[Code of Federal Regulations]
[Title 10, Volume 3]
[Revised as of January 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 10CFR436.36]

[Page 432]
 
                            TITLE 10--ENERGY
 
                    CHAPTER II--DEPARTMENT OF ENERGY
 
PART 436_FEDERAL ENERGY MANAGEMENT AND PLANNING PROGRAMS--Table of Contents
 
    Subpart B_Methods and Procedures for Energy Savings Performance 
                               Contracting
 
Sec. 436.36  Conditions of payment.

    (a) Any amount paid by a Federal agency pursuant to any energy 
savings performance contract entered into under this subpart may be paid 
only from funds appropriated or otherwise made available to the agency 
for the payment of energy expenses and related operation and maintenance 
expenses which would have been incurred without an energy savings 
performance contract. The amount the agency would have paid is equal to:
    (1) The energy baseline under the energy savings performance 
contract (adjusted if appropriate under Sec. 436.37), multiplied by the 
unit energy cost; and
    (2) Any related operations and maintenance cost prior to 
implementation of energy conservation measures, adjusted for increases 
in labor and material price indices.
    (b) Federal agencies may incur obligations pursuant to energy 
savings performance contracts to finance energy conservation measures 
provided guaranteed energy cost savings exceed the contractor's debt 
service requirements.