SB 282: Residential heat pump systems: water heaters and HVAC: installations.

(1) Existing law establishes the State Energy Resources Conservation and Development Commission and prescribes the authorities, duties, and responsibilities of the commission pertaining to energy matters. Existing law requires the commission, on or before January 1, 2019, in consultation with the Contractors State License Board, local building officials, and other stakeholders, to approve a plan that promotes compliance with specified regulations relating to building energy efficiency standards in the installation of central air-conditioning and heat pumps, as specified. Existing law authorizes the commission to adopt regulations to increase compliance with permitting and inspection requirements for central air-conditioning and heat pumps, and associated sales and installations, consistent with the above-described plan.

The bill would require a city, including a charter city, county, or city and county to adopt and offer asynchronous inspections for installations of residential heat pump water heater or heat pump HVAC, as defined, systems HVAC systems, as defined, that do not require a licensed contractor and building inspector to be simultaneously present during the inspection. The bill would authorize a building inspector to contact the licensed contractor who performed the installation by telephone call or real-time face video conferencing during their inspection, and, if the building inspector determines during an asynchronous inspection that there is an issue with an installation of the heat pump water heater or heat pump HVAC system and that the licensed contractor who performed the installation must be present to perform tests or cure the installation, to require the licensed contractor who performed the installation to schedule an additional inspection in which the building inspector and the licensed contractor who performed the installation are required to be simultaneously present during the additional inspection. The bill would specify that these provisions do not require a local entity described above to discontinue offering inspections of an for the installation of a residential heat pump water heater or heat pump HVAC system that require a building inspector and licensed contractor to be simultaneously present.

The bill would authorize a city, including a charter city, county, or city and county, except as specified, to issue up to one nondiscretionary permit per installation of a residential heat pump water heater or heat pump HVAC system in which the local entity administratively approves an application to install the residential heat pump water heater or heat pump HVAC system and the application is subject to a limited review. system.

The bill would prohibit authorize a city, including a charter city, county, or city and county from applying to apply only certain additional building, planning, planning or zoning zoning, or workforce labor standards on the installation of a residential heat pump water heater or residential heat pump HVAC systems as specified, and would require those standards to be null and void, except as specified. The bill would, notwithstanding those provisions, authorize system, including additional standards to be applied that conform to local laws, including reach codes, designed to encourage the adoption of zero-emission equipment, equipment or improvement of building efficiency, and additional standards, including workforce labor standards, to be applied on any installation of a residential heat pump water heater or heat pump HVAC system that receives public subsidies or other public funding, as specified. efficiency. The bill would prohibit a local entity described above from requiring a permit or inspection for plug-in ready window air-conditioner or window heat pump HVAC systems, provided that certain requirements are met, including that the appliance has a voltage rating of 120 volts or less and the appliance is a self-contained unit.

The bill would require the commission, on or before July 1, 2026, to develop standardized permitting checklists, as prescribed, for local governments to use in the permitting process for installations of residential heat pump water heater or heat pump HVAC systems, as specified, subject to certain requirements, including that the standardized permitting checklists do not exceed 2 pages in length. The bill would require a city, including a charter city, county, or city and county, on or before July 1, 2027, and except as specified, to implement an online automated permitting process that verifies code compliance and issues permits in real time within the same day of the application being submitted, or allows the local entity to issue permits, as described above, submitted to a licensed contractor for the installation of a residential heat pump water heater or residential heat pump HVAC system. The bill would require a permit to be issued pursuant to the automated permitting process, upon discretion of the administering jurisdiction, if the installation complies with specified the checklist requirements. The bill would require a local entity described above to report to the commission when it implements the above-described automated permitting process. In this regard, the bill would require the commission, on or before July 1, 2026, to develop a standardized code compliance checklist that is designed for local jurisdictions to use in verifying whether the installation of a residential heat pump water heater or residential heat pump HVAC system is compliant with specified codes, as provided. If the local entity has an internet website, the bill would require the local entity to publish and make publicly available, among other things, that checklist on the checklists on their internet website. The bill would require the local entity to allow an applicant to, among other things, submit an automated permit application and associated documentation electronically. The bill would, upon confirmation by the local entity that the application and supporting documents are complete and meets specified meet the checklist requirements, require the local entity to approve the application and issue all required permits or authorizations. The bill would, upon receipt of an incomplete application, require the local entity to issue a written correction notice, as specified. The bill would exempt from these requirements a city with a population of fewer than 5,000 persons or a county with a population of fewer than 150,000 persons, as specified.

The bill would, except as specified, provided, prohibit a city, including a charter city, county, or city and county from charging a residential permit fee for a residential heat pump water heaters heater and heat pump HVAC systems system that exceeds the estimated reasonable cost of providing the service for which the fee is charged, subject to specified requirements, including that the residential permit fee for a residential heat pump water heater system does not exceed $50. The bill would, notwithstanding that provision, authorize a local entity described above to charge a residential permit fee for the installation of a residential heat pump water heater or heat pump HVAC system that exceeds the above-described fee limit, as specified, if the local entity, as part of a written finding and an adopted resolution or ordinance, provides substantial evidence of the reasonable cost to issue the permit, and would prohibit the a local entity described above from applying additional charges above the advertised fee schedule.

The bill would include findings and declarations related to these provisions.

(2) Existing law, the Davis-Stirling Common Interest Development Act, defines and regulates common interest developments. Among other things, the act makes a provision of the governing documents, as defined, or architectural or landscaping guidelines or policies void and unenforceable if, among other things, the provision prohibits, or includes conditions that have the effect of prohibiting, the use of low water-using plants as a group or as a replacement of existing turf.

This bill would additionally make any provision of the governing documents, architectural guidelines, or policies void and unenforceable if the provision prevents the replacement of a fuel-gas-burning appliance with an electric appliance. The bill would also make any covenant, restriction, or condition contained in any, among other specified agreements, deed, and any provision of a governing document, that effectively prohibits or restricts the installation or use of a residential heat pump water heater or heat pump HVAC system, void and unenforceable.

(3) The bill would include findings that changes proposed by this bill address a matter of statewide concern rather than a municipal affair and, therefore, apply to all cities, including charter cities.

(4) The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.