Amends the current Rule to comply with Sections 255.251, 255.252, 255.253, 255.254, 255.255 and 255.256, Florida Statutes (The Florida Energy Conservation and Sustainable Buildings Act of 2008). The effect of the proposed Rule will be uniform agency ...

DEPARTMENT OF MANAGEMENT SERVICES
Division of Building Construction

RULE NO: RULE TITLE
60D-4.001: Purpose
60D-4.002: Definitions
60D-4.003: Conformance
60D-4.004: Analysis
60D-4.005: Input Procedures
60D-4.006: Approval Procedures
60D-4.007: Exemptions
60D-4.008: Standards Adopted
PURPOSE AND EFFECT: Amends the current Rule to comply with Sections 255.251, 255.252, 255.253, 255.254, 255.255 and 255.256, Florida Statutes (The Florida Energy Conservation and Sustainable Buildings Act of 2008). The effect of the proposed Rule will be uniform agency procedures regarding the selection of energy-consuming equipment and architectural components for new state-financed facilities and existing state-owned facilities.
SUMMARY: The proposed amendment is a substantial revision to the existing Rule. The proposed amendment includes energy performance standards based on sustainable building ratings, requirements for the evaluation of alternative architectural and engineering designs, and procedures for conducting a life-cycle cost analysis of the required alternative designs. The proposed Rule also incorporates a new program titled the “Florida Life-Cycle Cost Analysis Program” that documents compliance with the proposed Rule when a life-cycle cost analysis is required. The Division of Real Estate Development and Management has consulted with the Florida Small Business Regulatory Advisory Council and has determined that this amendment has no negative impact on small businesses as defined by Section 288.703, F.S., nor on small counties or small cities as defined by Section 120.52, F.S., since the added engineering design costs will be assumed by state agencies.
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS: No Statement of Estimated Regulatory Cost was prepared.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
SPECIFIC AUTHORITY: 255.255(1), 255.256 FS.
LAW IMPLEMENTED: 255.253, 255.254, 255.255, 255.256 FS.
A HEARING WILL BE HELD AT THE DATE, TIME AND PLACE SHOWN BELOW:
DATE AND TIME: Monday, February 1, 2010, 9:00 a.m. – 1:00 p.m.
PLACE: Division of Real Estate Development and Management, 4050 Esplanade Way, Room 101, Tallahassee, Florida 32399-0950
Pursuant to the provisions of the Americans with Disabilities Act, any person requiring special accommodations to participate in this workshop/meeting is asked to advise the agency at least 2 days before the workshop/meeting by contacting: Mr. Darren Fancher at [e-mail]. If you are hearing or speech impaired, please contact the agency using the Florida Relay Service, 1(800)955-8771 (TDD) or 1(800)955-8770 (Voice).
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Mr. Darren Fancher, PE, Mechanical Engineer, Division of Real Estate Development and Management, 4050 Esplanade Way, Suite 335, Tallahassee, FL 32399-0950, phone [phone] or email [e-mail]

THE FULL TEXT OF THE PROPOSED RULE IS:

(Substantial rewording of Rule 60D-4.001 follows. See Florida Administrative Code for present text.)

60D-4.001 Purpose.

To comply with the requirements of Sections 255.251, 255.252, 255.253, 255.254, 255.255 and 255.256, Florida Statutes (The Florida Energy Conservation and Sustainable Buildings Act of 2008), the following Rules are promulgated by the Department of Management Services and shall apply to the design and construction of state-financed facilities, to the renovation of state-owned facilities, and to leased facilities larger than 5,000 square feet. These Rules are promulgated to minimize the utilization of non-renewable energy, reduce greenhouse gasses, and improve sustainability by state agencies.

Rulemaking Specific Authority 255.255 FS. Law Implemented 255.255 FS. History–New 5-26-76, Amended________

 

(Substantial rewording of Rule 60D-4.002 follows. See Florida Administrative Code for present text.)

60D-4.002 Definitions.

(1) “Additions” – mean any facility related project that increases a building’s footprint and the conditioned square footage of a building.

(2) “Alternative design” – refers to a potential architectural or engineering design for a new construction, addition, or renovation project, that is unique from all other building designs under consideration in at least one of the following areas:

(a) Thermal characteristics of building envelope materials.

(b) Amount of exterior glass.

(c) Thermal characteristics of exterior glass.

(d) Type of energy-consuming system.

(e) Type of energy-consuming equipment.

(f) Type of component within energy-consuming equipment.

(g) Type of control scheme for equipment or systems.

(h) Equipment energy efficiency rating.

(i) Interior lighting system power density (watts per square foot).

(3) “Annual Supplement to NIST 135” – refers to the Energy Price Indices and Discount Factors for Life-Cycle Cost Analysis-2009, Annual Supplement to NIST 135 and NBS Special publication 709, National National Institute of Standards and Technology, NISTIR 85-3273. This document has been incorporated by reference in Rule 60D-4.008, F.A.C.

(4) “DOE” – refers to U.S. Department of Energy.

