1 | Regional Standards Enforcement Working Group DiscussionRegional StandardsEnforcement Working GroupEnforcement Plan2 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness• Training• Reporting Violations• Records Retention• Finding of Routine Violation• Labels• Manufacturer LiabilityComponents3 | Regional Standards Enforcement Working Group Discussion•Basics• Public Awareness• Training• Reporting Violations• Records Retention• Finding of Routine Violation• Labels• Manufacturer LiabilityComponents4 | Regional Standards Enforcement Working Group Discussion• Least efficient rating combination for a specified model ofcondensing unit must be 14 in the SE and SW regions.• Least efficient rating combination for a specified model ofcondensing unit must meet minimum EER requirementin the SW region.• Any condensing unit model that has a certifiedcombination that is below the regional standard cannotbe installed in the region.“14 SEER” interpretation5 | Regional Standards Enforcement Working Group Discussion• Contractor– a person (other than the manufacturer or distributor) who sells toand/or installs for an end user a central air conditioner subject toregional standards• Dealer– A type of contractor, generally with a relationship with one ormore specific manufacturers• Installer– A person that installs a central air conditioner subject to regionalstandards.Definitions6 | Regional Standards Enforcement Working Group Discussion• Basics•Public Awareness• Training• Reporting Violations• Records Retention• Finding of Routine Violation• Labels• Manufacturer LiabilityComponents7 | Regional Standards Enforcement Working Group Discussion• DOE will establish a webpage with information onregional standards• Others can link to this page from their own websites• Will include link to print:– Consumer information trifold– Distributor counter/bulletin board flier• Also link to file complaints via emailDOE website8 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness•Training• Reporting Violations• Records Retention• Finding of Routine Violation• Labels• Manufacturer LiabilityComponents9 | Regional Standards Enforcement Working Group Discussion• Manufacturers will provide training to distributors andcontractors/dealers– Hosted at distributor sites• Contractors will also conduct own training• DOE will provide webinar on standards and enforcementIndustry training10 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness• Training•Reporting Suspected Violations• Records Retention• Finding of Routine Violation• Labels• Manufacturer LiabilityComponents11 | Regional Standards Enforcement Working Group Discussion• DOE will accept complaints in Enforcement inbox–EnergyEfficiencyEnforcement@hq.doe.gov• DOE will set up voicemail box for call-in complaints• Complainant will have confidentiality to maximum extentauthorized by law• DOE will look into all credible complaintsReporting12 | Regional Standards Enforcement Working Group Discussion• If funding is available, DOE will consider conducting asurvey of homes in each region to determine ifnoncompliant unit has been installedProactive check13 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness• Training• Reporting Violations•Records Retention• Finding of Routine Violation• Labels• Manufacturer LiabilityComponents14 | Regional Standards Enforcement Working Group Discussion• Split-system central air conditioner:– outdoor condensing unit: manufacturer, model and serial number– complete indoor unit: manufacturer and model number• Do not need to keep track of components (e.g., uncased coil)• Single package air conditioner: manufacturer, model andserial number• For all units:– location of the installation (including street address, city, state,and zip code)– date of the installation; and– party from whom the unit was purchased, including company orindividual’s name, full address and phone numberContractors/dealers15 | Regional Standards Enforcement Working Group Discussion• Split-system central air conditioner:– outdoor condensing unit: manufacturer, model and serial number– complete indoor unit: manufacturer and model number• Do not need to keep track of components (e.g. uncased coil)• Single package: manufacturer, model and serial number• For all units:– date unit was purchased from manufacturer– party from whom the unit was purchased, including company orindividual’s name, full address and phone number– date unit was sold to dealer/contractor– party to whom the unit was sold, including company orindividual’s name, full address and phone number– if delivered, delivery addressDistributors16 | Regional Standards Enforcement Working Group Discussion• Split-system central air conditioner:– outdoor condensing unit: model and serial number– complete indoor unit: model number• Do not need to keep track of components (e.g. uncased coil)• Single package air conditioner: model and serial number• For all units:– date of manufacture;– date of sale; and– party to whom the unit was sold, including company orindividual’s name, full address and phone numberManufacturers17 | Regional Standards Enforcement Working Group Discussion• Maintain for 5 years– Dealers/contractors from date of install– Manufacturers and distributors from date of sale– Can be archived, just not deleted or disposed• Records shall be produced within 30 days of request• DOE can grant extra time if make good faith productionand explain need for additional time– Produce what have gathered in 30 days– Written explanation of need for more time with requested date forcompleting production• No requirement to create “new” forms• Not required to be electronic or “searchable”Other issues18 | Regional Standards Enforcement Working Group Discussion• DOE must have “reasonable belief” to request records• DOE will look at following factors to determine:– Address of suspected noncompliant install or attempted install?– Identifying information for equipment?– Physical Evidence?• Picture of condensing unit with nameplate depicting model andserial number• Copy of EnergyGuide label• Copy of completed work order/invoice• Bill of sale for equipment• Copy of bid for installation• Distributor prepared price book for customer in regions– Repeat complaints about party?