A Bill for an Act
Page 1, Line 101Concerning the financing of a utility on-bill program for
Page 1, Line 102certain energy-related improvements.
Bill Summary
(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov.)
The bill requires the Colorado energy office (office) to establish a state utility on-bill repayment program to help finance certain gas and electric utilities' on-bill repayment programs (on-bill repayment program), which are programs through which energy efficiency measures, electrification measures, and energy upgrades installed at utility customers' premises are financed through loans that the customers repay through their monthly utility bill payments. The bill requires gas or electric investor-owned utilities that serve more than 500,000 customers to propose a plan to the public utilities commission for establishing or expanding an existing on-bill repayment program for the commission to review and approve, disapprove, or modify.
The bill requires the state treasurer, on July 1, 2025, to make an interest-free loan in the amount of $100 million from the unclaimed property trust fund to the state utility on-bill repayment program cash fund, which fund is created in the bill, to support the financing of the on-bill repayment programs. The office is required to pay back the loan by July 1, 2045.
This Unofficial Version Includes Committee
Amendments Not Yet Adopted on Second Reading
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. In Colorado Revised Statutes, add part 6 to article 38.5 of title 24 as follows:
Page 2, Line 3PART 6
UTILITY ON-BILL PROGRAM
Page 2, Line 424-38.5-601. Legislative declaration. (1) The general
Page 2, Line 5assembly finds that Colorado consumers have the potential to
Page 2, Line 6save energy, reduce greenhouse gas emissions, and transition
Page 2, Line 7away from fossil fuel infrastructure through energy solutions,
Page 2, Line 8including energy efficiency measures, electrification measures, and energy upgrades.
Page 2, Line 9(2) Therefore, the general assembly declares that:
Page 2, Line 10(a) Utility customers would benefit from having access to
Page 2, Line 11significant amounts of public and private capital for low-cost
Page 2, Line 12financing solutions for energy-related improvements, including end-of-life equipment replacement;
Page 2, Line 13(b) Utility on-bill programs that allow repayments
Page 2, Line 14through utility bill payments could expand the opportunities
Page 2, Line 15for eligible retail utility customers to pursue energy efficiency
Page 3, Line 1measures, electrification measures, and energy upgrades by
Page 3, Line 2enabling utility customers to pay back the up-front costs of the
Page 3, Line 3upgrades and measures over time through their utility bill
Page 3, Line 4payments at or below interest rates that may be available from other sources; and
Page 3, Line 5(c) A program established to provide such on-bill
Page 3, Line 6repayment could include utility-administered repayment of
Page 3, Line 7costs for which the repayment obligation remains with the
Page 3, Line 8associated energy meter and service address, instead of transferring to a customer's new location.
Page 3, Line 924-38.5-602. Definitions.As used in this part 6, unless the context otherwise requires:
Page 3, Line 10(1) "Commission" means the public utilities commission created in section 40-2-101.
Page 3, Line 11(2) "Cooperative electric association" has the meaning set forth in section 40-9.5-102 (1).
Page 3, Line 12(3) (a) "Electrification" means "beneficial electrification", as defined in section 40-1-102 (1.2).
Page 3, Line 13(b) "Electrification" includes:
(I) A ground-source or air-source heat pump system; and
Page 3, Line 14(II) A heat pump water heater.
Page 3, Line 15(4) (a) "Energy efficiency measure" means any
Page 3, Line 16permanently installed improvement, addition, or equipment that
Page 3, Line 17aligns with the state's greenhouse gas reduction targets and that:
Page 3, Line 18(I) Reduces the consumption of energy at a program
Page 3, Line 19participant's premises; or
Page 4, Line 1(II) Enables a program participant to reduce or shift energy consumption at the premises.
Page 4, Line 2(b) "Energy efficiency measure" includes:
Page 4, Line 3(I) A building shell measure, such as air sealing, window film, roof repair, insulation, or window and door modifications;
Page 4, Line 4(II) An automatic or internet-connected energy control system; and
Page 4, Line 5(III) Any other measure or upgrade authorized by the
Page 4, Line 6office or approved by the commission as part of a utility's
Page 4, Line 7application to establish an on-bill program or to use money from the fund.
Page 4, Line 8(5) "Energy upgrade" means the installation,
Page 4, Line 9improvement, or addition of appurtenance equipment at a program participant's premises to:
Page 4, Line 10(a) Upgrade the program participant's electric panel to
Page 4, Line 11enable the installation of energy efficiency measures or electrification measures;
Page 4, Line 12(b) Enable the program participant to install energy storage; or
Page 4, Line 13(c) Make any other energy upgrade authorized by the
Page 4, Line 14office or approved by the commission as part of a utility's application to establish an on-bill program.
Page 4, Line 15(6) "Office" means the Colorado energy office created in section 24-38.5-101 (1).
Page 4, Line 16(7) "On-bill cash fund" or "fund" means the on-bill cash fund created in section 24-38.5-607.
Page 4, Line 17(8) "On-bill program" means a utility's program that
Page 5, Line 1receives money from the on-bill cash fund pursuant to this part
Page 5, Line 26 and through which program the costs of energy efficiency
Page 5, Line 3measures, electrification measures, and energy upgrades
Page 5, Line 4installed at a program participant's premises are associated
Page 5, Line 5with the utility meter and are repaid through monthly utility bill payments.
Page 5, Line 6(9) "Participating utility" means a utility that receives
Page 5, Line 7money through the program, either directly through a loan
Page 5, Line 8from the office or through participation in a program administered by the program administrator.
Page 5, Line 9(10) "Program administrator" means a third-party entity
Page 5, Line 10that the office may contract with to plan, administer, operate,
Page 5, Line 11and manage a utility on-bill program for participating utilities
Page 5, Line 12that voluntarily choose to contract with the program administrator as their utility-designated administrator.
Page 5, Line 13(11) "Program participant" means a participating utility
Page 5, Line 14customer that has requested to participate in a participating
Page 5, Line 15utility's on-bill program and that the participating utility,
Page 5, Line 16either directly or through its utility-designated administrator, has determined is eligible for program participation.
Page 5, Line 17(12) "Unclaimed property trust fund" means the unclaimed property trust fund created in section 38-13-801.
Page 5, Line 18(13) "Utility" means an electric utility, a gas utility, or a combined fuel utility and includes:
Page 5, Line 19(a) An investor-owned utility;
(b) A cooperative electric association; and
Page 5, Line 20(c) A municipally owned utility.
Page 6, Line 1(14) (a) "Utility-designated administrator" means a
Page 6, Line 2third-party entity that a utility may contract with to plan, administer, operate, and manage the utility's on-bill program.
Page 6, Line 3(b) "Utility-designated administrator" includes the program administrator, as applicable.
Page 6, Line 424-38.5-603. On-bill programs - participation process -
Page 6, Line 5reporting. (1) For the purpose of allocating money to provide
Page 6, Line 6capital for participating utilities' on-bill programs, the office
Page 6, Line 7shall establish a process through which a utility may request to
Page 6, Line 8become a participating utility. The office may design request
Page 6, Line 9forms or guidance documents for the process and shall post any such forms and guidance documents on its public website.
