HomeMy WebLinkAboutMVP Library Grant App AddendumAEA Renewable Energy Grant Application Addendum
Project Readiness
The Mendenhall Valley Library project has secured $13 million in funding from the
following sources:
Funding Source Funding Amount
DCEED Matching Grant $7,000,000
Friends of the Library $1,000,000
Library Endowment $300,000
CBJ Sales Tax Revenue $4,700,000
Total Project Funding $13,000,000
Project feasibility and reconnaissance work is complete as is conceptual and schematic
design for the facility and associated GSHP HVAC system; all efforts have been funded
by the City and Borough of Juneau and associated project funding sources. The City and
Borough of Juneau Engineering Department is currently working with the United States
Army Corps of Engineers to secure a nationwide wetland permit. The Engineering
Department has also begun working with the City and Borough of Juneau Permitting
Department for conditional use and building permits. By the time this project is reviewed
by AEA raters the project design will be over 50% complet e and it is anticipated that
wetland and conditional use permits will be acquired. By the time funding for Round 7
projects is made available to grantees, design will be complete, building permits will be
secured, the project will be bid and awarded to a contractor, and project work including
ordering of long lead time equipment will have begun. It is virtually impossible for a
project to be more ready for implementation than the Mendenhall Valley Library
Geothermal HVAC system and as such the project should receive a full 5 points in the
“Project Readiness” category.
Project Cost Benefit Analysis
During the AEA’s Round 6 project review the question was raised as to whether a hybrid system
had been considered for the project. City and Borough of Juneau staff noted that a hybrid system
was utilized at Dimond Park Aquatic Center and that the project design included a back-up
electric boiler. Thus, the potential for incorporating a hybrid design at the Mendenhall Valley
Library certainly exists and will be considered as design progresses, most likely being carried as
a bid alternate. It is also worth noting that several recent geothermal drilling projects have
received bids that were significantly lower than estimated. The current project estimate is based
on actual cost data from the DPAC project executed in summer of 2009 escalated to summer of
2014 and does not reflect the decrease in drilling costs witnessed on recent local projects. While
this conservative cost estimate does not benefit the project’s cost to benefit ratio, it was deemed
prudent due to the uncertainty surrounding this work. Ultimately, the project reimbursement will
be based on the actual cost of the work, which could be significantly lower than that stated in the
application.