1 

### Draft Environmental Assessment for Proposed Rule, 10 CFR Part 433,

“ Energy Conservation and Fossil Fuel - Generated Energy Consumption

Reduction Standards for the Design and Construction of New Federal Commercial and Multi - Family High - Rise Residential Buildings” and 10 CFR Part 435 “ Energy Conservation and Fossil Fuel - Generated Energy Consumption Reduction Standards for the Design and Construction of New Federal Low - Rise Residential Buildings ” (DOE/EA - **1778** )2 SUMMARY

The U.S. Department of Energy (DO E) has prepared this Environmental Assessment (EA) for DOE’s Proposed Rule, 10 CFR Part 433, 

### “ Energy Conservation and Fossil Fuel

- Generated Energy Consumption Reduction Standards for the Design and Construction of New Federal Commercial and Multi

- Family Hi gh

- Rise Residential Buildings ” and 10 CFR Part 435, “ Energy Conservation and Fossil Fuel

- Generated Energy Consumption Reduction Standards for the Design and Construction of New Federal Low

- Rise Residential Buildings ”
. Section 433 of the Energy Independenc e and Security Act (EISA) of 2007 (P ub
. L. 110

- 140) modifies s ection 305 of ECPA by adding a new section 305(a)(3)(D) which requires DOE, through regulation, to update the energy efficiency requirements for new Federal buildings and Federal buildings undergoing major renovation by requiring that two categories of Fed eral buildings be designed to reduce their fossil

- fuel generated energy consumption. Section 433 of EISA also requires that sustainable design principles be applied in the siting, design, and construction of Federal buildings
. In addition, DOE is directed by section 523 of EISA to establish regulations that require solar hot water heaters be applied to the extent they are life

- cycle cost
- effective. (42 U.S.C. 6834(a)(3)(D)(vii)). However, this Environmental Assessment only addresses the fossil fuel

- genera ted reduction requirements contained in the Proposed Rule. The sustainable design requirements from Section 433 of EISA are being addressed in a parallel but separate rulemaking.3 The EA summarizes the potential incremental environmental impacts of the Pro posed Rule on building habitability and the outdoor environment. To identify the potential environmental impacts that may result from implementing the Proposed Rule for new Federal buildings, DOE compared the Proposed Rule with the “no

- action alternative” of using the current Federal Standards

– 10 CFR Part 433 and 10 CFR Part 435 (referred to as the “no

- action alternative”). The no

- action alternative requires new Federal commercial and multi

- family high

- rise residential buildings to achieve a level of
ene rgy consumption 30 percent below that of the ANSI/ASHRAE/IESNA Standard 90.1

- 2004 , or the IECC 2004 Supplemental Edition (2004 IECC) for new Federal low

- rise residential buildings , when life

- cycle cost

- effective. Note that some federal buildings may not be required to meet the 30 percent requirement if it is not found to be life

- cycle cost
- effective. At a minimum, however, new F ederal commercial or low

- rise residential buildings are required to meet ASHRAE Standard 90.1

- 2004 or the IECC 2004 Supplemental Ed ition , respectively . Though individual building efficiency levels will vary, DOE has determined that it would be useful to compare the Proposed Rule to both ASHRAE 90.1

- 2004 and a level 30% below ASHRAE 90.1

- 2004 for new Federal commercial and multi

- family high

- rise residential buildings, and to the 2004 IECC for new Federal low

- rise residential buildings
.

Building Habitability (Indoor Air) Impacts The rule does not change mechanical ventilation rates from the current standard
. For commercial and high

- ri se multi

- family residential buildings, ASHRAE Standard4 90.1

- 2004 does not require specific mechanical ventilation rates and the rule does not require any changes in mechanical ventilation rates. DOE assumes that agencies will continue to specify the same m echanical ventilation rates they are currently using. Current minimum ventilation requirements can be found in 10 CFR 43 4 .403.2.4. For residential buildings, the 2004 IECC does not contain any ventilation requirements and therefore the residential portion of the rule does not affect ventilation. In addition, natural ventilation through leaks and cracks in the building envelope (known as infiltration) is not expected to increase or decrease. Indoor air pollutant levels are not expected to increase under the Proposed Rule . This expectation does not imply that the potential for health

- related problems in new Federal buildings does not exist. All buildings, regardless of energy efficiency codes, have some potential for indoor air quality

- related health problems , such as "sick building syndrome." Sick

- building syndrome can result from insufficient building air exchange. For example, if the ventilation system that brings in fresh outside air breaks down, the air will become stale and occupants in the building may get sick.

Outdoor Air Environmental Impacts For all Federal buildings, the rule is expected to reduce outdoor emissions primarily by reducing consumption of fossil fuels. The Federal Government constructs an estimated 30 million square feet of Federal c ommercial buildings annually. (See Section 4.1.1 for derivation of this number.) In contrast, the government rarely constructs Federal high

- rise residential buildings . Also, since the Proposed Rule only pertains to buildings5 that cost over $2.5 million, ve ry few residential buildings will be affected. As such, the outdoor air environmental impacts of new Federal residential buildings were not included in this analysis
. For the purposes of this EA, DOE considers fossil fuel

- generated energy savings of 55 percent, 65 percent , 80 percent, 90 percent , and 100 percent below the fossil fuel

generated energy consumption levels found in CBECS. DOE then compares the energy savings of these five levels to the “no

- action alternative” of continued use of the existing 10 CFR Part 433 as the Federal standard , which requires a level of efficiency 30% below ASHRAE 90.1

- 2004, if cost

- effective. Since buildings will have varying degrees of efficiency under the existing rule, DOE also compared the proposed rule to the lowest level of efficiency under the existing rule, which requires that all federal buildings meet ASHRAE 90.1

- 2004. Emissions avoided are directly proportional to energy savings achieved. First

- year
c arbon dioxide emissions avoided by the Federal sector ( assum ing that new building s under the no

- action alternative would have exceeded ASHRAE 90.1

- 2004 by 30% ) would be 52,700 metric tons for the 55% percent fossil

- fuel reduction
. Savings will compound each year, as more the Federal building stock turns over and th e percentage fossil

- fuel reduction requirement increases. First

- year methane emissions avoided would be 111 metric tons. Nitrogen oxide emissions avoided would be 53 metric tons in the first year the rule is in effect . S ulfur dioxide emissions avoided woul d be 151 metric tons in the first year.6 Alternatively, assuming that new buildings under the no

- action alternative would have only met the 90.1

- 2004 Standard, avoided carbon dioxide emissions would be 93,600 metric tons for year one. Methane emissions avoi ded would be 198 metric tons. N itrogen oxide emissions avoided would be 103 metric tons
. If new buildings were assumed to meet 90.1

- 2004, the sulfur dioxide emissions avoided would be 269 tons
.

