FOCUS BEGINS ON PAGE 1
ENERGY CREDITS & REBATES
T H E H VAC R C O N T R ACTO R ’ S W E E K LY N E WS M AG A ZI N E S I N C E 1926
JANUARY 10, 2011 ■ $5.00
fyi
INDUSTRY BRIEFS
Price Increase
■ Johnson Controls (Milwaukee) announced
a price increase of 3 to 7 percent on
select Frick Brand Industrial Refrigeration
Products (Waynesboro, Pa.), including
evaporators, evaporative condensers,
and hygienic air handling units.
The increase will be effec-
tive Feb. 1.
Distributors
■ Progress Supply
Inc. (Cincinnati)
introduced The
Progress Web
Store, a new
online site that
gives customers
access to 95 percent of
its product line.
■ Daikin AC (Americas) Inc. (Carrollton,
Texas) announced Direct Expansion
Solutions (DXS), a division of HTS
(Houston), will represent its Variable
Refrigerant Volume (VRV®) HVAC equip-
ment in north Texas.
Manufacturers
■ Etienne Veilleux, president and CEO of Dis-
tech Controls (Brossard, Quebec), was
named the Cleantech category winner of
the Ernst & Young Entrepreneur of the
Year® 2010 award in the Quebec region.
■ Energy Saving Products Ltd. (Edmon-
ton, Alberta) moved into a new facility,
rebuilt on the site of the 2009 fire that
destroyed its previous building.
■ CertainTeed Corp. (Valley Forge, Pa.)
was honored with a 2010 Communi-
tas Award for Excellence in Corporate
Social Responsibility from the Asso-
ciation of Marketing and Communication
Professionals (AMCP).
— compiled by Kimberly Schwartz
O N L I N E AT W W W . A C H R N E W S . C O M
N E W S P A P E R
■ VISIT US ONLINE AT WWW.ACHRNEWS.COM
HVAC Contractors Predict
Solid First Quarter for 2011
Predictions Include HVACR Trends and Business Tips
Efficiency Credits Reduced to $500 in 2011
By B. Checket-Hanks
Of The NEWS Staff
he HVAC industry got a Christ-
T mas gift from the federal govern-
ment in late 2010, when those
energy efficiency tax credits were
approved for one more year — although at
the lower level of $500. Contractors have
been using the credits to help give replace-
ments and upgrades a quicker payback.
“While we are happy to see the 25c tax
■
By Angela D. Harris Of The NEWS Staff
he Congressional Budget Office (CBO) is
T predicting continued recovery for 2011. So
is Ben Bernanke, chairman of the board of
governors of the Federal Reserve System,
and so are many of the contractors with whom
The NEWS discussed 2011 predictions late last
year. Armed with practical experience and real
world data, these contractors are offering
their economic and industry predictions, as
well as business tips for first quarter 2011.
PREDICTION #1
MONEY LENDING WILL EASE SUBSTANTIALLY
From the beginning of the
economic downturn, bank
lending, especially to small
businesses, has been a par-
ticularly difficult issue;
one that continues to be
addressed by the federal
banking community.
“Achieving the appro-
■ See 2011 PREDICTIONS page 18
credits extended for 2011, we were disap- major piece of legislation,” since the presi-
pointed by the substantial reductions to their dent worked together with Republicans
value and changes to the minimum stan- and conservative Democrats.
dards for some of the qualifying equipment,” As expected, the new law includes a two-
said Charles McCrudden, vice president of
government relations for the Air Condition-
ing Contractors of America (ACCA).
The tax extender package was signed
into law on Dec. 17, 2010, by President
year extension of the Bush tax cuts for all
income levels, a lower capital gains tax rate
for investors, an increase of the exemption
for the estate tax to $5 million per individual
(and lowering of the tax rate to 35 percent),
Obama, who had negotiated the deal with enactment of the Alternative Minimum
congressional leaders. McCrudden added Tax “patch” for 2010 and 2011, and other
that it was an “odd coalition to move a ■ See EFFICIENCY CREDITS page 12
Follow the
LEADER
in HVACR news! twitter.com/achrnews facebook.com/achrnews
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7SPEV;EXIV,IEXMRK7]WXIQW8EROPIWW;EXIV,IEXIVW,]FVMH;EXIV,IEXIVW-%54VSHYGXW
;LSPI,SQI7XERHF]+IRIVEXSVW4SSP,IEX4YQTW
7TE,IEXIVW

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this week
JANUARY 10, 2011 ONLINE AT WWW.ACHRNEWS.COM

departments
FOCUS
ENERGY CREDITS & REBATES
advertisers .................................................21
class notes ...................................................4
classifieds.................................................. 20
■ pre-recession levels newsline........................................................4
Efficiency Credits Reduced opinions .......................................................22
to $500 in 2011: The energy- what’s new...................................................8
efficiency tax credits signed
into law in December won’t be
as advantageous as the last
ones. Page 1.

■ applications
Brady Energy Services Digs
Into Geothermal: The contractor 8
helps customers save money
via use of state tax credits and
utility rebates. Page 10. online networking
ARE YOU ON TWITTER?
■ an array of equipment If so, be sure to follow the Air
Conditioning, Heating, and Refrigeration
Integration Controls Are King for NEWS by joining us at twitter.com/
Elaborate and Efficient Home: achrnews and receive updates on
One house utilizes solar, radiant, everything HVACR related.
and geothermal to heat the
ARE YOU ON FACEBOOK?
house, depending on conditions. If so, be sure to join the Air Conditioning,
Page 12. Heating, and Refrigeration NEWS page

10 and connect with industry peers. Just

search the group and join today.

in this issue achrnews.com

PRODUCT GALLERY
Check out the latest new
products and services from CONTRACTOR PANEL
NEWS advertisers. We make HANK BLOOM Environmental Conditioning Systems
it easier for contractors to KEN BODWELL Innovative Service Solutions
access information for your
business. DAVE DOMBROWSKI Metro Services/ARS
RUSS DONNICI Mechanical Air Service Inc.
LEARNING CENTER
In cooperation with SCOTT GETZSCHMAN Getzschman Heating LLC
HVACReducation.net, ROGER GROCHMAL AtlasCare
this resource provides JIM HUSSEY Marina Mechanical
contractors and techs
ANN KAHN Kahn Mechanical
with convenient and cost-
effective online training. SONNY KNOBLOCH Help!! Air Conditioning & Heating
BRIAN LEECH Service Legends
EXTRA EDITION MARY MARBLE Marble Mechanical Services LLC
Using Thermography to Reduce Residential Energy Use: Ther- ARTHUR PICKETT Royal Air Systems Inc.
16 mography uses an infrared camera (thermal imager) to cap-
JEFF SOMERS Monsen Engineering Co.
ture two-dimensional representations of the surface tem-
■ contracting peratures of parts of buildings, including roofs, walls, doors, LARRY TAYLOR AirRite Air Conditioning Company
windows, and construction joints. Often, those images reveal AARON YORK Aaron York’s Quality A/C
Contractors Predict Solid First Quarter for 2011. Page 1.
temperatures or temperature differences that indicate condi-
tions contributing to the waste of heated or cooled air and, as a
■ who’s job is it? result, needlessly excessive energy costs. Imaging thus is per-
DISTRIBUTOR PANEL
KEN CONNELL Gemaire Group
Technician Selling Is a Hot Button. Page 16. formed on structures to improve their overall energy efficiency.
KENT KENDRICKS Dale Supply Co.
DENNIS LARSON Refrigerative Supply
MIKE MICHEL R.E. Michel Co. Inc.
BRIAN NEWPORT The Habegger Corp.
Air Conditioning, Heating & Refrigeration NEWS Volume 242, Number 2, Serial Number 4263 (ISSN 0002-2276) is published weekly, 52 times a year, by BNP Media, 2401 W. Big Beaver Rd.,
Suite 700, Troy, MI 48084-3333. Telephone: 248-362-3700. Fax: 248-362-0317. Annual rate for subscriptions in the U.S.A.: $87.00 USD. Annual rate for subscriptions in Canada: $117.09 USD (includes GST MIKE RILEY Riley Sales
& postage). All other countries: $169.00 (int’l mail) payable in U.S. funds. Printed in the U.S.A. Copyright 2011 by BNP Media. All rights reserved. The contents of this publication may not be reproduced
in whole or in part without the consent of the publisher. The publisher is not responsible for product claims and representations. Periodicals postage paid at Troy, MI and at additional mailing offices. MICHAEL SENTER ABCO Refrigeration Supply Corp.
POSTMASTER: Send address changes to: Air Conditioning, Heating & Refrigeration NEWS, P.O. Box 15668, North Hollywood, CA 91615-9230. Canada Post: Publications Mail Agreement #40612608.
GST account: 131263923. Send returns (Canada) to Pitney Bowes, P.O. Box 25542, London, ON, N6C 6B2. Change of address: Send old address label along with new address to Air Conditioning, Heating &
JOHN STAPLES US Airconditioning Distributors.
Refrigeration NEWS, P.O. Box 15668, North Hollywood, CA 91615-9230. For single copies or back issues: Contact Ann Kalb at 248-244-6499 or kalba@bnpmedia.com. ONLINE AT WWW.ACHRNEWS.COM
DAVID WILLIAMS Gateway Supply Co.

ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011 3

 479-633-0520

EDITORIAL STAFF
■
JOHN C. CONRAD Publisher
479-633-0521 (fax) ■

MIKE MURPHY Editor-in-Chief, Manager of Conferences

johnconrad@achrnews.com
newsline
TOP TRAINERS ■ NEW TECH CENTER ■ MANUAL FOR GREEN STANDARD ■ SCHOLARSHIP PROGRAM
248-244-6446 ■ 248-244-2905 (fax) ■ mikemurphy@achrnews.com
KYLE GARGARO Managing Editor
248-244-1720 ■ 248-502-1092 (fax) ■ kylegargaro@achrnews.com
GREG MAZURKIEWICZ Web Editor
248-244-6459 ■ 248-786-1378 (fax) ■ gregmazurkiewicz@achrnews.com
BARBARA A. CHECKET-HANKS Service & Maintenance Editor
313-366-7093 ■ 313-366-7972 (fax)
PETER POWELL Refrigeration Editor
■ barbarachecket-hanks@achrnews.com
United Association Expands
815-654-7270

480-726-7121

248-244-6475
■

■
815-654-7278 (fax)
JOANNA R. TURPIN Contributing Editor
■ 480-320-4098 (fax)
■

ANGELA D. HARRIS eMedia Development Specialist

248-502-1069 (fax) ■
peterpowell@achrnews.com

joannaturpin@cox.net

angelaharris@achrnews.com
Veteran Training Program
CHERIE R. PREVILLE Associate Editor

