Energy Code Works

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Starting January 1, 2010 California began enforcing the ASHRAE 62.2 Indoor Ventilation Code as part of the new Title-24 Building Efficiency Standards.  Many architects, contractors, and building departments have been struggling to understand and implement the requirements as they wade thru the fairly complex and dense language of the ASHRAE 62.2-2007 code book and the references contained in the 2008 Title-24 Building Efficiency Standards and the Residential Manual.

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The California Energy Commission has promised and delivered a very helpful users guide that is now available for download.  Entitled: “Guide to the Indoor Ventilation Requirements of the 2008 Building Energy Efficiency Standards (ASHRAE 62.2).

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The guide contains, in a checklist format, the requirements for showing compliance with an exhaust-only ventilation approach including a very helpful appendix that contains the much anticipated sample note blocks that can be placed on the building plans for plancheck without the need to complete the actual CF-6R-MECH-5 Certificate of Installation which is not required to be produced until inspection.  This allows the designer to specify on the plans submitted to plancheck the requirements for ventilation airflow, the rooms where the whole-building and local ventilation exhaust fans will be located, and the duct sizing for the whole-building and local ventilation.

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These sample noteblocks can now be used and place on the plans to meet the requirements for submittal of the ventilation system specifications for plancheck.

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Click here to download

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The Federal Housing Finance Agency (FHFA) on July 6 effectively shut down Property Assessed Clean Energy (PACE) financing programs, which it said “present significant safety and soundness concerns,” and it directedFannie Mae, Freddie Mac and the Federal Home Loan Banks to take a number of steps to resolve problems with the first liens that are established by PACE loans.

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PACE programs have been embraced by the Obama Administration and state and local municipalities as a means to finance the upfront costs of energy-efficient retrofits for residential and commercial properties. The programs enable the costs for these upgrades to be repaid through a special assessment added to the home owner’s property tax bill. The assessment stays with the property and is transferred to subsequent owners until the retrofit costs are repaid.

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Under the programs, property owners borrow the money from their local government and repay the loans over 15 to 20 years. Funding comes from municipal PACE bonds that are sold to investors.

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PACE loans have run afoul of Fannie Mae and Freddie Mac guidelines because most establish liens that are senior to existing mortgage debt. In the case of a default, the municipality would be repaid for the PACE loan before Fannie and Freddie received any money on the mortgage.

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Some 22 states and hundreds of local governments have been developing PACE programs, with more than $100 million in federal support.

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First publicly raising concerns about the programs in a letter dated June 18, 2009, the FHFA has been working with states and localities since that time to resolve the issue through improved underwriting of the loans and most importantly to get them to accept a junior lien position, which for the most part they have been unwilling to do.

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On May 5, Fannie and Freddie issued letters to their seller/servicers cautioning them to be aware of PACE programs in their jurisdictions and reminding them that programs with liens superior to the mortgage run counter to their Uniform Security Instruments, which govern securities backed by Fannie and Freddie loan purchases.

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The letters did not provide guidance on how to handle existing PACE loans, putting a chill on existing PACE programs until further guidance was provided.

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In its July 6 statement, the FHFA said that it was directing Fannie and Freddie to waive their Uniform Security Instrument prohibitions against PACE loans with a priority first lien that were obtained by home owners before that date.

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The agency also said that Fannie and Freddie should protect their safe and sound operations by undertaking several actions to address PACE programs with first liens.

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This includes adjusting loan-to-value ratios to reflect the maximum permissible PACE loan amount available to borrowers. This varies by jurisdiction, but is typically 10% to 20% of the property value and can be as much as $50,000.

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Fannie and Freddie were also told to ensure that loan covenants require approval/consent for any PACE loan; to tighten borrower debt-to-income ratios to account for additional obligations associated with possible future PACE loans; and to ensure that mortgages on properties in a jurisdiction offering PACE programs satisfy all applicable federal and state lending regulations and guidance.

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It is not yet clear how Fannie and Freddie will implement this directive, but they are expected to come out with guidance for their seller/servicers. They could require that borrowers seek permission from lenders on each lien. They could also tighten lending standards for all borrowers in jurisdictions that have PACE programs.