Page 6, Line 10(2) Pursuant to an agreement between the office and a
Page 6, Line 11participating utility, the program administrator, or a
Page 6, Line 12utility-designated administrator, money provided to the utility
Page 6, Line 13to help establish or continue the utility's on-bill program may
Page 6, Line 14be used to support energy efficiency measures, electrification
Page 6, Line 15measures, and energy upgrades at a program participant's
Page 6, Line 16premises that are located and remain in the utility's service territory.
Page 6, Line 17(3) (a) The office may issue guidance on program
Page 6, Line 18requirements or place contract limitations on the use of loans
Page 6, Line 19from the fund, as appropriate, for development, implementation,
Page 6, Line 20and updates of consumer protection and equity requirements to ensure the success of the program, while balancing:
Page 6, Line 21(I) Risk to lenders, utilities, and customers;
Page 6, Line 22(II) Equity;
(III) Repayment terms; and
Page 7, Line 1(IV) Utility bill impacts for program participants.
Page 7, Line 2(b) The office shall consult with a participating utility's
Page 7, Line 3utility-designated administrator or a program administrator
Page 7, Line 4selected by the office pursuant to section 24-38.5-604, as
Page 7, Line 5appropriate, in developing guidance on program requirements,
Page 7, Line 6including consumer protection and equity requirements, which requirements may include:
Page 7, Line 7(I) The rate classes of utility customers that may
Page 7, Line 8participate in the utility's on-bill program, which rate classes must, at a minimum, include residential customers;
Page 7, Line 9(II) The energy efficiency measures, electrification
Page 7, Line 10measures, and energy upgrades that the utility may authorize a program participant to finance through an on-bill program;
Page 7, Line 11(III) A cap on the total financing that may be made
Page 7, Line 12available to a residential utility customer, not to exceed fifty thousand dollars;
Page 7, Line 13(IV) For utilities that are not regulated by the
Page 7, Line 14commission, the method that a participating utility may use to recover program administration costs;
Page 7, Line 15(V) A requirement that, for contracts with regulated
Page 7, Line 16utilities, the final contract conforms with any final approval from the commission;and
Page 7, Line 17(VI) Requirements regarding transfers of financial
Page 7, Line 18responsibility when an owner or tenant vacates a building subject to a utility's on-bill program, including:
Page 7, Line 19(A) Requirements regarding the recording of a lien and the clearing of title upon repayment;
Page 8, Line 1(B) A requirement that a property owner that is a
Page 8, Line 2program participant shall agree to notify a prospective
Page 8, Line 3purchaser of the property subject to an on-bill program of any
Page 8, Line 4repayment obligations on the utility bill related to the participation in the program; and
Page 8, Line 5(C) A requirement that a property owner that is a
Page 8, Line 6participating customer or is the owner of a property for which
Page 8, Line 7there is an existing repayment obligation on the utility bill
Page 8, Line 8related to participation in a program shall agree to notify a prospective tenant of the on-bill repayment obligation.
Page 8, Line 9(4) The office may place contract limitations on the use
Page 8, Line 10of loans from the fund, as appropriate, for the development,
Page 8, Line 11implementation, and updates of consumer protection and equity
Page 8, Line 12requirements to ensure the success of the program, while
Page 8, Line 13balancing risk to lenders, utilities, and customers; equity;
Page 8, Line 14repayment terms; and utility bill impacts for program
Page 8, Line 15participants. The office shall consult with the participating
Page 8, Line 16utility, the participating utility's utility-designated
Page 8, Line 17administrator, or a program administrator selected by the
Page 8, Line 18office pursuant to section 24-38.5-604, as appropriate, in
Page 8, Line 19developing the consumer protection and equity requirements, which requirements may include:
Page 8, Line 20(a) Quality installation verification, including the
Page 8, Line 21certifications and related enforcement mechanisms needed to ensure and verify quality installations;
Page 8, Line 22(b) Procedures for addressing failing equipment;
Page 9, Line 1(c) Vendor or contractor selection and approval
Page 9, Line 2processes, including labor standards and a process for enforcement of the labor standards;
Page 9, Line 3(d) Eligibility requirements for program participants;
Page 9, Line 4(e) Protections for tenants whose landlords finance energy efficiency measures through a program, including:
Page 9, Line 5(I) Requirements to notify tenants of repayment obligations in lease agreements;
Page 9, Line 6(II) Processes for property owners to install measures at tenant-occupied locations; and
Page 9, Line 7(III) Other measures as appropriate;
Page 9, Line 8(f) Program design to minimize the risk of utility disconnection;
Page 9, Line 9(g) The financing terms available for different types of energy efficiency measures and energy upgrades; and
Page 9, Line 10(h) The treatment of transfer of property ownership,
Page 9, Line 11treatment of debts to a utility, and property treatment at transfer.
Page 9, Line 12(5) (a) Except as provided in subsection (5)(b) of this
Page 9, Line 13section, on or before the first January 31 following the fifth
Page 9, Line 14completed year of program implementation, or once a utility has
Page 9, Line 15financed at least ten million dollars in energy efficiency
Page 9, Line 16measures, electrification measures, or energy upgrades with
Page 9, Line 17funding from the on-bill cash fund, whichever occurs first, and
Page 9, Line 18on or before January 31 of each of the three years thereafter,
Page 9, Line 19a participating utility or its utility-designated administrator
Page 9, Line 20shall prepare and submit to the office a report that tracks the
Page 10, Line 1total amount of energy efficiency measures, electrification
Page 10, Line 2measures, and energy upgrades financed; the number of
Page 10, Line 3participating customers broken down by interest rate, as
Page 10, Line 4applicable; and cumulative program participation default rates,
Page 10, Line 5utility disconnections, compliance with labor standards, and
Page 10, Line 6other metrics that the office deems relevant to the consumer
Page 10, Line 7protection and equity requirements for the program. The office shall make the reports publicly available on its public website.
Page 10, Line 8(b) A regulated utility that is required to file a report
Page 10, Line 9with the commission regarding an on-bill program need not
Page 10, Line 10prepare and submit to the office a report pursuant to subsection(5)(a) of this section.
Page 10, Line 1124-38.5-604. Authority to contract with program
Page 10, Line 12administrators - selection criteria - program design requirements.
Page 10, Line 13(1) In accordance with the requirements of the "Procurement
Page 10, Line 14Code", articles 101 to 112 of this title 24, the office may
Page 10, Line 15contract with one or more independent third-party entities to
Page 10, Line 16serve as program administrators to facilitate and help
Page 10, Line 17administer utility on-bill programs for participating utilities.
Page 10, Line 18The office shall contract only with one or more of the following entities to serve as program administrators:
Page 10, Line 19(a) A bank;
Page 10, Line 20(b) A nondepository community development financial institution;
Page 10, Line 21(c) A business development corporation; or
(d) A nonprofit organization.
Page 10, Line 22(2) In selecting a program administrator pursuant to this
Page 11, Line 1section, the office shall consider the ability of a potential
Page 11, Line 2program administrator to expand the program, including by
Page 11, Line 3expanding the capital available for use in the program through public and private capital sources.
