| 1 | A bill to be entitled |
| 2 | An act relating to energy efficiency; providing |
| 3 | legislative findings; providing definitions; requiring |
| 4 | each electric utility in the state to collect from each |
| 5 | residential, commercial, and industrial customer a |
| 6 | designated monthly systems charge; requiring the electric |
| 7 | utilities to deposit collected funds into the Sustainable |
| 8 | and Renewable Energy Policy Trust Fund; creating a direct- |
| 9 | support organization for the Florida Energy and Climate |
| 10 | Commission; providing for a board of directors of the |
| 11 | direct-support organization; providing for appointment of |
| 12 | members and terms of office; requiring a written contract |
| 13 | between the commission and the direct-support |
| 14 | organization; providing that certain transactions and |
| 15 | agreements are subject to approval by the Governor; |
| 16 | providing for the use of the deposited funds; requiring an |
| 17 | annual audit; amending s. 377.806, F.S.; reestablishing a |
| 18 | period of time for which residents of the state are |
| 19 | eligible to receive rebates for specified solar energy |
| 20 | systems under the Solar Energy System Incentives Program; |
| 21 | revising the rebate amount for eligible solar photovoltaic |
| 22 | energy systems; providing a schedule for rebate amounts |
| 23 | based on the total wattage of the system; clarifying |
| 24 | eligibility provisions for the installation of specified |
| 25 | thermal roofs; revising provisions relating to the |
| 26 | determination and publication of rebate availability |
| 27 | information; providing for the issuance of specified |
| 28 | rebates; providing appropriations for the Solar Energy |
| 29 | System Incentives Program and the Low-income Emergency |
| 30 | Home Repair Program; providing an effective date. |
| 31 |
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| 32 | Be It Enacted by the Legislature of the State of Florida: |
| 33 |
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| 34 | Section 1. (1) The Legislature finds that there is a need |
| 35 | for a funding mechanism to support and finance a comprehensive |
| 36 | energy policy, especially as it relates to sustainable and |
| 37 | renewable energy, energy conservation, and energy efficiencies. |
| 38 | With such a stable funding mechanism, this state will realize |
| 39 | important long-term goals, including: |
| 40 | (a) The reduction of dependence on oil from foreign |
| 41 | countries. |
| 42 | (b) The ensuring of an adequate and reliable energy |
| 43 | supply. |
| 44 | (c) The promotion of economic growth through investment in |
| 45 | emerging technologies that result in the creation of high-paying |
| 46 | jobs. |
| 47 | (d) The mitigation of adverse environmental impacts and |
| 48 | the promotion of stewardship of the environment. |
| 49 | (e) The forging of a leadership role in the nation in |
| 50 | energy conservation and energy efficiencies by providing needed |
| 51 | support for implementing and marketing the products of renewable |
| 52 | energy research and innovation. |
| 53 | (f) The establishing of a sustainable and renewable energy |
| 54 | policy for the state. |
| 55 | (2) As used in this section, the term: |
| 56 | (a) "Commission" means the Florida Energy and Climate |
| 57 | Commission. |
| 58 | (b) "Direct-support organization" means an organization |
| 59 | that is: |
| 60 | 1. A Florida corporation, not for profit, incorporated |
| 61 | under chapter 617, Florida Statutes, and approved by the |
| 62 | Department of State; |
| 63 | 2. Organized and operated exclusively to obtain funds; to |
| 64 | request and receive grants, gifts, and bequests of moneys; to |
| 65 | acquire, receive, hold, invest, and administer in its own name |
| 66 | securities, funds, or property; and to make expenditures to |
| 67 | support the achievement of the goals stated under subsection (1) |
| 68 | and to increase public awareness of and support for the |
| 69 | Sustainable and Renewable Energy Policy Trust Fund; and |
| 70 | 3. Determined by the commission to be operating in a |
| 71 | manner consistent with the goals stated under subsection (1). |
| 72 | (c) "Electric utility" means any municipal electric |
| 73 | utility, investor-owned electric utility, or rural electric |
| 74 | cooperative that owns, maintains, or operates an electric |
| 75 | generation, transmission, or distribution system within the |
| 76 | state. |