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Significantly, the Office of the Comptroller of the Currency and the Federal Deposit Insurance Corporation also released statements on PACE bonds echoing the FHFA’s concerns and advising banks that invest in mortgage-backed securities with PACE liens to consider the impact of the lien on the security valuation.

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NAHB has been monitoring developments on this issue, but has formulated no policy on PACE programs. Several home builders associations have expressed interest in these programs, particularly in California and Colorado.

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For more information, e-mail Chellie Hamecs at NAHB, or call her at 800-368-5242 x8425.

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As of January 1, 2010, the California Energy Commission’s updated Title-24 Building Energy Efficiency Standards for residential and non-residential roofing are now in force, otherwise know as “Cool-Roof”

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The new Cool Roof requirements affect new construction, significant repairs of existing roofs, re-roofing, plus additions and alterations of existing buildings and homes.

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With the old 2005 Title-24 energy code a residential cool roof was an optional energy efficiency measure, however on January 1, 2010, cool roofs are now required for most residential buildings in many of California’s 16 climate zones.  Cool roof standards are designed to reduce air conditioner demand, save money, and reduce the urban heat island effect.

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Cool roof requirements for residential and non-residential now apply to low-slope and steep-slope roofs.  The ages solar reflectance and thermal emittance requirements will vary, depending on the slope of the roof, climate zone, and the density of the roofing product.  All roofing products must be certified and labeled according to the Cool Roof Rating Council (CRRC) to comply with the Standards.  There are exceptions to both residential and non-residential requirements.

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Here’s how it works:

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New construction:

First, determine which climate zone your project is located in, 1 thru 16.  The cool roof requirements vary depending on the climate zone.

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Next, determine your roof slope.  The Title-24 prescriptive requirements divide roofs into two categories, Low Slope (less than 2:12 pitch) and Steep Slope (greater than 2:12 pitch).

Then, determine the weight of the roofing material.  The prescriptive tables divide roofing materials into two weight categories.  Less than 5 lb/sq. ft. or greater than 5 lb/sq. ft.  The cool roof requirements vary depending on roofing material weight.  As a rule, lighter weight roofing material (asphalt shingles) have a lower cool roof requirements than heavier roofing products like tile roofing.

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Once you have these factors determined then you simply consult one of the most important tables in the new 2008 Title-24 Building Efficiency Standards, Table 151-D.  This table outlines all of the residential prescriptive requirements, including the cool roof requirements.  Table 151-D is divided into the 16 unique California Climate Zones with their own specific building component requirements per climate zone.

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First look across the top row to find your correct climate zone for your project location.  We’ll use climate zone #8 for an example.  Then go down along the left hand column until you come to “Roofing Products”.  There you will select your roofing slope type and roofing weight per sq. ft.  Then simply move to the right in the table until you see the Cool Roof requirements for your climate zone.  In our example we are using tile roofing with a weight greater than 5 lb/sq. ft. on a steep slope roof (greater than 2:12) and for climate zone #8 the cool roof requirements are an Aged Solar Reflectance of 0.15 and a Thermal Emittance of 0.75.  That is your Cool Roof specification for your roofing product.  In addition, whatever roofing product you select must meet these numbers and be certified by the Cool Roof Rating Council, (CRRC).   There are cool roof products sold in California that are Energy Star Certified but this does not automatically qualify the product as a CRRC certified product.

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click on image below to enlarge

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Re-Roofs

Cool roof requirements are triggered when either 50 percent of the roof area or more than 1,000 sq. ft., whichever is less is replaced.  The cool roof requirements for re-roofs are the same as for new construction and use the same values from Table 151-D noted above.  However there are exceptions which can be used to offset the cool roof requirement.  If one of the exceptions below applies then the cool roof requirements are not triggered:

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Exceptions:

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1. Buildings with no ducts in the attic, or

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2. A radiant barrier is installed in the attic meeting the radiant barrier requirements of section 152(f) 2 of the Title-24 Standards, or

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3. Buildings with at least R-30 ceiling insulation or,

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4. Buildings in Climate Zones 10, 11, 13 and 14, R-3 or greater roof deck insulation above a vented attic, or

