SECONDREGULARSESSION
HOUSECOMMITTEESUBSTITUTEFOR
HOUSEBILLNO.2756
102NDGENERALASSEMBLY
5786H.02C DANARADEMANMILLER,ChiefClerk
ANACT
Torepealsections67.2800,67.2810,67.2815,and67.2840,RSMo,andtoenactinlieu
thereoffournewsectionsrelatingtothepropertyassessmentcleanenergyact.
BeitenactedbytheGeneralAssemblyofthestateofMissouri,asfollows:
SectionA.Sections67.2800,67.2810,67.2815,and67.2840,RSMo,arerepealed
2andfournewsectionsenactedinlieuthereof,tobeknownassections67.2800,67.2810,
367.2815,and67.2840,toreadasfollows:
67.2800.1.Sections67.2800to67.2840shallbeknownandmaybecitedasthe
2"PropertyAssessmentCleanEnergyAct".
3 2.Asusedinsections67.2800to67.2840,thefollowingwordsandtermsshallmean:
4 (1)"Assessmentcontract",acontractenteredintobetweenacleanenergy
5developmentboardandapropertyownerunderwhichthepropertyowneragreestopayan
6annualassessmentforaperiodofuptotwentyyearsnottoexceedtheweightedaverage
7usefullifeofthequalifiedimprovementsinexchangeforfinancingofanenergyefficiency
8improvementorarenewableenergyimprovement;
9 (2)"Authority",thestateenvironmentalimprovementandenergyresourcesauthority
10establishedundersection260.010;
11 (3)"Bond",anybond,note,orsimilarinstrumentissuedbyoronbehalfofaclean
12energydevelopmentboard;
13 (4)"Cleanenergyconduitfinancing",thefinancingofenergyefficiency
14improvementsorrenewableenergyimprovementsforasingleparcelofpropertyora
15unifieddevelopmentconsistingofmultipleadjoiningparcelsofpropertyundersection
1667.2825;
EXPLANATION—Matterenclosedinbold-facedbrackets[thus] intheabovebillisnotenactedandis
intendedtobeomittedfromthelaw.Matterinbold-facetypeintheabovebillisproposedlanguage. 17 (5)"Cleanenergydevelopmentboard",aboardformedbyoneormoremunicipalities
18undersection67.2810;
19 (6)"Director",thedirectorofthedivisionoffinancewithinthedepartmentof
20commerceandinsurance;
21 (7)"Division",thedivisionoffinancewithinthedepartmentofcommerceand
22insurance;
23 (8)"Energyefficiencyimprovement",anyacquisition,installation,ormodificationon
24orofpubliclyorprivatelyownedpropertydesignedtoreducetheenergyconsumptionofsuch
25property,includingbutnotlimitedto:
26 (a)Insulationinwalls,roofs,attics,floors,foundations,andheatingandcooling
27distributionsystems;
28 (b)Stormwindowsanddoors,multiglazedwindowsanddoors,heat-absorbingor
29heat-reflectivewindowsanddoors,andotherwindowanddoorimprovementsdesignedto
30reduceenergyconsumption;
31 (c)Automaticenergycontrolsystems;
32 (d)Heating,ventilating,orairconditioningdistributionsystemmodificationsand
33replacements;
34 (e)Caulkingandweatherstripping;
35 (f)Replacementormodificationoflightingfixturestoincreaseenergyefficiencyof
36thelightingsystemwithoutincreasingtheoverallilluminationofthebuildingunlessthe
37increaseinilluminationisnecessarytoconformtoapplicablestateorlocalbuildingcodes;
38 (g)Energyrecoverysystems;and
39 (h)Daylightingsystems;
40 (9)"Municipality",anycounty,city,orincorporatedtownorvillageofthisstate;
41 (10)"Programadministrator",anindividualorentityselectedbythecleanenergy
42developmentboardtoadministerthePACEprogram,butthistermdoesnotincludean
43employeeofacountyormunicipalgovernmentassignedtoacleanenergydevelopmentboard
44orapublicemployeeemployedbyacleanenergydevelopmentboardwhoispaidfrom
45appropriatedgeneraltaxrevenues;
46 (11)"Project",anyenergyefficiencyimprovementorrenewableenergy
47improvement;
48 (12)"Propertyassessedcleanenergylocalfinancefund",afundthatmaybe
49establishedbytheauthorityforthepurposeofmakingloanstocleanenergydevelopment
50boardstoestablishandmaintainpropertyassessedcleanenergyprograms;
51 (13)"Propertyassessedcleanenergyprogram"or"PACEprogram",aprogram
52establishedbyacleanenergydevelopmentboardtofinanceenergyefficiencyimprovements
53orrenewableenergyimprovementsundersection67.2820;
HCSHB2756 2 54 (14)"Renewableenergyimprovement",anyacquisitionandinstallationofafixture,
55product,system,device,orcombinationthereofonpubliclyorprivatelyownedpropertythat
56producesenergyfromrenewableresources,including,butnotlimitedtophotovoltaic
57systems,solarthermalsystems,windsystems,biomasssystems,orgeothermalsystems.
