HomeMy WebLinkAboutMetlakatla Indian Community AEA 15003 REF Grant Application
Heat Pump Alaska Energy Authority – AEA 15003
Renewable Energy Grant Application
H
METLAKATLA INDIAN COMMUNITY
Metlakatla Indian Community
ALASKA ENERGY AUTHORITY – AEA 15003 RENEWABLE ENERGY
GRANT APPLICATION
APPLICATION CONTENTS
AEA APPLICATION – SECTION 1 THROUGH 9
AUTHORIZED SIGNERS – SECTION 10
ADDITIONAL DOCUMENTATION AND CERTIFICATION – SECTION 11
RESUMES
LETTERS OF SUPPORT
FUEL INVOICES
GOVERNING BODY RESOLUTION
ENERGY AUDIT – LEPQUINUM WELLNESS CENTER
ALASKA ENERGY ENGINEERING LLC. TECHNICAL MEMORANDUM
GROUND SOURCE HEAT PUMP SYSTEM LIFE CYCLE COST ANALYSIS
Renewable Energy Fund Round VIII
Grant Application – Heat Projects
AEA 15003 Page 1 of 22 7/2/14
Application Forms and Instructions
This instruction page and the following grant application constitutes the Grant Application Form for
Round VIII of the Renewable Energy Fund Heat Projects only. If your application is for energy
projects that will not primarily produce heat, please use the standard application form (see RFA
section 1.5). An electronic version of the Request for Applications (RFA) and both application
forms are available online at: www.akenergyauthority.org/REFund8.html.
If you need technical assistance filling out this application, please contact Shawn Calfa, the
Alaska Energy Authority Grants Administrator at (907) 771-3031 or at scalfa@aidea.org.
If you are applying for grants for more than one project, provide separate application forms
for each project.
Multiple phases for the same project may be submitted as one application.
If you are applying for grant funding for more than one phase of a project, provide
milestones and budget for each phase of the project.
In order to ensure that grants provide sufficient benefit to the public, AEA may limit
recommendations for grants to preliminary development phases in accordance with 3 ACC
107.605(1).
If some work has already been completed on your project and you are requesting funding
for an advanced phase, submit information sufficient to demonstrate that the preceding
phases are completed and funding for an advanced phase is warranted.
If you have additional information or reports you would like the Authority to consider in
reviewing your application, either provide an electronic version of the document with your
submission or reference a web link where it can be downloaded or reviewed.
In the sections below, please enter responses in the spaces provided, often under the
section heading. You may add additional rows or space to the form to provide sufficient
space for the information, or attach additional sheets if needed.
REMINDER:
Alaska Energy Authority is subject to the Public Records Act AS 40.25, and materials
submitted to the Authority may be subject to disclosure requirements under the act if no
statutory exemptions apply.
All applications received will be posted on the Authority web site after final
recommendations are made to the legislature.
In accordance with 3 AAC 107.630 (b) Applicants may request trade secrets or proprietary
company data be kept confidential subject to review and approval by the Authority. If you
want information to be kept confidential the applicant must:
o Request the information be kept confidential.
o Clearly identify the information that is the trade secret or proprietary in their
application.
o Receive concurrence from the Authority that the information will be kept confidential.
If the Authority determines it is not confidential it will be treated as a public record in
accordance with AS 40.25 or returned to the applicant upon request.
Renewable Energy Fund Round VIII
Grant Application – Heat Projects
AEA 15003 Page 2 of 22 7/2/14
SECTION 1 – APPLICANT INFORMATION
Name (Name of utility, IPP, or government entity submitting proposal)
Metlakatla Indian Community
Type of Entity: Tribe Fiscal Year End: September 30, 2014
Tax ID # 92-0014579
Tax Status: ☐ For-profit ☐ Non-profit ☒ Government (check one)
Date of last financial statement audit: unknown
Mailing Address: Physical Address:
PO Box 8 563 Brendible Street
Metlakatla, Alaska 99926 Metlakatla, Alaska 99926
Telephone: Fax: Email:
(907) 886-4441 (907) 886-6976 kim@metlakatla.net
1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER
Name: Eric Hanssen, P.E. Title: Sr. Engineering Project Manager
Mailing Address:
Alaska Native Tribal Health Consortium
Division of Environmental Health & Engineering
Rural Energy Program
3900 Ambassador Drive, Suite 301
Anchorage, Alaska 99507
Telephone: Fax: Email:
(907) 729-3620 (907) 729-4090 echanssen@anthc.org
1.1.1 APPLICANT ALTERNATE POINTS OF CONTACT
Name Telephone: Fax: Email:
Rachael Askren -
Metakatla
(907) 886-5810 (907) 886-6976 raskren@aisu.org
Suzanne Wolf – ANTHC
Energy Program
(907) 729-4065 (907) 729-3571 swolf@anthc.org
Heather Dongoski –
Grant Specialist
(907) 729-3049 (907) 729-3049 hdongoski@anthc.org
Renewable Energy Fund Round VIII
Grant Application – Heat Projects
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APPLICANT MINIMUM REQUIREMENTS
Please check as appropriate. If you do not to meet the minimum applicant requirements, your
application will be rejected.
1.1.1 As an Applicant, we are: (put an X in the appropriate box)
☐ An electric utility holding a certificate of public convenience and necessity under AS 42.05, or
☐ An independent power producer in accordance with 3 AAC 107.695 (a) (1), or
☐ A local government, or
☒ A governmental entity (which includes tribal councils and housing authorities)
1.2 APPLICANT MINIMUM REQUIREMENTS (continued)
Please check as appropriate.
☒ 1.2.2 Attached to this application is formal approval and endorsement for the project by the
applicant’s board of directors, executive management, or other governing authority. If the
applicant is a collaborative grouping, a formal approval from each participant’s governing
authority is necessary. (Indicate by checking the box)
☒ 1.2.3 As an applicant, we have administrative and financial management systems and follow
procurement standards that comply with the standards set forth in the grant agreement
(Section 3 of the RFA). (Indicate by checking the box)
☒ 1.2.4 If awarded the grant, we can comply with all terms and conditions of the award as
identified in the Standard Grant Agreement template at
http://www.akenergyauthority.org/vREFund8.html. (Any exceptions should be clearly noted
and submitted with the application.) (Indicate by checking the box)
☒ 1.2.5 We intend to own and operate any project that may be constructed with grant funds for
the benefit of the general public. If no please describe the nature of the project and who will
be the primary beneficiaries. (Indicate yes by checking the box)
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Grant Application – Heat Projects
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SECTION 2 – PROJECT SUMMARY
This section is intended to be no more than a 2-3 page overview of your project.
2.1 Project Title – (Provide a 4 to 7 word title for your project). Type in space below.
Lepquinum Wellness Center Ground Source Heat Pump
2.2 Project Location –
Include the physical location of your project and name(s) of the community or communities that will
benefit from your project in the subsections below.
2.2.1 Location of Project – Latitude and longitude, street address, or community name.
Latitude and longitude coordinates may be obtained from Google Maps by finding you project’s
location on the map and then right clicking with the mouse and selecting “What is here? The
coordinates will be displayed in the Google search window above the map in a format as follows:
61.195676.-149.898663. If you would like assistance obtaining this information please contact
AEA at 907-771-3031.
55.125514, -131.577267
2.2.2 Community benefiting – Name(s) of the community or communities that will be the
beneficiaries of the project.
Metlakatla Indian Community, Metlakatla, Alaska
2.3 PROJECT TYPE
Put X in boxes as appropriate
2.3.1 Renewable Resource Type
☐ Wind to Heat ☐ Biomass or Biofuels
☐ Hydro to Heat ☐ Solar Thermal
☐ Heat Recovery from Existing Sources ☒ Heat Pumps
☐ Other (Describe) ☐
2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply)
Pre-Construction Construction
☐ Reconnaissance ☒ Final Design and Permitting
☐ Feasibility and Conceptual Design ☒ Construction
Renewable Energy Fund Round VIII
Grant Application – Heat Projects
AEA 15003 Page 5 of 22 7/2/14
2.4 PROJECT DESCRIPTION
Provide a brief one paragraph description of the proposed heat project.
The proposed project will design and construct a Ground Source Heat Pump (GSHP) system to
displace 47,200 gallons of heating oil per year and significantly reduce the overall operating costs
at the Lepquinum Wellness Center in Metlakatla, Alaska. The Wellness Center is a high use public
facility, and is central to the community of Metlakatla. It provides healthcare and wellness services
including physical therapy, a natatorium, locker rooms, and activity room, as well as exercise, and
classroom spaces. Project feasibility, building integration requirements, estimated project costs,
and a lifecycle cost analysis are detailed in the attached September 2014 Lepquinum Wellness
Center Ground Source Heat Pump Analysis.
2.5 PROJECT BENEFIT
Briefly discuss the financial and public benefits that will result from this heat project, (such as
reduced fuel costs, lower energy costs, local jobs created, etc.)
This project is estimated to reduce the overall energy costs for the Wellness Center by 73%.
Based on the attached Lepquinum Wellness Center Energy Analysis, installation of a ground
source heat pump to serve this facility will displace 47,200 gallons of heating oil per year, and
lower the overall annual energy and operational costs for the Wellness Center by $203,000 (this
includes an increase in electricity costs as a result of ground source heat pump operations).
Through the savings created by this project, dollars normally spent on heating oil can stay in the
local economy and enable support of other important public programs and services in Metlakatla.
2.6 PROJECT BUDGET OVERVIEW
Briefly discuss the amount of funds needed, the anticipated sources of funds, and the nature and
source of other contributions to the project.
The requested AEA grant funding is $3,445,040.
Design requested AEA funding $289,955. Construction requested AEA funding $3,155,045.
ANTHC will provide an in-kind match of $34,450 in the form of project and program management
services for design and construction.
The total anticipated project cost is $ 3,479,490.
In section 2.7.10 – Additional performance monitoring equipment expenses of $15,000 will be
covered under an Environmental Protection Agency project that ANTHC was awarded to install
remote monitoring systems in select rural communities.
2.7 COST AND BENEFIT SUMARY
Summarize the grant request and the project’s total costs and benefits below.
Costs for the Current Phase Covered by this Grant
(Summary of funds requested)
2.7.1 Grant Funds Requested in this application $ 3,445,040
2.7.2 Cash match to be provided $
2.7.3 In-kind match to be provided $ 34,450
2.7.4 Other grant funds to be provided $
2.7.5 Total Costs for Requested Phase of Project (sum of 2.7.1 through 2.7.4) $ 3,479,490
Renewable Energy Fund Round VIII
Grant Application – Heat Projects
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Other items for consideration
2.7.6 Other grant applications not yet approved $
2.7.7 Biomass or Biofuel Inventory on hand $
2.7.8 Energy efficiency improvements to buildings
to be heated (upgraded within the past 5 years or
committed prior to proposed project completion) $
Project Costs & Benefits
(Summary of total project costs including work to date and future cost estimates to get to a fully
operational project)
2.7.9 Total Project Cost
Summary from Cost Worksheet, Section 4.4.4, including estimates
through construction.
$ 3,479,490
2.7.10 Additional Performance Monitoring Equipment not covered
by the project but required for the Grant
Only applicable to construction phase projects
$ 15,000
(ANTHC Remote
Monitoring Prog. Funds)
2.7.11 Estimated Direct Financial Benefit (Savings)
The economic model used by AEA is available at
www.akenergyauthority.org/REFund8.html. This economic
model may be used by applicants but is not required. Other
economic models developed by the applicant may be used,
however the final benefit/cost ratio used will be derived from the
AEA model to ensure a level playing field for all applicants.
$ 203,000 / year
2.7.12 Other Public Benefit
If you can calculate the benefit in terms of dollars please provide
that number here and explain how you calculated that number in
Section 5 below.
$
SECTION 3 – PROJECT MANAGEMENT PLAN
Describe who will be responsible for managing the project and provide a plan for successfully
completing the project within the scope, schedule and budget proposed in the application.
3.1 Project Manager
Tell us who will be managing the project for the Grantee and include contact information, a resume
and references for the manager(s). In the electronic submittal, please submit resumes as separate
PDFs if the applicant would like those excluded from the web posting of this application. If the
applicant does not have a project manager indicate how you intend to solicit project management
support. If the applicant anticipates project management assistance from AEA or another
government entity, state that in this section.
Alaska Native Tribal Health Consortium (ANTHC) is a statewide non-profit health services
organization, formed by congress in 1997 to assume the roles and duties of the Indian Health
Service (IHS) in Alaska. ANTHC is the largest tribal self-governance entity in the United States,
with over 1,900 employees and an annual operating budget in excess of $475M. Approximately
31% of this funding is from a compact agreement with IHS. Approximately 25% of the operating
revenue originates from other federal and state grants and contracts. ANTHC has a 16-year history
of clean audits, conducted by an independent accounting firm in accordance with the Single Audit
Act.
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Grant Application – Heat Projects
AEA 15003 Page 7 of 22 7/2/14
The Division of Environmental Health & Engineering, Rural Energy Program:
Senior Engineering Project Manager Eric Hanssen, P.E., LEED AP has been with ANTHC since
2007. As part of ANTHC’s Rural Energy Initiative, he oversees project development, design, and
construction of energy efficiency and renewable energy projects for remote communities across
the entire state of Alaska. During his time with ANTHC, Eric has also served as a Project Manager
for rural water and wastewater infrastructure projects, as well as a Health Facilities Engineer
focused on hospital and clinic construction and renovation projects. Prior to joining ANTHC, Eric
served seven years as a civil engineer and officer for the US Air Force in Alaska, Washington DC,
Florida, and Iraq. He holds a BS in Environmental Engineering from the US Air Force Academy in
Colorado and a Master’s in Environmental Policy and Economics from the University of Maryland,
College Park.
3.2 Project Schedule and Milestones
Please fill out the schedule below. Be sure to identify key tasks and decision points in in your
project along with estimated start and end dates for each of the milestones and tasks. Please
clearly identify the beginning and ending of all phases of your proposed project.
Please fill out form provided below. You may add additional rows as needed.
The Milestones noted below, are based on a typical construction season. If the project is awarded, before it is
executed, updated and realistic milestones will be completed by ANTHC and provided to AEA.