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5. Existing ducts in the attic are insulated and sealed and HERS tested according to section 151(f) 10, or

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6. Insulation with a thermal resistance of at least 0.85hr ft2 degree F/btu or at least 3/4 inch air-space is added to the roof deck over an attic, or

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7. In climate zones, 10, 12, and 13, with 1 sq. ft.  free ventilation area of attic ventilation for every 150 sq. ft. of attic floor area, and where at least 30 percent of the free ventilation area is within two feet vertical distance of the roof ridge; or

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8. If the building can show compliance without cool roof using the performance approach (Title-24 calculation)

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Finding the Needle in the Haystack

The new 2008 Title-24 Manual and the separate Standards and Appendix all refer to the Cool Roof requirements but these references and tables are spread out in all three documents making it difficult to locate specific facts and figures.  We’ve posted a helpful compilation in pdf format of all the relevant Cool Roof Title-24 code references including Table 151-D

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click here to download

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Cool roofing materials now come in a wide variety of materials and colors.  Nonwhite pigments with high near-infrared (NIR) reflectance historically have been used to camouflage military surfaces (by mimicking foliage) and to minimize solar heating of dark exterior architectural surfaces, such as colored vinyl siding and gray battleship hulls.  In recent years roofing manufacturers have incorporated NIR-reflecting pigments in coatings applied to a variety of nonwhite roofing products, such as metal panels and clay tiles.

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Replacing NIR-absorbing (“conventional”) roofing with visually similar, NIR-reflecting (“cool”) roofing can significantly reduce building heat gain.  A roof with a high solar reflectance (ability to reflect sunlight) and high thermal emittance (ability to radiate heat) stays cool in the sun, reduces demand for cooling power in conditioned buildings, and increases occupant comfort in unconditioned buildings.

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Aged Reflectance Requirements

Effective January 1, 2010 the Standards will require that a Cool Roof material meet an aged solar reflectance value (3 year testing) provided by the Cool Roof Rating Council (CRRC): www.coolroofs.org

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If the three year aged solar reflectance value is not available from the CRRC, then you can input the initial solar reflectance value from the CRRC into the calculation listed below which will assume an aged solar reflectance for the cool roof material.

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Here is an example of how to complete the calculation:

1. Three year aged solar reflectance not available fro the CRRC.
2. Initial solar reflectance value is available from the CRRC (let’s assume an initial solar reflectance value of 0.77).
3. Input intial solar reflectance value into the equation:

[0.2 + 0.7 (initial solar reflectance - 0.2]

[0.2 + 0.7 (0.77 - 0.2]

[0.2 + 0.7 (0.57)]

[0.2 + 0.40] = 0.60 aged solar reflectance

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Upcoming Title-24 training webinar:  Thursday, February 11, 2010.

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The new 2008 Title-24 Energy Standards take effect January 1, 2010 and include significant changes to the HVAC change-out rules that have been in place since 2005.  The 2005 Energy Code required Duct Sealing and Testing by a certified HERS rater whenever you changed out an HVAC system.  In the 2005 code HVAC contractors were allowed in some cases to avoid duct sealing and testing by installing equipment with a higher efficiency or SEER rating.  That option has now been eliminated.

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Beginning on January 1, 2010 this all changes as follows:

The new 2008 Title-24 standards require Duct Sealing and Testing in climate zones 2, & 9-16

(click here for a climate zone map of California).

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In addition the TXV verification inspection has been eliminated and now more detailed verification of the refrigerant charge is required in climate zones 2, & 8-15.  Refrigerant Charge verification by a HERS rater is triggered if the entire HVAC system is installed, or if the outdoor condensing unit is installed or, if the indoor coil is replaced.

