April 23, 2021

Commissioner Chambers

, 101 Radar Road, Tonopah, Nevada 89049. Cindy Kaminski, Nye County Representative Mark Owens, Nye County School District Representative Charles Lix, General Improvement District Representative Robin Rivero, Public-at-Large Representative Stacey Parmenter, Public-at-Large Representative Savannah Rucker, Nye County Administrative Technical Advisor Sandra L. Merlino, Nye County Clerk and Ex-Officio Clerk of the Board Also Present: Tim Sutton, County Manager; Kelly Sidman, Deputy Clerk Not Present: Sandra L. Merlino, Nye County Clerk and Ex-Officio Clerk of the Board; Charles Lix, General Improvement District Representative A roll call was taken.

Mrs. Kaminski

asked what the annual savings was expected to be.

Mr. Peterson

stated the savings from reduced energy consumption would be anywhere between $150,000.00 and $319,000.00 per year.

Mrs. Kaminski

asked about the necessary improvements. Eric Thatcher from Siemens said some of the equipment would be boilers in the jail, cooling rooftop units, and things that did not have enough energy savings to pay for themselves outright. Buildings and Grounds Director William Allen added buildings were smarter now and the HVAC operating systems were just like computers and became outdated.

Mrs. Kaminski

said she understood the outdated systems, but she was concerned about whether computer operated systems would run too cold or too warm. She asked if there would be someone locally who could help the different departments with that.

Mr. Thatcher

said having thermostats locked down was not part of this project. The occupants would have local control, but Mr. Allen would have the ability to see that and check if there was a problem. The buildings would be state of the art and people would have a higher level of comfort than being experienced now.

Mrs. Kaminski

pointed out this was a 19-year repayment with a principal of $7.5 million, but the savings during that time would be a little under $4.8 million. By the time this was paid off in 19 years it would be time to update again so it was still short quite a bit of money. She knew it was said most of this money would come out of the savings, not taxpayer dollars but there was that gap.

Mr. Thatcher

said when they first looked at this project the focus was on a project that would be funded 100% by energy savings. That was presented to the County and the feeling was they really wanted to include replacing obsolete equipment. Siemens went April 23, 2021 2. For Possible Action — Discussion and deliberation to adopt, amend and adopt, or reject Nye County Debt Management Commission Resolution No. 2021-01- Cont'd. back to the drawing board to make sure they could do that within the guidelines of NRS and to make sure they were identifying equipment that would have the cost and would meet that term. The County also hired a third-party reviewer to look at those numbers.

Mrs. Rivero

pointed out that part of Debt Management Commission’s responsibilities was to make sure the impact to the taxpayers was fair and not excessive. During all of the conversations and some of the stuff she read there had always been an iffy grey zone where no one had specifically guaranteed no tax rate impact. She would like to hear those words since at no time should this impact any of the existing tax rates, but it sounded like there was an open end there that it may do so later down the road.

Mrs. Rucker

explained the impact that this financing agreement would have on the County was offset by the capital investment being made in those years. There was a capital fund set up and it already had a tax rate. There was no increase to any tax rate across the board for this project and since the County was at the cap it could not be raised anyway.

Mrs. Rivero

asked what would happen if the estimated savings did not hit the mark.

Mr. Thatcher

said Siemens was obligated to guarantee that savings as part of the performance contract and legislation in Nevada. Included in the project was for them to come out and measure the performance. At the end of each year Siemens would collect enough information to compare to a baseline. If their projections showed the savings in 2023 should be $185,303.00 and that was not realized then Siemens had to cut a check for the difference. Kendra Follett, the County’s bond counsel, clarified the installment purchase agreements that the County would enter into with a financial institution were separate from the guarantee from Siemens. There was no provision in the installment agreement stating if there was an issue with the Siemens contract then the County would not have to pay the financial institution.

Mrs. Rivero

asked if the money Siemens paid back to the County could be diverted into the payment to the financial institution.

Mrs. Rucker

said that would be her direction to the Board of County Commissioners regarding the payments from Siemens if that savings was not realized.

Mrs. Kaminski

asked how many buildings this would affect in the County and if it would be all County buildings from the far north to the south. April 23, 2021 2. For Possible Action — Discussion and deliberation to adopt, amend and adopt, or reject Nye County Debt Management Commission Resolution No. 2021-01- Cont’d.

Mr. Allen

said all of the buildings could not be afforded. It would be the bigger buildings currently under Siemens’ control already, which were both the Tonopah and Pahrump courthouses and the 250 building in Pahrump. Smart thermostats would also be placed in locations where building controls were not used to gain insight.

Mrs. Rucker

said capital had been ignored for about a decade and this investment would move the County forward to allow significant improvements in infrastructure and buildings.

Mr. Owens

noted the bond was calculated at 3%. He asked if the interest went up if that would affect the bond or if would it stay at 3%.

Mr. Peterson

said the interest would be locked. He then asked for approval of the resolution which would allow them to take the next step in the process, which would be to send it to DTAX for their review.

Mrs. Rivero

made a motion to approve this item; seconded by Mr. Owens; 4 yeas.

Mrs. Kaminski

adjourned the meeting. APPROVED this _/ q day ATTEST: ot _Avsust , 2021 DMC Chair » Nye Codnty Clerk / Deputy