Milestones Tasks Start Date End Date
Conduct Kickoff Meeting 11/1/2015 11/1/2015
35% Design 11/1/2015 2/1/2016
65% Design w/ Cost Estimate 2/1/2016 5/1/2016
95% Design 5/1/2016 7/1/2016
Final Design Documents w/ Cost Estimate 7/1/2016 8/1/2016
Pre-construction meeting 7/1/2016 7/1/2016
Construction Phase 1 (Geothermal Loopfield) 7/1/2016 10/1/2016
Construction Phase 2 (Heat Pump & Facility Mods) 10/1/2016 4/1/2017
Commissioning 4/1/2017 4/10/2017
Final Inspection 4/10/2017 5/1/2017
Warranty and Project Closeout 5/1/2017 5/1/2018
1.) Project Planning
2.) Construction
3.) Project Closeout
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Grant Application – Heat Projects
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3.3 Project Resources
Describe the personnel, contractors, personnel or firms, equipment, and services you will use to
accomplish the project. Include any partnerships or commitments with other entities you have or
anticipate will be needed to complete your project. Describe any existing contracts and the
selection process you may use for major equipment purchases or contracts. Include brief resumes
and references for known, key personnel, contractors, and suppliers as an attachment to your
application.
Metlakatla Indian Community will be partnering with ANTHC to manage and carry out the proposed
project. The Lepquinum Wellness Center is owned and operated by Annette Island Service Unit
(AISU), the local healthcare organization who also operates Metlakatla’s Health Clinic. AISU, as a
project partner, has committed to owning and operating the proposed GSHP system upon project
completion.
The planned methodology for execution of the project is ANTHC management of professional
design and construction contract services. The project manager will be supported in project
development and oversight by ANTHC Engineering Services staff, including Chong Park, Lead
Mechanical Engineer, and Dave Reed, Lead Electrical Engineer. The project manager will also be
supported by Jim Rehfeldt, Alaska Energy Engineering LLC Principal Mechanical/Energy Engineer,
as a consultant.
To the extent possible, local labor will be used during construction. ANTHC will use its purchasing
and contracting resources for procurement and administration of professional design and
construction services. Resumes of potential resources and key personnel are attached to this
application.
3.4 Project Communications
Discuss how you plan to monitor the project and keep the Authority informed of the status. Please
provide an alternative contact person and their contact information.
Written project progress reports will be provided to the AEA project manager as required by the
grant. Meetings will be conducted by ANTHC, the community of Metlakatla, and AEA to discuss the
status of the project. Regular coordination meetings will be held between AEA and ANTHC
regarding all projects.
3.5 Project Risk
Discuss potential problems and how you would address them.
Potential project risks include adaptation of the old mechanical system to the new ground source
heat pump, tight space conditions in the current mechanical room, changes in the price of local
electricity and changes in site and/or subsurface conditions. GSHP technology has proven
effective in the region and should not produce many major concerns.
Ensuring the proper operations and maintenance of the proposed system is also critical to its long-
term effectiveness. This project proposes to train and educate local maintenance staff upon
startup of the new system to ensure a reasonable level of local O&M capacity, as well as to
establish a service contract with a Southeast Alaska technician or vendor certified in GHSP
maintenance to provide a higher level of O&M support when needed.
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Grant Application – Heat Projects
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3.6 Project Accountant(s)
Tell us who will be performing the accounting of this Project for the Grantee and include contact
information, a resume and references for the project accountant(s). In the electronic submittal,
please submit resumes as separate PDFs if the applicant would like those excluded from the web
posting of this application. If the applicant does not have a project accountant indicate how you
intend to solicit project accounting support.
Metlakatla Indian Community will use the accounting resources of ANTHC. ANTHC’s Division of
Environmental Health accounting department is led by the Construction Controller, Diane Chris.
The Construction Finance Department is comprised of 10 staff that handle all DEHE’s accounting
functions. A Senior Accountant has been designated to support any ANTHC Grant awards
including AEA financial reporting. Key Staff resumes are included in this application.
3.7 Financial Accounting System
Discuss the accounting system that will be used to account for project costs and who will be the
primary user of the accounting system.
The project finances will be kept in Spectrum construction job cost accounting software used by
ANTHC. The software accounts expenditures by phase code and cost types. Purchasing,
contracting, and accounting are the primary users of the system with the information always
available to the project team.
3.8 Financial Management Controls
Discuss the controls that will be utilized to ensure that only costs that are reasonable, ordinary and
necessary will be allocated to this project. Also discuss the controls in place that will ensure that
no expenses for overhead, or any other unallowable costs will be requested for reimbursement
from the Renewable Energy Fund Grant Program.
Metlakatla Indian Community will enter into a cooperative project agreement (CPA) with ANTHC to
implement the project as well as financial management. ANTHC’s cost controls have been
implemented to comply with OMB cost control principles and requirements of all state and federal
grants. ANTHC has a 16-year history of clean audits, conducted by an independent accounting
firm in accordance with the Single Audit Act. ANTHC will provide records and accounting records
available to state and federal auditors on request.
Renewable Energy Fund Round VIII
Grant Application – Heat Projects
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SECTION 4 – PROJECT DESCRIPTION AND TASKS
The level of information will vary according to phase(s) of the project you propose to undertake
with grant funds.
If some work has already been completed on the project and the funding request is for an
advanced phase, submit information sufficient to demonstrate that the preceding phases are
satisfied and funding for an advanced phase is warranted.
4.1 Proposed Energy Resource
Describe the potential extent/amount of the energy resource that is available.
Discuss the pros and cons of your proposed energy resource vs. other alternatives that may be
available, in the market, to be served by your project. For pre-construction applications, describe
the resource to the extent known. For design and permitting or construction projects, please
provide feasibility documents, design documents, and permitting documents (if applicable) as
attachments to this application.
This project will harness the relatively constant temperature of the subsurface earth as an
essentially unlimited renewable energy resource. A ground source heat pump system for the
Lepquinum Wellness Center will extract heat from a geothermal loopfield on the facility’s property
and transfer it to the building hydronic heating system via a water-to-water heat pump.
Replacing the Wellness Center’s existing oil-fired boilers with electric boilers was also considered.
While electric boilers would produce a savings in operating costs for the facility, the immediate and
lifetime savings from electric boilers is only a fraction of that produced by the proposed GSHP
system (See attached Feasibility Analysis). In looking at the Wellness Center’s existing heating
system and electric boiler alternative, the GSHP offers the lowest heating cost due to its
substantially higher efficiency of 275%--compared to 70% for oil-fire boilers and 95% for electric
boilers.
4.1.1 For Biomass Project only
Identify any wood inventory questions, such as:
Ownership/Accessibility. Who owns the land and are their limitations and restrictions to
accessing the biomass resource?
Inventory data. How much biomass is available on an annual basis and what types (species)
are there, if known? Please attach any forest inventory reports
N/A
4.2 Existing Energy System
4.2.1 Basic configuration of Existing Heating Energy System
Briefly discuss the basic configuration of the existing energy system. Include information about the
number, size, age, efficiency, and type of generation.
The Lepquinum Wellness Center uses three fuel oil boilers to provide heat for the water heating,
space heating, swimming pool heating, and other loads. The heating system includes seven air
handling units, fan coil units, and perimeter hydronic systems. Each boiler is a Weil-McLain Model
788 with a 1419 MBH water heating capacity. The boilers were installed in 2003 and are
approximately 70% efficient.
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4.2.2 Existing Heating Energy Resources Used
Briefly discuss your understanding of the existing energy resources. Include a brief discussion of
any impact the project may have on existing energy infrastructure and resources.
The Lepquinum Wellness Center uses #1 heating oil for all of its heating energy needs.
Implementing a ground source heat pump system will reduce or eliminate the need for heating oil.
The Lepquinum Wellness Center Energy Analysis reports current estimated annual use of heating
oil at the wellness center is 49,500 gallons. As part of this proposal, two fuel oil boilers will remain
and used on an as-necessary basis during emergencies, system maintenance, or demand peaks.
4.2.3 Existing Heating Energy Market
Discuss existing energy use and its market. Discuss impacts your project may have on energy
customers.
Heating oil must be barged in and can reach Metlakatla during any time of the year. The expected
impact of this project will be to reduce the overall oil use by approximately 47,200 gallons annually.
While this reduction will not change the price of fuel oil in Metlakatla, it will significantly reduce the
Lepquinum Wellness Center’s consumption of oil, replacing that consumption with extracted heat
from the ground source heat pump.
4.3 Proposed System
Include information necessary to describe the system you are intending to develop and address
potential system design, land ownership, permits, and environmental issues.
4.3.1 System Design
Provide the following information for the proposed renewable energy system:
A description of renewable energy technology specific to project location
Optimum installed capacity
Anticipated capacity factor
Anticipated annual generation
Anticipated barriers
Basic integration concept
Delivery methods
The GSHP system captures heat from the ground via a geothermal loop field and transports it
through heat transfer piping to the existing facility’s mechanical room, where it is extracted via a
water-to-water heat pump and reintroduced into the main heating loop of the building. The
objective is to reduce fuel consumption by using extracted ground heat. The proposed GSHP is
sized for a design load of 1,194 MBH producing 2,610,372 kBTU per year, which represents 92%
of overall building heat demand. Please see the attached September 2014 Lepquinum Wellness
Center Ground Source Heat Pump Analysis for further detail.
Loopfield: A closed, vertical loopfield, will be located under the parking and driving areas adjacent
to the Wellness Center, consisting of 79 boreholes spaced at 22’ on center. Each 6” diameter
borehole is 332’deep, has a 1” HDPE pipe loop inserted into it, and is backfilled with thermal
conductive grout. The borehole loops are connected to horizontal piping installed 24” below ground
and routed to the building. A geothermal contractor based in Juneau, Alaska is likely to offer the
lowest cost for constructing the loopfield. The property where the planned loopfield is to be located
is owned and operated by the Annette Island Service Unit (AISU), eliminating any possible right-of-
way issues.
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Heating Plant:
- Heat Pump: A water-to-water heat pump that extracts heat from the loopfield and produces
115°F heating water that is stored in a heating storage tank.
- Boilers: Two of the existing fuel oil boilers will be retained to supplement the heat pump during
cold weather. They will also provide sufficient capacity to heat the pool in 48 hours upon filling and
provide sufficient heat for a ventilation purge of the natatorium if chlorine levels rise too high.
- Building Loop: The building loop will be converted from a 180°F boiler system to a 115°F heat
pump system. This will require larger building pumps, a new pool heat exchanger, and new heating
coils and reheat coils in the six air handling units.
Building Integration:
In order to integrate the GSHP into the Wellness Center’s heating system, specific modifications
are necessary. If these measures are not included in the scope of this project, savings from the
proposed ground source heat pump project cannot be fully realized. Required modifications
include: automatic control system replacement, reducing ventilation system air flow via variable
speed air handler motors, and converting the circulating hydronic heating system to variable flow.
Metering and Remote Monitoring: The new system will also include a BTU meter to provide
totalized ground source heat production as well as instantaneous production. In addition, Remote
Monitoring of energy performance will be installed by ANTHC under separate program funds, to
provide continuous, real-time reporting of system data.
4.3.2 Land Ownership
Identify potential land ownership issues, including whether site owners have agreed to the project
or how you intend to approach land ownership and access issues.
The Annette Island Service Unit (AISU), the local healthcare organization owns and operates the
Lepquinum Wellness Center and the property it sits on. AISU will also own and operate the GSHP
system in the same manner as they manage the current heating system for the facility. There are
no apparent conflicts with rights-of-ways or land ownership for this project, loopfiled and other
system components are entirely within AISU property.
4.3.3 Permits
Provide the following information as it may relate to permitting and how you intend to address
outstanding permit issues.
List of applicable permits
Anticipated permitting timeline
Identify and discuss potential barriers
No permits are anticipated this ground source heat pump project. If during the course of the
project, it is determined that permits are required, ANTHC will ensure they are obtained in a timely
manner.
4.3.4 Environmental
Address whether the following environmental and land use issues apply, and if so how they will be
addressed:
Threatened or endangered species
Habitat issues
Wetlands and other protected areas
Archaeological and historical resources
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Land development constraints
Telecommunications interference
Aviation considerations
Visual, aesthetics impacts
Identify and discuss other potential barriers
ANTHC will consider all potential environmental concerns associated with this project. However, at
this time, there are no anticipated environmental or land use issues acting as barriers to the
project. ANTHC has extensive experience using the comprehensive Indian Health Service (IHS)
environmental review procedures for conducting environmental analysis of all health and sanitation
facilities projects in all stages of development, as outlined in the IHS Environmental Review
Manual issued in January 2007.
4.4 Proposed New System Costs and Projected Revenues
(Total Estimated Costs and Projected Revenues)
The level of cost information provided will vary according to the phase of funding requested and
any previous work the applicant may have done on the project. Applicants must reference the
source of their cost data. For example: Applicant’s records or analysis, industry standards,
consultant or manufacturer’s estimates.
4.4.1 Project Development Cost
Provide detailed project cost information based on your current knowledge and understanding of
the project. Cost information should include the following:
Total anticipated project cost, and cost for this phase
Requested grant funding
Applicant matching funds – loans, capital contributions, in-kind
Identification of other funding sources
Projected capital cost of proposed renewable energy system
Projected development cost of proposed renewable energy system
The total anticipated project cost is $3,479,490 including ANTHC’s in-kind contribution. A detailed
project cost estimate is contained in the attached Lepquinum Wellness Center Ground Source
Heat Pump Analysis. The requested grant funding is $3,445,040 with the remaining $34,450 being
donated by ANTHC in the form of project and program management services. The funding request
includes $289,955 for design and $3,155,045 for construction.
4.4.2 Project Operating and Maintenance Costs
Include anticipated O&M costs for any new facilities constructed and how these would be funded
by the applicant.
(Note: Operational costs are not eligible for grant funds however grantees are required to meet
ongoing reporting requirements for the purpose of recording the impacts of AEA projects on the
communities they serve.)
The O&M costs for the ground source heat pump system include ongoing local operations and
contracted maintenance services. In addition costs associated with oil-fired boiler maintenance will
decrease due to the reduction in usage. The net increase facility O&M costs associated with
implementation of the proposed GSHP system is $4,000 annually.
4.4.3 Heating Purchase/Sale
The heat purchase/sale information should include the following:
Identification of potential energy buyer(s)/customer(s)
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Potential heat purchase/sales price - at a minimum indicate a price range
Proposed rate of return from grant-funded project
Not applicable for this project.
4.4.4 Project Cost Worksheet
Complete the cost worksheet form which provides summary information that will be considered in
evaluating the project.
Please fill out the form provided below and provide most recent heating fuel invoice that supports
the amount identified in “Project Benefits” subpart b below.