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Here is how the Refrigerant Charge Measurement verification works:

When a new A/C system is installed, the installing contractor performs the refrigerant charge measurement and has an independent, third party HERS rater verify.  This applies when either replacing an existing HVAC unit or installing a new system.  The contractor then fills out the appropriate sections of the standard CF-6R form indicating the proper amount of refrigerant charge.  The HERS rater then verifies the refrigerant charge using one of two possible methods.  The first, called an intrusive method, involves the HERS rater attaching their own gauges to the system to measure the refrigerant charge.  This does not set well with many HVAC contractors.  Because of this another approach may be used, this is referred to as a “non-intrusive” method.  This method requires the HVAC installer to install temperature measurement access holes and saturation temperature measurement sensors.  This allows the HERS rater to verify the system performance and refrigerant charge without attaching gauges to the system.

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The temperature measurement access holes are 5/16? holes that the contractor drills, one in the supply plenum and one in the return plenum.  Exact locations are specified in the standards.  HVAC installers can attend training seminars sponsored by the state to become familiar with the details of this process.  I attended one recently and became fairly proficient with the process in about 2 hours of hands on training.

The Saturation temperature measurement sensors are Type K thermocouples that are permanently attached to the evaporator coil and the condenser coil.  The plug on the end of the thermocouple is plugged into a handheld digital thermometer to read the temperature which is then converted into pressure.  The Type K thermocouple must be precisely attached to the indoor coil and the outdoor unit. Sens-A-Coil is one solution for this requirement.

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The HERS rater then will use their handheld digital thermometer to take eight temperature readings at the system.  The temperature readings are then used to complete a worksheet that determines that a proper refrigerant charge for the system was used.

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Cooling Coil Airflow test

Additionally, in Climate Zone’s 10-15, when both the air handler and the duct system are replaced, the HVAC installer must document that the air handler can deliver at least 350 cfm per ton in cooling mode.  This applies to both split and package HVAC units.  The airflow is measured at the return air grill using one of three approved methods:

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1. Flow capture hood

2. Flow Grid Device

3. Plenum pressure matching procedure.

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A well design duct system will meet the 350 cfm/ton requirement easily, however a duct system that is poorly designed, with many bends that inhibit airflow will fail this test.  This test must be performed by an independent HERS rater.  However the HVAC contractor must first measure the airflow themselves and then fill out the appropriate sections on the CF-6R form.  The HERS rater verifies this with their own airflow test and then will fill out and register the CF-4R form which is then provided to the HVAC contractor, building department and homeowner.

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Fan Watt Draw verification

In climate zones 10-15 if the HVAC contractor installs or replaces both the duct system and the air handler the system must meet a Fan Watt Draw standard of 0.58 watts per cfm of airflow for the air handler.  This is a fairly simple test to perform.  The first step is to measure the total system airflow.  Then multiply this number by 0.58 which will give you the maximum watts that the air handler fan can draw.  The final step is to measure the actual fan watt draw using either a plug-in watt meter or a clamp type amp meter and then convert the amps to watts.  An independant HERS rater must verify this test and again fill out a CF-4R to complete this process.

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Non-Residential Application:

Duct leakage is prescriptively required in non-residential projects only when all of the following is true:

1. The system is constant volume

2. It serves less than 5000 sq. ft. of conditioned space

3. 25% or more of the duct surface area is located in the outdoors, unconditioned space, a ventilated attic, in a crawl space or where the U-factor of the roof is greater than the U-factor of the ceiling.

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Where duct sealing and leakage testing is required, the ducts must be tested by a HERS rater to verify a leakage rate no more than 6% of fan flow.  This applies to new ducts on existing systems AND existing ducts on existing systems that are being either repaired or replaced.

When a entirely new duct system is being installed, and meets the criteria described above, it must meet the leakage rate of no more than 6% of fan flow.  If the new ducts are an extension of an existing duct system the combined system (new and existing ducts) must meet:

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1. A leakage rate of less than 15% of fan flow or,

2. A reduction in leakage rate of less than 60% (as compared to the existing ductwork) with all accessible leaks that are visable (with a smoke test) to have been sealed, or

3. All accessible leaks shall be sealed and verified through a visual inspection by a certified HERS rater.

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These requirements also apply to cases where existing HVAC equipment is either repaired or replaced.  There is an exception for ducts that are connected to existing ducts that have asbestos insulation sealant.

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Another way around the duct sealing and testing requirement is to use the performance compliance method which requires a more complex and detailed analysis of the buildings performance.  If you meet the allowed energy budget for the building without duct sealing and testing then you comply.

