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Energy Policymaker in the Spotlight: State Rep. Amanda Reeve

Best Practices: Identifying an effective energy cost savings policy and working extensively with stakeholders to

  • improve it with strengthened financial protections for participating schools
  • expand it to give towns, cities and counties opportunity to participate

During the 2012 legislative session, Rep. Amanda Reeve successfully passed HB 2830, the Energy and Water Savings Account bill, which strengthens an existing program that allows Arizona schools to implement long-term energy cost savings projects while avoiding the significant up-front costs and the burden of financial risk these projects may incur. Reeve’s bill also expands the program to interested cities, towns and counties throughout Arizona.

In the existing program, codified as A.R.S. § 15-213.01, Arizona schools work with energy services companies (ESCOs) to obtain third-party financing for energy efficiency projects. The ESCO develops and implements the projects while providing the schools with cost savings guarantees. These partnerships result in both actual cost savings and significant reduced financial risk to schools.

While schools throughout Arizona have used this program successfully, a variety of stakeholders approached Reeve to work on strengthening the program and extending it. Cities, towns and counties wanted the ability to implement these programs in their facilities. Schools wanted more flexibility when implementing the efficiency measures and more uniformity when dealing with ESCOs. Additionally, participating schools, cities, towns and counties wanted the ability to use the financing program to develop their own renewable generating capabilities – distributed solar panels on building rooftops to generate energy for their own facilities.

Over the course of about two years, Reeve met extensively with various stakeholders to ensure the new version provided schools with financial accountability protections from partnering ESCO’s, which in turn also provides the ESCO industry with greater integrity provisions.  She worked with various ESCOs such as AMERESCO and NORESCO, Maricopa County, the Governor’s Office of Energy Policy, the AZ Builders’ Alliance, Arizona Public Service Company, Salt River Project, SouthwestGas Corporation, the AZ Department of Administration, the AZ League of Cities and Towns, the Solar Energy Industries Association, the Scottsdale Unified School District, and the AZ School Facilities Board, among others.Reeve consistently emphasized the importance of stakeholder give and take in the drafting of the bill.  When working on a bill with stakeholders, Reeve notes that “a big part of it is just listening to what’s being said.”