PHCC of Washington News, Spring 2014

PHCC of

Spring 2014

The Official Publication of the Plumbing, Heating, Cooling Contractors of Washington State Association

PHCC Washington State Convention Issue September 18 - 21 Campbell’s Resort Lake Chelan

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www.phccwa.org • PHCC of Washington News • Spring 2014

PHCCWASHINGTON SPRING 2014

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PHCCWA President’s Message - Gerald Church

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PHCC Brand Awareness Program: Telling our “Best” Story - Gerry Kennedy

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The Advocate Within All of Us - Mark Riso

10 Membership Highlight: Sean Daly - The Art of Plumbing

PHCC of Washington

12 PHCCWA 2014 Washington State Convention 13 Convention Tradeshow Vendor Sign-up and Payment Form 14 Employee Retention - Five Easy Strategies for Keeping Great People 19 PHCCWA Membership Application 20 PHCCWA Annual Golf Tournament Registration 21 PHCCWA Golf Sponsorship Form

PHCC of Washington News is published twice per year for the Plumbing, Heating & Cooling Contractors of Washington Association Greta Flinn, Executive Director PO Box 64580 University Place, WA 98464-0580 Toll Free: (888) 891-9240 Fax: (866) 272-2545 http://www.phccwa.org For information on advertising in this magazine, please contact the publisher: Jim Aitkins • Blue Water Publishers, LLC • (360) 805-6474 jima@bluewaterpublishers.com www.bluewaterpublishers.com

22 Are You Ready? 2015 Department of Energy Final Rule

President’s Message

Gerald Church

Economy, a word that brings out emotions. Does it make you shudder with fear of tingle with anticipation? I’m very encouraged by what’s happening but sill nagged by caution and fears.

We need to find ways to overcome those fears. Now is our time. Time to grow our businesses, grow our profits and improve the service we provide to our customers.

PHCC is here to help you make that happen. We invite you to join us at beautiful Campbell’s Resort in Lake Chelan, WA, Sept. 18th -21st, 2014 for a weekend full of educational seminars, wonderful guest speakers, a trade show, new

industry Products, information and networking, you will also be given plenty of time to explore beautiful Lake Chelan on your own. There are several golf courses, wineries, zip lining, water parks, water actives and just enjoying the beauty of the lake and surrounding areas.

Let’s find ways to make our business, our jobs, our lives and our industry the best they can be.

Reach For the Stars, Gerald Church President PHCC Washington President J & K Plumbing, Inc.

A Special Thank You to Our Advertisers American Apartment Owners Association 15 Bradford White 5 Consolidated Supply Company 24 Ferguson 2 Hollabaugh Bros and Associates 18 Interline 9 Keller Supply 23 4

Liberty Pumps 3 Rockford Separators 16, 17 Saniflo 11 Star Rentals 15 T & S Brass 7 Turbonics 18 Watco 6 www.phccwa.org • PHCC of Washington News • Spring 2014

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Telling Our “Best” Story

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PHCC Comments on EPA Lead Paint Rule for Commercial and Public Buildings. This week PHCC and members of the Lead Paint Coalition submitted comments to the EPA against expanding the lead paint rule to commercial and public buildings. The coalition comments outline concerns regarding EPA’s information gathering process. EPA will soon send surveys to contractors in order to gather information on contractor projects in commercial and public buildings. The information contractors submit will serve as the foundation for the lead paint rule that the EPA plans to finalize next year, with compliance starting in 2016. PHCC will keep members informed as EPA begins to draft the rule.

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PHCC’s 2014 Advocacy Conference. The only way our industry’s voice is heard on Capitol Hill is when PHCC members tell the story of the importance of our industry.

PHCC National must work with Capitol Hill security in order to ensure access, so please register early so that we can make sure you have a wonderful experience in Washington, D.C.

•

The 2014 International Emerging Technology Symposium offers PHCC members an opportunity to learn about water and energy issues on a regional, national, and global level. The Symposium will be a forum for innovators from around the world to present actual and potential water and energy conservation solutions. Contractors should consider attending to understand these challenges, which may be global in nature yet may be found in their own backyard.

