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AN ACT
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relating to energy savings performance contracts. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 302.001(4), Local Government Code, is |
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amended to read as follows: |
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(4) "Energy savings performance contract" means a |
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contract with a provider for energy or water conservation or usage |
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measures in which the estimated energy savings, utility cost |
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savings, increase in billable revenues, or increase in meter |
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accuracy resulting from the measures is subject to guarantee to |
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offset the cost of the energy or water conservation or usage |
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measures over a specified period. The term does not include the |
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design or new construction of a water supply project, water plant, |
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wastewater plant, water and wastewater distribution or conveyance |
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facility, or drainage project. The term includes a contract |
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related to the pilot program described by Subdivision (9-a) and a |
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contract for the installation or implementation of the following in |
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new or existing facilities, including all causally connected work: |
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(A) insulation of a building structure and |
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systems within the building; |
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(B) storm windows or doors, caulking or weather |
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stripping, multiglazed windows or doors, heat-absorbing or |
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heat-reflective glazed and coated window or door systems, or other |
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window or door system modifications that reduce energy consumption; |
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(C) automatic energy control systems, including |
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computer software and technical data licenses; |
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(D) heating, ventilating, or air-conditioning |
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system modifications or replacements that reduce energy or water |
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consumption; |
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(E) lighting fixtures that increase energy |
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efficiency; |
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(F) energy recovery systems; |
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(G) electric systems improvements; |
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(H) water-conserving fixtures, appliances, and |
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equipment or the substitution of non-water-using fixtures, |
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appliances, and equipment; |
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(I) water-conserving landscape irrigation |
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equipment; |
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(J) landscaping measures that reduce watering |
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demands and capture and hold applied water and rainfall, including: |
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(i) landscape contouring, including the use |
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of berms, swales, and terraces; and |
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(ii) the use of soil amendments that |
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increase the water-holding capacity of the soil, including compost; |
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(K) rainwater harvesting equipment and equipment |
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to make use of water collected as part of a storm-water system |
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installed for water quality control; |
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(L) equipment for recycling or reuse of water |
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originating on the premises or from other sources, including |
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treated municipal effluent; |
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(M) equipment needed to capture water from |
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nonconventional, alternate sources, including air-conditioning |
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condensate or graywater, for nonpotable uses; |
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(N) metering or related equipment or systems that |
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improve the accuracy of billable-revenue-generation systems; |
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(O) alternative fuel programs resulting in |
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energy cost savings and reduced emissions for local government |
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vehicles, including fleet vehicles; |
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(P) programs resulting in utility cost savings; |
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or |
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(Q) other energy or water conservation-related |
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improvements or equipment, including improvements or equipment |
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relating to renewable energy or nonconventional water sources or |
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water reuse. |
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SECTION 2. Section 302.005, Local Government Code, is |
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amended by adding Subsections (d) and (e) to read as follows: |
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(d) The scope of an energy savings performance contract may |
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not be modified under this section by change order, contract |
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addendum, or other method: |
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(1) to perform work that is not related to, connected |
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with, or otherwise ancillary to the measures identified in the |
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original scope of an energy savings performance contract; or |
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(2) in a way that increases the price of the original |
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awarded contract by more than 25 percent of the original contract |
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value. |
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(e) Subsection (d) applies only to the design or |
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construction of a water supply project, water plant, wastewater |
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plant, water and wastewater distribution or conveyance facility, or |
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drainage project. |
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SECTION 3. Chapter 302, Local Government Code, is amended |
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by adding Section 302.008 to read as follows: |
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Sec. 302.008. ENFORCEMENT. (a) A contract entered into or |
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an arrangement made in violation of this chapter is voidable as |
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against public policy. |
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(b) This chapter may be enforced through an action for |
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declaratory or injunctive relief filed not later than the 10th day |
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after the date the contract is awarded. |
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SECTION 4. The changes in law made by this Act do not apply |
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to an energy savings performance contract entered into before the |
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effective date of this Act, and the former law governing the |
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contract is continued in effect for that purpose. |
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SECTION 5. This Act takes effect immediately if it receives |
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a vote of two-thirds of all the members elected to each house, as |
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provided by Section 39, Article III, Texas Constitution. If this |
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Act does not receive the vote necessary for immediate effect, this |
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Act takes effect September 1, 2021. |
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______________________________ |
______________________________ |
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President of the Senate |
Speaker of the House |
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I certify that H.B. No. 3583 was passed by the House on May |
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13, 2021, by the following vote: Yeas 145, Nays 0, 2 present, not |
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voting. |
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______________________________ |
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Chief Clerk of the House |
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I certify that H.B. No. 3583 was passed by the Senate on May |
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21, 2021, by the following vote: Yeas 31, Nays 0. |
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______________________________ |
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Secretary of the Senate |
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APPROVED: _____________________ |
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Date |
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_____________________ |
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Governor |