HomeMy WebLinkAbout22A - AWARD FODDRILL CONSTRUCTIONREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
AUGUST 1, 2017
TITLE:
CONTRACT AWARD TO FODDRILL
CONSTRUCTION TO INSTALL ENERGY-
EFFICIENT LIGHTING FIXTURES AND
EXECUTE AGREEMENTS FOR ON -BILL
FINANCING LOANS (SPEC NO. 17-040)
{STRATEGIC PLAN NO. 6, 2A}
TY ANAGER
RECOMMENDED ACTION
CLERK OF COUNCIL USE ONLY:
APPROVED
❑ As Recommended
❑ As Amended
❑ Ordinance on 15' Reading
❑ Ordinance on 2ntl Reading
❑ Implementing Resolution
❑ Set Public Hearing For
CONTINUED TO
FILE NUMBER
1. Authorize a one-time purchase and payment of purchase order to Foddrill Construction to
provide and install energy-efficient lighting fixtures at the Civic Center parking garage and
Stadium in an amount not to exceed $105,234.96, which includes a 10% contingency, subject
to non -substantive changes approved by the City Manager and City Attorney.
2. Authorize the City Manager and Clerk of the Council to execute an agreement with Southern
California Edison (SCE) to provide a maximum $92,077.83 in no -interest On -Bill Financing
(OBF) loans and $15,001.88 in incentives to fund Spec. No. 17-040 subject to non -
substantive changes approved by the City Manager and City Attorney.
DISCUSSION
As part of the City's ongoing efforts to identify potential cost-saving energy projects across City
facilities, the Parks, Recreation and Community Services Agency (PRCSA), General
Maintenance Section commissioned energy audits for the City's Stadium and Civic Center
parking garage. The energy audits were completed at no cost to the City by The Energy
Network, a non-profit program funded by California utility ratepayers through the California Public
Utilities Commission.
Based on the energy audit findings, PRCSA staff applied for and secured approved funding from
Southern California Edison to retrofit the facilities. The two projects consist of replacing lights
and lighting fixtures that are no longer the industry standard with energy-efficient light -emitting
diode [LED] lights. Project benefits include an annual reduction of 66,162.20 kWh in electric
usage, annual electric bill savings of $13,460.95 as shown below.
22A-1
Contract Award to Install LED Lighting Fixtures and Agreement for On -Bill Financing Loans
August 1, 2017
Page 2
'Actual incentive payments will be made based on verified and actual savings amounts and On -Bill
Financing will be based on review and approval of the City's Energy Efficiency Project Installation Report
Total project cost is $105,234.96, which includes a 10% contingency. Payback period is
estimated at 73 months for the Civic Center parking garage and 94 months for the Stadium. As
tabulated above, the amount of incentives and maximum on -bill financing approved by SCE
($107,079.71) exceeds the amount needed to fully fund the two projects. An innovative feature
of the recommended actions is the City will have no upfront costs as the awarded contractor will
finance the cost of the project. SCE will then pay contractor directly with the cash incentives and
OBF loan proceeds that SCE has approved for the project.
As a result of the OBF loan, the Civic Center's and Stadium's new electricity bill a lower amount
based on the energy reduction from the project, a new separate line -item will show the OBF loan
repayment amount. This amount will reflect kWh saved from the project multiplied by the
relevant billing rate. Once the OBF loan is paid in full, SCE will discontinue the OBF loan
repayment line -item, and the reduced energy usage due to the project should result in smaller
bills. (SCE cash incentives are grants and not repaid)
Staff requests the City Council approve the foregoing project and funding process. SCE Notices
of Approval for incentives totaling $15,001.88 and a maximum total OBF loan amount of
$92,077.83 and the loan agreement form are attached. Final actual loan amount will be
determined at project completion.
The Notice soliciting bids was advertised on March 31, 2017 on the City's online bid
management and publication system. A summary of the bids received is as follows:
Bids were received on
received from Foddrill
requirements.
25 Vendors were notified
3 Santa Ana vendor notified
28 Vendors downloaded the solicitation
5 Bids received
May 2, 2017 and were opened and evaluated (Exhibit 1). The bid
Construction is responsive to the specifications and meets the City's
22A-2
MI
Civic Center ParkingGarage
38,452.20 38,452.20
$7,458.96
$8,792.23
$45,319.07
73 Months
353-16-0500868635
Stadium
353-16-0500868641
27,710.00
$6,002.04
$6,209.65
$46,758.76
94 Months
'Actual incentive payments will be made based on verified and actual savings amounts and On -Bill
Financing will be based on review and approval of the City's Energy Efficiency Project Installation Report
Total project cost is $105,234.96, which includes a 10% contingency. Payback period is
estimated at 73 months for the Civic Center parking garage and 94 months for the Stadium. As
tabulated above, the amount of incentives and maximum on -bill financing approved by SCE
($107,079.71) exceeds the amount needed to fully fund the two projects. An innovative feature
of the recommended actions is the City will have no upfront costs as the awarded contractor will
finance the cost of the project. SCE will then pay contractor directly with the cash incentives and
OBF loan proceeds that SCE has approved for the project.
