University of Denver
IN-2: Innovation 2

In 2009, a regenerative funding mechanism or Energy Reserve Fund was established for the purpose of supporting ongoing energy conservation initiatives and the reduction of our carbon footprint. An initial investment of $1.9 million, an amount which was the result of FY2007 & FY2008 utility savings from previous years conservation projects, was made to establish the fund. The Facilities department is required to perform an initial analysis to determine the scope, cost and savings potential of each identified conservation initiative. A request for funding along with a project description and estimated cost and payback is then forwarded to The Office of Business and Financial Affairs for approval. Upon final approval, a fund number is created based on the budget request and for project tracking purposes. The input of faculty, staff and students is taken into account by Facilities in the development of energy conservation initiatives proposals prior to submission for funding. The difference between the utility budget and the actual utility cost for the fiscal year is transferred to the Energy Reserve Fund with the intent the funds will be used for future energy conservation projects. One third of the available Energy Reserve Fund can be applied to projects in a single fiscal year. The average return on investment on over $400,000 of projects completed through the end of FY10 is currently 65% and the University's annual carbon footprint has been reduced by 1771 MeTCO2 as a result of these projects funded by the Energy Reserve Fund.