JANUARY/ FEBRUARY2023 SERVING CONTRACTORS IN THE HVACR INDUSTRY
Contractor Forum Live This session is when virtual becomes reality. One of the best features of ACCA membership is networking with top contractors. ACCA has one of the industry’s top online forums. A huge success in its first showing last year, we’re bringing it back with new topics and presenters. Join the discussion on issues contractors ask each other and share how you achieved your success. Town Hall – Contractors Lead the Way Soaring prices. Burdensome regulations. Billions promoting electrification. Flammable refrigerants. These are just a few of the Policy changes in 2023 that will impact your business! Hear from issue experts on the accelerating changes facing our industry and join a lively debate about what federal, state, and code priorities ACCA and its allies should fight for over the coming year. Professional representation from DC to the code committees is a key benefit of your ACCA membership; the Town Hall is your chance to steer the ship and join the fight! Manufacturer Leadership Forum This popular session returns as ACCA welcomes top manufacturing industry leaders for an interactive discussion of current events affecting manufacturers and the HVACR supply chain. Leading manufacturer representatives join ACCA for a live Q&A session where contractors can ask key questions and address industry representatives directly. SESSIONS YOU CAN'T MISS
JANUARY/ FEBRUARY2023 SERVING CONTRACTORS IN THE HVACR INDUSTRY ACCA 2023 Expo Show Floor Sold Out! Resources for Contractors on the IRA ACCAWelcomes New Staff Laissez Les Bons Temps Rouler at ACCA 2023
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4 CEO’s Column 5 Chairman’s Column 6 Now@ACCA 8 ACO News 10 Capitol Insights 12 Resource Roundup 14 Safe@Work 22 Tech Tip 23 Service Savvy 24 Legal Tools 26 Tech Challenge & Ad Index 6 contents Volume 12, Issue 1 / Published in January 2023 PUBLISHER Melissa Broadus melissa.broadus@acca.org AD SALES Dylan Burkhart sales@acca.org 925-487-4667 ACCA NOWASSISTANT Heather Donaldson accanowsupport@acca.org ART DIRECTOR Lynn Riley Lynn Riley Design www.lynnrileydesign.com BLOGGERS & COLUMNISTS Steve Coscia, Brooke Duncan, Barton James, Wes Davis, David Bixby, Matt Akins, Ed Janowiak, Katie KuehnerHebert, Melissa Broadus, Sean Robertson ACCA Now (USPS 9910) is published bi-monthly for $29 per year by ACCA, 1520 Belle View Blvd. #5220, Alexandria, VA 22307. Periodicals postage paid at Alexandria, VA, and at additional mailing offices. ©2023 by ACCA Association, Inc. All Rights Reserved. Postmaster send address changes to: ACCA Now 1520 Belle View Blvd. #5220, Alexandria, VA 22307 ACCA Now is published by the Air Conditioning Contractors of America. www.acca.org Air Conditioning Contractors of America ® 23 14 8 16 2023 Conference & Expo, the HVACR event of the year for serious contractors, takes place April 2-5 at the New Orleans Marriott in New Orleans, LA. Look inside to learn more about this event’s invaluable opportunities for education, networking, inspiration, and fun. ACCA2023 CONFERENCE & EXPO Invest in Yourself at the
ACCA Is Here To Help in 2023 C EO ’ S COLUMN Barton James is President and CEO of ACCA. He can be reached at barton. james@acca.org. HAPPY NEW YEAR! I hope you enjoyed the holiday season with your loved ones. 2023 has arrived, and we eagerly anticipate an engaging and productive year. Our ACCA 2023 Conference & Expo takes place April 2-5, 2023, in New Orleans, LA. We have some notable speakers and informative sessions lined up that you will want to attend! Also, deadlines are approaching to nominate or apply for this year’s ACCA Awards. Visit accanow.net/awards for more information about how to apply or nominate your company or an individual to be considered for one of these awards. Winners will be announced and recognized at the ACCA Conference & Expo. I also want to remind you to use your ACCA Member benefits. You have unlimited access to our website to download materials and templates, watch training videos, stay up-to-date with the latest industry news, connect with other HVACR professionals around the country, and so much more! Michael Rosenberg (Rosenberg Indoor Com- fort, San Antonio, TX) said, “ACCA has helped our company in so many ways. We have had some real marketing geniuses in our ACCA MIX® Group over the years. We have implemented many ideas that we learned, which helped us grow our business! (make this a pull quote) Remember, your ACCA benefits are available to everyone at your location. So, make sure your entire team is connected to maximize your membership. ACCA offers three membership tiers: Gold, Silver, and Bronze, providing contractor members with the option to choose which membership commit- ment best fits their business. If you are interested in learning more about our membership tiers, upgrad- ing your membership, or accessing resources for your team members, email membership@acca.org. ACCA also wants to ensure your business is pre- pared to implement and use the new tax incentives and rebates introduced by the Inflation Reduction Act (IRA). Recently, Brooke Duncan, ACCA’s legal expert, presented a webcast that shared what con- tractors need to know about prevailing wage and the new law. If you were unable to attend or you would like to share it with other teammembers, you have access to it on-demand here: URL TO COME. For all the latest news and updates regarding the IRA, visit accanow.net/ira-resources. Also, be sure to check out our upcoming live virtual training and on-demand sessions to stay up- to-date with the latest standards and certificates taught by leading professionals in the field where and when you want. Registration is open now for the following live training sessions: Overview of ACCA Manual S®: February 28 at 9AM ET, April 11 at 9AM ET Understanding Humidity: March 7 at 9AM ET, April 25 at 9AM ET Every new year brings new opportunities, and as we advance into 2023, know that ACCA is here for you and will continue to work for you all year long. Onward and upward! Register for the Upcoming 2023 ACCA Conference & Expo You can’t afford to miss the upcoming ACCA 2023 Conference & Expo! Gain invaluable business insights from popular speaker, podcast host, and bestselling author Dee Ann Turner as she presents “The Secret Sauce of Legendary Company Culture.” Visit www.accaconference.com to register and to find more information. Don’t pass up this opportunity to connect with industry members, listen to insightful speakers, learn about the latest products and services, and explore New Orleans. Taking place April 2 – 5, 2023, at the New Orleans Marriott in New Orleans, LA, ACCA 2023 has something for everyone in the HVACR Industry. ACCA’s New ComforTools Help Consumers Make Informed Choices Hurry Up or Wait?, ACCA’s new addition to our ComforTools offerings, visually guides your customer through decision-making related to rebates and the Inflation Reduction Act (IRA). As part of our ongoing consumer education series, this decision tree simplifies the guidelines contained in the IRA so that customers can make informed buying and installation decisions. ACCA members can download their free copy of the Hurry Up or Wait? decision tree at accanow.net/ IRA-decisiontree. JANUARY/FEBRUARY 2023 4
