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Oregon Bulletin

February 1, 2014

Department of Energy, Chapter 330

Rule Caption: Amending Biomass Tax Credit rules to increase application fee, clarify eligibility and application process.

Adm. Order No.: DOE 5-2013

Filed with Sec. of State: 12-20-2013

Certified to be Effective: 1-1-14

Notice Publication Date: 10-1-2013

Rules Amended: 330-170-0010, 330-170-0020, 330-170-0030, 330-170-0040, 330-170-0050, 330-170-0060

Subject: These permanent rule amendments for the Biomass Producer or Collector Tax Credit program implement changes providing additional details about the application contents and clarify the eligibility of biomass feedstocks and activities. The rule adds clarity and transparency for applicants and assists the Oregon Department of Energy in administering the certification process. ORS 315.141(5)(b) directs the department to collect a fee not to exceed the cost of administering the program. The rule increases the application fee. The department explained and included the fee increase in the budget approved by the legislature as part of the 2013-2015 budget process.

Rules Coordinator: Kathy Stuttaford—(503) 373-2127

330-170-0010

Purpose and Scope

(1) OAR chapter 330, division 170 establishes the procedure and criteria for certifying tax credits under ORS 315.141 and 469B.403.

(2) These rules apply to tax years beginning on or after January 1, 2014.

Stat. Auth.: ORS 315.141

Stats. Implemented: ORS 315.141 & 469B.403

Hist.: DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14

330-170-0020

Definitions

For the purposes of OAR chapter 330, division 170 the definitions in ORS 315.141 apply and in addition the following definitions shall apply:

(1) “Applicant” means an individual or a legal entity (including but not limited to any domestic or foreign corporation, trust, partnership, cooperative, or limited liability company), but does not include a nonprofit organization or a government entity, applying for the tax credit under ORS 315.141 and 469B.403.

(2) “Certificate” means a document issued by the department representing the right to claim a tax credit described in ORS 315.141 for the amount described on the certificate.

(3) “Charcoal” means biomass produced into a densified, carbon rich product used in filters, as an absorbent, soil amendment, or a fuel marketed for cooking purposes and not including biofuels produced by torrefaction.

(4) “Department” means the Oregon Department of Energy.

(5) “Director” means the Director of the department.

(6) “Dry ton” means the amount of biomass that would weigh 2,000 pounds at zero percent moisture content.

(7) “Firewood” as used in this rule means whole or split pieces of wood that are in a form commonly used for burning in campfires, stoves, or fireplaces.

(8) “Manure” means feces and urine of domestic livestock as excreted.

(9) “Oil Seed Crops” means canola, camelina, soybean, sunflower, safflower, mustard, and flaxseed grown for use as a biofuels feedstock.

(10) “Rendering Offal” means the waste or by-products of a rendering process.

(11) “Slash” means material from trees and woody plants, including limbs, tops, needles, leaves and other woody parts, grown in a forest, woodland, farm, rangeland or wildland-urban interface environment and collected at the harvest site.

(12) “Used Cooking Oil” means waste vegetable oil from food preparation.

(13) “Vegetative Biomass from Agricultural Crops” means residual material derived from crop production and crops grown solely to be used for energy, but does not include food processing residuals.

(14) “Virgin Oil” means un-used oil that has been extracted from an agricultural crop.

(15) “Waste Grease” means waste vegetable oil, animal fat, or organic grease from food preparation that is recovered from a grease trap, grease interceptor, grease recovery or similar device.

(16) “Wastewater Biosolids” means solids derived from primary, secondary, or advanced treatment of domestic wastewater which have been treated through one or more controlled processes that significantly reduce pathogens and reduce volatile solids or chemically stabilize solids to the extent that they do not attract vectors. This term refers to domestic wastewater treatment facility solids that have undergone adequate treatment to permit their land application. This term has the same meaning as the term “sludge” in ORS 468B.095.

(17) “Yard Debris” is defined in ORS 459.005(31).

Stat. Auth.: ORS 351.141

Stats. Implemented: ORS 315.141 & 469B.403

Hist.: DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14

330-170-0030

Applicant Eligibility

To be eligible for certification, the applicant must:

(1) Be subject to taxation under ORS 316, 317 or 318;

(2) Be an agricultural producer or biomass collector;

(3) Have title to the biomass at the time the biomass is delivered to a biofuel producer;

(4) Produce or collect the biomass in Oregon; and

(5) Deliver or cause the delivery of the biomass to be:

(a) Used as biofuel in Oregon; or

(b) Used to produce biofuel in Oregon.

Stat. Auth.: ORS 351.141

Stats. Implemented: ORS 315.141 & 469B.403

Hist.: DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14

330-170-0040

Biomass Eligibility

(1) The biomass must be eligible under these rules, fall within the definitions in ORS 315.141 and have a credit rate listed in ORS 469B.403.

(2) The biomass must be converted into biofuel in Oregon or used as biofuel in Oregon.

(3) Waste grease that is not dewatered prior to delivery to a biofuel producer is considered to have an eligible biomass content of 10 percent of the delivered weight of the oil and water mixture, unless the applicant can demonstrate, to the satisfaction of the department, an alternative measurement.

(4) Forest or rangeland woody debris must be collected and produced at the harvesting or thinning site.

(5) Only one certified credit may be issued for each unit of biomass as defined in ORS 469B.403.

(6) The following material is not eligible:

(a) Material used to produce firewood or charcoal.

(b) Construction and demolition debris, urban wood waste, yard debris.

(c) Forest or rangeland woody debris not collected and produced at the harvesting or thinning site.

(d) Algae.

(e) Material from pre-construction or construction activities and golf courses.

(f) Canola grown, collected or produced in the Willamette Valley.

(g) Grain corn.

(h) Other material that is not listed in ORS 315.141 or does not have a credit rate listed under ORS 469B.403.

Stat. Auth.: ORS 351.141

Stats. Implemented: ORS 315.141 & 469B.403

Hist.: DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14

330-170-0050

Application Process

(1) Applicants requesting a Biomass Producer or Collector Tax Credit must apply on the department approved form. The form must include the following information:

(a) The name of the applicant, address, phone number and email;

(b) The applicant’s federal tax identification number or social security number, which may be shared with the Oregon Department of Revenue to facilitate the administration of state tax law;   

(c) A description of the quantity and type of biomass produced or collected;

(d) The name of the biofuel producer that received the biomass for use as biofuel or to produce biofuel;

(e) The applicant’s certification statement; and

(f) The name, address, email address and telephone number of the responsible party for the applicant.

(2) In addition to the information on the form, the applicant must provide all of the following information related to the amount of biomass claimed in the application:

(a) Evidence that the agricultural producer or biomass collector held title to the biomass at the time the biomass was delivered. Evidence of title that may be satisfactory to the department, includes, but is not limited to: contracts, receipts, settlement sheets.

(b) Documentation indicating the origination of the biomass, such as the physical address; township, range, section and quarter/quarter section; or other specific geographic indicator.

(c) A summary or settlement sheet for each shipment received by the biofuel producer. Each summary or settlement sheet must include the following:

(A) The name and address of the biofuel producer to which the biomass was delivered;

(B) The date of delivery for each shipment of biomass;

(C) The type of biomass included in each shipment and the applicable tax credit rate for each shipment;

(D) The amount of biomass delivered in each shipment;

(E) The delivered price for each shipment of biomass, including the dry ton payment rate if applicable;

(F) The weight ticket number or a similar unique identifier for each shipment; and

(G) For woody biomass and vegetative biomass from agricultural crops, the dry ton weight equivalent of the actual tonnage in each shipment, calculated in a manner acceptable to the department.

(d) A receipt of qualifying biomass that includes the type of biomass, name and address of biomass producer or collector, name and address of the person receiving the biomass from the applicant, type of biofuel facility, dates delivered, amount of biomass received and a statement attesting to the receipt and use of biomass. An applicant may complete the department approved Receipt of Qualifying Biomass form or provide a receipt satisfactory to the department.

(e) All calculations used to convert one measure of the biomass to another measure and source references for the calculations and all variables.

(f) An application fee of $100 plus 2.5 percent of the total amount of tax credit.

(g) If eligible biomass is stored or aggregated with other biomass or materials after the initial production or collection activities and prior to delivery to a biofuel producer, the biomass producer or collector must provide detailed records certifying the amount and source of each type of biomass.

(h) Agricultural producers or biomass collectors that produce or collect animal manure must use the department approved worksheet or the following formula to calculate the amount of eligible manure:

(A) A x b x c / 2000; where:

(i) A is equal to the number of 1,000 pound animal units contributing manure during the period,

(ii) B is equal to the average animal manure production value from the Natural Resources Conservation Service Agricultural Waste Management Field Handbook Revision 2, March 2008, and

(iii) C is equal to the number of days in the period.

(B) The following documentation must be included with the application:

(i) The log of animal numbers and calculation of 1,000 pound animal units: [Number of animals contributing manure, by classification, (conduct a separate calculation for milkers, dry cows, heifers, calves)] multiplied by [the average lbs./1,000] = number of 1,000 pound animal units;

(ii) Documentation indicating the manure was used or is to be used as biofuel in Oregon or to produce biofuel in Oregon; and

(iii) A copy of the Oregon Confined Animal Feeding Operation (CAFO) National Pollutant Discharge Elimination System (NPDES) General Permit Summary; and

(iv) The most recent Oregon Confined Animal Feeding Operation (CAFO) National Pollutant Discharge Elimination System (NPDES) General Permit Annual Report.

(i) When it is not practicable to produce weight tickets for deliveries to a biofuel producer, agricultural producers that produce oil seed crops, grain crops, grass, wheat, straw or other vegetative biomass must include the following records with their application:

(A) Documentation demonstrating the quantity of biomass produced, which must include one or more of the following:

(i) Acreage report(s) or yield data submitted to the United States Department of Agriculture;

(ii) Crop insurance records of acreage planted and quantity harvested of biofuel crop; or

(iii) Additional documentation showing the actual yields of the biomass crop.

(B) Receipts or equivalent documentation indicating the biomass was used or is to be used as biofuel in Oregon, or to produce biofuel.

(j) If the applicant is transferring biomass that cannot be weighed or calculated, the applicant must supply documentation indicating the amount of biomass as measured by metering equipment or a similar device.

(A) Applicants must provide documentation, including manufacturer’s specifications that indicate the measurements are accurate and reliable.

(B) Metering equipment or similar devices must be calibrated according to the manufacturer’s specifications and the calibration records must be maintained for a period of no less than five years.

(3) The department may require the applicant to provide further information to complete a review of the application and verify compliance with statute and these rules. This information may include, but is not limited to, demonstration that the biomass is used as biofuel in an eligible manner. The department will notify the applicant in writing requesting additional information. If the department does not receive the requested information within 30 calendar days of the date of the notice, the department may deny the application.

(4) If a biomass collector requests a tax credit in place of the agricultural producer that produced the biomass, the application must include a signed statement from the agricultural producer that they are aware the biomass collector will be applying for the credit and that the agricultural producer will not apply for a tax credit for the same unit of biomass.

(5) Applications must be received within 60 days following the end of the applicant’s tax year during which the biomass is delivered to a biofuel producer. Applications received after this date will be returned and any application fee will be fully refunded.

(6) The department may refund up to 75 percent of the application fee if the application is withdrawn prior to review by the department. Only refunds that are $100 or greater will be issued.

(7) The department may require the applicant to pay reasonable costs, not to exceed actual costs, incurred in connection with reviewing the application that exceed the original application fee and which the Director determines are incurred solely in connection with processing the application. The department shall advise the applicant of any additional costs the applicant must pay before the department incurs the costs.

Stat. Auth.: ORS 351.141

Stats. Implemented: ORS 315.141 & 469B.403

Hist.: DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14

330-170-0060

Certification and Denial

(1) If the department approves an application, the Director will issue a Certificate to the applicant identifying the name of the Certificate holder, the biomass, and the amount of the tax credit certified.

