LDC Collaboration Fund Guidelines

Transcription

1 LDC Collaboration Fund Guidelines 1. Purpose of this document The purpose of this guideline is to describe the LDC Collaboration Fund s objectives, eligibility requirements, and application, reporting and payment processes. The following documents to be used when utilizing the LDC Collaboration Fund are available on the LDC Toolkit: LDC Collaboration Fund Application Form Midpoint Report Template Final Report Template Reconciliation Report Template Exception Report Template The Independent Electricity System Operator (IESO) recommends having a complete review of this guideline prior to submitting an LDC Collaboration Fund Application. Questions about this document and the LDC Collaboration Fund may be ed to CDMPlans@ieso.ca. 2. Introduction The IESO supports and encourages LDC collaboration to achieve efficiencies in conservation program delivery and to support the Conservation First Framework (CFF) objectives of achieving cost-effective energy savings, having programs available to all customer types, encouraging collaboration amongst LDCs and with gas utilities, and contributing to regional planning. Through the LDC Collaboration Fund, LDCs can receive additional support as they work together towards a common goal, whether based on geographic location, shared customer characteristics, or as province-wide working group (Working Group). LDC collaboration allows for greater efficiencies, resource sharing, and fostering of strong working relationships. The purpose of the LDC Collaboration Fund is to mitigate the initial financial risk that exists when testing new collaborative projects amongst LDCs, and to provide support to the four Working Groups to implement and complete their approved work plans for the year. The LDC Collaboration Fund provides funding up to 12 months for testing new collaborative projects that could not otherwise be funded through LDCs existing CDM budgets. When project outcomes are deemed valuable, the LDCs have the choice to continue funding the collaborative project through their allocated CDM budgets. For clarity, the Collaboration Fund does not intend to duplicate LDCs CDM Plan budgets nor the LDC Innovation Fund. 1

2 3. Eligibility criteria for collaboration projects The IESO will use the following eligibility criteria in reviewing all proposed projects received through the LDC Collaboration Fund: 1. must include two or more LDCs representing at least two CDM Plans or be from one of the four province-wide working groups (Residential, Business, Data and Reporting, and Marketing and Sales) 2. the collaborating LDCs must identify a Lead LDC (main contact) in the application 3. preference will be given to projects where LDCs are collaborating with gas utilities 4. every participating LDC and/or gas utility named in the application must make a minimum contribution towards the project, either financial or in-kind support that is over and above the amount being requested (Working Group participation will be counted as in-kind support for Working Group activities) 5. a detailed budget breakdown must be included 6. must include a description of the project, its objectives, and how it will contribute (directly or indirectly) to the CFF objectives 7. must describe how the outcomes of the project will be measured and evaluated 8. must include a description of current situation versus future state 9. must include a budget and energy savings analysis with and without the Collaboration Fund support (e.g. incremental budget and savings/benefits realized as a result of the Collaboration Fund) 10. must not duplicate the following: a. province-wide centrally delivered services set out in the Central Service Strategy and Rate Guideline, b. program design and development activities that can be funded through LDC Innovation Fund; however the activities of the Working Groups may fall under the LDC Collaboration Fund 11. specific to province-wide Working Groups, a. the project must be in support of at least one of the projects identified in the approved working group plans and must be aligned with the working group goals and objectives set out in the CFIC and Working Group Charter b. the requested budget must be within the approved annual budget for the Working Group 12. a project plan (including a timeline) must be included. 4. Funding availability Funding for eligible LDC collaboration activities other than Working Group activities will be offered in three windows per year subject to funding availability for that year. These application windows will be the months of February, June, and October of 2018 and The total funding available for each application window will be $600,000, subject to any adjustments at the IESO s sole discretion. The IESO may provide funding upon request to LDCs for eligible collaboration projects of up to 80% of the total costs of such projects, subject to a maximum of $300,000 per project. The IESO may, on an exception basis, provide funding of up to 100% of total costs, at the IESO s sole discretion. 2

3 Funding for Working Group activities will be provided based on the approved budget from Conservation First Implementation Committee (CFIC) and available funds from the IESO. Applications for funding of working group activities will remain eligible to be submitted outside of the specified application windows. The IESO will not provide funding in respect of costs that were incurred prior to receiving and approving an LDC Collaboration Fund application. Applications will be reviewed and processed in the order that they are submitted to the IESO. 5. Types of projects and contracting There are two types of projects based on IESO s contribution to the total project cost. A Small Project is a project with $15,000 or less contribution from the IESO. A Regular Project is a project with more than $15,000 contribution from the IESO. A standard contribution agreement will be offered for Regular Projects. Funds will be disbursed to the Lead LDC identified in the application. For Small Projects, a standard memo will be used. The standard agreement template is available on request to the IESO through CDMPlans@ieso.ca and can also be found on the LDC extranet under Community Projects Conservation First Collaboration Fund. Standardized agreements will be offered for a term of one year (maximum term). For clarity, the Collaboration Fund does not intend to fund multiple year projects. When project outcomes are deemed valuable, the LDCs have the choice to continue implementing them using other CFF funding such as their allocated CDM budgets. The contract/agreement will be provided to the Lead LDC for execution within 15 business days of approval of the LDC Collaboration Fund application. 3

