California VSP’s

Green it Forward™ Streamlined Online HVAC Permitting Program For Cities & Counties of California April, 2015 Enalasys Corporation

 The Problem The California Energy Commission estimates that cooling buildings comprises up to 30 percent of total demand in the hot summer months, and that poor installation and maintenance may result in potential energy losses of 20 – 30 percent The California Energy Commission estimates that only 10 percent of new HVAC system permits are pulled in California per year The California Contractors State License Board (CSLB) estimates that there are between 12,000 – 16,000 contractors who have C-20 licenses, but as many as 60,000 unlicensed contractors operating in California  The Problem The California Energy Commission estimates that cooling buildings comprises up to 30 percent of total demand in the hot summer months, and that poor installation and maintenance may result in potential energy losses of 20 – 30 percent The California Energy Commission estimates that only 10 percent of new HVAC system permits are pulled in California per year The California Contractors State License Board (CSLB) estimates that there are between 12,000 – 16,000 contractors who have C-20 licenses, but as many as 60,000 unlicensed contractors operating in California

 The Challenge Increase HVAC Permitting 90% by 2020  2006 HVAC Change Out codes & standards went into effect  Building Departments are required to enforce permitted work (Most Building Departments are under resourced)  Most Building Departments have different permit forms and processes confusing the HVAC contractors that service across multiple jurisdictions  Every four years codes and standards are changed  Energy Code is complex and requires retraining of building inspectors and contractors every few years  CEC Required Paper Work is challenging and does not integrate into building departments current systems  Current cost per each pulled permit with inspections to closed permit is approx. $ $ Source Enalasys  The Challenge Increase HVAC Permitting 90% by 2020  2006 HVAC Change Out codes & standards went into effect  Building Departments are required to enforce permitted work (Most Building Departments are under resourced)  Most Building Departments have different permit forms and processes confusing the HVAC contractors that service across multiple jurisdictions  Every four years codes and standards are changed  Energy Code is complex and requires retraining of building inspectors and contractors every few years  CEC Required Paper Work is challenging and does not integrate into building departments current systems  Current cost per each pulled permit with inspections to closed permit is approx. $ $ Source Enalasys

 The Solution & Action Plan  Building Departments should “fully” utilize the HERS process established by the CEC in 1999  Streamline the permitting, payment, HERS, health and safety inspection process  Lower the overall permitting and HERS inspection cost by more than 60%  Offer Express Online permitting, (Verified by a State Certified Third Party)  Make aware & encourage the HVAC Contractors and the public to permit HVAC change- outs  Enforce non-permitted jobs  Get Involved join the Western HVAC Performance Alliance  Take full advantage of State paid training, educational and marketing initiatives  Support State Efforts to track serial numbers at the distributor level. This stops the 60k unlicensed contractors  The Solution & Action Plan  Building Departments should “fully” utilize the HERS process established by the CEC in 1999  Streamline the permitting, payment, HERS, health and safety inspection process  Lower the overall permitting and HERS inspection cost by more than 60%  Offer Express Online permitting, (Verified by a State Certified Third Party)  Make aware & encourage the HVAC Contractors and the public to permit HVAC change- outs  Enforce non-permitted jobs  Get Involved join the Western HVAC Performance Alliance  Take full advantage of State paid training, educational and marketing initiatives  Support State Efforts to track serial numbers at the distributor level. This stops the 60k unlicensed contractors

 The Result State Wide gross savings from Codes & Standards realized between now and 2020 is approximately equivalent to: Deferring the need to run a 500 MW power plant for 16 years or removing 2.6 million cars from the road. Poor installation and maintenance may result in potential energy losses of 20 – 30 percent Source CEC  The Result State Wide gross savings from Codes & Standards realized between now and 2020 is approximately equivalent to: Deferring the need to run a 500 MW power plant for 16 years or removing 2.6 million cars from the road. Poor installation and maintenance may result in potential energy losses of 20 – 30 percent Source CEC

 Enalasys Corporation We are here to do our part!  Established 1997  Verification Service Company  Certified by the CEC as a Third Party Quality Control Program (TPQCP)  1.2 M Plus Wireless Diagnostic Verifications Note: This includes State and IOU Initiatives  Recertified July, By the CEC  Enalasys Corporation We are here to do our part!  Established 1997  Verification Service Company  Certified by the CEC as a Third Party Quality Control Program (TPQCP)  1.2 M Plus Wireless Diagnostic Verifications Note: This includes State and IOU Initiatives  Recertified July, By the CEC