(5) “Energy-consuming equipment” – any mechanical or electrical equipment that consumes electricity or fuel and is used in heating, ventilation, air-conditioning, lighting, hot water heating, and power distribution systems.

(6) “Energy Star” – refers to the joint energy efficiency program between the U.S. Environmental Protection Agency and the U.S. Department of Energy.

(7) “HVAC” – refers to heating, ventilation, and air-conditioning.

(8) “kBTU” – refers to one-thousand British thermal units.

(9) “Life-cycle cost analysis” – a comparative analysis of the total life-cycle costs ranked from lowest to highest for the associated alternative designs.

(10) “NIST” – refers to the National Institute of Standards and Technology.

(11) “Renovation” – means an existing building undergoing an alteration that varies or changes HVAC systems, lighting systems, water-heating systems, insulation, or exterior building envelope conditions.

(12) “Service water heater” – refers to a water heater used for domestic or commercial purposes other than HVAC space heating or manufacturing processes.

(13) “Sustainable building rating” – refers to one of the following sustainable rating systems required in Section 255.257(4), Florida Statutes:

(a) The United States Green Building Council (USGBC) Leadership in Energy and Environmental Design (LEED) rating system.

(b) The Green Building Initiative’s Green Globes rating system.

(c) The Florida Green Building Coalition rating system.

Rulemaking Specific Authority 255.255 FS. Law Implemented 255.253 FS. History–New 5-26-76, Amended________.

 

(Substantial rewording of Rule 60D-4.003 follows. See Florida Administrative Code for present text.)

60D-4.003 Conformance.

(1) The selection of energy-consuming equipment and architectural components for all new facilities constructed for the use of a state agency and renovations to existing state-owned facilities shall be based on the life-cycle costs of alternative designs developed in accordance with Rule 60D-4.004, F.A.C.

(2) Leases: An energy performance analysis shall be performed in accordance with Rule 60D-4.007, F.A.C., for facilities under consideration to be leased by a state agency.

Rulemaking Specific Authority 255.255. 255.256 FS. Law Implemented 255.254, 255.255 FS. History–New 5-26-76, Amended________

 

(Substantial rewording of Rule 60D-4.004 follows. See Florida Administrative Code for present text.)

60D-4.004 Criteria for Alternative Designs Analysis.

(1) New construction and additions:

(a) This Rule applies to all of the following:

1. New facilities constructed for the use of a state agency.

2. Additions to existing state-owned facilities.

3. Renovations to existing state-owned facilities shall be allowed to comply with subsection 60D-4.004(1), F.A.C., when the agency determines that the scope of the proposed renovation addresses enough energy-consuming equipment and architectural elements to comply with the whole-building energy performance requirements as described in this Rule. Otherwise, subsection 60D-4.004(2), 60D-4.004(3), or 60D-4.004(4), F.A.C., shall apply.

(b) Alternative designs:

1. At least three alternative designs shall be developed for the agency’s consideration.

2. Each alternative design shall be modeled with a computer-based simulation program to simulate total energy usage for the entire building or addition.

3. Each alternative design shall be modeled with the same computer-based simulation program.

4. The computer-based simulation program shall comply with Rule 60D-4.005, F.A.C.

5. The computer-based simulation shall include HVAC heat load calculations and equipment sizing. The HVAC heat load calculations shall include all internal building heat loads.

6. Specific energy performance requirements:

a. Maximum allowable energy consumption: The maximum allowable annual energy consumption for alternative designs shall be based on the minimum energy performance requirement of the sustainable building rating adopted by the agency in accordance with Section 255.257(4)(a), Florida Statutes.

b. For new construction and additions:

(1) The first alternative design shall demonstrate equal or less energy consumption than the maximum allowable energy consumption described in paragraph (a) of this section.

(2) The second alternative design shall demonstrate a percentage reduction in energy consumption of 10 percent, or more, when compared to the maximum allowable energy consumption as described in paragraph (a) of this section.

(3) The third alternative design shall demonstrate a percentage reduction in energy consumption of 20 percent, or more, when compared to the maximum allowable energy consumption as described in paragraph (a) of this section.

(4) Additional alternative designs, if developed, shall demonstrate equal or less energy consumption than the maximum allowable energy consumption described in paragraph (a) of this section.

c. For renovations pursuant to paragraph 60D-4.004(1)(a), (3), F.A.C.:

(1) Two alternative designs shall demonstrate equal or less energy consumption than the maximum allowable energy consumption described in paragraph (a) of this section.

(2) The third alternative design shall demonstrate a percentage reduction in energy consumption of 10 percent, or more, when compared to the maximum allowable energy consumption as described in paragraph (a) of this section.

(3) Additional alternative designs, if developed, shall demonstrate equal or less energy consumption than the maximum allowable energy consumption described in paragraph (a) of this section.

d. The percentage reduction (PR) shall be calculated as follows:

PR = 100 × (required consumption–proposed consumption) / required consumption

(c) Selection of preferred design:

1. The selection of the preferred alternative design shall be made by the agency only after a life-cycle cost analysis is performed in compliance with Rule 60D-4.006, F.A.C.

