Bill No.
2-14
Concerning: Environmental Sustainabilitv
- Buildings - Benchmarking
Revised: 412212014
Draft NO._6_
Introduced:
January 28, 2014
Enacted:
April 22, 2014
Ex~uwe:
_________________
Effective: _________________
Sunset Date:
....;N~o::,n!.=e----,---------
Ch. _ _
Laws
of Mont Co. ____
I
COUNTY COUNCIL
FOR MONTGOMERY COUNTY, MARYLAND
By: Councilmembers Berliner, Floreen, Riemer, Andrews and Navarro
AN
ACT
to:
require the owners of certain buildings to benchmark the energy use of certain
buildings;
(2) require the Director of the Department of [[Pennitting Services]] Environmental
Protection to issue an annual
report
to review and evaluate energy efficiency in
certain covered buildings;
(3)
require the Director make certain benchmarking information readily available to the
public;
(4) allow the Director to waive certain requirements; [[and]]
(5)
[[require the owners of certain buildings to have an energy audit performed on
certain buildings;
(6) require the owners of certain buildings to assure that retro-commissioning is
performed on certain buildings; and
(7)]] establish a Benchmarking Work Group to review the implementation of Chapter
18Ar
Article
6
and report to the Council and Executive with recommendations on
implementing building benchmarking for privately-owned buildings: and
generally amend County law regarding energy efficiency and environmental
sustainability.
By adding
Montgomery County Code
Chapter
18A,
Environmental Sustainability
Article 5
Sections
18A-34, 18A-35, 18A-36,
and
18A-37
Article 6
Sections
[[18A-38, 18A-37,]] 18A-38, 18A-39, 18A-40, 18A-41, 18A-42,
and
18A-43
[[Article 7
Sections
18A-44, 18A-45, 18A-46, 18A-47, 18A-48, 18A-49,
and
18A-50]]
(I)
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BILL
No. 2-14
Boldface
Undenining
[Single boldface brackets]
Double undenining
[[Double boldface bracketsD
* * *
lfeadmgordefinedrenn
Added to existing law by original bill.
Deletedfrom exis/mg law
by
original bill.
Added by amendment
Deletedfrom existing law or the bill by amendment.
Existing law unaffected by bill.
The County Council for Montgomery County, Maryland approves the following Act:
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BILL No. 2-14
1
Sec. 1. Chapter 18A is amended
by
[[adding]] amending Article 5 to add
Sections 18A-34, 18A-35, 18A-36, and 18A-37; Article 6, consisting of Sections
18A-38, 18A-39, 18A-40, 18A-41, 18A-42, and 18A-43[[; and Article 7,
consisting of Sections 18A-44, 18A-45, 18A-46, 18A-47, 18A-48, 18A-49, and
18A-50]] as follows:
Article 5. Commercial Property Assessed Clean Energy Program.
18A-34 18A-37. Reserved.
Article 6. Buildine: Energy Use Benchmarking.
18A-38.
Definitions.
~
2
3
4
5
6
7
=
8
9
10
11
12
In this Article, the following words have the meanings indicated:
Benchmark
means to track and input
building's energy consumption data
and other relevant building information for 12 consecutive months, as
required by the benchmarking tool, to quantify the building'S energy use.
Benchmarking tool
means the website-based software, commonly known as
13
14
15
ENERGY STAR Portfolio Manager, or any successor system, developed
and maintained by the United States Environmental Protection Agency to
track and assess the relative energy use of buildings nationwide.
Certificate gfuse and occupancy
means the certificate issued by the Director
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17
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19
that allows
~
building to be occupied and used.
County building
means any building owned by the County, or any group of
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21
buildings owned by the County that have the same property identification
number. that equals or exceeds 50,000 square feet gross floor area, as
identified by the Director
Covered building
means any [[building owned by the]] County building,
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23
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25
Group
1
covered building,. or Group
2
covered building[[.1 as defined in this
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BILL No. 2-14
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Article
H:.
Covered building
does not include any building with more than
10% occupancy which is used for
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ill
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public assembly in !! building without walls;
warehousing;
self storage; or
ill!! use classified as manufacturing and industrial or transportation,
communication, and utilities.
