Energy Savings Performance Contracting Case Study

Monroe Metropolitan Wastewater Facility Energy Savings Performance Contracting

Case Study

October 20, 2015

Critical Issues

Maintain Sewer Rates

High Energy Costs

Reduce Operational Risk (Equipment Failure)

Continued Need to Upgrade Infrastructure

Lack of Capital Funds for Upgrades

Meeting Permits and Regulatory Demands

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Facility Improvement Measures (FIM) Bolded Included in Project with Initial Design

FIM1 Sludge Dewatering

FIM2 Heating System Improvements

FIM3 Ultraviolet Disinfection Cover

FIM4 Lighting & Occupancy Controls

FIM6 Settled Wastewater Pumps

FIM7 Collection System (Pump Stations)

• Improvements @ Detroit Beach & Sunset Beach Lift Stations

FIM10 Weather Proofing

FIM11 Power Factor Correction

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Focus of Case Study

FIM1 Sludge Dewatering

Existing (2) Centrifuge Machines Failures are Costly

and Include Long Downtime

Existing Equipment Past useful Life

Evaluated Different Replacement Technologies

Existing Equipment Noisy and Energy Intensive

FIM2 Heating System Improvements

Original System Installed in 1935

Evaluation Addressed Boilers, Distribution Piping,

Gas Piping, Rooftop Units, Make-up Air Units, Unit

Heaters, Radiation, Pumping, Wiring, Valves and

Controls

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Original Vacuum Filters replaced with (3) Belt Filter Presses on 2nd floor of

Equipment Building

Belt Filter Presses were abandoned in place in 1993

(2) Centrifuges installed on 1st floor

Dewatering technology selection prepared by URS before Energy Savings

Performance Contract

JCI and URS teamed to develop and deliver the project

Monroe Sludge Dewatering History

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Cost Effective Solutions How to Get More Done Within a Finite Budget

Dewatering (cost effective enhancements to original design)

Reduced number of presses (4 to 3)

Modify conveyor design by moving chute location (reduced total conveyor

length)

Refurbished belt press basins, handrails and grating

HVAC Cost Effective Enhancements

Refurbished HVAC-2 vs. replacing

Changed to condensing boilers (reduced boiler cost, installation cost and are

more efficient)

Reconfigured MCC to allow for new equipment vs. Adding MCC

Installed new walls to decrease volume of air changes (reducing energy cost)

Facility Improvement Measures (FIM)

FIM1 Sludge Dewatering

FIM2 Heating System Improvements

FIM3 Ultraviolet Disinfection Cover

FIM4 Lighting & Occupancy Controls

FIM6 Settled Wastewater Pumps

• (3) 250 HP Motors and Variable Speed Drives

• (3) New 36” Check Valves

• New U-joints & Couplings

FIM7 Collection System (Pump Stations)

Detroit Beach (50 HP Pumps) & Sunset Beach (100 HP Pumps)

• (3) New Motors & Pumps @ Each Lift Station

• (2) New VFD’s @ Each Station

• (8) New Knife Gate Valves & (3) New Check Valves @ Each Station

• All New Shafts, U-Joints & Couplings

FIM10 Weather Proofing

FIM11 Power Factor Correction

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Dewatering Improvements

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Dewatering Improvements

Installed new walls to decrease volume of air changes

New Screw Presses get a new home

New ductwork, lighting and paint

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Dewatering Improvements

(3) FKC Screw Presses

19,000 lbs. each

20 ft. long, 6ft. Tall

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Dewatering Improvements

Repurposed Space to Accommodate New Pumps

(3) New Sludge Pumps (existing pumps on first floor)

Variable Speed Drives

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Dewatering Improvements

Reused Existing Basins

Simplify Conveyor System

Refurbish and re-used hand rails

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Dewatering Improvements

Re-use Existing Polymer Tanks

New Polymer Feed Pump Skids

New Controls

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Next Generation Dewatering System Complete!

Dewatering Improvements

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Dewatering Improvements

HVAC Improvements

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HVAC Improvements Dewatering Room Ventilation

Eliminated HVAC-1

Refurbished HVAC-2

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HVAC Improvements Dewatering Room Ventilation

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Dewatering Ventilation System Complete!

HVAC Improvements Dewatering Room Ventilation

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Reconfigured Heating System to Variable Primary Pumping

New Pumps, VSD’s, Piping, Insulation, Controls, Conduit, Wiring, Etc.

Reused Housekeeping Pads

HVAC Improvements Equipment Building Boiler Room

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Boiler 1 Serves as Emergency Backup only

Replaced Boiler 2 (primary boiler)

Reused Housekeeping Pads

HVAC Improvements Equipment Building Boiler Room

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HVAC Improvements Equipment Building Boiler Room

Equipment Building Heating System Complete!

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Installed & Relocated New High Efficiency Condensing Boiler

Installed New EcoCirc Pumps, Piping & Control/Control Panels

Replaced All Piping Including New Baseboard Radiation

Flushed and Cleaned Entire System

HVAC Improvements Administration Building Heating System

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Administration Building Heating System Complete!

HVAC Improvements Administration Building Heating System

Baseline Annual Utility Costs (2011/12): $627,781 Annual Utility Savings: $114,349 Net Operations & Maintenance Impact: $240,711 Total Annual Program Benefit Available to Fund FIMs: $355,060

Savings Analysis

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Program Cost: $10.39M

Total 1st Year Energy & Operational Benefits: $355k

Estimated Utility Rebates: $53k

CIP Funds Allocated Over the Term: $3.74M

Funding:

Qualified Energy Conservation Bonds (QECB)

State of MI and Monroe County - QECB Allocations

Effective Interest Rate Approximately 1.2%

Will Meet Required 20% Energy Savings Required by QECB

Improvements Funded Through Existing Rate Model (Not Dependent on Future Rate Increases)

Savings Analysis

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Self Funded Solutions (Not Dependent on Rate Increase)

Guaranteed Outcomes (Savings, Cost, Performance)

Transfer of Liability to ESCO (Reduced System Risk Through

Guarantees Placed on Technology)

Turnkey Approach…Single Point of Accountability

Budget Integrity and Fixed Expenditures

Operational Integrity (Replacing Aging Equipment Prior to Major

Failure)

Strong, Experienced Local Team w/National Capabilities

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Program Benefits

Business Development Activities

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This document is proprietary and confidential to Johnson Controls, Inc.

Activity Date Cost Notes

Michigan Association of Counties (MAC) March 26-

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$875– Booth

2 Night Hotel

Meals/Giveaways

≈$1,475 For 1

MAC Annual Conference-Lansing Center

Michigan Local Government Management

Association (MLGMA)

June 13 $3

Michigan Municipal League (MML) April TBA $1,500 Capital Conference -Information Not Available

Michigan Chapter AWWA September $575– Booth/Full Reg

2 Night Hotel

Meals/Giveaways

$0 -1 Day Speaker

≈$1,275 For 1

Annual Conference - TBD

Michigan Water Environment Association

(MWEA)

June 23-27 $500 – Booth Only

2 Night Hotel

Meals/Giveaways

$0 -1 Day Speaker

≈$1,200 For 1

Annual Conference - Boyne Mountain Resort

Work to get Speaking Engagement

Questions