A
248-244-6496 ■ 248-786-1360 (fax) ■ cheriepreville@achrnews.com
NNAPOLIS, Md. — A successful part- tary as members of our UA family.” people standing next to you that you can go to
KIMBERLY SCHWARTZ News & Legislation Editor
nership that trains veterans for, and “This is a great opportunity for Wisconsin, for help,” Kies said. “They both train hard.”
248-244-6495 ■ 248-786-1398 (fax) ■ kimberlyschwartz@achrnews.com places them in, careers in the plumb- in partnership with the UA, to reach out to our Mike Arndt, director of training for the UA, is
JAIME L. MOY Art Director ■ jaimemoy@achrnews.com ing and pipefitting industry is expand- veterans and offer them a new career oppor- pleased to offer the training Kies will experience, to
CHRISTOPHER PIRRONE Jr. Art Director ■ pirronec@bnpmedia.com ing to Wisconsin, according to William P. Hite, tunity,” said Kenneth G. Grant, director of the veterans in Wisconsin, Minnesota, and Illinois. “We
MICHAEL J. TRAVER Graphic Designer ■ traverm@bnpmedia.com general president of the United Association (UA) Office of Veterans Services at the Department are delighted to have the VIP program expanding
JAKE ROHDY Cartoonist ■ kintoun103@hotmail.com of Journeymen and Apprentices of the Plumbing of Workforce Development. “Through each of to this very strategic area of the country.”
ADVERTISING SALES and Pipe Fitting Industry of the United States and the state job centers, we are notifying service Approximately 2 million of the nation’s vet-
DWAIN HOLMGREN Central Advertising Manager
1050 Broadway, Suite 19, Chesterton, IN 46304 Canada. Hite signed a memorandum of agreement members of this program and working with erans have served since the attacks of Sept. 11,
219-926-5173 ■ 248-502-1082 (fax) ■ dwainholmgren@achrnews.com with the Wisconsin Army National Guard and the them to become eligible students.” 2001. The unemployment rate for those veterans
MICHAEL O’CALLAGHAN Southwest/Western Advertising Manager Department of Workforce Development to bring Camp Douglas is the third VIP site nation- tops 10 percent, according to the U.S. Bureau of
P.O. Box 490130, Lawrenceville, GA 30049
770-967-9413 ■ 248-502-2105 (fax) ■ michaelocallaghan@achrnews.com the Veterans in Piping program to Camp Douglas. wide. The first is in conjunction with the Wash- Labor Statistics. Veterans between the ages of 18
FELIPE ARIAS Eastern Advertising Manager Veterans in Piping, or VIP, offers 20 weeks ington National Guard, Workforce Development and 24 had an unemployment rate of more than 21
150 Executive Center Dr., Suite 7, Greenville, SC 29615
864-288-2231 ■ 864-288-2232 (fax) ■ felipearias@achrnews.com of training necessary to become an apprentice, and the Department of Veterans Affairs with percent, twice that of the veterans who served in
KATHY JANES Business Development Manager including two intensive weeks of transitional support from Washington Governor Chris Gre- the same era but are older, ages 25 to 34.
2401 W. Big Beaver, Suite 700, Troy, MI 48084 reintegration and work readiness to help vet- goire. That program has graduated 96 veterans “Historically, our veterans have always been
248-244-6457 ■ 248-244-3927 (fax) ■ kathyjanes@achrnews.com
erans return to civilian life. Job placement is since August 2008. under-employed,” said Anne St. Eloi, UA special
MIKE O’CONNOR Classified Advertising Manager
418 Gulph Ridge Dr., King of Prussia, PA 19406 guaranteed upon successful completion, and VIP launched in March 2009 at Camp Pend- representative for training. “If they can find work,
610-354-9552 ■ 248-502-2106 (fax) ■ oconnorm@bnpmedia.com
the training is free. leton, Calif., training active Marines before their it’s usually something low-paying that doesn’t
ADVERTISING PRODUCTION
“Our service members give so much to our discharge. That initiative has trained 90 veterans. match any of the skills they’ve learned in the mili-
CARRIE L. CYPERT Advertising Production Manager
248-786-1688 ■ 248-502-1020 (fax) ■ cypertc@bnpmedia.com country,” Hite said. “We want to ensure they have The training costs the UA between $20,000 and tary. That needs to change — and that’s why Gen-
MARY E. WRAY HVACR Production Director, Directory Publisher the training and support necessary for a success- $25,000 per person. Funding comes from the UA eral President Hite has created the VIP Program.”
248-244-6488 ■ 248-244-3920 (fax) ■ wraym@bnpmedia.com
ful career, and life, after their time in the military. International Training Fund, created by a contribu- “The UA VIP Program gives veterans the
KATHLEEN PEACOCK Production Services
Our vision of making the Veterans in Piping pro- tion of 10 cents per hour by working members. skills to succeed and provides direct placement
MARKETING STAFF
PETRA S. CADY Marketing Communications Manager
gram available to men and women nationwide is Russell Kies is one of 16 veterans who will into our industry for our nation’s heroes,” said
248-244-6449 ■ 248-244-3930 (fax) ■ cadyp@bnpmedia.com happening with this much-anticipated expansion be a member of the inaugural class in Janu- Terry Hayden, business manager of UA Local
MICHELE RASKA Trade Show Coordinator to Wisconsin. We are honored to have the hard- ary. He is eager to get started. “The union and 434 in central and western Wisconsin.
248-786-1694 ■ 248-786-1434 (fax) ■ raskam@bnpmedia.com
working and dedicated veterans of the U.S. mili- the military train front-line leaders, they have For more information, visit www.uavip.org.
JILL L. DEVRIES Corporate Reprint Manager
248-244-1726 ■ 248-244-3934 (fax) ■ devriesj@bnpmedia.com
ROBERT LISKA List Rental Manager
800-223-2194 ■ robert.liska@eraepd.com
COURSE TITLE: IGSHPA Ground Source Heat Pump Accredited
SHAWN KINGSTON List Rental Account Manager
800-409-4443 ■ shawn.kingston@eraepd.com Installer Training
MICHELLE MAKI Market Research, Sr. Project Manager SPONSORING ORGANIZATION: Gwinnett Technical College
630-694-4017 ■ 248-502-2130 (fax) ■ makim@bnpmedia.com
DATE: Jan. 27-29 Q LOCATION: Lawrenceville, Ga.
EVENTS
DANIELLE BELMONT Online Events Manager COURSE DESCRIPTION: Developed by Oklahoma State University, the
248-786-1613 ■ 248-283-6532 (fax) ■ belmontd@bnpmedia.com training program ensures that a standardized installation process
LIZ KAADOU Online Events Coordinator exists to maximize the efficiency of geoexchange systems. Topics
248-786-1622 ■ 248-502-9064 (fax) ■ kaadoul@bnpmedia.com
include ground-source heat pump system design, material options,
AUDIENCE DEVELOPMENT
For subscription information or service, please contact customer service system layout, grouting concepts, pipe joining techniques, trenching
at 800-837-8337; 818-487-4550 (fax); or e-mail thenews@espcomp.com.
and drilling process, air and debris purging, pressure drop calcula-
ANN KALB Single Copy Sales
248-244-6499 ■ 248-244-2925 (fax) ■ kalba@bnpmedia.com tions, pump and fluid selection, and thermal conductivity. Upon suc-
KATHLEEN KOVAL Audience Development Manager cessful completion of the workshop and passing the International
KATIE JABOUR Multimedia Specialist Ground Source Heat Pump Association (IGSHPA) installer’s exami-
CATHERINE M. RONAN Corporate Audience Audit Manager nation, participants will receive IGSHPA installer accreditation and
a three-year membership/accreditation with IGSHPA. Students also
can receive 2.4 CEUs for this class. www.gwinnetttech.edu

CORPORATE DIRECTORS COURSE TITLE: The Screw Chiller Service and Repair Course
TIMOTHY A. FAUSCH Publishing
SPONSORING ORGANIZATION: McQuay International
JOHN R. SCHREI Publishing
DATE: Jan. 31-Feb. 4 Q LOCATION: Staunton, Va.
RITA M. FOUMIA Corporate Strategy
COURSE DESCRIPTION: The course is structured to provide basic
SCOTT KESLER Information Technology
classroom instruction, demonstrations, and hands-on exercises
ARIANE CLAIRE Marketing
designed to familiarize the student with the product features, instal-
VINCENT M. MICONI Production lation requirements, and service procedures for McQuay screw chiller
LISA L. PAULUS Finance products and McQuay screw compressor service procedures. The
MICHAEL T. POWELL Creative emphasis will be to enhance the techs’ knowledge of good service
NIKKI SMITH Directories and electrical troubleshooting practices. Screw compressor service
MARLENE J. WITTHOFT Human Resources procedures will also be covered using models in the shop. The class
EMILY PATTEN Conferences & Events includes product review, plant tour of manufacturing facility, and
BETH A. SUROWIEC Clear Seas Research group hands-on training on MicroTech® simulators and compressor
maintenance service and procedures. www.mcquayservice.com
BNP Media Helps People Succeed
in Business with Superior Information

4 AIR CONDITIONING, HEATING & REFRIGERATION NEWS ■ January 10, 2011

The way we focus on quality,
no wonder our brands shine.
Quality always stands out. That’s why Johnson Controls has a quality focus that makes our residential and light commercial HVAC
brands — York®, Luxaire® and Coleman® — look outstanding.

Since 1885, the foundation of our business has been innovation and a dedication to continuous improvements in quality, service and
productivity. Today, our 130,000 employees around the globe remain committed to these principles across our diverse, multi-industry
portfolio. Together, we’re delivering state-of-the-art products, services and solutions that increase energy efficiency, lower operating
costs and deliver unsurpassed comfort for over one million customers worldwide. To support this commitment, we have implemented
Six Sigma quality methods throughout our organization — a process for producing 999,996 perfect parts per million.

As a result, thousands of distributors and dealers confidently look to our brands for fewer warranty events, reduced call backs
and higher profits. So take a close look at our brands — you’ll see a commitment to quality that will reflect well on your business.
Learn more at www.ourbrandsshine.com.

