6-A-i

APPENDIX 6-A. DETAILED DATA FOR EQUIPMENT PRICE MARKUPS

TABLE OF CONTENTS

6-A.1 DETAILED WHOLESALER COST DATA ........................................................6-A-1

6-A.2 DETAILED MECHANICAL CONTRACTOR DATA........................................6-A-2

6-A.3 DETAILED GENERAL CONTRACTOR COST DATA.....................................6-A-4

6-A.4 ESTIMATION OF CONTRACTOR MARK-UP BY STATE .............................6-A-6

6-A.5 STATE SALES TAX RATES.............................................................................6-A-11

6-A.6 DATA FOR MARKUP COMPARISON ............................................................6-A-12

LIST OF TABLES

Table 6-A-1 Disaggregated Costs and Expenses for Wholesalers................................6-A-1

Table 6-A-2 Mechanical Contractor Expenses and Markups Used To Scale the 

Incremental Markups.................................................................................6-A-3

Table 6-A-3 Residential General Contractor Expenses and Markups...........................6-A-4

Table 6-A-4 Commercial General Contractor Expenses and Markups.........................6-A-5

Table 6-A-5 Mechanical Contractor Markup Estimation by State, 2007......................6-A-6

Table 6-A-6 Residential Building General Contractor Baseline Markups by State......6-A-8

Table 6-A-7 Commercial Building General Contractor Baseline Markups by State ..6-A-10

Table 6-A-8 State Sales Tax Rates..............................................................................6-A-11

Table 6-A-9 Price Comparison of Baseline Residential Boilers.................................6-A-12

Table 6-A-10 List of Residential Boiler Prices from Online Websites...........................6-A-1
6-A-1

APPENDIX 6-A. DETAILED DATA FOR EQUIPMENT PRICE MARKUPS

6-A.1 DETAILED WHOLESALER COST DATA

Based on data provided by the Heating Air-conditioning & Refrigeration Distributors 

International (HARDI), Table 6.5.2 of chapter 6 shows wholesaler revenues and costs in 

aggregated form. Table 6-A.1.1 in this appendix provides the complete breakdown of costs and 

expenses. The column labeled “Scaling” in Table 6-A.1.1 indicates which expenses the U.S. 

Department of Energy (DOE) assumed to scale with only the baseline markup and which with 

both the baseline and incremental markups. Only those expenses that scale with both baseline 

and incremental costs are marked up when there is an incremental change in equipment costs.

Table 6-A-1 Disaggregated Costs and Expenses for Wholesalers

Item

Percent of Revenue

% Scaling

Cost of Goods Sold 73.7

Gross Margin 26.3

Payroll Expenses 15.1 Baseline

Executive Salaries & Bonuses 1.7

Branch Manager Salaries and Commissions 1.5

Sales Executive Salaries & Commissions 0.5

Outside Sales Salaries & Commissions 2.1

Inside/Counter Sales/Wages 2.8

Purchasing Salaries/Wages 0.4

Credit Salaries/Wages 0.2

IT Salaries/Wages 0.1

Warehouse Salaries/Wages 1.4

Accounting 0.5

Delivery Salaries/Wages 0.7

All Other Salaries/Wages & Bonuses 0.8

Payroll Taxes 1.0

Group Insurance 1.1

Benefit Plans 0.3

Occupancy Expenses 3.6 Baseline

Utilities: Heat, Light, Power, Water 0.4

Telephone 0.3

Building Repairs & Maintenance 0.2

Rent or Ownership in Real Estate 2.7
6-A-2

Item

Percent of Revenue

% Scaling

Other Operating Expenses 5.5 Baseline & Incremental

Sales Expenses (incl. advertising & promotion) 0.9

Insurance (business liability & casualty) 0.2

Depreciation 0.4

Vehicle Expenses 1.4

Personal Property Taxes/Licenses 0.1

Collection Expenses 0.3

Bad Debt Losses 0.2

Data Processing 0.3

All Other Operating Expenses 1.7

Total Operating Expenses 24.2

Operating Profit 2.1 Baseline & Incremental

Other Income 0.4

Interest Expense 0.5

Other Non-operating Expenses 0.0

Profit Before Taxes 2.0

Source: Heating, Air-conditioning & Refrigeration Distributors International. 2012. 2012 Profit Report (2011 Data).

Note: The wholesaler costs and expenses are percentage values as opposed to the per-dollar of sales revenue values shown in Table 6.4.1.

6-A.2 DETAILED MECHANICAL CONTRACTOR DATA

Tables 6.5.4 and Table 6.5.5 of chapter 6 provide mechanical contractor revenues and 

costs in aggregated form by ‘Cost of Goods Sold’ and ‘Gross Margin.’ The tables are based on 

data in the 2005 edition of Financial Analysis for the HVACR Contracting Industry, published 

by the Air Conditioning Contractors of America (ACCA). The ACCA report did not provide a 

more disaggregated tabulation of these costs and expenses. As in section 6-A.1, the gross margin 

category was assumed to scale only with the baseline markup.

