As used in this part:

1. (1) “Energy conservation measure” means any improvement, repair, alteration, or betterment of any new building design or any existing building or facility owned or operated by a school district or any equipment, fixture, or furnishing to be added to or used in any building or facility that is designed to reduce energy consumption or operating costs and may include, without limitation, one (1) or more of the following:

   1. (A) Insulation of the building structure or systems within the building;
   2. (B) Storm windows or doors, caulking or weather-stripping, multiglazed windows or doors, heat-absorbing or heat-reflective glazed and coated window or door systems, additional glazing, reductions in glass area, or other window and door system modifications that reduce energy consumption;
   3. (C) Automated or computerized energy control systems;
   4. (D) Heating, ventilation, or air conditioning system modifications or replacements;
   5. (E) Replacements or modifications of lighting fixtures to increase the energy efficiency of the lighting system;
   6. (F) Indoor air quality improvements to increase air quality that conform to the applicable state or local building code requirements even in lieu of an increase in energy usage;
   7. (G) Any additional building infrastructure improvements, cost savings, and life safety or other safety or conservation measures that provide long-term operating cost reductions and are in compliance with state and local codes; and
   8. (H) Building operation programs that reduce operating costs;

2. (2)

   1. (A) “Energy savings contract” means a contract for the implementation of one (1) or more energy conservation measures as defined in Arkansas Code § 6-20-401 and shall include an investment grade preinstallation energy audit and analysis.

   2. (B) The contract may provide that:

      1. (i) All payments except obligations on termination of the contract before its expiration date are to be made over time; and

      2. (ii) The energy cost savings are guaranteed by the qualified provider to the extent necessary to pay all of the costs of the energy conservation measures, including all costs of:

         1. (a) (a) Financing; and
         2. (b) (b) Annual services that may include the measurement and verification of the guaranteed savings.

   3. (C) The energy conservation measures to be performed under the contract may be:

      1. (i) Paid for with any combination of revenue or nonrevenue receipts of a school district; or

      2. (ii) Alternatively financed by:

         1. (a) (a) The issuance of postdated warrants; or
         2. (b) (b) Entering into installment contracts or a lease-purchase agreement;
3. (3) “Equipment warranty period” means the time following the execution of a guaranteed energy cost savings contract in which a material defect in an installed energy conservation measure is required to be replaced or corrected by the manufacturer or an energy service company;

4. (4)

   1. (A) “Qualified provider” has the same definition as in Arkansas Code § 19-11-1202.

   2. (B) A qualified provider to whom the contract is awarded:

      1. (i) Shall be required to provide a payment and performance bond to the school district for its faithful performance of the equipment installation; and
      2. (ii) May be required to provide a letter of credit, surety bond, escrowed funds, or a corporate guarantee from a company with an investment grade credit rating in an amount necessary to ensure the effective performance of the contract;

5. (5)

   1. (A) “Request for qualifications” means a negotiated procurement.
   2. (B) Notice of the request for qualifications shall be published one (1) time each week for no less than two (2) consecutive weeks in a newspaper of statewide circulation.
   3. (C) Responses shall be sealed and opened in a public forum within a date thirty (30) days from the last publication, at which point the school district shall evaluate the qualifications; and

6. (6) “Useful life” means the rated service life of an individual energy conservation measure as defined by the:

   1. (A) American Society of Heating, Refrigerating and Air-Conditioning Engineers;
   2. (B) Illuminating Engineering Society; or
   3. (C) Solar Energy Industries Association.