eProduct #53 at achrnews.com

Coleman® and are registered trademarks of The Coleman Company, Inc. used under license.
©2011 Johnson Controls, Inc. All rights reserved. Subject to change without notice. Void where prohibited.
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newsline
MORE ONLINE AT ACHRNEWS.COM
Carrier Awards
Top Trainer
C
INCINNATI — The Habegger Corp.-Carrier Division
announced that Bennie Barnes won the Theoret
Curley Service Training Award. This lifetime achieve-
ment award is the highest national honor that the company
awards to trainers. It is named after two well-known and
respected trainers, Richard Theoret and James Curley.
Barnes, who works for Habegger Corp., was recog-
nized for his outstanding dedication to service training
and excellence in HVAC education. He is known for putting
in long hours to train others at evening classes. In addi-
tion, he has worked with vocational schools and served on
the Skills USA judging board for its national challenges.
Barnes was honored at a special dinner by John Dorr,
president of Habegger Corp.; Steve Frey, branch manager
of the Habegger-Carrier location; and Brian Newport,
residential sales manager.
Tecumseh to Create
New Tech Center
A
NN ARBOR, Mich. — Tecumseh Products Co.
announced that it will create a state-of-the-art
Tecumseh Technology Center within a recently-
purchased, newly-constructed 48,000-square-foot build-
ing in Ann Arbor. Slated for completion in summer 2011,
Tecumseh’s new facility will join certified Tecumseh labs in
France, Brazil, and India to form the backbone of a global
engineering strategy with increased focus on research,
development, and applications. Much of the current lab in
Tecumseh, Mich., also will be relocated to the Ann Arbor
facility and its capabilities significantly upgraded.
“The creation of the Tecumseh Technology Center is a
significant investment in the future that benefits our cus-
tomers, shareholders, employees, and the environment,”
said Jim Wainright, president and CEO. “It allows us to
strategically focus on the changing needs of the refrigera-
tion and air conditioning marketplace, developing the most
energy-efficient and eco-friendly products possible.”
The Tecumseh Technology Center will meet Energy
Star® accreditation qualifications, as well as continue to
be fully UL® and ISO certified. It will have complete hydro-
carbon development and testing capability and enhanced
environmental simulation facilities.
In addition to striving for energy efficiency in product
development, Tecumseh also will pursue LEED certifica-
tion on the lab facility build-out as part of its commitment
to new technologies and improving the environment.
“We fully expect the new center to attract highly-
skilled technicians and engineers, as well as partnerships
to help Tecumseh develop new technologies and bring our
customers a steady stream of next-generation applica-
tions,” Wainright said. “We’re pleased to solidify our com-
mitment to the Ann Arbor area, one of the key research
hubs of the United States. We also want to acknowledge
the supportive partnership we’ve enjoyed with the city of
Tecumseh throughout our history.”
User’s Manual
for Green Standard
A
TLANTA — The American Society of Heating,
Refrigerating, and Air-Conditioning Engineers
(ASHRAE) announced a new User’s Manual has
been published to educate industry professionals on how
to meet the requirements of Standard 189.1-2009, Stan-
dard for the Design of High-Performance, Green Buildings
Except Low-Rise Residential Buildings.
“Because of the breadth of the key topic areas covered
in the standard — site sustainability, water use efficiency,
energy efficiency, indoor environmental quality, and the build-
ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011
ing’s impact on the atmosphere, materials, and resources —
it is important for users to have a thorough understanding of
how they come together to create a sustainable building,”
said Kent Peterson, former chair of the Standard 189.1 com-
mittee. “The User’s Manual aids architects and engineers in
applying the standard to design; general and specialty con-
tractors in constructing buildings that are in compliance; and
plan examiners and field inspectors in enforcing the standard
where adopted into code.”
The new User’s Manual provides explanations of the
standard’s requirements and examples of its application.
It contains sample calculations, forms to demonstrate
compliance, and references to helpful resources and
websites. This User’s Manual is also suitable for use in
educational programs. The cost of the Standard 189.1
User’s Manual is $93 ($79, ASHRAE members). It is avail-
able online through the www.ashrae.org/bookstore.
NAOHSM Annual
Scholarship Program
E
AST PETERSBURG, Pa. — In response to the need for
qualified heating technicians to work in the industry,
the National Association of Oilheating Service Man-
agers (NAOHSM) offers annual scholarships to students
interested in furthering their education in the HVAC field.
To date, NAOHSM has awarded over $161,000 in scholar-
ships. In 2010, it awarded 12, each worth $2,000. For 2011,
NAOHSM is modifying the criteria for the review process
and limiting the number of awards. There will be a minimum
of four $5,000 awards. More emphasis will be placed upon
applications of students whose instructor has submitted a
recommendation. In addition, NAOHSM will weigh students’
financial need and passion for their future plans.
Each award will be jointly named after the sponsor
— the manufacturer (or individual) and NAOHSM. All
winners and their families will be invited to the annual
awards banquet, which will be held May 24 during the
annual convention in Hershey, Pa.
NAOHSM funds its portion of the awards through the
annual Dave Nelsen Golf Tournament. The 2011 tourna-
ment will be held on Monday, May 23, at 1:00 p.m. It will
be a scramble with a shotgun start at Iron Valley Golf
Course in Lebanon, Pa. The cost per golfer will include
golf participation, lunch, and a cocktail party following
the event, where prizes will be awarded.
For more information, visit www.naohsm.org.
New Online
HVACR Certificate
Accept credit cards
H
ERON, Mont. — HVACRedu.net, an online indus-
try education provider, updated its Certificate everywhere your customers are
of Completion issued to HVACR apprenticeship with Intuit GoPayment.
students who have successfully completed a year of its
online training curriculum. The new certificate went into
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effect on May 28, 2010.
The new certificate is designed to be more profession-
ally attractive for framing and to recognize the accom-
plishment of the apprentices who earn it. Also, the new
certificate provides more information, including a term of
validity. It will expire five years after the date of completion.
The expiration date should have no impact on any active
apprentices. Because apprentices use the certificate to
verify successful completion of the related training portion
of their apprenticeship program each year, they often pro-
vide it to their employer or send a copy to the state office
of apprenticeship. The state office uses it as part of their
approval to advance the apprentice into the next year of the
program or to approve the technician for the journeyman
licensing exam. A four-year apprenticeship program is usu-
ally completed before the five-year certificate expiration. eProduct #3 at achrnews.com
For more information, visit www.hvacredu.net. ■
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what’s new
PRODUCTS AVAILABLE TO HELP CONTRACTORS IN THEIR BUSINESSES. SEND PRODUCT RELEASES TO NEWPRODUCTS@ACHRNEWS.COM.
Commercial
Ventilation Unit
The Z Series is a fully integrated, com-
mercial ventilation unit. It combines the
benefits of a heat pump and an energy
recovery wheel into one unit. During the
winter months, when the outdoor air
temperatures are between -10 and 45˚F,
the unit modulates the DX heat pump
system and the total enthalpy wheel to
provide 70˚ heated air to the space. The
Z Series can heat up to 1,500 cfm of
outside air with a COP of 6.23 at 0˚. Dur-
ing the warmer months, the unit delivers
dehumidified, 70˚ fresh air to the build-
ing with EER exceeding 17. According to
the manufacturer, the Z.62e provides
the building design professional with a
tested and verified plug-and-play prod-
uct. The low-cost, high-efficiency unit
will meet the design goals of LEED and
ASHRAE standards (90.1 & 62.1).
Reznor/Thomas & Betts, 8155 T&B Blvd.,
Memphis, TN 38125; 800-695-1901, ext. 1;
www.rezspec.com/z.62
eProduct 181
Pocket Digital
Light Meter
The Traceable® pocket digital light me-
ter reads from 0 to 1,999 foot-candles
(resolution 0.1 to 1). Bright, ½-inch-
high digits make it an easy-to-read
pocket light meter. The simplicity of
the two-button operation eliminates the
need to refer to directions. Functions
are on-off, and range. The meter can
be zeroed with the simple turn of an ad-
justment screw. To ensure accuracy, an
individually serial-numbered Traceable®
certificate is provided from the manu-
facturer’s ISO 17025 calibration labora-
tory accredited by A2LA; it indicates
traceability to standards provided by
the National Institute of Standards and
Technology. The unit is supplied with a
flip-open stand and 9-V battery. The
8 AIR CONDITIONING, HEATING & REFRIGERATION NEWS
sensor weighs 6½ ounces and features
a 40-inch-long lead.
Control Co., Attn: Robert Cooney, 4455 Rex
Rd., Friendswood, TX 77546; 281-482-1714;
281-482-9448 (fax); sales@control3.com;
www.control3.com
eProduct 182
Basement
Reversible Fan
The Xchanger is an energy-saving fan ca-
pable of automatically and simultaneously
ridding basements or other areas of stale,
musty, or smelly air and drawing in fresh
outside air. The fan is installed in an out-
side wall and features two reversible 90-
cfm fans that can be positioned to move
air in either direction. The user can utilize
the fan in three ways: (1) exhaust air from
the interior, (2) draw outside air into the
home, or (3) reverse one fan for balanced
air exchange with no bypass from either
airstream. The company says although the
initial cost of the fan is comparable to a
dehumidifier, the dual fans in the unit only
use 35 W of electricity. Optional accesso-
ries available are a timer control, fan speed
control, and a duct takeoff for use when
the fan is not located in the room being
ventilated. Besides basement installations,
other applications include supplying make-
up air for stoves and fireplaces, ventilating
storage areas and garages, and maintain-
ing fresh interior air in cabins during long
vacancy periods.
Tjernlund Products Inc., 1601 Ninth St.,
White Bear Lake, MN 55110-6794; 651-426-
2993 or 800-255-4208; 651-426-9547 (fax);
www.tjernlund.com
eProduct 183
Drain Pan, Line
Cleaning Tab
The Hydrex™ tablet prevents drain line
and pan blockage in air conditioners, hu-
midifiers, and refrigerators due to buildup
of slime and sludge. The a/c tabs give
contractors a quick way to keep drain
pans and drain lines clean and to control
odors. According to the manufacturer,
costly water overflow damage can be
avoided by a simple dose. The tablets
are easily dispensed from the packaged,
plastic bottle to control odor and water
flow. For treatments, two tablets are
used per 1 ton of air conditioning to con-
trol odor and sludge for up to 3 months.
The a/c tabs are ideal for commercial
air conditioning units commonly found in
motels, hotels, hospitals, nursing homes,
schools, apartments, and office buildings,
states the company.
Rectorseal, 2601 Spenwick Dr., Houston, TX
77055; 800-231-3345; www.rectorseal.com
eProduct 184
Online Energy
Monitoring
The USE Manager™ 6.1 features important,
timely, and customer-focused upgrades
to its online energy monitoring and con-
trol systems. It provides automated, fully
integrated real-time status and building
control via the web, and features the full
integration of four new features, including
the EPA’s Portfolio Manager, USE Tracker,
Real-Time Management, and USE-Mobile.
The USE Manager 6.1 can share informa-
tion two ways with the EPA’s Portfolio
Manager. The USE Tracker now tracks
usage data for water, in addition to oil
and gas. Real-Time Management provides
owners and managers with automated,
fully integrated real-time control and
alerting via the Internet. The USE-Mobile
function enables property managers to
link their mobile devices, including iPhones
and Blackberrys, to USE Manager™ 6.1 to
monitor their buildings.
US Energy Group, 78-40 164th St., Fresh
Meadows, NY 11366; 718-380-1004; 718-380-
1432 (fax); info@use-group.com; www.use-
group.com
eProduct 185
High-Efficiency
Evaporators
The AI Aircoil™ products are high-
efficiency, low-noise evaporators. The
evaporators are specifically designed
for efficient operation in liquid overfeed
(pumped), DX, or brine systems, with
any refrigerant (ammonia, CO2, halocar-
bons, glycols, etc.). Tubes are 5/8-inch
OD, stainless steel, aluminum, or copper.
Standard cabinet/casing material is cor-
rosion-resistant galvanized steel. Fans
are individually compartmented with
continuous tube sheets to permit fan
cycling. AI evaporators may be ceiling or
floor mounted. Fins are continuous plate
type with a proprietary surface con-
figuration that produces maximum heat
transfer with minimum air pressure drop.
The evaporator design utilizes a high ratio
of secondary (fin) to primary (tube) sur-
face area, which results in extended run
time, says the company. Catalog ratings
are available in both IP and SI units.
Colmac Coil Manufacturing Inc., P.O. Box
571, Colville, WA 99114-0571; 800-845-6778
or 509-684-2595; 509-684-8331 (fax); www.
colmaccoil.com/aircoil/ai
eProduct 186
Air Velocity
Sensor
The F600 board-level air velocity sensor
is designed for continuous monitoring of
airflow in small locations. The airflow
sensor has a small form factor of 0.5
inches high by 0.25 inches wide and by
1 inch long, with a 0.1-inch pitch design.
Costly electronic components are pro-
tected by the sensor by using the output
to sound an alarm or to reduce system
power if there is a loss of air velocity.
User configurable outputs include pulse
width modulation, tach, or alarm open
drain output. With an air velocity range
of 0.5 to 5 m/s (100-1,000 fpm) and
an operating temperature range of 10 to
60˚C, the sensor accepts a power supply
of 12 vdc and has a ±45-degree airflow
acceptance angle. A temperature out-
put is also included. With internal fac-
tory calibration, the F600 sensors are
fully interchangeable with one another.
No field calibration is required.
Degree Controls Inc., 18 Meadowbrook Dr.,
Milford, NH 03055; 603-672-8900 or 877-
334-7332; 603-672-9565 (fax); customer.
service@degreec.com; www.degreec.com
eProduct 187
■ January 10, 2011