A further disaggregated breakdown of costs used to scale the incremental markup are 

shown in Table 6-A.2.1 by both dollar value and percentage terms from the 2007 Census of 

Business. As the ACCA data were used to calculate the baseline markup, in Table 6-A.2.1 only 

the categories in the ‘Scaling’ column that are scaled with both the baseline and incremental 

markups are marked when there is an incremental change in equipment costs.
6-A-3

Table 6-A-2 Mechanical Contractor Expenses and Markups Used To Scale the 

Incremental Markups

Item

Dollar Value 

$1,000

Percentage

% Scaling

Total Cost of Equipment Sales 107,144,428 67.80

Total payroll, construction workers wages 31,373,558 19.85

Cost of materials, components, and supplies 59,023,964 37.35

Cost of construction work subcontracted out to others 13,646,192 8.63

Total cost of selected power, fuels, and lubricants 3,100,714 1.96

Gross Margin 50,895,129 32.20

Payroll Expenses 28,065,632 17.76

Baseline

Total payroll, other employee wages 14,041,336 8.88

Total fringe benefits 13,585,040 8.60

Temporary staff and leased employee expenses 439,256 0.28

Occupancy Expenses 3,436,208 2.17

Baseline

Rental costs of machinery and equipment 1,047,026 0.66

Rental costs of buildings 1,231,263 0.78

Communication services 640,851 0.41

Cost of repair to machinery and equipment 517,068 0.33

Other Operating Expenses 12,671,194 8.02

Baseline & 

Incremental

Purchased professional and technical services 843,641 0.53

Data processing and other purchased computer services 98,016 0.06

Expensed computer hardware and other equipment 255,474 0.16

Expensed purchases of software 64,195 0.04

Advertising and promotion services 1,018,265 0.64

All other expenses 6,944,674 4.39

Refuse removal (including hazardous waste) services 153,241 0.10

Taxes and license fees 996,138 0.63

Total depreciation ($1,000) 2,297,550 1.45

Net Profit Before Income Taxes 6,722,095 4.25

Baseline & 

Incremental

Source: U.S. Census Bureau. 2007. Plumbing, Heating, and Air-Conditioning Contractors: 2007. Sector 23: 238220. Construction: Geographic 

Area Series. Detailed Statistics for Establishments: 2007.

Note: Mechanical contractor costs and expenses are first presented as total dollar values and then converted to percentage values. This is 

in contrast to the cost per dollar of sales revenue values shown in Table 6.5.2.
6-A-4

6-A.3 DETAILED GENERAL CONTRACTOR COST DATA

Based on U.S. Department of Census data, Table 6.5.7 and Table 6.5.8 of chapter 6, 

shows both residential building and commercial building general contractor revenues and costs 

in aggregated form. Table 6-A.3.1 shows the complete breakdown of costs and expenses of 

residential building contractor provided by the U.S. Department of Census. The column labeled 

“Scaling” indicates which expenses DOE assumed to scale with only the baseline markup and 

which are scaled with both the baseline and incremental markups. Only those expenses that scale 

with baseline and incremental costs are marked up when there is an incremental change in 

equipment costs. Table 6-A.3.2 shows the similar analysis for commercial building contractors. 

Table 6-A-3 Residential General Contractor Expenses and Markups

Item

Dollar Value 

$1,000

Percentage 

% Scaling

Total Cost of Equipment Sales 238,431,389 67.55

Total payroll, construction workers wages 16,629,321 4.71

Cost of materials, components, and supplies 126,764,975 35.91

Cost of construction work subcontracted out to others 90,956,668 25.77

Total cost of selected power, fuels, and lubricants 4,080,425 1.16

Gross Margin 114,558,247 32.45

Payroll Expenses 28,806,792 8.16

Baseline Total payroll, other employee wages 20,843,029 5.90

Total fringe benefits 7,464,670 2.11

Temporary staff and leased employee expenses 499,093 0.14

Occupancy Expenses 3,558,796 1.01

Baseline

Rental costs of machinery and equipment 572,783 0.16

Rental costs of buildings 1,532,841 0.43

Communication services 810,436 0.23

Cost of repair to machinery and equipment 642,736 0.18

Other Operating Expenses 21,341,175 6.05

Baseline & 

Incremental

Purchased professional and technical services 1,834,816 0.52

Data processing and other purchased computer services 141,344 0.04

Expensed computer hardware and other equipment 261,701 0.07

Expensed purchases of software 105,338 0.03

Advertising and promotion services 2,544,687 0.72

All other expenses 10,840,757 3.07

Refuse removal (including hazardous waste) services 520,907 0.15

Taxes and license fees 1,791,539 0.51

Total depreciation ($1,000) 3,300,086 0.93

Net Profit Before Income Taxes 60,851,484 17.24 Baseline & 

Incremental

Source: U.S. Census Bureau. 2007. Residential Building Construction. Sector 23, EC0723I1: 236115 through 236118. Construction, Industry 

Series, Preliminary Detailed Statistics for Establishments: 2007.