As a result of the OBF loan, the Civic Center's and Stadium's new electricity bill a lower amount
based on the energy reduction from the project, a new separate line -item will show the OBF loan
repayment amount. This amount will reflect kWh saved from the project multiplied by the
relevant billing rate. Once the OBF loan is paid in full, SCE will discontinue the OBF loan
repayment line -item, and the reduced energy usage due to the project should result in smaller
bills. (SCE cash incentives are grants and not repaid)
Staff requests the City Council approve the foregoing project and funding process. SCE Notices
of Approval for incentives totaling $15,001.88 and a maximum total OBF loan amount of
$92,077.83 and the loan agreement form are attached. Final actual loan amount will be
determined at project completion.
The Notice soliciting bids was advertised on March 31, 2017 on the City's online bid
management and publication system. A summary of the bids received is as follows:
Bids were received on
received from Foddrill
requirements.
25 Vendors were notified
3 Santa Ana vendor notified
28 Vendors downloaded the solicitation
5 Bids received
May 2, 2017 and were opened and evaluated (Exhibit 1). The bid
Construction is responsive to the specifications and meets the City's
22A-2
Contract Award to Install LED Lighting Fixtures and Agreement for On -Bill Financing Loans
August 1, 2017
Page 3
STRATEGIC PLAN ALIGNMENT
Approval of this item allows the City to meet Goal #6 - Community Health, Livability, Engagement &
Sustainability, Objective #2 (Address deferred maintenance on City buildings and equipment),
Strategy A (Prepare a Deferred Maintenance Plan that assesses safety, adequacy, and liability
implications, and estimates repair costs to be programmed in the responsible agency's future
budget).
FISCAL IMPACT
Funds for the loan repayments for a maximum amount of $92,077.83 will be included in the
following account:
Accounting Unit
Civic Center Maint. (0741
Accounting Unit
Park Maint. (0111
,
Gerardo Mouet
Executive Director
Parks, Recreation and Community
Services Agency
FY 17/18 -FY 22/23
$42,889.02 ($7,458.96 An
FY 17/18 -FY 24/25
$46,515.81 ($6,00'
Annual)
FY 23/24 Total
$2,430.05 $45,319.07
FY 25/26 Total
$242.95 $46,758.76
AS TO FUNDS AND ACCOUNTS:
Finance and Management Services Agency
M
EXHIBITS: 1. Abstract of Bids
2. SCE Notice of Approval — Incentive (Civic Center Parking Garage and Stadium)
3. SCE Notice of Approval — OBF Loan (Civic Center Parking Garage and Stadium)
4. OBF Loan Agreement — Sample Form
22A-3
ABSTRACT OF BIDS
ENERGY-EFFICIENT LIGHTING FIXTURES (17
Bidder
Location
Total
ACM Lighting Services
Corona
$
136,628.75
Foddrill Construction Corporation
Chino
$
95,668.15
Inter -Pacific, Inc.
Tustin
$
157,794.99
Naka Engineering & Const., Inc.
Laguna Hills
$
115,920.00
EXHIBIT 1
22A-4
SOU11ANN CALIFORNIA
EDIS®N'
An F.DlSON lNTFRWV'IONALa`Company
August 30, 2016
Project Number: 353-16-0500868635
Project: Customized Solutions Approach
Authorized Agent Information:
Ashley Hoover
The Energy Coalition
47 Discovery, Suite 250
Irvine CA 92618
EXHIBIT 2
E-mail: Businesslncentives@sce.com I Fax: 626-6333243
Customer Information:
Ali Borujerdi
City of Santa Ana
220 S. Daisy
Santa Ana CA 92703
Questions?: 800-736-4777
SEND ALL DOCUMENTS TO:
Business Incentives
Southern California Edison
P.O. Box 800
Rosemead, CA 91770-0800
RE: NOTICE OF CUSTOMIZED SOLUTIONS CONTRACT AND INCENTIVE APPROVAL
Dear Ashely Hoover and Ali Borujerdi :
Thank you for submitting your Energy Management Solutions Incentive Application ("Application") for
the Customized Solutions Program ("Program"). Your Application for incentives for the Project(s)
described in your application has been reviewed and approved. Funds reserved are based on SCE
approved savings estimate set forth below; however, the actual incentive payments will be made based
on verified and actual savings' amounts:
SCE Final Approved Savings
7s `,SQLUTION$DESCRIPTIONr°r, ����
and Incentive
�CoGeF,
Estimate
�dkWf��.
�Wirc� $lr�e�nhve'�
Interior LED parking garage luminaires
LT -47463
30,695.0
3.50
$ 7,124.43
Exterior LED fixture replacements (utilizing approved
luminaries)
LT -85834
7,757.2
0.00
$ 1,667.80
Total Approved Savings/incentive Estimates
38,452.2
3.50
$ 8,792.23
Project Cost Adjustment
Total Estimated Incentive
$ 8,792.23
10% Measurement and Verification Adder (if applicable)
If you do not concur with the energy savings and incentive amounts shown above, you have 30 days
from the date of this letter to notify SCE, so that we can attempt to resolve your concern(s). If you do not
notify us of any concerns within 30 days of this letter, the savings/incentive estimates set forth above
will be deemed correct. If you agree with the estimates, you may proceed to purchase and install the
above solution code(s) at any time. This Project Approval incorporates by reference the Application,
including the Applicant Agreement regarding Program Terms and Conditions.
Checkout www.sce.com� To see,- yfZA cgyfor the Comprehensive Bonus.
After your project is completely installed, operational, and meets all requirements of the Program, which is
described in detail in the Customized Statewide Procedures Manual for Business and at
www.sce.com/customized—solutions:
• Complete sign and submit the enclosed 2013-14 Customized Solutions Installation Report.