Renewable Energy Source
The Applicant should demonstrate that the renewable energy resource is available on a
sustainable basis.
Annual average resource availability.
Unit depends on project type (e.g. windspeed, hydropower output, biomass fuel)
Existing Energy Generation and Usage
a) Basic configuration (if system is part of the Railbelt1 grid, leave this section blank)
i. Number of generators/boilers/other 3 Weil McLain 88 Boilers
ii. Rated capacity of generators/boilers/other 1419 MBH
iii. Generator/boilers/other type
iv. Age of generators/boilers/other 11
v. Efficiency of generators/boilers/other
b) Annual O&M cost (if system is part of the Railbelt grid, leave this section blank)
i. Annual O&M cost for labor $14,746
ii. Annual O&M cost for non-labor $4,770
c) Annual electricity production and fuel usage (fill in as applicable) (if system is part of the
Railbelt grid, leave this section blank)
i. Electricity [kWh]
ii. Fuel usage
Diesel [gal]
Other
iii. Peak Load
iv. Average Load
v. Minimum Load
vi. Efficiency
vii. Future trends
d) Annual heating fuel usage (fill in as applicable)
i. Diesel [gal or MMBtu] 49,500 gal
ii. Electricity [kWh]
1 The Railbelt grid connects all customers of Chugach Electric Association, Homer Electric Association, Golden Valley Electric
Association, the City of Seward Electric Department, Matanuska Electric Association and Anchorage Municipal Light and Power.
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iii. Propane [gal or MMBtu]
iv. Coal [tons or MMBtu]
v. Wood [cords, green tons, dry tons]
vi. Other
Proposed System Design Capacity and Fuel Usage
(Include any projections for continued use of non-renewable fuels)
a) Proposed renewable capacity (Wind, Hydro, Biomass, other) [kW or
MMBtu/hr]
Ground Source Heat Pump
b) Proposed annual electricity or heat production (fill in as applicable)
i. Electricity [kWh]
ii. Heat [MMBtu] Equivalent of 47,200 gallons of #1 heating oil annually
c) Proposed annual fuel usage (fill in as applicable)
i. Propane [gal or MMBtu]
ii. Coal [tons or MMBtu]
iii. Wood or pellets [cords, green tons,
dry tons]
iv. Other
Project Cost
a) Total capital cost of new system $ 3,155,045
b) Development cost $ 289,955
c) Annual O&M cost of new system $ 23,516 (net increase of $4,000 over current O&M)
d) Annual fuel cost
Project Benefits
a) Amount of fuel displaced for
i. Electricity
ii. Heat 47,200 gallons of #1 fuel oil
iii. Transportation
b) Current price of displaced fuel $4.65
c) Other economic benefits Savings keeps funding in the local economy and enables
support of other important public programs and services
d) Alaska public benefits
Heat Purchase/Sales Price
a) Price for heat purchase/sale N/A
Project Analysis
a) Basic Economic Analysis
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Project benefit/cost ratio 1.87 (See Attached 25-Year Life Cycle Cost Analysis)
Payback (years) 16.97
4.4.5 Impact on Rates
Please address the following items related to the proposed location of the heating project. If more
than one building will be impacted, please address this information for each building.
Building name
Lepquinum Wellness Center
Type or primary usage of the building
Health center including physical therapy, swimming, exercise activities, and education.
Location
Metlakatla Indian Community, Metlakatla, Alaska
Hours of operation
14 hours per day, 5 days per week, 10 months per year
Single structure or multiple units
Single structure
Total square footage
23,296
Electrical consumption per year
296,000 kW-h
Heating oil/fuel consumption per year
49,500 gallons
Average number of occupants
30
Has an energy audit been performed? When? Please provide a copy of the energy audit, if
applicable.
Yes, December 2011
Have building thermal energy efficiency upgrades been completed?
No
o If applicable, please provide evidence of efficiency improvements including cost and
anticipated savings associated with upgrades.
No
o Estimated annual heating fuel savings
47,200 gallons or $233,000
If the building is not yet constructed please provide evidence of the value of planned
building envelope efficiency investments beyond typical construction practices. Include
anticipated savings associated with efficiency investments if available.
N/A
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SECTION 5– PROJECT BENEFIT
Explain the economic and public benefits of your project. Include direct cost savings, and
how the people of Alaska will benefit from the project.
The benefits information should include the following:
Potential annual fuel displacement (gallons and dollars) over the lifetime of the evaluated
renewable energy project. In order for the applicant to receive credit for heating fuel
displaced the applicant must provide the most recent invoice for heating fuel purchased.
Anticipated annual revenue (based on i.e. a Proposed Heat Purchase Agreement price, RCA
tariff, or cost based rate)
Potential additional annual incentives (i.e. tax credits)
Potential additional annual revenue streams (i.e. green tag sales or other renewable energy
subsidies or programs that might be available)
Discuss the non-economic public benefits to Alaskans over the lifetime of the project
The potential fuel displacement is 47,200 gallons of the 49,500 gallons of fuel to be used by the
Wellness Center. At the current local price of $4.65 per gallon, annual fuel displaced equates to
$233,000. Electricity costs will increase by an estimated $30,000 due to operations of the GSHP
system, resulting in a net utility cost savings of $203,000 per year.
There are no other known incentives or revenue streams that will result from this project. The
benefits to the community of this project include a reduced reliance on fossil fuels, which are
subject to escalating prices over time. In addition overall operating cost savings keeps funding in
the local economy and enables support of other important public programs and services.
SECTION 6– SUSTAINABILITY
Discuss the operation of the completed project so that it will be sustainable.
Include at a minimum:
Proposed business structure(s) and concepts that may be considered.
How the maintenance and operations of the completed project will be financed for the life of the
project
Identification of operational issues that could arise.
A description of operational costs including on-going support for any back-up or existing
systems that may be require to continue operation
Commitment to reporting the savings and benefits
This project increases the sustainability of the Wellness Center by reducing its operating cost over
the life of the project.
O&M of the proposed system is also critical to the GHSP system’s long-term effectiveness. The
minimal operating and maintenance cost can be funded out of its revenue stream and out of its
savings over the 25-year life of the project. This project proposes to train and educate local
maintenance staff upon startup of the new system to ensure a reasonable level of local O&M
capacity, as well as to establish a service contract with a Southeast Alaska technician or vendor
certified in GHSP maintenance to provide a higher level of O&M support when needed.
Metlakatla Indian Community is committed to meeting all reporting requirements over the entire
length of the reporting period. In addition, Remote Monitoring proposed to be installed in
conjunction with this project will enable continuous, real-time reporting of system performance.
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SECTION 7 – READINESS & COMPLIANCE WITH OTHER GRANTS
Discuss what you have done to prepare for this award and how quickly you intend to proceed with
work once your grant is approved.
Tell us what you may have already accomplished on the project to date and identify other grants
that may have been previously awarded for this project and the degree you have been able to
meet the requirements of previous grants.
A detailed GSHP Feasibility Analysis has been completed in preparation of this application and is
attached. The intent is to proceed with this project as soon as practical once design and
construction funding is available
ANTHC has maintained a robust operating budget for all four divisions. ANTHC operates dozens of
programs and projects. ATNHC receives funding from numerous well-recognized sources; this
demonstrates the capacity to manage this grant. Funders include the United States Environmental
Protection Agency, United States Department of Agriculture, Indian Health Service, Denali
Commission, Centers for Disease Control, Department of Energy, Department of Health & Human
Services, Department of Commerce, Fred Hutchinson Cancer Research Center, Mayo Clinic,
National Native American AIDS Prevention Center, Rasmuson and Robert Wood Johnson
Foundations, State of Alaska, University of Washington, and others.
SECTION 8 – LOCAL SUPPORT AND OPPOSITION
Discuss local support and opposition, known or anticipated, for the project. Include letters of
support or other documentation of local support from the community that would benefit from this
project. The Documentation of support must be dated within one year of the RFA date of July 2,
2014.
Metlakatla Indian Community is submitting the grant application. ANTHC has provided a match for
the project as well as a letter of support. The Council Annette Islands Reserve also provided a
letter of support to this project. There is no known opposition.
SECTION 9 – GRANT BUDGET
Tell us how much you are seeking in grant funds. Include any investments to date and funding
sources, how much is being requested in grant funds, and additional investments you will make as
an applicant.
9.1 Funding sources and Financial Commitment
Provide a narrative summary regarding funding source and your financial commitment to the
project
The cost estimates presented in the tables below are based on a detailed project cost estimate
developed in September 2014 by Alaska Energy Engineering LLC, a firm with extensive
experience in development, design and construction of ground source heat pump systems
throughout Southeast Alaska. Significant financial risks are associated with construction work in
rural Alaska. Contingency for potential changes in site and environmental conditions, unknown or
unforeseen issues, and logistics have been incorporated into the cost estimate.
ANTHC’s match may actually work out to be higher than shown, as this work may be performed at
ANTHC’s billing rate and may exceed the hours anticipated. Any excess time/value of the project
management in-kind match does not replace other financial cost elements of this project. The
anticipated dates of completion are assumed based on the likelihood of funding, other ongoing
work in the community, contractor availability during the various phases of the project.
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9.2 Cost Estimate for Metering Equipment
Please provide a short narrative, and cost estimate, identifying the metering equipment, and its
related use to comply with the operations reporting requirement identified in Section 3.15 of the
Request for Applications.
Installation of metering and monitoring equipment for the proposed ground source heat pump
system is estimated to cost $15,000. A KEP BTU meter will be installed equipped with a Monnit
pulse counter to track real-time energy performance and resulting cost savings of the system. This
data is to be fed through a cellular internet connection to the central Monnit server and the ANTHC
Remote Monitoring web site.
The monitoring equipment expenses will be covered under an Environmental Protection Agency
project that ANTHC was awarded to install remote monitoring systems in select rural communities
Applications MUST include a separate worksheet for each project phase that was identified in
section 2.3.2 of this application, (I. Reconnaissance, II. Feasibility and Conceptual Design, III. Final
Design and Permitting, and IV. Construction and Commissioning). Please use the tables provided
below to detail your proposed project’s budget. Be sure to use one table for each phase of your
project.
DESIGN PHASE
Milestone or Task
Anticipated
Completion
Date
RE- Fund
Grant
Funds
Grantee
Matching
Source of
Matching Funds:
Cash/In-
kind/Federal
Grants/Other
State
Grants/Other
TOTALS
(List milestones based on
phase and type of project. See
Milestone list below. )
Project Management Throughout $22,616 $2,900
In-kind 1%
ANTHC
project/program
management
$25,516
Pre-Design Coordination 11/1/2015 $15,000 $15,000
35% Design 2/1/2016 $75,714 $75,714
65% Design & Cost Estimate 5/1/2016 $88,332 $88,332
95% Design 7/1/2016 $63,095 $63,095
Final Design & Cost Estimate 8/1/2016 $25,238 $25,238
TOTALS $289,995 $2,900 $292,895
Budget Categories:
Direct Labor & Benefits $0
Travel & Per Diem $0
Equipment
Materials & Supplies
Contractual Services $289,995 $2,900 $292,895
Construction Services
Other
TOTALS $289,995 $2,900 $292,895
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CONSTRUCTION PHASE
Milestone or Task
Anticipated
Completion
Date
RE- Fund Grant
Funds
Grantee
Matching
Source of
Matching Funds:
Cash/In-
kind/Federal
Grants/Other
State
Grants/Other
TOTALS
(List milestones based on
phase and type of project. See
Milestone list below. )
Project Management Throughout $33,532
In-kind ANTHC
project/program
management
$33,532
Pre-Construction Coordination 7/1/2016 $20,000 $20,000
Phase 1 (Geothermal Loopfield) 10/1/2016 $1,482,780 $1,482,780
Phase 2 (GSHP & Facility Mods) 4/1/2017 $1,615,265 $1,615,265
Commissioning 4/10/2017 $12,000 $12,000
Final Inspection and Follow-Up 5/1/2017 $10,000 $10,000
Project Closeout 5/1/2018 $15,000 $15,000
$3,155,045 $33,532 $3,188,577
Budget Categories:
Direct Labor & Benefits
Travel & Per Diem $0
Equipment
Materials & Supplies $0
Contractual Services $3,155,045 $33,532 $3,188,577
Construction Services
Other
TOTALS $3,155,045 $33,532 $3,188,577
Metlakatla Indian Community
LETTERS OF SUPPORT
Metlakatla Indian Community
FUEL INVOICES
Metlakatla Indian Community
GOVERNING BODY
RESOLUTION
Lepquinum Wellness Center
Annette Island Service Unit
Funded by:
Final Report
December 2011
Prepared by:
Energy Audit
Table of Contents
Section 1: Executive Summary 2
Section 2: Introduction 6
Section 3: Energy Efficiency Measures 8
Section 4: Description of Systems 13
Section 5: Methodology 16
Appendix A: Energy and Life Cycle Cost Analysis 19
Appendix B: Electrical Data 25
Appendix C: Equipment Data 30
Appendix D: Abbreviations 34
Audit Team
The energy audit is performed by Alaska Energy Engineering LLC of Juneau, Alaska. The audit team
consists of:
Jim Rehfeldt, P.E., Energy Engineer
Jack Christiansen, Energy Consultant
Brad Campbell, Energy Auditor
Loras O’Toole P.E., Mechanical Engineer
Will Van Dyken P.E., Electrical Engineer
Curt Smit, P.E., Mechanical Engineer
Philip Iverson, Construction Estimator
Karla Hart, Technical Publications Specialist
Jill Carlile, Data Analyst
Grayson Carlile, Energy Modeler
Lepquinum Wellness Center 1 Energy Audit (December 2011)
Section 1
Executive Summary
An energy audit of the Lepquinum Wellness Center in Metlakatla was performed by Alaska Energy
Engineering LLC. The investment grade audit was funded by Alaska Housing Finance Corporation
(AHFC) to identify opportunities to improve the energy performance of public buildings throughout
Alaska.
The Lepquinum Wellness Center is a 23,296 square foot building that contains offices, commons,
locker rooms, a pool, a handball court, an activity space, storage, shop areas, a Native arts space, and
mechanical support spaces. The Activity Center portion of the facility is utilized by the Annette
Island Service Unit and the Annette Island School District still utilizes the lower classroom portions
of the building.
Building Assessment
The following summarizes our assessment of the building.
