Senate File 2206 - Introduced



                                       SENATE FILE       
                                       BY  BOLKCOM


    Passed Senate,  Date               Passed House, 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 clean energy financial
  3    assistance, wind energy tax credits, green building income tax
  4    credits, and advanced renewable energy technology research and
  5    development, requiring an electricity renewable energy
  6    standard, providing for public education of energy efficiency,
  7    establishing an advisory council on climate change,
  8    establishing high=performance standards for certain public
  9    buildings, and making appropriations.
 10 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
 11 TLSB 5910SS 81
 12 kk/cf/24

PAG LIN



  1  1                           DIVISION I
  1  2                CLEAN ENERGY FINANCIAL ASSISTANCE
  1  3    Section 1.  NEW SECTION.  15E.400  CLEAN ENERGY FINANCIAL
  1  4 ASSISTANCE.
  1  5    1.  The Iowa economic development board shall establish a
  1  6 clean energy financial 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 section
  2 24 15E.402, and any other moneys available to and obtained or
  2 25 accepted by the board from the federal government or private
  2 26 sources for placement in the fund.  The assets of the fund
  2 27 shall be used by the board only for administration and
  2 28 carrying out the 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                           DIVISION II
  3 29                  SMALL WIND ENERGY TAX CREDITS
  3 30    Sec. 4.  Section 476C.1, subsection 6, paragraph d, Code
  3 31 Supplement 2005, is amended to read as follows:
  3 32    d.  Was initially placed into service on or after July 1,
  3 33 2005, and before January 1, 2011 2012.
  3 34    Sec. 5.  Section 476C.3, subsection 4, Code Supplement
  3 35 2005, is amended to read as follows:
  4  1    4.  The maximum amount of nameplate generating capacity of
  4  2 all wind energy conversion facilities the board may find
  4  3 approve as eligible under this chapter shall not exceed ninety
  4  4 one hundred eighty megawatts of nameplate generating capacity.
  4  5 The maximum amount of energy production capacity equivalent of
  4  6 all other facilities the board may find eligible under this
  4  7 chapter shall not exceed a combined output of ten twenty
  4  8 megawatts of nameplate generating capacity.  If in the opinion
  4  9 of the board the maximum amount of nameplate generating
  4 10 capacity of wind energy has been reached, the board shall deny
  4 11 all subsequently filed applications for a determination of
  4 12 eligibility until the following July 1 at which time the board
  4 13 may accept new applications for additional capacity if such
  4 14 capacity is available.
  4 15    Sec. 6.  Section 476C.5, Code Supplement 2005, is amended
  4 16 to read as follows:
  4 17    476C.5  CERTIFICATE ISSUANCE PERIOD.
  4 18    A producer or purchaser of renewable energy may receive
  4 19 renewable energy tax credit certificates for a ten=year period
  4 20 for each eligible renewable energy facility under this
  4 21 chapter.  The ten=year period for issuance of the tax credit
  4 22 certificates begins with the date the purchaser of renewable
  4 23 energy first purchases electricity, hydrogen fuel, methane gas
  4 24 or other biogas used to generate electricity, or heat for
  4 25 commercial purposes from the eligible renewable energy
  4 26 facility for which a tax credit is issued under this chapter.
  4 27 Renewable energy tax credit certificates shall not be issued
  4 28 for renewable energy purchased after December 31, 2020 2021.
  4 29    Sec. 7.  EMERGENCY RULES.  The Iowa utilities board may
  4 30 adopt emergency rules under section 17A.4, subsection 2, and
  4 31 section 17A.5, subsection 2, paragraph "b", to implement this
  4 32 division of this Act and the rules shall be effective
  4 33 immediately upon filing unless a later date is specified in
  4 34 the rules.  Any rules adopted in accordance with this section
  4 35 shall also be published as a notice of intended action as
  5  1 provided in section 17A.4.
  5  2                          DIVISION III
  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.4.