Note: General contractor costs and expenses are first presented as total dollar values and then converted to percentage values. This is in 

contrast to the cost per dollar of sales revenue values shown in Table 6.5.6.
6-A-5

Table 6-A-4 Commercial General Contractor Expenses and Markups

Item

Dollar Value 

$1,000

Percentage

% Scaling

Total Cost of Equipment Sales 250,657,006 76.24

Total payroll, construction workers wages 16,449,830 5.00

Cost of materials, components, and supplies 74,148,280 22.55

Cost of construction work subcontracted out to others 157,873,840 48.02

Total cost of selected power, fuels, and lubricants 2,185,056 0.66

Gross Margin 78,113,967 23.76

Payroll Expenses 25,948,454 7.89

Baseline

Total payroll, other employees’ wages 16,652,791 5.07

Total fringe benefits 8,666,079 2.64

Temporary staff and leased employee expenses 629,584 0.19

Occupancy Expenses 3,301,046 1.00

Baseline

Rental costs of machinery and equipment 1,403,979 0.43

Rental costs of buildings 1,045,163 0.32

Communication services 385,109 0.12

Cost of repair to machinery and equipment 466,795 0.14

Other Operating Expenses 10,770,620 3.28

Baseline & 

Incremental

Purchased professional and technical services 1,121,644 0.34

Data processing and other purchased computer services 127,031 0.04

Expensed computer hardware and other equipment 219,601 0.07

Expensed purchases of software 67,977 0.02

Advertising and promotion services 290,239 0.09

All other expenses 6,321,197 1.92

Refuse removal (including hazardous waste) services 233,831 0.07

Taxes and license fees 807,872 0.25

Total depreciation ($1,000) 1,581,228 0.48

Net Profit Before Income Taxes 38,093,847 11.59

Baseline & 

Incremental

Source: U.S. Census Bureau. 2007. Residential Building Construction. Sector 23, EC0723I1: 236220 (Commercial Building Construction. 

Construction, Industry Series, Preliminary Detailed Statistics for Establishments: 2007.

Note: General contractor costs and expenses are first presented as total dollar values and then converted to percentage values. This is in 

contrast to the cost per dollar of sales revenue values shown in Table 6.5.6.
6-A-6

6-A.4 ESTIMATION OF CONTRACTOR MARK-UP BY STATE

Table 6-A-5 Mechanical Contractor Markup Estimation by State, 2007

State

Value of 

Const.

$1,000

Cost of 

Goods 

Sold 

$1,000

Baseline 

MU

Incremental 

MU

Replacem

ent 

Baseline

MU

Replacement 

Incremental

MU

New Const. 

Baseline

MU

New Const.

Incremental

MU

Alabama 2,010,305 1,401,223 1.435 1.148 1.498 1.198 1.393 1.114

Alaska 583,171 344,729 1.692 1.353 1.766 1.413 1.642 1.314

Arizona 3,522,116 2,326,475 1.514 1.211 1.580 1.264 1.470 1.176

Arkansas 1,065,754 743,395 1.434 1.147 1.496 1.197 1.392 1.113

California 16,726,969 10,865,201 1.539 1.232 1.607 1.286 1.495 1.196

Colorado 3,056,988 2,084,454 1.467 1.173 1.531 1.225 1.424 1.139

Connecticut 1,704,668 1,135,871 1.501 1.201 1.566 1.253 1.457 1.166

Delaware 481,900 D 1.421 1.137 1.483 1.186 1.379 1.104

District of 

Columbia 34,600 D 1.458 1.167 1.522 1.218 1.416 1.133

Florida 9,061,426 6,254,391 1.449 1.159 1.512 1.210 1.407 1.125

Georgia 4,700,799 3,329,842 1.412 1.129 1.474 1.179 1.371 1.096

Hawaii 800,221 455,122 1.758 1.407 1.835 1.468 1.707 1.366

Idaho 900,698 617,165 1.459 1.168 1.523 1.219 1.417 1.133

Illinois 7,641,642 5,058,047 1.511 1.209 1.577 1.262 1.467 1.173

Indiana 4,002,323 2,605,238 1.536 1.229 1.604 1.283 1.491 1.193

Iowa 1,868,483 1,305,883 1.431 1.145 1.493 1.195 1.389 1.111

Kansas 1,395,359 966,707 1.443 1.155 1.507 1.205 1.401 1.121

Kentucky 1,747,925 1,157,360 1.510 1.208 1.576 1.261 1.466 1.173

Louisiana 1,997,044 1,317,429 1.516 1.213 1.582 1.266 1.472 1.177

Maine 580,816 394,847 1.471 1.177 1.535 1.228 1.428 1.142

Maryland 5,329,135 3,739,560 1.425 1.140 1.487 1.190 1.383 1.107

Massachusetts 4,099,301 2,781,377 1.474 1.179 1.538 1.231 1.431 1.145

Michigan 4,420,638 3,015,948 1.466 1.173 1.530 1.224 1.423 1.138

Minnesota 3,402,921 2,315,330 1.470 1.176 1.534 1.227 1.427 1.141

Mississippi 1,025,452 715,571 1.433 1.146 1.496 1.197 1.391 1.113

Missouri 3,335,124 2,353,598 1.417 1.134 1.479 1.183 1.376 1.101

Montana 483,578 345,458 1.400 1.120 1.461 1.169 1.359 1.087

Nebraska 1,004,296 755,338 1.330 1.064 1.388 1.110 1.291 1.033

Nevada 2,327,842 1,600,555 1.454 1.164 1.518 1.214 1.412 1.130

New 

Hampshire 620,761 D 1.472 1.178 1.537 1.230 1.429 1.144

New Jersey 5,062,336 3,337,013 1.517 1.214 1.583 1.267 1.473 1.178

New Mexico 891,914 595,659 1.497 1.198 1.563 1.250 1.454 1.163
6-A-7

State

Value of 

Const.

