www.pmadv.net

1. Issue 8 : Spring 2012 : Page 1/6
 E LECTRICITY MARKET UPDATE
BY S ONYA Y ORK, S UMMIT E NERGY S ERVICES www.pmadv.net
… PAGE 2
 T HE AIR Y OU BREATHE
www.facebook.com/pmadvantage
BY B ILL MC C AULEY , A TMAC MECHANICAL
… PAGE 3
 W ATER: W HEN L ESS IS MORE
BY J OHN W INGFIELD J R., E AGLE L ANDSCAPE
… PAGE 4
Featured Article by
Mark Wilshire
Mark Wilshire, RPA, FMA, LEED AP
Bradford Management Company
Immediate Past President, BOMA
Experience BOMA
Why get involved with something property management in Dallas and Region Conference (April 19-21,
across the country. (Some of those Albuquerque, NM), BOMA Texas
that takes a lot of time, costs a lot
distinguished individuals actually Advocacy Day and the National
of money and does not promise to
turned me down for a job. Imagine Issue Conference has provided pro-
give you anything tangible, like a
that!) fessional experiences that have
paycheck?
enhanced my career. When I
In any industry, name recognition is return to my cramped, messy office
Enrichment – that’s why. The value
– my perspective is different. I see
of “The BOMA Experience” is not important. This is particularly true
how truly remarkable this profes-
something physical, like a paycheck in our industry. Working on BOMA
sion is and how my job impacts so
or a job. The BOMA Experience is committees, participating in com-
many people. But most important-
more intangible; it’s more about munity projects and volunteering to
ly, I see others doing what I do, I
learning, networking and giving work on BOMA activities has al-
build friendships, and I establish
back. lowed others to associate my name
relationships that last longer than
with the industry. The BOMA Expe-
the paycheck ever will.
Over the years BOMA has provided riences allow me to give back to my
industry – whether as a local, state
me with a series of experiences, For me, every hour I spend
or national legislative advocate…an
allowing me to discover how real
extra set of hands at Adopt-A- involved with BOMA costs me
estate and property management
Block…or as a trusted colleague to something, but it enriches my
work, showing me the factors that
many of my friends in the field. career and life far beyond what I
impact the properties I manage,
spend.
and offering me solutions to my
clients’ needs. BOMA networking Attending events like the BOMA
experiences have introduced me to Annual Conference & Expo (June 24
some of the top executives in -26, Seattle, WA), the Southwest

2. Issue 8 : Spring 2012 : Page 2/6
PM Advantage is Electricity Market Update – Low Prices and Supply Shortages
presented to you by:
By Sonya York, Director of Client Management
Summit Energy Services, Inc.
Buying electricity can be a tricky business. If you have been in the
market lately, you have probably noticed that forward electricity
prices are extremely low right now. Natural gas, the fuel for much
of the electricity generation in Texas, is in record supply due to the
expansion of shale production in North America and prices continue to fall. See the
NYMEX natural gas chart below:
Heat rates are another component of your electricity price are a factor of the
efficiency and availability of generation. While natural gas prices are at historic lows, the
prices and volatility of heat rates have been increasing. This is due to projected decreas-
es in reserve margins, the excess generation capacity over forecasted demand, the result
of growing demand and potential supply shortages. Among the factors contributing to
these shortages are regulatory uncertainty, weather extremes and severe drought
conditions.
Many of you have heard of the pending EPA regulation known as CSAPR (Cross-
State Air Pollution Rule). CSAPR will require installation of expensive pollutions controls
on aging power plants to reduce emissions and could result in power plant closings.
Reserve margins could dip below the 13.75% target set by ERCOT to ensure reliable
operation of the grid. You have probably also read about the potential for summer
power outages by ERCOT (The Electric Reliability Council of Texas) due to potential
generation capacity shortages, similar to what we experienced last summer.
In order to improve reserve margin, we need more available generation. Last
month, the Texas Public Utility Commission voted to approve, for comment, a proposed
rule to increase the High System-Wide Offer Cap (HCAP) to $4,500 beginning
...Continued on Page 5

