Relates to requiring periodic construction audits for certain private sector contractors

4 Co-sponsors

• John A. DeFrancisco
• Mark Grisanti
• Kathleen A. Marchione
• John L. Sampson

BILL NUMBER:S7067

Title of bill

An act to amend the public authorities law, in relation to bi-annual construction audits

Purpose

To evaluate the contractors which NYSERDA has hired to fulfill building performance improvements for certain projects which were financed using ratepayer funds.

Summary of provisions

Section 1:This section describes the legislative intent of the bill, which is to ensure that electric ratepayer funds are used effectively.

Section 2:This section implements the audit program whereby the Authority reviews the completed work performed by private sector contractors.

Section 3:This section sets a January 1, 2015 effective date.

Justification

New York State, through the New York State Energy and Research Development Authority (the authority), has provided an array of financing incentives to building owners and contractors for energy efficiency. These incentives are financed via ratepayer funds and were offered in order to create cleaner, more efficient building structures that will provide environmental benefits as compared to conventional building and construction practices. Since the incentives operate on the exchange of tax credits for environmental benefits, it is only fair that those contractors who have received ratepayer funds be required to demonstrate the satisfactory performance of their work.

This bill requires the authority to audit, on a bi-annual basis beginning in January, 2015, no less than 25% of all construction work performed which was financed via ratepayer funds. The audits must determine whether the construction performed has lived up to its expectations.

The authority will audit no less than 25% of the work which was financed via ratepayer funds and was also performed under any of the following state programs: Systems Benefit Charge (SBC), Energy Efficiency Portfolio Standard (EEPS), the Renewable Portfolio Standard (RPS), and the Regional Greenhouse Gas Initiative (RGGI). All audits will be funded by the program that originally captured the project, such as the SBC, the EEPS, the RPS, and the RGGI.

NYSERDA programs that rely on ratepayer funds supplied by the SBC, the RPS, the EEPS, or RGGI, include but are not limited to: the Energy Smart New Construction Program; the Existing Facilities Program; the Energy Star Home Builders Program; the Fuel Cell Rebate and Performance Incentive; the Customer-Sited Tier Regional Program; Assisted Home Performance Grants; EmPower New York; the Agricultural Energy Efficiency Program; the Energy smart Multifamily Performance Program; the Industrial and Process Efficiency Performance Incentives;

the Solar Thermal Incentive Program; the Electric Commercial and Industrial Efficiency Programs; the residential efficiency Programs; and the Commercial and Industrial Efficiency Programs.

Within six months of completing any audit the authority shall be required to publish the results and rate the contractors who performed the work on whether or not the work performed resulted in any actual energy efficiency improvements or other environmental benefits. Each contractor shall be given a "score" and all such "scores" shall be made available on the authority's website.

Legislative history

This is a new bill.

Fiscal implications

None.

Effective date

January 1, 2015