By: Ryan Hoff, PE, CEM, Project Manager at Bernhard

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When we think of improvements, we often think of “bigger, better, faster, stronger.” Instead, perhaps we should be determining when less actually becomes more. Bernhard and Petros Partners recently demonstrated that less is more when it comes to carbon emissions and less traditional loan financing.

Commercial Property Assessed Clean Energy (C-PACE) financing is at the core of this new philosophy. C-PACE is a program created to give building owners a path to finance projects that increase building efficiency (and therefore reduce energy use and carbon emissions and create more sustainable buildings). This program is unique because the financing can fund up to 100% of all project costs that contribute to energy use improvement and it’s now available in a majority of states.

Although paramount to the process, financing is just one part of the deal. C-PACE needs an energy model of the project’s baseline, design building and an evaluation of the project budget in order to move forward. That’s where Bernhard’s team of experts come into the picture. Bernhard has been providing these crucial energy audits for C-PACE financing since 2017 and we work hard to fully understand the differences of each state’s C-PACE program to help determine the maximum amount of financing for which a project is eligible.

To date, 38 states and the District of Columbia have passed legislation to allow the use of C-PACE financing. For most states, the savings over the term of the loan must exceed the total loan principal. The recent, historic project in New York will do just that. This project at 111 Wall Street will retrofit the 900,000-sqare-foot tower for efficiency, resiliency, and local law compliance. Not only is this the first C-PACE project in New York City, but it is also the largest C-PACE loan in United States history. It is estimated to save $3.0 million in annual energy costs and avoid $850,000 in annual Local Law 97 fines starting in 2030.

According to Real Estate Weekly, by 2030 the program will create 689 green jobs and reduce 447,600 metric tons of CO2e from our atmosphere, an equivalent of taking 97,344 passenger cars off the road for a year.

For this groundbreaking project, Petros Partners is the financial group providing the loan and Bernhard provided the energy audit. The building was flooded during Hurricane Sandy in 2012 and ownership has struggled to operate at anything exceeding 50% occupancy. The building required a major renovation and a final decision was made to creatively combine C-PACE financing with standard loans to complete the work.

Energy improvements included:

• Replacing all existing lighting with LED lighting
• Redesigning and replacing a majority of the existing HVAC system with modern energy efficient systems
• Replacing all existing plumbing fixtures with new low-flow fixtures
• Replacing all existing elevators with new high-efficient elevator system
• Abatement and removal of hazardous asbestos containing material

Along with the estimated energy and operation costs, the project is estimated to decrease carbon emissions by 42%. The energy conservation project is being paired with an architectural renovation that anticipates enabling the building to reach full occupancy again. The aging infrastructure, high energy utility rates, and Local Law 97 all make New York City a prime market for additional C-PACE projects, and the 111 Wall Street project is a clear example of how successful they can be.

This is just one example demonstrating how Bernhard can help building owners pursue C-PACE. Our team of experts have completed C-PACE energy audits in 13 different states and have identified more than $830 million of C-PACE financing for our clients. Our projects have ranged from $1 million to $89 million and have included new construction or renovations in buildings such as:

• Offices
• Apartments
• Hotels
• Sports complexes
• Warehouses
• Hospitals

If a project is ongoing, our experts are able to partner with a financial group and identify the amount of C-PACE for which the project is eligible. If determining energy savings opportunities or the replacement of aging infrastructure is the goal, Bernhard has a full mechanical, electrical and plumbing (MEP) design team with an emphasis on sustainability, which works to:

• Identify the energy conservation measures
• Make a business case for energy efficiency
• Design the project
• Provide PACE energy audit
• Provide commissioning
• Provide measurement and verification

We have specialized expertise in energy audits for C-PACE financed projects and we know how to help you maximize your budget, leverage savings and be part of creating a more sustainable future. Learn more about our commercial energy audit services here.

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By Tony Robeson, Vice President – Engineering, Bernhard

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This year, a fateful one, our engineering division turns 25. In a quarter century, our design and energy engineers have helped public and nonprofit institutions such as hospitals and higher education campuses and facilities expect more from their energy systems, new construction projects and existing buildings.

We’ve scaled with our clients throughout the years, from providing traditional design services for nine-figure greenfield builds to managing monthly utilities and everything in between. We’ve helped Owners set aggressive energy savings goals, then cheered as they achieved year-over-year energy savings across entire campuses.

Since its beginning, Bernhard’s engineers have also served clients in an “on-call” capacity. A common procurement method for public institutions, these contracts are convenient for completing projects that fall below a specified dollar amount (for instance, $1 million). A team of on-call consultants stand ready for small-scale renovations on a hospital or university campus, equipment upgrades, or critical emergency-responses.

These contracts relieve administrations of some of the more tedious procurement processes for ongoing needs. Through on-call contracts we have developed long-term and strategic partnerships with our clients, helping to solve problems as their ‘boots on the ground’ and serving as an extension of their own staff, helping to plan for the future.

Owner Advocacy and New Solutions

One of Bernhard’s bedrock principles is what we call “Owner Advocacy” — advancing in design and construction the Owner’s mission, vision, and goals. An on-call relationship helps us to see that vision and adopt that mission more fully.

The problems we are helping solve today are complex and unprecedented. As many of our clients are healthcare institutions, we have mobilized our staff to create a ‘think tank’ for helping to prevent the spread of COVID-19 — this includes analyzing indoor air flow, ventilation and exchange rates, filtration and exhaust, even medical gas volume (oxygen) for lifesaving equipment such as ventilators. We fully immerse ourselves in the Owner’s day-to-day needs and goals so that we can provide meaningful counsel when adaptation is required.