3. Issue 8 : Spring 2012 : Page 3/6
The Air We Breathe
By Bill McCauley, Atmac Mechanical Services
Air pollution in the metropolitan area is unfortunately a fact and on some days we are informed by the media of high or
dangerous pollutant levels. Outdoors and over a time period, nature will generally take care of pollutants and other partic-
ulates via wind, rain or just dilution. However, the air inside our buildings and homes is contained for
the most part and recirculated as it is cooled or heated to increase utility energy efficiency.
In steel, glass, and marble office towers (as well as the industrial and medical facilities) all over the
Dallas/Ft. Worth metroplex, workers show up for their jobs and spend seven to ten hours per day
breathing air that has been conditioned for comfort. Often overlooked is how we maintain the clean-
liness and quality of the air we breathe. Pollutants that are continually introduced into the air within
our buildings “envelope” via many methods: ventilation air; furniture, clothing and carpet fibers; dirt
brought in on our shoes; plants or vegetation, and even our own skin exfoliation. Left uncon-
trolled or unfiltered these tiny particles will accumulate on surfaces and could ultimately begin
affecting mechanical equipment and efficiencies, not to mention the health of those that
breathe the air.
Some important considerations for proper
Air Filtration are:
 Protecting the general well-being of the
occupants of the space
 Protecting the décor of occupied spaces
by removing the staining portion of
airborne dust
 Reducing maintenance of building
interiors by reducing the frequency of
washing such items as blinds, florescent
bulbs, air diffusers and return air grills
 Protecting the contents of occupied
spaces including paintings, tapestries, and
other items of historic or cultural value
 Eliminating fire hazards by removing lint
and other materials that might accumulate in duct work
 Extending shelf life of perishable dairy products by removing airborne mold and bacteria during processing operations
 Removing airborne bacteria from operating room environments to help prevent postoperative infection
Depending upon the specifics of the building, its design purpose, the mechanical equipment selected, and the type of
occupancy there are varied filtration methods that may be required. Sometimes more than one type of filtration is incorpo-
rated into a facility where there are multiple processes occurring in different areas simultaneously.
Obviously every building or facility is different and what works for one may or may not work for another. For this reason
it is important that a proper selection of filter and filtration method be made.
...Continued on Page 6

4. Issue 8 : Spring 2012 : Page 4/6
WATER: When Less is More
By John Wingfield Jr., TCLP Request a copy of the results from your landscape
President, Eagle Landscape vendor’s monthly inspections, and repair any and all prob-
lems. It is always cheaper to repair broken heads and
Some say water is the next pipes that continue to waste water and allow plants to die.
oil. Do you think that state-
Analyze your irrigation water use. A typical acre
ment is too aggressive? of irrigated land will use approximately 2,000,000 gallons
of water per year, however it only needs 750,000. If your
water usage is high, invest in a “Smart” irrigation control-
Let’s look at some facts:
ler. There are many manufacturers that produce such
controllers (Weathermatic, Rainbird, Hunter, etc…). On
 North Texas has seen very little rainfall over the past
average, we have witnessed a 64% savings on irrigation
few summers.
water use. By eliminating overwatering, the beauty of the
 Developers and home builders are continuing to
landscape increases and the cost associated with irrigation
build, build, build…
water decreases. Many municipalities offer variances for
 Governmental regulations are increasing, and proper-
installing such controllers (Frisco, McKinney, etc…) so be
ties can get fined big bucks for violating restrictions
sure and check with them for possible incentives. By in-
imposed by municipalities.
stalling a “Smart” irrigation controller, you can typically
earn 1 LEED point for a reduction in water use.
Analyze the cost associated with seasonal
color changes. Try to reduce the amount of annuals
planted and increase the use of perennials. Perennials
offer four seasons of interest, and also can produce a
greater height, texture, and contract in the landscape than
typical annuals. Also, don’t forget to mulch the plantings
after every installation to help retain soil moisture and
regulate soil temperature.
Be sure and speak with the account manager for your
landscape maintenance company and see what solutions
they offer to reduce the overall cost associated with
landscape in the annual budget, while also improving the
We all love the look of nice luscious green turf in front of a beauty of the landscape. Give them the three steps
beautiful building, but due to the above factors, it is provided above as a start and watch the exterior of your
getting harder and more expensive to maintain that de- building evolve into an even more beautiful landscape for
sired look in the landscape. By following a few simple all to enjoy!
steps, you can protect the appearance and integrity of
your landscape, while decreasing the cost associated with
proper landscape management. Sounds like a win-win
situation, right?
Landscape maintenance contracts typically call for
monthly irrigation system inspections.

