Genesee County is exploring the possibility of entering into a contract with a consultant who will help the county save money on energy costs and reduce energy usage.
County Superintendent Tim Hens presented a proposal to enter into an agreement with Johnson Controls that would enable the county to fund many projects for system upgrades that need to take place anyway but in a manner that would make the projects cost neutral for the county.
Johnson Controls would finance over 20 years $3.9 million in projects in the county and the county would make annual payments on the financing through its annual cost savings.
Cost savings over the first three years are guaranteed. Hens said the county can purchase guarantees in subsequent years but the experience of other agencies that have entered into such agreements is that once the cost savings are proven, it doesn't make sense to spend money to save money.
It's been 10 years since the County went through a federally funded energy audit, so Johnson came in about six months ago and reviewed all of the county's facilities, bringing in consultants from all over the nation with expertise in various relevant fields.
Hens has received a summary of recommendations. Some of the projects are easy, such as switching out all of the fluorescent lights for LED lights or putting vending machines on timers. They get more complicated when getting into boilers, HVAC systems, electrical panels, and breakers or air handlers.
"They went over all over buildings with a really fine-tooth comb and found a lot of things we didn't even know we had," Hens said.
Many of the projects would typically be part of the county's routine capital budget for facilities but under the possible agreement, instead of tapping the capital budget Johnson would finance those projects, freeing up that portion of the capital budget for other projects.
The financing rates from Johnson, Hens said, are competitive and would save the county from entering the bond market.
He cited the City of Batavia and Byron-Bergen Central Schools as examples of local agencies that have had a successful relationship with Johnson.
Yesterday, the Public Service Committee reacted favorably to the proposal -- there was no vote taken -- so Hens is expected to come back to the Legislature next month with a written proposal and a proposed contract for a possible vote to move forward.
