Step Up Payback Proposal Program “How-To” 9/4/07

1. Step Up Payback Proposal Program “How-To”9/4/07

2. Step Up Energy Payback Proposal Program Designed for projects with multiple prescriptions, the Energy Payback Proposal Program generates existing versus proposed project costs, benefits, simple payback, EPAct summary, and the environmental impact of energy efficient lighting systems. The results are compiled into a detailed project proposal, bill of material, and one-click summary cover letter customizable with your or your customer’s logo. Comprehensive Payback and Proposal Development Tool

3. To get started: Intro The Intro worksheet is the only input screen. There are five sections: • Client Information • Facility Information • Annual Operating Hours • Audited Luminaire Information • Proposed Luminaire Information 1 2 3 4 5

4. Intro: Client Information The client information will be pulled into the header of the proposal and cover letter Financing: • Though Cooper Lighting does not offer financing as part of our Step Up package we do have partners who can offer financial options • The financing option can be modified once the proposal is completed and the changes will be reflected in the proposal 1

5. Intro: Facility Information • The facility information is imperative for accurate calculations –specifically the sales tax and kWh. • When determining the kWh cost make sure to factor in all taxes, surcharges and seasonal demand variations by dividing the total kW demand by the total invoice amount for at least two utility bills. • The kWh and tax fields can be modified after the proposal is complete and the proposal will reflect the changes. 2

6. Intro: Facility Information • We have provided three options to factor in labor costs: hourly labor, unit cost per fixture, and lump sum. • When an option is selected the required input fields will be visible. For example, hourly labor and unit cost per fixture require specific fixture inputs. Those fields will be visible under the Proposed Luminaire Information section. • Unit Cost and Hourly Labor Costs can be edited in the BOM worksheet • Lump Sum Costs can be edited in this intro worksheet 2

7. Intro: Facility Information • EPAct is calculated within the Step Up Payback Proposal Program using the Building Area Method. We’ve included a drop down for the available applications. • These fields can be modified once the proposal is completed and the changes will be reflected. • The square footage field is the sum of all areas. Individual proposals will need be created if the user wants to use multiple square footage values. 2

8. Intro: Facility Information • The HVAC option is based on the method described in Rundquist, 1993, ASHRAE Method, Controlling Energy Consumption in Single Buildings, U.S. Department of the Navy, Naval Civil Engineering Lab, CR82.028, 1982. • If the HVAC option is selected the state field in the facility information section must be entered. This will drop down the list of the states cities for the user to select the one closest to the project location. 2

9. Intro: Annual Operating Information • The annual operating hours once entered will default for each prescription • Operating information can be modified per prescription • Note that 24 hours x 7 days x 52 weeks is 8736 hours while a full year is 8760 hours. For 8760 hours enter it in the hours cell and multiply it by 1 in days and 1 in weeks. 3

10. Intro: Audited Luminaire Information • This column allows the user to enter information about the existing luminaires – one at a time. • The first cell identifies the fixture type and/or location based on audit information. • The program is pre-populated with common lamp and ballast configurations and their corresponding input watts. • By using the Custom/User Library the user selects from drop down menus to isolate the correct input wattage. • All fields are editable so if the user doesn’t see the option they want they can overwrite the field and manually input the fields. • The description field identifies the fixture and it will be how the fixture is saved into the user’s library. 4

11. Intro: Audited Luminaire Information • This column allows the user to enter information about the existing luminaires – one at a time. • The first cell identifies the fixture type and/or location based on audit information. • The program is pre-populated with common lamp and ballast configurations and their corresponding input watts. • By using the Custom/User Library the user selects from drop down menus to isolate the correct input wattage. • All fields are editable so if the user doesn’t see the option they want they can overwrite the field and manually input the fields. • The description field identifies the fixture and it will be how the fixture is saved into the user’s library. 4

12. Intro: Proposed Luminaire Information • The proposed luminaire information allows the user to select from the list of common lamp and ballast configurations as well as from a database of Cooper Lighting fixtures. • When creating custom fixtures the user will need to manually input fixture series name and fixture description. • The description field will be how the luminaire information is saved into the user’s proposed library. 5

13. Intro: Proposed Luminaire Information • For the proposed luminaire the user must enter the price, any related labor costs (if unit cost per fixture or hourly labor rate) and rebate/incentives per fixture. • The user will have an opportunity to modify the price and labor costs in the BOM worksheet. 5

14. Intro: Proposed Luminaire Information • The proposed luminaire section includes a column to designate whether the luminaires will be equipped with controls. • For example, only a number of fluorescent high bays might have occupancy sensors so include only the quantity that does, any cost adder, percent of time at full light output, and finally related rebates/incentives. • The program will automatically modify the input wattage to factor in the controls and add in any additional costs. 5

15. Intro: Add Prescription • All fields must have a value. If there are no rebates available please make sure there’s a zero in the cell. Otherwise the program will pop up a dialog box asking you to add an input to the missing fields. • Once all of the fields have inputs, click add prescription. • The program will reset the audited and proposed luminaire sections and leave the top three sections completed. • Each prescription can have varying operating hours so they can be modified as new prescriptions are added. • Reset Calculator will clear everything from all worksheets

16. The Results: Proposal • The Proposal worksheet is the executive summary of all the general and luminaire specific inputs in the Intro worksheet. • The user can add a specific project name and their contact information in the lower left hand corner of the worksheet • The user can customize the Proposal with a logo in the top left hand corner. To customize it is recommended that images be copied and pasted rather than inserted into the worksheets. • The Proposal is formatted to print to standard 8-1/2” x 11” size

17. The Results: Proposal • If selected the proposal will provide an estimate tax deduction per the Energy Policy Act (EPAct) • EPAct’s interim rules for lighting systems use a sliding scale, whereby a minimum of 25% savings versus the ASHRAE 90.1-2001 watts per square foot requirement is eligible for $0.30 per square foot tax deduction. The maximum deduction is $0.60 per square foot for greater than 40% energy savings (except for warehouses which must exceed 50% savings versus the standard and it’s all or nothing). • The tax deduction is the lesser of the above calculation and the cost of the project. The program will automatically calculate the appropriate value, which is shown in the field labeled – estimated benefit of EPAct.

18. The Results: Bill of Material (BOM) • The Bill of Material worksheet shows the individual line items entered into Intro worksheet. • For proposed luminaires with motion sensors, the program adds them to a separate line. • Each line item can be removed or edited. • To edit luminaire information that was created using the custom database the user will need to select the Cooper Product Table in the Custom/User Library drop down then reselect Custom. This will reset all of the values.

19. The Results: Bill of Material (BOM) • To edit labor, if the user selected unit cost or hourly labor rate each line item can be modified. If lump sum was selected the user will need to modify the lump sum value on the intro screen. • The BOM worksheet also allows the addition of options and accessories. Simply click the Add Options & Accessories button and work through the drop downs. • Any values modified in the actual worksheet and not in the edit function will NOT be conveyed in the proposal. • The BOM worksheet is formatted to print landscape to standard 8-1/2” x 11” size

20. The Results: Summary Cover Letter • The Summary Cover Letter will automatically generate when the user clicks Produce Summary. To edit the summary can be exported to Word. • The user can customize the Summary with a logo in the top left hand corner. To customize it is recommended that images be copied and pasted rather than inserted into the worksheets. • To customize it is recommended that images be copied and pasted rather than inserted into the worksheets.

21. The Finale • Detailed Proposal • Professional Summary Cover Letter • Bill of Material to place the order Comprehensive Payback and Proposal Development Tool

22. Step Up Payback Proposal Program “How-To”9/4/07