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New February 11th, 2010 Title-24 residential lighting/ventilation training webinar

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Are LED fixtures considered high efficacy? fixtures?

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The 2005 and 2008 Title-24 Building Energy Standards require that at least 50% of the total kitchen lighting watts must come from high efficacy lighting fixtures.  Linear and compact fluorescent fixtures typically meet the definition of high efficacy as defined in the standards however LED fixtures do not always qualify.

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The standards state that in order to qualify as high efficacy the LED fixture must be certified as such by the California Energy Commision and not be used in combination with low efficacy lighting systems in a hybrid LED luminaire.  Screw in type LED fixtures do not qualify as high efficacy simply because they can easily be replaced with a low efficacy luminaire after inspection.

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Also all high efficacy fixtures in the kitchen must be switched separately from the low efficacy fixtures.  If high efficacy and low efficacy fixtures share the same switch then all the fixtures served by that switch must be considered low efficacy.

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For additional details on the Title-24 kitchen lighting requirements click here.

Songwriter Jonathan Downing and his wife, Tiffany Sewell, bought a house that still needs some work in Boston’s Jamaica Plain neighborhood. The combination of record low interest rates, lower prices, and a tax credit for first-time homebuyers is creating incentives for some people to take the plunge into homeownership.

Housing has been an albatross around the economy’s neck, dragging it down over the past couple of years. Although there are still some big problems, there also are signs of life — along with a sense of hope that the market is starting to pull out of this historic crash.

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One a recent chilly winter day in Boston, songwriter Jonathan Downing was playing the piano in his dining room. The bright morning sunlight streamed in through a bay window, illuminating many unpacked boxes.

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Downing and his wife, Tiffany Sewell, bought their house a couple of weeks ago after he got into Boston’s Berklee College of Music. They were scrambling a bit to find a place to buy quickly, and they think they got a good deal: They paid $250,000 for a solidly built, turn-of-the-century, single-family house in Boston’s Jamaica Plain neighborhood. It still needs some work.

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The couple’s Realtor, John Bristol, says more homebuyers are stepping up to the plate because of the combination of record low interest rates, lower prices, and a tax credit for first-time homebuyers. There’s also a sense that the economy isn’t headed for complete Armageddon.

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“I think it will be that way next year — a buyers market,” Bristol says. That’s so long as interest rates remain low.

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Rising Home Sales

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Nationally, sales of existing single-family homes rose nearly 20 percent over just the past few months. But prices in most places are not going up. In part, that’s because a glut of foreclosures keeps putting downward pressure on prices. The Bristols’ house is an example: A previous owner was headed for foreclosure and the bank agreed to let the house go for less than that person owed on it.

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Unemployment still remains very high. So Bristol doesn’t expect prices to start rising anytime soon. He says we still have a long way to go: “I hate to say it — three to five years before we start seeing some good appreciation.”

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A Worsening Foreclosure Crisis?

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One closely watched housing index, the Standard & Poor’s Case-Shiller Home Price Index, shows about a 30 percent decline in prices nationally from the peak during the housing bubble.

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The index had been showing some very modest price increases in some metro areas as compared with the month before, which might suggest that prices are starting to bottom out. But the latest round of data showed prices staying pretty flat. And many economists expect prices to slip a bit further — perhaps an additional 5 to 10 percent.

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“I just don’t see prices bottoming out, simply because the foreclosure problem is so serious,” says Patrick Newport, a housing economist with IHS Global Insight

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Newport says 1 in 4 homeowners in the U.S. is “upside down” in his home, owing more than the house is worth. He worries more of them could decide to walk away from their homes. And so he thinks the foreclosure crisis — already the worst in 50 years — could get even uglier in 2010.

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Newport says we still don’t have a handle on how high foreclosure rates will go, even though the rest of the economy is getting better and starting to grow.

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Homebuilding Jobs

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On a brighter note, economists are hoping to see some improvement when it comes to homebuilding. After the housing bubble burst, homebuilding all but ground to a halt. The country has lost hundreds of thousands of jobs related to residential construction.