  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 section 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,
 16 12 green base building, or green tenant space continues to meet
 16 13 requirements 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                           DIVISION IV
 17 19            IOWA CENTER FOR ADVANCED RENEWABLE ENERGY
 17 20    Sec. 19.  NEW SECTION.  266.39G  ADVANCED RENEWABLE ENERGY
 17 21 TECHNOLOGY RESEARCH AND DEVELOPMENT == APPROPRIATION.
 17 22    1.  The Iowa center for advanced renewable energy is
 17 23 established at the Iowa energy center at Iowa state university
 17 24 of science and technology to improve the economic and
 17 25 environmental performance and feasibility of renewable energy
 17 26 products and production in Iowa.  The center shall conduct and
 17 27 sponsor research for and assist in the commercialization of
 17 28 cellulose=based ethanol, advanced soy diesel, methane
 17 29 recapture, and other renewable energy conversion systems that
 17 30 may reduce the dependence of Iowans on nonrenewable energy,
 17 31 create jobs and economic growth in Iowa, and reduce the
 17 32 emissions of greenhouse gases.
 17 33    2.  The center shall be directed by the director of the
 17 34 Iowa energy center who shall employ necessary research and
 17 35 support staff.  No more than one hundred fifty thousand
 18  1 dollars of the moneys made available by appropriation of state
 18  2 revenues in any one year shall be expended by the center for
 18  3 advanced renewable energy for the salaries and benefits of the
 18  4 employees of the center.  The remainder of the state moneys
 18  5 appropriated shall be used to sponsor research grants and
 18  6 projects submitted on a competitive basis by Iowa colleges and
 18  7 universities and private nonprofit agencies and foundations.
 18  8 The center may also solicit additional grants and funding from
 18  9 public and private nonprofit agencies and foundations.
 18 10    3.  There is appropriated from the general fund of the
 18 11 state each fiscal year for the fiscal period beginning July 1,
 18 12 2006, and ending June 30, 2011, to the state board of regents
 18 13 the sum of five million dollars to be used for the Iowa center
 18 14 for advanced renewable energy.  Amounts appropriated pursuant
 18 15 to this section shall be in addition to, and shall not
 18 16 replace, funds otherwise appropriated to the state board of
 18 17 regents.  Notwithstanding section 8.33, moneys appropriated in
 18 18 this section that remain unencumbered or unobligated at the
 18 19 close of each fiscal year shall not revert but shall remain
 18 20 available for expenditure for the purposes designated.
 18 21    This section is repealed June 30, 2011.
 18 22                           DIVISION V
 18 23              RENEWABLE ENERGY PRODUCTION STANDARD
 18 24    Sec. 20.  Section 476.44, subsection 2, Code 2005, is
 18 25 amended to read as follows:
 18 26    2.  An electric utility subject to this division, except a
 18 27 utility that elects rate regulation pursuant to section
 18 28 476.1A, shall not be required to own or purchase, at any one
 18 29 time, more than its share of one hundred five megawatts of
 18 30 power at least the following percentages of its total annual
 18 31 Iowa retail electric sales from alternative energy production
 18 32 facilities or small hydro facilities at the rates established
 18 33 pursuant to section 476.43:
 18 34    a.  By December 31, 2010, five percent.
 18 35    b.  By December 31, 2015, seven percent.
 19  1    c.  By December 31, 2020, and annually thereafter, at least
 19  2 ten percent.
 19  3 The board shall allocate the one hundred five megawatts based
 19  4 upon each utility's percentage of the total Iowa retail peak
 19  5 demand, for the year beginning January 1, 1990, of all
 19  6 utilities subject to this section.  If a utility undergoes
 19  7 reorganization as defined in section 476.76, the board shall
 19  8 combine the allocated purchases of power for each utility
 19  9 involved in the reorganization.