2. For new facilities and additions, construction shall proceed only after the life-cycle cost analysis has been evaluated by the department for technical correctness and completeness, pursuant to Section 255.254(1), Florida Statutes.

(d) Preparation requirements: The preparation of alternative designs and the computer-based energy simulation described in subsection 60D-4.004(1), F.A.C., shall be performed by an architect or engineer licensed in Florida.

(2) Major equipment-related projects:

(a) This Rule applies to renovations in existing state-owned facilities whenever any one of the following items of energy-consuming equipment is installed new or replaced:

1. Chillers with a total cooling capacity of 25 tons (300,000 BTUH) or greater.

2. Boilers with a total input heating capacity of 300,000 BTUH (88 kW) or greater.

3. Unitary HVAC equipment (single and multiple units) within a single building where the total cooling or heating capacity being installed in the project is 25 tons (300,000 BTUH) or greater. Unitary HVAC equipment as defined here shall include:

a. Self-contained air-conditioners and heat pumps.

b. complete split system air-conditioners and heat pumps, which shall be defined here as the both the condenser and evaporator sections of the system.

c. Fuel-burning furnaces.

d. Electric heaters.

4. Service water heaters (single and multiple units) within a single building where the total input heating capacity being installed in the project is 300,000 BTUH (88 kW) or greater.

5. Lighting fixtures within a single building where the total lighting capacity being installed in the project is 30 kW or greater.

(b) This Rule excludes “guaranteed energy, water, and wastewater performance savings projects” as defined in Section 489.145, Florida Statutes.

(c) Exception: New and replacement energy-consuming equipment intended to serve as back-up equipment that only operates if primary equipment fails may be omitted from the computer-based simulation and life-cycle cost analysis requirements of this Rule at the agency’s discretion. Such back-up equipment shall be considered to have a negligible impact to the agency’s overall energy consumption due to infrequent operation. However, the computer-based simulation and life-cycle cost analysis requirements of this Rule shall be applicable to all other aspects of the same renovation project per paragraph 60D-4.004(2)(a), F.A.C. This exception does not apply to supplemental equipment, which shall be defined here as energy-consuming equipment that is intended to operate regularly for the purposes of meeting peak load requirements.

(d) Alternative designs:

1. At least three alternative designs shall be developed for the agency’s consideration.

2. Each alternative design shall be modeled with a computer-based simulation program to simulate the total energy usage of all energy-consuming equipment being installed new or replaced within the project.

a. Exception: For projects where lighting fixtures, service water heaters, or a combination of both are the only energy-consuming equipment being installed new or replaced, the energy usage of the alternative designs shall be considered unrelated to the effects of weather and therefore may be developed manually without a computer-based simulation at the agency’s discretion.

3. The computer-based simulation shall include HVAC heat load calculations and equipment sizing for projects that include new or replacement HVAC equipment. The HVAC heat load calculations shall include all internal building heat loads for the areas affected by the renovation.

4. The computer-based simulation program shall comply with Rule 60D-4.005, F.A.C.

5. Specific energy performance requirements:

a. Each alternative design shall meet or exceed the minimum energy performance requirements of the sustainable building rating adopted by the agency in accordance with Section 255.257(4)(a), Florida Statutes.

b. Each alternative design shall demonstrate different energy consumption.

6. Equipment type requirements:

a. HVAC equipment:

(1) Water-cooled equipment replacements: When the existing HVAC equipment being replaced utilizes cooling towers or ground water for heat rejection purposes, at least one alternative design shall incorporate water-cooled equipment, unless there exist conditions outside of the agency’s control as listed in the exceptions below.

(a) Exceptions:

1. The existing supply or return well has failed and is not repairable.

2. The permit application for groundwater consumption has been denied by the authority having jurisdiction or will not be renewed.

3. The amount of groundwater available from the well system or permitted by the authority having jurisdiction is insufficient for proper or reliable HVAC equipment operation.

4. New water-cooled or related equipment will not fit in the available space.

5. The space available to install new water-cooled or related equipment does not comply with the clearance recommendations or requirements of the equipment manufacturer.

6. Applicable codes and ordinances that prohibit the installation of such equipment.

(2) Centrifugal chiller replacements: When the HVAC equipment being replaced includes one or more centrifugal type chillers, at least one alternative design shall incorporate one or more centrifugal type chillers, unless there exist conditions outside of the agency’s control as listed in the exceptions below.

(a) Exceptions:

1. A new centrifugal type chiller will not fit in the available space.

2. The space available to install a new centrifugal type chiller or related equipment does not comply with the clearance recommendations or requirements of the equipment manufacturer.

3. Applicable codes and ordinances that prohibit the installation of such equipment.

b. Lighting equipment:

(1) For office areas:

(a) T-5 fluorescent lighting shall be included in at least one alternative design when lighting fixtures are to be installed new or replaced.

