SB 1225 modifies the procurement process for construction-related services related to energy savings performance contracts. The bill defines key terms such as "investment grade audit," which refers to a detailed assessment to determine the scope of work for an energy savings contract, and "preliminary utility audit," which is an initial no-cost assessment identifying potential energy or water conservation measures. It prohibits local governments from using purchasing cooperatives or local cooperative organizations to procure architectural, design, or engineering services related to energy savings performance contracts if the contract amount exceeds $50,000. Additionally, the bill repeals Section 44.901 of the Education Code, which previously authorized school districts to enter into energy savings performance contracts. These provisions apply to contracts entered into, amended, or modified on or after September 1, 2025​.