Submit final invoices and/or documentation to support project cost, clearly detailing all costs
associated with the project (equipment, labor, tax, etc.).
Submit complete engineering calculations to demonstrate energy savings and documentation, if
applicable (including archival diskette, CD, etc.).
• Submit schematic drawings and/or manufacturer specification sheets, if applicable.
• Operating Report, if measurement and verification is required.
Submit Pump Curve (if applicable)
NOTE: As a reminder, the deadline for the project to be completely installed and operational is one year from the date of this Project
Approval latter. Please submit the completed Installation Report within 30 days after installation and prior to the one year deadline,
Upon SCE review and approval of your completed Installation Report and supporting cost documentation, you
will be notified in writing. Thereafter, SCE will process the incentive check or SCE utility bill credit, as
applicable. If SCE is unable to approve your incentives based on the information provided, SCE may require you
to submit other documents related to the Project, Project site, solutions, energy savings, or any other documents it
requires, in its sole discretion, to make a decision on your Application.
If you have any questions, please contact your SCE Account Representative. You may also call its at (800) 736-
4777 Monday through Friday, from 8:00 a.m. to 5:00 p.m., or send an e-mail to BusinessIncentives@sce.com.
Please have your project number available for reference when you call and include it in any e-mail
correspondence.
Business Incentives Team
Southern California Edison
Check out www.sce.comTo sgejf ypu q�alify for the Comprehensive Bonus.
SOUll N cv-iro?NIA
EDISON"
AnCUISOIN NNA!A710ygt-pemwing
August 29, 2016
Project Number: 353-16-0500868641
Project: Customized Solutions Approach
Authorized Aeent Information:
Ashley Hoover
The Energy Coalition
47 Discovery, Suite 250
Irvine CA 92618
E-mail: Businesslncentives@sce.com I Fax: 626-633-3243
Customer Information:
Ali Borujerdi
City of Santa Ana
220 S. Daisy
Santa Ana CA 92703
Questions?: 800-736-4777
SEND ALL DOCUMENTS TO:
Business Incentives
Southern California Edison
P.O. Box 800
Rosemead, CA 91770-0800
RE: NOTICE OF CUSTOMIZED SOLUTIONS CONTRACT AND INCENTIVE APPROVAL
Dear Ashley Hoover and Ali Borujerdi:
Thank you for submitting your Energy Management Solutions Incentive Application ("Application") for
the Customized Solutions Program ("Program"). Your Application for incentives for the Project(s)
described in your application has been reviewed and approved. Funds reserved are based on SCE
approved savings estimate set forth below; however, the actual incentive payments will be made based
on verified and actual savings' amounts:
SCE Final Approved
4
Ipj.,enY`
zSOLCITION$OE3C1dIPTfpN r s a'
r bode '�
,kWh ,' kW
me unn
Interior LED fixture replacement (utilizing approved
-17492
luminaries)
LT
6,562.2
1.68
$ 1,662.88
Exterior LED fixture replacements (utilizing approved
luminaries)
LT -85834
13,976.9
0.00
$ 3,005.03
Exterior LED wall -mounted area luminaires
LT -96754
7,170.9
0.00
$ 1,541.74
Total Approved Savings/Incentive Estimates
27,710.0
1.68
$ 6,209.65
Project Cost Adjustment
Total Estimated Incentive
$ 6,209.65
10% Measurement and Verification Adder (if applicable)
If you do not concur with the energy savings and incentive amounts shown above, you have 30 days
from the date of this letter to notify SCE, so that we can attempt to resolve your concern(s). If you do not
notify us of any concerns within 30 days of this letter, the savings/incentive estimates set forth above
will be deemed correct. If you agree with the estimates, you may proceed to purchase and install the
above solution code(s) at any time. This Project Approval incorporates by reference the Application,
including the Applicant Agreement regarding Program Terms and Conditions.
Checkout www.sce.coml To seeJ2X_n{y�y for the Comprehensive Bonus.
After your project is completely installed, operational, and meets all requirements of the Program, which is
described in detail in the Customized Statewide Procedures Manual for Business and at
www.sce.com/customized—solutions:
• Complete sign and submit the enclosed 2013-14 Customized Solutions Installation Report.
• Submit final invoices and/or documentation to support project cost, clearly detailing all costs
associated with the project (equipment, labor, tax, etc.).
• Submit complete engineering calculations to demonstrate energy savings and documentation, if
applicable (including archival diskette, CD, etc.).
• Submit schematic drawings and/or manufacturer specification sheets, if applicable.
• Operating Report, if measurement and verification is required.
• Submit Pump Curve (if applicable)
NOTE: As a reminder, the deadline for the project to be completely installed and operational is one year from the date of this Project
Approval letter. Please submit the completed Installation Report within 30 days after installation and prior to the one year deadline.
Upon SCE review and approval of your completed Installation Report and supporting cost documentation, you
will be notified in writing. Thereafter, SCE will process the incentive check or SCE utility bill credit, as
applicable. If SCE is unable to approve your incentives based on the information provided, SCE may require you
to submit other documents related to the Project, Project site, solutions, energy savings, or any other documents it
requires, in its sole discretion, to make a decision on your Application.
If you have any questions, please contact your SCE Account Representative. You may also call us at (800) 736-
4777 Monday through Friday, from 8:00 a.m. to 5:00 p.m., or send an e-mail to BusinessIncentives@sce.com.
Please have your project number available for reference when you call and include it in any e-mail
correspondence.
