President Obama Proposes Home Energy Retrofit Program for Job Creation
Filed under: Energy, Home Remodeling, Uncategorized
From the EERE Network News
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President Barack Obama proposed a new rebate program on Tuesday to reward homeowners for making their homes more energy efficient, while also proposing additional federal investments in energy efficiency and renewable energy. As part of a speech about jobs and the economy at the Brookings Institution in Washington, D.C., the president noted that home energy retrofits create jobs, save money for families, and reduce the pollution that threatens our environment. President Obama also called for aid to small businesses and new investments in infrastructure. Most of the president’s proposals will require congressional approval.
President Obama’s job plan calls for an expansion of select American Recovery and Reinvestment Act initiatives that promote energy efficiency and clean energy jobs. The president noted that one-third of the Recovery Act is intended for investments “to put Americans to work doing the work that America needs done,” such as doubling the U.S. capacity for producing power from renewable energy. But most of those initiatives are oversubscribed, causing many strong ideas to go unfunded. With that in mind, the Obama Administration is supporting the expansion of programs for which additional federal dollars will leverage private investment and create jobs quickly, such as investments in industrial energy efficiency, as well as new or extended tax incentives for investing in U.S. manufacturing facilities for renewable energy technologies. See the White House press release and a transcript of the president’s remarks.
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Committee Reviewing Michigan’s Energy Code
Michigan Bureau of Construction Codes has reassembled an ad-hoc committee to review the State’s residential and commercial energy codes. The ad-hoc committee is made up of stakeholders throughout the state involved with building construction and energy efficiency. The committee will be making recommendations regarding the commercial energy code meeting the 2007 ASHRAE 90.1 standard, and the residential energy code meeting the 2009 IECC standard. A timeline for the ad-hoc committee’s recommendations has not been set, but it is expected that their review work will continue through the Fall of 09’. The residential energy code, 2003 Michigan Uniform Energy Code, was implemented in October of 08’ following a Circuit Court Judge’s ruling in favor of the State.
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PROFESSIONAL REMODELERS KEY TO EARNING ENERGY-EFFICIENCY TAX CREDITS
FOR IMMEDIATE RELEASE
CONTACT:
Building Industry Association of Southeast Michigan
Professional Remodelers
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WASHINGTON, date –Homeowners now can claim up to $1,500 in expanded energy-efficiency tax credits for remodeling their principal residence to reduce energy consumption. Available until the end of 2010, the revamped Existing Home Retrofit (25C) Tax Credit helps consumers save two ways: on their costs and on their utility bills.
“Remodelers can help find the best methods of saving energy in your home with an assessment, like a home energy audit,” explained NAHB Remodelers Chairman Greg Miedema, CGR, CGB, CAPS, CGP, a remodeler from Tucson, Ariz. “Tightening the house to reduce air leakage by adding insulation, fixing ducts, and installing a more efficient heating and air conditioning system can help save on energy bills today while also reducing next year’s tax bill.”
The expanded federal tax credit refunds 30 percent of the product replacement cost up to a total of $1,500. It can be used not only for HVAC systems, insulation and water heaters but also for windows and doors and insulation as long as the new products meet IRS qualifications. In some cases, installation costs may also be used to claim the tax credit.
Home energy audits can cost as little as $500, which remodelers say is an expense that pays for itself—and more—with savings from efficiency upgrades. And homeowners may be able to combine federal tax credits with local and regional incentives to maximize savings.
Here’s one example: Insulation improvements may be one of the easiest and most affordable ways to save on energy costs. Upgrading inefficient insulation (from R-19 to R-38) in the attic of a two-story, 2,000-square-foot Chicago home might cost around $1,000, but the tax credit brings that down to $700. Add that to Chicago’s MidAmerican Energy residential energy efficiency rebate program, which can return up to $600 spent on insulation or other energy-efficiency upgrades, and the cost drops to $100 – meaning a two-year payback period for the $51 estimated annual utility savings for this project.
Inspecting the ductwork, caulking and heating and cooling systems for possible upgrades or enhancements also help to provide additional energy savings, Miedema said.
