PA Growing "Green" Economy While Creating Jobs, Helping Consumers Say Money, Gov. Rendell Says

Release Date: Sep 10, 2009  |  Author: Steve Weitzman (717) 783-1132 Michael Smith (717)783-1116

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HARRISBURG– Governor Edward G. Rendell today announced new state investments that will help keep Pennsylvania at the forefront of the new green economy while creating jobs, spurring private economic development, and supporting local school districts that are struggling with energy costs.

 The Governor said the Commonwealth Financing Authority approved nearly $18.4 million for 31 projects throughout the state. The investments were made possible through the $650 million Alternative Energy Investment Fund, which he signed in July 2008.

 “These new resources are critically important from an economic development and job-creating perspective and also for families and small businesses struggling to cope with energy prices,” said Governor Rendell. “These investments will support energy conservation and efficiency, help a number of school districts save precious tax dollars on their energy bills, and spur new private investment from alternative energy companies that create jobs in a rapidly growing economic sector.”

 The CFA approved the following projects under the Alternative and Clean Energy program:

 Adams County

Soy Energy Inc., which produces biodiesel from American-grown soybeans, will receive a $208,534 grant to purchase and install new equipment in the company’s biodiesel refinery plant in Tyrone Township. Soy Energy’s product is mixed with regular diesel to produce bio-blended diesel, a cleaner alternative fuel. The new equipment will help increase the quality of the product, decrease production time, increase production capacity, and contain the production price. The system can boost Soy Energy’s production from 169,000 gallons per year to 2.5 million gallons per year without increasing the footprint of the facility. The funds will be used to purchase and install the CRC Transesterification System. The total project cost is $464,054 and Soy Energy is providing $255,520 in matching funds.

 Allegheny County

The City of Pittsburgh, on behalf of Pittsburgh Associates LP, was awarded a $445,827 loan to upgrade lighting fixtures and install a new dry cooler heat recovery system at PNC Park. The current system is tied to the city water and is expensive, inefficient and places a heavy load on the city’s water system. The new dry cooler will allow the ice making machines and refrigeration and freezer systems to operate more efficiently. Energy cost savings for the system total $106,000 annually. The total project cost is $891,655, of which Pittsburgh Associates will provide $445,828.

 Pittsburgh Gateways Corp. will receive a $2 million grant and a $493,810 loan to purchase and install a geothermal system, wind turbine and wind mill in the former Connelley Trade School, which it is purchasing from the school district. The entire building will become a “living lab” for monitoring and experimentation. The building design features a geothermal heating and cooling system. The campus will house a collaborative research effort among regional higher educational institutions including Penn State, Carnegie Mellon, Pittsburgh, and Duquesne universities, and will feature a small business incubator devoted to the green industry sector. The total geothermal costs are $987,620 and the total wind costs are $389,850. The corporation will contribute $688,735 in matching funds to the $16.3 million project.

 Armstrong County

Armstrong County Industrial Development Authority will receive a $90,000 loan to buy and install a geothermal system for a new multi-tenant building in the Northpointe Industrial Park in South Buffalo Township. The facility will accommodate a mix of office and advanced manufacturing companies; the geothermal system will help make the building highly energy efficient.  The project is projected to create 100 new jobs. The total geothermal project cost is $849,500. Armstrong County Industrial Development Authority will provide $485,750 in matching funds. Total project cost of the building is $4.5 million.   

 Beaver County

Beaver County was approved for a $1.975 million loan to improve the Friendship Ridge Nursing Home in Beaver. The county plans to replace approximately 1,500 windows and frames for about $3.9 million and will provide $1.9 million in matching funds.

 Bradford County

Northeast Bradford School District will receive a $905,000 loan for a biomass facility at the elementary and high schools in Orwell Township—part of an energy conservation project to heat for both schools. The funds will be used to construct the biomass building and install the system. The total project cost is $2.3 million and the district will provide $1.4 million in matching funds.

 Bucks County

Bucks County Community College will receive an $85,500 Renewable Energy Program loan to install a geothermal system in the Upper County Campus in East Rockhill Township. The new addition is slated for LEED Silver certification and will incorporate sustainable design principles and materials, including a roof top garden and a solar hot water system. The expansion of the campus includes the installation of a geothermal HVAC system, which will reduce reliance on conventional energy resources. The geothermal project cost is $680,018. The Pennsylvania Department of Education will contribute $423,033 in matching funds to the $12.5 million project.

 Cambria County

Langhorne-based Gamesa Technology Corp. will receive a $1 million loan for wind turbine blade manufacturing equipment for the Fiberblade LLC facility in Ebensburg. The company is upgrading the operation to produce larger, more efficient wind turbine blades and remain competitive in North America while retaining 270 jobs. Total cost for the facility upgrade is $9.3 million; Gamesa will provide $8.3 million in matching funds.

