Download
1 / 12
120 likes | 243 Views
2012 NASCSP Mid-Winter Conference – Washington, DC March 1, 2012. Fee For Service. Non-Profit and For-Profit Working Together. Michelle Picklesimer , Financial Officer South Central Community Action Partnership . Why a Fee for Service Startup Home Energy Management – Six years later
E N D
2012 NASCSP Mid-Winter Conference – Washington, DC March 1, 2012 Fee For Service Non-Profit and For-Profit Working Together Michelle Picklesimer, Financial Officer South Central Community Action Partnership
Why a Fee for Service • Startup • Home Energy Management – Six years later • Looking ahead
Why We Set Up A “Fee For Service” Company • Uncertainty of Federal Funds • DOE Weatherization Plus~ Leveraging • Elimination of Program Income Requirements • Additional Resources for WZ Program & SCCAP • Staff/Contractor Retention (skill sets & certifications) • New Partnerships – Existing Partners Expanded • Utility DSM programs & incentives • Provide Energy Conservation to Middle and Upper Income Homeowners/Business
Setting up “FEE FOR SERVICES” Knew we wanted to expand our resources Knew what we were good at (energy efficiency & diagnostics & customer compassion) Knew we had skills that no other company offered Knew there was a need in our communities Knew there was legal & administrative steps So where to start first!
Setting up “FEE FOR SERVICES” • Board Support and Approval • WZ Staff/ Administration Staff Buy In • Created a Business Plan (with help) • Developing a Marketing Plan • Performing a Preliminary Feasibility Study • Preparing a Business Plan • Securing Financing
Setting up Home Energy Management • Received Board Resolution to create For-Profit dba – Home Energy Management (HEM) • Created the HEM Board of Directors • Legal steps for company start up • Purchased General Liability & Workers Compensation Insurance • Applied for building Contracting Licenses with Bureau of Occupational Licenses • Setup office & warehouse space • Obtained software for Accounting and Audits
Setting up Home Energy Management (cont’d) • Established Policies and Procedures • Developed employee manual • Created job descriptions with hourly rates • Hired Manager, Fiscal Officer, Crews • Purchased HEM diagnostic equipment • Generated cost basis for equipment leasing with Federal & Agency owned equipment • Purchased cell phones and service • Set up new accounts with material suppliers • Promotion and Advertising
Home Energy Management (HEM) • Completed 300+ jobs at an average of $3,000 per job • Generated over $14,000 in program income • Retained experienced staff and contractors • Earned $165,000 in net profit--$56,000 has been paid to SCCAP to support agency activities and programs • Worked with a local utility company to pilot a program to assist households with incomes in the 175% - 250% of poverty with weatherization services.
So Where do we go from here? • What’s on the table • Expansion to a full stand alone company • Moving some current SCCAP staff to HEM full time • Splitting full-time staff between the 2 companies • Continue providing staff opportunity to earn “extra pay” by working on HEM on weekends • Expand services to include use of skills gained from SERC grant • Using HEM profit to provide additional funding to Weatherization Program as well as other programs that are experiencing funding cuts
