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Community Leaders Can Reduce Condo & HOA  Budgets by Taking Advantage of Rebate and Incentive Programs. 

We have included various money-saving tips for associations on this blog over the past two years.  The case studies show how some associations trimmed up to $100,000 annually as a result of changed practices - especially through use of Florida Friendly Landscaping and irrigation changes.  This month's Florida Community Association Journal contains several examples of money-saving initiatives on the part of community associations.   Madeira Beach Yacht Club saved close to $20,000 per year on waste removal as a result of its recycling program.  The La Playa Condominium on Longboat Key installed solar panels to heat the pool.  It will "make back" the initial cost of installation in the first two years.  The owners in the Tower Residences in Coconut Grove save approximately 18% per month on electric bills by replacing lighting.  All of these communities are saving money and yours can too if the Board takes the right steps.  Many utility companies offer evaluations, rebates and incentives.  Here are a few:

Florida Power and Light (FPL) offers the following opportunities:

•Free Business Energy Evaluations provide comprehensive analysis of facility energy use and recommendations for cost-effective energy efficiency improvements.

•Building Envelope rebates include window treatments ($0.50-$1.00 per sf), ceiling insulation ($0.10-$0.15 per sf) and reflective roof measures ($0.45 per sq. ft.). Projects must be approved in advance in order to qualify for incentives.

•FPL's Interior Building programs provide incentives for efficient lighting (e.g., rebates of 65 cents to $4 for each linear fluorescent lamp), a variety of HVAC and chiller equipment, thermal energy storage, refrigeration and water heating equipment. Installations must be approved in advance.

Progress Energy offers financial incentives and services for a wide variety of energy efficiency measures and equipment upgrades in existing buildings and new construction including HVAC, motors, lighting, cool roofs, green roofs, roof, thermal energy storage, and window films. The utility also provides cost-shared services for existing buildings including ceiling insulation upgrades, duct check and repair, rooftop air conditioner recommissioning and PTAC/PTHP coil steam-cleaning when walk-through audits suggest these measures.

Through its Energy for Life program, Florida Public Utilities offers free energy audits and project design assistance as well as financial incentives for indoor lighting efficiency retrofits ($100 per kW reduced).

Tampa Electric Company (TECO) offers financial incentives for a range of energy-efficient equipment from lighting and air conditioning (including chillers) to heat pump water heaters and motors, as well as for envelope improvements such as duct repair, insulation and window film. TECO also offers free basic energy audits and very low-cost comprehensive energy audits (for facilities of greater than 100,000 sf or with peak demand over 500 kW) to evaluate facility energy use and opportunities for energy efficiency improvements.

There are so many options for associations to trim expenses by reducing energy use and conserving water its impossible to list them all.  I encourage you to discuss your particular situation with counsel - you may be surprised by what you hear.

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Customers Able to 'Sell'  Energy Produced by Solar Panels back to Gainesville Regional Utilities for next Twenty Years.   Expansion of program into other areas could create revenue stream for Community Associations struggling with foreclosures and bad debt. 

Installing renewable energy improvements, such as solar panels, generally involves a large up-front cost.  To encourage the use of renewable energy, many countries institute a "feed-in" tariff system.  Feed-in tariffs (FITs) basically guarantee that homeowners and small business owners who generate more electricity than they use are able to sell that electricity back into the system and receive long-term payments for each kilowatt-hour produced.  As a further incentive, the rates set for each unit of electricity produced from a renewable resource are often much higher than what the market would ordinarily pay.

TheGainesville City Commission was the first in the nation to approve a feed-in tariff for solar PV energy production.   Owners of solar panels will be paid 32 cents per kilowatt hour sold back into the system.  Compare that to the average rates charged throughout Florida and you will see what a wise and sustainable investment this program creates.  According to FPL's website and other sources, residential customers generally pay approximately 9-12 cents per kilowatt hour of energy.  With tax credits and low-cost renewable energy loans, owners are predicting the systems will pay for themselves in as little as six (6) years and thereafter expect returns that make a profit in an amount of up to 20%. The Gainesville program was so popular that it fulfilled its 2009 goals in just three weeks.

There are plenty of opportunities to take advantage of rebate and incentive programs in Florida.  Community associations struggling to make ends meet can reduce their costs for energy usage with retrofits and changes in practices.  Expansion of this feed-in tariff system to other portions of Florida provides community associations with not only the opportunity to save money, but to create an additional revenue stream, reducing the financial burdens to homeowners.

This type of program would certainly benefit the Sarasota County rancher that spent a half million dollars to install solar systems on her property.  Since the panels aren't connected to multiple meters, the extra energy generated by the panels is 'sold' back to FPL at a discount rate which is approximately half of the retail rate paid for electricity used at the site.

Foreclosures and bad debt plague Florida's community associations.  Governmental programs designed to help Floridians reduce their energy expenses are sorely needed and there is a likelihood that property values in associations with lower expenses (and lower maintenance fees) will rise faster than other similar properties.

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