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WRIGHT-PIERCE

Engineering a Better Environment

=>) THE CITY OF NASHUA The Gate City

Financial Services

Purchasing Department

June 1, 2017
Memo #17-128

TO: MAYOR DONCHESS
FINANCE COMMITTEE

SUBJECT: CONTRACT FOR WASTE WATER FACILITY ENERGY AUDIT (VALUE: $22,800)
DEPARTMENT: 169 WASTEWATER; FUND: GRANT
ACTIVITY: NH DES ENERGY AUDIT

Please see the attached communication from Noelle Osborne, Wastewater Department Operations
Supervisor, dated May 18, 2017 for the information related to this purchase.

Pursuant to NRO § 5-83 Professional Services (A) In the purchase of accounting, architectural, auditing,
engineering, legal, medical and ambulance services and purchases of independent professional
consultant services for personnel, data processing, actuarial, planning, management and other
comparable purchases competitive bidding shall not be required.

The Wastewater Department Operations Supervisor, Board of Public Works (5/18/2017 meeting) and the

Purchasing Department recommend approval of this contract award in the amount of $22,800 to Process
Energy Services, LLC of Londonderry, NH.

Respectfully~ 4

SEP Ge —

Dan Kooken
Purchasing Manager

Ce: N Osborne | Fauteux

j229 Main Street e Nashua, New Hampshire 03061 e Phone (603) 589-3330 e Fax (603) 589-3233

To:

From:

Re:

D. Motion:

Atiachments:

Discussion:

City of Nashua, Public Works Division

Board of Public Works Meeting Date: May 18, 2017

Noelle Osborne, Plant Operations Supervisor
Wastewater Department

Waste Water Facility Energy Audit

To approve the contract with Process Energy Services for an energy audit of
the wastewater treatment facility in an amount of $22,800. Funding will be
through: Department: 169 - Wastewater; Fund: Grant; Activity) NH-DES
Energy Audit.

Process Energy Services Energy Audit Scope and Fees

The New Hampshire Department of Environmental Services (NHDES) is
conducting an energy savings initiative in conjunction with the United States
Department of Energy. This initiative involves auditing wastewater treatment
facilities across the country. A large number of wastewater plants in New
Hampshire are taking advantage of this, and all are seeing a potential energy
savings and cost reduction when suggested changes are implemented. NHDES
is using one company for the energy audits, Process Energy Services.

Some of the benefits of an energy audit include determining simple operational
measures that can result in energy savings for low cost changes, evaluation of
past projects to promote energy efficiency in upcoming projects, and
identification of other changes and upcoming planned projects that could result
in energy savings.

The total cost for Nashua’s audit is funded through NHDES as part of its
energy savings initiative ($20,000) and a US Department of Energy grant
($2,800).

Process Energy Services has done energy audits at other plants in the State,
and typically identifies savings of around 34% in energy costs. This is the
company the NHDES is using for this program and they are well suited to
identify energy savings at the Nashua Wastewater Treatment Facility.

f& PROCESS ENERGY SERVICES, LLC Londons eeyatte Reed

rt
el, WATER * WASTEWATER @ INDUSTRIAL www. processenergy.com

Phone: 603-537-1286

April 6, 2017

Mr. William Keating, P.E.

Wastewater Project Engineer

City of Nashua Wastewater Treatment Facility
9 Riverside Street

Nashua, NH 03062

RE: Proposal for a Comprehensive Process Energy Evaluation
City of Nashua Wastewater Treatment Facility & Pump Stations

Dear Bill,

Process Energy Services is pleased to submit the enclosed proposal for energy evaluation services
for the Nashua Wastewater Treatment Facility and thirteen-collection system pump stations.

Proposed Scope of Work

We have recommended a comprehensive approach that is based on our experience conducting
energy evaluations for facilities throughout New England. The approach outlined in this proposal
provides a detailed review of the process and building systems.

An overview of the energy evaluation scope of work is provided below.
Task #1 Site Visits

To properly evaluate all facility process and building systems, we will require several site visits to
review facility equipment and systems with staff, collect energy usage and equipment data, and
develop cost savings recommendations. The site visits will include the following:

Detailed facility review and equipment testing with plant operator.
Collection of equipment nameplate data.
Performing equipment efficiency tests on major equipment with a motor nameplate of over
10 hp operating at least 50% of the time. Testing will include pressure, flow and electrical
measurements. For this task, we would like to request that the facility provide the services of
an electrician or an operator comfortable opening up electrical panels.

e Installation of data loggers on selected equipment.

During our site visit(s), we would also like to review the following information:
e Facility O&M manuals & plant drawings

e Specification data for all major equipment (i.e. pump curves, performance data) and historical
maintenance costs for each system.

