Today's Law As Amended


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AB-3001 Zero-emissions buildings and sources of heat energy.(2017-2018)



As Amends the Law Today


SECTION 1.
 This act shall be known, and may be cited, as the California Zero-Emissions Buildings Act.
SEC. 2.
 (a) The Legislature finds and declares all of the following:
(1) Residential and nonresidential buildings are the second largest source of emissions of greenhouse gases in the state, and are significant sources of air pollution harmful to the health of Californians and the environment.
(2) California cannot achieve its air quality and climate goals without a deep reduction in emissions from residential and nonresidential buildings. Current building-related energy policies fall short of achieving an emission reduction of greenhouse gases of 40 percent below 1990 levels by 2030 and 80 percent below the 1990 levels by 2050 for residential and nonresidential buildings. While energy efficiency in buildings will continue to be an important and significant contributor to reducing emissions, a transition to cleaner heating fuels, is also needed to reach California’s climate and clean air targets.
(3) While California is a leader in increasing the availability of clean electricity, the state has made little progress on reducing emissions from fossil fuels used in buildings.
(4) Modern clean technologies, such as electric heat pumps and solar thermal systems, have the potential to dramatically and affordably reduce pollution from the building sector, while helping to integrate high levels of renewable energy into the electricity grid.
(5) Large-scale deployment of these clean heating technologies at the pace and scale necessary to achieve California’s air quality and climate goals requires a comprehensive strategy that does all of the following:
(A) Removes regulatory barriers that currently hinder the clean energy transition in buildings.
(B) Sets electricity rates that value and encourage demand flexibility.
(C) Unleashes industrial innovation to reduce costs through a clear long-term direction and short- and mid-term market stimulation.
(D) Develops capacity in the supply chain through installer, distributor, and retailer training.
(E) Raises awareness among the public to drive demand.
(6) The transition to healthy and affordable clean energy buildings will protect the health of Californians, create local jobs, stimulate economic growth, and safeguard the environment.
(b) It is the intent of the Legislature for the state’s energy agencies to take expedient action to accelerate the transition of the California building sector to developing healthy, affordable, and clean energy buildings, in alignment with the state’s climate and clean energy goals, while also prioritizing investments in low-income and disadvantaged communities.

SEC. 3.

