Proposition 39: California Clean Energy Jobs Act

PROPOSITION 39: CALIFORNIA CLEAN ENERGY JOBS ACT

OPPORTUNITY BEYOND FEBRUARY 26, 2018!

The original Proposition 39 program sunset on February 26, 2018, but Senate Bill 110 has given new life to the program. The California Energy Commission (CEC) is working to define just how local educational agencies (LEAs) across the state can continue to participate, secure further funding, and improve learning environments.

If your LEA claimed funding and filed Energy Expenditure Plans, chances are good you still have work to do to complete your participation. NORESCO can provide your district a variety of services, from converting your plan into biddable specifications for subcontractors, to construction management, to full turnkey delivery of your approved energy conservation retrofits.

All contracts must be in place with contractors for your projects by June 30, 2019, and all work must be completed by June 30, 2020. Annual Reports, summarizing your progress and expenditures, must be completed each year by October 1. Twelve months after all installations are complete, the Final Report is made available to your district, and is due back to the CEC within 3 months.

With more than 34 years of experience and expertise with energy efficiency projects, NORESCO has the proven capacity to deliver documentation or complete retrofits quickly. We can help your district comply with all program deadlines and Proposition 39 requirements.

REMAINING FUNDS FOR DISTRIBUTION – SENATE BILL 110

For future Proposition 39 purposes, the CEC is splitting the state into four geographic regions: the North, Central, Los Angeles and South Regions. Additionally, the Proposition 39 Program Implementation Guidelines previously in place will collapse the existing four ‘Tiers’ of LEAs to three Tiers based on Average Daily Attendance (ADA): ADA < 1,000 students, ADA between 1,000 and 2,000 students, and ADA > 2,000. Your district’s ADA and location (and how active peer districts are) will determine your ability to secure future Proposition 39 funds.

As of March 1, 2018, an estimated $114.5 million remained in unclaimed allocations for districts throughout California. This number will be finalized once all existing Energy Expenditure Plans and Amendments are processed, reviewed and ultimately accepted or rejected. Once this process is complete, the remaining funds will be distributed among three programs defined in Senate Bill 110:

SCHOOL BUS PROGRAM

The first $75 million in remaining allocations will be diverted to the School Bus Program, for fuel-efficient and alternative-fuel buses to replace aging fleets across the state. The CEC will provide further information about this program, including funding distributions, applications, prioritization and review criteria, and timelines for funding release later in 2018.

ECAA – ED COMPETITIVE LOAN PROGRAM

The next $100 million in remaining allocations will be assigned to the existing Energy Conservation Assistance Act – Educational (ECAA-Ed) Loan Program, but distributed under a competitive solicitation in late summer to fall of 2018. Requirements for project savings, equipment lifetimes, and loan sizes will remain similar to the existing 0% Interest program, but will be awarded based on geography, size of LEA, Free or Reduced Price Meal (FRPM) and Energy Savings percentages. 

With a limited window to respond, and no tolerance for application errors, it is crucial to select a partner with knowledge of the CEC and experience securing ECAA-Ed loans. NORESCO has both. We’ve been a contracted partner of the CEC for nearly 20 years and have secured loans under the existing ECAA-Ed Loan Program for our existing Prop 39 clients.

COMPETITIVE GRANT PROGRAM

All remaining funds will be allocated to the Proposition 39 K-12 Competitive Grant Program, likewise distributed under a competitive solicitation in late 2018. New Guidelines will be released in the coming months and are expected to share many requirements with the existing “Eight-Step Process to Receive Funding”. Likewise, awards will be based on each LEA’s FRPM, ADA, geographic diversity and Local Workforce Needs. However, unlike previous programs, there will be no clarifications provided to proposals or collaboration with CEC Project Managers. In other words, you will need to have your application right the first time. NORESCO’s experience with the previous Guidelines—we averaged Expenditure Plan approval turnarounds of less than eight days—is testament to our ability to get it right the first time. We can help secure further funds for your district.

NEED EVEN MORE FUNDING TO ADDRESS ALL DISTRICT NEEDS?

NORESCO has helped its customers access a variety of other funding sources in addition to Proposition 39 allocations.1 Read More...

Our experience has helped our customers identify and secure many sources of funds that can be leveraged with Proposition 39 resources. NORESCO can help you pursue utility rebates and incentives, available state and federal grant funding opportunities, or a variety of other programs offering dollars to your district. Our customers have been able to multiply allocations several times over through zero- to low-interest financing, without taking a single dollar from general funds. Hide Content

HOW DO WE KNOW WE WILL SEE THE SAVINGS?

NORESCO’s history proves that we emphasize savings realism and can guarantee savings for long term success. Read More...

NORESCO helps engineer confidence in your energy conservation measures by focusing on savings accuracy from the start. Crafting the right mix of energy measures, developing comprehensive commissioning plans, training your maintenance, operations and facilities staff, and applying proven measurement & verification techniques deliver lasting results and sustain savings for years to come.

Join others who have relied on NORESCO to secure Proposition 39 funding, implement energy retrofits, and see the dollar savings roll in! Contact NORESCO to schedule a meeting with you and/or your facilities, operations, maintenance and energy and sustainability teams to talk about your specific program goals and opportunities. Join the list below and other fellow school districts to secure your funding and start seeing the changes to your classrooms and operating budgets! Hide Content

  • Atwater Elementary School District
  • Fresno Unified School District – Multiple Phases
  • Natomas Unified School District
  • Oakdale Joint Unified School District
  • Rescue Union School District
  • Santa Barbara Unified School District
  • Waterford Unified School District 
1NORESCO provides engineering services on future transactions and does not act as a financial or municipal advisor. The information NORESCO provides is for discussion purposes only in anticipation of being engaged to provide such services. NORESCO does not recommend actions to municipal entities or similarly obligated persons as a municipal advisor, and does not owe any fiduciary duties, including pursuant to Section 15B of the Exchange Act, with respect to information and material provided. You should discuss any financial information and material provided with any and all internal or external advisors and experts that you deem appropriate before acting on this information or material.


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DON’T MISS THE NEXT DEADLINE. CONTACT US TODAY.

ROB READING, P.E., CEM

(916) 770-7396

[email protected]

Costa Mesa: 949.786.3533
Sacramento: 916.449.9946
San Francisco: 415.957.1977