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As plumbing and HVAC professionals, promoting water conservation and saving energy should be a major emphasis in business operations. As an interested professional, plan to attend the 2014 International Emerging Technology, April 23-24, 2014, at the Crystal City Gateway Marriott near Washington D.C. •

•

register early so PHCC staff can arrange the proper security logistics on Capitol Hill.

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 The January issue of the HR Personnel e.bulletin: 2014 Employment Law Trends & Changes. This issue covers the biggest changes in Federal and state HR laws and provides a glimpse at workplace trends emerging for 2014.

National Membership Database. This week PHCC national staff participated in an orientation about the updated membership database. New available tools and standard operating procedures to best serve members were all discussed. There have been several improvements over the past year, including the option for members to pay their dues online and to choose to pay in installments. We are excited about the next phase of upgrades, including the ability to target more communications to members based on their specific interests.

PHCC’s 2014 Advocacy Conference. Note the new name to emphasize that this conference is about both legislative and regulatory advocacy. Next week PHCC will be rolling out plans and registration information for the 2014 PHCC Advocacy Conference (May 21-22, 2014). The Advocacy Conference is your voice on issues impacting the industry on Capitol Hill and in the regulatory agencies. Be sure to

Website Resources. Here are a few of the new resources added to the PHCC Educational Foundation section of the PHCC website in January:

 A link to the Contractor Magazine article Educating Our Future Workforce written by Foundation staff member Merry Beth Hall.  Recordings of the Foundation webinars 2014 Guide to Web Marketing Success and Customer Service Superiority, sponsored by Kohler Company.  The application form for 2014 Foundation scholarships.

A total of 25 scholarships worth up to $61,500 will be awarded by the Foundation this year.

Go to phccweb.org for all the above information and more!

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www.phccwa.org • PHCC of Washington News • Spring 2014

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By Mark Riso Director of Government Relations PHCC National Association

The Advocate Within All of Us

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n seven months, I’ll become an “empty-nester.” I’ve worked to raise three wonderful sons whose departure (the first two have already gone, the youngest is getting ready) marks the most profound sense of pride and sadness I can imagine. Like many of you who have gone through this experience, I wonder – • is the world/democracy that my sons are headed into, better or worse than the world/democracy I headed into when my parents became empty-nesters?

• have I helped to provide my sons with the skill sets necessary to succeed?

• Have I been able to convey to my sons, the critical importance of always being active in public policy? (whether they make it their profession or not, as an American citizen…we are all advocates-always) and, • will they visit for the holidays and will they ever stop asking for money?

I thought about it over this past holiday and I was able to answer the first two questions (the other questions will have to be answered at another time). As long as this nation continues to honor its original commitment as a nation “of the people,” my sons will be fine. As long as this nation continues a commitment to being a nation of “ideas,” my sons will be fine.

As long as this nation continues to provide an avenue whereby “the people” have a “voice” in the decisions of the nation, my sons will be fine. Sounds simple…but nothing about governing a nation is simple.

I also spent time over the holiday looking into why some aspects of public policy (at the local, state, and federal levels) have failed…and succeeded. What I found was not stunning, and could really be viewed as common sense. In a nation where “the people” should be the main ingredient for success, a policy succeeded as long as the purest form of a democracy (as intended by our forefathers) was respected.

A policy failed when the purest form of democracy (as intended by our forefathers) was denied. So that we are on the same page…we live with countless legislative measures and regulations that are not the direct result of the purest form of a democracy.

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But what I also found to be true was that public policy only succeeded when “the people” exercised their responsibility as American citizens. A policy only succeeded when “the people” were active and made their voice heard – instead of waiting to be asked what they thought.

The greatest advocacy organizations all have one dynamic in common – they are all proactive. They are well structured and go to Capitol Hill to demand that their voice be heard.

Yes, we elect leaders to represent us…however, do you really believe that a majority of Members of Congress understand your business…your industry? It is up to you to tell them how what they do impacts you, your family, your business, and your industry.

Washington, DC – Capitol Hill…is the absolute fulfillment of a vision created over two hundred years ago, the vision and commitment of which, created the greatest nation on earth. A vision where the “people” are the main ingredient to greatness.

A vision that has led men and women to give their lives to ensure its success.