Homeowners also can use the tax credit for heating and cooling components. For example, upgrading a standard 10-year-old air conditioner to today’s federal minimum 13-SEER (Seasonal Energy Efficiency Ratio) model may cost about $5,500 in Phoenix, but does not qualify for the tax credit. Spending as little as $2,000 more for a higher-efficiency air-conditioner (such as 16-SEER) earns the homeowner the $1,500 energy-efficiency federal tax credit. Plus, the local power company provides a rebate starting at $425. With the tax credit and utility rebate, the cost difference can be paid back in a couple of years, while the homeowner may enjoy utility bills savings for years to come.
With the credit, tankless water heaters are comparable in cost to traditional gas water heaters, but last as long as 20 years and are 30 percent more efficient, according to Eugene Lamana, residential business manager at Rinnai, a manufacturer of tankless water heaters and other gas appliances based in Peachtree City, Ga. Savings depend on local energy prices, but home owners may also save with less frequent replacements. When the credit is included, homeowners can save $100 per year on their water heating expenses, he added. “These are just some examples of how the energy-efficiency tax credit helps consumers save money in making home improvements and cutting down utility bills,” said Miedema. “Homeowners should contact a professional remodeler near them for advice on installing tax credit-qualified improvements in their home.”
Homeowners can use an energy-savings simulation from the NAHB Research Center at http://energysim.toolbase.org to determine likely costs of upgrades and savings. Information on rebates from utility companies and other state and local government incentives is available at www.dsireusa.org.
In addition to expanding the 25C tax credit, the Wind, Solar, Geothermal and Fuel Cell (25D) Tax Credit for renewable energy products now provides larger incentives for installing geothermal heat pumps, solar panels, solar water heaters, small wind energy systems and fuel cells. Although the upfront costs are high for these products, the tax credit is 30 percent and there is no cap on their cost through 2016. Taxpayers can claim the credits on IRS Form 5695.
For more information about the tax credit, visit www.nahb.org/efficiencytaxcredit.
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For more information about remodeling, visit www.nahb.org/remodel.
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ABOUT NAHB REMODELERS: NAHB Remodelers is America’s home for professional remodelers, representing more than 20,000 remodeling industry members of the National Association of Home Builders (NAHB). Founded in 1982, the organization provides information, education and designation programs to improve the business and construction expertise of its members and to enhance the professional image of the industry. Its membership incorporates 145 local councils in 43 states. Learn more about remodeling at www.nahb.org/remodel.
ABOUT NAHB: The National Association of Home Builders is a Washington, D.C.-based trade association representing more than 200,000 members involved in home building, remodeling, multifamily construction, property management, subcontracting, design, housing finance, building product manufacturing and other aspects of residential and light commercial construction. Known as “the voice of the housing industry,” NAHB is affiliated with more than 800 state and local home builders associations around the country. NAHB’s builder members will construct about 80 percent of the new housing units for 2009.
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How to Build a Better Ramp
I often take for granted the gift of mobility. I suppose most of us do until we are touched by someone who no longer has or never received that precious gift.
Building ramps can help those with mobility issues by allowing easier access to their everyday lives. Getting into our homes is something most of us don’t give a second thought to. But for someone in a chair it becomes a real challenge.
Since about 80% of our homes’ front doors are between 16” and 36” above the ground,
wheelchair-bound individuals need some sort of assistance getting in. Sometimes it’s physical assistance from a family member or caregiver. Sometimes it’s simple mechanical assistance like a ramp or a lift.
If you’re considering building a ramp for someone you know, I would advise you to do a little research on the subject before planning or proceeding. Many things need to be considered to make it safe for the physically challenged individual and their caregiver. The slope or pitch of the ramp should allow the person or caregiver to easily negotiate the ramp without fear of losing control. That can be different for different people and situations. Local ordinances may prohibit ramps in the front yard with out a variance. Maintenance ability may dictate the materials used. Wood ramps may work well for some and concrete better for others. Resting platforms need to be considered not only for the current needs but for future needs of the individual doing the pushing. That may be the physically challenged person or it may be their caregiver.
