San Francisco Energy Ordinance for Existing Buildings Webinar
Benchmarking Webinar: The Path to Energy Savings Existing Commercial Buildings Energy Performance OrdinanceSF Environment invites you to join one of our The webinar will also provide a calendar of in-upcoming webinars on San Francisco’s Existing person benchmarking workshops available fromCommercial Buildings Energy Performance PG&E, tips on where to get post-training supportOrdinance. The ordinance empowers decision to accomplish your energy management goals,makers responsible for non-residential buildings and more.– owners, managers, and operators – with keyinformation to control utility costs and maximize Please select one of the four webinars:energy efficiency. Existing commercial buildings10,000 sq. ft. and larger are required to 1)benchmark their building with EPA’s ENERGY Date Time Sign UpSTAR Portfolio Manager and annually report on September 12 2 – 3:30 pm http://bit.ly/oabDbsoverall energy performance, and 2) obtain acomprehensive energy audit from a qualified September 26 2 – 3:30 pm http://bit.ly/ou9dQLprofessional at least once every five years.Portfolio Manager is the industry standard tool October 21 10 – 11:30 am http://bit.ly/nGVW9ufor tracking energy use and comparingperformance to similar facilities; California lawwill soon also require the disclosure of energy When you sign up, you will receive an email withperformance data from Portfolio Manager at the attachments that are essential to getting thetime of sale, refinance, or lease of whole most from the webinar. Please provide ancommercial buildings. accurate email address when registering, and please take the time to review these materialsThis fast-paced 90-minute webinar will detail how before joining us on the day of the event.to meet, and benefit, from the new requirements:• Overview of the SF ordinance – Requirements, covered buildings, timelines• Step-by-step instructions on how to Presenter benchmark a building with Portfolio Manager, including how to create an account Mark Jewell, Founder o How to setup PG&E’s Automated Energy Efficiency Funding Group Benchmarking Services (ABS) to automatically update energy use data Mark Jewell’s experience includes over 25 years in o Preparing an Annual Energy Benchmark commercial real estate and more than 15 years in Summary energy efficiency. He is the founder and president of EEFG, a consultancy that has designed energy- o Highlights of the audit requirement saving improvements for more than 350 buildings and• Incentives and resources to put energy now focuses on education, training, coaching, and efficiency ideas into action analysis related to energy management. Mark helped the US EPA deploy both the ENERGY STARParticipants will receive free follow-up technical Buildings Program and the Portfolio Manager tool. Hesupport with benchmarking, sponsored by is the instructor for numerous utilities’ benchmarkingPG&E. classes, including PG&E. Mark is a graduate of The Wharton School at the University of Pennsylvania. For more information visit SFEnvironment.org/ecb or call (415) 992-6373 SF Environment is a Department of the City & County of San Francisco.
Existing Commercial Buildings Energy Performance Ordinance: OverviewThe intent of the Existing Commercial Buildings financing that enhance both the bottom line and cashEnergy Performance Ordinance is to help the local flow. The opportunity is compelling. Implementingmarket maximize energy efficiency in San Francisco specific cost-effective recommendations from credibleby empowering owners, managers, operators, and experts can cut operating costs, reduce exposure tooccupants with the key information to control utility utility rate increases, and improve asset value.costs, and to know exactly how they will benefit byimproving energy efficiency. For existing How to Complynonresidential buildings 10,000 square feet andlarger, the ordinance requires: This document explains how to fulfill the benchmarking requirement, and provides a briefing • An Actionable Plan: An energy efficiency about the audit requirement. These are two separate audit identifying specific cost-effective requirements, with different minimum qualifications, measures that would save energy. timing, reporting method, and exemptions. Some • A Benchmark: Track and annually buildings will be exempt from an energy audit, but summarize the energy used by the entire benchmarking is required for occupied all building, enabling tracking of trends and nonresidential buildings of 10,000 square feet or comparison to similar buildings under similar larger that have been in operation for at least one conditions across the nation. year. The two requirements must be met separately, but in each case, a paperless online reporting method • Transparency: Annually share a concise will be provided. overview of each building’s energy benchmarking results with the Department of The information in this