Alternative Financing Awards to Organizations

December 1, 2002

Veterans Affairs Salt Lake City Health Care System
Department of Veterans Affairs
Salt Lake City, Utah
801-582-1565, Ext. 4530

During FY 2001, the Veterans Affairs Salt Lake City Health Care System used energy savings performance contract financing to implement wide-ranging energy conservation measures, making the medical facility a showcase for integrating energy-saving strategies. The measures included current technologies-lighting, controls, and chiller plant upgrades-as well as new technologies such as a rotoclave medical waste sterilizer. Improvements also included refurbishment and expansion of a solar hot water system and utility rate reduction. Training was also required for operations and maintenance staff, ensuring continued energy savings of the projects. The control system upgrades have improved the ability to monitor, measure, and manage the site's energy use. The energy-saving measures now in place have resulted in dramatic reductions in energy use, with annual energy savings of 50.7 billion Btu-a decrease of 24 percent-and guaranteed annual cost savings of $493,000.

42nd Civil Engineering Squadron, Maxwell Air Force Base and Gunter Annex
United States Air Force
Maxwell Air Force Base, Alabama

The men and women of the 42nd Civil Engineering Squadron at Maxwell Air Force Base and Gunter Annex have dedicated themselves to meeting the many energy conservation challenges at the Base. The group used an energy savings performance contract to implement seven energy saving projects, which resulted in $12.7 million in capital improvements. Some of the projects included decentralization of the central heating plant, automation of the central chiller plant, installation of lighting controls and high-efficiency lighting, and upgrading of energy management control systems, air handler units, and freezers. These energy measures are estimated to result in cost savings of more than $1.4 million, and energy savings of 1,300 billion Btu per year.

7th Civil Engineer Squadron, Dyess Air Force Base
United States Air Force
Abilene, Texas

In its ongoing efforts to meet challenging energy performance standards, the 7th Civil Engineer Squadron Operations Flight implemented a $5.4 million energy savings performance contract, saving more than 46 billion Btu and more than $682,000 per year while reducing energy use by 8.7 percent. The 7th Civil Engineer Squadron retrofitted 26 steam boilers and 5 air conditioning systems, installed an ice storage system for peak load shedding, added direct digital controls in 20 buildings, and replaced old T-12 magnetic ballast fluorescent bulb technology with new T-8 bulbs in 101 buildings. Lighting levels in the B-1 engine repair shop were improved by more than 400 percent, adding greatly to employee comfort and productivity. Two additional projects have started, which will further reduce energy consumption and demonstrate the 7th Civil Engineer Squadron's commitment to making Dyess Air Force Base a showcase for energy conservation.

Marine Corps Base Camp Pendleton
United States Marine Corps
Camp Pendleton, California

Marine Corps Base Camp Pendleton aggressively uses alternative financing to implement energy conservation projects. Since 1996, the Camp has awarded 25 delivery orders under a utility energy service contract with San Diego Gas and Electric, totaling more than $30 million in project costs. This year two projects totaling almost $6 million were awarded through the UESC vehicle resulting in an estimated 67 billion Btu in annual energy savings and $3 million in annual cost savings. UESC vehicle projects include upgrading direct digital controls, replacing electric dryers with gas dryers, replacing inefficient furnaces and HVAC units, and installing natural day lighting. President Bush visited Camp Pendleton in May 2001 and congratulated the Base for aggressively implementing energy conservation opportunities and reducing Base operating costs.

Marine Corps Air Station Yuma
United States Marine Corps
Yuma, Arizona

Marine Corps Air Station Yuma is using alternative financing as its primary strategy to accomplish energy conservation projects. Working closely with the local utility, Arizona Public Service, the work done during FY 2001 through a utility energy service contract used eight different energy conservation technologies ranging from a direct digital control installation to more simple measures, such as installing light-emitting diode technology to replace incandescent lighting in fire alarm transmission boxes. Total project costs were less than $1.5 million, which results in a simple payback period of 7.9 years. Projected savings from the project are almost $186,000 and more than 10 billion Btu annually.

Camp Lejeune
United States Marine Corps
Camp Lejeune, North Carolina

Camp Lejeune, the largest Marine Corps base in the world, used a team approach to tackle its biggest energy efficiency investment ever. A $16 million utility energy service contract project upgraded 2,093 air-to-air heat pumps and cut energy use by 33 percent in four family housing areas by replacing old heating and cooling equipment with geothermal heat pumps. Annual savings of almost $1.5 million from the new ground coupled heat pumps will amortize the financed portion of the investment, about $12.7 million, in 10 years. A ground coupled heat pump upgrade was implemented in 2,089 of the 4,400 military family housing units during FY 2001. Total FY 2001 savings as a result of the upgrade are more than $184,000 and more than 24 billion Btu during the construction year.