This chapter may be cited as the Community Energy Authority Act.

It is the intent of the Legislature in enacting this part to provide the means by which a county or city can plan and implement a comprehensive energy strategy that will assist in planning energy projects and uses that will encourage energy efficiency and conservation in new and existing construction and will also minimize the impact of future energy price increases on financially disadvantaged low- and moderate-income households as well as adversely affecting the stability of the local economy.

Unless the context otherwise requires, the definitions contained in this article govern the construction of this chapter.

“Authority” means a community energy authority created pursuant to this chapter.

“City” means any city or city and county.

“County” means any county.

“Governing body” means the city council in the case of a city or the board of supervisors in the case of a county.

“Area of operation” means either of the following:

“Federal government” means the United States, or any agency or instrumentality of the United States.

“Energy project” means any project within the city’s or county’s boundaries that directly or indirectly involves a substantial use of energy in its operation, except that this part does not apply to any work or project undertaken within the city or county by a privately owned public utility to maintain or extend service to its customers or subscribers.

“Bond” means any bonds, notes, certificates of participation, interim certificates, debentures, or other obligations issued by an authority pursuant to this chapter.

If any provision of this chapter or its application to any person or circumstance is held invalid, this invalidity shall not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to this end the provisions of this chapter are severable.

This chapter shall be interpreted liberally to effect its purposes.