House File 174
HOUSE FILE
BY SHOULTZ
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to minimum energy efficiency standards for rental
2 units, authorizing an inspection fee, and including civil
3 penalties.
4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
5 TLSB 1699YH 80
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PAG LIN
1 1 Section 1. NEW SECTION. 103A.8B RENTAL UNIT ENERGY
1 2 EFFICIENCY.
1 3 1. As used in this section, unless the context otherwise
1 4 requires:
1 5 a. "Dwelling unit" means a building or that part of a
1 6 building which is used as a home or residence.
1 7 b. "Energy conservation measure" means any measure which
1 8 increases the energy efficiency of a rental unit, including
1 9 the installation of caulking, weather stripping, insulation,
1 10 and storm windows.
1 11 c. "Inspector" means a person certified to conduct
1 12 inspections under subsection 2, paragraph "c".
1 13 d. "Owner" means a person having a legal or equitable
1 14 interest in a rental unit.
1 15 e. "Rental unit" means a rented dwelling unit. "Rental
1 16 unit" does not include any of the following:
1 17 (1) A building containing up to four dwelling units, one
1 18 of which is occupied by an owner.
1 19 (2) A building containing one or two dwelling units.
1 20 (3) A building where the dwelling units consist entirely
1 21 of condominiums.
1 22 f. "Thermal performance" means the gross heat loss from a
1 23 building.
1 24 g. "Transfer" means a conveyance of an ownership interest
1 25 in a rental unit by deed, land contract, or judgment, or
1 26 conveyance of an interest in a lease in excess of one year.
1 27 2. The commissioner shall do all of the following:
1 28 a. Adopt by rule a code of minimum energy efficiency
1 29 standards for the attics, sill boxes, heat and plumbing supply
1 30 systems in unheated crawl spaces, showerheads, furnaces,
1 31 boilers, air conditioners, appliances, lighting systems, and
1 32 storm windows and doors of rental units. The standards shall
1 33 include a standard that establishes a maximum air infiltration
1 34 rate of the thermal envelope, as defined by the commissioner.
1 35 At the request of an owner, the commissioner shall apply the
2 1 maximum air filtration rate standard in lieu of the standard
2 2 for storm windows and doors. The standards shall require
2 3 installation of specified energy conservation measures. The
2 4 present value benefits of each energy conservation measure, in
2 5 terms of saved energy over a five=year period after
2 6 installation, shall be more than the total present value cost
2 7 of installing the measures. The commissioner may adopt a
2 8 separate standard based on thermal performance.
2 9 b. Adopt by rule standards for inspections and
2 10 certifications under subsection 4.
2 11 c. Adopt rules for the certification, including provisions
2 12 for the suspension and revocation of certification, of
2 13 inspectors for the purpose of inspecting rental units subject
2 14 to the provisions of this section. The rules shall include a
2 15 maximum fee schedule for inspection and certification of
2 16 rental units by inspectors not employed by the commissioner.
2 17 d. Provide training, assistance, and information services
2 18 to any inspector or person seeking to be certified as an
2 19 inspector.
2 20 e. Review the rules adopted under this subsection at least
2 21 once every five years and determine whether new energy
2 22 conservation technologies meet the standards of this
2 23 subsection and whether the rules require the use of those
2 24 technologies.
2 25 f. Enforce compliance with the standards adopted pursuant
2 26 to this section.
2 27 3. The commissioner may do any of the following:
2 28 a. Incorporate nationally recognized energy efficiency
2 29 standards into the code of minimum energy efficiency standards
2 30 for rental units and vary such standards for any of the
2 31 following:
2 32 (1) Classes of energy use systems, including building
2 33 envelopes; heating, ventilating, and air=conditioning systems;
2 34 lighting systems; appliances; and other fixtures which consume
2 35 energy resources.
3 1 (2) Climatic regions.
3 2 b. Hold hearings on any matter relating to this section.
3 3 c. Enforce stipulations entered into pursuant to
3 4 subsection 4, paragraph "c".
3 5 4. a. Except as provided under paragraphs "b" and "c", an
3 6 owner shall not transfer a rental unit unless an inspector has
3 7 inspected the unit and has issued a certificate stating that
3 8 the unit satisfies applicable standards.