Page 11, Line 4(3) The office, in consultation with a selected program
Page 11, Line 5administrator, may determine the design requirements for the
Page 11, Line 6program, with the goal of offering customers the lowest possible interest rates, including:
Page 11, Line 7(a) A requirement that a participating utility's on-bill
Page 11, Line 8program provide for standardization of aspects of the utility's
Page 11, Line 9program, such as forms used to apply for participation in the
Page 11, Line 10utility's program, but otherwise allow for flexibility in
Page 11, Line 11implementing the utility's program to allow for different
Page 11, Line 12requirements based on which energy efficiency measures,
Page 11, Line 13electrification measures, and energy upgrades a program participant chooses;
Page 11, Line 14(b) A requirement that the energy efficiency measures,
Page 11, Line 15electrification measures, and energy upgrades authorized for
Page 11, Line 16a participating utility's on-bill program comply with program requirements;
Page 11, Line 17(c) A requirement that a program administrator pursue
Page 11, Line 18other sources of public and private capital, with a goal of
Page 11, Line 19increasing available statewide funding for on-bill programs to one billion dollars by 2030;
Page 11, Line 20(d) A requirement to reduce customer interest rates to the lowest rates possible and to reduce risk of default; and
Page 11, Line 21(e) Requirements regarding how available rebates may be
Page 12, Line 1applied to an energy efficiency measure, electrification measure, or energy upgrade project before financing.
Page 12, Line 224-38.5-605. Transfers of financial responsibility - notification
Page 12, Line 3required - property seller's obligation - utility's obligation.
Page 12, Line 4(1) Participation in a utility's on-bill program is tied to the
Page 12, Line 5location of the utility meter associated with a utility
Page 12, Line 6customer's account where the energy efficiency measures,
Page 12, Line 7electrification measures, or energy upgrades are installed. If a
Page 12, Line 8program participant moves to a new location, the program
Page 12, Line 9participant's participation in the on-bill program does not
Page 12, Line 10transfer to the program participant's new location. A program
Page 12, Line 11may be structured such that, for real property that is the site
Page 12, Line 12of a utility meter that is associated with participation in the
Page 12, Line 13program, the financial responsibility to make any remaining
Page 12, Line 14repayments under the on-bill program transfers to the successor program participant.
Page 12, Line 15(2) Financial responsibility described in subsection (1) of
Page 12, Line 16this section applies only to the program participant responsible for the utility meter, and not to all of the real property.
Page 12, Line 17(3) If a program participant that is an owner of real
Page 12, Line 18property at which energy efficiency measures, electrification
Page 12, Line 19measures, or energy upgrades have been implemented pursuant
Page 12, Line 20to participation in the program intends to sell the real property,
Page 12, Line 21and the full cost of the energy efficiency measures,
Page 12, Line 22electrification measures, or energy upgrades have not been fully repaid, the owner shall:
Page 12, Line 23(a) Provide a prospective purchaser of the real property
Page 13, Line 1written notice of the remaining payments under the on-bill
Page 13, Line 2program upon purchasing the real property. The written notice
Page 13, Line 3must be provided before the prospective purchaser makes an offer to purchase the real property and must include:
Page 13, Line 4(I) Information that the real property is subject to utility on-bill repayments;
Page 13, Line 5(II) Contact information for a person involved in the utility's on-bill program; and
Page 13, Line 6(III) Information regarding the utility on-bill repayments, including:
Page 13, Line 7(A) The total amount of the original costs for which utility on-bill repayments were established;
Page 13, Line 8(B) The approximate remaining balance of the costs;
Page 13, Line 9(C) The on-bill repayment schedule, including the monthly repayment obligation;
Page 13, Line 10(D) The products and services providing energy efficiency
Page 13, Line 11measures, electrification measures, or energy upgrades that were installed through the utility's on-bill program; and
Page 13, Line 12(E) Any risks associated with nonpayment of the on-bill
Page 13, Line 13repayments, including debt workout processes available and the potential disconnection of utility service;
Page 13, Line 14(b) Notify the utility to which the owner is making on-bill
Page 13, Line 15repayments under the on-bill program in the event that the real property has been listed for sale; and
Page 13, Line 16(c) Continue making the on-bill repayments until
Page 13, Line 17ownership of the real property has officially transferred to a
Page 13, Line 18purchaser of the real property.
Page 14, Line 1(4) (a) Upon accepting an offer to purchase real property
Page 14, Line 2described in subsection (3) of this section, the owner of the real
Page 14, Line 3property shall notify the utility to which the owner is making on-bill repayments of:
Page 14, Line 4(I) The purchaser's name and contact information;
Page 14, Line 5(II) The name and contact information for any real estate agent representing the purchaser of the real property; and
Page 14, Line 6(III) The name and contact information for the title agent
Page 14, Line 7or company that provides closing and settlement services in relation to the real estate transaction.
Page 14, Line 8(b) The utility or its designee shall, upon request, make
Page 14, Line 9information available to the purchaser or any real estate
Page 14, Line 10agent representing the purchaser and the title agent or
Page 14, Line 11company to inform the purchaser and title agent or company of
Page 14, Line 12the terms and conditions of the on-bill repayments owed to the utility under the utility's on-bill program.
Page 14, Line 13(5) If an owner of a property with an outstanding balance
Page 14, Line 14for an on-bill repayment obligation begins to rent or lease the
Page 14, Line 15property, the owner shall notify the utility and shall follow
Page 14, Line 16all requirements regarding tenant consumer protections that
Page 14, Line 17the utility or program administrator establishes and that were included in the financial documents that the owner signed.
Page 14, Line 18(6) This section applies only to a utility's on-bill program
Page 14, Line 19that receives financing from the on-bill cash fund either directly or through a utility-designated administrator.
Page 14, Line 2024-38.5-606. Participation by utilities - program
Page 14, Line 21administration. (1) A utility may seek money from the on-bill
Page 15, Line 1cash fund using a process approved by the office to establish its own on-bill program or support an existing on-bill program.
Page 15, Line 2(2) A utility participating in the program pursuant to this
Page 15, Line 3section may designate an administrator with written approval
Page 15, Line 4from the office or may choose to designate the program
Page 15, Line 5administrator selected by the office as its utility-designated administrator.
Page 15, Line 6(3) If the office contracts with a program administrator
Page 15, Line 7pursuant to section 24-38.5-604, a utility that, on the effective
Page 15, Line 8date of this section, has an existing on-bill program may seek
Page 15, Line 9written approval from the office to transfer the administration of its on-bill program to the program administrator.
Page 15, Line 1024-38.5-607. On-bill cash fund - creation. (1) The on-bill
Page 15, Line 11cash fund is created in the state treasury. The fund consists of
Page 15, Line 12money credited to the fund pursuant to section 38-13-801 (3.3)
Page 15, Line 13and any other money that the general assembly may appropriate or transfer to the fund.
Page 15, Line 14(2) The state treasurer shall credit all interest and
Page 15, Line 15income derived from the deposit and investment of money in the on-bill cash fund to the fund.
Page 15, Line 16(3) Money in the on-bill cash fund is continuously
Page 15, Line 17appropriated to the office to defray the costs incurred by the
Page 15, Line 18office in administering the program and in supporting utility and building decarbonization.
Page 15, Line 19(4) (a) A loan made from the unclaimed property trust
Page 15, Line 20fund to a separate fund associated with a state office is an
Page 15, Line 21interfund loan according to governmental accounting
Page 16, Line 1standards board codification 1800.102, meaning that the loan is
Page 16, Line 2not classified as revenue and is booked as an interfund receivable or payable.
