By: Carona S.B. No. 617
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the regulation of energy efficiency professionals;
  providing penalties.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Title 8, Occupations Code, is amended by adding
  Chapter 1307 to read as follows:
  CHAPTER 1307. ENERGY EFFICIENCY PROFESSIONALS
  SUBCHAPTER A.  GENERAL PROVISIONS
         Sec. 1307.001.  SHORT TITLE.  This chapter may be cited as
  the Energy Efficiency Professionals Act.
         Sec. 1307.002.  DEFINITIONS. In this chapter:
               (1)  "ACCA" means the Air Conditioning Contractors of
  America.
               (2)  "ANSI" means the American National Standards
  Institute.
               (3)  "Commission" means the Texas Commission of
  Licensing and Regulation.
               (4)  "Covered premises" means a new home, existing
  home, or light commercial building.
               (5)  "Department" means the Texas Department of
  Licensing and Regulation.
               (6)  "Direct, on-site supervision" means supervision
  by an energy efficiency professional who is physically present on
  the premises where the work is performed at the time the work is
  performed.
               (7)  "Energy efficiency evaluation" means an analysis,
  assessment, or audit of the energy consumption and efficiency of a
  building.
               (8)  "Energy efficiency evaluation training or
  certification program" means a program accredited by a state or
  national organization that trains or certifies individuals to
  perform energy efficiency evaluations for covered premises.
               (9)  "Energy efficiency professional" means an
  individual who is registered with the department under this
  chapter.
               (10)  "Energy efficiency report" means a report or any
  recommendations provided to a consumer or building owner based on
  an energy efficiency evaluation.
               (11)  "Environmental air conditioning" has the meaning
  assigned by Section 1302.002.
               (12)  "Executive director" means the executive
  director of the department.
               (13)  "Existing home" means a residential building that
  was built for the purpose of housing an individual and is occupied
  or has been previously occupied.
               (14)  "HVAC system" means a building's heating,
  ventilation, and air conditioning system.
               (15)  "HVAC system design training program" means a
  program accredited by a state or national organization that trains
  individuals on:
                     (A)  the material covered by the ACCA manuals D,
  J, N, S, and T, as those manuals existed on September 1, 2013, and
  the ANSI/ACCA 5 Standard, as that standard existed on September 1,
  2013; and
                     (B)  making HVAC system design recommendations
  for covered premises.
               (16)  "Light commercial building" means a commercial
  building that:
                     (A)  is three stories or less in height; and
                     (B)  uses an HVAC system with a unit having a size
  of five tons or 60,000 British thermal units per hour or less.
               (17)  "New home" means a residential building that was
  built for the purpose of housing an individual and is not occupied
  and has not been previously occupied.
               (18)  "Performance testing" means the physical testing
  methodologies used in diagnosing or determining the conditions of a
  building, including:
                     (A)  the condition of a blower door or duct
  blower;
                     (B)  duct system leakage, air flow, and balance;
                     (C)  humidity readings;
                     (D)  static pressures;
                     (E)  thermal imaging;
                     (F)  supply and return temperature;
                     (G)  combustion safety; and
                     (H)  noninvasive refrigerant pressure readings.
               (19)  "Process cooling or heating" has the meaning
  assigned by Section 1302.002.
         Sec. 1307.003.  APPLICABILITY. (a)  This chapter applies
  to:
               (1)  an energy efficiency evaluation performed on a
  covered premises;
               (2)  an energy efficiency report based on an energy
  efficiency evaluation described by Subdivision (1); and
               (3)  a recommendation made as a result of an energy
  efficiency evaluation.
         (b)  A registered energy efficiency professional who
  performs an energy efficiency evaluation and produces an energy
  efficiency report or provides HVAC system design recommendations is
  not engaged in air conditioning and refrigeration contracting as
  defined by Section 1302.002.
         Sec. 1307.004.  EXEMPTIONS. (a)  This chapter does not
  apply to an individual who performs an energy efficiency
  evaluation, provides an energy efficiency report, or makes an HVAC
  system design recommendation and who:
               (1)  is licensed as or employed by:
                     (A)  an engineer licensed under Chapter 1001;
                     (B)  an architect licensed under Chapter 1051; or
                     (C)  an air conditioning and refrigeration
  contractor licensed under Chapter 1302; or
               (2)  is employed by:
                     (A)  an electric utility, power generation
  company, retail electric provider, electric cooperative, or
  municipally owned utility; or
                     (B)  a utility program management firm for the
  purposes of performing quality assurance.
         (b)  An individual is not required to be registered under
  this chapter if the individual is working under the direct, on-site
  supervision of an energy efficiency professional.
         (c)  An exemption under this section does not exempt an
  individual from complying with the requirements of Chapter 1302.
