1 | 1 | | By: Hughes S.B. No. 1382 |
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2 | 2 | | (In the Senate - Filed March 6, 2017; March 16, 2017, read |
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3 | 3 | | first time and referred to Committee on Business & Commerce; |
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4 | 4 | | May 9, 2017, reported adversely, with favorable Committee |
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5 | 5 | | Substitute by the following vote: Yeas 6, Nays 0; May 9, 2017, sent |
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6 | 6 | | to printer.) |
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7 | 7 | | COMMITTEE SUBSTITUTE FOR S.B. No. 1382 By: Creighton |
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8 | 8 | | |
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9 | 9 | | |
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10 | 10 | | A BILL TO BE ENTITLED |
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11 | 11 | | AN ACT |
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12 | 12 | | relating to energy savings performance contracts. |
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13 | 13 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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14 | 14 | | SECTION 1. Sections 44.901(a) and (f-1), Education Code, |
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15 | 15 | | are amended to read as follows: |
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16 | 16 | | (a) In this section, "energy savings performance contract" |
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17 | 17 | | has the meaning assigned by Section 302.001, Local Government Code |
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18 | 18 | | [means a contract for energy or water conservation measures to |
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19 | 19 | | reduce energy or water consumption or operating costs of new or |
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20 | 20 | | existing school facilities in which the estimated savings in |
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21 | 21 | | utility costs resulting from the measures is guaranteed to offset |
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22 | 22 | | the cost of the measures over a specified period. The term includes |
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23 | 23 | | a contract for the installation or implementation of: |
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24 | 24 | | [(1) insulation of a building structure and systems |
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25 | 25 | | within the building; |
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26 | 26 | | [(2) storm windows or doors, caulking or |
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27 | 27 | | weatherstripping, multiglazed windows or doors, heat absorbing or |
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28 | 28 | | heat reflective glazed and coated window or door systems, or other |
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29 | 29 | | window or door system modifications that reduce energy consumption; |
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30 | 30 | | [(3) automatic energy control systems, including |
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31 | 31 | | computer software and technical data licenses; |
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32 | 32 | | [(4) heating, ventilating, or air-conditioning system |
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33 | 33 | | modifications or replacements that reduce energy or water |
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34 | 34 | | consumption; |
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35 | 35 | | [(5) lighting fixtures that increase energy |
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36 | 36 | | efficiency; |
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37 | 37 | | [(6) energy recovery systems; |
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38 | 38 | | [(7) electric systems improvements; |
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39 | 39 | | [(8) water-conserving fixtures, appliances, and |
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40 | 40 | | equipment or the substitution of non-water-using fixtures, |
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41 | 41 | | appliances, and equipment; |
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42 | 42 | | [(9) water-conserving landscape irrigation equipment; |
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43 | 43 | | [(10) landscaping measures that reduce watering |
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44 | 44 | | demands and capture and hold applied water and rainfall, including: |
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45 | 45 | | [(A) landscape contouring, including the use of |
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46 | 46 | | berms, swales, and terraces; and |
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47 | 47 | | [(B) the use of soil amendments that increase the |
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48 | 48 | | water-holding capacity of the soil, including compost; |
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49 | 49 | | [(11) rainwater harvesting equipment and equipment to |
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50 | 50 | | make use of water collected as part of a storm-water system |
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51 | 51 | | installed for water quality control; |
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52 | 52 | | [(12) equipment for recycling or reuse of water |
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53 | 53 | | originating on the premises or from other sources, including |
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54 | 54 | | treated municipal effluent; |
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55 | 55 | | [(13) equipment needed to capture water from |
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56 | 56 | | nonconventional, alternate sources, including air conditioning |
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57 | 57 | | condensate or graywater, for nonpotable uses; |
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58 | 58 | | [(14) metering equipment needed to segregate water use |
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59 | 59 | | in order to identify water conservation opportunities or verify |
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60 | 60 | | water savings; or |
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61 | 61 | | [(15) other energy or water conservation-related |
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62 | 62 | | improvements or equipment, including improvements or equipment |
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63 | 63 | | relating to renewable energy or nonconventional water sources or |
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64 | 64 | | water reuse]. |
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65 | 65 | | (f-1) Notwithstanding other law, the board may use any |
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66 | 66 | | available money[, other than money borrowed from this state,] to |
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67 | 67 | | pay the provider of the energy or water conservation measures under |
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68 | 68 | | this section, and the board is not required to pay for such costs |
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69 | 69 | | solely out of the savings realized by the school district under an |
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70 | 70 | | energy savings performance contract. The board may contract with |
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71 | 71 | | the provider to perform work that is related to, connected with, or |
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72 | 72 | | otherwise ancillary to the measures identified in the scope of an |
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73 | 73 | | energy savings performance contract. |
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74 | 74 | | SECTION 2. Sections 51.927(a) and (g-1), Education Code, |
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75 | 75 | | are amended to read as follows: |
