Connecticut Seal

General Assembly

Amendment

 

February Session, 2008

LCO No. 4864

   
 

*HB0560004864HRO*

Offered by:

 

REP. HAMZY, 78th Dist.

REP. HARKINS, 120th Dist.

REP. PISCOPO, 76th Dist.

REP. CHAPIN, 67th Dist.

REP. FERRARI, 62nd Dist.

REP. WILLIAMS, 68th Dist.

To: Subst. House Bill No. 5600

File No. 582

Cal. No. 75

Strike everything after the enacting clause and substitute the following in lieu thereof:

"Section 1. (NEW) (Effective July 1, 2008) On or before April 1, 2009, and April first of each odd-numbered year thereafter, each state agency shall adopt and submit an energy conservation action plan to the Secretary of the Office of Policy and Management and the Commissioner of Environmental Protection. Said plan shall include an accounting of existing and future activities and facilities improvements designed to meet energy savings goals, as established by the Governor. The Secretary of the Office of Policy and Management, in conjunction with the Commissioner of Environmental Protection, shall establish guidelines for and review all state agency plans and report findings to the Governor.

Sec. 2. Section 16a-40b of the 2008 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2008):

(a) The commissioner, acting on behalf of the state, may, with respect to loans for which funds have been authorized by the State Bond Commission prior to July 1, 1992, in his discretion make low-cost loans or deferred loans to residents of this state for the purchase and installation in residential structures of insulation, alternative energy devices, energy conservation materials and replacement furnaces and boilers, approved in accordance with regulations to be adopted by the Secretary of the Office of Policy and Management. In the purchase and installation of insulation in new residential structures, only that insulation which exceeds the requirements of the State Building Code shall be eligible for such loans or deferred loans. The commissioner may also make low-cost loans or deferred loans to persons in the state residing in dwellings constructed not later than December 31, 1979, and for which the primary source of heating since such date has been electric resistance, for (1) the purchase and installation of a high-efficiency secondary heating system using a source of heat other than electric resistance, (2) the conversion of a primary electric heating system to a high-efficiency system using a source of heat other than electric resistance, or (3) the purchase and installation of a high-efficiency combination heating and cooling system. As used in this subsection, "high-efficiency" means having a seasonal energy efficiency ratio of 11. 0 or higher, or a heating season performance factor of 7. 2 or higher, as designated by the American Refrigeration Institute in the Directory of Certified Unitary Air Conditioners, Air Source Heat Pumps and Outdoor Unitary Equipment, as from time to time amended, or an equivalent ratio for a fossil fuel system.

(b) Any such loan or deferred loan shall be available only for a residential structure containing not more than four dwelling units, shall be not less than four hundred dollars and not more than [twenty-five] thirty-five thousand dollars per structure and, with respect to any application received on or after November 29, 1979, shall be made only to an applicant who submits evidence, satisfactory to the commissioner, that the adjusted gross income of the household member or members who contribute to the support of his household was not in excess of [one hundred fifty] two hundred per cent of the median area income by household size. In the case of a deferred loan, the contract shall require that payments on interest are due immediately but that payments on principal may be made at a later time. Repayment of all loans made under this subsection shall be subject to a rate of interest to be determined in accordance with subsection (t) of section 3-20 and such terms and conditions as the commissioner may establish. The State Bond Commission shall establish a range of rates of interest payable on all loans under this subsection and shall apply the range to applicants in accordance with a formula which reflects their income. Such range shall be not less than zero per cent for any applicant in the lowest income class and not more than one per cent above the rate of interest borne by the general obligation bonds of the state last issued prior to the most recent date such range was established for any applicant for whom the adjusted gross income of the household member or members who contribute to the support of his household does not exceed one hundred fifty per cent of the median area income by household size.

(c) The commissioner shall establish a program under which he shall make funds deposited in the Energy Conservation Loan Fund available for low-cost loans or deferred loans under subsection (a) of this section for residential structures containing more than four dwelling units, or for contracts guaranteeing payment of loans or deferred loans provided by private institutions for such structures for the purposes specified under subsection (a) of this section. Any such loan or deferred loan shall be an amount equaling not more than two thousand dollars multiplied by the number of dwelling units in such structure, provided no such loan or deferred loan shall exceed sixty thousand dollars. If the applicant seeks a loan or deferred loan for a structure containing more than thirty dwelling units, he shall include in his application a commitment to make comparable energy improvements of benefit to all dwelling units in the structure in addition to the thirty units which are eligible for the loan or deferred loan. Applications for contracts of guarantee shall be limited to structures containing not more than thirty dwelling units and the amount of the guarantee shall be not more than three thousand dollars for each dwelling unit benefiting from the loan or deferred loan. There shall not be an income eligibility limitation for applicants for such loans, deferred loans or guarantees, but the commissioner shall give preference to applications for loans, deferred loans or guarantees for such structures which are occupied by persons of low or moderate income. Repayment of such loans or deferred loans shall be subject to such rates of interest, terms and conditions as the commissioner shall establish. The state shall have a lien on each property for which a loan, deferred loan or guarantee has been made under this section to ensure compliance with such terms and conditions.

