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HomeMy WebLinkAboutTatilek Round V Grant Application Renewable Energy Fund Round 5 Grant Application AEA 12-001 Application 7/1/2011 Application Forms and Instructions The following forms and instructions are provided to assist you in preparing your application for a Renewable Energy Fund Grant. An electronic version of the Request for Applications (RFA) and the forms are available online at: http://www.akenergyauthority.org Grant Application Form GrantApp5.doc Application form in MS Word that includes an outline of information required to submit a complete application. Applicants should use the form to assure all information is provided and attach additional information as required. Application Cost Worksheet Costworksheet 5.doc Summary of Cost information that should be addressed by applicants in preparing their application. Grant Budget Form GrantBudget5. doc A detailed grant budget that includes a breakdown of costs by milestone and a summary of funds available and requested to complete the work for which funds are being requested. Grant Budget Form Instructions GrantBudgetIn structions5.doc Instructions for completing the above grant budget form. Authorized Signers Form Authorized signers form5.doc Form indicating who is authorized to sign the grant, finance reports and progress reports and provides grantee information. • 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 grant budget for completion of each phase. • 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 satisfied 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. 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 is 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. 2 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 2 of 16 7/1//2011 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. SECTION 1 – APPLICANT INFORMATION Name (Name of utility, IPP, or government entity submitting proposal) Tatitlek Village IRA Council Type of Entity: Federally Recognized Tribe Fiscal Year End: Tax ID # 92-0071372 Tax Status: For-profit or X non-profit ( check one) Mailing Address P.O. Box 171 Tatitlek, Alaska 99677 Physical Address 505 Copper Mountain Road Tatitlek, Alaska 99677 Telephone 907-325- 2311 Fax 907-235-2298 Email tatitlekiracouncil@yahoo.com 1.1 APPLICANT POINT OF CONTACT / GRANTS MANAGER Name Cheryl Eleshansky Title Tribal administrator Mailing Address P.O. Box 171 Tatitlek, Alaska 99677 Telephone 907-325- 2311 Fax Cell 907-325-2398 907-325-4040 Email tatitlekiracouncil@yahoo.com 1.2 APPLICANT MINIMUM REQUIREMENTS Please check as appropriate. If you do not to meet the minimum applicant requirements, your application will be rejected. 1.2.1 As an Applicant, we are: (put an X in the appropriate box) X 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 X A governmental entity (which includes tribal councils and housing authorities); Yes or No 1.2.2. Attached to this application is formal approval and endorsement for its project by its 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 Yes or No in the box ) 3 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 3 of 16 7/1//2011 Yes or No 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. Yes or No 1.2.4. If awarded the grant, we can comply with all terms and conditions of the attached grant form. (Any exceptions should be clearly noted and submitted with the application.) Yes or No 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. SECTION 2 – PROJECT SUMMARY This is intended to be no more than a 1-2 page overview of your project. 2.1 Project Title – (Provide a 4 to 5 word title for your project) Type in your answer here and follow same format for rest of the application. Tatitlek Heat Recovery Project 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. Location – latitude and longitude or street address or community / communities served: Tatitlek is a small village located within the Chugach National Forest, about 22 miles southwest of Valdez. It is seven miles from the now famous Bligh Island, site of the Exxon Valdez oil spill. Tatitlek, translated to English, means "Windy Place." The village was established at its current site in the late 1800‚s, after being displaced from their former location by a copper mine. When another copper vein was discovered at Tatitlek in 1902, the people refused to move a second time. Between the 1964 earthquake and the re-establishment of Chenega Bay on Evans Island in 1984, Tatitlek was the only remaining Alutiiq village in the Sound. In 1989, the Tatitlek Museum and Cultural Center opened as a means of counteracting the loss of the village language and culture. Culture is also transmitted through subsistence. The Native Village of Tatitlek is governed by the Tatitlek Village IRA Council, composed of 7 members. Tatitlek is only accessible by air and water. The proposed heat recovery project will be located in the community of Tatitlek and will serve the Tatitlek Community Center. The physical address of the proposed project is: 505 Copper Mountain Road, Tatitlek, Alaska 99677 2.3 PROJECT TYPE Put X in boxes as appropriate 2.3.1 Renewable Resource Type Wind Biomass or Biofuels 4 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 4 of 16 7/1//2011 Hydro, including run of river Transmission of Renewable Energy Geothermal, including Heat Pumps Small Natural Gas X Heat Recovery from existing sources Hydrokinetic Solar Storage