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Benefits of Fitwel building certification

October 5, 2020 Karalyn Shima Honea

Resilience, public health, mental health, collaboration between the public and private sectors, science-based strategies, equity, and trust. Are we talking about the current pandemic or the Fitwel Certification System? We are talking about both. The groundswell around health and wellness at the workplace had taken hold before COVID. Now, a clear set of standards and protocols to keep people healthy is required to open doors again.

Fitwel® is the World's Leading Certification System Committed to Building Health for All™. Using evidence-based scientific research, the Fitwel system is a series of standards and strategies developed to optimize building design and operations, in support of the health and well-being of its occupants. The program is run by the Center for Active Design (CfAD), in close collaboration with the U.S. Centers for Disease Control and Prevention (CDC), and the U.S. General Services Administration (GSA).

Why Fitwel certification matters

As we reopen, occupant trust and safety are paramount. Fitwel certification makes transparent the strategies used to maximize their well-being. For property stakeholders, Fitwel has recently introduced the Fitwel Viral Response Module, an annual certification of policies and protocols informed by the latest public health research on mitigating the spread of infectious diseases. It offers a comprehensive methodology critical to ongoing response.

Global pandemic aside, wellness is an important differentiator to top companies and those they employ. Talent is attracted to healthy and inspired spaces. When you provide an environment with a sense of place, amenities that cater to a healthier lifestyle, and a building with sustainable design, there are far-reaching effects. Inside, you have thriving tenants who stick. Outside, you create a positive impact on the overall wellbeing of people and the environment. When people can bike to work, emissions are reduced. When there is access to healthy food onsite, people do not get in their cars for lunch. When outdoor spaces are available, both physical and mental health improve.

This is not conceptual. Research used by the Fitwel system shows a direct correlation between workplace design and occupant productivity and health. Temperature, air quality, lighting, and noise conditions are all factors toward performance and employee well-being. With an estimated 90% of a company's capital being its people, productivity and absenteeism matter. Additionally, disease prevention and good health can result in a positive return on healthcare spending. When a company occupies a building designed with the same goals in mind, their healthcare dollars go exponentially further.

What’s in it for me?

Investing in wellness is a sound long-term play for owners. The rising workforce is vested. According to a 2018 Global Wellness Institute report, global wellness is a $4.5 trillion economy, with a 6.4% annual growth. Workplace Wellness is a key sector, projected to grow to $66 billion in 2022. Conversely, 2018 research from the Integrated Benefits Institute (IBI), shows that illness-related lost productivity costs U.S. employers $530 billion per year.

Used in tandem with efficiency and sustainability certifications like ENERGY STAR®, LEED, and BREEAM, you are investing in the full spectrum of building health and sustainability. FItwel extends beyond the building, to the people. It also extends beyond the commercial site, to community development. Whatever your discipline, Green EconoME can manage and deliver the full spectrum of certifications for your project.

To learn more about Fitwel for your property or community, contact us at [email protected] or (424) 422–9696.

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SCE Raises Rates in 2021 Due to California Fires

October 5, 2020 Karalyn Shima Honea

“The increased risk of catastrophic wildfires poses an immediate threat to communities and properties throughout the state…[The state’s] electrical corporations must invest in hardening of the state’s electrical infrastructure and vegetation management to reduce the risk of catastrophic wildfires.” Kevin Payne, Southern California Edison president and chief CEO, addressed head-on in his General Rate Case testimony the primary issue facing his company and other investor-owned utilities (IOUs) across the American West. Wildfires are an ongoing crisis, and energy companies are feeling the heat. SCE is next up for revenue increase approval by the California Public Utilities Commission (CPUC), and their request is in the billions. Although this does mean monthly rate increases to customers, it also signals something larger: the need for end-users to become part of the solution.

The General Rate Case

General Rate Cases (GRCs), are proceedings made by utility companies to the Public Utilities Commission to address the costs of operating and maintaining the utility system and the distribution of those costs among customer groups. Cases are made every three to four years. Although all providers are required to do this, the three largest IOUs bear the most significant impact. In California, San Diego Gas & Electric and Pacific Gas & Electric have already submitted their applications for changes beginning in 2019 and 2020. SCE is in the final phase and approval is expected in early 2021.

