SB 1268 Summary

• Extends the Energy Conservation Assistance Act from January 1, 2013 to January 1, 2018, allowing continued grants and loans to local governments and public institutions for energy conservation projects.

• Expands definition of "energy conservation measures" to include measures reducing peak electricity demand, and expands eligible recipients to include combinations of local government units and special districts formed for joint powers.

• Reduces minimum loan interest rates from 3% to 1% per annum for the Local Jurisdiction Energy Assistance Account and establishes flexible loan repayment schedules determined by the commission instead of fixed 30 equal semiannual payments.

• Requires the commission to solicit loan applications emphasizing equitable statewide distribution, prioritizing regions with high peak loads or high heating costs, and placing emphasis on disadvantaged communities.

• Changes treatment of unexpended funds on January 1, 2018 and 2016, respectively, with bond proceeds remaining in accounts until obligations are satisfied and federal American Recovery and Reinvestment Act funds reverting to the Federal Trust Fund.