S 7429: Relates to establishing the energy performance benchmarking program.

  
  STATE OF NEW YORK ________________________________________________________________________ 7429 2025-2026 Regular Sessions  IN SENATE April 16, 2025 ___________ Introduced by Sen. HOYLMAN-SIGAL -- read twice and ordered printed, and when printed to be committed to the Committee on Energy and Telecommu- nications AN ACT to amend the public authorities law and the environmental conser- vation law, in relation to establishing the energy performance bench- marking program The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. The legislature hereby finds and declares that New York 2 state is dedicated to the mutually compatible goals of environmental 3 protection, energy security, and economic growth; increasing energy 4 efficiency has been identified as among the most cost-effective methods 5 for reducing greenhouse gas and other environmental pollutant emissions 6 and increasing energy security; increasing energy efficiency can lead to 7 increased jobs and a reduction in building operating expenses; and New 8 York state is committed to implementing new policies to promote the 9 efficient use of energy and natural resources in the interest of the 10 long-term protection and enhancement of the state's environment, economy 11 and public health. 12 § 2. The public authorities law is amended by adding a new section 13 1018 to read as follows: 14 § 1018. Benchmarking. 1. Definitions. For the purposes of this 15 section, the following terms are defined as follows: 16 a. "Affected state entities" means (i) all agencies and departments 17 over which the governor has executive authority, and (ii) all public 18 benefit corporations, public authorities and commissions, for which the 19 governor appoints the chair, the chief executive, or the majority of 20 board members, except for the port authority of New York and New Jersey. 21 b. "Average source energy use intensity" or "average EUI" means the 22 average source energy use per square foot for all state-owned and 23 managed buildings. EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD07768-01-5 
 S. 7429 2 1 c. "Source energy" means all the energy used in delivering energy to a 2 site, including power generation, transmission and distribution losses. 3 2. Energy reduction target. By April first, two thousand thirty, all 4 affected state entities shall collectively reduce the average EUI in 5 state-owned and managed buildings by at least twenty percent from a 6 baseline of the average EUI of such buildings for state fiscal year two 7 thousand twenty--two thousand twenty-one ("target"). 8 3. Obligations to meet target. a. Central management and implementa- 9 tion team: the New York power authority ("NYPA") shall establish a 10 central management and implementation team ("CMIT") to administer this 11 section. (i) The CMIT is hereby directed and authorized to: 12 (a) take all appropriate measures to ensure that the target is met; 13 (b) direct affected state entities to comply with the requirements of 14 this section; 15 (c) create guidelines ("guidelines") within nine months of the effec- 16 tive date of this section to assist affected state entities in complying 17 with this section, and thereafter update such guidelines as necessary; 18 (d) provide strategic, technical, and other assistance to each 19 affected state entity to support implementation of this section; 20 (e) develop annual milestones for achieving the target over the next 21 seven years within twelve months of the effective date of this section; 22 (f) develop and implement reporting requirements to document each 23 affected state entity's progress toward meeting the target; 24 (g) develop a comprehensive operations and maintenance plan for the 25 state's building portfolio to help achieve no-cost and low-cost effi- 26 ciency improvements and ensure that efficiency savings are sustained; 27 and 28 (h) submit an annual report to the governor by January fifteenth of 29 each year, beginning in two thousand twenty-seven, detailing the overall 30 progress affected state entities are making toward meeting the target 31 requirements. The target requirements for the annual report shall be 32 contained in the guidelines. 33 (ii) The office of general services and the New York state energy 34 research and development authority are hereby directed to provide tech- 35 nical assistance to the CMIT and each of the affected state entities 36 with respect to complying with and implementing the requirements of this 37 section and those established by the CMIT pursuant to this section. 