Other Impacts The Proposed Rule is by its fundamental intent beneficial to the environment. The Proposed Rule is not expected to cause any adverse health effects, and thus would have no environmental justice impacts affecting low

- income or minority populations. The Proposed Rule would not have an adverse effect on historic or archaeological sites, and would not be affected by a terrorist act. The Proposed Rule will be beneficial and have no significant impact on sensitive environmental resources, including wetlands/floodplains, prime agricultural lands, endanger ed species, and sensitive ecosystems.7 ABBREVIATIONS AND ACRONYMS
Act or ECPA Energy Conservation and Production Act (42 U.S.C. 6831 et seq.)
ANSI American National Standards Institute
ASHRAE American Society of Heating, Refrigerating, and Air

- Conditioning Engineers, Inc.
BTU British thermal unit CEQ Council on Environmental Quality
CFC chlorofluorocarbon
CFR Code of Federal Regulations
CO 2 carbon dioxide
CO carbon monoxide
DOE Depar tment of Energy
EA environmental assessment
EPA Environmental Protection Agency
EUI Energy Use Intensity, kBtu/ft 2

- yr
FR Federal Register8 HFC hydro fluorocarbon
HCFC hydro chlorofluorocarbon
ICC International Code Council
IECC International Energy Conservation Code
IESNA Illuminating Engineering Society of North America
KWh kilowatt

- hour
LCC Life

- cycle cost
MBtu Million British Thermal Units
NAS National Academy of Sciences
NEPA National Environmental Policy A ct of 1969
NO 2 nitrogen dioxide
NRC National Research Council
ODS o zone - d epleting s ubstance(s)
SO 2 sulfur dioxide
U.S.C. United States Code
VOC volatile organic compounds9 CONTEN TS
SUMMARY ................................ ................................ ................................ ....................... 2 ABBREVIATIONS AND AC RONYMS ................................ ................................ ......... 7 1 PURPOSE AND NEED FOR AGENCY ACTION ................................ ............. 11 2 THE PROPOSED RULE AN D ALTERNATIVES ................................ ............. 13 2.1 C OMMERCIAL AND H IGH
- R ISE M ULTI - F AMILY R ESIDENTIAL B UILDINGS ......... 13 2.1.1 The Proposed Action

– The Proposed Rule (Commercial and High

- Rise Residential Buildings)
................................ ................................ ............................... 14 2.1.2 T HE “N O
- A CTION ” A LTERNATIVE O NE

– S TANDARD 90.1

- 2004 (C OMMERCIAL AND H IGH
- R ISE R ESIDENTIAL B UILDINGS )
................................ ................................ .... 15 2.1.3 The “No

- Action” Alternative Two

– Exceed Standard 90.1

- 2004 by 30% (Commercial and High

- Rise Residential Buildings)
................................ ................ 15 2.2 L OW
- R ISE R ESIDENTIAL B UILDINGS ................................ ................................ .. 16 2.2.1 The Proposed Action

– The Proposed Rule (Low

- Rise Residential Buildings) 16 2.2.3 The “No

- Action” Alternative Two

– Exceed the 2004 IECC by 30% (Low

Rise Residential Buildings)
................................ ................................ ....................... 17 2.3 D ISTINCTION BETWEEN T HE P ROPOSED R ULE AND THE N O
- A CTION A LTERNATIVES ................................ ................................ ................................ .............. 18 3 ENVIRONMENTAL IMPACT S ................................ ................................ ........... 20 3.1 I NDOOR H ABITABILITY ................................ ................................ ...................... 20 3.2 O UTDOOR A IR ................................ ................................ ................................ .... 25 3.3 E NVIRONMENTAL J USTICE ................................ ................................ ................. 32 3.4 O THER I MPACTS ................................ ................................ ................................ . 32 4 CALCULATING ENERGY S AVINGS BY BUILDING T YPE ........................ 34 5 ENVIRONMENTAL IMPACT S ................................ ................................ ........... 36 6 PERSONS/AGENCIES CON SULTED DURING THIS R ULEMAKING ....... 42 5 REFERENCES ................................ ................................ ................................ ........ 4310 TABLES Table 1 Indoor Air Emissions
................................ ................................ ........................... 20 Table 2 Comparison of Simulated EUIs by Fuel Type (Commercial)
............................. 33 Table 3 First

- Year Greenhouse Gas Emissions Reductions in Metric Tons (For One Year of New Construction)
................................ ................................ ................................ .... 36 Table 4 First

- Year Outdoor Pollutant Emissions Reductions in Metric T ons (For One Year of New Construction)
................................ ................................ ........................... 3811 1 PURPOSE AND NEED FOR AGENCY ACTION

This Environmental Assessment (EA) complies with the National Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.), the implementing regulations of the Council on Environmental Qua lity (40 CFR Parts 1500

- 1508), and DOE’s regulations for implementing the National Environmental Policy Act of 1969 ( NEPA ) (10 CFR Part 1021). Section 433 of the Energy Independence and Security Act (EISA) of 2007 (P ub
. L. 110

- 1 40) modifies s ection 305 of ECPA by adding a new section 305(a)(3)(D) which requires DOE, through regulation, to update the energy efficiency requirements such that:
“For n ew Federal buildings and Federal buildings undergoing major renovations, with respect to which the Administrator of General Services is required to transmit a prospectus to Congress under section 3307 of title 40, United States Code, in the case of public buildings (as defined in section 3301 of title 40, United States Code), or of at least $2,500,000 in costs adjusted annually for inflation for other buildings : T he buildings shall be designed so that the fossil fuel

- generated energy consumption of the buildings is reduced, as compared with such energy consumption by a similar build ing in fiscal year 2003 (as measured by Commercial Buildings Energy Consumption Survey or Residential Energy Consumption Survey data from the Energy Information Agency) , by the percentage specified in following table:12 Fiscal Year Percentage Reductio n 2010 ............................................................................. 55 2015 ............................................................................. 65 2020 ............................................................................. 80 2025 ............................................................................. 90 2030 ............................................................................. 100. ”

