SB 356 — AN ACT ESTABLISHING AN ENERGY EFFICIENCY RETROFIT GRANT PROGRAM FOR AFFORDABLE HOUSING.

General Assembly Substitute Senate Bill No.

356 JanuaryPublic Session,Act 2021No. AN ACT ESTABLISHING AN ENERGY EFFICIENCY RETROFIT GRANT PROGRAM FOR AFFORDABLE HOUSING.

21-48 AN ACT ESTABLISHING AN ENERGY EFFICIENCY RETROFIT GRANT PROGRAM FOR AFFORDABLE HOUSING.

(NEW) (Effective from passage) (a) Not later than September 1, 2021, the Department of HousingEnergy shalland Environmental Protection shall, using available federal or other funds, establish an energy efficiency retrofit grant program.

SuchThe programCommissioner shall award grants to fund the installation of energyEnergy efficientand upgradesEnvironmental toProtection affordablemay housing,receive asfunds definedfrom in section 8-39a of the generalfederal statutes,government, including,corporations, butassociations notor limitedindividuals to,to propertyfund of a housing authority, as defined in section 8-39 of the generalgrant statutes.program.

Such upgradesprogram shall include,award grants to fund the installation of energy efficient upgradesto (1)affordable housing,as defined in section 8-39a of the general statutes, including, but not be limited to, theproperty installation of rooftopa solarhousing photovoltaicauthority, panels,as heatdefined pumpsin andsection balanced8-39 ventilationof andthe general statutes, or (2) other devicesdwelling tounits mitigateowned gasby leaks,a mold,landlord, vermiculiteas anddefined asbestos.in section 47a- of the general statutes, at the discretion of the commissioner.

(b)Such Theupgrades Departmentshall ofinclude Housingenergy shallefficiency developand standardsweatherization formeasures and may include, but need not be limited to, the installation of rooftop solar photovoltaic panels, energy efficiencystorage retrofitsystems grantlocated program.on the customer's premises, electric vehicle charging infrastructure, heat pumps and balanced ventilation, and the mitigation of health and safety hazards including, but not limited to, gas leaks, mold, vermiculite and asbestos, lead and radon, to the extent such hazards impede the Substitute Senate Bill No.

The356 departmentinstallation mayof consultenergy withefficiency otherupgrades state agencies and quasi-publicweatherization agencies,measures. and shall consider the energy performance standards developed pursuant to section 16a- 38 of the general statutes, in establishing the standards for the grant program.

(b) The departmentDepartment mayof coordinateEnergy withand otherEnvironmental stateProtection agenciesshall todevelop implementstandards for the grantenergy programefficiency inretrofit conjunctiongrant withprogram. other existing state programs that have thepurpose of installing or otherwise assisting state residents to obtain energy efficient upgrades.

LCOThe \\PRDFS1\SCOUSERS\FORZANOF\WS\2021SB-00356-R01department may consult with other state agencies, quasi-public agencies and housing authorities, and shall consider the energy performance standards developed pursuant to section 16a-38 of 5the SB.docxgeneral Substitutestatutes, Billin No.establishing the standards for the grant program.

356The (c)Adepartment may coordinate with other state agencies, quasi-public agencies and housing authorities to implement the grant applicantprogram shallsubmitin anapplicationtoconjunction theCommissionerwith other existing state programs that have the purpose of Housinginstalling onor formsotherwise prescribedassisting bystate residents to obtain the commissioner,upgrades whichset shallforth include,in butsubsection not(a) beof limitedthis to:section.

The department may retain consultants with expertise in energy efficiency retrofit programs or distributed energy programs, or both, for assistance with its development or administration of the grant program.