In May (2014), you have the opportunity to walk the halls of Congress…to enter into the heart-beat of the most powerful nation on earth. And by the way, you’ve been blessed to live in a nation where you can do this.

The PHCC Legislative Conference (May 21-22, 2014) is a ticket to experience the vision of our nation, to practice the wisdom of a democracy, and help to advance your industry.

The political pendulum will always swing back and forth.

There will always be political factions popping-up-then fading away. There will always be issues that will take the focus of the nation in all sorts of different directions, then evaporate...

HOWEVER...”the people” never goes away.

As Ma Joad said at the end of the American classic, The Grapes of Wrath, “…but we keep a’comin’. We’re the people that live.

They can’t wipe us out; they can’t lick us. We’ll go on forever… ’cause we’re the people.” www.phccwa.org • PHCC of Washington News • Spring 2014

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PHCCWASHINGTON Membership Highlight

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Sean Daly The Art of Plumbing

got the antique bug from my dad by going to a thousand garage sales. He collected various Items mostly because he thought they were worth a lot of money. I really didn’t have the money to start a collection of anything in those years and kinda forgot about antique or garage sale shopping during my early 20s. Then I got a job plumbing with my first boss and he collected various plumbing and wood working tools. He would see something at a customer’s house, and would ask if they were getting rid of it, sometimes he would take money off the bill if he really wanted it, we usually left the job with something or another and I thought it was fun. Then one day at my future father in laws house, I noticed his collection of 10 or so gas torches displayed on the fire place mantel in the basement. He had one in particular that I really liked. It’s a small blue pistol grip gas torch. I decided to try my boss’s method of procurement to no avail. My future father in law was really attached to that special torch and would tease me that I’ll never find one like it. So I decided to start looking. The more I searched antique stores, the more I was learning to become a plumber, the more interested I became in learning how they plumbed in the old days. They’re installations and craftsmanship stood the test of time and sometimes was the only thing holding up the floor.

One time we were in a building built in 1903. My boss took me aside and pointed out a maze of venting pipes and waste lines that I was gonna demo. He said “I want you to take a good look at the lead work; you won’t ever see that kind of craftsmanship with lead ever again.” He took the time to explain to me how they used to “wipe” the lead joints and shape and bend the lead pipe with wood tools. It was pretty cool actually.

Then it was time to tear it out.

Later on in my carrier I had picked up some things here and there. Some were given to me cause it was “just some old crap” Their dad used forty years ago. Some was purchased, and some was given as presents. One of those gifts was given to me by my wife for my birthday. It was a 1914 Wall plumbing supply catalogue bound in leather. This thing was so cool, I realized they had thermostatic valves and body sprays, tools and fixture we had presage day. Now I really had a reference book to start collecting. Also I started my own business and joined PHCCWA. This provided me with a purpose to collect for display and found others that had similar interest and

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appreciated the skill and tools of the trade that were bygone.

Many of the Items have been given to me by members or their employees.

It’s really special to hear from them the stories behind the Item they gave me. How it was their dad’s level or they remember their grandpa using it. It wasn’t crap.

All of this collecting culminated into a very special event for me and the PHCCWA. The Lead benders show July 2nd 2009. I got to display all of my antiques, we had several members show us how to caulk a joint, prep the fittings, wipe a lead joint. We had a lot of fun and quite a few people.

I think I have about 900 to 1000 items. From books to sales literature, hand tools to early electrical tools. They bulk is early 19 the century. But I have some more current things like a 1981 brick cell phone and some 60s coke cans.

I’ve still get things here and there but have expanded into old wood working tools and machining items. I don’t really care if the items are worth a lot of money. I promised all who gave me something for my collection that I would never sell it.

One day I would love to display it at a museum or something along that line.

My most prized items of my collection are the eagle 1/2 pound soldier cakes with the embossed eagle, wall plumbing catalogue.... And maybe someday, that blue pistol grip torch. www.phccwa.org • PHCC of Washington News • Spring 2014

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Plumbing, Heating, Cooling Contractors of Washington

2014 Washington State Convention Campbell’s Resort, Chelan Washington September 18 - 21, 2014 We invite you to join us at beautiful Campbell’s Resort in Lake Chelan, WA for a weekend full of educational seminars, wonderful guest speakers, tradeshow, new industry products, information and networking. Earn CEU’s. Please see the tentative agenda below.