Envelope
The exterior of the building appears to have been fairly well maintained and should continue to
provide good service; however, we recommend that issues such as vertical drainage behind the finish
on the east wall, rusting door frames, and temporary repairs to the Dryvit siding are corrected with
permanent repairs before additional building envelope damage occurs.
The exterior doors are not thermally broken. Future exterior door replacement selection should
include this feature. Weather-stripping on exterior doors is in need of replacement throughout.
Paint and chemicals are being stored in the utilidor spaces in the basement. These spaces are not
vented and there is a potential for heavy fumes to build up, which is a code violation.
There is no arctic entry to the main lobby. This feature should be included on all buildings in this
climate as it significantly reduces the amount of outside air infiltration. Retrofitting an artic entry is
discussed in Energy Efficiency Measure (EEM) 13 in Section 3.
The exterior door to the automotive/welding spaces cannot be opened from the outside without a key.
As a result, during classroom hours the door must be propped open to provide students continual
access throughout the school day. This results in an unnecessary heat loss that can be fixed simply by
replacing the existing door operator.
The Kalwall translucent daylight system fiberglass window wall at the peak of the building provides
approximately an R-4 insulation value, yet it covers 300 square feet of wall section at the very peak of
the pool area. There is considerable heat loss from the window wall, which provides minimal
daylighting of the space because the panels are clouded due to UV exposure.
The audit team was informed by maintenance staff that the pool deck drain is leaking and is the
source of water that is running along the basement ceiling in all spaces directly below the pool.
Exposure to chlorine pool water may have started the corrosion process, but it appears that the use of
salt in the pool water may have accelerated the damage. The audit team also witnessed the tripping of
a lighting circuit breaker as a result of water draining through the pan deck material and onto a
conduit in the west utilidor space.
Lepquinum Wellness Center 2 Energy Audit (December 2011)
Heating System
The building and the pool are heated by three fuel oil boilers that provide heat to seven air handling
unit systems, fan coil units, and perimeter hydronic systems. Given that Metlakatla’s hydroelectric-
generated electricity provides a much less expensive heat source then fuel oil, it was disappointing to
the audit team to learn that the original electric boilers had been replaced with oil-fired boilers.
At the time of the audit Boiler #1 was running and the remaining two boilers were on-line and not
isolated. Circulating heating water through an unnecessary boiler results in a significant amount of
heat loss. This is covered with recommendations in Section 3, EEM-4.
The remainder of the fuel oil boiler heating system appears to be in good condition. Fairly simple
improvements can be made to improve its effectiveness and efficiency. These are outlined in Section
3, Energy Efficiency Measures.
Ventilation System
The building ventilation systems consist of seven large air handling units, one return fan, and 11
exhaust fans. The overall condition of the systems is very poor as a result of a failed pneumatic
control system and a lack of maintenance. Issues include:
Broken drive belts on the 20 HP supply fan for S-1. The motor was running without any load
and return fan R-1 was pushing air through the supply fan.
The access door to S-5 mixing box was left open, resulting in the ventilation unit pulling
return air from the fan room adjacent to the pool instead of from the handball space it serves
Filters in most every unit are well beyond their useful life. In the case of S-3 the filters
observed were so dirty that they had collapsed and were lying inside the unit.
Natatorium
Staff install a cover over the swimming pool when it is not in use. This reduces pool heat loss and
humidity. It is commendable that the staff is diligent in using the cover.
Control System
A pneumatic system is installed to control the heating and ventilation system components. Most of
the control functions have failed throughout the building resulting in an inability to properly control
the space heating and ventilating equipment. Operators are manually controlling heating water flows
through air coils to maintain thermal comfort. Our observation is that most spaces are being
overheated.
The ventilation controls have failed on all air handling units. The ventilation dampers are positioned
to full recirculation mode which does not bring sufficient ventilation air into the building to makeup
exhaust air and supply adequate indoor air quality. As a result:
The building pressure is highly negative; outdoor air flows inward whenever a door is open.
The pool is inadequately ventilated and humidity levels are high.
Moist air is likely being drawn through the envelope, which can degrade the structure and
insulation systems.
We recommend that the pneumatic system be replaced with an electrically controlled system and the
building systems retro-commissioned.
Lepquinum Wellness Center 3 Energy Audit (December 2011)
Lighting
Interior lighting consists primarily of T12 and metal halide lighting. Exterior lighting consists
primarily of metal halide lighting. The interior lighting schedule and all exterior lighting is controlled
by staff. In the smaller spaces such as classrooms, occupancy sensors are recommended to ensure
lights are turned off (several unoccupied spaces were lit during the audit).
Summary
It is the assessment of the energy audit team that the majority of the building energy losses are due to
a failed pneumatic air handling control system, and heating system controls. This has resulted in a
situation that cannot be corrected by operational modifications alone.
A building optimization analysis is recommended in which the building systems are reconfigured and
optimized for the actual use. It is likely the number of systems can be reduced and the building set up
to operate more efficiently. The analysis should evaluate if there is incentive to reinstall electric
boilers to take advantage of favorable rates when there is low-cost hydroelectric power.
Replacement of the control system is a necessary step toward improving the indoor air quality,
thermal comfort, and energy efficiency of the building. Commissioning the building is needed to
ensure the systems operate properly and reduce the energy footprint of the building.
While a complete optimization analysis is beyond the scope of this energy audit, several EEMs show
that there is considerable financial incentive to replace the control system and install electric boilers.
Optimizing the systems will further improve the economics.
Energy Efficiency Measures (EEMs)
All buildings have opportunities to improve their energy efficiency. The energy audit revealed several
opportunities in which an efficiency investment will result in a net reduction in long-term operating
costs.
Behavioral and Operational EEMs
The following EEMs require behavioral and operational changes in the building use. The savings are
not readily quantifiable but these EEMs are highly recommended as low-cost opportunities that are a
standard of high performance buildings.
EEM-1: Weather-strip Doors
EEM-2: Turn Off Lighting
EEM-3: Proper Thermostat Setpoints
Lepquinum Wellness Center 4 Energy Audit (December 2011)
High and Medium Priority EEMs
The following EEMs are recommended for investment. They are ranked by life cycle savings to
investment ratio (SIR). This ranking method places a priority on low cost EEMs which can be
immediately funded, generating energy savings to fund higher cost EEMs in the following years.
Negative values, in parenthesis, represent savings.
25-Year Life Cycle Cost Analysis
Investment Operating Energy Total SIR
High Priority
EEM-4: Isolate Standby Boilers $400 $16,300 ($151,700) ($135,000) 338.5
EEM-5: Perform Boiler Combustion Test $700 $15,000 ($64,700) ($49,000) 71.0
EEM-6: Replace Aerators and Showerheads $2,300 $0 ($32,600) ($30,300) 14.2
Medium Priority
EEM-7: Install Boiler Room Heat Recovery $25,800 $4,100 ($75,900) ($46,000) 2.8
EEM-8: Install Modulating Boiler Burners $63,900 $17,000 ($194,100) ($113,200) 2.8
EEM-9: Upgrade Components/Optimize HVAC $843,600 $17,000 ($2,040,700) ($1,180,100) 2.4
EEM-10: Upgrade Motors $2,200 $0 ($4,500) ($2,300) 2.0
EEM-11: Replace Single-Pane Glazing $6,000 $0 ($7,300) ($1,300) 1.2
EEM-12: Upgrade Transformer $20,900 $0 ($23,300) ($2,400) 1.1
Totals* 965,800 $69,400 ($2,594,800) ($1,559,600) 2.6
*The analysis is based on each EEM being independent of the others. While it is likely that some
EEMs are interrelated, an isolated analysis is used to demonstrate the economics because the audit
team is not able to predict which EEMs an Owner may choose to implement. If several EEMs are
implemented, the resulting energy savings is likely to differ from the sum of each EEM projection.
Summary
The energy audit revealed numerous opportunities for improving the energy performance of the
building. It is recommended that the behavioral and high priority EEMs be implemented now to
generate energy savings from which to fund the medium priority EEMs.
Another avenue to consider is to borrow money from AHFCs revolving loan fund for public
buildings. AHFC will loan money for energy improvements under terms that allow for paying back
the money from the energy savings. More information on this option can be found online at
http://www.ahfc.us/loans/akeerlf_loan.cfm.
Lepquinum Wellness Center 5 Energy Audit (December 2011)
Section 2
Introduction
This report presents the findings of an energy audit of the Lepquinum Wellness Center located in
Metlakatla, Alaska. The purpose of this investment grade energy audit is to evaluate the infrastructure
and its subsequent energy performance to identify applicable energy efficiencies measures (EEMs).
The energy audit report contains the following sections:
Introduction: Building use and energy consumption.
Energy Efficiency Measures: Priority ranking of the EEMs with a description, energy
analysis, and life cycle cost analysis.
Description of Systems: Background description of the building energy systems.
Methodology: Basis for how construction and maintenance cost estimates are derived and
the economic and energy factors used for the analysis.
BUILDING USE
The Metlakatla Wellness Center is a 23,296 square foot building that contains offices, commons,
locker rooms, a pool, a handball court, an activity space, storage, shop areas, a Native arts space, and
mechanical support spaces.
The Wellness Center portion of the facility is used by the Annette Island Service Unit. The Wellness
Center facilities are visited by approximately 40 people daily, 50% of whom use the pool. From
February to May, swimming lessons are given through the school to approximately 100 students per
week. The facilities are also rented 3-4 times from August to May and closed for June and July.
The lower classroom portions of the building are used by the Annette Island School District. The
School Automotive and Welding Shop facilities are used full time during the school year and for 2
hours/day for a one-month period during the summer.
Operating hours are:
Pool: 6:00 am – 8:00 pm (M-F)
Shops: 8:00 am – 3:00 pm (M-F)
Building History
1982 – Original Construction
2002 – Electric boilers replaced with fuel oil boilers
Lepquinum Wellness Center 6 Energy Audit (December 2011)
Energy Consumption
The building energy sources include an electric service and a fuel oil tank. Fuel oil is used for the
majority of the heating loads and domestic hot water while electricity serves all other loads. The
following table shows annual energy use and cost.
Annual Energy Consumption and Cost
Source Consumption Cost Energy, MMBtu
Electricity 502,525 kWh $55,200 1,710 20%
Fuel Oil 49,500 Gallons $215,300 6,720 80%
Totals - $270,500 8,430 100%
Electricity
This chart shows electrical energy use
from 2007 to 2010. Electricity use has
been relatively consistent over the past
four years. Use drops in the summer when
the building is shutdown.
The effective cost—energy costs plus
demand charges—is 11.0¢ per kWh.
Fuel Oil
Fuel oil use has been consistent at 47,500 gallons per year.
Heating Comparison
The current cost of fuel oil in Metlakatla is $4.35
per gallon. Assuming a fuel oil conversion
efficiency of 70% and an electric boiler
conversion efficiency of 95%, oil heat at $4.35 per
gallon equates to $33.90 per MMBtu. Since the
current cost of electricity is 11.0¢ per kWh
which equates to $44.87 per MMBtu, fuel oil
heat is more expensive than electric heat.
Lepquinum Wellness Center 7 Energy Audit (December 2011)
Section 3
Energy Efficiency Measures
The following energy efficiency measures (EEMs) were identified during the energy audit. The
EEMs are priority ranked and, where applicable, subjected to energy and life cycle cost analysis.
Appendix A contains the energy and life cycle cost analysis spreadsheets.
The EEMs are grouped into the following prioritized categories:
Behavioral or Operational: EEMs that require minimal capital investment but require
operational or behavioral changes. The EEMs provide a life cycle savings but an analysis is
not performed because the guaranteed energy savings is difficult quantify.
High Priority: EEMs that require a small capital investment and offer a life cycle savings.
Also included in this category are higher cost EEMs that offer significant life cycle savings.
Medium Priority: EEMs that require a significant capital investment to provide a life cycle
savings. Many medium priority EEMs provide a high life cycle savings and offer substantial
incentive to increase investment in building energy efficiency.
Low Priority: EEMs that will save energy but do not provide a life cycle savings.
BEHAVIORAL OR OPERATIONAL
The following EEMs are recommended for implementation. They require behavioral or operational
changes that can occur with minimal investment to achieve immediate savings. These EEMs are not
easily quantified by analysis because they cannot be accurately predicted. They are recommended
because they offer a life cycle savings, represent good practice, and are accepted features of high
performance buildings.
EEM-1: Weather-strip Doors
Purpose: The weather stripping on most of the exterior doors is in poor condition. Energy will be
saved if doors are properly weather-stripped to reduce infiltration.
Scope: Replace weather stripping on exterior doors.
EEM-2: Turn Off Lighting
Purpose: The lighting was found to be left on in several of the school areas of the building.
Energy will be saved if the staff is made aware of the need to turn off the lighting when
rooms are unoccupied.
Scope: Instruct staff on the importance of turning off the lighting when rooms are vacant.
Lepquinum Wellness Center 8 Energy Audit (December 2011)
EEM-3: Proper Thermostat Setpoints
Purpose: The temperature in many of the rooms was much higher than needed to control
humidity and provide thermal comfort. Until the control system is made operational,
energy will be saved if staff monitors temperatures and manually adjusts the heating
water flow as outdoor temperature varies.
Scope: Increase monitoring of the room temperatures and manually adjust the heating water
flow. Consideration should also be given to reducing the heating flow over the
weekends to all spaces, except the Natatorium which should remain warm to control
humidity.
HIGH PRIORITY
The following EEMs are recommended for implementation because they are low cost measures that
have a high savings to investment ratio. The EEMs are listed from highest to lowest priority. Negative
values, in parenthesis, represent savings.
EEM-4: Isolate Standby Boilers
Purpose: Only one boiler is needed to meet the heating load. The standby boilers are not isolated
from the heating system and remain hot. Circulating heating water through the standby
boilers results in jacket losses due to the standby boilers acting as a heat sink. Energy
will be saved by disabling and isolating the standby boilers.
Scope: Disable and isolate the standby boilers by closing the heating return isolation valve.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$960 ($5,350) ($4,390) $400 $16,300 ($151,700) ($135,000) 338.5
EEM-5: Perform a Boiler Combustion Test
Purpose: Operating the boiler with an optimum amount of excess air will improve combustion
efficiency. Annual cleaning followed by a combustion test is recommended.
Scope: Annually clean and perform a combustion test on the boiler.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$880 ($2,280) ($1,400) $700 $15,000 ($64,700) ($49,000) 71.0
EEM-6: Replace Lavatory Aerators and Showerheads
Purpose: Energy and water will be saved by replacing the lavatory aerators and showerheads
with low-flow models.
