Sec. 1. (a) This section applies to the following state educational institutions:
(1) Ball State University.
(2) Indiana State University.
(b) If a heat or power plant belonging to a state educational institution or operated by the board of trustees of a state educational institution has sufficient capacity to furnish and generate heat or power, or both, in excess of that needed by the state educational institution, the board of trustees of the state educational institution may sell and dispose of, upon terms and conditions that the board of trustees determines, any or all of the excess heat or power, or both, to a hospital, charitable or public institution, or developer that:
(1) has entered into a financing agreement with the board of trustees under IC 21-35-7; and
(2) agrees to do all piping and make all connections necessary to receive the heat or power, or both.