I always recommend you hire a professional for this type of project. Find a Certified Aging-in-Place Specialist to help you design and build the right ramp. If you feel you must proceed on your own check the ADA website for helpful information and a starting point. Remember the person you are building the ramp for instead of just considering the specifications. Think “user-friendly” during the planning and you’ll build a better ramp!
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Cheapest is Seldom Best — When to say “NO”
Filed under: Bathroom Remodeling, Home Remodeling, Kitchen Remodeling, Sunrooms
We’ve gotten a lot of calls recently for remodeling and I’m noticing an expected trend in the outcome of my sales calls: Contractors are quoting unbelievable (and unrealistic) prices for remodeling. This will be a problem that both contractor and homeowner will likely pay for in the end.
One of the most basic things a business must do to stay in business is make a profit. There is no faster way to go “belly-up” than to take jobs too cheap and break even or lose money on them. Yes, even the guy who breaks even will fail, sooner than you might think. And when that happens, you could get stuck with an unfinished project or long delays, a warranty claim that can’t be filled, or suppliers and tradesmen to pay — for a second time.
The best way to protect yourself is to hire professionals. There are a lot of “trunk slammers” coming onto the playing field right now. Unemployment is high. Almost anybody can drive a nail, paint, or finish drywall and that’s all it takes to be a remodeler–right?
Wrong.
It takes more. Professional remodelers know what it takes to run a successful business. They may have years of experience, hold a variety of credentials and even have college degrees. It’s not just about driving nails and finishing drywall. It’s about business practices and managment skills.
When you are ready to start a project you should always seek referrals from your family and friends who have used a professional remodeler before. If you don’t have that resource, call your local Home Builders Association or NARI chapter for recommendations of an accredited contractor in your area. Get three quotes from professional contractors. Look for professional designations such as NAHB’s Certified Graduate Remodeler (CGR) or NARI’s Certified Remodeler (CR). Earning these designations means the remodeler is serious about his/her business and wants to be successful at it…and that benefits you, the homeowner, too.
Review each quote carefully to make sure the contractors are bidding apples for apples. There’s nothing like getting well into a job then finding out the contractor didn’t include plumbing fixtures in the proposal.
How do you as a homeowner know when to say “no thanks?”
Look for the obvious first. A bid that’s considerably cheaper than others you’ve received should probably be dismissed immediately. A bid that’s considerably higher might also be dismissed but, you may want to make sure everyone is bidding the same thing and has the same allowances for fixtures, cabinets, etc. You’re usually better off taking the middle bid. Notice I said usually.
A professional will come to you with licensing, insurance and references, usually without your asking. Steer clear of uninsured contractors. They can be big trouble for you. You can be liable for them, their workers and any damage they may cause. If they ask you to secure the permit, beware. There’s usually a bad reason.
You can check licensing online in most if not all states. Remember that electricians, plumbers and HVAC (Mechanical) contractors must have their own corresponding licenses. The remodelers Builders’ License does not cover it. You can feel secure if you’re remodeler is using licensed electrical, mechanical and plumbing contractors and is providing you with all the necesary permits — Building, Electrical, Plumbing and Mechanical — for the project. Remember too, that some jobs — painting, many repairs, cabinet replacements, etc. — don’t require a permit. Check with your local building authority.
If you’re still not sure, look for advice at your local Home Builders Association or check you state’s Builder Licensing Division for useful information. Oh, and don’t discount the gut feeling.
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HOME REMODELS, RETROFITS ARE KEY TO AN ENERGY-EFFICIENT FUTURE, NAHB PANELISTS SAY
by the National Association of Home Builders
LAS VEGAS, Jan 21 – As the nation’s home builders embrace green building in growing numbers, industry research indicates that even the most aggressive efficiency goals for new homes won’t make a dent in overall energy consumption.
Instead, remodeling and retrofitting the nation’s older homes is by far the more efficient solution, industry experts said at a press conference today at the International Builders’ Show® in Las Vegas.
The panelists spoke as the National Association of Home Builders commemorated Green Day, drawing attention to the green education and certification programs offered by the association and the many green products, supplies and materials on display this week in the world’s largest home building industry show.
