As used in this article 12.5:
(1) Board means a governing body of any municipality or home rule county,
a board of county commissioners of any county, a special district, or a board of
education of any school district.
(2) (Deleted by amendment, L. 2002, p. 1027, � 55, effective June 1, 2002.)
(2.5) Energy cost-savings contract means a utility cost-savings contract or
a vehicle fleet operational and fuel cost-savings contract.
(3) Energy performance contract means a contract for evaluations,
recommendations, or implementation of one or more energy saving measures
designed to produce utility cost savings, operation and maintenance cost savings,
or vehicle fleet operational and fuel cost savings, which contract:
(a) Sets forth savings attributable to the calculated energy cost savings or
operation and maintenance cost savings for each year during the contract period;
(b) Provides that the amount of actual savings for each year during the
contract period shall exceed annual contract payments, including maintenance
costs, to be made during such year by the board contracting for energy cost-savings measures;
(c) Requires the party entering into such contract with the board to provide a
written guarantee that the sum of energy cost savings and operation and
maintenance cost savings for each year during the first three years of the contract
period shall not be less than the calculated savings for that year set forth pursuant
to paragraph (a) of this subsection (3);
(d) (Deleted by amendment, L. 2001, p. 1093, � 4, effective August 8, 2001.)
(e) Provides that, if all payments, except payments for maintenance and
repairs and obligations on the termination of the contract prior to expiration, made
by such board during any year subject to the guarantee in subsection (3)(c) of this
section exceed the sum of energy cost savings and operation and maintenance cost
savings for that year, such party shall forfeit to such board that portion of such
moneys equal to the amount by which such payments exceeded such savings.
(f) Requires a board, upon termination or expiration of the contract, to return
to the party any money that the party deposited with the board and did not forfeit to
the board pursuant to subsection (3)(e) of this section; and
(g) Repealed.
(h) Requires that the maximum term of the payments that the board makes
must be less than the cost-weighted average useful life of energy cost-savings
equipment for which the contract is made, not to exceed twenty-five years.
(4) Energy saving measure means:
(a) The acquisition and installation, by purchase, lease, financed purchase of
an asset, certificate of participation, or installment purchase, of a utility cost-savings measure and any attendant architectural and engineering consulting
services;
(b) Architectural and engineering consulting services related to utility cost
savings; or
(c) The acquisition and installation, by purchase, lease, financed purchase of
an asset, certificate of participation, or installment purchase of a vehicle fleet
operational and fuel cost-savings measure.
(4.1) Increase in meter accuracy means a guaranteed increase in efficiency
or accuracy of utility metering or related equipment, systems, or processes or
procedures that is calculated or determined by using applicable industry
engineering standards.
(4.3) Meter guarantee means a stipulated or agreed upon increase in
billable revenues to result from the guaranteed increase in meter accuracy, based
on stipulated or agreed upon components of a billable revenue calculation in a
utility cost-savings measure.
(4.5) Operation and maintenance cost savings means a measurable
decrease in net operation and maintenance costs that is a direct result of the
implementation of one or more utility cost savings measures or one or more vehicle
fleet operational and fuel cost-savings measures. The savings shall be calculated in
comparison with an established baseline of net operation and maintenance costs.
(5) Political subdivision means a municipality, county, special district, or
school district.
(6) Shared-savings contract means a contract for one or more energy
saving measures, which contract:
(a) Provides that all payments to be made by the board contracting for the
energy saving measures shall be a stated percentage of calculated savings of
energy costs attributable to such measures over a defined period of time and that
such payments shall be made only to the extent that such savings occur; except
that this paragraph (a) shall not apply to payments for maintenance and repairs and
obligations on termination of the contract prior to its expiration;
(b) Provides for an initial contract period of no longer than ten years; and
(c) Requires no additional capital investment or contribution of funds from
such board or the political subdivision, other than funds available from state or
federal energy grants.
(7) Utility cost savings means:
(a) A cost savings caused by a reduction in metered or measured physical
quantities of a bulk fuel or utility resulting from the implementation of one or more
utility cost savings measures when compared with an established baseline of
usage; or
(b) A decrease in utility costs as a result of changes in applicable utility rates
or utility service suppliers. The savings shall be calculated in comparison with an
established baseline of utility costs, excepting other available capital contributions
provided by the political subdivision.
(8) Utility cost-savings contract means an energy performance contract or
a shared-savings contract or any other agreement in which utility cost savings are
used to pay for services or equipment.
(9) Utility cost-savings measure means an installation, modification, or
service that is designed to reduce energy consumption or to increase related
operation and maintenance cost savings in buildings and other facilities and
includes, but is not limited to, the following:
(a) Insulation in walls, roofs, floors, and foundations and in heating and
cooling distribution systems;
(b) Storm windows and doors, multiglazed windows and doors, heat
absorbing or heat reflective glazed and coated window and door systems,
additional glazing, reductions in glass area, and other window and door system
modifications that reduce energy consumption;
(c) Automatic energy control systems;
(d) Heating, ventilating, or air conditioning and distribution system
modifications or replacements in buildings or central plants;
(e) Caulking and weatherstripping;
(f) Replacement or modification of lighting fixtures to increase the energy
efficiency of the system without increasing the overall illumination of a facility
unless such increase in illumination is necessary to conform to the applicable
building code for the proposed lighting system;
(g) Energy recovery systems;
(h) Cogeneration systems that produce steam or forms of energy such as
heat, as well as electricity, for use primarily within a building or complex of
buildings;
(i) Renewable energy and alternate energy systems;
(j) Devices that reduce water consumption or sewer charges;
(k) Changes in operation and maintenance practices;
(l) Procurement of low-cost energy supplies of all types, including
electricity, natural gas, and other fuel sources, and water;
(m) Indoor air quality improvements that conform to applicable building code
requirements;
(n) Daylighting systems;
(o) Building operation programs that reduce utility and operating costs
including, but not limited to, computerized energy management and consumption
tracking programs, staff and occupant training, and other similar activities;
(p) Services to reduce utility costs or to increase operation and maintenance
cost savings by identifying utility errors, optimizing rate schedules, or increasing
meter accuracy; or
(q) Any other modification, installation, or remodeling approved as a utility
cost-savings measure by the board.
(10) Vehicle fleet operational and fuel cost savings means a measurable
decrease in the operation and maintenance costs of state vehicles that is
associated with fuel or maintenance based on higher efficiency ratings or
alternative fueling methods, including but not limited to savings from the reduction
in maintenance requirements and a reduction in or the elimination of projected fuel
purchase expenses as a direct result of investment in higher efficiency or
alternative fuel vehicles or vehicle or charging infrastructure.
(11) Vehicle fleet operational and fuel cost-savings contract means an
energy performance contract or shared-savings contract or any other agreement in
which vehicle fleet operational and fuel cost savings are used to pay for the cost of
the vehicle or associated capital investments.
(12) Vehicle fleet operational and fuel cost-savings measure means any
installation, modification, or service that is designed to reduce energy consumption
and related operating costs in vehicles and includes, but is not limited to, the
following:
(a) Vehicle purchase or lease costs either in full or in part; and
(b) Charging or fueling infrastructure to appropriately charge or fuel
alternative fuel vehicles included in an energy cost-savings contract.