Water-Pressure
Booster System
The Pressurizer-VS™ is an energy-
saving water pressure booster system
based on a Baldor variable-frequency
microdrive and high-efficiency mo-
tor. The system is designed to provide
supplemental pressurization of water
supplies, using a preemptive control
scheme that employs custom Baldor-
developed firmware to regulate output
flow and pressure very efficiently and
accurately. It uses a TV2g in-line pump
closely coupled to a vertically-mounted
motor, with an adjacent hydropneu-
matic pressure tank, which enables the
system to react the instant water is
demanded, and prevents the system cy-
cling during small, infrequent demands.
The physical layout of the entire system
results in a very compact footprint, en-
abling the unit to be fitted in areas too
small for conventional systems, says the
company. The pressurizer is available
with a number of different motor and
drive options, covering flow rates up to
200 gpm (910 lpm) and pressure boost
ranges from 30 to 80 psi. As standard,
the system is supplied with a Baldor
high-efficiency drip-proof motor, con-
trolled by a Baldor VS1MD microdrive.
Thrush Co. Inc., 340 West 8th St., Peru, IN
46970; 765-472-3351; 765-472-3968 (fax);
smrt@thrushco.com; www.thrushco.com
or www.baldormotion.com
eProduct 188
Replacement
Furnace Controls
The replacement furnace controls add to
the company’s line of replacement heat-
ing controls. The new models — ICM284,
ICM287, ICM289, ICM291, ICM292, and
ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011
ICM2801 — are added to the existing
wide array of replacement heating con-
trols, including the line of fan blower
controls and oil primaries. Designed for
100 percent gas shutoff in case of igni-
tion failure, the ICM284 furnace control
board controls vent motor, blower control,
hot surface igniter, and gas valve. The
ICM287 furnace control board controls
inducer and blower control and monitors
timing and gas valve. The ICM289 furnace
control board controls inducer fan motor,
blower fan, and monitors limit switches.
The ICM291 direct-spark ignition control
board has a 100 percent lockout safety
feature. The ICM292 gas ignition control
is compatible with LP or natural gas. The
ICM2801 gas furnace control board is
microprocessor-based and has a 100
percent lockout safety feature.
ICM Controls Corp., 800-365-5525; www.
icmcontrols.com
eProduct 189
Rechargeable
Flashlight
The rugged, yet lightweight, Light for
Life™ flashlight provides a bright light
source that lasts for two hours and fully
recharges in the user’s truck or office in
90 seconds. It delivers up to two hours
of total runtime with no battery fade
and incorporates a sophisticated energy
management system called FlashPoint®
Power Technology that utilizes advanced
capacitor technology. The lightweight
flashlight gets its brilliant LED light us-
ing ultracapacitors instead of batteries.
Ultracapacitors are used in windmills
and other long-life electronics because
of their reliability, ability to store energy,
and lack of performance fade. The flash-
light, chosen by law enforcement as a
reliable light source, is now utilized by
construction, inspection, HVAC, and other
occupations that demand reliable, porta-
ble flashlights. The flashlight, made from
high-grade polymers, is impact-, abra-
sion-, and water-resistant. It features an
anti-roll head, and it performs in a wide
range of temperatures (-40 to 149˚F).
5.11 Inc., 4300 Spyres Way, Modesto, CA
95356; 209-527-4511 or 866-451-1726;
209-527-1511 (fax); www.511tactical.com
eProduct 190
High-Capacity
Ice Machines
The KMH Series crescent cube ice ma-
chines offer high-capacity, stackable ice
machines that are Energy Star-qualified.
The KMH-2000S hybrid model offers the
largest ice-production capacity for the
smallest footprint. The frame measures
40 inches in depth and produces up to
1,944 pounds of ice in 24 hours. Space-
saving dimensions permit the ice ma-
chine to be placed side by side or stacked
in the same amount of floor space as a
single unit. When the unit is stacked, the
KHM ice machine produces up to 7,776
pounds of clear crescent cube ice within
24 hours. The high-capacity unit features
a stainless steel evaporator and Hoshi-
Guard antimicrobial agent. The KMH-
2000S_H is available as air or water
cooled and a single- or three-phase unit.
Hoshizaki America Inc., 618 Hwy 74 S.,
Peachtree City, GA 30269; 800-438-6087
or 770-487-2331; 770-487-1325 (fax);
marketing@hoshizaki.com; www.hoshizaki
america.com
eProduct 191
Welding Protective
Eyewear
Multiple eyewear options that provide eye
protection for light welding applications
as well as those requiring traditional weld-
ing goggles are available. According to the
company, its light welding safety eyewear
is more stylish and comfortable than pre-
vious alternatives. Products include the
Cover2® IR, a contemporary style OTG
solution with an IR Filter Shade 5.0. Other
spectacle options offering protection in
Shades 3.0 and 5.0 include the StarLite®
IR and the traditional style Strobe™ IR.
Wheelz™ IR also offers IR protection in a
sleek, lightweight goggle form. All prod-
ucts also meet the American National
Standards Institute Z87.1+ Standard.
These products are not suitable for some
welding applications that require a higher
level of IR protection, the company states.
Gateway Safety Inc., 11111 Memphis Ave.,
Cleveland, OH 44144; 800-822-5347; 216-
889-1200 (fax); service@gatewaysafety.
com; www.gatewaysafety.com
eProduct 192
Wall-Mount
Boiler
The Knight® heating boiler is now avail-
able in wall-mounted units with an inno-
vative new fire tube design. Developed
to provide contractors with all of the
options they need to serve every ap-
plication, the new wall-mount fire tube
models are available in seven models
with inputs from 55,000 to 399,000
Btuh, and can be used in residential or
light-duty applications such as small
hotels, schools, and office buildings. For
higher demand applications, the Smart
System™ operating control features a
built-in cascading sequencer that al-
lows up to eight units to be installed,
delivering up to 3.2 million Btuh heat-
ing capacity. The Knight wall-mount
boiler models offer up to 99 percent
thermal efficiency, low-NOx emissions,
and a fully modulating burner, provid-
ing a heating solution for today’s en-
vironmentally conscious market. The
fully modulating 5:1 turndown burner
allows the boiler to keep fuel use to an
absolute minimum by adjusting heat
output according to demand.
Lochinvar Corp., 300 Maddox Simpson Park-
way, Lebanon, TN 37090; 615-889-8900; 615-
547-1000 (fax); www.lochinvar.com
eProduct 193
Business
Software
The M.O.S.T.-Contractor software is
designed to make it easier for stan-
dardizing the way work is done in the
office and out in the field. It optimizes
scheduling, contains features to assist
in increasing sales opportunities, and
reduces data entry errors by using
standardized notes, lookups, and an in-
tegrated spell check. Designed to work
with any laptop or tablet PC, the soft-
ware includes dashboards, reports, and
pivot tables that support a wide range of
data tools for monitoring and managing
key performance indicators. Features
include electronic payment capture, in-
creasing cash flow and reducing receiv-
ables; custom employee tickler system
for assigning and tracking tasks; and
Green Agenda, which focuses on elec-
tronic transfer of customer documents
like invoices, installation guides, and
forms so as to reduce paper output.
Mobile Software Technology LLC, 5712 E.
Speedway Blvd., Tucson, AZ 85712; 877-
667-8001; www.mostfor.com
eProduct 194
9
 FOCUS
ENERGY CREDITS & REBATES
Brady Energy Services Digs Into Geothermal
Credits and Incentives Drive Decision-Makers
By B. Checket-Hanks
Of The NEWS Staff
REENSBORO, N.C. —
G Aaron Rittenhouse is
the senior solutions
account executive with
Brady Energy Services, a company
that provides energy systems and
building solutions for commer-
cial and industrial facilities across
North Carolina. The commercial-
industrial-institutional contractor
is preparing to become more deeply
entrenched in the renewable energy
market, specifically geothermal.
The main reason, said Rit-
tenhouse, is to help clients take
advantage of particularly ben-
eficial tax credits and incentives.
For instance, he said, a relatively
new state tax credit offers a tax
credit of up to 35 percent of the
installed cost, up to a cap of $2.5
million. This, combined with
the federal incentive for renew-
able energy systems, can lead to
a potential 50 percent tax credit.
In addition to this, “The effi-
ciency and utility savings realized
by the use of geothermal tech-
nology has made this a desirable
solution for the operation of com-
mercial buildings,” said Randy
Katz, Raleigh general manager.
The company works with cus-
tomers on:
• Lease.
• Lease to own.
• Shared savings.
• Performance contracting.
• Utility rebates.
• Grant money.
• Tax incentives.
CUSTOMER GUIDANCE
Part of the services the con-
tractor provides is to pinpoint
the most advantageous cost ben-
efits and help clients apply them
to their projects. According to
Rittenhouse, the company helps
in a variety of ways, particularly
through knowledge and infor-
mation tools. “Knowledge is the
brady services
B rady is a supplier of Trane Integrated Comfort SolutionsTM and ser-
vices for commercial and industrial buildings in North Carolina since
1962. This family-owned company partners with customers to design and
maintain their facilities. The company is headed by Jim and Joe Brady,
along with 300 associates. ■
10
key to a sustainable building,” with a public or private sector client.
the company states on its website. Earlier this year, the contrac-
Some public sector clients, he tor announced that Tony Dillon
added, need to use a third-party had earned certification from the
ownership contract. This gives the
third party (in this case, the con-
tractor) ownership of the system,
plus the rebates that will pay it back.
International Ground Source Heat
Pump Association (IGSHPA).
Dillon has been with Brady for
12 years. He serves as a project man-
Rittenhouse cited a few pro-
grams to be aware of when it
ager for the Raleigh office. With
his certification, he will supervise 1 2
comes to rebates, tax credits, and
other incentives:
• Check out desireusa.org/
incentive, which provides state-by-
state incentive analyses in all sec-
tors. It is regularly updated, he said.
• The Energy Policy Act of 2005,
which includes water, lighting,
and HVAC, has been extended
through 2013.
The requirements for meeting
the terms of these various programs
can be complicated. Rittenhouse
said Brady handles it by using a
team approach. The team includes
a measurement verification engi-
neer, project manager, management
with overall accountability, and an
executive decision-maker.
OTHER DECISIONS
In addition to financial con-
siderations, there are limitations
that need to be considered when it
comes to large geothermal appli-
cations. The first is space. Tradi-
tional horizontal loops require a
lot of land. Pond loops or vertical
loops may be the solution, he said.
Even though it is possible to
retrofit an existing commercial-
industrial building to a geother-
mal technology, “it can become
cost prohibitive,” he said. Green
new construction applications
tend to have a better payback.
In general, it is a solution for
clients “who have a requirement
in terms of using renewable
energy, but they don’t have the
funds,” Rittenhouse said.
The new market focus is just get-
ting off the ground, Rittenhouse
said. “We hope that before the end
of 2011, to have a geothermal project
1. Brady pinpoints advantageous cost benefits
and helps clients apply them to their projects.
2. Aaron Rittenhouse, senior solutions account executive
with Brady Energy Services, Greensboro, N.C.
3. Brady Energy Services works with customers on arrangements
3 such as leasing, shared savings, and performance contracting.
AIR CONDITIONING, HEATING & REFRIGERATION NEWS ■ January 10, 2011
 Sustainable Services Manager lends itself to developing strategies for the entire building team, including

Bolsters Green Initiatives architectural, landscape, and construction partners.

