BILL NUMBER: AB 609	CHAPTERED  10/13/07

	CHAPTER  600
	FILED WITH SECRETARY OF STATE  OCTOBER 13, 2007
	APPROVED BY GOVERNOR  OCTOBER 13, 2007
	PASSED THE SENATE  SEPTEMBER 10, 2007
	PASSED THE ASSEMBLY  SEPTEMBER 11, 2007
	AMENDED IN SENATE  SEPTEMBER 6, 2007
	AMENDED IN SENATE  JULY 18, 2007
	AMENDED IN ASSEMBLY  JUNE 1, 2007

INTRODUCED BY   Assembly Member Eng
   (Coauthors: Assembly Members Beall, Huffman, Laird, and Torrico)

                        FEBRUARY 21, 2007

   An act to amend Section 15814.12 of the Government Code, relating
to state buildings.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 609, Eng. State building construction: energy conservation.
   The State Building Construction Act of 1955 authorizes the State
Public Works Board to acquire and to engage in the construction of,
cogeneration equipment, alternative energy equipment, or conservation
measures, and any combination thereof, and to enter into energy
service contracts at any structure, building, facility, site, or work
used, owned, or acquired by state agencies, subject to specified
criteria. Equipment, conservation measures, or energy services
contracts subject to these provisions are required to be anticipated
to provide cost savings to the state in each year during the term of
any revenue bonds, notes, or energy service contracts issued or
entered into pursuant to the act or other specified provisions of
law, except as otherwise authorized by the Legislature.
   This bill would instead require the equipment, conservation
measures, or energy service contracts to be anticipated to provide
cost savings to the state during the useful life of the equipment or
conservation measure.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 15814.12 of the Government Code is amended to
read:
   15814.12.  (a) Without obtaining the authorization required by
Section 15808, the board may acquire, and engage in the construction
of, cogeneration equipment, alternative energy equipment, or
conservation measures, and any combination thereof, and enter into
energy service contracts, at any structure, building, facility, site,
or work used, owned or hereafter acquired by the state agency,
including, but not limited to, the facilities of the California State
University and Colleges, the Department of General Services, state
prisons, hospitals, and other agencies and the community colleges,
but only with the consent of the state agency.
   (b) No cogeneration equipment or alternative energy equipment or
water conservation equipment shall be acquired or constructed, and no
energy service contract shall be entered into, by the board unless
it determines that the anticipated cost to the state agency
purchasing thermal or electrical energy or water provided by the
equipment or under an energy service contract has been found through
life-cycle cost analysis to be cost effective over the life of the
equipment installed or over the term of the energy service contract.
Equipment, conservation measures, or energy service contracts shall
be anticipated to provide cost savings to the state during the useful
life of the equipment or conservation measures under Section 14684,
Sections 14710 to 14713, inclusive, or Section 15814.30 of this code,
under Section 25008 of the Public Resources Code, or under Section
388 of the Public Utilities Code.
   (c) Alternatively, the board may execute agreements to finance the
construction of cogeneration equipment, alternative energy
equipment, water conservation equipment, or conservation measures,
and any combination thereof, by the state agency, including the
University of California, to be owned by the state agency, in
exchange for repayment of the financing and all costs and expenses
related thereto from revenues resulting from sales of electricity or
thermal energy or water from the facilities and measures or from
funding which otherwise would have been used for purchase of
electricity, water, and thermal energy required by the state agency
but which is derived from the facilities and measures.
   (d) This section shall not prohibit, limit, or supersede more
stringent green building requirements for any structure, building,
facility, site, or work.