House File 2271 - Introduced



                                       HOUSE FILE       
                                       BY  HOGG


    Passed House,  Date               Passed Senate, Date             
    Vote:  Ayes        Nays           Vote:  Ayes        Nays         
                 Approved                            

                                      A BILL FOR

  1 An Act relating to the regulation, production, and consumption of
  2    energy including providing for sales tax exemptions, income
  3    tax credits, research and development, and use tax refunds,
  4    requiring an electricity renewable energy standard, providing
  5    for a certificate of public convenience, low=income
  6    weatherization, a community energy conservation plan program,
  7    providing for public education of energy efficiency, and
  8    renewable energy education, establishing emission reduction
  9    goals, providing for state certification of carbon
 10    sequestration, establishing a renewable energy for schools
 11    grant program, establishing high=performance standards for
 12    certain public buildings, and making appropriations.
 13 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
 14 TLSB 5602YH 81
 15 kk/cf/24

PAG LIN



  1  1                           DIVISION I
  1  2                      ECONOMIC DEVELOPMENT
  1  3                     CLEAN ENERGY ASSISTANCE
  1  4    Section 1.  NEW SECTION.  15E.400  CLEAN ENERGY ASSISTANCE.
  1  5    1.  The Iowa economic development board shall establish a
  1  6 clean energy assistance program to encourage the
  1  7 establishment, modernization, and expansion of facilities
  1  8 producing renewable energy or energy=efficient products or
  1  9 technology in this state.  The board may award financial
  1 10 assistance to eligible persons in the form of a loan, loan
  1 11 guarantee, grant, or combination of financial assistance.
  1 12    2.  A person is eligible to apply for assistance under this
  1 13 section if the person satisfies all of the following
  1 14 requirements:
  1 15    a.  The existing or proposed facility for producing
  1 16 renewable energy or energy=efficient products or technology is
  1 17 located in this state.
  1 18    b.  The person applies to the department in a manner and
  1 19 according to procedures required by the board.
  1 20    c.  The person submits a business plan which demonstrates
  1 21 managerial and technical expertise.
  1 22    3.  The board shall select an applicant to receive
  1 23 financial assistance based on the following criteria:
  1 24    a.  The probability of actual or potential improvements to
  1 25 the environment including but not limited to reductions in
  1 26 emissions of greenhouse gases from the use of the product or
  1 27 technology by the facility owner or the customers of the
  1 28 facility owner.
  1 29    b.  The number and quality of jobs created or retained that
  1 30 provide living wages at or above the state average and eighty
  1 31 percent of the costs of comprehensive health insurance.
  1 32    c.  The use of natural resources from this state other than
  1 33 coal.
  1 34    d.  The use of research or technology developed in this
  1 35 state by a college, university, business, or governmental
  2  1 agency in this state.
  2  2    e.  The potential research value or potential for further
  2  3 technological development to fund the business in the future.
  2  4    f.  The feasibility of the existing or proposed facility to
  2  5 remain a viable enterprise and the degree to which the
  2  6 facility will increase the utilization of renewable energy or
  2  7 energy=efficient products or technology.
  2  8    4.  The board shall not approve the awarding of financial
  2  9 assistance for the conversion of motor fuel pumps from
  2 10 gasoline to E=85 in an amount of more than ten thousand
  2 11 dollars per fuel pump or twenty thousand dollars per retail
  2 12 fueling station.
  2 13    5.  The board may consult with the department of natural
  2 14 resources, the department of agriculture and land stewardship,
  2 15 the university of Iowa, Iowa state university, and the
  2 16 university of northern Iowa when selecting applicants for
  2 17 financial assistance pursuant to this section.
  2 18    Sec. 2.  NEW SECTION.  15E.401  CLEAN ENERGY FINANCIAL
  2 19 ASSISTANCE FUND.
  2 20    1.  A clean energy financial assistance fund is created
  2 21 within the state treasury under the control of the Iowa
  2 22 economic development board.  The fund shall consist of moneys
  2 23 appropriated from the general fund pursuant to 15E.402, and
  2 24 any other moneys available to and obtained or accepted by the
  2 25 board from the federal government or private sources for
  2 26 placement in the fund.  The assets of the fund shall be used
  2 27 by the board only for administration and carrying out the
  2 28 purposes of section 15E.400.
  2 29    2.  In administering the fund and the clean energy
  2 30 financial assistance program, the board may do any of the
  2 31 following:
  2 32    a.  Contract, sue and be sued, and adopt administrative
  2 33 rules necessary to carry out the provisions of this section
  2 34 and section 15E.400.  However, the board shall not in any
  2 35 manner directly or indirectly pledge the credit of the state.
  3  1    b.  Authorize payment from the fund for costs, commissions,
  3  2 attorney fees, and other reasonable expenses, including
  3  3 expenses related to carrying out duties necessary for issuing
  3  4 or guaranteeing loans under section 15E.400, and for the
  3  5 recovery of loan moneys issued or guaranteed or the management
  3  6 of property acquired in connection with such loans.
  3  7    3.  Payments of interest, recaptures of awards, or
  3  8 repayments of moneys loaned under the clean energy financial
  3  9 assistance program shall be deposited into the fund.  Section
  3 10 8.33 does not apply to any moneys in the fund.
  3 11    Sec. 3.  NEW SECTION.  15E.402  APPROPRIATION.
  3 12    There is appropriated from the general fund of the state
  3 13 each fiscal year of the fiscal period beginning July 1, 2006,
  3 14 and ending June 30, 2011, the sum of five million dollars to
  3 15 the clean energy financial assistance fund created in section
  3 16 15E.401.  Of the amount appropriated under this section, not
  3 17 more than one million dollars shall be used to encourage the
  3 18 installation or conversion of infrastructure used by service
  3 19 stations to sell and dispense E=85 blended gasoline.  Amounts
  3 20 appropriated pursuant to this section shall be in addition to,
  3 21 and shall not replace, funds otherwise appropriated to the
  3 22 department of economic development.  Notwithstanding section
  3 23 8.33, moneys appropriated in this section that remain
  3 24 unencumbered or unobligated at the close of each fiscal year
  3 25 shall not revert but shall remain available for expenditure
  3 26 for the purposes designated.
  3 27    This section is repealed June 30, 2011.
  3 28                     SMALL WIND TAX CREDITS
  3 29    Sec. 4.  Section 476C.1, subsection 6, paragraph d, Code
  3 30 Supplement 2005, is amended to read as follows:
  3 31    d.  Was initially placed into service on or after July 1,
  3 32 2005, and before January 1, 2011 2012.
  3 33    Sec. 5.  Section 476C.3, subsection 4, Code Supplement
  3 34 2005, is amended to read as follows:
  3 35    4.  The maximum amount of nameplate generating capacity of
  4  1 all wind energy conversion facilities the board may find
  4  2 approve as eligible under this chapter shall not exceed ninety
  4  3 one hundred eighty megawatts of nameplate generating capacity.
  4  4 The maximum amount of energy production capacity equivalent of
  4  5 all other facilities the board may find eligible under this
  4  6 chapter shall not exceed a combined output of ten twenty
  4  7 megawatts of nameplate generating capacity.  If in the opinion
  4  8 of the board the maximum amount of nameplate generating
  4  9 capacity of wind energy has been reached, the board shall deny
  4 10 all subsequently filed applications for a determination of
  4 11 eligibility until the following July 1 at which time the board
  4 12 may accept new applications for additional capacity if such
  4 13 capacity is available.
  4 14    Sec. 6.  Section 476C.5, Code Supplement 2005, is amended
  4 15 to read as follows:
  4 16    476C.5  CERTIFICATE ISSUANCE PERIOD.
  4 17    A producer or purchaser of renewable energy may receive
  4 18 renewable energy tax credit certificates for a ten=year period
  4 19 for each eligible renewable energy facility under this
  4 20 chapter.  The ten=year period for issuance of the tax credit
  4 21 certificates begins with the date the purchaser of renewable
  4 22 energy first purchases electricity, hydrogen fuel, methane gas
  4 23 or other biogas used to generate electricity, or heat for
  4 24 commercial purposes from the eligible renewable energy
  4 25 facility for which a tax credit is issued under this chapter.
  4 26 Renewable energy tax credit certificates shall not be issued
  4 27 for renewable energy purchased after December 31, 2020 2021.
  4 28            ENERGY STAR PRODUCTS SALES TAX EXEMPTION
  4 29    Sec. 7.  Section 423.3, Code Supplement 2005, is amended by
  4 30 adding the following new subsection:
  4 31    NEW SUBSECTION.  89.  The sales price of selected products
  4 32 that have received the energy star label developed by the
  4 33 United States environmental protection agency, that were
  4 34 manufactured or assembled in this state, and that were
  4 35 purchased in this state on or after January 1, 2007.  The
  5  1 products eligible for an exemption under this subsection shall
  5  2 be determined by rule by the department of natural resources.
  5  3                GREEN BUILDING INCOME TAX CREDITS
  5  4    Sec. 8.  NEW SECTION.  422.11M  GREEN BUILDING TAX CREDIT.
  5  5    The taxes imposed under this division, less the credits
  5  6 allowed under sections 422.12 and 422.12B, shall be reduced by
  5  7 a green building tax credit under section 473B.6.
  5  8    Sec. 9.  Section 422.33, Code Supplement 2005, is amended
  5  9 by adding the following new subsection:
  5 10    NEW SUBSECTION.  20.  The taxes imposed under this division
  5 11 shall be reduced by a green building tax credit under section
  5 12 473B.6.
  5 13    Sec. 10.  NEW SECTION.  473B.1  DEFINITIONS.
  5 14    As used in this chapter, unless the context otherwise
  5 15 requires:
  5 16    1.  a.  "Allowable costs" means amounts properly chargeable
  5 17 to a capital account, other than for land, that are paid or
  5 18 incurred on or after July 1, 2006, for all of the following:
  5 19    (1)  Construction or rehabilitation.
  5 20    (2)  Commissioning costs.
  5 21    (3)  Interest paid or incurred during the construction or
  5 22 rehabilitation period.
  5 23    (4)  Architectural, engineering, and other professional
  5 24 fees allocable to construction or rehabilitation.
  5 25    (5)  Closing costs for construction, rehabilitation, or
  5 26 mortgage loans.
  5 27    (6)  Recording taxes and filing fees incurred with respect
  5 28 to construction or rehabilitation.
  5 29    (7)  Finishes and furnishings consistent with rules adopted
  5 30 by the department under this chapter, lighting, plumbing,
  5 31 electrical wiring, and ventilation.
  5 32    b.  "Allowable costs" does not include any of the
  5 33 following:
  5 34    (1)  The cost of telephone systems and computers other than
  5 35 electrical wiring costs.
  6  1    (2)  Legal fees allocable to construction or
  6  2 rehabilitation.
  6  3    (3)  Site costs, including temporary electric wiring,
  6  4 scaffolding, demolition costs, and fencing and security
  6  5 facilities.
  6  6    (4)  Finishes or furnishings that are not consistent with
  6  7 rules adopted by the department under this chapter.
  6  8    (5)  The cost of purchasing or installing fuel cells.
  6  9    2.  "Base building" means all areas of a building not
  6 10 intended for occupancy by a tenant or owner, including the
  6 11 structural components of the building, exterior walls, floors,
  6 12 windows, roofs, foundations, chimneys and stacks, parking
  6 13 areas, mechanical rooms and mechanical systems, and owner=
  6 14 controlled or operated service spaces, sidewalks, main lobby,
  6 15 shafts and vertical transportation mechanisms, stairways, and
  6 16 corridors.
  6 17    3.  "Commissioning" means all of the following:
  6 18    a.  The testing and fine=tuning of heat, ventilating, and
  6 19 air=conditioning systems and other systems to assure proper
  6 20 functioning and adherence to design criteria.
  6 21    b.  The preparation of system operation manuals and
  6 22 instruction of maintenance personnel.
  6 23    4.  "Credit allowance year" means the later of either of
  6 24 the following:
  6 25    a.  The taxable year during which either of the following
  6 26 occur:
  6 27    (1)  The property, construction, completion, or
  6 28 rehabilitation on which the credit allowed under this section
  6 29 is based is originally placed in service.
  6 30    (2)  A fuel cell, wind turbine, or photovoltaic module
  6 31 constitutes a qualifying alternate energy source and is fully
  6 32 operational.
  6 33    b.  The earliest taxable year for which the credit may be
  6 34 claimed under the green building tax credit certificate issued
  6 35 under section 473B.5.
  7  1    5.  "Department" means the department of economic
  7  2 development.
  7  3    6.  "Economic development area" means an area as defined by
  7  4 rule by the department.
  7  5    7.  "Eligible building" means a building located in this
  7  6 state that meets all of the following requirements:
  7  7    a.  (1)  Is a building used primarily for nonresidential
  7  8 purposes if the building contains at least twenty thousand
  7  9 square feet of interior space.
  7 10    (2)  Is a residential multifamily building with at least
  7 11 twelve dwelling units that contains at least twenty thousand
  7 12 square feet of interior space.
  7 13    (3)  Is any combination of buildings described in
  7 14 subparagraphs (1) and (2).
  7 15    b.  In the case of a newly constructed building for which a
  7 16 certificate of occupancy was not issued before July 1, 2006,
  7 17 is any of the following:
  7 18    (1)  Is located on a brownfield site, as defined in section
  7 19 15.291.
  7 20    (2)  Is located in a priority funding area as defined by
  7 21 the department.
  7 22    (3)  Is not located on wetlands, the alteration of which
  7 23 requires a permit under } 404 of the federal Clean Water Act,
  7 24 as defined in section 455B.291.
  7 25    c.  In the case of the rehabilitation of a building, is any
  7 26 of the following:
  7 27    (1)  Is located in a priority funding area as defined by
  7 28 the director or on a brownfield site as defined in section
  7 29 15.291.