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76 | 76 | | (a) In this section, "energy savings performance contract" |
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77 | 77 | | has the meaning assigned by Section 302.001, Local Government Code |
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78 | 78 | | [means a contract for energy or water conservation measures to |
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79 | 79 | | reduce energy or water consumption or operating costs of new or |
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80 | 80 | | existing institutional facilities in which the estimated savings in |
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81 | 81 | | utility costs resulting from the measures is guaranteed to offset |
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82 | 82 | | the cost of the measures over a specified period. The term includes |
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83 | 83 | | a contract for the installation or implementation of: |
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84 | 84 | | [(1) insulation of a building structure and systems |
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85 | 85 | | within a building; |
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86 | 86 | | [(2) storm windows or doors, caulking or weather |
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87 | 87 | | stripping, multiglazed windows or doors, heat-absorbing or |
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88 | 88 | | heat-reflective glazed and coated window or door systems, or other |
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89 | 89 | | window or door system modifications that reduce energy consumption; |
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90 | 90 | | [(3) automatic energy control systems, including |
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91 | 91 | | computer software and technical data licenses; |
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92 | 92 | | [(4) heating, ventilating, or air conditioning system |
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93 | 93 | | modifications or replacements that reduce energy or water |
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94 | 94 | | consumption; |
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95 | 95 | | [(5) lighting fixtures that increase energy |
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96 | 96 | | efficiency; |
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97 | 97 | | [(6) energy recovery systems; |
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98 | 98 | | [(7) electric systems improvements; |
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99 | 99 | | [(8) water-conserving fixtures, appliances, and |
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100 | 100 | | equipment or the substitution of non-water-using fixtures, |
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101 | 101 | | appliances, and equipment; |
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102 | 102 | | [(9) water-conserving landscape irrigation equipment; |
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103 | 103 | | [(10) landscaping measures that reduce watering |
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104 | 104 | | demands and capture and hold applied water and rainfall, including: |
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105 | 105 | | [(A) landscape contouring, including the use of |
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106 | 106 | | berms, swales, and terraces; and |
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107 | 107 | | [(B) the use of soil amendments that increase the |
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108 | 108 | | water-holding capacity of the soil, including compost; |
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109 | 109 | | [(11) rainwater harvesting equipment and equipment to |
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110 | 110 | | make use of water collected as part of a storm-water system |
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111 | 111 | | installed for water quality control; |
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112 | 112 | | [(12) equipment for recycling or reuse of water |
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113 | 113 | | originating on the premises or from other sources, including |
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114 | 114 | | treated municipal effluent; |
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115 | 115 | | [(13) equipment needed to capture water from |
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116 | 116 | | nonconventional, alternate sources, including air conditioning |
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117 | 117 | | condensate or graywater, for nonpotable uses; |
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118 | 118 | | [(14) metering equipment needed to segregate water use |
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119 | 119 | | in order to identify water conservation opportunities or verify |
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120 | 120 | | water savings; or |
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121 | 121 | | [(15) other energy or water conservation-related |
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122 | 122 | | improvements or equipment, including improvements or equipment |
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123 | 123 | | related to renewable energy or nonconventional water sources or |
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124 | 124 | | water reuse]. |
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125 | 125 | | (g-1) Notwithstanding other law, the board may use any |
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126 | 126 | | available money[, other than money borrowed from this state,] to |
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127 | 127 | | pay the provider of the energy or water conservation measures under |
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128 | 128 | | this section, and the board is not required to pay for such costs |
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129 | 129 | | solely out of the savings realized by the institution of higher |
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130 | 130 | | education under an energy savings performance contract. The board |
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131 | 131 | | may contract with the provider to perform work that is related to, |
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132 | 132 | | connected with, or otherwise ancillary to the measures identified |
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133 | 133 | | in the scope of an energy savings performance contract. |
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134 | 134 | | SECTION 3. Sections 2166.406(a) and (f-1), Government Code, |
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135 | 135 | | are amended to read as follows: |
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136 | 136 | | (a) In this section, "energy savings performance contract" |
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137 | 137 | | has the meaning assigned by Section 302.001, Local Government Code |
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138 | 138 | | [means a contract for energy or water conservation measures to |
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139 | 139 | | reduce energy or water consumption or operating costs of new or |
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140 | 140 | | existing governmental facilities in which the estimated savings in |
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141 | 141 | | utility costs resulting from the measures is guaranteed to offset |
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142 | 142 | | the cost of the measures over a specified period. The term includes |
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143 | 143 | | a contract for the installation of: |
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144 | 144 | | [(1) insulation of a building structure and systems |
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145 | 145 | | within the building; |
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146 | 146 | | [(2) storm windows or doors, caulking or weather |