(b) Task lighting shall be included in at least one alternative design when lighting fixtures are to be installed new or replaced.

(2) Lamp and ballast replacements for existing lighting fixtures shall be considered an acceptable alternative design.

c. Service water heating equipment:

(1) Water heater replacements: When the equipment being replaced utilizes natural gas, at least one alternative design shall incorporate natural gas.

(2) Low flow plumbing fixtures shall be considered an acceptable alternative design for service water heaters.

(e) Selection of preferred design: The selection of the preferred alternative design shall be made by the agency only after a life-cycle cost analysis is performed in compliance with Rule 60D-4.006, F.A.C.

(f) Preparation requirements: The preparation of alternative designs and the computer-based energy simulation described in subsection 60D-4.004(2), F.A.C., shall be performed by an architect or engineer licensed in Florida.

(3) Minor equipment-related projects:

(a) This Rule applies to renovations in existing state-owned facilities whenever any of the following items of energy-consuming equipment are installed new or replaced:

1. Chillers with a total cooling capacity of less than 25 tons (300,000 BTUH).

2. Boilers with a total input heating capacity of less than 300,000 BTUH (90 kW).

3. Unitary HVAC equipment (single and multiple units) within a single building where the total cooling or heating capacity being installed in the project is less than 25 tons (300,000 BTUH). Unitary HVAC equipment as defined here shall include:

a. Self-contained air-conditioners and heat pumps.

b. Complete split system air-conditioners and heat pumps, which shall be defined here as both the condenser and evaporator sections of the system.

c. Fuel-burning furnaces.

d. Electric heaters.

4. Service water heaters (single and multiple units) within a single building where the total input heating capacity being installed in the project is less than 300,000 BTUH (88 kW).

5. Lighting fixtures within a single building where the total lighting capacity being installed in the project is less than 30 kW.

(b) This Rule excludes “guaranteed energy, water, and wastewater performance savings projects” as defined in Section 489.145, Florida Statutes.

(c) Exception: The agency shall be permitted to strive for higher energy performance results at its discretion by requiring compliance with subsection 60D-4.004(2), F.A.C., thereby requiring a computer-based simulation and life-cycle cost analysis.

(d) Alternative designs:

1. There is no minimum number of alternative designs required.

2. Specific energy performance requirement: Each alternative design shall meet or exceed the minimum energy performance requirements of the sustainable building rating adopted by the agency in accordance with Section 255.257(4)(a), Florida Statutes.

(4) Guaranteed energy, water, and wastewater performance savings projects:

(a) Applies to all “guaranteed energy, water, and wastewater performance savings projects” as defined in Section 489.145, Florida Statutes.

(b) A baseline energy model shall be developed with a computer-based simulation program to simulate the total existing energy usage for the building(s) included in the analysis.

(c) Alternative designs shall be developed with a computer-based simulation program to simulate total energy usage for the building(s) after the implementation of the proposed energy conservation measures.

(d) The baseline energy model and the alternative designs shall be developed with the same computer-based simulation program.

(e) The computer-based simulation program shall comply with Rule 60D-4.005, F.A.C.

(f) The computer-based simulation shall include HVAC heat load calculations and equipment sizing. The HVAC heat load calculations shall include all internal building heat loads.

(g) Alternative designs:

1. The agency shall specify the number of alternative designs. One alternative design shall be considered acceptable.

2. Specific energy performance requirement: Each alternative design shall meet or exceed the minimum energy performance requirements of the sustainable building rating adopted by the agency in accordance with Section 255.257(4)(a), Florida Statutes.

(h) Selection of preferred design:

1. The selection of the preferred design or scope of work shall be made by the agency only after an investment grade energy audit as defined in Section 489.145(3)(f), Florida Statutes is reviewed by the department in accordance with Sections 489.145(4)(c) and 489.145(6), Florida Statutes.

2. Life-cycle cost analysis:

a. The investment grade energy audit required in Section 489.145(6), Florida Statutes shall include a life-cycle cost analysis for each alternative design and the baseline energy model that complies with subsection 60D-4.004(6), F.A.C.

b. The life-cycle cost analysis for the baseline energy model shall incorporate all reasonably-expected costs based on the computer-based simulation throughout the analysis period assuming no energy conservation measures are employed.

c. The results of the life-cycle cost analysis as described in Rule 60D-4.006, F.A.C., shall not replace any part of the investment grade energy audit required in Section 489.145(6), Florida Statutes or be used as the basis of guaranteed cost savings, but shall be based on the information contained within the investment grade energy audit in accordance with Rule 60D-4.006, F.A.C. The life-cycle cost analysis as described in Rule 60D-4.006, F.A.C., shall be used by the agency and the department in conjunction with the investment grade energy audit to assist in the evaluation of the project’s life-cycle costs pursuant to Sections 489.145(4)(c) and 255.255(1), Florida Statutes.

(i) Preparation requirement: The preparation of alternative designs and the computer-based energy simulation described in subsection 60D-4.004(4), F.A.C., shall be performed by the “guaranteed energy, water, and wastewater performance savings contractor” as defined in Section 489.145, Florida Statutes.