  7 30    (2)  Is not an increase of more than twenty=five percent in
  7 31 the square footage of the building.
  7 32    8.  "Fuel cell" means a device that produces electricity
  7 33 directly from hydrogen or hydrocarbon fuel through a
  7 34 noncombustive electrochemical process that meets the minimum
  7 35 standards adopted by rule pursuant to 473B.9.
  8  1    9.  "Green base building" means a base building that is
  8  2 part of an eligible building that meets the LEED silver rating
  8  3 standard of the United States green building council adopted
  8  4 by rule under section 473B.9.
  8  5    10.  "Green tenant space" means tenant space in a building
  8  6 if the building is an eligible building and the tenant space
  8  7 meets the LEED silver rating standard of the United States
  8  8 green building council adopted by rule under section 473B.9.
  8  9    11.  "Green whole building" means a building for which the
  8 10 base building is a green base building and all tenant space is
  8 11 green tenant space.
  8 12    12.  "Incremental cost of building=integrated photovoltaic
  8 13 modules" means all of the following:
  8 14    a.  The cost of building=integrated photovoltaic modules
  8 15 and any associated inverter, additional wiring or other
  8 16 electrical equipment for the photovoltaic modules, or
  8 17 additional mounting or structural materials, less the cost of
  8 18 spandrel glass or other building material that would have been
  8 19 used if building=integrated photovoltaic modules were not
  8 20 installed.
  8 21    b.  Incremental labor costs properly allocable to on=site
  8 22 preparation, assembly, and original installation of
  8 23 photovoltaic modules.
  8 24    13.  "LEED silver rating standard" means the United States
  8 25 green building council leadership in energy and environmental
  8 26 design green building rating standard, referred to as the
  8 27 silver standard.
  8 28    14.  "Photovoltaic modules" means semiconductor devices,
  8 29 also called solar cells, that convert sunlight into direct
  8 30 current electricity that meet the minimum standards adopted by
  8 31 rule under section 473B.9.
  8 32    15.  "Qualifying alternate energy source" means a building=
  8 33 integrated and non=building=integrated photovoltaic module,
  8 34 wind turbine, or fuel cell installed to serve the base
  8 35 building or tenant space that meet all of the following
  9  1 requirements:
  9  2    a.  Have the capability to monitor their actual power
  9  3 output.
  9  4    b.  Are fully commissioned upon installation, and annually
  9  5 thereafter, to ensure that the systems meet their design
  9  6 specifications.
  9  7    c.  In the case of a wind turbine, meets any applicable
  9  8 noise and bird protection ordinances.
  9  9    16.  "Tenant improvements" means improvements that are
  9 10 necessary or appropriate to support or conduct the business of
  9 11 a tenant or occupying owner.
  9 12    17.  "Tenant space" means the portion of a building
  9 13 intended for occupancy by a tenant or occupying owner.
  9 14    18.  "Wind turbine" means a wind energy conversion system
  9 15 that collects and converts wind into energy to generate
  9 16 electricity that meets the minimum standards adopted by rule
  9 17 pursuant to section 473B.9.
  9 18    Sec. 11.  NEW SECTION.  473B.2  PROVISIONAL GREEN BUILDING
  9 19 CERTIFICATE.
  9 20    1.  A person may apply to the department for provisional
  9 21 certification of eligibility for a green building tax credit
  9 22 by submitting a completed application to the department
  9 23 containing all of the following information:
  9 24    a.  Sufficient information to identify each building or
  9 25 space as the department shall require.
  9 26    b.  Proof of the person's ownership or tenancy of the
  9 27 building.
  9 28    c.  An itemization of estimated allowable costs with
  9 29 supporting documentation.
  9 30    d.  Any other information the department may require.
  9 31    2.  If upon receipt of the completed application the
  9 32 department finds that the applicant has shown that the
  9 33 applicant is likely within a reasonable time to place in
  9 34 service property which would warrant the allowance of a credit
  9 35 under section 473B.4, the department shall issue a provisional
 10  1 green building certificate.  The provisional green building
 10  2 certificate shall describe the property for which the
 10  3 certificate was issued and shall contain an expiration date.
 10  4 The certificate shall apply only to property placed in service
 10  5 by such expiration date which may be extended at the
 10  6 discretion of the department, in order to avoid unwarranted
 10  7 hardship.
 10  8    3.  A person whose application for a provisional green
 10  9 building certificate is denied may file an appeal with the
 10 10 department within sixty days from the date of denial pursuant
 10 11 to the provisions of chapter 17A.
 10 12    Sec. 12.  NEW SECTION.  473B.3  ELIGIBILITY CERTIFICATE.
 10 13    1.  For each taxable year for which a person claims a green
 10 14 building tax credit under this chapter, the person shall
 10 15 obtain from an architect or professional engineer licensed to
 10 16 practice in this state an eligibility certificate.
 10 17    2.  The eligibility certificate shall consist of a
 10 18 certification, under the seal of such architect or engineer,
 10 19 that the building, base building, or tenant space with respect
 10 20 to which the credit is claimed is a green whole building,
 10 21 green base building, or green tenant space, respectively, that
 10 22 the fuel cell, wind turbine, or photovoltaic modules
 10 23 constitute a qualifying alternate energy source and remains in
 10 24 service.  The eligibility certification shall be made in
 10 25 accordance with the standards and guidelines in effect at the
 10 26 time the property which is the basis for the credit was placed
 10 27 in service adopted by rule pursuant to section 473B.9.  The
 10 28 eligibility certificate shall set forth the specific findings
 10 29 upon which the certification was based.
 10 30    3.  The eligibility certificate shall include sufficient
 10 31 information to identify each building or space, and such other
 10 32 information as the department shall require.
 10 33    4.  The taxpayer shall file a copy of each eligibility
 10 34 certificate with the department.
 10 35    Sec. 13.  NEW SECTION.  473B.4  TAX CREDITS.
 11  1    A green building tax credit may consist of any or all of
 11  2 the following credits:
 11  3    1.  GREEN WHOLE BUILDING TAX CREDIT.  The green whole
 11  4 building tax credit shall be equal to the one and four=tenths
 11  5 percent of the allowable costs paid or incurred by the
 11  6 applicant, for either the construction of a green whole
 11  7 building or the rehabilitation of a building which is not a
 11  8 green whole building to be a green whole building for which a
 11  9 certificate of occupancy has been issued.  If the building is
 11 10 located in an economic development area, the applicable
 11 11 percentage shall be one and six=tenths percent of the
 11 12 allowable costs.  The allowable costs for a green whole
 11 13 building shall not exceed, in the aggregate, one hundred fifty
 11 14 dollars per square foot with respect to the portion of the
 11 15 building which comprises the base building and seventy=five
 11 16 dollars per square foot with respect to the portion of the
 11 17 building which comprises the tenant space.
 11 18    2.  GREEN BASE BUILDING TAX CREDIT.  The green base
 11 19 building tax credit shall be equal to one percent of the
 11 20 allowable costs paid or incurred by the taxpayer, if the
 11 21 owner, for either the construction of a green base building or
 11 22 for the rehabilitation of a base building which is not a green
 11 23 base building to be a green base building for which a
 11 24 certificate of occupancy for the building has been issued.  If
 11 25 the building is located in an economic development area, the
 11 26 applicable percentage shall be one and two=tenths percent of
 11 27 the allowable costs.  The allowable costs for the green base
 11 28 building shall not exceed, in the aggregate, one hundred fifty
 11 29 dollars per square foot.
 11 30    3.  GREEN TENANT SPACE TAX CREDIT.  The green tenant space
 11 31 tax credit shall be equal to one percent of allowable costs
 11 32 for tenant improvements paid or incurred by the taxpayer in
 11 33 constructing or completing green tenant space, or
 11 34 rehabilitating tenant space which is not green tenant space to
 11 35 be green tenant space.  If the building is located in an
 12  1 economic development area the applicable percentage shall be
 12  2 one and two=tenths percent of the allowable costs.  Provided,
 12  3 however, that the owner, or a tenant who occupies fewer than
 12  4 ten thousand square feet, shall qualify for a green tenant
 12  5 space tax credit only if the base building is a green base
 12  6 building.  The allowable costs for green tenant space shall
 12  7 not exceed, in the aggregate, seventy=five dollars per square
 12  8 foot.  If both an owner and tenant incur such costs for green
 12  9 tenant space with respect to the same green tenant space and
 12 10 such costs in the aggregate exceed seventy=five dollars per
 12 11 square foot, the owner shall have priority as to costs
 12 12 constituting the basis for the green tenant space tax credit.
 12 13    4.  FUEL CELL TAX CREDIT.  A fuel cell tax credit shall be
 12 14 allowed for the installation of a fuel cell which is a
 12 15 qualifying alternate energy source, installed to serve a green
 12 16 building, green base building, or green tenant space.  The
 12 17 amount of the credit shall equal six percent of the sum of the
 12 18 capitalized costs paid or incurred by the applicant with
 12 19 respect to each fuel cell installed to serve such building or
 12 20 space, including the cost of the foundation or platform and
 12 21 the labor cost associated with installation, such capitalized
 12 22 costs not to exceed one thousand dollars per kilowatt of
 12 23 installed direct current rated capacity.  The amount of any
 12 24 federal, state, or local grant received by the applicant and
 12 25 used for the purchase and installation of such fuel cell,
 12 26 which was not included in the federal gross income of the
 12 27 applicant, shall be subtracted from the amount of such costs.
 12 28    5.  PHOTOVOLTAIC MODULE TAX CREDIT.  A photovoltaic module
 12 29 tax credit shall be allowed for the installation of
 12 30 photovoltaic modules which constitute a qualifying alternate
 12 31 energy source installed to serve a green building, green base
 12 32 building, or green tenant space.  The amount of the tax credit
 12 33 component shall equal twenty percent of the incremental cost
 12 34 paid or incurred by the applicant for building=integrated
 12 35 photovoltaic modules and five percent of the cost of non=
 13  1 building=integrated photovoltaic modules, in either case such
 13  2 cost not to exceed the product of three dollars and the number
 13  3 of watts included in the direct current rated capacity of the
 13  4 photovoltaic modules.  The amount of any federal, state, or
 13  5 local grant received by the applicant and used for the
 13  6 purchase and installation of such photovoltaic modules which
 13  7 was not included in the federal gross income of the applicant,
 13  8 shall be subtracted from the amount of such cost.
 13  9    6.  WIND TURBINE TAX CREDIT.  A wind turbine tax credit
 13 10 shall be allowed for the installation of a wind turbine that
 13 11 is a qualifying alternative energy source and is installed to
 13 12 serve a green whole building, green base building, or green
 13 13 tenant space.  The amount of the tax credit shall be an amount
 13 14 equal to twenty=five percent of the sum of the capitalized
 13 15 costs paid or incurred by the applicant with respect to each
 13 16 wind turbine installed, including the cost of the foundation
 13 17 or platform and the labor costs associated with installation.
 13 18 The amount of any federal, state, or other grant received by
 13 19 the applicant and used for the purchase of the wind turbine,
 13 20 which was not included in the federal gross income of the
 13 21 applicant, shall be subtracted from the amount of the
 13 22 capitalized costs.
 13 23    Sec. 14.  NEW SECTION.  473B.5  APPLICATION FOR TAX CREDIT
 13 24 CERTIFICATE.
 13 25    1.  To receive a green building tax credit described in
 13 26 section 473B.4, the taxpayer shall file an application with
 13 27 the department for a tax credit certificate.  The application
 13 28 shall contain all of the following:
 13 29    a.  All applicable provisional green building certificates.
 13 30    b.  All applicable eligibility certificates.
 13 31    c.  A certificate of occupancy if required.
 13 32    d.  Documentation supporting actual allowable costs
 13 33 incurred.
 13 34    e.  Any other information required by the department.
 13 35    2.  If upon receipt of a completed application, the
 14  1 department finds that the person is qualified for a green
 14  2 building tax credit, the department shall calculate the amount
 14  3 of the tax credit for which the person is eligible and shall
 14  4 issue a green building tax credit certificate to the person or
 14  5 notify the person in writing of its refusal to do so.  The tax
 14  6 credit certificate may be applied against tax owed pursuant to
 14  7 chapter 422, division II and division III.  Each green
 14  8 building tax credit certificate issued pursuant to this
 14  9 section shall be allowed for the tax credit allowance year and
 14 10 for each of the next four succeeding taxable years with
 14 11 respect to which the person has obtained and filed an
 14 12 eligibility certificate pursuant to section 473B.3.
 14 13    3.  The green building tax credit certificate shall state
 14 14 all of the following:
 14 15    a.  The credit allowance year for which the credit may be
 14 16 claimed and a description of the property for which
 14 17 eligibility was granted.
 14 18    b.  The certificate's expiration date and shall apply only
 14 19 to property placed in service by such expiration date.  Such
 14 20 expiration date may be extended at the discretion of the
 14 21 department, in order to avoid unwarranted hardship.
 14 22    c.  The maximum amount of the tax credit allowable for each
 14 23 of the five taxable years for which the credit is allowed
 14 24 under section 473B.4.
 14 25    d.  The maximum amount of the tax credit allowable in the
 14 26 aggregate for all credits allowed under section 473B.4.
 14 27    4.  The amount of each green building tax credit shall not
 14 28 exceed the limit set forth in the provisional green building
 14 29 certificate obtained pursuant to section 473B.3.  The
 14 30 department shall not issue green building tax credit
 14 31 certificates, in the aggregate, for more than four million
 14 32 dollars worth of credits pursuant to this chapter in any
 14 33 fiscal year.
 14 34    5.  A person whose application for a green building tax
 14 35 credit certificate is denied may file an appeal with the
 15  1 department within sixty days from the date of denial pursuant
 15  2 to the provisions of chapter 17A.
