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IV.6. Center for Energy and the Environment Home Energy Squad Enhanced Visits – Contract Agreement; Beekman (CR2016-129) December 20, 2016 Council Report 2016-129 Center for Energy and the Environment Home Energy Squad Enhanced Visits – Contract Agreement Proposed Action Staff recommends adoption of the following motion: Move to approve a contract through 2019 between the City of Hopkins and Center for Energy and the Environment regarding the Home Energy Squad Enhanced Program. Overview The Center for Energy and the Environment (CEE) is a nonprofit that provides a range of programs and resources for homeowners, businesses, and governments designed to reduce energy consumption. Their programs include energy audits, consulting, recommendations on qualified contractors, and access to financing for energy improvements. They offer access to other state-wide loan programs such as the Fix-up Loan Program and the Energy Conservation Loans that GMHC also offers. In addition, they offer loan programs and engineering services for rental properties and businesses interested in lowering their energy costs. The City of Hopkins has had a partnership with CEE since 2014 to offer the Home Energy Squad Enhanced Program to Hopkins residents. Currently the cities of Minneapolis, Bloomington, New Hope, Richfield, St. Louis Park, and Edina participate in the program. Residents of partnering cities have access to a 2-hour visit that includes an energy audit, a review of utility bills, immediate installation of a range of energy savings devices, and a report of the home’s energy use with recommendations on how to further improve energy performance. The report includes an energy score for the home and other resources for the homeowner to improve the energy efficiency of the home. In addition, residents who participate in the program gain access to financing through CEE at special financing rates from 0%-2.99% to complete any improvements to the home, as well as access to CEE’s other lending products. The program is partially funded by Centerpoint Energy and Xcel. Participating residents pay $50 per visit, and the partnering city pays $50 per visit. CEE bills their partnering cities monthly based on the number of visits completed. Since the inception of the partnership, 158 Hopkins homeowners have taken advantage of the program. Approval of this agreement would extend the program for an additional three years to the end of 2019. Council Report 16-129 Page 2 Supporting Information • Agreement to Perform Home Energy Squad Enhanced Visits in the City of Hopkins ___________________________ Meg Beekman Community Development Coordinator Financial Impact: $3,500 Budgeted: Y/N Y Source: ED Fund Related Documents (CIP, ERP, etc.): _______________________________________ Notes: _______________________________________________________________ Alternatives The Council has the following alternatives: • Approve the Agreement • Approve Agreement with changes • Deny Agreement and opt not to partner with CEE AGREEMENT to Perform Home Energy Squad Install and Enhanced Visits In the City of Hopkins This Agreement is made by and between the City of Hopkins with offices at 1010 1st Street South, Hopkins, Minnesota, 55343 and the Center for Energy and Environment (“CEE”), with offices at 212 3rd Avenue North, Suite 560, Minneapolis, Minnesota 55401. The following agreement is for the Center for Energy and Environment (CEE) to deliver Home Energy Squad Install and Enhanced visits to residents of the City of Hopkins. PROGRAM SCOPE The purpose of the Home Energy Squad Install and Enhanced visits are to promote energy conservation in residential properties. Home Energy Squad Install visits offer energy efficient installs, and Home Energy Squad Enhanced visits offer installs, diagnostic tests, and follow-up services. CEE will perform Home Energy Squad Install and Enhanced visits for $50 for residents per the fee schedule listed below. ELIGIBLE PROPERTIES Properties must be residential (from 1-4 units) and located within the geographical boundaries of the City of Hopkins. Individual owners of condominiums or town homes are eligible for funding. CEE TASKS 1. Conduct Home Energy Squad Install Visits. CEE will conduct Home Energy Squad Install visits to help homeowners identify and implement energy savings opportunities in their homes. The visit will include the direct install of energy-saving materials where possible, including high-efficiency showerheads, faucet aerators, door weather stripping, a water heater blanket, programmable thermostats and LED light bulbs. 2. Conduct Home Energy Squad Enhanced Visits. CEE will conduct Home Energy Squad Enhanced visits to help homeowners identify and implement energy savings opportunities in their homes. The Enhanced visit will include the direct install of energy-saving materials where possible, including high-efficiency showerheads, faucet aerators, door weather stripping, a water heater blanket, programmable thermostats and LED light bulbs. In addition, it will include a blower door test to check for air leaks, visual inspection of insulation levels with use of infrared camera as weather permits, heating system and hot water heater combustion safety tests and a report to the homeowner on recommended energy upgrades (if resident is a renter, permission from the landlord may be required for doing these additional diagnostic services). The co-pay and exact package of services are subject to change based on programmatic considerations, including CEE’s agreement with utilities and other factors which are outside the bounds of this agreement. CEE will notify the City of Hopkins prior to any changes taking effect. CEE will lead a community-based marketing campaign to promote the program. The City of Hopkins shall provide assistance in developing and implementing this campaign. 3. Providing Air Sealing and Insulation quotes. If air sealing and/or insulation are recommended at a Home Energy Squad Enhanced visit, CEE may provide a quote to the resident that would be honored by participating insulation contractors. CEE is an independent third party to any transaction between the resident and the insulation contractor. CEE does not receive any compensation from insulation contractors, nor does CEE or CenterPoint Energy accept any liability for any work performed by these contractors. Any agreement for work done by the contractors is solely between the contractor and the resident. Type of Home Energy Visit City payment Resident co-pay Home Energy Squad Install visit $20 $50 Home Energy Squad Enhanced visit $50 $50 4. Follow-up services and insulation contractor assistance. If major upgrades (air sealing, insulation and furnace or boiler replacement) are recommended at the visit, CEE will follow-up with homeowners through email or by phone to encourage implementation. When a quote is provided CEE has the ability to schedule insulation work directly with a qualified contractor making it easier for homeowner to move forward with recommendations. CEE will also provide contact information to program participants who have follow-up questions after the home visit. CITY TASKS 1. Assist and coordinate with CEE on marketing activities. This includes working with CEE on press releases, articles in CITY newsletters, water bill inserts, promoting program on CITY website, CITY email lists, assistance in coordinating with neighborhood and other CITY leaders, assistance in reserving workshop and event space as needed. PAYMENT CEE shall submit regular invoices to the City of Hopkins for activity performed under this agreement. Invoices will be emailed to Meg Beekman. The City of Hopkins will reimburse CEE $20 for every Home Energy Squad Install visit completed and $50 for every Home Energy Squad Enhanced visit completed, not to exceed $3,500 per year without further authorization from the City. CONTACTS The following individuals shall be contacts for this program: CITY OF HOPKINS CONTACT PERSON Meg Beekman, City of Hopkins Community Development Coordinator mbeekman@hopkinsmn.com or 952-548-6343 CEE CONTACT PERSON Stacy Boots Camp, Center for Energy and Environment Recruitment and Outreach Coordinator sbootscamp@mncee.org or 612-244-2429 TERM The project shall run from January 1, 2017 through December 31, 2019 and may be extended upon mutual agreement by the parties. In witness thereof, the parties have executed this work order as of the date written below. CITY OF HOPKINS CENTER FOR ENERGY AND ENVIRONMENT By: By: Date: Date: TAX ID 41-1647799