 Carbon County

Keystone Pellet Inc., a start-up renewable energy producer, will receive $770,000 loan and a $220,000 grant for new equipment and to construct a wood pellet manufacturing operation in a blighted light-industrial building in Palmerton, Lower Towamensing Township. Keystone Pellet expects to manufacture 35,000 tons per year of hardwood pellets for use in home heating. The company anticipates creating 22 new jobs with this project. The capital invested will generate 35,000 tons of alternative fuel that will replace 4 million gallons of heating oil per year and prevent more than 33 million pounds of carbon dioxide emissions. Keystone Pellet will invest $2.5 million in matching funds for the $4.9 million project.

 Centre County

Bald Eagle Area School District will receive an $825,000 loan to help install a geothermal system to service the combined middle, high and elementary schools in Boggs Township. The district plans to build additions and renovate the Bald Eagle Middle School/High School and Wingate Elementary School, connecting the two buildings. The new facility will incorporate geothermal technologies to reduce overall operating costs. The system will give the district a single, high-performance, energy efficient building that will generate substantial cost savings. The geothermal project cost is $8 million; Bald Eagle Area School District will provide $7 million in matching funds. The total project cost is $29.7 million.

 Chester County

West Chester University, West Goshen Township, will receive two loans of $192,294 and $195,000, respectively, for a geothermal system for two academic buildings—part of a project to convert academic buildings and residence halls to geothermal heating and cooling and enabling the university to retire the campus steam plant.

 Clearfield County

Curwensville Area School District will receive a $644,280 loan to install a closed-loop geothermal heat pump system in the Curwensville Elementary/Junior Senior High School. The project will cost $3.4 million and the district will contribute $2.4 million in matching funds. 

 Erie County

Lake Erie Biofuels LLC was awarded a $1.64 million grant to expand its production and distribution facility. Since opening two years ago, the company has become the largest biodiesel producer in the eastern United States and has produced more than 85 percent of all biodiesel produced in Pennsylvania. The planned improvements will allow Lake Erie Biofuels to utilize fully lower cost feedstock, such as corn oil, which will reduce the production costs and increase overall biodiesel production by 21.9 million gallons on an annual basis. The funds will help pay for new construction, renovations, infrastructure and site preparation, purchase and installation of equipment, professional services, and engineering costs. The total cost of the expansion project is $4.1 million. Lake Erie Biofuels will provide $2.4 million in matching funds.

 Fayette County

Tri State Biofuels LLC will receive a $716,500 loan and a $360,000 grant to construct a factory to produce wood pellets on a 140-acre brownfield site in North Union Township. This facility will produce 65,000 to 78,000 tons of wood pellets per year, reducing the use of heating oil. The project is anticipated to create 36 jobs. The funds will be used to purchase and install equipment and for site preparation. The total cost of the clean energy project is $2.5 million. Tri State Biofuels will provide $1.2 million in matching funds. 

 Huntingdon County

Mount Union Area School District will receive a $495,714 loan to complete the construction and installation of a geothermal HVAC system in its junior and senior high school. Built in 1954, with a junior high addition in 1964, the high school is undergoing a major renovation that includes a variety of energy saving installations, including a geothermal system that will provide substantial long-term savings and be good for the environment. The geothermal project is expected to cost $1.6 million, with the district contributing $811,900. 

 Lackawanna County

Commonwealth Energy Group LLC will receive a $1.2 million loan to build a factory to manufacture energy-saving fluorescent lighting products on four acres in Lackawanna County. CEG will produce approximately 750,000 lighting fixtures per year. High volume production of these fixtures will make them more affordable and readily available. It is anticipated that this project will create 240 jobs. The funds will be used for production equipment and engineering costs. The total cost of this portion of the project is $4.95 million. Commonwealth Energy Group LLC will provide $2 million in matching funds with investor cash equity. The total cost of the building renovation, equipment purchase and installation, and start-up of the business is $7.6 million.

 Marywood University will receive a $250,000 loan to help build and install a geothermal system on the university’s campus in Scranton, at the former Health & Physical Education Center. The building is undergoing renovations to accommodate the university’s new architecture school. Consistent with the environmental stewardship philosophy of the new architectural school, the facility intends to pursue LEED Silver accreditation and will use the geothermal system installation as a means of education along with the energy and cost savings. The total project cost is $500,500. Marywood University will provide matching funds of $250,500.

 Lancaster County

Hershey Farms will receive a $30,819 Renewable Energy Program loan to purchase and install a geothermal system in its Mount Joy Township operation. Hershey Farms leases a dog kennel facility to TLC Kennels Inc. Both entities are owned by James and Shirley Hershey. The kennel has been in operation for 25 years, breeding pure breeds and designer puppies. TLC Kennels is undergoing an expansion of its facility and plans to incorporate green technology. The geothermal cost is $74,655 and Hershey Farms will contribute $37,328 in matching funds. 

