§ 1885. Mechanical insulation energy savings program. 1. Definitions.
For purposes of this section:

(a) "Applicant" shall mean any school district, public hospital,
public housing building, or political subdivision as defined in the
general municipal law, with a building or buildings that have a
potential need for mechanical insulation upgrades. The minimum size for
any single building to be considered shall be twenty thousand square
feet.

(b) "Mechanical insulation" shall mean insulation materials, facings
and accessory products used for thermal requirements for mechanical
piping and equipment, hot and cold applications, heating, ventilation,
and air-conditioning applications.

(c) "Qualified audit" shall mean a mechanical insulation audit of a
building by a qualified contractor, which identifies missing, damaged or
improperly installed mechanical insulation. Such audit shall include an
estimate of installation costs along with estimated energy and cost
savings. Such audit shall be provided by the qualified contractor at no
cost to the authority or applicant.

(d) "Qualified mechanical insulation expenditures" shall mean the
purchase of insulation materials, facings and accessory products used
for thermal requirements for mechanical piping and equipment, hot and
cold applications, and heating, ventilation, and air-conditioning
applications and all associated labor costs properly allocable to
on-site preparation, assembly and original installation, so long as
performed by a qualified contractor and in accordance with sections two
hundred twenty, two hundred twenty-b and two hundred twenty-i of the
labor law.

(e) "Qualified contractor" shall mean an insulation contractor that is
party to an apprenticeship agreement, as defined in section eight
hundred sixteen of the labor law, which is in good standing, appropriate
for the type and scope of work to be performed, including the minimum
American Society of Heating, Refrigerating, and Air-Conditioning
Engineers Standard 90.1-2007, providing the energy standard for
buildings except low-rise residential buildings.

2. The authority is hereby authorized and directed to establish and
administer a mechanical insulation energy savings program to provide
applicants with qualified audits and grants to purchase mechanical
insulation. The authority shall establish an audit process whereby an
applicant may request a qualified audit. Such audit, if approved by the
authority, shall be provided to the applicant at no cost.

3. As part of this program, the authority shall issue grants for
applicants that have completed a qualified audit, which will cover one
hundred percent of the qualified mechanical insulation expenditures.

4. Within one year of the effective date of this section, the
authority shall establish rules and regulations and identify eligible
funding to create the mechanical insulation energy savings program and
create guidelines for preferred applicants, buildings and energy
savings.