84R1668 KEL-F
 
  By: Clardy H.B. No. 599
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to energy savings performance contracts entered into by
  public institutions of higher education.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 51.927, Education Code, is amended by
  amending Subsections (i) and (l) and adding Subsections (i-1) and
  (i-2) to read as follows:
         (i)  An energy savings performance contract shall be let
  according to the procedures established for procuring certain
  professional services by Section 2254.004, Government Code.  Notice
  of the request for qualifications shall be given in the manner
  provided by Section 2156.002, Government Code.  The [Texas Higher
  Education Coordinating Board, in consultation with the] State
  Energy Conservation Office [with regard to energy and water
  conservation measures,] shall establish guidelines and an approval
  process for awarding energy savings performance contracts under
  this section.
         (i-1)  The guidelines established under Subsection (i) must
  require that the cost savings projected by an offeror be reviewed by
  a licensed professional engineer who has a minimum of three years of
  experience in energy calculation and review, is not an officer or
  employee of an offeror for the contract under review, and is not
  otherwise associated with the contract.  In conducting the review,
  the engineer shall focus primarily on the proposed improvements
  from an engineering perspective, the methodology and calculations
  related to cost savings, increases in revenue, and, if applicable,
  efficiency or accuracy of metering equipment.  An engineer who
  reviews a contract shall maintain the confidentiality of any
  proprietary information the engineer acquires while reviewing the
  contract.  Sections 1001.053 and 1001.407, Occupations Code, apply
  to work performed under the contract.
         (i-2)  The board may not enter into an energy savings
  performance contract unless the contract has been [A contract is
  not required to be reviewed or] approved by the State Energy
  Conservation Office.  The contract is not required to be reviewed or
  approved by the Texas Higher Education Coordinating Board.  
  However, the coordinating board may review energy savings
  performance contracts in performing the duties of the coordinating
  board under Section 61.058 [Sections 1001.053 and 1001.407,
  Occupations Code, apply to work performed under the contract].
         (l)  The guidelines established under Subsection (i) must
  require the State Energy Conservation Office [Texas Higher
  Education Coordinating Board] to:
               (1)  review any reports submitted to the office [board]
  that measure and verify cost savings to an institution of higher
  education under an energy savings performance contract; and
               (2)  based on the reports, provide an analysis, on a
  periodic basis, of the cost savings under the energy savings
  performance contract to the governing board of the institution of
  higher education and the Legislative Budget Board until the
  governing board of the institution of higher education determines
  that the analysis is no longer required to accurately measure cost
  savings.
         SECTION 2.  The change in law made by this Act to Section
  51.927, Education Code, does not apply to an energy savings
  performance contract submitted for approval by the Texas Higher
  Education Coordinating Board under that section before the
  effective date of this Act, and the former law governing the
  approval of that contract is continued in effect for that purpose.
         SECTION 3.  This Act takes effect September 1, 2015.