Bill Text: HI HB401 | 2019 | Regular Session | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating To Contracting For Public Facilities.

Spectrum: Moderate Partisan Bill (Democrat 9-1)

Status: (Passed) 2019-07-01 - Act 144, 06/26/2019 (Gov. Msg. No. 1246). [HB401 Detail]

Download: Hawaii-2019-HB401-Introduced.html


H.B. NO.














relating to contracting for public facilities.





     SECTION 1.  Section 36-41, Hawaii Revised Statutes, is amended as follows:

     1.  By amending subsection (b) to read:

     "(b)  Any agency may enter into a multi-year energy performance contract for the purpose of undertaking or implementing energy conservation or alternate energy measures in a facility or facilities[.] or for vehicle or vehicles.  An energy performance contract may include but shall not be limited to financing options such as leasing, lease-purchase, financing agreements, third-party joint ventures, guaranteed-savings plans, or energy service contracts, or any combination thereof; provided that in due course the agency may receive title to the energy system being financed.  Except as otherwise provided by law, the agency that is responsible for a particular facility or vehicle shall review and approve energy performance contract arrangements for the facility[.] or vehicle."

     2.  By amending subsection (d) to read:

     "(d)  For purposes of this section:

     "Agency" means any executive department, independent commission, board, bureau, office, or other establishment of the State or any county government, the judiciary, the University of Hawaii, or any quasi-public institution that is supported in whole or in part by state or county funds.

     "Energy performance contract" means an agreement for the provision of energy services and equipment, including but not limited to vehicles, building, or facility energy conservation enhancing retrofits, water saving technology retrofits, and alternate energy technologies, in which a private sector person or company agrees to finance, design, construct, install, maintain, operate, or manage energy systems or equipment to improve the energy efficiency of, or produce energy in connection with, a facility or vehicle in exchange for a portion of the cost savings, lease payments, or specified revenues, and the level of payments is made contingent upon the verified energy savings, energy production, avoided maintenance, avoided energy equipment replacement, or any combination of the foregoing bases.  Energy conservation retrofits also include energy saved off-site by water or other utility conservation enhancing retrofits.

     "Facility" means a building or buildings or similar structure, including the site owned or leased by, or otherwise under the jurisdiction of, the agency.

     "Financing agreement" shall have the same meaning as in section 37D-2.

     "Guaranteed-savings plan" means an agreement under which a private sector person or company undertakes to design, install, operate, and maintain improvements to an agency's facility or facilities and the agency agrees to pay a contractually specified amount of verified energy cost savings.

     "Vehicle" means every device in, upon, or by which any person or property is or may be transported or drawn upon a highway, but excludes mopeds and devices moved by human power or devices used exclusively upon stationary rails or tracks.

     "Verified" means the technique used in the determination of baseline energy use, post-installation energy use, and energy and cost savings by the following measurement and verification techniques:  engineering calculations, metering and monitoring, utility meter billing analysis, computer simulations, mathematical models, and agreed-upon stipulations by the customer and the energy service company."

     SECTION 2.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 3.  This Act shall take effect upon its approval.








Report Title:

Energy Retrofit and Performance Contracting for Public Facilities; Vehicles; Energy Efficiency



Allows agencies to enter performance contracts to undertake or implement energy conservation or alternate energy measures for vehicles.  Amends definition of energy performance contract to include vehicles.  Defines vehicle.




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