General Assembly Raised Bill No. 5385
February Session, 2012 LCO No. 1728
*01728_______ET_*
Referred to Committee on Energy and Technology
Introduced by:
(ET)
General Assembly
Raised Bill No. 5385
February Session, 2012
LCO No. 1728
*01728_______ET_*
Referred to Committee on Energy and Technology
Introduced by:
(ET)
AN ACT CONCERNING ENERGY RETROFITS FOR CERTAIN BUILDINGS AND THE DISCLOSURE OF THE ENERGY EFFICIENCY OF CERTAIN BUILDINGS.
Be it enacted by the Senate and House of Representatives in General Assembly convened:
Section 1. (NEW) (Effective October 1, 2012) (a) As used in this section, "residential building" means a structure that is intended to be or is used as a residence consisting of one to four dwelling units.
(b) The Commissioner of Energy and Environmental Protection, in consultation with the Secretary of the Office of Policy and Management and the Commissioner of Consumer Protection, shall develop a program and adopt regulations in accordance with the provisions of chapter 54 of the general statutes for evaluating and disclosing the energy consumption of residential buildings before the sale of such buildings, including, but not limited to, a method for labeling or disclosing such information. Such regulations may include, but not be limited to, adoption of a federal rating and disclosure system. In developing such program and adopting such regulations, the Commissioner of Energy and Environmental Protection shall consult with residential energy efficiency auditors, providers of residential energy efficiency services and members of the residential real estate and mortgage banking industries.
(c) On and after July 1, 2014, any owner of a residential building located in the state shall have the energy consumption of such building evaluated in accordance with the regulations adopted pursuant to section (b) of this section before the sale of such building, except for a sale between coowners, spouses or persons related by consanguinity within the third degree or a transfer through inheritance. Such evaluation shall cover a period of not less than five years before the sale of such building or the period since the adoption of said regulations, whichever is less.
Sec. 2. (NEW) (Effective October 1, 2012) Any landlord who requires a tenant to pay heating expenses as part of the agreed lease shall, before entering into such lease agreement, provide a potential tenant with a statement of prior usage for heating expenses for the unit for at least the previous two years. The statement of prior usage shall consist of a report from the supplier of the heating fuel, including an electric or natural gas distribution company, if available, and shall otherwise be based on (1) records of the heating fuel supplier, or (2) a good-faith estimate by the landlord.
Sec. 3. (NEW) (Effective October 1, 2012) (a) As used in this section, "nonresidential building" means any building that is intended to be or is used for commercial purposes and does not include any building used for manufacturing or long-term residential use.
(b) Commencing January 1, 2013, each electric distribution, electric and gas company shall maintain records of the energy consumption data of all nonresidential buildings to which such company provides service. This data shall be maintained in a format (1) compatible for uploading to the United States Environmental Protection Agency's Energy Star portfolio manager or comparable system, and (2) that preserves the confidentiality of the customer.
(c) On and after January 1, 2013, upon the written authorization or secure electronic authorization of a nonresidential building owner or operator, an electric distribution, electric or gas company shall upload all of the energy consumption data for the specified building account to the Energy Star portfolio manager or comparable system to benchmark such building's energy use. The electric distribution, electric or natural gas utility shall maintain information in a manner that preserves the confidentiality of the customer.
(d) (1) Not later than January 1, 2014, and annually thereafter not later than January first, any owner or operator of a nonresidential building with a total gross floor area of not less than fifty thousand square feet shall benchmark such building's energy use by uploading such building's energy consumption data to the Energy Star portfolio manager benchmarking tool or a comparable system. On and after January 1, 2014, such owner or operator shall disclose the benchmarking data and ratings generated by such tool or system for the most recent twelve-month period to any prospective buyer, lessee or lender that would finance the purchase of the building or some portion thereof. On and after January 1, 2015, such owner or operator shall provide such benchmarking data and ratings for the most recent twelve-month period to the Commissioner of Energy and Environmental Protection who shall make such benchmarking data and ratings accessible to the public via an on-line database.
