Retrofitting Exteriors
- Storefront/window replacement: Glass only replacements in an existing sash and frame require only that the glass replacement meet or exceed the thermal performance of the glass being replaced. Replacing a storefront system or window in its entirety requires replacement with a product meeting the maximum U-factor and Solar Heat Gain Coefficient provisions of the code or standard as applicable.
- Mansard roofs and parapet walls: These typically are considered architectural trim and finish attached to exterior walls and do not constitute part of the building thermal envelope. Accordingly, these architectural trim and finish embellishments are beyond the scope of an energy code or standard.
- Stucco/EIFS installation: These systems and assemblies of materials are considered exterior wall coverings. As such, they are to be maintained “in place” or, if removed, replaced with an equivalent level of insulation or thermal performance as was present prior to the exterior alteration.
- Built-up, modified, rubber and metal roofing: The use of ASHRAE Standard 90.1-2010 as an alternative compliance path for commercial buildings is permitted by the 2012 IECC as it applies to reroofing, roof recover and roof replacement as defined in the IBC. Table 5.5-5 of Standard 90.1 allows commercial, built-up roofing systems in Climate Zones 4 and 5 (“insulation entirely above deck”) to be insulated to R-20 in lieu of the 2012 IECC requirement for R-25. Therefore, both paths to compliance (IECC or Standard 90.1) are recognized compliance options.
Under the 2012 IECC, the minimum R-25ci for built-up roof systems applies to the area-weighted average U-factor of the tapered insulation assembly. However, at no point (such as at roof drains) is the thickness of insulation to vary more than 1 inch from the required minimum R-25ci. For instance, if the density of the insulation were R-5 per inch and the code-required minimum R-value were R-25ci, then the minimum thickness of insulation permissible at roof drains (where the taper starts) would be 4 inches (5 inches x R-5 per inch = R-25; 4 inches x R-5 per inch = R-20).
- Painting, caulking and waterproofing: For the purpose of maintaining the weather-resistant integrity of the exterior walls, floors and roof/ceiling systems of the building envelope, these are considered building-maintenance functions and, as such, beyond the scope of an energy code or standard. New construction (an addition) would be subject to the continuous air-barrier requirements of the code. Energy codes and standards recognize common materials and assemblies of materials as air barriers in addition to spray-applied liquid and phenolic-foam air barrier products.
- Landscaping and irrigation systems: Beyond the scope of an energy code or standard.
- Concrete, decorative stamp work: Beyond the scope of an energy code or standard.
- Asphalt paving, seal coating and stripping: Beyond the scope of an energy code or standard.
- Electrical and lighting: If the scope of the work includes lighting system retrofit, relocation or replacement and less than 50 percent of the luminaires (lamps and housing) are replaced, the lighting alterations alone are exempt provided that the lighting alterations alone do not increase exterior connected lighting power beyond the former level of connected lighting power for building exteriors. Exterior lighting controls as direct replacements for existing exterior lighting controls are subject to the photosensor and time-clock or astronomical time switch control requirements of the code or standard.
Retrofitting Mechanical Systems
- New rooftop HVAC unit: The new system(s) and equipment installed must comply with the equipment efficiency and performance requirements of the code, as well as provisions for off-hour and automatic start controls, demand controlled ventilation, economizer control, energy recovery, maximum fan system horsepower, and mechanical systems commissioning and completion.
- New boiler or chiller: The new system(s) and equipment installed must comply with the equipment efficiency and performance requirements of the code, as well as provisions for off-hour and automatic start controls, economizer control, hydronic system part-load controls for systems greater than or equal to 300,000 Btuh, and mechanical systems commissioning and completion.
- Ductwork: Any ductwork disassembled then reassembled is to be constructed and sealed in accordance with the current insulation and air sealing provisions of the code or standard.
Opportunities
On Aug. 8, 2005, history was made when President George W. Bush signed H.R. 6, the Energy Policy Act of 2005. The legislation set a precedent by containing a market transformation incentive in the form of a tax deduction for building owner investments in commercial building energy efficiency.
The “Commercial Building Tax Deduction” establishes a tax deduction for expenses incurred for energy-efficient building expenditures made by a building owner. The deduction begins at 30 cents per square foot and tops out at $1.80 per square foot of the property with allowances for partial deductions for improvements in interior lighting, HVAC and hot water systems, duct/air sealing, building envelope insulation, windows, air-sealing and roofing systems. The person who gets the deduction is the person who owns the property. The Emergency Economic Stabilization Act of 2008 (HR-1424), approved and signed on Oct. 3, 2008, extends the benefits of the Energy Policy Act of 2005 through Dec. 31, 2013.
There is no special form to claim the deduction. The IRS instructions to business forms (Form 1120 for corporations, Form 1120-S for S corporations and Form 1065 for partnerships) indicate the taxpayer should include the amount of the deduction in the “other deductions” line of the tax return. A statement listing the types and amounts of “other deductions” is to be attached to the return. It is important that a taxpayer obtain and retain the necessary certifications and documentation, which claim and validate the deduction. IRS Notice 2006-52 describes methods of calculating and verifying energy and power costs, using qualified computer software based on the provisions of the 2005 California Nonresidential Alternative Calculation Method Approval Manual.
Building owners are encouraged under the law to focus first on lighting systems because of their ease of upgrading and the known technology advancements in energy efficiency that will be gained. In the case of a lighting system (including the retrofit of an existing system), the system energy savings target for the lighting system is deemed to be met by a reduction in lighting power density of 40 percent (50 percent in the case of a warehouse) of the minimum requirements in Table 9.3.1.1 or Table 9.3.1.2 of ASHRAE Standard 90.1-2001 (effective April 2, 2003).
In the case of a lighting system that reduces lighting power density by 25 percent, a partial deduction of 30 cents per square foot is allowed. A prorated partial deduction is allowed in the case of a lighting system that reduces lighting power density between 25 and 40 percent. Certain lighting level and lighting control requirements must also be met in order to qualify for the partial lighting deduction.