74th OREGON LEGISLATIVE ASSEMBLY--2008 Special Session
Enrolled
House Bill 3612
Sponsored by COMMITTEE ON ELECTIONS, ETHICS AND RULES (at the
request of House Interim Committee on Energy and the
Environment)
CHAPTER ................
AN ACT
Relating to state agency energy use; creating new provisions;
amending ORS 276.900, 276.905 and 276.915; and declaring an
emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 276.900 is amended to read:
276.900. It is the policy of the State of Oregon that
facilities to be constructed or purchased by authorized state
agencies be designed, constructed, renovated and operated so as
to minimize the use of { - nonrenewable - } energy resources
and to serve as models of energy efficiency.
SECTION 2. ORS 276.905 is amended to read:
276.905. As used in ORS 276.900 to 276.915, unless the context
requires otherwise:
{ - (1) 'Alternative energy system' means solar, wind,
geothermal, heat recovery or other systems which use a renewable
resource and are environmentally sound. - }
{ + (1) 'Alternative energy system' means an environmentally
sound energy system that uses power derived from renewable
resources including, but not limited to, the sun, wind,
geothermal sources and heat recovery. + }
(2) 'Authorized state agency' means { - any - } { + a + }
state agency, board, commission, department or division that is
authorized to finance the construction, purchase or renovation of
{ - buildings or other structures - } { + a facility that is
or will + } { - to - } be used by the State of Oregon.
(3) 'Cost-effective' means that an energy resource, facility or
conservation measure during its life cycle results in delivered
power costs to the ultimate consumer no greater than the
comparable incremental cost of the least cost alternative new
energy resource, facility or conservation measure. Cost
comparison shall include, but need not be limited to:
(a) Cost escalations and future availability of fuels;
(b) Waste disposal and decommissioning costs;
(c) Transmission and distribution costs;
(d) Geographic, climatic and other differences in the state;
and
(e) Environmental impact.
(4) 'Energy conservation measure' means a measure primarily
designed to reduce the use of { - nonrenewable - } energy
resources in a
Enrolled House Bill 3612 (HB 3612-B) Page 1
{ - state-owned - } facility.
(5) 'Energy consumption analysis' means the evaluation of all
energy systems and components by demand and type of energy
including the internal energy load imposed on a major facility by
its occupants, equipment and components and the external energy
load imposed on a major facility by the climatic conditions of
its location. 'Energy consumption analysis' includes, but is not
limited to:
(a) The comparison of a range of alternatives that is likely to
include all reasonable, cost-effective energy conservation
measures and alternative energy systems;
(b) The simulation of each system over the entire range of
operation of a major facility for a year's operating period;
(c) The evaluation of energy consumption of component equipment
in each system considering the operation of such components at
other than full or rated outputs; and
(d) The consideration of alternative energy systems.
{ + (6) 'Energy savings performance contract' has the meaning
given that term in ORS 279A.010. + }
{ - (6) - } { + (7) + } 'Energy systems' means all
utilities, including but not limited to heating, { - air
conditioning, ventilating, - } { + cooling, ventilation, + }
lighting and the supply of domestic hot water.
{ + (8) 'Facility' means a building or other structure owned
or controlled by an authorized state agency that is used or
occupied by employees of the authorized state agency or that is
used for conducting public business. + }
{ - (7) - } { + (9) + } 'Major facility' means { - any
state-owned building having - } { + a facility that has + }
10,000 square feet or more of usable floor space.
{ - (8) - } { + (10) + } 'Renovation' means { - any - }
{ + an + } addition to, alteration of or repair of a facility
{ - which will involve addition to or alteration of - }
{ + that adds to or alters + } the facility's energy systems,
provided that the affected energy systems account for 50 percent
or more of the facility's total energy use.
SECTION 3. ORS 276.915 is amended to read:
276.915. (1) An authorized state agency may construct or
renovate a facility only if the authorized state agency
determines that the design incorporates all reasonable
cost-effective energy conservation measures and alternative
energy systems. The determination by the authorized state agency
shall include consideration of indoor air quality issues and
operation and maintenance costs.
(2) Whenever an authorized state agency determines that
{ - any - } { + a + } major facility is to be constructed or
renovated { + , + } the { + authorized state + } agency shall
cause to be included in the design phase of the construction or
renovation a provision that requires an energy consumption
analysis { - identifying all reasonable cost-effective energy
conservation measures and alternative energy systems - } to be
prepared for the facility under the direction of a professional
engineer or licensed architect { + or under the direction of a
person that is prequalified in accordance with this section + }.
The authorized { + state + } agency and the State Department of
Energy shall agree to the list of energy conservation measures
and alternative energy systems { - to be analyzed - }
{ + that the energy consumption analysis will include + }. The
{ + energy consumption + } analysis and facility design shall be
delivered to the State Department of Energy during the design
Enrolled House Bill 3612 (HB 3612-B) Page 2
development phase of the facility design. The State Department
of Energy shall review the { + energy consumption + } analysis
and forward its findings to the authorized state agency within 10
working days after receiving the { + energy consumption + }
analysis, if practicable.