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“The level of construction is extremely low — about as low as it has been since World War II,” says Mark Zandi, chief economist of Moody’s economy.com.

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Zandi says builders have pulled back so much that even if the housing market remains a bit anemic, homebuilding is likely to pick up in 2010. He says that’s a very important change.

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Housing construction is expected to go from being a very significant drag on the economy to being a small positive. Zandi adds, “That’s very key to ensuring that the economic recovery continues on and ultimately evolves into an expansion.”

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In other words, more homes getting built next year could mean more construction jobs, more orders for windows and doors, refrigerators — everything that goes along with a new home. The National Association of Home Builders predicts a 35 percent increase in homebuilding in 2010. So, Zandi says there are more reasons to be optimistic about the housing market and the broader economy.

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More Attention On Foreclosure Prevention

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Both Zandi and Newport think that unemployment and the foreclosure crisis will continue to slow down the housing market’s recovery. Zandi says he’d like to see some improvements to the latest government efforts to prevent foreclosures. With so many people upside down on their mortgages, banks and policymakers in Washington are looking at new efforts to try to give people an incentive not to walk away from their homes.

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There are some other wild cards for the housing market in 2010. One is what will happen when the government starts to wind down the emergency measures it has been undertaking to keep interest rates low and make mortgages more available. Those efforts have been keeping the housing market alive. So it is unclear what will happen as the government starts to ease back on that stimulus.

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Related NPR Stories

January 1, 2010 marks the introduction of the latest version of California’s Title-24 Building Efficiency Standards, officially known as Title-24, Part 6.   Originally slated to take effect in August then pushed back to October of this year, delays in the compliance software necessitated delaying enforcement of the new code until January 1, 2010.   Two new components of the new energy code will introduce new compliance forms that will add an additional layer of complexity to the compliance process.  The first is the adoption of AHSRAE 62.2-2007 which means that for the first time in California all low-rise residential buildings are required to provide not only local exhaust for bathrooms and kitchens but also provide whole house mechanical ventilation to address poor indoor air quality that ironically has been an unanticipated side effect of improvements in the energy code over the past twenty years.

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As buildings became tighter with less air infiltration occupants were exposed to increasing levels of moisture, mold and the toxic out-gassing of chemicals from carpeting, laminated wood products, paints and adhesives common in newly constructed dwellings.  The state building code has always mandated a minimum level of open-able window area per room to allow for natural ventilation but those living in more severe climate zones simply were not using these windows for ventilation preferring to keep the windows and doors closed tight and rely on their air conditioning or furnace while indoor air quality suffered.  Increases in cases of allergies and asthma have been directly linked to poor indoor air quality in the home which is often many times worse than the ambient outdoor air.

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Starting January 1, 2010 in addition to the existing local exhaust code requirement the new ASHRAE 62.2 ventilation code will require designers to calculate a minimum level if air changes per hour and install either a continuously operating, quiet fan that will constantly introduce a measured flow of fresh air into the home or specify an intermittently operating fan with a smart control that cycles the fan on and off during a 24 hour period to provide the same minimum level of fresh air into the dwelling.  ASHRAE 62.2 will apply to all new residential low-rise construction, three stories or less, and for additions larger than 1,000 sq. ft.

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Another looming headache for the unprepared is the expanded number of Certificates of Installation, CF-6R forms.  Introduced during the 2005 Title-24 code cycle these forms are intended to provide accountability to ensure that the building’s energy features are correctly installed.  There are now 26 unique CF-6R forms for the three primary categories of energy features: building envelope, mechanical, and lighting measures.  Any contractor or specialty subcontractor must complete these construction certificates verifying that the contractor is aware of the requirements of the building energy standards and they have followed the proper procedures for installation.

