§ 10-404 — Existing building performance for covered buildings with a gross floor area equal to or greater than 25,000 square feet

Sec. 10-404. - Existing building performance for covered buildings with a gross floor area equal to or greater than 25,000 square feet.

(a) In general. Owners of covered buildings with a gross floor area equal to or greater than twenty-five thousand (25,000) square feet must meet energy performance targets in calendar years 2025, 2027 and 2030. The targets will be set for 2030 for every covered building type in Denver such that thirty (30) percent total energy savings across all covered buildings is achieved. CASR shall establish the rules by which every covered building will be assigned a building type. If a covered building's type changes over time, then CASR shall update the established target to align to the new building type. CASR will establish each covered building's required interim targets for 2025 and 2027 by drawing a straight line from that covered building's year EUI to the final EUI target for that building type. Renewable energy generation on-site or off-site or transportation energy use as defined, as measured in kWh or therms used, will be credited towards energy use, lowering the EUI. After 2030, CASR is empowered to set new EUI final targets for 2040, 2050, and beyond through a rulemaking process with robust stakeholder input as CASR deems necessary to reach the city's climate goals. (b) Establishing baseline year and EUI. (1) For covered buildings that reported for benchmarking in 2019, the baseline shall be the EUI that was reported for the covered building that year. (2) For covered buildings where no baseline data was received for 2019, CASR will establish a reasonable baseline based on the building type and benchmarking data from other years for that covered building if available. (3) For covered buildings where 2019 does not reflect the building's normal business operations, the owner of the covered building may apply to use 2018 or 2020 as their baseline year. If a substantial renovation happens such that 2019 no longer reflects the normal energy use of the building, CASR can approve another baseline year. (4) For new covered buildings that received their certificate of occupancy after January 13, 2022, CASR shall establish a reasonable baseline using the covered building's first- or second-year benchmarking submission or the baseline shall be the predicted EUI for that covered building if a predicted EUI was submitted as part of energy code compliance. (c) Establishing interim targets. (1) For covered buildings that reported for benchmarking in 2019, CASR will set required interim targets by May 1, 2022. (2) For covered buildings where no baseline data was received for 2019, or if CASR has determined that the building type needs to be reviewed and possibly corrected for submission in the 2022 benchmarking report, CASR will set required interim targets by September 1, 2022. (3) For new covered buildings, CASR will set required interim targets within six (6) months of receiving the first benchmarking report for that building. (d) Existing building performance compliance demonstration. (1) Owners of covered buildings with a gross floor area equal or greater than twenty-five thousand (25,000) square feet shall use the ENERGY STAR portfolio manager tool or other platform that CASR may designate, and report to CASR the following: i. In the benchmarking report due on June 1, 2026, a demonstration that the covered building has met the interim energy performance target for calendar year 2025. ii. In the benchmarking report due on June 1, 2028, a demonstration that the covered building has met the interim energy performance target for calendar year 2027. iii. In the benchmarking report due on June 1, 2031, a demonstration that the covered building has met the final energy performance target for calendar year 2030. iv. If the covered building has an approved timeline extension, the demonstration of compliance method and due dates will be stated in the timeline extension notice. (2) Each owner of a covered building must maintain the interim targets each subsequent year and must maintain the final energy performance target indefinitely. Maintenance of the interim and 2030 EUI targets shall be demonstrated annually using the covered building's benchmarking submission. (3) If a covered building becomes exempt from submitting a benchmarking submission in a performance measurement period, the owner must have an approved alternate compliance option on file. (4) CASR may define by rule additional requirements for third-party data verification of benchmarking submissions, target incentives and adjustments, renewable energy generation credits, transportation energy use credits, or other similar functions. (e) CASR shall create alternate compliance options by rule that add flexibility for covered building owners while achieving the same end goal. Such options shall include, but are not limited to, a process to adjust timing for meeting the above requirements, including in cases of qualifying financial distress or financial solvency concerns; a process to adjust the end goal due to a building use or inherent characteristic of the building, prescriptive options for smaller buildings or residential condominiums, and compliance options for covered MAI buildings. CASR may also create alternate compliance options that allow compliance through reductions in greenhouse gas emissions that are equivalent to a covered building's target.

(Ord. No. 1310-21, § 4, 11-22-21; Ord. No. 967-22, § 2, 9-12-22; Ord. No. 565-26, § 1, 5-18-26)