Energy & Water Resources

Appropriated Funds	Alternative Financing
Appropriated funds are funds authorized and appropriated by Congress for specified purposes. Examples include: Energy Resilience Conservation Investment Program (ERCIP), Military Construction Army (MCA), and Operations and Maintenance Army (OMA).	Alternative financing sources include funding mechanisms other than appropriated funds such as Energy Savings Performance Contracts (ESPC) and Utility Energy Service Contracts (UESC).
ERCIP Energy Resilience Conservation Investment Program (ERCIP) is a subset Defense-Wide Military Construction (MILCON) Program specifically intended to fund projects that improve energy resilience, contribute to mission assurance, save energy, and reduce DoD’s energy costs. ERCIP accomplishes this through construction of new, high-efficiency energy systems and technologies or through modernizing existing energy systems. MCA Military Construction Army (MCA) funds are regulated by Army Regulation AR 420-1 which prescribes policies, procedures, and responsibilities for Department of the Army (DA) military construction (MILCON). OMA Operations and Maintenance Army (OMA) funds are used to pay things like energy bills, repairs, and replacement equipment. Army Regulation AR 37-49 prescribes the budgeting, funding, and reimbursement policies and responsibilities to be followed by Army activities in connection with Army base operations support including OMA funds.	ESPC Energy Savings Performance Contracts (ESPC) are partnerships with private sector companies known as energy service companies (ESCOs). These contracts allow installations to improve their infrastructure and implement energy projects while paying for the measures with the anticipated savings being generated by the project over time (10-25 years). ESPCs provides Army facility managers a solution to facility problems with minimal up-front cost. The Energy Policy Act of 2005 reauthorizes ESPCs through 30 September 2016. The Energy Independence and Security Act 2007 permanently extends the ESPC authority. UESC Utility Energy Services Contracts (UESCs) are similar to ESPCs. The most notable difference is that the projects are financed and implemented through utility companies.

Appropriated Funds

Alternative Financing

Appropriated funds are funds authorized and appropriated by Congress for specified purposes. Examples include: Energy Resilience Conservation Investment Program (ERCIP), Military Construction Army (MCA), and Operations and Maintenance Army (OMA).

Alternative financing sources include funding mechanisms other than appropriated funds such as Energy Savings Performance Contracts (ESPC) and Utility Energy Service Contracts (UESC).

ERCIP

Energy Resilience Conservation Investment Program (ERCIP) is a subset Defense-Wide Military Construction (MILCON) Program specifically intended to fund projects that improve energy resilience, contribute to mission assurance, save energy, and reduce DoD’s energy costs. ERCIP accomplishes this through construction of new, high-efficiency energy systems and technologies or through modernizing existing energy systems.

MCA

Military Construction Army (MCA) funds are regulated by Army Regulation AR 420-1 which prescribes policies, procedures, and responsibilities for Department of the Army (DA) military construction (MILCON).

OMA

Operations and Maintenance Army (OMA) funds are used to pay things like energy bills, repairs, and replacement equipment. Army Regulation AR 37-49 prescribes the budgeting, funding, and reimbursement policies and responsibilities to be followed by Army activities in connection with Army base operations support including OMA funds.

ESPC

Energy Savings Performance Contracts (ESPC) are partnerships with private sector companies known as energy service companies (ESCOs). These contracts allow installations to improve their infrastructure and implement energy projects while paying for the measures with the anticipated savings being generated by the project over time (10-25 years).

ESPCs provides Army facility managers a solution to facility problems with minimal up-front cost. The Energy Policy Act of 2005 reauthorizes ESPCs through 30 September 2016. The Energy Independence and Security Act 2007 permanently extends the ESPC authority.

UESC

Utility Energy Services Contracts (UESCs) are similar to ESPCs. The most notable difference is that the projects are financed and implemented through utility companies.

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