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Energy Efficiency and Conservation at HUD Implementing HUD


FHA Single Family Homeownership ... FHA-Multifamily Housing. Initiate HUD-DOE multifamily weatherization partnerships (Action 2) ... – PowerPoint PPT presentation

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Title: Energy Efficiency and Conservation at HUD Implementing HUD

Energy Efficiency and Conservation at
HUD Implementing HUDs Energy Action Plan
Energy Training Workshop Departmental
Headquarters - May 10, 2005
Energy Action Plan Created to Support Presidents
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

Growing Gap Between Domestic Production and
  • Improvements in the energy efficiency of homes
    and apartments in the United States have the
    potential to significantly reduce U.S. dependence
    on foreign oil, increase housing affordability,
    and contribute to the nations energy security

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Energy Use in Buildings
  • Buildings use more than one third of all energy
    in the U.S., and two-thirds of all electricity
  • Homes and apartments use more than one half of
    the energy used in all buildings in the U.S.

Residential Sector Uses 20 of Total U.S. Energy
  • Americans spend 138 billion in homes
  • Residential energy use expected to grow by 20 by
  • Average family spends 1,338/year on energy
  • Electricity accounts for 61 of energy use
  • Significant reductions 1987-87, but little since
    average home uses 101 million Btus
  • Homes getting bigger, more appliances

Some Efficiency Gains
  • New home refrigerators use one third less energy
    than in 1972
  • New commercial lighting systems use less than
    half of the energy they did in the 1980s
  • Federal buildings now use about 20 percent less
    energy per square foot since 1985
  • Industrial energy use per unit of output declined
    by 25 from 1980 to 1999
  • Amount of energy required to generate 1 kilowatt
    hour of electricity has declined by 10 percent
    since 1980
  • While energy consumption has increased, emissions
    have declined

Utilities and Housing Affordability
  • Energy costs often second-largest shelter expense
  • Second only to mortgage payments, rent
  • Can be a factor in mortgage defaults
  • Multifamily building abandonment
  • Low-moderate income families at risk
  • High oil, natural gas prices

Energy Burden Highest on Low-Income Households
HUD Spends An Estimated 4 Billion Each Year on
  • 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
  • Also impacts new construction through HOME, CDBG,
    HOPE VI, and elderly housing
  • Approximately 5 million units nation-wide

Secretary Alphonso Jackson Creates Energy Task
  • With the announcement of the Presidents
    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

Broad-Based Energy Task Force
  • Policy Development and Research
  • Community Planning and Development
  • Housing
  • Public and Indian Housing
  • Healthy Homes and Lead Hazard Control
  • Field Policy and Management
  • Departmental Operations and Coordination

21-Point Action Plan Posted on HUD Web Site
21 Actions in Six Key Areas
  • Interagency partnerships with DOE and EPA
  • Leverage resources of sister agencies
  • Information, training and technical assistance
  • Rewards and incentives for energy efficiency
  • Energy standards and program requirements
  • Management and monitoring or HUDs energy
  • Policy analysis and technology research

The Plan Department-Wide
  • Work with EPA to distribute Energy Star
    information to HUD customers (Action 1)
  • Formalize partnerships with DOE and EPA (Action
  • Coordinate department-wide workshops and
    information (Action 4)
  • Assist non-profits and faith-based organizations
    (Action 7)

The Plan Department-Wide
  • Assign agency-wide responsibility for
    coordinating HUDs energy programs (Action 14)
  • Include energy efficiency performance measures in
    Annual Performance Plan and Management Plan
    (Action 15)
  • Award priority rating points in competitive grant
    programs (Action 11)

The Plan Public and Indian Housing
  • Streamline Energy Performance Contracting -
    guaranteed/shared savings (Action 8)
  • Purchase Energy Star products where cost
    effective (Action 12)
  • Establish HOPE VI as a leader in cost-effective
    energy-efficient construction - Energy Star
    (Action 13)
  • Improve tracking and monitoring of energy use in
    public housing (Action 17)

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

HOPE VI Example Churchill 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

The Plan FHA Single Family Homeownership
  • Feature Energy Efficient Mortgages (EEMs) for up
    to 8K higher loan amount (Action 9)
  • Simplify regulatory requirements for EEMs (Action
  • Improve tracking and evaluate performance of EEMs
    (Action 17)