Business Incentives Team
Southern California Edison
Check out www.sce.coml To seei you qualify for the Comprehensive Bonus.
2A-8
AA F.IDPS' YFYt A.t"AVa Ata coaWy
July 22, 2016
Customer Information:
Ali Borujerdi
City of Santa Ana
220 S. Daisy
Santa Ana, CA 92703
EXHIBIT 3
SENO TO: Southern California Edison, Business Incentives
P.O. Box 800, Rosemead, CA 91770.0800
E-mail: Businesslncentives@sce.com I Fax: 626.633-3243
Authorized Agent Information:
Ashley Hoover
The Energy Coalition
47 Discovery Ste 250
Irvine, CA 92618
Questions? 800-736-4777
RE: NOTICE OF ON -BILL FINANCING (OBF) APPLICATION APPROVAL AND FUNDING RESERVATION
PROJECT NUMBER: 353-16-0500868635 SAM 3.016-8126-01
Dear Ali Borujerdi and Ashley Hoover:
Your On -Bill Financing Application has been reviewed and approved, and funding for your On -Bill Financing
Loan has been reserved.
At this point the estimated OBF Loan funding reservation for your project of $45,319.07 has been established.
Terms and Conditions of Loan Reservation:
1. The reserved amount has been calculated based on the results of the review and approval of your Energy
Efficiency Project Application, and according to the provisions and methodology of the OBF Loan Term
Calculation [LTC]. Since the loan reservation amount is based on an approved project proposal, it is an
estimate of what the actual loan amount may be.
1 a. An OBF Loan Term Calculation [LTC] is attached.
2. The actual loan amount will be calculated based on the results of the review and approval of your Energy
Efficiency Project Installation Report, and according to the provisions and methodology of the OBF Loan
Term Calculation [LTC]. Therefore, the actual amount of the OBF Loan may differ from the reserved
amount presented above.
2a. The actual amount of the OBF loan may be less than the reserved amount presented above.
2b. The actual amount of the OBF loan shall not exceed the reserved amount presented above.
3. The expiration of the loan reservation shall be consistent with that of the project incentive.
Next Steps:
• You submit the completed Installation Report [IR] to SCE, and SCE will review it.
• SCE will calculate the actual final loan amount, based on the results of the IR approval, and the LTC
provisions.
• SCE will issue 2 copies of the OBF Loan Agreement to you.
• You will sign, and have notarized, the Agreements and return to SCE.
• SCE will counter -sign the Agreements.
• SCE will provide you with 1 copy of the fully -executed Loan Agreement and will process the loan
proceeds.
22A-9
SEND TO: Southern California Edison, Business Incentives
!lio "Kitli P.O. Box 800, Rosemead, CA 91770.0800
EDISONe E-mail: Businesslncentives@sce.com I Fax: 626.633.3243
Questions? 800.736-4777
An Fit MON WEXAM41MALrc Oxivai..
If you have any questions, please contact your SCE Account Representative. You may also call us at (800)
736-4777 Monday through Friday, from 8:00 a.m. to 5:00 p.m., or send an e-mail to IDSMQuestions@sce.com.
Please have your Project Number available for reference when you call, or include it in your e-mail.
Sincerely,
Delia Williams
Program Manager - On Bill Financing
Southern California Edison Company
Notice: The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin,
sex, marital status, age (provided the applicant has the capacity to enter into a binding contract); because all or part of the applicants income derives from any public
assistance program; or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. The federal agency that administers
compliance with this law concerning SCE is the Federal Trade Commission, Equal Credit Opportunity, Washington DC 20580.
22A-10
On -Bill Financing Program - Preliminary Loan Term Calculation (LTC1)
Completion Datel7ime:
7/22/2016 9',50 AM
Project Number:
353-16-0500868635
Service Account:
3-016-8126-01
Customer Number:
1-0-000-7130
Customer Account Number:
2-22-264-5319
OBF Application Receipt Date:
6/7/2016
Project Type(s):
Customized
Market Segment:
Government and Institutions
Business Name:
SANTA ANA, CITY OF
Reference Name:
PENDING ED PRP -SANTA ANA CIVIC CTR PKG
Address:
24 CIVIC CENTER PLZ
City, CA Zip:
SANTA ANA, CA 92701-4058
PROJECT ECONOMIC SUMMARY
ACTUAL TERMS WILL BE CALCULATED
BASED ON FINAL REVIEW AND VERIFICATION
OF THE PROJECT INSTALLATION REPORT
LTC1 Reserved Amount is $45,319.07
First month payment is $565.31
72 subsequent monthly payments $621.58
EXPLANATION
A. AVERAGE ELECTRIC BILLING RATE --past 12 months (Cents/kWh)
$ 0.19398 Based on Billing History
B. ENERGY EFFICIENCY PROJECT SAVINGS
B.I. Estimated Annual Kilowatt Hour Savings (kWh)
38,452.2 From Approved Project Application
B.Z. Estimated Annual Dollar($) Savings
$ 7,458.96 Estimated Annual kWh Savings x Average Rate = $ savings (B.1 x A)
B.S. Estimated Monthly Dollar($) Savings
$ 621.58 Estimated Monthly $ Savings (B.2 /12)
C. COSTS
C.1. Estimated Total Project Cost $ 54,111.30
C.2. Excess Project Cost $ -
C.3. Estimated Total Rebate/Incentive $ 8,792.23
C.4. Other $
C.5, Estimated Potential Loan Amount (Gross Amount) $ 45,319.07
C.6. LTC1 Reserved Amount
C.7. LTC2 Reserved Amount
From Approved Project Application
Based on 20% Basic Lighting Cap Rule
From Approved Project Application
(C.1) - (C.2) - (C.3) - (C.4)
From LTC1 calculation following Approved Project Application
LTC2 Loan Amount per policy cannot be greater than LTC1 amount
D, LOAN
D.I. Gross Amount for Potential Financing $ 45,319.07 Lesser of (C.5) or (C.6) or (E.1.2) or (E.2.3) or other rules apply
D.2. Monthly Loan Repayment Amount $621.58 (B.3)
D.3. Actual loan term (Months) 73 Time required to repay loan In months (subject to
exception analysis below)
DA. Actual loan term (Years) 5.1 Time required to repay loan in years: (D.3) /12
E. LOAN LIMIT TESTS
E.I. Market Segment Amount of Loan Test (Min/Max Loan Amount)
E.1.1. Market Segment Minimum Loan Amount $ 5,000 Minimum Loan Amount per Service Account or Bundle
E.1.2. Market Segment Maximum Loan Amount $ 250,000 Com, Ind, Ag = $100,000, G&I = $250,000
E.1.3. Within Market Segment Limit? Y Is D.1 within loan amount limits Y/N?
