Title
Low-Income Energy Efficiency Home Rehabilitation Pilot Program
Action
Action:
A. Approve the use of up to $1,000,000 from the Coronavirus State and Local Fiscal Recovery Fund for home rehabilitation services in support of a low-income energy efficiency home rehabilitation pilot program in partnership with Duke Energy, and
B. Authorize the City Manager or his designee to execute, amend and renew contracts and other documents as needed to complete this transaction.
Staff Resource(s):
Sarah Hazel, General Services
Shawn Heath, Housing and Neighborhood Services
Explanation
§ Duke Energy is piloting a Residential Income-Qualified High-Energy Use Program.
§ Through this pilot, Duke Energy will invest approximately $7.5 million in three North Carolina geographies to complete energy efficiency retrofits to low-income, high-energy use customers at no cost to the customer. Charlotte has been selected as one of the geographies for their pilot program.
§ Duke Energy plans to invest approximately $4,000,000 in the Charlotte area for deep energy efficiency retrofits. Upgrades may include:
- HVAC replacement
- Comprehensive air sealing, insulation, and duct sealing
- Heat pump water heater
- ENERGY STAR appliances
- LED bulbs and electric hot water measures
§ Staff proposes to partner with Duke Energy to ensure that this program maximizes its reach with up to $1,000,000 in Coronavirus State and Local Fiscal Recovery Fund support. These funds will be used to complete critical home repairs that are not a part of the energy efficiency scope of work, but are required for energy efficiency work to be completed. These critical home repairs may include work such as:
- Window repair/replacement
- Roof and chimney/flue repair
- Plumbing repair
- Water heater repair/replacement
- Pressure relief valve installation
- Mechanical ventilation
- Lead based paint hazard control
§ The city’s partnership with Duke Energy will provide several benefits including:
- Helping low-income homeowners reduce their energy burden, save money, and stay in place
- Leveraging partner investment to scale the impact of the city’s home rehabilitation work
- Supporting the city’s Strategic Energy Action Plan Goals to become a low carbon city by 2050
Background
§ On August 27, 2018, City Council adopted the Housing Charlotte Framework, which recommends supporting family self-sufficiency by expanding home repair/rehabilitation programs to include more energy efficiency improvements to lower ongoing utility costs for vulnerable homeowners.
§ On March 11, 2021, in response to the COVID-19 public health emergency, President Biden signed the American Rescue Plan Act of 2021 (ARPA), which included the Coronavirus State and Local Fiscal Recovery Fund. Charlotte was one of almost 1,000 cities across the nation that received these funds.
Fiscal Note
Funding: American Rescue Plan Act (ARPA) Funds