– Complainant has history of substantiated complaints?Threshold for records request19 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness• Training• Reporting Violations• Records Retention•Finding of Routine Violation• Labels• Manufacturer LiabilityComponents20 | Regional Standards Enforcement Working Group DiscussionDistributor:– knowingly sell a product to a contractor or dealer with knowledgethat the entity will sell and/or install the product in violation of anyregional standard applicable to the product– knowingly sell a product to a contractor or dealer with knowledgethat the entity routinely violatesany regional standard applicable tothe productContractor/Dealer:– knowingly sell to and/or install for an end user a residential centralair conditioner covered by regional standards with the knowledgethat such product shall be installed in violation of any regionalstandard applicable to the productViolation21 | Regional Standards Enforcement Working Group Discussion• Complete system installed is not certified as a completesystem that meets the applicable standard– may install combinations that were previously validly certifiedafter manufacturer has discontinued the combination– But: if discontinued because noncompliant with applicablestandard, cannot install• Replacement indoor or outdoor unit is not certified aspart of a combination that meets the applicable standard– not necessarily as installed• Outdoor unit installed has a certified combination lessthan standard applicable in regionProduct installed in violation22 | Regional Standards Enforcement Working Group Discussion• Investigation may include:– Discussion with homeowner– Request for retained records– Discussion with alleged violator• If no violation found, DOE will issue case closed letter toparty being investigated• If violation found, DOE will issue Notice of Violation andpost it publiclyDOE investigation23 | Regional Standards Enforcement Working Group Discussion• Party found to be in violation can remediate• Sole method is replacement of noncompliant unit– at cost to party in violation• Must provide DOE serial number of old and new unit• DOE will provide these numbers to the manufacturer(s)– check against warranty or other replacement claims• If clear, violation will not count towards finding of “routineviolator”• DOE will issue Notice of RemediationRemediation24 | Regional Standards Enforcement Working Group Discussion• DOE will consider these factors:– number of violations (both found in current investigation and anypast investigations)– length of time over which committed violations– ratio of compliant/noncompliant installations or sales– percentage of employees committing violation– evidence of effort/intent– evidence of training/education– subsequent remedial actions• DOE will issue Notice of Finding of Routine Violation ifdetermined to be routine violator– Posted on Enforcement website– Blasted via email?Routine Violator25 | Regional Standards Enforcement Working Group Discussion• Party will have right to administrative appeal finding ofroutine violator• Must file within 30 days of Notice• Will go to either next level within DOE or to independenthearing and appeal office– DOE still to determine• Appeal must present information rebutting finding ofviolation(s)• Appeal will be decided within 45 days of filingRight to appeal26 | Regional Standards Enforcement Working Group Discussion• Can be removed through remediation of violations• Will be removed 90 days after completes all remediation• DOE will issue Notice indicating no longer considered aroutine violatorRemoval from “Routine Violator” list27 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness• Training• Reporting Violations• Records Retention• Finding of Routine Violation•Labels• Manufacturer LiabilityComponents28 | Regional Standards Enforcement Working Group Discussion• Recommend FTC initiate rulemaking with simplified label• Make consistent with 14 SEER interpretationEnergyGuide Label29 | Regional Standards Enforcement Working Group Discussion• Manufacturers will add label to outdoor unit– Near or as part of current nameplate– Ruggedized to withstand elements• States “Install Prohibited in [pertinent regions]”Manufacturer voluntary label30 | Regional Standards Enforcement Working Group Discussion• Basics• Public Awareness• Training• Reporting Violations• Records Retention• Finding of Routine Violation• Labels•Manufacturer LiabilityComponents31 | Regional Standards Enforcement Working Group Discussion• Once DOE issues Notice of Finding of Routine Violation,manufacturer can be fined for selling any product toroutine violator– “Product” includes anything included as a “central airconditioner” under 10 CFR 430.32(c)– Maximum fine is $200 per unit sold to routine violator• Manufacturer may sell to routine violator duringpendency of appeal– But: if appeal denied, liable for product sold to routine violatorduring that time• If manufacturer has knowledge of routine violation beforeDOE finding, can be held liable for sales after date ofknowledge– Mitigated by report to DOE within 15 days of receipt of suchknowledgeManufacturer liability32 | Regional Standards Enforcement Working Group Discussion• If DOE determines model of outdoor unit fails to meet regionalstandard when tested in a combination certified by the samemanufacturer, model of outdoor unit (in all certified combinations)will be deemed noncompliant with regional standard.– outdoor unit manufacturer responsible• If DOE determines combination fails to meet regional standard whentested in a combination certifiedby a manufacturer other than theoutdoor unit manufacturer (e.g., ICM), combination is deemednoncompliant with regional standard.– indoor unit manufacturer responsible• Manufacturer of model determined noncompliant with regionalstandard will be liable for distribution in commerce of noncompliantunits– Can minimize liability by demonstrating installed in region where wouldbe compliant– Manufacturer bears burden of provingProduct determined noncompliant