Thursday, September 18th 5:00p – 7:00p Cocktail Reception

Friday, September 19th 8:30a – 9:30a 9:45a – 12:15p 12:30p – 4:30p 12:30p 4:30p – 5:30p

PHCC of Washington Welcome Educational Seminars – Emergency Preparedness, IAMPO Lunch Buffet & Vendor Tradeshow Silent Auction Starts Educational Seminars – BAVCO

8:30a – 9:00a 9:00a – 1:00p 7:00p – 10:00p 8:30p

PHCC of Washington Welcome Educational Seminars – Worker Comp 101, HR, Federated Insurance Dinner Buffet Silent Auction Closes

Saturday, Sept. 20th

Registration available online at www.phccwa.org/event-registration Cost: Before Aug. 1st After Aug. 1st Registration for all 3-day convention $330.00 $400.00 Registration for spouse, employee or guest $297.00 $360.00 Registration for Friday only $200.00 $200.00 Registration for Saturday only $150.00 $150.00 Meals only $145.00 $145.00 Hotel reservations can be made by contacting Campbell’s Resort directly at 1-800-553-8225 or online at www.campbellsresort.com and request the PHCC group rate.

For more information, sponsorship opportunities and questions, please contact Greta Flinn at 1-888-891-9240 or email greta@phccwa.org. Thank you for your support!

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www.phccwa.org • PHCC of Washington News • Spring 2014

Tradeshow Vendor Payment

Tradeshow Vendor Sign-up We invite you to join us at beautiful Campbell’s Resort in Lake Chelan, WA for a weekend full of educational seminars, wonderful guest speakers, tradeshow, new industry products, information and networking. If you would like to be a participant in our Tradeshow on Friday, Sept. 19th, please see the information below on signing up.

Vendor booths are $200 for PHCC members & $300 for non-PHCC members.

Each booth includes: • One 6 foot vendor table • White table cloth • White table skirt • Two chairs Date: Friday, September 19th, 2014 Set-up: Anytime between 8:00a – 12:00p Tradeshow Time: 12:30p – 4:30p

Booth Payment: $200 for PHCC Member $300 for non-PHCC Member My check for the amount of $__________ is enclosed OR Please charge my credit card $__________ h Visa h Mastercard Company Name: ____________________________________ Card Holder: ____________________________________ Phone: _____________________

Registration Deadline: July 31st, 2014

Card Number: ___________________________________

Spaces are limited. Don’t miss out on a wonderful business opportunity! SIGN UP TODAY!!

Expiration Date: _____________

For more information or questions, please contact Greta Flinn at 1-888-891-9240 or email greta@phccwa.org.

2014 PHCC of Washington Washington State Convention

Billing Address w/zip: __________________________________________________ __________________________________________________ Signature: _________________________________________ Date: _______________________ Please remit payment to: PHCCWA P.O. Box 64580 University Place, WA 98464 Fax: 866-272-2545 THANK YOU FOR YOUR SUPPORT!

www.phccwa.org • PHCC of Washington News • Spring 2014

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Employee Retention Five Easy Strategies for Keeping Great People From the PHCC Educational Foundation via third-party

“

The ultimate throttle on growth for any company is the ability to get and keep enough of the right people.” This quote from Jim Collins’ book Good to Great, is a perfect introduction to the topic of retention. Basically, what Mr. Collins is saying is that the key to running a “great” company is having “great” people.

Taking the concept one step further, having a satisfied and engaged workforce (great people) leads to operational excellence, which produces customer loyalty and that leads to increased profits (a great company).

Why Focus on Retention?

There are many reasons to focus on employee retention, but the number one reason is because turnover is very expensive. While it may appear difficult to put a real number on the cost of turnover, most studies indicate that – when you consider lost productivity plus management time to fill vacancies plus time to train new staff – the hard dollar cost of turnover is approximately 50% of the annual pay of each person you have to replace. So it is nothing but common business sense to focus on retention to reduce turnover.

In fact, it could be said that having high retention numbers actually cuts operating costs.