(a) The amount of tax credit certified will be determined by multiplying the amount of eligible biomass delivered to a biofuel producer by the applicable tax credit rate found in ORS 469B.403.

(b) Except for oil seed crops, tax credit certificates will be issued for the tax year the biomass is delivered to a biofuel producer for use in Oregon. Tax credit certificates for the production of oil seed crops used to produce biofuel will be issued for the tax year in which the oil seeds are delivered to an oil seed processor. The department will not certify tax credits for agricultural producers that produce oil seeds until documentation indicating the oil has been used in Oregon to produce biofuel is provided in accordance with these rules.

(2) The department may adjust the amount of tax credit certified from the applied amount if miscalculations, inconsistencies or errors are found during the technical review.

(3) If multiple types of eligible biomass are included in a load that is appropriately documented under these rules, the department will apply the lowest credit rate associated with the biomass in determining the amount of certified credit for the entire load of eligible biomass.

(4) The department may review the biomass origination, production or collection activities, or the operating activities of the biofuel producer. The information gathered during a review may be used to determine if the application complies with applicable statutory provisions and rules.

(5) If the department does not approve an application, the Director will provide written notice of denial, including a statement of the findings and reasons for the denial, by mail. The department may deny the application if:

(a) The application does not comply with applicable statutory provisions and rules;

(b) The applicant does not provide information requested by the department within 30 days from date of request;

(c) The application is for biomass that is not eligible for the tax credit, or the department cannot determine the amount of eligible biomass that is co-mingled or combined with biomass that is not eligible; or

(d) The department is unable to determine whether the application complies with applicable statutory provisions and rules based on the information provided by the applicant or gathered during the review process.

(6) The applicant may request reconsideration in writing no later than 60 days after the Director issues a decision denying an application.

Stat. Auth.: ORS 351.141

Stats. Implemented: ORS 315.141 & 469B.403

Hist.: DOE 9-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 13-2010, f. & cert. ef. 11-2-10; DOE 8-2011, f. 11-4-11, cert. ef. 1-1-12; DOE 5-2013, f. 12-20-13, cert. ef. 1-1-14


Rule Caption: Updates the list of state-regulated appliances, adds test methods and clarifies product certification process.

Adm. Order No.: DOE 6-2013

Filed with Sec. of State: 12-23-2013

Certified to be Effective: 1-1-14

Notice Publication Date: 11-1-2013

Rules Amended: 330-092-0005, 330-092-0010, 330-092-0015, 330-092-0020, 330-092-0025, 330-092-0030, 330-092-0035, 330-092-0040, 330-092-0045, 330-092-0050, 330-092-0055, 330-092-0070

Rules Repealed: 330-092-0060, 330-092-0065

Subject: These permanent rule amendments implement minimum energy efficiency standards for new televisions, battery charger systems and high light output double-ended quartz halogen lamps sold or installed in Oregon, as established by Senate Bill 692, passed by the 2013 Oregon Legislative Assembly. Methods for testing the energy consumption of those three products are described in the rules. The rule amendments also update the list of products now subject to federal energy efficiency standards and therefore no longer subject to state regulation, and update and clarify the certification and compliance requirements for state-regulated equipment. Two sections regarding the department’s authority to postpone, adopt or update minimum energy efficiency standards are repealed as they are redundant with statute.

Rules Coordinator: Kathy Stuttaford—(503) 373-2127

330-092-0005

Purpose

The purpose of these rules is to establish procedures to govern the enforcement and amendment of standards found in ORS 469.229 through 469.261, which establish minimum energy efficiency standards for equipment and appliances for sale or use in Oregon that are not federally regulated.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418 (HB 2565) & OL 2007, Ch. 469 (SB 375)

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0010

Definitions

As used in OAR 330-092-0010 through 330-092-0046:

(1) “Director” means the Director of the Oregon Department of Energy.

(2) “Department” means the Oregon Department of Energy.

(3) “Equipment” means a category of equipment or appliances regulated by ORS 469.229 to 469.261 and described in OAR 330-092-0015, below.

(4) “Multi-State Compliance System” or M-SCS means the multi-state database program located at www.appliancestandards.org to register and list compliant equipment.

(5) “Product” means a particular model number or series available from a particular manufacturer, as distinct from a category of equipment.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0015

Effective Dates for Regulated Equipment

(1) The following list specifies the effective dates for equipment for which Oregon minimum energy efficiency standards have been adopted:

(a) Battery charger systems, as defined in ORS 469.229(7): The standards in ORS 469.233(19) are effective January 1, 2014, for sale of equipment and installation.

(b) Bottle-type water dispensers, as defined in ORS 469.229(9): The standards in ORS 469.233(12) are effective September 1, 2009 for sale of equipment in Oregon and September 1, 2010 for installation.

(c) Commercial hot food holding cabinets, as defined in ORS 469.229(13): The standards in ORS 469.233(13) are effective September 1, 2009 for sale of equipment in Oregon and September 1, 2010 for installation.

(d) Commercial refrigerators and freezers, as defined in ORS 469.229(15): The standards in ORS 469.233(4) are effective January 1, 2008 for sale of equipment and January 1, 2009 for installation.

(e) Compact audio products, as defined in ORS 469.229(16): The standards in ORS 469.233(14) are effective September 1, 2009 for sale of equipment in Oregon and September 1, 2010 for installation.

(f) Digital versatile disc players and digital versatile disc recorders, as defined in ORS 469.229(21): The standards in ORS 469.233(15) are effective September 1, 2009 for sale of equipment in Oregon and September 1, 2010 for installation.

(g) High light output double-ended quartz halogen lamps, as defined in Oregon Laws 2013, Chapter 418, Section 2: The standards in Oregon Laws 2013, Chapter 418, Section 4, are effective January 1, 2016, for sale of equipment and installation.

(h) Portable electric spas, as defined in ORS 469.229(32): The standards in ORS 469.233(16) are effective September 1, 2009 for sale of equipment in Oregon and September 1, 2010 for installation.

(i) Televisions, as defined in ORS 469.229(42): The standards in ORS 469.233(18) are effective January 1, 2014, for sale of equipment and installation.

(2) The following equipment is currently federally regulated and not subject to further regulation under ORS 469.229 through 469.261 or these rules:

(a) Automatic commercial ice cube machines as defined in ORS 469.229(2).

(b) Commercial clothes washers, as defined in ORS 469.229(12).

(c) Commercial pre-rinse spray valves, as defined in ORS 469.229(14).

(d) Illuminated exit signs, as defined in ORS 469.229(24).

(e) Incandescent reflector lamps, as defined in ORS 469.229(41).

(g) Metal halide lamp fixtures, as defined by ORS 469.229(28).

(i) Single-voltage external AC to DC power supplies, as defined in ORS 469.229(39).

(h) Torchieres, as defined in ORS 469.229(45).

(i) Traffic signal modules, as defined in ORS 469.229(46).

(j) Unit heaters, as defined in ORS 469.229(47).

(k) Walk-in refrigerators and walk-in freezers, as defined in ORS 469.229(49).

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0020

Minimum Energy Efficiency Standards and Test Methods

(1) Beginning on the effective date shown in OAR 330-092-0015(1)(i), televisions must meet the energy efficiency standards in ORS 469.233(18) as measured in accordance with the federal test procedure described in 10 CFR Section 430.23(h) (Appendix H to Subpart B of Part 430) (2013). Alternatively, until April 23, 2014, television efficiency may be measured in accordance with:

(a) For standby passive mode, the test methods contained in International Electrotechnical Commission (IEC) 62301:2005, Edition 1.0 “Household Electrical Appliances — Measurement of Standby Power”; and

(b) For on mode and power factor test, the test methods contained in IEC 62087:20008(E), Edition 2.0 — “Methods of Measurement for the Power Consumption of Audio, Video and Related Equipment”, Section 11.6.1 — “On mode (average testing with dynamc broadcast-content video signal” and the specifications contained in the California Code of Regulations, Title 20, Division 2, Chapter 4, Article 4, Section 1604(v)(3), effective January 1, 2011.

(2) Beginning on the effective date shown in OAR 330-092-0015(1)(a), battery charger systems must meet the energy efficiency standards in ORS 469.233(19) as measured in accordance with:

(a) For small battery chargers, the test methods contained in 10 CFR Section 430.23(aa) (Appendix Y to Subpart B of Part 430) (2011) and the specifications contained in the California Code of Regulations, Title 20, Division 2, Chapter 4, Article 4, Section 1604(w)(1), effective January 1, 2013; and

(b) For large battery chargers, the test methods contained in Energy Efficiency Battery Charger System Test Procedure Version 2.2 dated November 12, 2008, and published by ECOS and EPRI Solutions, with the modifications specified in the California Code of Regulations, Title 20, Division 2, Chapter 4, Article 4, Section 1604(w)(2).

(3) Beginning on the effective date shown in OAR 330-092-0015(1)(g), high light output double-ended quartz halogen lamps must meet the energy efficiency standards in Oregon Laws 2013, Chapter 418, Section 4, as measured in accordance with the IESNA LM-45: Approved Method for Electrical and Photometric Measurements of General Service Incandescent Filament Lamps published by the Illuminating Engineering Society of North America.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0025

Reporting Product Compliance Through the Multi-State Compliance System

(1) Manufacturers of Oregon-regulated equipment shall report compliance by registering a product on the Multi-State Compliance System website (www.appliance-standards.org) or by registering products with the California Energy Commission appliance efficiency database (www.energy.ca.gov/appliances). Products registered on the California Energy Commission appliance efficiency database will be automatically entered on the M-SCS database.

(2) Questions concerning product registration should be directed to the Oregon Department of Energy’s Appliance Efficiency Standards Program Manager, energyweb.incoming@state.or.us, 503-378-4040, 625 Marion St. N.E., Salem OR 97301.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0030

Effect of Registration

To be sold or installed in Oregon after the effective dates described in OAR 330-092-0016, Oregon-regulated products must be listed as “Compliant” in the M-SCS database. Products that are not listed in the database or are listed as “Needing Attestation” or “Non-Compliant” may not be sold or installed in Oregon after the applicable effective date.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0035

Manufacturer Certification of Information Entered in the Multi-State Compliance System

(1) Manufacturers of Oregon-regulated equipment not listed in the M-SCS database as compliant with the California standards must certify to the Oregon Department of Energy with a letter signed by a responsible officer in the organization, such as the Chief Financial Officer, Government Relations Officer, Chief Engineer or Technical Officer, that:

(a) The information related to the products listed by the manufacturer is true and accurate; and

(b) The products have been tested in accordance with test methods specified in ORS 469.233 or in these rules, as appropriate.

(2) A single letter may certify compliance for multiple products, but the letter must list each product to which it applies separately. Additional certifications are required when new products are listed.

(3) The letter may be sent by mail, fax, e-mail of a scanned copy, or e-mail with electronic signature, to the Oregon Department of Energy’s Appliance Efficiency Standards Program Manager, 625 Marion St. N.E., Salem OR 97301, fax 503-373-7806, energyweb.incoming@state.or.us.

(4) The Department will update the M-SCS database as needed to reflect that compliance letters have been received.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0040

Determination of Compliance

(1) Products for which the Oregon minimum energy efficiency standards are identical to or lower than standards adopted in California, and that have been approved by the California Energy Commission, will automatically be certified as compliant for sale and installation in Oregon.

(2) Products for which Oregon minimum energy efficiency standards are not identical to standards adopted in California, or that have not been approved by the California Energy Commission, must be approved by the Oregon Department of Energy and will be designated in the M-SCS database as “Needing Attestation” until they are approved.

(3) Products which do not comply with the appliance efficiency standards set forth in ORS 469.233 will be designated in the M-SCS database as “Non-Compliant.”

(4) A manufacturer may request the Department to change the status of a product in the M-SCS database from “Needing Attestation” or “Non-Compliant” to “Compliant” if it believes the product is incorrectly listed. The Department may require the manufacturer to submit or resubmit certification pursuant to OAR 330-092-0035 and any other documentation demonstrating that the product meets the applicable minimum energy efficiency standard.

