Amended in Assembly May 28, 2014

Amended in Assembly April 21, 2014

California Legislature—2013–14 Regular Session

Assembly BillNo. 2581


Introduced by Assembly Member Bradford

February 21, 2014


An act to amend Sectionsbegin delete 25402 and 25402.1end deletebegin insert 25402, 25402.1, and 25942end insert of the Public Resources Code, relating to energy.

LEGISLATIVE COUNSEL’S DIGEST

AB 2581, as amended, Bradford. Energy: appliance standards: public domain computerbegin delete program.end deletebegin insert program: home energy rating.end insert

(1) Existing law requires the State Energy Resources Conservation and Development Commission to prescribe, by regulation, standards for minimum levels of operating efficiency, and authorizes the commission to prescribe other cost-effective measures, to promote the use of energy and water-efficient appliances whose use requires a significant amount of energy or water on a statewide basis.

This bill would instead authorize the commission to prescribe or adopt other cost-effective measures, including voluntary agreements. The bill would authorize the commission to repeal a standard of minimum levels operating efficiency for an appliance if it finds that the standard is duplicative or inconsistent with federal or state law. The bill would require the commission to rely on the most current data possible and, whenever feasible, to rely on data no older than one year prior to the commencement of a rulemaking proceeding to consider adoption or amendment of a standard for an appliance.

(2) Existing law requires the commission to prescribe, by regulation, lighting, insulation climate control system, and other building design and construction standards that increase the efficiency in the use of energy and water for new residential and new nonresidential buildings. Existing law also requires the commission to prescribe, by regulation, energy and water conservation design standards for new residential and new nonresidential buildings. In order to implement these requirements, existing law requires the commission to develop a public domain computer program that enables contractors, builders, architects, engineers, and government officials to estimate energy consumed by residential and nonresidential buildings and requires the commission to establish a formal process for certification of compliance options for new products, materials, and calculation methods, as prescribed.

This bill would require the commission to approve and make publicly available, not less than 6 months prior to the effective date of adopted or updated efficiency standards, the public domain computer program. The bill would require the commission, before approving the public domain computer program, to perform preliminary tests of the public domain computer program using common examples of residential and nonresidential buildings and building systems to ensure the usability of the program bybegin delete architects, builders, contractors, and local code enforcement personnelend deletebegin insert users of the programend insert. The bill would require the commission to make the results of those preliminary tests publicly available.

begin insert

(3) Existing law requires the commission to establish criteria for adopting a statewide home energy rating program for residential dwellings.

end insert

For existing single-family residential dwellings and multifamily residential dwellings with up to 4 units, the bill would require thebegin delete commissionend deletebegin insert commission, in administering the statewide home energy rating program,end insert to ensure that energy assessment tools used by the commission are routinely adjusted to improve modeling accuracy and to ensure that consumers receive a notice with the output of the energy assessment tools explaining the assumptions used in the energy assessment tools and how they may differ from actual usage patterns.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P3    1

SECTION 1.  

Section 25402 of the Public Resources Code is
2amended to read:

3

25402.  

The commission shall, after one or more public
4hearings, do all of the following, in order to reduce the wasteful,
5uneconomic, inefficient, or unnecessary consumption of energy,
6including the energy associated with the use of water:

7(a) (1) Prescribe, by regulation, lighting, insulation climate
8control system, and other building design and construction
9standards that increase the efficiency in the use of energy and water
10for new residential and new nonresidential buildings. The
11commission shall periodically update the standards and adopt any
12revision that, in its judgment, it deems necessary. Six months after
13the commission certifies an energy conservation manual pursuant
14to subdivision (c) of Section 25402.1, a city, county, city and
15county, or state agency shall not issue a permit for a building unless
16the building satisfies the standards prescribed by the commission
17pursuant to this subdivision or subdivision (b) that are in effect on
18the date an application for a building permit is filed. Water
19efficiency standards adopted pursuant to this subdivision shall be
20demonstrated by the commission to be necessary to save energy.

