The Senate Committee on Rules and Legislative Procedure, to which was referred Senate Bill No. 260, has had the same under consideration and begs leave to report the same back to the Senate with the recommendation that said bill be AMENDED as follows:
Delete everything after the enacting clause and insert the following:
SECTION 1. IC 36-9-39.5 IS ADDED TO THE INDIANA CODE AS A NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE JULY 1, 2011]:
Chapter 39.5. Clean Energy Improvement Financing Districts
Sec. 1. This chapter applies to all political subdivisions except townships.
Sec. 2. As used in this chapter, "clean energy improvement" means a fixture, product, system, device, or interacting group of devices that is permanently installed behind the meter of any building to:
(1) produce energy from one (1) or more clean energy resources; or
(2) reduce energy consumption.
Sec. 3. As used in this chapter, "clean energy resources" means the following sources and programs for the production or conservation of electricity:
(1) Energy from wind.
(2) Solar energy.
(3) Photovoltaic cells and panels.
(4) Energy from:
(A) landfill gas to electric systems; and
(B) manure to gas systems.
(5) Geothermal heating and cooling systems.
(6) Energy from waste heat recovery systems.
(7) Conservation measures that reduce electricity consumption.
Sec. 4. (a) As used in this chapter, "conservation measure" means:
(1) a facility alteration;
(2) an alteration of a structure (as defined in IC 36-1-10-2); or
(3) a technology upgrade;
designed to reduce energy or other operating costs.
(b) The term includes the following:
(1) Providing insulation of the facility or structure and systems in the facility or structure.
(2) Installing or providing for window and door systems, including:
(A) storm windows and storm doors;
(B) caulking or weatherstripping;
(C) multiglazed windows and doors;
(D) heat absorbing or heat reflective glazed and coated windows and doors;
(E) additional glazing;
(F) the reduction in glass area; and
(G) other modifications that reduce energy consumption.
(3) Installing automatic energy control systems.
(4) Modifying or replacing heating, ventilating, or air conditioning systems.
(5) Unless an increase in illumination is necessary to conform to Indiana laws or rules or local ordinances, modifying or replacing lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility or structure.
Sec. 5. As used in this chapter, "designated body" refers to a legislative body that administers this chapter with respect to a district. The term includes a legislative body designated under section 7(c) of this chapter.
Sec. 6. As used in this chapter, "district" refers to a clean energy improvement financing district established in a resolution or ordinance adopted under section 7 of this chapter.
Sec. 7. (a) The legislative body of a political subdivision, or the legislative bodies of two (2) or more political subdivisions, may adopt a preliminary resolution or ordinance to:
(1) establish a clean energy improvement financing district; and
(2) authorize in the district the financing of clean energy improvements under this chapter.
(b) A preliminary resolution or ordinance adopted under subsection (a) must contain the following:
(1) The geographic boundaries of the proposed district.
(2) A description of the proposed method of financing of
clean energy improvements installed in the district.
(c) If the legislative bodies of two (2) or more political subdivisions adopt a preliminary resolution or ordinance, the preliminary resolutions or ordinances must:
(1) comply with subsection (b);
(2) be identical; and
(3) designate one (1) legislative body to administer the requirements of this chapter with respect to the district established in the preliminary resolution or ordinance.
A legislative body designated under subdivision (3) must have authority to issue bonds.
(d) The boundaries of a district need not coincide with those of other political subdivisions.
Sec. 8. A designated body may do the following:
(1) Enter into an agreement with another entity concerning the following:
(A) The development of marketing and public information programs for a district.
(B) The issuance of bonds under this chapter.
(2) Apply for grants, loans, or other awards on behalf of the district.
Sec. 9. The designated body shall publish notice of a hearing on the preliminary resolution or ordinance in accordance with IC 5-3-1 and on the designated body's web site. The notice must state the date, time, and place at which the designated body will hear all interested persons.
Sec. 10. (a) At the hearing specified in the notice under section 9 of this chapter, the designated body shall do the following:
(1) Hear interested persons.
(2) Receive and compile data on the costs of clean energy improvements proposed to be installed in buildings located in the district.
(3) Rescind, modify, or confirm the resolution or ordinance.
(b) If the designated body confirms, or modifies and confirms, the resolution or ordinance:
(1) the clean energy improvement financing district is established; and
(2) the clean energy improvements installed in buildings located in the district may be financed according to the resolution or ordinance.
Sec. 11. (a) A property owner that desires to participate in the proposed clean energy improvement financing shall submit an application to the designated body in the form and according to a schedule determined by the designated body. The application must contain the following:
(1) The address and legal description of the property on which the clean energy improvement for which the property owner desires financing will be installed.
(2) A description and the cost of all clean energy improvements proposed to be installed on the property.
under section 15 of this chapter, including:
(1) debt service reserves to secure the payment of the bonds; and
(2) expenses, duties, and costs associated with:
(A) the issuance, sale, or payment of the bonds;
(B) the billing, collection, or enforcement of the assessments; or
(C) an agreement described in section 8 of this chapter.
Sec. 15. (a) The designated body shall issue bonds in anticipation of the collection of the assessments to finance the installation of clean energy improvements in buildings, regardless of whether the buildings or the real property on which the buildings are located are privately or publicly owned. The designated body shall:
(1) issue and sell the bonds in the manner prescribed for other bonds of the political subdivision; and
(2) make the payments on the bonds described in section 14 of this chapter over a term of twenty (20) years.
The designated body may issue the bonds at any time after a district is established.
(b) The designated body shall use the proceeds of the bonds issued under subsection (a) to pay:
(1) the costs of the clean energy improvements for the properties for which applications were approved under section 11(b) of this chapter, subject to any adjustments under section 11(d) of this chapter or any appeals under section 12 of this chapter; and
(2) to the extent permitted by federal law, any expenses, duties, or costs described in section 14(2) of this chapter.
(c) Bonds issued under this section:
(1) are not an obligation of the political subdivision that issued bonds but are an indebtedness of the district; and
(2) are payable solely from proceeds of special assessments levied by the designated body under section 12 of this chapter.
(Reference is to SB 260 as introduced.)
and when so amended that said bill be reassigned to the Senate Committee on Utilities and Technology.