 19 10    Notwithstanding the one hundred five megawatt maximum, the
 19 11 board may increase the amount of power that a utility is
 19 12 required to own or purchase at the rates established pursuant
 19 13 to section 476.43 if the board finds that a utility, including
 19 14 a reorganized utility, exceeds its 1990 Iowa retail peak
 19 15 demand by twenty percent and the additional power the utility
 19 16 is required to purchase will encourage the development of
 19 17 alternate energy production facilities and small hydro
 19 18 facilities.  The increase shall not exceed the utility's
 19 19 increase in peak demand multiplied by the ratio of the
 19 20 utility's share of the one hundred five megawatt maximum to
 19 21 its 1990 Iowa retail peak demand.
 19 22                           DIVISION VI
 19 23           STATE BUILDING CODE EFFICIENCY ENFORCEMENT
 19 24    Sec. 21.  NEW SECTION.  103A.27  APPROPRIATION == ENERGY=
 19 25 EFFICIENCY EDUCATION.
 19 26    There is appropriated from the general fund of the state
 19 27 each fiscal year for the fiscal period beginning July 1, 2006,
 19 28 and ending June 30, 2011, to the office of the state fire
 19 29 marshal of the department of public safety the sum of two
 19 30 hundred thousand dollars to be used to provide public
 19 31 education and enforcement of energy=efficiency requirements of
 19 32 the state building code.  Amounts appropriated pursuant to
 19 33 this section shall be in addition to, and shall not replace,
 19 34 funds otherwise appropriated to the department of public
 19 35 safety.  Notwithstanding section 8.33, moneys appropriated in
 20  1 this section that remain unencumbered or unobligated at the
 20  2 close of each fiscal year shall not revert but shall remain
 20  3 available for expenditure for the purposes designated.
 20  4    This section is repealed June 30, 2011.
 20  5                          DIVISION VII
 20  6                 CLIMATE CHANGE ADVISORY COUNCIL
 20  7    Sec. 22.  NEW SECTION.  473.45  ADVISORY COUNCIL ON CLIMATE
 20  8 CHANGE.
 20  9    1.  A state advisory council on climate change is created.
 20 10 The council shall consist of nine members appointed by the
 20 11 governor for three=year staggered terms.  Members shall be
 20 12 eligible for reappointment.  The members shall have an
 20 13 interest or experience in a field of research or an activity
 20 14 that relates to issues concerning greenhouse gas emissions or
 20 15 climatic change and represent at least one of the following
 20 16 areas or groups:
 20 17    a.  Transportation industry and regulators.
 20 18    b.  Utility industry and regulators.
 20 19    c.  Private industry.
 20 20    d.  Agriculture industry and regulators.
 20 21    e.  Faith.
 20 22    f.  Environmental.
 20 23    g.  Higher education.
 20 24    2.  The director of the department of natural resources
 20 25 shall serve as chair of the council.  The department of
 20 26 natural resources is the primary agency responsible for
 20 27 providing administrative personnel and services for the
 20 28 council.
 20 29    3.  The council shall meet at least two times annually and
 20 30 at the call of the chair.  Members of the council shall serve
 20 31 without compensation but may receive their actual expenses
 20 32 incurred in the performance of their duties.
 20 33    4.  The objectives of the council shall include all of the
 20 34 following:
 20 35    a.  Serve as the central advisory body for climate change
 21  1 to the governor and general assembly of this state.
 21  2    b.  Serve as a coordinating body to facilitate cooperation
 21  3 among private industries and citizens, and regulatory agencies
 21  4 within the state on issues related to climate change.
 21  5    c.  Provide the most accurate climate information to the
 21  6 citizens of Iowa.
 21  7    d.  Identify the research and assessment needs regarding
 21  8 climate change for colleges and universities and private
 21  9 business in this state.
 21 10    e.  Interact with local schools, colleges and universities,
 21 11 and with other teaching community organizations on different
 21 12 aspects of climate change.
 21 13    f.  Investigate the effects of climatic changes on human
 21 14 health, agriculture, and natural resources, and develop
 21 15 forecasts that assist in resource management.