AT THE BEGINNING OF 2022, the association launched a tiered membership program to replace our one-size-fits-all mem- bership structure. The Bronze level offers an affordable entry point, online resources, and community engagement. The Silver level includes exclusive offers, deep discounts, and enhanced convenience. Gold members enjoy unparalleled value, irreplaceable convenience, and exclusive recognition. Tiered membership benefits members of all sizes—the idea is to get more value per invested dollar. The new model offers a wider variety of options, depending on the level of membership. It’s starting to show signs of success, and I’m looking forward to positive outcomes in the future. We had a very successful annual conference in St. Louis, MO, with a wide variety of speakers and sessions, as well as con- structive committee and board meetings. This helps the association—and our respective businesses—better determine how to improve for the future. I’m looking forward to ACCA 2023 Conference & Expo in New Orleans, LA, this April. Our Fall Forum in Baltimore also went well. The Service Man- agers Forum focused on helping attendees to build professional teams, steering them toward customer satisfaction and professional success. The Business Technology & Operations Forum explored how to use the latest technologies to drive attendee companies to new levels of growth. Members continue to participate in one of ACCA’s most terrific resources—Management Information Exchange (MIX) Groups.® These are close groups of eight to 10 non-competing ACCA contractor members who typically meet twice each year and share openly about their business—providing feedback on sales, oper- ations, policies, advertising, staff, strategy, facilities, and more. It’s a more intimate way to support each other’s businesses by learning from each other about what works and what doesn’t. The association is also getting more involved in ACCA MIX Groups to learn how to better serve them. I encourage all groups to host either Bart James or Matt Grizzard to learn what’s going on with ACCA in the future and to see how the association can bring even more value to the members. The association’s leaders are seeking to understand how to better leverage relationships with each ACCA MIX Group to improve the organization. We continue to improve our website. We’ve recently added professionally produced videos that detail the benefits and value of a variety of association programs, including: ACCA Education and Training – for those running an HVAC company or technicians focusing on their future growth ACCA Practical HVAC – targeted around technicians, installers, and maintenance techs who are front-facing customers every single day ACCA Government Relations – features how ACCA fights for HVACR contractors on Capitol Hill (the only trade association to do so) ACCA Membership ACCA Conferences ACCA MIX Groups ACCA Committees – such as Events, Membership, Member Services, Partners, and Products ACCA Standards and Codes I encourage everyone to continue to view the website to learn about new initiatives. It’s a particularly important avenue of communication between ACCA members and staff. In 2023, we will look at ACCA from the ground up and review our Governance and Strategic Plan for the future as our industry changes. We want to spend more time with our members to learn more about their needs and how we can better serve them. Times have changed since the asso- ciation drafted its current strategic plan, including the busi- ness climate in general, with workforce shortages becoming an issue more than ever before. We’re all trying to find the right people, and then to provide them with necessary train- ing and education. In addition, a lot of private equity firms have been buying and rolling up HVAC companies, consolidat- ing the industry. Then there’s the legislative side that we need to keep up with—changes that can impact us in various ways, both positive and negative. As such, we must look at our association from top to bottom to figure out what we need to do for the long haul. We need to look down the road three to five years from now to see exactly what the association needs to be doing to provide more value to our members. We’re also looking at the board’s structure to see how we can govern things more efficiently, as well as how to enhance the board by bringing in more expertise. We’re working with a consultant who has experience in helping organizations like ours draft plans for future growth. Being ACCA’s Chair is a wonderful opportunity! I’ve been really excited about all our initiatives, and I’ve really enjoyed getting to know more people at other companies, particularly through the ACCA MIX Groups. There’s a lot of opportunity to be had within the associa- tion’s programs. It boils down to just getting out there, getting involved, and being a part of it. Last year was a really good year for ACCA! CHA I RMAN ’ S COLUMN By Keith Paton, Vice President of Service at Ivey Mechanical Co. based in Kosciusko, Mississippi JANUARY/FEBRUARY 2023 5
NOW @ ACCA ACCA 2023 CONFERENCE & EXPO SHOW FLOOR SOLD OUT, FORMING WAITLIST OF POTENTIAL EXHIBITORS The Air Conditioning Contractors of America (ACCA) announces the ACCA 2023 Conference & Expo show floor is sold out. Companies without a reserved booth on the ACCA show floor, that wish to exhibit, will be placed on a waitlist for an opportunity to fill a booth space in the event of a cancellation. “ACCA 2023 is an amazing event, and with the Expo sold out months in advance, we know contractors won’t want to miss it,” said Barton James, ACCA president and CEO. “The investment these companies are making in contractors by being at the Expo and sharing innovative products and services to help them grow is huge. ACCA thanks these companies for that investment and commitment, because contractors rely on quality support systems and innovative products to keep their competitive edge in the marketplace.” Companies that want to join the waitlist should visit www. accaconference.com/expo/become-an-exhibitor/ and fill out the Exhibitor Agreement under Apply to Exhibit. To view the ACCA 2023 Expo floorplan, visit www.acca.org/2023-expo3. Sponsorships for the ACCA 2023 Conference & Expo are still available, email Dylan Burkhart at sales@acca.org for more information on sponsorships. ACCA 2023 CONFERENCE REGISTRATION OPEN Event Keynote from Dee Ann Turner – former Vice President, Talent and Vice President, Sustainability for Chick-fil-A, Inc. ACCA opened registration for the ACCA 2023 Conference and Expo taking place April 2 - 5, 2023, in New Orleans, LA. The ACCA 2023 Conference & Expo provides HVACR training opportunities and powerhouse speakers covering the most critical and timely topics affecting HVACR contractors today. Sessions cover a wide range of topics that will help contractors be better businesspeople and grow their profit margins year-over-year. The opening keynote speaker for the ACCA 2023 Conference & Expo is Dee Ann Turner, former Vice President, Talent and Vice President, Sustainability for Chick-fil-A, Inc. During her keynotes, Turner explains how to combine the ingredients of a remarkable culture with extraordinary talent to create customer loyalty through a legendary customer experience. The difference between amazing customer service and poor customer service is an employee who cares. Through her stories and experience, Turner helps her audience learn how to select, train, and motivate people to care more. The ACCA 2023 Conference & Expo also features general sessions, including the Manufacturers Leadership Forum, ACCA Town Hall, Lunch with the Leaders, and Contractor Forum Live. Several networking events are scheduled to allow contractors to learn from each other, as well as leading industry experts throughout the event. Networking events include: Welcome Reception (Exclusive Event) – Sunday, April 2, 2023 ACCA MIX Group® MIXer – Sponsored by Heartland Home Services Emerson Sponsored Party The sold-out Expo will be open April 3 - 4 and will provide the opportunity for attendees to connect with businesses that specialize in consulting, staffing, insurance, HVACR design, HVACR training, legal services, financial services, and more. Registration for the ACCA 2023 Conference & Expo is open. ACCA Members can save up to 30% off regular pricing! Visit www.accaconference.com to register for the event. If you are interested in being an exhibitor or sponsor, please contact Dylan Burkhart, ACCA business success specialist, at sales@acca.org. > > > > > WORKFORCE | LEADERSHIP | OPERATIONS | FINANCE Dee Ann Turner explains how to combine the ingredients of a remarkable culture with extraordinary talent to create customer loyalty through a legendary customer experience. The difference between amazing customer service and poor customer experience is an employee who cares. Dee Ann helps her audience how to select, train, and motivate people to care more. The Secret Sauc of Legendary Customer Service Dee Ann Turner is a 33-year veteran of Chick-fil-A, Inc. Prior to retirement in 2018, she was Vice President, Talent and Vice President, Sustainability for Chick-fil-A, Inc. Selected as the company’s first female officer in 2001, she was instrumental in building and growing Chick-fil-A’s well-known culture and talent systems. accaconference.com KEYNOTE SPEAKER REGI STER NOW ACCA2023 CONFERENCE & EXPO NEW ORLEANS | APRIL 2–5 > > > > > JANUARY/FEBRUARY 2023 6
ACCA WELCOMES NEW TEAMMEMBERS, EXPANDS STAFF TO BETTER SERVE MEMBERS ACCA announces the hiring of a Strategic Partnerships Manager, Communications Content Coordinator, and Marketing Content Coordinator. The expansion of the team allows ACCA to develop and create more resources for its members and better serve their needs. Strategic Partnerships Manager Kenzi Vizzari joined ACCA on January 9, 2023, as the Strategic Partnerships Manager. Vizzari is responsible for managing ACCA’s Corporate Partner Program, as well as ACCA’s affinity programs. Vizzari will also work closely with the marketing and communications teams on ACCA’s email newsletters and webcasts. Vizzari is from Georgia and has many years of experience in strategic and corporate partnership management. Before joining ACCA, Vizzari worked for the Children of Fallen Patriots Foundation, where she managed the strategy, implementation, and continuation of programs that aligned with the organization’s objectives. Vizzari also managed the non-profit’s scholarship program, including fundraising, grant proposals, and disbursement of funds to recipients. Communications Content Coordinator Kate Gadd joined ACCA on January 3, 2023, as the Communications Content Coordinator. Gadd is responsible for creating and distributing a wide range of content through ACCA’s many communication channels. Gadd will work closely with the communications and marketing teams to inform ACCA’s members and the industry at large about ACCA’s activities through ACCA’s blogsite, webcasts, ACCA Now magazine, and ACCA’s email newsletters. Gadd will also collaborate on ACCA’s social media content and develop member resources. Gadd is from Wisconsin and has more than a decade of experience in communications and marketing. Immediately before joining ACCA, she owned a business where she offered digital marketing and web design services. Marketing Content Coordinator ChristieWaldrop joined ACCA on December 12, 2022, as the Marketing Content Coordinator. Waldrop is responsible for developing and distributing a variety of content through ACCA’s marketing channels. Waldrop will work closely with the marketing and communications teams to develop and update member benefit resources; develop marketing campaigns for ACCA products, training, and events; and encourage member engagement. Waldrop will also collaborate on ACCA’s website and social media. Waldrop is from Louisiana and has an extensive background in marketing, media, and the trades. Prior to joining ACCA, Waldrop worked as the Marketing Manager at Matthews Landscape & Pest where she helped increase the company’s brand awareness and managed its social media and website. Free Upgrade to Windows 11 Upgrading timing wi l l vary by device. Features and app avai labi l ity may vary by region. Certain features require speci c hardware (see aka.ms/windows11-spec). Dell Technologies recommends Windows 11 Pro for Business POWERFUL TECH SOLUTIONS FOR ASSOCIATION MEMBERS SMALL BUSINESS ASSOCIATION SAVE AN ADDITIONAL 5-10% To view ACCA’s updated staff organization directory, visit www.acca.org/about-acca/acca-staff. High-resolution photos are available by request. JANUARY/FEBRUARY 2023 7