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

25402.1.
 In (a)   order to  To  implement the requirements of subdivisions (a) and (b) of Section 25402, the commission shall do all of the following:
(a) (1)  Develop a public domain computer program which will enable contractors, builders, architects, engineers, and government officials to estimate the energy consumed by residential and nonresidential buildings. The commission may charge a fee for the use of the program, which fee shall be based upon the actual cost of the program, including any computer costs.
(b) (2)  Establish a formal process for certification of compliance options for new products, materials, and calculation methods which provides for adequate technical and public review to ensure accurate, equitable, and timely evaluation of certification applications. Proponents filing applications for new products, materials, and calculation methods shall provide all information needed to evaluate the application that is required by the commission. The commission shall publish annually the results of its certification decisions and instructions to users and local building officials concerning requirements for showing compliance with the building standards for new products, materials, or calculation methods. The commission may charge and collect a reasonable fee from applicants to cover the costs under this subdivision. Any funds received by the commission for purposes of this subdivision shall be deposited in the Energy Resources Programs Account and, notwithstanding Section 13340 of the Government Code, are continuously appropriated to the commission for the purposes of this subdivision. Any unencumbered portion of funds collected as a fee for an application remaining in the Energy Resources Programs Account after completion of the certification process for that application shall be returned to the applicant within a reasonable period of time.
(3) Commencing with the next triennial edition of the building energy efficiency standards for residential and nonresidential buildings (Part 6 (commencing with Section 100) of Title 24 of the California Code of Regulations) adopted after July 1, 2019, adopt provisions that provide compliance incentive credit for measures that result in reduced emissions of greenhouse gases beyond those the commission has determined to be cost effective.
(c) (4)  Include a prescriptive method of complying with the standards, including design aids such as a manual, sample calculations, and model structural designs.
(d) (5)  Conduct a pilot project of field testing of actual residential buildings to calibrate and identify potential needed changes in the modeling assumptions to increase the accuracy of the public domain computer program specified in subdivision (a) and to evaluate the impacts of the standards, including, but not limited to, the energy savings, cost effectiveness, and the effects on indoor air quality. The pilot project shall be conducted pursuant to a contract entered into by the commission. The commission shall consult with the participants designated pursuant to Section 9202 of the Public Utilities Code to seek funding and support for field monitoring in each public utility service territory, with the University of California to take advantage of its extensive building monitoring expertise, and with the California Building Industry Association to coordinate the involvement of builders and developers throughout the state. The pilot project shall include periodic public workshops to develop plans and review progress. The commission shall prepare and submit a report to the Legislature on progress and initial findings not later than December 31, 1988, and a final report on the results of the pilot project on residential buildings not later than June 30, 1990. The report shall include recommendations regarding the need and feasibility of conducting further monitoring of actual residential and nonresidential buildings. The report shall also identify any revisions to the public domain computer program and energy conservation standards if the pilot project determines that revisions are appropriate.
(e) (6)  Certify, not later than 180 days after approval of the standards by the State Building Standards Commission, an energy conservation manual for use by designers, builders, and contractors of residential and nonresidential buildings. The manual shall be furnished upon request at a price sufficient to cover the costs of production and shall be distributed at no cost to all affected local agencies. The manual shall contain, but not be limited to, the following:
(1) (A)  The standards for energy conservation established by the commission.
(2) (B)  Forms, charts, tables, and other data to assist designers and builders in meeting the standards.
(3) (C)  Design suggestions for meeting or exceeding the standards.
(4) (D)  Any other information which the commission finds will assist persons in conforming to the standards.
(5) (E)  Instructions for use of the computer program for calculating energy consumption in residential and nonresidential buildings.
(6) (F)  The prescriptive method for use as an alternative to the computer program.
(f) (7)  The commission shall establish  Establish  a continuing program of technical assistance to local building departments in the enforcement of subdivisions (a) and (b) of Section 25402 and this section. The program shall include the training of local officials in building technology and enforcement procedures related to energy conservation, and the development of complementary training programs conducted by local governments, educational institutions, and other public or private entities. The technical assistance program shall include the preparation and publication of forms and procedures for local building departments in performing the review of building plans and specifications. The commission shall provide, on a contract basis, a review of building plans and specifications submitted by a local building department, and shall adopt a schedule of fees sufficient to repay the cost of those services.
(g) (b)  Subdivisions (a) and (b) of Section 25402 and this section, and the rules and regulations of the commission adopted pursuant thereto, shall be enforced by the building department of every city, county, or city and county.
(1) No building permit for any residential or nonresidential building shall be issued by a local building department, unless a review by the building department of the plans for the proposed residential or nonresidential building contains detailed energy system specifications and confirms that the building satisfies the minimum standards established pursuant to subdivision (a) or (b) of Section 25402 and this section applicable to the building.
(2) Where there is no local building department, the commission shall enforce subdivisions (a) and (b) of Section 25402 and this section.
(3) If a local building department fails to enforce subdivisions (a) and (b) of Section 25402 and this section or any other provision of this chapter or standard adopted pursuant thereto, the commission may provide enforcement after furnishing 10 days’ written notice to the local building department.
(4) A city, county, or city and county may, by ordinance or resolution, prescribe a schedule of fees sufficient to pay the costs incurred in the enforcement of subdivisions (a) and (b) of Section 25402 and this section. The commission may establish a schedule of fees sufficient to pay the costs incurred by that enforcement.
(5) No construction of any state building shall commence until the Department of General Services or the state agency that otherwise has jurisdiction over the property reviews the plans for the proposed building and certifies that the plans satisfy the minimum standards established pursuant to subdivision (a) or (b) of Chapter 2.8 (commencing with Section 15814.30) of Part 10b of Division 3 of Title 2 of the Government Code, Section 25402, and this section which are applicable to the building.
(h) (c)  Subdivisions (a) and (b) of Section 25402 and this section shall apply only to new residential and nonresidential buildings on which actual site preparation and construction have not commenced prior to the effective date of rules and regulations adopted pursuant to those sections that are applicable to those buildings. Nothing in those sections shall prohibit either of the following:
(1) The enforcement of state or local energy conservation or energy insulation standards, adopted prior to the effective date of rules and regulations adopted pursuant to subdivisions (a) and (b) of Section 25402 and this section with regard to residential and nonresidential buildings on which actual site preparation and construction have commenced prior to that date.
(2) The enforcement of city or county energy conservation or energy insulation standards, whenever adopted, with regard to residential and nonresidential buildings on which actual site preparation and construction have not commenced prior to the effective date of rules and regulations adopted pursuant to subdivisions (a) and (b) of Section 25402 and this section, if the city or county files the basis of its determination that the standards are cost effective with the commission and the commission finds that the standards will require the diminution of energy consumption levels permitted by the rules and regulations adopted pursuant to those sections. If, after two or more years after the filing with the commission of the determination that those standards are cost effective, there has been a substantial change in the factual circumstances affecting the determination, upon application by any interested party, the city or county shall update and file a new basis of its determination that the standards are cost effective. The determination that the standards are cost effective shall be adopted by the governing body of the city or county at a public meeting. If, at the meeting on the matter, the governing body determines that the standards are no longer cost effective, the standards shall, as of that date, be unenforceable and no building permit or other entitlement shall be denied based on the noncompliance with the standards.
(i) (d)  The commission may exempt from the requirements of this section and of any regulations adopted pursuant thereto any proposed building for which compliance would be impossible without substantial delays and increases in cost of construction, if the commission finds that substantial funds have been expended in good faith on planning, designing, architecture or engineering prior to the date of adoption of the regulations.
(j) (e)  If a dispute arises between an applicant for a building permit, or the state pursuant to paragraph (5) of subdivision (g), (b),  and the building department regarding interpretation of Section 25402 or the regulations adopted pursuant thereto, either party may submit the dispute to the commission for resolution. The commission’s determination of the matter shall be binding on the parties.
(k) (f)  Nothing in Section 25130, 25131, or 25402, or in this section prevents enforcement of any regulation adopted pursuant to this chapter, or Chapter 11.5 (commencing with Section 19878) of Part 3 of Division 13 of the Health and Safety Code as they existed prior to September 16, 1977.

