Arkansas Code
Subchapter 12 - Guaranteed Energy Cost Savings Act
§ 19-11-1202. Definitions

As used in this subchapter:
(1)
(A) “Energy cost savings measure” means:
(i) A new facility that is designed to reduce the consumption of energy or natural resources or operating costs as a result of changes that:
(a) Do not degrade the level of service or working conditions;
(b) Are measurable and verifiable under the International Performance Measurement and Verification Protocol, as adopted by the Arkansas Pollution Control and Ecology Commission, in the rules required under § 19-11-1207; and
(c) Are measured and verified by an audit performed by a qualified provider; or

(ii) An existing facility alteration that is designed to reduce the consumption of energy or natural resources or operating costs as a result of changes that conform with subdivisions (1)(A)(i)(a) and (b) of this section.

(B) “Energy cost savings measure” includes:
(i) Insulation and reduced air infiltration of the building structure, including walls, ceilings, and roofs or systems within the building;
(ii) Storm windows or doors, caulking or weather-stripping, multi-glazed windows or doors, heat-absorbing or heat-reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption;
(iii) Automated or computerized energy control systems, including computer software and technical data licenses;
(iv) Heating, ventilating, or air conditioning system modifications or replacements;
(v) Replacement or modification of lighting fixtures to increase the energy efficiency of the lighting system without increasing the overall illumination of a facility, unless an increase in illumination is necessary to conform to the applicable state or local building code for the lighting system after the proposed modifications are made;
(vi) Indoor air quality improvements;
(vii) Energy recovery systems;
(viii) Electric system improvements;
(ix) Life safety measures that provide long-term, operating-cost reductions;
(x) Building operation programs that reduce operating costs;
(xi) Other energy-conservation-related improvements or equipment, including improvements or equipment related to renewable energy;
(xii) Water and other natural resources conservation; or
(xiii) An alteration or measure identified through a comprehensive audit or assessment of new or existing facilities;

(2) “Equipment warranty period” means the time following the execution of a guaranteed energy cost savings contract in which a material defect in an installed energy conservation measure is required to be replaced or corrected by the manufacturer or an energy service company;
(3)
(A) “Guaranteed energy cost savings contract” means a contract for the implementation of one (1) or more energy cost savings measures and services provided by a qualified provider in which the energy and cost savings achieved by the installed energy project cover all project costs, including financing, over a specified contract term.
(B) “Guaranteed energy cost savings contract” does not include improvements or equipment that allow or cause water from any condensing, cooling, or industrial process or any system of nonpotable usage over which public water supply system officials do not have sanitary control to be returned to the potable water supply;

(4) “Operational cost savings” means expenses eliminated and future replacement expenditures avoided as a result of new equipment installed or services performed;
(5) “Public notice” means the same as “public notice” is defined in § 19-11-203;
(6) “Qualified provider” means a person or business, including all subcontractors and employees of that person or business and third-party financing companies, that:
(A) Is properly licensed in the State of Arkansas;
(B) Has been reviewed and certified by the office as a qualified provider under this subchapter;
(C) Is experienced in the design, implementation, measurement, verification, and installation of energy cost savings measures;
(D) Has at least five (5) years of experience in the analysis, design, implementation, installation, measurement, and verification of energy efficiency and facility improvements;
(E) Has the ability to arrange or provide the necessary financing to support a guaranteed energy cost savings contract; and
(F) Has the ability to perform under a contract that requires the person or business to guarantee the work performed by one (1) or more subcontractors;

(7) “State agency” means the same as “state agency” is defined in § 19-11-203; and
(8) “Useful life” means the rated service life of an individual energy conservation measure as defined by the:
(A) American Society of Heating, Refrigerating and Air-Conditioning Engineers;
(B) Illuminating Engineering Society; or
(C) Solar Energy Industries Association.