E.2, Customer Loan Limit Test (Previous Loans for this Service Account)
E.2.1. Service Account Loan Amount Limit $ 250,000 (E.1.2) or $1 M for G&I Facility
E,2.2. Previous Loans Reserved for this Service Account $ Total of previous OBF loans + reservations
E.2.3. Estimated Amount Eligible for Loans $ 250,000.00 (E.2.1) - (E.2.2), If < 0, then 0.
E2.4. Within Available Amount? Y Is D.1. < E.2.3. Y/N?
E.3. Lenath of Loan Test
E.3.1. Loan Length Limit (months) 120 CIA (lighting) = 36, CIA (non -lighting) = 60, G&I = 120 months
E.3.2. Within Loan Length Limit? Y Is D.3 within limit Y/N?
EA. Expected Useful Life (EUL)* Loan Length Limit Test
E.A.I. Applicable Measure EUL (months) 144 EUL in months of measure with greatest kWh contribution
E.4.2. Within EUL Loan Length Limit?
Is D.3 within limit Y/N?
E.S. EXCEPTION ANALYSIS (If any E.1 thru EA. yields a "No") Exception Analysis Loan Minimum Requirement Test
Does the loan amount from Exception Analysis meet the $5K loan
minimum requirement? YES
E.5.1. First Payment Amount $ 565.31
E.5.2. Subsequent Monthly Loan Repayment Amount $ 621.58 I Based on minimum loan requirement of $SK and supplemental
E.5.3. Subsequent Monthly Payments 72 i Exception Analysis, this amount qualifies for an estimated OBF i
E.5.4. Net Amount for Financing $ 45,319.07 loan.
'Expeoted Useful Lire (EUL-) Each measure At expeoled to perform intlas Umlly for a period of time An EUL for
each energy aacienoy m armeis ssigned by the California Energy Commisslen(CEC).
LTC ID: 10776
22A-11
SENO'ro: Southern California Edison, Business Incentives
Wt#'ft ERN P.O. Box 800, Rosemead, CA 91770-0800
E-mail: Businesslncentives@sce.com I Fax: 626.6333243
_ Questions? 800.736-4777
July 25, 2016
Customer Information:
Authorized Agent Information:
Ali Borujerdi
Ashley Hoover
City Of Santa Ana
The Energy Coalition
220 S. Daisy
47 Discovery Ste 250
Santa Ana, CA 92703
Irvine, CA 92618
RE: NOTICE OF ON -BILL FINANCING (OBF) APPLICATION APPROVAL AND FUNDING RESERVATION
PROJECT NUMBER: 353.16-0500868641 SA#: 3-030-3976-48
Dear Ali Borujerdi and Ashley Hoover:
Your On -Bill Financing Application has been reviewed and approved, and funding for your On -Bill Financing
Loan has been reserved.
At this point the estimated OBF Loan funding reservation for your project of $46,758.76 has been established.
Terms and Conditions of Loan Reservation:
1. The reserved amount has been calculated based on the results of the review and approval of your Energy
Efficiency Project Application, and according to the provisions and methodology of the OBF Loan Term
Calculation [LTC]. Since the loan reservation amount is based on an approved project proposal, it is an
estimate of what the actual loan amount may be.
1a. An OBF Loan Term Calculation [LTC] is attached.
2. The actual loan amount will be calculated based on the results of the review and approval of your Energy
Efficiency Project Installation Report, and according to the provisions and methodology of the OBF Loan
Term Calculation [LTC]. Therefore, the actual amount of the OBF Loan may differ from the reserved
amount presented above.
2a. The actual amount of the OBF loan may be less than the reserved amount presented above.
21b. The actual amount of the OBF loan shall not exceed the reserved amount presented above.
3. The expiration of the loan reservation shall be consistent with that of the project incentive.
Next Steps:
• You submit the completed Installation Report [IR] to SCE, and SCE will review it.
• SCE will calculate the actual final loan amount, based on the results of the IR approval, and the LTC
provisions.
