RESPONSIBLE CITY AGENCY: Community and Economic Development, Building Services
Background:
On August 19, 2008, Mayor Ralph Becker signed an Executive Order outlining procedures whereby a plan review applicant (“Applicant”) could request expedited plan review for projects involving new construction or major renovation if such projects met certain sustainable building criteria. These procedures included a requirement that the expedited review applicant submit a monetary deposit to the City with the understanding that such deposit would only be refunded after the completed project obtained the necessary Leadership in Energy in Environmental Design (“LEED”) or Energy Star Program (“ENERGY STAR”) certification. The August 19, 2008, Executive Order; however, did not specify a time frame in which the Applicant must obtain the necessary certification in order to avoid forfeiting the monetary deposit provided to the City.
After the issuance of the August 19, 2008 Executive Order, there have been numerous instances in which Applicants for expedited review completed their building project without obtaining, or even coming close to obtaining, the certification required to receive a refund of their monetary deposit. The fact that no time frame for obtaining such certifications is clearly set forth in the August 19, 2008, Executive Order, raises questions as to when the forfeiture of the monetary deposit actually occurs in such circumstances. Consequently, the August 19, 2008 Executive Order is hereby amended to set forth the time frame during which an Applicant must obtain the appropriate LEED or ENERGY STAR certification in order to receive a refund of the Applicant’s monetary deposit.
The Amendment:
The amended version of the August 19, 2008 Executive Order is hereby set forth below in its entirety as follows:
Introduction: LEED and ENERGY STAR Play an Important
Role in Energy Conservation in the City:
The Leadership in Energy in Environmental Design (LEED) rating system is a system created by the United States Green Building Council (USGBC), of which Salt Lake City Corporation (City) is an active member, to provide a national standard for healthy environmental and energy efficient design. Various local stakeholders, including architects, planners, environmental consultants, professors, political leaders, energy experts, health officials, and City staff members worked with the City to review the LEED rating system.
Presently, LEED offers four (4) levels of certification: “Certified,” “Silver,” “Gold,” and “Platinum.” The standards comprising these different levels are considered to promote a healthy environment, provide long-term cost benefits through efficient use of energy, optimize building performance, and create healthier workplaces for employees and visitors. A project can earn points in each of these areas and the number of points earned determines which of the four levels the project will attain. The City has determined that adherence to LEED standards in certain circumstances is in the best interest of the City by obtaining the energy efficient benefits promoted by those standards.
The Energy Star Program (ENERGY STAR) is a joint program of the United States Environmental Protection Agency (EPA) and the United States Department of Energy that helps consumers save money and protect the environment through energy efficient products and practices. ENERGY STAR qualified homes are independently verified to meet strict guidelines for energy efficiency set by the EPA. These efficiencies help homeowners save money on utility bills, provide a more comfortable living environment with better indoor air quality, and help the environment. The Home Energy Rating System (HERS) Index (also known as the Energy-Smart Home Scale) is used by ENERGY STAR to rate the efficiency of a residential building. The ENERGY STAR requirement for a home in Salt Lake City is a HERS Index of 85 or less. The Mayor has determined that constructing homes that meet ENERGY STAR standards (i.e., HERS Index of 85 or less) is in the best interest of the City by reducing the demand for non-renewable energy in the City’s residential buildings.
Through LEED and ENERGY STAR standards, the City is committed to reducing greenhouse gas emissions by implementing more sustainable practices, including green building technologies.
Background: The City’s Legislative History Reflects a
Commitment to Energy Conservation:
Buildings are a leading contributor to carbon emissions and climate change. Existing buildings and the building development industry consume nearly half of the total energy used in the United States. The City is committed to increasing efficiency of certain resources, including energy, water, and materials associated with construction projects, as demonstrated by this Executive Order.
The City supports green building in both the public and private sectors, a fact that is reflected in the City’s rich legislative history from both the Executive and Legislative branches. On June 8, 2005, Mayor Anderson signed an Executive Order requiring all public buildings owned and controlled by the City to be built or renovated using LEED standards at the “Certified” level. Then, on January 19, 2006, Mayor Anderson signed an amended Executive Order increasing the LEED standard for City owned and controlled buildings to the “Silver” level.
On October 17, 2006, the City Council enacted and the Mayor approved Ordinance No. 78 of 2006 (codified at Chapter 18.95 of the Salt Lake City Code), which requires applicable City funded construction projects to achieve, at minimum, a “Silver” certification level of LEED compliance for all new buildings and major renovations of 10,000 square feet or larger. This enactment placed the City among the most progressive cities in the nation in terms of sustainable building policies. Subsequently, on November 7, 2006, the City Council adopted Resolution No. 73 of 2006 encouraging both the Library and the Board of Directors of the Redevelopment Agency to adopt similar LEED standards for applicable building projects funded by the Library Fund and Redevelopment Agency.
On November 17, 2006, the City Council enacted and the Mayor approved Ordinance No. 79 of 2006 (codified at Section 18.12.010 of the Salt Lake City Code), which amended its Board of Appeals membership requirement to include one LEED accredited member.