58 3.Allprojectsundertakenundersections67.2800to67.2840aresubjecttothe
59applicablemunicipality'sordinancesandregulations,includingbutnotlimitedtothose
60ordinancesandregulationsconcerningzoning,subdivision,building,firesafety,andhistoric
61orarchitecturalreview.
62 4.Sections67.2800to67.2840shallnotapplytoanyassessmentcontract,
63project,orPACEprogramenteredinto,undertaken,orestablishedforanyresidential
64property.
67.2810.1.Oneormoremunicipalitiesmayformcleanenergydevelopmentboards
2forthepurposeofexercisingthepowersdescribedinsections67.2800to67.2840.Each
3cleanenergydevelopmentboardshallconsistofnotlessthanthreemembers,assetforthin
4theordinanceororderestablishingthecleanenergydevelopmentboard.Membersshallserve
5termsassetforthintheordinanceororderestablishingthecleanenergydevelopmentboard
6andshallbeappointed:
7 (1)Ifonlyonemunicipalityisparticipatinginthecleanenergydevelopmentboard,
8bythechiefelectedofficerofthemunicipalitywiththeconsentofthegoverningbodyofthe
9municipality;or
10 (2)Ifmorethanonemunicipalityisparticipating,inamanneragreedtobyall
11participatingmunicipalities.
12 2.Acleanenergydevelopmentboardshallbeapoliticalsubdivisionofthestateand
13shallhaveallpowersnecessaryandconvenienttocarryoutandeffectuatetheprovisionsof
14sections67.2800to67.2840,includingbutnotlimitedtothefollowing:
15 (1)Toadopt,amend,andrepealbylaws,whicharenotinconsistentwithsections
1667.2800to67.2840;
17 (2)Toadoptanofficialseal;
18 (3)Tosueandbesued;
19 (4)Tomakeandenterintocontractsandotherinstrumentswithpublicandprivate
20entities;
21 (5)Toacceptgrants,guarantees,anddonationsofproperty,labor,services,andother
22thingsofvaluefromanypublicorprivatesource, includingtheacquisitionofloansor
23assessmentcontractsfromotherstatesortheirmunicipalitiesandpoliticalsubdivision
24toserveacommonpurposeofprovidingfinancingsupportorcreditenhancementfor
25anyproject;
HCSHB2756 3 26 (6)Toemployorcontractforsuchmanagerial,legal,technical,clerical,accounting,
27orotherassistanceitdeemsadvisable;
28 (7)Tolevyandcollectspecialassessmentsunderanassessmentcontractwitha
29propertyownerandtorecordsuchspecialassessmentsasalienontheproperty;
30 (8)Toborrowmoneyfromanypublicorprivatesourceandissuebondsandprovide
31securityfortherepaymentofthesame;
32 (9)Tofinanceaprojectunderanassessmentcontract;
33 (10)Tocollectreasonablefeesandchargesinconnectionwithmakingandservicing
34assessmentcontractsandinconnectionwithanytechnical,consultative,orprojectassistance
35servicesoffered;
36 (11)Toinvestanyfundsnotrequiredforimmediatedisbursementinobligationsof
37thestateofMissourioroftheUnitedStatesoranyagencyorinstrumentalitythereof,orin
38bankcertificatesofdeposit;provided,however,thelimitationsoninvestmentsprovidedin
39thissubdivisionshallnotapplytoproceedsacquiredfromthesaleofbondswhichareheldby
40acorporatetrustee;and
41 (12)Totakewhateveractionsnecessarytoparticipateinandadministeraclean
42energyconduitfinancingorapropertyassessedcleanenergyprogram.