(c)A grant applicant shallsubmit anapplicationto theCommissioner of Energy and Environmental Protection on forms prescribed by the commissioner, which shall include, but not be limited to:

(2) an explanation of the expected benefits of the project in relation to thepurposesofthissection;(3)informationconcerningthe thefinancialandpurposes technical capacity of thethis applicantsection; to undertake the proposed project;(4) a project budget;

and(5)any(3) otherinformationdeemednecessaryinformation byconcerning the commissioner.financial and technical capacity of the applicant to undertake the proposed project;

The(4) commissionera shall prioritize grants to applicants who (A) use the services of certified home energy auditors and local contractors with project laborbudget; agreements who pay the prevailing wage and who make good faith efforts to hire, or cause to be hired, available and qualified minority business enterprises, as defined in section 4a-60g of the general statutes, and (B) upgrade affordable housing for families with a cumulative annual income of not more than fifty thousand dollars.

(d)and The(5) energyany efficiencyother retrofitinformation grantdeemed programnecessary shall be funded by the feecommissioner. collected pursuant to section 29-263 of the general statutes, as amended by this act, and shall provide grants with the goal of completing energy efficient retrofits in five per cent of affordable housing units in 2021, five per cent of affordable housing units in 2022, five per cent of affordable housing units in 2023, ten per cent of affordable housing units in 2024 and ten per cent of affordable housing units in 2025.

(e)The Notcommissioner latershall thanprioritize Januarygrants 1,to 2022,applicants andwho annually(A) thereafter,use the Commissionerservicesoflocalcontractorswhopaytheprevailingwageandwhomake ofgood Housingfaith shallefforts submitto ahire, report,or incause accordanceto withbe thehired, provisionsavailable ofand sectionqualified 11-4aminority ofbusinessenterprises,asdefinedinsection4a-60g theofthegeneral general statutes, toand the(B) jointupgrade standingaffordable committeehousing ofor thedwelling Generalunits Assemblyfor havinghouseholds cognizancethat ofinclude mattersan relatingindividual towho housing.qualifies for utility financial hardship programs or who receives means-tested assistance administered by the state or federal government.

SuchPublic reportAct shallNo. include data relating to progress made in attaining the goals of the program.

21-48 2 of 4 Substitute Senate Bill No.

356 (d) Not later than January 1, 2023, and annually thereafter, the Commissioner of Energy and Environmental Protection shall submit a report, in accordance with the provisions of section 11-4a of the general statutes, to the joint standing committees of the General Assembly having cognizance of matters relating to energy and technology and housing.

Such report shall include the standards developed pursuant to subsection (b) of this section, an analysis of the scope of residences able to be served by the grant program and proposed goals for the annual percentage of affordable housing units that can be served by the program.

SectionSubdivision 29-263(2) of subsection (b) of section 16-244z of the general statutes is repealed and the following is substituted in lieu thereof (Effective from passage):

(a)(2) ExceptOn asand providedafter inJanuary subsection1, (h)2022, each electric distribution company shall offer the following options to residential customers for the purchase of sectionproducts 29-252agenerated from a Class I renewable energy source that is located on a customer's own premises and thehas LCOa {\\PRDFS1\SCOUSERS\FORZANOF\WS\2021SB-00352nameplate capacity rating of 5twenty-five R03-SB.docxkilowatts }or Substituteless Billfor No.a term not to exceed twenty years:

356(A) StateA Buildingtariff Codefor adoptedthe pursuantpurchase to subsection (a) of sectionall 29-energy 252,and afterrenewable Octoberenergy 1,certificates 1970,on no building or structure shall be constructed or altered until an application has been filed with the building official and a permitcents-per-kilowatt-hour issued.basis;

Suchand permit(B) shalla betariff issuedfor orthe refused,purchase inof wholeany orenergy produced and not consumed in part,the withinperiod thirtyof daystime afterestablished by the dateauthority pursuant to subparagraph (C) of ansubdivision application.(1) of this subsection and all renewable energy certificates generated by such facility on a cents-per-kilowatt-hour basis.

NoA permitresidential customer shall beselect issuedeither exceptoption uponauthorized applicationpursuant ofto thesubparagraph owner(A) or (B) of thethis premisessubdivision, affectedconsistent orwith the owner'srequirements authorizedof agent.this section.

