Text: SSB01188 Text: SSB01190 Text: SSB01100 - SSB01199 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
PAG LIN 1 1 Section 1. NEW SECTION. 297A.1 DEFINITIONS. 1 2 For the purposes of this chapter: 1 3 1. "Energy conservation measure" means any improvement, 1 4 repair, or alteration of a building or facility owned or 1 5 operated by a school corporation, or any equipment, fixture, 1 6 or furnishing to be added to or used in any such building or 1 7 facility that is designed to reduce energy consumption or 1 8 operating costs. An energy conservation measure may include 1 9 one or more of the following: 1 10 a. Insulation of the building structure or systems within 1 11 the building. 1 12 b. Storm windows or doors, caulking or weather stripping, 1 13 multiglazed windows or doors, heat-absorbing or heat- 1 14 reflective glazed and coated window or door systems, 1 15 additional glazing, reductions in glass area, or other window 1 16 and door system modifications that reduce energy consumption. 1 17 c. Automated or computerized energy control systems. 1 18 d. Heating, ventilating, or air conditioning system 1 19 modifications or replacements. 1 20 e. Replacement or modification of lighting fixtures to 1 21 increase the energy efficiency of the lighting system without 1 22 increasing the overall illumination of a facility, unless an 1 23 increase in illumination is necessary to conform to the 1 24 applicable state or local building code for the lighting 1 25 system after the proposed modifications are made. 1 26 f. Energy recovery systems. 1 27 g. Energy conservation measures that provide long-term 1 28 operating cost reductions. 1 29 2. "Guaranteed energy savings contract" means a contract 1 30 which provides for all of the following: 1 31 a. Performance of an energy audit, data collection, and 1 32 other related analyses preliminary to the undertaking of 1 33 energy conservation measures. 1 34 b. Evaluation and recommendation of energy conservation 1 35 measures. 2 1 c. Implementation of one or more energy conservation 2 2 measures. 2 3 d. Maintenance of project monitoring and data collection 2 4 to verify postinstallation energy consumption and energy- 2 5 related operating costs. 2 6 The contract shall provide that all payments, except 2 7 obligations resulting from termination of the contract before 2 8 its expiration, are to be made over time and that the savings 2 9 are guaranteed to the extent necessary to pay the costs of the 2 10 energy conservation measures. More than one school 2 11 corporation may enter into a guaranteed energy savings 2 12 contract provided that each school corporation complies with 2 13 the provisions of this chapter. 2 14 3. "Qualified provider" means a person or business whose 2 15 employees are experienced and trained in the design, 2 16 implementation, or installation of energy conservation 2 17 measures. The minimum training required for any person or 2 18 employee pursuant to this subsection shall be the satisfactory 2 19 completion of at least forty hours of course instruction 2 20 dealing with energy conservation measures. 2 21 4. "Request for proposals" means a negotiated procurement. 2 22 5. "School corporation" means a school district as 2 23 described in chapter 274, an area education agency as 2 24 established in chapter 273, or a "community college" as 2 25 defined in chapter 260C. 2 26 Sec. 2. NEW SECTION. 297A.2 REQUESTS FOR PROPOSALS 2 27 EVALUATION. 2 28 1. Prior to entering into a guaranteed energy savings 2 29 contract as provided in section 297A.3, a school corporation 2 30 shall announce a request for proposals. A request for 2 31 proposals shall be announced through at least one public 2 32 notice appearing at least ten days before the request date in 2 33 a newspaper of general circulation published in the area of 2 34 the school corporation, by a school corporation that will 2 35 administer the program, requesting innovative solutions and 3 1 proposals for energy conservation measures. Proposals 3 2 submitted shall be sealed. The request for proposals shall 3 3 include all of the following: 3 4 a. Name and address of the school corporation. 3 5 b. Name, address, title, and phone number of a contact 3 6 person for the school corporation. 3 7 c. Notice indicating that the school corporation is 3 8 requesting qualified providers to propose energy conservation 3 9 measures through a guaranteed energy savings contract. 3 10 d. Date, time, and place where proposals must be received. 3 11 e. Evaluation criteria for assessing the proposals. 3 12 f. Any other stipulations and clarifications the school 3 13 corporation may require. 3 14 2. The school corporation shall evaluate any sealed 3 15 proposal from a qualified provider. Sealed proposals shall be 3 16 opened by a designated member or employee or governing body of 3 17 the school corporation at a public meeting during which the 3 18 contents of the proposals shall be announced. Each person or 3 19 entity submitting a sealed proposal must receive at least ten 3 20 days' notice of the time and place of the public meeting, 3 21 published pursuant to the procedure specified in this section. 