Agenda Item Name:
Title
Approve Chair to Sign Section 179D Energy Efficient Commercial Buildings Deduction Allocation Form
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Presenter:
Ramon D. Gavarrete, PE
Description:
Approve Chair to Sign Section 179D Energy Efficient Commercial Buildings Deduction Allocation Form which allocates the deduction to a designer of the energy efficient commercial building property since the building owner is a government entity.
Recommended Action:
Recommended Action
Approve Chair to sign Section 179D Energy Efficient Commercial Buildings Deduction Allocation Form.
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Prior Board Motions:
N/A
Fiscal Consideration:
Fiscal Consideration
A review of all energy efficient systems in the allocated building(s) will be performed by Paul Stresing Associates, Inc. on behalf of the building owner with there being no additional expected costs to the County.
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Strategic Guide:
Strategic Guide
Infrastructure
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Background:
As part of the Energy Policy Act of 2005, Congress enacted Section 179D of the Internal Revenue Code to encourage the design and construction of energy efficient buildings. Per IRC §179D(d)(4) and Notice 2008-40, building owners of energy efficient commercial buildings may take a deduction arising from the installation of energy efficient commercial building property as part of the interior lighting, HVAC and hot water systems, or building envelope systems. If the building owner is a government entity, they may allocate the deduction to a designer of the energy efficient commercial building property.
Additionally, under Florida Statute Section 215.179, an owner of a public building or the owner's employee may not seek, accept, or solicit any payment or other form of consideration for providing the written allocation letter described in s. 179D(d)(4) of the Internal Revenue Code and Internal Revenue Service (IRS) Notice 2008-40.
Paul Stresing Associates, Inc. created technical specifications for the installation of the energy efficient commercial building property which resulted in reduced energy consumption and is eligible to be allocated the 179D Energy Efficient Commercial Building Deduction. Specifically, Paul Stresing Associates, Inc. created the technical specifications as the architect of record on the construction projects listed below:
Alachua County Building - Department of Community Support Services & Florida Department of Health, Placed in Service-December 2022, Cost=$1,500,000 and Allocation Percentage=100%: Paul Stresing Associates, Inc. was the Architect of Record for the reroofing and deck repair project on this building.
Alachua County Courthouse, Placed in Service-December 2022, Cost=$1,575,731 and Allocation Percentage=100%: Paul Stresing Associates, Inc. was the Architect of Record for the reroofing and deck repair project on this building.
Alachua County Sheriff's Office, Placed in Service-June 2019, Cost=$998,145 and Allocation Percentage=100%: Paul Stresing Associates, Inc. was the Architect of Record for the roof removal and replacement of the existing roof and roof deck of this building.
Celebration Sports Arena, Placed in Service-January 2023, Cost=$32,000,000 and Allocation Percentage=100%: Paul Stresing Associates, Inc. was the Architect of Record for the new construction of this building.
The authorized owner representative is not responsible for certification of the energy efficient commercial building property. The taxpayer receiving the allocation is solely responsible for obtaining the required certification and onsite verification and for ensuring their accuracy and substance.
Following a third-party certification by a licensed professional engineer or contractor in the jurisdiction of the building, Alachua County will be provided with a summary analysis detailing the energy-saving improvements and the final Section 179D deduction amount.
Paul Stresing, Inc., is requesting the Chair to Sign Section 179D Energy Efficient Commercial Buildings Deduction Allocation Form which allocates the deduction to a designer of the energy efficient commercial building property since the building owner is a government entity.