Legislature(2009 - 2010)BARNES 124
02/23/2010 03:00 PM House ENERGY
| Audio | Topic |
|---|---|
| Start | |
| HJR45 | |
| HB296 | |
| HB303 | |
| HB31 | |
| Adjourn |
* first hearing in first committee of referral
+ teleconferenced
= bill was previously heard/scheduled
+ teleconferenced
= bill was previously heard/scheduled
| += | HB 31 | TELECONFERENCED | |
| *+ | HB 303 | TELECONFERENCED | |
| += | HB 296 | TELECONFERENCED | |
| *+ | HJR 45 | TELECONFERENCED | |
| + | TELECONFERENCED |
HB 296-ENERGY EFFICIENCY BONDS; LOANS; FUND
3:27:58 PM
CO-CHAIR MILLETT announced the next order of business would be
HOUSE BILL NO. 296, "An Act authorizing and relating to the
issuance of bonds by the Alaska Housing Finance Corporation;
establishing the Alaska energy efficiency revolving loan fund
and relating to the fund; authorizing municipalities and the
State of Alaska to borrow money from the Alaska Housing Finance
Corporation for the purposes of the Alaska energy efficiency
revolving loan fund; and providing for an effective date."
3:28:15 PM
BRYAN BUTCHER, Director, Governmental Affairs & Public
Relations, Alaska Housing Finance Corporation (AHFC), Department
of Revenue (DOR), reminded the committee that HB 296 would take
$18 million AHFC received from the energy program stimulus funds
to leverage up to $250 million in bonds which would be used for
energy improvements to public and municipal facilities, such as
schools. The proposal would work as a revolving loan fund by
the hire of a energy performance contractor who estimates the
savings from, and cost of, energy efficiency improvements.
Subsequently, a loan would be issued by AHFC and, after the work
was done, the savings realized from the work would be used to
pay back the loan. Mr. Butcher assured the committee that the
contractor must compensate for any savings that are less than
his or her estimate, thus in all cases, the corporation is
repaid and the program continues to revolve.
3:29:48 PM
CO-CHAIR EDGMON inquired as to whether any problems are foreseen
regarding issuing $250 million in bonds.
MR. BUTCHER advised that the bonds are backed by AHFC, and would
not be issued all at once. In fact, there are only four energy
performance contractors in the state at this time.
3:31:01 PM
REPRESENTATIVE TUCK referred to page 2, line 7, and asked
whether loans may be made to the University of Alaska (UA)
system.
3:31:29 PM
MR. BUTCHER said he was unsure.
3:32:01 PM
JOHN ANDERSON, Weatherization Program Manager, Alaska Housing
Finance Corporation (AHFC), Department of Revenue (DOR), opined
the intention was to include [the UA system].
MR. BUTCHER advised that this question and another would be
addressed as the bill progresses.
3:33:14 PM
CO-CHAIR MILLETT closed public testimony after ascertaining that
no one else wished to testify.
3:33:57 PM
REPRESENTATIVE PETERSEN moved to adopt Amendment 1, labeled 26-
GH2903\A.1, Cook, 2/5/10, which read:
Page 1, line 3:
Delete "municipalities"
Insert "regional educational attendance areas,
municipalities,"
Page 2, line 7, following "to":
Insert "regional educational attendance areas,"
Page 2, line 9:
Delete "the state or by municipalities in"
Insert "the regional educational attendance
areas, municipalities or their subdivisions, or"
Page 2, line 15, following "Before":
Insert "a regional educational attendance area,
a"
Page 2, line 16, following "section, the":
Insert "regional educational attendance area"
Page 2, line 24, following "All":
Insert "regional educational attendance areas
and"
Page 2, line 25, following "section.":
Insert "The corporation shall set out the terms
of a loan to a regional educational attendance area in
a loan agreement or similar document."
Page 3, line 5, following "to":
Insert "a regional educational attendance area or
to"
Page 3, line 7, following "that the":
Insert "regional educational attendance area or"
Page 3, line 9, following "and":
Insert "a regional educational attendance area
or"
Page 3, line 10, following "from that":
Insert "regional educational attendance area or"
Page 3, line 19, following "state.":
Insert "The superintendent of a regional
educational attendance area, at the direction of the
regional educational attendance school board, may
borrow from the corporation under this section for
buildings owned by the regional educational area."
