Title
Public Workshop to review and comment on: 1) a Draft Resolution Containing Findings of Local Climatic, Geological, Topographical, and Environmental Conditions as Required to Adopt Alameda Local Amendments to the 2019 California Energy Code; 2) A Draft Ordinance Amending the Alameda Municipal Code by Amending: (1) Article I (Uniform Codes Relating to Building, Housing and Technical Codes) of Chapter XIII (Building and Housing) to Adopt Alameda Local Amendments to the 2022 Edition of the California Green Building Standards Code to Require Newly Constructed Buildings to be All-Electric
Body
To: Honorable President and
Members of the Planning Board
From: Andrew Thomas, Planning, Building and Transportation Director
EXECUTIVE SUMMARY
Staff is recommending that the Planning Board review and comment on a resolution containing findings of local climatic, geological, and topographical conditions as required by applicable law, and an ordinance adopting Alameda local amendments to the 2022 edition of the California Green Building Standards Code (contained in the 2022 California Building Standards Code) to require newly constructed buildings, as defined, to be all-electric.
The all-electric reach code was first adopted in 2021 and implements a key recommendation in Alameda’s Climate Action and Resiliency Plan (CARP). Adoption of a new reach code is required to ensure alignment with the 2022 California Buildings Standards Code which will become effective January 1, 2023.
BACKGROUND
In September 2019, the City Council adopted Alameda’s Climate Action and Resiliency Plan (CARP), which included actions directing staff to prepare ordinances requiring all new residential construction to be 100% electric-powered with no gas hookups and to require fuel switching from natural gas-powered appliances to electric-powered appliances when existing buildings are being substantially expanded. On December 6, 2022, the Equitable Building Decarbonization Plan <www.alamedaca.gov/buildingdecarb <http://www.alamedaca.gov/buildingdecarb>> will also be presented to the City Council for adoption, providing a framework for transitioning natural gas use to electric for HVAC, water heating, cooking and clothes drying appliances in existing buildings over time.
With Alameda Municipal Power (AMP) providing 100% clean electricity citywide, Alameda’s greenhouse gas (GHG) emissions from buildings comes primarily from natural gas consumption, accounting for 27% of Alameda’s total GHG emissions linked to climate change. The only source sector with more local GHG emissions is transportation (70%).
In October 2019, the City Council took a first and significant step toward electrification by adopting a resolution limiting natural gas infrastructure for new residential construction on City-owned property. In 2021, the City Council extended the all-electric requirement citywide and included development other than residential through adoption of a “reach code”. The reach code required that all new construction citywide to be all-electric with no natural gas or propane infrastructure installed and electric appliances for space heating, water heating, clothes-drying, and cooking, with certain exceptions.
Every three years, the State of California adopts new building standards that are organized in Title 24 of the California Code of Regulations, referred to as the California Building Standards Code. This regular update is referred to as a “code cycle.” The previous code cycle was adopted in 2019 and became effective on January 1, 2020. The current code cycle will be adopted in 2022 and become effective on January 1, 2023. Cities and counties can adopt reach codes that require items that are above the minimum state code requirements by making express findings that local amendments are reasonably necessary because of local climatic, geological, or topographical conditions. Reach codes must be updated with every code cycle. Staff has worked with TRC Advanced Energy to review the 2022 building code and recommend commiserate updates and modifications to the all-electric reach code.
Proposed 2022 All-Electric Reach Code
The proposed 2022 reach code would continue to require that all new residential and non-residential buildings citywide be all electric or are ready to facilitate installation of future electric appliances. As such, no natural gas or propane plumbing would be installed in new buildings citywide, and electric appliances would be required for space heating, water heating, clothes-drying, and cooking.
Staff is also proposing to expand the definition of new construction to include substantial alterations that essentially result in a new building, further fulfilling CARP objectives. Alterations that include replacement or addition of over 50 percent of the existing foundation for purposes other than a repair or reinforcement as defined in California Existing Building Code Section 202; or where over 50 percent of the existing building footprint is being remodeled, including unfinished spaces, shall be all-electric buildings. If either of these criteria are met within a three-year period, measured from the date of the most recent previously obtained permit final date, the project shall be subject to the all-electric new construction requirements. Tenant improvements would not be considered new construction.
Proposed Exceptions
Similar to the 2021 reach code, several exceptions to the reach code have been proposed. The proposed exceptions include:
• Commercial kitchen cooking appliances in nonresidential buildings located in a place of public accommodation.
• Space and water heating process equipment for laboratories, manufacturing, or R&D uses.
• Newly constructed buildings with a valid planning entitlement or development agreement approved prior to July 1, 2021.
• Existing appliances that are not included in the scope of the qualifying alteration.
• If the building official finds that there is no all-electric prescriptive compliance pathway for the building under the Energy Code and the building is not able to achieve the performance compliance standard under the Energy Code, then the Building Official has the authority to grant a modification.
If natural gas heating appliances are used in any of the above exceptions, pre-wiring and physical space must be provided for future installation of electric heating appliances.
Changes from 2021 Reach Code
Based on experiences from implementation of the 2021 reach code, to better align with CARP objectives, and respond to updates in the 2022 CBSC, the following modifications have been proposed for the 2022 reach code:
• Moved from Part 6, Energy Code to Part 11, California Green Building Standards Code (CalGreen) which is more appropriate because the ordinance does not contain energy conservation or efficiency measures.
• Separated residential and nonresidential requirements, following the format of Part 11.
• Require that alterations that include replacement or addition of over 50 percent of the existing foundation for purposes other than a repair or reinforcement; or where over 50 percent of the existing building footprint is being remodeled, including unfinished spaces within a three-year period shall be subject to the all-electric buildings requirements, as defined by the ordinance, further fulfilling CARP objectives.
