40.12 – Sustainability Revolving Loan Fund
Created April 3, 2009
A. General. The University of Idaho Sustainability Revolving Loan Fund (SRLF) funds innovative projects that reduce environmental impacts and provide economic benefits. The SRLF may fund energy conservation, renewable energy, waste and recycling and other sustainability projects that demonstrate sustainable design and that save money. Savings resulting from a SRLF funded project shall be used to repay the loan from the SRLF. The SRLF shall serve as a source of money from which loans may be made for projects; as repayments are made, the money is made available for additional projects.
The SRLF has several goals:
1. To foster sustainable design and environmentally-sound technologies and practices at UI-owned facilities.
2. To reduce risk and budget shortfalls associated with rapidly rising energy, waste and other costs.
3. To educate and inspire UI students, staff and faculty about the cost-effectiveness of sustainable practices.
4. To serve as a role model to other state and national organizations in environmental and fiscal responsibility.
5. To maintain itself financially into the foreseeable future without compromising—and supporting when possible—student, community and institutional initiatives for a socially and environmentally just and sustainable world.
B. Applicability. Funded projects can be of any type as long as they advance the effort to increase the sustainability of University of Idaho operations, and are for uses consistent with permissible uses of public funds. Projects need to be paid off in 10 years or less. Several projects with different payoff periods and rates can be bundled in one proposal. This will enable projects with short-term payoffs to offset projects with long-term payoffs for an average that meets SRLF criteria. Funds can be used on new construction and renovation only to cover the cost difference between a code-compliant option and a high performance option.
C-1. Allocation of savings. After receiving start up funding, the SRLF will be self sustaining. The intent is to grow the SRLF over time using the cost savings accrued from sustainability projects. Many formulas for allocation of savings and repayment are possible and will be considered. Example formulas include the following:
a. 80% of estimated savings paid to SRLF until 120% of loan is covered, adjusted for inflation
b. 50% of estimated savings paid to SRLF until 150% of loan is covered, adjusted for inflation.
To be funded, projects need to explicitly state the repayment formula and the budget(s) from which loan repayment is to be made as well as the mechanism for repayment. Project providing shorter payback periods and higher repayment percentages will be prioritized.
C-2. Award decision making process.
a. SRLF project proposals shall be reviewed by the SRLF Board (Board), which shall make funding recommendations to the Vice President for Finance and Administration. Board members, other than ex officio members, shall be appointed by the Vice President for Finance and Administration to three year terms. The Board shall consist of one representative from each of the following entities on campus: facilities, ASUI, staff affairs, and faculty. The UISC Student Programs Coordinator shall be an ex officio board member with full voting privileges. The Sustainability Coordinator and the university Senior Budget Analyst shall be a non-voting ex officio members.
b. Board decisions will be made by majority vote, with a quorum present. Projects may only be funded in response to a request for proposals (RFP) issued by the Board. The Board shall issue an RFP at least once per year. The Board will determine which projects to recommend for funding based on the criteria in this policy and any additional criteria it establishes and includes in the RFP. The Board shall forward its recommendations for project funding to the Vice President for Finance and Administration or designee, who shall have final funding decision making authority.
c. The UI Sustainability Coordinator will be responsible for managing the issuance of the RFP, collecting proposals, staffing the Board, notifying applicants of award decisions, and otherwise providing administrative support to the Board.
C-3. Administration of SRLF. The SRLF will be administered by the Assistant Vice President for Facilities Management, or designee, subject to the University’s policies and the general oversight of Vice President for Finance and Administration.