1 | Weatherization Assistance Program: Overvieweere.energy.gov WAP Rules and Regulations Orientation Training Weatherization Assistance Program 2012 NASCSP Training Conference WAP Regulations and Program Guidance Holly Ravesloot & Greg Reamy

2 | Weatherization Assistance Program: Overvieweere.energy.gov “To reduce energy costs for low-income families, particularly for the elderly, people with disabilities, and children, while ensuring their health and safety.” Program Mission

3 | Weatherization Assistance Program: Overvieweere.energy.gov  Increase energy efficiency of dwelling units owned or occupied by low-income persons  Reduce total residential energy expenditures  Improve the health and safety of low-income persons, especially the elderly, persons with disabilities, and families with children  10 CFR 440, 10 CFR 600, DOE Program Notices, other policy documents Statutory Purpose

4 | Weatherization Assistance Program: Overvieweere.energy.gov  Weatherization is a categorical formula grant program administered by DOE under a regulatory framework laid out in 10 CFR Part 440.  Authority for the Program resides in Title 42 Public Health and Welfare U.S.C and  Program was reauthorized under Title 1, Section 122 of the Energy Policy Act of  Energy Independence and Security Act of 2007 reauthorized the Program and expanded the definition of “State” to include U.S. Territories and also established the Sustainable Energy Resources for Consumer Grants.  The American Recovery and Reinvestment Act of 2009 (Recovery Act), signed February 17, 2009, made significant changes to the Program. Weatherization Program Legislation

5 | Weatherization Assistance Program: Overvieweere.energy.gov Department of Energy Headquarters and Project Management Center 50 State Energy Offices, The District of Columbia, Native American Tribal Organizations, and 5 U.S. Territories Note: ITCA Tribe does not receive Recovery Act funds Low-Income Americans Single, Multi-Family, Mobile Homes 1,007 Local Subgrantees Serving All 3,054 Counties in the US The Team Approach

6 | Weatherization Assistance Program: Overvieweere.energy.gov  Grantee: State, U.S. Territory, or Certain Native America Tribes  Subgrantee: Community Action Agency, Community Action Partnership, Local Action Agency, or Local Unit of Government  T&TA: Training and Technical Assistance  HQ’s T&TA & State T&TA  Appendix A  WAPTAC - Weatherization Assistance Program Technical Assistance Center  Program Year/Fiscal Year  Definitions of Program Terms  ARRA or Recovery Act Funds Frequently Used Terms

7 | Weatherization Assistance Program: Overvieweere.energy.gov  DOE HQ – U.S. Department of Energy, Headquarters & Golden Locations  ARRA or “Recovery Act” Funds – The American Recovery & Reinvestment Act of 2009  REGs - Program Regulations/Rules  OMB – Office of Management & Budget  IG – Inspector General  HHS – U.S. Department of Health & Human Services  LIHEAP – Low-Income Home Energy Assistance Program  HUD – U.S. Department of Housing & Urban Development  DOL – U.S. Department of Labor  WPN – Weatherization Program Notice Frequently Used Acronyms

8 | Weatherization Assistance Program: Overvieweere.energy.gov Where Does the Money Come From?  Congressional Appropriations (Energy and Water Appropriations Subcommittees in the House and Senate) –2009 Allocation & Supplemental - $450 Million –2009 Stimulus - $5 Billion –2010 Allocation - $210 Million –2011 Allocation - $174.3 Million –2012 Allocation - $68 Million  States Transfer Funds from Low-Income Home Energy Assistance Program  Other Sources like Utilities, Landlords, State Appropriations, and Private Grants

9 | Weatherization Assistance Program: Overvieweere.energy.gov  The WAP is the largest residential energy efficiency program in the nation.  DOE provides core program funding and infrastructure for low-income energy efficiency For many programs  Grantees contract with local agencies to deliver services to single- family, multi-family, and mobile homes  Grantees can also leverage funds from utilities and other sources. Program Funding

10 | Weatherization Assistance Program: Overvieweere.energy.gov  Low-Income Population  Climatic Conditions  Residential Energy Expenditures by Low-Income Households in each State  Revised Formula Impacts States at $233+M Allocation Formula to States

11 | Weatherization Assistance Program: Overvieweere.energy.gov  Nation’s core program for delivering energy efficiency services to low-income homes  Operates in every state, District of Columbia, among Native American tribes, and U.S. Territories  Services delivered to single-family, multi-family, and mobile homes What is Weatherization?

