HomeMy WebLinkAboutValdez Fisheris DA PetroStar HR AppALASKA Renewable Energy FI_tnd
OF =EN1zgG1?AL,. Grant Application
Application Forms and Instructions
The following forms and instructions are provided for preparing your application for a
Renewable Energy Fund Grant. An electronic version of the Request for Applications (RFAy
and the forms are available online at htip llwww.akenergyauthority.org/RE Fund-html
The following application forms are required to be submitted for a grant recommendation:
Grant Application GrantApp.doc Application form in MS Word that includes an outline of
Form 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 Costworksheet.doc Summary of Cost information that should be addressed
Worksheet by applicants in preparing their application.
Grant Budget GrantBudget.xls A detailed grant budget that includes a breakdown of
Form costs by task and a summary of funds available and
requested to complete the work for which funds are being
requested.
Grant Budget GrantBudgetlnstr.pdf Instructions for completing the above grant budget form.
Form Instructions
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 a plan
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
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r�am- ALASKA
: ENERGY AUTHORITY
Renewable Energy Fund
Grant Application
SECTION 1 - APPLICANT INFORMATION
Name [Name of utility, IPP, or govemment entity submitting proposal)
Valdez Fisheries_ Development Association
Type of Entity:
Private non -Profit Corporation
Mailing Address Physical Address
1815 Mineral Creek Loop Road
Box 125
Telephone Fax Email
t9G7 88li4874 eG7 83H831 v1dalaursAvskisifthedes.com
1.1 APPLICANT POINT OF CONTACT
Name Title
Executive Director
Jason wells
Mailing Address
same
Telephone Fax Email
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) _
An electric utility holding a certificate of public convenience and necessity under AS
42.05, or
An independent power producer, or
A local government. or
XX
A governmental entity (which includes tribal councils and housing authorities);
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 a
collaborative grouping. a formal approval from each participant's governing
authority is necessary. (Indicate Yes or No in the box )
Yes
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.
Y06
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.)
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OL.-_ ENERGY AUTHORITIV Grant Application
SECTION 2 -- PROJECT SUMMARY
Provide a brief 1-2 page overview of your project.
2.1 PROJECT TYPE
Describe the type of project you are proposing, (Reconnaissance: Resource Assessment(
Feasibility AnalyslslConceptual Design; Final Design and Permitting: andlor Construction) as
well as the kind of renewable eneruv you intend to use. Refer to Section 1. 5 of RFA.
Valdez FI-shuries Duvelopi-nent Assveiaiion luc. (VFDA liar ideialf ed a %oumc ofJ vaste heal.
We have evaluated the source. its reliability and longevity. We have further had a feasibility
analysis and conceptual design conducted. This funding request will include final design.
permitting and construction.
2.2 PROJECT ❑ESCRiPTION
Provide a one paragraph description of your project. At a minimum include the project location.
communities to be served, and who will be involved in the grant project.
The project, located in Valdez Alaska. will take waste heat generated by the Petro Star
Refinery Waste heat will be collected by a shell and tube glycol medium recovery system. The
medium will drive two technologies operated in series.
Ammonia absorption technology will create cooling for a 45 million pound -20°F cold
storage. An Organic Rankine Cycle Generator will use the medium once it has exited the
ammonia absorption system to create 600 Kw's of power which will be used to operate the cold
storage facility.
The final benefit will be to use the sold cycle on the generator to create a salmon rearing
facility.
2.3 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. Include a project cost summary that includes an estimated total cost
through construction. _
VFDA has been working on this project since March 2003. VFDA has paid for a Conceptual
Engineering Letter (Alaska Anvil), Conceptual Engineering Report (Alaska Anvil), an Economic
Feasibility Study (McDowell Group), Business Plain (McDowell Group) and a Fatal Flaw
Analysis (Energy Concepts). To date VFDA has spent or contracted for $100.000 of work.
Currently VFDA is contracting with McDowell Group to consolidate all past work into one
document.
