May 20, 2009, Introduced by Senators KUIPERS, WHITMER, VAN WOERKOM and GLEASON and referred to the Committee on Education.
A bill to amend 1976 PA 451, entitled
"The revised school code,"
by amending section 1274a (MCL 380.1274a), as amended by 2003 PA
255.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 1274a. (1) The board of a school district , or
intermediate
school district , or local act school district may
contract
do 1 or more of the
following:
(a) Contract with a qualified provider for energy conservation
improvements to school facilities. These improvements may be paid
from operating funds of the school district or intermediate school
district or from the proceeds of bonds or notes issued for energy
conservation improvements, or the board or intermediate school
board may enter into 1 or more energy saving performance contracts.
These contracts may contain a written financial guarantee providing
that the costs of improvements will be paid only if the energy
savings are sufficient to cover them. Energy conservation
improvements may include, but are not limited to, building envelope
improvements; heating and cooling upgrades; lighting retrofits;
installing or upgrading an energy management system; motor, pump,
or fan replacements; domestic water use reductions; and upgrading
other energy consuming equipment or appliances.
(b) Acquire fuel, electrical energy, or natural gas directly
or through a purchasing cooperative agreement for a period not to
exceed 5 years. These commodities may be paid from operating funds
of the school district or intermediate school district or from the
proceeds of bonds or notes issued for the purpose of acquiring the
commodities. The purchasing cooperative agreement may incorporate 1
or more guarantees of performance by the commodity supplier,
letters of credit, swaps, hedges, commodity price exchange
agreements, termination payments, or other features that will
achieve cost limits or discounts, or both, for the period of the
agreement.
(2) A school board or intermediate school board that contracts
for
energy conservation improvements under subsection (1) (1)(a)
may require the qualified provider to furnish a bond that
guarantees energy cost savings for a specified period of time.
(3) If a school board or intermediate school board enters into
an
energy saving performance contract under this section subsection
(1)(a), all of the following apply:
(a) The bids for the contract shall provide a detailed
breakdown of the energy performance savings to be derived each year
and for the duration of the energy saving performance contract,
including at least all of the following:
(i) A description of the guaranteed energy use savings and
tasks to be performed under the energy saving performance contract.
(ii) The combined total net cost of all of the energy
conservation measures in the project.
(iii) The projected energy savings and operating and maintenance
cost savings resulting from the project.
(iv) The useful life of each energy conservation measure.
(v) The simple payback period.
(b) The qualified provider shall certify that measurement and
verification techniques for determining cost savings will be
performed in accordance with the protocols published in January
2001 by the international performance measurement and verification
protocol inc.
(4)
The board of a school district , or
intermediate school
district ,
or local act school district may
provide for the removal
or treatment of asbestos or other material injurious to health for
school facilities and may pay for the improvements from operating
funds of the school district or intermediate school district or
from the proceeds of bonds or notes issued for that purpose.
(5) Issuance of bonds for the purposes authorized by this
section shall be considered as issued for capital expenditures for
all purposes including section 16 of article IX of the state
constitution of 1963.
(6)
Energy An energy conservation improvements improvement or
substance removal or treatment authorized by this section is
subject to the competitive bidding requirements of section 1267.
(7) If energy conservation improvements are made by a school
district ,
local act school district, or
intermediate school
district as provided in this section, the school board or
intermediate school board shall report the following information to
the state treasurer within 60 days after the completion of the
improvements:
(a) Name of each facility to which an improvement was made and
a description of the conservation improvements.
(b) Actual energy consumption during the 12-month period
before completion of the improvement.
(c) Project costs and expenditures.
(d) Estimated annual energy savings.
(8) If energy conservation improvements are made as provided
in this section, the school board or intermediate school board
shall report to the state treasurer by July 1 of each of the 5
years after the improvements are completed the actual annual energy
consumption of each facility to which improvements were made. The
forms for the reports required by this section shall be furnished
by the state treasurer.
(9) As used in this section:
(a) "Energy saving performance contract" means an agreement
for the evaluation, recommendation, and implementation of energy
conservation measures including, but not limited to, an energy
audit or detailed energy study; the design, installation,
operation, and maintenance of 1 or more energy conservation
measures; energy management services; and an energy savings
guarantee.
(b) "Qualified provider" means an individual or a business
entity that is experienced in performing design, analysis, and
installation of energy conservation improvements and facility
energy management measures and that will provide these services
under the contract with a guarantee or on a performance basis.