American Recovery Reinvestment Plan (ARRA)

1
American Recovery Reinvestment Plan (ARRA)

• A Brief Guide to the State Energy Program and
  Other Funding Proposed Under the American
  Recovery Reinvestment Plan (ARRA)

2
New Jersey Highlights

• New Jersey is home to the Energy Departments
  Princeton Plasma Physics Laboratory, located at
  Princeton University, which plays a leading
  international role in developing the innovations
  needed to make fusion energy practical and
  affordable. 
• New Jersey heavily relies on nuclear power as
  over half of its electricity needs are met by its
  three power plants

3
Infrastructure and Energy
4
Recovery Act Spending

• Weatherization
• 118,821,296
• State Energy Program
• 73,643,000
• Energy Efficiency Conservation Block Grant
  Program
• 75,468,200
• Total
• 267,932,496

5
Weatherization Assistance Program

• The Actual Award/State Funding Estimate
• 118,821,296

6
Formula Distribution From Feds to New Jersey
or Other

• Funds come to the state to redistribute to local
  programs and for training.

7
Weatherization Assistance Program Description

• Funds can be used to weatherize and seal homes
  upgrade to make more energy efficient etc.
• State passes through the funds to local Community
  Action Programs (CAPS).

8
Weatherization Assistance Program Status

• Funding award was announced by the US Dept of
  Energy funds not yet received.
• State has applied for first 10 of funds.
  (Application was due on 3/23/09.)
• Follow-up state plan due on 5/12/09. Upon
  acceptance of Application, State shall receive
  the next 40 of allocation.

9
State Energy Program

• The Actual Award/State Funding Estimate
• 73,643,000

10
Formula Distribution From Feds to New Jersey

• Formula -funds come to the state to redistribute

11
State Energy Program Program Description

• Funds intended to promote energy conservation,
  reduce the rate of growth for energy demand,
  reduce dependence on imported oil etc.

12
State Energy Program Program Status

• Funding award announced by US Dept of Energy
  funds not yet received.
• State has applied for first 10 of the funds per
  US Dept of Energy guidance.
• Follow-up state plan was sent in on 5/12/09.

13
Energy Efficiency and Conservation Block Grants

• The Actual Award/State Funding Estimate
• 75,468,200

14
Formula Distribution From Feds to New Jersey

• Funds will come directly to the state and local
  governments.
• 14.4 million of the 75.4 is for the state to
  distribute and the rest is distributed directly
  by the US Dept of Energy to 70 local
  municipalities and counties in NJ.

15
Energy Efficiency and Conservation Block Grants

• Funds intended to assist states and certain local
  governments in implementing strategies to reduce
  their total energy use.

16
Energy Efficiency and Conservation Block Grants
Status

• Over 2.7 billion in formula grants are now
  available to U.S. states, territories, local
  governments, and Indian tribes under the Energy
  Efficiency and Conservation Block Grant (EECBG)
  Program, funded for the first time under the
  American Recovery and Reinvestment Act of 2009.
• The program provides funds to units of local and
  state government, Indian tribes, and territories
  to develop and implement projects to improve
  energy efficiency and reduce energy use and
  fossil fuel emissions in their communities.
• As of May 11, 2009, the program application
  deadline for ALL applicants, including local,
  tribal, and state governments, is June 25, 2009,
  80000 PM, Eastern Time.

17
Energy Efficiency and Conservation Block Grants
Status

• Funding awards announced for the state and NJ
  municipalities and counties on March 26, 2009.
• The state is in the process of assembling an
  application for these funds.

18
Clean Water State Revolving Fund

• The Actual Award/State Funding Estimate
• 160,146,900

19
Formula Distribution From Feds to New Jersey

• Funds come to the state to redistribute

20
Clean Water State Revolving Fund

• Funds for grants and loans to help communities
  upgrade wastewater treatment systems.

21
Clean Water State Revolving Fund Status

• Funding award announced by EPA funds not yet
  received.
• State has not yet applied for the funds in
  process of reviewing applications for funding.

