A new energy efficiency home retrofit pilot program from the City of Portland’s Bureau of Planning and Sustainability is helping Portland homeowners reduce their energy cost, while also providing green construction jobs for Portland’s underrepresented communities.
The program is called Clean Energy Works Portland. It offers Portland homeowners access to low-cost financing for energy efficient improvements, like improved weatherization, or the installation of a new furnace, water heater or heat pump.
The pilot is being funded through American Recovery and Reinvestment Act dollars granted to the city to be used specifically for improved energy efficiency. The idea for the program came from the regional Climate Action Plan and the Portland Economic Development Plan. Once it is proven that the financial model for the program is self-sufficient, BPS hopes to leverage more federal money to bring the program to both the regional and state levels.
“The program, on the most basic level, offers people of most any income level the opportunity to weatherize their home at a low interest rate and no upfront costs,” said Andria Jacob, a program manager with BPS. “This program is really beneficial in that it dispels the myth that stimulus dollars are only being used on short-term projects. This is a program that, once it is up-and-running, can basically sustain itself.”
Insulation above and below can greatly reduce heating and cooling costs.
Most any site-built, single-family dwellings that are owner-occupied within the city are eligible. Basically the only restrictions are that the home has to be heated with electricity or natural gas, has to have been built before 1993, cannot be on any historic registry and cannot be bigger that 4,500 sq. ft. in size.
BPS is looking for participants from any income level that have high energy usage in their home and are willing to move through the program quickly.
Once a person has applied and their energy bill has been assessed, BPS sends a contractor and an energy advocate from the Energy Trust of Oregon to run a home performance test and answer any questions or concerns. Depending on the results of the test, and what the homeowner is looking to do, a construction plan with cost estimates is put together. Project costs are currently ranging between $4,000 and $20,000, with the average project costing $11,080.49.
“Weatherization, whether putting in new insulation or sealing airways, is mandatory,” said Jacob. “Participants can also choose to install a new efficient water heater or furnace to get the most bang for their buck, but not without doing the weatherization.”
A new, efficient furnace and water heater will reduce energy consumption.
Each project is financed through ShoreBank Enterprise Cascadia, a local nonprofit community development financial institution. 90-percent of the 60 projects that have been done thus far have been financed at a 5.99-percent interest rate. Although, those individuals in a fixed-income situation could qualify for a 3.99-percent interest rate. The loan is then paid back on the homeowner’s energy bill—either NW Natural, Pacific Power or Portland General Electric—over a 20-year period. Current monthly payments are averaging about $60.
Pat Opdyke, a retired North Portland homeowner on a fixed-income, inquired about the program after hearing about it in passing from a representative of Mayor Sam Adams. After conducting the performance test she decided to make several energy efficiency improvements. These included new floor insulation, weather stripping, caulking vents, putting sweeps on doors, air sealing the foundation, and installing a new 93-percent efficient electric hot water heater and a 96-percent efficient natural gas furnace.
Before State and Federal incentives the project cost over $14,000. Because she qualified for the ‘Savings Within Reach’ lowered interest rate, her monthly payment is about $65. She will pay the loan off on her NW Natural bill over the next 20-years.
“I would absolutely recommend this program for three reasons,” said Opdyke. “The whole process is seamless from start to finish, you know you are going to get good products at a fair price and you not only get money savings with the interest rate, but you also help save the environment.”
Sealing duct work and weather stripping may seem small, but they can offer big savings.
The jury is still out on how much savings Opdyke will see. After the first month she has saved 35 therms of natural gas, cutting her previous usage by more than half. Her electricity usage has increased by a third but that is mostly due to switching the water heater to electric and spending considerably more time at home.
Opdyke noted that having the energy efficiency advocate from the Energy Trust of Oregon was very beneficial.
“Even though I am fairly knowledgeable about these type of environmental issues, it was reassuring to have multiple people to discuss ideas with,” she said. “Anytime I had questions about products I had not only the contractor to talk with, but the advocate as well.”
The contractors have also found the advocates to be very helpful.
“One of the great aspects of this program is that every project gets a third party validation,” said Marshall Runkel of EcoTech, a Portland-based contractor. “It gives the contractors a great stamp of approval while also assuring customers that each project will be quality checked.”
A programmable thermostat allows greater control over heating and cooling.
There are currently 12 local contractors labeled as Clean Energy Works! Portland Contractors. Each one has to meet a series of requirements to become certified. These include becoming an Energy Trust of Oregon Home Performance Contractor, going through the Building Performance Institute training series, guaranteeing that at least 30-percent of their work is done by women and minority employees or subcontractors, and creating a hiring pipeline from several specific local green workforce training programs.
Runkel noted that the requirements around hiring underrepresented employees and subcontractors has introduced him to some new high quality subcontractors that he might not have met otherwise.
“I was introduced to Endeavor Plumbing through the program,” said Runkel. “It is a small Native American-owned plumbing company that does really exceptional work.”
He continued, “The pool of contractors should represent the people they serve, and this program helps do that.”
BPS is still seeking about 300 participants for the program, so those interested should apply.
“We are open for business and are looking for people who want to move through this quickly,” said Jacob. “Just go to the web site and fill out the application. It only takes 20-mintues .”
For more information, or to apply for the pilot program, please visit the Clean Energy Works Portland web site.
City of Portland Bureau of Planning and Sustainability (BPS)
1900 SW 4th Avenue
Suite 7100
Portland OR 97201
