Agenda Item 5E
April 22, 2014
Action
MEMORANDUM
TO:
FROM:
County Council
LAmanda Mihill, Legislative
Attomeyl"~
~ichael
Faden, Senior Legislative
A~~~y
SUBJECT:
Action:
Bill 10-14, Buildings - Solar Permits - Expedited Review
Transportation, Infrastructure, Energy and Environment Committee recommendation
(2-0): enact Bill 10-14 with amendments to:
• allow a fast track permit process for installations on a single family detached home; and
• require the Department to set standardized fees by Method 2 regulation.
Bill 10-14, Buildings - Solar Permits - Expedited Review, sponsored by Councilmembers
Berliner, Floreen, and Riemer, Council Vice President Leventhal, Council President Rice, and
Councilmembers EIrich, Andrews, and Navarro, was introduced on January 28, 2014. A public
hearing was held by the Committee on February 11 and a Transportation, Infrastructure, Energy
and Environment Committee worksession was held on February 26.
As introduced, Bill 10-14 would require the Department of Permitting Services to
implement an expedited review process for permits to install rooftop solar photovoltaic systems
and require the Department to charge reduced fees for those permits.
Councilmember Berliner explained the purpose of this Bill in his January 14
memorandum describing his proposed energy/environmental package (©8).
The Fiscal and Economic Impact statement for this Bill are on ©12. DPS estimates lost
revenue of $187,000 per year, assuming that 12 permits are filed each week and the permit fees
are reduced by 50%.
Committee DiscussionlRecommendation
Should these permits be treated as expedited permits?
The Maryland National Capital
Building Industry Association (BIA) noted that these permits may be part of a larger permit
application and not easily separated for expedited review and urged the County to instead
continue to improve the overall permit review and approval process. While Council staff agrees
that continued improvements to the overall process are beneficial, enacting this bill could
provide an incentive for residents to install these environment-friendly devices.
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Amendment proposed
by
the Executive staff
Diane Jones, Director of the Department of
Permitting Services urged the Committee to amend Bill 10-14 to allow a fast track permit
process for installations on a single family detached home and require the Department to set
standardized fees by Method
2
regulation. The Committee
(2-0,
Councilmember Floreen
temporarily absent) supported these amendments and recommended enactment of Bill 10-14 as
amended.
This packet contains:
Bill 10-14
Legislative Request Report
OMB and Finance Memo
Written Correspondence
County Executive
BIA
Councilmember Berliner Memo
Fiscal and economic impact statement
Circle #
1
3
4
5
6
8
12
F:\LAW\BILLS\1410 Solar Permits-Expedited Review\Action Memo.Doc
2
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Bill No.
10-14
Concerning: Buildings - Solar Permits ­
Expedited Review
Revised:
3/4/2014
Draft No. 2
Introduced:
January 28, 2014
Expires:
July 28, 2015
Enacted: ___________________
Executive: ___________
Effective: ______________
Sunset Date:
~N::::.:on~e~
_______
Ch. _ _, Laws of Mont Co. _ __
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Councilmembers Berliner, Floreen, and Riemer, Council Vice President Leventhal, Council
President Rice, and Councilmembers EIrich, Andrews, and Navarro
c
AN
ACT to:
(1)
(2)
(2)
require the Department of Permitting Services to implement [[an expedited]] a fast
track review process for permits to install rooftop solar photovoltaic systems
fur
single family detached homes that meet standardized requirements adopted by the
Department;
require the Department to [[charge reduced]]
s.et
fees for permits to install rooftop
solar photovoltaic systems for. single family detached homes that meet
SWldardized requirements adopted by the Department; and
generally amend County law regarding building permits,
By adding
Montgomery County Code
Chapter 8, Buildings
Section 8-24C
Boldface
Underlining
[Single boldface brackets]
Double underlining
[[Double boldface brackets))
* * *
Heading or defined term.
Added to existing law
by
original
bill.
Deletedfrom existing law
by
original
bill.
Added
by
amendment.
Deletedfrom existing law or the
bill by
amendment.
Existing law unqffected
by
bill.
The County Council for Montgomery County, Maryland approves the following Act:
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Bill No. 10-14
1
Sec.
1.
Section 8-24C is added as follows:
8-24C. Expedited review process for
!.
solar photovoltaic system.
The Department must adopt [[an expedited]] a fast track review process for
each permit to install
~
2
3
4
rooftop solar photovoltaic system for a single family
5
6
7
detached home that meets standardized requirements adopted by the Department.