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147 | 147 | | stripping, multiglazed windows or doors, heat absorbing or heat |
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148 | 148 | | reflective glazed and coated window or door systems, or other |
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149 | 149 | | window or door system modifications that reduce energy consumption; |
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150 | 150 | | [(3) automatic energy control systems, including |
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151 | 151 | | computer software and technical data licenses; |
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152 | 152 | | [(4) heating, ventilating, or air-conditioning system |
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153 | 153 | | modifications or replacements that reduce energy or water |
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154 | 154 | | consumption; |
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155 | 155 | | [(5) lighting fixtures that increase energy |
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156 | 156 | | efficiency; |
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157 | 157 | | [(6) energy recovery systems; |
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158 | 158 | | [(7) electric systems improvements; |
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159 | 159 | | [(8) water-conserving fixtures, appliances, and |
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160 | 160 | | equipment or the substitution of non-water-using fixtures, |
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161 | 161 | | appliances, and equipment; |
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162 | 162 | | [(9) water-conserving landscape irrigation equipment; |
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163 | 163 | | [(10) landscaping measures that reduce watering |
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164 | 164 | | demands and capture and hold applied water and rainfall, including: |
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165 | 165 | | [(A) landscape contouring, including the use of |
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166 | 166 | | berms, swales, and terraces; and |
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167 | 167 | | [(B) the use of soil amendments that increase the |
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168 | 168 | | water-holding capacity of the soil, including compost; |
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169 | 169 | | [(11) rainwater harvesting equipment and equipment to |
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170 | 170 | | make use of water collected as part of a storm-water system |
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171 | 171 | | installed for water quality control; |
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172 | 172 | | [(12) equipment for recycling or reuse of water |
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173 | 173 | | originating on the premises or from other sources, including |
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174 | 174 | | treated municipal effluent; |
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175 | 175 | | [(13) equipment needed to capture water from |
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176 | 176 | | nonconventional, alternate sources, including air conditioning |
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177 | 177 | | condensate or graywater, for nonpotable uses; |
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178 | 178 | | [(14) metering equipment needed to segregate water use |
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179 | 179 | | in order to identify water conservation opportunities or verify |
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180 | 180 | | water savings; or |
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181 | 181 | | [(15) other energy or water conservation-related |
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182 | 182 | | improvements or equipment including improvements or equipment |
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183 | 183 | | related to renewable energy or nonconventional water sources or |
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184 | 184 | | water reuse]. |
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185 | 185 | | (f-1) Notwithstanding other law, the state agency may use |
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186 | 186 | | any available money[, other than money borrowed from this state,] |
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187 | 187 | | to pay the provider of the energy or water conservation measures |
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188 | 188 | | under this section, and the state agency is not required to pay for |
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189 | 189 | | such costs solely out of the savings realized by the state agency |
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190 | 190 | | under an energy savings performance contract. The state agency may |
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191 | 191 | | contract with the provider to perform work that is related to, |
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192 | 192 | | connected with, or otherwise ancillary to the measures identified |
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193 | 193 | | in the scope of an energy savings performance contract. |
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194 | 194 | | SECTION 4. Sections 302.001(1), (3), and (4), Local |
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195 | 195 | | Government Code, are amended to read as follows: |
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196 | 196 | | (1) "Baseline" means a calculation or set of |
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197 | 197 | | calculations in an energy savings performance contract that: |
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198 | 198 | | (A) may be based on: |
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199 | 199 | | (i) historical costs, revenues, accuracy, |
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200 | 200 | | or related components; or |
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201 | 201 | | (ii) avoided anticipated costs; and |
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202 | 202 | | (B) used for determining: |
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203 | 203 | | (i) [(A)] the costs for energy or water |
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204 | 204 | | usage [by a local government] and related net operating costs; |
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205 | 205 | | (ii) [(B)] the billable revenues from |
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206 | 206 | | providing energy, water, or other utilities to users; or |
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207 | 207 | | (iii) [(C)] the efficiency or accuracy of |
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208 | 208 | | metering or related equipment, systems, or processes or procedures. |
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209 | 209 | | (3) "Energy savings" means an estimated reduction in |
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210 | 210 | | net fuel costs, energy costs, water costs, stormwater fees, or |
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211 | 211 | | other utility costs, or related net operating costs, including |
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212 | 212 | | costs for anticipated equipment replacement and repair, from or as |
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213 | 213 | | compared to an established baseline of those costs. The term does |
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214 | 214 | | not include an estimated reduction due to a decrease in energy rates |
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215 | 215 | | that is not derived from increased conservation or reduced usage. |
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216 | 216 | | (4) "Energy savings performance contract" means a |
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217 | 217 | | contract with [between a local government and] a provider for |
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218 | 218 | | energy or water conservation or usage measures in which the |