(2) Not later than July 1, 2014, and annually thereafter not later than July first, any owner or operator of a nonresidential building with a total gross floor area of not less than twenty thousand square feet but less than fifty thousand square feet shall benchmark such building's energy use by uploading such building's energy consumption data to the Energy Star portfolio manager benchmarking tool or a comparable system. On and after July 1, 2014, such owner or operator shall disclose the benchmarking data and ratings generated by such tool or system for the most recent twelve-month period to any prospective buyer, lessee or lender that would finance the purchase of the building or some portion thereof. On and after July 1, 2015, such owner or operator shall provide such benchmarking data and ratings for the most recent twelve-month period to the Commissioner of Energy and Environmental Protection who shall make such benchmarking data and ratings accessible to the public via an on-line database.
(3) Not later than January 1, 2015, and annually thereafter not later than January first, any owner or operator of a nonresidential building with a total gross floor area of not less than ten thousand square feet but less than twenty thousand square feet shall benchmark such building's energy use by uploading such building's energy consumption data to the Energy Star portfolio manager benchmarking tool or a comparable system. On and after January 1, 2015, such owner or operator shall disclose the benchmarking data and ratings generated by such tool or system for the most recent twelve-month period to any prospective buyer, lessee or lender that would finance the purchase of the building or some portion thereof. On and after January 1, 2016, such owner or operator shall provide such benchmarking data and ratings for the most recent twelve-month period to the Commissioner of Energy and Environmental Protection who shall make such benchmarking data and ratings accessible to the public via an on-line database.
(e) On or before July 1, 2013, the Secretary of the Office of Policy and Management shall benchmark the energy use of any nonresidential building with a total gross floor area of not less than ten thousand square feet owned or operated by the state or any state agency by uploading such building's energy consumption data to the Energy Star portfolio manager benchmarking tool or a comparable system.
Sec. 4. Section 8-253a of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2012):
In addition to the terms and conditions set forth in section 8-253, loans made by the authority hereunder shall also be subject to the following terms and conditions:
(1) A loan hereunder may be prepaid after a period of twenty years or sooner with the permission of the authority; provided, nonprofit mortgagors and mortgagors to whom loans are made on or after October 1, 1978, may prepay their loans prior to maturity only with the consent of the authority. The authority shall grant such consent if it finds (A) that it may reasonably be expected that the prepayment of the loan will not result in a material escalation of rents charged to occupants of the project; and (B) that the need for low and moderate income housing in the area concerned is no longer acute.
(2) The interest rate on the loan shall be established by the authority at the lowest level consistent with the authority's cost of operation and its responsibilities to the holders of its bonds, bond anticipation notes and other obligations, except those loans made pursuant to subsection (32) of section 8-250.
(3) The authority shall require the mortgagor or its contractor to post labor and materials and construction performance surety bonds, or enter into an escrow arrangement acceptable to the authority, in amounts related to the project cost as established by regulation, and to execute such other assurances and guarantees as the authority may deem necessary.
(4) The loan shall be subject to an agreement between the authority and the mortgagor which will subject said mortgagor and its principals or stockholders to limitations established by the authority as to rentals, carrying charges, and other charges, profits and fees, and the disposition of its property and franchises to the extent more restrictive limitations are not provided in the law under which the mortgagor is incorporated or organized.
(5) A loan to a mortgagor, other than a municipal developer or a nonprofit corporation having as one of its purposes the construction or rehabilitation of housing, shall be subject to an agreement between the authority and the mortgagor limiting the mortgagor, and its principals or stockholders, to such return on the mortgagor's equity in any project assisted with a loan from the authority as may be established or permitted by the authority. The mortgagor's equity in a project shall consist of the difference between the amount of the loan and the total project cost, whether or not such costs have been paid in cash or in a form other than cash. With respect to every project, the authority shall, pursuant to rules and regulations adopted by it, establish the mortgagor's equity after the acceptance as proper by the authority of the certification or other assurances of project cost from the mortgagor, provided in no case shall such figure ever be less than the mortgagor's original equity in such project.