Scope: Replace lavatory aerators and showerheads with water-conserving fixtures.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$0 ($2,080) ($2,080) $2,300 $0 ($32,600) ($30,300) 14.2
Lepquinum Wellness Center 9 Energy Audit (December 2011)
MEDIUM PRIORITY
Medium priority EEMs will require planning and a higher level of investment. They are
recommended because they offer a life cycle savings. The EEMs are listed from highest to lowest
priority. Negative values, in parenthesis, represent savings.
EEM-7: Install Boiler Room Heat Recovery
Purpose: The boiler room utilizes inlet and outlet grills to exhaust air outside the space. Energy
will be saved if the heat generated from the boiler room is transferred to the welding
shop.
Scope: Install a heat recovery unit. Recirculate boiler room air on the hot side of the heat
recovery cell and welding room air on the cold side.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$240 ($2,460) ($2,220) $25,800 $4,100 ($75,900) ($46,000) 2.8
EEM-8: Install Modulating Boiler Burners
Purpose: The boiler burners do not incorporate modulating burner controls. Energy will be saved
if the boiler firing rate modulated as necessary.
Scope: Install modulating burners on the boilers.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$1,000 ($6,850) ($5,850) $63,900 $17,000 ($194,100) ($113,200) 2.8
Lepquinum Wellness Center 10 Energy Audit (December 2011)
EEM-9: Upgrade Components / Optimize HVAC Systems
Purpose: The building is currently operating inefficiently due to a failed control system. The
system must be replaced to regain control of the systems so there is good thermal
comfort and adequate indoor air quality. Energy will be saved if the systems are then
optimized.
Scope: Optimize the HVAV systems to decrease energy consumption while increasing thermal
comfort and maintaining adequate indoor air quality.
- Heating Plant: Install an electric boiler to take advantage of favorable electric
rates. Much of the electric distribution infrastructure is in-place from when the
building was electrically heated.
- Hydronic Heat Distribution: Convert the hydronic heating system to variable speed
pumping.
- Natatorium S-1: Reduce air flow during unoccupied periods; modulate ventilation
air with humidity levels; verify proper performance of the heat exchanger.
- Locker/Lobby S-2: Modulate air flow with humidity level; turn off during
unoccupied periods; verify proper performance of the heat exchanger.
- Wood/Machine S-3: Modulate air flow with cooling loads; modulate ventilation
air with occupancy; turn off during unoccupied periods.
- Handball Court S-6: Modulate air flow with cooling loads; modulate ventilation
air with occupancy; turn off during unoccupied periods.
- Activity Center S-7: Modulate air flow with cooling loads; modulate ventilation
air with occupancy; turn off during unoccupied periods.
- Controls: Replace the failed pneumatic control system with a DDC system. This is
essential to fully optimizing the building.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$1,000 ($64,120) ($63,120) $843,600 $17,000 ($2,040,700) ($1,180,100) 2.4
EEM-10: Upgrade Motors
Purpose: Equipment inspections identified two motors that are not operating efficiently.
Installing properly sized NEMA Premium motors will save energy.
Scope: Replace the pool pump motor and the return fan R-1 motor.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$0 ($290) ($290) $2,200 $0 ($4,500) ($2,300) 2.0
Lepquinum Wellness Center 11 Energy Audit (December 2011)
EEM-11: Replace Single-Pane Glazing
Purpose: Single-pane glazing exists in the east and west window entry window wall curtains and
in the east entry door. Energy will be saved if the single-pane glazing is removed and
replaced with energy efficient double-pane glazing.
Scope: Replace single-pane glazing with energy efficient double-pane glazing.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$0 ($260) ($260) $6,000 $0 ($7,300) ($1,300) 1.2
EEM-12: Upgrade Transformer
Purpose: The 150 kVA transformer in the electrical room is not TP-1 rated. Energy will be saved
if this less-efficient transformer is replaced with an energy efficient model that
complies with NEMA Standard TP 1-2001.
Scope: Replace less-efficient transformer with a NEMA Standard TP 1-2001compliant model.
Annual Costs Life Cycle Costs
Operating Energy Total Investment Operating Energy Total SIR
$0 ($1,480) ($1,480) $20,900 $0 ($23,300) ($2,400) 1.1
LOW PRIORITY
Low priority EEMs will not produce a life cycle savings and are not recommended.
EEM-13: Install Arctic Entrance
Purpose: Energy will be saved if the main entrance is converted to an arctic entrance.
Analysis: Arctic entrances require passage through two doors to enter/leave the building. With
sufficient distance between them, one door closes before the other opens, sealing the
entrance and reducing infiltration. Arctic entrances are a standard in high performance
buildings.
Previous analysis has shown that the cost of adding an arctic entrance with ADA door
operators will not be offset by energy savings. This EEM is not recommended.
Lepquinum Wellness Center 12 Energy Audit (December 2011)
Section 4
Description of Systems
ENERGY SYSTEMS
This section provides a general description of the building systems. Energy conservation
opportunities are addressed in Section 3, Energy Efficiency Measures.
Building Envelope
R-value
Component Description (inside to outside) Existing Optimal
Exterior Wall 1/2” Gyp. Bd, 2”x 6” wood studs w/ R-19 batt, 1/2” plywood,
2” polystyrene insulations, aggregate finish R-18 R-26
Roof 2” wood, 5” polystyrene insulation, ½” air, 1/2” plywood R-22 R-46
Floor Slab 4” Concrete slab-on-grade R-10 R-10
Foundation 8” concrete with 2” rigid insulation on exterior surface R-10 R-20
Windows vinyl double pane R-1.5 R-5
Doors Steel doors. Doors w/glazing were single pane. R-1.5 R-5
Heating System
The building and the pool are heated by three fuel oil boilers that provide heat to seven air handling
unit systems, fan coil units, and perimeter hydronic systems. The heating system has the following
pumps:
P-1 is a pool circulation pump
P-2 is a chlorination pump
P-3 is the 140°F domestic hot water circulation pump
P-4 is the tempered domestic hot water circulation pump
P-5 is the pool heating pump
P-6 is the domestic hot water heating pump
P-7 is the building heating pump
P-8 is the building heating pump
Lepquinum Wellness Center 13 Energy Audit (December 2011)
Ventilation Systems
Area Fan System Description
Natatorium S-1 Constant volume air handling unit consisting of a pre-heating
coil, heating coil, mixing box, filter section, and supply fan,
and a return fan
Locker Room/Lobby S-2 Constant volume air handling unit consisting of a pre-heating
coil, heating coil, mixing box, filter section, and supply fan,
and a return fan
Wood Shop/Machine Shop S-3 Constant volume air handling unit consisting of a heating coil,
filter section, and supply fan
Auto Shop/Hi-Bay S-4 Constant volume air handling unit consisting of a heating coil,
filter section, and supply fan
Welding S-5 Constant volume air handling unit consisting of a heating coil,
filter section, and supply fan
Handball S-6 Constant volume air handling unit consisting of a heating coil,
filter section, and supply fan
Activity Center S-7 Constant volume air handling unit consisting of a heating coil,
filter section, mixing box, and supply fan
Swimming Pool R-1 20,000 cfm return fan for S-1
Locker Room/Lobby EF-2 3,600 cfm 1 ½ HP exhaust fan
Locker Room/Lobby EF-3 6,000 cfm 3 HP exhaust fan
Welding EF-4 1,800 cfm ¾ HP
Welding EF-5 1,800 cfm ¾ HP
Sawdust System EF-6 2,600 cfm 10 HP exhaust fan
Auto/Hi-Bay EF-7 3,600 cfm 1 ½ HP exhaust fan
Spray Paint EF-8 1,500 cfm 1 HP exhaust fan
Toilets EF-9 800 cfm ¾ HP exhaust fan (belt was broken during inspection)
Finishing EF-10 1,500 cfm 1 HP exhaust fan
Snack Bar EF-11 800 cfm ¾ HP exhaust fan
Domestic Hot Water System
The domestic hot water heating system consists of two indirect tanks that supply domestic hot water
to the fixtures. The plumbing fixtures are not water-conserving types; replacement of lavatory
aerators and showerheads is recommended.
Automatic Control System
The building has a pneumatic control system that has reached the end of its service life. The system
has completely failed — none of the operators are working. The system requires substantial repair or,
preferably, a replacement with a direct digital control (DDC) system.
Lepquinum Wellness Center 14 Energy Audit (December 2011)
Lighting
Interior lighting consists primarily of T12 and metal halide lighting. Exterior lighting consists
primarily of metal halide lighting. The interior lighting schedules and all exterior lighting, including
the perimeter lighting, is controlled by staff. As a result, lighting operational hours and subsequent
electrical demand are kept to a minimum with the existing fixtures. Lighting upgrades are not
recommended to the interior spaces of the building because an analysis determined the majority of
that fixture heat is useful toward heating the building.
Electric Equipment
In addition to the building and pool support infrastructure, additional electric equipment included
some residential cooking equipment and a new sauna in the pool area, and fabrication and welding
equipment in the school shop spaces.
Lepquinum Wellness Center 15 Energy Audit (December 2011)
Section 5
Methodology
Information for the energy audit was gathered through on-site observations, review of construction
documents, and interviews with operation and maintenance personnel. The EEMs are evaluated using
energy and life cycle cost analyses and are priority ranked for implementation.
Energy Efficiency Measures
Energy efficiency measures are identified by evaluating the building’s energy systems and comparing
them to systems in modern, high performance buildings. The process for identifying the EEMs
acknowledges the realities of an existing building that was constructed when energy costs were much
lower. Many of the opportunities used in modern high performance buildings—highly insulated
envelopes, variable capacity mechanical systems, heat pumps, daylighting, lighting controls, etc.—
simply cannot be economically incorporated into an existing building.
The EEMs represent practical measures to improve the energy efficiency of the buildings, taking into
account the realities of limited budgets. If a future major renovation project occurs, additional EEMs
common to high performance buildings should be incorporated.
Life Cycle Cost Analysis
The EEMs are evaluated using life cycle cost analysis which determines if an energy efficiency
investment will provide a savings over a 25-year life. The analysis incorporates construction,
replacement, maintenance, repair, and energy costs to determine the total cost over the life of the
EEM. Future maintenance and energy cash flows are discounted to present worth using escalation
factors for general inflation, energy inflation, and the value of money. The methodology is based on
the National Institute of Standards and Technology (NIST) Handbook 135 – Life Cycle Cost
Analysis.
Life cycle cost analysis is preferred to simple payback for facilities that have long—often perpetual—
service lives. Simple payback, which compares construction cost and present energy cost, is
reasonable for short time periods of 2-4 years, but yields below optimal results over longer periods
because it does not properly account for the time value of money or inflationary effects on operating
budgets. Accounting for energy inflation and the time value of money properly sums the true cost of
facility ownership and seeks to minimize the life cycle cost.
Construction Costs
The cost estimates are derived based on a preliminary understanding of the scope of each EEM as
gathered during the walk-through audit. The construction costs for in-house labor are $60 per hour for
work typically performed by maintenance staff and $110 per hour for contract labor.
The cost estimate assumes the work will be performed as part of a larger renovation or energy
efficiency upgrade project. When implementing EEMs, the cost estimate should be revisited once the
scope and preferred method of performing the work has been determined. It is possible some EEMs
will not provide a life cycle savings when the scope is finalized.
Lepquinum Wellness Center 16 Energy Audit (December 2011)
Maintenance Costs
Maintenance costs are based on in-house or contract labor using historical maintenance efforts and
industry standards. Maintenance costs over the 25-year life of each EEM are included in the life cycle
cost calculation spreadsheets and represent the level of effort to maintain the systems.
Energy Analysis
The energy performance of an EEM is evaluated within the operating parameters of the building. A
comprehensive energy audit would rely on a computer model of the building to integrate building
energy systems and evaluate the energy savings of each EEM. This investment grade audit does not
utilize a computer model, so energy savings are calculated with factors that account for the dynamic
operation of the building. Energy savings and costs are estimated for the 25-year life of the EEM
using appropriate factors for energy inflation.
Prioritization
Each EEM is prioritized based on the life cycle savings to investment ratio (SIR) using the following
formula:
Prioritization Factor = Life Cycle Savings / Capital Costs
This approach factor puts significant weight on the capital cost of an EEM, making lower cost EEMs
more favorable.
Lepquinum Wellness Center 17 Energy Audit (December 2011)
Economic Factors
The following economic factors are significant to the findings.
Nominal Interest Rate: This is the nominal rate of return on an investment without regard to
inflation. The analysis uses a rate of 5%.
Inflation Rate: This is the average inflationary change in prices over time. The analysis uses
an inflation rate of 2%.
Economic Period: The analysis is based on a 25-year economic period with construction
beginning in 2010.
Fuel Oil
Fuel oil currently costs $4.35 per gallon for a seasonally adjusted blend of #1 and #2 fuel oil. The
analysis is based on 6% fuel oil inflation which has been the average for the past 20-years.
Electricity
Electricity is supplied by Metlakatla Power and Light. The building is billed for electricity under the
Public Building rate. This rate charges for both electrical consumption (kWh) and peak electric
demand (kW). Electrical consumption is the amount of energy consumed and electric demand is the
rate of consumption.
Metlakatla Power and Light Public Building Rate
Electricity ($ / kWh ) $0.0920
Cost of Power Adjustment ($ / kWh) $0.0000
Demand ( $ / kW ) $7.00
Customer Charge ( $ / mo ) $36.30
Summary
The following table summarizes the energy and economic factors used in the analysis.