4 6. Application process Figure 1 illustrates the LDC Collaboration Fund application process for both LDCs and Working Groups. LDCs complete the Application Form and prepare the supporting documentation, if any. The Lead LDC submits the application to CDMPlans@ieso.ca Step 4 The IESO sends an ackowledgement to the Lead LDC upon receipt of the application. The IESO conducts an initial review to ensure completeness of application (3 business days). If the application is incomplete, the IESO sends a request for more information to the Lead LDC. The LDCs submit a revised and completed application. The IESO reviews the project and cost eligibility as per the criteria laid out in this guide (20 business days from the end of the application window for LDCs). The IESO informs the Lead LDC of the result of the application review. Figure 2 illustrates the Collaboration Fund contracting process for both LDCs and Working Groups. The IESO provides a contribution agreement to the Lead LDC after application approval for their review and signature (15 business days from approval). The LDCs review the agreement and the Lead LDC signs the agreement. The Lead LDC returns the signed agreement to CDMPlans@ieso.ca for IESO's counter signature The IESO countersigns the agreement and sends the fully executed agreement to the Lead LDC for their records (10 business days). The LDCs begin execution of the approved collaboration project. 4

5 7. Reporting requirements and invoicing process For Small Projects, the LDCs will prepare and submit a final report upon completion of the collaboration project that will include a description of the activities undertaken, the project results and outcome and a detailed final expense report. For Regular Projects, the LDCs are required to submit the following reports and invoices throughout the execution of the approved collaboration project: Report Midpoint Report Final Report Reconciliation Report Exception Report Contents A mid-point report must include: - description of the activities completed to date - preliminary results towards the expected outcome and detailed expenses to date - key findings and lessons learned to date (strengths, weaknesses, opportunities and threats analysis included) - any planned changes to the approved project and its justification - supporting documents, if any A final report must include: - description of all the activities undertaken in order to complete the project - final results and discussion on the effectiveness of the project - detailed final expense report - key findings and lessons learned (SWOT analysis included) - recommendations for future improvements - supporting documents, if any A reconciliation report must include: - a summary of all the eligible costs (and what was paid by the IESO to date) versus the actual project expenditures - proof of purchase (invoices and supporting documents) An exception report is only necessary if another reporting requirement is past due and must include: - an explanation on not meeting a requirement (e.g. fails to complete a milestone specified in the contract) - a description of any activities being taken to address the issues creating the delay to completion - a revised expected completion date 5

6 Figure 3 and Figure 4 illustrates the Collaboration Fund reporting and invoicing process for both the LDCs and the Working Groups. Figure 3: Midpoint reporting and invoicing process The LDCs submit a Midpoint Report on the required date indicated in the signed agreement to CDMplans@ieso.ca The IESO reviews the Midpoint Report and may request follow-ups or clarifications or accepts the Midpoint Report The IESO informs the Lead LDC of the approval of the report (15 business days) The Lead LDC submits a Midpoint invoice (as per Section 8 of this guide) to Accounts.Payable@ieso.ca and CDMPlans@ieso.ca Step 4 The IESO provides payment to the Lead LDC (15 business days) Figure 4: Final reporting and invoicing process The LDCs submit a Final Report on the required date indicated in the signed agreement to CDMPlans@ieso.ca The IESO reviews the Final Report and may request follow-ups or clarifications or accepts the Final Report The IESO informs the Lead LDC of the approval of the report (15 business days) Upon approval of the Final Report, the LDCs submit a Reconciliation Report to CDMPlans@ieso.ca Step 4 The IESO reviews and approves the Reconciliation Report (5 business days) Step 5 The Lead LDC submits a Final invoice (as per Section 8 of this guide) to Accounts.Payable@ieso.ca and CDMPlans@ieso.ca Step 6 The IESO provides payment to the Lead LDC (15 business days) 6

7 8. Payments Funding for Small Projects that have been approved will be disbursed upon acceptance by the IESO of the final report and invoice. Funding for Regular Projects will be disbursed as follows: First payment of 25% of IESO s contribution amount on signing of contribution agreement Second payment of 50% of IESO s contribution amount upon approval of the Midpoint Report and receipt of midpoint invoice Final payment of up to 25% of IESO s contribution amount upon approval of the Reconciliation Report. LDCs should retain and provide the IESO copies of any supporting documentation and invoices for expenses incurred as part of the Reconciliation Report. Payments will only be made to the Lead LDC as identified on the application. 9. Travel Expenses Travel Expenses Reimbursement of travel expenses for approved working group members participating in province-wide working group activities is an allowable Collaboration Fund expense. Prior approval is not required. Expenses should be submitted by to CDMPlans@ieso.ca or by mail to: LDC Support Travel Expenses Independent Electricity System Operator 120 Adelaide Street West Suite 1600 Toronto ON M5H 1T1 Expenses should be submitted on a quarterly basis prior to the end of the following quarter. Eligible expenses must adhere to the Government of Ontario s Travel, Meal and Hospitality Directive and use the LDC Collaboration Fund Expense Reporting Form that is available upon request to CDMPlans@ieso.ca. Scanned copies of original receipts must be submitted along with the form and LDCs should retain original receipts for audit purposes. Reimbursement will be made to the LDC not to the individual traveler. 7