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1998-093 Note. Amended by Ordinance No. 99-210 AN ORDINANCE AMENDING THE SCHEDULE OF ELECTRIC RATES CONTAINED ~N ORDINANCE NO 97-236, AMENDING ORDINANCE NO 98-046 WHICH CREATED AN ENERGYSAVE PROGRAM SCHEDULE (EP), FOR THE PURPOSE OF DELETING ONE GUIDELINE PERTAINING TO THE QUALIFICATION FOR THE STRUCTURE INCENTIVE CONTAINED THEREIN, PROVIDING FOR A SEVERABILITY CLAUSE, PROVIDING FOR A SAVINGS CLAUSE, AND PROVIDING FOR AN EFFECTIVE DATE WHEREAS, on the 17th day of February, 1998, the Council passed and approved Ordinance No 98-046 wtueh added an EnergySave Program Schedule (EP) to the schedule of electric rates contmned in Ordinance No 97-236, and WHEREAS, the Council, m passing Orrhnance No 98-046 mtended that the EnergySave Program Schedule (EP) be comparable to similar tariffs offered by competing electric utthtles City staff has learned that competitive tariffs have been recently changed to ehmmate the requirement of installation of 90% efficient gas furnaces, when coupled with conventional air condltlomng/gas furnace systems, and WIIEREAS, the Council, m order to actueve xts goal of providing competitive rates to the City's electric utility customers, believes that it is necessary to remove the requirement referenced in the preceding paragraph and to amend the EnergySave Program Schedule (EP) aeeordmgly, and WHEREAS, the Council deems it m the pubhe interest to so amend EnergySave Program Schedule (EP), NOW, THEREFORE, THE COUNCIL OF THE CITY OF DENTON HEREBY ORDAINS SECTION I. That the Schedule of Rates for electric sec/ice as provided for m Chapter 26 of the ICode of Ordmances, m Ordinance No 97-236, is hereby amended, and further that the EnergySave Program Schedule (EP) enacted m Ordinance No 98-046, is amended to delete the "Quahfieatlon Gmdelme For Structure Incentive" m Subparagraph II A 3 therefrom, relating to the energy efficiency of gas furnaces coupled with conventxonal air conditioner/gas furnace systems SECTION H. That all ordinances or part of ordinances m force when the provisions of this ordinance become effective which are inconsistent or in conflict with the terms or provisions contained in Schedule EP hereby amended by ttus ordanance, are hereby repealed to the extent of any such conflxct ~ That if any sectxon, subsection, paragraph, sentence, clause, phrase or word in th~s ordinance, or application thereof to any person or cxrcumstances is held invalid by any court of competent junschctlon, such holding shall not affect the validity of the remmmng pomons of thts ordinance, and the City Council of the C~ty of Denton, Texas hereby declares ~t would have enacted such remmmng portions despite any such mvahd~ty ~ That the amendment to EnergySave Program Schedule (EP) here~n adopted shall be effective, charged and apphed to all energy usage occumng on or after April 7, 1998, and a copy of smd rate schedule shall be mmntmned on ftle m the office of the City Secretary PASSED AND APPROVED th~s the day of f'/ ,1998 JAC~ ATTEST JENNIFER WALTERS, CITY SECRETARY HERBERiT L PROUTY, CITY ATTORNEY S \Our Docum~nts\Ordlnan~s~98kElectrl¢ Rate EP doe SCHEDULE EP Ener~vSave Pro.ram (Effective 04-7-98) Appl~catlon/Proqram Summary The City of Denton Utility Department is offering cash payments to customers who purchase and install high efficiency air conditioners or heat pumps for new residential, existing residential or commercial facilities This program, called "EnergySave", will provide structure incentives to residential builders for meeting specific City of Denton structure requirements Satisfying these construction requirements will improve a residential structure's operating efficiency Apartments and multiple unit residential structures will qualify if they meet the EnergySave Program Guidelines The EnergySave Program's ob]ectlves are to reduce energy demand and consumption, thereby saving Denton Municipal Electric Utility (DMUE) customer's dollars on their utility bills, reducing the peak load of the City of Denton's electric system and promote energy efficient heating Proqram Guidelines I Qualification Guidelines for Equipment A All installations must be for accounts served by the City of Denton Utility Department and must meet all applicable national, local, and manufacturers' codes and specifications B To qualify for equipment ~ncentlve, equipment must be new when installed C All equipment must be purchased No leased or lease/purchased equipment will qualify for a cash rebate D Installations must be made by licensed contractors and/or