21(2) Prior to adopting a water efficiency standard for residential
22buildings, the Department of Housing and Community
23Development and the commission shall issue a joint finding
24whether the standard (A) is equivalent or superior in performance,
25safety, and for the protection of life, health, and general welfare
26to standards in Title 24 of the California Code of Regulations and
27(B) does not unreasonably or unnecessarily impact the ability of
28Californians to purchase or rent affordable housing, as determined
29by taking account of the overall benefit derived from water
30efficiency standards. This subdivision does not in any way reduce
31the authority of the Department of Housing and Community
32Development to adopt standards and regulations pursuant to Part
331.5 (commencing with Section 17910) of Division 13 of the Health
34and Safety Code.

35(3) Water efficiency standards and water conservation design
36standards adopted pursuant to this subdivision and subdivision (b)
37shall be consistent with the legislative findings of this division to
38ensure and maintain a reliable supply of electrical energy and be
P4    1equivalent to or superior to the performance, safety, and protection
2of life, health, and general welfare standards contained in Title 24
3of the California Code of Regulations. The commission shall
4consult with the members of the coordinating council as established
5in Section 18926 of the Health and Safety Code in the development
6of these standards.

7(b) (1) Prescribe, by regulation, energy and water conservation
8design standards for new residential and new nonresidential
9buildings. The standards shall be performance standards and shall
10be promulgated in terms of energy consumption per gross square
11foot of floorspace, but may also include devices, systems, and
12techniques required to conserve energy and water. The commission
13shall periodically review the standards and adopt any revision that,
14in its judgment, it deems necessary. A building that satisfies the
15standards prescribed pursuant to this subdivision need not comply
16with the standards prescribed pursuant to subdivision (a). Water
17conservation design standards adopted pursuant to this subdivision
18shall be demonstrated by the commission to be necessary to save
19energy. Prior to adopting a water conservation design standard for
20residential buildings, the Department of Housing and Community
21Development and the commission shall issue a joint finding
22whether the standard (A) is equivalent or superior in performance,
23safety, and for the protection of life, health, and general welfare
24to standards in the California Building Standards Code and (B)
25does not unreasonably or unnecessarily impact the ability of
26Californians to purchase or rent affordable housing, as determined
27by taking account of the overall benefit derived from the water
28conservation design standards. Nothing in this subdivision in any
29way reduces the authority of the Department of Housing and
30Community Development to adopt standards and regulations
31pursuant to Part 1.5 (commencing with Section 17910) of Division
3213 of the Health and Safety Code.

33(2) In order to increase public participation and improve the
34efficacy of the standards adopted pursuant to subdivisions (a) and
35(b), the commission shall, prior to publication of the notice of
36proposed action required by Section 18935 of the Health and Safety
37Code, involve parties who would be subject to the proposed
38regulations in public meetings regarding the proposed regulations.
39All potential affected parties shall be provided advance notice of
40these meetings and given an opportunity to provide written or oral
P5    1comments. During these public meetings, the commission shall
2receive and take into consideration input from all parties
3concerning the parties’ design recommendations, cost
4considerations, and other factors that would affect consumers and
5California businesses of the proposed standard. The commission
6shall take into consideration prior to the start of the notice of
7proposed action any input provided during these public meetings.

8(3) The standards adopted or revised pursuant to subdivisions
9(a) and (b) shall be cost-effective when taken in their entirety and
10when amortized over the economic life of the structure compared
11with historic practice. When determining cost-effectiveness, the
12commission shall consider the value of the water or energy saved,
13impact on product efficacy for the consumer, and the life-cycle
14cost of complying with the standard. The commission shall consider
15other relevant factors, as required by Sections 18930 and 18935
16of the Health and Safety Code, including, but not limited to, the
17impact on housing costs, the total statewide costs and benefits of
18the standard over its lifetime, economic impact on California
19businesses, and alternative approaches and their associated costs.