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34
35
Data center
means!! space designed and equipped to meet the needs of high
density computing equipment such as server racks, used for data storage and
processing, as defined!2y the benchmarking tool.
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37
Department
means the Department of
[~ermitting
Services]] Environmental
Protection.
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Director
means the Director of the Department or the Director's designee.
Energy perfOrmance score
or
ENERGY STAR
score means the numerical
score produced !2y the benchmarking tool, or any successor score, that
assesses !! building's energy performance compared to similar buildings,
based on source energy use, operating characteristics, and geographic
location.
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46
Energy use intensity
or
EU!
means !! numeric value calculated
Qy
the
benchmarking tool that represents the energy consumed
Qy
!! building
relative to its size.
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Group
1
covered building
means any nonresidential building, or any group
of nonresidential buildings that have the same property identification
number, not owned by the County that equals or exceeds 250,000 square feet
gross floor area, as identified!2y the Director.
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Group
2.
covered building
means any nonresidential building, or any group
of nonresidential buildings that have the same property identification
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BILL
No. 2-14
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number, not owned by the County that equals or exceeds 50,000 square feet
gross floor area but is less than 250,000 square feet gross floor area, as
identified
Qy
the Director.
Gross floor area
means the sum of the gross horizontal area of the several
~
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floors of
building or structure measured from the exterior faces of the
In
~
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exterior walls or from the center line of
I?ill1Y
walls.
unenclosed area, such as
~
covered but
set of gasoline pumps or
!!
drive-through area,
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gross floor area means the covered area.
Gross floor area
does not include
any:
[[!.ru]]
ill
basement or attic area with
~
headroom less than
1
feet 6 inches;
[[(hl]]
63
m
area devoted to unenclosed mechanical, heating, air conditioning,
or ventilating equipment;
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[[(Q}]]
ill
parking structure; or
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[[@]]
W
accessory structure to
!!
residential building.
Licensed professional
means
~
professional engineer or
~
registered architect
licensed in the State, or another trained individual as defmed in applicable
County regulations.
Reported benchmarking infOrmation
means the descriptive information
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about
!!
building, its operating characteristics, and information generated
Qy
the benchmarking tool regarding the building'S energy consumption and
efficiency.
Reported benchmarking infOrmation
includes the building
identification number, address. gross floor area, energy performance score,
energy use intensity. and annual greenhouse gas emissions.
Residential occupancy
means the occupancy of dwelling units in any
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building that includes one or more dwellings.
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BILL
No. 2-14
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18A-39.
Energy use benchmarking.
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County buildings.
No later than June 1. 2015, and every June 1
thereafter. the County must benchmark all buildings owned by the
County for the previous calendar year.
(hl
Group
1
covered buildings.
No later
than
[[June.L. 2014]] December
1.
2016, and every [[June]] December
1
thereafter, the owner of any
Group
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1
covered building must benchmark the building for the
[[However, the owner of any Group
previous calendar year.
1
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covered building with at least 10% residential occupancy, as measured
Qy
square footage, must benchmark the building for the previous
calendar year no later than June
each year thereafter.]]
1.."
2015, and no later than June 1st
The owner must report the benchmarking
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information to the Department no later than [[July]] Januarv
year.
1
each
[[lhl]]
!£l
Group
2.
covered buildings.
No later than [[June
1.."
2015]]
December
1.
2017, and [[no later
than
June 1st each year]] every
December 1 thereafter, the owner of any Group
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95
2.
covered
building
must benchmark the building for the previous calendar year.
[[However, the owner of any Group
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2.
covered building with
10% or
more residential occupancy must benchmark the building for the
previous calendar year no later than June
June 1st each year thereafter.]]
Januarv
1
each year.
@
1.."
2016, and no later than
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The owner must report the
benchmarking information to the Department no later than [[July]]
Waiver.
The Director may waive the requirements of this Section if
the owner of
~
covered building documents, in
regulation, that the building:
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~
form required
.Qy
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is in financial distress, defined as !! building that:
(A)
is the subject of !! tax lien sale or public auction due to
property tax arrearages;
ill.)
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is controlled
Qy
!! court appointed receiver; or
was recently acquired
Qy
!! deed in lieu of foreclosure;
©
ill
ill
had aver!!ge physical occupancy of less than 50% throughout
the calendar year for which benchmarking is required; or
is new construction and received its certificate of use and
occupancy during the calendar year for which benchmarking is
required.
