Alpine Bank

Environmental Report 2013

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The Grand Junction 10-story tower is close to 40 years old and contained much of the original heating and cooling system which had been significantly neglected. The original building automation system was mostly non-operable and therefore control of the heating and cooling was compromised. Energy use continually increased while tenant comfort was low. As a first step following a final thorough evaluation of the aging system, we chose to start with the installation of a new digital BAS (building automation system) during the winter of 2012 and into 2013. As of the time of this writing in the spring of 2013, the control system is now performing better all the time as we learn to program and refine the schedules and set points. Furthermore, numerous large electric fan motors were replaced with efficient models controlled by VFD's (variable frequency drives) that allow motor RPM's to vary relative to demand. Since these upgrades, employee and tenant comfort complaints have all but ceased. We hope to make further equipment upgrades at the tower following documented successes as a result of better control thanks to the BAS and modulation of the equipment. Grand Junction tower electrical and gas consumption data for early 2013 is inconclusive to date. Due to cooler weather through the first five months, gas is up pretty much across the board for Alpine Bank locations. Furthermore, the BAS installation and refinement of the controls and settings was and is an incremental, ongoing process. Therefore, energy consumption has posted respectable gains but not record gains. Electrical use in April and May 2013 relative to the same period in 2012 is down 11% and 13% respectively and we expect to see further improvements over time. As expected, most of the current savings are electrical in nature since the upgrades leaned towards more efficient electrical motors and the VFD's controlling them. Gas consumption was up this spring due to the cooler temperatures and the fact that no upgrades were done to gas-fired boilers at this location. Our remaining locations throughout western Colorado achieved energy reductions by simply managing thermostats better. Remarkable savings are often missed out on by failing to program thermostats to take advantage of their attributes; many commercial buildings have distinct occupied hours of operation, and if controlled efficiently to setback temperatures during the unoccupied times, can save a lot of energy and expense. Alpine Bank makes every attempt to provide comfort levels for tenants and employees while saving expense during times that our buildings are unoccupied. Typically, our buildings are unoccupied for 2/3 of the year so programing thermostats with that in mind is just smart management. The bank's future with regards to energy savings is to continue to track our energy and resource use, monitor it, and make adjustments and improvements as necessary. Consistent scheduled maintenance is critical and will keep equipment in top condition while also helping us spot issues before a problem worsens. Efficiency is the essence of progress and energy efficiency is easily documented to prove savings. Many of our employees no longer need to proactively think about efficiency – it's ingrained. 7 www.alpinebank.com

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