City of Highlands Ranch Energy-focused Government Empower the Residents and Businesses to Reduce their Dependence on 3rd Party Energy Sources project started: May, 2006 - present

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City of Highlands RanchEnergy-focused
Government Empower the Residents and
Businessesto Reduce their Dependence on 3rd
Party Energy Sourcesproject started May, 2006
- present by ThunderRidge High School Senior
Project ResearchersApril 15, 2008
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City of Highlands Ranch Business Plan energy
empowerment Short Term Goal Offer the Highlands
Ranch voters an alternativeand innovative choice
of local government that is 100 focusedon an
energy platform rather than traditional
municipality services. Long Term Goal Empower
the Highlands Ranch residentsand businesses to
become energy self reliant through the use of
solar, wind, hydrogen and other renewable energy
sources. The city will help them do that. 1.
Will become the first non-municipality in the
U.S. to adopt a city charter that is 100
focused on energy 2. Will become the first
energy-focused city in the U.S. that earns
revenues from private enterprises and returns
profits back to the residents and businesses
to assist them in reducing their reliance on
3rd party energy sources
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Energy City of Highlands Ranchis not - a
city offering traditional services such as
police, fire, water, etc. - a city with
hundreds of employees - a city offering
redundant services - a city with a
mayor/business manageris - a city that
offers energy reduction solutions to the
residents and homeowners - a city with a
clean tech energy incubator that earns revenue
and gets reinvested back to the residents - a
city with 4-6 employees - a city that focuses
on one serviceenergy
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• Energy City of Highlands Ranch 2007-08 business
  plan research modules
• Clean Technology Energy Incubator
• Solar/Wind Production
• Water Conservation
• Transportation
• Marketing Communications
• Financing

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City-Owned Clean Technology Energy
Incubatormentor concepts west architecture,
inc. Offers clean-tech facilities and mentoring
services to energy-related startupcompanies.
Incubator is owned by the Highlands Ranch
residents.City incubator will become a profit
center for the residents. The incubator will
stimulate the local economy by attracting energy
businesses, attract capital and solidify the tax
base.Energy companies are nurtured for about
2-3 years. They hire employeesand attract
capital.  Companies leave the incubator by
establishing their ownfacilities which benefits
the Highlands Ranch economy.City partakes in
the financial success of the startup company
through license,patent and royalty income
earned. The revenue earned gets reinvested back
to the residents to assist them to get off the
energy grid by the year 2020.Location 7.5 acre
site to the north of HR Pkwy and east of Lucent
Blvd.
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Clean Technology Energy Incubator

• Phase 1 25,000 sq ft wet lab research center
• Solar arrays on roof, parking structure and on
  the ground
• Wind turbines
• Is energy self sufficient

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Water Dome Energy Visitor Center

• Water dome is used to heat building during the
  winter and cool during the summer.
• Energy visitor center is where the public may
  visit to learn more about the clean tech energy
  projects.

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Clean Technology Energy Incubator

• The buildings are going to be made of energy
  saving materials for LEEDScertification
• Glass will be on the exterior wall so sun light
  may come in and light the building during
  daylight hours.

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• Energy City of Highlands Ranch 2007-08 business
  plan research modules
• Clean Technology Energy Incubator
• Solar/Wind Production
• Water Conservation
• Transportation
• Marketing Communications
• Financing

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Solar Generation Incubator is energy self
reliantmentor energistics systems
A Evergreen Solar panel
Fronius Inverter
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Solar Generation
Incubator Solar/Wind Rendering

• Solar panels will be placed on the roof of the
  incubator to power the businesses inside
• A solar mount on the ground to sell power back
  to Xcel
• We will have a low carbon footprint, US made
  panels for each of the mounts
• Any other items needed with also be as green as
  possible
• We will get rebates from Xcel for the roof
  mounts
• It is possible to make money once the original
  investment is paid off, probably in about 15
  years

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Wind Generation mentor invenergy llc Currently
we are installing a wind meter tower to monitor
theamount of wind on the location. It will be a
12-month project.
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• Energy City of Highlands Ranch 2007-08 business
  plan research modules
• Clean Technology Energy Incubator
• Solar/Wind Production
• Water Conservation
• Transportation
• Marketing Communications
• Financing

