Building Energy Performance Standards (BEPS)

• The County has developed BEPS that aligns with goals for climate and racial/social equity, balances flexibility with immediate action, provides certainty and transparency for building owners and tenants, and spurs jobs and economic growth. 
• Covered buildings are grouped by building type and a long-term performance standard is created for each building type. 
• After 5 years, buildings are evaluated as to whether they are meeting the interim target: calculated as straight line from baseline to final standard. 

• If a building cannot reasonably meet the Interim or Final Performance Standards due to economic infeasibility or other circumstances beyond the owner’s control, the County can accept a Building Performance Improvement Plan 
• The owner must meet the actions and timelines in an approved Building Performance Improvement Plan to be considered “in compliance” 
• Plans are reviewed by the Building Performance Improvement Board

The metric buildings are measured against is Normalized Site Energy Use Intensity (EUI), a measure of how efficiently a building is using energy relative to its size. The benefits of using this metric include:

• Measuring energy use directly controlled by the building owner
• Easy to understand
• Can be normalized for weather and operations
• Readily available in ENERGY STAR Portfolio Manager for reporting, which is consistent with Benchmarking Law requirements
• Favors electrification—a key strategy for reducing community-wide GHG emissions

The County also plans to provide a renewable energy allowance for all onsite renewable energy as “credit” towards the performance target. 

BEPS covers most commercial and multifamily buildings 25,000 gross square feet and larger. Covered buildings are grouped by size and type:

• County buildings and Groups 1 & 2: County and privately-owned nonresidential buildings 50,000 gross square feet and larger;
• Group 3: County and privately-owned nonresidential buildings 25,000 to 50,000 gross square feet, and buildings previously exempted by the Benchmarking Law;
• Group 4: Multifamily residential buildings 250,000 gross square feet and greater;
• Group 5: Multifamily residential buildings 25,000 to 250,000 gross square feet.

Covered buildings are grouped by size and type. This grouping dictates when buildings begin benchmarking, their baseline periods, and their interim and final standard deadlines:

2021

• The BEPS legislation ( Bill 16-21) was introduced during the May 4, 2021 County Council session. The Council held a public hearing on the bill on July 20, 2021. View the written testimony submitted on Bill 16-21.
• The first Council Transportation & Environment Committee work session on BEPS occurred on October 28, 2021 ( staff packet (PDF) / slides (PDF) / recording). The second work session occurred on December 9, 2021 ( staff packet / slides (PDF, 648KB) / recording).
• On April 1, 2021, the County Executive transmitted the Building Energy Performance Standard legislation to the Council. Download the  full transmittal memorandum and legislative package (PDF). See the Office of Legislative Oversight's Racial Equity and Social Justice Impact Statement (PDF) on Bill 16-21. See the Office of Legislative Oversight’s Economic Impact Statement on Bill 16-21.

2022

• On January 21, 2022, Montgomery County joined forces with state and local governments across the country in the White House Council on Environmental Quality’s National Building Performance Standard (BPS) Coalition. Through the coalition, Montgomery County commits to increase community and local stakeholder engagement to co-design BPS and complementary policies and programs with the goal of adopting BPS programs by Earth Day 2024. See the County’s announcement.
• On March 14, 2022, the T&E Committee received a briefing on the BEPS Technical Report ( staff packet (PDF) / slides (PDF)) and held a third work session on BEPS ( staff packet (PDF) / recording of briefing and work session).
• On March 28, 2022, the T&E Committee reviewed amendments to bill 16-21 ( staff packet (PDF)) and held a final work session on BEPS ( recording of work session). The T&E Committee unanimously voted Bill 16-21 out of committee and Bill 16-21 will go before the full Council for review and final votes.
• On April 19, 2022, County Council voted unanimously to pass bill 16-21, Environmental Sustainability - Building Energy Use Benchmarking and Performance Standards - Amendments ( staff packet (PDF)). Regulations will be issued by December 31, 2023.
• On May 2, 2022 County Executive Elrich signed Bill 16-21 into law ( recording of the bill signing event). The Bill took  effect on July 31, 2022, 90 days after signing.

2023

• On November 1, 2023, draft executive regulations related to BEPS implementation appeared in the November, 2023 County Register, for a public, 30-day comment period that ended November 30, 2023.

2024

• In January a transmittal packet of proposed BEPS regulations (PDF) (including Building Performance Improvement Board recommendations, public comments received, and proposed regulations) was issued to County Council. The regulations will be considered by County Council in 2024. View a clean version of the proposed regulations (PDF).
• The Transportation & Environment Commitee held a series of work sessions on proposed BEPS regulations:
  • Jan 24 - discussion with hospital stakeholders ( staff packet / slides (PDF) / recording)
  • Feb 26 - discussion with affordable housing stakeholders ( staff packet / recording)
  • Mar 18 - discussion with life sciences and biotech stakeholders (  staff packet / recording)
• On February 27 the Council approved a resolution to extend the deadline for consideration of Executive Regulation 17-23, Building Energy Performance Standards to September 30, 2024. 
• In September 2024, the Council approved another resolution to extend the deadline for consideration of Executive Regulation 17-23, Building Energy Performance Standards to February 28, 2025.