Proposal to eliminate state energy conservation program scaled back

A bill intended to eliminate the Energy Conservation Improvement Fund was amended on select file April 12 to retain the energy conservation improvements the fund supports, albeit with a sunset date.

The fund supports the Low-Income Home Energy Conservation Act, which offers grants to public and nonprofit electric utilities providing matching funds to complete energy conservation improvements for Nebraska homeowners whose income is at or below 150 percent of the federal poverty level. The fund receives revenues from up to 5 percent of state sales taxes collected on electricity bills of participating utilities.

LB385, introduced by Hastings Sen. Dennis Utter at the request of the governor, originally would have terminated the fund on June 30, 2012.

Omaha Sen. Heath Mello introduced an amendment to suspend the program until July 1, 2014, at which point the Legislature would appropriate $250,000 to the fund each biennium. Utilities participating in the program could dedicate up to $50,000 per fiscal year to be matched by the fund.

Mello’s amendment would end the program on July 1, 2019.

After adopting Mello’s amendment 29-1, lawmakers advanced LB385 from select file on a voice vote.