Synopsis: Contracts for public water and wastewater projects.
Includes water and wastewater, in addition to energy, under the
guaranteed savings contracts and utility efficiency programs that may
be used by local units of government to reduce consumption and usage
costs or to provide billable revenue increases.
Effective: July 1, 2006.
January 5, 2006, read first time and referred to Committee on Local Government.
A BILL FOR AN ACT to amend the Indiana Code concerning local
government.
(as defined in IC 21-3-1.6-1.1) to promote the best interests of the
school corporation through:
notes where the contract, security, retention, or note is permitted
by applicable law, by gift, by devise, by loan, or by lease with or
without option to purchase and to repair, remodel, remove,
relocate, and demolish the personal property. All purchases and
contracts delineated under the powers given under subdivision (4)
and this subdivision are subject solely to applicable law relating
to purchases and contracting by municipal corporations in general
and to the supervisory control of state agencies as provided in
section 6 of this chapter.
IC 20-28-5), business managers, superintendents of buildings
and grounds, janitors, engineers, architects, physicians,
dentists, nurses, accountants, teacher aides performing
noninstructional duties, educational and other professional
consultants, data processing and computer service for school
purposes, including the making of schedules, the keeping and
analyzing of grades and other student data, the keeping and
preparing of warrants, payroll, and similar data where
approved by the state board of accounts as provided below,
and other personnel or services as the governing body
considers necessary for school purposes.
employee's or member's reasonable hotel and board bills and
necessary transportation expenses. To pay teaching personnel for
time spent in sponsoring and working with school related trips or
activities.
imprisonment, false arrest, libel, or slander for acts committed in
the course of the persons' employment, protecting the school
corporation for fire and extended coverage and other casualty
risks to the extent of replacement cost, loss of use, and other
insurable risks relating to property owned, leased, or held by the
school corporation. To:
IC 21-2-21 or any other law.
include only revenues of a municipal water or wastewater utility
operated by a political subdivision.
water consumption,
chapter, "qualified provider" means the following:
person that satisfies the following:
savings contract with a qualified provider to increase the political
subdivision's billable revenues or reduce the school corporation's or
the political subdivision's energy or water consumption, wastewater
usage costs, or operating costs if, after review of the report described
in section 6 of this chapter, the governing body finds:
IC 5-16-7.
be paid in installments not to exceed the lesser of ten (10) years or the
average life of the
measures under a guaranteed
(SENATE SPONSORS _ HERSHMAN, WEATHERWAX)
January 17, 2006, reported _ Do Pass.
January 23, 2006, read second time, ordered engrossed. Engrossed.
January 26, 2006, read third time, passed. Yeas 89, nays 0.
February 1, 2006, read first time and referred to Committee on Governmental Affairs and
Interstate Cooperation.
February 9, 2006, reported favorably _ Do Pass.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in this style type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2005 Regular Session of the General Assembly.
(1) In the name of the school corporation, to sue and be sued and
to enter into contracts in matters permitted by applicable law.
(2) To take charge of, manage, and conduct the educational affairs
of the school corporation and to establish, locate, and provide the
necessary schools, school libraries, other libraries where
permitted by law, other buildings, facilities, property, and
equipment.
(3) To appropriate from the school corporation's general fund an
amount, not to exceed the greater of three thousand dollars
($3,000) per budget year or one dollar ($1) per pupil, not to
exceed twelve thousand five hundred dollars ($12,500), based on
the school corporation's previous year's average daily membership
(A) the purchase of meals, decorations, memorabilia, or
awards;
(B) provision for expenses incurred in interviewing job
applicants; or
(C) developing relations with other governmental units.
(4) To:
(A) Acquire, construct, erect, maintain, hold, and contract for
construction, erection, or maintenance of real estate, real estate
improvements, or an interest in real estate or real estate
improvements, as the governing body considers necessary for
school purposes, including buildings, parts of buildings,
additions to buildings, rooms, gymnasiums, auditoriums,
playgrounds, playing and athletic fields, facilities for physical
training, buildings for administrative, office, warehouse, repair
activities, or housing school owned buses, landscaping, walks,
drives, parking areas, roadways, easements and facilities for
power, sewer, water, roadway, access, storm and surface
water, drinking water, gas, electricity, other utilities and
similar purposes, by purchase, either outright for cash (or
under conditional sales or purchase money contracts providing
for a retention of a security interest by the seller until payment
is made or by notes where the contract, security retention, or
note is permitted by applicable law), by exchange, by gift, by
devise, by eminent domain, by lease with or without option to
purchase, or by lease under IC 21-5-10, IC 21-5-11, or
IC 21-5-12.
