SB 87: "An Act relating to energy efficiency standards and standardized options for building and equipment components for school construction and major maintenance; relating to school construction and major maintenance grants and bond debt reimbursement; establishing a working group to make recommendations relating to energy efficiency and standardized components in schools; and providing for an effective date."
00 SENATE BILL NO. 87 01 "An Act relating to energy efficiency standards and standardized options for building 02 and equipment components for school construction and major maintenance; relating to 03 school construction and major maintenance grants and bond debt reimbursement; 04 establishing a working group to make recommendations relating to energy efficiency 05 and standardized components in schools; and providing for an effective date." 06 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 07 * Section 1. AS 14.11.011(b) is amended to read: 08 (b) For a municipality that is a school district or a regional educational 09 attendance area to be eligible for a grant under this chapter, the district shall submit 10 (1) a six-year capital improvement plan that includes a description of 11 the district's fixed asset inventory system and preventive maintenance program not 12 [NO] later than September 1 of the fiscal year before the fiscal year for which the 13 request is made; the six-year plan must contain for each proposed project
01 (A) a detailed scope of work, a project budget, and 02 documentation of conditions justifying the project; 03 (B) information demonstrating that the project 04 incorporates standardized options for building and equipment 05 components and is in compliance with the energy efficiency standards 06 adopted by the department under AS 14.11.104; and 07 (C) documentation of the building commissioning process 08 the district uses for both new construction and major maintenance 09 projects to verify and document that the building and all building and 10 equipment components perform interactively in accordance with the 11 equipment design and project requirements; 12 (2) evidence that the district has secured and will maintain adequate 13 property loss insurance for the replacement cost of all facilities for which state funds 14 are available under AS 14.11.005 or 14.11.007 or has a program of insurance 15 acceptable to the department; 16 (3) evidence acceptable to the department that the proposed project 17 should be a capital improvement project and not part of a preventive maintenance 18 program or regular custodial care program; and 19 (4) evidence acceptable to the department that the district 20 (A) has a preventive maintenance plan that 21 (i) includes a computerized maintenance management 22 program, cardex system, or other formal systematic means of tracking 23 the timing and costs associated with planned and completed 24 maintenance activities, including scheduled preventive maintenance; 25 (ii) addresses energy management for buildings owned 26 or operated by the district; 27 (iii) includes a regular custodial care program for 28 buildings owned or operated by the district; 29 (iv) includes preventive maintenance training for 30 facility managers and maintenance employees; 31 (v) includes renewal and replacement schedules for
01 electrical, mechanical, structural, and other components of facilities 02 owned or operated by the district; and 03 (B) is adequately adhering to the preventive maintenance plan. 04 * Sec. 2. AS 14.11.013(a) is amended to read: 05 (a) With regard to projects for which grants are requested under AS 14.11.011, 06 the department shall 07 (1) annually review the six-year plans submitted by each district under 08 AS 14.11.011(b) and recommend to the board a revised and updated six-year capital 09 improvement project grant schedule that serves the best interests of the state and each 10 district; in recommending projects for this schedule, the department shall verify that 11 each proposed project meets the criteria established under AS 14.11.014(b) and 12 14.11.104 and qualifies as a project required to 13 (A) avert imminent danger or correct life-threatening 14 situations; 15 (B) house students who would otherwise be unhoused; for 16 purposes of this subparagraph, students are considered unhoused if the students 17 attend school in temporary facilities; 18 (C) protect the structure of existing school facilities; 19 (D) correct building code deficiencies that require major repair 20 or rehabilitation in order for the facility to continue to be used for the 21 educational program; 22 (E) achieve an operating cost savings, including savings, as 23 measured by a life-cycle cost analysis, that are achieved through the use of 24 standardized options for building and equipment components and fuel 25 cost reductions resulting from energy efficiency upgrades; 26 (F) modify or rehabilitate facilities for the purpose of 27 improving the instructional program; 28 (G) meet an educational need not specified in (A) - (F) of this 29 paragraph, identified by the department; 30 (2) prepare an estimate of the amount of money needed to finance each 31 project;