$1,000

Cost of 

Goods 

Sold 

$1,000

Baseline 

MU

Incremental 

MU

Replacem

ent 

Baseline

MU

Replacement 

Incremental

MU

New Const. 

Baseline

MU

New Const.

Incremental

MU

New York 10,364,779 6,760,337 1.533 1.227 1.600 1.280 1.488 1.191

North 

Carolina 5,111,396 3,631,802 1.407 1.126 1.469 1.175 1.366 1.093

North Dakota 360,683 255,057 1.414 1.131 1.476 1.181 1.373 1.098

Ohio 5,618,591 3,809,806 1.475 1.180 1.539 1.231 1.432 1.145

Oklahoma 1,352,943 924,264 1.464 1.171 1.528 1.222 1.421 1.137

Oregon 1,893,678 1,237,956 1.530 1.224 1.597 1.277 1.485 1.188

Pennsylvania 6,487,476 4,579,367 1.417 1.133 1.479 1.183 1.375 1.100

Rhode Island 631,202 410,653 1.537 1.230 1.604 1.284 1.492 1.194

South 

Carolina 1,991,303 1,326,690 1.501 1.201 1.567 1.253 1.457 1.166

South Dakota 386,186 239,017 1.616 1.293 1.686 1.349 1.569 1.255

Tennessee 2,595,613 1,834,242 1.415 1.132 1.477 1.182 1.374 1.099

Texas 10,810,308 7,532,064 1.435 1.148 1.498 1.198 1.393 1.115

Utah 1,746,398 1,235,004 1.414 1.131 1.476 1.181 1.373 1.098

Vermont 294,806 D 1.472 1.178 1.537 1.230 1.429 1.144

Virginia 4,623,151 3,099,329 1.492 1.193 1.557 1.246 1.448 1.158

Washington 4,111,543 2,734,093 1.504 1.203 1.570 1.256 1.460 1.168

West Virginia 655,100 D 1.464 1.171 1.528 1.222 1.421 1.137

Wisconsin 2,926,545 2,023,634 1.446 1.157 1.510 1.208 1.404 1.123

Wyoming 289,391 198,105 1.461 1.169 1.525 1.220 1.418 1.135

Sources: U.S. Bureau of the Census. American Factfinder: 2007. Sector 23: Plumbing, Heating, and Air-Conditioning Contractors (NAICS 

238220), Detailed Statistics for Establishments: 2007 

http://factfinder.census.gov/servlet/IBQTable?_bm=y&-ds_name=EC0723A1&-NAICS2007=238220&-_lang=en and

Geographic Area Series: Detailed Statistics for Establishments: 2007.

Notes: The Census Bureau withheld data for some states.

Markups may vary across states for several reasons, including differences in firm size.

Due to sample size and/or magnitude of reporting error relative to the mean, disaggregated information not provided for all of the Subcontract, 

Materials, and Fuels fields. In these cases, the state markup ratio is calculated as an average of neighboring states (ex. Delaware, District of 

