BILL NUMBER: SBX2 82	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Murray

                        JUNE 4, 2001

   An act to amend Section 14073 of the Corporations Code, and to add
Section 14684 to the Government Code, relating to solar energy.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 82, as introduced, Murray.  Solar energy systems.
   (1) The California Small Business Financial Development
Corporation Law provides for the creation of small business financial
development corporations by the Technology, Trade, and Commerce
Agency.  These corporations are authorized to make loans and loan
guarantees to small businesses for various purposes, including loans
for energy efficiency improvement.  Existing law continuously
appropriates the money in the California Small Business Expansion
Fund.
   This bill would specifically identify solar energy systems as
energy efficiency improvements for which these corporations may grant
loans.  The bill would specify the minimum and maximum amounts for a
loan, and would require the Energy Resources Conservation and
Development Commission, in cooperation with the California Office of
Small Business Development, to establish criteria and procedures
applicable to loans for solar energy systems made under these
provisions.
   (2) Existing law establishes in state government the Department of
General Services, which has various responsibilities related to
planning, acquisition, construction, and maintenance of state
buildings and property.  Existing law also establishes in the
Resources Agency the Energy Resources Conservation and Development
Commission, which has various responsibilities related to energy
conservation.
   This bill would require the department, in consultation with the
commission, to ensure that solar energy equipment is installed, no
later than January 1, 2007, on all state buildings and state parking
facilities where feasible, as specified.  It also would require solar
energy equipment to be installed as part of the construction of all
state buildings and state parking facilities that commences after
December 31, 2002.
   This bill would authorize the Director of General Services to
exempt such a solar energy equipment project from specified
advertising and competitive bidding requirements.  The bill would
declare that solar energy equipment installation on state buildings
and state parking facilities is a state energy project within the
meaning of specified provisions of the Government Code, and would
authorize the department to expend specified funds for these
purposes.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  The Legislature finds and declares all of the
following:
   (a) California is experiencing severe electrical shortages, which
endanger the health, safety, and economic development opportunity of
its citizens.
   (b) Immediate measures are needed to increase the electrical
generation capacity within California, including energy from solar
energy systems.
   (c) California has been a leader in the development of solar
energy systems.
   (d) California must take all reasonable actions necessary to
encourage the use of solar energy systems at places of business.
  SEC. 2.  Section 14073 of the Corporations Code is amended to read:

   14073.   (a)  Corporations may grant  loans for 
energy efficiency  improvement loans  
improvements, including solar energy systems  .  
   (b) The minimum amount that may be approved for a loan for a solar
energy system is eight thousand dollars ($8,000) and the maximum
amount is one million dollars ($1,000,000).
   (c) The Energy Resources Conservation and Development Commission,
in cooperation with the office, shall establish criteria and
procedures applicable to loans for solar energy systems made by
corporations under this section.
   (d) "Solar energy system" means any new, previously unused solar
energy device whose primary purpose is to provide for the collection,
conversion, transfer, distribution, storage, or control of solar
energy for water heating or electricity generation, and that meets
applicable standards and requirements imposed by state and local
permitting authorities, including, but not limited to, the National
Electric Code.  Solar energy systems for water heating purposes shall
be certified by the Solar Rating and Certification Corporation or
any other nationally recognized certification agency that certifies
complete systems.  Major components of solar energy systems for
electricity generation shall be certified by a certified testing
agency, such as the Underwriters Laboratory. 
  SEC. 3.  Section 14684 is added to the Government Code, to read:
   14684.  (a) Subject to subdivision (b), the department, in
consultation with the Energy Resources Conservation and Development
Commission, shall ensure that solar energy equipment is installed, no
later than January 1, 2007, on all state buildings and state parking
facilities, where feasible.  The department shall establish a
schedule designating when solar energy equipment will be installed on
each building and facility, with priority given to buildings and
facilities where installation is most feasible, both for state
building and facility use and consumption and local publicly owned
electric utility use, where feasible.
   (b) Solar energy equipment shall be installed as part of the
construction of all state buildings and state parking facilities that
commences after December 31, 2002.
   (c) For purposes of this section, it is feasible to install solar
energy equipment if rooftop space on a building or parking facility
is relatively unencumbered and receives sufficient sunshine to
generate solar energy, taking into consideration life cycle cost
analysis.
   (d) The director may exempt a project described in this section to
install solar energy equipment that reduces peak electricity demand
or that helps to avoid electrical shortages or blackouts from the
advertising and competitive bidding requirements of this code and the
Public Contract Code, pursuant to Section 4244.
   (e) The Legislature finds and declares that the installation of
solar energy equipment on state buildings and state parking
facilities as described in this section is a state energy project
within the meaning of Chapter 3.5 (commencing with Section 4240) of
Division 5 of Title 1.  The department may expend funds appropriated
pursuant to subdivision (f) of Section 5 of Chapter 7 of the Statutes
of the 2001-02 First Extraordinary Session for purposes of this
section.
   (f) For purposes of this section, the following terms have the
following meanings:
   (1) "Local publicly owned electric utility" means a local publicly
owned electric utility as defined in Section 9604 of the Public
Utilities Code.
   (2) "Solar energy equipment" means equipment that enables the use
of solar energy as an alternative to, and in order to reduce the use
of, fossil or nuclear fuels or water from established sources of
supply.