By Lewis of Orange H.B. No. 2492
Line and page numbers may not match official copy.
Bill not drafted by TLC or Senate E&E.
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to energy savings projects.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Chapter 51, Education Code, is amended by
1-5 amending Subdivision (f) and (g) as follows:
1-6 (f) The board may enter into a contract for a period of more
1-7 than one year for energy conservation measures with an entity if
1-8 the board finds that the amount the institution would spend on the
1-9 energy conservation measures will not exceed the amount to be saved
1-10 in energy and operating costs over [10] 15 years from the date of
1-11 installation. If the term of a contract for energy conservation
1-12 measures exceeds one year, the board's contractual obligation in
1-13 any year during the term of the contract beginning after the final
1-14 date of installation may not exceed the total energy and operating
1-15 cost savings, including but not limited to electrical, gas, or
1-16 other utility cost savings and operating cost savings resulting
1-17 from automatic monitoring and control, as determined by the board
1-18 in this subsection, divided by the number of years in the contract
1-19 all costs of the energy conservation measures, including costs of
1-20 design, engineering, installation, maintenance, repairs, and debt
1-21 service.
2-1 [(g)] A contract for energy conservation measures may be
2-2 financed (1) under a lease/purchase contract that meets federal tax
2-3 requirements for tax-free municipal leasing or long-term financing,
2-4 (2) with bond funds, or (3) by the provider of the energy
2-5 conservation measures, with a term not to exceed [10] 15 years
2-6 after the final date of installation, [that meets federal tax
2-7 requirements for tax free municipal leasing or long term
2-8 financing.]
2-9 SECTION 2. Section 44.901, Subchapter Z, Education Code, is
2-10 amended by amending Subdivision (f) as follows:
2-11 (f) A contract for energy conservation measures, with
2-12 respect to existing buildings or facilities, may be financed: (1)
2-13 under a lease/purchase contract that meets federal tax requirements
2-14 for tax-free municipal leasing or long-term financing, (2) with
2-15 bond funds, or (3) by the provider of the energy conservation
2-16 measures, with a term not to exceed [10] 15 years after the final
2-17 date of installation, [that meets federal tax requirements for
2-18 tax-free municipal leasing or long-term financing]. The contract
2-19 shall contain provisions pursuant to which the provider of the
2-20 energy conservation measures guarantees the amount of the savings
2-21 to be realized by the school district under the contract. If the
2-22 term of a contract for energy conservation measures exceeds one
2-23 year, the school district's contractual obligations in any one year
2-24 during the term of the contract beginning after the final date of
2-25 installation may not exceed the total energy and operating cost
3-1 savings resulting from automatic monitoring and control as
3-2 determined by the school district in this subsection divided by the
3-3 number of years in the contract term.
3-4 SECTION 3. Section 2166.406, Government Code, is amended by
3-5 amending Subdivision (g) as follows:
3-6 (g) A contract for energy conservation measures, with
3-7 respect to existing buildings or facilities, may be financed: (1)
3-8 under a lease/purchase contract that meets federal tax requirements
3-9 for tax-free municipal leasing or long-term financing, (2) with
3-10 bond funds, or (3) by the provider of the energy conservation
3-11 measures, with a term not to exceed [10] 15 years after the final
3-12 date of the installation, [that meets federal tax requirements for
3-13 tax-free municipal leasing or long-term financing]. The contract
3-14 shall contain provisions pursuant to which the provider of the
3-15 energy conservation measures guarantees the amount of savings to be
3-16 realized by the state agency under the contract. If the term of a
3-17 contract for energy conservation measures exceeds one year, the
3-18 agency's contractual obligation in any year during the term of the
3-19 contract beginning after the final date of the installation may not
3-20 exceed the total energy and operating cost savings, including but
3-21 not limited to electrical, gas, or other utility cost savings and
3-22 operating cost savings resulting from automatic monitoring and
3-23 control, as determined by the state agency in this subsection,
3-24 divided by the number of years in the contract term.
3-25 SECTION 4. Section 302.004, Local Government Code, is
4-1 amended as follows:
4-2 Sec. 302.004. A contract for energy conservation measures,
4-3 with respect to existing buildings or facilities, may be financed:
4-4 (1) under a lease/purchase contract that meets federal tax
4-5 requirements for tax-free municipal leasing or long-term financing,
4-6 (2) with bond funds, or (3) by the provider of the energy
4-7 conservation measures, with a term not to exceed [10] 15 years
4-8 after the final date of installation [that meets federal tax
4-9 requirements for tax free municipal leasing or long term
4-10 financing]. The contract shall contain provisions pursuant to
4-11 which the provider of the energy conservation measures guarantees
4-12 the amount of the savings to be realized by the local government
4-13 under the contract. If the term of a contract for energy
4-14 conservation measures exceeds one year, the local government's
4-15 contractual obligations in any one year during the term of the
4-16 contract beginning after the final date of the installation may not
4-17 exceed the total energy and operating costs savings, including but
4-18 not limited to electrical, gas, or other utility cost savings and
4-19 operating cost savings resulting from automatic monitoring and
4-20 control as determined by the local government in this subsection,
4-21 divided by the number of years in the contract term.
4-22 SECTION 5. This Act takes effect September 1, 1999.
4-23 SECTION 6. The importance of this legislation and the
4-24 crowded condition of the calendars in both houses create an
4-25 emergency and an imperative public necessity that the
5-1 constitutional rule requiring bills to be read on three several
5-2 days in each house be suspended, and this rule is hereby suspended.