3 9 b. The commissioner or an inspector employed by the
3 10 political subdivision within which a rental unit which is
3 11 scheduled for demolition within two years is located may issue
3 12 a written waiver of the requirements of paragraph "a". The
3 13 waiver shall be conditioned on demolition of the rental unit
3 14 within two years of the date of the waiver. If demolition
3 15 does not take place within two years, the commissioner or the
3 16 political subdivision may do one of the following:
3 17 (1) Order demolition of the rental unit not sooner than
3 18 ninety days after the order.
3 19 (2) Withdraw any certificate of occupancy.
3 20 (3) Order energy conservation measures necessary to bring
3 21 the rental unit into compliance with applicable standards.
3 22 c. The transferee of a rental unit may present a
3 23 stipulation signed by the transferee and by the commissioner
3 24 or by the political subdivision within which the rental unit
3 25 is located stating that the transferee will bring the rental
3 26 unit into compliance with applicable standards not later than
3 27 one year after the date of the transfer of the rental unit.
3 28 The commissioner or the political subdivision shall keep a
3 29 copy of the stipulation and shall conduct an inspection of the
3 30 rental unit not later than one hundred eighty days after the
3 31 stipulated compliance date.
3 32 5. An owner of a rental unit may request that an inspector
3 33 inspect the owner's rental unit for the purpose of determining
3 34 whether to issue a certificate under subsection 4. If an
3 35 owner, after reasonable effort, is unable to procure an
4 1 inspection, the commissioner, within fourteen days after
4 2 receipt of a request by the owner, shall perform the
4 3 inspection and determine whether to issue a certificate. The
4 4 commissioner may establish a special fee for an inspection.
4 5 If an inspector or the commissioner determines not to issue a
4 6 certificate, the inspector or the commissioner shall specify
4 7 in writing the energy conservation measures necessary to make
4 8 the rental unit comply with applicable standards.
4 9 6. A deed or other document of transfer of real estate
4 10 which includes a rental unit shall not be recorded unless a
4 11 certificate, waiver, or stipulation required under subsection
4 12 4 accompanies the deed or other document.
4 13 7. On or before December 31 of each year, the commissioner
4 14 shall submit a report to the general assembly regarding the
4 15 requirements and impact of the requirements of this section.
4 16 8. A political subdivision shall not enforce a code of
4 17 minimum energy efficiency standards for rental units different
4 18 from the standards adopted under this section unless the code
4 19 of the political subdivision is at least as restrictive as the
4 20 requirements of this section.
4 21 9. a. An inspector falsifying a certificate issued
4 22 pursuant to subsection 4 shall have the inspector
4 23 certification revoked and shall be subject to a civil penalty
4 24 of not more than five hundred dollars per rental unit for
4 25 which the fraudulent certificate has been issued.
4 26 b. A person who offers documents evidencing a transfer of
4 27 ownership of property for recordation and who, with intent to
4 28 evade the requirements of this section, falsely states that
4 29 the property involved does not include a rental unit shall be
4 30 subject to a civil penalty of not more than five hundred
4 31 dollars per dwelling unit in the rental unit being
4 32 transferred.
4 33 c. A person who fails to comply with the requirements of a
4 34 waiver issued under subsection 4 shall be subject to a civil
4 35 penalty of not more than five hundred dollars per dwelling
5 1 unit in the rental unit for which the waiver is issued.
5 2 d. A person who fails to comply with the requirements of a
5 3 stipulation under subsection 4 shall be subject to a civil
5 4 penalty of not more than five hundred dollars per dwelling
5 5 unit in the rental unit for which a stipulation was signed.
5 6 EXPLANATION
5 7 This bill relates to minimum energy efficiency standards
5 8 for rental units.
5 9 The bill requires the state building code commissioner to
5 10 adopt by rule a code of minimum energy efficiency standards
5 11 for the attics, sill boxes, heat and plumbing supply systems
5 12 in unheated crawl spaces, showerheads, furnaces, boilers, air
5 13 conditioners, appliances, lighting systems, and storm windows
5 14 and doors of rental units. The bill requires that the rules
5 15 include a standard that establishes a maximum air infiltration
5 16 rate of the thermal envelope, as defined by the commissioner.