The Parkland Project

At Parkland Memorial Hospital in Dallas, our engineers did this for a roughly 55-bed Tactical Care Unit designed specifically for highly contagious COVID-19 sufferers.^[1] We consulted with clinicians and scientists, frontline health care workers, as well as custodial and sanitation staff. Knowing that the air itself can be a vector for this virus, we worked to ensure patients in a negative-pressure isolation space had air optimized for exchange and temperature; that the opening of a door across the unit could not result in a backdraft or other interruption in airflow. We worked with staff to design spaces for the proper donning and doffing of PPE. The exhaust air pulled out of the treatment space passes through a high-tolerance HEPA filtration system to scrub contaminants so they are not able to migrate out of the patient care space.

Our goal is to be a trusted partner. That trust was established with Parkland through a large energy retro-commissioning program that saves roughly $800,000 each year. This project afforded Bernhard and the hospital familiarity, and that made our service early in their COVID-19 response fast and expert. In the end, Parkland will return to normal operations, with a census hovering north of 100% occupancy. That patient population still exists, and the moment the hospital is able to scale back on its COVID-19 response, it will have to decontaminate, readjust and return to spaces optimized for different treatment priorities. Our team will be at the ready.

Success Stories

Parkland is just one example. At Memorial Hermann in Houston we retrofitted specific rooms in its trauma centers and ER for negative-pressure isolation environments as well. In Tucson, our office made short work of complex new HVAC tubes and filtration.

At the University of Alabama at Birmingham, Bernhard provided engineering and infection control expertise, including conversion of med-surge and ICU spaces to negative pressure rooms. At another academic medical center, we provided the engineering services to transition an entire patient tower floor into 100% outside air, negative pressure rooms and ward to prepare for the sick.

These successes are a testament to our long-term relationships and our guiding principle of Owner Advocacy.

To learn more about Bernhard’s engineering services, visit Bernhard.com/engineering.

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Tony Robeson, PE, HFDP, CxA, NEBB BSC CP

Tony is a Vice President of Bernhard’s engineering division, where he leads design and commissioning teams in our Little Rock office. He has 30 years of experience in MEP design, and has been with Bernhard for more than 20 years. Tony specializes in delivering innovative engineering solutions for healthcare , higher education, and campus energy systems.

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^[1] “In less than five days, the third floor of Parkland hospital was converted into a … Tactical Care Unit. The large negative pressure room maintains air flow preventing cross contamination The unit is set up kind of like a car wash — one way in and one way out — with an experienced surgical team helping staffers put on and take off their protective gear.” — KERA news

By Jeremy Tucker, Director of Operational Services, Bernhard

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At Bernhard, we continually refine safety procedures to improve routine operations and to better prepare for action during a crisis. Earlier this year, when the stock market was at an all-time high and operating budgets across most markets were healthy and predictable, our industry-leading safety program was in full effect helping achieve record operational performance. Like any company, we’ve had to pivot, but we were able to leverage an organizational approach to safety that we’d adopted over the years.

Safety is our cornerstone. We understand that influencing safe behavior and safe decision-making at every level is crucial to creating the culture that we have. Our hope is to influence people to draw on S.A.F.E. work goals beyond the workplace and into the community, or “See it, Assess it, Fix it, Every day.” This phrase is an easy mnemonic to orient us toward a safe and healthy work environment, and safeguard all persons who enter, work or live near our job sites. Sounds basic, doesn’t it? This simple phrase has had a profound impact on our business and has helped us navigate the pandemic. Our Operational Response Team implemented a robust mitigation plan for essential workers to continue operations and provided guidance for others working from home. As we plan to mitigate coronavirus-related risks throughout the rest of this year and the next, Bernhard is consulting with clients and implementing additional internal controls as conditions change.

All employees within our construction division remain vigilant at work and continue to share improvement ideas for mitigation efforts. These meaningful conversations promote leadership and empower employees with real time solutions from the front line, allowing Bernhard to maintain strong processes and controls to safeguard them while minimizing the risk of a significant disruption to our customers.

Workplace Safety, Broadly

For us, safety begins with planning, carries through our execution of work, and includes an assessment of the result.  Many other activities and emphasis occur along the way but this cycle provides us with stability to rely on and flexibility to modify our approach when needed.  Both are currently in high demand.

1. Planning – High level and task specific plans enlist supervisors and workers to collaborate.
2. Execution – Each worker is called upon to perform their respective role and report progress to the group.
3. Assessment – Team leaders evaluate the group’s performance and provide feedback and direction.
4. Action – Feedback is shared with all levels of the team and areas needing correction are addressed.

Workplace Safety, Coronavirus

It has not been easy for some organizations to adapt during this difficult time. Many have had to reduce the very resources that have helped them thrive in recent past. Bernhard has had to adapt but has done so in a way that prepares us for the next cycle, RECOVERY. By using the improvement process, promoting transparent communication with trusted resources, and relying on a safety first culture we are slated to better impact the communities we help build.

Today, we are more committed to serving our clients’ engineering, construction and energy needs with safety at the core of our work. Every project with Bernhard is backed by our assurance of the safest controls to protect our employees, our work, and the communities we serve. To learn more about our safety program click here, or call (225) 706-9280.

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Jeremy Tucker, SMS, CRIS, STSC

Jeremy is the Director of Operational Services for Bernhard’s Mechanical Division. With over 10 years of experience, Jeremy holds credentials as a Certified HealthCare Manager, Construction Risk and Insurance Specialist, and is a board-certified Safety Management Specialist.