Columbia, New Hampshire, Vermont, and West Virginia)
6-A-8

Table 6-A-6 Residential Building General Contractor Baseline Markups by State

State

Value of Residential 

Construction 

$1,000

Cost of 

Goods Sold 

$1,000

Baseline

Markup

Incremental 

Markup

Alabama 4,232,349 3,106,308 1.363 1.234

Alaska 598,572 322,897 1.854 1.678

Arizona 14,743,264 8,636,727 1.707 1.546

Arkansas 821,493 638,546 1.287 1.165

California 49,325,592 28,727,843 1.717 1.555

Colorado 9,711,667 6,478,218 1.499 1.357

Connecticut 2,835,015 1,914,706 1.481 1.341

Delaware 912,121 714,609 1.276 1.156

District of Columbia 177,004 115,545 1.532 1.387

Florida 33,290,091 21,780,175 1.528 1.384

Georgia 12,492,752 8,745,668 1.428 1.293

Hawaii 2,739,122 1,933,143 1.417 1.283

Idaho 2,565,176 2,014,522 1.273 1.153

Illinois 13,035,923 8,206,105 1.589 1.438

Indiana 4,637,976 3,418,576 1.357 1.228

Iowa 1,846,602 1,449,114 1.274 1.154

Kansas 1,940,745 1,443,265 1.345 1.217

Kentucky 3,074,656 2,244,283 1.370 1.240

Louisiana 2,429,529 1,650,884 1.472 1.332

Maine 821,980 630,393 1.304 1.181

Maryland 6,616,960 4,635,717 1.427 1.292

Massachusetts 7,693,991 5,728,767 1.343 1.216

Michigan 5,383,752 3,501,797 1.537 1.392

Minnesota 5,558,816 3,847,679 1.445 1.308

Mississippi 1,241,083 939,692 1.321 1.196

Missouri 4,754,552 3,588,694 1.325 1.200

Montana 1,148,453 919,206 1.249 1.131

Nebraska 577,746 424,822 1.360 1.231

Nevada 6,697,489 4,026,111 1.664 1.506

New Hampshire 292,227 228,854 1.277 1.156

New Jersey 8,492,015 5,649,618 1.503 1.361

New Mexico 2,236,262 1,395,073 1.603 1.451

New York 16,958,113 12,176,837 1.393 1.261

North Carolina 16,254,736 11,579,895 1.404 1.271

North Dakota D D 1.331 1.205
6-A-9

State

Value of Residential 

Construction 

$1,000

Cost of 

Goods Sold 

$1,000

Baseline

Markup

Incremental 

Markup

Ohio 6,788,825 4,883,462 1.390 1.259

Oklahoma 1,419,859 1,075,586 1.320 1.195

Oregon 5,519,819 4,019,693 1.373 1.243

Pennsylvania 9,971,624 7,323,399 1.362 1.233

Rhode Island 309,403 205,383 1.506 1.364

South Carolina 5,921,453 4,350,205 1.361 1.232

South Dakota 297,424 228,839 1.300 1.177

Tennessee 5,243,037 3,874,974 1.353 1.225

Texas 32,123,700 21,429,103 1.499 1.357

Utah 4,201,276 3,095,214 1.357 1.229

Vermont 527,837 387,905 1.361 1.232

Virginia 12,761,751 8,799,880 1.450 1.313

Washington 11,158,559 7,361,497 1.516 1.372

West Virginia 348,291 225,500 1.545 1.398

Wisconsin 3,820,533 2,850,921 1.340 1.213

Wyoming 524,809 418,215 1.255 1.136

Sources: U.S. Bureau of the Census, American Factfinder. 2007 Economic Census. Sector 23: Subsectors 236115 (residential single-family), 

236116 (residential multifamily), 236117 (operative builders), and 236118 (residential remodelers). Sector 23: EC0723A1: Construction: 

Geographic Area Series: Detailed Statistics for Establishments: 2007.

Notes: The Census Bureau withheld data for some states.

Markups may vary across states for several reasons, including differences in firm size.

Due to sample size and/or magnitude of reporting error relative to the mean, disaggregated information not provided for all of the Subcontract, 

Materials, and Fuels fields. In these cases, the state markup ratio is calculated as an average of neighboring states (ex. North Dakota).
6-A-10