 15  3    6.  If the department has reason to believe that an
 15  4 architect or professional engineer, in making any eligibility
 15  5 certification under this chapter engaged in professional
 15  6 misconduct, the department may revoke a provisional green
 15  7 building certificate or green building tax credit certificate
 15  8 issued pursuant to this chapter and report the misconduct to
 15  9 the appropriate professional board or commission.
 15 10    Sec. 15.  NEW SECTION.  473B.6  SUCCESSOR OWNER OR TENANT.
 15 11    1.  If a green building tax credit is allowed to a building
 15 12 owner pursuant to this chapter with respect to property, and
 15 13 such property or an interest therein is sold, the credit for
 15 14 the period after the sale which would have been allowable
 15 15 under this chapter to the prior owner had the property not
 15 16 been sold shall be allowable to the new owner.  A tax credit
 15 17 for the year of sale shall be allocated between the parties on
 15 18 the basis of the number of days during such year that the
 15 19 property or interest was held by each.
 15 20    2.  If a tax credit is allowed to a tenant pursuant to this
 15 21 chapter with respect to property, and if such tenancy is
 15 22 terminated but such property remains in use in the building by
 15 23 a successor tenant, the tax credit for the period after such
 15 24 termination which would have been allowable under this chapter
 15 25 to the prior tenant had the tenancy not been terminated shall
 15 26 be allowable to the successor tenant.  A tax credit for the
 15 27 year of termination shall be allocated between the parties on
 15 28 the basis of the number of days during such year that the
 15 29 property was used by each.
 15 30    3.  Notwithstanding any other provision of law to the
 15 31 contrary, in the case of allowance of a tax credit under this
 15 32 section to a successor owner or tenant, as provided in
 15 33 subsection 1 or 2, the department shall have the authority to
 15 34 reveal to the successor owner or tenant any information, with
 15 35 respect to the credit of the prior owner or tenant, which is
 16  1 the basis for the denial in whole or in part of the credit
 16  2 claimed by such successor owner or tenant.
 16  3    Sec. 16.  NEW SECTION.  473B.7  RECORDKEEPING.
 16  4    Each person shall, for any taxable year for which the green
 16  5 building tax credit provided for under this chapter is
 16  6 claimed, maintain and provide to the department upon request
 16  7 records of the following information as applicable:
 16  8    1.  Annual energy consumption for the green whole building,
 16  9 green base building, or green tenant space.
 16 10    2.  Annual results of air monitoring, if conducted.
 16 11    3.  Annual confirmation that the green whole building, base
 16 12 building, or green tenant space continues to meet requirements
 16 13 regarding smoking areas, if required.
 16 14    4.  All written notification of tenants and requests to
 16 15 remedy any indoor air quality problems.
 16 16    5.  Initial and annual results of validation of performance
 16 17 of photovoltaic modules and fuel cells.
 16 18    6.  Certifications as to off=gassing and other
 16 19 contamination, if conducted.
 16 20    Sec. 17.  NEW SECTION.  473B.8  REPORTING.
 16 21    1.  On or before July 1, 2010, the department shall submit
 16 22 a written report to the governor and the general assembly
 16 23 regarding all of the following:
 16 24    a.  The number and value of provisional green building
 16 25 certificates and green building tax credit certificates issued
 16 26 under this chapter.
 16 27    b.  The amount of the green building tax credits redeemed.
 16 28    c.  The geographical distribution of the provisional green
 16 29 building certificates and green building tax credit
 16 30 certificates issued and redeemed.
 16 31    d.  Any other such available information the department may
 16 32 deem meaningful and appropriate.
 16 33    2.  A preliminary version of the report required by
 16 34 subsection 1 shall be issued by July 1, 2008.
 16 35    3.  The department shall make recommendations regarding the
 17  1 establishment of a permanent green building tax credit
 17  2 program.  Recommendations may include methods to enhance the
 17  3 effectiveness, simplicity, or other aspects of the program.
 17  4    Sec. 18.  NEW SECTION.  473B.9  RULES.
 17  5    1.  The department shall, with assistance from the
 17  6 department of natural resources, adopt rules adopting by
 17  7 reference the LEED silver rating standard as adopted and
 17  8 published by the United States green building council
 17  9 regarding standards for a property to qualify as a green whole
 17 10 building, green base building, or green tenant space, that is
 17 11 eligible for a green building tax credit under this chapter.
 17 12    2.  The department shall adopt by rule reasonable minimum
 17 13 standards for fuel cells, photovoltaic modules, and wind
 17 14 turbines that are eligible for a green building tax credit
 17 15 under this chapter.
 17 16    3.  The department shall adopt additional rules necessary
 17 17 to administer this chapter.
 17 18    Sec. 19.  EMERGENCY RULES.  The Iowa utilities board may
 17 19 adopt emergency rules to implement the sections of this
 17 20 division of this Act amending chapter 476C.
 17 21                           DIVISION II
 17 22            UNIVERSITY=BASED RESEARCH AND DEVELOPMENT
 17 23            IOWA CENTER FOR ADVANCED RENEWABLE ENERGY
 17 24    Sec. 20.  NEW SECTION.  266.39G  ADVANCED RENEWABLE ENERGY
 17 25 TECHNOLOGY RESEARCH AND DEVELOPMENT == APPROPRIATION.
 17 26    1.  The Iowa center for advanced renewable energy is
 17 27 established at the Iowa energy center at Iowa state university
 17 28 of science and technology to improve the economic and
 17 29 environmental performance and feasibility of renewable energy
 17 30 products and production in Iowa.  The center shall conduct and
 17 31 sponsor research for and assist in the commercialization of
 17 32 cellulose=based ethanol, advanced soy diesel, methane
 17 33 recapture, and other renewable energy conversion systems that
 17 34 may reduce the dependence of Iowans on nonrenewable energy,
 17 35 create jobs and economic growth in Iowa, and reduce the
 18  1 emissions of greenhouse gases.
 18  2    2.  The center shall be directed by the director of the
 18  3 Iowa energy center who shall employ necessary research and
 18  4 support staff.  No more than one hundred fifty thousand
 18  5 dollars of the moneys made available by appropriation of state
 18  6 revenues in any one year shall be expended by the center for
 18  7 advanced renewable energy for the salaries and benefits of the
 18  8 employees of the center.  The remainder of the state moneys
 18  9 appropriated shall be used to sponsor research grants and
 18 10 projects submitted on a competitive basis by Iowa colleges and
 18 11 universities and private nonprofit agencies and foundations.
 18 12 The center may also solicit additional grants and funding from
 18 13 public and private nonprofit agencies and foundations.
 18 14    3.  There is appropriated from the general fund of the
 18 15 state each fiscal year for the fiscal period beginning July 1,
 18 16 2006, and ending June 30, 2011, to the state board of regents
 18 17 the sum of five million dollars to be used for the Iowa center
 18 18 for advanced renewable energy.  Amounts appropriated pursuant
 18 19 to this section shall be in addition to, and shall not
 18 20 replace, funds otherwise appropriated to the state board of
 18 21 regents.  Notwithstanding section 8.33, moneys appropriated in
 18 22 this section that remain unencumbered or unobligated at the
 18 23 close of each fiscal year shall not revert but shall remain
 18 24 available for expenditure for the purposes designated.
 18 25    This section is repealed June 30, 2011.
 18 26                          DIVISION III
 18 27                         MOTOR VEHICLES
 18 28           FEDERAL ENERGY INCENTIVES PUBLIC EDUCATION
 18 29    Sec. 21.  NEW SECTION.  473.45  APPROPRIATION FOR EDUCATION
 18 30 OF ALTERNATIVE MOTOR VEHICLE TAX CREDIT.
 18 31    There is appropriated from the general fund of the state
 18 32 each fiscal year for the fiscal period beginning July 1, 2006,
 18 33 and ending June 30, 2011, to the department of natural
 18 34 resources the sum of one hundred thousand dollars to be used
 18 35 for public education of the federal alternative motor vehicles
 19  1 and fuel credit allowed pursuant to section 1341 of the
 19  2 federal Energy Act of 2005, 26 U.S.C. } 30B.  Amounts
 19  3 appropriated pursuant to this section shall be in addition to,
 19  4 and shall not replace, funds otherwise appropriated to the
 19  5 department of natural resources.  Notwithstanding section
 19  6 8.33, moneys appropriated in this section that remain
 19  7 unencumbered or unobligated at the close of each fiscal year
 19  8 shall not revert but shall remain available for expenditure
 19  9 for the purposes designated.
 19 10    This section is repealed June 30, 2011.
 19 11             FUEL=EFFICIENT VEHICLES USE TAX REFUND
 19 12    Sec. 22.  NEW SECTION.  423.6A  FUEL=EFFICIENT MOTOR
 19 13 VEHICLES == REFUND.
 19 14    1.  A person who purchases a new motor vehicle may apply to
 19 15 the department for a refund of a portion of the amount of use
 19 16 tax imposed and paid at the time of purchase of the new motor
 19 17 vehicle by the applicant in the amount issued on a tax refund
 19 18 certificate issued pursuant to section 473.46.
 19 19    2.  The refund may be obtained only in the following manner
 19 20 and under the following conditions:
 19 21    a.  On forms furnished by the department and filed by April
 19 22 30 after the end of the calendar year in which the tax refund
 19 23 certificate is to be applied, the applicant shall report to
 19 24 the department the total amount of use tax paid for the new
 19 25 motor vehicle for which the tax refund certificate was issued
 19 26 pursuant to section 473.46.
 19 27    b.  If required by the department, the applicant shall
 19 28 prove that the person making the sale has included the amount
 19 29 thereof in the computation of the sales price of such person
 19 30 and that such person has paid the tax levied under section
 19 31 423.5 based upon such computation of the sales price.
 19 32    c.  The applicant shall provide the tax refund certificate
 19 33 issued pursuant to section 473.46 to the department with the
 19 34 forms required by paragraph "a".
 19 35    3.  If satisfied that the foregoing conditions and
 20  1 requirements have been complied with, the department shall
 20  2 refund the amount claimed by the applicant for an amount not
 20  3 greater than the amount of tax refunds issued in tax refund
 20  4 certificates pursuant to section 473.46.  The department shall
 20  5 not issue refunds for an amount more than the amount
 20  6 appropriated for the refunds in section 423.6B.  An
 20  7 application for a refund under this section received after the
 20  8 amount of appropriated funds under section 423.6B has been
 20  9 depleted shall be held by the department until the following
 20 10 fiscal year at which time the department shall reconsider the
 20 11 application.
 20 12    Sec. 23.  NEW SECTION.  423.6B  APPROPRIATION FOR FUEL=
 20 13 EFFICIENT MOTOR VEHICLE REFUND.
 20 14    There is appropriated from the general fund of the state
 20 15 each fiscal year for the fiscal period beginning July 1, 2006,
 20 16 and ending June 30, 2011, to the department of revenue the sum
 20 17 of five million dollars to be used for fuel=efficient motor
 20 18 vehicle use tax refunds established under section 423.6A.
 20 19 Amounts appropriated pursuant to this section shall be in
 20 20 addition to, and shall not replace, funds otherwise
 20 21 appropriated to the department of revenue.  Notwithstanding
 20 22 section 8.33, moneys appropriated in this section that remain
 20 23 unencumbered or unobligated at the close of each fiscal year
 20 24 shall not revert but shall remain available for expenditure
 20 25 for the purposes designated.
 20 26    This section is repealed June 30, 2011.
 20 27    Sec. 24.  NEW SECTION.  473.46  FUEL=EFFICIENT MOTOR
 20 28 VEHICLES TAX REFUND == CERTIFICATE.
 20 29    1.  A person who has purchased a new motor vehicle from a
 20 30 new motor vehicle dealer in this state on or after July 1,
 20 31 2006, may apply to the department for a refund pursuant to
 20 32 section 423.6A of use tax paid.  If approved by the
 20 33 department, the amount of the use tax refund shall equal ten
 20 34 dollars for each mile per gallon that the motor vehicle's
 20 35 highway gasoline mileage rating averaged for city and highway
 21  1 driving as estimated by the United States environmental
 21  2 protection agency is above twenty=seven and one=half miles per
 21  3 gallon but a refund issued shall not be for an amount less
 21  4 than twenty=five dollars.
 21  5    2.  To apply, the person shall submit a completed
 21  6 application to the department containing all of the following
 21  7 information:
 21  8    a.  A copy of the motor vehicle dealer invoice for the
 21  9 motor vehicle.
 21 10    b.  A copy of a valid Iowa vehicle registration for the
 21 11 motor vehicle.  The name appearing on the vehicle registration
 21 12 shall be the same name as the name of the purchaser on the
 21 13 dealer invoice.
 21 14    c.  Proof of the vehicle purchase which may include but is
 21 15 not limited to a copy of the front and back of a canceled
 21 16 check, the finance agreement, or a dealer invoice indicating a
 21 17 zero balance due and receipt of payment in full.
 21 18    d.  Any other information the department may require.
 21 19    3.  If upon receipt of the completed application the
 21 20 department finds that the person is qualified for a use tax
 21 21 refund pursuant to section 423.6A and this section, the
 21 22 department shall calculate the amount of the tax refund for
 21 23 which the person is eligible and shall issue a tax refund
 21 24 certificate to the person or notify the person in writing of
 21 25 its refusal to do so.  A person whose application is denied
 21 26 may file an appeal with the department within sixty days from
 21 27 the date of denial pursuant to the provision of chapter 17A.
 21 28    4.  For the purposes of this section, "motor vehicle" means
 21 29 the same as defined in section 321.1 but shall not include a
 21 30 motorcycle, motorized bicycle, snowmobile, or all=terrain
 21 31 vehicle.
 21 32    5.  Once a tax refund certificate is issued pursuant to
 21 33 this section, the person may apply to the department of
 21 34 revenue for the use tax refund pursuant to section 423.6A.
