#4 Update on EECBG - Home Energy Assessment ProgramCity Manager’s Office Memorandum
July 26, 2010
TO: Janesville City Council
FROM: Al Hulick, Management Analyst
SUBJECT: EECBG – Home Energy Assessment Program Update
Summary
As part of the 2009 Energy Efficiency Conservation Block Grant Program, the
City of Janesville has implemented a Home Energy Assessment Program for
qualified residents within the City of Janesville. The objective of the Home
Energy Assessment Program is to encourage homeowners to complete a Home
Energy Assessment, and to further assist those homeowners implement
recommended energy efficiency measures by offsetting the cost of the project
through matching financial incentives from Wisconsin Focus on Energy and the
City of Janesville EECBG funds.
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The program began on July 19with applications being accepted until August
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31, or until all program funds have been allocated, which ever comes first. In
total the program intends to fund 150 assessments and has an additional
$65,000 allocated for Home Energy Improvements. This memorandum serves
as an update for this EECBG Program.
Background
As part of the American Recovery and Reinvestment Act of 2009, the
Department of Energy allocated $618,500 to the City of Janesville as a part of
the Energy Efficiency and Conservation Block Grant Program. The Recovery
Act’s purpose is to stimulate the economy and to create and retain jobs. In
addition to these goals, the purpose of the EECBG Program is to assist eligible
entities in implementing strategies and projects to:
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Reduce fossil fuel emissions in a manner that is environmentally
sustainable and, to the maximum extent practicable, maximizes benefits
for local and regional communities; and
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Reduce the total energy use of the eligible entities; and
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Improve energy efficiency in the building sector, the transportation sector,
and other appropriate sectors.
The City of Janesville has partnered with Wisconsin Focus On Energy to create
the Home Energy Assessment Program. Although no program currently exists
exactly like this in the State, Focus on Energy is excited to work with the City of
Janesville to be the first community in the State to do so. By partnering with
Wisconsin Focus On Energy, the City of Janesville has made Home Energy
Assessments available to Janesville residents at a cost of $25. Additionally, the
City has made supplementary funds available by matching Focus On Energy
incentives for homeowners to proceed with implementing energy efficiency
retrofit work after completing the Energy Assessment.
The Focus on Energy Home Performance program has been operating in the
state of Wisconsin since 2001. Since that time, over 8,200 homes have gone
through the program with 53% of those homes completing work in 2009. By far,
the biggest barrier to program participation is the initial cost of the Energy
Assessment and the perception that the savings won’t be that big. Therefore,
the City will offset the cost of the initial Home Energy Assessment, and match
Wisconsin Focus on Energy’s financial incentive for implementing home energy
improvements. The average incentive is fairly small covering 15 to 20% of the
project cost. By leveraging the existing Focus on Energy programs the City can
build off of a nationally recognized program platform, help customer cover more
of their project costs thus reducing one of the biggest barriers to home retrofit
projects while at the same time spreading the EECBG funds farther.
Residents who choose to participate in the program would first schedule an in-
home evaluation. Expert consultants will conduct a thorough inspection of all the
systems in the home and identify problems such as air leaks and drafts,
moisture, cold spots and more. Additionally, the consultant will perform a
minimal number of energy improvements to the home to ensure that each
program participant receives some tangible benefit from the assessment. Once
the assessment is complete, Focus On Energy will offer Cash-Back Rewards for
many types of work, including insulation and air sealing. The City would offer
matching incentives through the EECBG Funds to further encourage the
homeowner to complete the additional recommended work. The consultant
would complete all required paperwork to make sure participants receive any
applicable Cash-Back Rewards for the work done. Once all work is completed,
the consultant follows up with a post-performance evaluation and inspection to
ensure the improvements that were made were effective and done right.
Program Eligibility
The program is available to all homeowners in the City of Janesville whose home
was constructed before 1970. There are no income eligibility requirements.
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Applications will be accepted on a first come, first serve basis from July 1 to
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August 31, or until all program funds are expended. If after this initial offer,
funds remain available, the program will be opened up to all homeowners within
the City of Janesville regards of the homes age, or funds could be reallocated to
other EECBG Programs.
Program Budget
As part of the City of Janesville EECBG Grant Application, the following budget
was submitted and approved by the Department of Energy for the Home Energy
Assessment Program. The City of Janesville would match Focus On Energy’s
energy efficiency upgrades up to $65,000 in total program costs with our EECBG
allocated funds.
Home Energy Assessments
EECBG Funds $65,000
Energy Efficient Home Upgrades
EECBG Funds $65,000
Focus On Energy Incentives $65,000
Administration
EECBG Administration Funds $14,350
Total Program Budget $209,350
Program Timeline
The program will proceed with the following timeline:
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February 2010 – Meeting(s) between the City and Focus On Energy staff
to share details on the program and to determine the model for the City
(number of consultants, reimbursement process, promotional plans, etc.)
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April 2010 – develop data sharing agreement between the City, Focus on
Energy and continuing discussions with the City on program process and
planning for program promotion.
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May 2010 – Select consultant(s) to deliver assessments and continue
discussion with the Focus regarding the process and launch for the
program.
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July 19, 2010 – August 31, 2010 – Program launch with applications being
accepted until August 31 or until all program funds have been allocated.
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Applicants will have 45 days to complete the Home Energy Assessment
and an additional 45 days to decide whether they want to move forward
with Home Energy Improvements
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If applicants decide to move ahead with Home Energy Improvements, they
will have 6 months to complete those improvements and apply for
applicable Focus On Energy Rebates
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May 31, 2011 – All program activities must be completed.
The City Administration will provide the Council with an update on the entire
EECBG Program in the Fall of 2010. All EECBG funds must be obligated by the
Fall of 2011 with all activities being completed by the Fall of 2012.
City Manager Recommendation
No recommendation at this time.