Page 16, Line 3(b) A loan made from the unclaimed property trust fund
Page 16, Line 4to a separate fund associated with a state office is not state
Page 16, Line 5fiscal year spending, as defined in section 24-77-102 (17), or state
Page 16, Line 6revenues, as defined in section 24-77-103.6 (6)(c), and does not
Page 16, Line 7count against either the state fiscal year spending limit imposed
Page 16, Line 8by section 20 of article X of the state constitution or the excess state revenues cap, as defined in section 24-77-103.6 (6)(b)(I)(G).
Page 16, Line 9SECTION 2. In Colorado Revised Statutes, add 38-35.7-113 as follows:
Page 16, Line 1038-35.7-113. Disclosure - utility on-bill program obligations.
Page 16, Line 11(1) For any real property for which the owner of the property
Page 16, Line 12is subject to repayment obligations under an on-bill program
Page 16, Line 13described in part 6 of article 38.5 of title 24, the owner of the
Page 16, Line 14real property shall provide a prospective purchaser of the
Page 16, Line 15property written notice in compliance with section 24-38.5-605.
Page 16, Line 16Before accepting a prospective purchaser's offer to purchase the
Page 16, Line 17real property, the seller shall provide the prospective
Page 16, Line 18purchaser the written notice and obtain from the prospective
Page 16, Line 19purchaser a signed copy of the written notice acknowledging
Page 16, Line 20receipt of the notice. The prospective purchaser may sign the written notice electronically.
Page 16, Line 21(2) This section applies only to a utility's on-bill program
Page 16, Line 22that receives financing from the on-bill cash fund created in
Page 16, Line 23section 24-38.5-607 directly or through a utility-designated administrator.
Page 17, Line 1SECTION 3. In Colorado Revised Statutes, add 40-2-140 as follows:
Page 17, Line 240-2-140. Utility on-bill program - review by commission -
Page 17, Line 3definitions. (1) As used in this section, unless the context otherwise requires:
Page 17, Line 4(a) "Combined fuel customer" means a residential utility
Page 17, Line 5customer that takes both electric and gas service from the utility.
Page 17, Line 6(b) "On-bill cash fund" has the meaning set forth in section 24-38.5-602 (7).
Page 17, Line 7(c) "On-bill program" has the meaning set forth in section 24-38.5-602 (8).
Page 17, Line 8(2) (a) (I) Except as provided in subsection (2)(a)(II) of this
Page 17, Line 9section, on or before December 31, 2027, a gas, electric, or
Page 17, Line 10combined fuel utility with more than five hundred thousand
Page 17, Line 11customers in the state shall file with the commission an
Page 17, Line 12application that either proposes to use funding from the on-bill
Page 17, Line 13cash fund to establish or modify an existing on-bill program or proposes not to use funding from the on-bill cash fund.
Page 17, Line 14(II) If the utility proposes not to use funding from the
Page 17, Line 15on-bill cash fund, the utility's filing must demonstrate why the
Page 17, Line 16utility's customers would not benefit from the utility's use of the funding.
Page 17, Line 17(b) Unless otherwise part of a utility on-bill program
Page 17, Line 18approved by the commission and not in conflict with any
Page 17, Line 19commission-approved on-bill program or other commission
Page 18, Line 1decision, a utility's filing submitted pursuant to subsection(2)(a)(I) of this section must:
Page 18, Line 2(I) Propose to make the utility's on-bill program available
Page 18, Line 3to electric-only retail customers, gas-only retail customers, and combined fuel retail customers;
Page 18, Line 4(II) Describe how the utility would use money from the on-bill cash fund to implement or modify an on-bill program;
Page 18, Line 5(III) Describe how the utility will offer the on-bill program to its residential customers;
Page 18, Line 6(IV) Include information concerning how the utility will
Page 18, Line 7allow nonprofit organizations, state and local governments,
Page 18, Line 8multifamily dwellings, and homeowners' associations to participate in the on-bill program; and
Page 18, Line 9(V) Describe how the utility may use funding from the
Page 18, Line 10on-bill cash fund or other sources of funding to reduce interest
Page 18, Line 11rates, especially for customers in low- and moderate-income households.
Page 18, Line 12(3) A utility with more than five hundred thousand
Page 18, Line 13customers in the state may recover on-bill program costs in
Page 18, Line 14accordance with part 6 of article 38.5 of title 24. The utility
Page 18, Line 15shall not recover administrative costs through the interest
Page 18, Line 16rate established for money made available through the on-bill
Page 18, Line 17program. A utility may recover administrative costs approved
Page 18, Line 18by the commission. A utility may propose or may maintain a
Page 18, Line 19method to recover approved administrative costs, including the use of an existing rider, as approved by the commission.
Page 18, Line 20(4) A utility with more than five hundred thousand
Page 19, Line 1customers in the state that, by April 1, 2026, does not have an
Page 19, Line 2existing on-bill program that has been approved by the
Page 19, Line 3commission shall file the application described in subsection(2)(a) of this section on or before December 31, 2026.
Page 19, Line 4(5) (a) The commission shall review and approve,
Page 19, Line 5disapprove, or approve with modifications a utility's application
Page 19, Line 6submitted pursuant to subsection (2) of this section. In reviewing
Page 19, Line 7an application, the commission shall determine whether the
Page 19, Line 8utility's proposed plan for participation in a utility on-bill
Page 19, Line 9program is in the public interest, and, if the commission
Page 19, Line 10determines that the proposed plan is not in the public interest,
Page 19, Line 11the commission may modify specific portions of the proposed plan
Page 19, Line 12to bring the proposed plan into alignment with the public interest.
Page 19, Line 13(b) If the commission, pursuant to this section or through
Page 19, Line 14a commission decision, approves participation in a utility on-bill
Page 19, Line 15program for nonprofit organizations or nonresidential
Page 19, Line 16customers, the requirements of sections 40-3.2-105.5 and
Page 19, Line 1740-3.2-105.6 apply to any work undertaken as part of the on-bill program.
Page 19, Line 18SECTION 4. In Colorado Revised Statutes, 38-13-801, amend (1)(b); and add (3.3) as follows:
Page 19, Line 1938-13-801. Unclaimed property trust fund - creation -
Page 19, Line 20payments - interest - appropriations - records - rules - legislative
Page 19, Line 21declaration. (1) (b) Except as provided in subsections (2), (3), (3.3), and
Page 19, Line 22(3.5) of this section, the principal of the trust fund shall not be expended
Page 19, Line 23except to pay claims made pursuant to this article 13. Money constituting
Page 20, Line 1the principal of the trust fund is not fiscal year spending of the state for
Page 20, Line 2purposes of section 20 of article X of the state constitution and is not subject to appropriation by the general assembly.
Page 20, Line 3(3.3) (a) After reserving the amounts described in
Page 20, Line 4subsection (3)(b) of this section and transmitting the money
Page 20, Line 5necessary for the purposes described in subsection (3)(a) of this
Page 20, Line 6section, the state treasurer shall credit to the on-bill cash
Page 20, Line 7fund created in section 24-38.5-607 an amount of principal and
Page 20, Line 8interest in the unclaimed property trust fund that is sufficient,
Page 20, Line 9as determined by the Colorado energy office pursuant to
Page 20, Line 10section 24-38.5-603 (2), to implement part 6 of article 38.5 of title 24.