The Department must set the application fee by Executive Regulation adopted
under Method 2 for each permit to install
~
rooftop solar photovoltaic system for a
single family detached home that meets standardized requiremrnts adopted by the
Department [[must not exceed half the amount the Department charges for
similar permit]
1.
Approved:
~
8
9
10
11
12
13
14
15
16
Craig L. Rice, President, County Council
Approved:
Date
17
18
Leggett, County Executive
This is a correct copy o/Council action.
Date
19
20
21
22
M. Lauer, Clerk ofthe Council
Date
F@BILLS\l410S0Iar Permits-Expedited Review\Bill2 Committee.Doc
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LEGISLATIVE REQUEST REPORT
Bill 10-14
Buildings
-
Solar Permits
-
Expedited Review
DESCRIPTION:
Would require the Department of Permitting Services to implement
an expedited review process for permits to install rooftop solar
photovoltaic systems, and to charge reduced fees for those permits.
Permitting times and costs may discourage some residents from
applying for permits to install certain renewable energy devices,
including solar photovoltaic systems.
To encourage residents to increase the use of solar photovoltaic
systems.
Department of Permitting Services
To be requested.
To be requested.
To be requested.
To be researched.
Amanda Mihill, 240-777-7815
To be researched.
PROBLEM:
GOALS AND
OBJECTIVES:
COORDINATION:
FISCAL IMPACT:
ECONOMIC
IMPACT:
EVALUATION:
EXPERIENCE
ELSEWHERE:
SOURCE OF
INFORMATION:
APPLICATION
WITHIN
MUNICIPALITIES:
PENALTIES:
NI
A
F:\LAW\BILLS\141 0 Solar Pennits-Expedited Review\LRR.Doc
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ROCK\:ltLE,
.MARYLAND
MEMORANDUM
'February 5, 2014
TO:
FROM:
Ice of Management and Budget
partment of Finance
SUBJECTS:
BiIl2~
14,
Ellvironm'e~tal
Sustainability - Buildings - Benchmarking
Bill 3- I4, Buildings ,-" Energy Efficiency-, Energy Standards
BilJ 4-14, Street and Roads ,.. County Street Lights
B
iJ
I 5-14, Environmental Sustai nability ,... Social Cost of Carbon Assessments
Bill 6-14,
Environmental Sustaillability -
Office
of
Sustain
ability - Established
Bill 7-14, Contracts and Procurement - Certified Green Business Program
Bill 8-14, Buildings - County Buildings -. Clenn Energy Renewable Technology
Bill 9-14. Environmental Sustainability - Renewable Energy ­ County Purchase
Bill 10-
J
4, Buildings - Solar Permits Expedited Review
Bil
J
I
J
-14, Buildings Electric Vehicle Charging Station Permits Expedited
Review
As required by Section 2-81A of the County Code, we are infhnning you that transmittal of
the fiscal and economic impact statements for the above referenced legislation will
be
delayed
because more time is needed to coordinate with the affected departments, collect informati(,)l1, and
complete Qur analysis of the fiscal and economic impacts. While we
ap.,;
not able to conduct the
required detailed analyses at this time,
it
is clear that a number of these bills could have significant
fiscal impacts,
Due to this year's heavy workload on Executive branch staff in developing both a fhll capital
budget and an operating budget, the fiscal and economic statements
will
be transmitted after March
17,2014.
JAH:fz
cc: Bonnie Kirkland, Assistant Chief Administrative Officer
Lisa Austin,
Offices
of the County Executive
Joy
Nunni, Special Assistant to the County Executive
Patrick Lacefield, Director, Public Information Office
Marc
p,
Hansen, Office
of
the County Attorney
Robert Hagedoom,
, Department of Finance
David Platt. Department of Finance
Alex Espinosa,
Office
ofManagement and Budget
Mary
Beck. Office of Management and Budget
Naccm Mia. Office of Management and Budget
Felicia Zhang, Office of Management and Budget
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TESTIMONY ON BEHALF OF COUNTY EXECUTIVE ISIAH LEGGETT
ON ENVIRONMENTAL AND SUSTAINABILITY PACKAGE
Bills 2-14, 3-14,4-14,5-14,6-14,7-14,8-14,9-14,10-14,11-14,12-14
February 11, 2014
Good evening Council President Rice and members of the County Council. My name is Bonnie
Kirkland and I am pleased to be here on behalf of County Executive Isiah Leggett to testify on
the package of environmental and sustainability measures introduced on February 4, 2014 by
Councilmember Berliner and others.
