www.energystarhomesamerica.com

Issue 5 Volume 4

May 2006

How to Claim the Federal
Energy-Efficiency Tax Credit
by Kelly Parker
We have received numerous requests for information on the new Federal Tax Credit and so far, the most common question has been “How do we claim it?” Following is a simplified list of the required steps for claiming the credit.

A residential tax credit is available to builders and owners of energy efficient homes.
Builders:
A $2000 credit is available for builders of homes with certified heating and cooling energy 50% above IECC 2004. A qualifying home must be ‘substantially completed’ after August 8, 2005 and acquired from the contractor between December 31, 2005 and January 1, 2008.

The process for builders:
   - Plan Review with calculations
   - Oversight by a HERS Rater or equivalent (this has yet to be defined)
   - Verification with certified software
   - Complete and submit Tax Form 8908 (example above)

Homeowners:
The credit is available to homeowners toward energy-efficiency expenses incurred between January 1, 2006 and December 31, 2007.
Following is a list of qualifying products and equipment and their corresponding credits.

Product Type	Specification	Tax Credit
Windows	IECC 04 or ES	10% up to $200
Storm Windows &Skylights	Storm plus existing meets IECC 04	10% up to $200
Doors	IECC 04	10% up to $500
Storm Doors	Combined wood door default U-value plus storm < IECC 04	10% up to $500
Insulation	Total = IECC04	10% up to $500
Metal Roofs	ES low heat gain	10% up to $500

Equipment*	Standard	Tax Credit
Central Air Conditioning	15 SEER & 12.5 or 13 EER	$300
Air-Source Heat Pumps	15 SEER, 9 HSPF, 13 EER	$300
Ground-Source Heat Pumps	ENERGY STAR Qualifying  (must also provide water heating)	$300
Natural Gas, Oil or Propane Furnace / Boiler	95% AFUE	$150
Furnace Blower	ECM Motor (electricity use < 2% of total furnace site energy use)	$50
Electric Heat Pump           Water Heater	2.0 EF (Energy Factor)	$300
Natural Gas, Propane         or Oil Water Heater	0.80 EF (Energy Factor)	$300

Homeowners, remember to save all of your receipts and builders, save your  third-party documentation (e.g. HERS Rating Report or engineering analysis for ASHRAE 90.1) and consult with the IRS or your tax advisor. Your certification report must include a description of the envelope per IECC 401.3, a description of the HVAC equipment and identification of the software program used. Your third-party verification provider should provide a certificate with plan analysis (inspection confirmation of 50% reduction).
For additional information, please visit www.energytaxincentives.org

Thank You,

Kelly Parker, P.E.
President, GWS
Inspector’s Corner
Air Barriers
by Kenneth Lackey, Regional Manager
Air barriers are systems of materials used to control airflow in building enclosures. They typically completely enclose the air within a building. The physical properties which distinguish air barriers from other materials are the ability to resist airflow and air pressure.

Air barriers are intended to resist the air pressure differences that act on them. Rigid materials such as gypsum board, exterior sheathing materials like plywood or OSB, and supported flexible barriers are typically effective air barriers if joints and seams are sealed.

Air barriers keep outside and inside air out of the building enclosure. Air barriers can be located anywhere in the building enclosure, at the exterior surface, the interior surface, or at any location in between. In heating climates, interior air barriers control the exfiltration of interior, often moisture-laden air. Whereas exterior air barriers control the infiltration of exterior air and prevent wind washing thru insulation.

  Whereas they are, air barriers should be:

• impermeable to air flow
• continuous over the entire building enclosure
• able to withstand the forces that may act on them during and after construction
• durable over the expected lifetime of the building

Air barriers define the location of the pressure boundary of the building enclosure. The pressure boundary is defined as the location where 50 percent or more of the air pressure drop across an assembly occurs.

The air barrier and pressure boundary are the primary air enclosure boundary that separates indoor (conditioned) air and outside (unconditioned) air.

Indoor air is air in a conditioned space. A conditioned space is the part of the building that is designed to be thermally conditioned for the comfort of occupants or for other occupancies or for other reasons.

The air barrier and the pressure boundary also separate the conditioned air from any given unit and adjacent units in townhouses, condominium and apartment construction.

In this regard, the air barrier and the pressure boundary are also the fire barrier and smoke barrier in inter-unit separations. In such assemblies the air barrier and pressure boundary must meet the specific fire resistance rating requirements for the given separation.

The air barrier and pressure boundary also separate garages from conditioned spaces. In this regard an air barrier is also a “gas barrier” and provides the gas-tight separation between a garage and the remainder of the house.

Air retarders are different from air barriers. Air retarders are materials or systems that reduce airflow or control airflow but do not resist 50 percent or more of the air pressure drop across an assembly.

  Four common approaches are used to provide air barriers in residential buildings:

• interior air barrier using drywall and framing
• interior air barrier using polyethylene
• exterior air barrier using exterior sheathing
• exterior air barrier using housewraps

Some spray applied foam insulations can be used as interstitial (cavity) air barriers, notably polyurethane foams. Typically applied damp spray cellulose is not an effective interstitial air barriers, rather it is an air retarder.

An advantage of interior air barriers over exterior systems is that they control the entry on interior moisture-laden air into assembly cavities during heating periods. The significant disadvantage of interior air barriers is their inability to control wind-washing through cavity insulation.

The significant advantage of exterior air barriers is ease of installation and lack of detailing issues due to intersecting partition walls and service penetrations. However, exterior air barriers must deal with transitions where roof assemblies intersect exterior walls. For example, an exterior housewrap should be sealed to the ceiling air barrier system across the top of the exterior perimeter walls.

An additional advantage of exterior air barrier systems is control of wind-washing that an exterior air seal provides. The significant disadvantage of exterior air barriers is their inability to control the entry of air-transported moisture into cavities from the interior.

Installing both interior and exterior air barriers address the weakness of each.

Air barriers can also be provided with properties which also class them as vapor barriers. An example of this is polyethylene film which can be used as both an air barrier and a vapor barrier.

Keep in mind, however, polyethylene on the inside of building assemblies in cold, mixed-humid, marine, hot-dry and hot-humid climates is not a good idea; drying of building assemblies in these climates occurs to inside as well as to the outside.

Interior drying is typically necessary in air conditioned enclosures. In other words, interior vapor barriers such as polyethylene should never be installed in an air conditioned building - even one located in very cold climate.

Ref: Building Science Corp  
For more information, please contact our GWS corporate office @ 1-888-488-0206.

Announcements:
Affordable Comfort 2006 in Austin, TX
The ACI Home Performance Conference of 2006 will be held in Austin, Texas from May 22 - 26 at the Hilton Austin on 4th Street in the heart of downtown.
For more information, please visit www.affordablecomfort.org