(5) The Department may require the manufacturer to provide test results or other documentation verifying that a product meets Oregon’s minimum energy efficiency standards for that category of equipment.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0045

Labeling

(1) Except as provided in subsections (2) through (4) of this section, a product which is listed as “Compliant” in the M-SCS database will be deemed to meet Oregon’s labeling requirements if that product is permanently, legibly and conspicuously marked, labeled or tagged on an accessible place on each unit with the following information:

(a) Manufacturer’s name or brand name or trademark, which shall be either the name, brand or trademark of the listed manufacturer reporting compliance pursuant to OAR 330-092-0035;

(b) Model number; and

(c) Date of manufacture, indicating at least the year and month. If the date is in a code that is not readily accessible to the lay person, the manufacturer shall immediately, upon request, provide the code to the Department.

(2) For lamps, the information required by subsection (1) of this section shall be permanently, legibly, and conspicuously displayed on an accessible place on each unit, on the unit’s packaging, or, where the unit is contained in a group of several units in a single package, on the packaging of the group.

(3) The Department may waive marking, labeling or tagging requirements for products marked, labeled or tagged in compliance with federal requirements.

(4) The Department may grant a waiver from these labeling requirements on a case-by-case basis for a category of equipment if it determines:

(a) Oregon’s labeling requirements would be different and more burdensome than requirements in other states with similar standards.

(b) Current labeling materially complies with the intent of Oregon’s labeling requirements.

(c) Compliance with subsection (1) would be impractical.

(d) Labeling is unnecessary.

(e) No waiver will be made for an individual manufacturer or individual product.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0050

Determination of Non-Compliance

(1) If a manufacturer has not submitted certification to the Department pursuant to OAR 330-092-0035 for a product, the Department may change the Oregon status in the M-SCS to “Needing Attestation” and require the manufacturer to provide such certification within 30 days. If certification is not received within 30 days, the Department may change the status to “Non-Compliant” until such time as the certification is provided.

(2) The Department may review any product if it has cause to believe the product may not comply with Oregon’s appliance efficiency standards.

(a) Upon completing its review, the Department will notify a manufacturer in writing of its determination whether the product is in compliance with the appropriate appliance energy efficiency standard. The notification will include:

(A) Identification of the product.

(B) An explanation of any deficiencies in compliance with the applicable standards, testing requirements, or labeling requirements.

(C) The action the Department proposes to take if it determines the product is non-compliant or the information supplied to the Department through the M-SCS database or other means is in error.

(b) The manufacturer must respond to the notice of deficiency within thirty days of mailing.

(c) The Department will make its final determination within fifteen days of receiving the manufacturer’s response.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0055

Appeals

(1) A manufacturer may request reconsideration of the Department’s order in writing. The Department will respond within fifteen days of receipt of a request for reconsideration.

(2) A manufacturer may appeal an action taken by Department staff to the Director. An appeal shall state as clearly as possible the original request, the action taken by staff, and any relevant information demonstrating why the manufacturer believes the Department action is in error.

(3) The Director will respond to an appeal within fifteen days.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14

330-092-0070

Mailing List

Pursuant to ORS 183.355(8), the Department will establish a mailing list of manufacturers for each category of regulated equipment and other interested parties to give notice of program information including proposed rulemaking.

Stat. Auth.: ORS 469.040, 469.255, 469.261, OL 2013, Ch. 418 (SB 692)

Stats. Implemented: ORS 469.229–469.261, OL 2013, Ch. 418

Hist.: DOE 2-2008, f. 2-28-08, cert. ef. 3-1-08; DOE 6-2013, f. 12-23-13, cert. ef. 1-1-14


Rule Caption: Amends requirements for including green energy technology in new construction and public buildings renovation.

Adm. Order No.: DOE 7-2013

Filed with Sec. of State: 12-23-2013

Certified to be Effective: 12-23-13

Notice Publication Date: 11-1-2013

Rules Adopted: 330-135-0060

Rules Amended: 330-135-0010, 330-135-0015, 330-135-0018, 330-135-0020, 330-135-0025, 330-135-0030, 330-135-0035, 330-135-0040, 330-135-0045, 330-135-0050, 330-135-0055

Rules Repealed: 330-135-0047

Rules Ren. & Amend: 330-135-0048 to 330-135-0052

Subject: These permanent rule amendments revise the requirements for public bodies to spend 1.5 percent of the total contract price for the construction, renovation or major remodel of a public building, pursuant to House Bill 3169 passed by the 2013 Oregon Legislative Assembly. Amendments relate to requirements for installing green energy technology at an alternate site, deferring funds to a future project, and reporting project information. Additionally, amendments include editorial changes to clarify the roles and process for determining if green energy technology is appropriate at a site. A new section describing outreach to public bodies is adopted.

Rules Coordinator: Kathy Stuttaford—(503) 373-2127

330-135-0010

Purpose

The purpose of these rules is to establish procedures to administer ORS 279C.527 through 279C.528 and Oregon Laws 2013 ch. 612 (HB 3169), which require a contracting agency to include an appropriate green energy technology in the construction, reconstruction, or major renovation of a public building by spending an amount equal to at least 1.5 percent of the total contract price associated with that building.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented:ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0015

Definitions

For the purpose of this division, the following definitions apply:

(1) “Building” means any structure used or intended for supporting or sheltering any use or occupancy, as defined in Section 202 of the 2010 Oregon Structural Specialty Code.

(2) “Contracting agency” means a public body as defined in ORS 174.109 that plans to enter into a public improvement contract for the construction, reconstruction or major renovation of a public building.

(3) “Cost-effective” means an investment in green energy technology away from the site has a higher estimated economic benefit than an investment in corresponding green energy technology at the site. The comparison must include, but is not limited to, the cost of green energy technology, the cost of energy transmission infrastructure back to the public building, the value of electrical energy produced, saved or used over the life of the system, and the value of thermal energy produced, saved or used over the life of the system.

(4) “Department” means the Oregon Department of Energy.

(5) “Director” means the Director of the Oregon Department of Energy.

(6) “Direct use” of geothermal energy means using the geothermal resource directly for space or water heating in a building without the assistance of a heat pump. For the purpose of these rules, direct use applications employ resource temperatures of at least 140°F.

(7) “Geothermal energy” means the energy from a geothermal source including, but not limited to, indigenous steam, hot water, and hot brines.

(8) “Green energy technology” has the definition given in ORS 279C.527 as updated by Oregon Laws 2013, chapter 612 (HB 3169).

(9) “Green energy technology database” means a database of public building construction projects that are subject to these rules, and is administered by Oregon Department of Energy.

(10) “Site” means a land parcel or a group of contiguous land parcels, controlled by the contracting agency, on which a building either is or will be located.

(11) “Total contract price” means the estimated cost to construct a building including building systems, interior finishes, site infrastructure within five feet of the building perimeter, connections to existing utilities, landscaping, and sidewalks and parking lots built for the immediate use of the building. It does not include the cost of major new utility infrastructure that needs to be brought to the site or wetland mitigation requirements.

(12) “Total solar resource fraction” (TSRF) means the percent of energy produced by a fixed axis solar energy system when compared to the annual performance of the same system with optimal tilt and orientation and no external shading.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, 2013 OL, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0018

Requirement for Inclusion of Green Energy Technology

(1) Except as provided in OAR 330-135-0040, contracting agencies must spend an amount equal to at least 1.5 percent of the total contract price of an eligible public building project, as defined in OAR 330-135-0020, for the inclusion of green energy technology in the eligible public building.

(2) Contracting agencies may install the green energy technology required under subsection (1) of this section at a site located away from the eligible public building in accordance with ORS 279C.527(2)(b) to (c).

(3) Contracting agencies may defer expenditure of these funds under the conditions of OAR 330-135-0045 and 330-135-0050.

Stat. Auth.: ORS 469.040, 279C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612 (HB 3169)

Hist.: DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0020

Eligible Building Projects

(1) These rules apply to any permanent building(s) which will be owned, partially owned or controlled by a contracting agency and which is either:

(a) Used for conducting public business; or

(b) Used or occupied by employees of the contracting agency on a regular basis for a significant part of their work.

(2) Eligible public building projects are new capital construction projects for which the total contract price is $1,000,000 or more for a single building or a group of buildings on the same site and major renovations for which the total contract price is $1,000,000 or more and at least 50 percent of the insured value of the building.

(3) These rules apply to projects advertised, but if not advertised then projects with building construction contracts entered into, on or after the effective date of these rules.

(4) Public improvement projects that are not buildings are not required to comply with these rules. Projects that are not subject to these rules include, but are not limited to:

(a) Group U occupancies as defined in Section 312 of the 2010 Oregon Structural Specialty Code.

(b) Motor pool lots, parking lots not associated with a building, highways, bridges, sewers, fishponds, fish ways, and similar non-architectural structures.

(c) Buildings that house public industrial processes where only a small portion of the square footage houses employees of the contracting agency, such as: maintenance sheds, and water and waste water facilities including reservoirs, dams, conduit, pipe, pumps, wells, collection basins, pump stations, controls and other buildings primarily used for the purpose of water or waste water treatment.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0025

Eligible Contract Price

(1) The 1.5 percent to be spent on green energy technology must be based on the total contract price.

(2) The total contract price must not be reduced by federal, state, or other incentives that may be available for the green energy technology.

(3) Any constitutionally, statutorily or contractually dedicated government funds for the building that have been determined to be unavailable for the installation of green energy technology may be excluded when determining eligible costs under this section.

(4) For buildings with a joint public-private ownership, the total contract price must be pro-rated based on the contracting agency’s share of the ownership.

(5) For buildings that are being constructed or renovated with private funding but which are intended for ultimate ownership by a contracting agency, the total contract price must include the privately-funded share of the construction contract.

(6) Dividing a single project into multiple smaller projects in order to avoid or reduce the level of compliance with ORS 279C.527 and 279C.528 and these rules is not permitted.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0030

Green Energy Technology Performance Requirements

(1) Solar electric (photovoltaic), solar water heating, solar pool heating, and active solar space heating systems are to be installed in locations that have a total solar resource fraction (TSRF) of 75 percent or greater.

(2) Photovoltaic and geothermal electric systems must be separately metered to record electricity production.

(3) Geothermal systems that directly supply heat to the building system(s), passive solar thermal systems, daylighting systems or any combination thereof must jointly reduce the building’s baseline energy use by 20 percent or more, as demonstrated with whole building energy modeling prepared under the direction of a professional engineer.

(a) The baseline energy use includes space heating, space cooling, fan, pump, domestic hot water, and lighting loads. Other equipment and process loads are excluded.

(b) The baseline building model must follow the 2010 SEED Guidelines, Appendix L.

(A) For local or special government bodies, the baseline building must be modeled according to the requirements of the 2010 Oregon Energy Efficiency Specialty Code.

(B) For state government bodies, the baseline building must be modeled according to the requirements of the Proposed Building as defined in the 2010 SEED Guidelines, Appendix L.

(c) The system(s) must be commissioned by a third-party commissioning agent.

(4) Purchase of renewable energy certificates does not constitute compliance with the requirements of ORS 279C.527 through 279C.528 and Oregon Laws 2013, chapter 612.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0035

Eligible Green Energy Technology Costs

(1) For photovoltaic systems, eligible costs include the photovoltaic modules, mounting structure and hardware, modifications to the building structure specifically to accommodate the solar energy system, associated electrical equipment, metering, labor and system commissioning. Costs for auxiliary distribution systems such as chargers in electric vehicle charging stations or energy storage system (batteries or other) do not qualify.

(2) For building integrated photovoltaic (BIPV) systems, eligible costs include the difference between the costs for the BIPV components and the costs of the conventional building components that are modified or replaced to accommodate the installation of the BIPV system components.

(3) For solar water heating and solar pool heating systems, eligible costs include the solar collectors, mounting structure and hardware, associated plumbing and controls, metering, labor, and system commissioning. Costs for backup systems that use conventional energy sources do not qualify.