of Renewable Other (Describe) 2.3.2 Proposed Grant Funded Phase(s) for this Request (Check all that apply) Reconnaissance X Design and Permitting Feasibility X Construction and Commissioning Conceptual Design 2.4 PROJECT DESCRIPTION Provide a brief one paragraph description of your proposed project. This project proposes to add waste heat recovery heat exchangers by connecting the Tatitlek Generator system to the adjacent Tatitlek Community Center thereby providing the majority of the heating and domestic hot water needs. This project was fully engineered and designed as an alternate additive to a renovation project of the building in 2006; the plans will need to be updated and a new fire marshal permit received for the project to be ready for construction. The generator system was originally designed by Alaska Energy Authority to utilize waste heat recovery and the community center mechanical system was designed and replaced so that it will be able to utilize the generator waste heat to heat the entire building with an oil fired boiler as a back-up and/or supplemental system. Oil heat is the current heating system. Program objectives: • Reduce heating costs within the community. • Recover wasted energy • Reduce barging requirements into the community and conflicts between generator requirements and homeowner fuel needs. • Provide more reliable heating systems • Reduce total community energy costs 2.5 PROJECT BENEFIT Briefly discuss the financial and public benefits that will result from this project, (such as reduced fuel costs, lower energy costs, etc.) The heat recovery project, in conjunction with a new high efficiency generator will result in a reduction in diesel fuel consumption for both space heating and power generation upwards of 6,000 gallons of diesel fuel annually. The economic benefit of this fuel reduction is $35,580 per year, at a delivered fuel cost of $5.93/gallon. This economic benefit will be used to offset tribal administrative operating costs for the tribal administration building, resulting in a win- win situation. The Tatitlek Community Center which houses the tribal administration offices has experienced maintenance issues in the past which required staff to use electric heaters to maintain a working temperature during winter months. During these periods kilowatt usage has gone as 5 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 5 of 16 7/1//2011 high as 5kW while the building heating equipment was down. Although this information is difficult to quantify based on sporadic occurrences, the overall cost to the Council and therefore to the community can be excessive and cost prohibitive. By using the existing heating equipment as back-up, the Council will be able to ensure reliability, by scheduling and performing periodic maintenance of the equipment. This renewable energy project will also decrease future capital costs of fuel system upgrades to replace aging, non-code compliant fuel systems, as reliable heat recovery will reduce the need for on-site fuel storage capacity and maintenance of boiler and water heater systems within the Council office. Additional benefits include a reduction in carbon footprint, NOx, and Particulate Matter emissions achieved by eliminating the equivalent of 6,000 gallons of diesel exhaust pollutant, as well as local economic development during the constructions phases of the project. 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 total estimated cost of this construction project is $ 295,800, including a match of $30,800. Costs were developed in coordination with AEA staff; North Pacific Rim Housing Authority (NPRHA) staff; Chugachmiut Grants Dept. staff and Tatitlek Village IRA Council administrative staff and were based on previous construction cost estimate and industry cost standards for projects of this size. Milestone or Task RE- Fund Grantee Matching TOTALS Grant Funds Funds $10,000 $0 $10,000 Update design to reflect a stand-alone project and any code changes since engineering was completed in 2006 Completion of bid documents $5,000 $0 $5,000 Contractor/vendor selection and award $5,000 $0 $5,000 Construction $220,000 $30,800 $250,800 Inspections, Integration and testing $10,000 $0 $10,000 Final Acceptance, Commissioning and Start-up $5,000 $0 $5,000 Operations Reporting $10,000 $0 $10,000 TOTALS $265,000 $30,800 $295,800 Budget Categories: Direct Labor & Benefits $10,000 $- $10,000 Travel & Per Diem $10,000 $- $10,000 Equipment $- $- $- Materials & Supplies $- $- $- Contractual Services $25,000 $20,000 $45,000 Construction Services $220,000 $- $220,000 6 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 6 of 16 7/1//2011 Requested Grant Funding, Final Design and Construction: $265,000 Design Costs $25,000 Project Management and Contract Administration $20,000 Construction $220,000 Total Project Request $265,000 Applicant Matching Funds: $30,800 Room - 3 men 40 days @ $75 day $10,800 Excavating, lifting and hoisting equipment $20,000 Total Match $30,800 Other $- $10,800 $10,800 TOTALS $265,000 $30,800 $295,800 2.7 COST AND BENEFIT SUMARY Include a summary of grant request and your project’s total costs and benefits below. Grant Costs (Summary of funds requested) 2.7.1 Grant Funds Requested in this application. $265,000.00 2.7.2 Other Funds to be provided (Project match) $30,800.00 2.7.3 Total Grant Costs (sum of 2.7.1 and 2.7.2) $295,800.00 2.7.4 Total Project Cost (Summary from