Thomas T. Tolan Vice President of Engineering Conscientious and Continuous operational Changes: Sustainable DEVELOPMENT AND Management for energy reduction Thomas T. Tolan Vice President of Engineering

Introduction There have been many articles written in regards to managing energy usage and conserving it, all of which are of value if used in the appropriate environment. However, 37 years of experience has led me to believe that: The industry is lacking a “complete cycle” with an organic and sustainable approach, which is continuous and frequently changes.

Specifics about how the building enclosure contributes to energy usage/savings Attributes an owner values in their service and product suppliers How owners and suppliers should communicate about the goals of the program in order to work collaboratively

The Program Real estate management teams need an organic and sustainable approach to energy management, a process which is continuous and changes frequently.  The approach must be customized to each asset based upon the current technology, operating conditions, geography and personnel. How owners and management teams can use the Conscientious and Continuous Operational Changes approach and how their professional consultants and vendors can contribute to achievement of the program goals

The program I utilize to ensure an organic, complete, and recurring cycle to implement and facilitate a sustainable energy management program is called Conscientious and Continuous Operational Changes (CCOC). CCOC focuses on our approach to presence of mind (Conscientious), vigilance (Continuous), monitoring operations & acknowledging feedback (Operational) and action (Changes) (T.I.A.T.A.T.) Technology Introduced At The Appropriate Time

The Process

Step 1 Identify and analyze energy conservation opportunities and cost avoidance opportunities for each asset using data received from the following: Energy management assessment survey form

Step 1 Cost avoidance assessment survey form ROOF

Step 2 Tour each asset with the stationary engineer to evaluate whether or not the equipment and systems are being operated at optimum efficiency Meet with the on-site team to review and discuss the current operational status and gather required information SEMPP Asset Visits Asset Month - Year   Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Apr-18 Jul-18 Oct-18 Jan-19 Apr-19 Region

Step 3 Provide a report with a list of suggestions and recommendations for each item identified at the asset

Step 4 Differentiate items identified as no-cost, low-cost, R&M, capital, and cost avoidance

Step 5 Summarize information on spreadsheets, by asset, to include an opinion of probable costs for items identified

Step 6 Develop and implement an asset specific scope of work process with operational agendas and monthly calls for updates

Asset Quarterly Visits Step 6 Develop and implement a quarterly schedule for site visits SEMPP Asset Quarterly Visits

Step 7 Implement the monitoring program using the asset specific utility tracking spreadsheet to track implemented measures

Step 7 Implement the asset specific cost avoidance spreadsheet to track implemented measures

Summary By implementing and facilitating a CCOC program and process, it will: Produce positive financial results Identify cost avoidance opportunities Lower overall operating and capital expenses Limit liability and exposure Improve occupant comfort Increase the assets value Form a behavioral engaging environment that is collaborative

RESULTS Year end, 2009 we had 27 of 81 assets that had a score of 75 or higher (34.57% of portfolio) using the EPA’s Energy Star Portfolio Manager. The overall portfolio rating was 72 For 2012, we entered and closed out the EPA’s National Building Competition (Battle of the Buildings) with 45 assets, of which 35 assets achieved a savings from the 2011 baseline year. For those 35 assets, that savings was over two million dollars. In addition, nine of our assets were in the top 10% overall; the competition had over 3,200 buildings

Year end, 2016 we had 34 of 43 assets that had a score of 75 or higher (70.06% of portfolio) using the EPA’s Energy Star Portfolio Manager. The overall portfolio rating was 82

2013 AEE winner – Region IV, Corporate Energy Management and Energy Manager of the Year 2014 BOMA winner – Regional Building of the Year, Three Parkway, 500,000 – 1,000,000 sqft 2014 BOMA winner – International Building of the Year, Burnett Plaza, 1,000,000+ sqft

TOBY Awards 5 buildings BOMA 360 2016 24 buildings LEED 2016 certified at 14 buildings GRESB 2016 overall score = 69; compared to a global average of 60

20.4% reduction in energy usage over 7 years

27.9% reduction in energy cost over 7 years

Contact Information Thomas Tolan Vice President of Engineering Tier Reit 5950 Sherry Lane, Suite 700 Dallas, TX 75225 ttolan@tierreit.com 310-597-8621 – mobile 972-483-2488 - office

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