22
Drinking Water State Revolving Fund

• The Actual Award/State Funding Estimate
• 43,154,000

23
Formula Distribution From Feds to New Jersey

• Funds come to the state to redistribute

24
Drinking Water State Revolving Fund

• Funds for grants and loans for drinking water
  infrastructure.

25
Drinking Water State Revolving Fund Status

• Funding award announced by EPA funds not yet
  received.
• State has not yet applied for the funds in
  process of reviewing applications for funding.

26
Recovery Act Spending

• Weatherization
• 118,821,296
• State Energy Program
• 73,643,000
• Energy Efficiency Conservation Block Grant
  Program
• 75,468,200
• Total
• 267,932,496

27
The State Energy Plan (SEP)

• The State Energy Plan (SEP) was submitted on May
  13th to the US Department of Energy and is being
  reviewed. 
• New Jersey anticipate receiving a final decision
  on the SEP from DOE in mid-July. 
• An actual copy of the application to DOE was
  suppose to be posted on the recovery site and our
  BPU website but there has been some delay.

28
Proposed Programs for the State Energy Program
Funds Provided By ARRA

• New Jerseys State Energy Program (SEP) will
  receive 73,643,000 from the American Recovery
  and Reinvestment Act (ARRA) to support clean
  energy efforts in the State. 
• The SEP, which is administered by the New Jersey
  Board of Public Utilities, is funded by grants
  received from the U.S. Department of Energys
  Office of Energy Efficiency and Renewable
  Energy. 
• The grants are used by states to advance their
  clean energy goals including renewable energy and
  energy efficiency programs. 

29
The programs to be funded are as follows

• State Renewable Energy and Energy Efficiency -
  20,643,000
• Clean Energy Program - 17 million
• Innovative Energy Projects for New Jersey
  Businesses - 15,000,000
• HMFA Residential Energy Efficiency - 8 million
• HMFA Solar Fund Program - 7 million
• New Jersey Office of Energy Savings - 6,000,000

30
State Renewable Energy and Energy Efficiency -
20,643,000

• The Board of Public Utilities (BPU) will
  administer a new grant program to enable New
  Jersey state government entities to invest in
  renewable energy and energy efficiency projects. 
• Applications will be reviewed by a team of
  representatives from the BPU, the New Jersey
  Economic Development Authority (EDA), the Office
  of Economic Growth, the Commission on Science and
  Technology, and the Office of Energy Savings. 
• Technologies that qualify for this program
  include wind energy, solar energy, biofuels,
  hydro energy, geothermal projects, and energy
  efficiency or energy storage applications that
  are used in coordination with renewable energy
  technologies. 
• Any state department, agency, authority, or
  public college or university may apply for these
  funds. 

31
Criteria Utilized to Determine Projects for
Funding

• 25  The use of an innovative technology, or an
  innovative application of a technology that
  furthers the goals of the SEP.
• 25  The ability to create jobs.
• 25  Reductions in greenhouse gas emissions.
• 25  The amount of energy created or saved.
• The level of the grant for each selected project
  will be determined by the evaluation team
  outlined above. 

32
State Renewable Energy and Energy Efficiency
Application Requirements

• To be eligible, the applicant must demonstrate
  that its proposed project can commence work
  quickly and be completed within a given period of
  time based on guidemce provided by the U.S.
  Department of Energy (US DOE) and the
  requirements outlined in the ARRA. 

33
Clean Energy Program - 17 Million

• The Clean Energy Program (CEP) is administered by
  the BPU, and provides incentives to individuals,
  businesses and local governments to invest in a
  variety of clean energy initiatives. 
• Initiatives include rebates for Energy Star
  appliances, incentives for green buildings, and
  free energy audits.  All programs provided by the
  CEP are administered on a first-come,
  first-served basis.
• The CEP is funded by the Societal Benefits
  Charge, which is a levy on ratepayers energy
  bills by the major utility companies in New
  Jersey. 