Page 3, line 23, following "A":
Insert "regional educational attendance area or"
Page 4, lines 15 - 16:
Delete "for energy efficiency improvements to
state and municipal buildings in the state"
Page 4, line 16, following "finance the":
Delete "other"
3:34:46 PM
CO-CHAIR MILLETT objected for the purpose of discussion.
REPRESENTATIVE PETERSEN explained that the purpose of the
amendment was to include more buildings that might qualify for
the loan program by adding "regional educational attendance
area" where applicable.
MR. BUTCHER, in response to Co-Chair Millett, confirmed that the
intent of the bill was to include regional educational
attendance areas (REAs).
3:35:22 PM
CO-CHAIR MILLETT removed her objection. There being no further
objection, Amendment 1 was adopted.
3:35:30 PM
REPRESENTATIVE PETERSEN moved to adopt Amendment 2, labeled 26-
GH2903\A.2, Cook, 2/8/10, which read:
Page 1, line 3:
Delete "municipalities"
Insert "Native organizations, municipalities,"
Page 2, line 7, following "to":
Insert "Native organizations,"
Page 2, line 9:
Delete "state or by municipalities in"
Insert "Native organizations, municipalities or
their subdivisions, or"
Page 2, line 15, following "Before":
Insert "a Native organization,"
Page 2, line 16, following the second occurrence of
"the":
Insert "Native organization or"
Page 2, line 24, following "All":
Insert "Native organizations and"
Page 2, line 25, following "section.":
Insert "The corporation shall set out the terms
of a loan to a Native organization in a loan agreement
or similar document."
Page 3, line 5, following "to":
Insert "a Native organization or to"
Page 3, line 7, following the first occurrence of
"the":
Insert "Native organization or"
Page 3, line 9, following "and":
Insert "a Native organization or"
Page 3, line 10, following the second occurrence of
"that":
Insert "Native organization or"
Page 3, line 19, following "state.":
Insert "The board of directors or council of a
Native organization may borrow from the corporation
under this section for buildings owned by the Native
organization."
Page 3, line 23, following "A":
Insert "Native organization or"
Page 3, line 27, following "section,":
Insert "(1)"
Page 3, line 28:
Delete "(1)"
Insert "(A)"
Page 3, line 30:
Delete "(2)"
Insert "(B)"
Page 4, line 1:
Delete "(3)"
Insert "(C)"
Page 4, line 2:
Delete "(4)"
Insert "(D)"
Page 4, line 5:
Delete "(5)"
Insert "(E)"
Page 4, lines 4 - 5:
Delete "(1) - (4) of this subsection."
Insert "(A) - (D) of this paragraph;
(2) "council" or "Native council" means a
council organized under federal law to represent an
Alaska Native community or Indian reserve in the
state;
(3) "Native organization" means a Native
council or nonprofit corporation organized by a Native
council."
Page 4, lines 15 - 16:
Delete "for energy efficiency improvements to
state and municipal buildings in the state"
REPRESENTATIVE PETERSEN explained that Amendment 2 adds to the
loan program Native organizations that in some rural areas serve
as the only organization in the community.
3:36:09 PM
CO-CHAIR MILLETT objected. She asked Mr. Butcher to define
"Native organizations" under statute.
3:36:22 PM
MR. BUTCHER said although AHFC supports getting energy
efficiency done in as many areas as possible, its concern is
that this "goes in a different direction than the legislation
has been drafted for." Because the proposed bill was approved
by the U.S. Department of Energy (DOE) specifically for public
buildings, he cautioned that the amendment could bring some
issues that would require further approval from DOE.
CO-CHAIR EDGMON understood the purpose of the amendment;
however, he said he does not know of any Native organizations
that own a public building. He agreed with Mr. Butcher and
opposed the amendment.
3:38:20 PM
CO-CHAIR MILLETT maintained her objection to Amendment 2.
3:38:25 PM
REPRESENTATIVE PETERSEN withdrew Amendment 2.
MR. BUTCHER assured the committee that AHFC is very good at
working with small communities and will ensure that every
community can participate in the program.
CO-CHAIR EDGMON asked whether this program would create housing
authorities.
3:40:01 PM
MR. ANDERSON stated AHFC's position that stock owned by regional
housing authorities would not be able to qualify in this
program. However, regional housing authorities have the
potential to do the work in many communities.
CO-CHAIR EDGMON asked whether there are sufficient other funding
streams for housing authorities.