briefing can also be found at: Environment and tenants. Department of www.sfenvironment.org/ecb. Environment will ultimately be required to make this type of information available to the public. The Annual Energy Benchmark Summary report is intended to encourage Benchmarking improvement in energy management, as well as sustained excellence. Each whole non-residential building larger than 10,000 square feet must be benchmarked usingThe Ordinance was directly informed by the Energy Star Portfolio Managerrecommendations of the Mayor’s Task Force on (www.energystar.gov/benchmark.) Portfolio ManagerExisting Commercial Buildings, which recommended is an online tool provided at no cost to the user by thepolicies, actions, and partnerships to meet local and US Environmental Protection Agency. Thestate goals for greater energy efficiency in buildings. benchmarking requirement is being phased in overThe intent of this initiative is to improve the three years.competitiveness of commercial buildings in the city,support the local economy – particularly jobs related Building owners or their representatives mustto energy efficiency, reduce greenhouse gas annually electronically share a brief report of keyemissions, conserve resources, and enhance benchmarking results with the Department ofelectricity reliability. Environment, and tenants. This report is an “Annual Energy Benchmark Summary”, and is based on dataIt is the building owner’s decision how to benefit from from the prior calendar year. For example, a 2011opportunities identified in the energy efficiency audit. report will be based on energy used from JanuaryCommercial properties in San Francisco are eligible 2010 to December 2010.for rebates (such as the San Francisco Energy Watchprogram: www.sfenergywatch.org ), federal taxbenefits (such the 179d tax deduction), and special For more information visit SFEnvironment.org/ecb or call (415) 992-6373 SF Environment is a Department of the City & County of San Francisco.
The Annual Energy Benchmark Summary report Sign Up for A Webinarwill include: Date Time Sign Up • Contact information and square footage • Energy Use Intensity (how much energy the September 26 2 – 3:30 pm http://bit.ly/ou9dQL building used per square foot for the year) • 1-100 Performance Rating provided by October 21 10 – 11:30 am http://bit.ly/nGVW9u Portfolio Manager, where applicable • Greenhouse gas emissions from energy Or visit www.sfenvironment.org/ecb, to click the link. usageThe Annual Energy Benchmark Summary does not Additional Training Resourcesinclude commodity energy use (kWh or therms) forthe whole building or for any meters. • Pacific Gas & Electric Company provides freeBenchmarking with Portfolio Manager will also be classes on benchmarking, and how to use yourrequired under California Public Resources Code benchmark results to save energy and money.25402.10 (AB 1103.) Where the San Francisco Classes are available online, at the Pacific EnergyExisting Commercial Buildings Energy Performance Center on Howard Street, and throughoutordinance requires annual benchmarking and public Northern California: www.pge.com/energyclassesdisclosure of limited statistics summarizing overall • US EPA’s ENERGY STAR program provides bothperformance, the complimentary state law will require live webinars and recorded training on how toprivate disclosure of all energy usage information benchmark with Portfolio Manager. (Note: Thesebetween parties to the sale, lease, or refinance of the videos and webinars are provided for a nationalentire building. For additional information: audience. They do not cover local ordinances orwww.energy.ca.gov/ab1103/ PG&E’s Automated Benchmark Service.) www.energystar.gov/benchmarkFor the first year that an Annual Energy BenchmarkSummary report is required for a given building, the Exemptions to Benchmarking RequirementsDepartment of Environment must keep the reportconfidential. In subsequent years of reporting for that An Annual Energy Benchmark Summary is notsame building, the Department of Environment is required for:required to make the Annual Energy BenchmarkSummary public. • New Buildings: (The Certificate of Occupancy from the Department of Building Inspection isBenchmarking Training and Technical Assistance dated less than two years prior to the Annual Energy Benchmark Summary due date.)The best place to start is to attend a free class. SF • Unoccupied Buildings: (The building had lessEnvironment invites you to join a fast-paced 90- than one full-time equivalent occupant for theminute webinar which will detail how to meet, and previous calendar year.)benefit, from the new requirements. The webinarsinclude step-by-step instructions on how to In all other cases, the Annual Energy Benchmarkbenchmark a building with Portfolio Manager, setup Summary is required. To obtain an exemption toPG&E’s Automated Benchmarking Services (ABS) to benchmarking requirements, please write