American Recovery and
Reinvestment Act (ARRA)
No application fees, points, or hidden costs
FINANCING FOR ENERGY EFFICIENCY
& ENERGY GENERATION PROJECTS
？ Public Schools & Colleges
？ Local Governments
？ Special Districts
？ Public Hospitals
？ Public Care Institutions
California Energy Commission
http://www.energy.ca.gov/efficiency/financing/index.html Phone: (916) 654-4104
FINANCING FOR ENERGY EFFICIENCY
; ARRA loan funds may only be used Are You Eligible?
to supplement and may not be used to
supplant funds already committed or ; Public Schools and Colleges
expected to be received in support of the ; Cities loan funded project. ; Counties ; Special Districts ; Public Hospitals ; Recipients must have DUNS ; Public Care Institutions Number. Dun & Bradstreet (D&B) is a unique nine digit identification number. To NOTE: Projects on facilities owned or request your D-U-N-S Number via the Web operated by the State of California do NOT go to: qualify for ARRA loan funding. www.dnb.com/us/duns_update ; Recipients must be registered with What projects are prohibited? Central Contractor Registration (CCR). To register via the Web go to: All projects that are not consistent with the www.bpn.gov/ccr/default.aspx ARRA project funding criteria, including: ; Swimming Pools ; Recipients must be in full ; Gambling Establishments compliance with the Single Audit Act ; Aquariums requirements. For more information please ; Zoos contact the California State Controller’s ; Golf Courses office at email: email@example.com What are the requirements? The terms and conditions of the 1% interest ; ARRA funded loans will be rate loan require ARRA accountability amortized on the estimated annual energy requirements for tracking and monthly cost savings achieved by the loan-funded reporting of the funds. project. Loan recipients must account for these funds separately to meet ARRA federal reporting requirements. Additional Federal Requirements ; All projects must be completed and ARRA-funded loans must comply with loans fully disbursed (i.e. all invoices must various federal requirements as specified in be submitted and paid) on or before the loan agreements and attachments. April 30, 2012. Applicants should give special consideration to the select requirements that follow, as ; Loan recipients must adhere to all these requirements may have a significant ARRA monthly reporting, auditing and other impact on the applicant’s proposed project. requirements as detailed in the loan agreement.
For additional information on Davis-Bacon Additional Federal Requirements:
Act requirements; please see the Davis-
Bacon Act Questions and Answers available
at: www.energy.ca.gov/efficiency/financing/ 1. National Environmental Policy Act
(NEPA): Loan recipients are restricted from 4. Buy American Act: ARRA funds may taking any action using federal ARRA funds not be used for a project for the construction, for projects that would have an adverse alteration, maintenance, or repair of a public effect on the environment or limit the choice building or public work unless all of the iron, of reasonable alternatives prior to U.S. steel and manufactured goods used in the Department of Energy (DOE) providing a project are produced in the United States in final NEPA determination regarding these a manner consistent with United States projects.
obligations under international agreements.
This requirement may only be waived by the ； Loan applicant must complete the
applicable federal agency in limited NEPA Compliance Form (included as
situations, as specified in ARRA. Guidelines Attachment 1), which contains additional from the Department of Energy are information about NEPA.
american_provision.html 2. National Historic Preservation Act
(NHPA): Projects involving a building or
What projects are eligible? structure that is included in the National
Register of Historic Places (NRHP) or
Projects with proven energy and/or capacity eligible for inclusion in the NRHP require savings are eligible, provided they meet the additional documentation.
eligibility requirements for Energy
Conservation Assistance Account (ECAA) ； Loan applicants must submit a
loans. consultation request letter. A consultation
request must be submitted even if the
You can purchase and install commercially project does not involve a historic sight. For available energy efficiency equipment with additional information on NHPA
proven energy and/or capacity savings. requirements, please see the National
Historic Preservation Act Forms (included Projects already funded with an existing as Attachments 3 and 4).
loan or already installed are ineligible.
Please call if you have any questions.
3. Davis-Bacon Act (Federal prevailing
Examples of qualified projects: wage law): In accordance with ARRA
Section 1606, all laborers and mechanics ; Lighting employed by contractors and
subcontractors on projects funded directly ; Heating and air conditioning systems
by or assisted in whole or in part by and ; Motors and pumps
through the Federal Government pursuant ; Automated energy management
to ARRA must be paid wages at rates not systems and controls
less than those prevailing on projects of a ; Cogeneration equipment
character similar in the locality as ; Light emitting diode (LED) traffic signal determined by the United States Secretary modules of Labor in accordance with Subchapter IV ; Renewable energy systems of Chapter 31 of Title 40, United States ; Thermal energy storage systems Code (Davis Bacon Act). When Can You Start Your Project?
