HCS/SCS/SB 408 - The state, political subdivisions and other governmental units specified in the act may enter into a guaranteed energy cost savings contract for any energy cost savings project with a cost savings payback period of ten years or less. The contract shall include a written guarantee that the provider shall reimburse the governmental unit for any shortfall of guaranteed energy cost savings on an annual basis. The contract may provide for payments over a period of up to ten years.

The governmental unit shall include in its annual budget and appropriations for each fiscal year any amounts payable under guaranteed energy savings contracts during that fiscal year. A governmental unit may use designated funds for any such contract including purchases using installment payment contracts or lease purchase agreements.

Not for profit corporations operating primarily for educational purposes in cooperation with public or private schools are exempt from this act.

RUSS HEMBREE