3 22 The school corporation shall analyze the estimates of all 3 23 costs of installations, modifications, and remodeling, 3 24 including, without limitation, costs of a preinstallation 3 25 energy audit or analysis, design, engineering, installation, 3 26 maintenance, repairs, debt service, conversions to a different 3 27 energy or fuel source, and postinstallation project 3 28 monitoring, data collection, and reporting. The evaluation 3 29 shall include a detailed analysis of whether the energy 3 30 consumed or the operating costs, or both, will be reduced. If 3 31 technical expertise is not available on the school corporation 3 32 staff, then the evaluation of the proposal may be done by a 3 33 registered professional engineer or architect who is retained 3 34 by the school corporation. The school corporation may pay a 3 35 reasonable fee for evaluation of the proposal or include the 4 1 fee as part of the payments made under section 297A.4. 4 2 Sec. 3. NEW SECTION. 297A.3 AWARD OF GUARANTEED ENERGY 4 3 SAVINGS CONTRACT. 4 4 A school corporation shall select the qualified provider 4 5 that best meets the needs of the school corporation. After 4 6 completing its evaluation of the proposals received pursuant 4 7 to section 297A.2, the school corporation shall provide public 4 8 notice of the meeting at which it proposes to award a 4 9 guaranteed energy savings contract. The notice shall contain 4 10 the names of the parties to the proposed contract and the 4 11 purpose of the contract. The public notice shall be published 4 12 at least ten days prior to the meeting, pursuant to the 4 13 procedure specified in section 297A.2. A school corporation 4 14 may enter into a guaranteed energy savings contract with a 4 15 qualified provider if it finds after evaluating the proposal 4 16 pursuant to section 297A.2 that the amount it would spend on 4 17 the energy conservation measures recommended in the proposal 4 18 would not exceed the amount to be saved in either energy or 4 19 operational costs, or both, within a ten-year period from the 4 20 date of installation or modification, if the recommendations 4 21 in the proposal are followed. 4 22 Sec. 4. NEW SECTION. 297A.4 QUALIFIED PROVIDER 4 23 GUARANTEE. 4 24 The guaranteed energy savings contract shall include a 4 25 written guarantee of the qualified provider that either the 4 26 anticipated energy or operational cost savings, or both, will 4 27 meet or exceed within ten years the costs of the energy 4 28 conservation measures. The qualified provider shall reimburse 4 29 the school corporation for any shortfall of guaranteed energy 4 30 savings projected in the contract. A qualified provider shall 4 31 provide a sufficient bond to the school corporation for the 4 32 installation and the faithful performance of all the measures 4 33 included in the contract. The guaranteed energy savings 4 34 contract may provide for payments over a period of time, not 4 35 to exceed ten years. 5 1 Sec. 5. NEW SECTION. 297A.5 PAYMENT PROVISIONS. 5 2 A school corporation may enter into an installment payment 5 3 contract or lease-purchase agreement with a qualified provider 5 4 for the purchase and installation of energy conservation 5 5 measures, if a motion on such contract or agreement is adopted 5 6 by the governing body of the school corporation, and may issue 5 7 certificates evidencing the indebtedness incurred pursuant to 5 8 the contracts or agreements. A guaranteed energy savings 5 9 contract may extend beyond the fiscal year in which it becomes 5 10 effective, and amounts remaining payable thereunder shall be 5 11 included in the school corporation's annual budget for each 5 12 subsequent fiscal year. 5 13 Sec. 6. NEW SECTION. 297A.6 OPERATIONAL AND ENERGY COST 5 14 SAVINGS. 5 15 A school corporation shall document the operational and 5 16 energy cost savings specified in the guaranteed energy savings 5 17 contract and designate and appropriate that amount for an 5 18 annual payment of the contract. If that annual energy savings 5 19 is less than projected under the guaranteed energy savings 5 20 contract, the qualified provider shall pay the difference as 5 21 provided in section 297A.4. 5 22 Sec. 7. NEW SECTION. 297A.7 SCHOOL DISTRICT FUNDING. 5 23 1. A school district may use funds from either its general 5 24 fund or debt service fund to repay obligations relating to a 5 25 guaranteed energy savings contract, including purchases using 5 26 installment payment contracts or lease-purchase agreements. 5 27 2. For the purpose of paying obligations incurred pursuant 5 28 to a guaranteed energy savings contract, a school district is 5 29 authorized to: 5 30 a. Issue negotiable, interest-bearing school bonds, 5 31 pursuant to section 298.21, subsections 2 and 3, and utilize 5 32 energy savings resulting from implementation of the guaranteed 5 33 energy savings contract for principal and interest repayment. 5 34 The provisions of sections 298.22 through 298.24 shall apply 5 35 regarding the form, rate of interest, registration, 6 1 redemption, and recording of bond issues pursuant to this 6 2 subsection, with the exception that the maximum period during 6 3 which principal on the bonds is payable shall not exceed a 6 4 ten-year period. 6 5 b. Enter into energy loan fund financing arrangements with 6 6 the department of natural resources pursuant to section 6 7 473.20. For the purposes of this paragraph, the requirement 6 8 in section 473.20, subsection 1, that loans shall not be made 6 9 for energy conservation measures that require more than an 6 10 average of six years to recoup costs shall not apply. 