Your loan agreement must be fully executed
before you can start your project. Only
project-related costs that are incurred Simple Amount of Loan ($) and paid for after Energy Commission’s Payback (yrs) = ________________ loan execution may be included in the Anticipated Annual Energy
loan request. Cost Savings ($/yr)
Applicants assume all financial risk should
Interest Rate the Energy Commission not approve the
application or if all loan documents are not
executed. If the loan is not approved or The interest rate is a fixed for the term of executed, the Energy Commission is not the loan.
responsible for reimbursement of any costs.
; The loan term cannot exceed the Does Your Facility Qualify? useful life of loan-funded equipment.
Existing buildings or other energy using ; Only approved project-related costs facilities are eligible. Some new buildings with invoices dated after loans are officially and facilities may also be eligible. executed by the Energy Commission are
eligible to be reimbursed from loan funds. If How Much is Available? the application is not approved for any
reason, the Energy Commission is not Please call for latest funding availability. responsible for reimbursement of any costs. Loans can finance up to 100 percent of the
Loan Security Requirements
When Should You Submit Your
Application? It’s simple. A promissory note and a loan
agreement between you and the Energy Now! Complete applications for funding will Commission are all that is required to be processed on a first come, first served secure the loan. Please call to get a copy of basis, and reviewed by a technical these documents or you can download them committee. Applications are deemed at: www.energy.ca.gov/efficiency/financing/
complete if they include all necessary
documentation to verify eligibility and
compliance with all requirements, including How Are Funds Disbursed?
federal ARRA requirements.
The funds are available on a reimbursement The Energy Commission reserves the right basis. For each reimbursement request, to close the solicitation period at any time, receipts and invoices for incurred expenses so don't delay. Don't miss this opportunity. must be submitted along with payment
Criteria for Loan Approval
The final 10 percent of the funds will be A feasibility study is required to verify retained until the project is completed. savings. Energy efficiency projects must be
technically and economically feasible. Interest is charged on the unpaid principal Loans for energy projects must be repaid computed from the date of each from energy cost savings within 15 years, disbursement to the borrower.
including principal and interest
(approximately 13 years simple payback).
Simple payback is calculated by dividing the Repayment Terms
dollar amount of the loan by the anticipated
first year’s annual energy cost savings:
The repayment schedule is based on the estimated annual projected energy cost savings from the aggregated project(s), using energy costs and operating schedules at the time of loan approval.
ARRA funded loans will be amortized on the estimated annual energy cost savings achieved by the loan-funded project. Applicants will be billed twice a year after the projects are completed.
The final 10 percent of the funds will be retained until the project is completed. Interest is charged on the unpaid principal computed from the date of each
disbursement to the borrower.
A copy of the loan agreement and Exhibit D are available for downloading as an Adobe Acrobat Portable Document Format (PDF) or Microsoft Word document at:
For Help Call (916) 654-4104
How Do You Apply? Unless otherwise specified in the “Other Information” column,
just submit the information shown below or go to http://www.energy.ca.gov/efficiency/financing/index.html and fill it out online.
Your application must be complete before processing can begin. For incomplete
applications, information must be received within a specific time or the application will
be returned unprocessed.
Copies Attach to application Other Information Needed
Completed and signed loan Original plus
application one copy
Completed Summary of
Recommended Energy One copy
Efficiency Measures in Loan
The study must contain: a) description of
energy efficiency projects and buildings/
facilities affected by these projects, b)
discussion of baseline energy use for the
affected facilities, including annual energy Feasibility Study* One copy related utility bills, c) all calculations and assumptions to support the technical
feasibility and energy savings of the
recommended projects, d) proposed budget
detailing all project costs, and e) proposed
schedule for implementation of the projects.
The resolution must be submitted with the Copy of a signed resolution, One copy application. The title of the official signing motion, order, etc. from your the loan agreement should be the same one governing board (see sample). named in the resolution, motion, or order.
