1     
HOME ENERGY RATING INDEX SCORE DISCLOSURE

2     
2015 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: Kraig Powell

5     
Senate Sponsor: ____________

6     

7     LONG TITLE
8     General Description:
9          This bill enacts the Home Energy Rating Disclosure Act.
10     Highlighted Provisions:
11          This bill:
12          ▸     defines terms;
13          ▸     requires that before a person sells a new residential building, the person must
14     disclose the building's home energy efficiency score and other related information to
15     the prospective purchaser;
16          ▸     provides that the Division of Real Estate, in consultation with the Department of
17     Environmental Quality, shall create and make available to the public a home energy
18     efficiency score information pamphlet;
19          ▸     addresses the contents of a real estate purchase agreement relating to the home
20     energy efficiency score;
21          ▸     allows the Division of Real Estate to make rules consistent with the provisions of
22     this bill;
23          ▸     provides a procedure to enforce compliance with the provisions of this bill; and
24          ▸     makes technical and conforming changes.
25     Money Appropriated in this Bill:
26          None
27     Other Special Clauses:

28          None
29     Utah Code Sections Affected:
30     AMENDS:
31          61-2-201, as last amended by Laws of Utah 2011, Chapter 289
32     ENACTS:
33          57-28-101, Utah Code Annotated 1953
34          57-28-102, Utah Code Annotated 1953
35          57-28-201, Utah Code Annotated 1953
36          57-28-202, Utah Code Annotated 1953
37          57-28-203, Utah Code Annotated 1953
38          57-28-301, Utah Code Annotated 1953
39          57-28-302, Utah Code Annotated 1953
40          57-28-303, Utah Code Annotated 1953
41     

42     Be it enacted by the Legislature of the state of Utah:
43          Section 1. Section 57-28-101 is enacted to read:
44     
CHAPTER 28. HOME ENERGY RATING INDEX DISCLOSURE ACT

45     
Part 1. General Provisions

46          57-28-101. Title.
47          (1) This chapter is known as the "Home Energy Rating Disclosure Act."
48          (2) This part is known as "General Provisions."
49          Section 2. Section 57-28-102 is enacted to read:
50          57-28-102. Definitions.
51          As used in this chapter:
52          (1) "Certified home energy rater" means a person who is certified or otherwise
53     approved by a provider to calculate a new residential building's home energy efficiency score.
54          (2) "Department" means the Department of Environmental Quality.
55          (3) "Division" means the Division of Real Estate, created in Section 61-2-201.
56          (4) "Energy efficiency rating system" means a provider's method or standard by which
57     a person measures a building's energy efficiency and calculates a home energy efficiency score.
58          (5) "Home energy efficiency score" means a number that:

59          (a) represents a building's energy efficiency;
60          (b) is calculated by a certified home energy rater; and
61          (c) accounts for the results of:
62          (i) energy modeling;
63          (ii) a blower door test; and
64          (iii) a duct blaster test.
65          (6) "New residential building" means a building or structure, or a portion of a building
66     or structure, that is:
67          (a) newly constructed; and
68          (b) designed or intended for occupancy as a residence of one or more individuals.
69          (7) "Owner" means the holder of a legal or equitable title or interest in a new
70     residential building.
71          (8) "Provider" means a nationwide entity approved by the division, in consultation with
72     the department, that:
73          (a) administers an energy efficiency rating system; and
74          (b) tests and certifies or otherwise approves individuals to calculate home energy
75     efficiency scores.
76          Section 3. Section 57-28-201 is enacted to read:
77     
Part 2. New Residential Conveyance Requirements

78          57-28-201. Title.
79          This part is known as "New Residential Conveyance Requirements."
80          Section 4. Section 57-28-202 is enacted to read:
81          57-28-202. Required disclosures.
82          (1) At least 72 hours before a purchaser is obligated to purchase an interest in a new
83     residential building from an owner, the owner shall give the purchaser a written disclosure that
84     includes:
85          (a) the new residential building's home energy efficiency score that was calculated no
86     more than 30 days before the day on which the home energy efficiency score is disclosed;
87          (b) the date on which the home energy efficiency score was calculated;
88          (c) the name of the provider associated with the home energy efficiency score;
89          (d) the name and contact information of the certified home energy rater who calculated