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18A-40.
Data Verification.
W
Verification required.
Before the first benchmarking deadline
required
Qy
Section 18A-39, and before each third benchmarking
deadline thereafter, the owner of each covered building must assure
that reported benchmarking information for that year is verified
Qy
!!
licensed professional. The verification must be!! stamped and signed
statement
Qy
!! licensed professional attesting to the accuracy of the
information. If the Director requests, the owner of !! covered building
must produce the statement available for the most recent year in
which verification was required.
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®
Waiver.
The Director may waive the requirements of this Section if
the owner shows that compliance with this Section will cause undue
financial hardship.
If!! no-cost or low-cost verification option is
available. the Director may require the owner to use the alternative
option.
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18A-41.
Solicitation of compliance information from tenants.
.w
Solicitation gf information from tenant.
An
owner of
~
covered
~
building must request relevant information from any tenant in
covered building no later than March
1
of each year in which
benchmarking is required
Qy
Section 18A-39. If the owner receives
notice that
~
tenant intends to vacate
~
unit which is subject to this
Section, the owner must request the information within 10 days after
receiving the notice to vacate.
ill
Tenant response.
Within 30 days after receiving
~
request for
~
information from the building owner, each tenant of
unit in
~
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(£)
covered building must provide the building owner with all
information that the owner cannot otherwise acquire that is necessary
to comply with this Article.
Failure gftenant to provide infOrmation.
ill
If any tenant does not provide the information required under
this Section to the owner of
~
covered building, that fact does
not relieve the owner of the obligation to benchmark the
building under Section 18A-39, using all information otherwise
available to the owner.
ill
If
~
tenant of
~
unit in
~
covered building does not provide
information to the owner of the building under this Section, the
Director must consider the owner to be in compliance with
Section 18A-39 if:
(A)
the owner shows that the owner requested the tenant to
provide the information under this Section; and
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an
18A-42.
the owner benchmarked the building under Section 18A­
39, using all infonnation othetwise available to the
owner.
Annual report; disclosure of benchmarking information.
ill
Annual report required.
By October
1
of each year, the Director must
submit g benchmarking report to the County Executive and County
Council. The report must review and evaluate energy efficiency in
covered buildings, including:
ill
ill
ill
summary statistics on the most recent reported energy
benchmarking infonnation; [[and]]
discussion of any energy efficiency trends, cost savings, and job
creation resulting from energy efficiency improvements: and
for County buildings:
CA)
the scores of County buildings benchmarked: and
all
whether the Director recommends any energy efficiency
improvements for specific buildings.
(hl
Disclosure
gf
benchmarking infOrmation.
The Director must make
reported benchmarking infonnation readily available to the public,
including on the open data website created under Section 2-154. and
the Director may exempt infonnation from disclosure only to the
extent that disclosure is prohibited under federal or state law.
(£)
Exceptions to disclosure.
To the extent allowable under state law, the
Director must not make the following readily available to the public:
ill
any
individually-attributable
reported
benchmarking
infonnation from the first calendar year that g covered building
is required to benchmark; and
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individually-attributable
information relating to
~
reported
benchmarking
~
covered building that contains
data
center, television studio, or trading floor that together exceeds
10% of the gross square footage of the individual building until
the Director finds that the benchmarking tool can make
adequate adjustments for these facilities. When the Director
finds
that the benchmarking tool can make
adequate
adjustments, the Director must report this data in the annual
report.
18A-43.
Regulations; penalties.
The County Executive may issue Method
ill
regulations to administer
this Article.
Any violation ofthis Article is
~
Class A violation.
W
®
[[Article 7. Energy Audits and Retro-Commissioning of Base Building
Systems.]]
[[18A-44.
Definitions.
In this Article, the following words have the meanings indicated:
ASHRAE
means the American Society of Heating, Refrigerating and Air­
conditioning Engineers, Inc.
Base building system
means each system or subsystem of
~
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building that
uses energy or impacts energy consumption, including:
ill
ill
ill
ffi
ill
the building envelope;
any heating, ventilating, and air conditioning (HVAC) system;
any conveying system;
any domestic hot water system; and
any electrical or lighting system.