NOW @ ACCA ACO NEWS The springtime lull is a great time to reconnect with peers and to inspire your team to explore tactics and technologies to succeed in 2023. The ACCA 2023 Conference and Expo in New Orleans April 2-5 is the ultimate event for your senior team, but there are also advantages of local events where contractors share the unique challenges and opportunities of your state. This year, many of ACCA’s Allied Contracting Organizations are getting creative with fresh approaches to networking events. South Carolina The South Carolina Association of Licensed Trades (SCALT) kicked off the season with its inaugural HVAC and Plumbing Leadership Summit on January 13 in Columbia, SC. The Summit offered a one-day training program, centrally located for contractors to bring their key leadership. The Summit featured a three-hour Customer Service Superiority workshop, taught by Steve Coscia with Coscia Communications. Breakout sessions covered topics such as leadership, new regulations, refrigerant changes, and an online preapprenticeship program. “SCALT wanted to offer a training opportunity for HVAC and plumbing businesses to be able to bring in their key leaders for a day of training to kick off 2023,” said Katie Koon, SCALT executive director. “We are trying new programs to fill a variety of needs for contractors in a changing industry.” Ohio The Air Conditioning Contractors of Ohio (ACCO) and the Plumbing-Heating-Cooling Contractors of Ohio (PHCC) host the ACCO-PHCC Ohio Convention in Cleveland March 1-3 features an impressive lineup of leading contractors from across the country, including Ray Isaac, Chris Hoffmann, and Eddie McFarlane! It kicks off with a fun reception at Top Golf and features a large expo. Learn more and register at https:// ohioconvention-phccacco.org/. Florida Imagine the relationships you could forge aboard a 3-day cruise! That’s the idea behind Florida Refrigeration and Air Conditioning Contractors Association’s FRACCA At Sea, a truly unique opportunity for taking CEU courses aboard the ship and networking on a private island in the Bahamas. Cabins for this March 2-5 event are filling fast, so learn more and register at www.fraccaair.com. Miss the boat? You’ll just need to wait until 2024 when ACCA and FRACCA come together for an exciting joint conference March 11-14, 2024, at Loews Sapphire Falls Resort at Universal Orlando! Georgia The 2023 CAAG (Conditioned Air Association of Georgia) Annual Conference rolls into Augusta, GA, March 23-25 with a fun-filled lineup of events. It kicks off with the 5th annual CAAG Cup golf tournament and ends with an evening of dinner, auctions, and live entertainment with plenty of education and networking in between. Learn more and register at www.caag.org. New England ACCA’s newest allied organization—the Air Conditioning Association of New England (ACA/NE)—will host its annual HVAC/R Technical and Management Conference in Boxboro, MA, April 25. ACCA President and CEO Barton James will kick off the general session with remarks on government affairs, followed by a packed day of educational content and training. Learn more and register at www.acane.org. Association Leadership Workshop Last but not least, ACCA is pleased to provide staff and board members of state and local associations with a venue for collaboration and learning at ACCA 2023 Conference & Expo in New Orleans, LA, April 2-5. The Association Leadership Workshop Sunday, April 2, is an engaging afternoon of dialogue with policy issue experts and interactive roundtables on leadership skills critical to managing an effective association. Please email sean.robertson@acca.org to RSVP and learn more about special offers to bring your association’s leaders and members to ACCA 2023. Allied Organizations Get Creative to Bring Contractors Together By Sean Robertson JANUARY/FEBRUARY 2023 8
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A Look Back, A Look Forward It’s a new year and we all like to think that means things will change, but that isn’t always true with the government. Well, at least when it comes to Con- gress working together and getting along. So, I want to take this space to recap 2022 and look ahead at 2023. In 2022, ACCA continued to work hard for you and your business to not only survive in this era of bigger gov- ernment, increased regulatory burdens, and costs—but also potentially thrive as changes in how energy is produced and consumed bring forth exciting new opportunities for HVACR contractors. IRA Top of the list from 2022 is how we fought for our members to oppose the passage of the Inflation Reduction Act (IRA), as the law encompassing climate change, healthcare, and tax imposes costs that are set to burden small businesses and their employees. The new law also disadvantages non-union HVACR contractors due to a re-emphasis on prevailing wages that already have been codified. With that said, some aspects of the IRA contain great opportunities for the HVACR industry—most notably, tax credits, rebates, and other incentives for consumers to transition from heating systems powered by fossil fuels to electric systems. ACCA’s members can receive a substantial boost in business as more people look to them for proper installation, service, andmaintenance. Additional incentives include installation of solar energy systems, an exciting opportunity for ACCA members entering this market. To help you take advantage of these opportunities, ACCA developed a library of IRA resources that are updated as more information is released on the law. ACCA’s IRA Resources for Contractors are free to our members and provide direction and tools to help business owners attract cus- tomers looking to take advantage of these incentives. Check them out here: https:// accanow.net/ira-resources. Regional Standards – SEER2 Last year marked the revision of the Department of Energy’s (DOE) regional efficiency standards that went into effect on January 1, 2023. The first transition increased efficiency standards for residential split system air-conditioners and heat pumps. The second transition is a change to the DOE’s test procedures that produce SEER2, EER2, and HSPF2. The revised heat pump test procedure increases the external static pressure to be more realistic, but that will “reduce” the current rating, and the new rating will be lower. The new standards for residential split- system air conditioners have different requirements depending on the region of the country. (Please see map.) For the north region, non-compliant equipment manufactured prior to January 1 can be sold and installed in 2023. However, for the south and southwest regions, all non-com2023 Regional Efficiency Standards Nationwide South Region Southwest JANUARY/FEBRUARY 2023 10