20(c) (1) (A) Prescribe, by regulation, standards for minimum
21levels of operating efficiency, based on a reasonable use pattern,
22and may prescribe or adopt other cost-effective measures, including
23incentive programs, fleet averaging, energy and water consumption
24labeling not preempted by federal labeling law, consumer education
25programs, and voluntary agreements to promote the use of energy
26and water efficient appliances whose use, as determined by the
27commission, requires a significant amount of energy or water on
28a statewide basis. The minimum levels of operating efficiency
29shall be based on feasible and attainable efficiencies or feasible
30improved efficiencies that will reduce the energy or water
31consumption growth rates. The standards shall become effective
32no sooner than one year after the date of adoption or revision. A
33new appliance manufactured on or after the effective date of the
34standards shall not be sold or offered for sale in the state, unless
35it is certified by the manufacturer thereof to be in compliance with
36the standards. The standards shall be drawn so that they do not
37result in any added total costs for consumers over the designed
38life of the appliances concerned.

39(B) In order to increase public participation and improve the
40efficacy of the standards adopted pursuant to this subdivision, the
P6    1commission shall, prior to publication of the notice of proposed
2 action required by Section 18935 of the Health and Safety Code,
3involve parties who would be subject to the proposed regulations
4in public meetings regarding the proposed regulations. All potential
5affected parties shall be provided advance notice of these meetings
6and given an opportunity to provide written or oral comments.
7During these public meetings, the commission shall receive and
8take into consideration input from all parties concerning the parties’
9design recommendations, cost considerations, and other factors
10that would affect consumers and California businesses of the
11proposed standard. The commission shall take into consideration
12prior to the start of the notice of proposed action any input provided
13during these public meetings.

14(C) The standards adopted or revised pursuant to this subdivision
15shall not result in any added total costs for consumers over the
16designed life of the appliances concerned. When determining
17 cost-effectiveness, the commission shall consider the value of the
18water or energy saved, impact on product efficacy for the
19consumer, and the life-cycle cost to the consumer of complying
20with the standard. The commission shall consider other relevant
21factors, as required by Sections 11346.5 and 11357 of the
22Government Code, including, but not limited to, the impact on
23housing costs, the total statewide costs and benefits of the standard
24over its lifetime, economic impact on California businesses, and
25alternative approaches and their associated costs.

26(2) A new appliance, except for any plumbing fitting, regulated
27under paragraph (1), that is manufactured on or after July 1, 1984,
28shall not be sold, or offered for sale, in the state, unless the date
29of the manufacture is permanently displayed in an accessible place
30on that appliance.

31(3) During the period of five years after the commission has
32adopted a standard for a particular appliance under paragraph (1),
33an increase or decrease in the minimum level of operating
34efficiency required by the standard for that appliance shall not
35become effective, unless the commission adopts other cost-effective
36measures for that appliance.

37(4) Neither the commission nor any other state agency shall
38take any action to decrease any standard adopted under this
39subdivision on or before June 30, 1985, prescribing minimum
40levels of operating efficiency or other energy conservation
P7    1measures for any appliance, unless the commission finds by a
2four-fifths vote that a decrease is of benefit to ratepayers, and that
3there is significant evidence of changed circumstances. Before
4January 1, 1986, the commission shall not take any action to
5increase a standard prescribing minimum levels of operating
6efficiency for any appliance or adopt a new standard under
7paragraph (1). Before January 1, 1986, any appliance manufacturer
8doing business in this state shall provide directly, or through an
9appropriate trade or industry association, information, as specified
10by the commission after consultation with manufacturers doing
11business in the state and appropriate trade or industry associations
12on sales of appliances so that the commission may study the effects
13of regulations on those sales. These informational requirements
14shall remain in effect until the information is received. The trade
15or industry association may submit sales information in an
16aggregated form in a manner that allows the commission to carry
17out the purposes of the study. The commission shall treat any sales
18information of an individual manufacturer as confidential and that
19information shall not be a public record. The commission shall not
20request any information that cannot be reasonably produced in the
21exercise of due diligence by the manufacturer. At least one year
22prior to the adoption or amendment of a standard for an appliance,
23the commission shall notify the Legislature of its intent, and the
24justification to adopt or amend a standard for the appliance. The
25commission shall rely on the most current data available and,
26whenever feasible, shall rely on data no older than one year prior
27to the commencement of a rulemaking proceeding to consider
28adoption or amendment of a standard for an appliance pursuant to
29this subdivision. Notwithstanding paragraph (3) and this paragraph,
30the commission may do any of the following:

31(A) Increase the minimum level of operating efficiency in an
32existing standard up to the level of the National Voluntary
33Consensus Standards 90, adopted by the American Society of
34Heating, Refrigeration, and Air Conditioning Engineers or, for
35appliances not covered by that standard, up to the level established
36in a similar nationwide consensus standard.