| 77 | (d) "Energy conservation" or "energy efficiencies" means |
| 78 | any activity that facilitates and promotes the use of cost- |
| 79 | effective energy conservation, energy-demand management, and |
| 80 | renewable energy technologies. |
| 81 | (e) "Renewable energy" means solar photovoltaic energy, |
| 82 | solar thermal energy, geothermal energy, ocean thermal energy, |
| 83 | wave or tidal energy, wind, fuel cells, landfill gas, hydrogen |
| 84 | production and hydrogen conversion technologies, low-emission |
| 85 | advanced biomass conversion technologies, alternative fuels used |
| 86 | for electricity generation, including ethanol, biodiesel, or |
| 87 | other fuel produced in this state and derived from agricultural |
| 88 | produce, algae, food waste, or waste vegetable oil, usable |
| 89 | electricity from combined heat and power systems that have waste |
| 90 | heat recovery systems, thermal storage systems, and other energy |
| 91 | resources and emerging technologies that have significant |
| 92 | potential for commercialization and that do not involve the |
| 93 | combustion of coal, petroleum or petroleum products, or nuclear |
| 94 | fission. |
| 95 | (3) Beginning January 1, 2011, each electric utility shall |
| 96 | collect from each residential, commercial, and industrial |
| 97 | electric utility customer a monthly charge of 25 cents as a |
| 98 | systems benefits charge. The electric utilities shall deposit |
| 99 | the collected funds into the Sustainable and Renewable Energy |
| 100 | Policy Trust Fund. |
| 101 | (4)(a) The Florida Energy and Climate Commission shall |
| 102 | establish a direct-support organization to provide assistance, |
| 103 | funding, and support for the commission in carrying out its |
| 104 | mission. |
| 105 | (b) The direct-support organization shall be governed by a |
| 106 | board of directors. The board of directors shall consist of nine |
| 107 | members, as follows: |
| 108 | 1. The chair of the Florida Public Service Commission, or |
| 109 | his or her designee. |
| 110 | 2. The Secretary of Environmental Protection, or his or |
| 111 | her designee. |
| 112 | 3. Two members appointed by the Governor, both of whom are |
| 113 | residential electric utility customers and one of whom has |
| 114 | experience relating to low-income housing concerns. |
| 115 | 4. Two members appointed by the President of the Senate, |
| 116 | both of whom are members of the Senate and one of whom is a |
| 117 | member of the minority party. |
| 118 | 5. Two members appointed by the Speaker of the House of |
| 119 | Representatives, both of whom are members of the House of |
| 120 | Representatives and one of whom is a member of the minority |
| 121 | party. |
| 122 | 6. One member appointed by the Chief Financial Officer who |
| 123 | has experience related to renewable energy business or |
| 124 | commercial investments. |
| 125 | (c) The term of office of the board members shall be 3 |
| 126 | years, except those members of the Senate and the House of |
| 127 | Representatives, who shall serve 2-year terms concurrent with |
| 128 | the 2-year elected terms of House members. The terms of the |
| 129 | initial appointees, except those members of the Senate and the |
| 130 | House of Representatives, shall be for 1 year, 2 years, or 3 |
| 131 | years in order to achieve staggered terms. A member may be |
| 132 | reappointed when his or her term expires. The head of the |
| 133 | commission or his or her designee shall serve as an ex officio |
| 134 | member of the board of directors. |
| 135 | (d) Members must be residents of this state. A majority of |
| 136 | the members must be actively involved with sustainable and |
| 137 | renewable energy systems and highly knowledgeable about the |
| 138 | commission, its research, and its mission. A member may be |
| 139 | removed by the Governor, the President of the Senate, the |
| 140 | Speaker of the House of Representatives, or the Chief Financial |
| 141 | Officer for cause and with the approval of a majority of the |
| 142 | members of the board of directors. A vacancy shall be filled in |
| 143 | the same manner as the initial appointment. |
| 144 | (e) The direct-support organization shall operate under a |
| 145 | written contract with the commission. The written contract must |
| 146 | provide for: |
| 147 | 1. Certification by the commission that the direct-support |
| 148 | organization is complying with the terms of the contract and is |