Page 20, Line 11(b) On January 1, 2026, the state treasurer shall make an
Page 20, Line 12interest-free loan in the amount of one hundred million dollars
Page 20, Line 13from the unclaimed property trust fund to the on-bill cash fund created in section 24-38.5-607. The Colorado energy office shall:
Page 20, Line 14(I) Use the loan to support utility on-bill programs, as described in section 24-38.5-603; and
Page 20, Line 15(II) Pay the loan back to the unclaimed property trust
Page 20, Line 16fund by January 1, 2046. The loan repayment is subject to future
Page 20, Line 17appropriation by the general assembly and shall not be deemed
Page 20, Line 18or construed as creating indebtedness of the state within the
Page 20, Line 19meaning of the state constitution or the laws of the state concerning or limiting the creation of indebtedness by the state.
Page 20, Line 20(c) A loan made from the unclaimed property trust fund to another state fund shall be repaid within twenty years.
Page 20, Line 21SECTION 5. In Colorado Revised Statutes, add 24-38.5-123 as follows:
Page 21, Line 124-38.5-123. Building decarbonization enterprise - creation -
Page 21, Line 2membership - powers and duties - building decarbonization
Page 21, Line 3enterprise cash fund - on-bill program administration cash fund -
Page 21, Line 4legislative declaration - definitions - rules - report - repeal.(1) Legislative declaration. (a) The general assembly finds that:
Page 21, Line 5(I) Reducing greenhouse gas emissions from combustion devices in residential and commercial buildings:
Page 21, Line 6(A) Is necessary to help the state achieve its statewide
Page 21, Line 7greenhouse gas emission reduction goals set forth in section
Page 21, Line 825-7-102 (2)(g), including the goal to reach net-zero greenhouse gas emissions by 2050; and
Page 21, Line 9(B) Presents significant opportunities to lower and
Page 21, Line 10stabilize energy bills, provide for more comfortable living and
Page 21, Line 11working spaces, and reduce local air pollution that contributes to ground-level ozone;
Page 21, Line 12(II) Covered building owners are required to comply with
Page 21, Line 13benchmarking requirements and performance standard
Page 21, Line 14requirements and would benefit from additional financial and technical assistance to meet or exceed those requirements;
Page 21, Line 15(III) With additional financing and technical assistance,
Page 21, Line 16covered building owners may more effectively and efficiently
Page 21, Line 17implement building decarbonization measures, including, but not limited to, programs that:
Page 21, Line 18(A) Help finance energy efficiency measures, electrification measures, and other energy upgrades; and
Page 21, Line 19(B) Provide assistance for conducting building energy
Page 22, Line 1audits, developing analyses to help building owners evaluate
Page 22, Line 2the best strategies for achieving future performance standard
Page 22, Line 3targets, employing or consulting with building engineers,
Page 22, Line 4purchasing energy use tracking software for covered building
Page 22, Line 5owners to more effectively track energy use, and providing training on such software;
Page 22, Line 6(IV) Utility customers would benefit from having access
Page 22, Line 7to significant amounts of public and private capital for
Page 22, Line 8low-cost financing solutions for energy-related improvements, including end-of-life equipment replacement; and
Page 22, Line 9(V) Utilities serving Coloradans have varying levels of
Page 22, Line 10experience, available capital, and available staff to support the establishment and administration of on-bill programs.
Page 22, Line 11(b) Now, therefore, the general assembly declares that:
Page 22, Line 12(I) It is in the public interest to create an enterprise
Page 22, Line 13within the office that is committed to financing and providing
Page 22, Line 14technical and other support for the implementation of building
Page 22, Line 15decarbonization measures and for the establishment of utility on-bill programs;
Page 22, Line 16(II) The activities of the enterprise shall be funded by
Page 22, Line 17revenue generated from a building decarbonization fee paid by
Page 22, Line 18covered building owners and any gifts, grants, and donations received;
Page 22, Line 19(III) It is appropriate that covered building owners should
Page 22, Line 20pay a building decarbonization fee, as covered building owners
Page 22, Line 21are the direct beneficiaries of services provided by the
Page 22, Line 22enterprise, which services include the financing and technical
Page 23, Line 1assistance provided for the building decarbonization measures described in subsection (1)(a)(III) of this section;
Page 23, Line 2(IV) Covered building owners benefit from the
Page 23, Line 3implementation of building decarbonization measures because such measures can:
Page 23, Line 4(A) Reduce covered building owners' long-term costs related to energy use;
Page 23, Line 5(B) Improve building comfort; and
Page 23, Line 6(C) Increase the market value and desirability of covered buildings to tenants;
Page 23, Line 7(V) It is in the public interest to create a building
Page 23, Line 8decarbonization enterprise cash fund within the building
Page 23, Line 9decarbonization enterprise, the use of which is dedicated to
Page 23, Line 10financing the provision of technical support for utilities seeking
Page 23, Line 11to establish or expand on-bill programs pursuant to this section and section 25-7-142;
Page 23, Line 12(VI) Consistent with the determination of the Colorado
Page 23, Line 13supreme court in Nicholl v. E-470 Public Highway Authority, 896
Page 23, Line 14P.2d 859 (Colo. 1995), that the power to impose taxes is
Page 23, Line 15inconsistent with enterprise status under section 20 of article
Page 23, Line 16X of the state constitution, the general assembly concludes
Page 23, Line 17that the building decarbonization fee is a fee, not a tax, and the
Page 23, Line 18enterprise operates as a business because the building decarbonization fee and on-bill program administration fee are:
Page 23, Line 19(A) In the case of the building decarbonization fee,
Page 23, Line 20imposed for the specific business purposes of providing financing
Page 23, Line 21and technical assistance to covered building owners to more
Page 24, Line 1effectively and efficiently implement building decarbonization
Page 24, Line 2measures, including feasibility analyses and improvements that
Page 24, Line 3will reduce energy use and emissions, and collected at a rate
Page 24, Line 4that is reasonably related to the overall cost of the business services being provided; and
Page 24, Line 5(B) In the case of the on-bill program administration fee,
Page 24, Line 6imposed for the specific purpose of providing technical
Page 24, Line 7assistance to a utility that intends to establish or expand on-bill programs for its retail customers; and
Page 24, Line 8(VII) So long as the enterprise qualifies as an enterprise
Page 24, Line 9for purposes of section 20 of article X of the state constitution,
Page 24, Line 10the revenue from the building decarbonization fee and the
Page 24, Line 11on-bill program administration fee imposed, collected, and
Page 24, Line 12administered by the enterprise is not state fiscal year spending,
Page 24, Line 13as defined in section 24-77-102 (17), or state revenues, as defined
Page 24, Line 14in section 24-77-103.6 (6)(c), and does not count against either
Page 24, Line 15the state fiscal year spending limit imposed by section 20 of
Page 24, Line 16article X of the state constitution or the excess state revenues cap, as defined in section 24-77-103.6 (6)(b)(I)(G).
Page 24, Line 17(2) Definitions.As used in this section, unless the context otherwise requires:
Page 24, Line 18(a) "Benchmarking requirements" means the energy
Page 24, Line 19benchmarking requirements set forth in section 25-7-142 (3) with
Page 24, Line 20which an owner or operator of a covered building is required to comply.
Page 24, Line 21(b) "Board" means the board of directors of the enterprise
Page 24, Line 22appointed pursuant to subsection (4)(a) of this section.
