HB0718 94TH GENERAL ASSEMBLY

LRB094 04171 MKM 34983 b

94TH GENERAL ASSEMBLY
State of Illinois
2005 and 2006
HB0718

Introduced 02/01/05, by Rep. Harry Osterman

SYNOPSIS AS INTRODUCED:

50 ILCS 515/5
50 ILCS 515/15
50 ILCS 515/20
105 ILCS 5/19b-1.1	from Ch. 122, par. 19b-1.1
105 ILCS 5/19b-1.5 new
110 ILCS 62/5-10
110 ILCS 62/5-23 new
110 ILCS 62/15
110 ILCS 62/20
110 ILCS 805/5A-10
110 ILCS 805/5A-23 new
110 ILCS 805/5A-35
110 ILCS 805/5A-40

Amends the Local Government Energy Conservation Act, the School Code, the Public University Energy Conservation Act, and the Public Community College Act. Defines "related capital expenditures". Defines "energy conservation measure" to include energy conservation measures that reduce energy consumption or reduce operating costs, including future labor costs, future costs for contracted services, and related capital expenditures. Defines "related capital expenditures". Provides that a unit of local government, public university, or public community college may enter into a guaranteed energy savings contract if it finds that the amount it would spend on the energy conservation measures recommended in the proposal would not exceed the amount to be saved in either energy or operational costs, or both, within a 20-year period (now, a 10-year period) from the date of installation, if the recommendations in the proposal are followed. Makes corresponding changes. For purposes of the Local Government Energy Conservation Act, defines "unit of local government" to include park districts. Effective immediately.

FISCAL NOTE ACT MAY APPLY

A BILL FOR

AN ACT concerning energy conservation.

Be it enacted by the People of the State of Illinois, represented in the General Assembly:

Section 5. The Local Government Energy Conservation Act is amended by changing Sections 5, 15, and 20 as follows:

(50 ILCS 515/5)

Sec. 5. Definitions. As used in this Act, unless the context clearly requires otherwise:

"Energy conservation measure" means any improvement, repair, alteration, or betterment of any building or facility owned or operated by a unit of local government or any equipment, fixture, or furnishing to be added to or used in any such building or facility that is designed to reduce energy consumption or operating costs, and may include, without limitation, one or more of the following:

(1) Insulation of the building structure or systems within the building.

(2) Storm windows or doors, caulking or weatherstripping, multiglazed windows or doors, heat absorbing or heat reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption.

(3) Automated or computerized energy control systems.

(4) Heating, ventilating, or air conditioning system modifications or replacements.

(5) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable State or local building code for the lighting system after the proposed modifications are made.

(6) Energy recovery systems.

(7) (Blank). Energy conservation measures that provide long-term operating cost reductions.

(8) Other energy conservation measures that reduce energy consumption or reduce operating costs, including future labor costs, future costs for contracted services, and related capital expenditures.

"Guaranteed energy savings contract" means a contract for: (i) the implementation of an energy audit, data collection, and other related analyses preliminary to the undertaking of energy conservation measures; (ii) the evaluation and recommendation of energy conservation measures; (iii) the implementation of one or more energy conservation measures; and (iv) the implementation of project monitoring and data collection to verify post-installation energy consumption and energy-related operating costs. The contract shall provide that all payments, except obligations on termination of the contract before its expiration, are to be made over time and that the savings are guaranteed to the extent necessary to pay the costs of the energy conservation measures.

"Qualified provider" means a person or business whose employees are experienced and trained in the design, implementation, or installation of energy conservation measures. The minimum training required for any person or employee under this paragraph shall be the satisfactory completion of at least 40 hours of course instruction dealing with energy conservation measures. A qualified provider to whom the contract is awarded shall give a sufficient bond to the unit of local government for its faithful performance.

"Related capital expenditures" includes the following capital costs:

(1) costs that the unit of local government reasonably believes will be incurred during the contract term;

(2) costs that are part of or are causally connected to the energy conservation measures being implemented;

(3) costs that are documented by industry engineering standards.

"Request for proposals" means a negotiated procurement. The request for proposals shall be announced through at least one public notice, at least 10 days before the request date in a newspaper published in the territory comprising the unit of local government or, if no newspaper is published in that territory, in a newspaper of general circulation in the area of the unit of local government, from a unit of local government that will administer the program, requesting innovative solutions and proposals for energy conservation measures. Proposals submitted shall be sealed. The request for proposals shall include all of the following:

(1) The name and address of the unit of local government.

(2) The name, address, title, and phone number of a contact person.

(3) Notice indicating that the unit of local government is requesting qualified providers to propose energy conservation measures through a guaranteed energy savings contract.

(4) The date, time, and place where proposals must be received.

(5) The evaluation criteria for assessing the proposals.

