2023 New York Laws › PBA - Public Authorities › Article 8 - Miscellaneous Authorities › Title 9-A - Green Jobs-Green New York Program › 1896 - Green Jobs-Green New York Revolving Loan Fund.

§ 1896. Green jobs-green New York revolving loan fund. 1. (a) There is
hereby  created  a  green  jobs-green  New York revolving loan fund. The
revolving loan fund shall consist of:
(i) all moneys made available for the purpose of  the  revolving  loan
fund pursuant to section eighteen hundred ninety-nine-a of this title;
(ii)  payments  of  principal and interest, including any late payment
charges, made pursuant to loan or financing agreements entered into with
the authority or its designee pursuant to this section; and
(iii) any interest earned by the investment of moneys in the revolving
loan fund.
(b) The revolving loan fund shall consist of two accounts:
(i) one account which shall  be  maintained  for  monies  to  be  made
available  to  provide  loans  to finance the cost of approved qualified
energy efficiency services for residential structures  and  multi-family
structures, and
(ii)  one  account which shall be maintained for monies made available
to provide loans to  finance  the  cost  of  approved  qualified  energy
efficiency  services for non-residential structures. The initial balance
of the residential account  established  in  subparagraph  (i)  of  this
paragraph shall represent at least fifty percent of the total balance of
the  two  accounts.  The authority shall not commingle the monies of the
revolving loan fund with any other monies of the authority  or  held  by
the  authority,  nor  shall  the  authority commingle the monies between
accounts. Payments of principal, interest and fees  shall  be  deposited
into  the  account  created  and  maintained for the appropriate type of
eligible project.
(c) In administering such program, the  authority  is  authorized  and
directed to:
(i)  use  monies made available for the revolving loan fund to achieve
the purposes of this section by section eighteen  hundred  ninety-nine-a
of  this  title, including but not limited to making loans available for
eligible projects;
(ii) enter into contracts with one or  more  program  implementers  to
perform such functions as the authority deems appropriate;
(iii)  establish  an on-bill recovery mechanism for repayment of loans
for the performance of qualified energy efficiency services for eligible
projects provided that such on-bill recovery mechanism shall provide for
the utilization of any on-bill recovery programs established pursuant to
section sixty-six-m of the public service law and section  one  thousand
twenty-hh of this chapter;
(iv)  establish  standards  for customer participation in such on-bill
recovery  mechanism,  including  standards  for  reliable  utility  bill
payment,  current  good  standing  on any mortgage obligations, and such
additional standards as the authority deems necessary; provided that  in
order  to provide broad access to on-bill recovery, the authority shall,
to the fullest extent  practicable,  consider  alternative  measures  of
creditworthiness  that  are prudent in order to include participation by
customers who are less likely to have access to traditional  sources  of
financing;
(v)  to the extent feasible, make available on a pro rata basis, based
on  the  number  of  electric  customers  within  the  utility   service
territory,  to  combination  electric  and  gas  corporations that offer
on-bill recovery pursuant to section sixty-six-m of the  public  service
law  and  the  Long  Island power authority, up to five hundred thousand
dollars to defray costs directly associated with changing  or  upgrading
billing systems to accommodate on-bill recovery charges;
(vi)  within thirty days of closing of a loan to a customer, pay a fee
of one hundred dollars per loan to  the  combination  electric  and  gas

corporation  in  whose  service territory such customer is located or to
the Long Island power authority if  such  customer  is  located  in  the
service  territory  of  that authority to help defray the costs that are
directly associated with implementing the program;
(vii)  within  thirty  days  of closing of a loan to a customer, pay a
servicing fee of one percent of  the  loan  amount  to  the  combination
electric and gas corporation in whose service territory such customer is
located  or  to  the  Long  Island  power  authority if such customer is
located in the service territory of that authority to  help  defray  the
costs that are directly associated with the program; and
(viii)  exercise  such  other  powers  as are necessary for the proper
administration of the  program,  including  at  the  discretion  of  the
authority,  entering into agreements with applicants and with such state
or federal agencies as necessary to directly receive rebates and  grants
available  for  eligible  projects  and apply such funds to repayment of
applicant loan obligations.
