83R8098 JAM-D By: Burnam H.B. No. 3602 A BILL TO BE ENTITLED AN ACT relating to the allocation of certain money in the Texas emissions reduction plan fund to fund the energy efficiency grant program. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Sections 386.051(b) and (c), Health and Safety Code, are amended to read as follows: (b) Under the plan, the commission and the comptroller shall provide grants or other funding for: (1) the diesel emissions reduction incentive program established under Subchapter C, including for infrastructure projects established under that subchapter; (2) the motor vehicle purchase or lease incentive program established under Subchapter D; (3) the air quality research support program established under Chapter 387; (4) the clean school bus program established under Chapter 390; (5) the new technology implementation grant program established under Chapter 391; (6) the regional air monitoring program established under Section 386.252(a) [386.252(a)(5)]; (7) a health effects study as provided by Section 386.252(a) [386.252(a)(7)]; (8) air quality planning activities as provided by Section 386.252(a) [386.252(a)(8)]; [and] (9) the energy efficiency grant program established under Subchapter E; and (10) a contract with the Energy Systems Laboratory at the Texas Engineering Experiment Station for computation of creditable statewide emissions reductions as provided by Section 386.252(a) [386.252(a)(9)]. (c) Under the plan, the utility commission shall provide grants or other funding in addition to the funding provided by Subsection (b)(9) and Section 386.252(a) for the energy efficiency grant program established under Subchapter E. SECTION 2. Section 386.203, Health and Safety Code, is amended to read as follows: Sec. 386.203. ADMINISTRATION OF GRANTS. Money allocated by the commission, comptroller, or utility commission under the grant program developed under this subchapter shall be administered by electric utilities, electric cooperatives, and municipally owned utilities. A participating electric utility, electric cooperative, or municipally owned utility shall be reimbursed from the fund for costs incurred by the utility in administering the energy efficiency grant program established under this subchapter. Reimbursable administrative costs of a participating entity may not exceed 10 percent of the entity's total program budget before January 1, 2003, and may not exceed five percent of the entity's total program budget on or after that date. SECTION 3. Section 386.252, Health and Safety Code, is amended by adding Subsection (a-1) to read as follows: (a-1) Notwithstanding Subsection (a), 7.5 percent of the money in the fund that is allocated for the diesel emissions reduction program shall be used for the energy efficiency grant program. SECTION 4. This Act takes effect September 1, 2013.