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Option A-Spot Measured Savings The verification techniques for Option A determine savings by measuring the capacity or efficiency of a system before and after a retrofit and by multiplying the difference by an agreed-upon or " stipulated " factor, such as hours of operation or load on the system . Option A is best applied to individual loads or systems within a building , such as a lighting system or chiller. Option A is an approach designed for projects in which the potential to generate savings must be verified , but the actual savings can be stipulated based on the results of the " potential to generate savings" verification and engineering calculations (and perhaps on short-term data collection ) . Post- installation energy use is not measured throughout the term of the contract. Post-installation and perhaps baseline energy use is predicted using an engineering or statistical analysis of information that does not involve long- term measurements . Data from the estimates may come from historical data , information from other similar projects , and/or spot or short-term metering before and after ECM or system installation during the first year of operation . Spot savings is the easiest and least expensive method of determining savings . Option A includes procedures for verifying that: Baseline conditions have been properly defined . The equipment and/or systems that were contracted to be installed have been installed . The installed equipment/systems meet contract specifications in terms of quantity , quality , and rating . • The installed equipment is operating and performing in accordance with contract specifications and is meeting all functional tests . • The installed equipment/systems continue , during the term of the contract, to meet contract specifications in terms of quantity , quality , rating , operation , and functional performance . This level of verification is all that is contractually required for certain types of performance contracts . The potential to generate savings may be verified through observation , inspections , and/or spot/short-term metering conducted immediately before and/or immediately after installation . Annual (or some other regular interval ) inspections may also be conducted to verify an ECM ' s or system ' s continued potential to generate savings . Savings potential are quantified using computational methods . Indian River County , Florida 19 Indian River County Phase 2 Phase 11 Rev . 10/09