MR. ANDERSON observed that the weatherization program and
federal Housing and Urban Development (HUD) programs provide "a
vast amount of money that is going to the regional housing
authorities right now." He re-stated that AHFC will do whatever
it can to encourage the housing authorities to get trained so
they can participate in the work. In fact, much of the building
stock in rural Alaska is built on a residential system, and with
minimal training most regional housing authorities will be able
to participate.
3:41:55 PM
CO-CHAIR EDGMON noted the definition of public facilities in
other bills may need to be re-visited.
3:42:13 PM
REPRESENTATIVE TUCK asked to confirm that the intent is to
include the UA system.
3:42:32 PM
MR. BUTCHER said yes. He offered to contact the committee after
AHFC conducts discussions with the Office of Management and
Budget (OMB). He further explained that after AHFC figured out
how to leverage this program to $250 million, it began to
include more participation by different areas of government, and
there was some confusion about what was included. Now, with the
revolving aspect of this program, AHFC will be able to include
every building that it wants to do, including the UA. In
further response to Representative Tuck, Mr. Butcher said, "A
qualified yes."
REPRESENTATIVE TUCK asked for reasons UA would not be included.
MR. BUTCHER offered no reasons.
3:44:17 PM
CO-CHAIR MILLETT suggested the committee send a letter of intent
to the finance committee with the bill.
3:44:35 PM
REPRESENTATIVE TUCK agreed.
3:45:21 PM
JACK KREINHEDER, Chief Policy Analyst, Office of Management &
Budget, Office of the Governor, informed the committee that the
administration supports the inclusion of the UA. However, the
UA may have its own program and he suggested contacting the
university to assess its interest.
REPRESENTATIVE TUCK asked whether the UA was excluded as the
bill is now written.
3:47:12 PM
MR. KREINHEDER advised that he is not a lawyer, but opined that
UA facilities are state facilities and would be included.
3:47:29 PM
REPRESENTATIVE TUCK stated he was comfortable sending a letter
to the finance committee.
MR. KREINHEDER provided written information that was previously
requested by the committee.
3:48:28 PM
CO-CHAIR EDGMON moved to report HB 296, amended, out of
committee with individual recommendations, zero fiscal notes,
and the accompanying letter of intent. There being no
objection, CSHB 296(ENE) was reported from the House Special
Committee on Energy.
| Document Name | Date/Time | Subjects |
|---|---|---|
| HB 31 sectional summary.PDF |
HENE 3/24/2009 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 31 |
| HB0031A.pdf |
HENE 2/23/2010 3:00:00 PM |
HB 31 |
| HB 31 Amendment Sectional Summary.PDF |
HENE 2/16/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 31 |
| HB 31 sponsor statement.PDF |
HENE 3/24/2009 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 31 |
| HB 31 net metering map.PDF |
HENE 3/24/2009 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 31 |
| HB 31 NHA Waterpower.PDF |
HENE 2/23/2010 3:00:00 PM |
HB 31 |
| HB 296 SEP bonds Sponsor Statement.pdf |
HENE 2/9/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 296 |
| HB0296-1-1-011910-REV-N.pdf |
HENE 2/9/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 296 |
| HB0296-2-1-011910-DOT-N.pdf |
HENE 2/9/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 296 |
| HB 296 Amendment 1.PDF |
HENE 2/23/2010 3:00:00 PM |
HB 296 |
| AM#2 HB296.pdf |
HENE 2/9/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 296 |
| HB0296A.pdf |
HENE 2/23/2010 3:00:00 PM |
HB 296 |
| HB 303 Sponsor Statement.PDF |
HENE 2/16/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 303 |
| HB 303 Sectional Summary.PDF |
HENE 2/16/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 303 |
| HB303-REV-AHFC-2-14-10 AFHC Small Business Energy Loans.pdf |
HENE 2/16/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 303 |
| HB0303A.pdf |
HENE 2/16/2010 3:00:00 PM HENE 2/23/2010 3:00:00 PM |
HB 303 |
| HJR045A.pdf |
HENE 2/23/2010 3:00:00 PM |
|
| Gov Cap and Trade.pdf |
HENE 2/23/2010 3:00:00 PM |
|
| Energy Committee Agenda 02232010.pdf |
HENE 2/23/2010 3:00:00 PM |
|
| HB 303 NFIB Support.pdf |
HENE 2/23/2010 3:00:00 PM |
HB 303 |
| HB 303 Amendment 1 Petersen.PDF |
HENE 2/23/2010 3:00:00 PM |
HB 303 |
| HJR 45 fiscal note.pdf |
HENE 2/23/2010 3:00:00 PM |