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8 | City of Cincinati capture twice as much energy output over this year. The city has negotiated a 20-year deal with a company known as Solar Power and Light (SP&L). In a move that will not cost Cincinnati one red cent, SP&L plans to build, operate and maintain solar power fa- cilities at its own expense. In turn, the city will purchase energy from SP&L at a cost that is less than what they now pay. “This enables us to better budget for future energy cost, is a hundred percent green, and even in Cincinnati where there is cheap coal, we can Less than $2 million of City capital funds were used to leverage over $14 million of energy efficiency work through an ener City of Cincinnati Fact Sheet 2009/2010 Energy Services Performance Contractin Background Like most cities, the City of Cincinnati is challenged by its aging facilities and limited capital funds. Most of the facilities were operational expenses were not a major factor in building design and most are now in need of technology and comfort upgrades. What is Energy Services Performance Contracting? State of Ohio enabling legislation introduced in 1994 (and amended in 2008) allows municipalities to fund capital improvem savings through a guaranteed performance based contract. The installation of energy savings measures can be financed by Ohi useful life of the equipment, typically 15 years, and is not included in the calculation of the municipality’s net indebtedness. How is the City of Cincinnati Currently Using Energy Services Performance Contracting? The City owns/operates nearly 400 buildings. Energy audits of key buildings have been conducted at 88 buildings to date, including City Hall, the Duke Energy Convention Center, and facilities operated/managed by Fire, Police, Recreation, Health, Parking, Lunken Airport, and Public Services. Nearly $15 million of energy efficiency upgrades in 69 City facilities was leveraged by about $1.7 million of City capital and $1.1 million of Energy Efficiency and Conservation Block Grant funding. When all the lighting, heating and air conditioning, building automation, and building envelope upgrade work is completed, City energy use will be reduced by more than 10.1 million kWh and energy costs will be reduced by over $1 million per year. The work will also generate 100,000 kWh of renewable energy and reduce greenhouse gas emissions by 8,929 metric tonnes. How did the City Fund the Current Performance Contracts and what are the expected Environmental and Financial Year Total Project Costs City Financed w/Energy Savings City Capital Duke Energy Rebates/State Grants Federal Grant Funding State Grant Funding Annual Energy Reduction Annual Energy Generation 2009 $5,908,691 $4,511,652 $469,000 $190,172 $334,930 $402,937 3.8M kWh/ 116,213 ccf 100,000 kWh 2010 $8,810,640 $6,515,953 $1,238,737 $253,574 $802,376 0 6.3M kWh/ 33,907 ccf 0 TOTAL $14,791,331 $11,027,605 $1,707,737 $443,746 $1,137,306 $402,937 10.1M kWh/ 150,120 ccf 100,000 kWh