43 3.NolaterthanJulyfirstofeachyear,thecleanenergydevelopmentboardshallfile
44witheachmunicipalitythatparticipatedintheformationofthecleanenergydevelopment
45boardandwiththedirectorofthedepartmentofnaturalresourcesanannualreportforthe
46precedingcalendaryearthatincludes:
47 (1)Abriefdescriptionofeachprojectfinancedbythecleanenergydevelopment
48boardduringtheprecedingcalendaryear,whichshallincludethephysicaladdressofthe
49property,thenameornamesofthepropertyowner,anitemizedlistofthecostsoftheproject,
50andthenameofanycontractorsusedtocompletetheproject;
51 (2)Theamountofassessmentsdueandtheamountcollectedduringthepreceding
52calendaryear;
53 (3)Theamountofcleanenergydevelopmentboardadministrativecostsincurred
54duringtheprecedingcalendaryear;
55 (4)Theestimatedcumulativeenergysavingsresultingfromallenergyefficiency
56improvementsfinancedduringtheprecedingcalendaryear;and
57 (5)Theestimatedcumulativeenergyproducedbyallrenewableenergy
58improvementsfinancedduringtheprecedingcalendaryear.
59 4.Nolawsuittosetasidetheformationofacleanenergydevelopmentboardorto
60otherwisequestiontheproceedingsrelatedtheretoshallbebroughtaftertheexpirationof
61sixtydaysfromtheeffectivedateoftheordinanceorordercreatingthecleanenergy
62developmentboard.Nolawsuittosetasidetheapprovalofaproject,anassessmentcontract,
HCSHB2756 4 63oraspecialassessmentleviedbyacleanenergydevelopmentboard,ortootherwisequestion
64theproceedingsrelatedtheretoshallbebroughtaftertheexpirationofsixtydaysfromthe
65datethattheassessmentcontractisexecuted.
67.2815.1.Acleanenergydevelopmentboardshallnotenterintoanassessment
2contractorlevyorcollectaspecialassessmentforaprojectwithoutmakingafindingthat
3therearesufficientresourcestocompletetheprojectandthattheestimatedeconomicbenefit
4expectedfromtheprojectduringthefinancingperiodisequaltoorgreaterthanthecostofthe
5project.
6 2.Anassessmentcontractshallbeexecutedbythecleanenergydevelopmentboard
7andthebenefittedpropertyownerorpropertyownersandshallprovide:
8 (1)Adescriptionoftheproject,includingtheestimatedcostoftheprojectanddetails
9onhowtheprojectwilleitherreduceenergyconsumptionorcreateenergyfromrenewable
10sources;
11 (2)Amechanismfor:
12 (a)Verifyingthefinalcostsoftheprojectuponitscompletion;and
13 (b)Ensuringthatanyamountsadvancedorotherwisepaidbythecleanenergy
14developmentboardtowardcostsoftheprojectwillnotexceedthefinalcostoftheproject;
15 (3)Anacknowledgmentbythepropertyownerthatthepropertyownerhasreceived
16orwillreceiveaspecialbenefitbyfinancingaprojectthroughthecleanenergydevelopment
17boardthatequalsorexceedsthetotalassessmentsdueundertheassessmentcontract;
18 (4)Anagreementbythepropertyownertopayannualspecialassessmentsfora
19periodnottoexceedtwentyyears,asspecifiedintheassessmentcontract;
20 (5)Astatementthattheobligationssetforthintheassessmentcontract,includingthe
21obligationtopayannualspecialassessments,areacovenantthatshallrunwiththelandand
22beobligationsuponfutureownersofsuchproperty;and
23 (6)Anacknowledgmentthatnosubdivisionofpropertysubjecttotheassessment
24contractshallbevalidunlesstheassessmentcontractoranamendmentthereofdividesthe
25totalannualspecialassessmentduebetweenthenewlysubdividedparcelsproratatothe
26specialbenefitrealizedbyeachsubdividedparcel.