The home building industry can combat the potential effects of global climate change by providing additional training to its members and by encouraging home owners to alter some of their habits – and make energy-efficient improvements to their homes, the panelists said.
Federal energy officials estimate that Americans consume about 21 percent of the energy produced each year to operate and maintain their homes: for heating, cooling and electrical appliances, from stoves and refrigerators to televisions, computers and hair dryers. “By just making thoughtful choices, we can reduce that impact,” said Ray Tonjes, chair of the NAHB Green Building Subcommittee and a green home builder in Austin, Texas.
“Energy efficiency is absolutely key to our nation’s continued security and to our economy. Additionally, we know that building with energy conservation in mind is practical and profitable. My industry has stepped up to the plate to prevent the effects of global warming – but we call it responding to market demand,” he said.
The greatest energy savings can be achieved by making changes to existing housing, which is less energy efficient than today’s new homes. “We obviously can’t solve the problem by tearing down all our inefficient housing stock and replacing it with new. We need to make some significant improvements to our existing homes,” Tonjes said.
Mike Hodgson, president of the California energy consulting company ConSol, revealed the results of a study conducted for the California Homebuilding Foundation last fall. Seventy percent of the greenhouse gas emissions related to single-family envelope energy consumption can be attributed to homes built before 1983, the study found.
Further, the study demonstrated that pending $10,000 retrofitting a 1960s home could save 8.5 tons of carbon, a cost of $588 to $1,176 per ton depending on tax credits and incentives. On the other hand, increasing the energy efficiency of a new home 35 percent over current state requirements would cost about $5,000 and would reduce emissions by 1.1 tons at a cost of $4,545 per ton.
“Simple arithmetic demonstrates how retrofitting existing homes with energy-efficient features is four to eight times more carbon- and cost-efficient than adding further energy-efficiency requirements to new housing,” Hodgson said.
Remodeler Devon Hartman of HartmanBaldwin, a Claremont, Calif design/build firm, said his customers are heeding the call. By adding insulation and sealing and tightening the duct system in one recent large home renovation project, Hartman was able to replace four older heating and air conditioning units totaling 16 tons to a new 6-ton system. “We’re no longer talking about just putting on sweaters or lowering the thermostat. We’re talking about creating energy through efficiency measures,” he said.
As more people turn to retrofitting and remodeling, demand increases for so-called green jobs, skilled employees to either manufacture or install components in the energy-efficient homes of the future.
Frederick Humphreys is President and CEO of the Home Builders Institute, which is the workforce development arm of NAHB, discussed new initiatives to prepare and train these workers, including major revisions of popular industry textbooks and other training materials to reflect today’s improved knowledge of building science and green technology.
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ABOUT NAHB: The National Association of Home Builders is a Washington, D.C.-based trade association representing more than 200,000 members involved in home building, remodeling, multifamily construction, property management, subcontracting, design, housing finance, building product manufacturing and other aspects of residential and light commercial construction. Known as “the voice of the housing industry,” NAHB is affiliated with more than 800 state and local home builders associations around the country. NAHB’s builder members will construct about 80 percent of the new housing units for 2009.
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What’s a Certified Graduate Remodeler?
Filed under: Bathroom Remodeling, Home Remodeling, Kitchen Remodeling, Sunrooms
Good afternoon.
The Certified Graduate Remodeler (CGR) designation is the title given to remodelers who complete the necessary educational course to achieve that recognition. They are also required to have aminimum of 5 years of remodeling experience.
The CGR course teaches business practices, marketing, contruction and project management, construction practices and numerous other subjects related to the industry.
Going a little deeper, finding a remodeler with the CGR designation means you have found a professeional. This remodeler is serious about what they do…serious enough to take the time for practical education and instruction in their field of expertise. It’s what helps distinguish those who just dabble or do side work from those who do high quality, professional remodeling.
I received my CGR designation 3 years ago and continually find value in the things I learned by attaining the designation. It helps me better serve my customers and give them a project that is of higher standards and better value.
It’s important to hire companies that know what they are doing and are seious about it.
–Lenox
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