STATE OF NEW YORK ________________________________________________________________________ 1335 2025-2026 Regular Sessions IN SENATE January 9, 2025 ___________ Introduced by Sen. PARKER -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommuni- cations AN ACT to amend the general municipal law, in relation to the municipal sustainable energy loan program The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Section 119-ee of the general municipal law, as added by 2 chapter 497 of the laws of 2009, is amended to read as follows: 3 § 119-ee. Legislative findings and declaration. The legislature finds 4 and declares that it is the policy of the state to achieve statewide 5 energy efficiency and renewable energy goals, reduce greenhouse gas 6 emissions and mitigate the effect of global climate change, and advance 7 a clean energy economy; and that to achieve such policy and goals the 8 state must promote the deployment of renewable energy systems [and], 9 energy efficiency measures, qualifying water improvements, and low 10 carbon intensity building components throughout the state; and that 11 municipalities would fulfill an important public purpose by providing 12 loans to property owners for the installation of renewable energy 13 systems [and], energy efficiency measures, qualifying water improve- 14 ments, and the use of low carbon intensity building components. 15 § 2. Subdivisions 5, 6, 7 and 8 of section 119-ff of the general 16 municipal law, as amended by chapter 184 of the laws of 2020, are 17 amended to read as follows: 18 5. "Feasibility study" means a written study, conducted by a contrac- 19 tor certified by the authority, or certified by a certifying entity 20 approved by the authority for purposes of this article, for the purpose 21 of determining the feasibility of installing a renewable energy system 22 or qualifying water improvement. A municipal corporation may, by local 23 law, provide for the certification of such contractors based upon crite- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD02166-01-5
S. 1335 2 1 ria at least as stringent as the state-wide criteria for certification 2 adopted by the authority for purposes of this article. 3 6. "Low carbon intensity building component improvement" means any 4 permanently affixed improvement to real property, whether as a component 5 of the new construction of a building or as the renovation or retrofit- 6 ting of an existing building, to reduce the carbon or other greenhouse 7 gas emissions of those components or the improved property. 8 7. "Municipal corporation" means a county, town, city or village. 9 8. "Qualifying water improvement" means any improvement to real prop- 10 erty, whether as a component of the new construction of a building or as 11 the renovation and retrofitting of an existing building, to reduce water 12 consumption, promote water conservation and storage, manage stormwater, 13 resist flooding, and mitigate contamination in potable water systems. 14 [6.] 9. "Real property" means any property, an interest in which is or 15 is eligible to be recorded or registered on municipal land ownership 16 records by the possessor of such interest. 17 [7.] 10. "Renewable energy system" means an energy generating system 18 for the generation of electric or thermal energy, to be used primarily 19 at such property, except when the owner of real property is a commercial 20 entity, by means of solar thermal, solar photovoltaic, wind, geothermal, 21 anaerobic digester gas-to-electricity systems, fuel cell technologies, 22 or other renewable energy technology approved by the authority not 23 including the combustion or pyrolysis of solid waste. 24 [8. "Renewable energy system feasibility study" means a written study, 25 conducted by a contractor certified by the authority, or certified by a 26 certifying entity approved by the authority for purposes of this arti- 27 cle, for the purpose of determining the feasibility of installing a 28 renewable energy system. A municipal corporation may, by local law, 29 provide for the certification of such contractors based upon criteria at 30 least as stringent as the state-wide criteria for certification adopted 31 by the authority for purposes of this article.] 32 § 3. Section 119-gg of the general municipal law, as added by chapter 33 497 of the laws of 2009, subdivisions 1 and 6 as amended by chapter 320 34 of the laws of 2017, is amended to read as follows: 35 § 119-gg. Sustainable energy loan program. 1. The legislative body of 36 any municipal corporation may, by local law, establish a sustainable 37 energy loan program using federal grant assistance or federal credit 38 support or monies from the state of New York or any state authority as 39 defined by section two of the public authorities law available for this 40 purpose. 41 2. Such program may make loans to the owners of real property located 42 within the municipal corporation to finance the installation of renewa- 43 ble energy systems [and], energy efficiency improvements, qualifying 44 water improvements, low carbon intensity building components, related 45 energy audits and [renewable energy system] feasibility studies, and the 46 verification of the installation of such systems and improvements. No 47 municipal corporation shall make such a loan to an owner of property 48 that has received a loan from another municipal corporation pursuant to 49 this article. 50 3. Each such local law establishing the sustainable energy loan 51 program shall provide for the criteria for making such loans and the 52 terms and conditions for repayment of such loans. The sustainable energy 53 loan program shall use such lists of cost effective energy efficiency 54 improvements for different building types as are approved by the author- 55 ity.
