Bill Summary – FastDemocracy

H.B. 847
                          GENERAL ASSEMBLY OF NORTH CAROLINA
                                                                                             Apr 24, 2023
                                      SESSION 2023                                     HOUSE PRINCIPAL CLERK
     H                                                                                                D
                                  HOUSE BILL DRH10417-MHxa-14
     Short Title:   Energy Savings Incentives/State Agencies.                                   (Public)
     Sponsors:      Representative Cervania.
     Referred to:
                                     A BILL TO BE ENTITLED
 AN ACT TO PROVIDE THAT ANY ENERGY SAVINGS REALIZED BY STATE
     AGENCIES MAY REMAIN AVAILABLE TO THE AGENCY FOR OTHER FACILITY
     UPGRADES RELATED TO REDUCING ENERGY AND WATER CONSUMPTION.
 The General Assembly of North Carolina enacts:
             SECTION 1. Part 2 of Article 3B of Chapter 143 of the General Statutes is amended
 by adding a new section to read:
 "§ 143-64.17N. Energy conservation savings nonreversion.
     (a)     The General Fund current operations appropriations credit balance remaining at the
 end of each fiscal year for utilities of a State governmental unit (other than the Board of
 Governors of The University of North Carolina and its constituent institutions), to the extent that
 credit balance represents energy savings realized from implementing an energy conservation
 measure, shall be carried forward by the unit to the next fiscal year and is appropriated for energy
 conservation measures by that unit. The use of funds appropriated under this section shall be
 limited to one-time capital and operating expenditures that will not impose additional financial
 obligations on the State. The Director of the Budget, under the authority set forth in
 G.S. 143C-6-2, shall establish the General Fund current operations credit balance remaining in
 each budget code of each unit.
     (b)     The Director of the Budget shall not decrease the recommended continuation budget
 requirements for utilities for State governmental units carrying forward a credit balance under
 subsection (a) of this section by the amount of energy savings realized from implementing energy
 conservation measures, including savings achieved through a guaranteed energy savings
 contract.
     (c)     State governmental units shall submit annual reports on the use of funds authorized
 pursuant to this section as required under G.S. 143-64.12."
             SECTION 2. G.S. 143-64.12(a) reads as rewritten:
     "(a) The Department of Environmental Quality through the State Energy Office shall
 develop a comprehensive program to manage energy, water, and other utility use for State
 agencies and State institutions of higher learning and shall update this program annually. Each
 State agency and State institution of higher learning shall develop and implement a management
 plan that is consistent with the State's comprehensive program under this subsection to manage
 energy, water, and other utility use, and that addresses any findings or recommendations resulting
 from the energy audit required by subsection (b1) of this section. The energy consumption per
 gross square foot for all State buildings in total shall be reduced by twenty percent (20%) by
 2010 and thirty percent (30%) by 2015 based on energy consumption for the 2002-2003 fiscal
 year. Each State agency and State institution of higher learning shall update its management plan
                                  *DRH10417-MHxa-14*
     General Assembly Of North Carolina                                                    Session 2023
 biennially and include strategies for supporting the energy consumption reduction requirements
 under this subsection. Each community college shall submit to the State Energy Office a biennial
 written report of utility consumption and costs. Management plans submitted biennially by State
 agencies and institutions of higher learning shall include all of the following:
             (1)     Estimates of all costs associated with implementing energy conservation
                     measures, including pre-installation and post-installation costs.
             (2)     The cost of analyzing the projected energy savings.
             (3)     Design costs, engineering costs, pre-installation costs, post-installation costs,
                     debt service, and any costs for converting to an alternative energy source.
             (4)     An analysis that identifies projected annual energy savings and estimated
                     payback periods."
             SECTION 3.(a) The sum of one hundred thousand dollars ($100,000) in recurring
 funds for the 2023-2024 fiscal year is appropriated from the General Fund to the Department of
 Environmental Quality for the State Energy Office to provide support to State agencies and State
 institutions of higher learning for the energy consumption planning requirements imposed by
 Section 2 of this act.
             SECTION 3.(b) This section becomes effective July 1, 2023.
             SECTION 4. Except as otherwise provided, this act is effective when it becomes law
 and applies to fiscal years ending on or after June 30, 2024.
     Page 2                                                                       DRH10417-MHxa-14
Statutes affected: 
Filed: 143-64.12
Edition 1: 143-64.12