But, unfortunately, the reality is that every week thousands of well-performing and hard-working employees leave their companies. The average annual turnover range for most companies is 18-34%. So why do good employees leave? Many believe that most employees leave for more money or better benefits. But, again, studies indicate that most employees don’t actually leave companies, they leave their supervisors! Employees want to work in an environment where managers care about them personally and professionally and where their managers have the supervisory skills to help them grow and learn. When employees don’t have this connection at work, they “quit their boss.”

Efforts to enhance employee satisfaction and retention actually start with recruiting. Before you can keep good people, you have to hire good people. Hiring good people starts with creating an employment brand. Determine what your company’s culture and 14

philosophies are and hire people who will be a good match. Ways to accomplish communicating your brand include enhancing your Web site to reflect your company’s culture. For example, if you have a fun and entrepreneurial workplace, be sure your Web site reflects that. In addition, ensure that effective interviewing practices are in place that will help you identify the right candidates.

Once you are able to bring in good talent, the real challenge begins. Keeping good employees is all about creating employee satisfaction. And, simply said, when employee satisfaction goes up, customer satisfaction goes up and profits go up, too! In a typical organization only 20% to 30% of employees are engaged and satisfied and willing to give their best efforts. If you take a few moments to focus on engaging and retaining your employees it will pay off in real profits. Below you will find some suggestions of cost effective retention strategies. Some business owners may find that it is not practical or possible to implement all of these strategies, but it is important to consider which strategies can help you retain your best employees.

Do the HR Basics Well!

While employees aren’t typically going to leave an organization over money, benefits, or other core Human Resources programs, they aren’t going to come to your organization if your company doesn’t do these things right in the first place. Important HR basics to focus on include offering competitive pay and benefits, having an effective new employee orientation to the organization and the job, and ensuring employees have the tools and resources necessary to do their jobs.

Compensation and Benefits programs should be properly designed and implemented to meet the needs of your current and future workforce. Your company’s compensation and benefits programs should be communicated in a meaningful way so that employees understand their value. Here are some questions you should ask yourself to ensure that your company is competitive in this area: • Does the company understand what the market pays employees who hold the same positions that you employ? www.phccwa.org • PHCC of Washington News • Spring 2014

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•

Does your benefits package achieve company goals such as providing a safety net for employees or encouraging them to maintain their own health?

• Does the benefits package match the company’s employee demographics, not wasting money on benefits that don’t meet the needs of the workforce?

• Does the benefits package attract desired applicants?

• Does the benefits package recognize an employee’s time in a position?

It is important to ensure that employees have the Tools and Resources necessary to do their job. This could be as simple as providing a cell phone, uniform or even a GPS for drivers. Not only will these types of tools make the employees feel more supported in their work, it will probably make them even more productive!

Finally, make sure that your company has a comprehensive Orientation Program that ensures that new employees are welcomed, processed seamlessly into company systems such as pay and benefits, trained as needed, and integrated effectively into their work. Employees need to understand their work assignments and to feel like they have a doable job. They also need to understand how their job ultimately impacts the results of the company. Here are a few questions to ask yourself to ensure you have a well-designed orientation program.

• Do new hires receive a welcome letter?

• Before their first day, do employees know what to expect when they arrive?

• Do you have a package of materials organized for the new employee to put them onto payroll, benefits, etc.?

• •

Are supervisors prepared for the new employee and have they set time aside to spend with them during the early days of their employment?

Who assumes responsibility to ensure that the new employee understands the organization, its goals, and basic policies and procedures?

Manage Performance and Recognize and Reward Good Performers

Every company must pay attention to measuring employee performance and providing regular recognition and rewards. While providing quality feedback is something that doesn’t always come naturally, it is a skill that every manager must learn. Eighty-nine percent of workers say that getting candid feedback is important, but only 39% say that they receive it!

In order for employees to perform well, they need to know what is expected of them. Managers need to define the standards of performance and have a system for Measuring Performance.

Equally importantly, managers can’t ignore poor performers or bad behavior. Ask yourself the following questions to determine if your performance management techniques can help enhance retention: • Do employees get both positive and constructive feedback in a timely manner?

• Are performance issues documented and followed up on appropriately?

• Does the company have a way for employees to raise issues or express concerns?