 21 35                           DIVISION IV
 22  1                       UTILITY REGULATION
 22  2              RENEWABLE ENERGY PRODUCTION STANDARD
 22  3    Sec. 25.  Section 476.44, subsection 2, Code 2005, is
 22  4 amended to read as follows:
 22  5    2.  An electric utility subject to this division, except a
 22  6 utility that elects rate regulation pursuant to section
 22  7 476.1A, shall not be required to own or purchase, at any one
 22  8 time, more than its share of one hundred five megawatts of
 22  9 power at least the following percentages of its total annual
 22 10 Iowa retail electric sales from alternative energy production
 22 11 facilities or small hydro facilities at the rates established
 22 12 pursuant to section 476.43:
 22 13    a.  By December 31, 2010, five percent.
 22 14    b.  By December 31, 2015, seven percent.
 22 15    c.  By December 31, 2020, and annually thereafter, at least
 22 16 ten percent.
 22 17 The board shall allocate the one hundred five megawatts based
 22 18 upon each utility's percentage of the total Iowa retail peak
 22 19 demand, for the year beginning January 1, 1990, of all
 22 20 utilities subject to this section.  If a utility undergoes
 22 21 reorganization as defined in section 476.76, the board shall
 22 22 combine the allocated purchases of power for each utility
 22 23 involved in the reorganization.
 22 24    Notwithstanding the one hundred five megawatt maximum, the
 22 25 board may increase the amount of power that a utility is
 22 26 required to own or purchase at the rates established pursuant
 22 27 to section 476.43 if the board finds that a utility, including
 22 28 a reorganized utility, exceeds its 1990 Iowa retail peak
 22 29 demand by twenty percent and the additional power the utility
 22 30 is required to purchase will encourage the development of
 22 31 alternate energy production facilities and small hydro
 22 32 facilities.  The increase shall not exceed the utility's
 22 33 increase in peak demand multiplied by the ratio of the
 22 34 utility's share of the one hundred five megawatt maximum to
 22 35 its 1990 Iowa retail peak demand.
 23  1          ELECTRIC POWER GENERATION AND FOSSIL FUEL USE
 23  2    Sec. 26.  Section 476A.6, subsection 3, Code 2005, is
 23  3 amended to read as follows:
 23  4    3.  The construction, maintenance, and operation of the
 23  5 facility will be consistent with reasonable land use and
 23  6 environmental policies and consonant with reasonable
 23  7 utilization of air, land, and water resources, considering
 23  8 available technology and the economics all of the following:
 23  9    a.  Available technology.
 23 10    b.  Costs of available alternatives.
 23 11    c.  The potential for cogeneration of electricity and heat.
 23 12    d.  The potential for capture or offset of carbon dioxide
 23 13 emissions.
 23 14    e.  Depletion of fossil fuel resources.
 23 15    f.  Financial protection of Iowans in the event of future
 23 16 federal greenhouse gas regulations.
 23 17    g.  The greenhouse gas reduction goals in section 473.51.
 23 18                           DIVISION V
 23 19                   CONSERVATION AND EDUCATION
 23 20                    LOW=INCOME WEATHERIZATION
 23 21    Sec. 27.  NEW SECTION.  216A.100  APPROPRIATION = LOW=
 23 22 INCOME HOME ENERGY ASSISTANCE.
 23 23    There is appropriated from the general fund of the state
 23 24 each fiscal year for the fiscal period beginning July 1, 2006,
 23 25 and ending June 30, 2011, to the division of community action
 23 26 agencies of the department of human rights the sum of two
 23 27 million dollars to be used for residential weatherization or
 23 28 other related home repairs for low=income households.  Amounts
 23 29 appropriated pursuant to this section shall be in addition to,
 23 30 and shall not replace, funds otherwise appropriated to the
 23 31 department of human rights.  Notwithstanding section 8.33,
 23 32 moneys appropriated in this section that remain unencumbered
 23 33 or unobligated at the close of each fiscal year shall not
 23 34 revert but shall remain available for expenditure for the
 23 35 purposes designated.
 24  1    This section is repealed June 30, 2011.
 24  2    Sec. 28.  Section 216A.101, Code 2005, is amended to read
 24  3 as follows:
 24  4    216A.101  EMERGENCY WEATHERIZATION FUND.
 24  5    1.  The division of community action agencies of the
 24  6 department of human rights shall identify all participants in
 24  7 the low=income home energy assistance program for the 1987=
 24  8 1988 each winter heating season whose household income was
 24  9 less than seventy=five percent of the poverty level.
 24 10    2.  The division shall conduct within each community action
 24 11 agency an inventory of the residences of these individuals to
 24 12 determine the number of residences eligible for weatherization
 24 13 under the two programs currently administered by the division
 24 14 but which will not be weatherized in the next twelve months
 24 15 due to the current priorities imposed by the federal programs.
 24 16    3.  One and one=half percent of the total amount of funds
 24 17 appropriated by 1988 Iowa Acts, chapter 1280, each fiscal year
 24 18 to the division of community action agencies for the fiscal
 24 19 year beginning October 1, 1988, for the low=income home energy
 24 20 assistance block grants, shall be expended by the division for
 24 21 the operation of the program under this section.  The one and
 24 22 one=half percent shall be taken from those funds to be used
 24 23 for low=income residential weatherization or other related
 24 24 home repairs for low=income households; however, no less than
 24 25 ten percent of the total amount of funds appropriated for the
 24 26 low=income home energy assistance block grants shall be
 24 27 expended by the division for other low=income residential
 24 28 weatherization or related home repairs for low=income
 24 29 households.
 24 30    4.  The division shall allocate the available funds among
 24 31 the nineteen community action agencies and shall establish
 24 32 weatherization goals for each agency based upon the inventory
 24 33 in subsection 2 of this section.  The division shall give
 24 34 priority to weatherizing these residences.
 24 35    5.  In consultation with the Iowa utilities board the
 25  1 division may adopt by rule criteria for eligibility for
 25  2 weatherization assistance by fee for households with income
 25  3 that exceeds one hundred percent of the federal poverty level
 25  4 and for owners of rental housing subject to chapter 562A.
 25  5 Fees for weatherization pursuant to this subsection shall be
 25  6 established on a sliding scale based on family income and
 25  7 size.
 25  8    5. 6.  The division shall submit a report to the general
 25  9 assembly on each year by February 1, 1989.  The report shall
 25 10 include the number of residences identified as eligible for
 25 11 weatherization in this project for the last winter heating
 25 12 season, the number of residences weatherized from July 1,
 25 13 1988, to December 31, 1988, the average cost per dwelling
 25 14 weatherized, and the range of costs for individual
 25 15 weatherizations.  In addition, the report shall include the
 25 16 department's recommendation for a program to complete the
 25 17 weatherization of the remaining residences in this category.
 25 18 The report shall also include an inventory of the number of
 25 19 residences not weatherized for the 1987=1988 participants
 25 20 whose household incomes fall between seventy=five percent and
 25 21 one hundred percent of the poverty level.  The report shall
 25 22 also include the number of residences identified as eligible
 25 23 for weatherization based on a sliding fee scale pursuant to
 25 24 subsection 5, the number of residences weatherized based on a
 25 25 fee, and the amount of fees collected for such
 25 26 weatherizations.
 25 27               COMMUNITY ENERGY CONSERVATION PLANS
 25 28    Sec. 29.  NEW SECTION.  476.64  COMMUNITY ENERGY
 25 29 CONSERVATION PLAN PROGRAM.
 25 30    The board, with assistance from the Iowa energy center
 25 31 established pursuant to section 266.39C, shall establish a
 25 32 program to provide financial and technical assistance to
 25 33 communities to prepare and adopt community energy conservation
 25 34 plans to reduce the consumption of natural gas and electricity
 25 35 in the community.  A plan may provide for public education,
 26  1 weatherization, volunteer participation, and specific energy
 26  2 conservation improvements by residential property owners,
 26  3 local businesses, and institutions.  A plan may utilize
 26  4 available utility energy efficiency programs under section
 26  5 476.6, subsection 16.  A plan shall provide for the
 26  6 measurement of consumption of energy and provide for public
 26  7 reporting of results of the implementation of the plan.  A
 26  8 plan shall be submitted to the board pursuant to requirements
 26  9 adopted by the board by rule.
 26 10    Sec. 30.  NEW SECTION.  476.65  APPROPRIATION == COMMUNITY
 26 11 ENERGY CONSERVATION PLAN PROGRAM.
 26 12    There is appropriated from the general fund of the state
 26 13 each fiscal year for the fiscal period beginning July 1, 2006,
 26 14 and ending June 30, 2011, to the utilities division of the
 26 15 department of commerce the sum of five hundred thousand
 26 16 dollars to be used for the community energy conservation plan
 26 17 program established in section 476.64.  Amounts appropriated
 26 18 pursuant to this section shall be in addition to, and shall
 26 19 not replace, funds otherwise appropriated to the department of
 26 20 commerce.  Notwithstanding section 8.33, moneys appropriated
 26 21 in this section that remain unencumbered or unobligated at the
 26 22 close of each fiscal year shall not revert but shall remain
 26 23 available for expenditure for the purposes designated.
 26 24    This section is repealed June 30, 2011.
 26 25                  ENERGY CONSERVATION TRAINING
 26 26    Sec. 31.  Section 216A.96, Code 2005, is amended by adding
 26 27 the following new subsection:
 26 28    NEW SUBSECTION.  5.  Provide free energy management and
 26 29 conservation training to recipients of assistance under
 26 30 section 476.66.  An agency may also provide energy management
 26 31 and conservation training to other members of the public for a
 26 32 fee as established by rule by the commission.
 26 33    Sec. 32.  NEW SECTION.  216A.96A  APPROPRIATION == ENERGY
 26 34 CONSERVATION TRAINING.
 26 35    There is appropriated from the general fund each of the
 27  1 state fiscal year for the fiscal period beginning July 1,
 27  2 2006, and ending June 30, 2011, to the division of community
 27  3 action agencies of the department of human rights the sum of
 27  4 three hundred thousand dollars to be used for energy
 27  5 conservation training under section 216A.96, subsection 5.
 27  6 Amounts appropriated pursuant to this section shall be in
 27  7 addition to, and shall not replace, funds otherwise
 27  8 appropriated to the department of human rights.
 27  9 Notwithstanding section 8.33, moneys appropriated in this
 27 10 section that remain unencumbered or unobligated at the close
 27 11 of each fiscal year shall not revert but shall remain
 27 12 available for expenditure for the purposes designated.
 27 13    This section is repealed June 30, 2011.
 27 14    Sec. 33.  Section 476.66, Code 2005, is amended by adding
 27 15 the following new subsection:
 27 16    NEW SUBSECTION.  5A.  As a condition of receiving
 27 17 assistance pursuant to this section, a person shall
 27 18 participate in energy management and conservation training
 27 19 offered by a community action agency pursuant to section
 27 20 216A.96, subsection 5, unless waived for cause by the
 27 21 utilities board.
 27 22           STATE BUILDING CODE EFFICIENCY ENFORCEMENT
 27 23    Sec. 34.  NEW SECTION.  103A.27  APPROPRIATION == ENERGY=
 27 24 EFFICIENCY EDUCATION.
 27 25    There is appropriated from the general fund of the state
 27 26 each fiscal year for the fiscal period beginning July 1, 2006,
 27 27 and ending June 30, 2011, to the office of the state fire
 27 28 marshal of the department of public safety the sum of two
 27 29 hundred thousand dollars to be used to provide public
 27 30 education and enforcement of energy=efficiency requirements of
 27 31 the state building code.  Amounts appropriated pursuant to
 27 32 this section shall be in addition to, and shall not replace,
 27 33 funds otherwise appropriated to the department of public
 27 34 safety.  Notwithstanding section 8.33, moneys appropriated in
 27 35 this section that remain unencumbered or unobligated at the
 28  1 close of each fiscal year shall not revert but shall remain
 28  2 available for expenditure for the purposes designated.
 28  3    This section is repealed June 30, 2011.
 28  4                RENEWABLE ENERGY EDUCATION GRANTS
 28  5    Sec. 35.  NEW SECTION.  473.47  RENEWABLE ENERGY EDUCATION
 28  6 GRANTS.
 28  7    1.  The department of natural resources shall establish and
 28  8 administer a renewable energy education grant program to
 28  9 educate the public about the environmental benefits of energy=
 28 10 efficient design and technology and the generation of
 28 11 electricity through biomass conversion facilities, methane gas
 28 12 recovery facilities, and other renewable energy conversion
 28 13 systems in this state.
 28 14    2.  A renewable energy education fund is created in the
 28 15 office of the treasurer of state to be administered by the
 28 16 department of natural resources.  The fund shall include
 28 17 moneys appropriated or otherwise directed to the fund.
 28 18 Section 8.33 shall not apply to the moneys in the fund.
 28 19    3.  Any person residing in this state, a nonpublic school
 28 20 or public school district, or an institution of higher
 28 21 learning located in this state may apply to the department of
 28 22 natural resources for a grant under this section by filing a
 28 23 completed application as directed by the department of natural
 28 24 resources.
 28 25    4.  A grant of funds issued pursuant to this section shall
 28 26 be used only for projects directly providing education to the
 28 27 public concerning the environmental benefits of energy=
 28 28 efficient design and technology and the generation of
 28 29 electricity through biomass conversion facilities, methane gas
 28 30 recovery facilities, and other renewable energy conversion
 28 31 systems in this state.
 28 32    Sec. 36.  NEW SECTION.  473.48  APPROPRIATION == RENEWABLE
 28 33 ENERGY EDUCATION GRANTS.
 28 34    There is appropriated from the general fund of the state
 28 35 each fiscal year for the fiscal period beginning July 1, 2006,
 29  1 and ending June 30, 2011, to the renewable energy education
 29  2 fund established in section 473.47 the sum of two hundred
 29  3 thousand dollars to be used for the purposes described in
 29  4 section 473.47.  Amounts appropriated pursuant to this section
 29  5 shall be in addition to, and shall not replace, funds
 29  6 otherwise appropriated to the department of natural resources.