(B) Repair, remodel, remove, or demolish, or to contract for
the repair, remodeling, removal, or demolition of the real
estate, real estate improvements, or interest in the real estate
or real estate improvements, as the governing body considers
necessary for school purposes.
(C) Provide for energy conservation measures through utility
energy efficiency programs or under a guaranteed energy
savings contract as described in IC 36-1-12.5.
(5) To acquire personal property or an interest in personal
property as the governing body considers necessary for school
purposes, including buses, motor vehicles, equipment, apparatus,
appliances, books, furniture, and supplies, either by cash purchase
or under conditional sales or purchase money contracts providing
for a security interest by the seller until payment is made or by
(6) To sell or exchange real or personal property or interest in real
or personal property that, in the opinion of the governing body, is
not necessary for school purposes, in accordance with IC 20-26-7,
to demolish or otherwise dispose of the property if, in the opinion
of the governing body, the property is not necessary for school
purposes and is worthless, and to pay the expenses for the
demolition or disposition.
(7) To lease any school property for a rental that the governing
body considers reasonable or to permit the free use of school
property for:
(A) civic or public purposes; or
(B) the operation of a school age child care program for
children five (5) years of age through fourteen (14) years of
age that operates before or after the school day, or both, and
during periods when school is not in session;
if the property is not needed for school purposes. Under this
subdivision, the governing body may enter into a long term lease
with a nonprofit corporation, community service organization, or
other governmental entity, if the corporation, organization, or
other governmental entity will use the property to be leased for
civic or public purposes or for a school age child care program.
However, if payment for the property subject to a long term lease
is made from money in the school corporation's debt service fund,
all proceeds from the long term lease must be deposited in the
school corporation's debt service fund so long as payment for the
property has not been made. The governing body may, at the
governing body's option, use the procedure specified in
IC 36-1-11-10 in leasing property under this subdivision.
(8) To:
(A) Employ, contract for, and discharge superintendents,
supervisors, principals, teachers, librarians, athletic coaches
(whether or not they are otherwise employed by the school
corporation and whether or not they are licensed under
(B) Fix and pay the salaries and compensation of persons and
services described in this subdivision.
(C) Classify persons or services described in this subdivision
and to adopt schedules of salaries or compensation.
(D) Determine the number of the persons or the amount of the
services employed or contracted for as provided in this
subdivision.
(E) Determine the nature and extent of the duties of the
persons.
The compensation, terms of employment, and discharge of
teachers are, however, subject to and governed by the laws
relating to employment, contracting, compensation, and discharge
of teachers. The compensation, terms of employment, and
discharge of bus drivers is are subject to and governed by laws
relating to employment, contracting, compensation, and discharge
of bus drivers. The forms and procedures relating to the use of
computer and data processing equipment in handling the financial
affairs of the school corporation must be submitted to the state
board of accounts for approval to the end that the services are
used by the school corporation when the governing body
determines that it is in the best interest of the school corporation
while at the same time providing reasonable accountability for the
funds expended.
(9) Notwithstanding the appropriation limitation in subdivision
(3), when the governing body by resolution considers a trip by an
employee of the school corporation or by a member of the
governing body to be in the interest of the school corporation,
including attending meetings, conferences, or examining
equipment, buildings, and installation in other areas, to permit the
employee to be absent in connection with the trip without any loss
in pay and to refund to the employee or to the member the
(10) To transport children to and from school, when in the
opinion of the governing body the transportation is necessary,
including considerations for the safety of the children and without
regard to the distance the children live from the school, the
transportation to be otherwise in accordance with applicable law.
(11) To provide a lunch program for a part or all of the students
attending the schools of the school corporation, including the
establishment of kitchens, kitchen facilities, kitchen equipment,
lunch rooms, the hiring of the necessary personnel to operate the
lunch program, and the purchase of material and supplies for the
lunch program, charging students for the operational costs of the
lunch program, fixing the price per meal or per food item. To
operate the lunch program as an extracurricular activity, subject
to the supervision of the governing body. To participate in a
surplus commodity or lunch aid program.
(12) To purchase textbooks, to furnish textbooks without cost or
to rent textbooks to students, to participate in a textbook aid
program, all in accordance with applicable law.
(13) To accept students transferred from other school corporations
and to transfer students to other school corporations in accordance
with applicable law.