“LEED and other rating methodologies have given us focus, format, and a

L
the installation and maintenance OS ANGELES — IBE Consulting Engineers (IBE), a leading mechani- platform to reintegrate the specialties and take advantage of the best parts
of geothermal systems for Brady cal, electrical, and plumbing (MEP) engineering firm, announced the of all of them,” said Price. In addition to being a LEED Accredited Profes-
across North Carolina. addition of Beckham Price, LEED AP, as sustainable services manager. sional by the U.S. Green Building Council, he is a Green Star Accredited
The company’s assistance ex- An early adopter of sustainable building practices, Price has worked Professional with the Green Building Council of Australia.
tends into the system’s operation; in construction management from both the client and contractor sides, in The company’s projects include large office buildings, museums,
to help make sure that it meets addition to consulting on green building and design. entertainment facilities, libraries, laboratories, film archives, educational
design expectations. They cite Price’s knowledge of international rating systems, experience as an on- facilities, retail buildings, and housing projects. For more information,
research from the “FEMP O&M site construction manager, and expertise in sustainable building systems visit www.ibece.com. ■
Guide, July 2004,” showing that
regular maintenance can reduce
energy consumption 5-20 percent.
The company also provides
energy calculations to help build-
ing owners and asset managers
maximize their energy resources
by providing integrated energy
solutions to achieve cost savings.
Brady was recently awarded
a contract to make mechani-
cal system improvements to the
North Carolina Museum of Art
East Building, for the Norman
Rockwell exhibition that will be
displayed in Raleigh. The $5 mil-
lion in upgrades were necessary
to control humidity fluctuations
to ±5 percent, which prevents
deterioration of paintings and
artifacts. The project has already
produced $2.1 million in utility
and maintenance savings during
the past three years, exceeding
performance contract projections.
“Without the upgrades to the
East Building, many traveling
exhibits, including the American
Chronicles: The Art of Norman
Rockwell, Monet, and the Egyp-
tian exhibitions, could not come
to the state capital,” said Larry
Wheeler, director for the North
Carolina Museum of Art.
In April, Brady reported the
independently audited, annual
energy savings to the state of North
Carolina. For the third year, actual
energy savings have exceeded per-
formance contract projections. The
$50,000 per month average savings

Together, we can get the job done right...

reflects a 60 percent reduction in
utility expenses for the museum.
“We are very pleased with the
results,” says Randy Katz, Raleigh
general manager of Brady. “Breath-
ing new life into the East Building
the first time.
means that the museum is able to
offer North Carolina residents the The key to making a profitable refrigerant change over, or clean up after a compressor burnout, is avoiding costly
opportunity to see some of the callbacks. The two step Parker ParFlush Kit is the first system to help ensure that the job gets done right, and
greatest masterpieces locally.” contamination doesn’t cause a callback.
This is the state’s first capital
Step one, the pressurized ParFlush solvent purges lines of residues from old system chemistry or compressor
improvement project funded by burnout. Then step two, the patented ParFlush filter-drier, with the unique staged filtration capabilty removes
guaranteed energy savings. Facil- particles effectively, down to 3 microns, while providing traditional duty of maintaining system chemistry.
ity upgrades to the East Building
Get the job done right, and avoid costly callbacks related to plugged metering devices. ParFlush is the system for
began in 2005 and were com- system cleanup.
pleted in January 2007. The per-
formance contract guarantee is
for 12-year savings totaling more
than $6 million in utility and
maintenance costs. ■ www.parker.com • 1.800.C-PARKER
2445 South 25th Avenue
Broadview, IL 60155 USA
FOR MORE INFORMATION…
Visit www.bradyservices.com
or call 800-849-1915. eProduct #20 at achrnews.com

ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011 11

FOCUS ENERGY CREDITS & REBATES

EFFICIENCY money in their pocketbooks,

CREDITS
continued from page 1
pro-small business provisions,
McCrudden explained.
“Unfortunately, while the tax
package does include an exten-
sion of the 25c nonbusiness energy
tax credits (the official IRS name
for the homeowner’s energy effi-
ciency tax credit), last-minute
modifications were made, reset-
ting the credit value to pre-stimu-
lus bill levels of 10 percent of the
installed costs, with maximum
credit for all qualified retrofits
of $500,” he wrote. The stimulus
bill, or American Recovery and
Reinvestment Act (ARRA), had
increased the 25c tax credit limit
to $1,500 during 2009 and 2010.
Now the new tax law reinstates
the caps on equipment that were in
place in 2006 and 2007, McCrud-
den said. “That means the maxi-
mum tax credits available to an
eligible taxpayer for installing a
qualified central air conditioner or
heat pump are $300, and the max-
imum tax credit available for a
qualified furnace or boiler is $150.”
The tax extender package also
reinstates the lifetime credit caps.
These disqualify any homeowner
who has claimed more than $500
in 25c tax credits since Jan. 1,
2006, from any further credits,
while creating fewer greenhouse
gases, McCrudden said. “If you
take away the payback, you’ve
Integration Controls
Are King for Elaborate
still got the other benefits.” In fact,
customers will still see a payback;
it just won’t be as quickly.
Some contractors may turn
increased attention to renew-
able systems if their customers
are interested (like Brady Energy
Services; see article on page 10).
and Efficient Home
“There is no change pending to tax By Kim Bliss meeting with Al Wallace, president of Energy Envi-
credit 25d,” he confirmed, which For The NEWS ronmental Corp. (EEC, a company specializing in
provides a higher tax incentive design, installation, and consultation for integrated
for geothermal, solar, wind, and ARKER, Colo. — When Tim McTavish renewable energy systems), the home was completely
fuel cell installations. He called
consumer interest in 25d “sub-
stantial.” It’s good for 30 percent
of these systems’ installed costs,
with no limit, through 2016.
P
set out to remodel his home, his plans
included increased square footage for
the living space, radiant floor heating
throughout the entire structure, snow melting for
exterior surfaces, and an in-ground swimming pool.
overhauled with an elaborate, energy-efficient design.
Wallace’s design included:
• 64 solar panels generating 2.5-million Btu per day.
• Four 125-gallon solar tanks.
• A 5-ton, water-to-water ground-source heat pump
During the last quarter of McTavish, a self-proclaimed techno-junkie and (GSHP) for hot or chilled water.
2010, a lot of contractors were aficionado of sustainable, energy-efficient building • 4- and 3-ton water-to-air GSHPs (which use the
proclaiming that tax credits concepts, was looking for exceptional means by which pool as a virtual ground loop).
were ending to drive year-end to heat and cool his newly updated residence. “It all • Two boilers.
sales. This strategy may now started because I wanted an energy-efficient way to • A pool and hot tub mechanical room.
backfire, especially if it adds to keep the pool warm,” he recalled. “I explored all the • Energy recovery ventilators (ERVs) for the main
consumer confusion in 2011. different options available, and I settled on solar.” house.
The higher tax credit levels However, solar was just the beginning. After • Ventilation for the pool house.
“have been almost too successful,”
McCrudden said. Nonetheless,
“A lot of stuff in this bill is very
good for the HVAC community.”
Kateri Callahan, president of
the Alliance to Save Energy, said
the tax incentives “are a welcome
signal to U.S. consumers, who
currently face rising energy costs
in a still-uncertain economy, that
FEATURE PHOTOS BY JOEL SILVERMAN PHOTOGRAPHY

McCrudden explained. And the
qualifying guidelines for natural
gas and propane hot water boilers,
and oil furnaces and hot water
boilers, have been increased to
95 percent AFUE.
NOW WHAT?
It’s no secret that the higher
rebate levels were helping many
contractors make sales in an other-
wise down market. What can they
do to maintain consumer interest
in high-efficiency products now?
The ability to purchase prod-
ucts eventually gives clients more
Uncle Sam will help them pay for
energy efficiency improvements
to make their homes more com-
fortable and their energy bills
more affordable for years to come.
But we’re sorely disappointed that
Congress did not see fit to make
the incentives more generous.
That would have increased their
use by consumers, to the benefit
of our economy, energy security,
and environment.” ■
1
FOR MORE INFORMATION…
Visit www.acca.org
and www.ase.org.

2011 tax credits

■ Eligible taxpayers can claim up to $500 in 2011.
■ All efficiency levels stay at the current levels — except for natural
gas, propane, and oil furnaces and hot water boilers, which will
move to 95 percent AFUE.
■ A lifetime cap of $500, dating back to January 2006, is reinstated for
individuals and households. For example, if an individual has claimed
the 25c tax credit since 2006, he would be ineligible to claim the
credit in 2011 for any qualifying upgrade up to or over $500.
AS OF JAN. 1, 2011, THE NEW CREDIT LEVELS ARE:
■ $50 for any advanced main air circulating fan.
■ $150 for any qualified natural gas, propane, or oil furnace or hot
water boiler.
■ $300 for any item of energy-efficient building property (e.g., central
air/heat pump).
Source: Heating, Airconditioning & Refrigeration Distributors International
2
12 AIR CONDITIONING, HEATING & REFRIGERATION NEWS ■ January 10, 2011

