All heat pumps I have seen have the compressor and strip heat running at the same time.
An A/C or heat pump should be considered continous load. 220.14 references 430.24,.25 and .26 and 440.6 and requires 125% of the largest motor. In a residence the A/C unit is usually the largest motor.
220.30C2 requires the heat and compressor be added at 100%. The 65% rule is for fixed electrical space heat.
Based on the caculations, the service should include 125% of the FLA of the compressor load not 125% of the entire load as suggested by the inspector

electcontrctr
Your post shows an A/C unit and a heat pump. Is it both?


[This message has been edited by Bob (edited 04-10-2005).]