• SCE will issue 2 copies of the OBF Loan Agreement to you.
• You will sign, and have notarized, the Agreements and return to SCE.
• SCE will counter -sign the Agreements.
• SCE will provide you with 1 copy of the fully -executed Loan Agreement and will process the loan
proceeds.
22A-12
SEND TO: Southern California Edison, Business Incentives
SOLMIUM CAUM11NIA P.O. Box 800, Rosemead, CA 91770.0800
EDISONE-mail; Businesslncentives@sce.com 1 Fax: 626-633-3243
Questions? 800-736-4777
If you have any questions, please contact your SCE Account Representative. You may also call us at (800)
736-4777 Monday through Friday, from 8:00 a.m. to 5:00 p.m., or send an e-mail to IDSMOuestions@sce.com.
Please have your Project Number available for reference when you call, or include it in your e-mail.
Sincerely,
r p
Delia Williams
Program Manager - On Bill Financing
Southern California Edison Company
Notice: The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin,
sex, marital status, age (provided the applicant has the capacity to enter into a binding contract); because all or part of the applicants Income derives from any public
assistance program; or because the applicant has In good faith exercised any right under the Consumer Credit Protection Act. The federal agency that administers
compliance with this law concerning SCE is the Federal Trade Commission, Equal Credit Opportunity, Washington DC 20580.
22A-13
PROJECT ECONOMIC SUMMARY
EXPLANATION
A. AVERAGE ELECTRIC BILLING RATE -- past 12 months (Cents/kWh) $ 0.21660 Based on Billing History
B. ENERGY EFFICIENCY PROJECT SAVINGS
8.1. Estimated Annual Kilowatt Hour Savings (kWh) 27,710,0
B2. Estimated Annual Dollar($) Savings $ 6,001.99
B.3. Estimated Monthly Dollar($) Savings $ 500.17
C. COSTS
On -Bill Financing Program - Preliminary Loan Term Calculation (LTC1)
Completion DataTime: 7/25/201610:17 AM
$ 52,968.41
kea LTCi ""'
Project Number:
353-16-0500868641
$ 6,209.65
ACTUAL TERMS WILL BE CALCULATED
Service Account:
3-030-3976-48
$ 46 758.76
BASED ON FINAL REVIEW AND VERIFICATION
Customer Number:
1-0-000-7130
OF THE PROJECT INSTALLATION REPORT
Customer Account
Number: 2-24-020-8363
OBF Application Receipt Date: 6/7/2016
LTC1 Reserved Amount is $46,758.76
Project Type(s) :
Customized
First month payment is $242.95
Market Segment:
Government and Institutions
93 subsequent monthly payments $500.17
Business Name:
SANTAANA, CITYOF
Reference Name:
PENDING ED PRP - SANTA ANA LT - STADIUM
Address:
650 N FLOWER ST A
City, CA Zip:
SANTA ANA, CA 92703
PROJECT ECONOMIC SUMMARY
EXPLANATION
A. AVERAGE ELECTRIC BILLING RATE -- past 12 months (Cents/kWh) $ 0.21660 Based on Billing History
B. ENERGY EFFICIENCY PROJECT SAVINGS
8.1. Estimated Annual Kilowatt Hour Savings (kWh) 27,710,0
B2. Estimated Annual Dollar($) Savings $ 6,001.99
B.3. Estimated Monthly Dollar($) Savings $ 500.17
C. COSTS
C.1. Estimated Total Project Cost
$ 52,968.41
3.2. Excess Project Cost
$ -
C.3. Estimated Total Rebate/Incentive
$ 6,209.65
C.A. Other
$ -
C,5. Estimated Potential Loan Amount (Gross Amount)
$ 46 758.76
C.6. LTCl Reserved Amount
C.7. LTC2 Reserved Amount
D. LOAN
D.I. Gross Amount for Potential Financing $ 46,758.76
D.2. Monthly Loan Repayment Amount $500.17
D.3. Actual loan term (Months) 94
DA Actual loan term (Years)
E. LOAN LIMIT TESTS
7.8
From Approved Project Application
Estimated Annual kWh Savings x Average Rate = $ savings (8.1 x A)
Estimated Monthly $ Savings (B2 / 12)
From Approved Project Application
Based on 20% Basic Lighting Cap Rule
From Approved Project Application
(C.1) - (C.2) - (C.3) - (C.4)
From LTC1 calculation following Approved Project Application
LTC2 Loan Amount per policy cannot be greater than LTC1 amount
Lesser of (C.5) or (C.6) or (E.1.2) or (E.2.3) or other rules apply
(B.3)
Time required to repay loan In months (subject to
exception analysis below)
Time required to repay loan in years, (D.3) /12
E.I. Market Segment Amount of Loan Test (Min/Max Loan Amount)
E.1.1. Market Segment Minimum Loan Amount $ 5,000 Minimum Loan Amount per Service Account or Bundle
E.1.2. Market Segment Maximum Loan Amount $ 250,000 Com, Ind, Ag = $100,000, G&I = $250,000
E, 1.3. Within Market Segment Limit? Y Is D.1 within loan amount limits Y/N?
E2 Customer Loan Limit Test (Previous Loans for this Service Account)
E.2.1. Service Account Loan Amount Limit $ 250,000 (E.1.2) or $1 M for G&I Facility
E.2.2. Previous Loans Reserved for this Service Account $ Total of previous OBE loans + reservations
E.2.3. Estimated Amount Eligible for Loans $ 250,000.00 11) - (E.2.2), If < 0, then 0.