3 done remotely with a laptop like this,
4
• Radiant floor heating.
• A snow-melting system.
• Four heat exchangers.
• A 120-gallon domestic hot water (DHW) tank.
• Two 50-gallon tanks for the radiant system.
• A heat-extraction system that directly feeds the
ground loop for the pool.
• A control system to integrate it all.
Wallace believes people can have all the energy-
efficient systems built into a house that they can
imagine, but if those systems are not controlled
properly, they will not get the maximum efficiency
of the complete system. “The overall energy effi-
ciency of a house is the controls,” he said. “Controls
are king. For example, if you’re putting in a high-
end geothermal system and using controls from the
1950s, you’re losing a lot of the efficiency of the geo.”
While at a training class at Uponor in the spring of
2009, Wallace said he was introduced to the Climate
Cŏntrol™ Network System. “I was talking to the instruc-
tor about integrated controls for energy-efficient sys-
tems … I thought, ‘That’s what I’m looking for.’”
He sat down with Ray Blum, an Uponor rep
with Dahl of Denver, to see what he could do with
the system. “We started with just the heat pumps
and the solar,” recalled Wallace. “Then we started
adding more and more to the system. It was incred-
ible what we could do with it.”
TOTAL CONTROL, MAX EFFICIENCY
When it came to controlling the systems in and
around his home, McTavish wanted more than just
simple temperature set point change control. He
wanted total control for maximum efficiency.
“Because we had so many parts, I wanted to make
standard rules about at what temperatures certain
ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011
1. Homeowner Tim McTavish with
the Viessmann 200F solar panel It’s modular. It’s adjustable. And, it’s in stock!
installation: 64 panels generate
2.5 million Btu per day.
2. McTavish mechanical room scene:
Shown here are (from left) the
Viessmann Divicon Solar Station,
Grundfos UPS26-99FC circulator
(red), and the Blue Haven Pools
Smart Pure Ozone Generator. Adjustable Fabric Air Dispersion System
3. Ray Blum, heating manager at
Dahl of Denver, in the McTavish For additional information, go to www.simple-sox.com.
mechanical room.
4. Blum and Al Wallace, president of For a brochure or selection guide, call us at 866-382-8769 x6055.
Energy Environmental Corp., in the
McTavish mechanical room with a DuctSox Corporation
laptop computer showing the CCN 4343 Chavenelle Road, Dubuque, IA 52002
interface display on its screen for
monitoring and controlling the system.
Switching the system to vacation eProduct #12 at achrnews.com
mode — or any other mode — can be
according to homeowner McTavish.
things occur,” he said. “Given the solar resources eProduct #16 at achrnews.com
and geo and natural-gas boiler, I wanted to deter-
mine when certain components go on and off, to
make the system the most energy efficient.”
Because the control system is object-oriented, “we
can make a change to any device based on the input of TM
any other device.” For example, all the thermostats have
up to nine possible set points, based on the current heat
ELECTRONIC FLOWHOOD
sources (solar, water-to-air heat pumps, or boiler).
DIRECT DIGITAL READOUT 25-2500 CFM
In the winter, the solar arrays’ primary purpose is
to heat the solar storage tanks. The water in the tanks
directly heats the main house (via radiant floor heat)
and indirectly heat the main home’s DHW. After solar
is no longer active (because the sun is beyond a useful
angle), the system continues to pull heat out of the four
storage tanks for radiant floor heat and DHW.
Once the tanks’ temperatures drop to where
they are no longer useful for radiant and DHW, the
system changes the heat source for the house auto-
matically to the water-to-air heat pumps, extracting
heat out of the four solar storage tanks.
“We currently extract heat out of the tanks until
the tank temperature is down to 42˚F, then we revert
to our third and final heat source, a modulating- AUTOMATICALLY CORRECTS FOR AIR DENSITY &
BACKPRESSURE
condensing boiler for the radiant floor-heating
CHOICE OF METERS – AIR FLOW ONLY, OR AIR FLOW,
system or a water-to-water heat pump, depending VELOCITY, PRESSURE & TEMPERATURE
on the required radiant floor water temperature and OPTIONS INCLUDE: MEMORY, AVERAGE & SUM TO
depending on what is cheaper to run — gas boiler or 2000 READINGS, SEQUENTIAL RECALL, AUTO-READ
electric water-to-water heat pump,” said Blum. REPAIR POLICY – TWO WEEK TURNAROUND OR LESS
“The awesome advantage of dropping the tanks CUSTOM TOPS MADE TO ORDER
at that low temperature is that the next morning, as
soon as the sun hits the solar panels, we already have Shortridge Instruments, Inc.
enough temperature differential to start heating the 7855 East Redfield Road • Scottsdale, Arizona 85260
four solar storage tanks,” he explained. “This allows (480) 991-6744 FAX (480) 443-1267 www.shortridge.com
us to switch from boiler mode to water-to-air heat
pump mode (while we continue to raise the solar stor- eProduct #49 at achrnews.com
13
FOCUS ENERGY CREDITS & REBATES
age tank temperature). Once the pool, McTavish can use a combi-
tanks are hot enough, we change nation of four options, depend-
to solar mode and heat our radi- ing on the heating demand and
ant floor directly from the tanks.” which is most energy efficient:
According to McTavish, even • Deck pavers with a hydronic
at currently low prices for natu- radiant system underneath.
ral gas, as long as the storage • Solar hot water panels.
tanks are above 40˚, it is more • A 5-ton water-to-water GSHP,
efficient to draw heat from the which runs against either the
solar storage tanks than use the pond or heat-extraction pavers.
gas forced-air system. • Two other GSHPs (4- and a
When it comes to heating the 3-ton water to airs) which use the
Do Your Customers
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14
pool as a virtual ground loop. via the forced-air system. In the
“In summertime, the heat summertime, the heat pump
pumps cool the house by dumping runs against the pool gaining the
the heat to the pool,” explained 800 percent efficiency.”
Wallace. “That process is 800 per-
cent efficient. For $1 of electricity, CONTROL CONVENIENCE
they are getting $4 of cooling in The control system can do occu-
the house and $4 hot water heat- pied and unoccupied mode “out of
ing in the pool. In the wintertime, the box,” said Blum. “To further
the heat pumps can run directly meet McTavish’s needs, we were
against the solar hot water storage able to add a vacation occupancy
tanks to heat the house directly mode with a little extra program-
Contact us today!
John C. Conrad
NEWS Publisher
P: 479-633-0520
E: johnconrad@achrnews.com
AIR CONDITIONING, HEATING & REFRIGERATION NEWS
ming.” When McTavish is away for
extended periods, the system runs
in vacation mode, which acti-
vates the solar to heat the house.
Because the house is kept at 80˚
during the day, it never cools
down to the 55˚ set point at night;
the only energy expended to keep
the house warm is from running a
few circulators during the day.
The system also can be
accessed remotely, so if vaca-
tion plans change, the user can
extend or abbreviate the vaca-
tion mode. “McTavish was able to
make changes to his system while
on a different continent,” said
Blum. “When he was in Africa on
a mission trip, guests came to stay
at the house and he was able to
set the temperatures for the time
the guests were there and change
them back after they left.”
“Having Internet accessibil-
ity is the best feature of all,” said
McTavish. “I look at my system on
a daily basis, whether I’m at home
or away. I look to see how hot the
heat is coming off the solar panels,
how long the boiler’s been running,
observe the outside temperature,
monitor the swimming pool tem-
perature … it’s nice to be able to
track that and see it in real time.”
BETTER THAN DDC
According to Blum, who has
commissioned seven Network Sys-
tems in the greater Denver area and
has a background in DDC systems,
it offers residential contractors sev-
eral advantages over DDC. “Out
of the box, it’s preprogrammed to
do a bunch of different functions,
and it’s completely customizable. A
DDC is typically blank.”
“If we had to run all the McTa-
vish programming from scratch,”
said Blum, “it would have taken
about four times the amount of
time” it actually took.
The product’s “finished look” is
another benefit as well. “It’s hard to
get homeowners to spend money
on things they don’t see,” he said.
The system’s attractive graphics
provide an attractive interface for
the homeowner. “They really get
to see what they’re paying for.”
Wallace agreed. “When you’re
in a price war over a commod-
ity, offering an integrated con-
trol package with a user-friendly
interface can give contractors a
competitive edge. I think con-
sumers are looking for this kind
of system; it would be in contrac-
tors’ best interest to learn more
about total system integration
controls. It’s not that hard to
learn, yet it’s very powerful.” ■
ABOUT THE AUTHOR…
Kim Bliss is a writer for
Uponor; www.uponor.com.
■ January 10, 2011
Leading You To

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 contracting
Technician Selling Is a Hot Button
By John R. Hall
For The NEWS
ne of the most inter-
O esting and talked
about topics in the
HVAC trade is tech-
nician selling. The question is:
Should an HVAC technician be
trained to sell HVAC equipment
and supplies?
That question has sparked
debate among the trade for many
years. The result is that there is no
definitive right or wrong answer
to the question. It is based on the
preference of the business owner
and manager. Tech selling works
for some and not for others.
The question was once again
put to an array of HVAC con-
tractors across the United States
and their answers, sometimes
very passionate, are included in
this article. For a full text of all
replies, visit the Extra Edition at
www.achrnews.com.
The most compelling argu-
ments for tech selling include
the fact that technicians often
know more about the equipment
they service than anyone else
and are the most qualified to sell
it. They also establish a trusting
bond with customers that is very
important in the sales process.
The most compelling arguments
against tech selling include the
fact that the selling process takes
technicians away from what they
are trained to do — fix equip-
ment. Sales opportunities among
techs can also be seen as extra
income opportunities that often
lead to unnecessary equipment
replacement — leading to dis-
trust among customers.
And then there is the area
“in between” where technicians
may be allowed to sell add-on
equipment such as air filters and
humidifiers, as well as service
agreements, but not the com-
plete HVAC system. Technicians
can also be encouraged to gen-
erate sales leads and are often
rewarded with a commission for
leads closed on by salespeople.
“Tech selling for accessories is
critical to the success of the busi-
ness,” said Dave Dombrowski,
NEWS consultant and manager at
Metro Services/ARS, Raleigh, N.C.
“However, with the new mechani-
cal code, using selling techs to
size and install equipment is a
code violation waiting to happen.
All jobs must have a heat load run
and this either requires an invest-
ment of a computer for each tech
16
or eliminating a one-stop sale.”
Linda Couch, COO and vice
president of sales for Parrish Ser-
vices Inc., Manassas, Va., sees
both sides of the issue. “In our
company, there are appropriate
situations for both tech selling and
salespeople,” she said. “Clearly
there are benefits to having a
technician close a sale on the spot.
However, rather than “tech sell-
ing,” we want our technicians to
take on the role of “trusted advi-
sor.” What’s the difference?
“To explain, we use the anal-
ogy of a veterinarian and how
they work. First, veterinarians
are not cheap. We pay a pre-
mium for their expert opinions.
Second, veterinarians know that
sometimes the most appropri-
ate recommendation is to put a
pet down, and they’re not afraid
to tell us that is the best option.
That’s what a tech needs to be
able to do; he needs to use all
his knowledge and experience to
identify all appropriate recom-
mendations, including replacing
a system, and help the owners
decide which alternative is best
given their unique situation.”
THE CASE FOR TECH SELLING
There are many reasons why
techs should sell HVAC systems
and many support systems for
doing it. HVAC contractors have
several resources to send their
techs to for training and rely on
their own staff to provide sup-
port during the sales process.
But some contractors are con-
tent to turn over the entire selling
process to their technicians. “I feel
tech selling is very important to
a company,” said Bill Bradley of
Airtronic Heating, Redford, Mich.
“The tech is the most trusted person
the homeowner sees on a regular
basis. I started as a tech selling
products and did so well my boss at
the time got rid of our salesman. I
send my techs to classes at Lennox
and have done a lot of coaching to
get them started.”
In some cases, trust is the key
word and a huge reason why techs but selling air filters and service techs wanted to begin selling,” he to train the other guys and see
can be successful salespeople. agreements are important and said. “I took each one of them pri- them succeed as well.”
“Customers have an inherent dis- fall under the selling umbrella. vately into my office to try to talk Tech selling can be the differ-
trust of salesmen,” said Dan Troyer One contractor has seen the pro- them out of selling. They firmly ence between good margins and
of Danco Heating & Cooling, cess from different sides and has told me they decided they wanted no margins at all, according to
East Peoria, Ill. “A selling tech has a enjoyed success because his techs to sell and would do whatever was trainer Dan Favata of Oklahoma
leg up on salesmen because people have practiced good selling skills. necessary to get the job done.  City. “The only way to make any
tend to trust their opinion more. I “Everyone in our company is “Each one of them is doing well. real profit is to utilize your service
think it’s better to have the sales expected to sell,” said Bob Forty My main guy actually conducts techs as emissaries for the com-
staff dress down, even to the point of Energy Services Air Condition- his own sales training meetings pany, to build trust from the cus-
of wearing a service tech uniform.” ing and Heating Co., Naperville, with the techs who want to learn tomer so that when replacement
Selling equipment may not be Ill. “Several months ago, I heard more. When he comes up with a of equipment is called for, they
the strong point of many techs, rumors that three of my service successful sales process, he loves utilize your company,” he said.
AIR CONDITIONING, HEATING & REFRIGERATION NEWS ■ January 10, 2011

