Energy Efficiency and Conservation at HUD New Opportunities for State Partnerships

1. Energy Efficiency and Conservation at HUDNew Opportunities for State Partnerships HUD Workshop with NAHRO March 23, 2005 John H. Miller, II, PE Office of Public and Indian Housing

2. Energy Action Plan Created to Support President’s National Energy Policy “Conservation and energy efficiency are crucial components of a national energy plan. Greater energy efficiency helps the United States reduce the likelihood of energy shortages, emissions and the volatility of energy prices.” May 2001

3. HUD Spends An Estimated $4 Billion Each Year on Utilities • More than 10% of entire budget • Estimated $1.1 billion directly through public housing operating subsidies • Remainder though utility allowances (Housing Choice Vouchers) or Section 8 multifamily contracts • Also impacts new construction through HOME, CDBG, HOPE VI, and elderly housing • Approximately 5 million units nation-wide

4. Secretary Alphonso Jackson Creates Energy Task Force “With the announcement of the President’s National Energy Policy we now have the necessary framework for promoting increased energy efficiency in housing. HUD is committed to giving this issue the priority it deserves to make sure we make significant progress in conserving energy in housing.” June 20, 2001 Testimony to House Financial Services Committee

5. Action Plan Posted on HUD Web Site http://www.hud.gov/offices/cpd/energyenviron/energy/library/energyactionplan.pdf

6. Department-Wide Actions • Work with EPA to distribute Energy Star information • Formalize interagency partnerships • Coordinate Department-wide training and information • Award priority rating points for energy efficiency in SuperNOFA/competitive grants • Assign agency-wide responsibility for coordination • Include energy in Annual Performance Plan

7. Feature Energy Efficient Mortgages (EEMs) for up to $8K higher loan amount Simplify regulatory requirements for EEMs Improve tracking and evaluate performance of EEMs Initiate multifamily weatherization partnerships Energy efficiency training for assisted multifamily managers and staff Improve tracking and monitoring (also PIH) Homeownership and Assisted Housing Multifamily Single Family

8. Public Housing • Streamline Energy Performance Contracting (shared savings) • Purchase Energy Star products where cost effective • Establish Energy Star as the standard for HOPE VI new construction • Improve tracking and monitoring of energy use in public housing

9. Public Housing ExampleDanbury Housing Authority • Energy Performance Contract • Combined Heat and Power • Electricity reduced from 1.25 million to 200,000 kWh • Energy cost reduced by $40,000 annually • No initial costs to the Housing Authority or HUD

10. HOPE VI ExampleChurchill Homes - Holyoke MA • 50 new wood-framed, 3-story buildings • Achieved Energy Star • Advanced framing • High efficiency boilers/DHW combinations • Controlled ventilation • 30 percent more energy efficient than standard construction

11. Provide technical assistance and information to HOME and CDBG grantees Promote Combined Heat and Power (CHP) Conduct relevant policy analysis and research Test or demonstrate innovative technologies (as needed) through PATH (Partnership for Advancing Technology in Housing) Community Planning and Developmentand Policy Development and Research

12. HOME ExampleFolsom Dore Apts – San Francisco • $1.9 million in HOME-funds • Currently under construction • High-efficiency HVAC system • Energy Star Appliances • High-performing windows

13. PATH DemonstrationCo-Housing - Washington DC • HVAC equipment and ducts in conditioned spaces • Low-flow plumbing fixtures • Geothermal heat pumps • High efficiency water heaters

14. Energy Star Partnership with EPA and DOE • Memorandum of Understanding between HUD, EPA, DOE • September 2002 • Expands purchasing of Energy Star in all HUD-assisted, financed, insured buildings http://www.hud.gov/news/releasedocs/mou.pdf

15. Energy Efficient Rehab Guidelines http://www.rehabadvisor.net

16. Energy Star Web Site – Bulk Purchasing http://www.bulkpurchasetemp.com/sp.asp?id=10401

17. Other Accomplishments • Priority rating point for energy efficiency included in SuperNOFA • Energy included in FY 2004-2005 Annual Performance Plans • Benchmarking initiated to establish baseline for energy use in public housing • HOPE VI demonstration projects completed in Holyoke, MA and San Antonio, TX • Tracking of Energy Efficient Mortgages improved

18. Multifamily Weatherization Partnerships • NYSERDA (New York) • Assisted Multifamily Program (AMP) - successful initiative in HUD-assisted multifamily buildings • Collaboration on Combined Heat Power • California Energy Commission • Two multifamily projects identified in Stockton, two in Sacramento • Missouri Energy Office • DOE provided grant to Department of Energy and Natural Resources for St. Louis pilot

19. Other State Partnerships • State of Maine • Adopted Energy Star as guideline for CDBG and HOME rehab, new construction • Alabama Department of Economic and Community Affairs • Collaborating on April regional energy conference • Delaware State of Energy Office • Collaborating on June regional energy conference

20. Upcoming Activities • Training workshops scheduled during FY 2005 • Birmingham, Indianapolis, Denver, Long Beach, Washington DC • Energy efficiency training for multifamily property managers, maintenance staff • E-Newsletter for staff, grant recipients • Informational materials – briefing papers and research reports • Many workshops and outreach events through Field Offices

21. Opportunities for Collaboration • Weatherization partnerships • Rebates and incentives • HOPE VI, elderly housing portfolios • Renewable energy, CHP in affordable housing • Outreach and education • Participate in/co-sponsor workshops • Multifamily energy training • Energy-efficient construction practices • Marketing and promotion of Energy Efficient Mortgages

22. HUD Regional Energy Coordinators • Located in each of ten Regional Offices • Responsible for coordinating field office activities • Identify training and information needs • Liaison with DOE, EPA and state energy offices • Identify local opportunities for joint actions • Will work with you - contact information on HUD web site

24. Public Housing Energy Initiatives • Public Housing Energy Conservation Clearinghouse • http://www.hud.gov/offices/pih/programs/ph/phecc/ • PHECC Newsletter • http://www.hud.gov/offices/pih/programs/ph/phecc/newsletter/mar05.pdf • Energy Performance Contracting • http://www.hud.gov/offices/pih/programs/ph/phecc/eperformance.cfm • Energy Star • http://www.hud.gov/offices/pih/programs/ph/phecc/federal.cfm

25. For Further Information • General - Michael Freedberg • 202-708-0614 Ext. 4366 • Comm. Planning and Development - Robert Groberg • 202-708-0614 Ext. 4642 • Public Housing – John Miller • 202-708-0614 Ext. 4237 • FHA Single Family – Vance Morris • 202-708-2121 Ext. 7204 • FHA Multifamily – Reba Cook • 202-708-0614 Ext. 2471 • Regional Energy Coordinators • See slide 23