Summary of Economic and Energy Factors
Factor Rate or Cost Factor Rate or Cost
Nominal Discount Rate 5% Electricity $0.11/kwh
General Inflation Rate 2% Electricity Inflation 2%
Fuel Oil Cost (2012) $4.61/gal Fuel Oil Inflation 6%
Lepquinum Wellness Center 18 Energy Audit (December 2011)
Appendix A
Energy and Life Cycle Cost Analysis
Lepquinum Wellness Center 19 Energy Audit (December 2011)
Alaska Energy Engineering LLC Energy and Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Activity Center
Basis
Economic
Study Period (years) 25 Nominal Discount Rate 5%General Inflation 2%
Energy
2011 $/gal Fuel Inflation 2012 $/gal
Fuel Oil $4.35 6% $4.61
Electricity $/kWh (2011)$/kW (2011)Inflation $/kWh (2012)$/kW (2012)
w/ Demand Charges $0.092 $7.00 1% $0.093 $7.07
w/o Demand Charges $0.110 -1% $0.111 -
EEM-4: Isolate Standby Boilers
Energy Analysis
Boiler Input MBH Loss %Loss MBH Hours, exist Hours, new kBtu η boiler Gallons
B-1 2,062 -0.50% -10 8,760 1,500 74,847 68%795
B-2 1,617 -0.50% -8 5,760 1,500 34,435 68%366
-18 109,282 1,160
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Disable and isolate standby boilers 0 4 ea $110 $440
Annual Costs
Manually sequence boilers 1 - 25 16 110 $60.00 $16,346
Energy Costs
Fuel Oil 1 - 25 -1,160 gal $4.61 ($151,654)
Net Present Worth ($134,900)
EEM-5: Perform Boiler Combustion Test
Energy Analysis
Annual Gal % Savings Savings, Gal
49,500 -1.0% -495
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Purchase combustion analyzer 0 1 LS $700 $700
Annual Costs
Clean and Combustion test 1 - 25 8 hrs $110.00 $14,984
Energy Costs
Fuel Oil 1 - 25 -495 gal $4.61 ($64,695)
Net Present Worth ($49,000)
Lepquinum Wellness Center 20 Energy Audit (December 2011)
Alaska Energy Engineering LLC Energy and Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Activity Center
EEM-6: Replace Aerators and Showerheads
Energy Analysis
Fixture Existing Proposed Uses/day Days Water,Gals % HW kBTU kWh
Showerhead 20.0 10.0 40 180 -72,000 80% -38,431 -11,263
Lavatories 0.3 0.2 40 198 -1,426 80% -761 -223
-73,426 -11,486
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Replace lavatory aerators 0 14 ea $35 $490
Replace showerhead 0 18 ea $100 $1,800
Energy Costs
Water 1 - 25 -73 kgals $10.960 ($12,625)
Electric Energy (Effective Cost)1 - 25 -11,486 kWh $0.111 ($20,020)
Net Present Worth ($30,400)
EEM-7: Install Boiler Room Heat Recovery
Energy Analysis
Heat Recovery
Boiler gph Jacket Loss MBH Hours Loss, kBtu Factor Recovery, kBtu η boiler Gallons
-16 0.75% -17 8,760 -149,028 50% -74,514 84%-640
Fan Energy
MBH ΔT CFM ΔP η, fan # Fans Hours kW kWh
17 25 630 1.50 35%2 7,500 0.6 4,752
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
1500 CFM HRV 0 1 LS $8,000 $8,000
Ductwork 0 1 LS $5,000 $5,000
Electrical 0 1 LS $1,500 $1,500
Estimating contingency 0 15%$2,175
Overhead & profit 0 30%$5,003
Design fees 0 10%$2,168
Project management 0 8%$1,908
Annual Costs
HRV maintenance 1 - 25 4 hrs $60.00 $4,086
Energy Costs
Electric Energy 1 - 25 4,752 kWh $0.093 $6,927
Electric Demand 1 - 25 7.6 kW $7.07 $843
Fuel Oil 1 - 25 -640 gal $4.61 ($83,709)
Net Present Worth ($46,100)
Gallons per Use
Lepquinum Wellness Center 21 Energy Audit (December 2011)
Alaska Energy Engineering LLC Energy and Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Activity Center
EEM-8: Install Modulating Boiler Burners
Energy Analysis
Annual Gal % Savings Savings, Gal
49,500 -3.0% -1,485
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Install modulating burner 0 3 LS $12,000 $36,000
Estimating contingency 0 15%$5,400
Overhead & profit 0 30% $12,420
Design fees 0 10%$5,382
Project management 0 8%$4,736
Annual Costs
Burner maintenance 1 - 25 2 LS $500.00 $17,027
Energy Costs
Fuel Oil 1 - 25 -1,485 gal $4.61 ($194,085)
Net Present Worth ($113,100)
Lepquinum Wellness Center 22 Energy Audit (December 2011)
Alaska Energy Engineering LLC Energy and Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Activity Center
EEM-9: Optimize HVAC Systems
Energy Analysis
Fan Case CFM ΔP η, fan BHP η, motor kW Hours kWh
S-1 Existing -20,000 2.75 55% -16 93% -13 8,760 -110,554
Optimized 15,000 2.00 55%9 93%7 8,760 60,302
R-1 Existing -20,000 0.75 55%-4 93%-3 8,760 -30,151
Optimized 15,000 0.50 55%2 93%2 8,760 15,076
S-2 Existing -8,700 3.50 55%-9 91%-7 8,760 -62,552
Optimized 6,500 2.75 55%5 91%4 3,000 12,575
S-3 Existing -6,000 3.00 55%-5 89%-4 8,760 -37,808
Optimized 4,000 2.00 55%2 93%2 1,440 2,643
S-6 Existing -2,400 1.25 50%-1 86%-1 8,760 -7,215
Optimized 1,500 0.75 50%0 86%0 420 130
S-7 Existing -3,600 1.00 50%-1 88%-1 8,760 -8,412
Optimized 1,800 0.75 50%0 88%0 1,920 691
-14 -165,275
Ventilation SA CFM MAT T,room MBH Hours kBtu η boiler Gallons
S-1 Existing -20,000 60 90 -648 1,800 -1,166,400 68% -12,385
Optimized 15,000 65 90 405 1,800 729,000 68%7,740
S-2 Existing -8,700 40 78 -357 1,800 -642,686 68%-6,824
Optimized 6,500 40 78 267 1,800 480,168 68%5,098
S-3 Existing -6,000 60 70 -65 1,800 -116,640 68%-1,238
Optimized 4,000 62 90 121 1,800 217,728 68%2,312
S-6 Existing -2,400 64 90 -67 1,800 -121,306 68%-1,288
Optimized 1,500 66 90 39 1,800 69,984 68%743
S-7 Existing -3,600 60 90 -117 1,800 -209,952 68%-2,229
Optimized 1,800 65 90 49 1,800 87,480 68%929
-672,624 -7,142
FO Use, gal kBtu Savings kBtu %gallons Reduction
Fuel Oil Boilers 49,500 4,661,910 -672,624 3,989,286 75% 31,769 -17,731
kBtu %kBtu kWh
Electric Boilers 3,989,286 25% 997,322 307,682
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Replace control system 0 120 pts $2,000 $240,000
Install electric boiler 0 1 LS $175,000 $175,000
Install VFD 0 8 LS $7,500 $60,000
Estimating contingency 0 15% $71,250
Overhead & profit 0 30% $163,875
Design fees 0 10% $71,013
Project management 0 8% $62,491
Annual Costs
DDC Maintenance 1 - 25 1 LS $1,000.00 $17,027
Energy Costs
Electric Energy 1 - 25 -165,275 kWh $0.093 ($240,921)
Electric Demand 1 - 25 -168 kW $7.07 ($18,635)
Electric Energy (Effective Cost)1 - 25 307,682 kWh $0.111 $536,260
Fuel Oil 1 - 25 -17,731 gal $4.61 ($2,317,438)
Net Present Worth ($1,180,100)
Lepquinum Wellness Center 23 Energy Audit (December 2011)
Alaska Energy Engineering LLC Energy and Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Activity Center
EEM-10: Upgrade Motors
Energy Analysis
Equip Number HP ηold ηnew kW Hours kWh
Pool 1 1.5 78.5% 86.5% -0.09 8,760 -784
R-1 1 5 83.3% 89.5% -0.23 8,760 -2,026
-0.3 -2,810
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs HP
Replace motor 1.5 0 1 LS 955 $955
Replace motor 5 0 1 LS 1,290 $1,290
Energy Costs
Electric Energy 1 - 25 -2,810 kWh $0.093 ($4,096)
Electric Demand 1 - 25 -4 kW $7.07 ($427)
Net Present Worth ($2,300)
EEM-11: Replace Single-Pane Glazing
Energy Analysis
Component Area R,exist R,new ΔT MBH kBtu η boiler Gallons
Windows 45 1.0 3.0 20 -0.6 -5,256 68%-56
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Replace window glazing unit 0 45 sqft $75 $3,375
Estimating contingency 0 15%$506
Overhead & profit 0 30%$1,164
Design fees 0 10%$505
Project management 0 8%$444
Annual Costs
1 - 25 $60.00 $0
1 - 25 $60.00 $0
1 - 25 $50.00 $0
Energy Costs
Fuel Oil 1 - 25 -56 gal $4.61 ($7,294)
Net Present Worth ($1,300)
EEM-12: Upgrade Transformer
Energy Analysis
Location kVA ηold ηnew KW kWh
Electric Room 150 97.8% 98.9% -1.65 -14,454
Life Cycle Cost Analysis Year Qty Unit Base Cost Year 0 Cost
Construction Costs
Replace transformer, kVA 150 0 1 LS $15,300 $15,300
Estimating contingency 0 5%$765
Overhead & profit 0 30%$4,820
Annual Costs
1 - 25 $60.00 $0
1 - 25 $60.00 $0
1 - 25 $50.00 $0
Energy Costs
Electric Energy 1 - 25 -14,454 kWh $0.093 ($21,070)
Electric Demand 1 - 25 -20 kW $7.07 ($2,196)
Net Present Worth ($2,400)
Lepquinum Wellness Center 24 Energy Audit (December 2011)
Appendix B
Energy and Utility Data
Lepquinum Wellness Center 25 Energy Audit (December 2011)
Alaska Energy Engineering LLC Billing Data
25200 Amalga Harbor Road Tel/Fax: 907-789-1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Metlakatla Activity Center
ELECTRIC RATE
Metlakatla Power and Light Public Building Rate
Electricity ($ / kWh )$0.0920
Cost of Power Adjustment ($ / kWh)$0.0000
Demand ( $ / kW )$7.00
Customer Charge ( $ / mo )$36.30
Sales Tax ( % )0.0%
ELECTRICAL CONSUMPTION AND DEMAND
kWh kW kWh kW kWh kW kWh kW
Jan 48,750 98 52,000 104 52,500 101 43,500 104 49,188
Feb 45,900 98 46,350 104 40,250 101 46,000 104 44,625
Mar 43,200 96 51,200 104 49,750 101 43,700 104 46,963
Apr 48,350 97 47,250 104 44,700 101 42,550 104 45,713
May 40,750 98 44,000 103 40,700 101 46,900 104 43,088
Jun 37,800 98 38,600 103 32,950 101 32,500 66 35,463
Jul 37,700 98 32,950 103 29,150 101 29,250 54 32,263
Aug 24,900 98 39,400 100 40,800 101 37,400 88 35,625
Sep 28,450 70 45,600 93 43,300 101 43,500 95 40,213
Oct 33,400 77 46,500 94 44,600 101 47,200 102 42,925
Nov 38,300 98 45,850 101 43,750 101 40,950 97 42,213
Dec 46,300 104 44,950 101 42,700 101 43,050 60 44,250
Total 473,800 534,650 505,150 496,500 502,525
Average 39,483 94 44,554 101 42,096 101 41,375 90 41,877
Load Factor 58% 104 61% 104 57% 101 63% 104 103
ELECTRIC BILLING DETAILS
Month Energy Demand Cust & Tax Total Energy Demand Cust & Tax Total % Change
Jan $4,830 $725 $36 $5,591 $4,002 $704 $36 $4,742 -15.2%
Feb $3,703 $725 $36 $4,464 $4,232 $704 $36 $4,972 11.4%
Mar $4,577 $725 $36 $5,338 $4,020 $704 $36 $4,760 -10.8%
Apr $4,112 $725 $36 $4,873 $3,915 $704 $36 $4,654 -4.5%
May $3,744 $725 $36 $4,505 $4,315 $704 $36 $5,055 12.2%
Jun $3,031 $725 $36 $3,792 $2,990 $704 $36 $3,730 -1.6%
Jul $2,682 $725 $36 $3,443 $2,691 $704 $36 $3,431 -0.3%
Aug $3,754 $725 $36 $4,514 $3,441 $704 $36 $4,181 -7.4%
Sep $3,984 $725 $36 $4,744 $4,002 $704 $36 $4,742 -0.1%
Oct $4,103 $725 $36 $4,864 $4,342 $704 $36 $5,082 4.5%
Nov $4,025 $725 $36 $4,786 $3,767 $704 $36 $4,507 -5.8%
Dec $3,928 $725 $36 $4,689 $3,961 $704 $36 $4,700 0.2%
Total $ 46,474 $ 8,694 $ 436 $ 55,603 $ 45,678 $ 8,442 $ 436 $ 54,556 -1.9%
Average $ 3,873 $ 725 $ 36 $ 4,634 $ 3,807 $ 704 $ 36 $ 4,546 -1.9%
Cost ($/kWh)$0.110 84% 15% 1% $0.110 -0.2%
Electrical costs are based on the current electric rates.