This EA is in support of a Notice of Proposed Rulemaking to continue DOE’s efforts to comply with section 305(a)(3)(D) of ECPA. The EA identifies possible incremental environmental effects of the Proposed Rule on Federal buildings.13 2 THE PROPOSED RULE A ND ALTERNATIVES

In accordance with NEPA, this section discusses the elements of the Proposed Rule itself, as well as alternative actions that may be taken in place of the Proposed Rule. Section 2.1 describes the Proposed Rule, the no

- action alternatives (meeting or exceeding ASHRAE Standard 90.1

- 2004) for commercial and high

- rise multifamily residential buildings. Section 2.2 describes the Proposed Rule, the no

- action alternatives (meeting or exceeding 2004 IECC) for low

- rise residential buildings. Secti on 2.3 provides some details about how the Proposed Rules and no

- action alternatives differ.

2.1 Commercial and High

- Rise Multi

- Family Residential Buildings The potential environmental impacts that would result from implementing the Proposed Rule for new Federal commercial and high

- rise multi

- family residential buildings (over three stories in height above ground) were examined by comparing the Proposed Rule w ith the existing rule 10 CFR Part 433, which requires federal buildings to meet ASHRAE Standard 90.1

- 2004 at a minimum, and exceed it by up to 30% if cost

effective. Though the baseline will vary based on what efficiency levels are found to be cost
- effecti ve, the DOE believes that using both 90.1

- 2004 and a level 30% better tha n 90.1

- 2004, will be instructive for the purposes of this EA.14 2.1.1 The Proposed Action

– The Proposed Rule (Commercial and High

- Rise Residential Buildings)
The Proposed Rule req uires that , for new Federal commercial and multi

- family high

- rise residential buildings and Federal commercial and high

- rise residential buildings undergoing major renovations , t he buildings shall be designed so that the fossil fuel

generated energy consum ption of the buildings is reduced, as compared with such energy consumption by a similar building in fiscal year 2003 (as measured by Commercial Buildings Energy Consumption Survey data from the Energy Information Agency), by the percentage specified in th e following table:

Fiscal Year Percentage Reduction 2010 ............................................................................. 55 2015 ............................................................................. 65 2020 ............................................................................. 80 2025 ............................................................................. 90 2030 ............................................................................. 100.15 2. 1. 2 The “No

- Action” Alternative One

– Standard 90.1

- 2004 (Commercial and High

Rise Residential Buildings)

Th e no - action alternative is defined as the current practice for new Federal buildings. Current practice for Federal buildings is prescribed by the energy efficiency requirements found in 10 CFR Part 433. 10 CFR 433.4(a)(1) requires that at a minimum, new Federal buildings must meet ASHRAE Standar d 90.1

- 2004.

2.1.3 The “No

- Action” Alternative Two

– Exceed Standard 90.1

- 2004 by 30% (Commercial and High

- Rise Residential Buildings)

The second no

- action alternative is also described in 10 CFR Part 433. Under the Existing Rule, Federal buildings mu st achieve a level of efficiency 30% better than the 90.1

- 2004 Standard, if cost

- effective. If a 30% reduction is not cost

- effective, the highest level of efficiency that is found to be cost

- effective must be used, with 90.1

- 2004 as a minimum. However, for the purposes of this EA, the “No

- action” Alternative Two will assume a level of efficiency 30% better than 90.1

- 2004. DOE expects that most new Federal buildings will be able to achieve a 30% energy reduction cost

- effectively.16 2.2 Low

- Rise Residential Buildings
The potential environmental impacts that would result from implementing the Proposed Rule for new Federal low

- rise residential buildings (three stories or less in height above ground) were examined by comparing the Proposed Rule with the exist ing rule, 10 CFR Part 435. Under the existing rule, new buildings must be 30% more efficient than the 2004 IECC, if cost

- effective. If a level of efficiency 30% below the 2004 IECC is not found to be cost

- effective, the highest level of efficiency that is found to be cost

effective must be used. As a minimum, the buildings must meet the 2004 IECC. As such, the level of efficiency for each building under the proposed rule will vary significantly. However, for the purposes of this EA, the Proposed Rule is com pared to both the minimum requirement under the existing rule (to meet the 2004 IECC) and a level of efficiency 30% better than the 2004 IECC.

2.2.1 The Proposed Action

– The Proposed Rule (Low

- Rise Residential Buildings)
The proposed action is the Proposed Rule , which requires that for new Federal low

- rise residential buildings and major renovations of Federal low

- rise residential buildings, t he buildings shall be designed so that the fossil fuel

- generated energy consumption of the buildings is redu ced, as compared with such energy consumption by a similar building in fiscal year 2003 (as measured by Residential Energy Consumption17 Survey data from the Energy Information Agency), by the percentage specified in the following table:
Fiscal Year Pe rcentage Reduction 2010 ............................................................................. 55 2015 ............................................................................. 65 2020 ............................................................................. 80 2025 ............................................................................. 90 2030 ............................................................................. 100.

2.2.2 The “No

- Action” Alternative One

– The 2004 IECC Standard (Low

- Rise Residential Buildings)
Th e no - action alternative is defined as the current practices for new Federal buildings. Current practices for Federal buildings are prescribed by the energy efficiency requirements found in 10 CFR Part 435. 10 CFR 435.4(a)(1) requires that at a minimum, new Federal low

- rise residential buildings must meet the 2004 IECC.

2.2.3 The “No

- Action” Alternative Two

– Exceed the 2004 IECC by 30% (Low

- Rise Residenti al Buildings)18 The second no

- action alternative is also described in 10 CFR 435. Under the Existing Rule, new Federal low

- rise residential buildings must achieve a level of efficiency 30% better than the 2004 IECC, if cost

- effective. If a 30% reduction is not cost
- effective, the highest level of efficiency that is found to be cost

- effective must be used, with the 2004 IECC as a minimum. However, for the purposes of this EA, the “No

action” Alternative Two will assume a level of efficiency 30% better than t he 2004 IECC.