 21 16    g.  Evaluate current greenhouse gas mitigation projects and
 21 17 programs of the state and identify opportunities and
 21 18 prioritize measures for greenhouse gas mitigation.
 21 19    h.  Assess current information regarding sources of
 21 20 greenhouse gas emissions attributable to Iowa and develop
 21 21 additional measures if appropriate.
 21 22    5.  The council shall provide a report to the general
 21 23 assembly of the council's findings and recommendations each
 21 24 year by December 1.
 21 25    Sec. 23.  NEW SECTION.  473.46  APPROPRIATION == STATE
 21 26 ADVISORY COUNCIL ON CLIMATE CHANGE.
 21 27    There is appropriated from the general fund of the state
 21 28 each fiscal year for the fiscal period beginning July 1, 2006,
 21 29 and ending June 30, 2011, to the department of natural
 21 30 resources the sum of one hundred thousand dollars to be used
 21 31 for the establishment and support of the state advisory
 21 32 council on climate change established in section 473.45.
 21 33 Amounts appropriated pursuant to this section shall be in
 21 34 addition to, and shall not replace, funds otherwise
 21 35 appropriated to the department of natural resources.
 22  1 Notwithstanding section 8.33, moneys appropriated in this
 22  2 section that remain unencumbered or unobligated at the close
 22  3 of each fiscal year shall not revert but shall remain
 22  4 available for expenditure for the purposes designated.
 22  5    This section is repealed June 30, 2011.
 22  6                          DIVISION VIII
 22  7                     GREEN PUBLIC BUILDINGS
 22  8    Sec. 24.  NEW SECTION.  473C.1  FINDINGS AND INTENT.
 22  9    1.  The general assembly finds that public buildings can be
 22 10 built and renovated using high=performance methods that save
 22 11 money, improve performance, increase productivity, and cut
 22 12 energy and utility costs.
 22 13    2.  It is the intent of the general assembly that state=
 22 14 owned buildings and schools be improved by adopting recognized
 22 15 standards for high=performance public buildings and allowing
 22 16 flexible methods and choices in how to achieve those
 22 17 standards.  The general assembly also intends that state
 22 18 agencies and public school districts shall document costs and
 22 19 savings to monitor the effectiveness of the requirements of
 22 20 this chapter and ensure that economic, community, and
 22 21 environmental goals are achieved each year, and that an
 22 22 independent performance review be conducted to evaluate this
 22 23 chapter and determine the extent to which the results intended
 22 24 by this chapter are being met.
 22 25    Sec. 25.  NEW SECTION.  473C.2  DEFINITIONS.
 22 26    As used in this chapter, unless the context otherwise
 22 27 requires:
 22 28    1.  "High=performance public building" means a high=
 22 29 performance public building designed, constructed, and
 22 30 certified to a standard as identified in this chapter.
 22 31    2.  "Institution of higher education" means a community
 22 32 college or public university in this state.
 22 33    3.  "LEED silver standard" means the United States green
 22 34 building council leadership in energy and environmental design
 22 35 green building rating standard, referred to as the silver
 23  1 standard.
 23  2    4.  a.  "Major facility project" means any of the
 23  3 following:
 23  4    (1)  A construction project larger than five thousand gross
 23  5 square feet of occupied or conditioned space.
 23  6    (2)  A building renovation project when the cost is greater
 23  7 than fifty percent of the assessed value and the project is
 23  8 larger than five thousand gross square feet of occupied or
 23  9 conditioned space.
 23 10    b.  "Major facility project" does not include any of the
 23 11 following:
 23 12    (1)  A project for which the department of administrative
 23 13 services, public school district, or other applicable agency
 23 14 and the design team determine the LEED silver standard or the
 23 15 sustainable school design protocol is not practicable.
 23 16    (2)  Transmitter buildings, pumping stations, hospitals,
 23 17 research facilities primarily used for sponsored laboratory
 23 18 experimentation, laboratory research, or laboratory training
 23 19 in research methods, or other similar building types as
 23 20 determined by the department.
