BILL NUMBER: AB 1574	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 27, 2001
	AMENDED IN ASSEMBLY  MAY 31, 2001
	AMENDED IN ASSEMBLY  APRIL 26, 2001
	AMENDED IN ASSEMBLY  APRIL 16, 2001
	AMENDED IN ASSEMBLY  APRIL 3, 2001

INTRODUCED BY   Assembly Member Lowenthal

                        FEBRUARY 23, 2001

   An act to amend Section 7195 of the Business and Professions Code,
and to add Sections 25401.5 and 25401.7 to the Public Resources
Code, relating to energy resources.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1574, as amended, Lowenthal.  Energy conservation:  building
standards:  inspections.
   (1) Existing law defines terms related to paid home inspections,
establishes a standard of care for home inspectors, and prohibits
certain inspections in which the inspector or the inspector's
employer, as specified, has a financial interest.
   This bill would include within the definition of home inspection
for those purposes an inspection of energy efficiency.   The bill
would specify energy efficiency items to be inspected. 
   (2) Existing law requires the State Energy Resources Conservation
and Development Commission to adopt regulations concerning energy
conservation standards for lighting, insulation, climate control
systems, and other building design and construction standards for new
residential and new nonresidential buildings.
   This bill would authorize the commission to adopt 
regulations   guidelines  prescribing higher
envelope and duct R-value standards for nonresidential buildings, for
which a building permit is issued after the effective date of this
bill, and minimum standards for energy efficiency in single-family
residential dwellings, which are occupied on the effective date of
this bill.
   The bill would provide that  ,  if, at the time a
single-family residential dwelling is sold, a buyer or seller
requests an inspection, that inspection shall include an inspection
of the energy efficiency of the dwelling.
   Vote:  majority.  Appropriation:  no.  Fiscal committee:  yes.
State-mandated local program:  no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  The Legislature finds and declares that energy costs
represent a significant proportion of consumers' discretionary
expenses and that energy efficiency measures are available for
residential dwellings in existence on the effective date of the act
adding this section.
  SEC. 2.  Section 7195 of the Business and Professions Code is
amended to read:
   7195.  For purposes of this chapter, the following definitions
apply:
   (a)  (1)  "Home inspection" is a noninvasive, physical
examination, performed for a fee in connection with a transfer, as
defined in subdivision (e), of real property, of the mechanical,
electrical, or plumbing systems or the structural and essential
components of a residential dwelling of one to four units designed to
identify material defects in those systems, structures and
components.  "Home inspection" includes any consultation regarding
the property that is represented to be a home inspection or any
confusingly similar term.   "Home  
   (2) "Home  inspection" also includes an inspection of energy
efficiency pursuant to Section 25401.7 of the Public Resources Code.
 Energy efficiency items to be inspected include, but are not
limited to, all of the following:
   (A) A noninvasive inspection of insulation R-values in attics,
roofs, walls, floors, and ducts.
   (B) The number of window glass panes and frame types.
   (C) The heating and cooling equipment and water heating systems.
   (D) The age and fuel type of major appliances.
   (E) The exhaust and cooling fans.
   (F) The type of thermostat and other systems.
   (G) The general integrity and potential leakage areas of walls,
window areas, doors, and duct systems. 
   (b) A "material defect" is a condition that significantly affects
the value, desirability, habitability, or safety of the dwelling.
Style or aesthetics shall not be considered in determining whether a
system, structure, or component is defective.
   (c) A "home inspection report" is a written report prepared for a
fee and issued after a home inspection.  The report clearly describes
and identifies the inspected systems, structures, or components of
the dwelling, any material defects identified, and any
recommendations regarding the conditions observed or recommendations
for evaluation by appropriate persons.
   (d) A "home inspector" is any individual who performs a home
inspection.
   (e) "Transfer" is a transfer by sale, exchange, installment land
 sale   sales  contract, as defined in
Section 2985 of the Civil Code, lease with an option to purchase, any
other option to purchase, or ground lease coupled with improvements,
of real property or residential stock cooperative, improved with or
consisting of not less than one nor more than four dwelling units.
  SEC. 3.  Section 25401.5 is added to the Public Resources Code, to
read:
   25401.5.   (a)  For the purpose of reducing
electrical and natural gas energy consumption, the commission may do
 all   both  of the following:  
   (1)  
   (a)  Adopt regulations that require the inclusion of higher
envelope and duct R-values  compatible with ASHRAE Standard
90.1  for new nonresidential buildings, for which building
permits are issued after the effective date of the act adding this
section.  
   (2) Adopt regulations  
   (b) Adopt guidelines  that prescribe minimum efficiency
standards for single-family residential dwellings that are occupied
on the effective date of the act adding this section.  
   (b) Subdivision (c) of Section 11346.1 of the Government Code does
not apply to the regulations adopted pursuant to this section.
Instead, the commission shall only consult with the California
Building Standards Commission prior to adopting the regulations.

  SEC. 4.  Section 25401.7 is added to the Public Resources Code, to
read:
   25401.7.  (a) If, at the time a single-family residential dwelling
is sold, a buyer or seller requests an inspection, that inspection
shall include an inspection of the energy efficiency of the dwelling.
  The inspector shall provide the results of the inspection to the
buyer and seller.
   (b) For purposes of this section, "inspection" means a "home
inspection" as defined in Section 7195 of the Business and
Professions Code.