38 b. Affected state entities. In addition to the requirements estab- 39 lished above, each of the affected state entities shall comply with the 40 following: 41 (i) Benchmarking. For each state fiscal year, each affected state 42 entity shall measure the energy use in state-owned and managed buildings 43 having an area greater than twenty thousand square feet. Buildings on 44 master-metered campuses shall be benchmarked at the campus level until 45 they are sub-metered at the building level, after which point those 46 buildings shall be benchmarked at the building level. 47 (ii) Audits. Buildings that receive low benchmark scores, as defined 48 by the guidelines, shall undergo an American society of heating, refrig- 49 eration and air-conditioning engineers ("ASHRAE") level II energy audit, 50 or any other comparable audit that the CMIT approves. Campuses that have 51 above-average EUIs or poor benchmark scores, as defined by the guide- 52 lines, or are otherwise prioritized by the affected state entities and 53 the CMIT, shall undergo a campus-wide ASHRAE level II energy audit or 54 any other comparable audit approved by the CMIT. In addition to energy 55 efficiency measures, the audits shall identify opportunities for cost 
 S. 7429 3 1 effective on-site renewable generation and high-efficiency combined heat 2 and power. 3 (iii) Required capital projects and energy optimization measures. 4 Affected state entities shall implement a cost-effective portfolio of 5 measures identified and recommended in the audit and shall complete or 6 make substantial progress toward completion of such measures within two 7 years of completion of the audit. A portfolio may include, but shall not 8 be limited to, no- and low-cost operational improvements, retro-commis- 9 sioning, capital energy efficiency retrofits, on-site renewable and 10 high-efficiency combined heat and power, and other measures identified 11 by the CMIT. 12 (iv) Sub-metering. Affected state entities shall work with the CMIT to 13 prioritize sub-metering for all relevant energy sources of buildings 14 larger than one hundred thousand square feet on a master-metered campus 15 to identify ways to finance such sub-metering. All buildings having an 16 area larger than one hundred thousand square feet on master-metered 17 campuses shall be sub-metered for all fuels and other energy sources by 18 December thirty-first, two thousand twenty-six, to enable individual 19 building benchmarking unless the affected state entity that owns or 20 operates the building can demonstrate to the CMIT that it is not cost- 21 effective or feasible to do so. 22 (v) Incorporating energy efficiency analysis in the capital planning 23 process. As part of the capital planning process, all affected state 24 entities shall include an energy efficiency analysis in the design phase 25 of all capital project plans. The capital project shall include energy 26 efficient measures or technologies determined to be the most cost-effec- 27 tive, as defined by the guidelines. 28 (vi) Credits. Affected state entities may receive credit towards the 29 target for increasing energy efficiency in leased space. In addition, 30 affected state entities may receive credit towards meeting the target 31 for installing on-site renewable generation if the host site for such 32 renewable generation has deployed all cost-effective energy efficiency 33 improvements consistent with the goals of this section. Affected state 34 entities shall consult with and apply to the CMIT concerning such cred- 35 its. 36 (vii) Reporting. No later than October first of each calendar year, 37 each affected state entity shall submit all information requested by the 38 CMIT on all state-owned and managed buildings having an area over twenty 39 thousand square feet, as well as any other information related to 40 assessing compliance with this section. 41 c. Exemptions. Electric usage attributable to vehicle charging shall 42 not be included in the target and requirements of this section. The CMIT 43 is authorized to provide other exemptions for good cause shown pursuant 44 to criteria and procedures established in the guidelines, including 45 exceptions associated with buildings that have obtained and maintained 46 ENERGY STAR or similar certification, or have benchmark scores placing 47 such buildings in the top quartile of comparable buildings for the 48 particular year at issue. Affected state entities shall submit requests 49 for annual exemptions to the CMIT. Any such request for exemptions and 50 resulting determination by the CMIT shall be included in the annual 51 report. 52 § 3. Article 19 of the environmental conservation law is amended by 53 adding a new title 13 to read as follows: 54 TITLE 13 55 BENCHMARKING 56 Section 19-1301. Benchmarking. 