2.3 Distinction between the Proposed Rule and the No

- Action Alternative s

The Proposed Rule for Commercial and Residential buildings and the no - action alternatives differ in that they use a different, but related metric. The no

- action alte rnatives require an overall reduction in building energy use, whereas the proposed rule requires a reduction in fossil fuel

- generated energy use. However, it is reasonable to assume that a 30% reduction in building energy use will, under most circumstances , result in an approximate 30% reduction in fossil fuel

- generated use. Under this assumption, the Proposed Rule requires an additional reduction in fossil fuel

- generated energy as compared to the no

- action alternatives. There are provisions in the no

- act ion alternatives that allow a lower level of overall energy use reduction if a 30% reduction is cost

- effective. While there is no cost

effective requirement in the proposed rule, agencies may write a petition requesting a19 lower numeric requirement if meeti ng the percentage reduction requirement is technically impracticable. There is also a difference in the types of energy use that are covered by the Proposed Rule and the no

- action alternatives. The no

- action alternative requirements cover space heating, space cooling, ventilation, service water heating, lighting and all other energy consuming systems normally specified as part of the building design except for receptacle (plug) and process loads. In contrast, the Proposed Rule requirements cover all build ing energy use, including receptacle and process loads. Note that there is no specific requirement in the Proposed Rule for a reduction in receptacle or process loads. However, it is reasonable to assume that receptacle and process loads will be reduced in order to meet the Proposed Rule fossil

- fuel reduction requirements.20 3 ENVIRONMENTAL IMPACTS

The Proposed Rule contains specifications that impact building habitability (indoor environment), the outdoor environment, the nation's economy, and the Federal agencies that procure commercial and residential buildings. These impacts are described in mor e detail in this section.

3.1 Indoor Habitability

Energy efficiency codes can potentially affect indoor air quality, either adversely or beneficially. The primary indoor air emissions that can adversely affect human health in typical commercial and residential buildings are particulate matter, carbon mono xide (CO), carbon dioxide (CO2), nitrogen dioxide (NO2), radon, formaldehyde, volatile organic compounds, and biological contaminants. Building energy code requirements could influence the concentration levels of indoor air emissions in several ways. Firs t, they could increase or decrease the ventilation and/or infiltration of fresh air from o utdoors, which generally reduce indoor

- generated pollutant concentration levels. The Proposed Rules will not place any additional restrictions or requirements on vent ilation. Under 10 CFR 434 .403.2.4 , Federal buildings must be designed to meet the ventilation requirements described in ASHRAE Standard21 62

- 1989 Ventilation for Acceptable Indoor Air Quality . That requirement is unchanged in the Proposed Rule. ASHRAE Ventil ation Standards are accepted in the engineering profession as the minimum ventilation rates required to provide adequate indoor air quality. Even if infiltration rates are reduced by energy conservation measures, adequate ventilation is still required to h elp remove buildup of indoor contaminants. Second, requirements in energy efficiency codes have the potential to impact internally generated indoor emissions by changing the materials or equipment used within t he buildings. Various emissions c an be contin uously or intermittently released within commercial and residential buildings. These emissions can originate from furnishings within a building (e.g., carpet, furniture), from building materials (e.g., insulation material, particle board), from the ground (e.g., radon), from the building occupants' indoor activities (e.g., tobacco smoking, painting), or from the mechanical equipment (e.g., fossil

- fuel appliances). Potential c ombustion emissions include CO, CO 2 , nitrogen oxides, and sulfur dioxide (SO 2 ). Fos sil f uel

- burning (including gas stoves/ovens) equipment and, if allowed, tobacco smoke, are the main sources of combustion products. In addition, sources from outside the building (particularly vehicle exhaust) can be drawn into the building. The Proposed Rule is not expected to change pollutant rates from indoor sources of air pollution compared to the no

- action alternative s. Note that DOE is issuing a n additional rulemaking that a ddresses the requirement s for use of sustainable design principles in siting , design, and construction of new Federal buildings and that this rule may reasonably be assumed to reduce pollutant emission rates fr om indoor sources. Table 1 summarizes the principal indoor air emissions that can potentially be of concern within buildin gs.22 Table 1 Indoor Air Em issions Pollutant Health Impacts Sources Particulate Matter Lung cancer, bronchitis and respiratory infections. Eye, nose, and throat irritations. Fossil fuel combustion, dust, smoking.

Carbon Monoxide CO is an odorless and colorless gas that is an asphyxiate and disrupts oxygen transport. At high concentration levels, CO causes loss of consciousness and death. Unvented kerosene and gas space heaters, leaking chimneys and furnaces, back drafting from furnaces, gas water heate rs, wood stoves, and fireplaces, gas stoves, and automobile exhaust from attached garages. Carbon Dioxide An excessive concentration of CO2 triggers increased breathing to maintain the proper exchange of oxygen and CO2. Concentrations above 3 percent can cause headaches, dizziness, and nausea. Concentrations above 6 percent to 8 percent can cause death (NRC 1981)
. Sources include human respiration, tobacco smoking, gas stoves, and gas
ovens.

Nitrogen Dioxide NO 2 acts mainly as an irritant of the eyes, nose, throat, respiratory tract. Extremely high

- dose exposure to NO 2 may result in pulmonary edema and diffuse lung injury. Continued high exposure can lead to acute bronchitis (EPA 1994). Sources include kerose ne heaters, gas stoves, ovens, and tobacco smoke.23 Pollutant Health Impacts Sources

Radon Radon decay products in breathed air can deposit and stay in the lungs, sometimes contributing to lung cancer. The National Academy of Sciences (NAS) estimates that 15,400 to 21,800 people in the United States die from lung cancer attributable to radon annually , although the number could be as low as 3,000 or as high as 32,000 (NAS 1998). A large majority of the deaths happen to cigarette smokers. Radon is much l ess of a concern in commercial buildings than in residential buildings as these buildings usually have mechanical ventilation and occupants are typically not in the buildings as many hours a week as they are in their homes. Radon is a radioactive gas that occurs in nature. The greatest single source of radon is from the soil. It can be found in soils and rocks containing uranium, granite, shale, phosphate, and pitchblende (Moffat 1997).24 Pollutant Health Impacts Sources

Formaldehyde The EPA has classified formaldehyde as a "probable human carcinogen" (EPA 1989). In low concentration levels, formaldehyde irritates the eyes and mucous membranes of the nose and throat (NRC 1981). For maldehyde can cause watery eyes, burning sensation s in the eyes, nose, and throat, nausea, coughing, chest t ightness, wheezing, skin rashes, and allergic reactions (CPSC 1997). Various pressed