37(B) Change the measure or rating of efficiency of any standard,
38if the minimum level of operating efficiency remains substantially
39the same.

P8    1(C) Adjust the minimum level of operating efficiency in an
2existing standard in order to reflect changes in test procedures that
3the standards require manufacturers to use in certifying compliance,
4if the minimum level of operating efficiency remains substantially
5the same.

6(D) Readopt a standard preempted, enjoined, or otherwise found
7legally defective by an administrative agency or a lower court, if
8final legal action determines that the standard is valid and if the
9standard that is readopted is not more stringent than the standard
10that was found to be defective or preempted.

11(E) Repeal a standard for a particular appliance adopted under
12paragraph (1) if it finds that the standard is duplicative or
13inconsistent with federal or state law.

14(F) Adopt or amend any existing or new standard at any level
15of operating efficiency, if the Governor has declared an energy
16emergency as described in Section 8558 of the Government Code.

17(5) Notwithstanding paragraph (4), the commission may adopt
18standards pursuant to Commission Order No. 84-0111-1, on or
19before June 30, 1985.

20(d) (1) Recommend minimum standards of efficiency for the
21operation of a new facility at a particular site that are technically
22and economically feasible. A site and related facility shall not be
23certified pursuant to Chapter 6 (commencing with Section 25500),
24unless the applicant certifies that standards recommended by the
25commission have been considered, which certification shall include
26a statement specifying the extent to which conformance with the
27recommended standards will be achieved.

28(2) Whenever this section and Chapter 11.5 (commencing with
29Section 19878) of Part 3 of Division 13 of the Health and Safety
30Code are in conflict, the commission shall be governed by that
31chapter of the Health and Safety Code to the extent of the conflict.

32(e) The commission shall do all of the following:

33(1) Not later than January 1, 2004, amend any regulations in
34effect on January 1, 2003, pertaining to the energy efficiency
35standards for residential clothes washers to require that residential
36clothes washers manufactured on or after January 1, 2007, be at
37least as water efficient as commercial clothes washers.

38(2) Not later than April 1, 2004, petition the federal Department
39of Energy for an exemption from any relevant federal regulations
P9    1governing energy efficiency standards that are applicable to
2residential clothes washers.

3(3) Not later than January 1, 2005, report to the Legislature on
4its progress with respect to the requirements of paragraphs (1) and
5(2).

6

SEC. 2.  

Section 25402.1 of the Public Resources Code is
7amended to read:

8

25402.1.  

In order to implement the requirements of subdivisions
9(a) and (b) of Section 25402, all of the following shall apply:

10(a) The commission shall develop a public domain computer
11program that will enable contractors, builders, architects, engineers,
12and government officials to estimate the energy consumed by
13residential and nonresidential buildings. The commission may
14charge a fee for the use of the program, which shall be based upon
15the actual cost of the program, including any computer costs.

16(b) The commission shall establish a formal process for
17certification of compliance options for new products, materials,
18and calculation methods that provides for adequate technical and
19public review to ensure accurate, equitable, and timely evaluation
20of certification applications. Proponents filing applications for new
21products, materials, and calculation methods shall provide all
22information needed to evaluate the application that is required by
23the commission. The commission shall publish annually the results
24of its certification decisions and instructions to users and local
25building officials concerning requirements for showing compliance
26with the building standards for new products, materials, or
27calculation methods. The commission may charge and collect a
28reasonable fee from applicants to cover the costs under this
29subdivision. Any funds received by the commission for purposes
30of this subdivision shall be deposited in the Energy Resources
31Programs Account and, notwithstanding Section 13340 of the
32Government Code, are continuously appropriated to the
33commission for the purposes of this subdivision. Any
34unencumbered portion of funds collected as a fee for an application
35remaining in the Energy Resources Programs Account after
36completion of the certification process for that application shall
37be returned to the applicant within a reasonable period of time.