 23 21    5.  "Public funds" means all funds that are public funds
 23 22 within the meaning of section 12C.1, subsection 2, paragraph
 23 23 "e".
 23 24    6.  "Public school district" means a school district
 23 25 eligible to receive state basic education moneys and tax funds
 23 26 collected pursuant to chapter 423E.
 23 27    7.  "State agency" means any executive, judicial, or
 23 28 legislative department, commission, board, institution,
 23 29 division, bureau, office, agency, or other entity of state
 23 30 government of this state.
 23 31    8.  "Sustainable school design protocol" means a school
 23 32 design protocol and related information developed by the state
 23 33 board of regents, the state board of education, and the Iowa
 23 34 association of community college trustees, in conjunction with
 23 35 public school districts and the department of education.
 24  1    Sec. 26.  NEW SECTION.  473C.3  STATE AGENCY PROJECTS.
 24  2    1.  All major facility projects of a state agency financed
 24  3 through an appropriation from the general assembly shall be
 24  4 designed, constructed, and certified to at least the LEED
 24  5 silver standard.  This subsection applies to major facility
 24  6 projects that have not entered the design phase prior to July
 24  7 1, 2006, and to the extent appropriate LEED silver standards
 24  8 exist for that type of building or facility.
 24  9    2.  When the LEED silver standard is determined not to be
 24 10 practicable for a project, it must be determined if any LEED
 24 11 standard is practicable for the project.  If LEED standards
 24 12 are not followed for the project, the state agency shall
 24 13 report these reasons to the department.
 24 14    3.  a.  A state agency shall monitor and document ongoing
 24 15 operating savings resulting from major facility projects
 24 16 designed, constructed, and certified as required under this
 24 17 section.
 24 18    b.  A state agency shall report annually to the department
 24 19 of administrative services on major facility projects and
 24 20 operating savings.
 24 21    4.  The department of administrative services shall
 24 22 consolidate the reports required in subsection 3 into one
 24 23 report and report to the governor and general assembly by
 24 24 September 1 of each even=numbered year beginning in 2008 and
 24 25 ending in 2020.  In the report, the department of
 24 26 administrative services shall also report on the
 24 27 implementation of this chapter, including reasons why the LEED
 24 28 silver standard was not used as required by this section.  The
 24 29 department of administrative services shall make
 24 30 recommendations regarding the ongoing implementation of this
 24 31 chapter, including a discussion of incentives and
 24 32 disincentives related to implementing this chapter.
 24 33    Sec. 27.  NEW SECTION.  473C.4  PUBLIC SCHOOL AND
 24 34 INSTITUTIONS OF HIGHER LEARNING.
 24 35    1.  All major facility projects of a public school district
 25  1 or institution of higher learning financed in whole or in part
 25  2 through public funds shall be designed and constructed to at
 25  3 least the LEED silver standard or the sustainable school
 25  4 design protocol.  To the extent appropriate LEED silver or
 25  5 sustainable school design protocol standards exist for the
 25  6 type of building or facility, this subsection applies to major
 25  7 facility projects that have not received project approval from
 25  8 the director of the department of education prior to July 1,
 25  9 2006.
 25 10    2.  When the LEED silver standard is determined not to be
 25 11 practicable for a project, it must be determined if any LEED
 25 12 standard is practicable for the project.  If LEED standards or
 25 13 the sustainable school design protocol is not followed for the
 25 14 project, the public school district or institution of higher
 25 15 learning shall report these reasons to the department.
 25 16    3.  Public school districts and institutions of higher
 25 17 learning under this section shall do all of the following:
 25 18    a.  Monitor and document appropriate operating benefits and
 25 19 savings resulting from major facility projects designed and
 25 20 constructed as required under this section for a minimum of
 25 21 five years following acceptance of a project receiving state
 25 22 funding.
 25 23    b.  Report annually to the director of the department of
 25 24 education.  The form and content of each report must be
 25 25 mutually developed by the department of education in
 25 26 consultation with public school districts and the state board
 25 27 of regents.