• When performance improves, is it acknowledged and recorded?

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www.phccwa.org • PHCC of Washington News • Spring 2014

Once performance is measured, you need to recognize those employees who are good performers and reward them appropriately.

This is a small investment to make in order to retain your top performers. Determining the best Recognition and Reward Strategies is all about understanding what you want to reward and what motivates people. Reward systems need to truly motivate people to change their behaviors to produce strong performance and to sustain that performance over time. Employees often don’t understand what it takes to make a company successful or profitable.

For example, cost of goods may not seem important to the average worker, but if they were to receive a bonus for minimizing waste on the job, there would be more motivation for everyone to work toward the bottom line of the company. Money can be used as a reward but it is a short-term motivator. There are many other non-monetary rewards that companies can provide. Amongst the strongest of these is recognition. Sixty-five percent of employees have not been given as much as a “thank you” by their immediate supervisor in the last year.

Let’s face it – everybody wants Work Life Balance. We all want to be able to balance work with our personal lives. But how realistic is this when you’re trying to run a small business? It’s very realistic.

And it’s very beneficial. Companies need to recognize the benefits of providing work life balance for their employees and establishing an atmosphere that promotes respect for the demands of modern life. There are many things you can do to help provide good worklife balance. These include flexible work schedules, part-time work schedules, job sharing, compressed workweek, etc.

One of the benefits of focusing on work life quality and balance in your company is that you can make it uniquely your own plan – there is no cookie cutter approach. A thoughtful and unique approach will attract employees who want to work in your type of environment. And if the environment you create has a sense of community, shows employees that you value and care about them, and provides for open and honest communication, you will have gone a long way in not only attracting, but also retaining a strongly contributory workforce.

Provide Quality Work Life

Ensure Management Effectiveness

It seems that today everybody talks about employees wanting work life balance and companies that provide work life quality. But what does Work Life Quality really mean? In fact it means different things for different companies. In the broadest sense it means that a company provides a positive work environment and consciously works to keep employees satisfied with their employment.

Obviously making this work in one company will be different from making it work in another.

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This topic has been saved for the end because it truly is the most critical. Remember, employees leave supervisors, not companies.

An employee’s relationship with his or her boss is the top factor in determining whether there is a successful partnership between the person and the company. Therefore, ensuring strong and effective management is critical. Making an investment in the quality and effectiveness of your management team will pay off. Employees need two things from their managers. First they need managers with

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good Managerial Skills. If your management team is lacking great management skills, invest in management training and development right away. The critical things that employees are looking for in a good manager are: • managers who create opportunities for staff development at all levels, • managers who provide leadership, direction and support, • managers who care about their employees, • managers who treat their employees well and fairly, and • managers who provide face time with their employees.

Mark Schweber, owner of Water Works Plumbing in Rockville, Md., says he has very little turnover. When asked why he thinks people stay at his company, he said “the most important thing I do in my company is I pay attention to my people. I try to understand each employee individually well enough to know what might make a difference to them. I do small things that show that I care. In the end, what might seem small to me is very important to that employee. When you run a small business, you need to be willing to help people with their problems.”

The second thing employees need from their managers is the Ability to Learn and to be given new opportunities. Almost all employees want to learn and grow. They want to make meaningful contributions and feel a sense of accomplishment.

Again, Schweber agrees, “Giving employee the opportunity to learn new skills keeps them satisfied at work. And, when employees are happy, they do the job right the first time, which ultimately make the customers happy and leads to more business.”

In summary, there are so many things a company can do to focus on and improve staff retention. These strategies can be fun and affordable to implement. And, in the end, organizations that build a committed, interested and engaged workforce can gain a true competitive advantage. If you make retention a priority, you will be able to attract and keep the people who will make your business a success.

This content was provided by a third party via the PHCC Educational Foundation.

Please consult your HR professional or attorney for further advice, as laws differ in each state.

The PHCC Educational Foundation, a partnership of contractors, manufacturers and wholesalers was founded in 1987 to serve the plumbing-heating-cooling industry by preparing contractors and their employees to meet the challenges of a constantly changing marketplace.