90     the home energy efficiency score; and
91          (e) a copy of the home energy efficiency score information pamphlet described in
92     Subsection (2).
93          (2) The division, in consultation with the department, shall develop and make available
94     to the public a home energy efficiency score information pamphlet that describes:
95          (a) the meaning of each provider's home energy efficiency score; and
96          (b) how each provider's home energy efficiency score is calculated.
97          Section 5. Section 57-28-203 is enacted to read:
98          57-28-203. Real estate purchase contract -- Required contents.
99          Each contract for the purchase of an interest in a new residential building shall contain a
100     provision, signed by the purchaser, that states that the purchaser timely received the written
101     disclosure described in Subsection 57-28-202(1).
102          Section 6. Section 57-28-301 is enacted to read:
103     
Part 3. Administration and Enforcement

104          57-28-301. Title.
105          This part is known as "Administration and Enforcement."
106          Section 7. Section 57-28-302 is enacted to read:
107          57-28-302. Rulemaking.
108          In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act, and
109     consistent with this chapter, the division:
110          (1) shall make rules governing:
111          (a) the process and standards for becoming an approved provider; and
112          (b) the enforcement of the provisions of this chapter; and
113          (2) may make rules governing:
114          (a) the content and form of disclosures relating to a home energy efficiency score;
115          (b) the procedure for making disclosures relating to a home energy efficiency score;
116     and
117          (c) the contents of a real estate purchase contract that relate to a home energy efficiency
118     score.
119          Section 8. Section 57-28-303 is enacted to read:
120          57-28-303. Enforcement -- Right of rescission.

121          (1) The division may enforce the provisions of this chapter.
122          (2) A person who knowingly discloses a false, inaccurate, or misleading home energy
123     efficiency score is subject to a civil fine of no greater than $10,000.
124          (3) (a) If a person fails to comply with a provision of Section 57-28-202 or 57-28-203,
125     the purchaser may, within one year after the day on which the agreement to purchase the new
126     residential building is executed, rescind the agreement.
127          (b) A person may file an action in district court to enforce the person's right of
128     rescission described in Subsection (3)(a).
129          (c) In an action described in Subsection (3)(b), the court shall award costs and
130     reasonable attorney fees to the prevailing party.
131          Section 9. Section 61-2-201 is amended to read:
132          61-2-201. Division of Real Estate created -- Director appointed -- Personnel.
133          (1) There is created within the department a Division of Real Estate. The division is
134     responsible for the administration and enforcement of:
135          (a) this chapter;
136          (b) Title 57, Chapter 11, Utah Uniform Land Sales Practices Act;
137          (c) Title 57, Chapter 19, Timeshare and Camp Resort Act;
138          (d) Title 57, Chapter 23, Real Estate Cooperative Marketing Act;
139          (e) Title 57, Chapter 28, Home Energy Rating Index Disclosure Act;
140          [(e)] (f) Chapter 2c, Utah Residential Mortgage Practices and Licensing Act;
141          [(f)] (g) Chapter 2e, Appraisal Management Company Registration and Regulation
142     Act;
143          [(g)] (h) Chapter 2f, Real Estate Licensing and Practices Act; and
144          [(h)] (i) Chapter 2g, Real Estate Appraiser Licensing and Certification Act.
145          (2) The division is under the direction and control of a director appointed by the
146     executive director of the department with the approval of the governor. The director holds the
147     office of director at the pleasure of the governor.
148          (3) The director, with the approval of the executive director, may employ personnel
149     necessary to discharge the duties of the division at salaries to be fixed by the director according
150     to standards established by the Department of Administrative Services.







Legislative Review Note
     as of 1-22-15 2:39 PM


Office of Legislative Research and General Counsel