2.4 PROJECT BENEFIT
Briefly discuss the financial benefits that will result from this project, including an estimate of economic
benefits(such as reduced fuel costs) and a description of other benefits to the Alaskan public.
Savings in electrical costs $15,800,000 life of project
Savings in costs savings at the hatchery 7,500,000 life of project
Total 23.300,000 life of project
Savings in freight costs to processors 11,250,000 annually
.fob creation in value adding 8,000,Ct00 annually
Salmon rearing facility 4,000,G00 annual!
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Renewable Energy Fund
Grant Application
This project would save approximately $15.8 M over its 30 year life in electrical consumption
needed to run a fully electric 45 million pound cold storage plant. In addition, any excess power
would be transferred to V1=DA's Salomon Gulch Hatchery to reduce its $250,000 annual power
bill.
The savings would be passed thru to the public in affordable cold storage and reduce over
head cost at the hatchery run for the public benefit. The project will further reduce freight costs
to fish processors ($2.25MIyr). create 200 value adding jobs i, i state ($8Mlyr) and create new
common property harvest ($4Mlyr).
The project is a utilization of waste heat which is now bung exhausted to the atmosphere.
The heat from the Petra Star Refinery would be captured by a shell and tube heat exchanger
and transported via a glycol medium to the project site.
Petro Star currently exhausts 22 5 MM BTUlhour of usable heat. The glycol at 21 Q"F would
first run thru two 200 ton ammonia absorption units which would generate enough cooling for 45
million pounds of -20°F cold storage. The glycol would exit the ammonia skid at 1760F and run
thru two Purecycle 225 power generators. Once the glycol exits the generator it would flow thru
the a heat exchanger and return to the refinery. The last heat exchanger would provide heat to
either heat a building if needed or keep ice from penetrating the ground under the freezers.
Cold water for the low temperature side of the generators would be provided from surface
water originating in Abercrombie Creek. Once the water had cooled the generator is would be
mixed with ambient water to provide a 50OF fresh water rearing facility for salmon fry.
2.5 PROJECT COST AND BENEFIT SUMARY
Include a summary of your projects total costs and benefits below.
2.5.1 Total Project Cost $35,000,000
—A estimates estimates through construction.)
2.5.2 Grant: Funds Requested in this application. $ 6.000.000
2.5.3 Other Funds to be
2.5.4 Total Grant Costs (sum of 2.5.2 and 2.5.3) $ 6,350,t}00
2.5.5 Estimated Benefit( $23,300,000 (power co:
2.5.6 Public Benefit (11 you can calculate the benefit in terms of $ 14,500,000 (annually)
dollars please provide that number here and explain how
you calculated that number in your application.]
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Renewable Energy Fund
Grant Application
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 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.
The project oversight would be conducted by Jason Wells CEO for Valdez Fisheries. The
project will be managed by Ken Morgan. VFDA's current project manager. Ken has worked for
VFDA for 21 years and currently manages all our construction and maintenance projects.
In addition to our Project Manager. we will use Alaska Anvil, who is the flow engineer for
Petro Star. Energy Concepts engineers will coordinate their engineering expertise in ammonia
absorption with Anvil as will UTC Power for their area of expertise. which is low temperature
power generation. VFDA will hire a Project Engineer to work between VFDA and the
Contractor.
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. }
2003 2004 2005 2006 2007
Phase 1 ------
Phase 11 (Feasibility/Concept)--------------- --- --
Energy Concepts
Phase III (Final Design)
Phase IV (Construction)
Phase 1
Phase It (Feasibility/Concept)
Phase III (Final Design)
Phase IV (Constructton)
3.3 Project Milestones
Define
2008 2009 2010 2011 2012
McDowell Documents
Final Engineering
Construction
tasks and decision points in your project and a schedule for achieving them.
Key Tasks
1. Finalize land acquisition
2. Finalize engineering and permitting
3. Site preparation
4. Construction (Phase 1)
5. Construction (Phase 11)
Date for Completion
3l09
9/09
5110
5-11 — 9l12
51I 3-9114
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a ujLRGr AUTHORirr; Grant Application
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 our application-
--------
VFDA will solicit and contract a qualified Alaskan Engineering firm to develop specs and
coordinate with a technical engineer. VFDA will solicit and contract with a yet to be determined
contractor to hire skilled labor for the construction project The contractor will be responsible for
purchasing, bonding, insurance and compliance as delineated in the final design specs.