1.

General Terms and Conditions

DEFINITIONS Unless otherwise required by the context, "Professional Contractor”, and its
successors, transferees and assignees (together “Professional Contractor’) includes any of
the Professional Contractor consultants, sub consultants, contractors, and subcontractors

PROFESSIONAL ENGINEER STATUS The parties agree that Professional Contractor shall
have the status of and shall perform all work under this contract as a Professional
Contractor, maintaining control over all its consultants, sub consultants, contractors, or
subcontractors. The only contractual relationship created by this contract is between the
City of Nashua and Professional Contractor, and nothing in this contract shall create any
contractual relationship between the City of Nashua and Professional Contractor
consultants, sub consultants, contractors, or subcontractors. The parties also agree that
Professional Engineer is not a City of Nashua employee and that there shall be no:

(1) Withholding of income taxes by the City of Nashua:

(2) Industrial insurance coverage provided by the City of Nashua;

(3) Participation in group insurance plans which may be available to employees
of the City of Nashua;

(4) Participation or contributions by either the Professional Engineer or the City
of Nashua to the public employee’s retirement system;

(5) Accumulation of vacation leave or sick leave provided by the City of
Nashua;

(6) Unemployment compensation coverage provided by the City of Nashua.

STANDARD OF CARE Professional Contractor shall be responsible for the professional
quality, technical accuracy, timely completion, and coordination of all work performed
under this contract. Professional Contractor warrants that all work shall be performed with
the degree of professional skill, care, diligence, and sound practices and judgment that are
normally exercised by recognized professional firms with respect to services of a similar
nature. It shall be the duty of Professional Engineer to assure at its own expense that all
work is technically sound and in conformance with all applicable federal, state, and local
laws, statutes, regulations, ordinances, orders, or other requirements. In addition to all
other rights which the City of Nashua may have, Professional Engineer shall, at its own
expense and without additional compensation, re-perform work to correct or revise any
deficiencies, omissions, or errors in the work or the product of the work or which result
from Professional Contractor failure to perform in accordance with this standard of care.
Any approval by the City of Nashua of any products or services furnished or used by
Professional Contractor shall not in any way relieve Professional Engineer of the
responsibility for professional and technical accuracy and adequacy of its work. City of
Nashua review, approval, or acceptance of, or payment for any of Professional Contractor
work under this contract shall not operate as a waiver of any of the City of Nashua's rights
or causes of action under this contract, and Professional Contractor shall be and remain
liable in accordance with the terms of the contract and applicable law.

Professional Contractor shall furnish competent and skilled personnel to perform the work
under this contract. The City of Nashua reserves the right to approve key personnel

GC 2 of 13

A PROCESS ENERGY SERVICES, LLC London et aoes

ck. WATER @ WASTEWATER @ INDUSTRIAL WwW. processenergy.com

Phone: 603-537-1286

® Recent engineering facility evaluations/reports.
Data that we would like to request copies of include the following information:

12 months of facility operating reports and process spreadsheets
12 months of recorded equipment run times (if available)
12 months energy bills (electric, propane, natural gas and fuel oil) for the treatment facility
and pump stations.
e 12 months of digester process data (sludge flows, gas flow for heating, flared gas, etc...)

Providing some of this information before the initial site visit will help us develop an effective
work plan for equipment testing and system evaluation.

Task #2 Treatment Plant Energy Analysis and Report Develapment
The energy analysis will include the following tasks:
Review Energy Use and Rates

e Energy billing evaluation of facility energy use.
e Rate structure evaluation.

Energy Balance

To determine how energy is used within the facility, Process Energy Services will develop an
energy balance of the facility. This will include the following tasks:

e Develop inventory of all energy use equipment grouped by process

e Use a portable power meter and SCADA data when available to verify energy use and hours
of large horsepower equipment (over 10 hp).

e Comparison of energy balance with annual electric bills to verify data.

e Develop a heating system energy balance for each building at the plant site.

Treatment Plant Pump Systems Evaluations

A pump system analysis will be done for the pump systems at the plant. Evaluation tasks will
include:

Collect field data to determine typical pump operating point.

Determine the system static head value to develop pump system curves.

Compare existing pump system operation with the original design parameters.

Review pump efficiency improvements such as pump replacement or rebuilding.
Evaluate the potential savings of installing (or optimizing existing) variable speed drives.
Evaluate hydraulic and operational improvements that may improve efficiency.