Mr.
Leggett supports Councilmember Berliner's initiative
and the Council's efforts to address the need for more sustainable development in Montgomery
County. Following up on recommendations from the Sustainability Workgroup, this package of
renewable energy, energy efficiency and sustainability measures will take the County to the next
level of environmental excellence.
Sustainable· development has been defined as meeting the needs of the present without
compromising the ability of future generations to meet' their own needs.
l
The path forward
requires understanding and planning: understanding how existing buildings perlonn and how
planned buildings are expected to peffohn; and rlesi1$lrlng buildings and other infrastructure that
reduce materials consumption, reuse materials, reduce energy consumption and maximize the
use of renewable resources.
County Executive Leggett recognizes that the path forward will involve substantial change and
commitment on the part of both the public sector and the private sector. He is committed to
working with the Council on this package during the coming weeks to develop the most
progressive and reasonable legislation achievable that will balance both the compelling need to
achieve sustainable development and the budgetary realities faced by the County and our local
businesses to fully implement the approved changes the legislative package requires.
Stewardship for future generations has been a cornerstone of
Mr.
Leggett's Smart Growth
Initiative in terms of planning for future growth at appropriate transit oriented locations. The
County Executive applauds Councilmember Berliner's and the sponsoring council members'
vision and recognition of the need for stewardship of our precious resources for future
generations.
1
International Institute for Sustainable Development quoting from the World Commission on Environment and
(WCED).
Oevelopm~nt
Our common future.
Oxford: Oxford University Press, 1987 p. 43.
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Mihill. Amanda
From:
Sent:
To:
Subject:
Faden, Michael
Tuesday, February
11, 2014 1 :24
PM
Mihill, Amanda
FW: Energy Bills Testimony
From:
Robert Kaufman [mailto:rkaufman@mncbia.org]
Sent: Tuesday, February 11, 2014 12:44 PM
To: Berliner's Office, Councilmember; Riemer's Office, Coundlmember; Floreen's Office, Councilmember; Leventhal's
Office, Councilmember; Rice's Office, Councilmember; Eirich's Office, Councilmember; Andrews's Office, Councilmember;
Navarro's Office, Councilmember; Branson's Office, Council member; Hoyt, Bob
Cc:
Goldstein, Steven; Gibson, Cindy; Faust, Josh; Healy, Sonya; Jones, Diane; Wright, Gwen; Zyontz, Jeffrey; Orlin,
Glenn; Faden, Michael; Michaelson, Marlene; McMillan, Linda; Kelly Grudziecki; Bruce H. Lee; Bryant F. Foulger; Bob
Harris; William Kominers; selmendorf@linowes-Iaw.com; tdugan@shulmanrogers.com; Montenegror@ballardspahr.com;
Pharr, Shaun; Clark Wagner; JRussel@rodgers.com; Paul Chod; Steve Robins; Steve Orens; IIaya Hopkinsi I1ana Branda;
lisetracey@yahoo.com; gitaliano@bccchamber.org; Jane Redicker; Annette Rosenblum; mjackson@mncbia.orgi
dswenson@mncbia.org
Subject: Energy Bills Testimony
Please accept the following as Testimony on behalf of the MNCBIA concerning the various Energy related bills
introduced by Councilmember Berliner and others.
Bills 11-14 and 10-14 Expedited Review
We understand and appreciate the desire to provide an expedited review as an incentive to promote use of energy
saving technology, the facts however suggest that all new buildings and remodeling meet substantially higher standards
of energy efficiency and all deserve efficient review and approval. Especially since passage of the
2012
Building and
Energy Code changes, all new and remodeled buildings today provide substantial energy savings and efficiencies.
Additionally, identifying specific permits to expedite may not be as simple as it seems given the complexities of today's
permits and construction techniques. The Solar permits or charging permits may be part of a much larger permit
application and may net be easily separated for expedited review. The MNCBIA recently established a Solar Energy
Program with ASTRUM Solar to encourage use of Solar installations on new homes and would in fact benefit from an
expedited process.
Instead, however, we urge the County to continue to improve the overall permit review and approval process so that
an expedited review becomes moot. We draw attention to and gratefully acknowledge the recent announcement by
DPS to institute an electronic plan submission for new construction and right-of-way permits and look forward to other
improvements.
