According to a letter from Gov. Robert Bentley, the state will be getting $274,303 “to install energy-efficient retrofits to buildings owned by the city…I congratulate you on your commitment to energy efficiency and the fine example you are setting for the citizens in your region.”
According to City Manager Brian Muenger, the program involved is funded by Power South as an incentive for cities to do retrofits. It requires an annual usage audit and will likely be paid off in six years. Although there is no interest charged on the loan, there is a one time 3 percent service charge and a letter of credit will have to be furnished.
This funding will work in conjunction with the Trane Energy Audit, which has guaranteed the city $67,000 per year in savings. This guaranteed savings will eventually be used to repay the loan.
Muenger said he will be presenting the city council with a total project of $850,000, which will also help to pay off some of the city’s older debts.
Most of the work will be done at city hall and the Spring Street Recreation Center, but new heating and air at Heritage Hall, the B.N. Mabra Center and the Ritz Theater.
The city will pay for the work up front and then be reimbursed.
In addition to larger, more obvious projects like new heating and air, it will also cover smaller things, like more efficient lighting, which will eventually create additional savings.
The city applied for the funds through the Energy Division of the Alabama Department of Economic and Community Affairs. It was then approved by ADECA’s director and then by the governor.
Contact Chris Norwood by email@example.com