(4) For active solar space heating systems, eligible costs include the solar collectors, mounting structure and hardware, associated plumbing and controls, metering, labor, and system commissioning. Costs for heat distribution systems, such as ductwork or radiant floors, or costs for backup systems that use conventional energy sources, do not qualify.

(5) For passive solar systems and daylighting systems, eligible costs include materials and labor costs that can be directly and exclusively attributed to the passive solar and daylighting system, the cost for modeling the building energy performance, and commissioning.

(a) For passive solar systems eligible costs may include, but not be limited to, added thermal mass and shading controls.

(b) For daylighting systems, eligible costs may include, but not be limited to, automatic controls, light shelves, overhangs, automated louvers and blinds and related controls, skylights in spaces where automatic controls are present, and the portion of windows higher than 7 feet above the floor.

(6) For geothermal electricity generation, eligible costs include the cost of supply and disposal pipelines, turbine generators, controls, transformers, metering, labor and balance of plant.

(7) For geothermal energy use in building systems, eligible costs include the cost of supply and disposal pipelines, pumps, heat exchangers, controls, the cost for modeling the building energy performance, metering and labor.

(8) Costs for permanent educational displays located in or on the building that explain the green energy technology incorporated in the project are allowed.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, \279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0040

Alternative Financing

(1) Alternative financing arrangements to allow leveraging of federal, state, utility and other incentives, including but not limited to, lease-purchase agreements, power purchase agreements or energy savings performance contracts qualify under this program if the contracting agency documents that the costs of the green energy system meets or exceeds 1.5 percent of the total contract price.

(2) The minimum term of the agreement between the owner of the green energy system and the contracting agency must be at least ten years, unless ownership of the green energy system reverts to the contracting agency before that time.

(3) The agreement between the owner of the green energy system and the contracting agency must be exclusive to the green energy system required under the provisions of ORS 279C.527 through 279C.528 and Oregon Laws 2013, chapter 612. It may not include terms relating to operation and maintenance or capital equipment purchase of any other equipment or services. For power purchase agreements and energy savings performance contracts, the output of the green energy system must be separately metered.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0045

Determination Whether Green Energy Technology is Appropriate

(1) The contracting agency must determine whether constructing green energy technology at the site of the public building is appropriate. In making its determination, the contracting agency may consider factors including but not limited to:

(a) Whether there is opportunity to use photovoltaic or geothermal electric, solar thermal, passive solar heating systems or the direct use of geothermal energy in building systems

(b) Whether green energy technology can be installed in a manner that meets the minimum performance requirements of OAR 330-135-0030;

(c) Whether the building is listed or eligible for listing on the National Register of Historic Places and the green energy technology installation would be disruptive to the historic character of the building;

(d) Whether the installation of green energy technology would create security risks for staff or inhabitants of the building.

(2)(a) The contracting agency must also determine whether constructing green energy technology away from the site is appropriate if the contracting agency:

(A) Determines that constructing green energy technology at the public building site is not appropriate; or

(B) Prefers to construct the green energy technology away from the public building site instead of at the public building site.

(b) In making its determination, the contracting agency must consider whether green energy technology installed away from the public building site meets the factors listed in subsection (1) of this section and the requirements of ORS 279C.527(2)(b) and (c).

(3) If a contracting agency intends to install green energy technology away from the site, the contracting agency must request from the department, in accordance with OAR 330-135-0052, a technical review of its determination that an away-from-the-site installation is appropriate.

(4) The contracting agency must report its determination to the department in accordance with the reporting requirements in OAR 330-135-0055.

Stat. Auth.: ORS 469.040, 279C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0050

Requirements for Deferral of Expenditures

(1) If a contracting agency determines, in accordance with OAR 330-135-0045, that it is not appropriate to install green energy technology at the public building site or away from the public building site, the contracting agency must:

(a) Defer the expenditure of 1.5 percent of the total contract cost of the current public building project to the contracting agency’s next eligible public building project;

(b) Request from the department a technical review of its determination in accordance with OAR 330-135-0052; and

(c) Report, in accordance with OAR 330-135-0055, information about the deferred expenditure and the future project to which the deferred expenditure will be applied, if known.

(2) If the contracting agency defers the expenditure, the amount spent on green energy technology in the next building project must include the deferred expenditure from the current building project plus the 1.5 percent of total project cost for including green energy technology in the future building project, if required.

(3) Any amount spent on green energy technology in excess of 1.5 percent of the total contract price may not be credited to other current or future projects.

(4) Public improvement contracts for which state funds have not been appropriated for the construction or renovation of the public building are not required to defer funds.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0052

Requirements for Technical Review

(1) The director will appoint a permanent technical panel with members serving terms of up to three years. The technical panel will include, but not be limited to, the following membership:

(a) A chair from the Oregon Department of Energy;

(b) A representative from a public body;

(c) A representative from green energy technology industry; and

(d) An engineer or architect.

(2) A contracting agency that intends to construct green energy technology away from the public building site must submit to the department a request for technical review of its determination that green energy technology constructed away from the site is appropriate and meets the requirements of ORS 279C.527(2)(b) and (c). The contracting agency must provide supporting documentation for review.

(3) A contracting agency that intends to defer expenditure of 1.5 percent of the total contract cost to a future building project must submit to the department a request for technical review of its determination that green energy technology is not appropriate either at the public building site or away from the public building site. The contracting agency must provide supporting documentation for review.

(4) Within two weeks of receiving the contracting agency’s request for technical review and supporting documentation, the department will forward the request along with the supporting documentation to the technical review panel. The department will request supplemental information from the contracting agency if needed by the technical review panel to make its recommendation.

(5) Within 60 days of receiving the department’s request for technical review, the technical review panel will provide its recommendation to the department, and the department will convey the recommendation to the contracting agency.

(6) After receiving the technical review panel’s recommendation, the contracting agency must make a final determination about whether installing green energy technology is appropriate either at the public building site or away from the public building site. The contracting agency must enter its final determination and the technical panel’s recommendation into the green energy technology database described in OAR 330-135-0055.

Stat. Auth.: ORS 469.040, 279C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; Renumbered from 330-135-0048, DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0055

Requirement to Report on Green Energy Technology

(1) A contracting agency must enter information about its public building project into the green energy technology database after it makes its final determination about whether green energy technology is appropriate and before the construction/renovation of the building(s) commences.

(2) The contracting agency will enter the information into the green energy technology database using an online form provided by the department and accessible from the department website.

(3) Information entered in the green energy technology database must include, but not be limited to:

(a) Project name;

(b) Address of public building;

(c) Name of contracting agency;

(d) Contact information for reporting person;

(e) Utility companies serving the building;

(f) Date the contracting agency first advertised or otherwise solicited a contract for the construction, reconstruction or major renovation of the public building;

(g) Total contract price;

(h) Total insured building value (renovation projects);

(i) Whether the project includes previously deferred funds, the name of the previous project and the amount of the deferred funds;

(j) Projected start of construction and occupation date of building;

(k) Description of the proposed green energy technology;

(l) Location details of the green energy technology installation;

(m) Disclosure of non-public funds used in financing the green energy technology;

(n) Estimated annual energy production or savings of the green energy system;

(o) Contracting agency determination of whether green energy technology is appropriate at the public building site or away from the public building site, or contracting agency decision to defer the expenditure;

(p) Technical review panel recommendation;

(q) Future project to which funds will be deferred and projected start of construction of the future building, if applicable and future project is known;

(r) The account or fund where the deferred funds are to be held, if applicable;

(s) Cost-effectiveness comparison between green energy technology away-from-the-site of the public building compared to green energy technology at the site of public building under construction or renovation, if applicable; and

(t) Evidence of additional new renewable energy generation from green energy technology installed at the away-from-the-site location, if applicable.

(4) Upon completion of construction of the new building or major renovation and at the request of the department, the contracting agency must provide to the department the actual amount spent for green energy technology and, if significant changes were made to the green energy technology system design, an updated project description and updated estimated annual energy generation or savings.

Stat. Auth.: Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.: DOE 6-2007, f. 12-31-07, cert. ef. 1-2-08; DOE 15-2012, f. 12-27-12, cert. ef. 1-1-13; DOE 7-2013, f. & cert. ef. 12-23-13

330-135-0060

Outreach to Public Bodies

The department will conduct outreach to public bodies at least once per year to help inform them of the requirement ORS 279C.527 through 279C.528 to spend at least 1.5 percent of the total contract price for eligible public buildings on green energy technology.

Stat. Auth.: ORS 469.040, 297C.528, OL 2013, Ch. 612 (HB 3169)

Stats. Implemented: ORS 279C.527, 279C.528, OL 2013, Ch. 612

Hist.:DOE 7-2013, f. & cert. ef. 12-23-13


Rule Caption: Residential Energy Tax Credit rule updating solar photovoltaic and stove incentives and other program aspects

Adm. Order No.: DOE 8-2013

Filed with Sec. of State: 12-27-2013

Certified to be Effective: 1-1-14

Notice Publication Date: 11-1-2013

Rules Amended: 330-070-0014, 330-070-0020, 330-070-0021, 330-070-0022, 330-070-0025, 330-070-0026, 330-070-0029, 330-070-0064, 330-070-0073

Rules Repealed: 330-070-0019

Subject: These permanent rule amendments for the Residential Energy Tax Credit program assist and improve program administration, decrease the solar photovoltaic incentive rate and rework the incentive calculation for wood and pellet stoves. The rule also clarifies pass-through requirements, updates rule language to disallow multiple incentives from the department, defines a single system and repeals and deletes sections of rule no longer applicable. For solar photovoltaic projects, the rule requires a retail-pricing breakout for material and labor/installation, adds a requirement for the department to verify the project’s inverters and modules are listed on the California Electric Commission’s list and adds an allowance for a third-party reservation to be transferred in limited situations. Lastly, the rule includes housekeeping amendments to correct terminology, simplifies language and updates statutory references.

Rules Coordinator: Kathy Stuttaford—(503) 373-2127

330-070-0014

Pass-Through Eligibility

(1) A person or business that pays the present value to purchase the approved tax credit from the applicant may be eligible to claim the tax credit in place of the applicant.

(2) In accordance with ORS 469B.106(10) the department establishes the following rates for calculating the present value of the tax credit:

(a) For tax credits greater than $1,500 the present value is 90 percent of the tax credit amount.

(b) For tax credits less than $1,500 the present value is 95 percent of the tax credit amount.

(3) The department will issue a credit certificate to the pass through partner when the applicant confirms receipt of an amount equal to the present value of the tax credit and relinquishes any claim to the credit.

(4) A tax credit may be transferred or sold only once.

(5) A tax credit may not be transferred in portions. Only the whole tax credit amount may be transferred.

Stat. Auth.: ORS 469.040, 469B.106; 469B.109

Stats. Implemented: ORS 469B.100–469B.118; 316.116; 317.115

Hist.: DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0020

Eligibility

(1) To qualify for a credit, a person must meet all of the following:

(a) Be subject to Oregon personal income tax (or corporate excise tax, if seeking a credit under ORS 317.115).

(b) Purchase an AED, complete construction and installation if applicable, and obtain a certification in accordance with OAR 330-070-0010 through 330-070-0097.

(c) Be the owner or contract buyer of an Oregon dwelling served by the AED, or be a tenant of the dwelling owner:

(A) Use the dwelling as a primary or secondary residence; or

(B) Rent or lease the dwelling to a tenant who uses the dwelling or dwellings as a primary or secondary residence.

(2) If the basis for the credit is a fueling station necessary to operate an alternative fuel vehicle, unless the certificate is transferred, the company that constructs the dwelling that incorporates the fueling station or who installs the fueling station in the dwelling may claim the credit. If the alternative energy device is an alternative fuel vehicle or related equipment, the credit must be claimed by the system owner.

(3) Notwithstanding (1)(b), a residential property owner may qualify for a credit for an AED that is a third-party alternative energy device installation by meeting the following additional requirements:

(a) Installations must include a minimum 10-year agreement between the residential property owner and the third-party owner of the AED. The agreement must cover maintenance of the AED and either the use of the AED or the power generated by the AED for the entire length of the agreement.