(14) To levy taxes, to make budgets, to appropriate funds, and to
disburse the money of the school corporation in accordance with
applicable law. To borrow money against current tax collections
and otherwise to borrow money, in accordance with IC 21-2-21.
(15) To purchase insurance or to establish and maintain a
program of self-insurance relating to the liability of the school
corporation or the school corporation's employees in connection
with motor vehicles or property and for additional coverage to the
extent permitted and in accordance with IC 34-13-3-20. To
purchase additional insurance or to establish and maintain a
program of self-insurance protecting the school corporation and
members of the governing body, employees, contractors, or agents
of the school corporation from liability, risk, accident, or loss
related to school property, school contract, school or school
related activity, including the purchase of insurance or the
establishment and maintenance of a self-insurance program
protecting persons described in this subdivision against false
(A) participate in a state employee health plan under
IC 5-10-8-6.6;
(B) purchase insurance; or
(C) establish and maintain a program of self-insurance;
to benefit school corporation employees, including accident,
sickness, health, or dental coverage, provided that a plan of
self-insurance must include an aggregate stop-loss provision.
(16) To make all applications, to enter into all contracts, and to
sign all documents necessary for the receipt of aid, money, or
property from the state government, the federal government, or
from any other source.
(17) To defend any member of the governing body or any
employee of the school corporation in any suit arising out of the
performance of the member's or employee's duties for or
employment with, the school corporation, if the governing body
by resolution determined that the action was taken in good faith.
To save any member or employee harmless from any liability,
cost, or damage in connection with the performance, including the
payment of legal fees, except where the liability, cost, or damage
is predicated on or arises out of the bad faith of the member or
employee, or is a claim or judgment based on the member's or
employee's malfeasance in office or employment.
(18) To prepare, make, enforce, amend, or repeal rules,
regulations, and procedures for the government and management
of the schools, property, facilities, and activities of the school
corporation, the school corporation's agents, employees, and
pupils and for the operation of the governing body, which rules,
regulations, and procedures may be designated by an appropriate
title such as "policy handbook", "bylaws", or "rules and
regulations".
(19) To ratify and approve any action taken by a member of the
governing body, an officer of the governing body, or an employee
of the school corporation after the action is taken, if the action
could have been approved in advance, and in connection with the
action to pay the expense or compensation permitted under
IC 20-26-1 through IC 20-26-5, IC 20-26-7, IC 21-2-19, and
(20) To exercise any other power and make any expenditure in
carrying out the governing body's general powers and purposes
provided in this chapter or in carrying out the powers delineated
in this section which is reasonable from a business or educational
standpoint in carrying out school purposes of the school
corporation, including the acquisition of property or the
employment or contracting for services, even though the power or
expenditure is not specifically set out in this chapter. The specific
powers set out in this section do not limit the general grant of
powers provided in this chapter except where a limitation is set
out in IC 20-26-1 through IC 20-26-5, IC 20-26-7, IC 21-2-19,
and IC 21-2-21 by specific language or by reference to other law.
(1) political subdivisions; and
(2) their agencies;
regardless of whether it is performed on property owned or leased by
the political subdivision or agency.
(b) This chapter does not apply to an officer or agent who, on behalf
of a municipal utility, maintains, extends, and installs services of the
utility if the necessary work is done by the employees of the utility.
(c) This chapter does not apply to hospitals organized or operated
under IC 16-22-1 through IC 16-22-5 or IC 16-23-1, unless the public
work is financed in whole or in part with cumulative building fund
revenue.
(d) This chapter does not apply to tax exempt Indiana nonprofit
corporations leasing and operating a city market owned by a political
subdivision.
(e) As an alternative to this chapter, the governing body of a school
corporation may participate in a utility energy efficiency program or
may enter into a guaranteed energy savings contract as permitted under
IC 36-1-12.5.
(f) This chapter does not apply to a person that has entered into an
operating agreement with a political subdivision or an agency of a
political subdivision under IC 5-23.
an energy a conservation measure.
"energy "conservation measure":
(1) means:
(A) a school facility alteration; or
(B) an alteration of a structure (as defined in IC 36-1-10-2);
(C) a technology upgrade; or
(D) with respect to an installation described in subdivision
(2)(G) or (2)(H), an alteration of a structure or system;
designed to provide billable revenue increases or reduce energy
or water consumption costs, wastewater costs, or other
operating costs; including and
(2) includes the following:
(1) (A) Providing insulation of the school facility or structure
and systems within in the school facility or structure.