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• Water -- Need to Conserve mentors centennial
  water and paul clukies
• Population in the South Platte River Basin is
  increasing
• - Will double by 2030
• New water supplies are limited
• - South Platte River
• - Denver Basin Aquifer
• Two options for obtaining water
• - Acquire new water supplies
• - Water conservation - preferred

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• Water Conservation -- Xeriscaping
• Colorado has an arid climate and receives only
  19 inches of water per year
• Bluegrass requires an additional 27 inches of
  supplemental water
• 75 to 80 percent of water can be conserved by
  using xeriscaping techniquesSource of Stats
  Centennial Water

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• Replace Grass Maintained by HRMDXeriscaping
  Opportunity
• There are 250 acres of roadside grass in
  Highlands Ranch maintained by HRMD
• Grass-to-Groundcover conversion opportunities
• - Steep Slopes
• - Medians
• - Problem areas
• 550,000 gallons of water per acre saved per
  year
• Year one Up to 137 million gallons can be
  saved
• By year 10, over 1.3 billion gallons can be
  saved

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• Grass Replacement Savings
• Water saved
• - 550,000 per acre annually
• Money saved
• - 1,264 per acre annually (water)
• - 1,508 per acre annually (maintenance)
• Total money saved (if all 250 acres were
  converted)
• - 2,772 per acre annually - 693,000
  for 250 acres annually - 6,930,000 over 10
  years
• How much will water cost in year 2012 or 2015?
  Source of Stats Centennial Water

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• Water Conservation currently illegal to collect
  rainwater
• To be researched during the 2008-09 school year
• Its illegal to collect and use rainwater off
  your roof
• Dates back to 1876 under the Prior
  Appropriation Doctrine
• Diversion and use of rainwater is subject to
  Colorado State law
• Can save hundreds of millions of gallons of
  water if residents could reuse
  rainwater/snow

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• Energy City of Highlands Ranch 2007-08 business
  plan research modules
• Clean Technology Energy Incubator
• Solar/Wind Production
• Water Conservation
• Transportation
• Marketing Communications
• Financing

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• Transportation - automobile mentor steve
  taraborelli
• Honda Civic/Phill Station Pilot Proposal
  launch in 10 residential households. Governors
  Energy Office interested, eligible for possible
  NEED grant.
• Residents own/operate compressed natural gas
  (CNG) vehicles
• Fuel up in your garage anytime you want
• Cost of gasoline 3.50 by summer, 2008 Cost
  of CNG 1.25 by summer, 2008
• Reduces carbon emissions 22 less
• Reduces emissions to Denvers ozone problem
  82 less
• Reduces your reliance on foreign oil

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Transportation automobile - savings
Regular Honda Civic 20,145Hybrid
Prius w/tax Credits 20,264CNG Civic w/tax
credits 14,664Phill Station w/ tax
credit 3,000Cost of Ownership over 7
years Auto Phill
Fuel TotalRegular Civic 20K na
13K 33KHybrid Prius 20K na
8K 28K CNG Civic 15K
3K 5K 23KCNG Civic is 10,000
cheaper to own and operateversus gas and 5,000
cheaper than a Prius If 5,000 households
converted, in 7 years over 50 million would be
retained by the consumers and could potentially
be spent back into the local economy.Why give
away your money to the petroleum
companies?Based on 3.50/gallon for gas and
the 5 month average for residential natural gas
costs in CO.
Note Federal/State Tax Credits2008 Prius
Fed 0 State 3,1062008 CNG Fed
4,000 State 5946
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• Energy City of Highlands Ranch 2007-08 business
  plan research modules
• Clean Technology Energy Incubator
• Solar/Wind Production
• Water Conservation
• Transportation
• Marketing Communications
• Financing

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• Marketing Communications mentor steve
  taraborelli
• Outreach program to keep the community and the
  Douglas County Schools informed -
  Advertising in the Highlands Ranch Herald -
  Your Hub print internet postings - Clean
  Tech Blog - www.hrcleantech.com website -
  Flyer distribution at the Town Center -
  Advertising outreach in ThunderRidge High School
  - Public presentations - April 24 -
  Major press conference announcement at TRHS
  - Clean Tech Energy Day at ThunderRidge HS
  - energy guest speakers in classrooms