Table 6-A-7 Commercial Building General Contractor Baseline Markups by State 

State

Value of 

Construction 

$1,000

Cost of Goods Sold 

$1,000 Baseline Markup

Incremental 

Markup

Alabama 7,553,561 5,966,033 1.266 1.266

Alaska 1,687,503 1,265,663 1.333 1.333

Arizona 12,151,583 9,218,504 1.318 1.318

Arkansas 3,187,913 2,524,259 1.263 1.263

California 43,866,759 32,549,870 1.348 1.348

Colorado 9,218,679 7,554,813 1.220 1.220

Connecticut 2,398,913 1,704,640 1.407 1.407

Delaware 727,553 508,123 1.432 1.432

District of Columbia 918,723 792,275 1.160 1.160

Florida 19,686,238 14,553,102 1.353 1.353

Georgia 10,541,824 7,189,660 1.466 1.466

Hawaii 2,341,014 1,802,494 1.299 1.299

Idaho 1,555,058 1,291,347 1.204 1.204

Illinois 13,909,785 10,206,749 1.363 1.363

Indiana 5,967,203 4,636,748 1.287 1.287

Iowa 3,405,782 2,585,432 1.317 1.317

Kansas 2,721,025 2,252,824 1.208 1.208

Kentucky 3,028,131 2,289,475 1.323 1.323

Louisiana 4,476,198 3,078,813 1.454 1.454

Maine 738,455 585,867 1.260 1.260

Maryland 8,299,684 6,472,850 1.282 1.282

Massachusetts 7,035,875 5,272,385 1.334 1.334

Michigan 5,363,993 3,824,364 1.403 1.403

Minnesota 8,203,910 5,908,604 1.388 1.388

Mississippi 3,593,463 2,094,843 1.715 1.715

Missouri 9,293,483 7,970,536 1.166 1.166

Montana 924,342 734,797 1.258 1.258

Nebraska 1,589,168 1,080,612 1.471 1.471

Nevada 6,285,128 4,704,160 1.336 1.336

New Hampshire 1,040,005 816,281 1.274 1.274

New Jersey 7,331,413 4,421,279 1.658 1.658

New Mexico 1,537,718 1,210,550 1.270 1.270

New York 19,752,366 14,491,190 1.363 1.363

North Carolina 8,605,888 6,566,496 1.311 1.311

North Dakota 659,818 542,850 1.215 1.215

Ohio 8,889,511 7,158,247 1.242 1.242

Oklahoma 3,307,370 2,875,301 1.150 1.150
6-A-11

Oregon 3,273,641 2,606,128 1.256 1.256

Pennsylvania 11,676,721 8,744,986 1.335 1.335

Rhode Island 847,621 627,945 1.350 1.350

South Carolina 3,532,858 2,885,636 1.224 1.224

South Dakota 912,508 757,264 1.205 1.205

Tennessee 7,004,112 5,784,562 1.211 1.211

Texas 26,821,716 20,332,044 1.319 1.319

Utah 3,141,938 2,604,471 1.206 1.206

Vermont 445,373 367,539 1.212 1.212

Virginia 8,926,148 6,759,203 1.321 1.321

Washington 9,936,986 8,276,568 1.201 1.201

West Virginia 563,473 424,942 1.326 1.326

Wisconsin 7,248,667 5,891,541 1.230 1.230

Wyoming 432,812 349,769 1.237 1.237

Sources: U.S. Bureau of the Census, American Factfinder. 2007 Economic Census. Sector 23: Subsectors 236220 (Commercial Building 

Construction). Sector 23: EC0723A1: Construction: Geographic Area Series: Detailed Statistics for Establishments: 2007.

Notes: The Census Bureau withheld data for some states.

6-A.5 STATE SALES TAX RATES

Table 6-A-8 State Sales Tax Rates

State

Combined State 

and Local Tax 

Rate

% State

Combined State 

and Local Tax 

Rate

% State

Combined State 

and Local Tax 

Rate

%

Alabama 8.55 Kentucky 6.00 North Dakota 5.90

Alaska 1.30 Louisiana 8.75 Ohio 7.10

Arizona 7.15 Maine 5.50 Oklahoma 8.35

Arkansas 8.90 Maryland 6.00 Oregon --

California 8.45 Massachusetts 6.25 Pennsylvania 6.40

Colorado 6.05 Michigan 6.00 Rhode Island 7.00

Connecticut 6.35 Minnesota 7.20 South Carolina 7.20

Delaware -- Mississippi 7.00 South Dakota 5.40

Dist. of Columbia 5.75 Missouri 7.45 Tennessee 9.45

Florida 6.65 Montana -- Texas 7.90

Georgia 7.05 Nebraska 6.00 Utah 6.70

Hawaii 4.40 Nevada 7.85 Vermont 6.05

Idaho 6.05 New Hampshire -- Virginia 5.60

Illinois 8.05 New Jersey 6.95 Washington 8.90

Indiana 7.00 New Mexico 6.60 West Virginia 6.10

Iowa 6.85 New York 8.40 Wisconsin 5.45

Kansas 7.85 North Carolina 6.90 Wyoming 5.50

Source: The Sales Tax Clearinghouse at https://thestc.com/STRates.stm (Accessed on January 22, 2014).
6-A-12

6-A.6 DATA FOR MARKUP COMPARISON

DOE performed an analysis of the accuracy of the overall markups estimated for baseline 

residential boilers by comparing the online retail price with DOE’s estimated retail price in each 

product class. DOE collected online retail prices along with detailed product characteristics from 

three main residential boiler online retailers: eComfort,a Pex Supply,

b and Younits.c Based on 

product attributes, including input capacity, AFUE, fuel type, and heat medium, DOE was able 

to assign product class and efficiency level for all models and calculated the average retail price 

for the baseline models in each product class. However, the sample size of oil-fired residential 

boilers collected was too small to make robust price comparison; therefore, DOE only compared 

the price of gas-fired hot water boilers and gas-fired steam boilers in this analysis. 

It is believed that the distribution for online retailers is different from the conventional 

distribution channel. Hence, in order to have the DOE’s estimated prices comparable to the 

online retail price, DOE constructed a separate set of prices based on the manufacturer 

production cost including the cost of a draft inducer and applied the manufacturer markup, 

wholesaler markup and mechanical contractor markup to derive the estimated retail prices. Since 

sales taxes are not included in the retail prices shown on the website, DOE did not include sales 

taxes in the retail price estimation. The markup is calculated for the replacement distribution 

channel as described in chapter 6, Markups to Determine Product Cost. The result of comparing 

the online average retail prices and DOE’s estimated prices is summarized in Table 6-A-9. 

Table 6-A-9 Price Comparison of Baseline Residential Boilers

Product Class Baseline AFUE 

(%)

Acceptable 

AFUE range

(%)

Average 

Online Retail 

Price

DOE's 

Estimated 

Price

Gas-fired Hot Water Boiler 82 82~83 $1881.99 $1872.35

Gas-fired Steam Boiler 80 80~82 $2004.62 $1914.15

DOE’s estimated prices for gas-fired boilers are consistent with the average online retail 

price. For gas-fired steam boilers, because none of the existing models have an AFUE below 

81%, the market is capturing models with efficiency slightly higher than the baseline model,

which could explain the slightly higher online retail price. Detailed model information used in 

the comparison is presented in Table 6-A-10 below. 

 a Website for eComfort: http://ecomfort.com/

b Website for Pex Supply: http://www.pexsupply.com/ c Website for Younits: http://www.younits.com/
6-A-1

Table 6-A-10 List of Residential Boiler Prices from Online Websites

Manufacturer Model Number AFUE

(%)

Input 

Capacity

(BTU)

Fuel 

Type

Heat 

Medium

Sales 

Price

($)