to:automatically update energy use data, and prepare an email@example.com. In the message,Annual Energy Benchmark Summary. include:Participants will receive free follow-up technical • Contact information for the owner, and thesupport with benchmarking, sponsored by Pacific Gas owner’s agent if applicable.and Electric Company. • Assessor Parcel Number (block and lot) • Gross square footage of the building(s)When you sign up, you will receive an email with • Reason for exemption:attachments that are essential to getting the most o Date and Permit Number forfrom the webinar. Please provide an accurate email Certificate of Occupancy, or a copy.address when registering, and take the time to review o Signed statement that the buildingthe materials before joining us on the day of the was unoccupied for the 12 months ofevent. the prior calendar year. Information: www.SFEnvironment.org/ecb ● firstname.lastname@example.org ● (415) 992-6373Page 2 Version: Sept 12, 2011
Benchmarking Timeline with the Department of the Environment when you click “Release Data” at the end of the process.Annual Energy Benchmark Summary reports will Any information about individual buildings reported viagenerally be due April 1 each year, with one this template in 2011 will be treated as confidential byexception: In 2011, the reports are due October 1. the Department of Environment, which will publicly confirm which buildings have complied, and may onlyThe Annual Energy Benchmark Summary is based release aggregate statistics about groups of buildings.upon the energy performance data for the priorcalendar year. For example, statistics prepared and More detailed instructions will pop up when you clicksubmitted in 2011 will be based upon measured the link, and also when you navigate to the reportenergy performance January 2010 through December template. If you prefer, you can also download a copy2010. of the instructions from the Department of Environment: www.sfenvironment.org/ecb. Status ofDue Benchmarking Public When reporting, it is critical to use Portfolio Manager’sDate Disclosure “Notes” field to identify the building by block and lot. Buildings larger than To look up the block and lot for a property, visit:October 50,000 square feet must None http://propertymap.sfplanning.org1, 2011 benchmark Public The Department of Environment will accept an Annual disclosure Energy Benchmark Summary for the entire building Buildings larger than begins for from any party with the necessary information aboutApril 1, 25,000 square feet must buildings the entire building, including the owner’s 2012 benchmark greater than representative or a whole-building tenant. 50,000 square ft (only) Public disclosure for Buildings larger thanApril 1, buildings 10,000 square feet must 2013 greater than benchmark 25,000 square feet PublicApril 1, Buildings larger than disclosure 2014 10,000 square feet must applies to all and benchmark affectedbeyond buildingsHow to Submit an Annual Energy BenchmarkSummaryTo fulfill the benchmarking requirement, the AnnualEnergy Benchmark Summary 2011 report templatemust be used:http://bitly.com/rtAK9C(Or visit www.sfenvironment.org/ecb, and click the linkfrom that page.)This link leads to a Portfolio Manager login page. Byaccessing your account through this web link, acustom report template for compliance with theordinance will be available in your account. By usingthe Annual Energy Benchmark Summary 2011 reporttemplate, you will securely submit to the Departmentof Environment only the data required to meet theordinance, and no more, and data will only be shared Information: www.SFEnvironment.org/ecb ● email@example.com ● (415) 992-6373Page 3 Version: Sept 12, 2011
Energy Efficiency Audits LEED certification or the ENERGY STAR. The California Commissioning Collaborative provides anBenchmarking provides perspective about how a excellent guide to selecting a retrocommissioningbuilding performs relative to its peers. To identify provider: http://www.cacx.orgspecific opportunities for savings, weigh costs againstbenefits, and prioritize investments, an energy audit is Audit Timelinenecessary. The owner of each non-residential buildinglarger than 10,000 square feet must obtain a All building owners must have at least 12 monthscomprehensive energy efficiency audit of the entire between the date they are notified an audit isbuilding from a qualified energy auditor at least once required, and the date when the first Confirmation ofevery five years. The auditor is responsible for Energy Audit is due. Notification of audit requirementssubmitting a detailed report to the building’s decision is sent to the party listed by the Office of the Assessormakers, and the point is to provide a reliable catalog Recorder as the contact for property tax, and theof opportunities to cost-effectively improve energy owner is responsible for filing a Confirmation ofefficiency. The priority should be to obtain specific Energy