Cost Worksheet including estimates through construction) $295,800.00 2.7.5 Estimated Direct Financial Benefit (Savings) $35,580.00 2.7.6 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 your application (Section 5.) $ 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). If the applicant does not have a project manager indicate how you intend to solicit project management support. If the applicant expects project management assistance from AEA or another government entity, state that in this section. North Pacific Rim Housing Authority will manage the project on behalf of Tatitlek Village IRA Council to ensure that the project is implemented successfully, NPRHA will provide overall project management for the project and Jernstrom Engineering will provide project engineering and inspection services. NPRHA’s project manager will be Olen Harris who has over 15 years of successfully project management experience as the Executive Director of NPRHA. NPRHA provides project management services for the majority of the community facility projects in the region as well as for their own projects and has successfully completed projects in Tatitlek 7 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 7 of 16 7/1//2011 including renovating the community dock in 2008, the community center renovation in 2006, new rental housing in 2004, and new homeownership housing in 2003. Jernstrom Engineering designed the heat recovery system as part of the larger community center renovation in 2006, Robert Jernstrom will be responsible for updating the design, obtaining the fire marshal permit, contract administration for shop drawings, DCVR’s, and technical issues, and project inspections in conjunction with NPRHA. Robert has over 30 years of mechanical design consulting experience and has experience with the current mechanical system in the community building and heat recovery systems. Please see the resumes for Olen Harris and Robert Jernstrom 3.2 Project Schedule Include a schedule for the proposed work that will be funded by this grant. (You may include a chart or table attachment with a summary of dates below.) During the renovation of the community building in 2006 the design incorporated the heat recovery system but it was not installed at that time due to funding constraints. The project has already been fully designed and will just require a minor update to have the final design completed and to apply for the fire marshal permit and bid out the project. Grant Award July 2012 Update design and submit to fire marshal July 2012 to September 2012 Obtain fire marshal permit October 2012 Project bid and contractor selection November 2012 to January 2013 Mobilization and Construction March 2013 to May 2013 Startup and commissioning and warranty work May 2013 Project and grant closeout June 2013 3.3 Project Milestones Define key tasks and decision points in your project and a schedule for achieving them. The Milestones must also be included on your budget worksheet to demonstrate how you propose to manage the project cash flow. (See Section 2 of the RFA or the Budget Form.) Project milestones include: • Grant award • Review of existing drawings to verify code compliance and stamped by the Engineers; • Obtain fire marshal permit • Procurement for construction services and purchase of equipment to accomplish the project; • Mobilization to Tatitlek by the Contractor when the equipment has been received; • Construction activities; • Start-up and testing; • Warranty work (if necessary); • Final Acceptance; and • Project reporting. Refer to the project schedule above for details and estimated dates. 8 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 8 of 16 7/1//2011 3.4 Project Resources Describe the personnel, contractors, 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. The Tatitlek Village IRA Council will enter into an agreement with NPRHA to manage the construction side of this project for Tatitlek while Cheryl Eleshansky will provide administrative oversight for the Tatitlek Village IRA Council. All major procurement activities will be conducted by Tatitlek with assistance by NPRHA staff. A Memorandum of Agreement has been attached to document the commitment by both parties to the success of this project. Tatitlek Village IRA Council Construction project management including payroll, project inspections and progress reporting will be the responsibility of the NPRHA Project Manager for this project. Progress reports and payroll requests and contract payments will be submitted to Ms. Cheryl Eleshansky, Tatitlek Tribal Administrator for draw downs and reporting. With guidance from NPRHA, reporting and day-to-day on-site management will be provided by Ms. Eleshansky for the Tatitlek Village IRA Council. Ms. Eleshansky has extensive experience providing administrative oversight of projects of this size and importance. Ms. Eleshansky will coordinate reports between the Council, NPRHA and AEA for this project. Please refer to the attached resumes. 3.5 Project Communications Discuss how you plan to monitor the project and keep the Authority informed of the status. Project communication will flow from the Construction Project Manager to the Tatitlek Tribal to the Tribal Council and then to AEA through regular correspondence arranged at the time of award with the AEA Program Officer. Email as well as all other correspondence related to this project, will be scanned, saved and added to the project file as evidence regarding progress; to facilitate progress reports to AEA; and should any issues arise during the project. 