Senate File 2028 - Introduced SENATE FILE 2028 BY BOLKCOM , TAYLOR , DEARDEN , PETERSEN , SODDERS , DVORSKY , DOTZLER , and KINNEY A BILL FOR An Act creating a nonprofit organization energy efficiency 1 grant program and making an appropriation. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5379XS (5) 86 gh/sc

S.F. 2028 Section 1. NEW SECTION . 266.39D Nonprofit organization 1 energy efficiency grant program. 2 1. As used in this section, unless the context otherwise 3 requires: 4 a. “Energy efficiency improvement” means an installed 5 measure, including a product, equipment, system, service, or 6 practice that is intended to reduce energy consumption or 7 energy costs, or both, or to allow the use of alternative and 8 renewable energy. The term “energy efficiency improvement” 9 shall include any of the following measures: 10 (1) Repairing, replacing, or installing a roof or lighting 11 system, window, door, or heating, ventilation, or air 12 conditioning system, including improvements needed to serve a 13 more efficient system. 14 (2) Installing a renewable energy generation or heating 15 system, including a solar, photovoltaic, wind, geothermal, or 16 biomass system. 17 (3) Modernizing, renovating, or repairing a building to 18 make the building more energy efficient. 19 b. “Nonprofit organization” means an organization exempt 20 from federal income taxation under section 501(c)(3) of the 21 Internal Revenue Code. 22 2. The Iowa energy center created under section 266.39C 23 shall use funds appropriated by the general assembly to 24 establish and administer a nonprofit organization energy 25 efficiency grant program to award grants for the purpose of 26 financing energy efficiency improvements to buildings owned and 27 operated by a nonprofit organization. 28 3. A nonprofit organization may apply to the Iowa energy 29 center for a grant under this section by filing a completed 30 application. The Iowa energy center shall develop a form 31 for application. The Iowa energy center shall establish 32 standards and criteria to award grants, which shall include the 33 following: 34 a. The estimated energy savings to be achieved. 35 -1- LSB 5379XS (5) 86 gh/sc 1/ 3

S.F. 2028 b. The estimated cost effectiveness of the energy efficiency 1 improvement. 2 c. Other performance-based standards and criteria deemed 3 appropriate by the Iowa energy center. 4 d. An effective plan for evaluation, measurement, and 5 verification of energy savings. 6 e. The financial need of the nonprofit organization. 7 f. The availability of matching funds. 8 4. A grant awarded under this section shall not exceed the 9 lesser of one hundred thousand dollars or an amount equal to 10 fifty percent of the estimated cost of the proposed energy 11 efficiency improvement. 12 Sec. 2. APPROPRIATION. There is appropriated from the 13 general fund of the state to the Iowa energy center for the 14 fiscal year beginning July 1, 2016, and ending June 30, 2017, 15 the following amount, or so much thereof as is necessary, to be 16 used for the purposes designated: 17 For establishing and administering the nonprofit 18 organization energy efficiency grant program and for awarding 19 grants under the program: 20 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 1,000,000 21 Notwithstanding section 8.33, moneys appropriated in this 22 section that remain unencumbered or unobligated at the close 23 of the fiscal year shall not revert to the general fund of the 24 state but shall remain available to be used for the purposes 25 designated. 26 EXPLANATION 27 The inclusion of this explanation does not constitute agreement with 28 the explanation’s substance by the members of the general assembly. 29 This bill requires the Iowa energy center to create a 30 nonprofit organization energy efficiency grant program to 31 award grants for the purpose of financing energy efficiency 32 improvements to buildings owned and operated by nonprofit 33 organizations. 34 The bill defines “energy efficiency improvement” to mean an 35 -2- LSB 5379XS (5) 86 gh/sc 2/ 3

S.F. 2028 installed measure that is intended to reduce energy consumption 1 or costs, or both, or to allow the use of alternative 2 and renewable energy, including repairing, replacing, or 3 installing a roof or lighting system, window, door, or heating, 4 ventilation, or air conditioning system, a renewable energy 5 generation or heating system, or a measure taken to make the 6 building more energy efficient. The bill defines “nonprofit 7 organization” to mean an organization exempt from federal 8 income taxation. 9 The bill requires the Iowa energy center to establish 10 standards and criteria to approve grants, including the 11 estimated energy savings achieved, the estimated cost 12 effectiveness of the energy efficiency improvement, other 13 appropriate performance-based standards and criteria, an 14 effective plan for evaluating, measuring, and verifying energy 15 savings, the financial need of the nonprofit organization, 16 and the availability of matching funds. The bill restricts a 17 grant awarded under the program to the lesser of $100,000 or 50 18 percent of the proposed energy efficiency improvements. 19 The bill appropriates $1 million to the Iowa energy center 20 for FY 2016-2017 for the purpose of implementing the nonprofit 21 organization energy efficiency grant program. The moneys 22 appropriated in the bill are not subject to reversion to the 23 general fund of the state at the end of the fiscal year. 24 -3- LSB 5379XS (5) 86 gh/sc 3/ 3