 29  7 Notwithstanding section 8.33, moneys appropriated in this
 29  8 section that remain unencumbered or unobligated at the close
 29  9 of each fiscal year shall not revert but shall remain
 29 10 available for expenditure for the purposes designated.
 29 11    This section is repealed June 30, 2011.
 29 12            SOLAR ENERGY SYSTEMS SALES TAX EXEMPTION
 29 13    Sec. 37.  Section 423.3, Code Supplement 2005, is amended
 29 14 by adding the following new subsection:
 29 15    NEW SUBSECTION.  89.  The sales price of the sale of a
 29 16 solar energy system designed to provide thermal energy for the
 29 17 purpose of heating water or providing electrical power, the
 29 18 alternative to which would require the use of a conventional
 29 19 source of energy, such as petroleum products, natural gas,
 29 20 manufactured gas, or electricity.
 29 21    a.  A solar thermal system for water heating is not
 29 22 eligible for the exemption established by this subsection
 29 23 unless it is rated and certified by the solar rating and
 29 24 certification corporation, or another entity that rates and
 29 25 certifies complete solar systems.
 29 26    b.  A photovoltaic system is not eligible for the exemption
 29 27 established by this subsection unless it meets all applicable
 29 28 safety and performance standards established by the national
 29 29 electrical code, the institute of electrical and electronics
 29 30 engineers, and accredited testing laboratories, such as
 29 31 underwriters laboratories.
 29 32    c.  Only a complete solar energy system designed to provide
 29 33 thermal energy or electrical power may be eligible for this
 29 34 exemption, and spare or replacement parts or individual
 29 35 components are not eligible.  For purposes of this paragraph,
 30  1 a complete solar energy system includes all solar collectors,
 30  2 piping, wiring, pumps, controls, power conditioning equipment,
 30  3 thermal or battery storage, and other components as required
 30  4 for a complete and fully functioning system, which may be sold
 30  5 as a separate package without installation labor or as part of
 30  6 an installed system.
 30  7    d.  Conventional heating, pumping, wiring, or control
 30  8 equipment, such as a conventional water heater or internal
 30  9 building wiring, that could function independently in the
 30 10 intended application in the absence of a solar system, is not
 30 11 eligible for the exemption established by this subsection.
 30 12    Sec. 38.  EFFECTIVE DATE == RETROACTIVE APPLICABILITY.  The
 30 13 section of this Act amending section 423.3 by enacting a new
 30 14 subsection 89 relating to solar energy systems, being deemed
 30 15 of immediate importance, takes effect upon enactment and is
 30 16 retroactively applicable to February 7, 2006.
 30 17                           DIVISION VI
 30 18                     CLIMATE AND ENVIRONMENT
 30 19                 CLIMATE CHANGE ADVISORY COUNCIL
 30 20    Sec. 39.  NEW SECTION.  473.49  ADVISORY COUNCIL ON CLIMATE
 30 21 CHANGE.
 30 22    1.  A state advisory council on climate change is created.
 30 23 The council shall consist of nine members appointed by the
 30 24 governor for three=year staggered terms.  Members shall be
 30 25 eligible for reappointment.  The members shall have an
 30 26 interest or experience in a field of research or an activity
 30 27 that relates to issues concerning greenhouse gas emissions or
 30 28 climatic change and represent at least one of the following
 30 29 areas or groups:
 30 30    a.  Transportation industry and regulators.
 30 31    b.  Utility industry and regulators.
 30 32    c.  Private industry.
 30 33    d.  Agriculture industry and regulators.
 30 34    e.  Faith.
 30 35    f.  Environmental.
 31  1    g.  Higher education.
 31  2    2.  The director of the department of natural resources
 31  3 shall serve as chair of the council.  The department of
 31  4 natural resources is the primary agency responsible for
 31  5 providing administrative personnel and services for the
 31  6 council.
 31  7    3.  The council shall meet at least two times annually and
 31  8 at the call of the chair.  Members of the council shall serve
 31  9 without compensation but may receive their actual expenses
 31 10 incurred in the performance of their duties.
 31 11    4.  The objectives of the council shall include all of the
 31 12 following:
 31 13    a.  Serve as the central advisory body for climate change
 31 14 to the governor and general assembly of this state.
 31 15    b.  Serve as a coordinating body to facilitate cooperation
 31 16 among private industries and citizens, and regulatory agencies
 31 17 within the state on issues related to climate change.
 31 18    c.  Provide the most accurate climate information to the
 31 19 citizens of Iowa.
 31 20    d.  Identify the research and assessment needs regarding
 31 21 climate change for colleges and universities and private
 31 22 business in this state.
 31 23    e.  Interact with local schools, colleges and universities,
 31 24 and with other teaching community organizations on different
 31 25 aspects of climate change.
 31 26    f.  Investigate the effects of climatic changes on human
 31 27 health, agriculture, and natural resources, and develop
 31 28 forecasts that assist in resource management.
 31 29    g.  Evaluate current greenhouse gas mitigation projects and
 31 30 programs of the state and identify opportunities and
 31 31 prioritize measures for greenhouse gas mitigation.
 31 32    h.  Assess current information regarding sources of
 31 33 greenhouse gas emissions attributable to Iowa and develop
 31 34 additional measures if appropriate.
 31 35    5.  The council shall provide a report to the general
 32  1 assembly of the council's findings and recommendations each
 32  2 year by December 1.
 32  3    Sec. 40.  NEW SECTION.  473.50  APPROPRIATION == STATE
 32  4 ADVISORY COUNCIL ON CLIMATE CHANGE.
 32  5    There is appropriated from the general fund of the state
 32  6 each fiscal year for the fiscal period beginning July 1, 2006,
 32  7 and ending June 30, 2011, to the department of natural
 32  8 resources the sum of one hundred thousand dollars to be used
 32  9 for the establishment and support of the state advisory
 32 10 council on climate change established in section 473.49.
 32 11 Amounts appropriated pursuant to this section shall be in
 32 12 addition to, and shall not replace, funds otherwise
 32 13 appropriated to the department of natural resources.
 32 14 Notwithstanding section 8.33, moneys appropriated in this
 32 15 section that remain unencumbered or unobligated at the close
 32 16 of each fiscal year shall not revert but shall remain
 32 17 available for expenditure for the purposes designated.
 32 18    This section is repealed June 30, 2011.
 32 19                   EMISSIONS REDUCTIONS GOALS
 32 20    Sec. 41.  NEW SECTION.  473.51  EMISSION REDUCTION GOALS.
 32 21    It shall be the goal of the state to reduce emissions of
 32 22 greenhouse gases in order to make an appropriate contribution
 32 23 to achieving the national and international goals of reducing
 32 24 emissions of greenhouse gases to or under those levels emitted
 32 25 in the year 1990.  This state's goal shall be to reduce the
 32 26 per capita greenhouse gas emissions to not less than the per
 32 27 capita emissions in the year 1990 by the year 2020.  The state
 32 28 advisory council on climate change established in section
 32 29 473.49 may establish a goal for reducing per capita greenhouse
 32 30 gas emissions below the level from the year 1990 for other
 32 31 dates as the council determines to be appropriate.
 32 32             CLIMATE CHANGE MONITORING COLLABORATIVE
 32 33    Sec. 42.  NEW SECTION.  473.52  CLIMATE CHANGE MONITORING
 32 34 COLLABORATIVE.
 32 35    A climate change monitoring collaborative is created.  The
 33  1 collaborative shall be coordinated by the center for global
 33  2 and regional environmental research at the university of Iowa.
 33  3 Other members of the collaborative shall include
 33  4 representatives from the university of northern Iowa, Iowa
 33  5 state university of science and technology, the department of
 33  6 agriculture and land stewardship, and the department of
 33  7 natural resources.  The purpose of the collaboration is to
 33  8 cooperatively monitor and predict climatic changes in Iowa
 33  9 that may affect persons, animals, plants, industry, or the
 33 10 economy of this state.
 33 11    Sec. 43.  NEW SECTION.  473.53  APPROPRIATION == CLIMATE
 33 12 CHANGE MONITORING COLLABORATIVE.
 33 13    There is appropriated from the general fund of the state
 33 14 each fiscal year for the fiscal period beginning July 1, 2006,
 33 15 and ending June 30, 2011, to the state board of regents the
 33 16 sum of one hundred thousand dollars to be used for the
 33 17 coordination of the climate change monitoring collaborative
 33 18 created in section 473.52.  Amounts appropriated pursuant to
 33 19 this section shall be in addition to, and shall not replace,
 33 20 funds otherwise appropriated to the state board of regents.
 33 21 Notwithstanding section 8.33, moneys appropriated in this
 33 22 section that remain unencumbered or unobligated at the close
 33 23 of each fiscal year shall not revert but shall remain
 33 24 available for expenditure for the purposes designated.
 33 25    This section is repealed June 30, 2011.
 33 26                  CARBON SEQUESTRATION REGISTRY
 33 27    Sec. 44.  NEW SECTION.  159B.1  TITLE.
 33 28    This chapter shall be known and may be cited as the "Iowa
 33 29 Carbon Sequestration Registry Act".
 33 30    Sec. 45.  NEW SECTION.  159B.2  DEFINITIONS.
 33 31    As used in this chapter, unless the context otherwise
 33 32 requires:
 33 33    1.  "Carbon sequestration results" means the participant's
 33 34 applicable data on the removal of carbon dioxide from the
 33 35 atmosphere by sinks resulting from any of the following:
 34  1    a.  Direct human=induced land use change or forestry
 34  2 activities in this state.
 34  3    b.  Additional human=induced activities in this state
 34  4 related to removal by sinks in land use change and forestry
 34  5 categories.
 34  6    c.  Additional human=induced activities in this state
 34  7 related to removal by sinks in agricultural soils.
 34  8    d.  Additional human=induced activities in this state
 34  9 related to removals by sinks in products in use from harvested
 34 10 timber or agricultural crops.
 34 11    e.  Other human=induced activities in this state related to
 34 12 removals by sinks.
 34 13    2.  "Certification" means the determination of whether a
 34 14 given participant's carbon sequestration result has met a
 34 15 minimum quality standard and complied with an appropriate set
 34 16 of approved procedures and protocols for submitting carbon
 34 17 sequestration information.
 34 18    3.  "Department" means the department of agriculture and
 34 19 land stewardship.
 34 20    4.  "Forest" means lands that support, or can support, at
 34 21 least ten percent tree canopy cover and that allow for
 34 22 management of one or more forest resources including but not
 34 23 limited to timber, fish and wildlife, biodiversity, water
 34 24 quality, air quality, soil conservation, recreation,
 34 25 aesthetics, or other benefits.
 34 26    5.  "Greenhouse gases" means carbon dioxide, methane,
 34 27 nitrous oxide, hydrofluorocarbons, perfluorocarbons, and
 34 28 sulfur hexafluoride.
 34 29    6.  "Native forest" means a forest type, natural or
 34 30 artificially regenerated, composed of any one or more tree
 34 31 species identified as native to this state by the department
 34 32 in consultation with the department of natural resources
 34 33 including without limitation improved stock of such tree
 34 34 species developed through breeding programs.
 34 35    7.  "Participant" or "registry participant" means a
 35  1 registrant of carbon sequestration results with the registry.
 35  2    8.  "Registry" means the carbon sequestration registry
 35  3 established by section 159B.3.
 35  4    9.  "Secretary" means the secretary of agriculture.
 35  5    10.  "Sink" means an ecosystem or crop or product thereof
 35  6 that absorbs or has absorbed carbon, thereby removing it from
 35  7 the atmosphere and offsetting emissions of carbon dioxide.
 35  8    Sec. 46.  NEW SECTION.  159B.3  ESTABLISHMENT OF REGISTRY.
 35  9    1.  A voluntary carbon sequestration registry is
 35 10 established in the department for the purpose described in
 35 11 section 159B.4.
 35 12    2.  The department may contract with another agency or
 35 13 designate a third party to operate and maintain a statewide
 35 14 uniform automated electronic information system for the
 35 15 purpose of the carbon sequestration registry.  In furtherance
 35 16 of such purpose, the department shall have the ability to
 35 17 enter into contracts with any person that the department deems
 35 18 necessary to establish and maintain the registry.
 35 19    Sec. 47.  NEW SECTION.  159B.4  PURPOSE OF REGISTRY.
 35 20    The purpose of the carbon sequestration registry shall be
 35 21 to do all of the following:
 35 22    1.  Encourage voluntary actions to reduce greenhouse gas
 35 23 emissions.
 35 24    2.  Enable participants to voluntarily record carbon
 35 25 sequestrations made on or after January 1, 1990, or such other
 35 26 beginning date as may be established by rule of the
 35 27 department, in a consistent format that is certified.
 35 28    3.  Ensure that sources in the state receive appropriate
 35 29 consideration for certified carbon sequestration results under
 35 30 any future federal or international regulatory regime relating
 35 31 to greenhouse gas emissions.
 35 32    4.  Recognize, publicize, and promote participants in the
 35 33 registry.
 35 34    5.  Recruit broad participation in the process from all
 35 35 economic sectors and regions of the state.
 36  1    6.  Promote economic opportunities associated with carbon
 36  2 credit trading or other marketing of environmental services.
 36  3    Sec. 48.  NEW SECTION.  159B.5  DUTIES OF THE DEPARTMENT.
 36  4    1.  To implement and maintain the registry established
 36  5 pursuant to section 159B.3, the department shall have the
 36  6 following powers and duties in addition to those otherwise
 36  7 provided by law:
 36  8    a.  To establish such registration and transaction fees to
 36  9 be charged and collected by the department or the department's
 36 10 designee.
 36 11    b.  To manage, control, and direct such funds as are
 36 12 remitted to the department and the expenditures made
 36 13 therefrom.
 36 14    c.  To distribute the funds at the discretion of the
 36 15 department in such manner and subject to such terms and
 36 16 limitations as the department in its discretion determines
 36 17 will best further the public purpose of the registry.
