Washington Clean Buildings · Tier 2 guide
Tier 2 for owners of one or two buildings
Many Tier 2 buildings belong to a family or a small LLC that owns just one or two apartment buildings. The rules are the same as for big portfolios, and the owner of record is responsible. Here's the short version.
Does it apply to my building?
A multifamily building with more than five dwelling units (or sleeping units, mostly permanent occupants) and more than 20,000 gross sq ft, excluding parking, is Tier 2. Owning only one building doesn't change that (Commerce, Tier 2 compliance; RCW 19.27A.200). Full check: Is my building Tier 2?
Who is responsible: the owner, even with a manager
The obligation sits with the building owner, meaning the person or entity that holds title (WAC 194-50-030). If a property management company runs the building, ask them directly whether Tier 2 is in their scope. Don't assume it is. The owner can give the manager or the QEM shared access in the Clean Buildings Portal.
What you need by July 1, 2027
- Confirm ownership in the Clean Buildings Portal (Tier 2 Data Pool tab).
- Benchmark in ENERGY STAR Portfolio Manager with 12 consecutive months of whole-building energy data. Utilities must provide energy data to owners on request, with or without tenants (RCW 19.27A.170).
- Choose a Qualified Energy Manager (QEM). Tier 2 requires one. It can be you or your building manager after Commerce's free training, if the experience requirement is met, or an outside QEM. See what a QEM does.
- Prepare an Energy Management Plan and an O&M program. Commerce publishes a free template and tool, and they're optional.
- Your QEM completes Forms B and C, the reporting tools and Form A, and submits. The incentive application goes in with it.
The money, for one building
25,000 sq ft example (arithmetic only): base incentive estimate $0.30 × 25,000 = $7,500, first-come and not guaranteed, paid by participating utilities after Commerce approval. Multifamily owners who sign the Anti-Displacement Agreement may be eligible for up to $0.75/sq ft or the listed cost of compliance, whichever is lower. Commerce says penalties for not complying cannot exceed $0.30/sq ft, so up to $7,500 for the same building (Commerce incentive page; Commerce, Tier 2 compliance).
As of September 24, 2026, Commerce reported over $138 million left in the program.
Your options
- Do it yourself with Commerce's free templates, guidance and monthly office hours (fourth Tuesday, 10–11 a.m.).
- Hire a full-service energy firm that acts as your QEM and prepares everything.
- Use a document-preparation service like us for the drafts, with your own QEM reviewing, signing and submitting. See a sample package.
Quick answers
I only own one apartment building. Do I still have to comply?
Yes, if it's a Tier 2 covered building: multifamily with more than 20,000 gross sq ft excluding parking. The number of buildings you own doesn't matter.
My property manager handles everything. Is Tier 2 covered?
Ask them. The legal obligation is the owner's, and Tier 2 work isn't automatically part of a management contract.
Can I get the tenants' energy data?
Yes. Under RCW 19.27A.170, utilities must provide energy consumption data to building owners on request, with or without tenants; large utilities use Portfolio Manager's automated upload.
Official sources
Want to know where your building stands?
Send us a building name or address and we'll reply with a free one-page Building Snapshot: our preliminary assessment of likely Tier 2 status from public information (for the owner or QEM to confirm), the deadline, the potential maximum penalty, an incentive estimate and a to‑do list. If you go ahead, we prepare draft documents on Commerce's templates for your QEM to review, revise, approve and submit.