(6) Any other stipulations and clarifications the unit of local government may require.

"Unit of local government" means a county, township, or municipality, or park district.

(Source: P.A. 88-173.)

(50 ILCS 515/15)

Sec. 15. Award of guaranteed energy savings contract. Sealed proposals must be opened by a member of the unit of local government's governing body or an employee of the unit of local government at a public opening at which the contents of the proposals must be announced. Each person or entity submitting a sealed proposal must receive at least 10 days notice of the time and place of the opening. The unit of local government shall select the qualified provider that best meets the needs of the unit of local government. The unit of local government shall provide public notice of (i) the meeting at which it proposes to award a guaranteed energy savings contract, (ii) the names of the parties to the proposed contract, and (iii) the purpose of the contract. The public notice shall be made at least 10 days prior to the meeting. After evaluating the proposals under Section 10, a unit of local government may enter into a guaranteed energy savings contract with a qualified provider if it finds that the amount it would spend on the energy conservation measures recommended in the proposal would not exceed the amount to be saved in either energy or operational costs, or both, within a 20-year 10 year period from the date of installation, if the recommendations in the proposal are followed.

(Source: P.A. 88-173.)

(50 ILCS 515/20)

Sec. 20. Guarantee. The guaranteed energy savings contract shall include a written guarantee of the qualified provider that either the energy or operational cost savings, or both, will meet or exceed within 20 10 years the costs of the energy conservation measures. The qualified provider shall reimburse the unit of local government for any shortfall of guaranteed energy savings projected in the contract. A qualified provider shall provide a sufficient bond to the unit of local government for the installation and the faithful performance of all the measures included in the contract. The guaranteed energy savings contract may provide for payments over a period of time, not to exceed 20 10 years from the date of the final installation of the measures.

(Source: P.A. 88-173; 88-615, eff. 9-9-94.)

Section 10. The School Code is amended by changing Section 19b-1.1 and by adding Section 19b-1.5 as follows:

(105 ILCS 5/19b-1.1) (from Ch. 122, par. 19b-1.1)

Sec. 19b-1.1. Energy conservation measure. "Energy conservation measure" means any improvement, repair, alteration, or betterment of any building or facility owned or operated by a school district or area vocational center or any equipment, fixture, or furnishing to be added to or used in any such building or facility that is designed to reduce energy consumption or operating costs, and may include, without limitation, one or more of the following:

(1) Insulation of the building structure or systems within the building.

(2) Storm windows or doors, caulking or weatherstripping, multiglazed windows or doors, heat absorbing or heat reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption.

(3) Automated or computerized energy control systems.

(4) Heating, ventilating, or air conditioning system modifications or replacements.

(5) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable State or local building code for the lighting system after the proposed modifications are made.

(6) Energy recovery systems.

(7) (Blank). Energy conservation measures that provide long-term operating cost reductions.

(8) Other energy conservation measures that reduce energy consumption or reduce operating costs, including future labor costs, future costs for contracted services, and related capital expenditures.

(Source: P.A. 92-767, eff. 8-6-02.)

(105 ILCS 5/19b-1.5 new)

Sec. 19b-1.5. Related capital expenditures. "Related capital expenditures" includes the following capital costs:

(1) costs that the school district or area vocational center reasonably believes will be incurred during the contract term;

(2) costs that are part of or are causally connected to energy conservation measures; and

(3) costs that are documented by industry engineering standards.

Section 15. The Public University Energy Conservation Act is amended by changing Sections 5-10, 15, and 20 and by adding Section 5-23 as follows:

(110 ILCS 62/5-10)

Sec. 5-10. Energy conservation measure. "Energy conservation measure" means any improvement, repair, alteration, or betterment of any building or facility owned or operated by a public university or any equipment, fixture, or furnishing to be added to or used in any such building or facility that is designed to reduce energy consumption or operating costs, and may include, without limitation, one or more of the following:

(1) Insulation of the building structure or systems within the building.

(2) Storm windows or doors, caulking or weatherstripping, multiglazed windows or doors, heat absorbing or heat reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption.

(3) Automated or computerized energy control systems.

(4) Heating, ventilating, or air conditioning system modifications or replacements.

(5) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable State or local building code for the lighting system after the proposed modifications are made.

(6) Energy recovery systems.

(7) (Blank). Energy conservation measures that provide long-term operating cost reductions.

(8) Other energy conservation measures that reduce energy consumption or reduce operating costs, including future labor costs, future costs for contracted services, and related capital expenditures.

(Source: P.A. 90-486, eff. 8-17-97.)

(110 ILCS 62/5-23 new)

Sec. 5-23. Related capital expenditures."Related capital expenditures" includes the following capital costs:

(1) costs that the public university reasonably believes will be incurred during the contract term;

(2) costs that are part of or are causally connected to energy conservation measures; and

(3) costs that are documented by industry engineering standards.

