Free Daily Headlines :

  • COVID-19
  • Vaccine Info
  • Money
  • Politics
  • Education
  • Health
  • Justice
  • More
    • Environment
    • Economic Development
    • Gaming
    • Investigations
    • Social Services
    • TRANSPORTATION
  • Opinion
    • CT Viewpoints
    • CT Artpoints
DONATE
Reflecting Connecticut’s Reality.
    COVID-19
    Vaccine Info
    Money
    Politics
    Education
    Health
    Justice
    More
    Environment
    Economic Development
    Gaming
    Investigations
    Social Services
    TRANSPORTATION
    Opinion
    CT Viewpoints
    CT Artpoints

LET�S GET SOCIAL

Show your love for great stories and out standing journalism

Legislation aims to streamline complex energy-savings contracts

  • by Jan Ellen Spiegel
  • May 2, 2011
  • View as "Clean Read" "Exit Clean Read"

The first time Mike Walsh, East Hartford’s director of finance, heard the words “performance contract,” his response was, “What’s that?”

He certainly found out.

“They are a pain in the butt,” he said. And he loves them.

“Simply put,” Walsh said “you take money otherwise put into energy use and put it into upgrading.” But “simply put” is not a phrase that comes to mind in the world of performance contracts.

That’s why the issue is on the General Assembly’s agenda this session in the form of legislation to streamline and standardize this municipal-based means to achieve energy efficiency. It’s been around for decades in many states, but largely unused in Connecticut.

The idea is to approach energy efficiency through cities and towns rather than individual small-scale projects–a rebate here, an Energy Star appliance there–and without a top-down state policy. Performance contracts carry the promise of job creation and in turn economic stimulus.

Performance contracts allow communities to finance energy efficiency projects with the money they will save on energy. The savings are contractually guaranteed or the contractor makes up the difference. The catch? You need an ironclad contract.

“Ours was in excess of 105 pages and 30 or 40 of the pages looked like calculus,” said Walsh of East Hartford’s $5 million 12-year contract for 18 buildings. “It was structured so it did not increase the operating budget of the town by one cent.”

Most communities have neither the expertise nor the resources to slog through the legalese or monitor details – a process Walsh called unnerving. So East Hartford hired an independent auditor to verify the contractor’s work.

Four years into the project, East Hartford has seen a more than 30 percent energy savings through upgrades including new windows, lights, a pool cover, electronic controls for facilities that can be run by remote control and even time-out settings for vending machines to reduce energy usage overnight. They’re so happy they’re just wrapping up a second contract for $7.3 million.

The legislation creates a standardized the contract for the state building upgrades that cities and towns can use. It prequalifies contractors, cutting legal and document costs as well as time.

“It streamlines the process in a logical order with standardized steps so you don’t have to reinvent the wheel and create new documents each step of the way,” said Roger Smith of Clean Water Action, who became aware of performance contracts and their complexities while working with the energy task force in his own town – West Hartford. “You’re not obligated to take any of these services,” Smith said. “If want to do it yourself, be my guest.”

Smith’s concern is that because the measure is outside the session’s main energy bill-Senate Bill 1–it might get lost in the end-of-session frenzy.

The Connecticut Conference of Municipalities has expressed concern that communities could face extra costs for state oversight.

In Windham, among the state’s poorest communities, Mike McGlew, director of buildings and grounds, said he could have used some guidance on his town’s $5.5 million performance contract. “Pulling my hair out?” he asked. “I can’t tell you the hours I spent on this thing.”

But two years into a 13-year contract, Windham is seeing savings from many of the same changes East Harford made, as well as from gas boilers and generators that put energy back into the grid. The improvements  include new windows at the high school. “Those kids don’t have to wear jackets anymore,” he said.

In Farmington, in the early stages of figuring out whether to do a performance contract, Town Manager Kathleen Eagen has learned the standard lesson. “It’s sort of overwhelming,” she said.

As for state help, she said, “in theory it seems like a good idea. As long as it doesn’t track back and cost the towns money.”

Jim Cotton the New England sales manager for Johnson Controls, East Hartford’s contractor, said similar legislation in Massachusetts in 2006 resulted in a work spike there. “Any time a state has enabling legislation, it gives towns a path to get it done,” he said adding that means more jobs.

Christopher Halpin of Celtic Energy, the independent firm Windham hired to monitor the work of their performance contractor, was blunt. “This is going to actually give me a lot more business,” he said, noting that it saves money and time by not having to walk each town through the process.

Rep. Matthew Lesser, D-Middletown, a member of the energy and technology committee, said simplifying performance contracting can provide a major benefit to cities and towns.

“At a time when we are in the middle of a budget fight, with questions of whether to make cuts in services or raise taxes,” he said, “here’s an opportunity to cut cost without doing either.”

Sign up for CT Mirror's free daily news summary.

Free to Read. Not Free to Produce.

The Connecticut Mirror is a nonprofit newsroom. 90% of our revenue comes from people like you. If you value our reporting please consider making a donation. You'll enjoy reading CT Mirror even more knowing you helped make it happen.