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219 | 219 | | estimated energy savings, utility cost savings, increase in |
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220 | 220 | | billable revenues, or increase in meter accuracy resulting from the |
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221 | 221 | | measures is subject to guarantee to offset the cost of the energy or |
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222 | 222 | | water conservation or usage measures over a specified period. The |
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223 | 223 | | term includes a contract related to the pilot program described by |
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224 | 224 | | Subdivision (9-a) and a contract for the installation or |
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225 | 225 | | implementation of the following in new or existing facilities, |
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226 | 226 | | including all causally connected work: |
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227 | 227 | | (A) insulation of a building structure and |
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228 | 228 | | systems within the building; |
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229 | 229 | | (B) storm windows or doors, caulking or weather |
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230 | 230 | | stripping, multiglazed windows or doors, heat-absorbing or |
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231 | 231 | | heat-reflective glazed and coated window or door systems, or other |
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232 | 232 | | window or door system modifications that reduce energy consumption; |
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233 | 233 | | (C) automatic energy control systems, including |
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234 | 234 | | computer software and technical data licenses; |
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235 | 235 | | (D) heating, ventilating, or air-conditioning |
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236 | 236 | | system modifications or replacements that reduce energy or water |
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237 | 237 | | consumption; |
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238 | 238 | | (E) lighting fixtures that increase energy |
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239 | 239 | | efficiency; |
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240 | 240 | | (F) energy recovery systems; |
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241 | 241 | | (G) electric systems improvements; |
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242 | 242 | | (H) water-conserving fixtures, appliances, and |
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243 | 243 | | equipment or the substitution of non-water-using fixtures, |
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244 | 244 | | appliances, and equipment; |
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245 | 245 | | (I) water-conserving landscape irrigation |
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246 | 246 | | equipment; |
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247 | 247 | | (J) landscaping measures that reduce watering |
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248 | 248 | | demands and capture and hold applied water and rainfall, including: |
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249 | 249 | | (i) landscape contouring, including the use |
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250 | 250 | | of berms, swales, and terraces; and |
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251 | 251 | | (ii) the use of soil amendments that |
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252 | 252 | | increase the water-holding capacity of the soil, including compost; |
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253 | 253 | | (K) rainwater harvesting equipment and equipment |
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254 | 254 | | to make use of water collected as part of a storm-water system |
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255 | 255 | | installed for water quality control; |
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256 | 256 | | (L) equipment for recycling or reuse of water |
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257 | 257 | | originating on the premises or from other sources, including |
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258 | 258 | | treated municipal effluent; |
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259 | 259 | | (M) equipment needed to capture water from |
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260 | 260 | | nonconventional, alternate sources, including air-conditioning |
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261 | 261 | | condensate or graywater, for nonpotable uses; |
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262 | 262 | | (N) metering or related equipment or systems that |
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263 | 263 | | improve the accuracy of billable-revenue-generation systems; |
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264 | 264 | | (O) alternative fuel programs resulting in |
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265 | 265 | | energy cost savings and reduced emissions for local government |
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266 | 266 | | vehicles, including fleet vehicles; |
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267 | 267 | | (P) programs resulting in utility cost savings; |
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268 | 268 | | or |
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269 | 269 | | (Q) other energy or water conservation-related |
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270 | 270 | | improvements or equipment, including improvements or equipment |
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271 | 271 | | relating to renewable energy or nonconventional water sources or |
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272 | 272 | | water reuse. |
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273 | 273 | | SECTION 5. Section 302.004(a-1), Local Government Code, is |
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274 | 274 | | amended to read as follows: |
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275 | 275 | | (a-1) Notwithstanding other law, the governing body of a |
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276 | 276 | | local government may use any available money[, other than money |
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277 | 277 | | borrowed from this state,] to pay the provider of the energy or |
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278 | 278 | | water conservation measures under this section, and the governing |
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279 | 279 | | body is not required to pay for such costs solely out of the savings |
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280 | 280 | | realized by the local government under an energy savings |
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281 | 281 | | performance contract. The governing body may contract with the |
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282 | 282 | | provider to perform work that is related to, connected with, or |
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283 | 283 | | otherwise ancillary to the measures identified in the scope of an |
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284 | 284 | | energy savings performance contract. |
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285 | 285 | | SECTION 6. This Act takes effect immediately if it receives |
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286 | 286 | | a vote of two-thirds of all the members elected to each house, as |
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287 | 287 | | provided by Section 39, Article III, Texas Constitution. If this |
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288 | 288 | | Act does not receive the vote necessary for immediate effect, this |
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289 | 289 | | Act takes effect September 1, 2017. |
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290 | 290 | | * * * * * |
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