Louisiana just wrapped up its 2010 Legislative Session. They passed a number of laws (now effective) that relate to sustainable practices and the green building industry. These slides were presented to the Greater New Orleans, Inc. and Green N.O. 2010 "Green" Legislative Briefing on September 8, 2010. The presentation was given by Scott Wolfe Jr., founding member of Wolfe Law Group and Louisiana's first LEED AP attorney.

1. Legislative Update
Louisiana 2010 Session * Green / Energy Bills
Scott Wolfe, Jr, LEED AP
Wolfe Law Group

2. What Does It Mean To Be
Green?

3. Energy Efficiency &
Sustainability
• Renewable Energy Concepts
• Sustainable Design
• Environmental Consciousness
• Better use of Resources
• Cleaner Living

4. A Thriving Industry
That's Growing...
“ Green Growth is
phenomenal across
the globe.
Harvey M. Bernstein, McGraw-Hill Construction

5. A Thriving Industry
That's Very Popular...

6. A Thriving Industry
That's Sells.

7. We're All A Little Green

8. Leaders
•California & West
•Louisiana

9. Standards

10. Problems
Greenwashing: Greenwashing
(green whitewash) is the practice of
companies disingenuously spinning
their products and policies as
environmentally friendly, such as by
presenting cost cuts as reductions in
use of resources. It is a deceptive use
of green PR or green marketing. The
term green sheen has similarly been
used to describe organizations that
attempt to show that they are
adopting practices beneficial to the
environment
http://en.wikipedia.org/wiki/Greenwash

11. Problems

12. Problems
PACE Financing v. Mortgage

13. Louisiana
A Short History of Green Movement in Louisiana
• Far from California, but strong
• Solar America City (2010)
• Impressive Solar Incentives
• SEFD & PACE Financing (2009)
• Green Job Tax Credits (2009)

14. Sustainable Energy Financing
Districts & PACE Funding
HB 973
Act 611
Rep. Foil
La. R.S. 33:130.812

15. S.E.F.D.
“ The governing authority of any local
governmental subdivision...may
create a special district to be known
as a sustainable energy financing
district.
La. R.S. 33:130.811, 2009 Act 348

16. PACE Financing
Property Accessed Clean Energy Financing
started in Berkley, CA to overcome
expensive up-front retrofit costs.

17. PACE Financing
Bond to Pay Upfront Project Costs
Local Property
Agency Owner
Homeowner Pays Back Loan
Within Property Tax Bills

18. PACE Financing
Property Value
Operating Costs
Funds to Pay Debt
City Efficiency

19. http://bit.ly/1Rsj68
October 19, 2009
Policy Framework for PACE Principals
http://www.whitehouse.gov/sites/default/files/PACE_Principles.pdf

20. $150 Million Into PACE Programs

21. Adopted Across Nation

22. Directed local
governments to suspend
the programs, and
Fannie, Freddie and the
Federal Home Loan
Banks to take action to
"protect" their
operations.
July 6, 2010
Department of Energy
withdraws the $150m. http://bit.ly/bhokGf

23. PACE Staging A Comeback?
•Lawsuits by California
Attorney General and
Sonoma County against
FHFA
•PACE Assessment
Protection Act 2010 in
US House of Rep.

24. 2010 - HB 973
•Converts from “Financing” law
to pure PACE law
•Limits amount of PACE loan
to amount of equity in property
•PACE Lien trumps mortgage,
but on commercial property,
loans > $100k must be
approved by mortgage
company

25. Will Louisiana
Cities Create
SEFDs?
•Transformation to traditional PACE
Program makes more attractive
•Concern about FHFA?
•Solar American Cities funding for
PACE in New Orleans was promising

26. Solar

27. Existing Solar Legislation
•Aggressive Tax Credit
•New Orleans is America
Solar City
•Sustainable Energy
Financing District

28. HB 751, Rep. Foil
Creates La. R.S. 9:1255,
prohibits “unreasonable
restrictions” on the right
of a property owner to
install or use a solar
collector.