 36 18    d.  To exercise all other powers necessary for maintenance
 36 19 of the electronic information system for the registry.
 36 20    2.  The department, in consultation with the department of
 36 21 natural resources and the center for global and regional
 36 22 environmental research at the university of Iowa, shall adopt
 36 23 rules specifying acceptable types of carbon sequestration
 36 24 results and providing procedures and protocols for the
 36 25 monitoring, estimating, calculating, reporting, and
 36 26 certification of carbon sequestration results for purposes of
 36 27 participation in the registry.  The rules adopted shall be
 36 28 based on forest management practices within a defined project
 36 29 area that meet or exceed the best management practices for
 36 30 forestry as determined by the department of natural resources.
 36 31 The rules adopted shall reflect the amount of time that net
 36 32 carbon gains are stored and shall maintain and promote native
 36 33 forests.
 36 34    The department shall consider the availability and
 36 35 suitability of simplified techniques and tools when adopting
 37  1 procedures and protocols for the certification of carbon
 37  2 sequestration results.
 37  3    The procedures and protocols adopted by the department
 37  4 shall include a uniform format for reporting carbon
 37  5 sequestration results to facilitate their recognition in any
 37  6 future regulatory regime.
 37  7    3.  The department shall qualify third=party organizations
 37  8 that have the capability to certify reported baseline carbon
 37  9 sequestration results and that are capable of certifying the
 37 10 participant=reported results as provided in this division.
 37 11    4.  The department shall encourage organizations and
 37 12 individuals from various sectors of the state's economy, and
 37 13 those from various geographic regions of the state, to report
 37 14 carbon sequestration results.
 37 15    Sec. 49.  NEW SECTION.  159B.6  PROCEDURES ADOPTED.
 37 16    The procedures and protocols for monitoring, estimating,
 37 17 calculating, reporting, and certifying carbon sequestration
 37 18 results established by, or approved pursuant to, this chapter
 37 19 shall be the only procedures and protocols recognized by the
 37 20 state for the purposes of the registry as described in section
 37 21 159B.3.
 37 22    Sec. 50.  NEW SECTION.  159B.7  VOLUNTARY PARTICIPATION.
 37 23    Participation in the registry shall be voluntary, and
 37 24 participants may withdraw from the registry at any time.
 37 25    Sec. 51.  NEW SECTION.  159B.8  PARTICIPANT REQUIREMENTS.
 37 26    1.  Participants shall initially report their certified
 37 27 carbon sequestration results for the most recent year for
 37 28 which the participants have complete data as specified in this
 37 29 chapter.  Participants that have complete data for earlier
 37 30 years that can be certified may establish their baseline as
 37 31 any year beginning on or after January 1, 1990, or such other
 37 32 beginning date as may be established by rule of the
 37 33 department.  After establishing baseline results, participants
 37 34 shall report the certified carbon sequestration results in
 37 35 each subsequent year in order to show changes with respect to
 38  1 the participant's baseline year.  The department may allow
 38  2 participants to report carbon sequestration results without
 38  3 establishing a baseline for such results or for emissions as
 38  4 adopted by rule.  Certified carbon sequestration results
 38  5 reported to the registry by a participant shall be credited in
 38  6 carbon mass units to an account established for the
 38  7 participant in the registry.
 38  8    2.  Registry credits for certified carbon sequestration
 38  9 results may be sold, purchased, or otherwise transferred in
 38 10 whole or in part without any regard to or effect on or being
 38 11 affected by ownership of other personal property or any real
 38 12 property, and such credits may be retained in whole or in part
 38 13 without any regard to or effect on or being affected by any
 38 14 sale, purchase, or other transfer of other personal property
 38 15 or any real property.
 38 16    3.  In addition to annual reports submitted pursuant to
 38 17 subsection 1, participants shall report to the registry any
 38 18 sales, purchases, or other transfers of registry credits for
 38 19 certified carbon sequestration results, in whole or in part,
 38 20 within thirty days after the completion of such transaction,
 38 21 and participants' registry accounts shall be updated to
 38 22 reflect such transfers.
 38 23    4.  A participant in the registry shall be a person, city,
 38 24 county, or state agency.
 38 25    5.  Reports to the registry by participants shall be filed
 38 26 with the department or its designated agent.
 38 27    Sec. 52.  NEW SECTION.  159B.9  FORMS.
 38 28    To support the estimation, calculation, reporting, and
 38 29 certification of carbon sequestration results in a consistent
 38 30 format, the department shall adopt standardized forms that all
 38 31 participants shall use to calculate, report, and certify
 38 32 emissions results.
 38 33    Sec. 53.  NEW SECTION.  159B.10  CERTIFICATION OF RESULTS.
 38 34    1.  Participants registering baseline carbon sequestration
 38 35 results in the registry shall provide certification of their
 39  1 methodologies and results as required by the department.  The
 39  2 department may, upon recommendation of the secretary,
 39  3 following a public hearing, adopt simplified procedures to
 39  4 certify carbon sequestration results as appropriate.
 39  5 Participants shall follow department=approved procedures and
 39  6 protocols in determining carbon sequestration results and
 39  7 supply the quantity and quality of information necessary to
 39  8 allow an independent certification of the baseline results
 39  9 reported.
 39 10    2.  The department shall provide a list of third=party
 39 11 organizations recognized as competent to certify carbon
 39 12 sequestration results and approved pursuant to section
 39 13 159B.11.  The department shall reopen the qualification
 39 14 process periodically in order for new organizations to be
 39 15 added to the approved list.
 39 16    3.  Where required for certification, the third=party
 39 17 organizations conducting the certification shall do all of the
 39 18 following:
 39 19    a.  Evaluate whether the participant has a program,
 39 20 consistent with department=approved procedures and protocols,
 39 21 in place for preparation and submittal of the information
 39 22 reported under this chapter.
 39 23    b.  Check, during certification, the reasonableness of the
 39 24 carbon sequestration information being reported for a random
 39 25 sample of estimates or calculations.
 39 26    c.  Summarize its review in a report to the board of
 39 27 directors, or equivalent governing body, of the participating
 39 28 legal entity or to the participating natural person, attesting
 39 29 to the existence of a program that is consistent with
 39 30 department=approved procedures and protocols and the
 39 31 reasonableness of the reported carbon sequestration results
 39 32 and noting any exceptions, omissions, limitations, or other
 39 33 qualifications to their representations.
 39 34    4.  To ensure the integrity and constant improvement of the
 39 35 registry program, the department shall perform on a random
 40  1 basis an occasional review and evaluation of participants'
 40  2 carbon sequestration reporting, certifications, and the
 40  3 reasonableness of the information being reported for analysis
 40  4 of estimates or calculations.  The secretary shall report any
 40  5 findings in writing.  The secretary shall include a summary of
 40  6 these findings in the biennial report to the governor and the
 40  7 general assembly required by section 159B.12.
 40  8    Sec. 54.  NEW SECTION.  159B.11  CERTIFICATION BY THIRD=
 40  9 PARTY ORGANIZATIONS.
 40 10    1.  The department shall develop a process for qualifying
 40 11 third=party organizations recognized by the state as competent
 40 12 to certify the carbon sequestration results of the types of
 40 13 natural persons or legal entities that participate in the
 40 14 registry, by doing all of the following:
 40 15    a.  In consultation with the department of natural
 40 16 resources and the center for global and regional environmental
 40 17 research, developing a list of the minimum technical and
 40 18 organizational capabilities and other qualification standards
 40 19 that approved third=party organizations shall meet.  Those
 40 20 qualifications shall include the ability to sign an opinion
 40 21 letter, for which they may be held financially at risk, and
 40 22 certifying the participant=reported carbon sequestration
 40 23 results as provided in this chapter.
 40 24    b.  Publicizing an applications process or otherwise
 40 25 encouraging interested organizations to submit their
 40 26 qualifications for review.
 40 27    c.  Evaluating applicant organizations according to the
 40 28 list of qualifications described in paragraph "a".
 40 29    d.  Determining specific third=party organizations as
 40 30 qualified to certify participants' actual carbon sequestration
 40 31 results in accordance with this chapter.
 40 32    e.  Periodically updating the list of approved third=party
 40 33 organizations by doing any of the following:
 40 34    (1)  Reviewing the capabilities of approved organizations.
 40 35    (2)  Reviewing applications of organizations seeking to
 41  1 become approved.
 41  2    (3)  Determining specific organizations to be added to or
 41  3 removed from the approved list.
 41  4    2.  The department shall occasionally, and on a random
 41  5 basis, provide for department employees to accompany third=
 41  6 party organizations on scheduled visits to observe and
 41  7 evaluate, during any certification visit, both the following:
 41  8    a.  Whether the participant has a program, consistent with
 41  9 department=approved procedures and protocols, in place for the
 41 10 preparation and submittal of the information required under
 41 11 this chapter.
 41 12    b.  The reasonableness of the carbon sequestration
 41 13 information being reported for a sample of estimates or
 41 14 calculations.
 41 15    3.  The department shall review future international or
 41 16 federal programs related to greenhouse gas emissions and make
 41 17 reasonable efforts to promote consistency between the state
 41 18 registry program and these programs and to reduce the
 41 19 reporting burden on participants.
 41 20    Sec. 55.  NEW SECTION.  159B.12  REPORTING REQUIREMENTS.
 41 21    Not later than July 1, 2008, and biennially thereafter, the
 41 22 secretary shall report to the governor and the general
 41 23 assembly on the number of participants in the registry, the
 41 24 amounts of carbon sequestered by those participants, and ways
 41 25 to make the registry more workable for participants that are
 41 26 consistent with the goals and intent of this chapter.
 41 27    Sec. 56.  NEW SECTION.  159B.13  APPROPRIATION OF FEES.
 41 28    All fees and charges collected by the department pursuant
 41 29 to this chapter are appropriated to the department to offset
 41 30 the costs of administering and maintaining the electronic
 41 31 information system for the registry.
 41 32    Sec. 57.  NEW SECTION.  159B.14  RULES.
 41 33    The department, with assistance from the department of
 41 34 natural resources and the center for global and regional
 41 35 environmental research, shall adopt such necessary and
 42  1 reasonable rules to administer and carry out the duties
 42  2 prescribed in this chapter.
 42  3    Sec. 58.  NEW SECTION.  159B.15  APPROPRIATION == IOWA
 42  4 CARBON SEQUESTRATION REGISTRY.
 42  5    There is appropriated from the general fund of the state
 42  6 each fiscal year for the fiscal period beginning July 1, 2006,
 42  7 and ending June 30, 2011, to the department of agriculture and
 42  8 land stewardship the sum of two hundred thousand dollars to be
 42  9 used for the establishment and administration of the Iowa
 42 10 carbon sequestration registry established in section 159B.3.
 42 11 Amounts appropriated pursuant to this section shall be in
 42 12 addition to, and shall not replace, funds otherwise
 42 13 appropriated to the department of agriculture and land
 42 14 stewardship.  Notwithstanding section 8.33, moneys
 42 15 appropriated in this section that remain unencumbered or
 42 16 unobligated at the close of each fiscal year shall not revert
 42 17 but shall remain available for expenditure for the purposes
 42 18 designated.
 42 19    This section is repealed June 30, 2011.
 42 20                          DIVISION VII
 42 21                  PUBLIC BUILDINGS AND SCHOOLS
 42 22                STATE AGENCY ENERGY CONSERVATION
 42 23    Sec. 59.  NEW SECTION.  473.14  APPROPRIATION == STATE
 42 24 AGENCY ENERGY CONSERVATION.
 42 25    There is appropriated from the general fund of the state
 42 26 each fiscal year for the fiscal period beginning July 1, 2006,
 42 27 and ending June 30, 2011, to the state of Iowa facilities
 42 28 improvement corporation established by the department of
 42 29 natural resources the sum of one hundred thousand dollars to
 42 30 be used to carry out the recommendations of Executive Order
 42 31 Number Forty=one issued April 22, 2005.  Amounts appropriated
 42 32 pursuant to this section shall be in addition to, and shall
 42 33 not replace, funds otherwise appropriated to the department of
 42 34 natural resources.  Notwithstanding section 8.33, moneys
 42 35 appropriated in this section that remain unencumbered or
 43  1 unobligated at the close of each fiscal year shall not revert
 43  2 but shall remain available for expenditure for the purposes
 43  3 designated.
 43  4    This section is repealed June 30, 2011.
 43  5              RENEWABLE ENERGY GRANTS FOR SCHOOOLS
 43  6    Sec. 60.  NEW SECTION.  476.48  RENEWABLE ENERGY FOR
 43  7 SCHOOLS GRANT PROGRAM.
 43  8    1.  The Iowa energy center created under section 266.39C
 43  9 shall establish and administer a renewable energy for schools
 43 10 grant program to assist schools in this state in installing
 43 11 renewable energy systems to provide electricity and
 43 12 educational opportunities to students in this state.
 43 13    2.  A renewable energy for schools grant fund is created in
 43 14 the office of the treasurer of state to be administered by the
 43 15 Iowa energy center.  The fund shall include moneys
 43 16 appropriated or otherwise directed to the fund.  Section 8.33
 43 17 shall not apply to the moneys in the fund.
 43 18    3.  A school board or authorities in charge of a nonpublic
 43 19 school may apply to the Iowa energy center for a grant under
 43 20 this section if all of the following apply:
 43 21    a.  The school board or authorities file a completed
 43 22 application with the Iowa energy center as directed by the
 43 23 Iowa energy center that includes all of the following:
 43 24    (1)  Written approval and agreement by the school board or
 43 25 authorities to accept funds granted under this section and
 43 26 utilize funds granted only as provided in this section.
 43 27    (2)  A description of the renewable energy system to be
 43 28 installed and an estimate of the costs of the renewable energy
 43 29 equipment, delivery, installation, and technical assistance.