Bill 6-14 Environmental SustainabiJity Office
Given the real world changes to our land use regulations and building codes, an office of sustainability best serves the
County as a comprehensive planning approach that encourages coordination and balance to maximize use and
maintenance of our complex systems that tie together smart growth planning, land use planning, building use, land use
and transportation. We support encouraging MNCPPC to create a position of a sustainability planner in MNCPPC
where we do our forward thinking. The Department of Environmental Protection provides guidance and support for
land use related issues and environmental stewardship of our land. Sustainabillty implies economics, construction,
1
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.....
government policy, business management, coordination, building technology as well as land use most of which remain
outside the purview of DEP.
Bill 3-14 Building Standards - LEED Silver
New buildings today increasing meet a minimum of LEED or other similar certification such as IgCC and Green Globes.
The LEED Silver level continues to evolve and relies on land use based issues as well and energy efficiencies that cannot
be easily achieved. We prefer continuing to allow the market place to work toward green options particularly in light
of the new energy and building codes and prefer capitalizing on the current market tren'd toward green certification at
the LEED certified, IgCC and Green Globes levels.
Bill 2-14 Benchmarking
Currently we operate on a whole new set of energy saving requirements for all new and remodeled buildings based on
the 2012 Building and Energy Codes. In addition, nearly all new buildings today meet LEED certified or similar standard.
Benchmarking becomes excessive under these circumstances. Additionally, we need to agree on what purpose the
benchmarking serves; As currently developed by EPA. the benchmarking relates largely to greenhouse gas emissions
and not costs or energy use. This promotes use of natural gas and renewable energy sources over use of coal, oil, or
other carbon based fuel. Today the cost of gas remains comparatively low, this results often in cost savings, however,
most users have little say over the source of fuel used to generate electricity and cannot easily switch to gas or
renewable sources. Should gas prices rise, than any cost savings may evaporate. Nonetheless, we support the concept
of encouraging and supporting efforts to benchmark the energy use of buildings if only to set goals for energy savings
over time. We urge the Council to set up a working group to identify ways to best create, support, encourage and
measure building energy use that can be cost effective and manageable. Especially problematic concerns the
requirement to set up benchmarking apparatuses for residential and commercial tenants, or owners of condo space
within buildings.
The use of benchmarking can result in the highest energy savings with existing buildings. This unfortunately places the
greatest cost burden on the most affordable buildings with the lowest rents, both residential and commercial. Clearly if
the investment in energy savings saves money, the owners, tenants and the County have a natural incentive to set up
benchmarking. We urge the County to form a working groups of existing building owners and tenants to consider the
most effective way to encourage, support and afford energy re-commissioning.
S. Robert Kaufman
Vice President, Government Affairs
Maryland National Capital Building Industry Association
1738 Elton Road
Suite 200
Silver Spring, Maryland 20903
bkaufman!@,mncbia.org
(301) 445-5408 Office
(301) 768-0346 Cell
BIA's Networking Happv Hour - Feb. 20
&
FREE Business Development Class
Click here for details and to register
FIL Speaker Series with Bryant Foulger - Feb. 21
Join us for breakfast. Click here
Celebrity Chefs
&
Tabletop Night - March 27
Be a Chef or just come to eat. Click here for details
Check out NAHB's Member Advantage Program at www.nahb.org/ma
BUILDING HOMES
&
CREATING NEIGHBORHOODS FOR 60 YEARS
1954-2014
2
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MONTGOMERY
COIJN1'Y
COUMCIt.
R~.c'tt\lU.U. ~j(ltYl.k!U)
R,OOElt
BERLhJu
C01,.rNCtLMEMUSk
DrsTt.1CT I
EtcE'ROV&
ENVl:a.O'NM~ COM~lT1'~
CMArRM,AN
TRAJlfSI'ORT ","'fInN.
lNFRun
ceTe·u
J
an'US.t:y
14,
2014
DcarCoU~
Next
week
I will
£,e·intt6duclnga package of
13
energy/envro:mrnentaJ
~
that
arc
designed
to
~
that
Montgomery
COunty
renmms
at
the.SUitainahilitY
foretront
I "rouldbepleasedto
have youcospoosor
some
ortdl
ofthese.~
These
tneasuresfocus
on.mnewable~,
epe:rgy
efficiency.
:~on,
and
gov-emm~ ac;QOUn~;.
I
haVe
attached·
a
fact
sheet
that
gives
a
~Iiefd.~on
of
each
or-them. and
of
0()'UfSe
wOuld
be
happy
to
di$tus!
any
of
them
in
greater
detail
should.
you
have
questions.