01 (3) provide to the governor, by November 1, and to the legislature 02 within the first 10 days of each regular legislative session, a revised and updated six- 03 year capital improvement project grant schedule, together with a proposed schedule of 04 appropriations. 05 * Sec. 3. AS 14.11.013(d) is amended to read: 06 (d) The department shall reduce a project budget by the cost of those portions 07 of a project design that the department determines (1) are for construction of student 08 residential space, planetariums, hockey rinks, saunas, and other facilities for single 09 purpose sporting or recreational uses that are not suitable for other activities; or (2) do 10 not meet the criteria developed under AS 14.11.014(b) or 14.11.104 that are 11 applicable to the project. This subsection does not apply to funding for swimming 12 pools that meet criteria established by the department. 13 * Sec. 4. AS 14.11.013 is amended by adding new subsections to read: 14 (f) In reviewing projects under (a) of this section for compliance with the 15 criteria established under AS 14.11.104, the department shall consult with the Alaska 16 Energy Authority. 17 (g) In this section, "life-cycle cost" has the meaning given in AS 46.11.900. 18 * Sec. 5. AS 14.11.014(b) is amended to read: 19 (b) The committee shall 20 (1) review the department's priorities among projects for which school 21 construction grants are requested; 22 (2) make recommendations to the board concerning school 23 construction grants and make recommendations to the commissioner concerning 24 projects for which bond reimbursement is requested; 25 (3) develop criteria for construction of schools in the state; criteria 26 developed under this paragraph must include requirements intended to achieve cost- 27 effective school construction; 28 (4) analyze existing prototypical designs for school construction 29 projects, including designs acquired by the department under AS 14.11.104; 30 (5) establish a form for grant applications; 31 (6) establish a method of ranking grant projects;
01 (7) recommend to the board necessary changes to the approval process 02 for school construction grants and for projects for which bond reimbursement is 03 requested; 04 (8) set standards, based on the standards adopted by the 05 department under AS 14.11.104, for energy efficiency for school construction and 06 major maintenance to provide energy efficiency benefits for all school locations in the 07 state and that address energy efficiency in design and energy systems that minimize 08 long-term energy and operating costs. 09 * Sec. 6. AS 14.11.017(a) is amended to read: 10 (a) The department shall require in the grant agreement that a municipality 11 that is a school district or a regional educational attendance area 12 (1) agree to construction of a facility of appropriate size and use that 13 meets criteria adopted by the department, including criteria developed under 14 AS 14.11.014(b) and 14.11.104, if the grant is for school construction; 15 (2) provide reasonable assurance by a means acceptable to the 16 department, that the cost of the project will not exceed the maximum cost standards 17 established by the department under AS 14.11.104 for [BE UNIFORM WITH THE 18 COSTS OF THE MOST CURRENT CONSTRUCTION OR MAJOR 19 MAINTENANCE PROJECTS, AS APPROPRIATE, IN] the area; 20 (3) agree to limit equipment purchases to that required for the 21 approved project plan submitted under (5) of this subsection and account for all 22 equipment purchased for the project under a fixed asset inventory system approved by 23 the department; 24 (4) submit project budgets for department approval and agree that the 25 grant amount may, at the discretion of the department, be reduced or increased by 26 amounts equal to the amounts by which contracts vary from the budget amounts 27 approved by the department; [AND] 28 (5) submit to the department for approval, before award of the 29 contract, a plan for the project that includes educational specifications, final drawings, 30 and contract documents; and 31 (6) for a construction or major maintenance project that receives a
01 grant in an amount equal to 50 percent or more of the cost of the project, agree 02 that the municipality or regional educational attendance area and any 03 contractors, architects, or designers involved in designing and building the 04 facility will not apply for an architectural or design award for the facility; in this 05 paragraph, "architectural or design award" does not include an award for 06 energy efficient or innovative design. 07 * Sec. 7. AS 14.11.017 is amended by adding a new subsection to read: 08 (d) Notwithstanding (b)(2) of this section, if the cost of a school construction 09 or major maintenance project exceeds the maximum cost standards established by the 10 department under AS 14.11.104, the municipality or regional educational attendance 11 area shall pay the excess from funding sources other than state funding. 12 * Sec. 8. AS 14.11.100 is amended by adding a new subsection to read: 13 (t) The commissioner may not approve an application for bond reimbursement 14 for indebtedness authorized by the qualified voters of a municipality on or after July 1, 15 2020, unless the municipality, as a condition of reimbursement, 16 (1) agrees to construction of a facility of appropriate size and use that 17 meets criteria developed by the department, including criteria adopted under 18 AS 14.11.104, if the bond reimbursement is for school construction; in reviewing a 19 project for compliance with criteria established under AS 14.11.104, the commissioner 20 shall consult with the Alaska Energy Authority; 21 (2) provides reasonable assurance, by a means acceptable to the 22 department, that the project cost will not exceed the maximum cost standards 23 established by the department under AS 14.11.104 for the area; if the cost of a project 24 exceeds the maximum cost standards, the municipality shall pay indebtedness 25 attributable to the excess from funding sources other than state funding; and 26 (3) for a project that receives bond reimbursement in an amount equal 27 to 50 percent or more of the cost of the project, agrees that the municipality and any 28 contractors, architects, or designers involved in designing and building the facility will 29 not apply for an architectural or design award for the facility; in this paragraph, 30 "architectural or design award" does not include an award for energy efficient or 31 innovative design.