Capitol Insights By Barton James pliant equipment had to be installed prior to January 1. However, if you still have such equipment in your inventory in 2023, you can sell the equipment to a distributor or contractor located in the north region. In the south and southwest regions, for residential new construction projects that installed indoor units prior to Janu- ary 1 but had not completed the installation of equipment, outdoor units installed in 2023 must now be >15 SEER or be “tran- sition” compliant and the system must be a registered match. There is no restric- tion in the north region. Contractors that install residential systems in the south and southwest regions must maintain records for four years detailing specific model information, the address of the installation, and the name of the purchaser for split-system central air conditioner condensing units, split-system central air conditioner indoor units, and single-package central air conditioners. Disposable Cylinders ACCA is fighting the Environmental Pro- tection Agency’s (EPA) ban on disposable cylinders for hydrofluorocarbon (HFC) refrigerants, set to go into effect in 2025 and 2027, because it is a costly change for contractors. In December, ACCA filed a law- suit in conjunction with two other trade associations, Heating Air-conditioning & Refrigeration Distributors International (HARDI) and Plumbing-Heating-Cooling Contractors Association (PHCC), to overturn the EPA’s ban. The Year Ahead ACCA is continuing its fight in 2023, by actively fighting for itsmembers to ensure that common-sense legislation and regulations go on the books. We are lucky to have several strong allies from the trades in the House of Representatives, and now a Senator, Markwayne Mullins, who won his race this past November in Oklahoma. As members of this vital industry, ACCA calls on you to do your part by visiting with your local, state, and federal representatives to learn what policies and pro- posals they support and advocate for the skilled trades – especially since workforce is, and has been, our industry’s number one challenge for years and the need for skilled labor is at an all-time high. For more information on how to help, visit ACCA’s advocacy page at https://. If you have any questions about getting involved, please reach out to me, I’d love to talk to you about how you can join the fight with ACCA! Barton James is President and CEO of ACCA. He can be reached at barton.james@acca.org. NEW ADDRESS 1520 Belle View Blvd #5220 Alexandria, VA 22307 WE HAVE MOVED OLD ADDRESS 1330 Braddock Place Suite 350 Alexandria, VA 22314 JANUARY/FEBRUARY 2023 11
HurryUp orWait? How to Talk to Customers About Inflation Reduction Act Incentives Resource Roundup By Sean Robertson The Inflation Reduction Act’s $45 BILLION in rebates and tax incen- tives for efficiency upgrades will be a huge opportunity for con- tractors. But your customers already see headlines promising $14,000 rebates, and fly-by-night operators are lining up to steal them away with promises of “free heat pumps from Uncle Sam.” One thing is clear: Nobody can hon- estly guarantee today that any given system or homeowner will qualify for an Inflation Reduction Act rebate. ACCA is working to provide you with informa- tion and customer resources to fight back so your customers aren’t stuck in limbo, waiting for a rebate that may never come as equipment prices continue to rise. The Department of Energy anticipates sending guidance for the states to start developing their rebate programs in spring 2023 at the earliest. Your state’s program may not be available until late 2023 or early 2024. Some states may not apply at all. Tax credits available January 1, 2023, should be your immediate focus, and there are new rules that you and your customers need to be aware of. We have developed a new decision tree to help them decide: Hurry Up or Wait? (accanow.net/IRA-decisiontree) 25C Tax Credits up to $3,200 IF You Buy the Right Equipment. The biggest new development is the release of regional standards for equipment to qualify for the Energy Efficient Home Improvement Credit (25C), as illustrated by the map here: accanow.net/25CMap_2023. Two things are immediately apparent: ❶ The new standards are substantially higher than for the old 25C (for which most Energy Star equipment qualified). ❷ ONLY equipment labeled with the new SEER2/EER2/HSPF2 test procedures will qualify. (It appears that an EER2 rating will be a requirement, even in regions that have not required EER testing in the past.) Hurry up! If a customer was counting on a tax credit for 2022 for equipment labeled SEER/ EER/HSPF that meets the old standards, contractors had to install and place the system into service by December 31, 2022. Wait! Conversely, equipment already labeled with the newSEER2/EER2/HSPF2 test procedures does not qualify for the 2022 ver- sion of the credit (even if it clearly would have qualified on the old test). Equipment with a SEER2 “Energy Guide” label only qualifies if placed into service after Janu- ary 1, 2023, AND it meets the standards shown on the map referenced above. Some additional clarifications make the 2023 25C credit even sweeter. The $2,000 credit for a qualifying heat pump CAN be combined with the $1,200 credit for other qualifying improvements. If you combine that new heat pump with an upgraded electrical panel, improved insulation, and/or an efficient furnace, boiler, or water heater, your customer could claim up to $3,200 in tax credits each year. The new credit also deletes the limi- tation to primary residences. Starting in 2023, vacation homes or even rental properties can qualify. ACCA members can spread the word to customers with ACCA’s social media graphics (accanow.net/taxcredit-social) and customizable ComforTool brochure (accanow.net/25c-comfortool). Visit ACCA’s IRA resources page (accanow.net/ira-resources) for informa- tion on other enhanced tax incentives, including the Residential Clean Energy Credit (25D) for solar and geothermal, the Energy Efficient Home and Multi-Family Credit (45L), and the Energy Efficient Commercial Buildings Deduction (179D). What About My $14,000 Rebate? For customers willing to wait, the rebates promised in the High-Efficiency Electric Home Rebate Act (HEEHRA) and HomeownerManaging Energy Savings (HOMES) programs could be a game changer. While theoretically available starting in 2023, each state will administer its own program with its own require- ments and application procedures. These rebates are for low-to-moderate-income families, as defined by the Area Median Income (AMI) for any given address. HEEHRA program rebates of up to $14,000 are only available for families under 150% of AMI, and only families under 80%of AMI qualify for up to a 100% rebate of project costs (subject to caps). It’s even less certain how HOMES program rebates will be administered. The maximum $8,000 rebate is for families under 80% of AMI. Higher-income families may still qualify for a rebate of up to $4,000. They should carefully consider whether it is worth waiting a year or more; the rising cost of efficient equip- ment could easily eat away at the possible benefit of an anticipated rebate. Watch ACCA’s IRA Resources page for additional details about the rebate pro- grams as they become available. Sean Robertson is ACCA's Vice President of Membership & Business Operations. He can be reached at sean.robertson@acca.org or 703-824-8846. One thing is clear: Nobody can honestly guarantee today that any given system or homeowner will qualify for an Inflation Reduction Act rebate. JANUARY/FEBRUARY 2023 12