Rulemaking Specific Authority 255.255 FS. Law Implemented 255.254, 255.255 FS. History–New 5-26-76, Amended_________.

 

(Substantial rewording of Rule 60D-4.005 follows. See Florida Administrative Code for present text.)

60D-4.005 Computer-Based Simulation Program Requirements Input Procedures.

The computer-based simulation program required in subsections 60D-4.004(1), 60D-4.004(2), 60D-4.004(4), and 60D-4.004(7), F.A.C., shall comply with all of the following:

(1) The energy baseline and all alternative designs shall be modeled with a computer-based simulation program that is capable of modeling all of the following:

(a) 8,760 hours per year.

(b) hourly variations in occupancy, lighting power, miscellaneous equipment power, thermostat setpoints, and HVAC system operation, defined separately for each day of the week and holidays.

(c) Thermal mass effects.

(d) Ten or more thermal zones.

(e) Part-load performance curves for mechanical equipment.

(f) Capacity and efficiency correction curves for mechanical heating and cooling equipment.

(2) The computer-based simulation program shall be capable of performing design load calculations to determine all of the following:

(a) HVAC equipment capacities.

(b) HVAC air flow rates.

(c) HVAC water flow rates.

(3) The computer-based simulation program shall have the ability to do one of the following:

(a) Directly determine the energy performance for the alternative designs, or

(b) Produce hourly reports of energy usage that is suitable for the performance of the alternative designs to be determined by a separate calculation program.

(4) The following computer-based simulation programs shall be considered acceptable:

(a) DOE-2;

(b) BLAST;

(c) eQuest;

(d EnergyPlus;

(e) Carrier HAP;

(f) Trane TRACE;

(g) Other computer-based simulation programs that demonstrate compliance with this Rule shall be considered acceptable.

(5) When the sustainable building rating adopted by the agency in accordance with Section 255.257(4)(a), Florida Statutes requires a computer-based simulation, the computer-based simulation program utilized for the analysis shall be consistent with the United States Green Building Council (USGBC) Leadership in Energy and Environmental Design (LEED) rating system, the Green Building Initiative's Green Globes rating system, or the Florida Green Building Coalition standards.

Rulemaking Specific Authority 255.255 FS. Law Implemented 255.255 FS. History–New 5-26-76, Amended________

 

(Substantial rewording of Rule 60D-4.006 follows. See Florida Administrative Code for present text.)

60D-4.006 Life-Cycle Cost Analysis Requirements Approval Procedures.

A life-cycle cost analysis shall be performed for all new facilities constructed for the use of a state agency and for renovations to existing state-owned facilities where required in Rule 60D-4.004, F.A.C. The analysis shall compare the reasonably-expected life-cycle costs of alternative designs developed in accordance with Rule 60D-4.004, F.A.C., during the design development phase of the project. Life-cycle cost analyses shall comply with all of the following requirements:

(1) Preparation requirements:

(a) The life-cycle cost analysis shall be performed by one of the following:

1. An architect licensed in Florida.

2. An engineer licensed in Florida.

3. A “guaranteed energy, water, and wastewater performance savings contractor” as defined in Section 489.145, Florida Statutes.

(b) The life-cycle cost analysis shall be performed by the same person or firm that performed the computer-based energy simulations required in Rule 60D-4.004, F.A.C.

(2) Methodology: The life-cycle cost analysis shall determine the expected total present-value cost to own, operate, maintain, and replace the energy-consuming equipment for each alternative design throughout the analysis period as described in this Rule.

(3) Analysis period:

(a) The analysis period shall be 25 years for each alternative design under consideration in a project unless directed otherwise in this section.

(b) The analysis period for “guaranteed energy, water, and wastewater performance savings projects” as defined in Section 489.145, Florida Statutes shall be equal to the expected term of the “guaranteed energy, water, and wastewater performance savings contract”.

(4) Analysis approach: For each alternative design, the total life-cycle cost shall be determined as described here:

(a) Life-cycle ownership cost:

1. All ownership costs utilized in the analysis shall include all related material, labor, and installation costs.

2. The total ownership cost utilized in the analysis shall consist of all of the following that are to be installed new or replaced in the project:

a. Building envelope components and windows:

1. New construction and additions per subsection 60D-4.004(1), F.A.C.: The incremental cost of the energy-related modifications may be utilized in the analysis, in which case the incremental cost for the least expensive alternative design shall be zero. Otherwise, the total cost for the scope of work shall be utilized.

2. Renovations: The total cost for the scope of work shall be utilized.

b. HVAC: The total cost for the scope of work shall be utilized.

c. Lighting: The total cost for the scope of work shall be utilized.

d. Service water heating: The total cost for the scope of work shall be utilized.

e. Power distribution: The total cost for the scope of work shall be utilized.

f. Other measures: Analyses for “guaranteed energy, water, and wastewater performance savings projects” as defined in Section 489.145, Florida Statutes shall include the costs for all energy conservation measures proposed in the project.