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Base Building system
does not include any industrial process that occurs in g
covered building or any system or subsystem owned hy g tenant (other than
g net lessee for g term of 49 years or more, including any renewal option).
condominium unit owner, or cooperative unit shareholder, or g system or
subsystem for which g tenant bears full maintenance responsibility and that
is located in the tenant's leased space or exclusively serves that leased space.
Building management system
means g computer-based system that monitors
and controls g building's mechanical and electrical equipment, such as its
HVAC, lighting, power, fire, and security system. including, at least, control
of the heating equipment using interior temperature sensors.
County building
means g covered building that is owned hy the County and
for which the County regularly
~
all or part of the energy bills.
Covered building
means
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ill
W
ill
1
building that exceeds 50,000 gross square feet;
~
or more buildings on the same
tax
identification number that
together exceed 100,000 gross square feet; or
~
or more buildings held in the condominium form of ownership that
are governed hy the same board of managers and that together exceed
100,000 gross square feet.
Covered building
does not include any
L
2."
or 3-family residential building.
Current facility requirements
means the owner's current operational needs
and requirements for g building, including temperature and humidity set
points, operating hours, filtration, and any integrated requirements such as
controls, warranty review, and service contract review.
Department
means the Department of Environmental Protection.
Director
means the Director of the Department or the Director's designee.
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Energy audit
or
audit
means
~
systematic process to identify and develop
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improvements to any base building system, including any alteration of that
system and the installation of new equipment, insulation, or other generally
recognized energy efficiency technology to optimize energy performance of
the building and achieve energy savings.
Energy auditor
means an individual the Department authorizes to perform
energy audits and certify audit reports required
Qy
this Article.
~
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Energy management system
means
temperature sensors and
~
system incorporating interior
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central processing unit and controls, which are
~
used to monitor and control electricity,
applicable, based on the need for heating.
steam, and oil usage, as
Energy efficiency report
means the report required under Section 18A-47.
Financial hardship
Q[
fl.
building
means
~
building that:
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ill
was included on the Department of Finance's tax lien sale list within.f.
years before an energy efficiency report was due; or
ill
is exempt from real property taxes under Maryland Code, Tax­
Property Article, Sections 7-201, 7-202, and 7-204, or any successor
provisions, and had negative revenue less expenses during the .f.
tax
years before an energy efficiency report was due.
Green BUilding Council
means the U.S. Green Building Council, an
organization that has developed and published the LEED rating system to
measure the energy and environmental performance of
~
building.
253
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LEED
refers to the series of Leadership in Energy and Environmental
Design (LEED) rating systems developed
Qy
the Green Building Council.
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Owner
means:
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ill
the owner of record of
~
covered building; .
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No. 2-14
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ill
ill
the net lessee in the case of
!!
net lease of an entire building for
!!
term
of 49 years or more, including any renewal option;
the board of directors or similar body if the covered building is
!!
cooperative apartment or condominium corporation.
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Registered design protessional
has the meaning in the latest version of the
ICC International Building Code or another building code that the County
adopts.
Retro-commissioning
means
!!
systematic process applied to an existing
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building that has never been commissioned to assure that the building'S
systems are designed, installed, functionally tested, and can be operated and
maintained according to the owner's operational needs.
Simple payback
means the number of years for projected annual energy
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savings to equal the amount invested in an energy conservation measure, as
determined by dividing the investment by the annual energy savings.
Space
means an area in
~
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building enclosed by floor to ceiling walls,
partitions, windows and doors.)]
[[18A-45.
Energy audits required.
Audit required.
W
The owner must assure that an energy audit is
performed on the base building systems of
!!
covered building before
filing an energy efficiency report required by this Article. Except as
otherwise provided in Section 18A-49, an energy audit must be
performed by or under the supervision of an energy auditor and must
be performed in accordance with applicable regulations. The audit
process must cover the base building system and must at least
identify:
ill
any reasonable measure, including any capital improvement,
that would reduce energy use or the cost of operating the
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building;
ill
for each measure, the associated annual energy savings, the cost
to implement, and the simple payback, calculated
Qy
!!
method
approved
Qy
the Department;
ill
the building's benchmarking output consistent with the United
States Environmental Protection Administration Portfolio
Manager tool or another method the Director fmds equivalent;
ill
!!
break-down of energy usage
Qy
system and predicted energy
savings
Qy
system after
any proposed measures
are
implemented; and
ill
!!
general assessment of how the major energy consuming
equipment and systems used in tenant spaces impact the energy
consumption of the base building systems, based on
!!
representative sample of spaces.