 43 30    (3)  A plan to finance future maintenance to the renewable
 43 31 energy system purchased pursuant to this section.
 43 32    (4)  Information concerning existing costs of electricity
 43 33 for the school.
 43 34    (5)  An estimate of the cost savings the installation of
 43 35 the proposed renewable energy system may have for the school.
 44  1    (6)  Any other information the Iowa energy center deems
 44  2 necessary.
 44  3    b.  The school board or authorities designate a liaison or
 44  4 responsible party who is an employee of the school to
 44  5 coordinate with the Iowa energy center regarding the
 44  6 application.
 44  7    c.  The school board or authorities agree to integrate
 44  8 renewable energy education into the curriculum of the school.
 44  9    4.  The Iowa energy center may approve up to ten
 44 10 applications per fiscal year beginning July 1, 2007, but shall
 44 11 not approve more than one million dollars in grants in any
 44 12 fiscal year.  The Iowa energy center shall give priority to
 44 13 schools based on timeliness of application, the adequacy of
 44 14 the plan regarding future maintenance, the general financial
 44 15 need of the school based on existing costs of electricity of
 44 16 the school and the cost savings that could result from
 44 17 installation, and whether the school board has an agreement or
 44 18 letter of support from an electric utility regarding the sale
 44 19 of excess electricity generated by the proposed renewable
 44 20 energy system.
 44 21    5.  A grant issued to a school pursuant to this section
 44 22 shall only be used for the purchase of solar energy conversion
 44 23 system equipment, wind energy conversion system equipment, and
 44 24 expenses incurred for delivery and installation of such
 44 25 equipment including technical assistance.
 44 26    6.  A school receiving a grant pursuant to this section may
 44 27 sell or otherwise transfer excess electricity that is
 44 28 generated by the renewable energy system that is beyond the
 44 29 needs of the school.
 44 30    7.  As used in this section, unless the context otherwise
 44 31 requires:
 44 32    a.  "Renewable energy system" means either a solar energy
 44 33 system or a wind energy conversion system.
 44 34    b.  "School" means a public or nonpublic school or that
 44 35 portion of a public or nonpublic school that provides teaching
 45  1 for any grade from kindergarten through grade twelve.
 45  2    c.  "Solar energy conversion system" means a system that
 45  3 collects and converts incident solar radiation into energy to
 45  4 generate electricity.
 45  5    d.  "Wind energy conversion system" means a system that
 45  6 collects and converts wind into energy to generate
 45  7 electricity.
 45  8    Sec. 61.  NEW SECTION.  476.48A  APPROPRIATION == RENEWABLE
 45  9 ENERGY FOR SCHOOLS.
 45 10    There is appropriated from the general fund of the state
 45 11 each fiscal year for the fiscal period beginning July 1, 2006,
 45 12 and ending June 30, 2011, to the Iowa energy center
 45 13 established pursuant to 266.39C the sum of one million dollars
 45 14 to be used for the renewable energy for schools grant program
 45 15 established in section 476.48.  Amounts appropriated pursuant
 45 16 to this section shall be in addition to, and shall not
 45 17 replace, funds otherwise appropriated to the state board of
 45 18 regents.  Notwithstanding section 8.33, moneys appropriated in
 45 19 this section that remain unencumbered or unobligated at the
 45 20 close of each fiscal year shall not revert but shall remain
 45 21 available for expenditure for the purposes designated.
 45 22    This section is repealed June 30, 2011.
 45 23                     GREEN PUBLIC BUILDINGS
 45 24    Sec. 62.  NEW SECTION.  473C.1  FINDINGS AND INTENT.
 45 25    1.  The general assembly finds that public buildings can be
 45 26 built and renovated using high=performance methods that save
 45 27 money, improve performance, increase productivity, and cut
 45 28 energy and utility costs.
 45 29    2.  It is the intent of the general assembly that state=
 45 30 owned buildings and schools be improved by adopting recognized
 45 31 standards for high=performance public buildings and allowing
 45 32 flexible methods and choices in how to achieve those
 45 33 standards.  The general assembly also intends that state
 45 34 agencies and public school districts shall document costs and
 45 35 savings to monitor the effectiveness of the requirements of
 46  1 this chapter and ensure that economic, community, and
 46  2 environmental goals are achieved each year, and that an
 46  3 independent performance review be conducted to evaluate this
 46  4 chapter and determine the extent to which the results intended
 46  5 by this chapter are being met.
 46  6    Sec. 63.  NEW SECTION.  473C.2  DEFINITIONS.
 46  7    As used in this chapter, unless the context otherwise
 46  8 requires:
 46  9    1.  "High=performance public building" means a high=
 46 10 performance public building designed, constructed, and
 46 11 certified to a standard as identified in this chapter.
 46 12    2.  "Institution of higher education" means a community
 46 13 college or public university in this state.
 46 14    3.  "LEED silver standard" means the United States green
 46 15 building council leadership in energy and environmental design
 46 16 green building rating standard, referred to as the silver
 46 17 standard.
 46 18    4.  a.  "Major facility project" means any of the
 46 19 following:
 46 20    (1)  A construction project larger than five thousand gross
 46 21 square feet of occupied or conditioned space.
 46 22    (2)  A building renovation project when the cost is greater
 46 23 than fifty percent of the assessed value and the project is
 46 24 larger than five thousand gross square feet of occupied or
 46 25 conditioned space.
 46 26    b.  "Major facility project" does not include any of the
 46 27 following:
 46 28    (1)  A project for which the department of administrative
 46 29 services, public school district, or other applicable agency
 46 30 and the design team determine the LEED silver standard or the
 46 31 sustainable school design protocol is not practicable.
 46 32    (2)  Transmitter buildings, pumping stations, hospitals,
 46 33 research facilities primarily used for sponsored laboratory
 46 34 experimentation, laboratory research, or laboratory training
 46 35 in research methods, or other similar building types as
 47  1 determined by the department.
 47  2    5.  "Public funds" means all funds that are public funds
 47  3 within the meaning of section 12C.1, subsection 2, paragraph
 47  4 "e".
 47  5    6.  "Public school district" means a school district
 47  6 eligible to receive state basic education moneys and tax funds
 47  7 collected pursuant to chapter 423E.
 47  8    7.  "State agency" means any executive, judicial, or
 47  9 legislative department, commission, board, institution,
 47 10 division, bureau, office, agency, or other entity of state
 47 11 government of this state.
 47 12    8.  "Sustainable school design protocol" means a school
 47 13 design protocol and related information developed by the state
 47 14 board of regents, the state board of education, and the Iowa
 47 15 association of community college trustees, in conjunction with
 47 16 public school districts and the department of education.
 47 17    Sec. 64.  NEW SECTION.  473C.3  STATE AGENCY PROJECTS.
 47 18    1.  All major facility projects of a state agency financed
 47 19 through an appropriation from the general assembly shall be
 47 20 designed, constructed, and certified to at least the LEED
 47 21 silver standard.  This subsection applies to major facility
 47 22 projects that have not entered the design phase prior to July
 47 23 1, 2006, and to the extent appropriate LEED silver standards
 47 24 exist for that type of building or facility.
 47 25    2.  When the LEED silver standard is determined not to be
 47 26 practicable for a project, it must be determined if any LEED
 47 27 standard is practicable for the project.  If LEED standards
 47 28 are not followed for the project, the state agency shall
 47 29 report these reasons to the department.
 47 30    3.  a.  A state agency shall monitor and document ongoing
 47 31 operating savings resulting from major facility projects
 47 32 designed, constructed, and certified as required under this
 47 33 section.
 47 34    b.  A state agency shall report annually to the department
 47 35 of administrative services on major facility projects and
 48  1 operating savings.
 48  2    4.  The department of administrative services shall
 48  3 consolidate the reports required in subsection 3 into one
 48  4 report and report to the governor and general assembly by
 48  5 September 1 of each even=numbered year beginning in 2008 and
 48  6 ending in 2020.  In the report, the department of
 48  7 administrative services shall also report on the
 48  8 implementation of this chapter, including reasons why the LEED
 48  9 silver standard was not used as required by this section.  The
 48 10 department of administrative services shall make
 48 11 recommendations regarding the ongoing implementation of this
 48 12 chapter, including a discussion of incentives and
 48 13 disincentives related to implementing this chapter.
 48 14    Sec. 65.  NEW SECTION.  473C.4  PUBLIC SCHOOL AND
 48 15 INSTITUTIONS OF HIGHER LEARNING.
 48 16    1.  All major facility projects of a public school district
 48 17 or institution of higher learning financed in whole or in part
 48 18 through public funds shall be designed and constructed to at
 48 19 least the LEED silver standard or the sustainable school
 48 20 design protocol.  To the extent appropriate LEED silver or
 48 21 sustainable school design protocol standards exist for the
 48 22 type of building or facility, this subsection applies to major
 48 23 facility projects that have not received project approval from
 48 24 the director of the department of education prior to July 1,
 48 25 2006.
 48 26    2.  When the LEED silver standard is determined not to be
 48 27 practicable for a project, it must be determined if any LEED
 48 28 standard is practicable for the project.  If LEED standards or
 48 29 the sustainable school design protocol is not followed for the
 48 30 project, the public school district or institution of higher
 48 31 learning shall report these reasons to the department.
 48 32    3.  Public school districts and institutions of higher
 48 33 learning under this section shall do all of the following:
 48 34    a.  Monitor and document appropriate operating benefits and
 48 35 savings resulting from major facility projects designed and
 49  1 constructed as required under this section for a minimum of
 49  2 five years following acceptance of a project receiving state
 49  3 funding.
 49  4    b.  Report annually to the director of the department of
 49  5 education.  The form and content of each report must be
 49  6 mutually developed by the department of education in
 49  7 consultation with public school districts and the state board
 49  8 of regents.
 49  9    4.  The director of the department of education shall
 49 10 consolidate the reports required in subsection 3 into one
 49 11 report and report to the governor and general assembly by
 49 12 September 1 of each even=numbered year beginning in 2008 and
 49 13 ending in 2020.  In its report, the director of the department
 49 14 of education shall also report on the implementation of this
 49 15 chapter, including reasons why the LEED silver standard or
 49 16 sustainable school design protocol was not used as required by
 49 17 this section.  The director of the department of education
 49 18 shall make recommendations regarding the ongoing
 49 19 implementation of this chapter, including a discussion of
 49 20 incentives and disincentives related to implementing this
 49 21 chapter.
 49 22    5.  The state board of education, in consultation with the
 49 23 director of the department of education, shall develop and
 49 24 issue guidelines for administering this chapter for public
 49 25 school districts and community colleges.  The state board of
 49 26 regents shall develop and issue guidelines for administering
 49 27 this chapter for institutions of higher learning.  The purpose
 49 28 of the guidelines is to define a procedure and method for
 49 29 employing and verifying compliance with the LEED silver
 49 30 standard or the sustainable school design protocol.
 49 31    6.  The director of the department of education shall
 49 32 establish a school facilities advisory committee as a high=
 49 33 performance buildings advisory committee comprised of affected
 49 34 public schools, the state board of education, the state board
 49 35 of regents, the department, the director of the department of
 50  1 education, the Iowa association of community college trustees,
 50  2 and others at the director of the department of education's
 50  3 discretion to provide advice on implementing this chapter.
 50  4 Among other duties, the advisory committee shall make
 50  5 recommendations regarding an education and training process
 50  6 and an ongoing evaluation or feedback process to help the
 50  7 director of the department of education and the state board of
 50  8 education implement this chapter.
 50  9    Sec. 66.  NEW SECTION.  473C.5  REPORT TO GENERAL ASSEMBLY.
 50 10    On or before January 1, 2009, the department of
 50 11 administrative services and the director of the department of
 50 12 education shall summarize the reports submitted under sections
 50 13 473C.3 and 473C.4 and submit the individual reports to the
 50 14 legislative capital projects committee, the legislative
 50 15 standing committees on state government, and the legislative
 50 16 standing committees on education for review of the program's
 50 17 performance and consideration of any changes that may be
 50 18 needed to adapt the program to any new or modified standards
 50 19 for high=performance buildings that meet the intent of this
 50 20 chapter.
 50 21    Sec. 67.  NEW SECTION.  473C.6  IMPLEMENTATION.
 50 22    1.  a.  The department of administrative services, in
 50 23 consultation with affected state agencies, shall develop and
 50 24 issue guidelines for administering this chapter for state
 50 25 agencies.  The purpose of the guidelines is to define a
 50 26 procedure and method for employing and verifying activities
 50 27 necessary for certification to at least the LEED silver
 50 28 standard for major facility projects.
 50 29    b.  The department of administrative services and the
 50 30 department of education shall amend any fee schedules for
 50 31 architectural and engineering services to accommodate the
 50 32 requirements in the design of major facility projects under
 50 33 this chapter.
 50 34    c.  Major facility projects designed to meet standards
 50 35 identified in this chapter must include building commissioning
 51  1 as a critical cost saving part of the construction process.
 51  2 This process includes input from the project design and
 51  3 construction teams and the project ownership representatives.
 51  4    d.  As provided in the request for proposals for
 51  5 construction services, the department of administrative
 51  6 services shall hold a preproposal conference for prospective
 51  7 bidders to discuss compliance with and achievement of
 51  8 standards identified in this chapter for prospective
 51  9 respondents.
 51 10    2.  The department of administrative services shall create
 51 11 a high=performance buildings advisory committee comprised of
 51 12 representatives from the design and construction industry
 51 13 involved in public works contracting, personnel from the
 51 14 affected state agencies responsible for overseeing public
 51 15 works projects, the state board of education, the department
 51 16 of education, and others at the department of administrative
 51 17 services' discretion to provide advice on implementing this
 51 18 chapter.  Among other duties, the advisory committee shall
 51 19 make recommendations regarding an education and training
 51 20 process and an ongoing evaluation or feedback process to help
 51 21 the department of administrative services implement this
 51 22 chapter.