The cost of power

SCE’s request represents a $1.295 billion, or 20.1% revenue increase in 2021. Increases for 2022 and 2023 are $366.5 and $534.2 million respectively. Although percentages vary across customer groups, this translates to approximately two cents more, per kWh in 2021. PG&E and SDG&E were not too far behind. PG&E asked for a $1.058 billion or 12.4% revenue hike for 2020. Rolling in third was SDG&E at a combined $2.199 billion revenue requirement, or an 11% increase over four years beginning in 2019.

What is it for?

The key reasons for SCE’s proposed increase are stated as:

Reducing the risk of wildfires to keep the electric grid safe for the public and for SCE workers
Reinforcing grid reliability and grid resiliency in case of emergency
Improving customer service and communication, integrating distributed energy resources, and offering customers more choices to meet their needs

Top of the list, SCE is asking for more funding to help bolster wildfire prevention, risk monitoring, and emergency response. They will do this by adding new and enhanced safety measures like HD cameras and weather stations to detect ignitions. They will increase vegetation management, by continually removing potential fuel like branches and hazardous trees from power lines. They will perform system hardening or fixing bare wires to increase resilience and help further reduce wildfire risk.

Next, is SCE’s plan to upgrade technology and infrastructure to further grid safety, and modernization. Among other things, this means SCE still struggles to keep the power on. Urged by California’s clean energy reform, SCE continues to prioritize and invest in clean energy generation from customers connected to the grid. Stated as part of this, is integrating into the grid Distributed Energy Resources (DERs). Edison describes DERs as, “small scale local resources, often installed at a customer’s home or business, [that] can help meet California’s greenhouse gas reduction goals, help customers reduce electricity use and support grid reliability.” Their robust programs and incentives provide compelling opportunities to building owners throughout California.

The case for clean and efficient energy

If you have already implemented or are considering self-generation like solar, and energy storage, here are some of the programs in place. Net Energy Metering, provides billing credits for surplus energy you “sell back” to the grid. Solar Power on Warehouse Rooftops program, is exactly what it sounds like. Providing your warehouse rooftop(s) as a sort of solar farm, for which you will both use the power and get paid for the surplus kWh. SOMAH is a community program for multi-family low-income housing, which offsets tenant cost and implements cleaner renewable energy. SGIP and green energy strategies are programs that provide clean energy solutions and help finance the cost of installation. These are only some of the opportunities to make self-generation easier to light up and quicker to pay back.

Outside of self-generation, energy efficiency has always been a proven path to reducing your use and cost while qualifying for incentives. For example, enrolling in an energy solutions incentive program like Demand Response, or Express Solutions, may not only offset future rate increases to your site, but qualify you for further discounts, financing, or credits. The best part is that you chose the efficiency modalities that best suit your needs. For effective retrofit measures, visit our Energy Efficiency Retrofits page. Green EconoME’s work at Warner View Center spotlights the impact of integrating newer technologies and self-generation at a single site.

Fires rage on across the western United States, holding up what seems to be a promise for climate change. If we do nothing, more extreme weather conditions and events will be our fearsome reality. The multi-faceted issue which is met with even more refracting opinions does hold one fact to be true. Wildfires come at an enormous expense and are taxing an aging infrastructure. If this isn’t the tipping point of real change in our behaviors and long-term investments into solutions, how will we be paying for it in GRC cycles to come?

Visit the CPUC website to read the complete SCE application or to submit public comment. When you are ready to explore energy efficiency or self-generation options for your property, please contact us.

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Insights

Can UVC Lighting Kill COVID in buildings?

October 5, 2020 Karalyn Shima Honea

UVC. The humble workhorse of building system maintenance and a Green EconoME recommended measure, is currently in the spotlight as one of the more compelling solutions to killing the novel coronavirus. Although it has hit the mainstream as a light wand that promises to disinfect your groceries, we need to take a deeper dive into how UVC works and shine the light on its true potential: an effective and efficient strategy to mitigating the transmission of COVID-19 inside our buildings. Especially as scientific research is showing further evidence of how the coronavirus can be spread via aerosols, buildings need to have solutions to keep their occupants safe.

What are UVC lights? How do they work?

