BILL ANALYSIS                                                                                                                                                                                                    



                                                          SB 798
                                                         Page 1

Date of Hearing: April 10, 1996

      ASSEMBLY COMMITTEE ON HOUSING AND COMMUNITY DEVELOPMENT
                        Phil Hawkins, Chair

        SB 798 (Mountjoy) - As Amended:  February 29, 1996

 SUBJECT:  Heaters:  gas logs.

 SUMMARY:  Permits the sale of natural gas fueled unvented gas logs  
and fireplaces, if all of the following circumstances are met:

1) The Department of Housing and Community Development (HCD) and  
   the Department of Health Services (DHS) consider and develop  
   standards for natural gas unvented decorative gas logs and  
   fireplaces, provided the cost of developing standards does not  
   exceed $145,000.

2) Unvented fireplaces meet the standards developed by HCD and  
   DHS.

3) The California Building Standards Commission (CBSC) adopts the  
   standard as part of the California Building Standards Code.

4) Unvented heaters are listed by an agency approved by HCD.

5) Installation of the unvented fireplaces must be in accordance  
   with CBSC standards.

 FISCAL EFFECT:  HCD has proposed a budget of $300,000 (General  
Fund) for State Housing Law activities for FY 1996-97.  This  
funding level is sufficient for current State Housing Law  
responsibilities.  This bill is permissive and does not establish  
deadlines for development of a standard.  Consequently, HCD and  
DHS could review and propose adoption of the standard through the  
normal, triennial building code adoption process.  This approach  
would avoid unnecessary state costs.  If, on the other hand, the  
sponsors intend for HCD and DHS to consider and adopt a standard  
prior to the next cycle for review and adoption of the Uniform  
Mechanical Code, then the bill should provide an appropriation.
 
 EXISTING LAW: 

1) Prohibits any person from selling or offering for sale any  
   unvented heater designed to be used within dwellings  except:   
   1) electric heaters, or 2) decorative gas logs for use in a  
   vented fireplace.

2) Provides a process for review and adoption of residential  
   building standards, specifically:

    *  HCD is a member of several code adoption organizations and  
      participates in review and adoption of uniform building  
      codes.

    *  HCD triennially reviews each of the following building  







                                                          SB 798
                                                         Page 2

      codes:  the Uniform Housing Code, the Uniform Building Code,  
      the Uniform Plumbing Code, the Uniform Mechanical Code, the  
      National Electrical Code, and the Uniform Code for Building  
      Conservation.  HCD proposes exceptions to the codes based on  
      California conditions and proposes adoption of the 
 uniform codes.  

    *  The CBSC conducts public hearings and adopts state building  
      codes as regulations, including codes for residential  
      construction proposed by HCD.  Local building officials  
      enforce the statewide standards except that local  
      governments can adopt more stringent standards if  
      necessitated by local conditions.

 BACKGROUND:  This bill is sponsored by the Vent-Free Gas Products  
Division of the Gas Appliance Manufacturers Association of America  
(GAMA), a trade organization representing manufacturers of gas  
appliances.  Manufacturers of unvented fireplaces have been  
seeking legislative authority to sell their products in California  
since 1990.  Most recently, AB 1063 (Haynes) of 1993, failed  
passage in the Senate Local Government Committee and AB 3228  
(Haynes) of 1994, failed passage on the Senate Floor (18-17).   

Concurrently, manufacturers have been seeking approval of a  
recognized standard by code adoption organizations and inclusion  
of the standard in the uniform codes adopted by these  
organizations.  In fact, the manufacturers have obtained approval  
from the following organizations:  

   Building Officials & Code Administrators (BOCA):  Basic  
   Mechanical Code permits use of certified unvented heaters in  
   any structure.

   Southern Building Codes Congress (SBCC):  permits installation  
   of certified heaters except in sleeping quarters and  
   institutions.

   Council of American Building Officials (CABO):  permits  
   unvented gas room heaters if the heaters are certified to ANSI  
   Standard Z21.11.2 and the heaters are equipped with an  
   oxygen-depletion sensor.

However, as recently as 1994, the International Conference of  
Building Officials, the adopting organization of the Uniform  
Mechanical Code used in California, considered and rejected the  
standard for unvented gas fireplaces.  The next adoption of the  
Uniform Mechanical Code by the International Conference of  
Building Officials will be in 1997, and the state will review and  
adopt the code in 1998. 

The sponsor asserts that all states except California, Colorado,  
Massachusetts, Minnesota, Montana, New York and Washington allow  
use of unvented fireplaces.  Not all states, however, regulate  
building standards at the state level.  In eleven states where  
building standards are not regulated at the state level, at least  
one or more major cities ban the use of unvented fireplaces.







                                                          SB 798
                                                         Page 3


 Remove Statutory Barrier vs. Requiring State Agencies to Adopt  
Standards.

This bill would remove a statutory barrier against unvented  
fireplaces and provide discretionary authority for HCD and DHS to  
develop a standard.  The standard would then be adopted as part of  
the California Building Standards Code, which is used by builders  
and code officials in California.   

 Include State Fire Marshal in Development of Standard?

The California State Firefighters' Association has requested an  
amendment to include the State Fire Marshal in the development of  
a standard for unvented heaters so that fire safety concerns are  
addressed.

 ARGUMENTS IN SUPPORT:

The sponsor argues that natural gas fueled unvented fireplaces  
equipped with oxygen depletion sensors are safe for use in  
residences.  If carbon monoxide or other combustion by-product  
levels become too high compared to available oxygen, the fireplace  
will automatically shut off.  

The sponsor argues that all states except California, Colorado,  
Massachusetts, Minnesota, Montana, New York, and Washington allow  
this product. 

 ARGUMENTS IN OPPOSITION:  

Building officials have expressed concern that oxygen depletion  
sensors are not 100% reliable and indicate that an unvented  
fireplace could cause illness or death if the sensor or automatic  
shutoff were to fail.  Carbon monoxide cannot be seen, smelled or  
tasted; therefore, unhealthy levels can build up without the  
occupant being aware of the danger.  

The California Energy Commission argues that these appliances are  
heaters rather than "decorative" fireplaces.  According to the  
commission, these appliances are inefficient heaters because the  
required label indicates that a window should remain open "an inch  
or two" while the appliance is in use.  

 REGISTERED SUPPORT / OPPOSITION:

 Support

DESA International
Empire Comfort Systems
Fireplace Manufacturers Incorporated
Gas-Fired Products, Inc.
Haugh's Products Limited
Majestic Products Company
Martin Industries
Rinnai America Corporation







                                                          SB 798
                                                         Page 4

Superior, The Fireplace Company
Temco Fireplace Products
The Dearborn Company, Inc.
Vent-Free Gas Products Division of the Gas Appliance Manufacturers  
Association       of America (sponsor)
Vermont Castings

 Opposition

California Building Officials 
California Energy Commission 

 Analysis prepared by:  Kathryn C. Amann / ahcd / 445-2320