01 * Sec. 9. AS 14.11 is amended by adding a new section to article 1 to read: 02 Sec. 14.11.104. School facility design and maintenance standards. (a) The 03 department shall 04 (1) establish, by regulation, energy efficiency standards, including 05 standardized options for building and equipment components, appropriate to each 06 climate zone in the state for the construction and major maintenance of school 07 facilities that receive funding under AS 14.11.005 - 14.11.102; the regulations must 08 include, for each climate zone in the state, 09 (A) energy efficiency standards, consistent with relevant 10 building, plumbing, and electrical codes that will reduce long-term operating 11 costs; 12 (B) standardized options for energy efficient building and 13 equipment components from which a school district may choose when 14 designing a school facility or renovating or upgrading an existing school 15 facility; 16 (C) best practices for improving energy efficiency for existing 17 and newly constructed school facilities; and 18 (D) the maximum acceptable costs for each square foot for 19 construction or major maintenance of an energy efficient school facility; the 20 department shall base the maximum acceptable costs on designs that prioritize 21 classroom infrastructure and functional design; the maximum acceptable cost 22 must be adjusted for different regions within each climate zone; 23 (2) create and make available to school districts a maintenance manual 24 that provides information about maintaining and repairing the standardized options for 25 building and equipment components identified in the energy efficiency standards; 26 (3) consider establishing a statewide maintenance and support team to 27 assist school districts in maintaining and repairing the standardized options for 28 building and equipment components identified in the energy efficiency standards; the 29 department may enter into a contract with a regional or local organization, the Alaska 30 Energy Authority, the Department of Transportation and Public Facilities, or another 31 state agency to establish the maintenance and support team;
01 (4) require a school district, and, if the department establishes a 02 maintenance and support team under (a)(3) of this section, the maintenance and 03 support team, to report the following information at intervals determined by the 04 department: 05 (A) maintenance and repairs performed on school facilities and 06 the date the maintenance or repairs are performed; 07 (B) the condition of school facilities in the school district; 08 (C) monitoring data regarding facility occupancy, electricity 09 and fuel usage, temperature, and other information related to energy usage and 10 efficiency; 11 (5) acquire or retain ownership of the design for any school facility for 12 which a grant or bond reimbursement is approved under AS 14.11.005 - 14.11.102 in 13 an amount equal to 50 percent or more of the cost of construction of the facility; 14 (6) assess, in consultation with the Department of Administration and 15 the Department of Transportation and Public Facilities, state lease payments, 16 payments for state-owned facilities, and the use of school facilities in rural areas to 17 determine whether other state or local services can be located in the same facility as a 18 school to reduce state funding needs; a state or local service may only be located in the 19 same facility as a school if all employees of the state or local service are required to 20 meet background check requirements equivalent to the requirements for teachers 21 under AS 14.20.020(c) and (f). 22 (b) In this section, 23 (1) "rural" has the meaning given in AS 14.43.700; and 24 (2) "state or local service" includes a library, an emergency operations 25 center, a fire department, a health facility, and a similar entity. 26 * Sec. 10. The uncodified law of the State of Alaska is amended by adding a new section to 27 read: 28 PUBLIC SCHOOL ENERGY EFFICIENCY AND STANDARDIZED 29 COMPONENTS WORKING GROUP. (a) A working group is established in the Department 30 of Education and Early Development for the purpose of recommending energy efficiency 31 standards and standardized options for energy efficient building and equipment components
01 for public school facilities construction and major maintenance projects approved under 02 AS 14.11.005 - 14.11.102 for a grant or reimbursement in an amount equal to 50 percent or 03 more of the cost of the project. The working group consists of nine members appointed by the 04 commissioner as follows: 05 (1) one member from the Department of Education and Early Development; 06 (2) one member from the Alaska Housing Finance Corporation; 07 (3) one member from the Alaska Energy Authority; 08 (4) one member from the Cold Climate Housing Research Center; 09 (5) one member from the Department of Transportation and Public Facilities; 10 (6) a superintendent from a rural public school; 11 (7) a superintendent from an urban public school; and 12 (8) two members from the construction industry, one with expertise in 13 construction in urban areas and one with expertise in construction in rural areas. 