Due to the technology employed in the project, VFDA will sole source the ammonia
absorption skills from Energy Concepts and the Organic Rankine generators from United
Technologies Co. (UTC). All other materials will be the responsibility of the contractor.
Key Personnel
Randy Maag
Richard Clausen
Donald Erickson
Bruce Brederman
Refinery Manager
Process Engineer
Engineer
Engineer
Petro Star Refinery
Alaska Anvil
Energy Concepts
United Technologies
3.5 Project Communications
Discuss how you lap n to monitor the project and keep the Authority informed of the status.
VFDA will use its current corporate structure to oversee the project. Ken Morgan will be the
key corporate contact between AEA and the project. He will keep the corporate leadership
appraised of the progress He wits in turn have a project engineer who will report to him and
who will oversee the contractors- progress, change orders and specification compliance.
The contractor will invoice VFDA for work completed. Once the work has been reviewed by
the project engineer and project manager, VFDA accounts payable will submit the invoices to
AEA far payment. Vf~ DA's project manager will submit quarterly progress reports to AEA via e
mail
3.6 Project Risk
Discuss potential problems and how you would address them.
VFDA foresees the following risks
■ Coordinating heat recovery with the refinery
• The project having an affect on the refinery
• Refinery Shutdowns
• Power Disruption
• Delivery schedule for key components
• Material shortages
• Rising material costs
Solutions
Early coordination and lead time
Careful final engineering
Backup heat source
Hook up to CVEA
Early ordering
Develop key components priority
Develop staged construction
Fall back position
• Flammability of ammonia Develop handling & fire suppression
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Renewable Energy Fund
Grant Application
Technical nature of project
system in final design
Develop procedures manual
Hire and properly train personnel
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 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 ,clan 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.
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.
Petro Star is currently discharging 43 mm BTU/hour into the atmosphere. This is low
temperature waste heat at 215OF to 218°F. Approximately 20.5 mm BTU/hour is hot enough to
be usable to drive ammonia absorption as well as low temperature electric generators. The
project will use a glycol exchange medium to transport energy to the ammonia absorption skid
Temperatures into the skid will be 2100F and discharge at 1760F
The glycol discharging from the absorption skid will be 800 gpm at 176°F. This is enough
energy to create approximately 630 Kw of power which will be used to reduce power costs at the
cold storage. Excess power will be used to reduce overhead costs at VFDA's Solomon Gulch
Hatchery.
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
VFDA's hatchery is currently connected to the CVEA power grid. The cold storage will be
connected to the CVEA power grid as a back up to the low heat generator.
4.2.2 Existing 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 Solomon Gulch Hatchery currently uses about 800.000 Kwhlyear. Average consumption for
the ammonia absorption driven scold storage is estimated at 278 Kw when running at full
capacity
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"ERGY AUTH(YRITV
Renewable Energy Fund
Grant Application
4.2.3 Existing Energy Market
Discuss existing energy use and its market. Discuss impacts your project may have an energy
customers.
It is envisioned that VFDA will consume all of the power produced, but that the public will receive
100% of the benefit due to VFDA's corporate purpose and vision.
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
Technology to be employed in the project will be standard ammonia absorption technology.
however, due to the low temperature; a three pressure (double lift) cycle has been selected.
Technology to be employed for power generation will be an Organic Rankine Cycle Generator
turbine developed by UTC tPureCycle Model 225).
4.3.2 Land Ownership
Identify potential land ownership issues, including whether site owners have agreed to the
project or howyouu intend to approach land ownership and access issues.
There are 18 acres available for the project across the highway from Petro Star VFDA has
been in negotiation with the current owners. VFDA is waiting to come to an agreeable price for
the acreage VFDA will purchase the property free and clear
Petro Star currently has a right of way across the site which delivers crude oil from the Trans
Alaska Pipeline. While we will have access and use of the property. it is not clear whether we
will have our own pipeline corridor across the highway or use Petro 5tar's.