(b) The third-party must comply with OAR 330-070-0029.

(c) The applicant must provide system cost information for third-party AED installations. System cost can be demonstrated by providing either a copy of an invoice for the purchase of the AED by the third-party owner, or a declaration from the third-party owner of representative market value for an AED that includes the costs of supply and installation. Such a declaration must include a list of primary system components and their pricing, itemizing material pricing separately from installation pricing.

Stat. Auth.: ORS 469.040; 469B.100; 469B.103; 469B.106

Stats. Implemented: ORS 469B.100–469B.118; 316.116; 317.115

Hist.: DOE 12(Temp), f. & ef. 10-14-77; DOE 3-1978, f. & ef. 3-7-78; DOE 5-1978, f. & ef. 9-27-78; DOE 6-1979, f. & ef. 11-13-79; DOE 1-1982, f. 1-12-82, ef. 2-1-82; DOE 6-1983, f. 12-16-83, ef. 1-1-84; DOE 7-1984, f. & ef. 12-19-84; DOE 1-1986, f. & ef. 2-7-86; DOE 4-1987, f. 12-18-87, ef. 1-1-88; DOE 1-1997, f. 12-15-97, cert. ef. 1-1-98; DOE 1-1999, f. 12-21-99, cert. ef. 1-1-00; DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2006, f. 12-29-06, cert. ef. 1-1-07; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0021

Eligible Devices

(1) To be eligible for a tax credit, an AED must meet all of the following:

(a) Be a complete system that is currently operating and meets these rules.

(b) Be a system that is built, installed, and operated in accordance with ORS 469B.100 through 469B.118.

(c) Be a system with manufacturers’ warranties against defects in products and materials, including remanufactured equipment.

(d) Be a system that complies with general and specific standards in these rules as they apply to AED systems and be one of the following:

(A) A system that uses solar energy;

(B) A ground source heat pump system;

(C) A renewable energy system that heats or cools space, heats water, or makes electricity;

(D) An energy-efficient appliance including a wastewater heat recovery device;

(E) An alternative fuel device; For tax years prior to January 1, 2012 this includes vehicles licensed and registered for first new use on Oregon roadways and used vehicles being modified for first new use of a qualifying alternative fuel device.

(F) A fuel cell system;

(G) For tax years prior to January 1, 2012 a heat pump water heater. Beginning January 1, 2012 only residential heat pump water heaters that meet the “Northern Climate” specification established by the Northwest Energy Efficiency Alliance for electricity will be eligible;

(H) A premium efficiency biomass combustion device;

(I) A ductless mini-split heat pump;

(J) A gas furnace;

(K) A heat and energy recovery ventilator;

(L) An air source heat pump; or

(M) A ground source heat pump compressor upgrade.

(e) Be a single system, which must be fully functional without the assistance of or component sharing with another system. Regardless of the number of components, a system must be controlled and able to distribute its result separate of any other system. Two or more units that share controls, a ductwork distribution system or hydronic distribution system will be considered a single system. This subsection does not apply to category two alternative energy devices.

(2) The following devices are not eligible for an AED tax credit:

(a) Standard efficiency furnaces;

(b) Standard backup heating systems;

(c) Wood stoves or wood furnaces, or any part of a heating system that burns wood except a qualifying premium efficiency biomass combustion device;

(d) Heat pump water heaters that are part of a geothermal heat pump space heating system;

(e) Structures that cover or enclose a swimming pool and are not attached to the dwelling;

(f) Swimming pools and hot tubs used to store heat;

(g) Photovoltaic systems installed on recreational vehicles;

(h) Additions to existing spa and hot tub systems;

(i) Above-ground, uninsulated swimming pools, spas and hot tubs;

(j) Conversions of systems from one type to another. An example is a conversion of a draindown solar hot water system to a drainback solar hot water system;

(k) Used equipment, not including remanufactured equipment that meets program standards;

(l) Repairs and maintenance of systems having received prior certification for an AED tax credit;

(m) Water source heat pump: A system that uses surface or subsurface water in a single pass without recirculation (open loop);

(n) Hydro systems;

(o) Wind systems that are used to heat or cool buildings, or to heat domestic, swimming pool or hot tub water;

(p) Systems or projects that received certification under the Energy Incentives Program or the Business Energy Tax Credit program.

(q) Air Conditioning Systems;

(r) Boilers;

(s) Dishwashers.

(t) Refrigerators and Freezers;

(u) Clothes Washers and Dryers; and

(v) Photovoltaic systems participating in the pilot Feed-In Tariff program under ORS 757.365.

Stat. Auth.: ORS 469.040; 469B.100; 469B.103; 469B.106

Stats. Implemented: ORS 469B.100–469B.118; 316.116; 317.115

Hist.: DOE 1-1986, f. & ef. 2-7-86; DOE 4-1987, f. 12-18-87, ef. 1-1-88; DOE 1-1989, f. & cert. ef. 6-15-89; DOE 2-1989, f. 12-28-89, cert. ef. 1-1-90; DOE 1-1995, f. & cert. ef. 1-17-95; DOE 1-1996, f. & cert. ef. 4-1-96; DOE 1-1997, f. 12-15-97, cert. ef. 1-1-98; DOE 1-1999, f. 12-21-99, cert. ef. 1-1-00; DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0022

Amount of Tax Credit

(1) The amount of the AED tax credit is based on the first-year energy yield of an eligible AED. The department has determined first-year energy yield estimates for eligible AEDs and associated tax credit amounts, which are listed in the RETC Rate Chart. The energy yield basis for a solar tax credit may be adjusted by the department to account for less than optimal solar access.

(2) The amount of the AED tax credit must not exceed the lesser of:

(a) $1,500 or the first-year energy yield of the AED in kWh multiplied by 60 cents for AEDs used for space heating, cooling, electrical energy or domestic water heating for tax years beginning on or after January 1, 1998. The amount of the credit may not exceed 100 percent of the cost of the system components and their installation. Only one tax credit for ground source heat pump systems will be issued per year per residence.

(b) For an alternative energy device used for swimming pool, spa or hot tub heating, 50 percent of the cost of the device or the first year’s energy yield in kilowatt hours per year multiplied by 15 cents, up to maximum credit amounts set in subsections (a) through (c) of this section.

(c) For each alternative fuel device, 25 percent of the eligible cost of the alternative fuel device or $750.

(d) For fuel cell systems placed in service on or after January 1, 2007, $3.00 per watt of the installed capacity or $6,000, and not to exceed 50 percent of the cost of the system. One tax credit may be issued per year, per residence, and the maximum credit claimed per year will not exceed $1,500.

(e) For photovoltaic systems installed on or after November 4, 2005, one $6,000 tax credit not to exceed 50 percent of the cost of the system as defined in OAR 330-070-0022(4). One tax credit may be issued per year, per residence, and the maximum credit claimed per year will not exceed $1,500, over a four year period.

(f) For wind AEDs installed on or after January 1, 2007, the first-year energy yield of the AED in kWh multiplied by $2.00, not to exceed the lesser of $6,000 or 50 percent of the cost of the system. One tax credit may be issued per year, per residence, and the maximum credit claimed per year will not exceed $1,500, over a four year period.

(g) For premium efficiency biomass combustion devices, the average heating need times the stove efficiency improvement times 60 cents, up to $1,500. The department will use the EPA default efficiency as of January 1, 2014 when calculating the stove efficiency improvement for:

(A) Wood or pellet stoves without full efficiency testing listed on the EPA list of EPA Certified Wood Stoves,

(B) Wood or pellet stoves without full efficiency testing with the testing data submitted and approved by EPA, or

(C) Pellet stoves on the List of EPA Exempt Wood Heating Appliances that submitted testing certificates to the department.

(3) For photovoltaic systems:

(a) Installed on or after November 4, 2005 and prior to January 1, 2011, the credit allowed under this section is equal to $3 per watt of the installed capacity measured in watts of direct current at industry standard test conditions.

(b) Installed on or after January 1, 2011 and before January 1, 2012, the credit allowed under this section is equal to $3 per watt of the installed output. This is equal to $2.10 per watt of the installed capacity measured in watts of direct current at industry standard test conditions.

(c) On or after January 1, 2012 and before January 1, 2014, the credit allowed under this section is equal to $2.10 per watt of the installed capacity measured in watts of direct current at industry standard test conditions; the tax credit is claimed according to OAR 330-070-0024.

(d) On or after January 1, 2014, the credit allowed under this section is equal to $1.90 per watt of the installed capacity measured in watts of direct current at industry standard test conditions; the tax credit is claimed according to OAR 330-070-0024.

(e) A maximum of one credit valued at $6,000 is allowed per residence, per AED. The maximum amount of credit allowed per year, beginning in the year in which the AED was installed, is $1,500 per year over a four-year period. The total credit may not exceed 50 percent of the cost of the system. All photovoltaic systems installed at a dwelling within a 5 year period will be considered a single device.

(4) The amount of the tax credit may not exceed the system cost of the AED to the applicant. The sum of any rebates or cash payments, including public purpose organization or federal grants or credits and the residential energy tax credit may not exceed system costs.

(5) For purposes of the tax credit, the cost of the AED must:

(a) Comply with OAR 330-070-0060 through 330-070-0097, as those rules apply;

(b) Be the system cost of acquiring the system.

(A) AEDs using an alternative energy source for only a part of their energy output or savings will have system cost prorated. System cost must be based on that part of the AED’s energy output or savings that is due to the alternative source;

(B) The department may find an AED to be too large for a dwelling. In such case the system cost must be prorated. System cost must be based on the largest useful size of an AED for the dwelling. The department will determine largest useful size based on the energy needs of the building; and

(C) The amount of credit for the original system and any addition may not exceed $1,500 per year. (6) For purposes of the tax credit, the eligible system cost of the AED is only those costs necessary for the system to yield energy savings and does not include:

(a) Unpaid labor (including the applicant’s labor);

(b) Operating and maintenance costs;

(c) Land costs;

(d) Legal and court costs;

(e) Patent search fees;

(f) Fees for use permits or variances;

(g) Loan interest;

(h) Vendor rebates, discounts and refunds;

(i) Service contracts;

(j) Cost of moving a used AED from one site to another;

(k) Cost of repair or resale of a system; or

(l) Any part of the purchase price which is optional, such as an extended warranty.

[Publications: Publications referenced are available from the agency.]

Stat. Auth.: ORS 469.040; 469B.103; 316.116

Stats. Implemented: ORS 469B.100–469B.118; 316.116; 317.115

Hist.: DOE 1-1986, f. & ef. 2-7-86; DOE 4-1987, f. 12-18-87, ef. 1-1-88; DOE 2-1989, f. 12-28-89, cert. ef. 1-1-90; DOE 1-1996, f. & cert. ef. 4-1-96; DOE 1-1997, f. 12-15-97, cert. ef. 1-1-98; DOE 1-1999, f. 12-21-99, cert. ef. 1-1-00; DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 7-2010(Temp), f. & cert. ef. 7-1-10 thru 12-28-10; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0025

Application for System Certification

(1) Applicants for a tax credit must obtain a system certification from the department.

(2) All applications for a system certification must meet all of the following:

(a) Provide all requested information and include a statement that the system and technician or owner-builder will meet all federal, state and local requirements.

(b) Include the applicant’s social security number for use as an identification number in maintaining internal records. The applicant’s social security number may be shared with the Department of Revenue to establish the identity of an individual in order to administer state tax law.

(c) State:

(A) The system cost of the AED;

(B) The location of the AED;

(C) The estimated first-year energy yield of the AED provided by the tax-credit technician or from the department’s energy yield chart, if any; and

(D) That the applicant has received an operating manual for the AED, except that no operating manual is required for sunspaces or direct gain space heating systems.

(d) Include an agreement by the tax-credit technician to make any changes required by the department for the system to comply with ORS 469B.100 through 469B.118.

(e) Be signed by the applicant and tax-credit technician, if any. Alternatively, a form of electronic signature acceptable to the department may be provided.

