SB 212: "An Act authorizing municipalities to designate energy improvements areas and to establish energy improvements programs and relating to those programs."
00 SENATE BILL NO. 212 01 "An Act authorizing municipalities to designate energy improvements areas and to 02 establish energy improvements programs and relating to those programs." 03 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 04 * Section 1. AS 29.35 is amended by adding a new section to read: 05 Sec. 29.35.052. Energy improvements program. (a) A municipality may by 06 ordinance designate an energy improvements area and establish an energy 07 improvements program to make loans to owners of real property within the area for 08 cost-effective energy improvements to existing residential, commercial, or industrial 09 buildings on the property. At least 30 days before adopting an ordinance under this 10 section, the municipality shall provide an explanation of the proposed program to 11 utilities that distribute electricity or natural gas in the area in which the proposed 12 program will operate. The ordinance may establish 13 (1) a loan application process that includes an energy audit of the 14 building proposed to be improved and other requirements to ensure that the loan will
01 be used for energy improvements that are cost-effective and otherwise consistent with 02 the purpose of the program; 03 (2) loan terms, including interest rates; 04 (3) application and loan fees sufficient to pay the administrative and 05 financing costs of the program, included costs associated with loan delinquencies; and 06 (4) requirements and conditions to ensure timely repayment of loans 07 and fees imposed under the program. 08 (b) A municipality that establishes an energy improvements program may 09 secure a loan under the program with a lien on the benefited property and enforce the 10 lien as provided for special assessments. In addition, the municipality may require any 11 other security for a loan that the municipality determines to be reasonable. 12 (c) A municipality may issue special assessment bonds under AS 29.46.140 to 13 finance its energy improvements program. The municipality may apply for grants or 14 other funding from the state or federal government for the program and enter into 15 agreements regarding the grants or funding. 16 (d) Subject to appropriations for the purpose, the department may lend money 17 to a municipality that establishes an energy improvements program under this section 18 for costs of the program. The department shall, by regulation, establish the types and 19 extent of energy improvements that may be financed in whole or part with money 20 provided by the department under this subsection. In determining the types and extent 21 of energy improvements that may be financed, the department shall consider the 22 amount of energy that can be conserved and the cost-effectiveness of particular types 23 of energy improvements. 24 (e) In this section, "energy improvements" means energy efficiency or 25 renewable energy improvements that are authorized under an energy improvements 26 program adopted by a municipality under this section.