- wood products can emit formaldehyde, including particle board, plywood, pressed wood, paneling, some carpeting and backing, some furniture and dyed materials, urea

- formaldehyde insulating foam, and pressed textiles (CPSC 1997). Cigarette smoke also produces formaldehyde.
Volatile organic compounds (VOCs) VOCs can cause a wide variety of health problems. Some examples of potential health effects include increased cancer risks, depression of the central nervous system, irritation to the eyes and respiratory tract, and liver and kidney damage. Some evidence e xists that VOCs can provoke some of the symptoms typical of sick

- building syndrome and cause severe reactions for individuals who appear to demonstrate multiple chemical sensitivities (EPA 1991). VOCs contain carbon and exist as vapors at room temperature s. Over 900 VOCs have been identified in indoor air (EPA 1991). Formaldehyde is one type of VOC. Many products give off VOCs as they dry, cure, set, or otherwise age (Moffat 1997).25 Pollutant Health Impacts Sources Biological Contaminants Biological agents in indoor air are known to cause three typ es of human disease: infections ( pathogens invade human tissue ) ; hypersensitivity diseases ( specific activation of the immune system causes diseases ) ; and toxicosis ( biologically produced chemical toxins cau se direct toxic effects ) (EPA 1994). Evidence is available sho wing that some episodes of sick building syndrome may be related to microbial contamination of buildings (EPA 1994). Sources include outdoor air and human occupants who shed viruses and bacteri a, animal occupants (insects and other arthropods, mammals) that shed allergens, and indoor surfaces and water reservoirs such as humidifiers where fungi and bacteria can grow (EPA 1994).

3.2 Outdoor Air
The Proposed Rule impacts energy consumption and therefore impacts pollutant emissions and greenhouse gas emissions associated with energy consumption. The emissions addressed in this report are split into two groups, namely, greenhouse gases and gases other than greenhouse gases.

3.2.1 Greenhouse Gas es26 While the scientific understanding of climate change continue to evolve, the International P anel on Climate Change (IPCC) F ourth A ssessment Report stated that warming of Earth’s climate is unequivocal, and that warming is very likely attribu table to increases in atmospheric greenhouse gases (GHGs) caused by human activities (anthropogenic). The Fourth Assessment Report indicates that changes in many physical and biological systems, such as increases in global temp e r a tures , m ore frequent heat waves, rising sea levels, coastal flooding, loss of wildlife habita t , spread of infectio u s disease, and other potential environmental impacts are lin k ed to changes in the climate system, and that some changes could be irreversible. GHGs, which include ca rbon dioxide (CO2), methane (CH4) and nitrous oxide (N2O), are chemical compounds in the earth’s atmosphere that trap heat. Of these gases

- CO2 is recognized by the IPCC as the primary GHG affecting climate change. Present atmospheric concentrations of CO2 are believed to be higher th an at any time in at least the last 650,000 years, primarily as a result of combustion of fossil fuels. It is also very likely that increases in CH4 are partially due to fossil fuel use, according to the IPCC Report. The proposed Rule will help reduce GHGs by saving fossil fuel generated energy. The impacts presented in Section 5.0 are focused on human

- made emissions and specifically those in the United States. Carbon dioxide emissions from coal, petroleum, and natural g as make up about eighty

- one percent of U.S. greenhouse gas emissions. Consequently, U.S. emissions are strongly tied to fossil energy consumption. Other greenhouse gas emissions include methane, nitrous oxide, and other gases. T he information on greenhouse gases presented below is from the DOE report entitled, “Emissions of Greenhouse Gases in the United States” (DOE 2009 ).27 Carbon Dioxide CO2 is by far the most common greenhouse gas e mitted. More than 98 percent of U.S. CO2 emissions can be traced to the combustion of fossil fuels. The commercial sector, ( including all commercial buildings, as defined by DOE [ 2008 ] , not just Fed eral buildings) accounts for 19 percent of U.S. CO2 emissions. Eighty percent of commercia l

sector CO2 emissions are associated with the production of electric power used in the sector. Sixteen percent of the commercial

- sector CO2 emissions are from natural gas (used directly in buildings), with the remain ing 4 percent mainly from petroleum products. The res idential sector contributes a 21 percent share of U.S. CO2 emissions. Seventy

- two percent of residential CO2 emissions are associated with the production of electricity. Twenty

- two percent of the residential

- sector CO2 emissions are from natural gas (use d directly in buildings), with 7 percent from petroleum products. The Proposed Rule will help reduce CO2 emissions by saving energy.

Methane Methane emissions are primarily from human

- relate d sources, not na tural sources. U.S. methane emissions are from three categories of sources, each accounting for about
one - third of total emissions: (1) decomposition of solid waste in landfills, (2) energy sources, and (3) emissions from domestic livestock. The methane em itted from energy sources occurs primarily during the production and processin g of natural gas, coal, and oil, not in the actual use (combustion) of these fuels. Methane is the primary ingredient in28 natural gas, and production, processing, storage, and tra nsmissi on of natural gas account for 61 percent of the methane emissions from energy source s (or 2 4 percent of all methane emissions). The Proposed Rule is expected to reduce Methane emissions by saving energy.

Nitrous Oxide
Nitrous oxide emission rates are more uncertain than those for CO2 and methane, with nitrogen fertilization of agricultural soils being the primary human

- related source. Fuel combustion is also a source of nitrous oxide; however, in the commercial and residential sector , total emissi ons are only about 0.4% of all U.S. nitrous oxide emissions. The Proposed Rule is expected to reduce nitrous oxide emissions by saving energy.

Halocarbons and Other Gases The final group of human

- made greenhouse gases consists of halocarbons and other e ngineered gases not usually found in nature. Three of these gases are discussed below:
1. Hydrofluorocarbons (HFC) 2. Perfluorocarbons (PFC) 3. Sulfur hexafluoride (SF6).29 HFCs are compounds containing hydrogen, fluorine , and carbon . HFCs do not reach the stratosphere to destroy ozone , therefore, they are considered more environmentally benign than ozone

- depleting substances such as chlorofluoro

- carbons (CFCs). HFCs are greenhouse gases. HFCs are used as refrigerants , and are becoming more common as
ozone - d epleting refrigerants are phased out. PFCs are compounds containing carbon and fluorine. PFC emissions result as a byproduct of aluminum smelting and semiconductor manufacturing. SF6 is used as an insulator for electric equipment. The Proposed Rule is not expected to change the emission rates of HFCs, PFCs, or SF6.