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 following permits are anticipated
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/ ALASKA Renewable Energy Fund
I ENERGY AUTHOWTV Grant Application
1. City of Valdez zoning permit
2 City of Valdez building permit
3 State of Alaska Fire Marshals permit
4. State of Alaska Right of Way encroachment
The city permits should be rather straight forward and be available within 45 days of the State
Fire Marshal signing off. The State Fire Marshal will review could be lengthy due to the
hazardous nature of the ammonia system and fire danger. All permits will require final design
drawings to proceed
4.3.4 Environmental
Address whether the following environmental and land use :ssoes 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
■ Aviation considerations
• Visual, aesthetics impacts
• Identify and discuss other potential barriers
• No threatened or endangered species are known on the site
• Habitat issues. Site drainage during construction could be an issue because there is an
anadromous stream bordering the site to the east. Soil containment will be required from
the contractor Water supply for the cold water side of the low heat turbine might affect
the anadromous stream. This issue will be addressed in the final design.
• Wetlands. The east end of the building site borders an anadromous stream. Some portion
of the east end of the project site might not be buildable.
• Archeological. The site was cleared in the 1970's and again in 1969 during the Exxon
Valdez Oil Spill. No archaeological or historical resources are anticipated. but the site will
be appraised by the State.
• Land development constraints. No residential area is located within 2 miles. The site is
zoned heavy industrial No constraints are anticipated.
• Telecommunication interferons. No interferences anticipated, however several cables are
located between the building site and Petro Star. These will be located prior to
construction.
• Aviation considerations The building site is rarely transited by aircraft Alyeska fly's
helicopters down the Pipeline but the project profile is to low to be a problem.
• Visual, aesthetic impact. The site is located in an industrial area.
4.4 Proposed New System Costs (Total Estimated Costs and proposed 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
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ALASKA Renewable Energy Fund
'W ENERGY AUTHORITYGrant Application
• 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 costs for the project is $35,879,000 according to the "Conceptual Engineering
Report" by Alaska Anvil (9/19/03). VFDA is asking for a grant in the amount of $6 million for the
current phase which includes Final Design, Site Preparation and Permitting. To date VFDA has
contributed $150,000 to preliminary work and we anticipate the land purchase to be another
$200.000. VFDA will leverage the AEA grant to obtain a federal grant for the final construction
phase which will include the glycol delivery line, heat collector, ammonia absorption skid,
Organic Rankine Cycle Generator, freight, building and four warehouses Funding to complete
the facility to 45 million pounds will come from loans and fees for the use of the facility. The
ammonia skid is estimated to cost about $3.7 million installed. The low temperature generator is
estimated at $1.4 million installed. The Organic Rankine Cycle Generator is currently an off the
shelf item Some engineering may be required for the ammonia absorption skid.
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
• Total anticipated project cost for this phase
• Requested grant funding
Enclosed please find a five year Annual Operating Expense (Appendix #1) and five year
Perforrna as prepared by McDowell Group in May 2004 Several changes have occurred which
improve the Performa enclosed. a. due to VFDA's 501 (C) (3) tax status there will be no real
property taxes; b the low temperature turbine will reduce power costs to zero
4.4.3 Power Purchase/Sale
The power purchase/sale information should include the following:
• Identification of potential power buyer{s}Icustomer(s)
■ Potential power purchaseisales price - at a minimum indicate a price range
• Proposed rate of return from grant -funded project
No Purchase/Sale of power is anticipated.
4.4.4 Cost Worksheet
Complete the cost worksheet form which provides summary .nformation that will be considered
in -evaluating the project_
Numbers for the Budget form were derived from Cost estimates in the Alaska Anvil Conceptual
Engineering Report and our estimates of time dedicated by VFDA's Project Manager.
4.4.5 Business Plan
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.