 What We Do  Support, train and certify HVAC contractors on Title -24 HVAC change outs and DUCT alterations  Data Check 100% all Registered CEC submitted CF forms (Eliminates incomplete paper work submitted to the BD)  Through State certified wireless diagnostic technology we collect data (Eliminates altering Data)  Through data checking we Pass or Fail technician jobs  Provide an open API to “ALL” HERS Provider Registries  Provide web interfaces to Bldg Dept, HERS Provider and Rater, HVAC Contractor, CEC and Home and Business owners  Report data to Hers registry (USERA) (Automated)  USERA  Certified By CEC as a HERS registry July 22, 2014  Qualified by the CEC to register (TPQCP) jobs  What We Do  Support, train and certify HVAC contractors on Title -24 HVAC change outs and DUCT alterations  Data Check 100% all Registered CEC submitted CF forms (Eliminates incomplete paper work submitted to the BD)  Through State certified wireless diagnostic technology we collect data (Eliminates altering Data)  Through data checking we Pass or Fail technician jobs  Provide an open API to “ALL” HERS Provider Registries  Provide web interfaces to Bldg Dept, HERS Provider and Rater, HVAC Contractor, CEC and Home and Business owners  Report data to Hers registry (USERA) (Automated)  USERA  Certified By CEC as a HERS registry July 22, 2014  Qualified by the CEC to register (TPQCP) jobs

Now Offering Streamlined Web Based Title – 24 HVAC Express Permitting  Background  Western HVAC Performance Alliance (WHPA)  Goal 6 Vision (WHPA)  Enalasys takes on development  Receives monthly feed back from WHPA members  Launched Green It Forward Streamlined Online Permitting Pilot  Imperial Valley - 5 Building Departments 2 contractors  Participants join WHPA to give feed back  1 Year to build 1 year to flesh out  Background  Western HVAC Performance Alliance (WHPA)  Goal 6 Vision (WHPA)  Enalasys takes on development  Receives monthly feed back from WHPA members  Launched Green It Forward Streamlined Online Permitting Pilot  Imperial Valley - 5 Building Departments 2 contractors  Participants join WHPA to give feed back  1 Year to build 1 year to flesh out

California VSP’s Pilot Participants & References  City of El Centro  City of Imperial  City of Holtville  City of Calexico  City Of Brawley  Enalasys (TPQCP) Master Sponsor  WHPA represents over 1 million industry people  Imperial Valley Small Business Development Center  SBA  US Energy Raters Association  2 Imperial Valley Contractors Locke Air & B’Air  2 CALBO interest events  135 building departments interested  City of El Centro  City of Imperial  City of Holtville  City of Calexico  City Of Brawley  Enalasys (TPQCP) Master Sponsor  WHPA represents over 1 million industry people  Imperial Valley Small Business Development Center  SBA  US Energy Raters Association  2 Imperial Valley Contractors Locke Air & B’Air  2 CALBO interest events  135 building departments interested

Value to Building Departments  Secure cloud – web based system  Easily integrates into your existing processes  Generates CF1R when contractor pulls the online permit (Eliminates Returned Applications)  Tracks all the required CEC CF forms  System accepts credit cards with no merchant fees charged to building departments  Setup takes 30 minutes or less  Customizable to fit your department’s pricing & procedures  and Call alert for inspections  Forms Auditable by CEC, makes you instantly compliant without worry  Free to building departments  Free training  Secure cloud – web based system  Easily integrates into your existing processes  Generates CF1R when contractor pulls the online permit (Eliminates Returned Applications)  Tracks all the required CEC CF forms  System accepts credit cards with no merchant fees charged to building departments  Setup takes 30 minutes or less  Customizable to fit your department’s pricing & procedures  and Call alert for inspections  Forms Auditable by CEC, makes you instantly compliant without worry  Free to building departments  Free training

Value to HVAC Contractors  Secure cloud – web based system “One Stop Shop”  Saves time and money up to 60% or more  Pull a permit from any computer or device with internet connectivity  Eliminates costly returned applications  Automatically generates, verifies and files all State required CF forms with appropriate entities  Printable paper permits  Tracks and alerts contractor of all open permits  System accepts all major credit cards  Setup takes 30 minutes or less  Automatically alerts HERS Rater  Free training  Secure cloud – web based system “One Stop Shop”  Saves time and money up to 60% or more  Pull a permit from any computer or device with internet connectivity  Eliminates costly returned applications  Automatically generates, verifies and files all State required CF forms with appropriate entities  Printable paper permits  Tracks and alerts contractor of all open permits  System accepts all major credit cards  Setup takes 30 minutes or less  Automatically alerts HERS Rater  Free training

Why Enalasys?  Enalasys has experience working with the CEC since the late 90’s  The only 3 rd party quality control program in existence certified by the CEC  No legal barriers (See your packet CEC Appendix RA2.7)  Over 1.2 million verifications with our industry leading technology  Enalasys has experience working with the CEC since the late 90’s  The only 3 rd party quality control program in existence certified by the CEC  No legal barriers (See your packet CEC Appendix RA2.7)  Over 1.2 million verifications with our industry leading technology

Three Easy Next Steps  Say yes to a 90 day pilot trial  Enalasys will train your permit technician or permit processor in 30 minutes or less for free  Enalasys will recruit and train HVAC contractors in your jurisdiction on the use of the system  Say yes to a 90 day pilot trial  Enalasys will train your permit technician or permit processor in 30 minutes or less for free  Enalasys will recruit and train HVAC contractors in your jurisdiction on the use of the system

California VSP’s Questions?