NoSuch permitgeneration projects shall be issuedsized toso aas contractornot who is required to beexceed registeredthe pursuantload toat chapterthe 400,customer's forindividual workelectric tometer beor, performedinthecaseofamultifamilydwellingthatqualifiesunderthissubsection, by such contractor, unless the name,load business address and Department of Consumer Protection registration number of such contractor is clearly marked on the applicationpremises, forfrom the permit,electric anddistribution thecompany contractorproviding hasservice presentedto such contractor'scustomer, certificateas ofdetermined registrationby assuch aelectric homePublic improvementAct contractor.No.

Prior21-48 to3 the issuance of a4 permitSubstitute andSenate withinBill saidNo. thirty-day period, the building official shall review the plans of buildings or structures to be constructed or altered, including, but not limited to, plans prepared by an architect licensed pursuant to chapter 390, a professional engineer licensed pursuant to chapter 391 or an interior designer registered pursuant to chapter 396a acting within the scope of such license or registration, to determine their compliance with the requirements of the State Building Code and, where applicable, the local fire marshal shall review such plans to determine their compliance with the Fire Safety Code.

Such356 plansdistribution submittedcompany. for review shall be in substantial compliance with the provisions of the State Building Code and, where applicable, with the provisions of the Fire Safety Code.

(b)For Onpurposes andof afterthis Julysection, 1,"residential 1999,customer" themeans buildinga officialcustomer shallof assessa ansingle-family educationfeeoneachbuildingpermitapplication.Duringthefiscalyeardwelling, commencing[or] Julya 1,multifamily 1999,dwelling consisting of two to four units, or a multifamily dwelling consisting of five or more units, provided in the amountcase of sucha feemultifamily shalldwelling beconsisting sixteenof centsfive or more units, (i) not less than sixty per onecent thousandof dollarsthe units of constructionthe valuemultifamily asdwelling declaredare onoccupied by persons and families with income that is not more than sixty per cent of the buildingarea permitmedian applicationincome andfor the buildingmunicipality officialin shallwhich remitit suchis feeslocated, quarterlyas todetermined by the United States Department of AdministrativeHousing Services,and forUrban depositDevelopment, or (ii) such multifamily dwelling is determined to be affordable housing by the Public Utilities Regulatory Authority in consultation with the GeneralDepartment Fund.of Energy and Environmental Protection, Department of Housing, Connecticut Green Bank, Connecticut Housing Finance Authority and United States Department of Housing and Urban Development.

UponIn deposit in the Generalcase Fund, the amount of sucha feesmultifamily shalldwelling beconsisting creditedof tofive theor appropriationmore tounits, thea Departmentgeneration ofproject Administrative Services and shall beonly usedqualify forunder thethis codesubsection trainingif: and LCO {\\PRDFS1\SCOUSERS\FORZANOF\WS\2021SB-003563 of 5 R03-SB.docx } Substitute Bill No.

356(I) educationalEach programsof establishedthe pursuantdwelling tounits sectionreceives 29-251can andappropriate theshare educationalof programsthe requiredbenefits infrom subsectionsthe (a)generation project, and (b)(II) no greater than an appropriate share of sectionthe 29-benefits 262.from the generation project is used to offset common area usage.

OnThe andPublic afterUtilities JulyRegulatory 1,Authority 2000,shall theinitiate assessmentan shalluncontested beproceeding madeto inimplement accordancethe withdistribution regulationsof adoptedthe pursuantbenefits tofrom subsectionthe (d)generation ofproject sectionpursuant 29-251c.to this section.

AllApproved feesJune collected16, pursuant2021 toPublic thisAct subsectionNo. shall be maintained in a separate account by the local building department.

During21-48 the4 fiscal year commencing July 1, 1999, the local building department may retaintwo per cent of suchfeesfor4 administrative costs incurred in collecting such fees and maintaining such account.

On and after July 1, 2000, the portion of such fees which may be retained by a local building department shall be determined in accordance with regulations adopted pursuant to subsection (d) of section 29-251c.

No building official shall assess such education fee on a building permit application to repair or replace a concrete foundation that has deteriorated due to the presence of pyrrhotite.

(c) On and after July 1, 2021, the building official shall assess an additional fee of five dollars on each building permit application.

The building official shall remit such fees quarterly to the Department of Administrative Services for deposit in the General Fund.