VFDA has contracted McDowell Group to conduct the feasibility study (appendix # 2) and a
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ALASHKA
Renewable Energy Fund
Grant Application
Business Plan (Appendix #3). We are currently contracting McDowell Group to review and
coordinate all documents received to date They will also update the plans to integrate changes
that have occurred over the past 5 years and new technologies that have come on line.
4.4.6 Analysis and Recommendations
Provide information about the economic analysis and the proposed project. Discuss your
recommendation for additional project development work.
Enclosed please find our Economic Feasibility and Business plan documents.
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 avoided cost of ownership)
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
Valdez Fisheries Development is a 501 (C) (3) not for profit corporation. The purpose for
formation of the corporation is stated in the Articles of Incorporation. "The purpose and purposes
for which it is formed are to raise and propagate fish and develop renewable fisheries resources
for the benefit of sport fishermen. commercial fishermen, fish processors, tourists and all
businesses dependent upon the fishing industry in Alaska". Tn this end, ail of the benefits and
expense savings which VFDA receives or produces inures to the benefit of all Alaskans.
VFDA has developed a very successful hatchery program which currently returns 50-100
million pounds of fish annually to Port Valdez (see appendix # ). If Alaska is going to get the full
benefit of these resource, we need to be doing the value adding to the raw resource
Alaska has never had the ability to hold its raw product instate so that value adding could
provide winter jobs for Alaskans. The problem has always been that cold storage was too
expensive due to power costs. This project provides power costs at nearly zero costs.
The processing industry in Alaska processed fish during a very short season and under great
time constraints. This results in the product being minimally processed and shipped outside.
The processor must ship parts of the fish (stein, bones & fins) which have no sales value. All of
the unused parts must still be shipped south at $ 1711b. If the value adding were performed in
Alaska. the processors would cut their shipping costs in half as about 50% of a headed/gutted
salmon is usable. Further. if a processor doesn't pre -sell his pack. he must Morrow money for
freight at current capital rates. If processors could hold production in Alaska, they could charge
the freight to the purchaser of his product on a net 30 basis. Alaskan processors particularly
small freezing facilities would greatly benefit from this project.
This project will also provide a repository in Alaska for raw produce- Available raw product
could spin off many small businesses in Alaska which would create specialty products during the
winter in State. This project will also provide a warm water source for rearing sport fish for the
Prince William Sound sports fish industry. It is anticipated that at full capacity the facility would
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Renewable Energy Fund
Grant Application
employ about 200 full time rural employees.
Aside from the benefits to commercial and sports fishermen. the project would also help
Copper Vailey and Delta farmers. The farmers are limited in their ability to produce by a lack of
holding area for their harvest. They like the fishermen are subject to a very short harvest season
and must ship to holding facilities in the lower 4$ This project has the ability to very the
temperatures in each warehouse from -20OF to +70°F. Farmers' products could be frozen or
held in a controlled environment until markets can offer farmers optimum prices. The project
would allow farmers to increase their production, value add their product and delay shipping until
cheaper rates are available.
Projects like the one proposed by VFDA will begin to build in necessary infrastructures so that
Alaska can use its own resources to develop a local year round economy. Such projects will
need to be energy competitive and labor saving to compete with global markets Most Alaskan
businesses can not afford to develop needed infrastructure by themselves, they will need
government assistance to make their contribution to Alaska's economy Such infrastructure will
allow Alaskan's to develop in state capital; with that capital being re -circulated in Alaska's
economy.
SECTION 6 — GRANT BUDGET
Tell us how much your total project costs. Include any investments to date and funding sources,
how much is requested in grant funds, and additional investments you will make as an
applicant.
Include an estimate of budget costs by tasks using the form - GrantBud et. xls
To date VFDA has invested $125.000 in concept and feasibility analyses. We currently are
contracting with the McDowell Group up to $25.000 to summarize all previous documents.
including changes to the project and will have them create a power point presentation for the
project.
VFDA, like any non-profit. is living hand to mouth but, the Board of Directors feels strongly
enough about this project to commit its limited capital Further. if possible we will commit to
purchase the building site.
