Today's Law As Amended

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AB-1967 Zero net energy project budget requests.(2017-2018)


 Section 13327 is added to the Government Code, to read:

 (a) For purposes of this section, the following terms have the following meanings:
(1) “State entity” means every department, agency, office, division, bureau, commission, board, or other organizational unit of the executive branch of state government, the courts and each agency in the judicial branch of government, and the University of California.
(2) “ZNE project request” means a budget request by a state entity for the construction or retrofit of a state-owned building, or campus of buildings, to make that building or campus zero net energy (ZNE), including a project to meet the state’s goals for ZNE buildings in Executive Order B-18-12.
(b) A state entity making a ZNE project request shall include a cost–benefit analysis with the request when presenting its budget to the department. The cost–benefit analysis shall include the following:
(1) Evaluation of life-cycle costs that takes into account not only up‑front costs and benefits, but also those that occur over time, including estimated future energy savings and operating costs associated with the various building components, such as maintaining solar photovoltaic systems.
(2) Analysis of reasonable alternatives, recognizing that it is not feasible to look at every possible mix of alternative energy efficiency and renewable energy measures. Alternatives that should be evaluated include: (A) the cost and savings of the proposed energy efficiency measures compared to the cost and savings for a facility with energy efficiency components consistent with Title 24 of the California Administrative Code, and (B) the cost and savings of renewable energy generation options. With regard to renewable energy generation options, the analysis should compare solar photovoltaics, both state owned and third-party owned, with options for purchasing utility-provided electricity from eligible renewable energy resources and electricity generated from a conventional power source, as defined in Section 2805 of the Public Utilities Code.
(3) Identification of major assumptions, including the assumed inflation rate of energy prices and discount rates, to enable the Legislature to evaluate whether those assumptions are reasonable.
(c) The department shall submit to the Senate Committee on Budget and Fiscal Review, the Assembly Committee on Budget, and the Joint Legislative Budget Committee copies of the cost–benefit analysis with each ZNE budget request.