By Joseph Cyr
Staff Writer
HOULTON, Maine — When it comes to rising fuel costs, many people are seeking alternative heating choices for the long, cold winter ahead.
Count the town of Houlton into that mix as well. The Houlton Town Council unanimously agreed Monday night to add a new pellet boiler at the town office on Water Street and also agreed to convert the Millar Civic Center from No. 2 fuel oil to propane.
“When I first came here a year ago, one of the first items on the council’s agenda was to continuing to find more energy-efficient heating sources for the town,” Houlton Town Manager Eugene Conlogue said. “I have been working on this off-and-on for the past year.”
Over the past few months, four vendors have given presentations to the council on alternative heating options including electric units; wood pellet boilers; burner boosters for existing furnaces; and converting to propane.
Finding an alternative for the town office building has been a high priority for the council. Built in 1907 and originally serving as the police and fire station, the town office have averaged 3,693 gallons of oil per year over the past eight years. The town budgets $12,000 per year in fuel costs for the municipal office building.
“My goal was to identify one or two of the systems that were presented to us and get them installed so we can get a real life experience on which ones perform better,” Conlogue said. “We are looking to increase our efficiency, while reducing our costs long-term.”
Other buildings that have been targeted for possible upgrades include the public safety building, which consumes about 7,000 gallons of fuel per year; the Gentle Memorial Building, which uses about 7,000 gallons of fuel; and the town garage, which uses nearly 9,000 gallons of fuel.
In total, the town uses roughly 42,000 gallons of fuel each year to heat all of its buildings.
At Monday night’s council meeting, the board agreed to purchase and install an automated wood pellet boiler for the town office at a cost of $35,000 from James H. McPartland and Sons. However, the town will not have to come up with that $35,000 up front.
Instead, the town and the company have entered into an agreement where the town will make annual payments on the heating system, but the amount of those payments will vary each year, Conlogue said. Exactly how much the town pays to McPartland and Sons will be based on how much savings the town sees in its fuel account.
The town will be responsible for purchasing the pellets and will also maintain the existing oil furnace to serve as a back-up system.
According to Conlogue, the proposal uses a base figure of $12,000 for fuel. Any cost savings the town realizes from using the wood pellets will serve as that year’s payment to McPartland and Sons. For example, if the total cost of pellets and oil is $8,000 for 2014, the town would pay McPartland and Sons $4,000.
These payments will occur each year until the original cost of $35,000 is paid in full. Therefore, the town will not see any net savings from this switchover until the full amount is reimbursed, which could take upwards of five to seven years. There will be no interest charged, Conlogue added.
The John Millar Civic Center will also see a change in its heating system after the council agreed to spend $6,380 to convert four oil-based furnaces into propane systems with Dead River Company. The Civic Center is the single largest user of oil, consuming between 10,000-13,000 gallons per year.
Conlogue said an outdoor tank will be placed and a trench dug to the building to accommodate the changeover. Because the cost of propane has remained consistently lower than No. 2 fuel oil over the past 10 years, the savings to the town should be immense. He estimated the town would see a savings of $8,182 per year; therefore paying for the entire cost of changing the system will be paid for in the first year alone.
The town was also required to enter into a five-year contract with Dead River Company to supply propane to the facility.
Installing a propane system at the town office was not feasible as there was no space available on site to place the outdoor tank.
Councilors hailed the changes as a great move for the town.
“I think these proposals are great,” Councilor John White said. “It’s good to see we are trying to save some money.”
Councilor Sue Tortello added the payment arrangement from McPartland and Sons was very innovative and applauded the company for their efforts.