34
Clean Energy Program will include

• Increased energy efficiency incentives for
  residential customers that do not qualify under
  the HMFA program described below.  This increase
  could include an expansion of the Home
  Performance with Energy Star Program outlined
  above. 
• Increased energy efficiency incentives for
  community based organizations, such as food
  banks, homeless shelters, and hospitals.  This
  increase could include an expansion of the
  Municipal Audit Program that makes energy audits
  available to local municipalities. 
• Increased energy efficiency incentives for
  commercial and industrial customers whose
  capacity is greater than 200 KW. 
• The Pay for Performance program provides
  performance-based funding incentives for large
  commercial and industrial customers that
  participate in the program and implement
  whole-building measures that reduce their total
  energy consumption.

35
Innovative Energy Projects for New Jersey
Businesses - 15 Million

• The New Jersey Economic Development Authority
  (EDA) will administer a new competitive program
  to provide financial assistance to businesses in
  New Jersey that are pursuing innovation in energy
  efficiency, renewable energy or alternative
  energy. 
• The program is designed to push clean energy
  technologies beyond conceptual stages of
  development and into the marketplace. 
• Technologies such as energy storage, geothermal,
  biofuels and innovative uses for solar energy
  projects will be supported under this program. 
• To be deemed eligible, applicants must
  demonstrate private funding and prove that their
  project can commence and complete work within a
  given period of time.  This determination will be
  made by staff at EDA based upon program rules
  provided by the USDOE and the requirements
  outlined in the ARRA cited above. 

36
Innovative Energy Projects for New Jersey
Businesses Eligibility

• Once applicant eligibility has been established,
  the following scoring criteria will be utilized
  to determine which projects to fund
• 25  The use of an innovative technology, or an
  innovative application of a technology that
  furthers the goals of the SEP.
• 25  The ability to create jobs.
• 25  Potential reduction in greenhouse gas
  emissions.
• 25  The amount of energy created or saved.
• No project will receive support for more than 50
  of the total cost of the project. 

37
HMFA Residential Energy Efficiency - 8 million

• Through its Green Homes Office, the New Jersey
  Housing and Mortgage Finance Agency (HMFA) is
  developing programs that aid in the development
  of sustainable and energy efficient affordable
  housing.
• These includ financial incentives to developers
  and property owners to include green building
  design and solar energy projects for their
  affordable housing units.
• HMFA will administer a low-interest loan program
  to single-family and multifamily property owners
  to make energy efficiency upgrades to their
  buildings.
• The interest for these loans will not exceed 3.
  CEP incentives will be used to offset the costs
  of the upgrades, and the HMFA loan will fund the
  remainder.

38
HMFA Residential Energy Efficiency Qualifications

• These loans will only be made available to
• Households that are at or below 250 Area Median
  Income The higher of Statewide or County median
  income, based on a family of four.
• Owners of multifamily buildings that meet HMFAs
  affordability requirements.
• Households or affordable multifamily building
  owners that are not eligible for other equivalent
  financing offered by the utilities.
• HMFA will work with the BPU and the electric and
  gas utility companies to market this program.

39
Solar Fund Program - 7 million

• 81,800 100 AMI.  204,500 250 AMI Ranges
  from 85,000 to 96,700 at 100 AMI (250 AMI
  212,500 - 241,750)
• Grants will fund the remaining cost of the solar
  array, after the federal investment tax credit
  and any state rebates have been collected.
• In exchange for the grant, the HMFA will own all
  of the Solar Renewable Energy Certificates
  (SRECs) that are generated from the system.

40
Solar Fund Program

• HMFA will identify the best sites for the
  installation of these solar energy arrays.
• HMFA will take into consideration the following
• the age of the roof and
• the structural characteristics of the property
  that may impact its ability to be a good
  candidate for solar energy, such as shading
  concerns.
• Projects that maximize job creation, generate
  energy, provide a benefit to the residents of the
  property, and show an ability to complete the
  project within the timeframe specified by the
  HMFA in consultation with the BPU will be given
  priority status.

41
New Jersey Office of Energy Savings - 6,000,000

• The Office of Energy Savings is charged with
  reducing state governments energy consumption
  and lowering its energy costs. 
• It performs energy audits on state-operated
  buildings in order to identify opportunities for
  energy efficiencies. 
• It prioritizes the buildings that consume the
  greatest amount of energy first, and makes
  capital investments to those facilities.  Its
  current annual budget is 10 million dollars.