3.6 Project Risk Discuss potential problems and how you would address them. This project has relatively low risk. The work involves the existing design meeting current mechanical codes. The project activities will take place at the Tribal Administration building. Connections will be made to primary systems without interfering with daily tribal functions. 9 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 9 of 16 7/1//2011 SECTION 4 – PROJECT DESCRIPTION AND TASKS • Tell us what the project is and how you will meet the requirements outlined in Section 2 of the RFA. • The level of information will vary according to phase(s) of the project you propose to undertake with grant funds. • If you are applying for grant funding for more than one phase of a project provide a plan and grant budget form for completion of each phase. • 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 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 for the market to be served by your project. Heat generated by the three diesel power generators is currently being lost, vented to the outside of the building. It is the intention of this project to recover this lost heat and direct it toward lowering the overall cost of producing heat and hot water for the Tribal Administrative building. The two buildings (Administration building and Generator building) are adjacent to each other. Funding restraints to the remodel project that took place several years resulted in this aspect of the project not being completed, as mentioned earlier; this project has been already been designed for construction. 4.2 Existing Energy System 4.2.1 Basic configuration of Existing 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 Tatitlek Community Center is an approximately 6,000 square foot building that is currently being heated with a single oil fired boiler that was installed new in 2006 as part of a larger renovation of the facility. Domestic hot water is provided by a water maker attached to the boiler. With the completion of the waste heat project this boiler will still be operational and able to provide additional heat when demand is higher than the heat recovery system can provide. Three diesel generators housed in the Generator Building provide electric power for the entire community. The three generators include: • Generator 3 - 90 kW John Deere (new generator installed 2011); • Generator 2 – 150 kW John Deere; and • Generator 1 – 115 kW John Deere As stated in this application, the generator building was designed with the intent to use the waste heat generated by these three pieces of equipment. This building was located in close proximity to the Tatitlek Community Center for this purpose. 4.2.2 Existing Energy Resources Used Briefly discuss your understanding of the existing energy resources. Include a brief discussion of 10 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 10 of 16 7/1//2011 any impact the project may have on existing energy infrastructure and resources. This project is to address the high cost of heating fuel and amount of fuel needed to provide heat and domestic hot water for the Tatitlek Community Center. This system will also recover energy currently lost out the radiator system. Both buildings and systems and been designed and both from size and layout to accommodate a waste heat recovery system. The design has been completed. The electrical panels have been designed and installed in the renovated Community Center to accommodate a waste system. All work has been done, so that minimal work will have to be modified to add the heat exchangers, pumps, and piping. No additional buildings will be needed; all space has already been built and finished. The generators do not have to be modified. The temperature control valving is already in place in the generator building. This is the last phase of a 4 phase plan, and just waits the funding. 4.2.3 Existing Energy Market Discuss existing energy use and its market. Discuss impacts your project may have on energy customers. This project anticipates reducing overall heating costs within the community by recovering wasted heat from the Power Generator building; reducing the barging requirements of home heating fuel oil into the community and thereby decreasing conflicts between providing fuel for the generators and homeowner heating needs. This system will also provide a more reliable heating system for the Tribal Administration building and subsequently reducing the total energy costs to the community. 