First Regular Session Sixty-eighth General Assembly STATE OF COLORADO INTRODUCED LLS NO. 11-0615.01 Kate Meyer SENATE BILL 11-130 SENATE SPONSORSHIP Johnston, HOUSE SPONSORSHIP Kerr A., Senate Committees House Committees Agriculture and Natural Resources A BILL FOR AN ACT Concerning an increase in the transparency of a building's energy performance. 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://www.leg.state.co.us/billsummaries.) The bill requires, on and after January 1, 2012, a qualifying utility to maintain energy consumption data for all commercial buildings to which the utility provides service. Beginning January 1, 2013, a commercial building's owner or operator and a qualifying utility must upload the energy consumption data to a portfolio manager maintained by the United States environmental protection agency for the purpose of generating an energy performance rating. An owner, operator, or agent of a commercial building is required to disclose the building's energy performance rating to the purchaser or lessee at the time of conveyance and, upon request, to a prospective purchaser or lessee. The requisite disclosure will be phased in as follows: For commercial buildings greater than 50,000 square feet, the disclosure is required on and after January 1, 2012; and For all commercial buildings, regardless of size, the disclosure will be required on and after January 1, 2013. A person who supplies false information in connection with disclosure of an energy performance rating commits a class 1 misdemeanor. The bill authorizes the real estate commission in the department of regulatory agencies to develop standardized forms for energy performance ratings disclosures. Be it enacted by the General Assembly of the State of Colorado: SECTION 1. Article 2 of title 40, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW SECTION to read: 40-2-130. Energy performance rating - record-keeping - rules - definitions. (1) On and after January 1, 2012, a qualifying retail utility shall maintain records of the energy consumption data of all nonresidential buildings to which it provides service. The data must be maintained for at least the most recent twelve months in a format compatible for uploading to the portfolio manager. (2) On and after January 1, 2013: (a) The owner or operator of a nonresidential building that is being leased or sold shall upload to the portfolio manager any data necessary to generate an energy performance rating; and (b) Upon the written authorization or secure electronic authorization of a nonresidential building owner or operator, a qualifying retail utility shall upload the energy consumption data for the accounts specified by the building's owner or operator to the portfolio manager in a form that does not disclose personally identifying information. The utility shall provide the owner or operator with the energy performance rating generated by the portfolio manager. (3) In carrying out the requirements of this section, a qualifying retail utility shall use any method for providing the specified data in order to maximize efficiency and minimize overall program cost. A qualifying retail utility may recover the costs it incurs from complying with this section only from the customers who receive energy performance ratings. A qualifying retail utility is encouraged to consult with the United States environmental protection agency and the commission in developing reasonable reporting options. (4) The commission may promulgate rules necessary to facilitate the purposes of this section, including forms and guidelines, specifying what constitutes nonpersonal identifying information, and developing a program manager if the United States environmental protection agency ceases to maintain a program manager. (5) As used in this section, unless the context otherwise requires: (a) "Commercial building" means any structure or facility other than real property containing one to four residential units. "Commercial building" does not include single-family or multi-family residential units, including condominiums, townhouses, or homes in a subdivision when such real estate is sold, leased, or otherwise conveyed on a unit-by-unit basis even though the units may be part of a larger building or parcel of real property containing more than four residential units. (b) "Energy consumption data" means the monthly amount of energy consumed by a customer as recorded by the applicable energy meter for the most recent twelve-month period. (c) "Energy performance rating" means a numerical value, determined by a portfolio manager, describing the energy efficiency of a commercial building. (d) "Portfolio manager" means the United States environmental protection agency's energy star portfolio manager or its successor program, or an equivalent tool developed by the commission. (e) "Qualifying retail utility" means a customer-owned or investor-owned gas or electric utility that serves forty thousand or more customers in the state. (6) This section applies only to buildings for which the portfolio manager is able to provide an energy performance rating. SECTION 2. Title 38, Colorado Revised Statutes, is amended BY THE ADDITION OF A NEW ARTICLE to read: ARTICLE 35.8 Disclosure of Energy Performance Ratings 38-35.8-101. Definitions. As used in this article, unless the context otherwise requires: (1) "Commercial building" has the meaning set forth in section 40-2-130, C.R.S. (2) "Energy performance rating" has the meaning set forth in section 40-2-130, C.R.S. 38-35.8-102. Energy performance rating - disclosure required - when - penalty for providing false information - rules. (1) (a) In accordance with subsection (2) of this section, a commercial building owner or operator, or the agent of the owner or operator, shall disclose in writing the building's energy performance rating to: (I) At the time of conveyance, a person to whom the owner, operator, or agent is leasing, selling, or otherwise conveying an interest in the commercial building; and (II) Upon request, a prospective buyer, lessee, or lender for the most recent continuously occupied twelve-month period. (b) Unless otherwise required by law, a building owner or operator, or his or her agent, who delivers an energy performance rating to a prospective buyer, lessee, or lender is not required to provide additional information regarding energy consumption. (2) The disclosure required under subsection (1) of this section is required as follows: (a) On and after January 1, 2012, for commercial buildings greater than fifty thousand square feet; and (b) On and after January 1, 2013, for all commercial buildings. (3) (a) The disclosures required under subsection (1) of this section are required only for those buildings for which the portfolio manager generates an energy performance rating. (b) The owner or operator may make the disclosures required under subsection (1) of this section on a form developed by the real estate commission under subsection (5) of this section. (4) A person who willfully or knowingly makes a false statement or provides false information in connection with providing a disclosure under this section commits a class 1 misdemeanor and shall be punished as provided under section 18-1.3-501, C.R.S. (5) The real estate commission created in section 12-61-105, C.R.S., may, by rule, develop standardized forms on which the disclosure required under this section may be made for real property that is subject to the commission's jurisdiction under article 61 of title 12, C.R.S. In promulgating such rules, the real estate commission shall consult with the United States environmental protection agency, public utilities, and the public utilities commission created in section 40-2-101, C.R.S. SECTION 3. Act subject to petition - effective date. This act shall take effect at 12:01 a.m. on the day following the expiration of the ninety-day period after final adjournment of the general assembly (August 10, 2011, if adjournment sine die is on May 11, 2011); except that, if a referendum petition is filed pursuant to section 1 (3) of article V of the state constitution against this act or an item, section, or part of this act within such period, then the act, item, section, or part shall not take effect unless approved by the people at the general election to be held in November 2012 and shall take effect on the date of the official declaration of the vote thereon by the governor.