(2) (B) Installing or providing for window and door systems,
including:
(A) (i) storm windows and storm doors;
(B) (ii) caulking or weatherstripping;
(C) (iii) multi-glazed windows and doors;
(D) (iv) heat absorbing or heat reflective glazed and coated
windows and doors;
(E) (v) additional glazing;
(F) (vi) the reduction in glass area; and
(G) (vii) other modifications that reduce energy
consumption.
(3) (C) Installing automatic energy control systems.
(4) (D) Modifying or replacing heating, ventilating, or air
conditioning systems.
(5) (E) 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.
(6) (F) Providing for other energy conservation measures that
provide billable revenue increases or reduce energy or
or reduce operating costs, or reduce
wastewater costs, including future:
(A) (i) labor costs;
(B) (ii) costs or revenues for contracted services; and
(C) (iii) related capital expenditures.
(G) Installing equipment upgrades that improve accuracy
of billable revenue generating systems.
(H) Installing automated, electronic, or remotely
controlled systems or measures that reduce direct
personnel costs.
(b) The term does not include an alteration of a water or
wastewater structure or system that increases the capacity of the
structure or system.
(1) With respect to school corporations, the governing body (as
defined in IC 20-18-2-5).
(2) With respect to a public library, the library board (as defined
in IC 36-12-1-3).
(3) With respect to a library described in IC 36-12-7-8, the
trustees of the library.
(4) With respect to a political subdivision that operates a
municipal water or wastewater utility and in connection with
the installation of a conservation measure to a water or
wastewater structure or system under this chapter, the board
or officer that has the power to award contracts.
(4) (5) With respect to other political subdivisions for any other
project or program under this chapter, the legislative body (as
defined in IC 36-1-2-9).
energy savings contract" refers to a contract
entered into under this chapter, in which a qualified provider enters
into an agreement with the governing body to:
(1) evaluate and recommend to the governing body energy
conservation measures; and
(2) provide for the implementation of at least one (1) energy
conservation measure.
(1) Before July 1, 1999, the term means a person that satisfies
both of the following:
(A) The person is experienced in the design, implementation,
and installation of energy conservation measures.
(B) The person submits to the school corporation or political
subdivision a performance bond to ensure the qualified
provider's faithful performance of the qualified provider's
obligations over the term of the guaranteed energy savings
contract.
(2) After June 30, 1999, the term means a person that satisfies all
of the following:
(A) Subject to subdivision (3), the person is experienced in
the design, implementation, and installation of energy
conservation measures.
(B) The person is certified and meets the requirements of
IC 4-13.6-4. The person's response to the request for proposals
must include a copy of the person's certificate of qualification
issued under IC 4-13.6-4.
(C) Subject to subdivision (3), the person provides energy
conservation engineering services by a professional engineer
licensed under IC 25-31 who is under the person's direct
employment and supervision. The person's response to the
request for proposals must include the license number of each
professional engineer employed by the person to satisfy the
requirement of this clause.
(D) The person provides:
(i) monitoring for the facility performance guarantee; and
(ii) service personnel under the person's direct employment
and supervision;
for the duration of the contract's guarantee.
(E) The person performs at least twenty percent (20%) of the
work (measured in dollars of the total contract price) with its
own workforce.
(F) The person submits to the school corporation or political
subdivision a performance bond to ensure the qualified
provider's faithful performance of the qualified provider's
obligations over the term of:
(i) the guaranteed energy savings contract; or
(ii) the guaranteed savings contract.
(3) With respect to conservation measures for which a
contract is executed after June 30, 2006, the term includes a
(A) The person is experienced in the design,
implementation, and installation of conservation measures.
(B) The person provides engineering services with respect
to conservation measures by a professional engineer
licensed under IC 25-31 who is under the person's direct
employment and supervision. The person's response to the
request for proposals must include the license number of
each professional engineer employed by the person to
satisfy the requirement of this clause.
(b) For purposes of a guaranteed energy savings contract entered
into before July 1, 1999, a person who was a qualified provider under
subsection (a)(1) at the time the contract was entered into remains a
qualified provider for that contract after June 30, 1999. If the person
enters into:
(1) a guaranteed energy savings contract after June 30, 1999, and
before July 1, 2006, the person must satisfy the requirements of
subsection (a)(2); or
(2) a guaranteed savings contract after June 30, 2006, the
person must satisfy the requirements of subsection (a)(2) and
(a)(3);
to be considered a qualified provider.