38(c) The commission shall include a prescriptive method of
39complying with the standards, including design aids such as a
40manual, sample calculations, and model structural designs.

P10   1(d) The commission shall conduct a pilot project of field testing
2of actual residential buildings to calibrate and identify potential
3needed changes in the modeling assumptions to increase the
4accuracy of the public domain computer program specified in
5subdivision (a) and to evaluate the impacts of the standards,
6including, but not limited to, the energy savings, cost-effectiveness,
7and the effects on indoor air quality. The pilot project shall be
8conducted pursuant to a contract entered into by the commission.
9The commission shall consult with the participants designated
10pursuant to Section 9202 of the Public Utilities Code, as that
11section read on December 31, 2003, to seek funding and support
12for field monitoring in each public utility service territory, with
13the University of California to take advantage of its extensive
14building monitoring expertise, and with the California Building
15Industry Association to coordinate the involvement of builders
16and developers throughout the state. The pilot project shall include
17periodic public workshops to develop plans and review progress.
18The commission shall prepare and submit a report to the Legislature
19on progress and initial findings not later than December 31, 1988,
20and a final report on the results of the pilot project on residential
21buildings not later than June 30, 1990. The report shall include
22recommendations regarding the need and feasibility of conducting
23further monitoring of actual residential and nonresidential
24buildings. The report shall also identify any revisions to the public
25 domain computer program and energy conservation standards if
26the pilot project determines that revisions are appropriate.

27(e) The commission shall certify, not later than 180 days after
28approval of the standards by the State Building Standards
29Commission, an energy conservation manual for use by designers,
30builders, and contractors of residential and nonresidential buildings.
31The manual shall be furnished upon request at a price sufficient
32to cover the costs of production and shall be distributed at no cost
33to all affected local agencies. The manual shall contain, but not be
34limited to, the following:

35(1) The standards for energy conservation established by the
36commission.

37(2) Forms, charts, tables, and other data to assist designers and
38builders in meeting the standards.

39(3) Design suggestions for meeting or exceeding the standards.

P11   1(4) Any other information which the commission finds will
2assist persons in conforming to the standards.

3(5) Instructions for use of the computer program for calculating
4energy consumption in residential and nonresidential buildings.

5(6) The prescriptive method for use as an alternative to the
6computer program.

7(f) The commission shall approve and make publicly available,
8not less than six months prior to the effective date of adopted or
9updated standards, the public domain computer program developed
10pursuant to subdivision (a). Before approving the public domain
11computer program, the commission shall do both of the following:

12(1) Perform preliminary tests of the public domain computer
13program using common examples of residential and nonresidential
14buildings and building systems to ensure the usability of the public
15domain computer program bybegin insert users of the program, including, but
16not limited to,end insert
architects, builders, contractors, and local code
17enforcement personnel.

18(2) Make the results of the preliminary tests publicly available.

begin delete

19(g) For existing single-family residential dwellings and
20multifamily residential dwellings with up to four units, the
21commission shall do both of the following:

end delete
begin delete

22(1) Ensure energy assessment tools used by the commission are
23routinely adjusted to improve modeling accuracy.

end delete
begin delete

24(2) Ensure that consumers receive a notice with the output of
25the energy assessment tools explaining the assumptions used in
26the energy assessment tools and how they may differ from actual
27usage patterns.

end delete
begin delete

28(h)

end delete

29begin insert(end insertbegin insertg)end insert The commission shall establish a continuing program of
30technical assistance to local building departments in the
31enforcement of subdivisions (a) and (b) of Section 25402 and this
32section. The program shall include the training of local officials
33in building technology and enforcement procedures related to
34energy conservation, and the development of complementary
35training programs conducted by local governments, educational
36institutions, and other public or private entities. The technical
37assistance program shall include the preparation and publication
38of forms and procedures for local building departments in
39performing the review of building plans and specifications. The
40commission shall provide, on a contract basis, a review of building
P12   1plans and specifications submitted by a local building department,
2and shall adopt a schedule of fees sufficient to repay the cost of
3those services.

begin delete

4(i)

end delete

5begin insert(end insertbegin inserth)end insert Subdivisions (a) and (b) of Section 25402 and this section,
6and the rules and regulations of the commission adopted pursuant
7to those provisions, shall be enforced by the building department
8of every city, county, or city and county.

