Jana maddux cheers

HERS I & II Rater Certifications

HERS I Rater Certification Training

¨ HERS Certifications may only be granted by a California Energy Commission approved HERS Provider

¨ HERS Raters are trained to verify the HERS (Home Energy Rating Services) measures as required by the Title 24 California Energy Standards

¨ Some of the conservation features in the Title 24 California Energy Standards require a 3rd party inspector (in addition to the local building department inspector) to verify that the measure is properly installed.

HERS I Raters are trained to verify HERS measures such as:

¨ Duct Testing¨ Refrigerant Charge Measurement¨ Sampling¨ Registration of forms with HERS Provider¨ Ethics and Quality Assurance¨ Quality Insulation Installation ¨ Air Conditioner Efficiency¨ New Cooling Technologies¨ Energy Star, Utility and Green Programs¨ Solar Verifications for Solar PV systems installed under the State of

California’s New Solar Home Partnership

What HERS II?The purpose of the proposed revisions to the HERS regulations is to implement Phase II ofthe HERS Program by extending Phase I to cover whole‐house home energy ratings of existing(and newly constructed) homes. Phase II will put in place the remaining elements of PRC Section 25942

HERS II Provisions

• Consistent, accurate, and uniform ratings based on a single statewide rating scale• Reasonable estimates of potential utility bill savings, and reliable recommendations on cost‐effective measures to improve energy efficiency.• Labeling procedures that will meet the needs of home buyers, homeowners, renters, the real estate industry, and mortgage lenders with an interest in home energy ratings.• Proposed approaches for determining measure cost‐effectiveness and recommendations for energy efficiency improvements, including cross checking against utility bills.

The HERS Disclosure Booklet

¨ A California Energy Commission publication¨ California Civil Code 2079.10 states that if this

booklet is provided to the buyer by the seller or broker, then this booklet is deemed to be adequate to inform the home buyer about the existence of California’s Home Energy Rating Program.

Status of HERS II?

• All California HERS Providers are awaiting approval• Many opportunities await this important step• Stay tuned

What is available today?• The FHA/VA Energy Efficient Mortgage• The FHA Weatherization Program• Utility Company Rebates• Energy Efficiency Federal tax credits

The Energy Efficient Mortgage

¨A Government Insured loan (FHA/VA) that allows “Cost Effective” Energy Upgrades to be financed into the Mortgage with no qualifying or down payment requirements¨FHA will allow 5% of the property value in most cases (see HUD Mortgagee Letter 2009-18)¨VA allows up to $6,000 in upgrades¨Can be used on Purchase, Rehab & Refinance¨A HERS Report is required to document the upgrades as cost effective

The FHA Weatherization Program

¨Allows financing of “thermal improvement” upgrades when the EEM funds are not enough¨Items that would qualify: Dual Pane Windows, insulation, weather stripping, etc.¨Borrower must qualify for additional amount¨Borrower must put additional down

What determines cost effectiveness?

The borrower decides on a cost effective package Bids are gathered Contractors should be educated about the EEM

Program The EEM package is submitted to underwriting EEM Funds are held in a holdback account after

close of escrow Once escrow has closed, work can begin When work is complete, funds are released

After the Rating Report results are generated:

EEM Case StudyBryon & Rachael Soules, 1st Time HomebuyersExpressed interest in the Energy Efficient

Mortgage

• Home built in 1948• No wall insulation• R11 insulation in the attic• Duct system was very leaky• Single pane Windows

EEM Case StudyPurchase price of the home: $131,250EEM allowable amount: 6,562Total of all Contractor bids: 7,463Weatherization Program: 900

Jana MadduxCHEERS® Existing Homes Program Manager(714) [email protected]

www.cheers.org