         (d)  An individual who is otherwise exempt under this section
  is required to obtain a registration under this chapter if the
  individual performs or offers to perform an energy efficiency
  evaluation, provides an energy efficiency report, or makes HVAC
  system design recommendations for the public not in the scope of the
  individual's employment.
         (e)  This chapter does not apply to a building code
  compliance inspector who reviews or inspects a building for
  building code compliance in the scope of the individual's
  employment or contract while employed by or under contract with a
  local governmental entity or building contractor.
  SUBCHAPTER B. POWERS AND DUTIES OF COMMISSION AND DEPARTMENT
         Sec. 1307.051.  RULES. The commission shall adopt rules
  providing for:
               (1)  the requirements for registration, registration
  renewal, and reinstatement of a registration issued under this
  chapter;
               (2)  the requirements for obtaining and renewing
  endorsements on a registration issued under this chapter;
               (3)  the standards of conduct for an energy efficiency
  professional;
               (4)  the criteria for recognizing an energy efficiency
  evaluation training and certification program;
               (5)  the criteria for recognizing HVAC system design
  training programs;
               (6)  the applicable standards for:
                     (A)  conducting energy efficiency evaluations;
                     (B)  providing energy efficiency reports; and
                     (C)  providing HVAC design recommendations;
               (7)  fees reasonable and necessary to administer this
  chapter; and
               (8)  other rules necessary for the implementation and
  administration of this chapter.
         Sec. 1307.052.  INSURANCE REQUIREMENTS. (a)  The
  commission by rule shall establish minimum general liability
  insurance requirements for an energy efficiency professional.
         (b)  An energy efficiency professional must maintain
  insurance as prescribed by commission rule during the entire term
  of the person's registration.
         Sec. 1307.053.  LIST OF RECOGNIZED PROGRAMS. The department
  shall maintain and make available to the public a list of:
               (1)  energy efficiency evaluation training or
  certification programs recognized by the department; and
               (2)  HVAC system design training programs recognized by
  the department.
         Sec. 1307.054.  LIST OF ENERGY EFFICIENCY PROFESSIONALS.
  The department shall maintain and make available to the public a
  directory of all individuals registered under this chapter.
         Sec. 1307.055.  CRIMINAL BACKGROUND CHECKS.  The department
  may, as permitted by law:
               (1)  examine any criminal conviction, guilty plea, or
  deferred adjudication of an applicant for the issuance or renewal
  of a registration issued under this chapter; and
               (2)  obtain any criminal history record information of
  the applicant.
  SUBCHAPTER C. REGISTRATION
         Sec. 1307.101.    REGISTRATION REQUIRED. An individual may
  not perform or offer to perform an energy efficiency evaluation,
  provide an energy efficiency report, or provide a recommendation
  regarding HVAC system design on covered premises unless the
  individual is registered by the department as an energy efficiency
  professional.
         Sec. 1307.102.  QUALIFICATIONS; TERM OF REGISTRATION.
  (a)  The department shall register an applicant who:
               (1)  holds an appropriate certification from an energy
  efficiency evaluation training or certification program recognized
  by the department;
               (2)  performs at least five energy efficiency
  evaluations under the direct, on-site supervision of an energy
  efficiency professional;
               (3)  demonstrates proof of:
                     (A)  completion of an HVAC system design training
  program, if applicable; and
                     (B)  insurance as required by commission rule;
               (4)  submits the application and fees required by the
  commission; and
               (5)  passes a criminal history record information
  check.
         (b)  The department may credit towards the requirement of
  Subsection (a)(2) an applicant's verified experience in performing
  energy efficiency evaluations earned while working in another
  jurisdiction, during military training or service, or through other
  experience as determined by the executive director.
         (c)  A registration issued under this chapter expires on the
  first anniversary of the date the registration was issued.
         (d)  An energy efficiency professional shall maintain the
  certification described by Subsection (a)(1) in good standing in
  order to retain a registration issued under this chapter.
         Sec. 1307.103.  ENDORSEMENT REQUIRED. An energy efficiency
  professional may not perform an energy efficiency evaluation,
  provide an energy efficiency report, or provide recommendations for
  a type of covered premises for which the registration holder does
  not hold an endorsement.
         Sec. 1307.104.  PREMISES ENDORSEMENTS. (a)  The department
  may issue a premises endorsement to a registration issued under
  this chapter based on a certification that satisfies the
  requirement of Section 1307.102(a)(1).
         (b)  A registration must be endorsed with one or more of the
  following premises endorsements:
               (1)  new home;
               (2)  existing home; or
               (3)  light commercial building.