2009 2010
2010Month200720082009 Average
Lepquinum Wellness Center 26 Energy Audit (December 2011)
Alaska Energy Engineering LLC Annual Electric Consumption
25200 Amalga Harbor Road Tel/Fax: 907-789-1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Metlakatla Activity Center
0
10,000
20,000
30,000
40,000
50,000
60,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecElectric Use (kWh)Month of the Year
Electric Use History
2007
2008
2009
2010
0
20
40
60
80
100
120
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecElectric Demand (kW)Month of the Year
Electric Demand History
2007
2008
2009
2010
Lepquinum Wellness Center 27 Energy Audit (December 2011)
Alaska Energy Engineering LLC Electric Cost
25200 Amalga Harbor Road Tel/Fax: 907-789-1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Metlakatla Activity Center 2010
$ 0
$ 1,000
$ 2,000
$ 3,000
$ 4,000
$ 5,000
$ 6,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecElectric Cost (USD)Month of the Year
Electric Cost Breakdown
2010
Electric Use (kWh) Costs
Electric Demand (kW) Costs
Customer Charge and Taxes
0
20
40
60
80
100
120
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
50,000
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Electric Demand (kW)Electric Use (kWh)Month of the Year
Electric Use and Demand Comparison
2010
Electric Use
Electric Demand
Lepquinum Wellness Center 28 Energy Audit (December 2011)
Alaska Energy Engineering LLC
25200 Amalga Harbor Road Tel/Fax: 907-789-1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Annual Energy Consumption and Cost
Energy Cost $/MMBTU Area ECI EUI
Fuel Oil $4.35 $44.87 23,296 $11.61 362
Electricity $0.110 $33.90
Source Cost
Electricity 502,525 kWh $55,200 1,710 20%
Fuel Oil 49,500 Gallons $215,300 6,720 80%
Totals -$270,500 8,430 100%
Annual Energy Consumption and Cost
Consumption Energy, MMBtu
$0
$5
$10
$15
$20
$25
$30
$35
$40
$45
$50
Fuel Oil ElectricityCost $ / MMBtuCost of Heat Comparison
Lepquinum Wellness Center 29 Energy Audit (December 2011)
Appendix C
Equipment Data
Lepquinum Wellness Center 30 Energy Audit (December 2011)
MotorLocation Function Make Model Capacity HP / Volts / RPM / Effic NotesC-1 Boiler Room Vent FanPACEPM 183500 CFM 1 HPRF-1A Fan Room Return FanPACEPM 6646000 CFM 10 HPRF-1B Fan Room Return FanPACEPM 6646000 CFM 10 HPEF-1 Fan Room General Exhaust PACEU36 AF 12240 CFM 5 HPEF-2 Fabrication Room Fume Hood KEWANEE 5-23302-CA 750 CFM 1/2 HPEF-3 Electrical Room CoolingPENNZ-10300 CFM 130 WattEF-4 Electrical Room CoolingPENNZ-8150 CFM 105 WattAHU-1 B236HeatingPACEP54105000 CFM 75 HPAHU-2 A102HeatingPACEP4024000 CFM 20 HPFan Room Transformer Field7486100 KVAFan Room Transformer Field7486100 KVAFan Room Transformer Field7480100 KVAP-1 Boiler Room Head Circulation Taco12243N1-4.3 65 GPM 1/4 HP/ 115 V/ 1725 RPMP2-A Boiler Room East, West Wing Heat TacoCM2510-9.25 360 GPM 10 HP/ 480 V/ 1760 RPM/ 89.5%P-2B Boiler Room East, West Wing Heat TacoCM2510-9.25 360 GPM10 HP/ 480 V/ 1760 RPM/ 89.5% Discharge P. 49 PSIP-3A Boiler Room AHU - 1 HeatCoil Taco CM2007-5.8 130 GPM 2 HP/ 480 V/ 1730 RPM/ 78%P-3B Boiler Room AHU - 1 HeatCoil Taco CM2007-5.8 130 GPM 2 HP/ 480 V/ 1730 RPM/ 78% Discharge P. 26 PSIP5-AB Boiler Room Boiler Circulation Taco 5AS5JXFSE-3749 37 GPM 1/6 HP/ 120 V NOT USEDUnit IDMetlakatla Activity Center - Major Equipment InventoryLepquinum Wellness Center 31 Energy Audit (December 2011)
MotorLocation Function Make Model Capacity HP / Volts / RPM / Effic NotesUnit IDMetlakatla Activity Center - Major Equipment InventoryB1 313BoilerWeil Melain 6881358 MBHB2 313BoilerWeil Mclain 7881732 MBHB3 313BoilerWeil Mclain 8881904 MBHP1 202Pool Circulation Aurora3x4x9B450 GPM 15 HP/ 480 V/ 1775 RPM/ 88.5% 70' Head PressureP4 202Tempered Circulation Water Grundfos UP26-96BF205 W/ 115 V/ 1750 RPMP3 202Circulation Hot Water Grundfos UP26-96BF205 W/ 115 V/ 1750 RPMP5 202Pool Heating Pump TACO1941C1E11 1/2 HP/ 480 V/ 1725 RPM/ 78.5%P6 110Domestic Hot Water TACO1611B3E1L1/4 HP/ 115 V/ 1725 RPMP7 202Building Heating PumpArmstrong 3x2.5x8 175 GPM 7.5 HP/ 480 V/ 1760 RPM/ 88.5% 60' Head PressureP8 202Building Heating PumpArmstrong 3x2.5x85 HP/ 480 V/ 1740 RPM/ 87.5%SaunaSussman H61002 70C240 V/ 14 KWMain Floor ElectricTransformer Source D 150T3H 150 KVAnon TP1Basement Storage Shop Air Compressor Cartis2-Stage Compressor10 HP/ 480 V/ 1760 RPM/ 89.5%Boiler Room Pneumatic Air CompressorDayton52700Boiler RoomDomestic Hot Water HeaterAustrolWH5802COW 80 gallon indirect hot water heater Blue BulletWeld Shop Welding Station RoboVent DFMS-3000-35 HP/ 480 V/ 1740 RPM/ 87.5%S1 311Pool Air IICentralaire T-4120000 CFM 20 HP/ 480 V/ 1725 RPM/ 87.5% running - no beltR1Centralaire L362720000 CFM 15 HP/ 480 V/ 1725 RPM/ 89.5%
Lepquinum Wellness Center 32 Energy Audit (December 2011)
MotorLocation Function Make Model Capacity HP / Volts / RPM / Effic NotesUnit IDMetlakatla Activity Center - Major Equipment InventoryS2 311Lobby/Locker Centralaire T-178700 CFM 15 HP/ 480 V/ 1775 RPM/ 88.5%S3 312Wood/Machine Shop Centralaire M14206000 CFM 7.5 HP/ 480 V/ 1725 RPM/ 86%S4 106Auto High Bay not available3150 CFMS5 311WeldingCentralaire no data3600 CFM 2 HP/ 480 V/ 1725 RPM/ 84% GouldS6 324HandballCentralaire L06122400 CFM 1.5 HP/ 480 V/ 1760 RPM/ 84%S7 313AHU Activity Center Centralaire L08143600 CFM 2 HP/ 480 V/ 1745 RPM/ 84%E2 305Lobby/Locker Porter18H3600 CFM 2 HP/ 480 V/ 1775 RPM/ 84%E3 Control Room Lobby/Locker Porter221C6000 CFM 3 HP/ 480 V/ 87.5%E4 110Weldingnot available1800 CFM 3/4 HP/ 480 Vsecured - new welding stationE5 110Weldingnot available1800 CFM 3/4 HP/ 480 Vsecured - new welding stationE6 206Sawdustnot available2600 CFM 10 HP/ 480 V/89.5%E7 106Auto High Bay not available3600 CFM 1 1/2 HP/ 480 V/ 84%E8 207Spray Paint not available1500 CFM 1 HP/ 480 V/82.5E9 313Toiletsnot available800 CFM 3/4 HP/ 480 VE10 207Finishingnot available1500 CFM 1 HP/ 480 V/ 82.5%E11 313Snack Barnot available800 CFM 3/4 HP/ 480 V
Lepquinum Wellness Center 33 Energy Audit (December 2011)
Appendix D
Abbreviations
AHU Air handling unit
BTU British thermal unit
BTUH BTU per hour
CBJ City and Borough of Juneau
CMU Concrete masonry unit
CO2 Carbon dioxide
CUH Cabinet unit heater
DDC Direct digital controls
DHW Domestic hot water
EAD Exhaust air damper
EEM Energy efficiency measure
EF Exhaust fan
Gyp Bd Gypsum board
HVAC Heating, Ventilating, Air-
conditioning
HW Hot water
HWRP Hot water recirculating pump
KVA Kilovolt-amps
kW Kilowatt
kWh Kilowatt-hour
LED Light emitting diode
MBH 1,000 Btu per hour
MMBH 1,000,000 Btu per hour
OAD Outside air damper
PSI Per square inch
PSIG Per square inch gage
RAD Return air damper
RF Return fan
SIR Savings to investment ratio
SF Supply fan
UV Unit ventilator
VAV Variable air volume
VFD Variable frequency drive
Lepquinum Wellness Center 34 Energy Audit (December 2011)
Alaska Energy Engineering LLC Technical Memorandum
25200 Amalga Harbor Road Tel/Fax: 907.789.1226 September 16, 2014
Juneau, Alaska 99801 jim@alaskaenergy.us
to: Kevin Ulrich, Engineering Project Manager
Alaska Native Tribal Health Consortium
subject: Ground Source Heat Pump System Life Cycle Cost Analysis
project: Lepquinum Wellness Center
INTRODUCTION
This memo presents a life cycle cost analysis of a ground source heat pump system for the
Lepquinum Wellness Center in Metlakatla, Alaska. The analysis is performed by Jim
Rehfeldt, P.E. of Alaska Energy Engineering LLC with technical assistance provided by
Doug Murray, P.E. of Murray & Associates, P.C.
Building Description
The Lepquinum Wellness Center is located in the Metlakatla Indian Community in
Metlakatla, Alaska and is owned and operated by the Annette Island Service Unit. It provides
healthcare and wellness services including physical therapy, a natatorium, locker room,
activity room, handball court, and classroom spaces.
Heat and domestic hot water is supplied by three fuel oil boilers and distributed by a constant
flow hydronic heating system. The heat is distributed by six air handling units that supply
both ventilation and heated air to the building. The automatic control system is a pneumatic
system that has failed. The ventilation systems currently operate continuously with manual
temperature control.
Heating Cost Comparison
The following graph shows how the heating cost varies with time for fuel oil boiler heat,
electric boiler heat and ground source heat pump heat. The ground source heat pump system
has the lowest heating cost due to its much higher efficiency of 275%, as compared to 70%
for fuel oil boilers and 95% for electric boilers. The ground source heat pump heat also
inflates at a slower rate because the majority of its heat is extracted from the ground.
$0
$50
$100
$150
$200
$250
2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038$ / MMBtuCost of Heat Comparison
Electric Inflation @2.5%
Fuel Oil Inflation @ 6.0%
Fuel Oil Boiler Heat
Electric Boiler Heat
Ground‐source Heat Pump
Alaska Energy Engineering LLC Page 2
GROUND SOURCE HEAT PUMP SYSTEM CONVERSION
Ground Source Heat Pump System
A ground source heat pump system for the building will utilize a water-to-water heat pump to
extract heat from a geothermal loopfield and transfer it to the building hydronic heating loop.
Loopfield: A closed, vertical loopfield, located under the parking and driving areas,
consisting of 79 boreholes spaced at 22’ on center. Each 6” diameter borehole is 332’
deep, has a 1” HDPE pipe loop inserted into it, and is backfilled with thermal conductive
grout. The borehole loops are connected to horizontal piping installed 24” below ground
and routed to the building. A geothermal contractor based in Juneau, Alaska is likely to
offer the lowest cost for constructing the loopfield.
Heating Plant
1. Heat Pump: A water-to-water heat pump that extracts heat from the loopfield
and produces 115°F heating water that is stored in a heating storage tank.
2. Boilers: Two of the existing fuel oil boilers will be retained to supplement the
heat pump during cold weather. They will also provide sufficient capacity to heat
the pool in 48 hours upon filling and provide sufficient heat for a ventilation
purge of the natatorium if chlorine levels rise too high.
Building Loop: The building loop will be converted from a 180°F boiler system to a
115°F heat pump system. This will require larger building pumps, a new pool heat
exchanger, and new heating coils and reheat coils in the six air handling units.
Building Modifications
In order to integrate the ground source heat pump into the building heating system, the
following modifications are necessary. If these measures are not included in the scope of this
project, savings from the proposed ground source heat pump project cannot be fully realized.
Automatic Control System Replacement: This improvement replaces the control system
with a direct digital control (DDC) system. The control system will provide operation and
monitoring of the ground source heat pump system, scheduling ventilation systems,
temperature control, and incorporation of modern control strategies.
Reduce Ventilation System Air Flow: All six ventilation systems have higher supply air
flows than required to provide good air circulation. In addition, they supply ventilation
air in excess of current requirements. The combined effect of reducing air flows is to
reduce the size of the ground source heat pump system. System air flow can be reduced—
saving fan energy—by replacing the motors, installing variable frequency drives (VFDs)
and balancing the systems. Ventilation air flow can be reduced—saving heating energy—
by setting lower minimum outside air requirements and using demand control ventilation
strategies based on CO2 levels to modulate ventilation air with occupancy.
Convert Heating System to Variable Flow: The building heating pumps must be resized
for the smaller temperature difference of the ground source heat pump system. The
existing pumps operate at constant speed, consuming the same energy even when heating
loads are light. The heating system is sized for occasional events such as pool filling or
natatorium purging, so the pumps are significantly oversized for “normal” loads. Heating
flow can be reduced during normal operations—saving pump energy—by replacing the
building pumps, installing VFDs and replacing three-way control valves with two-way
valves; valve replacement is also a necessary part of converting the control system.
Alaska Energy Engineering LLC Page 3
ENERGY ANALYSIS
The following table summarizes the heating and ventilating energy savings.
Annual Heating and Ventilating Energy Use and Costs, 2014
Fuel Oil Electricity Total
Option Gallons Cost kWh Cost Cost %
Existing Building 49,500 $244,000 296,000 $34,000 $278,000 100%
Ground Source Heat Pump -47,200 -$233,000 269,000 $30,000 -$203,000 73%
Total 2,300 $11,000 564,000 $64,000 $75,000 27%
The ground source heat pump system and associated building modifications will reduce
energy costs by 73%; post-project energy costs will be 27% of existing costs. Annual energy
cost savings, at 2014 energy prices, are $203,000.
Appendix A contains the results of a building computer model of the building before and
after the building modifications and a sizing and energy analysis of the ground source heat
pump system.
LIFE CYCLE COST ANALYSIS
The following table summarizes the life cycle cost analysis.
Life Cycle Cost Analysis
Component Life Cycle Cost
Construction Cost $ 3,445,000
Annual Costs $ 4,000
Energy Costs -$ 6,442,000
Total Life Cycle Cost -$ 2,993,000
The ground source heat pump system and associated building improvements will reduce the
25-year life cycle cost for heating and ventilating the Wellness Center by just under
$3,000,000. Appendix B contains a spreadsheet of the life cycle cost analysis.
by:
Jim Rehfeldt, P.E.
