I 
113TH CONGRESS 
1ST SESSION H. R. 3587 
To amend the National Energy Conservation Policy Act to provide guidance 
on utility energy service contracts used by Federal agencies, and for 
other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 21, 2013 
Mr. GARDNER (for himself, Mr. WELCH, and Mr. BUCSHON) introduced the 
following bill; which was referred to the Committee on Energy and Commerce 
A BILL 
To amend the National Energy Conservation Policy Act to 
provide guidance on utility energy service contracts used 
by Federal agencies, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Utility Energy Service 
Contracts Improvement Act of 2013’’. 
SEC. 2. FINDINGS. 
Congress finds that— 
(1) the Federal Government is the largest con-
sumer of energy in the United States; 
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(2) Federal agencies are expected to meet, by 
law, Executive order, and mandate, stringent energy 
efficiency and conservation targets; 
(3) the utility energy service contract (referred 
to in this section as ‘‘UESC’’) was developed to pro-
vide Federal agencies an effective means to imple-
ment energy efficiency, renewable energy, and water 
efficiency projects, and has been used successfully to 
invest nearly $2,700,000,000 in property at Federal 
facilities; 
(4) the General Services Administration, which 
manages more than 9,600 Federal properties and is 
the lead agency for procuring utility services for the 
Federal Government, has determined that UESCs 
may extend beyond a 10-year period under the law; 
(5) the Federal Energy Management Program, 
which oversees the UESC program and is a principal 
office guiding agencies to use funding more effec-
tively in meeting Federal and agency-specific energy 
and resource management objectives, has determined 
that UESCs may extend beyond a 10-year period 
under the law; 
(6) extensive precedent exists for Federal agen-
cies to contract for energy saving services using con-
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tracts with term limits of more than 10 years but 
not to exceed 25 years; 
(7) a number of Federal agencies, contrary to 
congressional intent, have sought to limit UESC 
term limits to periods of less than 10 years; and 
(8) greater flexibility with UESCs will help re-
duce the operational cost of Federal agencies, ulti-
mately saving money for taxpayers. 
SEC. 3. UTILITY ENERGY SERVICE CONTRACTS. 
Part 3 of title V of the National Energy Conservation 
Policy Act is amended by adding after section 553 (42 
U.S.C. 8259b) the following: 
‘‘SEC. 554. UTILITY ENERGY SERVICE CONTRACTS. 
‘‘(a) IN GENERAL.—Each Federal agency may use, 
to the maximum extent practicable, measures provided by 
law to meet energy efficiency and conservation mandates 
and laws, including through utility energy service con-
tracts. 
‘‘(b) CONTRACT PERIOD.—A utility energy service 
contract entered into by a Federal agency may have a con-
tract period that extends beyond 10 years, but not to ex-
ceed 25 years. 
‘‘(c) REQUIREMENTS.—The conditions of a utility en-
ergy service contract entered into by a Federal agency 
shall include requirements for measurement, verification, 
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and performance assurances or guarantees of the sav-
ings.’’. 
Æ 
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