 25 28    4.  The director of the department of education shall
 25 29 consolidate the reports required in subsection 3 into one
 25 30 report and report to the governor and general assembly by
 25 31 September 1 of each even=numbered year beginning in 2008 and
 25 32 ending in 2020.  In its report, the director of the department
 25 33 of education shall also report on the implementation of this
 25 34 chapter, including reasons why the LEED silver standard or
 25 35 sustainable school design protocol was not used as required by
 26  1 this section.  The director of the department of education
 26  2 shall make recommendations regarding the ongoing
 26  3 implementation of this chapter, including a discussion of
 26  4 incentives and disincentives related to implementing this
 26  5 chapter.
 26  6    5.  The state board of education, in consultation with the
 26  7 director of the department of education, shall develop and
 26  8 issue guidelines for administering this chapter for public
 26  9 school districts and community colleges.  The state board of
 26 10 regents shall develop and issue guidelines for administering
 26 11 this chapter for institutions of higher learning.  The purpose
 26 12 of the guidelines is to define a procedure and method for
 26 13 employing and verifying compliance with the LEED silver
 26 14 standard or the sustainable school design protocol.
 26 15    6.  The director of the department of education shall
 26 16 establish a school facilities advisory committee as a high=
 26 17 performance buildings advisory committee comprised of affected
 26 18 public schools, the state board of education, the state board
 26 19 of regents, the department, the director of the department of
 26 20 education, the Iowa association of community college trustees,
 26 21 and others at the director of the department of education's
 26 22 discretion to provide advice on implementing this chapter.
 26 23 Among other duties, the advisory committee shall make
 26 24 recommendations regarding an education and training process
 26 25 and an ongoing evaluation or feedback process to help the
 26 26 director of the department of education and the state board of
 26 27 education implement this chapter.
 26 28    Sec. 28.  NEW SECTION.  473C.5  REPORT TO GENERAL ASSEMBLY.
 26 29    On or before January 1, 2009, the department of
 26 30 administrative services and the director of the department of
 26 31 education shall summarize the reports submitted under sections
 26 32 473C.3 and 473C.4 and submit the individual reports to the
 26 33 legislative capital projects committee, the legislative
 26 34 standing committees on state government, and the legislative
 26 35 standing committees on education for review of the program's
 27  1 performance and consideration of any changes that may be
 27  2 needed to adapt the program to any new or modified standards
 27  3 for high=performance buildings that meet the intent of this
 27  4 chapter.
 27  5    Sec. 29.  NEW SECTION.  473C.6  IMPLEMENTATION.
 27  6    1.  a.  The department of administrative services, in
 27  7 consultation with affected state agencies, shall develop and
 27  8 issue guidelines for administering this chapter for state
 27  9 agencies.  The purpose of the guidelines is to define a
 27 10 procedure and method for employing and verifying activities
 27 11 necessary for certification to at least the LEED silver
 27 12 standard for major facility projects.
 27 13    b.  The department of administrative services and the
 27 14 department of education shall amend any fee schedules for
 27 15 architectural and engineering services to accommodate the
 27 16 requirements in the design of major facility projects under
 27 17 this chapter.
 27 18    c.  Major facility projects designed to meet standards
 27 19 identified in this chapter must include building commissioning
 27 20 as a critical cost saving part of the construction process.
 27 21 This process includes input from the project design and
 27 22 construction teams and the project ownership representatives.
 27 23    d.  As provided in the request for proposals for
 27 24 construction services, the department of administrative
 27 25 services shall hold a preproposal conference for prospective
 27 26 bidders to discuss compliance with and achievement of
 27 27 standards identified in this chapter for prospective
 27 28 respondents.