3. For projects that are not financed by the agency, the life-cycle ownership cost utilized in the analysis shall be assumed to occur in the initial year of the analysis period and require no conversion to present value dollars.

4. For “guaranteed energy, water, and wastewater performance savings projects” as defined in Section 489.145, Florida Statutes, the total ownership cost utilized in the analysis shall be determined as follows:

a. The expected construction costs, investment grade energy audit costs, measurement and verification costs, and financing costs shall be annualized.

b. The DOE real discount rate shall be used to convert all future annual ownership costs to present value dollars. The DOE real discount rate is available in the Annual Supplement to NIST 135, which is incorporated by reference in Rule 60D-4.008, F.A.C.

c. Grants, rebates, and capital funding used to buy down the cost of the “guaranteed energy, water, and wastewater performance savings contract” shall not be included in the life-cycle cost analysis per Section 489.145(4)(j), Florida Statutes.

d. The life-cycle ownership cost shall be calculated as the sum of all present-value annual ownership costs that are expected to occur during the analysis period.

e. Exclusion: The analysis for the baseline energy model described in paragraph 60D-4.004(4)(g), (2), F.A.C., shall not include any life-cycle ownership costs.

(b) Life-cycle operating cost:

1. The annual energy usage utilized in the analysis shall be determined by the computer-based energy simulation requirements of Rule 60D-4.004, F.A.C.

2. The actual energy prices available from the local utility provider shall be used to convert the annual energy usage to the annual operating cost for the initial year.

3. The DOE energy price escalation forecasts, not including the effects of general price inflation, shall be used to predict future annual energy costs. These forecasts are available in the Annual Supplement to NIST 135, which is incorporated by reference in Rule 60D-4.008, F.A.C.

4. All water costs associated with the alternative design shall be incorporated into the life-cycle operating cost.

5. The price escalation factor utilized for water costs shall be derived from historical water costs for the building(s).

6. The effects of general price inflation shall be excluded from the analysis.

7. The DOE real discount rate shall be used to convert all future annual operating costs to present value dollars. The DOE real discount rate is available in the Annual Supplement to NIST 135, which is incorporated by reference in Rule 60D-4.008, F.A.C.

8. The life-cycle operating cost shall be calculated as the sum of all present-value annual operating costs that are expected to occur during the analysis period.

(c) Life-cycle maintenance cost:

1. The expected annual maintenance costs utilized in the analysis shall be derived for all new energy-consuming equipment based on estimates or direct quotes from the equipment manufacturer or vendors that represent the equipment manufacturer. For existing energy-consuming equipment, the annual maintenance costs utilized in the analysis shall be based on actual maintenance costs.

2. The scope of maintenance services utilized to develop the expected annual maintenance costs for new energy-consuming equipment shall:

a. Be based on the equipment manufacturer’s recommendations, and

b. Include regularly scheduled maintenance items such as planned overhauls, but not attempt to include coincidental repairs.

3. The DOE real discount rate shall be used to convert all future annual maintenance costs to present value dollars. The DOE real discount rate is available in the Annual Supplement to NIST 135, which is incorporated by reference in Rule 60D-4.008, F.A.C.

4. The effects of general price inflation shall be excluded from the analysis.

5. The life-cycle maintenance cost shall be calculated as the sum of all present-value annual maintenance costs that are expected to occur during the analysis period.

(d) Life-cycle replacement cost:

1. The analysis shall include the replacement cost for new energy-consuming equipment that has an expected service life that is shorter than the analysis period.

2. Expected service life:

a. The expected service life utilized in the analysis for energy-consuming equipment shall be based on the 2007 ASHRAE Handbook – HVAC Applications (Chapter 36, Table 4), which is incorporated by reference in Rule 60D-4.008, F.A.C., but may be modified to account for the following circumstances:

(1) The agency’s experience with similar equipment

(2) Harsh environments such as coastal, marine, industrial, and urban areas that can effectively shorten equipment service life

b. For equipment not included in the 2007 ASHRAE Handbook – HVAC Applications (Chapter 36, Table 4) per paragraph (a) of this section, the expected service shall be estimated based on one or both of the following criteria:

(1) The equipment manufacturer’s recommendation

(2) The judgement of a licensed architect, engineer, or contractor

3. Replacement costs shall be derived from the initial ownership costs.

4. The DOE real discount rate shall be used to convert all future replacement costs to present value dollars. The DOE real discount rate is available in the Annual Supplement to NIST 135, which is incorporated by reference in Rule 60D-4.008, F.A.C.

5. The effects of general price inflation shall be excluded from the analysis.

6. The life-cycle replacement cost shall be calculated as the sum of all present-value replacement costs that are expected to occur during the analysis period.

(e) Residual value:

1. The analysis shall include residual value for energy-consuming equipment that is expected to be replaced during the analysis period and therefore has an expected service life that extends beyond the analysis period.

2. The residual value shall be derived by linearly prorating the replacement cost based on the ratio of remaining service life to total expected service life, assuming a salvage value of zero.