SEC. 4.

 Section 25403 is added to the Public Resources Code, to read:

25403.
 In regulations prescribed pursuant to subdivision (a) or (b) of Section 25402 for the year 2022 and thereafter, the commission shall do both of the following:
(a) Require, in consultation with the State Building Standards Commission, all new residential and nonresidential buildings be electric-ready buildings. For purposes of this subdivision, “electric-ready buildings” means buildings containing electric infrastructure necessary to enable building occupants to use electrical equipment in lieu of natural gas-fired equipment, such as space and water heating equipment, without the need for additional upgrades to the building’s electrical infrastructure.
(b) Develop standards pursuant to which emissions of greenhouse gases associated with new residential and nonresidential buildings could be reduced in a cost-effective manner.

SEC. 5.

 Section 380.7 is added to the Public Utilities Code, to read:

380.7.
 The commission, in a new proceeding, shall identify barriers and adopt rules requiring electrical and gas corporations to make policy changes to their energy efficiency programs to support the adoption of space and water heating technologies that reduce emissions of greenhouse gases in new and existing buildings. As part of that proceeding, the commission shall, at a minimum, do all of the following:
(a) Update the fuel substitution test used to determine the eligibility of projects to receive ratepayer-funded energy efficiency incentives, as established in commission Decision 92-10-020 and Decision 92-12-050, to increase opportunities for customers to reduce emissions of greenhouse gases by adopting low-emissions heating technologies.
(b) Include the societal and environmental costs of energy use, including combustion and fugitive emissions, in determining the cost-effectiveness for programs under its jurisdiction that pertain to space and water heating.
(c) Create or update incentive programs for new construction and existing buildings, emerging technologies, load management, and other initiatives under the commission’s jurisdiction that encourage the transition to low-emissions heating technologies in residential and nonresidential buildings.
(d) Require electrical corporations to develop and submit to the commission for approval a new or modified tariff for electrical services available to residential and commercial customers for application at the customer’s discretion that does all of the following:
(1) Removes disincentives customers face to adopt low-emissions heating technologies, such as by increasing usage baselines for customers using electric space and water heating technologies.
(2) Encourages the deployment of flexible electric loads to mitigate peak demand and associated system costs, such as grid-connected electric water heating and space heating that can shift usage to off-peak periods of the day when electricity is less expensive.
(3) Helps integrate electricity from eligible renewable energy resources to support achieving the goals of the California Renewables Portfolio Standard Program (Article 16 (commencing with Section 399.11) of Chapter 2.3 of Part 1 of Division 1) in the most cost-effective manner.
SEC. 6.
 No reimbursement is required by this act pursuant to Section 6 of Article XIII B of the California Constitution because the only costs that may be incurred by a local agency or school district will be incurred because this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII B of the California Constitution.