565—6.4 (473) Technical engineering analysis.
	 6.4(1) Objective. The objective of the technical engineering analysis is to perform a comprehensive examination and written report to identify and analyze opportunities for energy management improvements, and improved operation and maintenance procedures, with estimates of costs and annual cost savings.
	 6.4(2) Technical engineering analysis conducted. Technical engineering analyses shall be conducted for all buildings or facilities recommended by the department in accordance with the following criteria:
	  a.   	 Annual Btu consumption per square foot, compared with similar building or facility types as determined by the department on a periodic basis; and
	  b.   	 If applicable, the type or nature of energy audit findings.
A technical engineering analysis shall also be conducted for any facility that has previously had a technical engineering analysis completed more than three years before making a new application for financing through a building energy management program.
	 6.4(3) Procedures.
	  a.   	 Mandated and eligible institutions select and contract with an analyst qualified to perform technical engineering analyses. A request for proposals shall be sent by each participating mandated or eligible institution to all firms on the qualified analyst list maintained by the department. The department may modify requirements in the procurement of the firm consistent with applicable state and federal regulations. Following accepted practices, the mandated or eligible institution will select the qualified firm that best meets its needs and that has no conflicts of interest with the institution.
	  b.   	 In accordance with the department’s technical engineering analysis guidelines, each participating mandated or eligible institution shall identify the needs the institution wants to be considered in its technical engineering analysis.
	  c.   	 Upon request of the mandated or eligible institution, the department may allow completion of technical engineering analyses of all of the institution’s buildings or facilities in phases or stages.
	  d.   	 Upon the mandated or eligible institution’s receipt of the completed technical engineering analysis, a copy is submitted to the department.
The department will review the technical engineering analysis and notify the mandated or eligible institution of any technical concerns that need to be discussed and resolved.
The department will approve or reject the technical engineering analysis based on compliance with the department’s Technical Engineering Analysis Guidelines, which are periodically updated by the department.
	 6.4(4) Contents of a technical engineering analysis. The technical engineering analysis shall include the information required in the current Technical Engineering Analysis Guidelines as developed, maintained, and periodically updated by the department.
	 6.4(5) Exemptions. The required technical engineering analysis may be waived by the department on a case-by-case basis as negotiated with the department.
	 6.4(6) Analyst firms retained. Mandated and eligible institutions shall retain qualified analyst firms that are free from conflicts of interest with the respective institutions to perform the professional services required for each technical engineering analysis. Qualification standards and procedures for analyst firms have been adopted by the department and are available upon request.