Understanding The Home Star Energy Retrofit Act of 2010
This is the bill that has been quipped “Cash for Caulkers”. We mentioned it late last year, and we were working on a detailed article about it, but then we met a new friend named Houston Neal from Software Advice who has written a brilliant and comprehensive piece and we would love to share it with you. You can read his complete article here.
In addition to reading Houston’s article (we know you will!) we want to provide you some ’quick and dirty’ information about The Home Star Energy Retrofit Act of 2010 and how it can save you money at home.
I suppose the first thing you would like to know is what this bill does. Well, the proper name is H.R. 5019 or The Home Star Energy Retrofit Act of 2010- which was just passed in May by the House (we are waiting for the Senate). To quote the The Committee on Energy and Commerce:
“legislation that will incentivize home energy retrofits and increase employment in the construction and related sectors.
Home Star is a short-term program to create jobs, save energy, and lower families’ energy bills. Home Star will restart the assembly lines at factories that manufacture energy efficiency technologies and will put construction workers back on the job installing these improvements in the homes of millions of American families.”
The bill would fund rebates of as much as 50%- up to $3,000,-for energy-saving efforts such as insulation improvements and the replacement of windows, doors, heating and cooling systems. A great number of these installations will have to be completed by qualified contractors, but there are a few things which our DIY customers will be able to qualify.
This bill encourages energy retrofits by giving rebates to homeowners who install energy-saving products like windows, doors, insulation, or heating/cooling systems. What it means for our customers is that you can finally do some of those projects and manage to get a significant portion covered through this program.
There are two levels to this program. The Silver Star and the Gold Star program.
The Silver Star will provide up-front rebates up to $3000.00 for specific kinds of upgrades like duct sealing, air sealing, water heaters, windows and doors.
The Gold Star program is a much bigger incentive providing up to $8000.00 for a homeowner when you reduce your energy use. You will receive a $3000.00 rebate when you reduce your energy use by 20%, and an additional $1000.00 for every 5% thereafter (up to the $8000.00 allowable).
Houston Neil has made a wonderful table that shows the retofit requirements (please note that in addition to the requirements listed in his article, the retrofits also have to comply with the BPI and the Secretary of Energy can have additional requirements) and rebate amount, but we’ve done a quick and dirty version for our customers that addresses some of our most common energy efficiency questions and solutions.
| Retrofit | Allowable Amount | Notes | ||
| Wall Insulation | $ 1,500.00 | You know those “Hot” rooms you call us about? We will be able to help. There are some rules about how it needs to be done, but their requirements only ask what we would recommend to you anyway! | ||
| Attic Insulation | $ 1,000.00 | Same as wall insulation. There are some rules, but it is the right way to do it. In Arizona, we need 10″-12″ of insulation in the attic or crawl space to beat the heat. Call us if you aren’t sure. | ||
| Duct replacement or resealing | $ 1,000.00 | About 20 percent of the air that moves through the duct system in a typical home is lost due to leaks, holes, and poorly connected ducts. The result is higher utility bills and difficulty keeping the house comfortable, no matter how the thermostat is set. | ||
| Window Replacment | $ 1,000.00 | You have to replace 8 windows, or 75% of the home’s windows, but usually if you need new windows you need them everywhere. Here’s your chance! While windows can be really expensive, leaky, old, outdated, single-paned, cheap windows lead to huge losses. To replace those windows can cost $4,000 – $7,500’s or more for this job; however, it will never be cheaper than with the stimulus rebates available. And it will pay off every day you aren’t fighting with your thermostat to be comfortable. | ||
| Door or Skylight Replacement | $ 125.00 | You can do 2 doors or 2 skylights! | ||
| Air Conditioners | $750.00-$1500.00 | It depends on what and how you upgrade, but if it is time for a new unit, this and other incentives may apply. | ||
| Water Heater | $400.00-$1000.00 | How much they give you depends on what you replace it with, but we’ve written a number of articles on water heaters, so you already know what you want, right? | ||
| Window Film Installation | $ 500.00 | Have exterior windows and can’t have sun screens, here’s your chance to block those rays! |
Remember, there are still other incentives for other “green” or “energy efficient” upgrades. Don’t forget about those. If you’ve forgotten, check this article!
So, where do you start? Get an energy audit! This will show you where you are seeping hot air into your home which will tell you where the work needs to happen. You can call us any time and we will happily help you understand the legislation and how you can take advantage of it.
Look for more articles from me (and Houston) as we get more information. This is an amazing opportunity for our customers, and we want to help you take advantage of it!
Excellent breakdown for a somewhat complex bill (there are 4 in Congress!). Took me a while to research and write about this topic as well and wish I had seen this article earlier.