YES, I'LL DONATE TODAY

ABOUT THE AUTHOR

Jan Ellen Spiegel

SEE WHAT READERS SAID

RELATED STORIES
‘It’s a nightmare:’ A growing number of seniors are unable to book vaccine appointments as problems mount
by Dave Altimari and Jenna Carlesso

The state acknowledged Friday in an email to local health workers that some residents are waiting days for a callback.

Panel recommends small, inflationary pay hike for state officials
by Keith M. Phaneuf

Connecticut's part-time legislature hasn't received a pay hike since 2001. The annual base-pay for senators and representatives is $28,000.

Police task force seeks wider applicant pool for watchdog role
by Kelan Lyons

The task force sent four recommendations — and two that didn't get unanimous approval— to lawmakers for the 2021 session.

Miguel Cardona, who are you?
by Ann Policelli Cronin

When I ask Connecticut teachers about Miguel Cardona, those who know him or have worked with him say that he is really nice guy who knows what the challenges in our classrooms are, knows how to help teachers to improve their teaching, and respects public schools. All good. But what is his vision for teaching and learning that he will bring to the U.S. Department of Education?

Connecticut needs a strong two-party system, this Democrat says
by Edward Marcus

J.R. Romano’s recent resignation as the state’s Republican Party chair has brought into focus the need for a viable opposition party in Connecticut. It is not healthy politics when everything is totally controlled by one party:  the legislature, the governorship, and most of the major municipalities in our state.

Support Our Work

Show your love for great stories and outstanding journalism.

$
Select One
  • Monthly
  • Yearly
  • Once
Artpoint painter
CT ViewpointsCT Artpoints
Opinion Miguel Cardona, who are you?
by Ann Policelli Cronin

When I ask Connecticut teachers about Miguel Cardona, those who know him or have worked with him say that he is really nice guy who knows what the challenges in our classrooms are, knows how to help teachers to improve their teaching, and respects public schools. All good. But what is his vision for teaching and learning that he will bring to the U.S. Department of Education?

Opinion Connecticut needs a strong two-party system, this Democrat says
by Edward Marcus

J.R. Romano’s recent resignation as the state’s Republican Party chair has brought into focus the need for a viable opposition party in Connecticut. It is not healthy politics when everything is totally controlled by one party:  the legislature, the governorship, and most of the major municipalities in our state.

Opinion Connecticut’s $100 million college shell game
by Stephen Adair

The plan to consolidate the 12 community colleges in Connecticut into one college with 12 campuses is called “Students First,” which is ironic because it does not fund students first.  It funds a new administration in a new, statewide bureaucracy. The Board of Regents (BOR) and the Connecticut State Colleges and Universities (CSCU) system office […]

Opinion Inconsistent television captioning is a barrier to equal access
by Jeffrey Bravin and Barbara Cassin

Our world long ago entered the age of the 24-hour news cycle, and a full understanding of the “who, what, when, where and why” of the news is critical for deaf, deafblind and hard of hearing citizens. Yet, Connecticut’s inconsistent quality of television captioning locks our community out of the complete sense of what is happening.

Artwork Grand guidance
by Anne:Gogh

In a world of systemic oppression aimed towards those of darker skintones – representation matters. We are more than our equity elusive environments, more than numbers in a prison and much more than victims of societal dispositions. This piece depicts a melanated young man draped in a cape ascending high above multiple forms of oppression. […]

Artwork Shea
by Anthony Valentine

Shea is a story about race and social inequalities that plague America. It is a narrative that prompts the question, “Do you know what it’s like to wake up in new skin?”

Artwork The Declaration of Human Rights
by Andres Chaparro

Through my artwork I strive to create an example of ideas that reflect my desire to raise social consciousness, and cultural awareness. Jazz music is the catalyst to all my work, and plays a major influence in each piece of work.”

Artwork ‘A thing of beauty. Destroy it forever’
by Richard DiCarlo | Derby

During times like these it’s often fun to revisit something familiar and approach things with a different slant. I have been taking some Pop culture and Art masterpieces and applying the vintage 1960’s and 70’s classic figures (Fisher Price, little people) to the make an amusing pieces. Here is my homage to Fisher -Price, Yellow […]

Twitter Feed
A Twitter List by CTMirror

Engage

  • Reflections Tickets & Sponsorships
  • Events
  • Donate
  • Newsletter Sign-Up
  • Submit to Viewpoints
  • Submit to ArtPoints
  • Economic Indicator Dashboard
  • Speaking Engagements
  • Commenting Guidelines
  • Legal Notices
  • Contact Us

About

  • About CT Mirror
  • Announcements
  • Board
  • Staff
  • Sponsors and Funders
  • Donors
  • Friends of CT Mirror
  • History
  • Financial
  • Policies
  • Strategic Plan

Opportunity

  • Advertising and Sponsorship
  • Speaking Engagements
  • Use of Photography
  • Work for Us

Go Deeper

  • Steady Habits Podcast
  • Economic Indicator Dashboard
  • Five Things

The Connecticut News Project, Inc. 1049 Asylum Avenue, Hartford, CT 06105. Phone: 860-218-6380

© Copyright 2021, The Connecticut News Project. All Rights Reserved. Website by Web Publisher PRO