9(1) A building permit for a residential or nonresidential building
10shall not be issued by a local building department, unless a review
11by the building department of the plans for the proposed residential
12or nonresidential building contains detailed energy system
13specifications and confirms that the building satisfies the minimum
14standards established pursuant to subdivision (a) or (b) of Section
1525402 and this section applicable to the building.

16(2) Where there is no local building department, the commission
17shall enforce subdivisions (a) and (b) of Section 25402 and this
18section.

19(3) If a local building department fails to enforce subdivisions
20(a) and (b) of Section 25402 and this section or any other provision
21of this chapter or standard adopted pursuant thereto, the
22commission may provide enforcement after furnishing 10 days’
23written notice to the local building department.

24(4) A city, county, or city and county may, by ordinance or
25resolution, prescribe a schedule of fees sufficient to pay the costs
26incurred in the enforcement of subdivisions (a) and (b) of Section
2725402 and this section. The commission may establish a schedule
28of fees sufficient to pay the costs incurred by that enforcement.

29(5) The construction of a state building shall not commence
30until the Department of General Services or the state agency that
31otherwise has jurisdiction over the property reviews the plans for
32the proposed building and certifies that the plans satisfy the
33minimum standards established pursuant to Chapter 2.8
34(commencing with Section 15814.30) of Part 10b of Division 3 of
35Title 2 of the Government Code, subdivision (a) or (b) of Section
3625402, and this section that are applicable to the building.

begin delete

37(j)

end delete

38begin insert(end insertbegin inserti)end insert Subdivisions (a) and (b) of Section 25402 and this section
39shall apply only to new residential and nonresidential buildings
40on which actual site preparation and construction have not
P13   1commenced prior to the effective date of rules and regulations
2adopted pursuant to those sections that are applicable to those
3buildings. Those sections shall not prohibit either of the following:

4(1) The enforcement of state or local energy conservation or
5energy insulation standards, adopted prior to the effective date of
6rules and regulations adopted pursuant to subdivisions (a) and (b)
7of Section 25402 and this section with regard to residential and
8nonresidential buildings on which actual site preparation and
9construction have commenced prior to that date.

10(2) The enforcement of city or county energy conservation or
11energy insulation standards, whenever adopted, with regard to
12residential and nonresidential buildings on which actual site
13preparation and construction have not commenced prior to the
14effective date of rules and regulations adopted pursuant to
15subdivisions (a) and (b) of Section 25402 and this section, if the
16city or county files the basis of its determination that the standards
17are cost effective with the commission and the commission finds
18that the standards will require the diminution of energy
19consumption levels permitted by the rules and regulations adopted
20pursuant to those sections. If, after two or more years after the
21filing with the commission of the determination that those standards
22are cost effective, there has been a substantial change in the factual
23circumstances affecting the determination, upon application by
24any interested party, the city or county shall update and file a new
25basis of its determination that the standards are cost effective. The
26determination that the standards are cost effective shall be adopted
27by the governing body of the city or county at a public meeting.
28If, at the meeting on the matter, the governing body determines
29that the standards are no longer cost effective, the standards shall,
30as of that date, be unenforceable and no building permit or other
31entitlement shall be denied based on the noncompliance with the
32standards.

begin delete

33(k)

end delete

34begin insert(end insertbegin insertj)end insert The commission may exempt from the requirements of this
35section and of any regulations adopted pursuant to this section any
36proposed building for which compliance would be impossible
37without substantial delays and increases in cost of construction, if
38the commission finds that substantial funds have been expended
39in good faith on planning, designing, architecture, or engineering
40prior to the date of adoption of the regulations.

begin delete

P14   1(l)

end delete

2begin insert(end insertbegin insertk)end insert If a dispute arises between an applicant for a building permit,
3or the state pursuant to paragraph (5) of subdivisionbegin delete (i),end deletebegin insert (h),end insert and
4the building department regarding interpretation of Section 25402
5or the regulations adopted pursuant thereto, either party may submit
6the dispute to the commission for resolution. The commission’s
7determination of the matter shall be binding on the parties.

begin delete

8(m)

end delete

9begin insert(end insertbegin insertl)end insert Nothing in Section 25130, 25131, or 25402, or in this section
10prevents enforcement of any regulation adopted pursuant to this
11chapter, or Chapter 11.5 (commencing with Section 19878) of Part
123 of Division 13 of the Health and Safety Code as they existed
13prior to September 16, 1977.

