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[ jM BUILDING SOLUTIONS, <br />Introduction <br />The City of Santa Ana directed Alliance Building Solutions, Inc. (ABS) to perform a non -biased third -party <br />review of a recent Streetlight Audit performed by Tanko Lighting. The purpose of the review is to <br />provide a professional evaluation of the results of the audit, including proposed project scope, proposed <br />cost, realized savings, and return on investment (1101). The following documents were provided to ABS <br />for the evaluation: <br />• SontaAno TankoAudit 052317 T1— Excel file with streetlighting inventory information <br />• SantoAna CityAudit 052317 TI — Excel file with streetlighting inventory information <br />• Santa Ana Streetlight Purchase Feasibility Study v2— PDF file explaining the results of the audit <br />and proposed project financial analysis. <br />When reviewing these reports, it is important to understand the different rate structures that the utility, <br />Southern California Edison (SCE), has for streetlights. Detailed information regarding these rate <br />schedules can be found through their website: www.sce.com. A brief summary of the streetlight rates is <br />below: <br />• LS -1 (for purchase) <br />o SCE owned streetlights that meet the requirements to be purchased by the City <br />• LS-1(not for purchase) <br />• LS -3 <br />o SCE owned streetlights that do not meet the requirements to be purchased by the City <br />o City owned lights with an unmetered service. The cost of energy for these streetlights is <br />based on stipulated calculations <br />o City owned lights with a metered service. The cost of energy for these streetlights is <br />based on actual metered energy use <br />The Streetlight Purchase Feasibility Study compares its findings to that of SCE's findings and lists the <br />discrepancies. ABS did not receive the report of findings from SCE and based this report solely on the <br />Streetlight Feasibility Study provided by Tanko. It has been noted that the Streetlight Purchase <br />Feasibility Study states that it is based on preliminary quantities and financial models that will be further <br />refined as the project progresses. In addition, the two excel files provided to ABS had significant data <br />gaps, resulting in assumptions based on the Feasibility Study provided and industry standards. These <br />data gaps and resulting assumptions are explained further in the following section. <br />12526 High Bluff Drive Suite 345, San Diego, CA 92130 <br />www.absenergy.com <br />55A-84 <br />(858)333-4775 <br />Contractors License # 1008135 <br />