3.2.2 Other Outdoor Air Emissions Several outdoor air emissions other than the greenhouse gases having detrimental effects on human health and/or the environment are discussed below. National air quality standards have been set for six principal air pollutants (also referred to as "criteria pollutants"): ozone, NO2, CO, particulate matter, SO2, and lead. More information on these emissions is presented below. All of the following information on
a ir emissions is from EPA data (EPA 2009).
Ozone
O zone occurring high in the atmosphere is beneficial, providing a protective layer from ultraviolet radiation. Closer to ground level, however, ozone is the prime ingredient of smog. Ozone can cause respiratory problems, damage plants and trees,30 while fine particles in smog reduce visibility. Ozone is formed in the atmosphere by the reaction of VOCs and nitrogen oxides. Various consumer products, for example, fuel, solvents, paints and glues emit VOCs. VOCs in outdoor air come primarily from industrial proce sses and transportation. The Proposed Rule will reduce Ozone emissions by saving energy. Nitrogen Oxides NO2 is a precursor to acid rain as well as to ozone. The major source of human

made NO2 emissions is high

- temperature comb ustion of fossil fuels. Abo ut 18 percent of NO2 emissions come from fuel combust ion to produce electricity and 4 percent of emissions come fro m fuel consumption in buildings. T he remainder is mainly from the transportation and industrial sectors. The Proposed Rule is expected to red uce NO2 emissions.
Carbon Monoxide The main source of CO is the incomplete burning of fossil fuels such as gasoline. Vehicles exhaust contributes about 50 percent of all CO emissions. The CO produced from energy use r elated to buildings is about 4 percen t of all CO emissions. M ost of this is from wood burning in residential buildings, which should not be impacted by the Proposed Rule
. Particulate Matter31 Particulate matter is a general term used for a mixture of solid particles and liquid droplets found in air. Particulate matter can cause or exacerbate respiratory problems and reduce visibility. These particles come in a wide range of sizes and originate from many human

- made and natural sources. Particles less than 2.5 micrometers are known as "fine" par ticles. Those larger than 2.5 micrometers are known as "coarse" particles. Fuel combustion generates "fine" particles. Most particulate matter comes from roads (particularly unpaved roads), agriculture, and fires. The particulate matter emitted from energy use rela ted to buildings is only about 3 percent for course particles and 6 percent for fine particles of all U.S. emissions. Most of this is from wood bu rning in residential buildings, which should not be impacted by the Proposed Rule.
Sulfur Dioxide
As with most of the other emissions, SO2 can cause respiratory problems, including breathing problems and damage to the lungs. SO2, along with nitrogen oxides, causes acid rain. SO2 is formed when fuel containin g sulfur is burned. Coal is the primary fuel th at produces SO2. Sixty

- six percent of all SO2 emissions come from fuel used in electricity production . About 5 percent of SO2 emissions come from direct use of coal and oil in buildings. The Proposed Rule is expected to reduce SO2 emissions by saving ener gy.
Lead Exposure to lead can cause a variety of health problems. Lead can adversely affect the brain, kidneys, liver, nervous system, and other organs. Today, metals32 processing is the major source of lead emissions to the atmosphere. Combustion from electric utilities is about 2 percent of all lead emissions, with most of the combustion emissions are from coal, not natural gas or oil. Lead emissions directly from build ings are a negligible share of national total emissions. However, the Proposed Rule is expected to reduce Lead emissions by saving energy.

3. 3 Environmental Justice

Consideration of Environmental Justice is made pursuant to Executive Order 12898, “Feder al Actions to Address Environmental Justice in Minority Populations and Low

- Income Populations.” The Executive Order requires Federal agencies to address disproportionately high and adverse human health or environmental effects of its programs, policies, and activities on low

- income or minority populations. The Proposed Rule does not result in any adverse health effects and therefore, does not have the potential for disproportionately high and adverse health effects on minorities and low

income population s.

3.4 Other Impacts33 The Proposed Rule will have no significant impact on any sensitive environmental resources such as wetlands, endangered species, or historic or archaeological sites. In addition, there is no aspect of the Proposed Rule that coul d be affected by a terrorist act.34 4 CALCULATING ENERGY SAVINGS BY BUILDING TYPE

4.1 Commercial and High

- Rise Multi

- Family Residential Buildings In order to determine emissions reductions estimates for the Proposed Rule, it was necessary to compare energy use of buildings meeting the fossil fuel reduction requirement to buildings meeting the no action alternative. The Proposed Rule was compared wit h two baselines; buildings meeting Standard 90.1

- 2004 and buildings that exceed Standard 90.1

- 2004. The baseline consumption levels were determined with Energy Plus simulations perfumed by Pacific Northwest National Laboratory. A weighted average of fifte en climate zones was used to compute national energy use for each building type. Assumptions used in this analysis are described below.

4.2 Commercial Building Types Used to Estimate Energy Savings
Since building energy use and savings vary by building type, a weighted average of the energy savings for each building type was used. The weights used for each building type were proportional to annual new square footage for a given building type. Detaile d data on square footage of new Federal buildings proved difficult to obtain. However, GSA data was used to approximate the new construction for each building type (GSA 2008, GSA 2009). Building types which increased in total square footage in FY 07 or FY 08 were assumed to be the only categories in which new construction occurred (note that if more buildings were disposed of than constructed, that building type was not35 counted). This method suggests that during FY 07 and FY 08, the Federal government built an estimated 30 million new square feet per year. Since it is difficult to define typical characteristics of certain types of building (laboratories, for example), some building types were not used in this analysis. New Federal construction was assumed to have the following building type distribution:

**•** Office

- 54%

**•** Education

- 23%

**•** Dormitory/Barracks

- 23%

Table 2 compares the national ly

- average d energy use intensity (EUI) fo r the Proposed Rule reduction requirements with Standard 90.1

- 2004 and a leve l of efficiency 30% below Standard 90.1

- 2004 . EUI is the energy consumed by a building per square foot per year. Site energy includes energy used only at the building site. Source energy includes energy used at the building site and energy lost in producin g and delivering the energy to the site (for electricity). The total source EUIs for the combined average building indicates the total energy averaged across the building types using the percent distribution given above. Table 2 Comparison of Simulated EU Is by Fuel Type (Commercial)