Reviewing the OSHA Top 10 DISCLAIMER This article is for general information only and should not be considered legal or other expert advice. The recommendations herein may help reduce but are not guaranteed to eliminate any or all risk of loss. The recommendations herein are not intended to cover or identify all risk exposures. The information herein may be subject to, and is not a substitute for, any laws or regulations that may apply. Qualified counsel should be sought with questions specific to your circumstances. © 2022 Federated Mutual Insurance Company. SAFE@WORK By Nate Oland, Senior National Account Executive, Federated Mutual Insurance Company SAFETY VIOLATIONS can occur in any number of ways, but there are plenty of opportunities to help create safer work environments. One way is to become familiar with the Occupational Safety and Health Administration (OSHA) Top 10 list, which accounts for the most frequently cited standards following inspections of businesses and worksites by federal OSHA. This list shows common risks to watch out for to help avoid devastating — and costly — worker injuries or fatalities. Each year, OSHA posts their Top 10 violations after the month of April to allow the prior fiscal year’s inspection data to finalize. For the 2021 fiscal year, the Top 10 consisted of: 1. Fall Protection 2. Respiratory Protection 3. Ladders 4. Hazard Communication 5. Scaffolding 6. Fall Protection Training 7. C ontrol of Hazardous Energy (lockout/tagout) 8. Eye and Face 9. Powered Industrial Trucks 10.Machinery and Machine Guarding OSHA inspections across the nation are completed at both the state and federal levels. In 2021, over 61,000 OSHA inspections occurred, resulting in more than 118,000 violations.2 Knowing that these risks exist, what can you do to avoid becoming a part of this statistic? Consider the following: ADHERING to written safety programs and regular training FOLLOWING signage noting safety reminders and updates USING the proper tools to complete jobs WEARING the right attire, including Personal Protective Equipment (PPE) KEEPING equipment and machines maintained COMMUNICATING with coworkers and employers to promote day-to-day safety Keep an eye out for the 2022 list in the coming months. Federated Insurance® provides OSHA Top 10 information and more on mySHIELD® for Federated clients. We are proud to be a corporate partner of ACCA since 2009. Reach out to your local marketing representative for more information. JANUARY/FEBRUARY 2023 14
Help Your Employees Make it Home Safe Today Federated DriveSAFESM Telematics helps your employees improve their daily driving habits and return home safe at the end of the day. Commercial Insurance Property & Casualty | Life & Disability Income | Workers Compensation | Business Succession and Estate Planning | Bonding Federated Mutual Insurance Company and its subsidiaries**| federatedinsurance.com 23.01 Ed. 12/22 *View A.M. Best Rating Guide information at www.ambest.com. **Not licensed in all states. © 2022 Federated Mutual Insurance Company Please Make It Home Safe Today. Scan to learn more about DriveSAFE TELEMATICS. The content of this publication is for general information purposes only. Consult with a quali ed professional when you have detailed questions regarding any topic in this publication. AN ASSOCIATION MEMBER BENEFIT FOR 119 YEARS DIRECT, LOCAL MARKETING REPRESENTATIVES AUTO PROPERTY AND CASUALTY SELF-INSURED RETENTION POLICYHOLDER SURPLUS LIVE VOICE CUSTOMER SERVICE MYSHIELD® TAILORED, INDUSTRY-SPECIFIC COVERAGE BUSINESS SUCCESSION AND ESTATE PLANNING STABLE FACE-TO-FACE RELATIONSHIPS FINANCIAL STRENGTH MUTUAL COMPANY DIRECT CLAIMS REPRESENTATIVES 500 + EXCLUSIVE ASSOCIATION RECOMMENDATIONS ESTATE PLANNING ATTORNEY NETWORK ANNUITIES WE’RE BETTER TOGETHER LIFEANDDISABILITY INCOME PRIVATE BONUS PLANS KEY PERSON COVERAGE WORKERS COMPENSATION HIRING PRACTICES FEDERATED DRIVESAFESM TELEMATICS SOLUTION RISK MANAGEMENT RESOURCE CENTER EMPLOYMENT RELATED PRACTICES LIABILITY EMPLOYMENT LAW ATTORNEY NETWORK BONDINGEMPLOYEE SAFETY TRAINING RISK MANAGEMENT ACADEMY CLIENT CONTACT CENTER FIELD RISK CONSULTANTS CERTIFICATE CENTER SURETY SPECIALISTS MANAGED CARE CYBER IT’S OUR BUSINESS TO PROTECT ACCA MEMBERS I SM
INVEST INYOURSELFAT By Megan Stolz Rogers The ACCA 2023 Conference & Expo takes place April 2-5 at the New Orleans Marriott in New Orleans, LA. ACCA 2023 is the HVACR event of the year for serious contractors. Hundreds of owners and leaderswhomake purchasing decisions for their HVACR companies attend the annual conference. Attendees will find education, networking, inspiration, and fun that will pay dividends throughout the year. ACCA2023 CONFERENCE & EXPO NEW ORLEANS | APRIL 2–5 JANUARY/FEBRUARY 2023 16
THEACCA2023 CONFERENCE&EXPO LEARNING BEST PRACTICES Throughout ACCA 2023, attendees will learn about best practices, products, and services to help them make their business more effective and efficient. Many of the sessions, including the keynote by Dee Ann Turner, a 33-year veteran of Chick-fil-A, Inc., address challenges and strategies with employees and workplaces. Scott Nelson, who says he’s “facing the twilight of [his] career,” has recognized the importance of investing in yourself, your future, and your workforce—and, as a business owner, leading by exam- ple. Nelson is president of Oceanside Services in Allenhurst, NJ. He’s looking to gather information at ACCA 2023 that will position his business properly for the future as well as to talk about how employee needs have changed over the decades he’s been in business in the session “Young ≠ Dumb,” co-pre- sented with his son and business partner. Aaron Ruddick, founder and general manager of Reliable Comfort in Seymour, IN, will present a ses- sion titled “Don’t Be Held Hostage to Your