1 / 31

Presented by: Bob Barton, CEO Catalyst Financial Group, Inc. working in support of EPA

IAQ Tools for Schools. National Tools for Schools Symposium 2001 Financing Considerations. Presented by: Bob Barton, CEO Catalyst Financial Group, Inc. working in support of EPA. What’s happening in your school? IAQ and Energy Efficiency Sources of Funding Costs of Delay.

lapis
Download Presentation

Presented by: Bob Barton, CEO Catalyst Financial Group, Inc. working in support of EPA

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. IAQ Tools for Schools National Tools for Schools Symposium 2001 Financing Considerations Presented by: Bob Barton,CEO Catalyst Financial Group, Inc. working in support of EPA

  2. What’s happening in your school? IAQ and Energy Efficiency Sources of Funding Costs of Delay IAQ Financing - Summary

  3. ________________________________ ________________________________ ________________________________ ________________________________ ________________________________ ________________________________ ________________________________ ________________________________ ________________________________ The Problems

  4. Soft – Behavioral Modifications Animal Allergens Cockroach Allergens Mold and Moisture Secondhand Smoke Dust Mites Asthma Management Plan School-Based Asthma Education Programs Chemical pollutants and cleaning agents “Soft” vs “Hard” Solutions

  5. Hard – New Equipment Air Circulation HVAC Mites Carpets Mold Moisture Roofing “Soft” vs “Hard” Solutions

  6. Most of these problems will be improved or eliminated with effective HVAC system. How can you use energy dollars saved to pay for the improvements? IAQ and Energy Efficiency

  7. Unlike other capital projects Dollars you need are buried in your Utility Bill (operating exp) Delaying the installation is an expen$ivedecision. You have the authority and resources Energy Efficiency Projects

  8. Capital Budget (Debt) What is the approval process? Board/Council Referendum Ceiling on capital expenses? Restructure capital expense budget? Operating Budget (Expense) Already in utility payments Easier approval process Energy efficiency projects may provide access to captive funds for other needs Capital vs. Operating Budget

  9. Capital Expense Bonds Loans “Performance Contract” Operating Expense Lease/Lease-Purchase “Performance Contract” Categorizing Financial Instruments • No Expense • Grants • Rebates/Incentives

  10. What Services Can An ESCo Provide?

  11. Common Performance Contracts • Shared Savings Agreement • Fixed payment • One-time verification • Taxable or tax-exempt • Variable payment • Requires measuring and monitoring • More expensive

  12. Guaranteed Savings Agreement ESCo or insurance company Can separate financing from technical performance Most commonly used for Public Sector Own-Operate ESCo owns facility and sells back “output” Common Performance Contracts

  13. Benefits of Tax Exempt Lease Purchase Agreements Title to the Equipment Rests with Lessee Access to Low Cost,Tax-Exempt Funds Payments Are Subject to Annual Appropriation of Fundsby Lessee (Not a Capital Budget Item) Easy paperwork Fast You may already be leasing something!

  14. Three Treatments Legal Authority Voter Approval Issues Financial Reporting GAAP/GASB “Materiality” Internal Accounting Construction Financing Escrow Accounts Master Lease Additional Considerations

  15. Note: Leasing legislation and interpretations are constantly changing. Always check with local counsel to insure compliance.

  16. Internal Sources Operating or capital budgets Available fund balances Third Party Lenders Existing Lenders Lease-purchase master lease (line of credit) New Lenders Upcoming bond issue Lease-purchase agreement “Equal Opportunity Sources”

  17. Federal Programs Dept of Agriculture Community Facilities Loan Fund Dept of Education QZAB Urgent School Renovation Grants State Programs Utility Programs Specialty Sources

  18. US Dept of Agriculture Community Facilities Loan Fund Rural population focus Up to 40 years or useful life Must show economic need Formula based pricing Average income of population Specialty Sources

  19. $1.2 billion for urgent school renovation School Renovation $901 million IDEA/technology Activities $274 million Charter School Facility $25 million Grants and 0% Loans Authorized under part B of the Individuals with Disabilities Education Act (IDEA) Urgent School Renovation Funds

  20. Awarded on competitive basis Student-age population Need for school repairs Fiscal capacity to meet repair needs Urgent School Renovation Funds

  21. Act Now! Federal Cut off date = 9/30/02 State cut off date = 9/30/03 Urgent School Renovation Funds • States have option to impose matching requirements. Example:

  22. http://www.ed.gov/inits/construction/allocations.html For additional information, please contact Sylvia Wright at (202) 260-3778. Contact your state Dept. of Ed. Urgent School Renovation Funds

  23. Getting to Yes Match eligibility requirements Talk their language Demonstrate need and solutions with social impact Always submit preliminary proposal Grants

  24. Getting to Yes Match eligibility requirements Talk their language Demonstrate need and solutions with social impact Always submit preliminary proposal Grants

  25. American Lung Association School Partnership Grants For Asthma Education  David & Lucile Packard Foundation, CA $98,748 for San Mateo County Schools $116,420 for Santa Clara County Schools Meadows Foundation, TX $94,950 for TX Elementary Schools Kate B. Reynolds Charitable Trust, NC $69,885 for Western, NC Schools Sample Grants

  26. Public School Building Renovation Grants McBean Charitable Trust, CA $1,000,000 for Newport, RI Abell Foundation, MD $150,000 for Baltimore Beazley Foundation, VA $400,000 to Portsmouth, VA  Medtronic Foundation, MN $209,400 for Minneapolis, MN Sample Grants

  27. Public School Health Program Grants The Ahmanson Foundation, CA $30,000 to LA Unified School District The California Endowment, CA $80,000 to Pajoro Valley USD $107,500 to East Side Union HS Sample Grants

  28. IAQ can be “piggy-backed” on Energy Efficiency projects Tax-exempt lease purchase agreements can provide cost effective financing alternatives Costs of delay can be very expensive Alternative Financing may be available EPA can help In Summary…

  29. What Services Can An ESCo Provide? • Walk-through energy audit • Comprehensive energy audit • Design and specification of new equipment • Vendor of energy efficiency equipment • Installation/construction management • Ongoing maintenance • Training of personnel • Performance guarantees • Measurement and verification of project performance • Financing • IAQ problems • Procurement and purchase of energy commodity

  30. Chemical pollutants from building or building maintenance materials Chemical pollutants from science and art classes Improperly maintained ventilation systems Allergens from classroom animals and cockroaches or pests Mold growth Outdoor air pollutants and pollens Second hand smoke Dust mites The Problems

  31. Bob Barton Tel: 802.276.3846 (Catalyst Financial Group, Inc.) rbarton@catalyst-financial.com The Cadmus Group, Inc. is an EPA contractor working for ENERGY STAR E-mail finance@cadmusgroup.com Call the ENERGY STAR Hotline at 1-888-STAR-YES (1-888-782-7937) Visit www.energystar.gov For More Information...

More Related