Code or Standard Site Energy Breakdown Total Gas EUI (kBtu/ft 2
- yr) Electric EUI (kBtu/ft 2
- yr) Site EUI (kBtu/ft 2
- yr) Source EUI (kBtu/ft 2
- yr)36 Combined Average Building Standard 90.1

- 2004 13.0 40.6 53.6 139.9 30% below Standard 90.1

- 2004 9.1 32.5 41.6 110.8 CBECS 39.3 49.1 88.4 192.6 55% below CBECS 17.7 22.1 39.8 86.7 65% below CBECS 13.8 17.2 30.9 67.4 80% below CBECS 7.9 9.8 17.7 38.5 90% below CBECS 3.9 4.9 8.8 19.3 100% below CBECS 0.0 0.0 0.0 0.0 Note: Lower EUIs indicate lower energy usage.

4. 3 Low

- Rise Residential Buildings Under the Proposed Rule, outdoor air emissions from new Federal residential low

- rise buildings are expected to decrease. However, since the Proposed Rule only pertains to buildings that cost over $2.5 million, very few residential buildings will be affected. Furthermore, finding reliable data on this building type proved difficult. As such, the outdoor air environmental impacts of new Federal residential buildings were assumed to be insignificant relative to new commercial buildings and were not included in this analysis
.

5 ENVIRONMENTAL IMPACTS37 5.1 Commercial and High

- Rise Multi

- Family Residential

T his section provides the potential environmental impacts that may result from implementing the Proposed Rule , which is evaluated at each of the fossil fuel percentage reduction requirements . These values are then compared to the no

- action alternatives. The improved energy efficiency of the Proposed Rule would reduce the use of fossil fuels, and therefore would reduce air emissions.

5.1.1 Building Habitability (Indoor Air) Impacts

The Proposed Rule is not expected to have any impact on indoor air quality relative to the no

- action alternatives, as the changes between the codes do not alter ventilation rates or sources of indoor emissions. This does not imply that a potential for health

- related proble ms does not or will not exist in new Federal commercial buildings. The Proposed Rule does not address the potential for indoor air quality

- related health problems, such as "sick

- building syndrome." Sick

- building syndrome can result from insufficient buildi ng air exchange. For example, if the ventilation system that brings in fresh outside air breaks down, the air will get stale and occupants in the building may get sick. The Proposed Rule does not impact exactly how a building is operated (e.g., how a venti lation system is controlled) nor does it impact materials (e.g., type of paint used, or if occupants are exposed to fumes from painting) used in the buildings. The Proposed Rule and the no

- action alternatives do not have any requirements specifically for r adon control or control of other indoor air emissions. As noted in Table 1, “ radon is much less38 of a concern in commercial buildings than in residential buildings, as these buildings usually have mechanical ventilation and occupants are typically not in t he buildings as many hours a week as they are in their homes.” DOE has previously consulted with the U.S. Environmental Protection Agency (EPA) on the issue of radon in commercial buildings and determined that radon standards are not applicable to commerci al and high

rise multi

- family residential buildings.

5.1.2 Outdoor Air
In general, under all the alternatives examined in this EA, greenhouse gas emissions (carbon dioxide, methane, nitrous oxides, and halocarbons) are reduced because more energy efficient building s consume less fossil fuel. Table 3 shows the estimated reductions of greenhouse gas emissions res ulting from the Proposed Rule, as compared to the Standard 90.1

- 2004 and 30% below 90.1

- 2004 baselines. These are the estimated annual savin gs from one year of Federal building construction for the various fossil fuel reduction requirements
. Electricity used in Federal commercial buildings is ultimately assumed to have the same mix of fuel/energy sources (e.g., coal, nuclear) as overall natio nal electricity production. This mix was obtained from the Energy Information Administration (DOE 2010 ). Reductions in CO2 emissi ons from electricity were calculated by scaling the national CO2 emissions from electric power generation by the percentage sav ings in national electricity use
. CO2 emissions reductions from natural gas were calculated using emissions coefficients from Table B1 of DOE’s report on emissions of39 greenhouse gases (DOE 2001). Similarly, r eduction s in the release of methane were obtaine d by scaling the total national emissions by the percentage savings in total national energy use (by fuel type) resulting from the Proposed Rule
. In Table 3, below, r eductions in CO2 and methane are in metric tons of carbon and methane, respectively. Beca use the energy used in Federal building sector is not a substantial source of nitrous o xide or halocarbons, the impact of the Proposed Rule for these two gases is negligible. The reductions in greenhouse gas emissions will accumulate in the future as more and more Federal commercial buildings are built , and as the fossil fuel reduction requirement increases
.

Table 3 First - Year Greenhouse Gas Emissions Reductions in Metric Tons (For One Year of New Construction)

Percentage Reduction Carbon Dioxide Methane Nitrous Oxide or Halocarbons Savings of Proposed Rule Reduction Targets vs. ASHRAE 90.1 - 2004 (no - action one) 55% 93,600 198 Negligible 65% 118,300 250 80% 155,500 328 90% 180,200 381 100% 205,000 433 Savings of Proposed Rule Reduction Targets vs. 30% below ASHRAE 90.1 - 2004 (no - action two) 55% 52,700 111 Negligible 65% 77,500 164 80% 114,600 242 90% 139,400 294 100% 164,200 34740 Note that these savings are for one year of new construction at the current rate and
are no t cumulative. As the Proposed Rule takes effect, the type and quantity of buildings that the Federal government constructs will likely change significantly. As such, it is difficult to predict the cumulative savings of the Proposed Rule. Estimated savings in criteria emissions as a result of the Proposed Rule are shown in Table 4 . The savings represent the annual saving s from one year of Federal
c ommercial building construction; these savings will accumulate in the future as more and more Federal buildings are built. Total pollutant emissions in the United States were obtained from the Nation al Emissions Inventory (EPA 2008 ). The improved energy efficiency of the Proposed Rule will reduce the use of coal and other fossil fuels to produce energy and therefor e will reduce emissions of nitrogen oxides and sulfur dioxide. The Proposed Rule is assumed to have a negligible effect on emissions other than nitrogen oxides and sulfur dioxide because the energy use associated with buildings contributes only a small fra ction of the emissions. The savings in air pollutant emissions will accumulate in the future as more Federal commercial buildings are built.
Table 4 First - Year Outdoor Pollutant Emissions Reductions in Metric Tons (For One Year of New Construction) Percentage Reduction Nitrogen Oxides Sulfur Dioxide Carbon Monoxide, Particulate Matter, or Lead Savings of Proposed Rule Reduction Targets vs. ASHRAE 90.1 - 2004 (no - action one) 55% 102.7 269 Negligible 65% 134.6 340 80% 182.3 446 90% 214.2 518 100% 246.1 589 Savings of Proposed 55% 53 151 Negligible41 Rule Reduction Targets vs. 30% below ASHRAE 90.1 - 2004 (no - action two) 65% 84 223 80% 132 329 90% 164 400 100% 196 471 Again, these savings are for one year of new construction at the current rate and
are no t cumulative. I t is difficult to predict the total cumulative savings of the Proposed Rule.42 6 PERSONS/AGENCIES CONSULTED DURING THIS RULEMAKING