2. (a) The authority shall provide financial assistance in the form of
loans for the performance of qualified energy  efficiency  services  for
eligible projects on terms and conditions established by the authority.
(b)  Loans  made  by  the  authority pursuant to this section shall be
subject to the following limitations:
(i)  eligible  projects  shall  meet  cost   effectiveness   standards
developed by the authority;
(ii)  loans  shall  not exceed thirteen thousand dollars per applicant
for  approved  qualified  energy  efficiency  services  for  residential
structures,  and  twenty-six thousand dollars per applicant for approved
qualified energy efficiency  services  for  non-residential  structures,
provided,  however,  that  the  authority may permit a loan in excess of
such amounts if the total cost of energy efficiency measures financed by
such loan will achieve a payback period of fifteen years or less, but in
no event shall any such loan exceed  twenty-five  thousand  dollars  per
applicant  for  residential  structures  and  fifty thousand dollars per
applicant  for  non-residential   structures;   and   for   multi-family
structures  loans  shall  be  in  amounts  determined  by the authority,
provided, however, that the authority shall assure  that  a  significant
number of residential structures are included in the program;
(iii)  no  fees  or  penalties  shall  be  charged  or  collected  for
prepayment of any such loan; and
(iv) loans shall be at interest rates determined by the  authority  to
be  no  higher  than  necessary  to  make the provision of the qualified
energy efficiency services feasible.
In determining whether to make a loan, and the amount of any loan that
is made, the authority is authorized to consider whether  the  applicant
or   borrower  has  received,  or  is  eligible  to  receive,  financial
assistance and other incentives from any other source for the  qualified
energy  efficiency  services  which would be the subject of the loan. In
determining whether a loan will achieve  a  payback  period  of  fifteen
years  or  less  pursuant  to  subparagraph  (ii) of this paragraph, the
authority may consider the amount of the  loan  to  be  reduced  by  the
amount  of any rebates for qualified energy efficiency services received
by the applicant or by the authority on behalf of an applicant.
(c) Applications for financial assistance  pursuant  to  this  section
shall  be  reviewed  and  evaluated  by  the  authority  or its designee
pursuant to eligibility  and  qualification  requirements  and  criteria
established  by  the  authority. The authority shall establish standards
for (i) qualified energy efficiency services, and (ii)  measurement  and
verification  of energy savings. Such standards shall meet or exceed the

standards used by the authority for similar programs in existence on the
effective date of this section.
(d)  The  amount  of  a  fee  paid  for an energy audit provided under
section eighteen hundred ninety-five of this title may be added  to  the
amount  of a loan that is made under this section to finance the cost of
an eligible project conducted in response to such energy audit. In  such
a  case,  the  amount  of the fee may be reimbursed from the fund to the
borrower.
(e) In establishing an on-bill recovery mechanism:
(i) the cost-effectiveness of an eligible project shall  be  evaluated
solely  on  the basis of the costs and projected savings to the applying
customer, using standard engineering assessments and prior billing  data
and  usage  patterns;  provided  however that based upon the most recent
customer data available, on an annualized  basis,  the  monthly  on-bill
repayment  amount for a package of measures shall not exceed one-twelfth
of the savings projected to result from the installation of the measures
provided further that nothing herein shall be construed to  prohibit  or
prevent   customers   whose   primary  heating  energy  source  is  from
deliverable fuels from participating in the program;
(ii)  the  authority  shall  establish  a  process  for  receipt   and
resolution  of  customer  complaints concerning on-bill recovery charges
and for addressing delays and defaults in customer payments; and
(iii) the authority may limit the availability of lighting measures or
household appliances that are not permanently affixed to real property.