5. Issue 8 : Spring 2012 : Page 5/6
Electricity Market Update… Continued from Page 2
August 1, 2012 until June 1, 2013. It is important to note that this is a short term solution to a long term problem of
capacity shortage in the ERCOT market. The higher prices should encourage investment in additional power plants needed
to meet our summer demand peaks. In addition, it was noted that 1,300 MW of previously mothballed power units would
be back on-line for service this coming summer, which should help mitigate the increased cost.
Another critical contributing factor to shrinking reserve margins is weather extremes and drought conditions. The
prolonged Texas drought has resulted in record low levels of cooling water in the states reservoirs necessary for power
plants. This time last year, 82 percent of the state was under extreme to exceptional drought conditions. As of this month,
only 13 percent of the state, primarily in the western counties, is reporting the two worst drought categories. The graph
below demonstrates the increase in heat rates over the last 12 months.
So what can the Commercial Real Estate industry, whose systems consume 40% of the energy utilized in America,
do to help? One solution that is getting more and more attention from building owners and property managers is Demand
Response (DR) programs. These programs pay customers to be available to curtail their energy demand in emergency
situations. Some of the benefits of DR include the following:
 Creates a revenue stream to reinvest in energy efficient equipment.
 Utilizes the existing Building Automation System to identify opportunities to curtail energy without sacrificing
tenant comfort
 Provides an alternative to offset growing energy demand and the need to build new generation plants.
 Assists with grid stability and can help avoid rolling blackouts.
 Complements “Green” initiatives and qualifies for LEED credits
There are several demand response options available. The most applicable to the commercial real estate market
are EILS (Emergency Interruptible Load Service), and Commercial Load Management or Standard Offer Program offered by
ONCOR in the summer months.
Demand Response may be an option to incorporate into your energy management strategy. However, to
successfully manage either program, it is important to understand how your building uses energy and to engage tenant
support and participation.

6. Issue 8 : Spring 2012 : Page 6/6
The Air We Breathe… Continued from Page 3
For example: A typical filter for a commercial office space is one that is ANSI/Ashrae Standard 52.2-1999 rated E2 and
removes particles in the 1.0 to 3.0 micron range and larger at an air velocity of approximately 500 feet per minute. Below is
a chart that graphically compares the sizes of various particulates that are typically filtered by your building’s or facility’s
HVAC systems.
Careful and thoughtful consideration should be given to your building’s air filtration. Once the mechanical systems have
been fouled by improper filtration, the costs associated with system clean-up can be high. Routine maintenance by
properly trained personnel with the right equipment and materials selected can reduce repair costs, maintenance fees, and
energy consumption as well as improve the quality of the air we breathe. If you are the responsible party in your
organization you may want to contact your building engineer or service contractor and review the filtration in your building
or facility.
Thank you for your support of PM Advantage!
Visit our website for more articles from our Contributing Partners:
American Restoration: Greg Tankersley & Janet Dempsey
Atmac Mechanical Services: Julie McBrayer & Bill McCauley
Certified Termite & Pest Control: Scott Young
Concierge Connection: Candace Rozell
Eagle Landscape: John Wingfield Jr.
Facility Solutions Group: Mark Condry
Fujitec Elevators: Steve Broom & Jenny Phillips
Quest Sustainability: Sandra Heffernan & Cara Leigh Ingram
Restorx of Texas: Harley Jeanise & Jon Rymza
Select Commercial Services: Charles Hart
Summit Energy Services: Sonya York
Texas Roof Management: Linda Jackson