| 149 | doing so consistent with the goals and purposes of the |
| 150 | department and in the best interests of the state. This |
| 151 | certification must be made annually and reported in the official |
| 152 | minutes of a meeting of the direct-support organization. |
| 153 | 2. The reversion of moneys and property held by the |
| 154 | direct-support organization: |
| 155 | a. To the commission, if the direct-support organization |
| 156 | is no longer approved to operate for the commission or if the |
| 157 | direct-support organization ceases to exist; or |
| 158 | b. To the state, if the commission ceases to exist. |
| 159 | 3. The disclosure of the material provisions of the |
| 160 | contract and the distinction between the commission and the |
| 161 | direct-support organization to donors of gifts, contributions, |
| 162 | or bequests, including such disclosure on all promotional and |
| 163 | fundraising publications. |
| 164 | (f)1. The commission may permit the use of its property, |
| 165 | facilities, and personal services by the direct-support |
| 166 | organization, subject to this section. |
| 167 | 2. The commission may prescribe by contract any condition |
| 168 | with which the direct-support organization must comply in order |
| 169 | to use property, facilities, or personal services of the |
| 170 | commission. |
| 171 | 3. The commission may not permit the use of its property, |
| 172 | facilities, or personal services by any direct-support |
| 173 | organization organized under this section which does not provide |
| 174 | equal employment opportunities to all persons regardless of |
| 175 | race, color, national origin, gender, age, or religion. |
| 176 | (g) Any transaction or agreement between the direct- |
| 177 | support organization created by this section and another direct- |
| 178 | support organization or other entity must be approved by the |
| 179 | Governor. |
| 180 | (h) All moneys received by the direct-support organization |
| 181 | from federal and state grants, private contributions, and the |
| 182 | Sustainable and Renewable Energy Policy Trust Fund shall be |
| 183 | deposited into an account of the direct-support organization. |
| 184 | The direct-support organization shall use the collected charges |
| 185 | to support funding for sustainable and renewable energy |
| 186 | projects, including, but not limited to, grants to provide |
| 187 | funding in the following order of priority: |
| 188 | 1. Any backlog of approved rebate applications for the |
| 189 | Solar Energy Systems Incentive Program. |
| 190 | 2. The implementation of innovation to market projects, |
| 191 | with specific attention directed toward the number of in-state |
| 192 | jobs created. |
| 193 | 3. Energy conservation and energy efficiency projects, |
| 194 | with specific attention directed to projects for low-income |
| 195 | housing, including rental units, rental homes, condominiums, and |
| 196 | single-family homes. |
| 197 | (i)1. The fiscal year of the direct-support organization |
| 198 | shall begin on July 1 of each year and end on June 30 of the |
| 199 | following year. |
| 200 | 2. The direct-support organization shall submit to the |
| 201 | commission its federal Internal Revenue Service Application for |
| 202 | Recognition of Exemption form and its federal Internal Revenue |
| 203 | Service Return of Organization Exempt from Income Tax form. |
| 204 | (j) The direct-support organization shall provide for an |
| 205 | annual financial audit in accordance with s. 215.981, Florida |
| 206 | Statutes. |
| 207 | Section 2. Subsections (1), (2), (3), and (6) of section |
| 208 | 377.806, Florida Statutes, are amended to read: |
| 209 | 377.806 Solar Energy System Incentives Program.- |
| 210 | (1) PURPOSE.-The Solar Energy System Incentives Program is |
| 211 | established within the commission to provide financial |
| 212 | incentives for the purchase and installation of solar energy |
| 213 | systems. Any resident of the state who purchases and installs a |
| 214 | new solar energy system of 2 kilowatts or larger for a solar |
| 215 | photovoltaic system, a solar energy system that provides at |
| 216 | least 50 percent of a building's hot water consumption for a |
| 217 | solar thermal system, or a solar thermal pool heater, from July |
| 218 | 1, 2011 2006, through June 30, 2015 2010, is eligible for a |
| 219 | rebate on a portion of the purchase price of that solar energy |
| 220 | system. |