42
New Jersey Office of Energy Savings Criteria

• Candidates for upgrades include any building
  owned by the Treasury Department for example,
  state-run medical facilities, prisons, and office
  buildings.
• Based on their energy audits, the Office of
  Energy Savings prioritizes specific projects that
  maximize the following
• The number of jobs created
• Project readiness
• Expected savings in energy costs 

• Expected annual energy reductions
• The amount of greenhouse gas emission reductions
  
• The public benefit of the improvements.
• The return on investment is realized by those who
  use the facilities and lower energy bills for the
  state.

43
Report Fraud

• If you are aware of waste or mismanagement at any
  level of New Jersey government, the State wants
  to know. Call the State Comptroller at their
  toll-free hotline, 1-866-547-1121. All
  communication will remain confidential.

44
Infrastructure and Investment Funding
Opportunities Block Grant Opportunity

• Army Corp of Engineers
• Brownfields Investigation and Cleanup Grants
• Clean Water State Revolving Fund
• Community Service Block Grants
• Diesel Emissions Reductions
• Drinking Water State Revolving Fund
• Energy Efficiency and Conservation Block Grants
• Federal Water Quality Management Planning Grants
• Hazardous Substance Superfund
• Health Information Technology
• Leaking Underground Storage Tanks Trust Fund

• National Oceanic and Atmospheric Administration
  (NOAA)
• State Energy Program
• NJ Department of Transportation Economic Stimulus
  Project Selection Criteria
• NJ Transit Project List
• New Jersey Department of Transportation Project
  List
• Small Cities / Community Development Block Grant
• U.S. Department of the Interior
• Wildfire Hazard Reduction

45
Workforce Development/Training

• High Growth and Emerging Industry Sectors The
  ARRA provides 750 million for worker training
  and job placement in high growth and emerging
  industry sectors.
• Of that amount, 500 million is reserved to
  prepare workers for efficiency and renewable
  energy careers. These funds will be awarded by
  the US Secretary of Labor.

46
Workforce DevelopmentGreen Jobs Training

• DCA applied to the Federal Department of Energy
  (DOE) for a Wheatherization grant.
• The application proposes giving the New Jersey
  Department Labor Workforce Development (LWD) 4
  million for training.
•  

47
Workforce DevelopmentGreen Jobs Training

• LWD will develop with training partners
  carefully crafted Non Government Organization
  (NGO) to and award funding. 
•  
• Currently LWD has three Green Job Training Grants
  programs totaling 2 million to training
  individuals from inner cities who have
  historically encountered employment barriers.  
•  

48
Workforce DevelopmentGreen Jobs Training

• The Green Jobs Act of 2007 lacked appropriated
  funding to effectively implement.
•  
• The Green Jobs Act of 2007 is the framework under
  which much of the ARRA green job training will
  be awarded.

49
Workforce DevelopmentGreen Jobs Training

• The US Department of Labor recently announced a
  Training and Employment Guidance Letter (TEGL)
  indicating that they will make 500 million
  available to the states for green job training
  programs for individuals who have historically
  faced employment barriers for training to prepare
  them for entry level green jobs.   

50
Workforce DevelopmentGreen Jobs Training

• Van Jones was recently appointed by Obama as the
  Green Jobs Czar (I dont know his offical title).
   
• He founded an organization Green for All,  which
  influenced the city of Oakland to implement a
  green job training program that is beginning to
  receive national recognition (although the
  program has not quite completed its first year).
   NJ LWDs program will be modeled after the
  California program. 

51
The 2009 US Poverty Guidelines for the48
Contiguous States and Washington DC

• Houshold / Income
• 1 - 10,830
• 2 - 14,570
• 3 - 18,310
• 4 - 22,050

• 5 - 25,790
• 6 - 29,530
• 7 - 33,270
• 8 - 37,010
• For families with more than 8 persons, add 3,740
  for each additional person.