When “Value Engineering” HVAC Costs You Far More Than It Saves
Insights from a Viral LinkedIn Discussion
In a recent LinkedIn post that garnered over 384,000 impressions, mechanical engineer Kenneth Shultz, PE, founder of PermitZIP, laid bare the hidden costs of “value engineering” HVAC systems. Facing a tepid system that delivered 60°F air at the registers, dripping condensation, and primed for mold growth, Shultz’s message was simple but powerful:
“This isn’t a design issue. It’s what happens when people pretend HVAC can be value‑engineered without consequence. Value engineering comes with a cost—this is just the part they don’t tell you when they promise to shave $100K off your HVAC budget.”
Tagged #DoNotValueEngineerHVACIfYouCantExplainItOnAPsychChart, Shultz’s post sparked 97 comments from industry professionals—and the consensus was clear: cutting HVAC features to save on upfront costs almost always backfires.
1. “Devalue Engineering,” Not Value Engineering
Wade Gauldin, HVAC Enthusiast, succinctly reframed the problem:
“I’ve always referred to it as devalue engineering. There is never value added, only value taken away. The end user is the one who has to live with these decisions…”
Shultz agreed, noting that asking proposers to share psychrometric studies often reveals whether they truly understand the system they’re cutting.
2. True VE vs. Scope Reduction
Several commenters pointed out that what passes for “Value Engineering” in practice is often just scope reduction dressed up in fancy terminology:
Ed Trotter, OHSU Construction Project Manager, warned:
“Don’t confuse Value Engineering with scope reductions!!! True value engineering is a very good process. Scope reduction called VE is just a lie!”
Rose Kennedy, Structural Engineer, added that cutting corners isn’t engineering at all:
“If doing something to ‘save money’ causes a failure, that is not ‘value engineering’ that is simply cutting corners.”
Shultz’s riposte? Encourage clients to demand psych charts before approving any VE change—saving millions by spotting charlatans early.
3. The Hidden Health Hazards
The post’s photo—registers sweating with 59.1°F air—drove home the risk of mold, bacterial growth, and indoor‑air‑quality disasters.
Yunier Tarragona, Energy Efficiency Manager, emphasized the mold risk:
“Delivering 59°F air without controlling dew point… creates a breeding ground for mold, especially in drop ceilings and ductwork.”
John Sweeney, Electrical Manager, recounted a retrofit horror story: oversized cooling without dehumidification led to 85%+ humidity, requiring electric heaters to re‑warm chilled air.
4. When VE Works—And Why That’s Rare
Not everyone dismissed VE outright. George Case, P.E. (AECOM Hunt) argued that, done properly, VE can save both first costs and life‑cycle expenses—if one has the expertise to evaluate equipment performance beyond “recycled specifications.” Shultz concurred:
“Done right, with a real understanding of system behavior, VE has merit. But too often, it means cutting features without grasping the consequences, usually by people who can’t justify their choices on a psych chart.”
He even challenged the community to share their examples of successful HVAC VE—citing ideas like bipolar ionizers, operable windows for natural ventilation, and demand‑control ventilation.
5. Practical Takeaways for Owners and Engineers
From this lively discussion, several best practices emerge:
Begin with Programming, Not Components
If budgets tighten, adjust usage profiles or square footage before hacking off HVAC features.
Demand Psychrometric Analysis
Require proposers to present a cooling/dehumidification study. No chart = no change.
Beware the “Invisible” Scope
HVAC is hidden, perfect for unseen cuts. Hold all stakeholders accountable for system performance throughout the warranty period.
Choose VE Allies Wisely
Work with engineers who take ownership from design through commissioning. A few extra dollars up front can save tens or hundreds of thousands in callbacks, tenant complaints, or worst of all, mold remediation.
Conclusion & Social Proof
Ultimately, the LinkedIn thread underscores a simple truth: you get what you pay for. Short‑term savings on HVAC almost always shift costs downstream—into mold‑related health risks, poor occupant comfort, expensive fixes, and reputational headaches.
“HVAC is almost always the first thing to get cut, yet it’s also the first thing people complain about,” sums up Shultz.
When you’re weighing system options with clients, point them to this discussion (🔗 Read Kenneth Shultz’s original post and comments). The collective voices of engineers, contractors, and industry experts offer powerful social proof: smart VE isn’t about shaving cost at the expense of comfort and health—it’s about optimizing value through rigorous analysis and collaboration.
Next time you face pushback on the HVAC budget, share these insights. Your clients will thank you for steering them away from “de‑value engineering” and toward sustainable, high‑performance solutions.