City of St. Clair Shores approves $5.7 million in infrastructure improvements with Johnson Controls

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Project is Michigan’s first city to leverage a Tax-Exempt Lease Purchase (TELP)

MILWAUKEE -- (May 4, 2017) -- The city of St. Clair Shores is officially the first city in Michigan to take advantage of a law introduced in July 2016, allowing local governments to make facility improvements leveraging flexible financing programs that are not considered debt. Through the Tax-Exempt Lease Purchase (TELP) program, St. Clair Shores will partner with Johnson Controls on city-wide upgrades including HVAC, building automation, lighting and water improvements.

“St. Clair Shores, managed by Mayor Kip Walby and the City Council, is probably one of the best managed cities in Michigan,” said State Senator Jack Brandenburg (R- Harrison Twp.). “They are a proactive group and I am not surprised that they would be the first to take advantage of this legislation.”

The $5.7 million project, enabled by an energy performance contract, includes:

  • New roofs at six different locations
  • Building Automation Control upgrades city-wide
  • New HVAC equipment in many facilities
  • City-wide conversion to LED lighting in most buildings
  • LED streetlights
  • Water conservation
  • Civic arena improvements to the lighting, HVAC, and ice rink
“St. Clair Shores, managed by Mayor Kip Walby and the City Council, is probably one of the best managed cities in Michigan.” -- State Senator Jack Brandenburg (R- Harrison Twp.).

Mayor Walby stated that the vast majority of this project, over 80 percent, will be funded through operational and energy savings guaranteed to result from the project upgrades. He went on to thank the City Administration, particularly Asst. City Manager Bill Gambill, for their innovation and hard work on this project.

A longtime proponent of energy efficiency, Governor Rick Snyder signed House Bills 4990-4994 in July of 2016, providing local governments with flexible financing plans to improve facilities and conserve energy. That law went into effect Aug. 17, 2016.

The financing arrangement, known as a Tax-Exempt Lease Purchase, makes energy performance contracts more attractive to local governments – which include cities, counties, townships, village councils and governing bodies – because they are not considered debt. Daniel Mack, Senior Account Executive, Johnson Controls, and the Johnson Controls team worked closely with state legislators to make this new law a reality.

About Johnson Controls
Johnson Controls is a global diversified technology and multi industrial leader serving a wide range of customers in more than 150 countries. Our 120,000 employees create intelligent buildings, efficient energy solutions, integrated infrastructure and next generation transportation systems that work seamlessly together to deliver on the promise of smart cities and communities. Our commitment to sustainability dates back to our roots in 1885, with the invention of the first electric room thermostat. We are committed to helping our customers win and creating greater value for all of our stakeholders through strategic focus on our buildings and energy growth platforms. For additional information, please visit http://www.johnsoncontrols.com or follow us @johnsoncontrols on Twitter.

About Johnson Controls’ Building Technologies & Solutions
Johnson Controls’ Building Technologies & Solutions has an unmatched portfolio of HVACR products and solutions to create more comfortable, safe and efficient buildings. Operating in more than 150 countries through a strong network of distribution channels, Building Technologies & Solutions’ breadth of offerings help building owners, operators, engineers and consultants impact the full lifecycle of a building. Its market leadership is established through trusted brands such as YORK®, Sabroe® and Metasys® as well as its smart building integration capabilities and energy financing solutions. For more information, visit www.johnsoncontrols.com or follow @JCI_Buildings on Twitter.

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Ryan Nolan
Public Relations Program Manager,
Building Technologies & Solutions, Johnson Controls