I
was
inspired
by
our Council's decision
1.0
assert·
its leadersbipm
the context of
red~g ~
gap
in
Uwome
~es
by
passing
a
local
minitnUlll
wage
law.
I
'UliDkaU
ofus
appreeiate
that
the
federal
~ent
bas
become
~ dysfimeti~
that
we
can
expect'
littk
progresS
on
many
ofttle,issueswe
care
deeply
a~ut. ~
BJUQe
KaI2;
of
BrookingsreccmtlydCserlbed
the
f~govettltru!:nt
asa
"'large
health
insurance '
company
With •.
anny."
Bl$
tlte.sU.,
w.wcbJ
~
istbat our governing
paradigm
has
shifted
&om.
B,
top
doWn'led
by
tIW
federal
govetnment tO'a bottom·up
led by
local
governments
tOO:.
Quts.
It
i'
obvioUSly not
a hoax
atlchw
know
what
we
need.
tado
~o
address
it.
We
need
to'use
lC$SeJ1el'8Y
andcleauer
energy~
Period.
~package
ofbills iI,taken
many
instanc¢s
I
say
aU
Qfthis.~
we _
to.
do more
ifwe
~
to
address
"climate
cha.np.
iTomwbat'otber
1ead1naJuri~atc
doing,-
fh>-lll
Chicago
tQ
~e
to
California
!Uld New York
states.
They-are
a
mix
of
leading
by
example,
rewarding~
businesses.·~ 11lIU'ketf~. ~more
exactii:lgstalidanls. and
holding
oUr
CDunty
go\,etnment aCCountability.
Holding
ourselves
accow1um1~
i5
important.
Wh~
the
Council
passed
a similar
package in
2008
J
we
tasked
a
SUstainabtlJty Working
GroUp
with
the
principle
respollsibility·fQr
guiding
()Uf
County
to
aclli~
our
f~
·goal
ofr«i1lcin,g greenhouse
i8S
emissions
by SO
'percent
by
2050. Itis
time
now
to
make thi$ a core government
m
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respoJlSloility
r
and
this
pacbg~
:!ncl\tdc:a.ameasure 1bat
willaeate
an'~
(,If:
SU$1ainability
Within
DEP
whose
principal
~1ity
Will
be
to
monitor
bowwe
are
doing
and to
help
develop
tllepo1icie$atn,f
pmcti~ ~
will
~
us
t() " .
\%11:
~1o
be. '
.
.
r Mpe'you
'wUli9in
me,
in
llUllcing
Jure
Montgomery Ctlunty.
'burnishes
its
repl.ltation as
II
Ci;m,Ul1umtythat
e.nabtaces
sustaiilability
at
ouroote..
Sincerely"
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fACT SKW ON
COUNCILMEM8ER BERLINER'S1S£NERGY{ENVlROHMENT LEG1SlADvEINfTlA1'JVf$-
CoimcllmembeT Rogei'
Sedlnet
to;.1},
Chair
OftheMontgQmeryCounty
Transportat;ijml
fnf1'f~ure. I:I1~TIV&EoVin:mmef,lt-ColJllllitte~l wiJI_~int(Qducing
13
~n~r:gy/envit~nm~ri~r
measures on
January
21.
the
measures, ate
,designed
tQ'undel'SCOteand
:support
the.<»unty's
~mitme"uQ su~~jM.hirrty
anli VlQuld
(li
promote
In(1r9~et1
r;nersv
efflc;ien¢V~
(2l
I~,;:i~:
Use'
of
renewable
etlergy;
(3)
dea~setoNUmp.tfon
'ofgasOline
and:
support
efec:triC
vehiCles;,
and
-(4)
create'
more
ac;oun~llty ~I)d re.$p()n~tbilitywlthin ~o~
government
for
~c:nii,wing th~ ~dunly'$
gOafof
tedutinggreeohou$e
gas
emi$SiOh$
SO%"bV aoSO;8elo\.Yis
,a
brief
iteseriptic:m of
eachoithe5e'
mea:sures.:
Rg,wable Entr&Y
~oewa'bfe
EnetIYP'urpha$!ng-5029 Renew§PJfiby2015jlOO%Jn'
20io,-
Tqc1~:V
the,
coumyp'Urchases,approXimstely
30~of:tuenergyffom
renewible:energy resources.
washin~on,'~
Avstjn,
Te~4lS; arldpordandiOr.iagon~ ali~dV -a~~~ren8Wf1ble
ene~.
iii
Renewables OnSile - This bill,
modeled
~t
a,
recently
passe(flawhl
Ponce GeOrge's
Co1Jnty,
wou.Jd
O!Eiulre neIN9'
ext~~jv~lv remQ4~led Countyb!J,~fQb1~.
to
ge~ta,te:at,l~st
l·kilowatt
of
renelNabteenersv f.orevery 1,000,squat!
feet
offloor area.
