STAND. COM. REP. NO. 1603-24

Honolulu, Hawaii

, 2024

RE: S.B. No. 2753

H.D. 2

Honorable Scott K. Saiki

Speaker, House of Representatives

Thirty-Second State Legislature

Regular Session of 2024

State of Hawaii

Sir:

Your Committee on Consumer Protection & Commerce, to which was referred S.B. No. 2753, H.D. 1, entitled:

"A BILL FOR AN ACT RELATING TO BUILDING CODES,"

begs leave to report as follows:

The purpose of this measure is to:

(1) Clarify that no state or county building code can prohibit the use of a substitute refrigerant allowed by the Environmental Protection Agency if the applicable equipment is listed and installed in compliance with any applicable safety standards and use conditions; and

(2) Require the State Building Code Council to establish codes and standards consistent with the goal of reducing greenhouse gas emissions associated with hydrofluorocarbons.

Your Committee received testimony in support of this measure from the Department of Health; Building Decarbonization Task Force of the Hawaiʻi Environmental Change Agents; Climate Protectors Hawaiʻi; Air-Conditioning, Heating, and Refrigeration Institute; and Environmental Investigation Agency. Your Committee received testimony in opposition to this measure from the Chamber of Sustainable Commerce.

Your Committee finds that hydrofluorocarbons (HFCs) are primarily used as refrigerants in air conditioners and refrigerators as well as other applications such as fire suppressants, solvents, foam blowing agents, and aerosols. HFCs are greenhouse gases with global warming potentials that can be hundreds to thousands of times more potent than carbon dioxide. Their use has been rapidly increasing worldwide due to the global phaseout of ozone-depleting substances and increased demand for refrigeration and air conditioning.

Your Committee further finds that the federal American Innovation and Manufacturing Act of 2020 (42 U.S.C. 7657) authorizes the United States Environmental Protection Agency (EPA) to phase down the production and import of HFCs and transition to a range of new environmentally friendly substitute refrigerants. To date, over forty states have updated their building codes to include necessary changes that will allow the use of substitute refrigerants and avoid any marketplace disruptions as the EPA transition begins. This measure removes a barrier to ensure that the State's consumers and businesses can maintain uninterrupted access to new air conditioning and refrigeration equipment that uses the most advanced and climate-friendly technologies available.

Your Committee has amended this measure by:

(1) Clarifying that building codes and standards are to be consistent with the goal of reducing greenhouse gas emissions associated with hydrofluorocarbons and not in conflict with federal law; and

(2) Making technical, nonsubstantive amendments for the purposes of clarity, consistency, and style.

As affirmed by the record of votes of the members of your Committee on Consumer Protection & Commerce that is attached to this report, your Committee is in accord with the intent and purpose of S.B. No. 2753, H.D. 1, as amended herein, and recommends that it pass Third Reading in the form attached hereto as S.B. No. 2753, H.D. 2.

Respectfully submitted on behalf of the members of the Committee on Consumer Protection & Commerce,

____________________________

MARK M. NAKASHIMA, Chair