Page 10 - Builder Brief May 2022 Issue

EXECUTIVE VICE PRESIDENT
ENERGY CODE COMPLIANCE AND CREDITS
Kathy Howard
I recently visited with GSABA member Kathy Howard, Director of Strategic Accounts for Burgess Construction Consultants, at the Texas Association of Builders (TAB) Government Affairs Committee meeting in Austin. Kathy has been involved with several local builder associations, TAB and the National Association of Home Builders and offered some insight on the recent energy code and
compliance changes.
Kathy, what do our members need to know about House Bill (HB) 3215 and why should they care about it?
The changes related to energy code compliance and tax credits will impact all Texas homebuilders. Effective September 1, 2021, HB 3215 provides builders with multiple ways to comply with the statewide mandated energy code. There are three options: 1) prescriptive or performance path; 2) Energy Star Certification; 3) The Home Energy Rating Index (HERS Score).
The HERS Score is the industry standard by which a home’s energy efficiency is measured. It’s also a national standard as to how a home is to be inspected and tested. Additionally, the builder will need to comply with the 2018 mandatory table R 401.2.5.
Why is the HERS Score a good option for builders?
The HERS score not only simplifies compliance utilizing trade offs to achieve the needed scores, but it’s also a valuable marketing tool. The HERS score to a home is similar to how a car is rated using miles per gallon (mpg). It tells the homebuyer how the home will perform relative to energy usage. To find out what HERS score you’ll need, contact a qualified HERS Rater.
How can GSABA builder members qualify for the IRS 45L Tax Credit?
The $2,000 federal IRS tax credit is available for builders that have received HERS compliance. As an example, $2,000 credit x 300 Qualifying Homes = $600,000 credit. The IRS allows builders to use this credit for 2021 built homes and may amend back three years (approximately as far as 2018). A qualified HERS rater can walk you through all the steps. The requirements for 2022 houses have not yet been signed into law.
One of the questions we hear from the building community and the public is "will your 16 SEER A/C unit now become 14.4 SEER?"
Air conditioning (a/c) systems are rated based on an Air Conditioning, Heating & Refrigeration Institute (AHRI). AHRI is a certification program that provides an accurate and unbiased evaluation of heating, water heating, ventilation, air conditioning and commercial refrigeration equipment.
In the case of an air conditioner or heat pump, an AHRI-certified system confirms the performance ratings of specific combinations of the outdoor unit, indoor unit, and/or furnace listed in the AHRI Directory of Certified Product Performance. AHRI’s voluntary certification programs conduct third-party laboratory testing to confirm performance ratings. The ratings associated with such combination are certified in the form of an AHRI
KRISTI SUTTERFIELD
Certificate of Product Ratings. For a/c, the rating is referred to as a Seasonal Energy Efficient Rating (SEER.)
The changes being adopted for the rating of the a/c systems will require all manufacturers to make some updates to the current systems in order to maintain the current rating or additional field testing will be required. As a result of these new requirements, a system being rated today at a16SEERmayendupaslowasa14.4SEER.By January 1, 2023, SEER2 product regulations will be in full effect, therefore builders need to check with their a/c contractors.
Why should GSABA members consider the Energy Star program?
The Energy Star program has been around for years, and aside from the performance and marketing advantages, Energy Star compliance is being proposed as the only option for earning the 45L Tax Credit moving forward. If you’re not an Energy Star builder but are expecting to earn the tax credit in the future (if it’s signed into law), you’ll want to know what construction changes you’ll need to make to be compliant.
Any additional words of wisdom you want to share with our members?
As you consider any change in your building or construction techniques that will impact energy code compliance, ask the right questions, and make sure you’re getting the right answers. Please feel free to call or email me if I can assist. I can be reached at (832) 524-5212 or at khoward@ burgess-inc.com.
10 MAY 2022 | GREATER SAN ANTONIO BUILDERS ASSOCIATION