12 | Weatherization Assistance Program: Overvieweere.energy.gov  38.6 Million families are eligible for assistance  Approximately 15 million ‘good candidate’ homes need weatherization  Through 2011 approximately 20% of the 38.6 million eligible families had received weatherization services The Need For Services

13 | Weatherization Assistance Program: Overvieweere.energy.gov  Customer applies for services  Agency determines eligibility  Energy audit conducted; technicians identify energy- related problems & Health & Safety issues  List of cost-effective measures developed  Energy efficiency measures installed  Client education  Post-work inspection How Does the Program Work?

14 | Weatherization Assistance Programeere.energy.gov  10 CFR (b) (1-5)  Elderly  Persons with disabilities  Families with children  High energy burden  High residential energy use Determining Priority Service

15 | Weatherization Assistance Programeere.energy.gov  DOE Revised Poverty Income Guidelines (PIGS) and Definition of Income (WPN 12-8)  Revised Version is More “User/Reader Friendly”  Breaks out Cash Receipts and Exclusions  Discusses Proof of Eligibility Including Self-Certification  Defines Child Support – Payee vs Payor  Defines Annualization of Income  Discusses Re-Certification Defining Income

16 | Weatherization Assistance Programeere.energy.gov  10 CFR (a)  Recovery Act – raised DOE’s income eligibility guideline to up to 200% of poverty  May also use LIHEAP guidelines  Recipient of cash assistance payment under Title IV or XVI of the Social Security Act is an automatic qualifier  State selected criteria must be used state-wide  Multi-Family HUD Eligibility Outlined in WPN & 11-9 Determining Eligibility

17 | Weatherization Assistance Program: Overvieweere.energy.gov  Must meet income eligibility guidelines  May receive priority  Elderly, disabled, family with children, household with high energy burden or high energy usage  Renters eligible, must get approval from property owner  When demand is high, customer may be added to waiting list Customer Application

18 | Weatherization Assistance Program: Overvieweere.energy.gov  Increased Training and Technical from 10% to up to 20% maximum  Hundreds of thousands of additional homes projected to be weatherized annually  Increased number of eligible homes by raising income level to 200%  Expected level of production for the three-year period for Recovery Act funding is approximately 600,000 units  Reweatherization date extended by one year from 1993 to 1994 Recovery Act Impact on Weatherization

19 | Weatherization Assistance Program: Overvieweere.energy.gov  Required for all Recovery Act Funds  Does NOT Apply to Any Regular Appropriated Funds  Native American Tribes and Territories are Exempt  DBA Labor Rates Applies only to Laborers and Mechanics  Special “Weatherization Worker” Job Classification Created  Energy Auditors, Administrative or Support Workers Exempt  Labor Standards Clauses With Flow-Down Responsibilities  Subgrantees and Contractors Must Submit Certified Weekly Payrolls  Wages Must be Paid Weekly – NO EXCEPTIONS Davis-Bacon Act (DBA)

20 | Weatherization Assistance Program: Overvieweere.energy.gov Davis-Bacon Act

21 | Weatherization Assistance Program: Overvieweere.energy.gov  Energy audits conducted  Air infiltration reduction using blower doors  Attic and floor insulation  Dense-pack wall insulation  Duct sealing  Domestic hot water heater improvements  Furnace service  Furnace replacements  New refrigerators  Duct system balance and sealing  Energy efficient lighting retrofits (CFL)  Incidental repairs  And more……….. Types of WAP Services

22 | Weatherization Assistance Program: Overvieweere.energy.gov  Client education is a critical component  Prolongs life of measures/equipment  Conducted before and after measures are installed  Instructions on equipment operation and maintenance  Tips on energy-saving activities  Information on carbon monoxide and other hazards Client Education

23 | Weatherization Assistance Programeere.energy.gov  10 CFR (e)(2)(i-iii)  Date moved from September 30, 1985 to September 30, 1994 – Change Made in the American Recovery and Reinvestment Act  Homes weatherized prior to 1994 did not use advanced auditsReweatherization

24 | Weatherization Assistance Programeere.energy.gov  10 CFR (b) (2) (i-ii)  66% of units must be income eligible  50% of units must be income eligible for duplex, 4-unit, and certain large multi- family buildings. –Certain Large Multifamily criteria should take into consideration size, leveraged resources, significant energy efficiency improvements  HUD/DOE Final Rule establishing lists of income-qualified properties  WPN Posted 3 Eligibility Lists to DOE website.  WPN Updated and Expanded Eligibility List  Guidance Regarding Prioritizing Weatherization Work based on Housing Type (WPN 11-04) Multi-family Eligibility

