Amendment #388 to H3400

Establishing a Standard for Cost-Effectiveness Calculations for EOEEA Programs

Representatives Jones of North Reading, Peterson of Grafton, Hill of Ipswich, Poirier of North Attleborough, deMacedo of Plymouth, Barrows of Mansfield, Beaton of Shrewsbury, Boldyga of Southwick, Durant of Spencer, Ferguson of Holden, Frost of Auburn, Gifford of Wareham, Howitt of Seekonk, Humason of Westfield, Hunt of Sandwich, Kuros of Uxbridge, Smola of Palmer and Wong of Saugus move to amend the bill by inserting after section 20 the following sections:—

“SECTION XX. Subsection (a) of section 19 of chapter 25 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting, at the end thereof, the following sentence:-

In calculating cost-effectiveness prior to authorizing such programs and during program reviews, the department shall not rely solely on calculations of participant expenses and benefits and shall, at minimum, conduct and consider a program administrator cost test, or PACT, for the purposes of evaluating the extent to which such program are encouraging and leveraging additional participant investments.

SECTION XX. Subsection (b) of section 19 of chapter 25 of the General Laws, as so appearing, is hereby amended by inserting, at the end thereof, the following sentence:-

In calculating cost-effectiveness prior to authorizing such programs and during program reviews, the department shall not rely solely on calculations of participant expenses and benefits and shall, at minimum, conduct and consider a program administrator cost test, or PACT, for the purposes of evaluating the extent to which such program are encouraging and leveraging additional participant investments.

SECTION XX. Subsection (c) of section 19 of chapter 25 of the General Laws, as so appearing, is hereby amended by inserting, at the end thereof, the following sentence:-

In calculating cost-effectiveness prior to authorizing such programs and during program reviews, the department shall not rely solely on calculations of participant expenses and benefits and shall, at minimum, conduct and consider a program administrator cost test, or PACT, for the purposes of evaluating the extent to which such program are encouraging and leveraging additional participant investments.

SECTION XX. Paragraph 3 of subsection (b) of section 21 of chapter 25 of the General Laws, as appearing in the 2010 Official Edition, is hereby amended by inserting, after the first sentence, the following sentence:-

In conducting cost-effectiveness testing, the department and the energy efficiency advisory council shall not rely solely on calculations of participant expenses and benefits and shall, at minimum, conduct and consider a program administrator cost test, or PACT, for the purposes of evaluating the extent to which such program are encouraging and leveraging additional participant investments.”.