HomeMy WebLinkAbout6C (3)� (_ �, e-,)
To Redevelopment Commission
From Geri Hathaway, Ignition Park Director
Subject Ignition Park - Feasibility Study
Combined Cooling, Heating & Power Energy Center
Date December 13, 2011
The availability of reliable, redundant, low cost power has been stated as Ignition Park's
marketing advantage in the Graham -Allen Partners Feasibility Study and Business Plan.
Cloud Computing Data Centers have been highlighted as likely candidates that might be
drawn to Ignition Park because of this power advantage. A confirming example is
Ignition Park's first lot sale to the private investor Data Realty.
To insure that Ignition Park can justify marketing this asset the Phase 1A Infrastructure
Design contains more power conduits than would normally be provided. To further
protect this power advantage Economic Development requests your approval to study
the feasibility of a Combined Cooling, Heating & Power Energy Center at Ignition Park.
This study will explore not only the functional and financial viability, but also the
public - private ownership options.
This Energy Center option is part of BSA LifeStructures overall Master Plan for Ignition
Park, to provide the opportunity of power from a cleaner source other than coal. The
Feasibility Study iterates the need to be mindful of the Park's existing advantage and to
protect that advantage in multiple ways to ensure significant, valuable differentiation of
Ignition Park to potential tenants.
Economic Development requests your approval of BSA LifeStructures proposal for this
study in the amount of $30,800 including reimbursables.
OWNER AND ARCHITECT /ENGINEER LETTER AGREEMENT
DATE: November 29, 2011
CLIENT: Geri Hathaway ARCHITECT: BSA LifeStructures Inc.
City of South Bend Economic Development/ 9365 Counselors Row
Redevelopment Commission Indianapolis, IN 46240
227 W. Jefferson Blvd.
South Bend, IN 46601 -1830
PROJECT: Feasibility Study for Combined Cooling, Heating & Power at Ignition Park
BSA PROJECT NUMBER: 1535000X.00A
We are pleased to provide you services on the above referenced project. Please see below for details of the scope,
schedule, compensation and terms and conditions.
Scope of Services:
Evaluate feasibility of a combined cooling, heating and power system at a Renewable Energy Center in Ignition Park.
The study should consider the following components:
• Methods for the City of South Bend to distribute energy to tenants in the Park without becoming a utility
provider. This should include evaluation and delivering methods such as co -op ownership model, public -
private partnership and building- owner /operator.
• Further development of first costs, incremental costs and annual costs (such as maintenance) to establish a
comprehensive financial viability plan. Evaluation of the potential income to energy provider to establish a
return on investment.
• Further develop true benefits of CCHP to future Ignition Park Tenants to help "paint" the Marketing Strategy
& Benefits for the City's plan to attract new tenants.
• Research and potentially visit other sites such as co -op ownership or public - private partnership to better
understand ownership model.
Compensation:
Professional fees will be billed as a fixed fee of $28,000. Reimbursable expenses in addition to professional fees will
be billed at actual cost, not to exceed $2,800, and represent costs expended by the Consultant and Consultants
employees in the interest of the project. Reimbursable expenses may include, but are not limited to, the following
items:
• Transportation in connection with the project, authorized out -of -town travel and subsistence, and electronic
communication
• Fees paid for securing approval of authorities having jurisdiction over the project
• Reproductions, plots, standard form documents, postage, and shipping
• Renderings, models, and mock -ups requested by the Client
Payment:
Billings will be prepared monthly and payment is due 30 days from the invoice date. If the Client fails to pay the
Consultant within 30 days from the invoice date, a service charge of 180,6 per annum shall be imposed on any unpaid
balance.
Term:
The time for performance has been mutually agreed to by the Owner and Architect /Engineer and will be completed
within 10 weeks of approval.
If these terms are acceptable to you and you give BSA LifeStructures Inc. authorization to proceed with the work,
please sign below and send us a fully executed copy.
APPROVALS:
City of South Bend
BSA LifeStructures Inc.
Signature Date Signature Date
Printed Name and Title Printed Name and Title