We recommend continuing to fund critical projects that are key to energy conservation efforts at UIUC. Given the budgetary constraints of the University of Illinois, the team has developed a prioritized list to guide decision makers about funding priorities. Please see noted references for additional rationale for our recommendations.

Priority 1 (Top—Most important): RESTORE funding for energy conservation work to FY 15 levels (total of ~$2M) to allow the recommission teams to continue their work. Specifically:

• Restore $610K in Systems & Controls / Energy Conservation FY 16 cuts (includes $250K Quick Payback.)
• Provide funding to maintain the $1.15M needed for the 3 existing Recommissioning teams.
• Protect this initiative from FY 17 budget cuts (including another $ 250K proposed cut in Quick Payback.)

Priority 2: INCREASE the Recommissioning and Preventive Maintenance (PM) teams. IMPLEMENT systematic upgrades of building control systems.

• Increase Recommissioning teams from 3 to 4 for FY2017 (increase of $ 350K for FY 17).
• Provide funding for systematic building control upgrades at $1M/year to allow further conservation.

Priority 3: MAINTAIN the State Utilities Budget (currently ~$65M/year). This will allow campus to reinvest energy savings in more conservation work while maintaining the ability to cover possible future fuel and power price increases. Future Energy Performance Contracts with ESCOs could be supported by this reinvestment, as well as providing funding support for debt service payments on borrows. We anticipate that another ~$100M will need to be spent on future ESCO/deferred maintenance projects.

Priority 4: COORDINATE with the Campus Master Plan to retire campus space and reduce overall campus square footage. New capital projects must be optimized for energy conservation. Coordinate campus deferred maintenance estimated at (~$750M) with deferred maintenance projects, campus energy conservation efforts, and campus master plan efforts.