Legislature(2021 - 2022)ADAMS 519

01/27/2022 10:15 AM House ENERGY

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Audio Topic
10:19:36 AM Start
10:20:08 AM HB227
10:34:21 AM Adjourn
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+= HB 227 MUNI ENERGY IMPROVEMNT ASSESSMENT PROGRAM TELECONFERENCED
Moved HB 227 Out of Committee
-- Public Testimony --
+ Bills Previously Heard/Scheduled TELECONFERENCED
                    ALASKA STATE LEGISLATURE                                                                                  
               HOUSE SPECIAL COMMITTEE ON ENERGY                                                                              
                        January 27, 2022                                                                                        
                           10:19 a.m.                                                                                           
                                                                                                                                
MEMBERS PRESENT                                                                                                               
                                                                                                                                
Representative Calvin Schrage, Chair                                                                                            
Representative Matt Claman                                                                                                      
Representative Tiffany Zulkosky                                                                                                 
Representative Zack Fields                                                                                                      
Representative George Rauscher                                                                                                  
Representative James Kaufman                                                                                                    
                                                                                                                                
MEMBERS ABSENT                                                                                                                
                                                                                                                                
Representative Chris Tuck                                                                                                       
                                                                                                                                
COMMITTEE CALENDAR                                                                                                            
                                                                                                                                
HOUSE BILL NO. 227                                                                                                              
"An Act relating to municipal energy and resilience improvement                                                                 
assessment programs; and providing for an effective date."                                                                      
                                                                                                                                
     - MOVED HB 227 OUT OF COMMITTEE                                                                                            
                                                                                                                                
PREVIOUS COMMITTEE ACTION                                                                                                     
                                                                                                                                
BILL: HB 227                                                                                                                  
SHORT TITLE: MUNI ENERGY IMPROVEMNT ASSESSMENT PROGRAM                                                                          
SPONSOR(s): REPRESENTATIVE(s) SCHRAGE                                                                                           
                                                                                                                                
01/18/22       (H)       PREFILE RELEASED 1/7/22                                                                                

01/18/22 (H) READ THE FIRST TIME - REFERRALS

01/18/22 (H) ENE, CRA

01/20/22 (H) ENE AT 10:15 AM ADAMS 519

01/20/22 (H) Heard & Held

01/20/22 (H) MINUTE(ENE)

01/27/22 (H) ENE AT 10:15 AM ADAMS 519 WITNESS REGISTER RYAN MAE LUCAS, Owner/Broker Regal North Commercial Anchorage, Alaska POSITION STATEMENT: Testified in support of the C-PACE amendments proposed under HB 227. TOM NEUKRANZ, Agent Gold Specific Capital Tiburon, California POSITION STATEMENT: Testified in support of an amendment proposed under HB 227 to include new construction. TOM BENKERT KI Energy, LLC Wasilla, Alaska POSITION STATEMENT: Testified in support of an amendment proposed under HB 227. MARK BEGICH Anchorage, Alaska POSITION STATEMENT: Testified in support of the amendments proposed under HB 227. JANE LIU Global Pacific Capital, LLC San Mateo, California POSITION STATEMENT: Testified during the hearing on HB 227. SHAINA KILCOYNE, Energy Manager Solid Waste Services Municipality of Anchorage Anchorage, Alaska POSITION STATEMENT: Responded to a request during the hearing on HB 227. ACTION NARRATIVE 10:19:36 AM CHAIR CALVIN SCHRAGE called the House Special Committee on Energy meeting to order at 10:19 a.m. Representatives Claman, Zulkosky, Fields, Rauscher, Kaufman, and Schrage were present at the call to order. HB 227-MUNI ENERGY IMPROVEMNT ASSESSMENT PROGRAM 10:20:08 AM CHAIR SCHRAGE announced that the only order of business would be HOUSE BILL NO. 227, "An Act relating to municipal energy and resilience improvement assessment programs; and providing for an effective date." 10:20:27 AM CHAIR SCHRAGE opened public testimony on HB 227. 10:20:48 AM RYAN MAE LUCAS, Owner/Broker, Regal North Commercial, testified in support of the commercial property assessed clean energy (C- PACE) amendments proposed under HB 227. She highlighted the new construction aspect of the bill and noted that some of the buildings in Anchorage are 30-plus years old, and sometimes it does not make economic sense to retrofit these older structures. She encouraged the practical changes that would eliminate "the bottleneck" and make it possible "to close and execute." 10:22:44 AM TOM NEUKRANZ, Agent, Gold Specific Capital, expressed enthusiastic support of the amendment proposed under HB 227 to include new construction. He added that he supports the ability to use C-PACE in new construction. 10:25:10 AM TOM BENKERT, KI Energy, LLC, spoke about the benefit to customers in obtaining financing on reasonable terms. He said he has wished for the amendments to statute [proposed under HB 227] for about three years and is pleased HB 227 is under consideration. He pointed out projects that would benefit from the changes such as the extension of useful life, which reflects new measures for resiliency. Further, he said the expansion of the use of funds would allow for more flexibility in financing. He said Alaska does not have tools that incentivize lenders to support desired projects, and HB 227 would improve the options available. He shared his willingness to answer any questions regarding C-PACE. He stated his support of the amendment proposed under HB 227. 10:28:53 AM MARK BEGICH testified that he owns and operates several companies, one of which is a redevelopment company that turns deteriorated properties in Anchorage into premier properties, and C-PACE is critical in making properties more efficient, which results in money saved; it works in conjunction with private capital raised. He said the proposed bill would help make the projects more of a reality by adding language regarding new construction financing, including market value, and by keeping money in the state that would increase local hire. He said he thinks HB 227 would benefit the private sector in increasing economic development. 10:31:41 AM JANE LIU, Global Pacific Capital, LLC, noted that in addition to multi-family projects, large industrial projects can benefit from C-PACE, and those larger projects are on the rise in Alaska; therefore, she surmised that it would be a sector that could take advantage of the C-PACE financing [addressed under HB 227]. 10:32:47 AM CHAIR SCHRAGE closed public testimony on HB 227. He noted that the committee had not received any amendments for the proposed legislation. 10:33:32 AM SHAINA KILCOYNE, Energy Manager, Solid Waste Services, Municipality of Anchorage, affirmed a request from Representative Rauscher to call him to answer further questions sometime following the close of the meeting. 10:33:55 AM REPRESENTATIVE ZULKOSKY moved to report HB 227 out of committee with individual recommendations and the accompanying fiscal notes. There being no objection, HB 227 was reported out of the House Special Committee on Energy. 10:34:21 AM ADJOURNMENT There being no further business before the committee, the House Special Committee on Energy meeting was adjourned at 10:34 a.m.

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