Bill Text: AZ HB2356 | 2010 | Forty-ninth Legislature 2nd Regular | Introduced
Bill Title: Green buildings; recovery funding
Spectrum: Partisan Bill (Democrat 6-0)
Status: (Introduced - Dead) 2010-01-21 - Referred to House WE Committee [HB2356 Detail]
Download: Arizona-2010-HB2356-Introduced.html
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REFERENCE TITLE: green buildings; recovery funding |
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State of Arizona House of Representatives Forty-ninth Legislature Second Regular Session 2010
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HB 2356 |
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Introduced by Representatives Sinema, Patterson, Tovar: Ableser, Campbell CL, Heinz
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AN ACT
amending title 34, Arizona Revised Statutes, by adding chapter 7; relating to green buildings and energy programs.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 34, Arizona Revised Statutes, is amended by adding chapter 7, to read:
CHAPTER 7
GREEN BUILDINGS AND ENERGY PROGRAMS
ARTICLE 1. GENERAL PROVISIONS
34-701. Definitions
In this chapter, unless the context otherwise requires:
1. "Director" means the director of the state energy office.
2. "Energy efficiency and conservation block grant" means the program enacted pursuant to the energy independence and security act of 2007 (P.L. 110‑140) and funded by the American recovery and reinvestment act of 2009 (P.L. 111‑5).
3. "Green building requirements" means the requirements that a building project be designed at, be constructed at and have achieved certification of at least a LEED silver level or have achieved a comparable rating under a green building rating system that is at least as strict as the comparable leadership in energy and environmental design rating system, but only if a qualified third party provides a rating under the alternative green building rating system.
4. "LEED silver level" means the second tier of the united states green building council's most applicable leadership in energy and environmental design green building rating system that is open for registration.
5. "Maintained" means procuring the products and services necessary to maintain a green building to the prescribed standard of energy efficiency using trained and skilled employees who have been certified to operate and sustain green buildings to the determined standard of energy efficiency.
6. "Major facility project" means either:
(a) A building construction project of more than five thousand gross square feet of occupied or conditioned space.
(b) A building renovation project if the cost of the project is more than fifty per cent of the assessed value of the project and the project is more than five thousand gross square feet of occupied or conditioned space.
7. "Public agency" means any department, commission, board, institution or other agency of this state and includes universities under the jurisdiction of the Arizona board of regents and community colleges under the jurisdiction of a community college district.
8. "Recovery funding" or "funding" means federal recovery funding provided to this state by the American recovery and reinvestment act of 2009 (P.L. 111‑5) for energy programs, including energy programs prescribed by this chapter.
9. "School district" has the same meaning prescribed in section 15‑101.
10. "State energy office" means the Department of commerce energy office.
11. "State energy program" means the program that provides grants to states and that directs funding to state energy offices from technology programs in the United States department of energy, office of energy efficiency and renewable energy.
34-702. Application of other laws
All major facility projects are also subject to any other energy conservation requirements provided by statute that do not conflict with the requirements of this chapter.
34-703. Program termination
The programs established by this chapter end on July 1, 2020 pursuant to section 41‑3102.
ARTICLE 2. GREEN BUILDINGS
34-711. Green building standards
A. Each major facility project of a public agency shall be designed, constructed, maintained and certified to at least the green building requirements. This subsection applies to major facility projects that have not entered the design phase before December 31, 2013.
B. Each major facility project of a school district that receives any funding from this state shall be designed, constructed, maintained and certified to at least the green building requirements. This subsection applies to major facility projects that have not entered the design phase before December 31, 2013.
C. Any major facility project of any person, corporation or entity, other than a public agency or school district, that receives fifty per cent of total funding from this state shall be designed, constructed, maintained and certified to at least the green building requirements. This subsection applies to major facility projects that have not entered the grant application process before December 31, 2013.
D. All existing public buildings undergoing energy efficiency retrofits equal to or more than a thirty‑five per cent share of the total value of the existing building shall be maintained and certified to determined green standards.
E. Buildings that are subject to subsection A, B or C shall conform to the green building requirements unless the director grants an exception from the requirements based on a written finding of special circumstances that render construction and certification to the requirements impracticable. If an exemption is granted, the state energy office shall prescribe lesser green building standards that are appropriate to the project if there is not either:
1. An appropriate green building requirement for that type of building or renovation project.
2. A practicable way to apply the designated requirement to a particular building or renovation project.
34-712. Rules; reports; advisory committee
A. The state energy office shall adopt rules that are necessary to enforce this chapter. The rules shall include how the state energy office determines whether a project qualifies for an exception from the green building requirements and the modified green building standards that may be imposed on projects that are granted exceptions.
B. The state energy office shall monitor and document ongoing operating savings that result from major facility projects that are designed, constructed, maintained and certified as meeting the green building requirements as well as qualified retrofits to existing buildings as meeting the green building standards and annually publish a public report of its findings and recommended changes in policy. The report shall also include a description of projects that were granted exceptions from the green building requirements, the reasons for exceptions and the modified green building standards that were imposed.