E.2.4. Within Available Amount? Y Is DA. -E.2.3. Y/N?
E.3, Length of Loan Test
E.3.1. Loan Length Limit (months) 120 CIA (lighting) = 36, CIA (non -lighting) = 60, G&I = 120 months
E.3.2. Within Loan Length Limit? Y Is D.3 within limit YIN?
E.4. Expected Useful Life (EUL)" Loan Length Limit Test
E.4.1. Applicable Measure EUL (months) 144 EUL in months of measure with greatest kWh contribution
E.4.2. Within EUL Loan Length Limit? Y Is D.3 within limit YIN?
B.5. EXCEPTION ANALYSIS (If any E.1 thru E.A. yields a "No") Exception Analysis Loan Minimum Requirement Test
Does the loan amount from Exception Analysis meet the $5K loan
minimum requirement? YES
E.5.1. First Payment Amount $ 242.95 _ __
E.5.2. Subsequent Monthly Loan Repayment Amount $ 500.17 Based on minimum loan requirement of $SK and supplemental i
E.5.3. Subsequent Monthly Payments 93 Exception Analysis, this amount qualifies for an estimated OBF
E.5.4. Net Amount for Financing $ 46,758.76 loan.
'Expected Useful Lite (EULr Each measure IS expected to pe,tmm muscularly tm a peed of g,ne. An EUL tar
each energy ettclency measure is assigned by he Cflicrnla Ena,gy Commission CEO).
LI u iv. IUlab
22A-14
*:/MOM.
On -Bill Financing Agreement
Local Government/institutional Customer Projects
This On -Bill Financing Agreement ("OBF Agreement") is entered into on 20
(the "Effective Date") by and between the undersigned customer ("Customer") and Southern
California Edison Company ("SCE") (each a "Party," collectively the "Parties").
Recitals
1. Customer and SCE entered into the Energy Management Solutions Incentives Application for
Business Customers on or about , 20 and if applicable, the Customized Solutions
Agreement (individually or collectively referred to as "EMS Agreement"), which is/are attached
hereto and incorporated herein by reference.
2. Customer owns, leases or rents the property(s) listed in the EMS Agreement as the Site(s) and
maintains a service account(s) with SCE for electric service. Customer has completed
installation of eligible energy efficient equipment ("Equipment") at the Site(s) as set forth in the
EMS Agreement and has accepted the equipment as being operational and in good working
order.
3. In Decision 12-11-015, the California Public Utilities Commission authorized SCE to provide
zero -percent interest financing for the installation of certain energy efficient equipment, which is
to be repaid over a specified period through the Customer's electric utility bill(s) ("On -Bill
Financing").
4. Customer desires to enter into this OBF Agreement in order to participate in SCE's On -Bill
Financing program and Customer agrees to repay SCE the Amount Financed (as defined under
"Loan Terms", below) through the Customer's SCE utility bill(s) pursuant to the terms and
conditions of this OBF Agreement.
NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein,
the Parties agree as follows:
Terms and Conditions
Defined Terms: Except as the context otherwise requires, capitalized terms used in this OBF
Agreement without definition shall have the same meanings as are set forth in the EMS Agreement.
Amount Financed: Within thirty (30) days after the Effective Date, SCE will provide a payment for
the Amount Financed to Customer or to a third -party payee designated by Customer under the Loan
Terms, below. Customer's designation of a third -party payee may not be changed or revoked.
Loan Terms:
Amount Financed
.00
"Amount Financed"
Interest Rate:
0%
Fees:
0
Months to Pay:
First Month Payment
Remaining Monthly
Payments:
Service Account to be
Billed':
Designated Third-
PartPa ee if any):
Address of
Designated Third -
Part Payee:
' If more than one Service Account will be billed, information regarding the Service Account number
and monthly payment is included in Schedule A attached.
Form 14-914
04/2016
22A-15
Promise to Pay: Customer promises to pay SCE the Amount Financed in equal monthly
installments as set forth in the section above and/or Schedule A (Customer's "Loan Obligation").
The first Monthly Payment of Customer's Loan Obligation will appear within sixty (60) days from
the Effective Date on Customer's SCE utility bill(s) for the Service Account(s) listed above. The
Parties expressly acknowledge and agree that funding for the OBF Loan Obligation repayment
shall not be raised by the levy of additional taxes but shall instead be obtained by Customer's
savings in energy costs paid for solely by the loan proceeds. The Parties further acknowledge
and agree that energy savings from conservation measures are not susceptible to precise
calculation and actual savings may vary according to weather and utility rates, among other
things. Therefore Customer's energy savings have been determined at the outset of this
Agreement and calculated by comparing estimates of energy usage for the facilities in question
with and without the conservation measure, as set forth specifically in the EMS Agreement.
Customer's actual future energy savings are not guaranteed and the OBF Loan Obligation must
be repaid in full irrespective of actual future SCE utility bill(s) amounts.
Manner of Payment: Customer's Monthly Payment amount will appear as a line item labeled
"EE/OBF Installment Charge" on the monthly SCE utility bill(s) for Customer's Service Account(s).
Customer may pay the Loan Obligation in the monthly installments or pre -pay the Loan
Obligation in one lump sum without penalty, but pre -payments for less than the remaining
balance will not be allowed. Customer's Loan Obligation will appear on Customer's monthly
SCE utility bill(s) for the number of months set forth above, or until the Loan Obligation is paid in
full by Customer, whichever occurs first. Customer shall make payments to SCE as directed in the
SCE utility bill(s).