Alaska Energy Engineering LLC
Appendix A
Sizing and Energy Analysis
Alaska Energy Engineering LLC
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Wellness Center
Heat Loss Calculation
ENVELOPE HEAT LOSS
Component R-value Area ∆TMBH
Wall 18.0 11,140 77 43.0
Window 1 1.5 345 77 17.7
Door 1 1.5 740 77 38.0
Belowgrade wall 10.0 2,344 77 18.0
Roof 22.0 20,488 77 71.7
Pool Basin 10.0 5,300 48 25.4
Floor 15.0 14,000 77 71.9
F-value ln ft ∆T
Perimeter 0.42 600 77 19.4
Totals 305.2
OUTSIDE AIR REQUIREMENT
AHU-1: Natatorium
Area
Pool 3,818
50% of Deck 2,528 CFM/sqft CFM
6,346 0.48 3,046
VENTILATION HEATING LOADS
SA OSA RA EA OSA, in RA Room HRU ε T, hx out
SF-1: Natatorium 12,000 3,050 8,950 3,050 13 90 90 50% 52 127
SF-2: Lockers/Lobby 3,500 8,700 -5,200 8,700 13 75 75 50% 44 291
SF-3: Wood/Machine Shop 4,250 425 3,825 425 13 70 70 0% 13 26
SF-4: Auto/HiBay 1,600 500 1,100 500 13 70 70 0% 13 31
SF-6: Handball 1,500 150 1,350 150 13 70 70 0% 13 9
SF-7: Activity 2,000 200 1,800 200 13 72 72 0% 13 13
POOL HEATING LOAD
Evaporation
ASHRAE A, sqft Tp Ta RH Pw, in HG Pa, in HG Fa lb/hr MBH @ 1000 BTU/lb
Pool 3,818 88 85 50% 1.3347 0.6009 1.0 280 280
Makeup lb/hr Tp Tw ΔT MBH
Pool 280 88 40 48 13
September 16, 2014
Design
MBHSystemAir Flow Rates, CFM Temperatures Heat Recovery
Page 1
Alaska Energy Engineering LLC
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Wellness Center
Heat Loss Calculation
September 16, 2014
HEAT PUMP DESIGN LOAD Peak heating load under normal building operation
Area, sqft cfm/sqft cfm ∆TMBH
Infiltration 23,296 0.05 1,165 74 93
Building Envelope 305
Door Opening Factor 5 Assumed
SF-1: Natatorium 127
SF-2: Lockers/Lobby 291
SF-3: Wood/Machine Shop 26
SF-4: Auto/HiBay 31
SF-6: Handball 9
SF-7: Activity 13
Domestic Hot Water 0
Pool Evaporation and Makeup 294
1,194
Conditioned Area, sqft 23,296
BTUH / sqft 51.2
POOL FILLING LOAD
Pool Loads
Pool gallons Tin Tpool Hours MBH
Warmup 177,201 40 88 48 1,478
Evaporation and Makeup 294
1,771
Building Loads
Component MBH Note
SF-1: Natatorium 100 Assume summer fill
SF-2: Lockers/Lobby 20 Assume summer fill
SF-3: Wood/Machine Shop 40 Assume summer fill
SF-4: Auto/HiBay 40 Assume summer fill
SF-6: Handball 10 Assume summer fill
SF-7: Activity 20 Assume summer fill
Pool Heating 1,771
Domestic Hot Water 0 Assume summer fill
2,001
Page 2
Alaska Energy Engineering LLC
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Wellness Center
Heat Loss Calculation
September 16, 2014
ORIGINAL BUILDING DESIGN LOAD
Component MBH Note
SF-1: Natatorium 1,252 From original drawings
SF-2: Lockers/Lobby 187 From original drawings
SF-3: Wood/Machine Shop 204 From original drawings
SF-4: Auto/HiBay 102 From original drawings
SF-6: Handball 34 From original drawings
SF-7: Activity 102 From original drawings
Pool Evaporation and Makeup 1,310 From original drawings, three 128 kW pool heaters
Domestic Hot Water 233 Fuel oil boiler replacement drawings, 350 GPM
3,424
Boilers MBH Pumps Function GPM dT MBH
B-1 1,353 PMP-5 Pool 132 20 1,320
B-2 1,353 PMP-7/8 Heating 175 30 2,625
B-3 1,353 3,945
4,059
Assumed Building Design Load MBH
Based on two boilers 2,700
Page 3
Alaska Energy Engineering LLC
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Wellness Center
Sizing and Energy Analysis
Existing Building Loads
Heating Design Load, MBH Fuel Oil, gal Efficiency Energy, kBTU
Heat Pump 1,194 30,127 68% 2,837,361
Boilers 2,700
Existing Fuel Oil Boilers
Sizing Analysis
Boilers Boiler Design Load, MBH Factor Boiler MBH
B-1 2,700 50% 1,350
B-2 2,700 50% 1,350
B-3 2,700 50% 1,350
4,050
Pumps Pump GPM Head η, pump Pump, BHP η, motor
Building 175 60 60% 4.4 91%
Energy Analysis
Fuel Oil Boilers Load, kBTU % Load Net, kBTU Efficiency kBTU/gal Fuel, gals
2,837,361 100% 2,837,361 68% 138.5 30,127
Heating Pumping Pump Ave GPM Ave Head kW Hours kWh
Building 175 60 3.63 8,760 31,768
31,768
Ground Source Heat Pump System
Sizing Analysis
Boilers Boiler Design MBH Factor Size, MBH Effic kW
GSHP 1,194 75% 900 300% 88
B-1 2,700 50% 1,350
B-2 2,700 50% 1,350
Total 3,600
Loopfield Load, MBH Tons lnft/ton lnft Depth Boreholes
900 75 350 26,250 332 79
Spacing, ft Area, sqft Acres
22 38,236 0.9
Pumps Pump GPM Head η, pump Pump, BHP η, motor
Evaporator 225 120 63% 10.83 91%
Condenser 225 25 62% 2.29 89%
Boiler B-1 135 15 55% 0.93 85%
Boiler B-2 135 15 55% 0.93 85%
Boiler Injection 360 4 55% 0.66 85%
Building 360 45 65% 6.30 91%
Increased Electric Service
Load Qty kW, ea Total kW
Heat Pump 1 88 88
Evap Pumps 1 8.9 8.9
Cond Pumps 1 1.9 1.9
99
September 16, 2014
Page 4
Alaska Energy Engineering LLC
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 jim@alaskaenergy.us
Lepquinum Wellness Center
Sizing and Energy Analysis
September 16, 2014
Energy Analysis
Ground Source Heat Pump Load, kBTU % Load Net, kBTU Efficiency kWh
2,837,361 92% 2,610,372 275% 278,039
Fuel oil boilers Load, kBTU % Load Net, kBTU Efficiency kBTU/gal Fuel, gals
2,837,361 8% 226,989 72% 138.5 2,276
Pumps Pump Ave GPM Ave Head kW Hours kWh
Evaporator 225 120 8.9 7,500 66,608
Condenser 225 25 1.9 7,500 14,417
Boiler B-1 135 15 0.8 168 137
Boiler B-2 135 15 0.8 0 0
Boiler Injection 360 4 0.6 7,500 4,356
Building 144 27 1.2 7,500 9,296
94,815
Increased Fan Energy
Fan CFM ΔP η, fan BHP Hours kWh
SF-1: Natatorium 12,000 0.25 50% 0.9 7,500 5,868
SF-2: Lockers/Lobby 3,500 0.25 50% 0.3 3,500 799
SF-3: Wood/Machine S 4,250 0.25 50% 0.3 1,800 499
SF-4: Auto/HiBay 1,600 0.25 50% 0.1 1,800 188
SF-6: Handball 1,500 0.25 50% 0.1 3,500 342
SF-7: Activity 2,000 0.25 50% 0.2 3,500 456 Total kWh
8,153 381,007
Energy Balance
Option Gallons Cost kWh Cost Cost %
Existing Fuel Oil Boilers 49,500 $244,000 296,000 $33,000 $277,000 100%
Ground Source Heat Pump -47,200 ($233,000)269,000 $30,000 ($203,000)-73%
Total 2,300 $11,000 565,000 $64,000 $75,000 27%
Fuel Oil Electricity Total
Page 5
Alaska Energy Engineering LLC
Appendix B
Life Cycle Cost Analysis
Alaska Energy Engineering LLC Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 alaskaenergy@gci.net
Lepquinum Wellness Center
Ground Source Heat Pump Analysis
Basis
25 Study Period (years) 2.8% General Inflation
4.5% Nominal Discount Rate 6.0% Fuel Inflation
1.7% Real Discount Rate 2.5% Electricity Inflation
Construction Costs Qty Unit Base Cost Year 0 Cost
HYDRONIC HEATING SYSTEM
Loopfield
Mobilization/Demobilization 1 LS $10,000 $10,000
Drill boreholes, install pipe loops, backfill with grout 26,250 lnft $22 $577,500
Pipe trenches: excavate, bedding, backfill 1,100 yd3 $50 $55,000
Horizontal piping 6,600 lnft $30 $198,000
Loopfield manifold in building 1 LS $5,000 $5,000
Thermal conductivity test 1 LS $10,000 $10,000
Surface repair, gravel 35,000 sqft $1 $35,000
Replace pavement 15,000 sqft $4 $60,000
Heat Pump Room
Renovate classroom for heat pump 600 sqft $30 $18,000
Install double doors in exterior wall 1 LS $5,000 $5,000
Ground Source Heat Pump
Ground source heat pump 900 MBH 1 LS $105,000 $105,000
Evaporator piping and appurtenances 100 lnft $150 $15,000
Evaporator pump, with VFD 15 HP 1 LS $10,000 $10,000
Condenser piping and appurtenances 100 lnft $150 $15,000
Condenser pumps with VFD 3 HP 1 LS $5,000 $5,000
Methanol tank and feeder 1 LS $3,500 $3,500
Heating storage tank 1 LS $15,000 $15,000
Heating Plant Loop
Demolition
Fuel oil boiler and appurtenances 1 LS $5,000 $5,000
Boiler piping 3 LS $1,000 $3,000
Boiler Loop
Boiler piping and appurtenances 4" dia 2 LS $4,000 $8,000
Boiler supply and return header, 2 boilers 5" dia 100 lnft $112 $11,200
Boiler pump, pipe mounted 1 HP 2 LS $3,000 $6,000
Injection Loop
Injection piping 5" dia 100 lnft $112 $11,200
Injection pump, variable speed 3/4 HP 1 ea $4,000 $4,000
Building Loop
Demo
Relocate water feeder, air separator, glycol tank 1 ls $1,500 $1,500
Remove building pumps and piping in boiler room 1 ls $1,500 $1,500
Building pumps
Piping between heating tank and pumps 6" dia 80 lnft $112 $8,960
Building pumps, base mounted, w VFD 7.5 HP 2 ea $5,000 $10,000
Connect to existing piping 1 ea $3,000 $3,000
Pool Heat Exchanger $0
Heating piping with AV, valves, etc. 4" dia 50 lnft $92 $4,600
Pool Heat Exchanger 1 ls $11,000 $11,000
Connect to pool piping 1-1/2" 50 lnft $60 $3,000
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Page 1
Alaska Energy Engineering LLC Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 alaskaenergy@gci.net
Lepquinum Wellness Center
Ground Source Heat Pump Analysis
September 15, 2014
Construction Costs (continued) Qty Unit Base Cost Year 0 Cost
Terminal Units
Replace SF Heating Coils, Repipe AV
SF-1: replace heating and preheat coil; fan restoration 2 ea $12,000 $24,000
SF-2 and SF-3: replace heating and preheat coil; fan restoration 2 ea $9,000 $18,000
SF-4, SF-6, SF-7: replace heating and preheat coil; fan restoration 3 ea $7,000 $21,000
SF-4 reheat coil replacement 4 ea $7,000 $28,000
Replace heating coil piping 1 LS $30,000 $30,000
DOMESTIC HOT WATER SYSTEM
Preheat Tank
Relocate indirect HW heater 1 LS $1,000 $1,000
Heating piping 1-1/2" 60 lnft $60 $3,600
Hot Water Tanks
120 gallon, 45 kW 2 ea $18,000 $36,000
Plumbing piping to three tanks 3 ea $2,000 $6,000
Connect HWR piping 1 ea $1,000 $1,000
Thermostatic mixing valve 1 ea $3,500 $3,500
Connect to building piping 1 ea $1,500 $1,500
VENTILATION UPGRADES
Install VFDs, replace motors
S-1 15 HP 15 HP $600.00 $9,000
R-1 5 HP 5 HP $900.00 $4,500
S-2 10 HP 10 HP $700.00 $7,000
S-3 7.5 HP 7.5 HP $750.00 $5,625
S-4 1.5 HP 1.5 HP $1,600.00 $2,400
S-6 1.5 HP 1.5 HP $1,600.00 $2,400
S-7 2 HP 2.0 HP $1,600.00 $3,200
Controls
DDC points 145 pts 2,000.00 $290,000
Programming and startup 1 LS 15,000.00 $15,000
Miscellaneous
Test and balance entire HVAC system 1 LS 20,000.00 $20,000
Commission building 1 lot 12,000.00 $12,000
Electrical
Three phase service 10 ea 6,000.00 $60,000
Replace Panel DP-1 1 ea 20,000.00 $20,000
Contingencies
Estimating contingency 20% $371,737
Overhead & profit 30% $669,127
Design fees 10% $289,955
Project management 8% $255,160
Total Construction Costs $3,445,000
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Page 2
Alaska Energy Engineering LLC Life Cycle Cost Analysis
25200 Amalga Harbor Road Tel/Fax: 907.789.1226
Juneau, Alaska 99801 alaskaenergy@gci.net
Lepquinum Wellness Center
Ground Source Heat Pump Analysis
September 15, 2014
Annual Costs Maintenance $40.00 Qty Unit Base Cost Present Value
Heating Plant
Fuel Oil Boilers
Fuel Oil Boiler Maintenance
Parts Allowance, each 1 - 25 -1 LS $200.00 ($3,977)
Monthly, each 1 hours/month 1 - 25 -12 hrs $40.00 ($9,544)
Annual, each 8 hours/year 1 - 25 -8 hrs $40.00 ($6,362)
Heat Pump Maintenance
Parts Allowance, each 1 - 25 1 LS $300.00 $5,965
Monthly, each 0.5 hours/month 1 - 25 6 hrs $40.00 $4,772
Annual, each 4 hours/year 1 - 25 4 hrs $40.00 $3,181
Heat pump contracted tune up 5 - 5 1 ea $3,000.00 $2,711
Heat pump contracted tune up 10 - 10 1 ea $3,000.00 $2,491
Heat pump contracted tune up 15 - 15 1 ea $3,000.00 $2,290
Heat pump contracted tune up 20 - 20 1 ea $3,000.00 $2,104
Total Annual Costs $4,000
Energy Costs Qty Unit Base Cost Present Value
Fuel Oil 1 - 25 -47,200 gallon $4.93 ($7,037,144)
Electricity 1 - 25 269,000 kWh $0.113 $595,547
Total Energy Costs ($6,442,000)
($2,993,000)Present Worth
Years
Years
Page 3