Four local projects compete for federal funding

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Four Des Moines projects stood to benefit from the Iowa Energy Efficiency and Conservation Block Grant (EECBG) Program, which through financial incentives assist local governments in taking measures to reduce energy use and fossil-fuel emissions.

Hubbell Realty Co., the World Food Prize Foundation and the city of Des Moines applied for a total of more than $700,000 through the competitive grant program, which is intended to provide financial support for projects that result in improved energy efficiency, as well as create and retain jobs.

The Iowa Office of Energy Independence (OEI), which is charged with administering the funds, was expected to announce the successful applicants on March 19.

The World Food Prize Foundation, a nonprofit organization working to transform Des Moines’ former central library building into the Dr. Norman E. Borlaug Hall of Laureates, applied for $142,095 in grant money.

Those funds would be used to complete the installation of energy-related components, such as geothermal technology, in the historic building at 100 Locust St. According to the foundation’s grant application, implementing overall energy enhancements on the site would create 135 jobs.

The city of Des Moines is contemplating two projects. One is a plan to expand a current LED streetlight project on Ingersoll Avenue from Martin Luther King Jr. Parkway to 16th Street. Beyond the job impact – the installation would require 350 hours of electrical work – the city expects to save more than $96,000 a year in energy costs. It requested $75,000 in grant money for the project.

A second city project, to replace and expand an obsolete temperature control system located in the Armory Building at 602 Robert D. Ray Drive at a cost of $220,000, would allow for better management of lighting and water usage at several sites.

In addition to improving controls for City Hall, the Armory and Pioneer Columbus Community Center, the expanded system would also serve the Police Department, Police Academy, Chesterfield Community Center, Four Mile Community Center and Public Works Administration.

Hubbell Realty requested $400,000 to help offset the cost of installing four Mammoth Inc. heating, ventilating and air conditioning (HVAC) units at the Kaleidoscope at the Hub. Hubbell said the goal of the $889,800 project is to reduce the energy needed to heat and cool its downtown mall at 555-655 Walnut St. and surrounding skywalk bridges.

“This program that came out got us to the tipping point of making (the project) financially viable,” said Steve Niebuhr, Hubbell’s vice president of construction and management services. “This would facilitate us doing it sooner.”

But Hubbell would like to see a return on its investment in a reasonable time frame, Niebuhr said, noting that without the grant, “I think we’d have to look at a more detailed payback analysis” before going forward with a more energy-efficient HVAC system.

“This program obviously makes that threshold a lot easier to achieve, to invest in a more efficient system,” he said.

According to its grant application, Hubbell expects to save $4,400 a year in electricity costs with the installation of the new units, which would be funded in part by an $18,000 cash rebate from MidAmerican Energy Co.

The American Recovery and Reinvestment Act of 2009 appropriated funds for the first time to the U.S. Department of Energy for the EECBG program.

On Sept. 24, the OEI received $9.6 million to establish the Iowa EECBG program. Of those funds, the 10 largest counties and 13 largest cities in the state are competing for roughly $2.9 million in grant money for transportation-related and non-transportation-related projects.

“It will be a competitive process,” said Economic Development Administrator Matt Anderson. “It’s not a lot of money.”