(f) Include no false or misleading information about an AED.

(g) For third-party installations, include a valid reference number as issued to the third-party by the department under OAR 330-070-0029.

(3) System certification applications for solar water heating AEDs must contain:

(a) All the data required in section (2);

(b) The number of collectors;

(c) The manufacturer and/or supplier;

(d) The collector dimensions and/or the net area of the collectors;

(e) The amount of heat storage;

(f) The system type;

(g) A declaration of SRCC certification status or equivalence, as determined by the department;

(h) A description of the freeze protection for the system;

(i) A description of the over-heat protection for the system;

(j) The system model;

(k) A description of the orientation and tilt of the collector;

(l) A solar site assessment worksheet for the collector location;

(m) A Consumer Disclosure signed by the applicant and technician or supplier, if any;

(n) A statement that the applicant has received a copy of consumer information supplied by the department; and

(o) Other data the department requires to determine eligibility.

(4) System certification applications for active solar space heating AEDs must contain:

(a) All the data required in sections (2) and (3) of this rule;

(b) A heat loss estimate for the home;

(c) The type and amount of thermal storage;

(d) A solar site assessment worksheet for the collector location; and

(e) Other data the department requires to determine eligibility.

(5) System certification applications for passive solar space heating AEDs must contain:

(a) All the data required in section (2) above;

(b) A copy of the building permit plans;

(c) A copy of the window specifications used;

(d) The type and amount of thermal storage;

(e) A solar site assessment worksheet taken at the center of the solar glazing; and

(f) Other data the department requires to determine eligibility.

(6) System certification applications for photovoltaic AEDs must contain:

(a) The data required in section (2);

(b) Retail customer pricing information for:

(A) Total project labor, and

(B) Total project materials;

(c) A list of primary system components that include, but are not limited to, panels, inverters, storage systems, racking systems, trackers and miscellaneous supplies;

(d) The number of modules;

(e) The brand name of the module(s);

(f) The rated DC output in watts of the module(s) under Standard Test Conditions (STC);

(g) A description of the storage provided if storage is a part of the system;

(h) Storage brand and model;

(i) Storage capacity in kWh;

(j) The brand name of the inverter if an inverter is part of the system;

(k) The capacity of the inverter;

(L)The Total Solar Resource Fraction (TSRF);

(m) Other data the department requires to determine eligibility; and

(n) A copy of the final inspection after the system has been permitted by applicant’s local jurisdiction.

(7) System certification applications for ground source heat pumps must contain:

(a) All the data required in section (2) of this rule;

(b) For all systems connected to a well, data on the well including:

(A) Depth;

(B) Diameter (cased);

(C) Temperature;

(D) Static water level below grade;

(E) A copy of the well driller’s log, if available; and

(F) Other data the department requires to determine eligibility.

(c) For systems connected to a heat pump:

(A) Brand name and model number of the heat pump;

(B) Rated output at the entering water temperature;

(C) Estimated system COP rated by ARI under Standard 325 -85 at an entering water temperature of 50 degrees Fahrenheit; and

(D) Any other data the department requires to determine eligibility.

(d) For ground loop heat pump systems:

(A) All the information in subsection (7)(b) of this rule;

(B) Brand name, rated output, estimated COP;

(C) Length and depth of the loop;

(D) Materials and spacing used;

(E) Type of heat transfer fluid; and

(F) Other data the department requires to determine eligibility.

(8) System certification applications for energy-efficient appliances must contain:

(a) All the data required in section (2) of this rule;

(b) The dealer’s business location;

(c) The brand name, make, model number, capacity and/or size of the appliance;

(d) A signed copy of the sales agreement, which must include all of the following:

(A) Verification of applicant’s name and address;

(B) Verification of model of appliance; and

(C) Verification of actual price paid for appliance.

(e) Certification of new equipment warranty; and

(f) Other data the department requires to determine eligibility.

(9) System certification applications for alternative fuel devices must contain:

(a) Taxpayer’s name;

(b) Taxpayer identification or social security number;

(c) State of Oregon vehicle registration number, if the device is a vehicle;

(d) Installation location by street address;

(e) The name of the licensed and bonded company employing the technician;

(f) The employing company’s business location;

(g) The brand name, make, model number, or component list of the AFD;

(h) A signed copy of the sales agreement, which will include all of the following:

(A) Verification of applicant’s name and address;

(B) Verification of model of, or components used for AFD; and

(C) Verification of actual price paid for the AFD.

(i) Certification of new equipment warranty;

(j) An optional letter attached to the application declaring that the applicant designates an Investor Owned Utility (IOU) or other qualifying entity as the eligible recipient of the credit certificate on behalf of the project owner applicant that includes:

(A) Name, address, contact person, phone number, facsimile number of the IOU or designated qualifying party; and

(B) Signature, or form of electronic signature acceptable to the department, of an authorized representative of the IOU or other designated qualifying party stating the party’s willingness to accept the tax credit certificate; and

(k) Other data the department requires to determine eligibility.

(10) System certification applications for fuel cells must contain:

(a) All of the data required in section (2) of this rule;

(b) The rated fuel cell stack peak capacity, in kW;

(c) The rated fuel cell system peak capacity, in kW (this rating includes peak capacity enhancing devices such as batteries and other storage devices or systems);

(d) Whether or not the system is grid connected;

(e) The fuel used by the system;

(f) The type of fuel stack (PEM, PAFC, SOFC, etc.);

(g) An estimate of the average load, in kW, expected to be placed on the system;

(h) The thermal energy production rate, in Btu/hour, at peak capacity and at the average load specified in (10)(f) above;

(i) Whether or not the system has provisions for thermal heat recovery, and if so, where the thermal energy is designed to be used (domestic hot water, space heating, etc.); and

(j) Other data the department requires to determine eligibility.

(11) System certification applications for premium efficiency biomass combustion devices must contain:

(a) The manufacturer, model, capacity, serial number of the device;

(b) The device characteristics, defined as catalytic, non-catalytic, or pellet stove or boiler;

(c) Vendor name and address;

(d) Price paid for the device, any parts or installation;

(e) Efficiency information, as demonstrated by:

(A) The efficiency and grams of particulate emissions per hour published in the List of EPA Certified Wood Stoves;

(B) A certificate of performance including the grams of smoke per hour and efficiency for the specific manufacturer and model of wood burning device from a currently US EPA certified woodstove testing laboratory, tested in accordance with CSA B415.1 and submitted and approved by EPA; or

(C) A certificate of performance including the grams of smoke per hour, for pellet stoves on the List of EPA Exempt Wood Heating Appliances, for the specific manufacturer and model from a currently US EPA certified stove testing laboratory, tested in accordance with CSA B415.1. The certificate must be submitted to the department. The department will use the EPA default efficiency for pellet stoves as the device efficiency beginning on January 1, 2014.

(f) For replacement of uncertified woodstoves, the applicant must additionally provide:

(A) A signed certification from the applicant verifying that the wood burning device being replaced has been rendered unusable, can no longer be used as a heating device, and will be retired permanently from service; and

(B) Documentation, in the form of a disposal receipt from a metal recycler, landfill or licensed contractor, verifying that the wood burning device being replaced is an uncertified woodstove and has been rendered unusable; and

(g) Other data the department requires to determine eligibility.

(12) A system certification may be transferred by an applicant who does not qualify for tax relief to the first eligible buyer of the dwelling.

(13) For a third-party financed system, the application must provide copies of an energy purchase or lease agreement and full service maintenance agreement.

Stat. Auth.: ORS 469.040; 469B.103

Stats. Implemented: ORS 469B.100–469B.118; 316.116; 317.115

Hist.: DOE 6-1979, f. & ef. 11-13-79; DOE 1-1982, f. 1-12-82, ef. 2-1-82; DOE 6-1983, f. 12-16-83, ef. 1-1-84; DOE 7-1984, f. & ef. 12-19-84; DOE 1-1986, f. & ef. 2-7-86; DOE 4-1987, f. 12-18-87, ef. 1-1-88; DOE 1-1988(Temp), f. & cert. ef. 1-13-88; DOE 1-1989, f. & cert. ef. 6-15-89; DOE 2-1989, f. 12-28-89, cert. ef. 1-1-90; DOE 1-1996, f. & cert. ef. 4-1-96; DOE 1-1997, f. 12-15-97, cert. ef. 1-1-98; DOE 1-1999, f. 12-21-99, cert. ef. 1-1-00; DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0026

Tax-Credit Technician

(1) Technicians may apply for the department’s tax-credit technician (TCT) status for a technology listed in section (2) of this section. Tax-credit technician status is intended to assist consumers with the state tax credit program, ensure that the systems are installed according to department rules, and verify system installation quality and performance. Technician status is valid for two years and must be renewed to remain in effect.

(2) A tax-credit technician status applies only to the following products:

(a) Solar water heating systems;

(b) Ground source heat pumps (geothermal);

(c) Photovoltaic systems;

(d) Performance-tested ducts; and

(e) Air source heat pumps/air conditioning systems.

(3) The tax-credit technician’s status is based on the following:

(a) Knowledge and understanding of the tax credit program requirements and expectations;

(b) Ability to provide systems that are designed and installed consistent with the manufacturer’s warranty; and

(c) Employment by a company with a Construction Contractors Board (CCB) license.

(4) Those who do not maintain the competencies in section (3) are subject to revocation of the status.

(5) Tax-credit technician status entitles a technician to:

(a) Inform the AED system owner that he or she has attended the department’s online training and is familiar with the rules and requirements of the Residential Energy Tax Credit Program.

(b) Verify that installation of tax-credit qualified equipment and systems meets department standards for performance and longevity.

(6) Tax-credit technician status requires that the technicians must follow department requirements including:

(a) Duct and air-source heat pump/air conditioning technicians must have a current or valid certification with Performance Tested Comfort System (PTCS) or Proctor Engineering CheckMe! Programs.

(b) Solar technicians must show at least one of the following, a valid and current:

(A) North American Board of Certified Energy Practitioners (NABCEP) certification,

(B) Limited Renewable Energy Technician (LRT) license for solar electric,

(C) Solar Thermal License (STL) for solar thermal,

(D) Successful passage of the NABCEP Entry-Level Exam for the appropriate AED, or

(E) Other certification approved by the Director to maintain their tax-credit solar technician status with the department.

(c) First-time geothermal technician applicants must show proof of successful completion of International Ground Source Heat Pump Association training (IGSHPA) or IGSHPA certified manufacturer’s installer training program or other training approved by the Director.

(d) Solar and geothermal tax-credit technician applicants must complete the department’s online training at least once every three years unless otherwise specified in department rule.

(e) Technicians must verify the AED owner has a user manual for the equipment/system.

(f) Technicians must provide the AED owner with a completed application and a copy of the final, itemized and dated invoice for the system that is marked “inspected and paid for,” And they must verify the owner has a written full warranty for the system that lasts no less than 24 months after the system is installed.

(g) Technicians must maintain tax-credit technician status by completing the following technology-specific requirements during the period between awarding initial status and the renewal period or between renewal periods:

(A) For solar technology:

(i) Technicians must:

(I) Submit and have approved two (2) Residential or Energy Incentives Program applications for systems in a technology in which the tax-credit technician is listed and complete four (4) hours of related technical continuing education; or

(II) Submit and have approved one (1) Residential or Energy Incentives Program application for a system in a technology in which the tax-credit technician is listed and complete six (6) hours of related technical continuing education; or

(III) Complete eight (8) hours of related technical education.

(IV) Provide information on the number of job hours directly associated with the installation of RETC qualified photovoltaic systems within the prior two years. Job estimates should be submitted in hours.

(ii) Technicians are subject to the renewal period on the second year from the year of initial status or renewal year.

(iii) The two month renewal period begins every year on June 1st and ends prior to August 1st.

(iv) Proof of related technical continuing education must be provided during the renewal period.

(v) Failure to complete requalification during the renewal period will result in the revocation of TCT status for one year. TCT status may be reinstated during the following year’s renewal period.