®
Audit process.
The energy audit process must be at least as stringent
as the Level II Energy Survey and Engineering Analysis of the 2004
edition of Procedures for Commercial Building Energy Audits
published
Qy
the ASHRAE, or another process the Director fmds
equivalent.
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W
Qualifications
gf
auditor.
An energy auditor must be
!!
registered
design professional with any other certification or qualification the
Director fmds appropriate.
@
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Contents
gf
audit report.
The energy auditor must prepare and certify
!!
report of the energy audit. Except as otherwise provided in Section
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18A-49, the audit report must include information relating to the audit
as required
Qy
applicable regulations, including the date when the
audit was completed and the information required
Qy
subsection
hl
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Compliance with landmarks laws.
The cost estimates for any covered
building that is regulated
Qy
any state or federal law regulating
landmarks or historic buildings must include all added costs necessary
for the proposed work to comply with that law.
ill
Timing qfenergy audit.
Except as otherwise provided in Section 18A­
49, the energy audit must be completed no earlier than
~
years before
the date when
!!
covered building's energy efficiency report is filed
under this Article.
(g)
Exceptions.
An
energy audit is not required if
!!
registered design
professional certifies that the building complies with any of the
following requirements:
ill
The covered building received an EPA Energy Star label for at
least
2
of the
report is filed.
J.
years before the building's energy efficiency
~
ill
No EPA Energy Star rating is available for the building
and
!!
registered design professional documents that the
building's energy performance is 25 or more points better than
the performance of an average building of its
~
over
!!
2-year
period during the
J.
years before an energy efficiency report is
filed, consistent with the methodology of the Leadership in
Energy and Environmental Design 2009 rating system for
Existing Buildings published
Qy
the United States Green
Building Council or other rating system or methodology for
existing buildings, as determined
Qy
the Department.
ill
The covered building received certification under the LEED
2009 rating system for Existing Buildings, or another rating
system for existing buildings the Director finds equivalent,
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within
filed.]]
1:
years before the building's energy efficiency report is
[[18A-46.
Retro-commissionine required.
Retro-commissioning required
The owner of
~
covered building must
tru
assure that retro-commissioning is performed on the base building
system of
~
covered building before filing an energy efficiency report
as required
Qy
this Article. Except as otherwise provided in Section
18A-49, retro-commissioning must be performed
Qy
or under the
supervision of
~
retro-commissioning agent, as required
Qy
applicable
regulations issued under subsection
{Q1
(hl
Regulations.
The County Executive must issue regulations requiring
that sufficient analysis, corrections and testing have been done so that
each base building system demonstrates efficient operation.
(£)
Contents
Q[
retro-commissioning report.
The retro-commissioning
agent must prepare and certify
~
retro-commissioning report. Each
retro-commissioning report must include information relating to the
retro-commissioning as specified in applicable regulations.
Timing
Q[
retro-commissioning
@
Except as otherwise provided
In
Section 18A-49, each retro-commissioning must be completed no
earlier than
1:
years before
~
covered building's energy efficiency
~
report is filed with the Department under this Article.
ill
Documentation
Q[
retro-commissioning.
The owner must maintain
2QJ2Y
of the latest up-to-date equipment manual and the most recent
retro-commissioning report at every covered building and must make
either available to the Department for inspection on request.
ill
Exceptions.
A retro-commissioning is not required if the covered
building received certification under the LEED 2009 rating system for
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384
385
386
387
388
389
Existing Buildings. or another rating system for existing buildings the
Department fmds equivalent. within
2.
years before the building'S
energy efficiency report is filed and earned the LEED point for
Existing Building Commissioning investigation and analysis and the
LEED point for Existing Building Commissioning implementation.]]
[[18A-47.
Energy efficiency report required.
Report required
Except as provided in Section 18A-49, the owner of
each covered building must file an energy efficiency report for the
building during the calendar year when the report is due under this
Section and every tenth calendar year thereafter.
