By / Kathleen Collins SMACNA Legislative Consultant
Laws to Watch
This fall state agencies will begin working on implementing three bills dealing with climate issues. All three were part of Governor Inslee’s 2019 climate agenda.
Energy efficiency for commercial buildings
The new building energy efficiency law requires owners of large commercial buildings to retrofit their buildings using new state energy performance standards designed for the retrofits. The Commerce Department will develop the standards by November 1, 2020. The first deadline is 2026 for the largest buildings and 2028 for 50,000 square feet buildings. The Commerce Department is still sorting out the types of commercial buildings that are covered. Some building owners may want to start earlier than 2026 to take advantage of the state-funded incentive. This new law is an opportunity for SMACNA contractors to perform the audits and retrofit work. SMACNA supported this bill.
Clean electric energy
The Governor’s Clean Energy Transformation Act will require electric utilities to use 100 percent renewable generation by 2045. Renewable energy includes both residential and commercial solar installations. Energy efficiency will play an important part in helping the utilities’ reach their goal by reducing overall demand. The agencies involved in implementing this complicated new law include Commerce, Utilities, and Transportation Commission and Ecology. This new law does not affect residential and commercial use of natural gas although some environmental groups and cities are now suggesting that point-of-use natural gas use should be curtailed. SMACNA will be watching the evolving natural gas issue.
Hydrofluorcarbon emissions
This new law will phase out the use of hydrofluorcarbons (HFCs) in certain equipment, primarily commercial refrigeration systems and commercial air conditioners. Ecology recently adopted an emergency rule on this law and is working on a permanent rule. The emergency rule requires manufacturers, importers, and distributors to notify Ecology about their products and equipment containing HFCs that are in use in Washington by December 31, 2019. The permanent rule will phase out the use of HFC’s in new equipment over a period from 2021 to 2024. Repairs to existing equipment that use HFCs will require use of a substitute refrigerant. SMACNA contractors will want to start looking for a source of refrigerant that does not contain HFCs. Currently only two manufacturers have this product available. SMACNA asked to extend the implementation date, but we were not successful.
Issues to Vote On
The 2019 general election will be on November 5. Besides many city council elections, there will be two policy issues on the ballot—one dealing with transportation and the other with affirmative action.
I-976 – Annual Car Tabs
Initiative 976 deals with yearly car tab fees. It was an initiative to the legislature brought by Tim Eyman. Specifically, I-976 would reduce the yearly car tab fees for residents in the Sound Transit taxation areas from .08 percent to .02 percent and would require Sound Transit to use a different valuation method. The higher car tab rate was voted in with the Sound Transit 3 measure a few years ago. I-976 requires Sound Transit to back out of the bonds it has issued using the car tab funding as quickly as possible. The initiative would also eliminate the authority to use car tab fees for city transportation benefit districts (TBDs). Cities that have created a TBD impose either $20 or $40 a vehicle per year and use the money for road improvements. Last, I-976 would reduce some state transportation funding that comes from car tab fees.
The loss of revenue from I-976 will impact Sound Transit’s expansion plans, TBD cities’ road repair budgets and some state transportation projects. Should I-976 pass, there will be legal challenges that could undo parts of the initiative. SMACNA has no position on this measure.
R-88 – Affirmative Action
Referendum 88 deals with affirmative action in the areas of public employment, school admissions and contracting. It will require a public vote on Initiative 1000, an initiative to the legislature that Legislature adopted during the 2019 session rather than sending it to the ballot. (This is an option that the Legislature rarely exercises. Normally the Legislature sends the initiatives to the ballot for voters to decide, as was the case with I-976.) The background on this issue goes back to 1998 when the voters approved an initiative that restricted the use of affirmative action for public agencies in Washington. Using the referendum option, a group gathered enough signatures after the 2019 session to put the issue on the ballot in November.
I-1000 restored the consideration of race, sex, color, age, sexual orientation, disability, or veteran status when public schools and employers are considering applications and in public contracting decisions. “More specifically I-1000 allows out reach to these groups and encourages retention and extends benefits to veterans who were in recent conflicts and wars. However, these characteristics can’t be the sole factor in a hiring decision and quotas are not allowed. A vote for R-88 would allow I-1000 to go into effect. A vote against R-88 would block I-1000 from going into effect. SMACNA has no position on this measure. ▪