Page 25, Line 1(c) "Building decarbonization enterprise cash fund" or
Page 25, Line 2"building decarbonization fund" means the building
Page 25, Line 3decarbonization enterprise cash fund created in subsection(6)(a) of this section.
Page 25, Line 4(d) "Building decarbonization fee" or "fee" means the fee
Page 25, Line 5paid by the owner of a covered building pursuant to subsection(5)(b) of this section.
Page 25, Line 6(e) "Covered building" has the meaning set forth in section 25-7-142 (2)(j).
Page 25, Line 7(f) "Covered building owner" means an "owner", as defined in section 25-7-142 (2)(r), of a covered building.
Page 25, Line 8(g) "Electrification" has the meaning set forth in section 24-38.5-602 (3).
Page 25, Line 9(h) "Energy efficiency measure" has the meaning set forth in section 24-38.5-602 (4).
Page 25, Line 10(i) "Energy upgrade" has the meaning set forth in section 24-38.5-602 (5).
Page 25, Line 11(j) "Enterprise" means the building decarbonization enterprise created in subsection (3) of this section.
Page 25, Line 12(k) "Inflation" means the annual percentage change in the
Page 25, Line 13in the United States department of labor's bureau of labor
Page 25, Line 14statistics consumer price index, or a successor index, for
Page 25, Line 15Denver-Aurora-Lakewood for all items paid for by urban consumers.
Page 25, Line 16(l) "Office" means the Colorado energy office created in section 24-38.5-101.
Page 25, Line 17(m) "On-bill cash fund" has the meaning set forth in section 24-38.5-602 (7).
Page 26, Line 1(n) "On-bill program" means a utility's on-bill program
Page 26, Line 2through which energy efficiency measures, electrification
Page 26, Line 3measures, and energy upgrades installed at a participating
Page 26, Line 4customer's premises that is associated with the utility meter are
Page 26, Line 5financed through loans that are repaid through monthly utility bill payments.
Page 26, Line 6(o) "On-bill program administration cash fund" or
Page 26, Line 7"administration fund" means the on-bill program administration cash fund created in subsection (8) of this section.
Page 26, Line 8(p) "On-bill program administration fee" or
Page 26, Line 9"administration fee" means the fee paid by a utility seeking to
Page 26, Line 10establish or expand its on-bill program pursuant to section 24-38.5-606.
Page 26, Line 11(q) "Participating utility" has the meaning set forth in section 24-38.5-602 (9).
Page 26, Line 12(r) "Performance standards" has the meaning set forth in section 25-7-142 (2)(s).
Page 26, Line 13(s) "Utility" has the meaning set forth in section 24-38.5-602 (13).
Page 26, Line 14(3) Enterprise created - loan from the office - repayment.
Page 26, Line 15(a) The building decarbonization enterprise is created in the
Page 26, Line 16office and exercises its powers and performs its duties and
Page 26, Line 17functions as a government-owned business in the office to
Page 26, Line 18execute its business purposes set forth in this subsection (3). The enterprise is created for the purposes of:
Page 26, Line 19(I) Imposing and assessing a building decarbonization fee on owners of covered buildings;
Page 27, Line 1(II) Providing technical assistance, financing, and other
Page 27, Line 2programmatic support for covered building owners' building
Page 27, Line 3decarbonization measures, including, but not limited to,
Page 27, Line 4conducting building energy audits, developing analyses to help
Page 27, Line 5building owners evaluate the best strategies for achieving
Page 27, Line 6future performance standard targets, consulting building
Page 27, Line 7engineers, purchasing energy use tracking software, and providing training on such software;
Page 27, Line 8(III) Having and exercising all rights and powers
Page 27, Line 9necessary or incidental to or implied from the specific powers and duties granted under this section;
Page 27, Line 10(IV) Ensuring that the building decarbonization fee paid
Page 27, Line 11by covered building owners is used solely to support programs,
Page 27, Line 12technical assistance, and financial assistance for the covered building owners that pay the building decarbonization fee;
Page 27, Line 13(V) Imposing and assessing an on-bill program
Page 27, Line 14administration fee on utilities that seek financing from the on-bill cash fund to develop or expand their on-bill programs;
Page 27, Line 15(VI) Providing technical assistance and other
Page 27, Line 16programmatic support to participating utilities seeking to
Page 27, Line 17establish or expand an on-bill program. The amount of technical
Page 27, Line 18assistance and other programmatic support provided is
Page 27, Line 19commensurate with the amount of financial support loaned to a participating utility from the on-bill cash fund and includes:
Page 27, Line 20(A) Developing a full set of on-bill program models,
Page 27, Line 21including models that are run by third-party opt-in programs that participating utilities adopt;
Page 28, Line 1(B) Assisting utilities in meeting reporting obligations; and
Page 28, Line 2(C) Providing technical assistance for the implementation and administration of on-bill programs; and
Page 28, Line 3(VII) Ensuring that the on-bill program administration
Page 28, Line 4fee that a utility pays is used solely to support on-bill program
Page 28, Line 5designs, technical assistance, and financial assistance for the participating utilities that pay the administration fee.
Page 28, Line 6(b) The board, in consultation with the office, shall administer the enterprise in accordance with this section.
Page 28, Line 7(c) (I) The enterprise constitutes an enterprise for
Page 28, Line 8purposes of section 20 of article X of the state constitution so
Page 28, Line 9long as it retains the authority to issue revenue bonds and
Page 28, Line 10receives less than ten percent of its total revenues in grants, as
Page 28, Line 11defined in section 24-77-102 (7), from all Colorado state and
Page 28, Line 12local governments combined. So long as it constitutes an
Page 28, Line 13enterprise, the enterprise is not subject to section 20 of article X of the state constitution.
Page 28, Line 14(II) The enterprise is authorized to issue revenue bonds for
Page 28, Line 15the expenses of the enterprise, secured by revenue of the enterprise.
Page 28, Line 16(d) (I) The office may transfer money from any legally
Page 28, Line 17available source to the enterprise for the purpose of defraying
Page 28, Line 18expenses incurred by the enterprise before it receives fee
Page 28, Line 19revenue. The enterprise may accept and expend any money so
Page 28, Line 20transferred, and, notwithstanding any state fiscal rule or
Page 29, Line 1generally accepted accounting principle that could otherwise
Page 29, Line 2be interpreted to require a contrary conclusion, such a
Page 29, Line 3transfer is a loan from the office to the enterprise that is
Page 29, Line 4required to be repaid and is not a grant for purposes of section
Page 29, Line 520 (2)(d) of article X of the state constitution or as defined in section 24-77-102 (7).
Page 29, Line 6(II) As the enterprise receives sufficient revenue in excess
Page 29, Line 7of its expenses, the enterprise shall reimburse the office for the
Page 29, Line 8principal amount of any loan made by the office, plus interest at a rate agreed upon by the office and the enterprise.
Page 29, Line 9(4) Enterprise board of directors created - membership -
Page 29, Line 10duties - repeal. (a) The enterprise board of directors is created to
Page 29, Line 11administer the enterprise. The board consists of the following seven members:
Page 29, Line 12(I) The following four members appointed by the governor and confirmed by the senate:
Page 29, Line 13(A) A representative of covered building owners;
Page 29, Line 14(B) An expert in building energy efficiency and decarbonization;
Page 29, Line 15(C) A local government representative with expertise in planning or energy codes; and
Page 29, Line 16(D) A utility representative;
(II) The director of the office or the director's designee;
Page 29, Line 17(III) The executive director of the department of public
Page 29, Line 18health and environment or the executive director's designee; and
Page 29, Line 19(IV) The director of the public utilities commission or the director's designee.