• Gj:eentagillgSOlar:""
TWo
of the·lmpe,diments-fo
increased
Sc)lat
:UtTfi~~tioo
aretl1e
C.Ostarjd
timeinvoWed.1o
gettfngperm;lS.
Thismeasun!i
patterned .
.tter'.
a$~e$$ful
program in
C~Ic~gOI
requires Gilt
~j'laJirrle"t
of
PennittlntSeM.~s'tO aevi$e:~n e~~d ~.I¢Ss
costly ptoc"ess
for
solar reJatedpermits.
• $QIar
lQhi!,&'Accomiriodatiort-
Cur-tent setback
requirements
Iknitthe use
ofsblarlrt
extend 2
feet
itito
the side
otrear
setback.
re$ldentlilldweUlngs..
ThJ~,trA
wmiid
.moclestly~m.eod,(Jurz~ninglawsto
·pemdt solar
to
• Benchmandng'auUdmti·-
Thislegislatibn.
modeled
aftetlaws in
New Vork, Chitago,and
the
District 9fcQfuf'Obta.
wouldr~q,~ire b~1din&owners-to
measJ.
.tre~e
energy
effl<:l~ncy,
Q{
their buildings,;inake that
infurmation public,'
and·
penodicaltyroinmit
tdenstJri~thaf
theif
e~ ~ffici~ eq~p~ti$
working
prop~rly~
It,'is
df!$fgn~4
to·
wqrk
with,
tM
rt~y
passed PACE program'
to:
cteatemarket
based
ihcenfivesfo.rbtdldihg-ownets
to
increase'the
efficiency of
their
puildlngs.-
InfQrmatiPnprovidecfwoMld
~.id
tenants
infore(a.stIng
fu~~n:t
utility costs.
iii
Sillier LEED
fOt
NeW
8uildiogs-
CurrentcouAtY
law
requires new
commercial
buildingstabe
LEEt)
~rtified. whU~
county
"J:niildfngs
m~tmeet ~he
-more
~rMronmef'ltarly $tri~t SU~r
standard. This
bill
would
Te.<VJireal1 new.oommerdat
buildings
to
meet
Silver
LEEO.
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i
.cost
of
(;8rbotl--
The.
use
of~fltjonaJ fuei~
•.
particularly.
coal, exttarua
costoi'l.$Qdety
thatb tlotreflected
jnjtS
priCe;
These
"extemarcO$tsshoY'd~:fa$lre(l·in~tfte:.
cost/b.enefft
calCYfi}tloil$.
tl\atth&
CQVAty
uti~s'When
ltaSseSseuhe
PQtf!ntlai for
energy
~fticlef}(:ylmW'ov$rtents
•. This bill
wOuld
require
~~,W1ty tqu~.
EPA"s
"~i ·c~
of .
carbotf! calculation or
atGmf>arabf~ m~J1odoJo8Y
mrthQse
purpoSt!So
• . lEO Street lightIng.... tt:is
generally
tecogniz.ed that
LEO
.flShtingisfar
m.C.~
'energy
effl~ent
and req.uJresfar
leSsr'natnter\~n~.
This. bill
would
require
OOT#
",pon the
~~ptration
ofit$
~nt amtractfQr.str.e~djghting,
to
oontractwith
an
LEO
company.
Tral3!tP9rtation
• EVlnfrastructut! -
E~cttitVehtdeswilj
onlVb-ecome mainstr-eain whe.o'
the~ar.t ~ffh::i~f1t
chargJngstations-.to inspire
~ftdenCff
If!
tli$.,pl,lb'Jc!
taltforni, recently
passed
te~istatibn
requiring ati
new
i>uli4ing$
¢t¢r
acettaihsJzeto'be"'ev
ready."
This
ZTAWouid
require
ali.
·new;buitding$
to
install.1
EVdlatJing$tjon
for
evt;lrySOparf(ing
sp~,
• Greental:!ingEYs!atiOns-·JUSt'a$ln
·$Olltl'
Installations; EVcharging stations
an.besubjed
to
a
~ngt;hy
and costly
permlttlngprot::ess.