S. 1335 3 1 4. The municipal corporation shall verify and report on the installa- 2 tion and performance of renewable energy systems [and], energy efficien- 3 cy improvements, qualifying water improvements, and low carbon intensity 4 building component improvements financed by the loan program in such 5 form and manner as the authority may establish. 6 5. Every loan made under the sustainable energy loan program shall be 7 repaid over a term not to exceed the [weighted average of the useful 8 life of such systems and improvements] the longest lived system or 9 improvement as determined by the municipal corporation. The municipal 10 corporation shall [set] approve a fixed rate of interest for the repay- 11 ment of the principal amount of each loan at the time the loan is made. 12 6. a. For loans made to an owner of real property that is a commercial 13 entity, not-for-profit organization, or entity other than an individual, 14 the municipal corporation, governing body or its duly assigned agent 15 shall have the authority to impose requirements on the maximum amount 16 that may be borrowed through such loan, which may consider factors 17 including but not limited to the property value, projected savings, 18 project cost, and existing indebtedness secured by such property. 19 b. For loans made to an owner of real property who is an individual, 20 the principal amount of each such loan, excluding interest, shall not 21 exceed the lesser of ten percent of the appraised real property value or 22 the actual cost of installing the renewable energy system [and], energy 23 efficiency [improvements] improvement, qualifying water improvement, or 24 low carbon intensity building component improvement, including the costs 25 of necessary equipment, materials, and labor, the costs of each related 26 energy audit and renewable energy system feasibility study, and the cost 27 of verification of such renewable energy system and energy efficiency 28 improvements. 29 7. No such loan shall be made for energy efficiency improvements 30 unless determined to be appropriate through an energy audit, and no such 31 loan shall be made for a renewable energy system or qualifying water 32 improvement unless determined to be feasible through a [renewable energy 33 system] feasibility study. 34 8. An energy audit may document improvements and related costs that 35 are required for the energy efficiency improvements to proceed and 36 further may document expected energy savings, any expected reductions in 37 greenhouse gas emissions, and any other environmental, economic and 38 public health benefits expected from the installation of the improve- 39 ments, including those enumerated in the scoping plans and related 40 values created pursuant to article seventy-five of the environmental 41 conservation law. 42 9. A feasibility study may document improvements and related costs 43 that are required for the renewable energy system or qualifying water 44 improvements to proceed and further may document expected energy 45 savings, any expected reductions in greenhouse gas emissions, and any 46 other environmental, economic and public health benefits expected from 47 the installation of the improvements, including those enumerated in the 48 scoping plans and related values created pursuant to article seventy- 49 five of the environmental conservation law. 50 10. The loan made under the sustainable energy loan program shall 51 constitute a lien upon the real property benefitted by such loan. 52 [9.] 11. The municipal corporation may require the loan made under the 53 sustainable energy loan program to be repaid by the property owner 54 through a charge on the real property benefitted by such loan. Such 55 charge shall be on the real property, shall be payable by the property 56 owner regardless of tax-paying or tax-exempt status, and shall be levied
S. 1335 4 1 and collected at the same time and in [the same] a manner [as] consist- 2 ent with the manner generally applied to municipal taxes (and regardless 3 of whether municipal taxes are actually payable for such real property), 4 provided that such charge shall be separately listed on the tax bill, 5 and provided further that in the event such charge should not be paid in 6 a timely manner, no other municipal corporation shall be required to 7 credit or otherwise guarantee the amount of such unpaid charge to the 8 municipal corporation which authorized the loan, notwithstanding any 9 provision of law to the contrary. 10 12. To the extent any such charge is not paid when due (and regardless 11 of the tax payment status for the real property and the satisfaction or 12 non-satisfaction of other municipal taxes), the delinquent charge may be 13 enforced or foreclosed under article thirteen of the real property 14 actions and proceedings law to the extent of any unpaid installment 15 payments. In any event of enforcement, including foreclosure, the 16 balance of the lien shall not accelerate and shall survive judgment. The 17 proceeds received in an action to enforce an unpaid or delinquent charge 18 shall be paid first to outstanding real property taxes, municipal charg- 19 es, or other municipal liens. 20 13. The municipal corporation may assign the enforcement or foreclo- 21 sure of a delinquent charge or charges, in which event the assignee 22 shall have and possess the same powers and rights at law or in equity as 23 the municipal corporation would have had it not been assigned with 24 regard to the precedence and priority of such delinquent charges, the 25 accrual of interest and the fees and expenses of collection. In addi- 26 tion, such assignee shall have the same rights to enforce such delin- 27 quent charge or charges as any private party holding a lien on real 28 property, including, but not limited to, foreclosure and a suit on the 29 debt. 30 § 4. This act shall take effect immediately.