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• HVAC system: The contractor who installs mechanical equipment signs this part. Heating and cooling equipment are listed and the energy efficiency, capacity, design loads of each piece of equipment are documented.
• Water Heating Systems. This part includes information about the water heating equipment including model number, energy efficiency, tank size, and input rating. The installer also verifies that faucets and shower heads are certified and comply with the appliance standards.
• Fenestration/Glazing. This part includes a list of all windows installed in the home. For each, the U-factor, SHGC, area, number of panes, and number of windows of this type in the building are indicated. This page is signed by the contractor that installs the windows.
• Duct Leakage and Design Diagnostics. This part is signed by the contractor responsible for installing the HVAC ducts, verifying that they comply with the leakage requirements. On this form the contractor includes the results of their own duct test, which will later be verified by a third-part inspector (HERS rater).
• Insulation Certificate. This part is completed and signed by the contractor when credit is taken for quality insulation installation then later verified by a third party inspector (HERS rater).
• Lighting Systems. This part is completed and signed by the contractor responsible for installing hard-wired lighting system.

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A copy of the completed signed and dated CF-6R forms must be posted at the building site for review by the enforcement agency during the final inspection of the building.  Failure to provide a completed and CF-6R form will hold up the occupancy approval as well has delay any necessary HERS verification inspections/tests such as duct testing as the HERS rater must have a completed and signed CF-6R in order to register the project with the state HERS provider, either CHEERS or CalCERTS.

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For the past few years many building departments have fairly lax in requesting completed and signed CF-6R forms.  Starting January 1, 2010 expect significantly more rigorous enforcement as the compliance and legal language have been toughened.  Also numerous HERS verification inspections cannot be performed without a completed and signed CF-6R form which means contractors can expect some urgent phone calls from HERS raters requesting completed and signed CF-6R forms so the HERS rater can complete their inspections.  Utility incentives can also be held up as they also require these documents.

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Training:

Because of the widespread lack of understanding in completing the CF-6R forms there are available a number of training seminars to train contractors and building officials in filling out and planchecking the CF-6R forms.  For details on our upcoming webinars on this subject click here.

FTC Proposes New Output-Based Labels for Light Bulbs

The days of referring to a compact fluorescent lamp (CFL) as being “equivalent to a 60-watt light bulb” may soon be over, as the Federal Trade Commission (FTC) has proposed new labels for light bulbs that are based on light output rather than energy consumption. The marketplace has been changing quickly with the emergence of newer, more energy-efficient technologies—such as CFLs and light-emitting diode (LED) products—as traditional incandescent bulbs are phased out. The proposed labels provide consumers with information to help them choose among different bulb types.

The Notice of Proposed Rulemaking (NOPR) seeks public comments on new labels that emphasize lumens, not watts, as the measure of bulb brightness. This information, along with estimated energy cost information, would appear on the front of the light bulb package. The back of the package would display a “Lighting Facts” label modeled after the “Nutrition Facts” label for food packages. The Lighting Facts label would provide information about brightness, energy cost, the bulb’s expected life, color temperature (for example, whether the bulb provides “warm” or “cool” light), as well as wattage. The label also would require disclosures for bulbs containing mercury. The bulb’s output in lumens—and a mercury disclosure for bulbs that contain mercury—would also have to be placed on the bulb itself. The NOPR was published in the Federal Register on November 10, and comments are due by December 28.

The Energy Independence and Security Act of 2007 requires the FTC to consider the effectiveness of current bulb labeling requirements and explore alternative labeling approaches. As the first step, the FTC issued an Advance Notice of Proposed Rulemaking last year, seeking comments on existing labeling requirements and possible labeling alternatives, and then held a public roundtable to gather more information. See the FTC press release, and the Federal Register Notice (PDF 663 KB), which includes samples of the proposed labels

Great interview with Paul Goldberger, who writes about architectural design for the New Yorker magazine.

Click here to listen

In a major victory for NAHB that will boost the fledgling housing recovery and help struggling business owners nationwide, Congress last week approved legislation that will extend the first-time home buyer tax credit beyond its Nov. 30 deadline and expand it to a wider group of home buyers. The bill also provides relief to cash-strapped home builders by providing broader tax benefits for businesses with net operating losses (NOLs).

The legislation, which was signed into law by President Obama on Nov. 6, will extend the $8,000 credit for first-time home buyers for sales contracts entered into by April 30, 2010 and closed on by June 30. It has been expanded to include a new $6,500 credit for owners of existing homes who are purchasing a new principal residence. Existing home owners can claim the $6,500 tax credit if they have been residing in their principal residence for five consecutive years out of the last eight.