C. The state energy office shall monitor the ongoing development of green building rating systems and standards referenced in the green building requirements and adopt updated versions and standards as appropriate.
D. The state energy office shall establish a green buildings advisory committee consisting of representatives from the design, construction and building operations communities that are involved in public works contracting. The state energy office may include employees of public agencies that regulate public works projects. The advisory committee shall provide advice to the state energy office on implementing this section. The advisory committee shall make annual public recommendations regarding an education and training process and an ongoing evaluation or feedback process to help the state energy office implement this section.
34-713. Protection from liability
A person, corporation or entity is not liable for the failure of a major facility project to meet the green building rating systems and standards referenced in the green building requirements established for the project if an independent third party review finds that a good faith attempt was made to achieve the standard prescribed for the project.
ARTICLE 3. ENERGY EFFICIENT PROGRAMS
34-721. General principals for energy programs using recovery funding
Recovery funding shall be allocated and spent pursuant to the following principles and using Federal guidelines:
1. Project administrators, including the state energy office, shall attempt to maximize job creation, energy conservation and energy demand reduction that can be achieved by recovery funding.
2. Projects shall be selected based on:
(a) Relative cost-effectiveness.
(b) Achieving maximum ongoing energy savings and environmental benefits per recovery dollar spent.
(c) The ability to meet Federal deadlines for the obligation and expenditure of funding so that no federal funding is lost due to failure to meet a deadline.
3. Recovery funding must be used for projects that are geographically distributed across this state.
4. If practicable, recovery monies shall be coordinated with existing utility conservation programs and other leveraged monies, including private monies. Preference shall be given to loan programs and other programs that recycle funding and effectively coordinate with and leverage existing utility programs and private monies.
5. If practicable, recovery monies shall be coordinated with the construction and maintenance of green buildings. Preference shall be given to projects that effectively coordinate with and leverage green job training programs.
6. Preference shall be given to projects that use recovery monies immediately and return some of the monies to this state for funding additional projects, such as revolving loan funds, based on guidelines prescribed by the United States department of energy, state energy program. The state energy office, in coordination with the department of education and the department of administration, shall develop an action plan to spend recovery monies consistent with this section. This action plan shall include application procedures for funding and the development of a system to track and make publicly available all monies spent, energy savings caused and jobs created by the investment of recovery funding. The state energy office may select and hire contractors to assist in the development of the action plan and tracking system using expedited procurement procedures.
34-722. Local government building renovations
The state energy office shall coordinate the use of recovery funding with the energy efficiency and conservation block grant. The director may expedite sole source contracting for work related to this program. The improvements funded by this program have a priority for lighting upgrades, energy recommissioning and other cost-effective energy programs that have already been designed and are ready for immediate implementation. Energy efficiency and conservation block grants may be used to advance local government public building enhanced energy efficiency program projects by either reducing energy bills during a savings repayment period or decreasing the number of years for payback of energy improvement investments.
34-723. School district buildings
The department of education with the assistance of the state energy office shall develop a plan and procedure to select, fund and implement improvements of school district buildings using recovery funding. The department of education may expedite sole source contracting for work related to the improvements. The improvements shall be based on leadership in energy and environmental design for existing buildings, operations and maintenance or its equivalent, as a guide for high-yielding and low-costing retrofit improvements that optimize operational and resource efficiency and maximize benefits to human and environmental health. Energy efficiency and conservation block grants may be used to advance public building enhanced energy efficiency program projects by either reducing energy bills during a savings repayment period or decreasing the number of years for payback of energy improvement investments.
34-724. State government buildings
The department of administration, with the assistance of the state energy office, shall develop a plan and procedure to select, fund and implement improvements to state government buildings using recovery funding. The department of administration may expedite sole source contracting for work related to the improvement. The improvements shall be based on leadership in energy and environmental design for existing buildings, operations and maintenance or its equivalent, as a guide for high-yielding and low-costing retrofit improvements that optimize operational and resource efficiency and maximize benefits to human and environmental health. Energy efficiency and conservation block grants may be used to advance public building enhanced energy efficiency program projects by either reducing energy bills during a savings repayment period or decreasing the number of years for payback of energy improvement investments.
34-725. Residential weatherization assistance program; window replacement and insulation program
A. The director shall allocate all recovery funding for the state weatherization assistance program. The state energy office shall designate a single staff member responsible for the monies, who must approve all fund expenditures along with the director. The state energy office shall use existing providers of weatherization services before additional providers of weatherization services are added.
B. The director shall develop weatherization programs that include rental units, including developing procedures to streamline low-income rental unit participation in weatherization programs. The director shall give priority to serving the largest number of new weatherization clients consistent with federal eligibility requirements.
C. The director shall use a portion of the recovery funding received by the state energy office to fund a window replacement and insulation program for existing housing occupied by low-income or moderate-income households. To the extent that monies are available, the state energy office also may provide some funding to projects that serve commercial and industrial facilities as well as to extend weatherization programs to middle‑income families outside of the weatherization assistance program income eligibility guidelines.