25 | Weatherization Assistance Programeere.energy.gov  10 CFR (b) (3) –Benefits accrue to low-income tenants –Rent will not be increased as a result of WX –Complaint procedures in place –No undue excessive enhancement to property  DOE encourages discussion of the rental plan as a part of public hearing  WPN 10-15A Discusses Accrual of Benefits Issue Rental Requirements

26 | Weatherization Assistance Programeere.energy.gov  Annual State Plan requires rental plan  Multi-family buildings require 66% eligibility to qualify entire structure  Certain large multi-family buildings can reduce eligibility from 66% to 50%  Must be: large, leveraged resources, have significant energy saving potential  DOE encourages discussion of the rental plan as a part of public hearing Rental Properties

27 | Weatherization Assistance Programeere.energy.gov  Section 10 CFR provides criteria for minimum energy audit standards  All energy audits must be revalidated every 5 years  All priority lists must be revalidated every 2 years  Energy Audit requirements are defined in WPN 01-4 Revised Weatherization Program Energy Audit Approval Procedures Energy Audit Criteria

AKWarm (AK) TREAT (WA) REM/Design* (OR) REM/ Design (CA) REM/Design (NV) REM/Design (AZ) HI NEAT (NM) NEAT (CO) NEAT (UT) NEAT (WY) EA5 (ID) Montana Computerized Energy Audit (MT) WXEOR (ND) NEAT (SD) NEAT (NE) REM/Design (KS) NEAT (OK) NEAT (TX) (LA) NEAT (AR) NEAT (MN) NEAT (WI) WX Works (IL) NEAT (MS) NEAT (IA) NEAT (MO) NEAT (MI) NEAT (IN) NEAT (KY) NEAT (TN) NEAT (AL) NEAT (OH) NEAT (GA) NEAT (FL) NEAT (NC) NEAT (PA) TIPS, TREAT (NY) NEAT (SC) NEAT (VA) Meadow 96* (ME) NEAT (VT) NEAT* (NH) NEAT (MA) NEAT (RI) RealHomeAnalyzer (CT) EA-QUIP* (NJ) NEAT* (DC) NEAT (MD) NEAT (WV) NEAT (DE) Does not use audit NEAT DOE Review is required every 5 years for Audit Tools Single-Family Energy Audit Tools Used by the Weatherization Network Updated 01/28/2011 U.S. Territories: American Samoa Guam Northern Mariana Islands Puerto Rico U.S. Virgin Islands States with * listed next to their current audit tool have submitted a request to switch to another audit tools.

AK WA OR CA NV AZ NM CO UT WY ID MT ND SD NE KS OK TXLA AR MN WI MI ILIN OH KY TN MS AL GA FL NC PA NY ME VT NH MA RI CT NJ DE DC HI IA MO SC VA WV MD States That Use A Priority List* As Part of Their Energy Audit Procedures For Single-Family Homes * A priority list is a list of weatherization measures that analysis has shown to be be cost-effective for typical housing stock. Priority list used to select measures on typical housing stock Computerized energy audit used on every house weatherized Updated 01/28/2011 Priority List: American Samoa Guam Northern Mariana Islands Puerto Rico U.S. Virgin Islands

30 | Weatherization Assistance Programeere.energy.gov  A dwelling unit on which a DOE-approved energy audit or priority list has been applied and weatherization work has been completed.  As funds allow, the appropriate measures installed on this unit have an SIR of 1.0 or greater, but also may include any necessary energy-related health and safety measures.  The use of DOE funds on this unit may include but are not limited to auditing, testing, measure installation, inspection and/or administration. A DOE Weatherized Unit is:

31 | Weatherization Assistance Programeere.energy.gov Reporting a DOE Completed Unit  A dwelling unit that meets the definition of a DOE weatherized unit must be counted as a DOE completed unit.