(6) No loan shall be executed, except a loan made to a municipal developer or a nonprofit corporation having as one of its purposes the construction or rehabilitation of housing, unless the mortgagor agrees (A) to certify upon completion of project construction or rehabilitation, subject to audit by the authority, either that the actual project cost as defined herein exceeded the amount of the loan proceeds by ten per cent or more, or the amount by which the loan proceeds exceed ninety per cent of total project cost, and (B) to pay forthwith to the authority, for application to reduction of principal of the loan, the amount, if any, of such excess loan proceeds, subject to audit and determination by the agency. No loan shall be made to a municipal developer or a nonprofit corporation unless such mortgagor agrees to certify the actual project cost upon completion of the project, and further agrees to pay forthwith to the authority, for application to reduction of the principal of the loan, the amount, if any, by which the proceeds of the loan exceed the certified project cost, subject to audit and determination by the authority. Notwithstanding the provisions of this subsection, the authority may accept, in lieu of any certification of project cost as provided herein, such other assurances of the said project cost, in any form or manner whatsoever, as will enable the authority to determine with reasonable accuracy the amount of said project cost.
(7) As a condition of the loan, the authority shall have the power at all times during the construction and rehabilitation of a housing project and the operation thereof: (A) To enter upon and inspect without prior notice any project, including all parts thereof, for the purpose of investigating the physical and financial condition thereof, and its construction, rehabilitation, operation, management and maintenance, and to examine all books and records with respect to capitalization, income and other matters relating thereto and to make such charges as may be required to cover the cost of such inspections and examinations; (B) to order such alterations, changes or repairs as may be necessary to protect the security of its investment in a housing project or for the health, safety and welfare of the occupants thereof; (C) to order any managing agent, project manager or owner of a housing project to do such acts as may be necessary to comply with the provisions of all applicable laws and ordinances or any rule or regulation of the authority or the terms of any agreement concerning the said project or to refrain from doing any act in violation thereof and in this regard the authority shall be a proper party to file a complaint and to prosecute thereon for any violation of laws or ordinances as set forth herein; (D) to require the adoption and continuous use of uniform systems of accounts and records for a project and to require all owners or managers of same to file annual reports containing such information and verified in such manner as the authority shall require and to file at such times and on such forms as the authority may prescribe reports and answers to specific inquiries of the authority to determine the extent of compliance with any agreement, the terms of the loan, the provisions of this chapter and any other applicable law; [and] (E) to enforce, by court action if necessary, the terms and provisions of any agreement between the authority and the mortgagor as to schedules of rentals or carrying charges, aggregate family income limits as applied to applicants for housing or the occupants thereof, or any other limitation imposed upon the mortgagor as to financial structure, construction, operation, or disposition of the housing; and (F) to require that an energy audit of such housing project is conducted prior to the construction or rehabilitation of such project and that the recommendations of such energy audit concerning energy efficiency upgrades are implemented in such construction or rehabilitation.
(8) If, pursuant to subsection (29) of section 8-250, the authority appoints a majority of new directors to the board of directors of a mortgagor corporation, or appoints a new managing agent for an unincorporated association, the persons so appointed need not be stockholders or partners or meet other qualifications which may be prescribed by the articles of incorporation or other basic documents of organization or the bylaws of such mortgagor. In the absence of fraud or bad faith, the persons so appointed shall not be personally liable for the debts, obligations or liabilities of such mortgagor; and shall serve only for a period coexistent with the duration of the reasons for their appointment or until the authority is assured, in a manner satisfactory to it, that the need for such service no longer exists; and they shall serve as directors or managing agents for such compensation as the authority may determine and shall be entitled to be reimbursed for all necessary expenses incurred in the discharge of their duties as directors or managing agents of such mortgagor.
This act shall take effect as follows and shall amend the following sections:
Section 1 October 1, 2012 New section
Sec. 2 October 1, 2012 New section
Sec. 3 October 1, 2012 New section
Sec. 4 October 1, 2012 8-253a
This act shall take effect as follows and shall amend the following sections:
Section 1
October 1, 2012
New section
Sec. 2
October 1, 2012
New section
Sec. 3
October 1, 2012
New section
Sec. 4
October 1, 2012
8-253a
Statement of Purpose:
To require the disclosure of the energy efficiency of certain buildings and to require energy audits as a condition of certain assistance from the Connecticut Housing Finance Authority.
[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]