In accordance with the Council on Environmental Quality (CEQ) regulations in 40 CFR 1508.9(b), a list of persons and agencies consulted during the development of this rulemaking and environmental assessmen t is provided below.

DOE and Contractor Staff

**•** U.S. DOE Federal Energy Management Program

- Cyrus Nasseri and Matt Gray

**•** Pacific Northwest National Laboratory (DOE contractor)

- Mark Halverson, John Kaufman, James Hand, David Winiarski, Robert Lucas.43 5 REF ERENCES

10 CFR Part 433. 2010. U.S. Department of Energy, " Energy Conservation and Fossil Fuel

- Generated Energy Consumption Reduction Standards for the Design and Construction of New Federal Commercial and Multi

- Family High

- Rise Residential Buildings ." U.S. Code of Federal Regulations.

10 CFR Part 434. 2010. U.S. Department of Energy, “Energy Code for New Federal Commercial and Multi

- Family High Rise Residential Buildings.” U.S. Code of Federal Regulations.

10 CFR Part 435. 2010. U.S. Department of Energy, "Energy Conservation and Fossil Fuel

- Generated Energy Consumption Reduction Standards for the Design and Construction of New Federal Low

- Rise Residential Buildings." U.S. Code of Federal Regulations.

40 CFR Part s 1500

- 1508. July 1, 1986. Council on Environmental Quality, “Regulations for Implementing the Procedural Provisions of the National Environmental Policy Act.” U.S. Code of Federal Regulations.44 American Society of Heating, Refrigerating and Air

- Conditioning Engineers, Inc. (ASHRAE). 1989. ASHRAE Standard 62.1

- 1989, “Ventilation for Acceptable Indoor Air Quality.” Atlanta, Georgia.

American Society of Heating, Refrigerating and Air

- Conditioning Engineers, Inc. (ASHRAE). 2007. ASHRAE Standard 62.1

- 2007 , “Ventilation for Acceptable Indoor Air Quality.” Atlanta, Georgia.

American Society of Heating, Refrigerating and Air

- Conditioning Engineers, Inc. (ASHRAE). 2004. ANSI/ASHRAE/IESNA Standard 90.1

- 2004, “Energy Standard for Buildings except Low

- Rise Re sidential Buildings.” Atlanta, Georgia.

Consumer Product Safety Commission (CPSC). 1997. An Update on Formaldehyde

-- 1997 Revision. Washington, D.C.

Energy Conservation and Production Act (ECPA). 42 U.S.C. 68 01 et seq., as amended.45 Executive Order 1 2898, “Federal Actions to Address Environmental Justice in Minority Populations and Low

- Income Populations.”

Executive Order 13123, “Greening the Government through Efficient Energy Management.” 64 FR 30851

Illuminating Engineering Society of North Amer ica. 2005. http://12.109.133.232/cgibin/lpd/lpdhome.pl

International Code Council (ICC). 1999, 2003 , 2006 International Energy Conservation Code; 2000 , 2004 , and 2007 . Falls Church, Virginia.

Moffat, D.W. 1997. Handbook of Indoor Air Quality Management . Prentice Hall, Englewood Cliffs, New Jersey.

National Academy of Sciences (NAS). 1998. Biological Effects of Ionizing Radiation (BEIR) VI Report: The Health Effects of Exposure to Indoor Radon. National Academy Press, Washington, D.C.46 National Environmental Policy Act of 1969. Public Law 91

- 190, 42 U.S.C. 4321 et seq., as amended.

National Research Council (NRC). 1981. Indoor Pollutants. National Academy Press, Washington, D.C.

U.S. Department of Energy (DOE). 2001. Emissions of Greenhouse Gases in the United States. DOE/EIA

- 0573(2000), Washington, D.C.

U.S. Department of Energy (DOE). 2009. Emissions of Greenhouse Gases in the United States2008. DOE/EIA

- 0573(2008), Washington, D.C.

Department of Energy (DOE). 2006a. Annual Energy Outlook. DOE/EIA0383(2006). Washington, DC. Available at http://www.eia.do e.gov/oiaf/aeo/index.html.

Department of Energy (DOE). 2006b. Commercial Building Characteristics 2003. Washington, D.C. Available at http://www.eia.doe.gov/emeu/cbecs/ under 2003 building characteristics.47 Department of Energy (DOE). 2010. Monthly Energy Review. DOE/EIA0035(2006/04), Washington, D.C.

Environmental Protection Agency (EPA). 1989. Report to Congress on Indoor Air Quality, Volume II: Assessment and Control of Indoor Air Pollution. EPA

- 400

- I

89001C, Washington, D.C.

Environmental Protection Agency (EPA). 1991. Introduction to Indoor Air Quality

-- A Reference Manual. EPA/400/3

- 91/003, Washington, D.C.

Environmental Protection Agency (EPA). 1994. Indoor Air Pollution

-- An Update for Health Professionals. Washington, D.C.

Environmental Protectio n Agency (EPA). 2009. National Emissions Inventory. Washington D.C. Available URL: http://www.epa.gov/ttn/chief/trends/index.html
General Services Administration (GSA). FY 2007 Federal Real Property Report. Washington, D.C. 2008.48 General Services Admini stration (GSA). FY 2008 Federal Real Property Report. Washington, D.C. 2009.