San Jose Benchmarking Ordinance

The San Jose Energy and Water Building Performance Ordinance 

requires you to report a building's energy and water performance to the City.

1. It applies to commercial and multifamily buildings of 20,000 square feet and larger.

2. It requires both energy AND water benchmarking.

3. The reporting deadline is May 1st annually.

4. Every five years, buildings must meet performance standards or complete one of three potential improvement pathway actions to help improve energy/water efficiency performance.
 

Exceptions to the Ordinance

• The ordinance does not apply to single-family, two-family, and four-plex Residential Buildings, nor to residential hotels, utility pumping stations, and treatment facilities. 
• The ordinance DOES NOT apply to condominiums.
• Properties designated with an industrial land use zoning (Zones HI & LI) are excluded.
• To be exempt, Zone IP (Industrial Park) properties must have over 50% of the gross floor area used exclusively for industrial, manufacturing, research, and design.
   

Exemptions to the Ordinance

• The property did not have a certificate of occupancy during the reporting period
• The property remained unoccupied for the entire calendar reporting period 
• The demolition permit for the entire property has been issued, and demolition work has commenced 
• The Property did not receive energy or water services for the entire calendar year
• The Property is in financial distress
• The disclosure of the Property's energy and water use data would result in the release of proprietary data that would violate a customer's right to privacy
  
  For more information about the ordinance and whether your property may be exempt, contact us at 415-937-5046 or Charles@PegasusBMS.com.

The San Jose Beyond Benchmarking Requirements are now in Effect

Building owners are now required to demonstrate either building efficiency or improvement in annual performance

You can satisfy the San Jose Beyond Benchmarking requirements without audits or retro-commissioning by:

• Providing a Performance Verification Report - for Energy and Water-efficient buildings
• Completing Title 24 Energy and Water Efficiency Improvement Measures 

1. Performance: Submitting a Performance Verification Report

An Owner may establish satisfactory Energy and water efficiency by providing a Performance Verification Report that demonstrates the following:

• The Property has achieved one (1) or more of the Energy standards and one (1) or more of the water standards as set forth below for at least two (2) of the three (3) calendar years preceding the Property's compliance due date

A. The Energy Standards - A California licensed engineer or architect, Qualified Auditor, or Retro-Commissioning Professional certified one (1) of the following:

• The Property has a current Leadership in Energy and Environmental Design (LEED™) Existing Buildings Operations and Maintenance, or
• The Property has received an ENERGY STAR® Score of 75 or greater from the US EPA; 
• The Property has Improved its ENERGY STAR® Score by fifteen (15) points or more relative to its performance during the baseline year; or
• The Property has a weather-normalized site Energy Use Intensity (EUI) as calculated by the Benchmarking Tool that is twenty-five percent (25%) below the calculated mean for that property type; or
• The Property has reduced its weather-normalized site Energy Use Intensity by at least fifteen percent (15%) relative to its performance during the baseline year.

B. The Water Standards - A California licensed engineer or architect, or Qualified Auditor or Retro-Commissioning Professional certified one (1) of the following:

• The Property has a Water Use Intensity as calculated by the Benchmarking Tool that is twenty-five percent (25%) below the locally calculated mean for that property type; or
• The Property has reduced its Water Use Intensity by at least fifteen percent (15%) relative to its performance during the baseline year.
• The building has received a US EPA Water Score of 75 from the US EPA;
• The Property has improved its US EPA Water Score by fifteen (15) points or more relative to its performance during the baseline year;

If you do not meet the above requirements you may avoid the audit or retro-commissioning expenses by adopting two (2) Energy and two (2) Water efficiency improvement measures.

2. Improvements: Adopt efficiency improvement measures

A. Energy Efficiency Improvement Measures that Qualify

• Installation of common area and exterior lighting fixtures by Title 24
• Installation of domestic hot water heater following Title 24
• Replacement of all refrigerators on the Property to ENERGY STAR® Certified models;
• Replacement of all gas stoves on the Property with electric induction stoves;
• Replacement of all gas water heaters on the Property with electric heat pumps or tankless water heaters;
• Installation of a smart thermostat;
• Installation of a solar thermal heating/cooling system;
• Enrollment in a Department-approved utility demand response program;
• Installation of insulation on all hot water pipes in accessible Property locations or
• Participation in a Department-approved Energy utility retrofit program

B. Water Efficiency Improvement Measures that Qualify

• Installation of plumbing such that all systems on the property comply with Title 24
• Installation of outdoor landscaping and irrigation such that all systems on the property comply with S J Code
• Installation of a greywater system by Title 24.
• Installation of insulation on all hot water pipes in accessible property locations
• Participation in approved water utility retrofit program (e.g., taking advantage of rebate or incentive programs for upgrades)

An Efficiency Improvement Measures Report shall document the above improvements.

An Audit or Retro-commissioning is required if a building cannot meet the above standards.

To inquire whether your property may be exempt, call Pegasus at 415-937-5046 and talk to Chuck.