 27 29    2.  The department of administrative services shall create
 27 30 a high=performance buildings advisory committee comprised of
 27 31 representatives from the design and construction industry
 27 32 involved in public works contracting, personnel from the
 27 33 affected state agencies responsible for overseeing public
 27 34 works projects, the state board of education, the department
 27 35 of education, and others at the department of administrative
 28  1 services' discretion to provide advice on implementing this
 28  2 chapter.  Among other duties, the advisory committee shall
 28  3 make recommendations regarding an education and training
 28  4 process and an ongoing evaluation or feedback process to help
 28  5 the department of administrative services implement this
 28  6 chapter.
 28  7    Sec. 30.  NEW SECTION.  473C.7  RULES.
 28  8    1.  The department of administrative services, the
 28  9 department of education, and the state board of regents shall
 28 10 adopt rules pursuant to chapter 17A to administer this
 28 11 chapter.
 28 12    2.  In adopting implementation rules, the department of
 28 13 education and the state board of regents, in consultation with
 28 14 the department of administrative services, shall review and
 28 15 modify any other requirement for energy conservation by public
 28 16 schools and institutions of higher learning.
 28 17    3.  In adopting implementation rules, the department of
 28 18 education, in consultation with the state board of education
 28 19 shall do all of the following:
 28 20    a.  Review private and public utility providers' capacity
 28 21 and financial and technical assistance programs for affected
 28 22 public school districts to monitor and report utility
 28 23 consumption for purposes of reporting to the director of the
 28 24 department of education as provided in section 473C.4.
 28 25    b.  Coordinate with the department of administrative
 28 26 services, the state board of health, the department of natural
 28 27 resources, federal agencies, and other affected agencies as
 28 28 appropriate in their consideration of rules to implement this
 28 29 section.
 28 30    Sec. 31.  NEW SECTION.  473C.8  NONLIABILITY.
 28 31    A member of the design or construction team shall not be
 28 32 held liable for the failure of a major facility project to
 28 33 meet the LEED silver standard or other LEED standard
 28 34 established for the project as long as a good faith attempt
 28 35 was made to achieve the LEED standard set for the project.
 29  1    Sec. 32.  NEW SECTION.  473C.9  HOUSING PROJECTS EXEMPT.
 29  2    Affordable housing projects funded through the Iowa finance
 29  3 authority are exempt from the provisions of this chapter.
 29  4    Sec. 33.  NEW SECTION.  262.101  HIGH=PERFORMANCE ENERGY
 29  5 STANDARDS.
 29  6    An institution of higher education under the board's
 29  7 control shall comply with high=performance public building
 29  8 requirements under chapter 473C.
 29  9    Sec. 34.  Section 279.39, Code 2005, is amended to read as
 29 10 follows:
 29 11    279.39  SCHOOL BUILDINGS == HIGH=PERFORMANCE ENERGY
 29 12 STANDARDS.
 29 13    1.  The board of any school corporation shall establish
 29 14 attendance centers and provide suitable buildings for each
 29 15 school in the district and may at the regular or a special
 29 16 meeting call a special election to submit to the registered
 29 17 voters of the district the question of voting a tax or
 29 18 authorizing the board to issue bonds, or both.
 29 19    2.  Public school districts shall comply with high=
 29 20 performance public building requirements under chapter 473C.
 29 21                           EXPLANATION
 29 22    This bill relates to the regulation, production, and
 29 23 consumption of energy.
 29 24    DIVISION I == CLEAN ENERGY FINANCIAL ASSISTANCE.  The bill
 29 25 requires the Iowa economic development board to establish a
 29 26 clean energy financial assistance program to provide financial
 29 27 assistance for the establishment or expansion of renewable
 29 28 energy facilities or energy=efficient products or technology
 29 29 in this state.  The bill establishes a clean energy financial
 29 30 assistance fund and appropriates $5,000,000 each fiscal year
 29 31 for five years to the fund.
