. The number, timing, and extent of such audits shall be at the discretion of the Department, may be conducted by the Department staff or its designee, and shall be in accordance with audit standards established by the Comptroller General of the United States. The Department, at its expense, may:
(1) Audit and examine program records and accounts maintained by the institution pursuant to the program records sections of these rules;
(2) Request copies of such program records and accounts for audit purposes;
(3) Conduct random inspections of installations made under these rules; all such inspections shall be arranged in advance with the institution; and
(4) Review institution procedures employed in accomplishing the provisions of these rules.
The institution shall be an independent contractor in the implementation of this Program.
Extension of Time for Obligated Measures
The institution may, if needed, request an extension of the completion date of an obligated measure or measures contracted in accordance with OAR 330-068-0025. Such request must be submitted in writing, no later than 45 days prior to the approved completion date previously stated in the appropriate table, and shall contain the requested extension date and the reasons therefor. The Department shall notify the institution in writing, prior to the previous completion date, if the request has been granted, if a portion of the requested extension has been granted, or if the request has been denied.
Termination of Obligated Measures
(1) The Department may, by written notice of default to the institution, terminate any obligations created in accordance with OAR 330-068-0025 of this agreement as they pertain to any measure if such measure is not completed within the time specified therein, or by the time specified in an extension of time for an obligated measure or measures in accordance with 330-068-0065.
(2) In the event the Department terminates any obligations created in accordance with OAR 330-068-0025 as provided in section (1) of this rule, the Department may contract for the completion of such measure upon such terms and in such manner as the Department may deem appropriate, services similar to those so terminated, and the institution shall be liable to the Department for any excess costs incurred by the Department as a result of contracting for completion of such measure or measures.
(3) Unless the services to be furnished by the installer or the institution were obtainable from other sources in sufficient time to permit the institution to meet the required delivery schedule, the institution shall not be liable for any excess costs under section (2) of this rule if the failure to perform in accordance with these rules arises out of causes beyond the control and without the fault or negligence of the Department, institution, or installer. Such causes may include, but are not restricted to, acts of God or of the public enemy, fires, floods, epidemics, quarantine restrictions, strikes, freight embargoes, and unusually severe weather; but in every case the failure to perform must be beyond the control and without the fault or negligence of the Department, institution, or installer.
(4) The Department may withhold from amounts otherwise due the institution for such completed services such sum as the Department determines to be necessary to protect the Department against loss.
(5) The rights and remedies of the Department provided in this section shall not be exclusive and are in addition to any other rights and remedies provided by law.
If the Department has advanced progress payments for a project pursuant to OAR 330-068-0090, and such project is not completed by the institution in accordance with these rules, the institution shall be liable for excess costs incurred by the Department in contracting for the completion of such project.
The Department may operate this agreement in the service areas (or portions thereof) of the following firm requirements power sales customers of Bonneville:
(1) Ashland, City of;
(2) Bandon, City of;
(3) Blachly-Lane County Cooperative Electric Association;
(4) Canby Utility Board;
(5) Cascade Locks, City of;
(6) Central Electric Cooperative;
(7) Central Lincoln PUD;
(8) Clatskanie PUD;
(9) Columbia Basin Electric Cooperative;
(10) Columbia Power Cooperative;
(11) Columbia REA;
(12) Columbia River PUD;
(13) Consumers Power, Inc.;
(14) Coos-Curry Electric Cooperative, Inc.;
(15) Douglas Electric Cooperative, Inc.;
(16) Drain, City of;
(17) Emerald PUD;
(18) Eugene Water and Electric Board;
(19) Forest Grove, City of;
(20) Harney Electric Cooperative;
(21) Hood River Electric Cooperative;
(22) Lane Electric Cooperative;
(23) McMinnville, City of;
(24) Midstate Electric Cooperative;
(25) Milton-Freewater, City Light & Power;
(26) Monmouth, City of;
(27) Northern Wasco County People's Utility District;
(28) Salem Electric;
(29) Springfield Utility;
(30) Surprise Valley Electrification Corporation;
(31) Tillamook PUD;
(32) U.S. Bureau of Mines;
(33) Umatilla Electric Cooperative;
(34) Wasco Electric Cooperative;
(35) West Oregon Electric Cooperative, Inc.
Project Ranking Formula
(a) The Department shall rank TAS applications for building or occupied building according to its potential for ECMs determined by a point system based on data presented in the energy audit submitted with the application;
(b) The Department shall fund TAS applications in rank order starting with the application with the highest ranking value.
(a) The Department shall rank ECM project applications using the following formula:
Project Payment = Ranking Value
(A) Project Payment = Summation of allowable ECM costs where the allowable cost of each ECM is determined by OAR 330-068-0090(2)(a);
(B) E = The summation of electrical energy savings from all ECMs, savings are equal to the life of each ECM multiplied by its estimated annual kilowatt hour savings.
(b) If a project application contains a direct application renewable resource component, that component of the project estimated first year kilowatt hour savings shall be increased by ten percent for ranking purposes only;
(c) The Department shall fund ECM projects in rank order starting with the project with the lowest ranking value.
(1) TAS: The Department shall reimburse the institution for actual costs for a TAS not to exceed $0.0108 multiplied by the institution's electric energy use expressed in kWh/yr, or not to exceed an amount equal to the total estimated cost of those ECMs recommended in the TAS and approved by the Department, whichever is smaller. The Department reserves the right to question and request adjustments of costs for a TAS which are judged to be unreasonable:
(a) The Department shall reimburse the institution actual costs for an ECM. Such costs shall not exceed $0.292 multiplied by the estimated first year kWh savings, minus the estimated first year dollar savings. These savings are those associated with the energy use reduction determined by multiplying the building's retail electric energy rate by its estimated annual kilowatt hour savings indicated by the TAS for such ECM;
(b) For ECM projects costing more than $10,000 but less than $200,000, progress payments may be made for ECMs upon 30 percent, 60 percent, and 100 percent completion, unless otherwise agreed to by Bonneville;
(c) For ECM projects costing more the $200,000, progress payments may be made for ECMs upon 30 percent, 60 percent, 80 percent, and 100 percent completion, unless otherwise agreed to by Bonneville.
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