California Public Resources Code 25472 – (a) The department, in consultation with the commission, shall …
(a) The department, in consultation with the commission, shall establish a process by which projects are identified and funding is allocated.
(b) The department shall use money in the fund for projects that will improve long-term energy efficiency and increase energy use savings.
Terms Used In California Public Resources Code 25472
- Act: means the federal American Recovery and Reinvestment Act of 2009 (Public Law 111-5). See California Public Resources Code 25470
- Building: means any existing structure that includes a heating or cooling system, or both. See California Public Resources Code 25470
- Department: means the Department of General Services. See California Public Resources Code 25470
- Energy conservation measure: means an installation or modification of an installation in a building that is primarily intended to reduce energy consumption or allow the use of a more cost-effective energy source. See California Public Resources Code 25470
- Fund: means the Energy Efficient State Property Revolving Fund or the Energy Efficiency Retrofit State Revolving Fund. See California Public Resources Code 25470
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Project: means a purpose for which an allocation may be requested and made under this chapter. See California Public Resources Code 25470
- State agency: means a unit of state government, including any department, agency, board, or commission under the State of California. See California Public Resources Code 25470
(c) The department shall comply with the requirements of the act and implementing guidelines of the commission, including, but not limited to, performance metrics, data collection, and reporting. All projects shall be consistent with these requirements and guidelines.
(d) Funding prioritization shall be granted to those projects that are cost effective and will yield immediate and sustainable energy efficiency, energy conservation, energy use cost savings, and cost avoidance.
(e) The department shall fund allowable projects through a loan to the appropriate state agency or agencies occupying the building or facility for which the project will be performed.
(f) The department shall determine a reasonable loan repayment schedule that shall not exceed the life of the energy conservation measure equipment, as determined by the department, or the lease term of the building in which the energy conservation measure is installed.
(g) Maximum loan amounts shall be based on estimated energy cost savings that will allow state agencies to repay loan principal and interest within the maximum repayment term specified in this section.
(h) The department shall periodically set interest rates on the loans based on surveys of existing financial markets and at rates of not less than 1 percent per annum.
(i) Annual loan repayment amounts shall be structured so as to reflect the projected annualized energy cost avoidance estimated from the completed project. The department may utilize a direct billing methodology to recover loan repayments for completed projects.
(Amended by Stats. 2014, Ch. 36, Sec. 16. (SB 862) Effective June 20, 2014.)