Audit on or before the due date assigned torecommendations that empower action to save both the parcel.energy and money. Important: The due dates for benchmarking are notThe complexity an energy audit and the potential for related to the due dates for an energy efficiency audit.savings vary with the size, intricacy, and use of a Due Publicbuilding. The Ordinance sets a high standard: audits Auditmust meet or exceed the American Society of Date DisclosureHeating, Refrigeration, and Air-Conditioning Confirmation of AuditEngineers (ASHRAE) Procedures for Commercial due for initial group of OctoberBuilding Audits, with larger facilities required to buildings, Cost-effective 15, 2012receive a more rigorous evaluation than smaller approximately 1/3 of energyfacilities. The audit requirements are: stock. efficiency Confirmation of Audit opportunities in due for second group of individualBuilding Size Minimum Level of Effort April 1, buildings, buildings are 201350,000 square ASHRAE Level II approximately 2/3 of confidential.feet and larger – An “intermediate” survey and stock. energy analysis Confirmation of Audit Confirmation of April 1, due for final group of compliance (or10,000 to 49,999 ASHRAE Level I 2014 buildings. exemption) willsquare feet – A basic energy analysis 2017 Confirmation of Energy be published. and Audit due for 20% ofFor a summary of what each level of effort entails, beyond stock every yearASHRAE has provided the Department ofEnvironment with an excerpt from the Procedures for Energy audits which were completed in 2008, or after,Commercial Building Audits, which can be may be used to fulfill the audit requirement, provideddownloaded from: www.sfenvironment.org/ecb that the audit is an evaluation of the whole buildingThe excerpt is provided by ASHRAE solely for the meeting the applicable ASHRAE Level of Effort, orpurpose of completing audits as required by the retrocommissioning. If only portions or specificExisting Commercial Buildings Energy Performance systems in the building have been evaluated, or if theOrdinance. energy efficiency evaluation was prior to 2008, a current and comprehensive audit is required. AuditThe full Procedures for Commercial Energy Audits are due dates for individual buildings have beenavailable directly from ASHRAE: www.ashrae.org established on a rolling deadline, determined by the Dept of Environment, so that buildings of a given sizeLarge facilities and buildings with complex systems do not all have the same deadline.are encouraged to undergo retrocommissioning.Retrocommissioning is the systematic, detailed Qualifications for Energy Auditorsexamination of all systems and operations in abuilding to both ensure they are operating as The Energy Efficiency Auditor responsible for thedesigned, and to identify opportunities for operational Energy Efficiency Audit Report must possess basicand capital improvements. Retrocommissioning will qualifications, including experience in energyfulfill the audit requirement, but is a voluntary best efficiency audits or commissioning of existingpractice that is most common in buildings seeking Information: www.SFEnvironment.org/ecb ● firstname.lastname@example.org ● (415) 992-6373Page 4 Version: Sept 12, 2011
How to File a Confirmation of Energy Audit Qualifications for Energy Auditors, Continued A Confirmation of Energy Audit must be filed with the buildings, and either a license or recognized Department of Environment identifying the building, certification in energy efficiency evaluations. the owner, energy auditor, what type of audit was performed, and a list of the cost effective measures Qualifications recognized by the Department of that were identified. Environment for providing energy audit services: Certification or Minimum It is the building owner’s decision whether to AND License Experience implement retrofits, and to take advantage of • At least 2 years incentives that may be available from the utility, state, experience and federal government by implementing the performing energy opportunities identified in the energy efficiency audit. efficiency audits or Licensed Engineer(1) AND commissioning of It is not necessary to file an entire Energy Audit (PE) Report with the Department of Environment; only a existing buildings; OR Confirmation of Energy Audit will be required. The • Any certification Confirmation of Energy Audit will be filed online; the listed in #2 below. tool for providing a Confirmation of Energy Audit to • Association of the Department of Environment is not yet complete. Energy Engineers However, no Confirmation of Energy Audit is due until Certified Energy October 2012 at the earliest, and a reporting Manager (CEM); mechanism will be provided at least 180 days before • Association of any audits are due. The Confirmation of Energy Audit Energy Engineers will include: Existing Building Commissioning • At least 2 years • Contact information for the building and