 51 23    Sec. 68.  NEW SECTION.  473C.7  RULES.
 51 24    1.  The department of administrative services, the
 51 25 department of education, and the state board of regents shall
 51 26 adopt rules pursuant to chapter 17A to administer this
 51 27 chapter.
 51 28    2.  In adopting implementation rules, the department of
 51 29 education and the state board of regents, in consultation with
 51 30 the department of administrative services, shall review and
 51 31 modify any other requirement for energy conservation by public
 51 32 schools and institutions of higher learning.
 51 33    3.  In adopting implementation rules, the department of
 51 34 education, in consultation with the state board of education
 51 35 shall do all of the following:
 52  1    a.  Review private and public utility providers' capacity
 52  2 and financial and technical assistance programs for affected
 52  3 public school districts to monitor and report utility
 52  4 consumption for purposes of reporting to the director of the
 52  5 department of education as provided in section 473C.4.
 52  6    b.  Coordinate with the department of administrative
 52  7 services, the state board of health, the department of natural
 52  8 resources, federal agencies, and other affected agencies as
 52  9 appropriate in their consideration of rules to implement this
 52 10 section.
 52 11    Sec. 69.  NEW SECTION.  473C.8  NONLIABILITY.
 52 12    A member of the design or construction team shall not be
 52 13 held liable for the failure of a major facility project to
 52 14 meet the LEED silver standard or other LEED standard
 52 15 established for the project as long as a good faith attempt
 52 16 was made to achieve the LEED standard set for the project.
 52 17    Sec. 70.  NEW SECTION.  473C.9  HOUSING PROJECTS EXEMPT.
 52 18    Affordable housing projects funded through the Iowa finance
 52 19 authority are exempt from the provisions of this chapter.
 52 20    Sec. 71.  NEW SECTION.  262.101  HIGH=PERFORMANCE ENERGY
 52 21 STANDARDS.
 52 22    An institution of higher education under the board's
 52 23 control shall comply with high=performance public building
 52 24 requirements under chapter 473C.
 52 25    Sec. 72.  Section 279.39, Code 2005, is amended to read as
 52 26 follows:
 52 27    279.39  SCHOOL BUILDINGS == HIGH=PERFORMANCE ENERGY
 52 28 STANDARDS.
 52 29    1.  The board of any school corporation shall establish
 52 30 attendance centers and provide suitable buildings for each
 52 31 school in the district and may at the regular or a special
 52 32 meeting call a special election to submit to the registered
 52 33 voters of the district the question of voting a tax or
 52 34 authorizing the board to issue bonds, or both.
 52 35    2.  Public school districts shall comply with high=
 53  1 performance public building requirements under chapter 473C.
 53  2                           EXPLANATION
 53  3    This bill relates to the regulation, production, and
 53  4 consumption of energy.
 53  5    DIVISION I == ECONOMIC DEVELOPMENT == CLEAN ENERGY.  The
 53  6 bill requires the Iowa economic development board to establish
 53  7 a clean energy assistance program to provide financial
 53  8 assistance for the establishment or expansion of renewable
 53  9 energy facilities or energy=efficient products or technology
 53 10 in this state.  The bill establishes a clean energy financial
 53 11 assistance fund and appropriates $5,000,000 each fiscal year
 53 12 for five years to the fund.
 53 13    SMALL WIND ENERGY TAX CREDITS.  The bill expands the small
 53 14 wind energy tax credits of Code chapter 476C by extending the
 53 15 deadline for placement into service of a renewable energy
 53 16 facility by one year to 2012.  The bill increases the maximum
 53 17 amount of nameplate generating capacity for wind energy
 53 18 conversion systems from 90 megawatts to 180 megawatts and
 53 19 increases the maximum amount of other renewable energy
 53 20 facilities available from 10 megawatts to 20 megawatts.  The
 53 21 bill provides for the Iowa utilities board to deny any
 53 22 application received after the maximum amount of nameplate
 53 23 generating capacity has been reached.
 53 24    ENERGY STAR PRODUCTS SALES TAX EXEMPTION.  The bill
 53 25 provides for a sales tax exemption for products that have
 53 26 received the energy star label developed by the United States
 53 27 environmental protection agency purchased in this state after
 53 28 January 1, 2007.
 53 29    GREEN BUILDING INCOME TAX CREDITS.  The bill provides for a
 53 30 tax credit on personal and corporate income tax for the
 53 31 construction or rehabilitation of certain buildings certified
 53 32 under certain building standards that promote energy
 53 33 efficiency.  Tax credits are available in an amount equal to a
 53 34 percentage of the costs for the construction of or
 53 35 rehabilitation to a green whole building standard, green base
 54  1 building standard, and green tenant space standard, and for
 54  2 the installation of a fuel cell, photovoltaic module, or wind
 54  3 turbine as provided by the bill.
 54  4    DIVISION II == UNIVERSITY=BASED RESEARCH AND DEVELOPMENT ==
 54  5 IOWA CENTER FOR ADVANCED RENEWABLE ENERGY.  The bill
 54  6 establishes the Iowa center for advanced renewable energy at
 54  7 the Iowa energy center at Iowa state university of science and
 54  8 technology to improve the economic and environmental
 54  9 performance in addition to the feasibility of renewable energy
 54 10 products and production in this state.  An appropriation of $5
 54 11 million each fiscal year for five years is made to the board
 54 12 of regents for the new center.
 54 13    DIVISION III == MOTOR VEHICLES == FEDERAL ENERGY INCENTIVES
 54 14 PUBLIC EDUCATION.  The bill provides an appropriation of
 54 15 $100,000 each fiscal year for five years to the department of
 54 16 natural resources to use for public education of the federal
 54 17 alternative motor vehicle tax credit.
 54 18    FUEL=EFFICIENT VEHICLES USE TAX REFUND.  The bill provides
 54 19 for a use tax refund for certain fuel=efficient motor vehicles
 54 20 whose combined gasoline mileage rating exceeds 27 and one=half
 54 21 miles per gallon.  The amount of the credit shall be either
 54 22 $10 for each mile per gallon above 27 and one=half or $25,
 54 23 whichever is greater.  The use tax refund shall be
 54 24 administered by the department of natural resources.  An
 54 25 amount equal to $5 million per fiscal year for five fiscal
 54 26 years is appropriated to the department of revenue to issue
 54 27 the use tax refunds.
 54 28    DIVISION IV == UTILITY REGULATION == RENEWABLE ENERGY
 54 29 PRODUCTION STANDARD.  The bill requires rate=regulated public
 54 30 utilities to own or purchase at least five percent of its
 54 31 total annual Iowa retail electric sales from alternative
 54 32 energy production facilities by December 31, 2010.  The bill
 54 33 increases the percentage to 7 percent by December 31, 2015,
 54 34 and to 10 percent by December 31, 2020, and each year
 54 35 thereafter.
 55  1    ELECTRIC POWER GENERATION AND FOSSIL FUEL USE.  The bill
 55  2 requires the Iowa utilities board, when taking action on an
 55  3 application for a certificate of public convenience to provide
 55  4 electric power generation and transmission, consistent with
 55  5 reasonable land use and environmental policies, to consider
 55  6 available technology, the costs of available alternatives, the
 55  7 potential for cogeneration of electricity and heat and capture
 55  8 or offset of carbon dioxide emissions, the depletion of fossil
 55  9 fuel resources, the financial protection of Iowans regarding
 55 10 future federal greenhouse gas regulations, and certain
 55 11 greenhouse gas reduction goals.
 55 12    DIVISION V == CONSERVATION AND EDUCATION == LOW=INCOME
 55 13 WEATHERIZATION.  The bill makes an appropriation to the
 55 14 division of community action agencies of the department of
 55 15 human rights for $2 million for residential weatherization and
 55 16 related repairs for low=income households.  The bill allows
 55 17 the division of community action agencies to adopt rules to
 55 18 provide weatherization assistance for a fee for certain
 55 19 persons whose income is above 100 percent of the poverty level
 55 20 and for owners of rental housing.
 55 21    COMMUNITY ENERGY CONSERVATION PLANS.  The bill establishes
 55 22 a community energy conservation plan program within the
 55 23 utilities division of the department of commerce to assist
 55 24 communities with preparing and adopting energy conservation
 55 25 plans to reduce consumption of natural gas and electricity in
 55 26 the community.  The bill makes an appropriation of $500,000
 55 27 per fiscal year for five fiscal years to the utilities
 55 28 division to establish and administer the program.
 55 29    ENERGY CONSERVATION TRAINING.  The bill requires community
 55 30 action agencies to provide free energy management and
 55 31 conservation training to persons receiving energy assistance
 55 32 from customer contributions under Code section 476.66.  The
 55 33 energy management and conservation training is required as a
 55 34 condition to receiving assistance under Code section 476.66.
 55 35 The bill appropriates $300,000 per fiscal year for five fiscal
 56  1 years to the division of community action agencies to provide
 56  2 the energy management and conservation training.
 56  3    STATE BUILDING CODE EFFICIENCY ENFORCEMENT.  The bill makes
 56  4 an appropriation of $200,000 per fiscal year for five fiscal
 56  5 years to the office of the state fire marshal of the
 56  6 department of public safety to provide public education of
 56  7 energy=efficiency standards required by the state building
 56  8 code.
 56  9    RENEWABLE ENERGY EDUCATION GRANTS.  The bill establishes a
 56 10 renewable energy education grant program in the department of
 56 11 natural resources to provide public education of the benefits
 56 12 of energy=efficient design and technology and the generation
 56 13 of electricity using renewable energy conversion systems.  The
 56 14 grants are available to any person residing in this state, a
 56 15 nonpublic school or public school district located in this
 56 16 state, or an institution of higher learning located in this
 56 17 state.  The bill appropriates $100,000 per fiscal year for
 56 18 five years to the renewable energy education grant program.
 56 19    SOLAR ENERGY SYSTEMS SALES TAX EXEMPTION.  The bill
 56 20 provides for a sales tax exemption for the sale price of a
 56 21 solar energy system designed to heat water or otherwise
 56 22 provide electric power.  The bill provides that this sales tax
 56 23 exemption shall be effective upon enactment and retroactively
 56 24 applicable to February 7, 2006.
 56 25    CLIMATE CHANGE ADVISORY COUNCIL.  The bill establishes a
 56 26 state advisory council on climate change to advise the
 56 27 governor and general assembly on issues relating to climate
 56 28 change, facilitate cooperation among private industry and
 56 29 citizens on climate change, identify research and assessment
 56 30 needs, investigate the effects of climatic change on human
 56 31 health, agriculture, and natural resources, and evaluate
 56 32 current greenhouse gas mitigation projects.  The bill makes an
 56 33 appropriation of $100,000 per fiscal year for five years to
 56 34 the department of natural resources for the establishment and
 56 35 support of the state advisory council on climate change.
 57  1    EMISSION REDUCTION GOALS.  The bill provides a goal of the
 57  2 state of Iowa to reduce emissions of greenhouse gases to not
 57  3 less than the per capita emissions in the year 1990 by the
 57  4 year 2020.
 57  5    CLIMATE CHANGE MONITORING COLLABORATIVE.  The bill
 57  6 establishes a climate change monitoring collaborative to be
 57  7 coordinated by the center for global and regional
 57  8 environmental research at the university of Iowa.  The bill
 57  9 makes an appropriation of $100,000 each fiscal year for five
 57 10 fiscal years to the state board of regents to establish the
 57 11 climate change monitoring collaborative.
 57 12    CARBON SEQUESTRATION REGISTRY.  The bill provides for the
 57 13 establishment of a voluntary carbon sequestration registry in
 57 14 the department of agriculture and land stewardship to
 57 15 encourage the voluntary reduction of greenhouse gas emissions,
 57 16 to record carbon sequestrations, and promote economic
 57 17 opportunities with carbon credit trading.  The bill
 57 18 establishes requirements for participation and the
 57 19 certification of baseline carbon sequestration results.  The
 57 20 bill makes an appropriation of $200,000 each fiscal year for
 57 21 five years to the department of agriculture and land
 57 22 stewardship to establish and administer the registry.
 57 23    DIVISION VII == PUBLIC BUILDINGS AND SCHOOLS == STATE
 57 24 AGENCY ENERGY CONSERVATION.  The bill provides an
 57 25 appropriation of $100,000 for each fiscal year for five years
 57 26 to the state of Iowa facilities improvement corporation
 57 27 established by the department of natural resources to
 57 28 implement the recommendations of Executive Order Number Forty=
 57 29 one relating to energy conservation methods of state agencies.
 57 30    RENEWABLE ENERGY GRANTS FOR SCHOOL.  The bill provides for
 57 31 a renewable energy for schools grant program to assist schools
 57 32 in the installation of renewable energy systems to generate
 57 33 electricity and provide education.  The Iowa energy center
 57 34 shall administer the program and approve grants up to $1
 57 35 million per fiscal year beginning July 1, 2007.  The bill
 58  1 makes an appropriation of $1 million each fiscal year for five
 58  2 years to the Iowa energy center to administer the program.
 58  3    GREEN PUBLIC BUILDINGS.  The bill requires certain public
 58  4 buildings to meet certain green building rating standards as
 58  5 high=performance public buildings.  The bill requires all
 58  6 major facility projects of a state agency or of another
 58  7 person, institution of higher learning, or public school
 58  8 district that receives an appropriation of state funds from
 58  9 the general assembly to be designed, constructed, and
 58 10 certified to certain standards of the United States building
 58 11 council leadership in energy and environmental design green
 58 12 building rating standard otherwise called the LEED silver
 58 13 standard.  The bill provides for exceptions to the
 58 14 certification requirement under the bill.
 58 15    The bill provides for certain provisions of the bill
 58 16 related to appropriations to be repealed at a future date and
 58 17 provides for effective dates for division III and division V.
 58 18 LSB 5602YH 81
 58 19 kk:rj/cf/24