         (c)  The premises endorsement allows the holder to perform an
  energy efficiency evaluation or provide an energy efficiency report
  for the type of covered premises listed on the endorsement.
         Sec. 1307.105.  HVAC SYSTEM DESIGN ENDORSEMENT. The HVAC
  system design endorsement allows the holder to provide
  recommendations regarding the HVAC system design of covered
  premises.  The department may issue an HVAC system design
  endorsement to a registration holder if the holder:
               (1)  satisfies the requirement of Section
  1307.102(a)(1);
               (2)  provides proof that the applicant has successfully
  completed at least 80 hours of training from an HVAC design training
  program recognized by the department; and
               (3)  has been issued a premises endorsement under
  Section 1307.104(b).
         Sec. 1307.106.  RENEWAL OF REGISTRATION AND ENDORSEMENTS.
  An energy efficiency professional may renew a registration or
  endorsement issued under this chapter by completing the
  registration and endorsement renewal requirements, including the
  payment of a required fee, established by commission rule.
         SUBCHAPTER D. PRACTICE OF ENERGY EFFICIENCY PROFESSIONALS
         Sec. 1307.151.  SCOPE OF PRACTICE. (a)  An energy
  efficiency professional shall conduct an energy efficiency
  evaluation for a covered premises consistent with the scope of the
  energy efficiency professional's registration and endorsements.
         (b)  An energy efficiency professional shall provide an
  energy efficiency report to a consumer based on the information
  discovered in an energy efficiency evaluation and consistent with
  the energy efficiency professional's registration and
  endorsements.
         (c)  An energy efficiency professional shall provide
  recommendations regarding HVAC system design consistent with the
  energy efficiency professional's registration and endorsements and
  based on the ACCA manuals, as applicable.
         Sec. 1307.152.  CONDUCTING ENERGY EFFICIENCY EVALUATIONS.  
  (a)  An energy efficiency evaluation may include the inspection,
  testing, investigation, or surveying of a building to evaluate,
  measure, or quantify the building's energy consumption and
  efficiency, including:
               (1)  verification of the building's HVAC system;
               (2)  inspection of the integrity of the building
  envelope, including air leakage, durability, and insulation;
               (3)  inspection and evaluation of the efficiency of the
  building's lighting, electronics, and appliances; and
               (4)  performance testing.
         (b)  The following are the minimum standards applicable to an
  energy efficiency evaluation:
               (1)  the International Energy Conservation Code, as
  adopted by the International Code Council and the State Energy
  Conservation Office under Section 388.003, Health and Safety Code;
               (2)  the International Residential Code for One- and
  Two-Family Dwellings, Chapter 11, as adopted by the International
  Code Council and the State Energy Conservation Office under Section
  388.003, Health and Safety Code;
               (3)  the Residential Energy Services Network Mortgage
  Industry National Home Energy Rating Systems Standards, Chapters 3,
  6, 7, 8, and 9, as those chapters existed on September 1, 2013;
               (4)  ANSI/ACCA Standards 5, 9, and 12, as those
  standards existed on September 1, 2013;
               (5)  the residential environmental air conditioning
  system design standards under ACCA manuals D, J, N, S, and T, as
  those standards existed on September 1, 2013;
               (6)  the Texas Home Energy Rating Organization's Texas
  Home Energy Audit Technical Standard, as that standard existed on
  September 1, 2013;
               (7)  the Building Performance Institute, Inc., Home
  Energy Auditing Standard, as that standard existed on September 1,
  2013; and
               (8)  the American Society of Heating, Refrigerating,
  and Air-Conditioning Engineers Procedures for Commercial Building
  Energy Audits, as those procedures existed on September 1, 2013.
         (c)  The commission by rule may review and adopt any
  subsequent revisions or replacements to the standards under
  Subsection (b) if the commission determines that adoption of the
  revision or replacement is in the best interest of the public
  health, safety, or welfare.
         (d)  The commission by rule may review and adopt any other
  standards for performing energy efficiency evaluations for covered
  premises if the commission determines that adoption of the standard
  is in the best interest of the public health, safety, or welfare.
         (e)  The commission by rule shall identify whether the
  standards under this section are applicable to new homes, existing
  homes, or light commercial buildings.
         Sec. 1307.153.  ACCESS TO ELECTRICAL PANELS. (a)  An energy
  efficiency professional may open electrical panels and connect
  temporary measurement or monitoring devices as needed in order to
  test efficiency and capacity.
         (b)  An energy efficiency professional shall make an
  electrical connection described by Subsection (a) in accordance
  with standards at least as stringent as the National Electrical
  Code as adopted under Chapter 1305.