(B) For air source heat pumps/air conditioning, technicians must have a current or valid certification with PTCS or Proctor Engineering CheckMe! Programs.

(C) For performance tested duct systems, technicians must have a current or valid certification with PTCS.

(D) For ground-source heat pumps, technicians must submit and have approved a minimum of one (1) tax credit application or provide proof of having completed at least two hours of relevant installer training, community college HVAC course, or other training approved by the Director.

(7) Tax credits for installation of air source heat pumps/air conditioning systems, performance-tested ducts, geothermal systems, solar electric and solar thermal systems must be verified by a tax-credit technician.

(8) A tax-credit technician must notify the department within 30 days if changes are made in any of the information in the TCT application.

(9) The department will compile a list of companies employing duct and air-source heat pump/air conditioning technicians. A listed company must:

(a) Employ a tax-credit technician who has a valid or current certification with PTCS or Proctor Engineering CheckMe! Programs.

(b) Apply in writing and renew its listing on an annual basis.

(c) Have a minimum of two key administrative staff participate in the department’s online training.

(d) Tax-credit technicians that do not meet the minimum requirements are suspended for one-year, after which they may reapply.

(10) Tax-credit technicians inspect owner-built systems to verify that the system appears to be installed in a workman-like manner. As part of an owner-built inspection, a tax-credit technician is not required to provide a warranty or guarantee of the owner-built system.

Stat. Auth.: ORS 469.040; 469B.103

Stats. Implemented: ORS 469B.100–469B.118; 316.116

Hist.: DOE 1-1982, f. 1-12-82, ef. 2-1-82; DOE 6-1983, f. 12-16-83, ef. 1-1-84; DOE 7-1984, f. & ef. 12-19-84; DOE 1-1986, f. & ef. 2-7-86; DOE 4-1987, f. 12-18-87, ef. 1-1-88; DOE 1-1989, f. & cert. ef. 6-15-89; DOE 2-1989, f. 12-28-89, cert. ef. 1-1-90; DOE 1-1995, f. & cert. ef. 1-17-95; DOE 1-1996, f. & cert. ef. 4-1-96; DOE 1-1997, f. 12-15-97, cert. ef. 1-1-98; DOE 1-1999, f. 12-21-99, cert. ef. 1-1-00; DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 7-2008, f. 10-31-08, cert. ef. 11-1-08; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0029

Third-Party Alternative Energy Device Installations

(1) A third-party who intends to complete a third-party alternative energy device installation must obtain a reservation before commencing installation.

(2) The third-party must apply to reserve potential tax credits by submitting a completed reservation request to the department. A reservation request may only be submitted after the owner of the residential property has entered into a contract for a third-party alternative energy device installation. The reservation request must contain the information required by the department on its form, but may be submitted in an alternative format.

(3) The department may require the third-party to provide a copy of the signed contract at any time after the submission of a reservation request. Failure to provide requested documents within 30 calendar days may result in the loss of reservations made by the third-party.

(4) A third-party may request the reservation of up to 25 potential tax credits in each reservation request, and may submit one request each week.

(5) The department will reserve the requested potential tax credits from the amount allowed by Oregon Laws 2011, chapter 730, section 75 and will provide the third-party with a reference number for each potential tax credit. The owner of the residential property at which the alternative energy device is installed must include the reference number on their tax credit application.

(6) A third-party may release a reservation by submitting a written request, including the reference number, to the department. If reservations are released in the same tax year they are reserved the department will re-allocate the potential tax credits to new reservation requests in the order the requests are received. Reservations of potential tax credits may not be transferred, except to a purchaser or owner of the residential site address where the AED is located.

(7) The department will continually monitor the rate of allocation of tax credits to ensure that the total amount of tax credits do not exceed the amounts specified in Oregon Laws 2011, chapter 730, section 75. The department will allocate potential tax credits according to these rules and in the order in which requests are received. The department will return any excess reservation requests. A third-party may not commence installation until a reservation reference number is issued by the department.

(8) The department will issue tax credits based on the year the potential tax credit is reserved if the installation is completed, as verified by an approved final inspection issued by the local jurisdiction, before April 1 of the following tax year. Tax credits for installations completed after April 1 of the tax year following reservation will be issued for the tax year in which the installation is completed.

(9) Reservation of potential tax credits does not guarantee approval of tax credit applications.

Stat. Auth.: ORS 469.040; 469B.103

Stats. Implemented: ORS 469B.100-469B.118; 316.116

Hist.: DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0064

Photovolatic AEDs

(1) Installations of photovoltaic systems must be professional quality, comply with all applicable Oregon codes and be verified by a tax-credit technician.

(2) System size will be determined by the sum of all the photovoltaic module DC wattage ratings under standard test conditions (STC). The minimum system size must be 200 Watts DC output under STC.

(3) The system must have a minimum total solar resource fraction (TSRF) of 75 percent.

(4) The department will verify that the modules and inverters are listed on the California Energy Commission (CEC) eligible list as of the date of the application.

(5) Photovoltaic AED costs eligible for the tax credit include the cost of:

(a) Solar labor costs;

(b) Solar material costs, including the cost of:

(A) Photovoltaic modules;

(B) Inverters;

(C) Storage systems and regulators;

(D) Monitors, meters, and controls;

(E) Wiring and framing materials;

(F) Trackers;

(G) Mounting or racking structures only, no structures beyond those needed for mounting or racking purposes; and

(H) Shipping cost.

(c) The cost of owner-built system inspections by a tax-credit technician, up to $400; and

(d) Permit and fee costs, including up to $200 of the cost of solar access easements. A certified copy of the recorded easement and proof of the cost must be submitted with an application.

[Publications: Publications referenced are available from the agency.]

Stat. Auth.: ORS 469.040; 469B.103

Stats. Implemented: ORS 469B.100–469B.118; 316.116

Hist.: DOE 1-2004, f. & cert. ef. 1-21-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2006, f. 12-29-06, cert. ef. 1-1-07; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

330-070-0073

Energy-Efficient Appliances and Alternative Fuel Devices

(1) Energy-efficient appliances must meet or exceed the following energy efficiency ratings, as measured in accordance with current United States Department of Energy (USDOE) test procedures where applicable, and be currently listed with the department as qualifying premium efficiency appliances.

(2) Where USDOE test procedures do not exist, the department will designate a nationally recognized test procedure that will apply instead.

(3) Water Heating Appliances.

(a) Water heater efficiency requirements:

(A) Equipment efficiency requirements for units of nominal 1-ton or less capacity are based on listing by ENERGY STAR® or California Energy Commission or on the USDOE Energy Factor, as derived from the USDOE Appendix E test procedure for residential water heating equipment in effect at the time the rules are adopted. Efficiency requirements for units larger than 1-ton in capacity and smaller than 6-tons in capacity, are based on the system COP at 47 degrees F outdoor air temperature or other rating point appropriate for the system deemed equivalent by the department.

(B) High-efficiency heat pump water heaters (HPWH) for domestic hot water must meet the “Northern Climate” specifications for electricity by the Northwest Energy Efficiency Alliance (NEEA). Split systems with a capacity greater than 1-ton and less than 6-tons must have a COP rating of not less than 2.5. HPWH less than 1-ton must have a minimum energy factor (EF) for the appropriate Tier Level stated in the specifications.

(C) Natural gas, propane, or oil-fired residential storage type water heaters, as defined by Title 10, Code of Federal Regulations, Chapter 11, Part 430, Subpart B, Appendix E, must have an Energy Factor of 0.80 or greater as tested with natural gas fuel.

(D) Whole-home gas fired instantaneous water heaters, as defined by Title 10, Code of Federal Regulations, Chapter 11, Part 430, Subpart B, Appendix E, must have:

(i) An Energy Factor of at least 0.80, a maximum firing rate of at least 140,000 Btu/hour and a minimum firing rate no higher than 24,000 Btu/hour if installed prior to January 1, 2011;

(ii) An Energy Factor of at least 0.82 or greater if installed on or after January 1, 2011.

(E) Equipment efficiency requirements are based on either the listing by ENERGY STAR®, the directory of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI), or other third-party certified list approved by the Director.

(b) Combined space/water-heating system efficiency must be based on the water heating Energy Factor for Combined Systems (CEF) as derived from the American National Standards Institute/American Society of Heating, Refrigerating, and Air Conditioning Engineers (ANSI/ASHRAE) 124-1991 test method. Water heaters that are part of a combined space and water heating system may not receive a tax credit for space heating efficiency as a boiler in addition to the tax credit as a water heating appliance.

(4) For Wastewater Heat Recovery Systems, field performance data submitted to and approved by the department will be the basis for tax credit qualification. The following rules also apply:

(a) The system must meet all plumbing code requirements for vented double-wall heat exchangers;

(b) The system must not interfere with the proper operation of the dwelling’s wastewater system; and

(c) Energy recovered must be re-introduced into the dwelling’s hot water supply system.

(5) Performance Checked Space Conditioning Duct Systems must meet the following requirements:

(a) All work must be done in accordance with Performance Tested Comfort Systems (PTCS) specifications, a regionally developed set of protocols with provisions for testing and sealing duct work that is maintained by the Regional Technical Forum (RTF), as adopted by the RTF and in effect at the time the work is performed.

(b) If the home serviced by the performance checked duct system is new, or the building envelope is being altered, the house must meet residential energy conservation requirements of the Oregon Structural Specialty Code or of the Oregon One and Two Family Dwelling Code in effect at the time the home is constructed or structurally altered.

(c) Duct leakage must be tested in accordance with Performance Tested Comfort Systems (PTCS) approved testing protocols.

(d) Testing to verify that these standards have been achieved must be conducted by technicians approved by the department.

(e) Costs eligible for the purpose of calculating a performance checked duct system tax credit include:

(A) For new construction, the cost of:

(i) Duct sealing labor and materials;

(ii) Heating and cooling load calculations;

(iii) Duct system sizing and design calculations;

(iv) Labor and materials for installing multiple returns;

(v) Labor and materials for installing passive pressure relief grilles;

(vi) Duct testing; and

(vii) Labor and materials for bringing duct systems inside heated space.

(B) For new ducts in existing homes, the cost of:

(i) Duct sealing labor and materials;

(ii) Heating and cooling load calculations;

(iii) Duct system sizing and design calculations;

(iv) Labor and materials for installing multiple returns;

(v) Labor and materials for installing passive pressure relief grilles; and

(vi) Duct testing.

(C) For duct repair and sealing/existing ducts in existing homes, the cost of:

(i) Duct sealing labor and materials;

(ii) Labor and materials for installing multiple returns;

(iii) Labor and materials for installing passive pressure relief grilles; and

(iv) Duct testing.

(f) To apply for a performance checked duct tax credit, the following information must be submitted in a form approved by the department:

(A) Application form;

(B) Test results worksheet for “new construction,” “new duct systems in existing homes,” or “duct repair and sealing”/existing ducts in existing homes, as applicable; and inclusion of the PTCS identification number associated with the “duct repair and sealing” measure being submitted for tax credit on the application form.

(C) Copies of heating and cooling load calculations and/or duct sizing calculations, as applicable, must be made available to the department upon request; and

(D) Itemized invoice identifying costs detailed in (e).

(6) Performance Checked Heat Pumps and Central Air Conditioners must meet the following standards:

(a) Systems must be tested and serviced as needed to confirm correct refrigerant charge and air flow by a tax-credit technician authorized by the department and by an approved Performance Tested Comfort System (PTCS) provider.

(b) Testing must be in accordance with PTCS specifications, a regionally developed set of protocols with provisions for testing the operation of air-source heat pumps and air conditioners that are maintained by the Regional Technical Forum (RTF), as adopted by the RTF and in effect at the time the work is performed.

(c) Eligible systems must be confirmed by the system diagnostic tests using PTCS protocols in use at the time of measure installation. Duplicate tax credits may not be claimed.