(110 ILCS 62/15)

Sec. 15. Award of guaranteed energy savings contract. Sealed proposals must be opened by the public university's board of trustees or a designee of that board at a public opening at which the contents of the proposals must be announced. Each person or entity submitting a sealed proposal must receive at least 10 days notice of the time and place of the opening. The public university shall select the qualified provider that best meets the needs of the district. The public university shall provide public notice of the meeting at which it proposes to award a guaranteed energy savings contract and of the names of the parties to the proposed contract and the purpose of the contract. The public notice shall be made at least 10 days prior to the meeting. After evaluating the proposals under Section 10, a public university may enter into a guaranteed energy savings contract with a qualified provider if it finds that the amount it would spend on the energy conservation measures recommended in the proposal would not exceed the amount to be saved in either energy or operational costs, or both, within a 20-year 10 year period from the date of installation, if the recommendations in the proposal are followed.

(Source: P.A. 90-486, eff. 8-17-97.)

(110 ILCS 62/20)

Sec. 20. Guarantee. The guaranteed energy savings contract shall include a written guarantee of the qualified provider that either the energy or operational cost savings, or both, will meet or exceed within 20 10 years the costs of the energy conservation measures. The qualified provider shall reimburse the public university for any shortfall of guaranteed energy savings projected in the contract. A qualified provider shall provide a sufficient bond to the public university for the installation and the faithful performance of all the measures included in the contract. The guaranteed energy savings contract may provide for payments over a period of time, not to exceed 20 10 years from the date of final installation of the measures.

(Source: P.A. 90-486, eff. 8-17-97.)

Section 20. The Public Community College Act is amended by changing Sections 5A-10, 5A-35, and 5A-40 and by adding Section 5A-23 as follows:

(110 ILCS 805/5A-10)

Sec. 5A-10. Energy conservation measure. "Energy conservation measure" means any improvement, repair, alteration, or betterment of any building or facility owned or operated by a community college district or any equipment, fixture, or furnishing to be added to or used in any such building or facility that is designed to reduce energy consumption or operating costs, and may include, without limitation, one or more of the following:

(1) Insulation of the building structure or systems within the building.

(2) Storm windows or doors, caulking or weatherstripping, multiglazed windows or doors, heat absorbing or heat reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption.

(3) Automated or computerized energy control systems.

(4) Heating, ventilating, or air conditioning system modifications or replacements.

(5) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable State or local building code for the lighting system after the proposed modifications are made.

(6) Energy recovery systems.

(7) (Blank). Energy conservation measures that provide long-term operating cost reductions.

(8) Other energy conservation measures that reduce energy consumption or reduce operating costs, including future labor costs, future costs for contracted services, and related capital expenditures.

(Source: P.A. 88-173.)

(110 ILCS 805/5A-23 new)

Sec. 5A-23. Related capital expenditures. "Related capital expenditures" includes the following capital costs:

(1) costs that the public university reasonably believes will be incurred during the contract term;

(2) costs that are part of or are causally connected to energy conservation measures being implemented; and

(3) costs that are documented by industry engineering standards.

(110 ILCS 805/5A-35)

Sec. 5A-35. Award of guaranteed energy savings contract. Sealed proposals must be opened by a member or employee of the community college board at a public opening at which the contents of the proposals must be announced. Each person or entity submitting a sealed proposal must receive at least 10 days notice of the time and place of the opening. The community college district shall select the qualified provider that best meets the needs of the district. The community college district shall provide public notice of the meeting at which it proposes to award a guaranteed energy savings contract of the names of the parties to the proposed contract and of the purpose of the contract. The public notice shall be made at least 10 days prior to the meeting. After evaluating the proposals under Section 5A-30, a community college district may enter into a guaranteed energy savings contract with a qualified provider if it finds that the amount it would spend on the energy conservation measures recommended in the proposal would not exceed the amount to be saved in either energy or operational costs, or both, within a 20-year 10 year period from the date of installation, if the recommendations in the proposal are followed.

(Source: P.A. 88-173.)

(110 ILCS 805/5A-40)

Sec. 5A-40. Guarantee. The guaranteed energy savings contract shall include a written guarantee of the qualified provider that either the energy or operational cost savings, or both, will meet or exceed within 20 10 years the costs of the energy conservation measures. The qualified provider shall reimburse the community college district for any shortfall of guaranteed energy savings projected in the contract. A qualified provider shall provide a sufficient bond to the community college district for the installation and the faithful performance of all the measures included in the contract. The guaranteed energy savings contract may provide for payments over a period of time, not to exceed 20 10 years from the date of final installation of the measures.

(Source: P.A. 88-173; 88-615, eff. 9-9-94.)

Section 99. Effective date. This Act takes effect upon becoming law.