[bldg-sim] Tax Credit Question

Justin Aruck jaruck at emoenergy.com
Mon Feb 5 13:29:31 PST 2007


Matt,

 

I read it the same way you did.  The methodology to create the baseline
comes from ASHRAE 90.1-2004 Appendix G (system selection, ect.), but the
lighting levels, equipment efficiencies, ect. come from ASRHAE  90.1-2001.
I also want to forward on a response from NREL that the "Energy Savings
Modeling and Inspection Guidelines for Commercial Building Federal Tax
Deductions" should be out it March.

 

Thanks to everyone for all the responses.

 

Justin Aruck, LEED-AP

Project Manager

EMO Energy Solutions, LLC

2733 Hartland Road

Falls Church, VA 22043

Phone: 703-205-0445  x122

Fax: 703-205-0449

 

 

  _____  

From: bldg-sim at gard.com [mailto:bldg-sim at gard.com] On Behalf Of Matthew
Dubrovich
Sent: Monday, February 05, 2007 4:03 PM
To: bldg-sim at gard.com
Subject: [bldg-sim] Tax Credit Question

 

A few things I've noticed in the IRS notice (
http://www.irs.gov/irb/2006-26_IRB/ar11.html ) ...

 

Section 3 - Method of Computation notes that "The energy performance of the
Reference Building shall be determined by following the methods for baseline
building performance in the PRM in Appendix G of Standard 90.1-2004"  (not
2001).  However, the Reference Building should meet the minimum requirements
of Standard 90.1-2001 plus some requirements of Title 24.  In part 2 of
section 3, the IRS goes on to say that the 50% savings should be calculated
using only the Interior Lighting, Heating, Cooling, Ventilation, and Hot
Water components of the models.  There is no mention of process loads which,
according to 90.1-2004 App. G, should be included in the savings
calculation.  It appears that the calculation and model should be based on a
hybrid of 90.1-2001, 2004, Title 24, and some IRS-specific requirements.  

 

Has anyone else come to the same conclusion based on what information we
have on this deduction?

 

Also, it would be great to hear of any experiences with the deduction.  

 

Thanks,

 

Matt Dubrovich

 

EMC Engineers, Inc.

www.emcengineers.com <http://www.emcengineers.com/> 

Making buildings work.  Better.

Direct: (303) 974-1217

(303) 974-1200

(303) 974-1239 (fax)

 

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  _____  

From: bldg-sim at gard.com [mailto:bldg-sim at gard.com] On Behalf Of Lee
DeBaillie
Sent: Monday, February 05, 2007 12:44 PM
To: bldg-sim at gard.com
Subject: [bldg-sim] Tax Credit Question

 

Justin,

 

I don't believe the guideline has been issued.  It appears to be the last
missing piece of information necessary to complete an actual certification
letter under the interim guidelines issued Nov06.  From what I can piece
together, because of this, you can do the energy analysis but you can't
actually apply for the tax deduction without a certification letter, which
requires among other things a building inspection conforming to the missing
guidelines.  Does anyone know of a successfully completed project?

 

NEMA has protested this requirement to the US Treasury Department last
summer - see below.

 

Lee

+++++++++++++++++++++++++++++

In a letter to the U.S. Treasury Department commenting on the IRS
guidelines, NEMA has taken the position: "The requirement of the Notice that
this field inspection be performed in accordance with NREL procedures is
unnecessary and inappropriate for the interim rule, which is independent of
energy-saving targets. Qualified individuals already exist that can inspect
an installation to assure that a lighting design that is consistent with the
prescriptive requirements of the interim rule has been installed in the
building. There is no need for new NREL requirements."

As of August 21, Treasury has not responded to these comments in an
actionable manner.

 <http://www.aboutlightingcontrols.org/education/papers/taxdeduction2.shtml>
http://www.aboutlightingcontrols.org/education/papers/taxdeduction2.shtml 

++++++++++++++++++++++++++++++


>>> "Justin Aruck" <jaruck at emoenergy.com> 2/5/2007 12:43 PM >>>

  _____  

From: Justin Aruck [mailto:jaruck at emoenergy.com]
Sent: Monday, February 05, 2007 1:11:19 PM
To: bldg-sim at gard.com
Subject: [bldg-sim] Tax Credit Question

 

Does anybody know the status of the NREL "Energy Savings Modeling and
Inspection Guidelines for Commercial Building Federal Tax Deductions"  that
is supposed to be used to certify buildings for the commercial building tax
deduction?  It seems to be referenced all over the place, but I can't find
it.  Any help would be very much appreciated.

 

Thank You,

 

Justin Aruck, LEED-AP

Project Manager

EMO Energy Solutions, LLC

2733 Hartland Road

Falls Church, VA 22043

Phone: 703-205-0445  x122

Fax: 703-205-0449

 

 
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