Ultraviolet light, aka. sunshine can be divided into three sub-bands (UVA, UVB, UVC), based on wavelength. UVC radiation possesses disinfecting properties, therefore UVC lamps, or germicidal lamps are used to disinfect air, water, and nonporous surfaces. Their ability to degrade organic material is well established in both research and application (ASHRAE, Science, GSA, CDC).

UVC light works by destroying the exterior protein membrane of organic material, like breaking an egg. Doing this “deactivates”, or basically kills the pathogen. This form of radiation is proven to deactivate varied coronaviruses, including SARS-CoV which is in the same family as COVID-19.

So, will UVC light kill the coronavirus in my buildings

Yes, when used properly. Early studies are showing promising results. As with all scientific research surrounding COVID-19, new data is emerging daily. An August 19th release from the U.S. Food and Drug Administration (FDA) states, “UVC radiation may also be effective in inactivating [the virus] that causes the Coronavirus Disease 2019 (COVID-19). However, currently, there is limited published data about the wavelength, dose, and duration of UVC radiation required to inactivate the SARS-CoV-2 virus.” Leading data shows 254 nanometers to be the goldilocks wavelength in eliminating COVID-19 from certain materials like N-95 masks or a room, but dose and duration are still being tested.

Yes, but is it safe?

Unfortunately, misconceptions or little understanding are still barriers to adopting UVC. It is true, having appropriate guidelines in place around mitigating the coronavirus is vital to using UVC safely. Yet, ultraviolet light has widely been used for decades, and at its core, it is safe. The two main issues are making sure your UVC system properly inactivates the virus, and of course human exposure. 254nm is dangerous to eyes and skin and direct exposure should be avoided. These types of systems should always be handled by trained professionals. Lower radiation used in wands and lamps available to the mass market may be safer to use by hand; however, consumers should be cautious about product claims and continue to use recommended cleaning measures to ensure surfaces are fully sanitized.

APPLICATION OF UVC LIGHTING IN BUILDINGS

HVAC and Air Handling Units

UVC lights have been a favored maintenance and efficiency tool in building operations for decades. When placed downstream of air filters and above drain pans on your HVAC/handling units, the UVC light disinfects cooling coils keeping it free of microbes (mold, dirt, grime), that produce odor, reduce airflow and cooling capacity. Besides the obvious benefits of cleaning the equipment and air, the effect is a better ventilated, healthier indoor environment. This leads to increased occupant comfort and reduces the spread of infection and absenteeism. Additionally, this lower-cost measure can extend the life and efficiency of your equipment. A Pacific Gas & Electric study showed that a dirty condenser coil can increase compressor energy consumption by 30%.

Infectious Disease Control

As discussed above, UVC for ultraviolet germicidal irradiation (UVGI) is an effective tool in reducing the transmission of disease. Its uses are wide across many settings. In government facilities, UVC is used among other things, for bio-terror control (the stuff sci-fi movies are made of!). It is also used in hospitals and schools to supplement the control of contaminants like tuberculosis and staphylococcus. Across multiple studies, when combined with fans/ventilation, close to 90% of the bacteria irradiated were inactivated.

The case for UVC lighting

Green EconoME is responding to the high demand of UVC systems, due to the urgency and guidelines for buildings to reopen. In addition to fighting off coronavirus, UVC lighting is a sound energy efficiency measure. It extends the life of your HVAC/AHU equipment, is chemical free and qualifies for LEED points in the energy and sustainability category. UVC lighting is known for its ease to install and maintain and has a low cost of ownership. To learn about Green EconoME’s UVC offering, contact us today.

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Benchmarking Insights

What are the differences between AB 1103 vs. AB 802?

August 11, 2020 admin

Energy Disclosure in California has had a bumpy road...

AB 1103, in effect from 2014 to 2015, required all sales, refinancing, and single tenant leases of an entire building, of 10,000+ sq. ft. or more was required to disclose energy usage prior to signing of any financial contract.

In October of 2015, the California Energy Commission (CEC) decided to appeal AB 1103 because utilities struggled to access energy usage data in multi-tenant buildings due to privacy laws. All meter rate payers own their energy usage data unless they authorize its release. Thus, building owners could not access tenant data in order to produce accurate energy disclosure reports and comply with AB 1103. Further, AB 1103 did not have enforcement mechanisms in place to even guarantee compliance.