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www.phccwa.org • PHCC of Washington News • Spring 2014

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www.phccwa.org • PHCC of Washington News • Spring 2014

www.phccwa.org • PHCC of Washington News • Spring 2014

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ARE YOU READY? 2015 Department of Energy (DOE) Final Rule Effective April 16, 2015

The new 2015 DOE Final Rule energy efficiency mandates will require higher Energy Factor (EF) ratings on virtually all residential gas, electric, oil and tankless gas water heaters, completely altering the water heater landscape. These changes will have an impact on how water heaters are manufactured, distributed, and installed.

What Changes?

Electric water heaters, already very efficient, will likely require more insulation. This will increase the diameter and/or height of the water heater. Additional insulation may be required for piping and fittings such as drain and T&P valves. For electric water heaters over 55 gallons, the only currently available technology able to meet the EF requirement is a heat pump water heater.

Similar challenges are faced with the oil-fired products.

Much like gas products, oil-fired water heaters will likely require additional insulation or completely new combustion systems.

For example, the height of a heat pump water heater may exceed the height of the installers van. If the product cannot be laid down horizontally, the only solution may be to acquire a larger box van or open truck.

The new minimum Energy Factor for tankless (instantaneous) gas goes from .62 to .82. For installations requiring a tankless approach, most of these water heaters currently have EF ratings of .82 or better.

Impact on the Installer Contracting business owners will strongly feel the effects of the 2015 Final Rule and the associated water heater changes. First, there are real costs associated with getting employees up to speed on the new technologies. Training on the new products will be critical. While manufacturers and distributors will provide resources to train installers, a significant

Condensing gas water heaters are generally a much heavier product than their standard counterparts.

There are other requirements that must be met when installing these types of water heaters. First, 120 VAC is required. Electric is required for a gas water heater.

Depending on the design, even gas water heaters under the 55 gallon threshold may now require electricity.

Plumbing contractors will have to invest in electrical equipment (such as multi-meters) for installations and troubleshooting, and installers will have to become well-versed in electronic control systems.

By their nature, high efficiency gas water heaters produce condensate. Many installations will require a drain somewhere in the vicinity of the water heater, and/or a condensate pump. The installer will have to understand local codes with respect to condensate disposal.

What about the exhaust system? Condensing gas water heaters extract enough heat from the exhaust that it is generally cool enough to vent with plastic pipe, either through the sidewall or through the roof. Some models even require a plastic pipe for combustion air (intake). The venting system, usually PVC, CPVC or ABS, has to be constructed by the installer.

To meet the required minimum EF, gas models may require additional insulation, incorporate newer flue baffling technologies (including flue dampers), incorporate electronic ignition in lieu of the standing pilot, or any combination of these.

Again, the likely impact will be an increase in the overall tank size, especially in diameter.

For gas water heaters over 55 gallons, high efficiency and fully M A D E condensing combustion technology will be required. This will mean that line voltage will have to be A M E R I available, as well as a means for condensate disposal.

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amount of time will be required for training.

This obviously comes at the sacrifice of revenue generating production from the employee.

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Many installations that were once a one-person job will now require two people.

As water heaters get larger and heavier, they will prove to be too awkward to be handled by one person. This is especially true when talking about those models over 55 gallons. Not only will the larger models require two people, the contractor or business owner may need a larger work truck to deliver the water heater to the job.

The location of the old water heater may not be appropriate for the new one. A heat pump water heater generally requires a 10 ft. x 10 ft. room, or a duct to adjoining room to operate properly.

The installer must also be cognizant of the impact of noise. Whereas the existing water heater may produce very little noise, the new model may operate at a noise level which will lead to homeowner complaints if not addressed up front.

Conclusion Certainly, the new 2015 DOE Final Rule will pose challenges for manufacturers, wholesalers, installers and customers alike, but when products become more complex, it is less likely that they will be purchased and installed by the do-it-yourself consumer. Therefore, a potential impact of the 2015 water heater changes will be an increase in the share sold through wholesale distribution, thereby, increasing installer opportunities.

To read the complete version of “Are You Ready?

2015 Department of Energy (DOE) Final Rule Effective April 16, 2015� visit www.bradfordwhite.com.

www.phccwa.org • PHCC of Washington News • Spring 2014

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