 S. 7429 4 1 § 19-1301. Benchmarking. 2 The energy and water use of covered buildings shall be benchmarked in 3 accordance with this section. 4 1. Definitions. As used in this section, the following terms shall 5 have the following meanings: 6 a. "Benchmark" means to input and submit to the benchmarking tool the 7 total use of energy and water for a building for the previous calendar 8 year and other descriptive information for such building as required by 9 the benchmarking tool. 10 b. "Benchmarking tool" means the internet-based database system devel- 11 oped by the United States environmental protection agency, and any 12 complementary interface designated by the department, to track and 13 assess the energy and water use of certain buildings relative to similar 14 buildings. 15 c. "Covered building" means as it appears in the records of the 16 department of taxation and finance: 17 (i)(a) a building that exceeds fifty thousand gross square feet, (b) 18 two or more buildings on the same tax lot that together exceed one 19 hundred thousand gross square feet, or (c) two or more buildings held in 20 the condominium form of ownership that are governed by the same board of 21 managers and that together exceed one hundred thousand gross square 22 feet. 23 (ii) Exception: The term "covered building" shall not include: 24 (a) Any building that is a government building. 25 (b) Any building that is owned by the government. 26 (c) Real property classified as class one pursuant to subdivision one 27 of section eighteen hundred two of the real property tax law. 28 d. "Data center" means a room or rooms used primarily to house high 29 density computing equipment, such as server racks, used for data storage 30 and processing. 31 e. "Dwelling unit" means a single unit consisting of one or more habi- 32 table rooms, occupied or arranged to be occupied as a unit separate from 33 all other units within a building, and used primarily for residential 34 purposes and not primarily for professional or commercial purposes. 35 f. "Energy" means electricity, natural gas, fuel oil and steam. 36 g. "Owner" means the owner of record, provided that "owner" shall be 37 deemed to include: 38 (i) the net lessee in the case of a building subject to a net lease 39 with a term of at least forty-nine years, inclusive of all renewal 40 options, 41 (ii) the board of managers in the case of a condominium, and 42 (iii) the board of directors in the case of a cooperative apartment 43 corporation. 44 h. "Tenant" means any tenant, tenant-stockholder of a cooperative 45 apartment corporation, condominium unit or owner or other occupant. 46 2. Benchmarking required for covered buildings. The owner of a covered 47 building shall annually benchmark such covered building no later than 48 May first, two thousand twenty-seven, and no later than every May first 49 thereafter. Benchmarking of water use shall not be required unless the 50 building was equipped with automatic meter reading equipment by the 51 department for the entirety of the previous calendar year. The owner or 52 the owner's representative performing the benchmarking shall consult 53 with the operating staff of the building, as appropriate. 54 a. Obligation to request and to report information. Where a unit or 55 other space in a covered building, other than a dwelling unit, is occu- 56 pied by a tenant and such unit or space is separately metered by a util- 
 S. 7429 5 1 ity company, the owner of such building shall request from such tenant 2 information relating to such tenant's separately metered energy use for 3 the previous calendar year and such tenant shall report such information 4 to such owner. 5 (i) Owner solicitation of tenant information. Such owner shall request 6 information relating to such tenant's separately metered energy use for 7 the previous calendar year no earlier than January first and no later 8 than January thirty-first of any year in which the owner is required to 9 benchmark such building. The department may require that such owner 10 provide such tenant with a form designated by the department to report 11 such information. 12 (ii) Tenant reporting of information. Such tenant shall report infor- 13 mation relating to such tenant's separately metered energy use for the 14 previous calendar year no later than February fifteenth of any year in 15 which the owner is required to benchmark such building. Such information 16 shall be reported in a form and manner determined by the department. 17 (iii) Provision of information prior to vacating a unit or other 18 space. Where such owner receives notice that such tenant intends to 19 vacate such unit or other space before reporting information in accord- 20 ance with this paragraph, such owner shall request information relating 21 to such tenant's energy use for any period of occupancy relevant to such 22 owner's obligation to benchmark. Any such tenant shall report such 23 information to the owner of such building prior to vacating such unit or 24 other space or, if such information is not available prior to vacating 25 such unit or other space, as soon as practicable thereafter, regardless 26 of whether such owner has requested information pursuant to this 27 section. Such information shall be reported in a form and manner deter- 28 mined by the department. 29 (iv) Continuing obligation to benchmark. The failure of any or all 30 tenants to report the information required by this paragraph to the 31 owner shall not relieve such owner of the obligation to benchmark pursu- 32 ant to this title, provided that such owner shall not be required to 33 benchmark such information reported by a tenant unless otherwise avail- 34 able to such owner. 35 b. Preservation of documents, inspection, and audit. Owners of covered 36 buildings shall maintain such records as the department determines are 37 necessary for carrying out the purposes of this article, including but 38 not limited to energy and water bills and reports or forms received from 39 tenants. Such records shall be preserved for a period of three years, 40 provided that the commissioner may consent to their destruction within 41 that period or may require that such records be preserved longer than 42 such period. At the request of the department, such records shall be 43 made available for inspection and audit by the department at the place 44 of business of the owner or at the offices of the department during 45 normal business hours. 46 c. Violations. It shall be unlawful for the owner of a covered build- 47 ing to fail to benchmark pursuant to this subdivision. The commissioner 48 shall classify such violation as a lesser violation. 49 3. Direct upload. Information shall be directly uploaded to the bench- 50 marking tool in accordance with the following: 51 a. Direct upload by a utility company or other source. The department 52 shall encourage and facilitate any utility company or any other source 53 authorized by the department to upload directly to the benchmarking 54 tool, as soon as practicable, information necessary to benchmark a 55 building. Where information is uploaded directly to the benchmarking 56 tool by a utility company or other authorized source, owners and tenants 