Page 30, Line 1(b) (I) The governor shall appoint initial members to the
Page 30, Line 2board pursuant to subsection (4)(a)(I) of this section on or before September 1, 2025.
Page 30, Line 3(II) This subsection (4)(b) is repealed, effective July 1, 2026.
Page 30, Line 4(c) (I) Board members appointed pursuant to subsection
Page 30, Line 5(4)(a)(I) of this section serve three-year terms. A board member may serve an unlimited number of terms.
Page 30, Line 6(II) Notwithstanding subsection (4)(c)(I) of this section,
Page 30, Line 7the governor shall make the initial terms of two of the board
Page 30, Line 8members who are appointed pursuant to subsection (4)(a)(I) of this section two years.
Page 30, Line 9(d) Board members serving pursuant to subsection (4)(a)(I)
Page 30, Line 10of this section may receive compensation from the enterprise on
Page 30, Line 11a per diem basis for reasonable expenses actually incurred in the performance of their duties.
Page 30, Line 12(e) (I) The chair and vice-chair of the board are selected
Page 30, Line 13by the members of the board in accordance with the board's bylaws.
Page 30, Line 14(II) (A) The director of the office or the director's
Page 30, Line 15designee shall call the first meeting of the board, and the board
Page 30, Line 16shall select the chair and vice-chair at that meeting in accordance with subsection (4)(e)(I) of this section.
Page 30, Line 17(B) This subsection (4)(e)(II) is repealed, effective July 1, 2026.
Page 30, Line 18(5) Powers and duties - building decarbonization fee - on-bill
Page 30, Line 19program administration fee - rules. (a) In addition to any other
Page 31, Line 1powers and duties specified in this section, the board has the following powers and duties on behalf of the enterprise:
Page 31, Line 2(I) To adopt procedures for conducting the board's affairs;
Page 31, Line 3(II) To engage the services of contractors, consultants,
Page 31, Line 4the division of administration described in section 25-1-102 (2)(a),
Page 31, Line 5and the staff of the office for professional and technical
Page 31, Line 6assistance and advice and to supply other services related to
Page 31, Line 7the conduct of the affairs of the enterprise without regard to
Page 31, Line 8the "Procurement Code", articles 101 to 112 of title 24. The
Page 31, Line 9enterprise shall engage the attorney general's office for legal
Page 31, Line 10services. The enterprise may contract with the office for the
Page 31, Line 11provision of office space and administrative staff to the enterprise at a fair market rate.
Page 31, Line 12(III) To establish and administer a program through which
Page 31, Line 13owners of covered buildings may apply for, and the board may
Page 31, Line 14review and approve applications for, financing or technical
Page 31, Line 15assistance for building decarbonization measures, including, but
Page 31, Line 16not limited to, participating in programs that help finance
Page 31, Line 17energy efficiency measures, electrification measures, and other
Page 31, Line 18energy upgrades; conducting building energy audits; employing
Page 31, Line 19or consulting with building engineers; and purchasing energy use tracking software and providing training on such software;
Page 31, Line 20(IV) To impose the building decarbonization fee described in subsection (5)(b) of this section;
Page 31, Line 21(V) In accordance with subsection (5)(c) of this section, to
Page 31, Line 22impose the on-bill program administration fee on utilities that
Page 32, Line 1seek financing from the on-bill cash fund to develop or expand their on-bill programs;
Page 32, Line 2(VI) To establish and administer a program through which
Page 32, Line 3participating utilities may receive assistance for establishing or
Page 32, Line 4expanding an on-bill program, which program includes
Page 32, Line 5developing effective program designs, technical assistance for
Page 32, Line 6participating utilities to implement an on-bill program, and consumer education and marketing support; and
Page 32, Line 7(VII) To have and exercise all rights and powers
Page 32, Line 8necessary or incidental to or implied from the specific powers and duties granted by this section.
Page 32, Line 9(b) (I) Beginning in state fiscal year 2026-27 and in
Page 32, Line 10furtherance of the enterprise's business purposes, the board
Page 32, Line 11shall adopt rules for the purpose of setting the amount of the
Page 32, Line 12building decarbonization fee at the maximum amount authorized
Page 32, Line 13in this section to be imposed upon all covered building owners;
Page 32, Line 14except that the fee shall not be imposed on the owner of a public
Page 32, Line 15building, as defined in section 25-7-142 (2)(t). The board shall
Page 32, Line 16only adopt rules pursuant to this subsection (5)(b)(I) and subsection (5)(c)(I) of this section.
Page 32, Line 17(II) On or before November 1, 2025, and on or before
Page 32, Line 18November 1 of each year thereafter, and except as provided in
Page 32, Line 19subsection (5)(b)(III) of this section, each owner of a covered
Page 32, Line 20building shall pay a building decarbonization fee in an amount
Page 32, Line 21of four hundred dollars to the office, which shall collect the building decarbonization fee on behalf of the enterprise.
Page 32, Line 22(III) Beginning in state fiscal year 2027-28, the board may
Page 33, Line 1increase the building decarbonization fee from the previous
Page 33, Line 2year's building decarbonization fee amount, as adjusted for
Page 33, Line 3inflation and, on or before March 15 of each of the state fiscal
Page 33, Line 4years thereafter, shall notify the office of the adjusted amount
Page 33, Line 5of the building decarbonization fee, if the building
Page 33, Line 6decarbonization fee has been adjusted. On or before April 15 of
Page 33, Line 7each of the state fiscal years thereafter, the office shall
Page 33, Line 8publish the updated amount of the building decarbonization fee on the enterprise's website.
Page 33, Line 9(IV) Money collected as a building decarbonization fee
Page 33, Line 10shall be credited to the building decarbonization enterprise cash fund.
Page 33, Line 11(V) Money collected by the office for transfer to the
Page 33, Line 12building decarbonization fund pursuant to subsection (5)(b)(IV) of this section:
Page 33, Line 13(A) Is collected for the enterprise;
Page 33, Line 14(B) Is custodial money intended for the enterprise and
Page 33, Line 15held temporarily by the office and the state treasurer solely
Page 33, Line 16for the purpose of transferring the money to the building decarbonization fund for use by the enterprise; and
Page 33, Line 17(C) Based on the enterprise's status as an enterprise, is
Page 33, Line 18not subject to section 20 of article X of the state constitution at any time during the money's collection, transfer, and use.
Page 33, Line 19(c) (I) Beginning in state fiscal year 2025-26, and in
Page 33, Line 20furtherance of the enterprise's business purposes, the board
Page 33, Line 21shall adopt rules for the purpose of setting the amount of the
Page 33, Line 22on-bill program administration fee at or below the maximum
Page 34, Line 1amount authorized in this subsection (5)(c) to be imposed on participating utilities.