| 221 | (2) SOLAR PHOTOVOLTAIC SYSTEM INCENTIVE.- |
| 222 | (a) Eligibility requirements.-A solar photovoltaic system |
| 223 | qualifies for a rebate if: |
| 224 | 1. The system is installed by a state-licensed master |
| 225 | electrician, electrical contractor, or solar contractor. |
| 226 | 2. The system complies with state interconnection |
| 227 | standards as provided by the Florida Public Service Commission. |
| 228 | 3. The system complies with all applicable building codes |
| 229 | as defined by the Florida Building Code. |
| 230 | (b) Rebate amounts.-The rebate amount shall be set at |
| 231 | $2.50 $4 per watt for the first year, $2 per watt for the second |
| 232 | and third years, and $1.50 per watt for each subsequent year, |
| 233 | based on the total wattage rating of the system. The maximum |
| 234 | allowable rebate per solar photovoltaic system installation |
| 235 | shall be as follows: |
| 236 | 1. Ten Twenty thousand dollars for a residence. |
| 237 | 2. Fifty One hundred thousand dollars for a place of |
| 238 | business, a publicly owned or operated facility, or a facility |
| 239 | owned or operated by a private, not-for-profit organization, |
| 240 | including condominiums or apartment buildings. |
| 241 | (3) SOLAR THERMAL SYSTEM INCENTIVE.- |
| 242 | (a) Eligibility requirements.-A solar thermal system |
| 243 | qualifies for a rebate if: |
| 244 | 1. The system is installed by a state-licensed solar or |
| 245 | plumbing contractor or, for the installation of a roofing |
| 246 | contractor installing standing seam hybrid thermal roofs, a |
| 247 | state-licensed roofing contractor. |
| 248 | 2. The system complies with all applicable building codes |
| 249 | as defined by the Florida Building Code. |
| 250 | (b) Rebate amounts.-Authorized rebates for installation of |
| 251 | solar thermal systems shall be as follows: |
| 252 | 1. Five hundred dollars for a residence. |
| 253 | 2. Fifteen dollars per 1,000 Btu up to a maximum of $5,000 |
| 254 | for a place of business, a publicly owned or operated facility, |
| 255 | or a facility owned or operated by a private, not-for-profit |
| 256 | organization, including condominiums or apartment buildings. |
| 257 | (6) REBATE AVAILABILITY.- |
| 258 | (a) The commission shall determine and publish on a |
| 259 | monthly regular basis the total number of rebates issued, the |
| 260 | amount of each rebate issued, the amount of rebate funds |
| 261 | remaining in the current each fiscal year, and a statement that |
| 262 | rebate applications will not be accepted after funds for the |
| 263 | current fiscal year are depleted. |
| 264 | (b) The total dollar amount of all rebates issued is |
| 265 | subject to the total amount of appropriations in any fiscal year |
| 266 | for this program. If funds are insufficient during the current |
| 267 | fiscal year, any requests for rebates received during that |
| 268 | fiscal year may be processed during the following fiscal year. |
| 269 | Requests for rebates received in a fiscal year that are |
| 270 | processed during the following fiscal year shall be given |
| 271 | priority over requests for rebates received during the following |
| 272 | fiscal year. |
| 273 | (c) Before accepting any new rebate applications or |
| 274 | issuing any new rebates, the commission shall issue rebates for |
| 275 | applications that were approved through June 30, 2010, but were |
| 276 | not paid due to insufficient funds. Such rebates shall be issued |
| 277 | in the order the applications were approved. |
| 278 | Section 3. (1) For the 2010-2011 fiscal year, the sum of |
| 279 | $130 million in nonrecurring funds is appropriated from the |
| 280 | General Revenue Fund to the Florida Energy and Climate |
| 281 | Commission for the purpose of administering the Solar Energy |
| 282 | System Incentives Program pursuant to s. 377.806, Florida |
| 283 | Statutes. The commission shall allocate $30 million of such |
| 284 | funds to issue rebates for applications that were approved |
| 285 | through June 30, 2010, but were not paid due to insufficient |
| 286 | funds. |
| 287 | (2) For the 2010-2011 fiscal year, the sum of $50 million |
| 288 | in nonrecurring funds is appropriated from the General Revenue |
| 289 | Fund to the Department of Community Affairs for the purpose of |
| 290 | administering the Low-income Emergency Home Repair Program |
| 291 | pursuant to s. 420.36, Florida Statutes. |
| 292 | Section 4. This act shall take effect upon becoming a law. |