This'blll WOuld
req~lFeDPS
to
inStitlite
{In·
.
.expedited 'and
te$SCo$tly
permiWngpr~e$S.
.....
.
• Ieleworidng " Teleworking15
betOmlng
far motEicomfurin
andaccep~~t1.
0tb.er
jurisdjcUon~,
Inttudilig
Fai1:f;3~, nli:\ter.n~destgniflCantly
more progfe$&'in establishing
telt!workJtaggoa:l~ and~tJngt6em~
:ThisiegisJatiohWouldreqUiie
th4!
COtihty
EX~hte
to
pubJiShregulatians
thaBe~
forth
a
deflnitMiieleWQrkingPQIie;yand
a
rec;fl.llrement
to
destgnatea.
tel~m~ingmaJ.YIer.
.
.
..create
an QfficgqfSustalnabiJitY
within
DEP:-.Th.i$.bilIVioufd$'eate
a,.newQffipe
of
S~staina,blnt;i wi~'n
DEI'>. Whe.nt1le·CQ\mdJpassed
(~tSlatl~n
In'ZQm(ittaslced a
S~ajnaj)iliW
Working
Group
with
the
respQfisfbUity
Of
guiding ouf
Co~W's greenho~$@
gas
. reductiOn Implementation.
it
is.
now time
to
mikethls
af\mdamentalres~nsibmty
of
We.
countygovemmentandtohoKJoumlvesaccouritable.
.. Countv<iI'HgCi!rtifled'BUSinesses-
The
COunty
~~ ere~te(f
a
ptogram
whereby
a
lo~l
bUsin~$$
c;anbe
itSt.e~n. c~~tae'dlt"
PV,.dopttl:'lggpod
sustalnabJe
'practkes, This bill tiUs
upon the County
Ex:eeutiVe to
isSUe
teSulat1oi'lS
that
would.
give.
ii
prefe~n<:el~
contra.cting
to
tocalpusiriesses
that
aregr~
certified.
 PDF to HTML - Convert PDF files to HTML files
HOCKVltLE,
MARYI.Ai"O
MEMORANDUM
April 18, 2014
TO:
FROM:
SUBJECT:
fManagement and Budget
, Finance
PElS for Council Bill 10-14, Building· Solar Permits - Ex.pedited Review
V
Please find attached the fiscal and
econom.ic
impact
biatements
for the above­
referenced legislation.
JAH:fz
cc: Bonnie Kirkland, Assistant L1tief Administrative Officer
Lisa Austin,
Offices
of
the
County Executive
Joy
Numli.
Special Assistant to the County Executive
Patrick Lacefield, Director, Public information Office
Josepb F. Beach, Director, Departrnent of Finance
Michael Covey-ou, Department of Finance
David Platt, Department of Finance
Robert Hagedoorn, Department of Finance
Diane Janes,
Director, Department of Permitting Services
Dennis Hetman, Office
of
Management and
Budget
Alex Espinosa, Office of
Management
and Budget
Felicia Zhang, Office of Management and
Budget
Naeem Mia, Office ofManagement and Budget
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Fiscallmpad Statement
Council
Bill
10-14
Buildings -
Solar Permits - Expedited Re't'iew .
L Legislative Summary.
Bill
10-14
would require the Department ofPennitting Services to implement an
expedited review process for permits
to
install rooftop solar photovoltaic systems and
require the Department to charge reduced fees for those penni!.....
2.
An
estimate ofchanges in County revenues and expenditures rt.'gardless of whether the
revenues or expenditures are assumed in the recommended or approved budget. Includes
source of information,
a<;sumptions~
and methodologies used.
DPS expects
12
permits a week or
624 per
year
with
a
50%
reduced rate of
approximately
$168
per Electrical Permit
($336
current average fee) and $132 per
Building Permit
($264
current average fee). Estimates for total revenue are
$3,600
per
week or
$187,000
per year andmatcb estimated lost revenue ¥.rrith the fee cut in half.
Total revenue would be subject to the
5%
Automation Fee.
3. Revenue
and
expenditure estimates covering at least the next 6
fiscal
years.
Revenue estimates are
$186,888
for the first year
with
escalations over the next six. DPS
assumes an annual increase of ten percent
(10%)
per year over the next six years thr a
total loss of
$1.4
million attributed to the fifty-percent
(50%)
reduction inpermit fees.