6 11 c. Borrow money and enter into loan agreements with a 6 12 bank, investment banker, trust company, or other third-party 6 13 lender, and utilize energy savings resulting from 6 14 implementation of the guaranteed energy savings contract for 6 15 principal and interest repayment. The maturation date of the 6 16 loan shall not exceed the duration of the guaranteed energy 6 17 savings contract, and the loan shall bear interest at a rate 6 18 which does not exceed the limits under chapter 74A. A loan 6 19 agreement entered into pursuant to this section shall be in a 6 20 form as the board of directors shall approve by resolution. 6 21 3. State aid payments to a school district pursuant to 6 22 section 257.16, and other amounts available for distribution 6 23 to or reimbursement of a school district, shall not be reduced 6 24 as a result of energy savings realized from a guaranteed 6 25 energy savings contract, installment payment contract, or a 6 26 lease-purchase agreement for the purchase and installation of 6 27 energy conservation measures. 6 28 EXPLANATION 6 29 This bill provides for the creation of a school energy 6 30 conservation program designed to facilitate the ability of 6 31 school corporations to undertake energy conservation measures 6 32 involving school building improvements, repairs, or 6 33 alterations, or to add equipment, fixtures, or furnishings, by 6 34 means of contracting with a service provider that guarantees 6 35 energy or operational cost savings. 7 1 The bill provides a definition of an energy conservation 7 2 measure to be undertaken by a school corporation, which 7 3 includes insulation, caulking or weather stripping, adding 7 4 energy control systems, adding, modifying, or replacing 7 5 heating, ventilating, or air conditioning systems, replacement 7 6 or modification of lighting fixtures, adding energy recovery 7 7 systems, or additional energy conservation measures that 7 8 provide long-term operating cost reductions. The bill 7 9 provides that a school corporation which seeks to undertake 7 10 one or more energy conservation measures can enter into a 7 11 guaranteed energy savings contract with a qualified provider. 7 12 The bill defines a guaranteed energy savings contract to 7 13 include a contract with a qualified provider for the 7 14 performance of energy audits and preliminary analyses, the 7 15 evaluation, recommendation, and implementation of energy 7 16 conservation measures, and postimplementation data collection 7 17 and recordkeeping. More than one school corporation can enter 7 18 into a guaranteed energy savings contract with a qualified 7 19 provider, if each school corporation adheres to the provisions 7 20 in the bill. The bill defines a qualified provider as a 7 21 person or business which is experienced in the design, 7 22 implementation, and installation of energy conservation 7 23 measures, and which person or business submits a proposal to 7 24 enter into a guaranteed energy savings contract with a school 7 25 corporation. The bill specifies procedures for public notice 7 26 regarding a request for proposals from qualified providers, 7 27 evaluation procedures and criteria regarding the requests 7 28 submitted, and procedures regarding the awarding of a contract 7 29 by the school corporation. The bill defines "school 7 30 corporation" as a school district, an area education agency, 7 31 or a community college. 7 32 The bill provides that a guaranteed energy savings contract 7 33 shall contain a written guarantee from the qualified provider 7 34 that the anticipated energy or operational cost savings to the 7 35 school corporation will at least equal the cost of the energy 8 1 conservation measures undertaken by the school corporation 8 2 within 10 years, and that the provider agrees to reimburse the 8 3 school corporation for any energy savings shortfall. The 8 4 provider is required to provide a bond to the school 8 5 corporation for faithful performance of the contract. 8 6 The bill provides that a school corporation may enter into 8 7 an installment payment contract or lease-purchase agreement 8 8 with a qualified provider for the purchase and installation of 8 9 an energy conservation measure, if approved by the governing 8 10 body of a school corporation. The bill provides that a school 8 11 district may use funds from either its general fund or debt 8 12 service fund for qualified provider payments. The bill 8 13 further provides that a school district is authorized to issue 8 14 school bonds pursuant to Code section 298.21, subsections 2 8 15 and 3, and obtain third-party financing, and utilize energy 8 16 savings resulting from implementation of the guaranteed energy 8 17 savings contract for principal and interest repayment, and 8 18 enter into energy loan fund financing arrangements with the 8 19 department of natural resources pursuant to Code section 8 20 473.20. The bill additionally provides that state aid 8 21 payments to a school district pursuant to Code section 257.16, 8 22 and other amounts available for distribution to or 8 23 reimbursement of a school district, will not be reduced as a 8 24 result of energy savings realized from a guaranteed energy 8 25 savings contract, installment payment contract, or a lease- 8 26 purchase agreement for the purchase and installation of energy 8 27 conservation measures. 8 28 LSB 2541SC 79 8 29 rn/pj/5
Text: SSB01188 Text: SSB01190 Text: SSB01100 - SSB01199 Text: SSB Index Bills and Amendments: General Index Bill History: General Index
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