ARTICLE 4. LOCAL GOVERNMENTS
34-741. Revolving loan program for energy efficiency improvements
A. A city or town may establish a program to finance the purchase and installation of distributed generation renewable energy sources or energy efficiency improvements that are permanently affixed to residential, commercial or other real property.
B. A city or town may establish a revolving loan fund for the purpose of providing loans to implement subsection A. A city or town may use energy efficiency and conservation block grant monies and its unrestricted revenue to fund the revolving loan fund. The annual interest rate charged for the use of monies from the revolving fund may not exceed ten per cent, excluding other fees for loan application review and origination. The term of any loan originated under this section may not be more than fifteen years.
ARTICLE 5. TRAINING
34-751. Training services
A. The state energy office, in consultation with the labor department of the industrial commission of Arizona, shall enter into contracts with constituency-based organizations, workforce development organizations, labor organizations and other training-related organizations for the purpose of supporting energy efficient initiatives with employment and training services.
B. The contracts shall provide for;
1. Training of individuals to:
(a) Participate in outreach and marketing activities.
(b) Perform energy audits.
(c) Provide qualified energy efficiency services.
2. Job placement services to those individuals trained pursuant to this subsection.
C. To the extent permitted by statute, rule or federal grant, a preference shall be given for training and placement of women, minorities, low-income individuals and populations with barriers to employment.
D. Trainings services that are authorized pursuant to this section shall include:
1. Incremental occupational training to unemployed workers with good work histories.
2. Work-readiness and entry-level technical training to individuals with weak work histories.
3. Apprenticeship qualifying, apprenticeship and labor-management certification training.
4. Training that is designed to lead to certification in energy auditing and energy performance contracting.
5. Skills upgrading for incumbent workers, including workers performing weatherization activities under any state program.
6. Work support, if appropriate and to the extent that funding is available, to individuals who obtain employment created by this chapter and to assist those individuals to retain employment and continue to upgrade their skills.
E. For quality assurance purposes, organizations providing training services pursuant to this section shall possess certifications and accreditations that the state energy office, in consultation with the labor department of the industrial commission of Arizona, deems appropriate.
F. The state energy office, in cooperation with the labor department of the industrial commission of Arizona, shall facilitate coordination between constituency-based organizations, workforce development organizations, labor organizations and auditing and energy performance services contractors to provide job opportunities for individuals participating in training programs or receiving placement services pursuant to this section.
G. The state energy office, in cooperation with the labor department of the industrial commission of Arizona, shall:
1. Encourage local workforce investment boards created pursuant to the federal workforce investment act of 1998 (P.L. 105-220) to make available training and job placement services authorized pursuant to this section within each local workforce investment area.
2. Access training services available through the department of labor.
3. Apply for available federal funding for appropriate training services pursuant to the American recovery and investment act of 2009 (P.L. 111-5) and any other applicable federal law.
H. The labor department of the industrial commission of Arizona shall coordinate with the state energy office in implementing this section.
ARTICLE 6. GREEN JOBS ADVISORY COUNCIL
34-761. Advisory council; duties
A. The state energy office shall establish a green jobs advisory council to advise the state energy office on the establishment and implementation of the state energy program. The state energy office shall use grants from the state energy program to address this state's energy priorities and program funding to adopt emerging renewable energy and energy efficiency technologies.
B. The council consists of:
1. The director of the state energy office, who serves as chairperson of the council.
2. The director of the Arizona department of housing or the director's designee.
3. The director of the department of labor of the industrial commission of Arizona or the director's designee.
4. The director of the department of economic security or the director's designee.
5. The director of the department of environmental quality or the director's designee.
6. Six public members who are appointed by the director of the state energy office and who represent constituency-based community groups, consumer advocates on utility and housing issues, community-based workforce development groups, unions, including building trades and property services unions, home performance contractors, large-scale construction contractors and investment market experts.
34-762. Reports of advisory council
A. On or before December 31 of each year, the chairperson of the council shall present the president of the senate and the speaker of the house of representatives with a report that includes all of the following:
1. The status of the state energy office's activities and outcomes.
2. The state energy office recommendations for state energy program improvements.
3. The metrics for the revolving loan program.
4. The number of individuals receiving training services, including the type of services.
5. The identity of organizations providing training services, including the cost of the services and the amount of monies awarded to each organization.
6. The number of individuals placed through job placement services according to employment status and wage levels.
7. The number of individuals placed after having received training, reported by employment status and wage levels.
8. The overall effectiveness, progress and outcomes by the state energy office, including key findings by the state energy office, a calculation of the energy saving achieved and any recommendations for program improvements and expansion of the state energy program.
B. The director shall provide a copy of this report to the secretary of state.
34-763. Third-party review
If requested by four or more members of the advisory council, the state energy office shall hire a third-party entity to submit an independent audit based on the metrics established pursuant to section 34-762, subsection A, paragraphs 1 through 7. The third-party entity shall be selected pursuant to title 41, chapter 23. The state energy office shall make the independent audit available on the state energy office's website.