Enter AB 802: California’s new Energy Disclosure law. AB 802 applies to all buildings over 50,000 sq. ft., including multi-family, which were not included in AB 1103. AB 802 allows utilities to download aggregate “whole building” data, including common and tenant data, into one number, effectively eliminating any privacy law concerns.

Although the California Energy Commission (CEC) has not sent notices to building owners requiring compliance, AB 802 is a law, and disclosure is required on an annual basis. Unlike AB 1103, AB 802 provides for enforcement mechanisms in the form of civil penalties - up to $2000/day for each day a building owner is non-compliant.(Public Resources Code, Section 25321).

Since AB 802 is a law, it would make sense to request these energy disclosures when purchasing or leasing a building, just like any other disclosure document.

Reach out to Green EconoME to help get your AB 802 report filed before the CEC starts enforcing.

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Insights Recognition

101-Year-Old Owner ENERGY STAR Certifies Property

May 2, 2020 admin

It’s never too late to get Energy Star Certified! Irvin Grant, a 101 year-old Building Owner in LA recently ENERGY STAR Certified his building with the help of Green EconoME. Irvin built Brentwood Terrace Condominiums, located at 825 S. Gretna Green Way, in the 1960s with his sister. Its eye-catching rounded front has made this building a landmark in the Brentwood neighborhood.

ENERGY STAR is the government-backed, energy efficiency ranking system. For eligible buildings, the tool calculates an ENERGY STAR score on a scale from 1 to 100. For a building to be labeled “ENERGY STAR” certified, it must score a 75 or above. Studies find that ENERGY STAR certified buildings command a sales price and rental rate premium of up to 16%.

Irvin’s building received a score of 93, determined by the Benchmarking Report that Green EconoME generated for the building to be in compliance with Los Angeles’ Existing Buildings Energy & Water Efficiency (EBEWE) Ordinance. With Green EconoME’s guidance, Irvin pursued the ENERGY STAR certification in order to be exempt from Phase II of EBEWE, which requires an ASHRAE Level 2 Audit and Retro-Commissioning.

To learn more about EBEWE, exemptions, or other city/state Energy Disclosure Laws visit Our Services.

To learn more about ENERGY STAR Certification click here.

Or feel free to contact us: [email protected] or 818-681-5750.

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Decarbonization Insights

6 Ways For Building Owners To Save Money

April 2, 2020 admin

If you own and/or operate an older building, existing inefficient equipment or a lack of new-age, sustainable solutions may be unnecessarily driving up operational costs. Here are the 6 ways to make sure you’re saving money and not throwing it out the window.

1. Get Rid Of Those Fluorescent Lights

Replace all fluorescent lights with LEDs, including all parking lot lighting. Installing LEDssave up to 20% – 30% on annual operating costs.

Lighting Retrofit Case Study

2. Install Solar Already

In addition to providing a long term energy cost reduction, you’ll also utilize the available tax benefits:

26% Federal Business Energy ITC (dropping to 22% in 2021 and 10% thereafter),
The State of CA (MACRS) accelerated depreciation, and
Recently added, the 100% bonus Federal tax depreciation allows eligible entities to deduct the entire allowable tax basis of the system in the first year of operation.

Taking advantage of these tax incentives reduce the owner’s tax liability and will significantly offset the cost of a Solar PV system. These incentives can also be applied to a roof replacement if combined into one project.

Solar PVs Case Study

3. Stop Cooling An Empty Room

Replace pneumatic thermostats with digital for higher-level control and visibility. Digital thermostats allow building owners to reduce peak demand by creating schedules around when spaces are unoccupied (holidays, non-peak hours, etc.).

Thermostat Retrofit Case Study

4. Be Smarter Than The Building

An energy management system (EMS) provides real-time monitoring, energy analytics, and wireless building control. The ability to measure a building’s energy usage on a granular level allows for better management of energy consumption and “peak demand.” An EMS provides extensive energy data history, peak load notifications, detailed usage reports, and more.

Energy Management System Case Study

5. Shield Your Internal Environment

Solar window film is applied to the interior of a window in order to control solar heat absorption. The film rejects up to 79% of solar energy and 99% of harmful UV rays. Further, the film helps reduce glare, adding to a more comfortable office environment.

