90-4-1113. Investment-grade energy audits. (1) The qualified energy service provider selected by a governmental entity in accordance with 90-4-1112 shall prepare an investment-grade energy audit. The audit must be incorporated into an energy performance contract.

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Terms Used In Montana Code 90-4-1113

  • Contract: A legal written agreement that becomes binding when signed.
  • Energy performance contract: means a cost-effective contract between a governmental entity and a qualified energy service provider for implementation of one or more cost-saving measures and guaranteed cost savings. See Montana Code 90-4-1102
  • Governmental entity: means :

    (a)a department, board, commission, institution, or branch of state government;

    (b)a county, consolidated city-county government, city, town, or school district;

    (c)a special district, as defined in 2-2-102;

    (d)the university system or a unit of the university system; or

    (e)a community college district. See Montana Code 90-4-1102

  • Guaranteed cost savings: means a guaranteed annual measurable monetary reduction in utility and operating and maintenance costs for each year of a guarantee period resulting from cost-saving measures. See Montana Code 90-4-1102
  • Investment-grade energy audit: means a study of energy or water usage of a public building performed by a qualified energy service provider utilizing a professional engineer licensed in the state of Montana. See Montana Code 90-4-1102
  • Qualified energy service provider: means a person included on the department's list of qualified energy service providers. See Montana Code 90-4-1102

(2)An investment-grade energy audit must include estimates of all costs and guaranteed cost savings for the proposed energy performance contract including:

(a)design;

(b)engineering;

(c)equipment;

(d)materials;

(e)installation;

(f)maintenance;

(g)repairs;

(h)monitoring and verification;

(i)commissioning;

(j)training; and

(k)debt service.

(3)(a) A qualified energy service provider and the governmental entity shall agree on the cost of an investment-grade energy audit before it is conducted.

(b)If an investment-grade energy audit is completed and the governmental entity does not execute an energy performance contract, the governmental entity shall pay the full cost of the investment-grade energy audit.

(c)If the governmental entity executes the energy performance contract, the cost of the investment-grade energy audit may be included in the costs of an energy performance contract or, at the discretion of the governmental entity, be paid for by the governmental entity.