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 This type of waste heat recovery is being utilized by many communities and facilities across Alaska, any new information learned from this application will be shared to assist other communities implementing a waste heat recovery system. This system has been planned and implemented over a long term. Demonstrating that a well planned and phased renovation plan for a facility implemented in conjunction with co-location of facilities and community planning over periods exceeding 10 years can be accomplished by communities of approximately 100 villagers. The Generator building and Community Center have been located adjacent to each other. Both buildings and systems and been designed and both from size and layout to accommodate a waste 11 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 11 of 16 7/1//2011 heat recovery system. The design has been completed. The electrical panels have been designed and installed in the renovated Community Center to accommodate a waste system. All work has been done, so that minimal work will have to be modified to add the heat exchangers, pumps, and piping. No additional buildings will be needed; all space has already been built and finished. The generators do not have to be modified. The temperature control valving is already in place in the generator building. This is the last phase of a 4 phase plan, and just waits the funding. Any other pertinent information, e.g., review processes the project has been through, funding match-if any, etc. • The design process was completed as part of the larger community center renovation in 2006, the design will just need to be updated for any code changes since then and resubmitted to the fire marshal. The original design was reviewed and approved by the fire marshal in 2006 and the process to update it should go quickly. • The generator system was designed by Alaska Energy Authority to allow the use of waste heat recovery and will require little modification to the system itself except the addition of the waste heat recovery equipment. The Tatitlek Community Center was renovated in 2006 with the addition of a heat recovery system in the future incorporated into the design. 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. All properties involved with this project are owned by the Tatitlek Village IRA Council. 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 discussion of potential barriers The only permit required will be a State of Alaska Fire Marshal Permit. This permit should be received no later than February of 2012. This project was already reviewed, approved, and received a Fire Marshal permit in 2006 and no barriers are anticipated to receiving a new permit for the project. 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 • Land development constraints • Telecommunications interference 12 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 12 of 16 7/1//2011 • Aviation considerations • Visual, aesthetics impacts • Identify and discuss other potential barriers All environmental issues were addressed in the initial construction phase, at this time there have been no changes to that assessment. There will be no impact on any of environmental issues listed above. 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: Applicants 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 cost information provided in this application is based on consultations with Alaska Energy Authority and North Pacific Rim Housing Authority. Due to this project being a very straightforward application of a mature, commercially available technology widely used in Alaska project costs are fairly easy to estimate and there are no technology development costs associated with the project. Please see the attached Grant Budget Form for a more detailed cost estimate. Requested Grant Funding, Final Design and Construction: $265,000 Design Costs $25,000 Project Management and Contract Administration $20,000 Construction $220,000 Total Project Request $265,000 Applicant Matching Funds: $30,800 Match will be by several individual components Room - 3 men 40 days @ $75 day $10,800 Excavating, lifting and hoisting equipment $20,000 Total Match $30,800 Total Project Capital Costs: $295,800 This project has an expected pay back of 7.3 years (AEA requested funds). 13 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 13 of 16 7/1//2011 4.4.2 Project Operating and Maintenance Costs Include anticipated O&M costs for 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 reporting impacts of projects on the communities they serve.) O&M costs will be minimal as the heat is generated via waste heat from the Generator building, equipment necessary to deliver the hot water from the Generator Building to the Tribal Administration building will be purchased based on commonality of the equipment and the knowledge of tribal maintenance staff of the operation of such equipment. 4.4.3 Power Purchase/Sale The power purchase/sale information should include the following: • Identification of potential power buyer(s)/customer(s) • Potential power purchase/sales price - at a minimum indicate a price range • Proposed rate of return from grant-funded project This section does not apply to 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. Download the form, complete it, and submit it as an attachment. Document any conditions or sources your numbers are based on here. 