 29 32    DIVISION II == SMALL WIND ENERGY TAX CREDITS.  The bill
 29 33 expands the small wind energy tax credits of Code chapter 476C
 29 34 by extending the deadline for placement into service of a
 29 35 renewable energy facility by one year to 2012.  The bill
 30  1 increases the maximum amount of nameplate generating capacity
 30  2 for wind energy conversion systems from 90 megawatts to 180
 30  3 megawatts and increases the maximum amount of other renewable
 30  4 energy facilities available from 10 megawatts to 20 megawatts.
 30  5 The bill provides for the Iowa utilities board to deny any
 30  6 application received after the maximum amount of nameplate
 30  7 generating capacity has been reached.
 30  8    DIVISION III == GREEN BUILDING INCOME TAX CREDITS.  The
 30  9 bill provides for a tax credit on personal and corporate
 30 10 income tax for the construction or rehabilitation of certain
 30 11 buildings certified under certain building standards that
 30 12 promote energy efficiency.  Tax credits are available in an
 30 13 amount equal to a percentage of the costs for the construction
 30 14 of or rehabilitation to a green whole building standard, green
 30 15 base building standard, and green tenant space standard, and
 30 16 for the installation of a fuel cell, photovoltaic module, or
 30 17 wind turbine as provided by the bill.
 30 18    DIVISION IV == IOWA CENTER FOR ADVANCED RENEWABLE ENERGY.
 30 19 The bill establishes the Iowa center for advanced renewable
 30 20 energy at the Iowa energy center at Iowa state university of
 30 21 science and technology to improve the economic and
 30 22 environmental performance in addition to the feasibility of
 30 23 renewable energy products and production in this state.  An
 30 24 appropriation of $5 million each fiscal year for five years is
 30 25 made to the board of regents for the new center.
 30 26    DIVISION V == RENEWABLE ENERGY PRODUCTION STANDARD.  The
 30 27 bill requires rate=regulated public utilities to own or
 30 28 purchase at least five percent of their total annual Iowa
 30 29 retail electric sales from alternative energy production
 30 30 facilities by December 31, 2010.  The bill increases the
 30 31 percentage to 7 percent by December 31, 2015, and to 10
 30 32 percent by December 31, 2020, and each year thereafter.
 30 33    DIVISION VI == STATE BUILDING CODE EFFICIENCY ENFORCEMENT.
 30 34 The bill makes an appropriation of $200,000 per fiscal year
 30 35 for five fiscal years to the office of the state fire marshal
 31  1 of the department of public safety to provide public education
 31  2 of energy=efficiency standards required by the state building
 31  3 code.
 31  4    DIVISION VII == CLIMATE CHANGE ADVISORY COUNCIL.  The bill
 31  5 establishes a state advisory council on climate change to
 31  6 advise the governor and general assembly on issues relating to
 31  7 climate change, facilitate cooperation among private industry
 31  8 and citizens on climate change, identify research and
 31  9 assessment needs, investigate the effects of climatic change
 31 10 on human health, agriculture, and natural resources, and
 31 11 evaluate current greenhouse gas mitigation projects.  The bill
 31 12 makes an appropriation of $100,000 per fiscal year for five
 31 13 years to the department of natural resources for the
 31 14 establishment and support of the state advisory council on
 31 15 climate change.
 31 16    DIVISION VIII == GREEN PUBLIC BUILDINGS.  The bill requires
 31 17 certain public buildings to meet certain green building rating
 31 18 standards as high=performance public buildings.  The bill
 31 19 requires all major facility projects of a state agency or of
 31 20 another person, institution of higher learning, or public
 31 21 school district that receives an appropriation of state funds
 31 22 from the general assembly to be designed, constructed, and
 31 23 certified to certain standards of the United States building
 31 24 council leadership in energy and environmental design green
 31 25 building rating standard otherwise called the LEED silver
 31 26 standard.  The bill provides for exceptions to the
 31 27 certification requirement under the bill.
 31 28    The bill provides for certain provisions of the bill
 31 29 related to appropriations to be repealed at a future date and
 31 30 provides for an effective date for division II.
 31 31 LSB 5910SS 81
 31 32 kk:rj/cf/24