“I teach classes weekly to tech-
nicians and although there are
technical aspects, the bulk of the
training is sales: equipment leads/
sales, agreement sales, and add-on
sales. If a tech cannot sell, it does
not matter if he/she can repair any
system in the world, they will not
be seen as a valuable asset to the
vast majority of service compa-
nies, and will be compensated and
treated accordingly.”
Couch said she is one person
ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011
whose mind has changed about
tech selling since entering the
HVAC industry. “I came to this
industry after 20 years in a For-
tune 500 IT company known for
its excellent sales force,” she said.
“Having managed both salespeo-
ple and technicians, I was very
much in favor of leaving all selling
to our salespeople. I believe sales
involve both skill and process,
and I didn’t think technicians
should try to take on more than
one role. After two years at Par-
rish, I’m a convert to tech selling.”
The word “selling” itself has
some negative implications and
one contractor likes to label the
process differently — because he
believes that techs should be able
to sell equipment. “We make a
concretive effort to sharpen the
selling skills of our service techs
through the use of outside consul-
tants twice a year and a monthly
tech meeting dedicated to the sub-
ject,” said John Waldorf of Estes
Heating & Air Conditioning Inc.,
Atlanta. “We just do not refer to
it as selling; that word can some-
times have a negative connotation
to techs, especially the more expe-
rienced ones,” he said. “We call
it informing and educating. The
goal is to inform the customer as
to the options available and edu-
cate them as to what is in the cus-
tomer’s best interest.”
And it is often in the cus-
tomer’s best interest to sell
them comfort as soon as pos-
sible, given some extreme situa-
tions. “Ideally we would prefer,
and in fact highly encourage, our
technicians to turn in tech leads
versus them selling out of their
truck,” said Robert W. Nelson,
Jr. of Bud’s Heating & Air Con-
ditioning, Yorktown, Va. “Ideally
that means the homeowner has
the means to wait for our com-
fort advisor to do a presentation. 
“[But] when the temperatures
are extreme, high or low, the
sense of urgency on behalf of the
consumer can be overwhelming
and the ability to put them at ease
has to be addressed. In that case,
the technician will call in to the
general manager and will be given
appropriate measures, whether it
is a system quote, installation of a
loaner unit, or to call an available
comfort advisor to be debriefed of
the situation while in route.”
In some cases, contractors are
simply too busy to invest a lot
of time and money in training
— and gladly encourage techs to
sell. “I am way too busy to sell
anything,” said Stephen Scott of
Stacy Mechanical/Accu-Therm,
Pitman, N.J. “So is everybody else
here. My opinion on the techs
selling is that it’s a good idea,
but they have to have excellent
resources to instantly access, in
order to avoid the perception that
they are selling. If they can make
it appear as almost altruistically
suggesting a remedy rather than
making a sale, I think the results
are likely better.”
THE CASE AGAINST
TECH SELLING
The very nature of a tech’s job
is to fix something, whether it is
the equipment or the customer.
That is usually done by repair-
ing HVAC equipment and pro-
viding comfort and relief to the
customer. There is little doubt
that a tech must have mechanical
aptitude to diagnose and repair
systems — and contractors who
responded to this topic preferred
to keep techs in that mindset and
not cross over into selling.
“We have a shortage of techni-
cians in our industry,” said Fred
Canady of Canady’s Precision Air
Conditioning & Heating, Rich-
mond Hill, Ga. “They work about
2,000 hours per year. We should
be generating as much revenue
as possible with this valuable
resource. A service tech is a rev-
enue generator, not a salesperson.
“Service techs have a differ-
ent mindset and skill set than
salespeople. The same is true for
accountants, dispatchers, and
installers. If we are going to allow
17
 contracting
2011 Michael Senter, CEO of ABCO
Refrigeration Supply Corp., a
The CBO began investigating
many new fiscal policy options
PREDICTIONS wholesale distributor headquar- last year. As the office contin-
continued from page 1 tered in Long Island City, N.Y., ues to grapple with old and new
echoed the CBO’s prediction stat- fiscal strategies, it is considering
priate balance between neces- ing that his company believes the two key questions:
sary prudence and the need to economy will continue to recover • What sorts of fiscal policies
continue making sound loans steadily, “but all too slowly from would encourage greater economic
to creditworthy borrowers is in a standpoint of decreasing unem- activity and more employment?
the interest of banks, borrow- ployment numbers significantly.” • How can short-term fiscal
ers, and the economy as a whole,” As for the HVACR industry, stimulus be reconciled with the
said Bernanke. “Toward this end, Senter predicted an upturn in imperative to put fiscal policy on
in cooperation with the other commercial refrigeration and a sustainable medium-term and
banking regulators, we have HVAC opportunities as com- long-term path?
issued policy statements to bank- pared with 2010 and 2009. It stressed that, “any policies
service techs to sell, why don’t we just send our bookkeeper to per- ers and examiners emphasizing “We believe the increase we that widened budget deficits in
form a job set-up?” the importance of lending to the near term would need to be
One contractor said his company tried to get techs to sell but not creditworthy customers, work- accompanied by specific policies
everyone could do it well. “We have gone away from having our service ing with troubled borrowers to to reduce spending or increase
techs sell equipment in the field,” said Dennis Muravez of McClelland restructure loans, managing revenue over time.”
Air Conditioning Inc., Chico, Calif. “In 1995, we developed a pricing commercial real estate exposure In the contractor surveys,
cookbook for our service techs and they would sell the equipment when appropriately, and taking a care- the concept of fiscal respon-
needed. We found that one tech excelled at this and the others had less ful but balanced approach to
success. Some of the techs did not want to sell, and we would miss sales. small business lending.”
“In 1998, we abandoned this program and made our best selling tech Aaron York Sr., founder of
our salesperson. This increased our equipment sales because we closed York’s Quality Air Con-
more sales and our service sales increased because our techs spent more ditioning in India-
time on billable service. With the increased regulations from the build- napolis considers
ing codes and tax credits, rebates, and financing, service techs do not this to be one
have training to keep up.”
For some contractors the answers to tech selling or not is very black-
and-white: there are job definitions for everyone, period.
“We are a firm believer that salesmen sell, installers install, and
servicemen handle the service,” said Steve Hale of Hale’s Air Condi-
tioning, St. Petersburg, Fla. “We do let our service techs give pricing
for standard efficient systems. They do not have the time needed to
properly educate a homeowner on high efficiency and duct modifi-
cations that are needed to make a proper working system.”
“Techs are trained to fix things not sell things,” said Tom Koh-
berger of Comfort Control Inc., Buford, Ga. “We have the techs sell
the lead and our salesman takes it from there. The techs usually
have a full day of service calls and don’t have the necessary time
it takes to do a full presentation of all the options available. They
also would need to be trained on the financing available and how to
run a credit check. I have found that a professional salesperson will
sell more upgraded equipment and accessories than a tech and do a
much better job for the customer.”
There is a line between selling parts, gathering sales leads, and of the most important factors in
making equipment sales, and Matt Marsiglio of Flame Heating Cool- the recovery process and thinks
ing and Electrical, Warren, Mich., does not want that line crossed. that business will be much better
“We do not have our technicians selling equipment; we do allow them in 2011. York suggested that the
to sell accessories and IAQ products such as duct cleaning, humidi- best business tip for the coming
fiers, ultraviolet lights, etc.,” he said. “What we have done is invested a year is to develop and maintain a
significant amount of time and money on communications training positive attitude.
for our technicians, which has generated enormous results in the tech “It will become contagious
generating sales leads for our comfort consultants. from us to our employees and to experienced in commercial activ-
“In 2010 over 62 percent of our equipment sales have come from the customer who will appreci- ity in the second half of 2010 will sibility and restructuring wasn’t
tech generated leads.” ate it and catch the same positive continue in 2011,” he said. mentioned only in regard to
“Can you really have a true technician that is also able to sell and feeling,” he said. His advice to contractors the government. John Sedine,
still maintain a service schedule?” asked Paige Fisher Simpson of He went on to predict that and distributors is to, “invest in president of Engineered Heat-
Simpson Air, Tampa, Fla. “In rare instances a tech will quote a con- higher energy efficiency equip- great team members where possi- ing & Cooling in Grand Rapids,
denser or air handler change out if warranted and to code. We are ment will become more in de- ble, for as the economy improves, Mich., suggested that contrac-
one of the a/c contractors in our area that does not hire service/sales mand as the year progresses and these improvements in staff- tors “Take a serious look at how
technicians. We believe that when a company does this, they are that contractor business will be ing will be harder and harder to they need to restructure their
(typically) paying them based on sales not repairs and this leads to on the upswing, therefore en- achieve. Make these investments business to survive. The outlook
replacement sales when they may not be necessary — and we all hancing profits. in team building and personnel is that it will take at least five
know what this may lead to.” wisely and prudently.” years for us to be back to 2007
For one former tech, the answer is obvious. “So much money is PREDICTION #2 levels, if we make it back there.”
being left on the table due to the time constraints on the tech,” said UNEMPLOYMENT RATES WILL REMAIN HIGH PREDICTION #3 Sedine advised contractors to
Jon Askew of Bud’s Heating & Air Conditioning, Yorktown, Va. The CBO expects recovery FISCAL RESPONSIBILITY WILL IMPROVE join the Air Conditioning Contrac-
“The tech is the frontline of any company, and they are the profit to continue at a modest pace, Perhaps more of a hope than a tors of America (ACCA) association
generators. With an average call day of five to six calls a day, they but reports that overall national prediction, many of the contrac- to take advantage of the resources
are in front of more customers than the salespeople. Therefore my unemployment should be ex- tors surveyed agreed that fiscal available to help contractors sur-
stand is techs should not sell but turn over the proper lead the right pected to remain above 8 percent responsibility at the federal and vive the new business climate.
way — and everyone will benefit.” ■ until 2012. local levels must be improved. “As for the HVAC industry,