A. PROCESS ENERGY SERVICES, LLC London satayete Road

ai WATER @ WASTEWATER @ INDUSTRIAL www.processenergy.com

Phone: 603-537-1286

Treatment Facility Process Analysis

This part of the evaluation includes an energy related analysis of each treatment facility process.
Specific areas that will be investigated include:

Review preliminary treatment systems and evaluate energy saving adjustments.

Evaluate primary clarifier performance.

Model the facility biological treatment system to evaluate process efficiency, potential
equipment efficiency improvements, and control system optimization.

e Evaluation of digester performance and optimal use of digester gas. The review will include
gas production analysis, effectiveness of boiler system and review of digester heat losses.
Potential measures will include the use of tank insulation, optimizing digester gas use for tank
and space heating and cogeneration system.

e Plant water system optimization by measuring pressure and flow using portable flow
instrumentation to evaluate system pressure requirements and end use optimization.

e Sludge process analysis to review energy usage of pumping, sludge holding tanks, thickening
and dewatering system.

Heating and Ventilation Systems
Building systems to be evaluated include:

e Heating and ventilation systems for each area to determine how systems can be improved
while still complying with NFPA 820A. A heat balance will be performed to evaluate the
energy impact of temperature control upgrades and ventilation adjustments,

Preliminary review of HVAC control systems
e Review potential of solar walls and heat recovery systems for high ventilation rate areas.

Cost/Benefit Analysis
Proposed energy saving projects will include:

e Conceptual cost estimate based on industry data.
Detailed energy saving calculations that include baseline development from SCADA data,
instantaneous electrical measurements, equipment performance curves and data loggers to
determine how equipment energy use varies.

e Electric energy measures will report savings in annual kWh (consumption) and kW
(demand).

e Cost/benefit analysis for each project

A. Process ENERGY SERVICES, LLC ate bean eit

cucu, WATER @ WASTEWATER @ INDUSTRIAL Wwww.processenergy.com

Phone: 603-537-1286

Task #3 Collection System Pump Station Design Review

The collection system includes thirteen pump stations that are currently in the process of being
upgraded. As part of this evaluation, Process Energy Services will perform a site review of each
pump station to establish an energy use baseline by taking equipment measurements and
collecting specification data. This energy use data will be compared to the utility bills to verify
the baseline.

Process Energy Services will also review the 30% design documents developed by the engineer to
determine if additional energy efficiency improvements would be cost effective to include in the
pump station upgrades.

Task #4 Complete Draft Report

Process Energy Services follows a comprehensive energy report format as shown below. All
recommendations include savings calculations, cost estimates, and a financial analysis of each
project. Specific sections of the report will include:

Executive Summary
Energy related process and building system review
Energy use profile of utility bills
Presentation of each cost savings opportunities as:
=" Operational Measures (OMs)
= Energy Conservation Measures (ECMs)
=" Energy Supply Measures (ESMs)
Appendices
= Energy calculations/equipment specifications/cost estimate for each
recommendation.
= Process model data
" Copy of utility rate schedules

As noted above, Process Energy Services will provide three categories of cost saving projects.
These include Operational Measures (OMs), which are improvements that can be done at minimal
cost, or for improvements that cannot be directly quantified (i.e. setting up an energy
management team). Energy Conservation Measures (ECMs) that include all energy saving
projects, which require an investment to realize savings, and Energy Supply Measures (ESMs)
that include alternative energy sources or utility rate schedule adjustments.

Task #5 Complete Final Report

After comments have been received and addressed, a final electronic and hard copy of the report
will be provided.

Av Process ENERGY SERVICES, LLC London evate Rose

aun, WATER @ WASTEWATER @ INDUSTRIAL www. processenergy.com

Phone: 603-537-1286

Proposed Cost

Process Energy Services proposes a not to exceed cost of $22,800 to complete the services
described for the wastewater treatment facility and thirteen-collection system pump stations. A
cost breakdown is provided below.

Task Hours Cost

Site Visit(s) & Equipment Testing 24 $ 2,880
Energy Analysis 90 $10,800
Report & Presentation 40 $ 4,800
Pump Station Review 30 $ 3,600
Administrative/Travel -- $720
Total Cost: $22,800

Based on the February 24, 2017 letter from the NH Department of Environmental Services, the
NHDES has offered to provide $20,000 in principal forgiveness. The remaining $2,800 will be
funded through a grant program with the U.S. Department of Energy.

Summary
We look forward to working with the City of Nashua on this project. Our goal is to develop a cost
effective energy evaluation that combines our experience with the practical input from plant staff.

Please call me at (603) 527-1286 if you have questions or require additional information.

Sincerely,

PROCESS ENERGY SERVICES, LLC

ae dat
. a A Mf

Steven Bolles
President

Accepted by: Date:

(name printed / title)

City of Nashua, NH