• Updated planning entitlement or development agreement exemption to those dated prior to July 1, 2021, the date the 2021 ordinance went into effect.
• Removed exemption for new detached Accessory Dwelling Units (ADUs), as nearly all new detached ADUs are currently designed all-electric.
• Updated electric-readiness requirement.
• Removed requirement for nonresidential, high-rise residential and hotel/motel buildings to install a solar photovoltaic system, as the requirement is now included in the 2022 CBSC.
DISCUSSION
Statewide Cost-Effectiveness Study for Reach Codes
When making local amendments to the Energy Code (Title 24, Part 6), as was done in the 2021 reach code, the California Energy Commission (CEC) requires that the City conduct and file a cost-effectiveness study to demonstrate that the amendments are financially responsible and do not represent an unreasonable burden to the non-residential and residential applicants. A cost-effectiveness study is not required for amendments to the Green Building Code (Title 24, Part 11), as is proposed in 2022. However, Alameda’s proposed all-electric reach code has been found to be cost-effective over the lifetime of the building systems for new construction buildings within city limits, including upfront and operational costs and savings. Notably, the results of the analysis show that all-electric buildings are typically less expensive to construct.
Alameda’s finding that its proposed all-electric reach code is cost-effective is based on the statewide cost-effectiveness studies, which demonstrates cost-effectiveness with PG&E electric rates with the addition of solar PV beyond required by the code for single family homes. Alameda-specific studies for 2022 using AMP rates is in development, however studies using other municipal utility rates demonstrate cost-effectiveness without adding additional solar. Inferences from the single-family study can be made for other building types and they were demonstrated to be cost-effective in the 2019 studies. Electrification of existing low-rise residential buildings in Alameda has been demonstrated to be cost-effective using AMP rates. The cost-effectiveness studies for Alameda can be found on line at <https://explorer.localenergycodes.com/jurisdiction/alameda-city/summary>.
The Statewide Program’s analysis estimated cost-effectiveness of several building prototypes including one-story and two-story single-family homes, a two-story and five-story multifamily building, a three-story office building, a one-story retail building, and a four-story hotel. The single-family homes, multifamily homes, and office building prototypes are directly applicable to Alameda development. The City has averaged approximately 200 units of new multi-family units and townhomes constructed each year over the past five years. Additionally, recently approved development projects include manufacturing, light industrial and office buildings, and retail.
Benefits of All-Electric Buildings
In addition to costing less to construct that mixed fuel buildings, all-electric buildings also offer a number of health, safety and climate benefits:
Electrification is safer
• Removing gas infrastructure reduces the risk of fires in the event of an earthquake.
• Induction cooktops reduce burn risk, and many automatically turn off when not in use, eliminating a leading cause of house fires.
Electrification is healthier
• Gas appliances emit pollutants and increase risk of respiratory illness, cardiovascular disease, and other long-term illnesses.
• Children living in homes with gas stoves are 40% more likely to develop asthma.
Electrification helps us reduce emissions and fight climate change
• Switching gas appliance to electric will reduce climate emissions from natural gas use in buildings.
• Methane in natural gas is more than 86 times stronger than carbon dioxide as a greenhouse gas, having more significant impacts on climate.
• Electrification taps into 100% clean power and supports green jobs in our community
Community Input
In addition to this Planning Board study session, study sessions have been conducted with the Historical Advisory Board on November 3 and the Public Utilities Board was notified of this study session at its November 14 meeting. Staff conducted further outreach during the development of this ordinance in the following ways:
• Public workshops held on April 27th and May 4th to provide input on the initial direction of the reach code update.
• Public workshops held on October 18th and 20th to review the final draft reach code.
Notifications about the workshops were distributed through the City’s Sustainability and Resilience mailing list (1,200 subscribers), the citywide bi-weekly newsletter (30,000 subscribers), as well as CASA’s mailing list. All the attendees and invitees to the info session for the 2021 reach code were also invited to the workshops for the 2022 update.
ENVIRONMENTAL REVIEW
This action is exempt from CEQA pursuant to CEQA Guidelines section 15061(b)(3) in that the standards set forth in the ordinance are more protective of the environment than the California Energy Code standards, and there is no possibility that the activity in question may have a significant effect on the environment. As a separate and independent basis, this action is exempt from CEQA pursuant to CEQA Guidelines section 15308 in that the standards set forth in the ordinance assure the maintenance, restoration, enhancement or protection of natural resources and the environment. In addition, CEQA Guidelines section 15183 (Projects Consistent with a Community Plan, General Plan, or Zoning) applies to the project in that the standards set forth in the Ordinance are consistent with the General Plan and the Climate Action and Resiliency Plan.
CLIMATE IMPACTS
The all-electric reach code will help implement the City’s Climate Action and Resiliency Plan and its goal of reducing greenhouse gas emissions 50% below 2005 levels by 2030.
Natural gas and the infrastructure needed to transport it to City homes and businesses is a leading source of GHG emissions in the City, and responsible for 27% of the total GHGs released in the City. The reduce these emissions, the CARP recommends requiring new development to be all-electric and to require fuel switching from natural gas-powered appliances to electric-powered appliances when existing buildings are being substantially expanded.
RECOMMENDATION
Review and comment on the Draft 2022 All-Electric New Construction and Substantial Alterations Reach Code and Findings of Local Climatic, Geological, Topographical, and Environmental Conditions.
Respectfully submitted,
Danielle Mieler,
Sustainability and Resilience Manager
Reviewed by,
Allen Tai,
City Planner
Exhibits:
1. Draft Council Resolution of Local and Climatic Findings
2. Draft Ordinance of 2022 All-Electric New Construction and Substantial Alterations Reach Code