(1) the governing body reasonably believes will be incurred
during the contract term;
(2) are part of or are causally connected to the energy
conservation measures being implemented; and
(3) are documented by industry engineering standards.
energy efficiency program" refers to an energy, a
water, or a wastewater efficiency program that:
(1) includes an energy a conservation measure;
(2) is established by a public utility (as defined in IC 8-1-8.7-2);
and
(3) is undertaken pursuant to this chapter.
energy efficiency program or enter into a guaranteed energy
(1) in the case of conservation measures other than those that
are part of a project related to the alteration of a water or
wastewater structure or system, that the amount the
governing body would spend on the conservation measures
under the contract and that are recommended in the report is
not likely to exceed the amount to be saved in energy
consumption costs and other operating costs over ten (10)
years from the date of installation if the recommendations in
the report were followed;
(1) (2) in the case of conservation measures that are part of a
project related to the alteration of a water or wastewater
structure or system, that the amount the governing body would
spend on the energy conservation measures under the contract and
that are recommended in the report is not likely to exceed the
amount of increased billable revenues or the amount to be
saved in energy and water consumption costs, wastewater usage
costs, and other operating costs over ten (10) fifteen (15) years
from the date of installation if the recommendations in the report
were followed; and
(2) (3) in the case of a guaranteed energy savings contract, the
qualified provider provides a written guarantee as described in
subsection (d)(2). (d)(3).
(b) Before entering into an agreement to participate in a utility
energy efficiency program or a guaranteed energy savings contract
under this section, the governing body must publish notice under
subsection (c) indicating:
(1) that the governing body is requesting public utilities or
qualified providers to propose energy conservation measures
through: either (A) a utility
energy efficiency program; or
(B) a guaranteed energy savings contract; and
(2) the date, the time, and the place where proposals must be
received.
(c) The notice required by subsection (b) must:
(1) be published in two (2) newspapers of general circulation in
the county where the school corporation or the political
subdivision is located;
(2) be published two (2) times with at least one (1) week between
publications and with the second publication made at least thirty
(30) days before the date by which proposals must be received;
and
(3) meet the requirements of IC 5-3-1-1.
(d) An agreement to participate in a utility energy efficiency
program or guaranteed energy savings contract under this section must
provide that:
(1) in the case of conservation measures other than those that
are part of a project related to the alteration of a water or
wastewater structure or system, all payments, except
obligations upon the termination of the agreement or contract
before the agreement or contract expires, may be made to the
public utility or qualified provider (whichever applies) in
installments, not to exceed the lesser of ten (10) years or the
average life of the conservation measures installed from the
date of final installation;
(1) (2) in the case of conservation measures that are part of a
project related to the alteration of a water or wastewater
structure or system, all payments, except obligations upon the
termination of the agreement or contract before the agreement or
contract expires, may be made to the public utility or qualified
provider (whichever applies) in installments, not to exceed the
lesser of ten (10) fifteen (15) years or the average life of the
energy conservation measures installed from the date of final
installation; and
(2) (3) in the case of the guaranteed energy savings contract:
(A) the:
(i) savings in energy and water consumption costs,
wastewater usage costs, and other operating costs; and
(ii) increase in billable revenues;
due to the energy conservation measures are guaranteed to
cover the costs of the payments for the measures; and
(B) the qualified provider will reimburse the school
corporation or political subdivision for the difference between
the guaranteed savings and the actual savings; and
(3) (4) payments are subject to annual appropriation by the fiscal
body of the school corporation or political subdivision and do not
constitute an indebtedness of the school corporation or political
subdivision within the meaning of a constitutional or statutory
debt limitation.
(e) An agreement or a contract under this chapter is subject to
(b) A qualified provider may enter into a subcontract:
(1) with a value of more than one hundred fifty thousand dollars
($150,000); and
(2) for the performance of any part of a guaranteed energy savings
contract or guaranteed savings contract;
only if the subcontractor is certified under IC 4-13.6-4.
(1) a utility energy efficiency program; or
(2) a guaranteed energy savings contract;
entered into under this chapter.
energy efficiency program or a guaranteed energy savings
contract, the public utility or the qualified provider (whichever applies)
must issue a report that includes estimates for the following:
(1) All costs attributable to the work stipulated in the agreement
or the contract, including the costs of design, engineering,
installation, maintenance, repairs, or debt service.
(2) The amounts by which:
(A) energy or water consumption;
(B) wastewater costs; or
(C) operating costs;
will be reduced.
