2. UAF research leads to inventions Invention Disclosures by Year

3. UAF construction capital status Margaret Murie Building – Life Sciences Engineering Wood Center Deferred Maintenance Combined Heat and Power

4. Research & teaching excellence Margaret Murie Building (Life Sciences) – Ribbon Cutting next Thursday - August 22, 2:00 pm

5. Breaking ground 2013 Wood Center P-3 – 34,000 square-foot expansion project – Fall 2014 College of Engineering & Mines – 120,000 square-foot modern classroom & lab space for engineering & research programs

6. Wood Center – current status

7. Engineering

8. Engineering – current status

9. Deferred maintenance and R&R completion status FY09-FY13: 84% of projects complete to date Fiscal Year State Funding # of Projects % Complete FY09$26.1 M7100% FY10$ 2.1 M399% FY11$23.8 M10100% FY12$23.4 M1687% FY13$23.5 M1248% FY14$17.4 M14new

10. FY15 Capital Budget request Deferred Maintenance / R&R: $23M – Cogen Heating Plant upgrades – Critical electrical distribution – Fairbanks campus main waste lines, roof replacement – West Ridge facilities – ADA code compliance; elevators & alarms – Lower campus backfill – Patty Center revitalization – Campus infrastructure – Tilly Commons demolition – Wood Center student services renewal – Kuskokwim Campus voc-tech renewal

11. FY15 Capital Budget request Engineering building completion $33 million general fund $10 million UAF bonds (paid by research indirect) Combined heat and power plant $200 million general fund $ 45 million UAF bonds (paid by fuel savings)

12. Energy is the foundation 3.1 million square feet of academic, research, office and housing space Average age of building: 34 years More than 170,000 square feet coming online by 2015 All these things need heat and power

13. Atkinson plant Two coal boilers (1964) One oil boiler (1970) One oil & gas boiler (1987) Steam: to heat campus Electricity We also have: 10 megawatt diesel generator Electrical distribution system Creates Runs turbines to create

14. UAF energy sources $9.8 million annual fuel cost 71,000 tons of coal 678,000 gallons of oil 51 million cubic feet of natural gas

15. Current fuel costs per million BTU Biomass and piped gas are unknown

16. What if the main boilers fail? Enormous jump in fuel costs that could harm: The programs we provide The research we do The students we serve

17. Key considerations Risk of catastrophic failure (current plant’s 50-year lifespan is almost over) Environmental responsibility Regulatory climate Political reality in Alaska and the nation The state’s uncertain energy future The economics for UAF and our programs and students Responsible stewardship of state funds

18. We studied the options Solar and wind Can augment, but not replace, a heat and power plant Hydro Must be 4 cents a kilowatt-hour to be feasible. Current estimates are significantly higher Not currently available nor imminent Nuclear New technology still waiting for federal approval Gasifiers Untested technology

19. 19 Anchored by a new 17 megawatt circulating fluidized bed (CFB) boiler Flexible solid fuel Coal with up to 15 percent biomass Replace oil boilers with gas or propane Purchase renewable energy, when available Energy conservation on campus Small renewable projects on campus A diversified energy portfolio Flexible, sustainable, fiscally responsible

20. Combined heat and power The best choice for efficiency More than 500 schools and universities have their own heat and power plants

21. Why not buy power from GVEA? We need electricity and heat. The current electrical grid cannot supply both our power & heat needs at a reasonable price. GVEA can provide us electricity for lights & equipment, but that does not heat the campus. Closing our plant is not a viable option.

22. What about gas? Capital cost Fuel cost $120 Million

23. 23 Retrofits Lighting and mechanical system upgrades to save $500,000 per year (12-year payback) Converting street lights to LED Transition from electric to steam chilling on West Ridge Hess Village hot water conversion New construction UAF design standards that exceed industry standards Murie Building: 14 percent less energy than ASHRAE standards High-efficiency lighting, motors and variable frequency drives Innovative ideas: Sustainable Village Using waste heat Conservation measures

24. Replacement now is fiscally responsible Aging plant and a growing campus More than $35 million in maintenance needed in the coming years That doesn’t guarantee continued reliable operation About half of those projects are bandages not needed in a new plant We need energy solutions for our future, not temporary patches.

25. Replacement now is environmentally responsible Current plant: Coal and oil UAF’s new energy portfolio: Coal, biomass, gas or propane, other solid fuels Augmented with solar, wind and other renewable options that become available. Continued conservation measures Significant reduction in regulated emissions

26. A new plant will reduce emissions

27. Timeline Current: $3 million for preliminary design and permitting FY15: Requesting $245 million for full design and construction o $200 M from the General Fund o $45 M in UAF Bonding Authority Target completion and opening: Winter 2019

28. Priority Biggest capital project in UAF history Essential to future of Fairbanks campus We need community support