Developer Connections Spring 2020
In January 2020, SMUD just released their new construction incentive and design assistance program, Integrated Design Solutions. When participating early enough with the design, both the owner and design team could be eligible for the electrical energy efficiency incentives and beneficial electrification (including energy recovery) incentives, as well as third party design assistance from SMUD.
Sacramento State Ernest E. Tschannen Science Complex
It is the first new construction incentive program of its kind to offer electrification incentives. Benefits to the owner include a more efficient building that maximizes on energy recovery. Additionally, onsite combustion from natural gas is reduced, which in turn improves local air quality. There is also a potential reduction on utility infrastructure costs. The design team benefits from the design assistance from SMUD in energy recovery technologies and strategies to further optimize the building.
The IDS program requires early design involvement and offers two incentive approaches: the modeled approach and equipment menu approach. For the more lucrative modeled incentive, a Letter of Interest (one-page application) is required from the owner prior to 100% design development. An IDS staff member needs to meet with the design team prior to 50% schematic design for the design team to receive an incentive. The modeled approach applies well to larger more complex projects, offering incentives up to $150,000 for the owner and incentives up to $50,000 for the design team. For the equipment menu, the owner needs to submit a Letter of Interest by 100% construction documents. The equipment menu applies well to smaller, less complex projects. The equipment menu offers incentives up to $50,000 for the owner. For both approaches that are all electric designs, while funding lasts, a beneficial electrification incentive is offered of $1/sqft, up to $25,000.
More information on the program can be found online in the Integrated Design Solutions Procedures Manual.
Rancho Seco Solar development
On February 20, 2020, SMUD’s revised SolarShares application was reviewed and accepted at the California Energy Commission (CEC) Business Meeting. The Commissioners voted 5-0 in favor of SMUD’s application.
This offering will help residential developments meet new state building standards that require solar installations on all new residential roofs. The program is intended to serve as an alternative approach for complying with the onsite photovoltaic (PV) system requirements in the 2019 Building Energy Efficiency Standards (2019 Energy Code).
Previously at the November 2019 meeting, CEC Commissioners voted to delay their decision. Since then, SMUD worked to clarify and enhance many areas of the proposal offering. SMUD’s Neighborhood SolarShares program is intended to provide a compliance option to the new home and low-rise multifamily construction. The program includes a 20-year agreement with the developer where SMUD provides solar energy to customers from solar arrays connected to the grid. Occupants of the homes must participate in the program until the 20-year term is over and will receive an estimated annual net benefit of about $20 a year.
In 2018, SMUD began the process of seeking approval from the California Energy Commission (CEC) on our application to use our Neighborhood Solar Shares program as an option for developers and builders in our service territory to meet the California solar mandate. Since that time, we have worked closely with community partners, the BIA, local developers and builders in getting support and ultimate approval for the program.
Starting on Monday February 24th, 40+ emerging leaders from various utility providers from Sacramento to Pennsylvania participated in a three-day business acumen course located in Sacramento. To kick-off the course, the SMUD Commercial Development Team provided a downtown Sacramento walking tour of planned, under construction or recently completed development projects along the K Street corridor. In total, the emerging leaders learned from seven developers and toured the Golden One Center to conclude the day.
The downtown Sacramento development tour started at the currently under construction City of Sacramento Convention Center and Community Theater project. The City of Sacramento provided an overview of the project components, the energy delivery aspects and schedule for completion. The second stop featured an overview of the upcoming Anthem Properties project Cathedral Square. Brendan Leonard, from Anthem Properties provided an update on the status of the Cathedral Square Project located on 11th and J Street and discussed the challenges in developing in urban infill locations.
Nikky Mohanna with Mohanna Development provided an early peak of the 10th and K project, which will feature a mix of hotel, apartments and ground floor retail. Nikky discussed the vision for the project, timing and coordination with SMUD to ensure there is adequate capacity to serve the project. Bay Miry from Miry Development and Shahriar Nejad, CFY Development provided an overview of the 700 and 800 block of K Street. Both developers shared with the WEI group the vision for the two blocks, the development that was recently completed and the boost the Golden One Center has had on the area.
Representatives from the Downtown Sacramento Partnership and City of Sacramento Economic Development Department discussed the development trends in Downtown Sacramento and vision for the Central City. The last stop was a tour of DOCO and Golden One Center. The Sacramento Kings hosted the WEI emerging leaders and provided an in-depth tour of the building provided an overview of the state-of-the-art features of the arena and how it compares to other building across the County.
In all the WEI emerging leaders were given a unique picture of development in downtown Sacramento and how SMUD plays a vital role in ensuring these projects obtain the SMUD power they need on time.
Transforming How We Build: ZERO Code for California – Skype meeting
April 16, 2020 | 11:30 a.m. – 1 p.m. | Skype Meeting
Go Electric Incentives for Businesses – Skype Meeting
May 6, 2020 | 9 a.m. – noon | Skype Meeting
Daylighting – the Forgotten Design Element – Skype Meeting
May 14, 2020 | 10 a.m. – 11:30 a.m. | Skype Meeting
Lighting Lessons Learned: Getting Building to Really Work – Skype Meeting
May 14, 2020 | 1 p.m. – 2:30 p.m. | Skype Meeting
Transforming How we Build: Toward Zero Emissions Housing Design
May 21, 2020 | 11:30 a.m. – 1 p.m. | SMUD Headquarters Building