W
(hl
Content gfreport.
Except as otherwise provided in Section 18A-49,
each energy efficiency report must include, in
the Department:
~
format approved
Qy
ill
the building's energy audit report or documentation that an
exception applies to the building; and
ill
ill
the building's retro-commissioning report or documentation
that an exception applies to the building.
Due dates.
The first energy efficiency report for each covered
building in existence on July
.L
2014, and for each new building must
be due, beginning with calendar year 2015, in the calendar year with
~
final digit that is the same as the last digit of the building's property
identification number, as illustrated in the following chart:
Last
digit of
property
ID
0
1
2
3
4
2.
§
1
~
2
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BILL
No. 2-14
number
Year
first
2020 2021 2022 2023 2024 2015 2016 2017 2018 2019
I
EER
due
390
391
392
393
394
395
396
397
398
399
400
401
402
403
404
405
406
407
408
409
410
411
IS
@
Deferral gf energy efficiency report.
An owner of
~
covered building
may defer sUbmitting an energy efficiency report for
if the building:
~
covered
building until the tenth year after the year identified in subsection
!f}
ill
ill
is less than 10 years old at the beginning of its first assigned
calendar year; or
has undergone substantial rehabilitation, as certified
Qy
~
registered design professional. within 10 years before the
calendar year when an energy efficiency report is due, if at the
beginning of the calendar year the base building systems of the
building comply with County law in effect for new buildings
constructed on and after July
L
2010 or in effect on the date of
the substantial rehabilitation, whichever is later.
W
Exceptions.
ill
The Director may allow an extension of time to file an energy
efficiency report if the building's owner shows that, despite the
owner's good faith efforts, the owner could not complete the
required energy audit and retro-commissioning before the due
date for the report. The Director may allow no more than
extensions of no more than one year each.
~
Any extension
allowed under this Section must not extend the scheduled due
dates for any later energy efficiency report.
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No. 2-14
412
413
414
415
416
417
418
419
420
421
422
423
424
425
426
427
428
429
430
431
432
433
434
435
436
437
438
ill
The Director may allow one or more annual extensions of time
to file an energy efficiency report because of financial hardship
of the building.
ill
Due dates for County buildings.
buildings must follow
~
The first due dates for County
staggered schedule, from calendar year 2015
through calendar year 2023, for each building in use on July
L.
2014.
The Director must add each County building opened to use after that
date to the schedule within 10 years after the Department of
Permitting Services issues the certificate of use and occupancy for the
bUilding.
(g}
Combined audit and retro-commissioning.
An owner may perform
the audit and retro-commissioning of
~
building in
~
combined process
if that process meets all requirements of Sections 18A-45 and 18A­
46.]]
[[lSA-4S.
Notice.
The Department must notify the owner of each covered building of the
requirements of this Article no later than
I
years before the calendar year when the
covered building'S energy efficiency report is due and in the calendar year before
the calendar year when the report is due.]]
[[lSA-49.
Early compliance.
The Department may allow an owner of
~
covered building to comply with
this Article before the deadline specified in Section 18A-47.]]
[[1
SA-50.
Regulations; penalties.
The County Executive may issue Method
ill
regulations to administer
this Article.
.cru
{hl
Any violation of this Article is
~
Class A violation.]]
Sec.].
Benchmarking Work Group,
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No.
2-14
439
440
441
442
443
444
445
446
447
448
449
450
W
The Executive must convene a Benchmarking Work Group. Members
of the Work Group must include representatives from the County.
building owners and manager. industry trade associations. non-profit
organizations. and utility companies.
!hl
The Work Group must:
ill
review the application of Chapter 18A. Article 6. as added by
Section 1 of this Act. to County buildings for the reporting
period ending June 1.2015: and
m
submit a report to the County Council and County Executive by
September 1. 2015 with recommendations on implementing
building
benchmarking
for
privately-owned
buildings.
including any proposed amendments to County law.
Approved:
451
452
453
454
455
456
457
458
Approved:
Isiah Leggett, County Executive
Date
459
460
461
462
This is a correct copy ofCouncil action.
Linda M. Lauer, Clerk ofthe Council
Date
- 20­