dealers E No rebate will be paid on a partial replacement of an air conditioner The compressor, condenser and the evaporator coil must be replaced to 1 qualafy for a rebate Payments for residential central cooling systems, which anclude apartments and mobile homes, will be limited to a capacity based on a m~nlmum of 600 condataoned square feet per ton F The cond~taoned area an square feet is required on each resadentlal central system request for payment Any varaance must be authorazed on an ~ndav~dual basas and approved by the Caty of Denton Electrac ut~lltaes Marketang Dlv~saon G Incentives for new and retrofat equapment will be contrabuted to a purchaser or authorized home bualder for qualafylng equipment Incentaves wlll be paid upon verlfacatlon of complaance wath program guldelanes H Requests for payment must be receaved by the Darector of Electric Utllataes within 60 days of ~nstallat~on I Equipment and anstallataon are subject to ~nspectlon by the City's Bualdlng Inspectaon Department before fanal approval for payment as assued J The EnergySave Program guldelanes and payments are subject to change wathout horace K The EnergySave Program may be dlscontanued wathout praor notice at any tame by the Caty of Denton II Qualification Guidelines for Structure Incentave A A resadentaal structure ancentave is offered to a builder, developer or authorized agent after the following qualaflcataons are met 1 Builder, developer or authorized agent must be enrolled in the Caty of Denton EnergySave Program (EnergySave) 2 Bullder must anstall a 1 5 ton or above central air conditIoner or heat pump having a mlnamum efflcaency rating of 12 SEER 2 3 Install minimum of R13 wall insulation 4 Install m~n~mum of R30 ceiling ~nsulat~on 5 N~nety percent of the total square footage of exterlor glass must be double-glazed (double pane) 6 Seal and weather-strip exterior doors and w~ndows Includes caulking exterior toe plates and wiring/plumbing penetrations through the structure's exterior walls and ceiling 7 Fireplaces or wood burning stoves must be vented in a manner that allows outside a~r to access the firebox B Structure Incentive for new homebullders must also comply wlth the respective restrictions set forth in Guldel~nes for Equipment Qualifications I GENERAL PROCEDURES A Applzcatzon 1 Equzpment- An appllcatzon for equzpment incentive must be completed and sent to the Dzrector of Electrzc Utzlltles wzthln 60 days of lnstallatzon of new or replacement equzpment Partlczpatzng dealers have appllcatzon forms and wzll complete these forms for the purchaser It zs the purchaser's responszbzlzty to see that the dealer completes the form and submits it to the Dzrector of Electric utllztzes 2 Structure zncentlve- To qualify for residentIal structure zncentzves, a buzlder/developer or authorized agent must be registered as an authorzzed City of Denton EnergySave Authorzzed Builder To become a recognzzed EnergySave buzlder, applicant must complete and submit a City of Denton EnergySave 3 Builder Application form to the Director of Utllltzes Applicant must also meet the requirements listed in the EnergySave Final Audit form listing the described construction requirements B Inspections Installations of central air-conditioning systems will be inspected by the City's Bulldzng Inspectlon Department and must be approved before rebates will be processed New structures wall be randomly audzted to ~nsure adherence to the required energy efficient construction specifications C Payments to Participants 1. Equipment Retrofit (Existing residences) Cash payments will be made to the purchaser of the qual~fylng replacement equipment Participating retail equIpment dealers w~ll receive a cash payment of $20 per unit for the sale of window units, central air conditioning systems, or heat pumps to offset their cost for properly filling out the applications for purchasers of retrofit equipment 2 New equipment and structure incentive Program participants are responsible for submlttlng the correct information The Utility Department will not issue any additional payment unless the payment was incorrect due to a mistake in processing by a City employee The twenty dollar ($20 00) payments to dealers will be made only if they supply the qualifying equipment to the customer or builder who is paying for the ~nstallatlon of the equipment Dealers and purchasers may be denied payment for failure to follow program guidelines such as falling to supply correct square footage or SEER/EER figures, ~nstalllng equipment which is not new, replacing part of a splzt