5 17 The bill provides that, at the request of an owner, the
5 18 commissioner shall apply the maximum air filtration rate
5 19 standard in lieu of the standard for storm windows and doors.
5 20 The bill requires the installation of specified energy
5 21 conservation measures. The bill requires that the present
5 22 value benefits of each energy measure, in terms of saved
5 23 energy over a five=year period after installation, shall be
5 24 more than the total present value cost of installing the
5 25 measures. The bill allows the commissioner to adopt a
5 26 separate standard based on thermal performance.
5 27 The bill requires the commissioner to adopt rules for the
5 28 certification, including provisions for the suspension and
5 29 revocation of certification, of inspectors for the purpose of
5 30 inspecting rental units subject to the minimum energy
5 31 efficiency standards for rental units. The bill requires the
5 32 commissioner to provide training, assistance, and information
5 33 services to any inspector or person seeking to be certified as
5 34 an inspector.
5 35 The bill requires the commissioner to review the minimum
6 1 energy efficiency standards at least once every five years and
6 2 determine whether new energy conservation technologies meet
6 3 the standards and whether the rules require the use of those
6 4 technologies.
6 5 The bill allows the commissioner to incorporate nationally
6 6 recognized energy efficiency standards, hold hearings on any
6 7 matter relating to minimum energy efficiency standards, and
6 8 enforce stipulations.
6 9 Unless a waiver or stipulation is granted, the bill
6 10 prohibits an owner from transferring a rental unit unless an
6 11 inspector has inspected the unit and has issued a certificate
6 12 stating that the unit satisfies applicable standards. The
6 13 bill allows the commissioner or an inspector employed by the
6 14 political subdivision within which a rental unit which is
6 15 scheduled for demolition within two years is located to issue
6 16 a written waiver of the certification requirements. The bill
6 17 provides that the waiver shall be conditioned on demolition of
6 18 the rental unit within two years of the date of the waiver.
6 19 The bill allows a transferee of a rental unit to present a
6 20 stipulation signed by the transferee and by the commissioner
6 21 or by the political subdivision within which the rental unit
6 22 is located stating that the transferee of the rental unit will
6 23 bring the rental unit into compliance with applicable
6 24 standards not later than one year after the date of the
6 25 transfer of the rental unit.
6 26 The bill provides that an owner of a rental unit may
6 27 request that an inspector inspect the owner's rental unit for
6 28 the purpose of determining whether to issue a certificate.
6 29 The bill provides that if an owner, after reasonable effort,
6 30 is unable to procure an inspection, the commissioner, within
6 31 14 days after receipt of a request by the owner, shall perform
6 32 the inspection and determine whether to issue a certificate.
6 33 The bill allows the commissioner to establish a special fee
6 34 for an inspection.
6 35 The bill provides that a deed or other document of transfer
7 1 of real estate which includes a rental unit shall not be
7 2 recorded unless a certificate, waiver, or stipulation
7 3 accompanies the deed or other document.
7 4 The bill provides that, on or before December 31 of each
7 5 year, the commissioner shall submit a report to the general
7 6 assembly regarding the minimum energy efficiency standards
7 7 requirements and impact of the requirements.
7 8 The bill prohibits a political subdivision from enforcing a
7 9 code of minimum energy efficiency standards for rental units
7 10 different from the standards required by the commissioner
7 11 unless the code is at least as restrictive as the
7 12 commissioner's requirements.
7 13 The bill provides that a number of types of violations
7 14 shall be subject to civil penalties of not more than $500 per
7 15 dwelling unit or rental unit, depending on the type of
7 16 violation. The violations include an inspector falsifying a
7 17 certificate, a person offering documents evidencing a transfer
7 18 of ownership for recordation when the person does so with
7 19 intent to evade the requirements of this bill and falsely
7 20 states that the property involved does not include a rental
7 21 unit, a person failing to comply with the requirements of a
7 22 waiver, and a person failing to comply with the requirements
7 23 of a stipulation.
7 24 LSB 1699YH 80
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