All Roll Calls
Yes: 239 • No: 2
Sponsored By: Beth Doglio (Democratic)
Became Law
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7 provisions identified: 4 benefits, 1 costs, 2 mixed.
Commerce runs an early‑adoption incentive program. To qualify, your building must be a covered Tier 1 commercial or qualifying multifamily, and your baseline EUI must be at least 15 units above its target. At least one participating electric, gas, or thermal energy company must help administer payments, and you must meet application rules. Base payments are $0.85 per eligible square foot for Tier 1 and qualifying multifamily, and $0.30 per square foot for Tier 2; parking and unconditioned or semiconditioned spaces do not count. Commerce may offer higher or tiered amounts and extra money for multifamily owners who commit to anti‑displacement. Apply during set windows: over 220,000 sq ft (July 1, 2021–June 1, 2025), 90,001–220,000 (to June 1, 2026), 50,001–90,000 (to June 1, 2027), and Tier 2 (July 1, 2025–June 1, 2030). Energy use must be verified by the owner and each participating provider, and you can appeal eligibility or amount decisions.
Commerce can fine owners up to $5,000 and add continuing fines tied to building size (up to $1 per square foot per year, assessed daily) for violations. Commerce can adjust maximum rates for inflation by rule. Landlords cannot pass fines to tenants who provide access to data and space. All penalties go into the state’s low‑income weatherization and structural rehabilitation fund.
The law sets energy use targets for covered buildings using a model based on ASHRAE Standard 100-2018. Targets are at or below the average for each building type and account for climate zones and normal weather. Owners must report on a set schedule and every five years, and either meet the target, show conditional compliance, or claim a valid exemption. Conditional compliance requires an investment‑grade energy audit, a life‑cycle cost analysis, and a plan with a savings‑to‑investment ratio of at least 1.0; phased work is allowed. Tier 1 deadlines: over 220,000 sq ft by June 1, 2026; 90,001–220,000 sq ft by June 1, 2027; 50,001–90,000 sq ft by June 1, 2028. Commerce updates the standard by July 1, 2029 and every five years and sets rules, enforcement, and appeals.
Commerce adopted benchmarking and energy management rules for Tier 2 buildings by December 1, 2023. Owners are notified by July 1, 2025 and must start filing reports by July 1, 2027, then every five years. Owners can get priority help through a support program focused on underresourced and rural buildings, places with small‑business tenants, high‑risk communities, and owners without building managers. Commerce may fine owners up to $0.30 per square foot for failing to submit required documents; money goes to the low‑income weatherization and rehab fund, and landlords cannot pass fines to cooperating tenants. Commerce must set Tier 2 performance standards by December 31, 2030, considering building age and allowing longer timelines for multifamily; the rules cannot take effect before the end of the 2031 session and must include a small business economic impact statement.
State campus district energy systems, and approved campus systems that opt in, use an alternative path. They are not required to create more than one energy management plan and one operations and maintenance plan for the campus. Buildings on the district may comply through district‑level upgrades if an audit shows those save more energy and the district installs them.
Utilities must keep the last 12 months of energy use for covered nonresidential and public buildings in a format ready for ENERGY STAR Portfolio Manager. With your written or secure OK, a qualifying utility must upload your data; non‑qualifying utilities must upload or give an upload‑ready file within 60 days. For multi‑tenant buildings, utilities must provide aggregated monthly use to owners without needing tenant consent. Utilities must remove tenant personal and billing details to protect privacy.
Commerce keeps a database of covered buildings using county assessor data and other sources. By July 1, 2021, Commerce notified owners about their duties under the standard. Commerce also runs a help center with outreach, training, phone and email support, and technical assistance.
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Beth Doglio
Democratic • House
Alex Ramel
Democratic • House
Cindy Ryu
Democratic • House
Davina Duerr
Democratic • House
Julia Reed
Democratic • House
Lisa Parshley
Democratic • House
Liz Berry
Democratic • House
Timm Ormsby
Democratic • House
All Roll Calls
Yes: 239 • No: 2
House vote • 4/22/2025
Final Passage as Amended by the Senate
Yes: 94 • No: 2 • Other: 2
Senate vote • 4/9/2025
3rd Reading & Final Passage as Amended by the Senate
Yes: 49 • No: 0
House vote • 2/20/2025
3rd Reading & Final Passage
Yes: 96 • No: 0 • Other: 2
Effective date 7/27/2025.
Chapter 264, 2025 Laws.
Governor signed.
Delivered to Governor.
President signed.
Speaker signed.
Passed final passage; yeas, 94; nays, 2; absent, 0; excused, 2.
House concurred in Senate amendments.
Third reading, passed; yeas, 49; nays, 0; absent, 0; excused, 0.
Rules suspended. Placed on Third Reading.
Committee amendment(s) adopted as amended.
Placed on second reading by Rules Committee.
Passed to Rules Committee for second reading.
ENET - Majority; do pass with amendment(s).
First reading, referred to Environment, Energy & Technology.
Third reading, passed; yeas, 96; nays, 0; absent, 0; excused, 2.
Rules suspended. Placed on Third Reading.
1st substitute bill substituted.
Placed on second reading by Rules Committee.
Referred to Rules 2 Review.
ENVI - Executive action taken by committee.
ENVI - Majority; 1st substitute bill be substituted, do pass.
First reading, referred to Environment & Energy.
Introduced
Session Law
5/16/2025
Bill as Passed Legislature
4/30/2025
Substitute Bill
2/10/2025
Original Bill
1/23/2025
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