32 | Weatherization Assistance Programeere.energy.gov  Every home must receive a quality control inspection for workmanship and appropriateness  Blower door tests are conducted to ensure proper air sealing –Identifies any remaining air leaks –Indicates need for ventilation  Insulation and other measures checked for quality and completeness Post-Work Inspection

33 | Weatherization Assistance Programeere.energy.gov  Limited to 10% (440.18(d))*  No more than 5% for the State*  At least 5% to Subgrantees*  Local agencies with grants at or below $350K may receive up to an additional 5%  Additional flexibility offered by previous memorandum issued by DOE in 2004 Administrative Costs

34 | Weatherization Assistance Programeere.energy.gov  10 CFR  Responsible for advising the Grantee on Weatherization Program Composition of the PAC –Broadly Representative Low-income Elderly Disabled Native Americans Geographical Areas  PAC’s have “preference” over state councils or commissions  Grantees may use “council or commission” Policy Advisory Council

35 | Weatherization Assistance Programeere.energy.gov  10 CFR (b)(6)  Still part of Average Cost Per Home (ACPH)  Includes equipment purchase over $5,000  Project Officer approves  State & local agencies may amortize cost over the life of the vehicle  For additional details refer to WPN 09-1B section 5.15 in the Recovery Act Grant Guidance Vehicle & Equipment Purchase

36 | Weatherization Assistance Programeere.energy.gov  10 CFR (c)  DOE Issued Revised H&S Guidance WPN 11-6  Response to concerns with clarity and consistency in how health and safety issues are approached by Grantees.  DOE reconvened Health and Safety Committee to review trends and practices of the WAP network to update guidance.  Primary goal of Program remains “energy efficiency”.  Energy-related health & safety measures are those actions necessary to maintain the physical well being of both the occupants and/or weatherization workers where:  Costs are reasonable as determined by DOE in accordance with the Grantee’s approved Grantee Plan; AND  The actions must be taken to effectively perform weatherization work; OR  The actions are necessary as a result of weatherization work.  Encourage separate line item and not part of the average cost per home limitation WAP Health & Safety

37 | Weatherization Assistance Programeere.energy.gov Grantees Must Establish a H&S Average per Unit Spending Limitation and Justification Identify H&S Hazards and Approaches Process to Inform Clients of Identified Hazards Create Deferral and Referral Policies Process to Request Occupant Health Concerns Associated Testing, Training, and Client Education And more… Grantee Health & Safety Plan Minimum Requirements

38 | Weatherization Assistance Programeere.energy.gov Addresses Action/Allowability, Testing, Client Education, and Training for the following Health and Safety Categories: Air Conditioning/Heating Systems Appliances/Water Heaters Asbestos Biologicals/Unsanitary Conditions Building Structure/Roofing Code Compliance Combustion Gases Drainage Electrical Fire Hazards Air Pollutants Injury Prevention Lead Based Paint Mold/Moisture Health & Safety Guidance

39 | Weatherization Assistance Programeere.energy.gov  Grantees MAY use up to 15% of their DOE grant to leverage non-federal additional resources  In the Annual State Plan Grantees must describe leveraging activities in detail and indicate how additional units leveraged will be reported  Aim is a minimum dollar for dollar return  Leveraging is not considered program income; however, program income is a form of leveraging Leveraging

40 | Weatherization Assistance Programeere.energy.gov  10 CFR (c)(xiv): The State Plan must describe “The amount of Federal funds and how they will be used to increase the amount of weatherization assistance that the State obtains from non-federal sources, including private sources, and the expected leveraging effect to be accomplished.”  Leveraging is….any non-Federal resources (other than funds earned under program income) which are used to supplement the program or are used to run a parallel program (regardless of who initiates the action) and expands energy efficiency services and/or increases the number of dwelling units completed for Weatherization eligible clients. Leveraging (Con’t)

41 | Weatherization Assistance Programeere.energy.gov  Program Income is…gross income generated by a grant-supported activity; it is earned only as a result of the grant agreement during the grant period  State & Local Governments-10 CFR  Non-Profit Organizations-10 CFR  Vehicles and Equipment used for non-DOE Weatherization purposes must be appropriately reimbursed back to the program  This does not include landlord contributions Program Income

42 | Weatherization Assistance Programeere.energy.gov  DOE is revising WPN 08-5  DOE funds may only be use for weatherization-related activities as a result of disaster  Grantees with Disaster Relief Plans Previously Approved by DOE must revise their plans accordingly  State Agency on Disaster Relief has Lead Responsibility to Develop a Response Plan and Identify Potential Funding Sources Disaster Relief

43 | Weatherization Assistance Programeere.energy.gov  WPN Issued July 26, 2010  No Federal Sources of Funds Including LIHEAP or CSBG May be Used for Buy-Down  When Performing the Energy Audit, the Total Costs of Eligible Measures can be Discounted by the Amount of Non-Federal Resources Leveraged for that Particular Measure in Determining the SIR  Types of Non-Federal Sources Include: Landlord Contributions, Utility Funds, Donations from Private Sources, and/or State Resources That Supplement Other Similar Funds Buy-Down of Material Costs for Meeting SIR of 1.0

