Bill Text: CA SB467 | 2011-2012 | Regular Session | Amended
Bill Title: Department of General Services: contracts for energy
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Engrossed - Dead) 2012-08-16 - Set, second hearing. Held in committee and under submission. [SB467 Detail]
Download: California-2011-SB467-Amended.html
BILL NUMBER: SB 467 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 11, 2012
AMENDED IN SENATE MAY 31, 2011
AMENDED IN SENATE MAY 3, 2011
AMENDED IN SENATE APRIL 12, 2011
INTRODUCED BY Senator Pavley
FEBRUARY 17, 2011
An act to add Section 15814.37 to the Government Code, relating to
state buildings.
LEGISLATIVE COUNSEL'S DIGEST
SB 467, as amended, Pavley. Department of General Services:
contracts for energy efficiency information technology
products or services.
The State Building Construction Act of 1955 requires that all new
public buildings , as specified, be equipped with all
energy efficiency measures, materials, and devices that are feasible
and cost-effective, as defined, over the life of the building or the
life of the energy efficiency measure, whichever is less, and sets
forth the duties of the Department of General Services in this
regard.
This bill would additionally require the department to deem a
contract for the purchase of an energy efficiency
information technology product or service to be a no-cost or
net-neutral cost contract when specified conditions are met. It would
require the department to issue a nonmandatory master services
agreement permitting owners, operators, and tenants of state
facilities to procure a wide range of energy efficiency
information technology products or and
services according to specified criteria. It would require
the department to post on its Internet Web site, as specified, a
link to a document entitled "Record of Energy-Saving Projects" that
contains specified information.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. The Legislature finds and declares as follows:
(a) The state urgently needs to save state funds and in so doing
needs to take cost-effective steps to improve energy efficiency.
(b) These goals should not be impeded simply because there is no
particular contracting method specifically permitting the state to
purchase energy saving products or services where the state does not
have to pay out-of-pocket for those technologies or services but
nevertheless enjoys the monetary savings from those purchases.
SEC. 2. Section 15814.37 is added to the Government Code, to read:
15814.37. (a) The Department of General Services shall deem a
contract for the purchase of an energy efficiency
information technology product or service to be a no-cost or
net-neutral cost contract where funding for the contract is provided
through either of the following methods:
(1) The state is required, for the life of the contract, to pay
the vendor in monthly or other scheduled increments where those
payments are less than the difference between the amount the state
was paying for energy, including the cost of maintaining the
electrical and mechanical energy systems providing that facility's
energy, for a facility or facilities prior to entering into the
contract and what the state is paying for the same energy after
entering into the contract.
(2) The contract requires the vendor to pay the state a single sum
at the execution of the contract to provide its information
technology products or services, at a calculated net
present value figure, in exchange for the state paying the vendor
monthly or other scheduled increments in amounts equal to the
difference between what the state was paying for energy for a
facility or facilities prior to execution of the contract and for the
same energy after execution of the contract, for the life of the
contract.
(b) (1) No later than January
April 1, 2013, the department shall issue a
nonmandatory master services agreement permitting owners, operators,
and tenants of state facilities to procure a wide range of energy
efficiency information technology products or
and services from a wide range of approved
companies included in the agreement. The companies included in the
agreement shall have a record of providing those products or services
to governmental entities or private sector companies for at least
two years prior to before January 1,
2012 2013 . The department shall begin
to work with relevant university centers no later than January 1,
2012 2013 , for guidance in the
development of product and service specifications for the agreement.
(2) At a minimum, the master service agreement shall require the
owner, operator, or tenant to submit to the department, 10 days
before the purchase of the energy efficiency information technology
product or service, all of the following:
(A) A document demonstrating that the owner, operator, or tenant
has obtained at least two bids from companies on the master service
agreement.
(B) A document forecasting the projected savings of purchasing the
solution.
(C) A document describing how the owner, operator, or tenant will
track, record, and retain a record of the savings achieved.
(c) Notwithstanding subdivision (b), the agreement shall include,
among other things, a provision to permit pilot or demonstration
contracts for energy efficiency information technology
products or services. An energy efficiency information
technology product or service shall not be excluded from this
portion of the agreement because the companies included have been in
business for less than two years, or it is an emerging technology or
service that has been demonstrated to be effective in prototypical or
limited production, that could become commercially viable and
successful with appropriate market development efforts. The
department shall begin to work with relevant university centers no
later than January 1, 2012 2013 , for
guidance in the development of product and service specifications for
the pilot or demonstration portion of the agreement.
(d) For purposes of this section, an "energy efficiency
information technology product or service" means a
software- or hardware- based technology product
or technology service where the
that analyzes the energy use of buildings and related
facilities. The energy efficiency information technology product or
service must result in energy cost savings to the state
that are projected to exceed the compensation the state pays
for the energy efficiency information technology
product or service within 36 48
months of the initial deployment of the product or service. The
energy efficiency information technology product or service shall not
be considered to be conservation measures or services pursuant to
Section 4217.11.
(e) For purposes of this section, the difference between the
amount the state would have paid for energy and the cost of
maintaining energy consuming devices prior to entering into
the contract before purchasing the energy efficiency
information technology product or service and what it is paying
for the same energy and maintenance of energy consuming devices
after entering into the contract purchasing
the product or service shall be based upon either of the
following:
(1) The amount the state paid to a utility and
maintenance service contractors for a kind of for
energy at a particular facility in the 36
48 months prior to entering the contract, divided by month
or another increment of time.
(2) Another amount calculated by an outside third party selected
by the state and agreed to by the vendor in the contract.
(f) Nothing in this This section
shall not be construed to do any of the following:
(1) Limit the department's ability to determine if a
vendor is in breach of contract.
(2) Prevent the state from requiring other terms and conditions,
provided that those terms and conditions are not duplicative of, or
in conflict with, and do not frustrate the intent of, this section.
(3) Prevent the department from reasonably apportioning
administrative or consulting costs required to implement the
contracting methods set forth in this section over as many contracts
as required to ensure both that the state does not lose the
opportunity to achieve energy savings and the department is able to
be fully reimbursed for those reasonable costs exclusively from
savings.
(4) Require the creation of a General Fund obligation in
contravention of Section 1 of Article XVI of the California
Constitution.
(5) Limit the application of the state's prevailing wage laws.
(g) No later than January 1, 2014, and annually thereafter, the
department shall post a link on its Internet Web site, located on the
Real Estate Services Division Web page, to a document entitled
"Record of Energy-Saving Projects" that lists the projects that have
achieved energy and fiscal savings to the state since the issuance of
Executive Order No. B-18-12, and the estimated amount of energy and
funds saved.
(h) This section shall not be construed to conflict with Section
1720.6 of the Labor Code.