3. The DOE real discount rate shall be used to convert all residual values to present value dollars. The DOE real discount rate is available in the Annual Supplement to NIST 135, which is incorporated by reference in Rule 60D-4.008, F.A.C.

4. The effects of general price inflation shall be excluded from the analysis.

(f) Total life-cycle cost: The total life-cycle cost shall be calculated as follows:

1. The life-cycle ownership cost, plus;

2. The life-cycle operating cost, plus;

3. The life-cycle maintenance cost, plus;

4. The life-cycle replacement cost (when applicable), less;

5. The residual value (when applicable).

(g) Sensitivity analysis:

1. The agency shall perform a sensitivity analysis as described in this section to account for uncertainty in the discount rate and future energy prices in an attempt to ascertain which variable(s) are most critical to the financial performance of the project.

2. The sensitivity analysis shall be structured to determine the total life-cycle cost result as a result of incrementally modifying the discount rate and energy price projections one at a time, and then both simultaneously.

3. Limits:

a. The discount rate utilized in the sensitivity analysis shall be raised no higher than twice that of the DOE real discount rate.

b. The energy price projections utilized in the sensitivity analysis shall be raised no higher than current prices projected forward at twice the average DOE price escalation rate.

(5) Submission requirements:

(a) The life-cycle cost analysis shall be submitted to the agency during the design development phase of the project.

(b) The life-cycle cost analysis shall be submitted to the department in addition to the agency for projects that pertain to subsections 60D-4.004(1) and 60D-4.004(4), F.A.C., during the design development phase of the project, pursuant to Sections 255.254(1) and 489.145(6), Florida Statutes.

(c) Required forms:

1. A bound copy and an electronic version in Microsoft Excel^® format of the Florida Life-Cycle Cost Analysis Program (Form #AE16) is required for all submissions.

2. A printout of the input and output sheets of the computer-based simulation program for each alternative design.

(d) The Florida Life-Cycle Cost Analysis Program (Form #AE16) is hereby incorporated by reference.

(e) The Florida Life-Cycle Cost Analysis Program (Form #AE16) is available from the Department of Management Services at:

DMS Building Construction

4050 Esplanade Way, Suite 335

Tallahassee, Florida 32399-0950

[phone]

http://dms.myflorida.com/business_operations/real_estate_development_management/building_construction/forms_and_documents

(f) Delivery: The life-cycle cost analysis shall be delivered to the department at:

DMS FLCCA Review

4050 Esplanade Way, Suite 335

Tallahassee, Florida 32399-0950

[phone]

Rulemaking Specific Authority 255.255, 255.256 FS. Law Implemented 255.254, 255.255 FS. History–New 5-26-76, Amended________

 

(Substantial rewording of Rule 60D-4.007 follows. See Florida Administrative Code for present text.)

60D-4.007 Energy Performance Analysis for Leases Exemptions.

(1) Applies to the following facilities that are under consideration to be leased by a state agency:

(a) Buildings larger than 5,000 gross square feet.

(b) Spaces larger than 5,000 square feet of rentable area within a specified building.

(2) This Rule excludes facilities that are to be newly constructed for the use of a state agency. Such facilities shall comply with subsection 60D-4.004(1), F.A.C.

(3) Energy performance analysis:

(a) Energy Star rating:

1. An Energy Star rating shall be developed with the Energy Star Portfolio Manager or Energy Star Target Finder program along with actual utility bill data for the previous twelve months. The Energy Star Portfolio Manager and Energy Star Target Finder programs are free software tools that are available at the websites listed here. http://www.energystar.gov/index.cfm?c=evaluate_performance.bus_portfoliomanager.

a. The Energy Star Portfolio Manager software is available at:

b. The Energy Star Target Finder software is available at: http://www.energystar.gov/index.cfm?c=new_bldg_design.bus_target_finder.

2. The minimum acceptable Energy Star rating shall be 50.

3. Exceptions:

a. When actual utility bill data is not available for the previous twelve months, including proposed lease spaces that are not separately metered by the utility provider, a computer-based simulation that complies with subsection 60D-4.007(4), F.A.C., shall be performed that provides the expected annual energy consumption for the proposed lease. The results of the computer-based simulation shall be used to generate an Energy Star rating as described in subsection (1) of this section.

b. When the proposed lease does not meet the eligibility criteria for an Energy Star rating regarding the type or allocation of space, an energy performance index (kBTU per gross square foot per year) shall be developed manually with one of the following sources in lieu of the energy performance index (kBTU per gross square foot per year) generated by the Energy Star software described in subsection (1) of this section:

(1) Actual utility bill data for the previous twelve months.

(2) The expected annual energy consumption developed with a computer-based simulation that complies with subsection 60D-4.007(4), F.A.C.