(3) The State Department of Energy, in consultation with
{ - the Oregon Department of Administrative Services and the
Oregon University System - } { + authorized state agencies + },
shall adopt rules to carry out the provisions of ORS 276.900 to
276.915. These rules shall:
(a) Include a simplified and usable method for determining
which energy conservation measures and alternative energy systems
are cost-effective. The method shall reflect the energy costs of
the utility serving the facility.
(b) Prescribe procedures for determining if a facility design
incorporates all reasonable cost-effective energy conservation
measures and alternative energy systems.
(c) Establish fees through which an authorized state agency
will reimburse the State Department of Energy for { - its - }
{ + the department's + } review of energy consumption analyses
and facility designs and { - its - } { + the department's + }
reporting tasks. { - Such - } { + The + } fees imposed
{ - shall - } { + may + } not exceed 0.2 percent of the
capital construction cost of the facility { - . The fees
shall - } { + and must + } be included in the energy
consumption analysis required in subsection (2) of this section.
The State Department of Energy may provide for a waiver of fees
and reviews if the authorized state agency demonstrates that the
facility will be designed and constructed in a manner that
incorporates only cost-effective energy conservation measures or
in a manner that exceeds the energy conservation provisions of
the state building code by 20 percent or more.
(d) Periodically define highly efficient facilities. A facility
constructed or renovated after June 30, 2001, shall exceed the
energy conservation provisions of the state building code by 20
percent or more, unless otherwise required by rules adopted under
this section.
{ - (e) Require an authorized state agency to reduce the
amount of use of nonrenewable energy by at least 10 percent from
the amount used by the state agency in the 2000 calendar
year. - }
{ + (e) Establish guidelines for implementing subsection (4)
of this section.
(f) Establish guidelines for incorporating energy efficiency
requirements into lease agreements of 10 or more years to be
phased in as current lease agreements expire or as new lease
agreements are entered into, allowing reasonable time for the
owner to implement the requirements of this section.
(g) Establish criteria by which the State Department of Energy
determines that a person is prequalified to perform work in
accordance with this section.
(4) Before June 30, 2015, an authorized state agency shall
reduce the total amount of energy the authorized state agency
uses in the authorized state agency's owned facilities by at
least 20 percent from a baseline amount the State Department of
Energy determines by rule based on usage in calendar year 2000.
(5) An authorized state agency shall report annually to the
State Department of Energy concerning energy use in the
authorized state agency's facilities. The State Department of
Enrolled House Bill 3612 (HB 3612-B) Page 3
Energy shall specify by rule the form and content of and
deadlines for the reports. + }
{ + (6) + } { - The State Department of Energy shall
require state agencies - } { + An authorized state agency + }
that { - fail - } { + fails + } to achieve and maintain a
{ - 10 percent reduction on and after June 30, 2003, - } { + 20
percent reduction in energy use on and after June 30, 2015,
shall + } { - to - } submit biennial energy conservation plans
to the State Department of Energy. The State Department of Energy
shall specify { + by rule + } the form and content of { + and
deadlines for + } the energy conservation plans.
{ + (7) The State Department of Energy by rule may require
mandatory prequalification as a condition for a person to submit
a bid or proposal to perform the following work for an authorized
state agency:
(a) Direct an energy consumption analysis for an authorized
state agency under subsection (2) of this section, unless the
person is a licensed professional engineer or architect;
(b) Enter into an energy savings performance contract; or
(c) Perform energy audits, building commissioning, monitoring
and verification services and other services related to the
operation and management of a facility's energy systems, except
for architectural, engineering and land surveying services as
defined in ORS 279C.100.
(8) The State Department of Energy may recover from authorized
state agencies the costs associated with administering the
provisions of this section, including costs associated with
adopting rules, maintaining a state energy use database and
prequalifying a person under this section. + }
{ - (4) - } { + (9) + } The State Department of Energy, the
Oregon Department of Administrative Services and the Oregon
University System shall jointly prepare a biennial report
summarizing the progress toward achieving the goals of this
section. The biennial report shall be made available to the
public.
SECTION 4. { + (1) The amendments to ORS 276.900, 276.905 and
276.915 by sections 1 to 3 of this 2008 Act become operative 90
days following the effective date of this 2008 Act.
(2) The Director of the State Department of Energy may take any
action before the operative date set forth in subsection (1) of
this section that is necessary to enable the director to
exercise, on and after the operative date, all the duties,
functions and powers conferred on the director by the amendments
to ORS 276.900, 276.905 and 276.915 by sections 1 to 3 of this
2008 Act. + }
SECTION 5. { + This 2008 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2008 Act takes effect on its
passage. + }
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Enrolled House Bill 3612 (HB 3612-B) Page 4
Passed by House February 15, 2008
Repassed by House February 22, 2008
...........................................................
Chief Clerk of House
...........................................................
Speaker of House
Passed by Senate February 22, 2008
...........................................................
President of Senate
Enrolled House Bill 3612 (HB 3612-B) Page 5
Received by Governor:
......M.,............., 2008
Approved:
......M.,............., 2008
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2008
...........................................................
Secretary of State
Enrolled House Bill 3612 (HB 3612-B) Page 6