(d) With respect to such loans made on or after July 1, 1981, all repayments of principal shall be paid to the State Treasurer for deposit in the Housing Repayment and Revolving Loan Fund. The interest applicable to any such loans made shall be paid to the State Treasurer for deposit in the General Fund. After the close of each fiscal year, commencing with the close of the fiscal year ending June 30, 1992, and prior to the date of the calculation required under subsection (f) of this section, the Commissioner of Economic and Community Development shall cause any balance of loan repayments under this section remaining in said fund to be transferred to the Energy Conservation Loan Fund created pursuant to section 16a-40a.

(e) The commissioner shall adopt regulations in accordance with chapter 54, (1) concerning qualifications for such loans or deferred loans, requirements and limitations as to adjustments of terms and conditions of repayment and any additional requirements deemed necessary to carry out the provisions of this section and to assure that those tax-exempt bonds and notes used to fund such loans or deferred loans qualify for exemption from federal income taxation, (2) providing for the maximum feasible availability of such loans or deferred loans for dwelling units owned or occupied by persons of low and moderate income, (3) establishing procedures to inform such persons of the availability of such loans or deferred loans and to encourage and assist them to apply for such loans or deferred loans, and (4) providing that (A) the interest payments received from the recipients of loans or deferred loans made on and after July 1, 1982, less the expenses incurred by the commissioner in the implementation of the program of loans, deferred loans and loan guarantees under this section, and (B) the payments received from electric and gas companies under subsection (f) of this section shall be applied to reimburse the General Fund for interest on the outstanding bonds and notes used to fund such loans or deferred loans made on or after July 1, 1982.

(f) Not later than August first, annually, the commissioner shall calculate the difference between (1) the weighted average of the percentage rates of interest payable on all subsidized loans made (A) after July 1, 1982, from the Energy Conservation Loan Fund, (B) from the Home Heating System Loan Fund established under section 16a-40k, and (C) from the Housing Repayment and Revolving Loan Fund pursuant to this section, and (2) the average of the percentage rates of interest on any bonds and notes issued pursuant to section 3-20, which have been dedicated to the energy conservation loan program and used to fund such loans, and multiply such difference by the outstanding amount of all such loans, or such lesser amount as may be required under Section 103(c) of the Internal Revenue Code of 1986, or any subsequent corresponding internal revenue code of the United States, as from time to time amended. The product of such difference and such applicable amount shall not exceed six per cent of the sum of the outstanding principal amount at the end of each fiscal year of all loans or deferred loans made (A) on or after July 1, 1982, from the Energy Conservation Loan Fund, (B) from the Home Heating System Loan Fund established under section 16a-40k, and (C) from the Housing Repayment and Revolving Loan Fund pursuant to this section, and the balance remaining in the Energy Conservation Loan Fund and the balance of energy conservation loan repayments in the Housing Repayment and Revolving Loan Fund. Not later than September first, annually, the Department of Public Utility Control shall allocate such product among each electric and gas company having at least seventy-five thousand customers, in accordance with a formula taking into account, without limitation, the average number of residential customers of each company. Not later than October first, annually, each such company shall pay its assessed amount to the commissioner. The commissioner shall pay to the State Treasurer for deposit in the General Fund all such payments from electric and gas companies, and shall adopt procedures to assure that such payments are not used for purposes other than those specifically provided in this section. The department shall include each company's payment as an operating expense of the company for the purposes of rate-making under section 16-19.

Sec. 3. Subdivision (8) of section 16a-4a of the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2008):

(8) Provide technical assistance to [municipalities that want] any municipality that chooses to aggregate electric generation services. Such assistance shall include establishing a program to share knowledge, experience and information with each such municipality on energy procurement, including, but not limited to, electricity.

Sec. 4. (NEW) (Effective July 1, 2008) The Renewable Energy Investments Board, established pursuant to section 16-245m of the 2008 supplement to the general statutes, shall establish a residential photovoltaic rebate program that encourages homeowners to install residential photovoltaic systems. Such program may provide for a rebate of not more than forty thousand dollars. The cost of the program shall be paid from the Renewable Energy Investment Fund.