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• Energy City of Highlands Ranch 2007-08 business
  plan research modules
• Clean Technology Energy Incubator
• Solar/Wind Production
• Water Conservation
• Transportation
• Marketing Communications
• Financing

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Financingmentors merrill lynch hank held at
burt automotive network The finance team is
responsible for budgeting and financingthe
project. This includes determining the total
estimated cost of buildingthe energy incubator
as well as all of its related costs. We also
are in charge of finding funding opportunities
that willhelp lower the cost of the project. The
project will primarily be financed through a
tax-exempt municipal bond issuance, as wellas
grants. The combination of these will raise the
money that is necessaryfor the construction
costs of the energy campus. The financegroup
will work on the business plan which will include
the majorfinancial aspects of this project.
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• Financing Budget/FundingSaunders Construction
  Inc. provided a line item estimate -- projected
  total cost of the incubator construction site to
  be approx. 14 million.
• 25,000 Square foot building approx. 2.93
  million
• Site Prep/Costs Visitor Center approx. 3.83
  million
• Thermo Mass Pond 100,000 allowance
• Land Purchase approx. 2.9 million
  (pre-negotiated price)
• Wet Lab Facilities approx. 3 million
• Solar and Wind Equipment approx. 1.45 million
• Anchor Tenants
• Local Universities (CU, CSU, CSM), Major
  Corporations
• These major tenants will cover majority of the
  operating costs for the incubator
• Students will be able to use the lab facilities
  and other assets of the incubator
• Incorporate Colorado Renewable Energy
  Collaboratory
• Develop and market renewable energy technology
• Help provide further grant opportunities

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Financing the Project

• EDA (Economic Development Admin.) Determine
  eligibility for a federal grant due to the
  recent Adams Aircraft layoffs.
• 1) business plan development
• 2) implementation. 
• The grants available are between 50 of the total
  cost with a cap of 100,000 and 4,000,000 for
  business plans and implementation respectively. 
• Tax-Free Municipal Bond Raise capital through
  a bond offering
• After EDA, the cost of 10M still remains.
• Special District within the city we want to
  make the incubator a special district.
  Tax-Free Bond Issuance Authority.
• Hire investment bank to underwrite the bonds
• Their clients buy/sell bonds from/to the
  investment bank
• For example, 6 yield Investment bank sets the
  yield
• Bond is offered to the clients and sells for
  5.75
• Investment bank keeps the .25 spread from the
  bond offering as payment

Grants (4 Million) Bond (10 million) 14 Mil
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City of Highlands Ranch Energy Government
summary - First community in U.S. to
incorporate on an energy platform - Incubator
becomes city icon to attract and retain
high-tech industry to an area that embraces
energy empowerment (voters said yes) -
Highlands Ranch becomes the leader in clean
energy technology - Residents and businesses
become empowered to reduce reliance on 3rd
party energy sources - Highlands Ranch Goes
Green money/environment You
can be green to save some money and/or
you can be green to make a contribution to
the environment
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ThunderRidge High School Senior
Class of 2008 The thought leaders of
tomorrow shaping how we think today
Wilbur Sameshima TRHS Teacher Senior Project
SponsorSouth Metro Chamber of Commerce assisted
in getting mentor sponsorships
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To Those Who Helped
- Burt Automotive Network- Centennial Water
Sanitation- CH2M Hill- Concepts West
Architecture- Douglas County School District-
Energistic Systems- Ford Motor Company-
Governors Energy Office- Highlands Ranch
Community Association- Invenergy- Merrill
Lynch- Metro District of Highlands Ranch-
Mountain Ridge Middle School- NREL- Shea
Homes- South Metro Denver Chamber of Commerce-
ThunderRidge High School- Xcel Energy- Young
Republicans of Douglas County
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And I would like to thank the ThunderRidgehigh
school seniors for doing energy researchfor the
community of Highlands Ranch. Theyare setting
the example for the rest of the world to
follow. U.S. Senator Ken Salazar Speech
given at the Colorado AutoVenture luncheon
Approx 1,000 attendees March 27, 2008
Colorado Convention Center
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Questions?