18 AIR CONDITIONING, HEATING & REFRIGERATION NEWS ■ January 10, 2011

economy
A few economic predictions from the Congres-
sional Budget Office’s “The Budget and Economic
Outlook: An Update.”
■ Interest rates will remain very low through
the end of 2011 and then rise gradually as
the recovery continues.
■ Fiscal policy will provide much less support
to economic activity in 2011 and 2012 than
it has in the past few years.
■ Inflation in the prices of consumer goods and
services is projected to be about 1 percent in
2010 and 2011, when measured on a fourth-
quarter-to-fourth-quarter basis.
■ The recovery in investment will con-
tinue during the second half of 2010 and
increase its pace in 2011 and 2012 as the
demand for goods and services picks up
and the excess stock of residential housing
is whittled down.
■ The national average price of a house will have
dropped by an additional 7 percent between
the middle of 2010 and the fall of 2011. ■
“It is time to place more
emphasis than ever on
customer satisfaction. High
quality clients are still investing
in building, renovating, and
maintaining residential and
commercial structures.
Those of us willing to learn
of their needs and blow
them out of the water with
quality, caring, and
customer advocacy, will
survive. Keep your collective
chins up; high quality
customer care still wins.”
there
here is going
going
ng tto
o be
be ccontinued
onti
on tinu
ti
emphasis on new technology that
nued
d dent
encompasses renewable energy
and green technology,” said Sedine.
“However, I think that sales will
either be down or flat from 2010
levels in many parts of the country.”
THEY COULD BE WRONG
As with any prediction, there
is the possibility that the CBO,
Bernanke, and the contractors
surveyed are wrong. Although
based on research and real time
experience, what is predicted to
happen and what actually hap-
pens can easily be two different
things. That is why, despite pre-
dictions, Greg Crumpton, presi-
ONLINE AT WWW.ACHRNEWS.COM ■ January 10, 2011
hvac industry business tips
Right or wrong, these are some of the predictions being made by contractors Some business tips from the HVAC contractors surveyed
currently working in the industry. about predictions for 2011.
■ Improvement in residential markets first. ■ Live within your means.
■ Significant surge toward whole home and building performance contracting. ■ Don’t give your product away.
■ More big box retailers involved in the industry. ■ Solidify existing customer base/identify and target
■ Many opportunities in the local retail market. potential new customer market.
■ Confusion as to the phase out of R-22 and dry shipping condensers. ■ Increase measured effective marketing efforts.
■ Capital expenditures still in a holding pattern for the first quarter. ■ Offer products and services your competition doesn’t.
■ Fierce competition for business to maintain revenue and market share as new ■ Maintain a positive cash flow.
companies move into the market and construction continues its downturn. ■ Work like you did when you first began your business.
■ Energy measures side of the business should increase greatly. ■ Celebrate the wins.
■ Private sector will be at a standstill. ■ Take care of the employees.
■ Change in the federal tax credits will slow the sales of many businesses. ■ Stick to core competencies.
■ Overhead and benefits cost will increase. ■ Tune up your engineering skills.
■ HVACR equipment offering energy savings will lead the way. ■ Don’t hesitate to raise prices if the bottom line begins
■ Residential stand alone and multiple dwelling expansions will grow at to shrink.
modest rates. ■ Take a better look at accounts receivables, overhead,
■ Growth in residential maintenance, repair, accessories, and replacement. cost, and employees.
■ Rebuild year for retail and manufacturing. ■ Integrate a line of comfort enhancement products in
■ Hangover from pre-emptive sales of operating systems stemming from your product mix.
the federal energy tax credit program. ■ Be aggressive in promoting business and very mindful
■ More contractors transitioning to energy contractors. ■ of expenses. ■
www.achrnews.com
Online
Features:
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Learning Center
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d
deentt and
d ffounder
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nder of AirTight
Ai Tig
AirT
Mechanical Inc. in Charlotte,
ight More News.
N.C., knows that improving cus-
tomer service will always be an
accurate strategy for successful
More Information.
contracting businesses.
“It is time to place more
More Business Solutions.
emphasis than ever on customer
satisfaction,” he said. “High qual- Achrnews.com is the leading online resource for the HVACR industry. It is the premiere destination
ity clients are still investing in for HVACR contractors and wholesalers. Our entire issue is posted online and we have more than
building, renovating, and main- 32,000 articles in our archives that date back to 1999. Plus, you can locate
taining residential and com-
products and manufacturers in our #1 HVACR Directory. We’re here to help you
mercial structures. Those of us
willing to learn of their needs and succeed – in more ways than one.
blow them out of the water with
quality, caring, and customer
advocacy, will survive. Keep your
collective chins up; high quality Visit us online at www.achrnews.com
customer care still wins.” ■
19
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134 Terra Lux: www.TerraLUXCorp.com ........................................................................................................ 20
53 York UPG: www.OurBrandsShine.com ....................................................................................................... 5
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ONLINE AT WWW.ACHRNEWS.COM Q January 10, 2011 21

 VIEWS AND INSIGHTS FROM THE EDITORIAL STAFF AND GUEST COLUMNISTS
The Job Nobody Wants
I
have quoted Earl several times over the years.
He was one of the most challenging customers
I ever met, while masquerading as a territory
manager at Lennox Industries in the Dallas
Mike Murphy market. Earl said, “Murphy, always look for the job
Editor-In-Chief that no one else wants to do. Those are the ones you
248-244-6446 make money on.” With a promising New Year upon us,
248-244-2905 (fax) and a couple of tougher years in the rearview mirror,
mikemurphy@ perhaps an interesting New Year’s resolution might be
achrnews.com to look for those jobs that nobody wants.
Why?
What? You didn’t listen to Earl?
The tougher the job is, the fewer the number of com-
petitors that crawl out of the woodwork to bid on them.
Case in point: School projects were notoriously dangerous
in the early 1990s in the Dallas market. The state bird was
a construction crane at the time, and the city of Dallas and
surrounding towns were booming. There were probably
more than 80 schools bid during a three-year period in
the immediate area. I sat in on a few bid opening meetings
— it was hysterical. As many as 40 contractors crowded
the rooms, cajoling each other about how stupid everyone
was to be wasting their time on a “project like this.” The
camaraderie was interesting, but the end result of the
bid opening was always funnier. Inevitably, the contractor
who won the project would have a look on his or her face
that was somewhat akin to a third-grader who had just
vomited in the middle of music class.
Everyone knew that the chances were better than
A New Global Profit Center?
I’
m starting to think that what I am about to
write about will become an annual column.
It concerns the latest global environmental
conference that didn’t seem to produce any results.
But now I’m starting to wonder if there might be some
Peter Powell good should such events start to show some results.
Refrigeration Editor As I noted in a story I wrote that appeared in the
815-654-7270 Dec. 6, 2010 issue of The NEWS, the HVACR industry
815-654-7278 (fax) started paying attention to environmental issues back
peterpowell@ in the 1980s with the Montreal Protocol, which did
achrnews.com indeed change the way we did business. But over the
years, I’ve realized that the results might have ended
up being a good thing. Our service practices are better
as the result of venting fine threats and the refriger-
ants we now use are less ozone depleting.
The next big global initiative was the Kyoto Pro-
tocol of the 1990s. That was the one where most of
the major countries of the world promised to reduce
emissions that have a negative effect on the environ-
ment. The United States did not sign off on that due
to the issue of “developed” versus “developing” coun-
tries when it came to benchmarks. And, in fact, those
countries that did sign off had a hard time reaching
what they promised until the more recent recession
slowed down worldwide growth and, in turn, helped
reduce some of those emissions in some countries.
NEXT WAVE
In December 2009, I was fretting a bit over the
Copenhagen Accord and what negative impacts it
22
50/50 that the low-bidder had left something out of the
project. That was a recipe for losing money then, and still
is today. At the time, cookie-cutter school projects were
usually so easy to construct that up to 100 contractors
sometimes took a shot at the bid. How can a company
differentiate itself among 100 competitors? Ever heard of
a price war? There is not much money to be made when
the number of competing bids gets ridiculously high.
Earl didn’t bid many school projects, but when he
did he made sure it was not a cookie-cutter plan —
and he usually landed a couple of those every year.
In some of those instances, the job nobody wanted
had complicated control systems that not many of the
local contractors could bundle. Earl knew that school
boards liked getting one bid with equipment and con-
trols wrapped up together. Frankly, it was usually less
expensive for the schools that way. However, fewer
bidders meant more profit for Earl.
Finding the job that nobody wants doesn’t have to
be as monumental as finding skyscrapers or schools
that are unique and difficult. The next time you walk
through an office building, check to see how many por-
table heaters are hidden behind trash cans in cubicles.
Do you see slivers of cardboard being used as airflow
diverters in homes? Do you see a door that is constantly
closed on a second floor? Maybe discovering the job
that nobody wants is really just as simple as finding the
telltale signs of energy loss or discomfort — the job that
other contractors just simply don’t know how to do.
could have on a struggling HVACR industry in the
United States. Ends up that accord went pretty much
nowhere, with countries only agreeing to keep talk-
ing about environmental issues. Later in mid-2010, I
went to an environmental conference where a distin-
guished law professor from Rutgers University told an
audience that events like Copenhagen probably won’t
go anywhere down the road because currently many
countries are mired in economic doldrums and that
issue of “developing” versus “developed” countries is
still high on many countries radar screens.
Perhaps that is why, as I write this column in
December 2010, I just realized that yet another global
environmental conference has come — and gone. This
one was called the Annual Conference of Parties to
the United Nations Climate Agreement. (That annual
caught my eye since it means we are going to read
about these events every year toward the end of each
calendar year, I guess.)
The most recent one was held in Cancun, Mexico,
where they could still talk about global warming since
it was away from the blizzards and bone-chilling cold
typical of most Northern climate cities. As far as global
warming down there; well, there are those beaches at
water’s edge for quick dips to cool off.
This most recent conference came up with those
involved agreeing to establish some kind of green cli-
mate fund to deal with environmental issues interna-
tionally; doing technology transfers, kind of a way for
more advanced “developed” countries to help “devel-
ANOTHER PROFITABLE JOB
Professional diagnostics and professional solutions
offer tremendous opportunities in 2011. Depending
upon where you live, you’ll be seeing more perfor-
mance verification requirements during the next few
years. For example, the Department of Energy has
created the Home Energy Score Program, which
is being piloted in places like: Omaha, Lincoln, Neb.,
Minneapolis, Cape Cod, and greater Charlottesville, Va.
Southern California Edison has a contractor program
that is based upon the Energy Star® Quality Installa-
tion Program. These represent only a few of the many
utilities that are latching on to the Quality Installation
Standard (ANSI-ACCA 5 QI), one that was developed
by the Air Conditioning Contractors of America.
Basically, it appears that a cycle of utility rebates
is waving through the country with the goal of encour-
aging energy conservation. Ensuring that the HVAC
equipment is performing at prescribed levels has been
identified as an extremely important feature for these
newer, more end-result oriented programs. In other
words, installed systems that do not deliver on their
promises are going to become a thing of the past.
True, it will take quite a while to weed out the “low-bid-
ders,” because enforcement will continue to be a challenge,
but an interesting thing is that this is not cookie-cutter
kind of workmanship. Not everyone can do it.
Be on the lookout: It could be one of those jobs that
nobody wants. ■
oping” countries do a better job in research to reduce
environmental negatives; and a pledge to monitor
what everybody says they are doing.
Only thing is, such pledges from scientists have to
have the support of elected officials in most countries,
including the United States. And the U.S. situation is
marked by changes in Congress, lots of questions
about how to pay for a green climate fund in a slug-
gish economy, and how all these grand ideas are going
to come about among nations who don’t see eye to eye
on many matters.
TAKE AWAY
But here’s the take away from all this. All the
talk at the conference about negative global emis-
sions gets down, at least from the HVACR per-
spective, to running a tight system, having super
energy-efficient equipment, and building and main-
taining sustainable buildings.
The industry has all of the above and is more than
willing to install and service energy-efficient equip-
ment in sustainable buildings. Maybe what needs
to happen is some sort of global decree — be it in
Montreal, Kyoto, Copenhagen, or Cancun or wherever
they go next — to really take effect and have elected
officials support it — and end up seeing how it can
positively affect our industry.
To be totally pragmatic about it, think about it
this way: Global Accords: The New Profit Center for
HVACR Contractors! ■
AIR CONDITIONING, HEATING & REFRIGERATION NEWS ■ January 10, 2011
 Hit the jackpot at AHR Expo 2011. ®

This year, what happens in Vegas will be talked about

all over the world. Visit us at Booth C1007 to learn why.

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