SUBJECT/RECOMMENDATION:
Title
Approve a Purchase Order with Pasco Investment Land, LLC, in the amount of $600,000 for payment of Energy Conservation Allowances and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
Clearwater Gas System (CGS) executed a Developer Agreement with Pasco Investment Land, LLC (i.e., Developer) in June 2017. This is a residential subdivision, named Connerton, and is located east of US Hwy 41 and north of State Road 54 in Pasco County.
As part of the agreement CGS will provide Energy Conservation Allowances (ECA) to the Developer when they construct new homes with the required natural gas appliances. Below is a list of appliances that are eligible for the ECA money:
Energy Efficient Gas Central Home Heating System $500.00
Energy Efficient Gas Water Heater $450.00
Piping to Energy Efficient Pilotless Gas Range $150.00
Piping to Energy Efficient Gas Dryer $100.00
The total maximum energy conservation amount payable: $1,200.00 (per home)
CGS projects the Developer will construct 300 homes per year over the next 10 years, with a total build out of 6,000 homes during the term of the Agreement. This purchase order will cover 500 homes, assuming the maximum allowance is issued per home.
The original Developer Agreement was signed by Connerton, LLC back in December 2004. Pasco Investment Land has now assumed the terms and conditions of the original agreement.
APPROPRIATION CODE AND AMOUNT:
Funds are budgeted and available in 0423-02077-543200-532-000-0000, Energy Conservation Allowance.
USE OF RESERVE FUNDS: N/A