system, or failure to f~ll out rebate forms properly 4 Payments will be made to customers who purchase and install new qualifying equipment If a tenant purchases and stalls qualifying equipment, the payment is made to the tenant If the owner of rental property purchases and installs qualifying equipment, the payment is made to the owner If the purchaser of a mobile or custom home selects and pays for a qualifying unit, the purchaser will receive the rebate II CENTRAL ELECTRIC AIR CONDITIONERS kND HEAT PUMPS A A new condensing unit with an inside evaporator coil will qualify if matched, as specified, the current issue of the ARI Directory of Certified Air Conditioners and Air Source Heat Pumps and the unit meets the minimum ratings as specified an the 1998 EnergySave Program If the unit as not an the current ARI Directory, the manufacturer's latest data approved for publication wall be accepted If the unit is not an the current ARI Darectory or data approved for publacatlon, the average of the high and low SEER/EER coil only, not ancludang blower coil, will be accepted as listed in the current ARI Darectory B Computer simulations may be used if ratangs are not lasted an the current ARI Directory, provided the following criteria are met 1 Systems usang mix-matched coals must meet all established program gu~delanes to qualafy for a rebate 2 The computer samulatlons must be sagned, certified, and dated by a registered professional engineer and an officer of the company making the submittal 3 The engineer who certafles a samulataon must attest to the accuracy of the input data, the valadlty of the calculation procedure used, and that the results are ~n accor- dance with Department of Energy approved methodology 5 4 A complete set of the input data and an ln-dlcatlon of the source of the data must accompany the simulated ratings 5 The slmulated ratings must be based on the condensing unit's tested combination as listed ~n the current ARI Dlrectory or latest data approved for publication and ldentlf~ed by the correct model numbers of both the condensing unit and co~l as listed · n the current ARI D~rectory 6 SImulated ratings must not exceed 105% of the SEER rating of the tested system used as a base 7 An open f~le of computer sImulations will be maintained at the Energy Management Office Supplying erroneous ratings or data can lead to d~squal~f~catlon of those involved from further program partlclpatlon C Program Capacity and Payment Formula 1 The maximum allowable BTU per hour capaclty eligible for a residential rebate is determined by dividing the square footage of the a~r-cond~tloned area by 600 and multiplying by 12,000 Example The Program Capacity for an 1,800 square foot house is 1.800 = 3 0 x 12,000 = 36,000 BTUH 600 The City will pay a rebate on a unit that meets program efficiency standards and is s~zed at 36,000 BTUH or less 2 Actual payment w~ll be determined by dzvldlng the BTUH of the installed unmt (up to, and lncludmng the Program Capaczty) by 12,000 and multiplying by the incentive 6 The incentive amounts and SEER ratings are referenced of the ~1998 EnergySave Program Methods Used in Determining Equipment Efficiency and Eligibility," and are incorporated herein as if fully set forth at length Example A A person in a 2,100 square foot house installs a 42,000 BTUH central air conditioner with an SEER rating of 12 0 2,100= 3 5 x 12,000 = 42,000 Program Capacity 600 42,000 = 3 5 x $100/ton = $350 00 Incentive 12,000 Example B A person in a 2,400 square foot house installs a 60,000 BTUH central air conditioner with a SEER rating of 12 0 2,400 = 4 x 12,000 = 48,000 Program Capacity 600 48,000 = 4 x $100/ton = $400 Incentive 12,000 Example C A person in a 2,400 square foot house installs a 60,000 BTUH central heat pump with a SEER rating of 12 0 2,400 = 4 × 12,000 = 48,000 Program Capacity 600 48,000 = 4 × $150/ton = $600 Incentive 12,000 Minimum SEER/EER Central Air Condlt~onlnq Ratlnq Incentive Single Phase (SEER) 12 0 $100 ton*$ Three Phase (EER) 12 0 $100 ton Single Phase (SEER) 14 0 $125 ton Three Phase (EER) 14 0 $125 / ton 7 Central Heat PumPs Slngle Phase (SEER) 12 0 $150 / ton Three Phase (EER) 12 0 $150 / ton Single Phase (SEER) 14 0 $175 / ton Three Phase (EER) 14 0 $175 / ton Room Air Conditioners 10 0 $ 50 / unit Room Heat PumPs 10 0 $ 50 / unit Geothermal Heat Pumns 12 0 $500 / unit DesuDerheater (Waste heat reclamation device) $150 / unit * Refer to ~1998 EnergySave Program Methods Used in DeterminIng Equipment Efficiency and Eligibility" For calculation purposes, one ton equals 12,000 BTUH