Include completed copy of the NEPA
National Environmental Policy Compliance Form (Attachment 1). If the Act (NEPA) Compliance applicant is unable to certify that the
Documentation Original proposed project falls within one of the DOE-
established categorical exclusions for NEPA, Attachment 1 and the applicant must additionally submit a Attachment 2, if applicable NEPA environmental questionnaire
All applicants must review and follow the
steps delineated in Attachments 3 and 4 and
submit documentation to the Energy
Commission that demonstrates the project is National Historic Preservation compliant with the NHPA. Include Act (NHPA) Compliance One copy documentation demonstrating that the Documentation applicant has complied with the NHPA by consulting with the California State Historic Attachments 3 and 4 Preservation Officer (SHPO) and, if
applicable, the Tribal Historic Preservation
Officer (THPO), as required by Section 106
of the NHPA.
California Environmental Quality One copy Include a copy of documentation Act (CEQA) Compliance demonstrating that the applicant has Documentation complied with CEQA in approving the
project. There are three possible actions the
applicant can take. The applicant could
determine that the activity undertaken by the
1. Not a project (include analysis
supporting the conclusion that the
activity is not a project); or
2. A project that is exempt (include the
Notice of Exemption); or
3. The project is not exempt, in which
case the applicant should indicate
which type of environmental
document it has prepared:
--Negative Declaration (include the
Notice of Determination)
--Mitigated Negative Declaration (include
the Notice of Determination)
--Environmental Impact Report.
(Include the Notice of Determination.)
The agenda item and/or the resolution
should include the finding on CEQA
Copy of agenda item (staff One copy ; If the CEQA finding is in the agenda item, report) accompanying resolution include both the item and the resolution.
; If the CEQA finding is in the resolution,
application does not need to include a
copy of the agenda item
* If you are submitting multiple applications, please put each application package in a separate envelope. If the energy audit/feasibility study is used to justify energy efficiency projects in multiple applications, submit one copy of the audit/study and indicate the application package that contains the audit /study.
Where Do I Submit My Application? ； Who Do I Call?
Send your application package with the
specified copies to: Call or email the California Energy
Commission to discuss project and
California Energy Commission facility eligibility, funding availability,
Special Projects Office and application requirements.
Attn: ECAA Loan Program
1516 Ninth Street, MS 42 (916) 654-4104
Sacramento, CA 95814-5512 PubProg@energy.state.ca.us
A copy of the loan agreement and Exhibit D is available for downloading as an Adobe Acrobat Portable Document Format (PDF) or Microsoft Word document at: http://www.energy.ca.gov/efficiency/financing/
Energy Commission staff will review your loan application. It may be necessary to arrange a site visit to discuss your project and loan request.
APPLICATION FOR ENERGY COMMISSION FINANCING
Interest Rate 1%
1. APPLICANT INFORMATION
Attach additional documentation (see Table on previous page showing items to attach to
Mailing City: Zip: Address:
Street City:Zip: Address:
Contact Title: Person:
E-mail: Phone: Fax:
*DUNS Number is issued by Dun & Bradstreet (D&B). It is a unique nine digit identification number.
To request your D-U-N-S Number via the Web go to: www.dnb.com/us/duns_update
2. PROJECT INFORMATION
A. Has any funding (such as local funds or other available funds) been previously
committed or approved for this project?
; ， Yes If yes, please complete Section B:
Source of Funds approved/committed:
Amount of funding approved:
ARRA loan funds may only be used to supplement and may not be used to supplant funds already committed or expected to be received in support of the loan funded project.
For Help Call (916) 654-4104
C. Has your agency applied for, expect to apply for, or received any utility
;;; ， Yes If yes, please complete Section D:
Source of Rebates/Incentives:
3. PROJECT SCHEDULE
Estimated start date:
Estimated completion date:
; Projects must be completed and loans fully disbursed on or before
April 30, 2012.
4. PROJECT BUDGET
Total project costs
(include all installation costs):
Amount requested from
the Energy Commission:
5. NATIONAL ENVIRONMENTAL POLICY ACT (NEPA) COMPLIANCE
A. Has your agency completed the NEPA Compliance Form (Attachment 1) and included it with the
？ Yes, Go to B.
？ No, STOP: Please complete NEPA Compliance Form and submit it with the loan application.
B. Does proposed loan-funded project fall within one of the DOE-established categorical
exclusions for NEPA?
？ Yes, Go to Question 6.
？ No, Go to C.
C. If no to question B, has your agency completed the NEPA environmental questionnaire and
included it with the loan application?
？ Yes, Go to Question 6.
？ No, STOP: Please complete NEPA environmental questionnaire and submit it with the loan
application. See Attachment 2.
6. NATIONAL HISTORIC PRESERVATION ACT (NHPA) COMPLIANCE