(3) The amounts by which billable revenues will be increased.
(b) The report must also contain a listing of contractors and
subcontractors to be used by the public utility or the qualified provider
with respect to the energy conservation measures.
energy conservation measures under this chapter that
are part of a project that is not related to the alteration of a water
or wastewater structure or system, the balance of the payments must
energy conservation measure installed from the date
of final installation. Payments under an installment payment contract
are subject to annual appropriation by the fiscal body of the school
corporation or political subdivision and do not constitute an
indebtedness of the school corporation or political subdivision within
the meaning of a constitutional or statutory debt limitation.
(b) If the governing body enters into an installment payment
contract for the purchase and installation of conservation measures
under this chapter that are part of a project that is related to the
alteration of a water or wastewater structure or system, the
balance of the payments must be paid in installments not to exceed
the lesser of fifteen (15) years or the average life of the
conservation measure installed from the date of final installation.
Payments under an installment payment contract are subject to
annual appropriation by the fiscal body of the school corporation
or political subdivision and do not constitute an indebtedness of the
school corporation or political subdivision within the meaning of
a constitutional or statutory debt limitation.
(c) With respect to a conservation measure described in section
1(a)(2)(G) or 1(a)(2)(H) of this chapter, annual revenues or savings
from a guaranteed savings contract may be less than annual
payments on the contract if during the length of the contract total
savings and increased billable revenues occur as provided for by
the contract.
(d) The financing of a guaranteed savings contract may be
provided by:
(1) the vendor under the guaranteed savings contract; or
(2) a third party financial institution or company.
Energy Conservation
measures installed under a utility energy efficiency program or a
guaranteed energy savings contract must be approved by the following:
(1) The state department of health, office of the state fire marshal,
office of the state building commissioner, division of fire and
building safety, and any other state agency designated by statute.
(2) An architect or engineer licensed under IC 25-4 or IC 25-31
if the energy conservation measures have a cost of more than fifty
thousand dollars ($50,000).
energy conservation
energy savings contract shall keep full
and accurate records indicating the names, classifications, and work
performed by each worker employed by the respective contractor and
subcontractor in connection with the work, together with an accurate
record of the number of hours worked by each worker and the actual
wages paid.
(b) The payroll records required to be kept under this section must
be open to inspection by an authorized representative of the governing
body or the department of labor.
(1) provide to the department of commerce lieutenant governor
not more than sixty (60) days after the date of execution of the
guaranteed energy savings contract:
(A) a copy of the executed guaranteed energy savings contract;
(B) the:
(i) energy or water consumption costs;
(ii) wastewater usage costs; and
(iii) billable revenues, if any;
before the date of execution of the guaranteed energy savings
contract; and
(C) the documentation using industry engineering standards
for:
(i) stipulated savings; and
(ii) related capital expenditures; and
(2) annually report to the department of commerce, lieutenant
governor, in accordance with procedures established by the
department of commerce, lieutenant governor, the savings
resulting in the previous year from the guaranteed energy savings
contract or utility energy efficiency program.
energy savings contract that includes stipulated savings must specify
the methodology used to calculate the savings using industry
engineering standards.
(b) Stipulated savings may be used for energy conservation
measures including the following:
(1) Heating.
(2) Air conditioning.
(3) Ventilating.
(4) Lighting.
(5) Roofing.
(6) Windows.
(7) Water conservation.
(8) Fuel and power improvements.
(9) Wastewater generation.
(10) Billable revenue increases.
(9) (11) Any work that is causally connected to the energy
conservation measures listed in subdivisions (1) through (8). (10).
(c) The guaranteed energy savings contract shall:
(1) describe stipulated savings for:
(A) energy conservation measures; and
(B) work causally connected to the energy conservation
measures; and
(2) document assumptions by industry engineering standards.
an energy a conservation
measure may be included in a guaranteed energy savings contract if:
(1) the total value of the improvement does not exceed fifteen
percent (15%) of the total value of the guaranteed energy savings
contract; and
(2) either:
(A) the improvement is necessary to conform to a law, a rule,
or an ordinance; or
(B) an analysis within the guaranteed energy savings contract
demonstrates that:
(i) there is an economic advantage to the political
subdivision in implementing an improvement as part of the
guaranteed energy savings contract; and
(ii) the savings justification for the improvement is
documented by industry engineering standards.
(b) The information required under subsection (a) must be reported
to the department of commerce. lieutenant governor.