URL

Peerless MI-04-SV 82.1 105,000 

Natural 

Gas

Hot 

Water 1629.99

http://www.younits.com/residentialintermittent-ignition-water-boiler-105000-p8529.html

WilliamsonThermoflo GWA-105NI 82.9 105,000 

Natural 

Gas or 

Propane

Hot 

Water 1989.12

http://www.younits.com/105ni-sparkignition-cast-iron-boiler-105000-p5837.html

Laars JVS100 82 100,000 

Natural 

Gas or 

Propane

Hot 

Water 1814.99

http://www.younits.com/jvs100-cooperelectronic-ignition-fired-water-boiler100000-p-12625.html

Pennco 15B096FE 82 96,000 

Natural 

Gas or 

Propane

Hot 

Water 1546.99

http://www.younits.com/15b096feelectronic-ignition-cast-iron-fired-waterboiler-96000-p-12640.html

New Yorker CG40DNI-L2 82.3 96,000 

Natural 

Gas

Hot 

Water 1469.99

http://www.younits.com/cg40dni-sparkignition-cast-iron-boiler-70000-p12735.html

Crown AWI095E 82.3 95,000 

Natural 

Gas

Hot 

Water 1769.99

http://www.younits.com/awi095e-arubaresidential-electronic-ignition-water-boilermounted-less-pump-95000-p-11535.html

Crown AWI095E 82.3 95,000 

Natural 

Gas

Hot 

Water 1769.99

http://www.younits.com/awi095e-arubaresidential-electronic-ignition-water-boilerpiped-left-less-pump-95000-p-11536.html

Crown AWI095E 82.3 95,000 

Natural 

Gas

Hot 

Water 1469.99

http://www.younits.com/awi095e-arubaresidential-electronic-ignition-water-boilerless-pump-95000-p-11537.html

Burnham P204-EI-NG 82.3 96,000 

Natural 

Gas

Hot 

Water 2039.95

http://www.pexsupply.com/Burnham-P204-

EI-NG-P204-96000-BTU-ElectronicIgnition-Cast-Iron-Boiler-11374000-p

New Yorker CG40DNI-G2 82.3 96,000 

Natural 

Gas

Hot 

Water 1479.95

http://www.pexsupply.com/New-YorkerCG40DNI-G2-70000-BTU-Output-SparkIgnition-Cast-Iron-Boiler-Nat-Gas
6

-A-2

Burnham 204NIL-TEI2 82.3 96,000 

Natural 

Gas

Hot 

Water 1962.65

http://ecomfort.com/204nil-tei2-gas-fired-

hot-water-boiler-taco-007-pump-ng-up-to-

2k-elevation-96000-btu-2016.html

Burnham 204NIL-GEI2 82.3 96,000 

Natural 

Gas

Hot 

Water 2193.39

http://ecomfort.com/204nil-gei2-gas-fired-

hot-water-boiler-ups-15-58-pump-ng-up-to-

2k-elevation-96000-btu-15476.html

New Yorker CG40CNI-TE2 82.3 96,000 

Natural 

Gas

Hot 

Water 1687.95

http://ecomfort.com/cg40cni-te2-hot-water-

boiler-electronic-ignition-taco-007-pump-

natural-gas-96000-btu-13142.html

Burnham 204PIL-TEI2 82.3 96,000 Propane

Hot 

Water 1962.65

http://ecomfort.com/204pil-tei2-gas-fired-

hot-water-boiler-taco-007-pump-lp-up-to-

2k-elevation-96000-btu-15446.html

New Yorker CG40CNI-LE2 82.3 96,000 

Natural 

Gas

Hot 

Water 1396.95

http://ecomfort.com/cg40cni-le2-hot-water-

boiler-electronic-ignition-less-pump-natural-

gas-96000-btu-12442.html

Burnham 204NIL-GEI5 82.3 96,000 

Natural 

Gas

Hot 

Water 2109.16

http://ecomfort.com/204nil-gei5-gas-fired-

hot-water-boiler-ups-15-58-pump-ng-2k-to-

5k-elevation-96000-btu-15536.html

Burnham 204PIL-BEI2 82.3 96,000 Propane

Hot 

Water 2193.39

http://ecomfort.com/204pil-bei2-gas-fired-

hot-water-boiler-nrf-22-pump-lp-up-to-2k-

elevation-96000-btu-15466.html

Burnham 204NIL-BEI2 82.3 96,000 

Natural 

Gas

Hot 

Water 2193.39

http://ecomfort.com/204nil-bei2-gas-fired-

hot-water-boiler-nrf-22-pump-ng-up-to-2k-

elevation-96000-btu-15456.html

Burnham 204NIL-TEI5 82.3 96,000 

Natural 

Gas

Hot 

Water 1962.65

http://ecomfort.com/204nil-tei5-gas-fired-

hot-water-boiler-taco-007-pump-ng-2k-to-

5k-elevation-96000-btu-15496.html

Burnham 204NIL-BEI5 82.3 96,000 

Natural 

Gas

Hot 

Water 2193.39

http://ecomfort.com/204nil-bei5-gas-fired-

hot-water-boiler-nrf-22-pump-ng-2k-to-5k-

elevation-96000-btu-15516.html

Burnham 204PIL-TEI5 82.3 96,000 Propane

Hot 

Water 1962.65

http://ecomfort.com/204pil-tei5-gas-fired-

hot-water-boiler-taco-007-pump-lp-2k-to-

5k-elevation-96000-btu-15506.html

Burnham 204PIL-BEI5 82.3 96,000 Propane

Hot 

Water 2193.39

http://ecomfort.com/204pil-bei5-gas-fired-

hot-water-boiler-nrf-22-pump-lp-2k-to-5k-
6-A-3

elevation-96000-btu-15526.html

New Yorker CG40CPI-TE2 82.3 96,000 Propane

Hot 

Water 1687.95

http://ecomfort.com/cg40cpi-te2-hot-waterboiler-electronic-ignition-taco-007-pumpliquid-propane-96000-btu-13160.html