14begin insert

begin insertSEC. 3.end insert  

end insert

begin insertSection 25942 of the end insertbegin insertPublic Resources Codeend insertbegin insert is
15amended to read:end insert

16

25942.  

(a) On or before July 1, 1995, the commission shall
17establish criteria for adopting a statewide home energy rating
18program for residential dwellings. The program criteria shall
19include, but are not limited to, all of the following elements:

20(1) Consistent, accurate, and uniform ratings based on a single
21statewide rating scale.

22(2) Reasonable estimates of potential utility bill savings, and
23reliable recommendations on cost-effective measures to improve
24energy efficiency.

25(3) Training and certification procedures for home raters and
26quality assurance procedures to promote accurate ratings and to
27 protect consumers.

28(4) In coordination with home energy rating service organization
29begin delete data bases,end deletebegin insert databases,end insert procedures to establish a centralized,
30publicly accessible,begin delete data baseend deletebegin insert databaseend insert that includes a uniform
31reporting system for information on residential dwellings,
32excluding proprietary information, needed to facilitate the program.
33There shall be no public access to information in thebegin delete data baseend delete
34begin insert databaseend insert concerning specific dwellings without the owner’s or
35occupant’s permission.

36(5) Labeling procedures that will meet the needs of home buyers,
37homeowners, renters, the real estate industry, and mortgage lenders
38with an interest in home energy ratings.

39(b) The commission shall adopt the program pursuant to
40subdivision (a) in consultation with representatives of the
P15   1Department of Real Estate, the Department of Housing and
2Community Development, the Public Utilities Commission,
3investor-owned and municipal utilities, cities and counties, real
4estate licensees, home builders, mortgage lenders, home appraisers
5and inspectors, home energy rating organizations, contractors who
6provide home energy services, consumer groups, and
7environmental groups.

8(c) On and after January 1, 1996,begin delete noend deletebegin insert aend insert home energy rating
9servicesbegin delete mayend deletebegin insert shall notend insert be performed in this state unless the services
10have been certified, if such a certification program is available, by
11the commission to be in compliance with the program criteria
12specified in subdivision (a) and, in addition, are in conformity with
13any other applicable element of the program.

14(d) On or before July 1, 1996, the commission shall consult with
15the agencies and organizations described in subdivision (b), to
16facilitate a public information program to inform homeowners,
17rental property owners, renters, sellers, and others of the existence
18of the statewide home energy rating program adopted by the
19commission.

20(e) begin deleteBeginning with the 1998 biennial energy conservation report
21required by Section 25401.1, the end delete
begin insertThe end insertcommission shall, as part of
22begin delete thatend deletebegin insert theend insert biennialbegin delete report,end delete reportbegin insert prepared pursuant to Section 25302,
23reportend insert
on the progress made to implement a statewide home energy
24rating program. The report shall include an evaluation of the energy
25savings attributable to the program, and a recommendation
26concerning which means and methods will be most efficient and
27cost-effective to induce home energy ratings for residential
28dwellings.

begin insert

29(f) For existing single-family residential dwellings and
30multifamily residential dwellings with up to four units, the
31commission shall do both of the following in administering the
32statewide home energy rating program:

end insert
begin insert

33(1) Ensure energy assessment tools used by the commission are
34routinely adjusted to improve modeling accuracy.

end insert
begin insert

35(2) Ensure that consumers receive a notice with the output of
36the energy assessment tools explaining the assumptions used in
37the energy assessment tools and how they may differ from actual
38usage patterns.

end insert


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