In more good news, the income eligibility limits to claim the full credit amount for both groups of home buyers have been raised from $75,000 for single taxpayers and $150,000 for married taxpayers filing a joint return to $125,000 for individuals and $225,000 for married couples.

NAHB’s consumer-oriented Web site, www.FederalHousingTaxCredit.com, provides complete details on the enhanced home buyer tax credit.

NAHB has launched a set of resources at www.nahb.org/taxcreditresources to help association members understand and promote the new tax credit.

For NOLs, the new law will allow all businesses — regardless of size — with operating losses in 2008 or 2009, not both, to claim refunds on taxes paid up to five years ago. Businesses can offset 100% of taxable income with NOLs carried back in years one through four and offset 50% of income in year five. Small businesses with less than $15 million in gross receipts would be able to claim a five-year carryback for 2008 losses under the American Recovery and Reinvestment Act and for 2009 losses under the new law. The new net operating loss rules will throw a lifeline to struggling businesses, allowing them to continue making payrolls, paying business loans and otherwise keep their doors open until the economic recovery takes hold.

Lawmakers Signal Last Action on Home Buyer Tax Credit

Even as Congress neared completion last week on legislation to extend and enhance the home buyer tax credit, proponents of the tax credit made it perfectly clear that the extension would have a limited shelf life and not be extended again when it expires next year.

Sen. Johnny Isakson (R-Ga.), a long-time champion of the home buyer tax credit, said: “This is the last extension of the home buyer tax credit. Tax credits like this only work by creating the sense of urgency to take advantage of it, and to bring the market back.”

On the floor of the Senate, Finance Committee Chairman Max Baucus (D-Mont.) said that, “It’s important that this tax credit does not become a permanent fixture in the tax code. Our amendment would end the credit on April 30 of next year. This extension would get us through the winter — traditionally the worst season for real estate. Our amendment would jump-start the housing market as it enters the summer months of 2010.”  Baucus added that the seven-month extension of the tax credit would be “long enough to encourage home buyers to buy homes, but it’s short enough to remain fiscally responsible.”

On Nov. 5, the House approved the legislation by a vote of 403 to 12, less than 24 hours after it sailed through the Senate by a unanimous 98 to 0 vote. Prior to the congressional votes, NAHB sent letters to leaders in each chamber designating passage as a “key vote” due to its importance to the housing industry. In addition, NAHB issued a Legislative Alert earlier last week urging association members to call their senators and representatives immediately and tell them to support the tax credit and NOL carryback because they will preserve and create jobs, stabilize the housing market and provide critical stimulus to the nation’s economy.

Federation-Wide Effort Leads to Success

Immediately following congressional passage, NAHB Chairman Joe Robson sent a memo to the entire federation citing the importance of this legislation to the housing industry and how NAHB was instrumental in helping to get the bill passed. The communiqué was also delivered to the Executive Officers via the PRx Exchange. Additionally, NAHB issued a press release applauding Congress on extending and enhancing the home buyer tax credit.

“This legislation is the result of months of determined effort by the entire NAHB federation,” said Robson, who noted that the association’s grassroots membership first banded together this summer in a “Revive Housing, Restore America” campaign calling on Congress to focus on housing in order to create jobs and provide the impetus for a full-scaled economic recovery.

The home buyer tax credit and NOL provisions were the two legislative priorities in that campaign. The NAHB leadership continues to work with Congress and various organizations in Washington to urge regulators to adopt policies that will restore the flow of credit builders need to finish projects in the pipeline and begin new ones and end faulty appraisals.

Robson said that NAHB has been “working tirelessly” to build upon the small gains the industry has seen in the marketplace in recent months and has been in continuous contact with the House and Senate.

“During key stages of the campaign, we activated our grassroots network to meet with their lawmakers when they were in their home districts and to visit them on Capitol Hill,” he said. “We have inundated congressional offices with e-mails and phone calls urging senators and representatives from both parties to extend and expand the home buyer tax credit to create jobs, spur home sales, reduce foreclosures, stabilize home values and push housing and the economy to higher ground.”