 S. 7429 6 1 shall not be obligated to request and report such information pursuant 2 to subparagraph (ii) of paragraph a of subdivision two of this section. 3 b. Direct upload by the department. The department shall upload 4 directly to the benchmarking tool information on water use at all build- 5 ings that were equipped with automatic meter reading equipment by the 6 department for the entirety of the previous calendar year and that are 7 subject to the benchmarking requirements of this title. 8 4. Suspension. The commissioner may suspend all or part of the 9 requirement to benchmark pursuant to this title upon a written finding 10 that a technological deficiency in the benchmarking tool precludes 11 compliance with this title. The commissioner may lift all or part of any 12 such suspension upon a written finding that such deficiency has been 13 corrected. The department shall notify the governor, the speaker of the 14 assembly, the temporary president of the senate, and the department of 15 taxation and finance promptly upon issuing a suspension or lifting a 16 suspension pursuant to this section. 17 5. Notification and transmission of information. The department of 18 taxation and finance shall: 19 a. Annually notify owners of covered buildings of their obligation to 20 benchmark pursuant to subdivision two of this section, provided that the 21 failure of the department of taxation and finance to notify any such 22 owner shall not affect the obligation of such owner to benchmark pursu- 23 ant to such section. 24 b. Notify owners of covered buildings of any suspension or lifting of 25 a suspension pursuant to subdivision four of this section. 26 c. Make available to the department information regarding owners of 27 covered buildings for which no benchmarking information was generated by 28 the benchmarking tool. 29 6. Disclosure. The department of taxation and finance shall make 30 information generated by the benchmarking tool available to the public 31 on the internet no later than September first, two thousand twenty- 32 eight, and no later than every September first thereafter for covered 33 buildings whose primary use is residential, as determined by the depart- 34 ment of taxation and finance, and no later than September first, two 35 thousand twenty-nine, and no later than every September first thereafter 36 for covered buildings whose primary use is residential, as determined by 37 the department of taxation and finance. Such information shall include, 38 but need not be limited to: 39 a. the energy utilization index, 40 b. the water use per gross square foot, 41 c. where available, a rating that compares the energy and water use of 42 the building to that of similar buildings, and 43 d. a comparison of data across calendar years for any years such 44 building was benchmarked. Information generated by the benchmarking tool 45 for the two thousand twenty-six calendar year for covered buildings, and 46 for the two thousand twenty-seven calendar year for covered buildings 47 whose primary use is residential, as determined by the department of 48 taxation and finance, shall not be disclosed. Exception: Ratings gener- 49 ated by the benchmarking tool for a covered building that contains a 50 data center, television studio, and/or trading floor that together 51 exceed ten percent of the gross square footage of any such building 52 shall not be disclosed until the department determines that the bench- 53 marking tool can make adequate adjustments for such facilities. When the 54 department determines that the benchmarking tool can make such adjust- 55 ments, it shall report such determination to the governor, the speaker 56 of the assembly and the temporary president of the senate. Until such 
 S. 7429 7 1 determination is made, the department shall report biennially to the 2 governor, the speaker of the assembly and the temporary president of the 3 senate that the benchmarking tool is unable to make such adjustments. 4 7. Report. No later than December thirty-first of two thousand twen- 5 ty-eight and two thousand twenty-nine, respectively, the department 6 shall prepare, submit to the governor, the speaker of the assembly, the 7 temporary president of the senate, and post on the internet a report 8 reviewing and evaluating the administration and enforcement of this 9 title and analyzing data obtained from the benchmarking tool. Such 10 report shall contain information regarding: 11 a. the energy and water efficiency of buildings covered by this 12 section, 13 b. the accuracy of benchmarked data and whether there is a need to 14 train and/or certify individuals who benchmark, 15 c. compliance with the requirements of this title, 16 d. any administrative and legislative recommendations for strengthen- 17 ing the administration and enforcement of this title, 18 e. the effectiveness of the benchmarking tool in accounting for state 19 of New York conditions, including, but not limited to, high density 20 occupancies, use of steam, large building size, and specific high-energy 21 uses such as data centers, television studios, and trading floors, and 22 f. such other information and analyses as the department deems appro- 23 priate. 24 8. Rules. The department and the department of taxation and finance 25 may promulgate such rules as deemed necessary to carry out the 26 provisions of this title. 27 § 4. This act shall take effect immediately.