Sponsored by:
Assemblyman STERLEY S. STANLEY
District 18 (Middlesex)
Assemblywoman SADAF F. JAFFER
District 16 (Hunterdon, Mercer, Middlesex and Somerset)
Assemblyman DANIEL R. BENSON
District 14 (Mercer and Middlesex)
SYNOPSIS
Establishes Renewable and Efficient Energy Financing Program; authorizes BPU to transfer up to $20 million annually in societal benefits charge revenues to New Jersey Infrastructure Bank for purposes of program.
CURRENT VERSION OF TEXT
As introduced.
An Act concerning renewable energy and energy efficiency in State, local, and school district buildings and other property, supplementing Title 58 of the Revised Statutes, and amending P.L.1999, c.23.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
1. (New section) This act shall be known and may be cited as the Renewable and Efficient Energy Financing Act.
2. (New section) As used in sections 1 through 9 of P.L. , c. (C. ) (pending before the Legislature as this bill):
Board means the Board of Public Utilities.
Energy efficiency improvement means a modification or improvement to a building or other property that is designed to reduce energy consumption or provide a renewable energy source, and reduce energy costs for a State entity, local unit, or school district. Energy efficiency improvement shall include, but need not be limited to, insulation; storm windows or doors; caulking, weather-stripping, or other window and door system modifications or improvements that reduce energy consumption; automated or computerized energy control systems; energy efficient heating, ventilation, or air conditioning systems; energy efficient lighting systems; on-site solar energy systems or other renewable energy systems; energy recovery systems; cogeneration or combined heat and power systems; and other modifications or improvements as may be determined appropriate by the board.
Local unit means a county or municipality, or any agency, authority, department, or other entity thereof.
Program means the Renewable and Efficient Energy Financing Program established pursuant to section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill).
School district means any local or regional school district established pursuant to chapters 8 or 13 of Title 18A of the New Jersey Statutes.
State entity means a department, agency, or office of State government, including a State university or college, or an authority created by the State.
Total cost means all of the costs associated with an energy efficiency improvement project, including, but not limited to, all of the costs of financing the project over the life of a loan.
Trust means the New Jersey
Infrastructure Bank, created pursuant to section 4 of P.L.1985, c.334
(C.58:11B-4).
3. (New section) There is established in the New Jersey Infrastructure Bank the Renewable and Efficient Energy Financing Program. The purpose of the program shall be to provide loans and other forms of financial assistance, as the trust deems appropriate, to State entities, local units, and school districts to finance cost-effective energy efficiency improvements in buildings or other property owned or operated by the State entities, local units, or school districts. The trust is also authorized to provide loans and other forms of financial assistance directly to a private entity for an energy efficiency improvement project sponsored and guaranteed by a local unit, provided that any application for such loans or other forms of financial assistance is made by the local unit.
4. (New section) a. A State entity, local unit, or school district seeking financial assistance under the Renewable and Efficient Energy Financing Program shall first submit an application to the board in a form and manner as determined by the board in consultation with the trust. The board, in consultation with the trust, shall develop criteria for the approval or disapproval of applications pursuant to this section.
b. As part of the application process, the board shall require the applicant to perform an energy efficiency assessment of the buildings or other property owned or operated by the applicant. The assessment shall identify the energy efficiency improvements that can be installed and operated in the buildings or other property at a total cost that is less than the energy cost savings, in the form of lower energy bills, realized by the applicant over the lesser of a 10-year period or the useful life of the energy efficiency improvements. The assessment shall include a schedule for funding and installing the energy efficiency improvements that will realize the greatest cost savings to the applicant.
c. Upon approval of an application pursuant to this section, the board shall submit a copy of the energy efficiency assessment
and a certification of application approval to the trust. Subject to the availability of funds under the program, the trust may make and contract to make loans or other forms of financial assistance, as the trust deems appropriate, to the applicant to finance all or a portion of the cost of the energy efficiency improvements as identified in the energy efficiency assessment and approved by the board. The loans and other forms of financial assistance may be made subject to such terms and conditions as the trust shall deem appropriate.
5. (New section) Pursuant to an energy efficiency assessment performed pursuant to section 4 of P.L. , c. (C. ) (pending before the Legislature as this bill), and with the approval of the board and the trust, a State entity, local unit, or school district may install or contract for the installation of, energy efficiency improvements on its buildings or other property, as identified in the assessment. The installation or contract shall address provisions concerning payment schedules, monitoring, inspection, measuring, and warranties as are necessary to ensure, to the greatest extent practicable, that the energy efficiency improvements will be installed and operated in the buildings or other property at a total cost that is less than the energy cost savings realized by the applicant over the lesser of a 10-year period or the useful life of the energy efficiency improvements.
6. (New section) a. There is established in the New Jersey Infrastructure Bank a special, nonlapsing fund to be known as the Renewable and Efficient Energy Financing Fund. Monies in the fund shall be used by the trust only to provide loans and other forms of financial assistance to State entities, local units, and school districts under the program, and for the trusts administration and management of the program. The fund shall be credited with:
(1) moneys obtained from the payment of interest assessed on, and the repayment of principal of, any loans made pursuant to P.L. , c. (C. ) (pending before the Legislature as this bill);