14 (b) The members of the working group shall select a chair and vice-chair. The 15 working group meets at the call of the chair. A majority of the members of the working group 16 constitute a quorum, and the working group shall make decisions based on a majority vote. 17 (c) The working group shall develop the following recommendations appropriate to 18 each climate zone in the state: 19 (1) energy efficiency standards consistent with relevant building, plumbing, 20 and electrical codes; in recommending energy efficiency standards under this section, the 21 working group may develop standards appropriate for the state or base the standards on a 22 professionally developed model code, such as the International Energy Conservation Code, or 23 an energy code developed by the American Society of Heating, Refrigeration and Air- 24 Conditioning Engineers; 25 (2) standardized options for energy efficient building and equipment 26 components from which school districts may choose when designing new school facilities or 27 renovating or retrofitting existing school facilities, including 28 (A) heating, ventilation, and air conditioning systems; 29 (B) plumbing, sewer, and water systems, including toilets and sinks; 30 (C) electrical systems; 31 (D) control systems;
01 (E) fire alarm systems; 02 (F) intercom systems; 03 (G) insulation; 04 (H) windows and doors; 05 (I) backup generators; 06 (J) weatherization; and 07 (K) other components the working group identifies; 08 (3) best practices for improving energy efficiency for existing and newly 09 constructed school facilities, including recommendations for motion sensor lights, automatic 10 temperature settings for heating systems, and other recommendations to maximize the energy 11 efficiency of building and equipment components; 12 (4) the maximum acceptable costs for each square foot for construction of an 13 energy efficient school facility that uses components identified in (2) of this subsection; the 14 working group shall base the maximum acceptable costs on designs that prioritize classroom 15 infrastructure and functional design; the maximum acceptable costs for each square foot must 16 be adjusted for different regions within each climate zone. 17 (d) The recommendations under (c)(2) of this section must 18 (1) result in designs for buildings with a 30-year life for new construction or a 19 20-year life for renovations or energy efficiency upgrades; 20 (2) achieve economic savings, as measured by a life-cycle cost analysis, 21 through the use of standardized options for building and equipment components and fuel cost 22 reductions resulting from energy efficiency upgrades; and 23 (3) focus the state's investment in education facilities by prioritizing functional 24 design and classroom infrastructure. 25 (e) The working group shall complete a report summarizing the working group's 26 recommendations and submit the report electronically, on or before the date 18 months after 27 the effective date of this section, to the senate secretary and the chief clerk of the house of 28 representatives and notify the legislature that the report is available. 29 (f) The working group may meet by telephone or videoconference. Members of the 30 working group serve without compensation and are not entitled to per diem or travel expenses 31 authorized for boards and commissions under AS 39.20.180.
01 (g) The working group terminates on the date 18 months after the effective date of 02 this section. 03 * Sec. 11. The uncodified law of the State of Alaska is amended by adding a new section to 04 read: 05 APPLICABILITY. Sections 1 - 9 of this Act, and regulations adopted to implement 06 secs. 1 - 9 of this Act, apply to 07 (1) a grant approved on or after the effective date of secs. 1 - 9 of this Act; and 08 (2) approval of bond debt reimbursement under AS 14.11.100 for 09 indebtedness authorized by the qualified voters of the municipality on or after July 1, 2020. 10 * Sec. 12. The uncodified law of the State of Alaska is amended by adding a new section to 11 read: 12 TRANSITIONAL PROVISIONS: REGULATIONS. (a) The Department of Education 13 and Early Development shall adopt regulations necessary to implement the changes made by 14 this Act. 15 (b) The regulations required under AS 14.11.104, enacted by sec. 9 of this Act, must 16 implement the recommendations of the public school energy efficiency and standardized 17 components working group established in sec. 10 of this Act. 18 (c) The regulations take effect under AS 44.62 (Administrative Procedure Act), but 19 not before the effective date of the law implemented by the regulation. 20 * Sec. 13. Sections 1 - 9 and 11 of this Act take effect 24 months after the effective date of 21 sec. 10 of this Act. 22 * Sec. 14. Section 10 of this Act takes effect immediately under AS 01.10.070(c). 23 * Sec. 15. Section 12 of this Act takes effect 18 months after the effective date of sec. 10 of 24 this Act.