Page 34, Line 2(II) Except as provided in subsection (5)(c)(III) of this
Page 34, Line 3section, a participating utility shall pay the on-bill program
Page 34, Line 4administration fee to the enterprise on or before November 1,
Page 34, Line 52025, and on or before November 1 of each year thereafter, until
Page 34, Line 6the participating utility has paid back the amount of the loan
Page 34, Line 7received from the on-bill cash fund, based on the amount of the
Page 34, Line 8money loaned to the participating utility from the on-bill cash fund, as follows:
Page 34, Line 9(A) If the participating utility borrows ten million
Page 34, Line 10dollars or less from the on-bill cash fund, the administration
Page 34, Line 11fee shall be imposed in an amount of up to fifty thousand dollars;
Page 34, Line 12(B) If the participating utility borrows more than ten
Page 34, Line 13million dollars but twenty million dollars or less from the
Page 34, Line 14on-bill cash fund, the administration fee shall be imposed in an
Page 34, Line 15amount between fifty thousand dollars and seventy-five thousand dollars;
Page 34, Line 16(C) If the participating utility borrows more than twenty
Page 34, Line 17million dollars but forty million dollars or less from the
Page 34, Line 18on-bill cash fund, the administration fee shall be imposed in an
Page 34, Line 19amount between seventy-five thousand dollars and one hundred thousand dollars;
Page 34, Line 20(D) If the participating utility borrows more than forty
Page 34, Line 21million dollars but sixty million dollars or less from the
Page 34, Line 22on-bill cash fund, the administration fee shall be imposed in an
Page 35, Line 1amount between one hundred thousand dollars and two hundred thousand dollars;
Page 35, Line 2(E) If a participating utility borrows more than sixty
Page 35, Line 3million dollars but eighty million dollars or less from the
Page 35, Line 4on-bill cash fund, the administration fee shall be imposed in an
Page 35, Line 5amount between two hundred thousand dollars and three hundred thousand dollars; and
Page 35, Line 6(F) If a participating utility borrows more than eighty
Page 35, Line 7million dollars from the on-bill cash fund, the administration
Page 35, Line 8fee shall be imposed in an amount between three hundred thousand dollars and four hundred thousand dollars.
Page 35, Line 9(III) A participating utility shall begin paying the
Page 35, Line 10applicable administration fee to the enterprise on or before the
Page 35, Line 11first November 1 that follows the utility's execution of a loan agreement with the office.
Page 35, Line 12(IV) Beginning in state fiscal year 2026-27, the board may
Page 35, Line 13increase the administration fee from the previous year's
Page 35, Line 14administration fee in an amount adjusted for inflation. On or
Page 35, Line 15before March 15, 2026, and on or before March 15 of each year
Page 35, Line 16thereafter, the board shall notify the office of the adjusted
Page 35, Line 17amount of the administration fee if the administration fee has
Page 35, Line 18been adjusted for inflation, and, on or before April 15, 2026, and
Page 35, Line 19on or before April 15 of each year thereafter, the board shall
Page 35, Line 20publish the updated amount of the administration fee on the enterprise's website.
Page 35, Line 21(V) Money collected as an on-bill program
Page 35, Line 22administration fee shall be credited to the on-bill program administration cash fund.
Page 36, Line 1(6) Building decarbonization enterprise cash fund - creation
Page 36, Line 2- repeal. (a) The building decarbonization enterprise cash fund
Page 36, Line 3is created in the state treasury. The building decarbonization fund consists of:
Page 36, Line 4(I) Money received from a building decarbonization fee imposed pursuant to subsection (5)(b) of this section;
Page 36, Line 5(II) Any money received from the issuance of revenue bonds, as described in subsection (3)(c)(II) of this section; and
Page 36, Line 6(III) Any other money that the general assembly may appropriate or transfer to the fund.
Page 36, Line 7(b) (I) Section 24-77-108 does not apply to the enterprise
Page 36, Line 8because the total amount of money credited or appropriated to
Page 36, Line 9the building decarbonization fund and the on-bill program
Page 36, Line 10administration cash fund as a fee shall not exceed one hundred
Page 36, Line 11million dollars in the first five fiscal years of the enterprise's existence.
Page 36, Line 12(II) This subsection (6)(b) is repealed, effective July 1, 2031.
Page 36, Line 13(c) Money credited to the building decarbonization fund
Page 36, Line 14is continuously appropriated to the enterprise for the purposes
Page 36, Line 15set forth in this section and to pay the enterprise's reasonable
Page 36, Line 16and necessary operating expenses. The state treasurer shall
Page 36, Line 17credit all interest and income derived from the deposit and
Page 36, Line 18investment of money in the building decarbonization fund to the building decarbonization fund.
Page 36, Line 19(d) Any unexpended and unencumbered money remaining
Page 36, Line 20in the building decarbonization fund at the end of a fiscal year
Page 37, Line 1remains in the building decarbonization fund and is not credited or transferred to the general fund.
Page 37, Line 2(7) Legislative review of building decarbonization enterprise.
Page 37, Line 3On or before December 1 of each year, the enterprise shall
Page 37, Line 4submit an annual report to the general assembly detailing the
Page 37, Line 5enterprise's expenditures and program outcomes from the
Page 37, Line 6preceding year and the enterprise's financial projections for the following year.
Page 37, Line 7(8) On-bill program administration cash fund - creation -
Page 37, Line 8repeal. (a) The on-bill program administration cash fund is
Page 37, Line 9created in the state treasury. The administration fund consists of:
Page 37, Line 10(I) Money received from an on-bill program
Page 37, Line 11administration fee imposed pursuant to subsection (5)(c) of this section;
Page 37, Line 12(II) Any money received from the issuance of revenue bonds as described in subsection (3)(c)(II) of this section; and
Page 37, Line 13(III) Any other money that the general assembly may appropriate or transfer to the administration fund.
Page 37, Line 14(b) (I) Section 24-77-108 does not apply to the enterprise
Page 37, Line 15because the total amount of money credited or appropriated to
Page 37, Line 16the on-bill program administration cash fund and the building
Page 37, Line 17decarbonization enterprise cash fund shall not exceed one
Page 37, Line 18hundred million dollars in the first five years of the enterprise's existence.
Page 37, Line 19(II) This subsection (8)(b) is repealed, effective July 1, 2031.
Page 37, Line 20(c) Money credited to the on-bill program administration
Page 38, Line 1cash fund is continuously appropriated to the enterprise for the
Page 38, Line 2purposes set forth in this section and to pay the enterprise's
Page 38, Line 3reasonable and necessary operating expenses. The state
Page 38, Line 4treasurer shall credit all interest and income derived from the
Page 38, Line 5deposit and investment of money in the on-bill program
Page 38, Line 6administration cash fund to the on-bill program administration fund.
Page 38, Line 7(d) Any unexpended and unencumbered money remaining
Page 38, Line 8in the on-bill program administration cash fund at the end of a
Page 38, Line 9fiscal year remains in the on-bill program administration fund and is not credited or transferred to the general fund.
Page 38, Line 10SECTION 6. Effective date. This act takes effect upon passage;
Page 38, Line 11except that section 5 of this act takes effect only if House Bill 25-1269
Page 38, Line 12becomes law, in which case section 5 takes effect upon the effective date of this act or House Bill 25-1269, whichever is later.
Page 38, Line 13SECTION 7. Safety clause. The general assembly finds,
Page 38, Line 14determines, and declares that this act is necessary for the immediate
Page 38, Line 15preservation of the public peace, health, or safety or for appropriations for
Page 38, Line 16the support and maintenance of the departments of the state and state institutions.