29. Natural Gas
SB 103 • Rep. Gautreaux
La R.S. 33:1419

30. Natural Gas
•Vehicles powered by cheap, clean burning fuel
(natural gas) found in large quantities throughout
USA
•USA’s largest source: Louisiana

31. Problem:

32. Filling Stations?
1 Privately Owned
CNG Car in Louisiana
http://bit.ly/b9q4ci

33. Filling Stations?
< 1,200 in USA
< 600 Public

34. Filling Stations?
Oklahoma Goals for
CNG Filling Stations:
Every 100 mi by 2015
Every 50mi by 2025

35. Costs?
Operating Savings
is Good...but Fleet
Conversion Costs
are High.

36. Natural Gas
Income Tax Credit worth 50% cost
of converting vehicle to alternative
fuel, 50% of incremental costs of
purchasing new alternative fuel
vehicle, 50% cost of constructing
alternative fuel station.
HB 110 (2009) - La. R.S. 47:6035

37. Natural Gas
Alternative Fuel Vehicle Revolving Loan Fund
La R.S. 33:1419
“ Provide financial assistance to
political subdivisions for the costs of
purchasing or converting its motor
vehicle fleets to qualified clean fuel
vehicles propelled by alternative
fuel.
SB 103 (2010) • Rep. Gautreaux

38. Alternative Fuel Revolving Loan Fund
Not Funded...

39. Alternative Fuel Revolving Loan Fund
US Department of Natural
Resources will grant $9.8m
from American Recovery &
Reinvestment to Communities
with Alternative Fuel Projects

40. Alternative Fuel Revolving Loan Fund
2010 Session - Jindal
approved $1m Earmark for
Lafayette Parish Consolidated
Govt to move forward with
construction of CNG Fueling
Station, and purchase of CNG
Vehicles.

41. Alternative Fuel Revolving Loan Fund
Shreveport using federal money and Baton
Rouge’s Shaw Group carrying out state
contract to introduce CNG Buses.

42. Alternative Fuel Revolving Loan Fund
Resolution Introduced in Louisiana to study
the use of CNG Buses in the state.

43. Mega-Fund Energy Rebate
SB 624 • Rep. Marionneaux
La R.S. 51:2366

44. What is a Mega-Project?
•Creates 500 New Jobs or
$500m investment in a facility
•State can calculate a substantial
return on investment as
measured by projected tax
revenue
La R.S. 51:2365 (2007)

45. Rebate for Energy
•If consumption of energy major cost component of
operation
•If Assistance in moderating costs of energy major
factor in inducing mega-project to state
•Rebate of Louisiana severance taxes paid to
Louisiana on any natural gas consumed in or used
in operation of the mega-project facility.

46. Performance Based
Contracting
Energy improvement
contracts where
energy savings are
more than state’s
financed charges.

47. How To Predict Energy Savings?
How to Regulate ESCOs?

48. HB 699 - Rep. Geymann
•Additional Layers of
Oversight and
Auditing.
•Creation of Energy
Efficiency
Procurement Support
Team

49. SB 648, Sen. Hebert
La. R.S. 37:3392
Amends the Louisiana Real Estate
Appraisers Law to require
consideration of energy efficiency
aspects of property when
assigning value to properties.

50. SB 183, Sen. Gautreaux
La. R.S. 30:124
To “promote generation and use of
alternative energy sources,” the
Dept. of Natural Resources and
State Mineral & Energy Board can
now lease state land for
development & production of
alternative energy sources.
Previously only for development & production of oils, minerals and gases.

51. HB 733, Rep. Anders
La. R.S. 3:1221
Department of Agriculture and
Forestry is “authorized to take all
action necessary to ensure Louisiana’s
participation, to the fullest extent
practical” in carbon sequestration &
reduction of carbon emissions.

52. http://www.lagreenlaw.com

53. Legislative Update
Louisiana 2010 Session * Green / Energy Bills
Scott Wolfe, Jr, LEED AP
Wolfe Law Group
scott@wolfelaw.com
www.wolfelaw.com
www.lagreenlaw.com