Solar Window Films Case Study

6. Protect Your Expensive Equipment

EvaporCool is a dual patented technology that pre-cools outdoor air prior to flowing through the condenser coils of an HVAC system. The pre-cooled air helps reduce the amount of work that the compressor must do to cool the air flowing inside a building. By minimizing the amount of work the compressor must do, the EvaporCool system prolongs the life of HVAC units, reduces energy usage up to 30%, and saves a significant amount in energy-related costs.

Evaporcool Case Study

Before getting started with any of these cost-saving options, we suggest having your building Benchmarked.

If you’d like to learn more about any of these cost-saving options, reach out to us at [email protected] or (818) 681-5750.

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Insights

Is Your Building Prepared For Coronavirus?

March 16, 2020 admin

In response to Covid-19, many companies have encouraged employees to work from home until further notice. The absence of tenants presents an opportunity for Commercial Office Building Owners to adjust their building’s energy output appropriately and even save money on utility bills.

Tips for Commercial Office Building Owners

Here are a few tips to ensure you don’t waste energy during this time:

Make sure all lights are turned off. If lights are controlled by a timer, update the status to “Holiday” or “Unoccupied” until further notice.
Turn off your thermostats.There’s no need to cool or heat unoccupied buildings.
Turn off your plug-load. If you do not have a master plug-load controller, physically unplug all power cords from any active outlets.
If you have solar, use this opportunity to build excess energy for utility discounts or to fill your battery.

Tips for Multi-Family Building Owners

This will have an adverse affect on Multi-Family Building Owners. Since most companies are requiring their employees to work from home, the utility bills will most likely increase. Here are some steps tenants can take to minimize the increase:

Turn-off lights in unoccupied rooms. If you have not already replaced your fluorescent lights with LEDs, do so as soon as possible. LEDs do not create heat and use less energy.
If possible, open a window to cool your apartment, rather than utilizing your air conditioner.
Unplug any unused power cords. If an outlet is not switched off, and has a plug inserted, the outlet will still use energy.
Take shorter showers. Showers should take 7 minutes or less.
Turn the water off while brushing your teeth. Only turn the water on to rinse your toothbrush.
Only run the dishwasher when it’s full. Use the energy-saver mode if available. Otherwise, fill the sink and wash dishes by hand.
Report any water leaks. This can lead to a much larger problem.

For more tips on how to reduce utility costs CONTACT AN ENERGY SAVINGS EXPERT

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Financing Insights

Tax Credits Remain For Efficiency Projects In 2018

January 12, 2020 admin

Did you implement Energy Efficiency measures in your building during 2018 or prior? You may be eligible for a tax deduction and/or credit.

As of December 19, 2019 the Senate has approved the 2019 Tax Extender Bill, which extends the 179D deduction and the 45L tax credit. This allows for the adjustment of 2018 tax returns to include qualified energy-efficiency projects from that year.

The deadline to amend 2018 tax returns is December 31, 2020. Projects from earlier than 2018 may still qualify if you have not taken advantage of available incentives. Ask Green EconoMe how you can maximize this benefit.

What is Section 179D Tax Deduction

179D was created in 2005 under the Energy Policy Act (EPACT), allowing a tax deduction from $0.30 to $1.80 per square foot for the installation of energy efficiency systems in the commercial space.

Building owners are not the only beneficiaries of this tax deduction. Tenants may also be eligible if they take on construction spending. However, deductions can only be recognized for the year that efficiency measures are up and running.

What is Section 45L Tax Credit

45L was created in 2005, providing $2,000 per dwelling unit that consumes less energy than national standards. This credit is meant for low-rise apartment developers with buildings 3 stories or fewer. Buildings 4 stories or more may qualify for the 179D deduction detailed above. The 45L credit can be applied to new construction or the refurbishment of existing units. Like with 179D, in order to be recognized for the tax credit, the new or refurbished unit must be leased or sold within the year that tax return is filed.

Does my Building Qualify for Tax Deduction or Tax Credit?

Green EconoME is a woman-owned, multi-disciplinary energy consulting and construction firm providing full-scale energy efficiency services to diverse public and private sector clients. Not only are we led by a former CFO who seeks all incentives available for each project, our ROI data is also 98% accurate. Contact us to see if any of your projects are eligible for these extensions!