2015
=
$186,888
2016
=
$205,577
2017
=
$227~135
2018
=
$248,748
2019
=
$273,623
2020 :: $300,986
Total105s over the six year period:
$1,442~957.
DPS does not assume any substantive
increase in pennits in year one due to the current cost of solar panels.
As
the technology
becomes more affordable the Department estimates an annual
10%
escalation in volume.
4. An actuarial analysis through the entire amortization period for each bill that would affect
retiree pension or group insurance costs.
Not applicable.
5. Later actions that may affect future revenue and expenditures
if
the bill authorizes future
spending.
'Ibe
legislation does not authorize future spending.
6.
An
estimate ofthe staff time needed to implement the bill.
There
will be
no additional staff time needed to implement the regulation. AU training
will be incorporated intoreguJarly scheduled staff meetings. TIle permits associated with
this
nm
will be part of the same plan reviews and inspections
staff
currently conduct.
The Department averages
12
permits processed per week
~ith
an average time frame to
@
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issue permits of
five
to
six business days. The targeted time frame for expedited review
will be
one working
day
to
issue a pennit
7. An explanation of how the addition ofnew staff responsibilities would affect other duties.
Not applicable..
8. An estimate ofcosts when an additional appropriation is needed.
No additional appropriation
",111
be needed.
9. A
description
ofany variable that could affect revenue and cost estimates.
The number of permit
applications
will impact projected revenues loss.
ups.
estimates
approximately 12 permits a\veek or
624
per year \-vith a 10% annual increase over the
next six years
assuming
the use ofsolar
pan.els
becomes more prevalent
10. Ranges of
revenue or expenditures
that
are uncertain or difficult to
projt.'Ct.
Not applicable
11. If a bill is likely
to
have no fiscal impact, why that is the case.
Not applicable.
12. Other fiscal impacts or comments.
, Not
applicable.
13.
The following
contributed to and concurred with this
analysis:
Hadi Mansouri, Chief Operating Officer DPS
Barbara Suter, Management Budget Specialist DPS
Dennis Hetman, OMB
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EoononUc Impact Statement
Bill 10-14, Buildings - SoJar Permits - Expedited Review
Background:
This legislation would require the Department of Permitting Services (DPS) to implement
an expedited review process for permits
to
install rooftop solar photovoltaic
systems
and
require DPS to charge reduced fees for
pennits.
1. The sources of
information, assumptions, and methodologies
used.
DPS and the Office of Management and Budget provided assumptions and
data
that
are
incorporated
into
the de"'le1opment
of
the economic impact statement. Those
assumptions include the number ofperrnits per week arriving
into
DPS, the cost
of
the electrical
pennit,
and the cost of
the
building permit.
2. A description of any variable that could affect the economic impact estimateS.
The
variables
that
could affect the economic impact are:
• The number
ofpennits
arriving into DPS
per
week. DPS estimates that 12
perrnits arrive each week
for
a total of 624 permits per year.
• DPS e,stimates that
toial amoUnt
ofrevenue lost from Bill 10* 14 would
be
approximately $187,000 per year.
• DPS also assumes that the annual amount of
revenues
lost would
increa.~
ten
percent (10%) per year over thc next six ycars for a total loss of$1.4 million
attributed to the fifty-percent (50%) .reduction in pennit
fees.
• DPS
will
create a "refer back" program for standardized plans which will
entail
less
reviews and provide savings to DPS in the review process.
3. The Bill's positive or negative effect, if any on employment, spending, saving,
investmcn4 incomes, and property values in the County.
Based on the data provided
by
DPS, businesses requesting
and
obtaining solar
permits would achieve a business saving of $187,000 the first year and reach over
$300.000 by FY2020.
While, business obtaining solarpennits would achieve an
economic benefit; the amount is modest compared to the total effect on
th.e
County's
economy. This Bill would have no direct economic impact on employment,
spending, saving, investment, and prope.rty values in the County.
4.
If
a Bill is likely to have no economic impact, why is that the case?
Please see #3
Page
1 of2
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Economic Impact Statement
BilllO-14, Buildings - Solar Permits - Expedited Review
5. The following contributed to or concurred with this analysis:
David Platt and Rob Hagedoom, Department of
Finance
Hadi Mansouri, Department of Permitting Services
Dennis Hetman, Office of Management and Budget
. Date
1-/ -
? -
t.'i_,... .
Page 2 of2
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