         Sec. 1307.154.  FLUE GAS PIPE TESTING. An energy efficiency
  professional may test flue gas piping for environmental air
  conditioning, commercial refrigeration, or process cooling or
  heating systems for flue gas concentration, spillage, and draft in
  accordance with standards adopted under this chapter.
         Sec. 1307.155.  REQUIRED DISCLOSURES. (a)  An energy
  efficiency report that contains a recommendation regarding an HVAC
  system must contain the following disclosure in at least 12-point
  type:  "Final HVAC system design and installation must be performed
  by a licensed air conditioning and refrigeration contractor in
  accordance with Chapter 1302, Texas Occupations Code. Design
  recommendations may vary depending on the equipment manufacturer,
  final designer, and design layout."
         (b)  An energy efficiency report that includes
  recommendations for repairs, modifications, or other improvements
  in which the energy efficiency professional or an individual
  associated with the energy efficiency professional has a financial
  interest must include the following disclosure in at least 12-point
  type:  "Recommendations in this report are made by an energy
  efficiency professional with a potential financial interest in the
  installation, repair, or general construction of energy efficiency
  improvement measures contained in this report."
  SUBCHAPTER E.  ENFORCEMENT
         Sec. 1307.201.  PROHIBITED PRACTICES.  An individual
  registered under this chapter may not perform, offer to perform, or
  attempt to perform an act that is:
               (1)  defined as the practice of engineering under
  Chapter 1001, unless the individual holds a license under that
  chapter; or
               (2)  defined as the practice of architecture under
  Chapter 1051, unless the individual holds a license under that
  chapter.
         Sec. 1307.202.  DISCIPLINARY ACTION. A person is subject to
  any disciplinary action that may be imposed on a license holder
  under Subchapter G, Chapter 51, if the person:
               (1)  violates this chapter or a rule adopted under this
  chapter; or
               (2)  obtains a registration by fraud or false
  representation.
         Sec. 1307.203.  ADMINISTRATIVE SANCTIONS.  The commission or
  executive director may impose a sanction under Subchapter G,
  Chapter 51, on a registration holder if the individual violates
  this chapter, a rule adopted under this chapter, or an order of the
  commission or executive director.
         Sec. 1307.204.  ADMINISTRATIVE PENALTY. The commission or
  executive director may impose an administrative penalty in the
  manner provided by Subchapter F, Chapter 51, on a person if the
  person violates:
               (1)  this chapter or a rule adopted under this chapter;
  or
               (2)  an order of the commission or executive director.
         Sec. 1307.205.  CEASE AND DESIST; CIVIL PENALTY; INJUNCTION.
  (a) The executive director may issue a cease and desist order if
  the executive director determines that an order is necessary to:
               (1)  prevent a violation of this chapter or a rule
  adopted under this chapter; or
               (2)  protect the public health and safety.
         (b)  The attorney general or the executive director may
  institute an action for an injunction or a civil penalty as provided
  by Section 51.352.
  SUBCHAPTER F. INITIAL REGISTRATION
         Sec. 1307.251.  INITIAL REGISTRATION. The department shall
  issue a registration as an energy efficiency professional to a
  qualified applicant who:
               (1)  submits an application to the department not later
  than September 1, 2014;
               (2)  submits evidence satisfactory to the department
  that the applicant has been actively engaged in performing energy
  efficiency evaluations for at least 36 months; and
               (3)  complies with the registration requirements under
  Section 1307.102, other than Section 1307.102(a)(2).
         Sec. 1307.252.  ENDORSEMENT OF INITIAL REGISTRATION.  (a)  
  The department shall issue an appropriate endorsement for a
  specific covered premises to an individual holding a registration
  issued under this subchapter.
         (b)  The commission shall adopt rules to determine which
  endorsement an individual holding a registration issued under this
  subchapter shall be issued based on the certification and training
  of the registration holder.
         Sec. 1307.253.  TERM. A registration issued under this
  subchapter expires on the first anniversary of the date the
  registration was issued.
         Sec. 1307.254.  REQUIREMENT TO MAINTAIN CERTIFICATION. An
  energy efficiency professional shall maintain the certification
  required by Section 1307.102(a)(1) in good standing in order to
  retain a registration issued under this subchapter.
         Sec. 1307.255.  EXPIRATION OF SUBCHAPTER. This subchapter
  expires October 1, 2015.
         SECTION 2.  Not later than March 1, 2014, the Texas
  Commission of Licensing and Regulation shall adopt rules required
  by Chapter 1307, Occupations Code, as added by this Act.
         SECTION 3.  (a) Except as provided by Subsection (b) of this
  section, this Act takes effect September 1, 2013.
         (b)  Section 1307.101 and Subchapters D and E, Chapter 1307,
  Occupations Code, as added by this Act, take effect September 1,
  2014.