(f) Prior to or at the closing of each  loan  made  pursuant  to  this
section,  the  authority  shall  cause  a  notice to be provided to each
customer receiving such loan stating, in clear and conspicuous terms:
(i) the financial and legal obligations and risks  of  accepting  such
loan responsibilities, including the obligation to provide or consent to
the  customer's  utility  providing  the  authority  information  on the
sources and quantities of energy used in the customer's premises and any
improvements or modifications to the premises, use of  the  premises  or
energy   consuming   appliances  or  equipment  of  any  type  that  may
significantly affect energy usage;
(ii) that the on-bill recovery charge will be billed by such  customer
utility company and that failure to pay such on-bill recovery charge may
result  in  the  customer  having  his  or  her  electricity  and/or gas
terminated for non-payment, provided that such utility  company  follows
the  requirements  of article two of the public service law with respect
to residential customers;
(iii) that incurring such loan to undertake energy-efficiency projects
may not result in  lower  monthly  energy  costs  over  time,  based  on
additional factors that contribute to monthly energy costs;
(iv)  that the program is operated by the authority and it is the sole
responsibility  of  the  authority  to  handle  consumer  inquiries  and
complaints  related  to  the  operation  and lending associated with the
program, provided further that the authority shall provide  a  mechanism
to receive such consumer inquiries and complaints.
(g) Any person entering into a loan agreement pursuant to this section
shall have the right to cancel any such loan agreement until midnight of
the fifth business day following the day on which such person signs such
agreement provided the loan proceeds have not yet been disbursed.
3.  The authority shall evaluate the cost-effectiveness of the on-bill
recovery  mechanism  on  an  on-going  basis.  (a)  In  conducting  such
evaluation, the authority shall request each customer to provide:
(i)   information   on  energy  usage  and/or  permission  to  collect
information on energy usage from utilities  and  other  retail  vendors,

including  but  not  limited  to information required to be furnished to
consumers under article seventeen of the energy law;
(ii)  information  on  other  sources of energy used in the customer's
premises; and
(iii) information on any improvements or modifications to the premises
that may significantly affect energy usage.
(b) At a minimum the authority shall collect and maintain  information
for  dates  prior  to  the  performance  of  qualified energy efficiency
services, to establish a baseline, and for dates covering  a  subsequent
time  period  to  measure  the effectiveness of such measures. Such data
shall be correlated with information from the energy audit and any other
relevant information, including information on local weather conditions,
and shall be used to  evaluate  the  on-bill  recovery  program  and  to
improve the accuracy of projections of cost-effectiveness on an on-going
basis.  An  analysis of such data shall be included in the annual report
prepared pursuant to section eighteen hundred ninety-nine of this title.
(c) All information collected by the authority shall  be  confidential
and shall be used exclusively for the purposes of this subdivision.
4.  Qualified  energy  efficiency  services that have been paid for in
whole or in part with the proceeds of a loan under this title  shall  be
considered a special energy project pursuant to section eighteen hundred
fifty-one of this article.
5.  (a)  For each loan issued for qualified energy efficiency services
that is to be repaid through an on-bill recovery mechanism, the New York
state energy research and development authority shall  record,  pursuant
to  article  nine  of  the  real  property  law,  in  the  office of the
appropriate  recording  officer,  a  declaration  with  respect  to  the
property  improved  by  such  services  of the existence of the loan and
stating the total amount of the loan, the term of the loan, and that the
loan is being repaid through a  charge  on  an  electric  or  gas  meter
associated  with  the property. The declaration shall further state that
it is being filed pursuant to this section and, unless  fully  satisfied
prior  to  sale  or transfer of the property, the loan repayment utility
meter charge shall survive  changes  in  ownership,  tenancy,  or  meter
account  responsibility and, until fully satisfied, shall constitute the
obligation of  the  person  responsible  for  the  meter  account.  Such
declaration  shall  not  constitute  a mortgage and shall not create any
security interest or lien on the  property.  Upon  satisfaction  of  the
loan,  the  authority  shall file a declaration of repayment pursuant to
article nine of the real property law.
(b) The recording officer shall record such declarations in  the  same
book,  provided under section three hundred fifteen of the real property
law, in which such recording officer records deeds.