Employ- ees.” He says, “I have been in every scenario [of employee–employer relations]. Now I’m to a point I have a very healthy relationship with our group.” Joshua Vanderplate, CEO of Vertex Mechanical in Stevens, PA, will explain how to use team map- ping to process compensation agreements for each employee in the session “Recognizing Pain Thresholds and the Value of Each Team Member.” Turner’s keynote, titled “The Secret Sauce of Legendary Customer Service,” will explain how to combine the ingredients of a remarkable culture with extraordinary talent to create customer loy- alty through a legendary customer experience. The difference between amazing customer service and a poor customer experience is an employee who cares, says Turner, and she will help the ACCA audience understand how to select, train, and motivate employees to care more. Ben Kelley, Executive Director of CroppMetcalfe Services in Fairfax, VA, suggests looking for session topics that directly affect your business or cover a certain area of the company that is struggling or in need of change. CroppMetcalfe Services is large enough that multiple managers attend together and JANUARY/FEBRUARY 2023 17
take a divide-and-conquer approach to the sessions. Team members then pres- ent what they each learned in the weekly management meeting after the conference, a process that an ACCA MIX Group® or informal group of professional col- leagues could mimic. Kelley notes that the conference app makes it easy for attend- ees to customize and organize their own conference schedule and access the speakers’ presentations. At the Expo, leverage opportunities for “face-to-face interactions with both product and person” in a way that you can’t when browsing and data-gathering online, suggests Vanderplate. Nelson agrees that the Expo is a good place to discover new tools, equipment, software, etc., that will improve business and operations. GROWING THE NETWORK Networking is one of the highlights of ACCA 2023, both for reconnecting with far- flung colleagues who may only interact in person once a year and for forming new connections and widening your profes- sional circle. Many ACCA MIX Groups® use the conference as one of their meetings. At a national conference, attendees are more likely to be noncompetitors, so people are often more relaxed about sharing struggles and successes, observes Nelson. Networking helps conference attend- ees find commonality and build camaraderie as well as normalize some of the Over 60 Years of Experience in Refrigerants →Lower GWP →R-32 produced in Calvert City, KY →Contractor-friendly retrofit options arkema.com forane.com (800) 245-5858 Forane® is a registered trademark of Arkema. © 2022 Arkema Inc. All rights reserved. ACCA2023 CONFERENCE & EXPO NEW ORLEANS | APRIL 2–5 JANUARY/FEBRUARY 2023 18
problems, successes, and journeys within the HVACR industry. “Networking is one of the ways I begin to learn what I don’t know,” says Vanderplate. Exchanging contact info allows attend- ees to build on these connections after the conference. Because of his professional network, developed in part through his involvement with ACCA, when Kelley faces a business challenge, he can send an email and within minutes “have three or four different ways people have handled a very similar situation.” In the current economic climate, strategic partnerships with like- minded organizations are more valuable than ever, says Vanderplate. Longtime attendees recognize that networking can be intimidating for first- time attendees since so many of the repeat attendees already know each other. But you have to “go out there and talk to people” even if they’re strangers, says Kelley. “The only way to not be the new guy is to do it a few times and become part of the group because it is a very welcoming place,” adds Ruddick. “Don’t let it be overwhelming and don’t give up.” Finally, take advantage of being able to connect with ACCA staff. Not only will attendees learn more about what the association is doing for its members, but also when you strengthen ties with the association at the conference, “when we need something from the association, we have that relationship to call and ask and talk to them about it,” says Kelley. FINDING INSPIRATION Getting out of the day-to-day details of running the business and taking a step back to look at the big picture at an event like ACCA 2023 “helps to open up the creative thoughts,” says Nelson. “Conferences can be a monumental opportunity to refresh and re-envision your business plan,” Vanderplate says, “and to renew some strategic or personal commitments to your own leadership as well as your organizational health.” Many of these lessons come from inspira- tional stories from presenters and fellow conference attendees—nothing is more encouraging than hearing about someone overcoming an obstacle, especially if it’s one that you’ve been facing. ACCA 2023 can also help reinforce what the business is doing right without the distraction of the day-to-day challenges, says Kelley. “It is also inspiring to take the knowledge you have learned from the years of doing it and share it” with others to make the industry stronger, says Kelley. HAVING FUN IN NEW ORLEANS Fun is an important part of ACCA 2023, and many attendees take some time before or after the conference to explore the city. This time off is important for work-life balance, Nelson notes. He runs Oceanside Services with his son and touring the area before or after an ACCA Conference & Expo allows them to spend time as family, not just as business partners. The fun element also makes the entire experience more memorable. Ruddick has noticed that “I remember conferences based on where they were and what I did while I was there. And it helps me to con- nect back to people and things that I’ve learned.” Enjoying all that the city has to offer gives attendees yet another way to get to know old and new professional connec- tions. Kelley suggests using dinners out or doing something in the city after the day’s sessions as a way to network more socially. The ACCA 2023 event city, New Orleans, makes this easy. The conference hotel, the New Orleans Marriott, is located on Canal Street, between the French Quarter and the Warehouse District. The hotel is a short walk from Jackson Square, the Audubon Aquarium of the Americas, and Harrah’s Casino and only 15miles from the Louis Arm- strong New Orleans International Airport, easily accessible by shuttle. Nearby restaurants include the Canal Street Burger Bar, the Canal Street Pantry, and 55 Fahrenheit, a favorite among both hotel guests and city residents. New Orleans has something for history, art, music, and culture buffs alike. Sometimes, it can feel tough to spend the time or money on a conference, espe- cially as a business owner deep in day-to- day responsibilities. But as Kelley points out, the conference is an investment in your business and yourself. “The one thing that really excites me about going to these things is I never knowexactlywhat I’mgoing to come away with,” adds Ruddick. He always has three to five takeaways that, in implementing them, will move his business forward. Can you afford not to attend ACCA 2023? JANUARY/FEBRUARY 2023 20