Partial Payments: If Customer is unable to make a full payment of the Loan Obligation in any
given month, payment arrangements may be made at SCE's sole discretion. Any partial
payments will be applied in equal proportion to the energy charges and the Loan Obligation, and
Customer will be considered to be delinquent and in default of both the energy bill and the Loan
Obligation.
Late Payments: No late payment charges or interest will be assessed for delinquent payments on
the Loan Obligation. However, SCE may assess late payment charges for delinquent payments of
energy charges pursuant to SCE's Rule 9 which is incorporated herein by reference.
Returned Payments: SCE may require payment of a $7.00 Returned Check Charge for any
check returned from Customer's financial institution unpaid. The Returned Check Charge will also
apply to any forms of payment that are subsequently dishonored.
Discontinuance of Service: Amounts due under this OBF Agreement will be amounts deemed
due under each SCE utility bill to the Customer's Service Account(s), and a default under this OBF
Agreement will be treated as a default under the Customer's Service Account(s). Customer's Loan
Obligation is subject to the discontinuance provisions of SCE's Rule 11, Discontinuance and
Restoration of Service, Section B, Nonpayment of Bills or Summary Bills which is incorporated
herein by reference.
Breach and Acceleration: Any breach by Customer under the EMS Agreement or this OBF
Agreement shall constitute a breach under all of the above referenced agreements. For purposes
herein, SCE may determine the OBF Agreement to be breached and Customer to be in default if
Customer: (1) sQIIs, assigns or otherwise transfers ownership, possession or title of the Site(s) or
the Equipment unless passed by operation of law to a successor government department or
agency that remains a customer of SCE, (2) fails to pay the Monthly Payment amount when due,
(3) closes, discontinues or otherwise causes the termination of the Service Account(s), or (4)
otherwise breaches this OBF Agreement and/or the EMS Agreement, and the breach is not cured
as specified therein. Notwithstanding anything to the contrary in the EMS Agreement, a breach
and default as set forth in this section shall not be subject to any additional cure period. To the
extent permitted by law, following a breach as set forth in this section, SCE shall have the right to
declare the entire unpaid balance of the Loan Obligation immediately due and payable.
(D)
Form 14-914
04/2016
22A-16
(D)
Modification: Any change to this OBF Agreement must be in writing and signed by Customer and
SCE; except that during any given month, if Customer is unable to make full payment on the Loan
Obligation, payment arrangements may be made at SCE's sole discretion without modifying this
OBF Agreement in writing. Any written modification or amendment will not be effective unless and
until signed by SCE or such condition is waived by SCE in its sole and absolute discretion.
Term and Termination: It is the Parties intent that the term of this OBF Agreement and the EMS
Agreement run concurrently. Therefore, the OBF Agreement shall continue in effect until the Loan
Obligation is paid in full.
Assignment: Notwithstanding anything herein, customer may not assign its rights or delegate its (T)
duties under this Agreement without SCE's express written consent. (T)
Additional Representations: Each person signing this OBF Agreement represents and warrants
that he or she is duly authorized and has the legal capacity to execute and deliver this OBF
Agreement on behalf of Customer, and to perform their obligations under this OBF Agreement.
Customer further represents and warrants that if it is a legal entity, it is in good standing in its state
of formation.
Miscellaneous: Except as otherwise specifically provided herein, all terms, provisions,
covenants, representations, warranties, agreements and conditions of the EMS Agreement shall
remain unchanged and in full force and effect. Should a conflict exist between this OBF
Agreement, the EMS Agreement and the documents incorporated by reference, this OBF
Agreement shall control. This OBF Agreement shall be construed and interpreted in accordance
with, and shall be governed and enforced in all respects according to, the laws of the State of
California. This OBF Agreement may be executed in one or more counterparts, each of which
shall be deemed an original but all of which shall constitute one and the same instrument. If any
one or more of the provisions contained in this OBF Agreement shall for any reason be held to be
invalid, illegal or unenforceable in any respect, then this OBF Agreement shall be construed as if
such invalid, illegal or unenforceable term or provision had never been contained herein and all
other provisions of this OBF Agreement shall be construed to remain fully valid, enforceable and
binding on the parties. The Recitals set forth above are hereby incorporated herein by reference.
[Remainder of page intentionally left blank]
Form 14-914
04/2016
22A-17
IN WITNESS WHEREOF, the Parties have executed this OBF Agreement as of the Effective
Date.
Customer:
Authorized Representative:
Title:
Signature:
Date:
Business Address:
Telephone No.
Fax No.
E -Mail Address:
Form 14-914
04/2016
22A-18
Southern California Edison Company:
Authorized Representative:
Title:
Signature:
Date:
Business Address:
Telephone No.
Fax No.
E -Mail Address:
6Ya:1=1Bill 4W_1
Customer Name:
OBF Loan Number:
Site Service
Account
Number
OBF Billing
Repayment
Service Account
Number
19' Monthly
OBF Loan
Payment
Remaining Monthly
OBF Loan Payments
X -XXX-
XXXX-XX
X-XXX-XXXX-XX
$XX.XX
$XXX.XX per month for X months
Total Monthly Repayment
$XX.XX
$XXX.XX per month
for X months
Form 14-914
04/2016
22A-19
22A-20