building Professional experience owner(2) (EBCP); AND performing energy • Auditor, their qualifications, and when the audit • ASHRAE Building efficiency audits or was completed Energy commissioning of • A list of all cost-effective retrofit (or retro- Assessment existing buildings commissioning) measures identified. For reporting Professional purposes, “cost-effective” means energy (BEAP); OR efficiency measures that are estimated by the • Northwest Energy auditor to either: Education Institute o Each have a simple payback of 3 years or Energy less, Management o Each have a beneficial net present value, Certification o Comprise an integrated package with an • BOC International overall simple payback of approximately 3 Building Operator • At least 10 years years, OR Certification Level experience as a o Comprise an integrated package with II; OR building operating beneficial net present value. • International engineer; OR(3) AND Union of • At least 5 years Operating experience as a Engineers chief operating Certified Energy engineer Specialist Equivalent professional qualifications to manage, maintain, or evaluate building systems, as well as(4) specialized training in energy efficiency audits and maintenance of building systems, as determined by the Director of the Department of Environment Information: www.SFEnvironment.org/ecb ● email@example.com ● (415) 992-6373 Page 5 Version: Sept 12, 2011
Exemptions to Audit Requirements EnforcementAn Energy Efficiency Audit is not required if the The priority of the Department of Environment isbuilding is new or is recognized by a third party as education; we will work with property owners,high performing: managers, operators, and tenants to improve energy management. As such, enforcement will emphasize • High Performance Buildings: The building has outreach and education, and we will collaborate with received the ENERGY STAR in 3 of the past 5 the commercial sector to draw attention to facilities years, or LEED for Existing Buildings certification and teams who are demonstrating leadership in in the past 5 years. energy management.• New Construction: The building was constructed If necessary, the ordinance directs the Department of (i.e. received a final Certificate of Occupancy) in Environment to take the following steps: the past 5 years.Buildings that meet these criteria are exempt from an 1. Warning – A written notice of violation.audit the next audit cycle, and will remain exempt if 2. Public Notice – the Department ofthey maintain current recognition for high Environment will indicate via a public websiteperformance. that a building is not in compliance with localBuildings are also exempt from the audit requirement law.for as long as any of the following conditions apply: 3. Fine – Fines can be levied 45 days after the• Unoccupied Buildings: (The building had less written notice. Buildings of 25,000 square feet than one full-time equivalent occupant for the and larger can be subject to fines of $100 per day, up to a maximum of $2,500 per violation. previous calendar year.) Buildings smaller than 25,000 square feet can• Financial Distress: Examples of qualifying be subject to fines of $50 per day, up to a financial distress include: maximum of $1500 per violation. • Properties qualified for sale at public auction by the Treasurer and Tax Collector due to Keep in mind that the intent of the Existing arrears of property taxes that resulted in the Commercial Buildings Energy Performance propertys qualification for sale at public Ordinance is: auction, or acquisition by a public agency within two years prior to the due date of an • To empower owners, managers, operators, and energy efficiency audit report occupants with key information to control utility • A court appointed receiver is in control of the costs, and exactly how they will benefit from asset due to financial distress improving energy efficiency. Benchmarking and • Buildings owned by a financial institution getting an energy audit provide information through default by the borrower essential to minimizing the single largest • Buildings acquired by a deed in lieu of controllable cost center in building operations: foreclosure energy use. • Buildings where the senior mortgage is • To showcase that buildings in San Francisco are subject to a notice of default. among the most efficient in the world – in other words to help attract buyers and tenants whoIn all other cases, the Annual Energy Benchmark value low cost of operations and environmentalSummary is required. performance. • To help you benefit from the compelling incentives and financing for energy efficiency improvements available from the City, Pacific Gas & Electric, and the federal government. For More Information Web: www.sfenvironment.org/ecb Call: (415) 992-6373 Email: firstname.lastname@example.org Information: www.SFEnvironment.org/ecb ● email@example.com ● (415) 992-6373Page 6 Version: Sept 12, 2011