The Plan FHA-Multifamily Housing
  • Initiate HUD-DOE multifamily weatherization
    partnerships (Action 2)
  • Support energy efficiency training for assisted
    multifamily managers and staff (Action 5)

The Plan Community Planning and Development
  • Provide technical assistance and information to
    HOME and CDBG grantees
  • Promote Combined Heat and Power (CHP)

HOME Example Folsom Dore Apts San Francisco
  • 1.9 million in HOME-funds
  • Currently under construction
  • High-efficiency HVAC system
  • Energy Star Appliances
  • High-performing windows

The Plan Policy Development and Research
  • Conduct energy-related policy analysis and
  • Research, test and demonstrate innovative
    technologies (as needed)

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

The Plan Office of Healthy Homes and Lead Hazard
  • Develop integrated approaches to energy and
    environmental retrofits

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

FY 2005 SuperNOFA General Section
  • Applicants constructing, rehabilitating, or
    maintaining housingare encouraged to promote
    energy efficiency in their design and operations
  • They are urgedto purchase and use Energy
    Star-labeled products
  • Applicants are encouraged to undertake program
    activities that includeoutreach to low-moderate
    income renters and buyers.
  • Communities and developersencouraged to promote
    designation of homes as ES-compliant

Policy Priority in FY 2005 SuperNOFA
  • FHA Multifamily
  • Section 202/811 1 point for Energy Star
  • Assisted Living Conversion 2 points
  • FHA Single Family
  • Housing Counseling - 1 point for Energy Star
  • CPD
  • Rural Housing and Economic Development 1 point
  • HOPWA 1 point
  • Youthbuild 1 point
  • Continuum of Care checklist

Policy Priority in FY 2005 SuperNOFA (2)
  • Healthy Homes
  • Healthy Homes Demonstration 1 point
  • PIH
  • ROSS encourages use of Energy Star
  • PDR
  • University Partnerships up to 1 point
  • Historically Black Colleges
  • Hispanic Serving Institutions
  • Alaskan/Native Hawaiian

Energy Efficient Rehab Advisor
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FHA - Energy Efficient Mortgages
  • New mortgagee letter issued this week
  • Borrower can finance into an already approved FHA
  • 5 of property value maximum 8,000
  • EEM vs. EEH
  • EEH is new home built to 2000 Model Energy Code
    stretch ratios
  • EEM adds additional dollars to loan amount
  • Requires pre- and post-construction inspection
  • Savings must exceed cost

Public Housing
  • Energy performance contracting
  • Developing standardized operating procedures
  • Allow smaller PHAs to do their own performance
  • Consolidate, streamline review of proposals
  • Energy Star
  • Benchmarking energy use
  • Information and technical support
  • Public Housing Clearinghouse

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

Multifamily Emphasize Low-Hanging Fruit
  • Training of multifamily building managers and
    maintenance staff
  • Low-cost OM techniques, improved energy
  • Lighting retrofits
  • Domestic Hot Water servicing
  • Proper boiler and pipe insulation

  • New web-based training module (HOME)
  • Energy Star adopted as guideline for substantial
    rehab, new construction
  • New England 39 entitlement communities
  • Some localities included energy in Consolidated

Upcoming Activities
  • Training workshops scheduled during FY 2005
  • 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

Opportunities for Collaboration
  • Weatherization partnerships
  • Rebates and incentives
  • State, local, utility programs
  • Outreach and education
  • Participate in/co-sponsor workshops
  • Multifamily energy training
  • Adopt Energy Star label for new construction,
  • CDBG and HOME
  • Marketing and promotion of Energy Efficient
  • State HFAs, Housing Counseling Agencies

Regional Energy Coordinators
  • Located in each Regional Office
  • Responsible for coordinating field office
  • 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

Phase II Plan
  • Initiating development of Phase II plan for FY
  • Focus on quantifying results documenting energy
  • Limit reporting requirements

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 Susan Cooper
  • 202-708-2121 Ext. 7204
  • FHA Multifamily Reba Cook
  • 202-708-0614 Ext. 2471
  • Regional Energy Coordinators
  • Jim Chaplin 813-228-2026 Ext 2118