4. Renovations: When renovations are performed or proposed to improve the energy performance of the proposed lease, a computer-based simulation that complies with subsection 60D-4.007(4), F.A.C., shall be performed to provide the expected annual energy consumption required to develop one of the following:

a. An Energy Star rating for proposed leases that pertain to subsection (1) of this section, or

b. The energy performance index (kBTU per gross square foot per year) for proposed leases that pertain to paragraph (3)(b) of this section.

(b) Energy cost projection:

1. The total expected annual energy cost for the facility or space shall be derived from one of the following sources:

a. The average annual energy costs based on actual utility bill data for the previous three years, or

b. Current utility rates and a computer-based simulation that complies with subsection 60D-4.007(4), F.A.C., when actual utility bill data for the previous three years is not available

2. A cost utilization index (total energy cost per gross square foot per year) shall be developed with the energy cost data described in subsection (1) of this section.

3. The cost utilization index (total energy cost per gross square foot per year) shall be projected forward for each contract year of the proposed lease based on one of the following:

a. The average annual energy escalation rate derived from actual utility bill data for the previous three years, or

b. An escalation rate approved by the agency when actual utility bill data for the previous three years is not available.

4. Renovations: When renovations are performed or proposed to improve the energy performance of the proposed lease, current utility rates and the computer-based simulation required in paragraph 60D-4.007(3)(a), (4) shall be used to develop the cost utilization index (total energy cost per gross square foot per year).

(4) Computer-based simulation requirements:

(a) The computer-based simulation shall be performed by an engineer licensed in Florida.

(b) The computer-based simulation program shall comply with Rule 60D-4.005, F.A.C.

(c) The computer-based simulation shall model total energy consumption for the proposed lease.

(d) The computer-based energy simulation shall model all of the following loads that exist or shall exist as a result of renovations in the proposed lease:

1. Lighting.

2. Internal equipment loads.

3. Service water heating.

4. Space heating.

5. Space cooling.

6. Fans.

7. Pumps.

(5) Submisson requirements: The following items must be included in the energy performance analysis submitted to the department:

(a) A description of the proposed lease property that includes:

1. Gross square footage (for separately –metered buildings).

2. Rentable square footage (for spaces within specified buildings).

3. Type of space.

4. Occupancy level.

5. Operating schedule.

(b) Copies of the actual utility bill statements for the previous three years (if available). Historical consumption and cost data from the utility provider will be considered acceptable.

(c) Copies of the utility bill statements for the previous one year (if available). Historical consumption and cost data from the utility provider will be considered acceptable.

(d) Energy Star software forms:

1. “Statement of Energy Performance” (when Energy Star Portfolio Manager is used).

2. “Target Energy Performance Results” (when Energy Star Target Finder is used).

(e) Energy performance index and calculations (when manual calculation is required).

(f) Cost utilization index and calculations.

(g) Input and output sheets from the computer-based simulation program (when a computer-based simulation is required).

(h) A description of all energy-related features, including:

1. Type of energy-consuming systems and equipment.

2. Size of energy-consuming systems.

(i) A detailed description of all renovations performed or proposed to improve energy performance.

(j) Delivery: The energy performance analysis shall be mailed or delivered to the department pursuant to Section 255.254(1), Florida Statutes at the address listed here.

DMS Energy Performance Analysis Review

4050 Esplanade Way, Suite 335

Tallahassee, Florida 32399-0950

[phone]

Rulemaking Specific Authority 255.255, 255.256 FS. Law Implemented 255.254, 255.255 FS. History–New 5-26-76, Amended________.

 

60D-4.008 Standards Adopted.

(1) “Annual Supplement to NIST 135”: Energy Price Indices and Discount Factors for Life-Cycle Cost Analysis – 2009, Annual Supplement to NIST 135 and NBS Special publication 709, National Institute of Standards and Technology, NISTIR 85-3273 is hereby incorporated by reference.

(2) Copies of this document are available by writing to:

National Technical Information Service

5301 Shawnee Rd.

Alexandria, VA 22312

http://www.ntis.gov/

[phone]

(3) Copies of this document are also available for free download at the following website: http://www1.eere.energy.gov/femp/program/lifecycle.html.

(4) “ASHRAE Handbook – HVAC Applications (2007)”: 2007 ASHRAE Handbook – Heating, Ventilating, and Air-Conditioning Applications (Chapter 36, Table 4) is hereby incorporated by reference.

(5) Copies of this document are available by writing to:

American Society of Heating, Refrigerating and Air-Conditioning Engineers, Inc. (ASHRAE)

1791 Tullie Circle

Atlanta, GA 30329

http://www.ashrae.org

[phone]

(6) Copies of this document are also available for purchase at the following website: http://www.ashrae.org/publications/page/1279.

Rulemaking Authority 255.255, 255.256 FS. Law Implemented 255.254, 255.255 FS. History–New ________.

NAME OF PERSON ORIGINATING PROPOSED RULE: Mr. Dean Izzo, Director of Real Estate Development and Management, Department of Management Services
NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Ms. Linda H. South, Secretary, Department of Management Services
DATE PROPOSED RULE APPROVED BY AGENCY HEAD: December 10, 2009
DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAW: July 2, 2009