(d) Costs eligible for the purpose of calculating a performance checked heat pump/air conditioner tax credit include costs for:

(A) System diagnostic tests;

(B) Adding or removing refrigerant when initial diagnostic tests indicate need for refrigerant adjustment and post repair tests indicate correct charge has been installed;

(C) Altering the duct system to improve air flow when initial diagnostic tests show low air flow and post repair tests show an air flow improvement of 10 percent or more;

(D) Cleaning the inside coil when initial diagnostic tests indicate low air flow and post repair tests show an air flow improvement of 10 percent or more;

(E) Replacing an existing inside fan motor with an electronically commutated permanent magnet motor (ECPM DC) when initial diagnostic tests show low air flow and tests after ECPM DC installation show an air flow improvement of 10 percent or more; and

(F) Control modifications necessary for the system to pass the diagnostic test.

(e) To apply for a performance checked heat pump/air conditioner tax credit, the following information must be submitted in a form approved by the department:

(A) Application form;

(B) Performance checked heat pump/AC diagnostics data entry form;

(C) Pre- and post-repair system air flow measurements using approved methods listed in (b), if applicable; and

(D) Itemized labor and materials cost information for applicable measures, testing, and repairs.

(7) Alternative Fuel Vehicles must have equipment installed to make the vehicle capable of storing and utilizing an alternative fuel for vehicle propulsion.

(a) Equipment may consist of:

(A) Original equipment manufacturer components;

(B) Components for natural gas powered vehicles that meet EPA1-A requirements current at the time these rules are adopted;

(C) Components for hybrid vehicles must provide the hybrid vehicle with a combination of power between propulsion energy systems such that the peak power ratio of the vehicle is 0.10 or greater; or

(D) Other components as recognized by the department as necessary for alternative fuel use.

(b) Those applying for alternative fuel vehicle tax credits must acknowledge that they do not intend to transfer ownership of the vehicle to a non-Oregon resident for a period of one year.

(c) Vehicles must be purchased before January 1, 2012.

(8) Alternative Fuel Fueling Systems must be permanently installed to meet all state and local safety codes and be capable of re-fueling or recharging an alternative fuel vehicle within 14 hours.

(9) Energy Recovery Ventilators (ERVs) must:

(a) Be tested, rated and certified through the Home Ventilating Institute (HVI) Division of the Air Movement and Control Association (AMCA) International, Inc., and listed in the HVI directory;

(b) Be capable of at least 30 percent Latent Recovery/Moisture Transfer (LRMT) at 32°F when operating on the lowest fan speed;

(c) Have a maximum EUI of 1.10 watts/cfm at the lowest fan speed for which performance data is published in the HVI directory; and

(d) Have a minimum Sensible Recovery Efficiency (SRE) of:

(A) 75 percent at 32°F/0°C when operating at the lowest fan speed; and

(B) 68 percent at 32°F/0°C when operating at the highest fan speed.

(10) Heat Recovery Ventilators must:

(a) Be tested, rated and certified through the Home Ventilating Institute (HVI) Division of the Air Movement and Control Association (AMCA) International, Inc., and listed in the HVI directory;

(b) Have a maximum EUI of 1.10 watts/cfm at the lowest fan speed for which performance data is published in the HVI directory; and

(c) Have a minimum Sensible Recovery Efficiency (SRE) of:

(A) 75 percent at 32°F/0°C when operating at the lowest fan speed; and

(B) 68 percent at 32°F/0°C when operating at the highest fan speed.

(11) High Efficiency Air Conditioning Systems must:

(a) Be a central, split-system designed and installed to operate in conjunction with the air handling unit or furnace of a home’s heating system;

(b) Be tested and rated in accordance with the DOE test procedure for residential air-conditioning systems in effect at the time these rules are adopted, and certified by, and listed in the directory of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI) in effect at the time these rules are adopted;

(c) Consist of a matched outdoor unit and indoor unit (air handler and coil or furnace and coil), as tested, rated and listed in the directory of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI);

(d) Have a minimum EER rating at DOE standard test condition “A” conditions of 13.0;

(e) Be installed in accordance with the protocols specified in OAR 330-070-0073(9); and

(f) Be purchased before January 1, 2012.

(12) High Efficiency Air Source Heat Pump Systems must:

(a) Be tested and rated in accordance with the USDOE Appendix M test procedure for residential air-conditioning systems in effect at the time these rules are adopted, and be certified by, and be listed in the directory of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI) that is in effect at the time these rules are adopted;

(b) Consist of a matched outdoor unit and indoor unit (air handler and coil or furnace and coil), as tested, rated and listed in the directory of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI);

(c) Have a minimum DOE Region IV HSPF rating of 10.0 or greater;

(d) Have a minimum EER rating at DOE’s standard test condition “A” of at least 12.0; and

(e) Be installed in accordance with the protocols specified in OAR 330-070-0073(9).

(13) High Efficiency Warm Air Furnace Systems must:

(a) Be tested and rated in accordance with the USDOE Appendix N test procedure for furnaces in effect at the time these rules are adopted, and be certified by and listed in the directory of the Air-Conditioning, Heating, and Refrigeration Institute (AHRI) in effect at the time these rules are adopted;

(b) Have a minimum AFUE rating:

(A) of 0.90 (90 percent) for installations completed prior to January 1, 2009;

(B) of 0.92 (92 percent) for installations completed on or after January 1, 2009 and prior to January 1, 2011;

(C) of 0.94 (94 percent) for installations completed on or after January 1, 2011 and prior to January 1, 2012; and

(D) of 0.95 (95 percent) for installations completed on or after January 1, 2012.

(c) Use ducted outdoor air for combustion; and

(d) Must be listed in the Air-Conditioning, Heating, and Refrigeration Institute (AHRI) directory of Certified Energy Rating in effect at the time these rules are adopted as an “e” “electrically efficient” furnace. The “e” electrically efficient designation applies to furnaces whose electricity consumption is 2 percent or less of the furnaces total energy use, according to the department’s official test procedure, and is determined according to the following formula: (3413 x EAE) / [(3413 x EAE) + (1,000,000 x EF)] ≤ 2.0 percent. EAE is the average annual auxiliary electrical energy consumption for a gas furnace in kilowatt-hours per year (kWh/yr). It is a measure of the total electrical energy supplied to a furnace during a one-year period. EF is the average annual fuel energy consumption for a gas furnace in millions of Btus per year (MMBtu/yr).

(14) High Efficiency Air Handlers must:

(a) Be installed as part of a hydronic space heating system; and

(b) Be equipped with an electronically commutated, permanent magnet variable speed DC (ECPM) motor.

(15) High Efficiency Ductless Air Source Heat Pump Systems must:

(a) Include an inverter-driven variable speed compressor;

(b) Be listed in the Air-Conditioning, Heating and Refrigeration Institute (AHRI) Directory of Certified Products;

(c) Deliver at least 50 percent of its AHRI-certified rated heating capacity at 17°F outside temperature;

(d) Include no integrated electric resistance backup heat;

(e) Be sized and installed per manufacturer specifications; and

(f) Be installed by a technician trained by the equipment manufacturer within the last five years.

(16) Premium Efficiency Biomass Combustion Devices must be:

(a) Less than one quarter of a million British thermal units (< 250,000 Btus) per hour heat output;

(b) Installed in an Oregon residential dwelling;

(c) Installed in accordance with appliance manufacturer’s instructions;

(d) Installed with a dedicated outside combustion air intake within five feet of the device, which may be a duct, barometric damper or grill; and

(e) Efficiency tested, as evidenced by:

(A) A listing in the United States Department Environmental Protection Agency (EPA) List of EPA Certified Wood Stoves with emissions of 4.0 grams of particulate per hour or less if it is designated in that list as a non-catalytic wood stove purchased in 2013 and 3.5 grams of particulate per hour or less designated in that list as a non-catalytic wood stove purchased on or after January 1, 2014;

(B) A listing in the List of EPA Certified Wood Stoves with emissions of 2.5 grams of particulate per hour or less if it is designated in that list as a catalytic wood or pellet stove;

(C) Having a certificate of performance for the specific manufacturer and model of wood burning device from a current US EPA certified woodstove testing laboratory, tested in accordance with CSA B415.1 and submitted and approved by EPA. The certificate must show emissions of 4.0 grams of particulate per hour or less if it is designated as a non-catalytic wood stove purchased in 2013 and 3.5 grams of particulate per hour or less designated as a non-catalytic wood stove purchased on or after January 1, 2014 or emissions of 2.5 grams of particulate per hour or less if it is designated as a catalytic wood or pellet stove; or

(D) A certificate of performance including the grams of smoke per hour, for pellet stoves on the List of EPA Exempt Wood Heating Appliances, for the specific manufacturer and model from a currently US EPA certified stove testing laboratory, tested in accordance with CSA B415.1. The certificate must be submitted to the department. The department will use the EPA default efficiency for pellet stoves as the device efficiency beginning on January 1, 2014.

(17) Ground Source Heat Pump Compressor Upgrade must comply with the following requirements:

(a) All units must be installed on systems that comply with OAR 330-070-0025, 330-070-0040 and 330-070-0070. See also OAR 330-070-0027.

(b) All units must be installed on systems that use an operational closed-loop ground coupled heat exchanger. Open-loop systems do not qualify.

(c) The compressor upgrade unit must be sized within 15 percent of the unit it is replacing, based on rated cooling capacity in Btus. The department may grant an exception to this limit for an upgrade that is accompanied by a written justification including measured data and appropriate engineering calculations.

(d) All units must be manufactured by a company appearing in the Air-Conditioning and Refrigeration Institute (ARI) Unitary Directory.

(e) Post-upgrade system COP must be at least 3.3 for closed loop systems and 3.5 for direct expansion (DX) systems, including energy used by pumps. COP must be determined by the following methods:

(A) For water source heat pumps, the COP must be determined in accordance with ARI Standard 325-85, at an entering water temperature of 50 degrees F.

(B) For water source or ground loop heat pumps using ambient surface water as an energy source and for solar assisted heat pumps, the COP must be the measured ratio of the heating season energy output divided by the heating season energy input. Both energy values must be expressed in the same units.

(18) Any other standards adopted by the department for energy-efficient appliances and alternative fuel devices, their components, and/or systems as determined by the Director.

[ED. NOTE: Appendices referenced are available from the agency.]

Stat. Auth.: ORS 469.040; 469B.103

Stats. Implemented: ORS 469B.100–469B.118; 316.116

Hist.: DOE 1-1982, f. 1-12-82, ef. 2-1-82; DOE 1-1986, f. & ef. 2-7-86; DOE 4-1987, f. 12-18-87, ef. 1-1-88; DOE 1-1996, f. & cert. ef. 4-1-96; DOE 1-1997, f. 12-15-97, cert. ef. 1-1-98; DOE 1-1999, f. 12-21-99, cert. ef. 1-1-00; DOE 2-2000, f. 12-29-00, cert. ef. 1-1-01; DOE 2-2001, f. 10-5-01, cert. ef. 10-8-01; DOE 1-2004, f. & cert. ef. 1-21-04; DOE 4-2004, f. & cert. ef. 8-2-04; DOE 2-2005, f. 12-30-05, cert. ef. 1-1-06; DOE 4-2006, f. 12-29-06, cert. ef. 1-1-07; DOE 4-2007, f. 11-30-07, cert. ef. 12-1-07; DOE 7-2008, f. 10-31-08, cert. ef. 11-1-08; DOE 16-2010, f. & cert. ef. 12-22-10; DOE 11-2011, f. 12-16-11, cert. ef. 1-1-12; DOE 14-2012, f. 12-26-12, cert. ef. 1-1-13; DOE 8-2013, f. 12-27-13, cert. ef. 1-1-14

Notes
1.) This online version of the OREGON BULLETIN is provided for convenience of reference and enhanced access. The official, record copy of this publication is contained in the original Administrative Orders and Rulemaking Notices filed with the Secretary of State, Archives Division. Discrepancies, if any, are satisfied in favor of the original versions. Use the OAR Revision Cumulative Index found in the Oregon Bulletin to access a numerical list of rulemaking actions after November 15, 2013.

2.) Copyright Oregon Secretary of State: Terms and Conditions of Use

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