We have been in contact with our congressional delegation for federal funding, but there is a
demand on the Federal level to see State investment in the project. This grant would be used to
leverage the federal government for $11.5 million and we have commitments from our Senators
to pursue funding once the State has become involved
With the state and federal investments, we will construct the first phase of the project. which
includes the technical equipment, the handling facility and the first four warehouses Further
expansion of the project will depend on proceeds from the facility, commercial loands or private
investment by users of the facility.
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ALASKA Renewable Energy Fund
ENERGY AUTHGRITY Grant Application
SECTION T - ADDITIONAL DOCUMENTATION AND CERTIFICATION
SUBMIT THE FOLLOWING DOCUMENTS WITH YOUR APPLICATION;
A. Resumes of Applicant's Project Manager, key s4aff, partners, consultants, and
suppliers per application form Section 3.1 and 3.4
B. Cost Worksheet per application form Section 4.4.4
C. Grant Budget Form per application form Section 6.
❑. An electronic version of the entire application per RFA Section 1.6
E. Governing Body Resolution per RFA Section 1.4
Enclose a copy of the resolution or other formal action taken by the applicant's
governing body or management that:
authorizes this application for project funding at the match amounts indicated in
the application
authorizes the individual named as point of contact to represent the applicant for
purposes of this application
states the applicant is in compliance with all federal state, and local, laws
including existing credit and federal tax obligations.
F. 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.
Print Name
Signature
Title Iae�- U
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Table 15
Summary of Five Year Annual Operating Expenses
Utilities
Year 1
Year 2
Year
3
Year 4
Year 5
Electricity
$
103.300
$
150,300
$
197.300
$
241.500
$
285,800
Fuel oil For heat
1,200
1,200
1.200
1,200
1,200
Telephone/Internet Connection (3 lines)
3.200
3,200
3.200
3.200
3,200
Diesel for generator backup
3,000
3,000
3,000
3,000
3,000
Sub -total Utilities
$
110.700
$
157,700
$
204.700
$
248,900 IS
293.200
Supplies
Office
$
1.500
$
1,000
$
1.000
S
1,000
$
1.000
Grounds
500
300
300
300
300
Sub -total Supplies
$
2,000
$
1.300
$
1.300
S
1300
$
1,300
Labor
Salaries
$
260,000
$
310.000
5
465.000
$
465.000
S
465,000
Burden at 20%
52,000
62,000
93,000
93,000
93,000
Sub -total Labor
S
312.000
$
372.000
$
558,000
$
558,000
S
558.000
Building and Equipment Expense
Building insurance
$
77,200
$
84.500
$
91,600
$
98,500
S
105200
Building repair and maintenance
64.700
72,100
79.500
86,900
94,300
Grounds maintenance (snow removal)
10.000
10,000
10,000
10.000
10,000
Processing equipment R&M
22,600
28,400
30,200
31,400
32,400
Set -aside for equipment upgrades
50.000
1
75.000
100.000
125.000
150.000
Sub -total Building and Equipment
Repair & Maintenance
$
224,500
$
270,000
$
311,300
$
351,800
$
391.900
Taxes
Real property (20 mills) 1
$
479100
$
534,000
$
588,900
$
643.800
5
698.700
Expenses before Depreciation
and Debt Service
$1,128,300
$1,335,000
5 1,664,200
$1,B03,800
$1,943.100
Depreciation
Equipment (processing)
$
123,200
$
155.000
S
156,000
$
156,000
5
156,000
Equipment (office)
3,800
3,800
3.900
3.900
3.900
Buildings
542,200
605.000
668,000
731.000
794.000
Sub -total Depreciation
S
669,200
$
763.800
$
827,900
$
890.900
S
953,900
Debt Service
Assumes 100% grant funding
-
Total Expenses
$1,797,500
$2,098,800
$2,492,100
$2,694,700
$2,897,000
�. A/r lee,l X ¢e,
N• • •�"Uee s f L1i, C'y¢rrr�
Valdez Cold Storage Facility Feasibility Study
McDowell Group, Inc. • Page 37