Sec. 5. (NEW) (Effective July 1, 2008) (a) Between July 1, 2008, and July 1, 2017, inclusive, the Fuel Oil Conservation Board, established pursuant to section 16a-22l of the 2008 supplement to the general statutes, in consultation with the Energy Conservation Management Board, established pursuant to section 16-245m of the 2008 supplement to the general statutes, shall develop and establish a program to provide a rebate in the amount of five hundred dollars for the purchase and installation in residential structures of replacement propane and oil furnaces and boilers that are not less than eighty-four per cent efficient and natural gas furnaces or boilers that meet or exceed federal Energy Star standards. Such rebates shall not exceed two million dollars in the aggregate per year. Such rebates shall only be available for residential structures containing not more than four dwelling units.

(b) The rebate program established pursuant to subsection (a) of this section shall be paid from funds available under the fuel oil conservation account, established pursuant to subdivision (3) of subsection (e) of section 16a-22l of the 2008 supplement to the general statutes, and the account established pursuant to subsection (b) of section 16-32f of the 2008 supplement to the general statutes.

(c) On or before January 1, 2010, the Energy Conservation Management Board and the Fuel Oil Conservation Board shall report to the joint standing committee of the General Assembly having cognizance of matters relating to energy the results of the rebate program established pursuant to subsection (a) of this section.

Sec. 6. (NEW) (Effective July 1, 2008) (a) There is established a "green collar jobs program", which shall be offered through the state-wide system of regional vocational-technical schools established pursuant to section 10-95 of the general statutes. Such program may include, but not be limited to, training for energy efficient building, construction and building retrofit trades and industries; residential, commercial or industrial energy efficiency assessment; renewable energy technologies; and sustainable climate change and environmental compliance strategies.

(b) Funding for the green collar jobs program shall be made available under the fuel oil conservation account, established pursuant to subdivision (3) of subsection (e) of section 16a-22l of the 2008 supplement to the general statutes; the Energy Conservation and Load Management Fund, established pursuant to subsection (b) of section 16-245m of the 2008 supplement to the general statutes; and the account established pursuant to subsection (b) of section 16-32f of the 2008 supplement to the general statutes. Funding for the program shall not exceed one hundred twenty-five thousand dollars for the fiscal year commencing July 1, 2008.

Sec. 7. Section 16a-47a of the 2008 supplement to the general statutes is repealed and the following is substituted in lieu thereof (Effective July 1, 2008):

(a) The Department of Public Utility Control shall, in coordination with the Energy Conservation Management Board, established pursuant to section 16-245m of the 2008 supplement to the general statutes, establish a state-wide energy efficiency and outreach marketing campaign that shall provide targeted information for each of the following sectors: (1) Commercial, including small businesses, (2) industrial, (3) governmental, (4) institutional, including schools, hospitals and nonprofits, (5) agricultural, and (6) residential.

(b) The goals of the campaign established pursuant to subsection (a) of this section shall include, but not be limited to, educating electric consumers regarding (1) the benefits of pursuing strategies that increase energy efficiency [, including information on the Connecticut electric efficiency partner program established pursuant to section 16a-46e] and combined heat and power technologies, (2) the real-time energy reports prepared pursuant to section 16a-47d of the 2008 supplement to the general statutes and the real-time energy alert system prepared pursuant to section 61 of public act 07-242 and (3) the option of choosing participating electric suppliers, as defined in subsection (k) of section 16-244c of the 2008 supplement to the general statutes.

(c) On or before December 1, 2007, the department shall develop and approve a plan that meets the goals of said campaign pursuant to subsection (b) of this section. Said plan shall include a coordinated range of marketing activities and outreach strategies, including, but not limited to, inserts in customers' utility bills; television, radio and newspaper advertisements; printed educational materials; events; a comprehensive web site resource serving all sectors; an electronic newsletter; planning forums and meetings throughout the state; and partnerships with businesses, government entities and nonprofit organizations. Said utility bill inserts shall include, but not be limited to, information that can assist consumers in evaluating options regarding energy efficiency. Said web site shall be maintained and updated regularly and shall include, but not be limited to, current rate and contact information for participating electric suppliers. Such current rate information shall be on said web site with date and time of update displayed prominently. The department shall begin the implementation of said plan on or before March 1, 2008.

(d) The department may retain the services of third-party entities to assist in the development and implementation of the state-wide energy efficiency and marketing campaign established pursuant to this section.

Sec. 8. (Effective July 1, 2008) Section 16a-46e of the 2008 supplement to the general statutes is repealed. "

This act shall take effect as follows and shall amend the following sections:

Section 1

July 1, 2008

New section

Sec. 2

July 1, 2008

16a-40b

Sec. 3

July 1, 2008

16a-4a(8)

Sec. 4

July 1, 2008

New section

Sec. 5

July 1, 2008

New section

Sec. 6

July 1, 2008

New section

Sec. 7

July 1, 2008

16a-47a

Sec. 8

July 1, 2008

Repealer section