Burnham 204PIL-GEI2 82.3 96,000 Propane

Hot 

Water 2193.39

http://ecomfort.com/204pil-gei2-gas-firedhot-water-boiler-ups-15-58-pump-lp-up-to2k-elevation-96000-btu-15486.html

Burnham 204PIL-GEI5 82.3 96,000 Propane

Hot 

Water 2193.39

http://ecomfort.com/204pil-gei5-gas-firedhot-water-boiler-ups-15-58-pump-lp-2k-to5k-elevation-96000-btu-15546.html

New Yorker PVCG40PI-T2 82 96,000 Propane

Hot 

Water 1799.95

http://ecomfort.com/pvcg40pi-t2-hot-waterboiler-taco-007-pump-liquid-propane96000-btu-12514.html

New Yorker PVCG40NI-T2 82 96,000 

Natural 

Gas

Hot 

Water 1799.95

http://ecomfort.com/pvcg40ni-t2-hot-waterboiler-taco-007-pump-natural-gas-96000-

btu-12510.html

Smith GBX-105 82 105,000 

Natural 

Gas or 

Propane

Hot 

Water 1599.99

http://www.younits.com/atmosphericvented-water-fired-boiler-105000-p8604.html

Smith GVX-105 82 105,000 

Natural 

Gas or 

Propane

Hot 

Water 1959.99

http://www.younits.com/power-ventedwater-fired-boiler-105000-p-8622.html

Crown Boiler 

Co. AWR105ENST2P8U 82.9 105,000 

Natural 

Gas

Hot 

Water 1855.73

http://ecomfort.com/aruba-4-105000-btuhot-water-boiler-ng-829-afue-chimneyvented-88784.html

Crown Boiler 

Co. AWR105ELST2PSU 82.9 105,000 Propane

Hot 

Water 1881.92

http://ecomfort.com/aruba-4-105000-btuhot-water-boiler-lp-829-afue-chimneyvented-88769.html

Crown Boiler 

Co. AWR105ENST2PSU 82.9 105,000 

Natural 

Gas

Hot 

Water 1855.73

http://ecomfort.com/aruba-4-105000-btuhot-water-boiler-ng-829-afue-chimneyvented-88770.html

Crown Boiler 

Co. AWR105ELST2P8U 82.9 105,000 Propane

Hot 

Water 1881.92

http://ecomfort.com/aruba-4-105000-btuhot-water-boiler-lp-829-afue-chimneyvented-88783.html

Peerless MI-04-SPRK-WPC- 82.1 105,000 Propane Hot 1900.18 http://ecomfort.com/series-mi-105000-btu-
6-A-4

LP Water hot-water-boiler-lp-821-afue-chimneyvented-0-to-2000-ft-altitude-92188.html

Peerless

MI-04-SPRK-WPCN 82.1 105,000 Natural 

Gas

Hot 

Water 1900.18

http://ecomfort.com/series-mi-105000-btuhot-water-boiler-ng-821-afue-chimneyvented-0-to-2000-ft-altitude-92187.html

Peerless

DE-04-SPRK-WPCLP 82 105,000 PropaneHot 

Water 2065.35

http://ecomfort.com/de-04-gas-fired-hotwater-boiler-electronic-ignition-taco-007-

pump-up-to-2000-ft-altitude-lp-105000-btu21710.html

Peerless

DE-04-SPRK-WPCN 82 105,000 Natural 

Gas

Hot 

Water 2065.35

http://ecomfort.com/de-04-gas-fired-hotwater-boiler-electronic-ignition-taco-007-

pump-up-to-2000-ft-altitude-ng-105000-btu21709.html

New Yorker CGS40ANI-ME2 81.4 105,000 

Natural 

Gas Steam 1881.95

http://www.pexsupply.com/New-YorkerCGS40ANI-ME2-CGS-A-65000-BTUOutput-Spark-Ignition-Cast-Iron-SteamBoiler-Nat-Gas

New Yorker CGS40ANI-ME2 81.4 105,000 

Natural 

Gas Steam 2065.95

http://ecomfort.com/cgs40ani-me2-steamboiler-electronic-ignition-probe-type-lwconatural-gas-86000-btu-2140.html

New Yorker CGS40API-ME2 81.4 105,000 Propane Steam 2065.95

http://ecomfort.com/cgs40api-me2-steamboiler-electronic-ignition-probe-type-lwcoliquid-propane-86000-btu-12504.html