City Council Agenda and Packet 2022 09 27 SP

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LL City0f CITY COUNCIL COMMUNICATION Louisville AGENDA ITEM 2 COLORADO • SINCE 1878 SUBJECT: DISCUSSION/DIRECTION — COMMERICAL ENERGY CODE UPDATE OPTIONS continued from 916122 DATE: SEPTEMBER 27, 2022 PRESENTED BY: ROB ZUCCARO, PLANNING & BUILDING SAFETY DIRECTOR CHAD ROOT, CHIEF BUILDING OFFICIAL KAYLA BETZOLD, SUSTAINABILITY COORDINATOR SUMMARY: Staff and the City's consultants, Lotus Engineering (Lotus) and Sustainability and Group 14 Engineering (Group 14), are presenting a final report and recommendations on commercial building energy code options for Council consideration. The options being presented would add additional energy efficiency and/or renewable energy offset requirements for new commercial construction projects. Development of the final report included public and advisory board engagement, policy research and analysis, and modeling of cost and greenhouse gas impacts for several different commercial and multi -family scenarios. Attachments 1 and 2 are the final Lotus and Group 14 report and presentation slides respectively. The consultant's report provides a more detailed explanation and discussion of the process, policy considerations and options presented. This staff report is intended as an introduction and brief summary of the report and options. The final report presents three potential code options for consideration: Regional Code Cohort Alignment Policy Option: The "Regional Code Cohort" is a group of 11 regional counties and municipalities looking at adoption of the 2021 International Energy Conservation Code (IECC) with several supporting amendments and electric preferred policies. While the City has already adopted the 2021 IECC, the Code Cohort version includes some additional amendments not contemplated by the City and a stronger electric preferred policy. This option includes updating the City's 2021 IECC amendments to match the Code Cohort and participate in development of a phase 2 strategy to develop net zero codes over time. Policy Option 1 — Energy Use Intensity (EUI) Performance Standard: This option is to adopt a minimum Energy Use Intensity (EUI) performance standard for different building types. Meeting the EUI standard can be achieved through building efficiency upgrades alone, or a combination of building efficiency and on -site renewable energy production. Some industry types, such as laboratories, manufacturing, industrial or food processing, restaurants, and hospitals, would likely need exemptions from the EUI standard. This exemption could be from process loads necessary for these uses, or a broader exemption for the use type. CITY COUNCIL COMMUNICATION 2