WORKFORCE | LEADERSHIP | OPERATIONS | FINANCE Dee Ann Turner explains how to combine the ingredients of a remarkable culture with extraordinary talent to create customer loyalty through a legendary customer experience. The difference between amazing customer service and poor customer experience is an employee who cares. Dee Ann helps her audience how to select, train, and motivate people to care more. The Secret Sauce of Legendary Customer Service Dee Ann Turner is a 33-year veteran of Chick-fil-A, Inc. Prior to retirement in 2018, she was Vice President, Talent and Vice President, Sustainability for Chick-fil-A, Inc. Selected as the company’s first female officer in 2001, she was instrumental in building and growing Chick-fil-A’s well-known culture and talent systems. accaconference.com KEYNOTE SPEAKER REGI STER NOW
Electrification: The Long Road Ahead Tech Tip By Wes Davis America is moving toward an all-electric world, powered by renewable energy sources. The restricting of fossil fuels has become such a passionate fervor that some have defaced famous artwork (search: “just stop oil”) in support of restricting petroleum products. The current Presiden- tial administration has designated billions of dollars to promote renewable energy. However, the transition to all-electric is not as easy as just ending the use of fossil fuels. Switching to all-electric will require time, more energy generation, and research into advanced technical solutions to make this transition a reality. Renewable Energy: A Snapshot The Energy Information Agency released its annual figures for how the U.S. generated electrical power in 2021. The U.S. needs to produce about 12 (to 15) times more electricity to meet cur- rent demand and will also need to create sufficient storage capacity to offset low production periods. Refer to the chart at https://accanow.net/3Jba1Ys. According to the chart, it appears we only need about four times more electricity gener- ation. However, the industrial, commercial, and residential sectors also used about 19 trillion cubic feet of natural gas in 2021. Simple math says that equates to about 5,850,000 megawatts, or about 1,500,000 megawatts more than the cur- rent total electrical production. NOTE: This figure excludes any benefits from appliance efficiencies or distribution/ line losses. And that is just to replace natural gas. I did not calculate what would be needed to replace gasoline or other fuel oil. Other Renewable Energy Challenges Some electric sources are intermittent. The sun shines, and then it sets. The wind blows, and then it stops. Historically, the grid had transmission (power genera- tion) and distribution (the loads). Power flowed one way. Adding an ever-increasing amount of variable renewable energy (VRE) at the distribution level changes the system paradigm. Instead of one-way power flow, there are branches that will experience current from two directions because local renewable sources produce power and feed it to the distribution net- work. Multiple renewable energy sources create challenges since the added power may appear as a fault, change in load, or a change in generation. The variation in cur- rent might cause nuisance tripping, failure to trip, underreach/overreach problems, auto-reclosing problems, and more. Research into solutions for this problem is underway and will be deployed into an integrated and improved electrical grid. Manufacturers are Doing Their Part The market shift to all-electric appliances has prompted manufacturers to improve heat pump heating capacity. Heat pumps were once air conditioners with a quirky valve that allowed them to provide heat during the spring and fall. Many manu- facturers are now testing “cold-climate” heat pumps that deliver ample capacity at temperatures lower than -20F! The industry is doing its part to support heat- ing solely with heat pumps. Contractors are Critical Marvelous new HVAC systems are great, but they are not enough. High-efficiency heat pumps are extremely dependent on the crew that installs them to meet their intended efficiency. First, the designer who calculates the Manual J® load selects the equipment and designs the duct system. Second, in existing homes, ducted HVAC systems rely heavily on the person who sold the new system as it is critical that the salesperson evaluates the ducts to ensure they are the right size, sealed tight, and insulated right (especially in uncondi- tioned space). Finally, the star of the show, the installer! Correctly setting the new heat pump and ensuring proper operation are vital to comfort and performance. Fantastic new equipment that is poorly installed will fail to deliver comfort, waste energy, and possibly break down sooner than expected. ACCA offers a Quality Installation Certificate to support quality HVAC pro- fessionals who commission the systems they install. These demonstrate to your customer that the expensive new system they purchased was installed right! Summary Bottom Line: The transition to all-elec- tric buildings will take time. Despite the strong desire to switch to fully electric, there are A LOT more production and technical resources that must be developed and implemented. During that time, HVAC professionals can take steps to sup- port the transition. When you talk with your customers about replacing their HVAC system, it is important to understand what is happening in the market. Some customers will be passionate about heat pumps, others will want to continue to use fuel-fired heat. As always, present the facts, advise your customers, and help them to make the best decision possible. As we continue to move toward an all- electric platform, you will need to ensure your business is ready to face the upcoming challenges and growth opportunities it is presented. Wes Davis is ACCA’s Director of Technical Services. He can be reached at wes.davis@acca.org or 703-824-8847. The U.S. needs to produce about 12 (to 15) times more electricity to meet current demand and will also need to create sufficient storage capacity to offset low production periods. JANUARY/FEBRUARY 2023 22
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