44 | Weatherization Assistance Programeere.energy.gov  WPN 11-3 Issued December 10, 2010  Generally Once Unit is Reported to DOE as Complete Then no DOE Funds May be Used for “Call-Back” or “Add-On” Work  Only Method Available is to Have Unit Taken out of the DOE Reporting System and Subtract Associated DOE Costs  Project Officer Must be Notified in Writing to Begin This Process  After Necessary Repairs, Unit Must be Re-inspected, Then Placed Back Into the DOE Reporting System by Grantee Use of DOE Funds to Pay for Call-Back/Add-on Work

45 | Weatherization Assistance Programeere.energy.gov  WPN 11-4 Issued December 22, 2010  Grantees Required to Have Procedures in Place Which Identify Weatherization Services to all 5 Priority Groups  DOE to Review Plans to Ensure the Required Priorities are Met  Plans That Exclude Multi-Family Would Appear to be Contrary to This Requirement  Weatherizing a Single Unit Within a Multi-Family Building Does Not Meet the 66% Requirement in 10 CFR Prioritizing Weatherization Work Based on Housing Type

46 | Weatherization Assistance Programeere.energy.gov WPN Grantees must ensure Subgrantees obtain, verify and maintain, as required, the proper documentation on demographics for properties to be weatherized. Subgrantees are not required to gather any additional information for reporting purposes beyond the demographics When a building is on the DOE posted list the Subgrantee must indicate which list it is on and the eligibility percentage. Generally, resident demographics must be reported on a unit-by-unit basis. However, rent rolls or other such building owner records provided on an entire building or project basis are sufficient. DOCUMENTATION REQUIRED FOR ELIGIBLE MULTIFAMILY PROPERTY LISTINGS

47 | Weatherization Assistance Programeere.energy.gov WPN Supercedes WPN 96-4 Grantees are reminded to comply with sections and CAA’s have “preference” but this does not constitute a “guarantee” When NOT selecting a current Subgrantee under a future award, the Grantee must provide a detailed analysis as part of the public hearing. 1) The analysis must include existence and effectiveness of any Subgrantee carrying out any program. 2) An explanation of the method used to select each area to be served. 3) Follow to provide Subgrantee reason for termination and an opportunity for redress. 4) DOE will perform appropriate oversight and review. WPN Subgrantee Selection

48 | Weatherization Assistance Programeere.energy.gov WPN CFR (f) Retention and Access to Records, requires DOE to place no restrictions that limit public access, except That where DOE can demonstrate these records shall be kept confidential if the records has belonged to DOE Under the FOIA, DOE would be legally required to keep confidential all specifically identifying information on receipients of WAP services such as name, address, or income Grantees and subgrantees should extend that same protection to their client records for WAP Privacy of WAP Receipients

49 | Weatherization Assistance Programeere.energy.gov Grantees and Subgrantees should treat all requests for information concerning applicants and receipients of WAP funds consistent with the Federal Government’s treatment of such requests under the FOIA DOE published a final rule in the Federal Register (Vol. 75 No. 108) June 7, 2010 addressing this concern. Disclosure of information relating to an individual’s eligibility application in the program, such as name, address, or income information are generally exempt from disclosure. Given a legitimate, articulated public interest in the disclosure, Grantees and Subgrantees may release information regarding receipients in the aggregate that does not identify specific individuals. Requests for Information Under the Freedom of Information Act (FOIA)

50 | Weatherization Assistance Programeere.energy.gov DOE Issued WPN All Subgrantee Contracts/Awards Must be Closed Out Prior to the Grantee Closing Out the Grant with DOE The Term “Performance Period End Date” is Same for Both Regular Recovery Act Grants and SERC Grant Awards WTC Grants Have a 9/30/12 End Date DOE Has Approved Certain Individual Recovery Act Grant Extension Requests DOE Has Established a set of Frequently Asked Questions for Recovery Act Closeout: Recovery Act Grant Closeout

51 | Weatherization Assistance Programeere.energy.gov Contact your DOE Project Officer or Refer to the follow Websites: –Weatherization Assistance Program Website –WAPTAC Website –Weatherization Plus Website –Oak Ridge National Lab Website More HELP and RESOURCES