Vermont H 181: An act relating to Residential and Commercial Building Energy Standards

Bill Text

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VT LEG #380156 v.2
H.181 1
Introduced by Representatives Campbell of St. Johnsbury, Austin of 2
Colchester, Bluemle of Burlington, Burke of Brattleboro, 3
Dodge of Essex, Goldman of Rockingham, Headrick of 4
Burlington, Kleppner of Burlington, Krasnow of South 5
Burlington, Lalley of Shelburne, Logan of Burlington, Masland 6
of Thetford, Ode of Burlington, Pouech of Hinesburg, and 7
Rachelson of Burlington 8
Referred to Committee on 9
Date: 10
Subject: Public service; building energy; building energy codes; residential 11
building energy standards; commercial building energy standards; 12
climate change; residential builder registry 13
Statement of purpose of bill as introduced: This bill proposes to extend the 14
term of the Building Energy Code Working Group, to direct the Public Service 15
Department to establish a framework to attribute savings to building energy 16
code compliance, to require the Department Public Service to develop 17
methodology for calculating and reporting greenhouse gas savings annually, 18
and to make changes to the Residential Builder Registry. 19
An act relating to Residential and Commercial Building Energy Standards 20

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VT LEG #380156 v.2
It is hereby enacted by the General Assembly of the State of Vermont: 1
Sec. 1. FINDINGS AND INTENT 2
The General Assembly finds: 3
(1) It is in the public interest to foster standards for buildings fit for 4
occupancy that are safe, healthful, comfortable, durable, energy efficient, 5
sustainable, resilient, and practicable. 6
(2) The five-year Housing Needs Assessment, released by Agency of 7
Commerce and Community Development in June 2024, found that at least 8
24,000 and as many as 36,000 housing units must be brought online by 2029. 9
In addition, the Assessment says about 20,000 existing homes have indications 10
of housing quality concerns according to 2022 census data. 11
(3) The Housing Needs Assessment also found that 32 percent of renters 12
had the income needed to buy a median priced home in 2021; two years later, 13
in 2023, house prices had risen to the extent that only six percent of renters 14
could likewise afford to buy a home. 15
(4) Buildings, whether single family owner-occupied, apartment houses, 16
or commercial occupancies, typically remain in service for many decades 17
without major renovation. 18
(5) As the costs of building increase, the costs of remediating poor or 19
energy inefficient construction exceed the capability or inclination of many 20
owners to undertake. 21

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VT LEG #380156 v.2
(6) Recent floods have further exacerbated Vermont’s housing crisis and 1
demand for construction workers, and likely brought less experienced builders 2
into the construction market. 3
(7) Vermont established the Residential Building Energy Standards 4
(RBES) in 1997 and the Commercial Building Energy Standards (CBES) in 5
2007, collectively referred to as “energy codes.” Both energy codes are 6
mandatory, but studies in recent years show compliance with the RBES at 7
about 54 percent and CBES at about 87 percent, with both rates declining. 8
Both codes are scheduled to become more stringent with the goal of “net zero 9
ready” by 2030. 10
(8) There is no State agency or office designated to interpret, administer, 11
and enforce energy codes. The Division of Fire Safety in the Department of 12
Public Safety is responsible for fire and building safety code in “public 13
buildings.” The Department of Public Service is responsible for promulgating 14
and updating RBES and CBES. Neither office has the capacity to administer 15
or enforce energy codes. 16
(9) Applicability of energy codes and building codes in Vermont is 17
inconsistent. The RBES apply to residential buildings up to three stories; the 18
CBES apply to all other building types. The Division of Fire Safety 19
jurisdiction encompasses all public buildings, including rented residential 20
buildings covered by the RBES. However, its fire and building safety code is 21

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VT LEG #380156 v.2
based on commercial codes; in residential buildings, it applies only to 1
apartment buildings four stories and above. While as of late 2024 the Division 2
of Fire Safety is in the process of considering adopting a residential building 3
code, currently Vermont has no building code covering residential construction 4
up to three stories in height. Further, the Department of Public Service has 5
advised the General Assembly that RBES-enabling legislation does not provide 6
clear authority for municipalities to administer and enforce the RBES at the 7
local level. 8
Sec. 2. 2024 Acts and Resolves No. 151, Sec. 2 is amended to read: 9
Sec. 2. ENERGY CODE COMPLIANCE; WORKING GROUP 10
* * * 11
(f) Meetings. 12
* * * 13
(4) The Working Group shall cease to exist on July 1, 2026 30 days after 14
the General Assembly enacts leg