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 (gal and $) over the lifetime of the evaluated renewable energy project • Anticipated annual revenue (based on i.e. a Proposed Power 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 Potential Fuel Displacement: The estimated annual fuel displacement from the heat recovery project is 6,000 gallons/year. This equates to approximately 180,000 gallons over a thirty-year anticipated useful life of the project. Anticipated Annual Savings: The estimated savings to the Tribal Council is $35,580 per year, over the same 30 year period this could equate to more than $1,000,000 in reduced operating costs, based on current oil prices in 14 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 14 of 16 7/1//2011 Tatitlek at $5.93 per gallon. Potential additional annual incentives and revenue streams: Unknown at this time Non-economic Public Benefits to Alaskans: This type of waste heat recovery is being utilized by many communities and facilities across Alaska, any new information learned from this application will be shared to assist other communities implementing a waste heat recovery system. This system has been planned and implemented over a long term. Demonstrating that a well planned and phased renovation plan for a facility implemented in conjunction with co-location of facilities and community planning over periods exceeding 10 years can be accomplished by communities of approximately 100 villagers. There are no known tax credits or other subsidies for a project of this type. Non-economic benefits to Alaskans include the reduction in diesel exhaust emissions realized by burning 180,000 gallons less of diesel fuel over a thirty-year period. SECTION 6– SUSTAINABILITY Discuss your plan for operating the completed project so that it will be sustainable. Include at a minimum: • Proposed business structure(s) and concepts that may be considered. • How you propose to finance the maintenance and operations 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 With an annual savings estimated at $35,580, maintenance labor and replacement parts as needed will be well within acceptable levels for a system as has been designed for this project. 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. The Tatitlek Village IRA Council recently, successfully completed the installation of a new, fuel efficient power generator provided through a direct appropriation from the State of Alaska, FY11 Capital Improvement Budget. The Generator building and Tribal Administration building systems have been designed based on size and layout to accommodate a waste heat recovery system. The design had been completed and the electrical panels were designed and installed in the renovated Tribal Administration 15 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 15 of 16 7/1//2011 building to accommodate a waste system. This project was successfully completed. SECTION 8– LOCAL SUPORT Discuss what local support or possible opposition there may be regarding your project. Include letters of support from the community that would benefit from this project. The unsigned tribal resolution has been attached to this application. A poll vote was taken and passed by a quorum of the Council available to vote. The resolution will be ratified at the next scheduled Tribal Council meeting, on August 31, 2011. A copy of the ratified and signed resolution will be forwarded to AEA at that time. SECTION 9 – GRANT BUDGET Tell us how much you want 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. Include an estimate of budget costs by milestones using the form – GrantBudget5.doc The Tatitlek Village IRA Council has already made a substantial financial commitment to the project during the renovation of the community center in 2006, approximately $30,000 was expended for the design of the heat recovery system and approximately $100,000 of the actual construction renovation costs were directly related to ensuring that the heat recovery system was compatible with the new mechanical and electrical systems and equipment space in the renovated building. The Tatitlek Village IRA Council is requesting funding for the minimal design updates that will be required and construction of the actual heat recovery system. A copy of the GrantBudget5.doc has been completed and attached to this application. SECTION 10 – ADDITIONAL DOCUMENTATION AND CERTIFICATION SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION: A. Contact information, resumes of Applicant’s Project Manager, key staff, partners, consultants, and suppliers per application form Section 3.1 and 3.4. Applicants are asked to separate resumes submitted with applications, if the individuals do not want their resumes posted. B. Cost Worksheet per application form Section 4.4.4. C. Grant Budget Form per application form Section 9. D. Letters demonstrating local support per application form Section 8. E. An electronic version of the entire application on CD per RFA Section 1.7. F. Authorized Signers Form. 16 Renewable Energy Fund Grant Application Round 5 AEA12-001 Grant Application Page 16 of 16 7/1//2011 G. Governing Body Resolution or other formal action taken by the applicant’s governing body or management per RFA Section 1.4 that: - Commits the organization to provide the matching resources for project at the match amounts indicated in the application. - Authorizes the individual who signs the application has the authority to commit the organization to the obligations under the grant. - Provides as point of contact to represent the applicant for purposes of this application. - Certifies the applicant is in compliance with applicable federal, state, and local, laws including existing credit and federal tax obligations. H. CERTIFICATION The undersigned certifies that this application for a renewable energy grant is truthful and correct, and that the applicant is in compliance with, and will continue to comply with, all federal and state laws including existing credit and federal tax obligations and that they can indeed commit the entity to these obligations. Print Name Cheryl Eleshansky Signature Title Tribal Administrator, Tatitlek Village IRA Council Date August 25, 2011 17