The Purpose of this Executive Order is to Incentivize “Green” Building:
The purpose of this Executive Order is to reassert the City’s commitment to green building practices in new construction and major renovations throughout the City, and to provide leadership and guidance in promoting, facilitating, and instituting such practices in the private development community by incentivizing developers who agree in advance to meet and/or exceed the “Silver” level of LEED certification or achieve the standards required for an ENERGY STAR rating for homes.
How the Incentive will work --Expedited Plan Review:
The City is committed to incentivizing energy efficient and sustainable development and construction on all new construction and major renovation projects throughout the city, and this Executive Order authorizes the City Building Official to expedite building plan review for that purpose. To support and implement this commitment, the City Building Official shall publish, within sixty (60) days after execution of this Executive Order, the “Expedited Plan Review Process” (Process), to be implemented by the Division of Building Services and Business Licensing (BSL). This Process will be available on the BSL website (www.slcgov.com/ced/buildzone/). This Process will include a section entitled “Standards for Eligible Green Building Projects” that describes, in detail, the LEED and/or ENERGY STAR requirements, including the type and distribution of points, that will need to be met for a project to qualify under the “Expedited Plan Review Process.”
Projects that are in keeping with the City’s aggressive initiative to lessen the impact on the environment will apply for expedited plan review by:
1. Submitting an Application for Expedited Plan Review that demonstrates how the project will meet the City’s current “Standards for Eligible Green Buildings” as documented in the published “Expedited Plan Review Process”;
2. Meeting with City staff to discuss how the project will comply with the City’s current “Standards for Eligible Green Buildings”; and
3. Submitting a refundable Green Building Deposit of $1,000 for projects valued up to and including $100,000; $5,000 for projects valued at more than $100,000 up to and including $1,000,000; and $10,000 for projects valued over $1,000,000. All deposits shall be in the form of a cashier’s check or credit card payment.
After meeting the three criteria above, City staff will determine within three (3) business days if the project is approved for expedited plan review. If the project is not approved, City staff will notify the applicant and refund the Green Building Deposit within fourteen (14) business days.
Once the project is completed and appropriate certification has been obtained as described in the City’s “Standards for Eligible Green Buildings” within the “Expedited Plan Review Process,” the applicant who was previously approved for expedited plan review may apply for a refund of the Green Building Deposit. If the project does not meet the “Standards for Eligible Green Buildings” as approved by City staff and demonstrated by appropriate certification, the Green Building Deposit will not be refunded, depending on circumstances and at the sole discretion of the Building Official.
If a project that received expedited plan review has not obtained the necessary LEED or ENERGY STAR certification within one (1) year after a certificate of occupancy is issued by the City, then the Applicant’s monetary deposit shall be forfeited to the City unless the Applicant timely files an application for an extension of time to obtain the necessary certification (“Application for Extension”). If Applicant fails to file an Application for Extension within 395 days from the date the certificate of occupancy was issued, then Applicant’s monetary deposit shall be forfeited to the City. Upon the timely filing of an Application for Extension, the City may grant a one (1) year extension of time to Applicant to obtain the necessary certification. The City may thereafter grant any additional timely Applications for Extension filed by Applicant provided the City determines, in its sole discretion, that the Applicant is actively pursuing the requisite LEED or ENERGY STAR certification. Any extensions of time granted to Applicant by the City shall begin on the date the pertinent Application for Extension was granted by the City.
Interest will not accrue on any deposit made under this Executive Order.
Effective Date:
This Amendment to the original version of this Executive Order will become effective sixty (60) days after execution hereof. Upon the effective date of the original version of this Executive Order, the Division of Building Services and Business Licensing implemented the “Expedited Plan Review Process,” which includes the City’s “Standards for Eligible Green Buildings.” These Standards document the project requirements and application process used by Building Officials to support this Executive Order. The Division of Building Services may amend or revise these Standards at any time so as to support the City’s goal of continual improvement in building sustainability consistent with this Executive Order.
Implementation:
This Executive Order is not intended to supersede any federal, state or local law, including, without limitation, provisions of the Salt Lake City Code, including but not limited to those relating to the criteria for evaluating historic buildings or sites; or any contract, grant, or other funding requirement; or other standards or restrictions that may otherwise apply to an applicable building project.
This Executive Order is not intended to supersede any federal, state, or local law that gives statutory priority to any applicant, including a charter school under Utah Code Ann. § 10-9a-305(8)(b) (Supp. 2008), as amended.
This Executive Order does not alter or amend the Executive Order, dated January 19, 2006, requiring all public buildings owned or operated by the City to be built or renovated to LEED Silver standards.
This Executive Order may be suspended, if in the discretion of the City Building Official, or his or her designee, the City does not have adequate personnel to carry out the terms of the Order.
This Executive Order is not intended to limit the discretion of the Building Official, or his or her designee, to act in an emergency or to otherwise process applications in a manner that serves the health, safety, or welfare of the City or its residents.
Nothing stated herein is intended to create a contract, whether express or implied.
EFFECTIVE DATE: July 25, 2014
Date signed by Mayor Ralph Becker - May 27, 2014