[email protected] or (818) 681-5750

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Financing Insights

Solar PV Savings With 30% Tax Credit

November 12, 2019 admin

Solar PV reduces operating costs & increases building’s valuation!

Why should building owners consider Solar PV installations?

Solar Energy is truly renewable. The amount of energy generated by a PV system reduces both the kWh used by a building and the building’s peak KW.
The cost of solar-generated energy is much lower than the cost of energy purchased from a utility.
Thanks to the longevity of solar systems (appx. 25 years), a solar PV investment will allow owners to reap financial benefits for years to come.
The minute the system starts operating, Net Operating Income (NOI) increases.
Stop relying on others for energy by creating your own on-site energy independence.
Get Net Energy Metering (NEM) credit when excess energy gets sent back to the grid.
Solar Projects are eligible for the 30% Federal Investment Tax Credit (ITC). Installation of a new roof at the same time as the solar project, allows for 30% ITC on both projects. This Tax credit is dropping to 26% on January 1, 2020.
Demonstrate to your employees, neighbors, and customers that you’re serious about “Going Green”.

Case Study on Solar PV Savings

A hotel client invested $1.4 million into Solar PV systems to provide 27% of the hotel’s energy usage. With current tax credits and accelerated bonus depreciation, the project cost was reduced by 54%. Incredible.

Consult us today and see why a Solar PV system makes sense for all the above reasons and more!!

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Insights

WHAT IS A GREEN LEASE & HOW TO QUALIFY FOR IT

October 4, 2018 admin

Within typical lease structures, landlords incur capital expenses, but see none of the cost-saving benefits, when conducting an energy efficiency retrofit. The resulting efficiency favors the tenant, who see utility costs go down. Thus, owners hesitate to invest in improving the efficiency of their buildings. This is called the “split incentive”.

But what if there was a way to provide incentives to both owners and tenants? The solution lies in a relatively new concept called “Green Leases”, also known as energy-aligned, high-performance or energy-efficient leasing. These leases align the financial and environmental goals of the landlords and tenants to work together to save money, conserve resources and ensure the efficient operation of buildings.

WHAT IS A GREEN LEASE?

A green lease incorporates energy and cost conscious clauses that benefit both building owners and their tenants. It is important to engage stakeholders as soon as possible and gain buy-in on the outset of the leasing process. The earlier the parties communicate their sustainability goals, the higher probability the green lease language will remain in the final lease.

With Green Leases, landlords can adopt a “cost recovery clause”, also known as “cost pass-through” language, to amortize and recoup capital costs for energy efficiency improvements made to the building and common areas. This allows owners to reap significant long-term savings while complying with local and state laws.

Ordinances like the City of LA’s EBEWE, mandate minimum levels of building efficiency, meaning retrofit costs are inevitable in order to comply.

HOW TO QUALIFY FOR A GREEN LEASE?

Green Lease Leaders*, an association of landlords, tenants, brokers, and energy experts, has developed a best practices breakdown of what should constitute a “green lease” for commercial, “high-performance” buildings.

Levels of Green Lease qualification are broken into two tiers.

Silver (Foundational)
Gold (Implementation)

To reach the Silver-level, owners must demonstrate the development of foundational policies and practices that encourage reduced energy consumption in leased spaces. Such policies and practices must include the following prerequisites, communicated in a standard lease or corporate guidelines:

Provide a sustainability contact to tenants (either at the Owner’s office or a third party consultant)
Implement a cost recovery clause for energy efficiency upgrades benefiting tenant (same as above)

The Gold-level Green Lease requires owners to implement at least five of the following practices, constituted in the lease:

Track common area energy use
Track common area water use
Disclose whole-building ENERGY STAR score to tenants annually
Ensure brokers have energy training
Implement landlord energy management best practices
Require tenants to purchase on-site renewables if offered by landlord and competitively priced
Meter tenant spaces that are greater than 5,000 sf
Request annual tenant energy disclosure
Request minimum energy efficiency fit-out for tenants
Demonstrate innovation in leasing

Owners with existing leases not imminently up for renewal can still qualify and be recognized for a Green Lease policy so long as such Green Lease requirements are met in all negotiations going forward.

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