 Lebanon County

Eastern Lebanon County (ELCO) School District will receive a $282,000 loan to install a geothermal heating and cooling system in its new intermediate school in Jackson Township. The system will provide long-term cost savings to the district, as well as provide an opportunity for the students to see first-hand how the system works. The geothermal project cost is $933,944. ELCO will provide matching funds of $466,944.

 Mercer County

Grove City Area School District will receive a $282,000 loan to install a new geothermal well system at the school district’s new middle school. The geothermal heating and cooling system will provide substantial long-term cost savings to the district, while benefitting the environment. The geothermal project cost is $3.1 million. Grove City Area School District will contribute $2.1 million in matching funds. The total project cost is $24.3 million.

 Montgomery County

School District of Upper Dublin will receive a $1 million loan to assist with the purchase and installation of a geothermal system in its new high school in Upper Dublin Township. The building will also be a LEED-certified building and will incorporate many “green” design elements in an effort to reduce its carbon footprint and increase energy efficiency. The total geothermal project cost is $8.48 million. The district will contribute $7.5 million in matching funds. 

 EZNERGY LLC will receive a $7,635 loan to install a geothermal heating and cooling system at its Towamencin Township location.  EZNERGY LLC is a new corporation, providing alternative energy solutions including geothermal, wind power and hybrid vehicle kits. The company plans to open storefront and office and warehouse space in Montgomery County as it grows. The project calls for installing a geothermal system as a demonstration, to show that homeowners can install geothermal heating and cooling systems and spread the cost over time using its system. Total geothermal project cost is $22,310. EZNERGY LLC will invest $11,155.

 Mennonite Heritage Center will receive a $34,500 loan for the purchase and installation of a geothermal system in its facility in Lower Salford Township. Mennonite Heritage Center, a nonprofit historical museum and library, will contribute $61,900 in matching funds for the $123,800 project.

 Schuylkill County

Tamaqua Area School District will receive a $270,000 loan for the installation of a closed-loop geothermal heating and cooling system in the Tamaqua Area High School. The system, which will replace an inefficient and wasteful electric heating system, is expected to cost $2.2 million. Tamaqua Area School District will contribute $1.2 million in matching funds.

 Blue Mountain School District will receive a $294,153 loan towards the installation of a geothermal system in its elementary school, located in Orwigsburg. The school district plans to renovate and expand the Blue Mountain Elementary East building. The geothermal project cost is $2.1 million. Blue Mountain School District will provide matching funds of $1.1 million. The total project cost for the renovations to the school is $19 million. 

 Westmoreland County

Saint Vincent College will receive a $324,000 loan to purchase and install a geothermal system for the Sis and Herman Dupre’ Science Pavilion in Unity Township. Saint Vincent College, a private, Benedictine, liberal arts college, plans to develop a science center on its academic campus, using a geothermal system as an energy source. A new commons building will connect three renovated science facilities, providing flexible classrooms and laboratories, collaborative research space for students and faculty, and offices for the academic and outreach programs. The total geothermal project cost is $3.4 million. Saint Vincent College will provide $2.4 million in matching funds.

 York County

Leg Up Farm Inc. will receive a $49,644 loan towards the construction of a zero-energy, LEED-certified facility in East Manchester Township. The company plans to use geothermal and wind technologies in its developmental and therapeutic center for children with special needs. Construction will include installing a geothermal heating and cooling system, along with a wind energy system that will eliminate any need for traditional power. Along with the solar energy installation, the geothermal and wind technologies could make Leg Up Farm the first zero-energy commercial building in Pennsylvania. The geothermal project cost is $350,059. Leg Up Farm will provide matching funds of $175,030.

 York Suburban School District will receive a $186,000 loan to purchase and install a closed-loop geothermal system for a new elementary school in York. The geothermal heating and cooling system will provide long-term cost savings to the district, as well as meet LEED – Gold certification standards. The Yorkshire Elementary School will be built on the same campus as the middle school and high school to provide an educational opportunity for all York Suburban district students to study and learn about the potential of alternative energy. The geothermal project cost is $1.3 million. York Suburban School District will provide matching funds of $682,000.

 CFA also approved a Lancaster County project under the Building PA program, a component of Governor Rendell’s original economic stimulus programs:

 EDC Finance Corp. will administer a $1 million Building PA loan on behalf of Stiegel Properties LP, which will convert an under-utilized brownfield site on East Stiegel Street in the Manheim Borough KOZ and into a warehouse and logistics facility. The facility will house three main tenants: Tait Towers/Deck Deck Deck Inc.; Mojo Barriers U.S. LLC; and Stageco US Inc., which have all committed to 10 year leases, and Conestoga Digital Printing Inc., which will rent office space. The site formerly housed the Raybestos manufacturing facility, which closed in the 1990s. With the assistance of the Business in Our Sites Program, the Manheim Economic Development Corp. purchased the site and began cleanup of the brownfield property. The project is expected to create an additional 10 jobs.

 For more information on the Commonwealth Financing Authority or the Department of Community and Economic Development, visit www.newPA.com or call 1-866-466-3972.

 

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