27 3.Thetotalspecialassessmentsleviedagainstapropertyunderanassessment
28contractshallnotexceedthesumofthecostoftheproject,includinganyrequiredenergy
29auditsandinspections,orportionthereoffinancedthroughtheparticipationinaproperty
30assessedcleanenergyprogramorcleanenergyconduitfinancing,includingthecostsofany
31auditsorinspectionsrequiredbythecleanenergydevelopmentboard,plussuch
32administrationfees,interest,andotherfinancingcostsreasonablyrequiredbytheclean
33energydevelopmentboard.
HCSHB2756 5 34 4.Thecleanenergydevelopmentboardshallprovideacopyofeachsigned
35assessmentcontracttothelocalassessorandcollectorforthecounty,orcitynotwithina
36county,andshallcauseacopyofsuchassessmentcontracttoberecordedintherealestate
37recordsoftherecorderofdeedsforthecounty,orcitynotwithinacounty.
38 5.Specialassessmentsagreedtounderanassessmentcontractshallbealienonthe
39propertyagainstwhichitisassessedonbehalfoftheapplicablecleanenergydevelopment
40boardfromthedatethateachannualassessmentundertheassessmentcontractbecomesdue.
41Suchspecialassessmentsshallbecollectedbythecollectorforthecounty,orcitynotwithina
42county,inthesamemannerandwiththesamepriorityasadvaloremrealpropertytaxes[,
43subjecttotheprovisionsofsubsection8ofthissection]. Oncecollected,thecollectorforthe
44county,orcitynotwithinacounty,shallpayoversuchspecialassessmentrevenuestothe
45cleanenergydevelopmentboardinthesamemannerinwhichrevenuesfromadvaloremreal
46propertytaxesarepaidtoothertaxingdistricts.Suchspecialassessmentsshallbecollected
47asprovidedinthissubsectionfromallsubsequentpropertyowners,includingthestateandall
48politicalsubdivisionsthereof,forthetermoftheassessmentcontract.
49 6.Anycleanenergydevelopmentboardthatcontractsforoutsideadministrative
50servicestoprovidefinancingoriginationforaprojectshalloffertherightoffirstrefusalto
51enterintosuchacontracttoafederallyinsureddepositoryinstitutionwithaphysicalpresence
52inMissouriuponthesametermsandconditionsaswouldotherwisebeapprovedbytheclean
53energydevelopmentboard.Suchrightoffirstrefusalshallnotbeapplicabletothe
54originationofanytransactionthatinvolvestheissuanceofbondsbythecleanenergy
55developmentboard.
56 7.Exceptasotherwiseprovidedinsection67.2840,sections67.2816,67.2817,
5767.2818,and67.2819shallapplyonlytoPACEprogramsforprojectstoimproveresidential
58propertiesoffourorfewerunits.Notwithstandinganyprovisionoflawtothecontrary,any
59cleanenergydevelopmentboardformedtoimprovecommercialproperties,propertiesowned
60bynonprofitornot-for-profitentities,governmentalproperties,ornonresidentialpropertiesin
61excessoffourresidentialunitsshallbeexemptfromtheprovisionsofsections67.2816,
6267.2817,67.2818,and67.2819,norshallsuchsectionsapplytothecommercialPACE
63programsandcommercialPACEassessmentcontractsofanycleanenergydevelopment
64boardengagedinbothcommercialandresidentialpropertyprograms.Notwithstandingany
65provisionoflawtothecontrary,anycleanenergydevelopmentboardthatceasestofinance
66newprojectstoimproveresidentialpropertiesoffourorfewerunitsbeforeJanuary1,2022,
67shallbeexemptfromtheprovisionsofsections67.2816,67.2817,67.2818,and67.2819.
67.2840.1.Sections67.2816,67.2817,67.2818,and67.2819shallbeeffectiveand
2applyonlytotheresidentialPACEprogramsofcleanenergydevelopmentboardsand
3participatingmunicipalities[after] fromJanuary1,2022, toAugust28,2024.Beginning
HCSHB2756 6 4August28,2024,allresidentialpropertiesshallbeexemptfromtheprovisionsof
5sections67.2816to67.2819andnoassessmentcontract,project,orPACEprogramshall
6beenteredinto,undertaken,orestablishedforanyresidentialproperty.
7 2.Sections67.2816,67.2817,67.2818,and67.2819shallbeeffectiveandapplyonly
8toresidentialPACEassessmentcontractsenteredintoafterJanuary1,2022, butbefore
9August28,2024.
âś”
HCSHB2756 7