The Federal Perspective Part 1 Weatherization

The Federal Perspective – Part 1 • Weatherization Funding Levels • Program Updates • IG/GAO Audit Update • Weatherization Accomplishments : National Evaluation WEATHERIZATION ASSISTANCE PROGRAM – September 2012 1 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

Status of Recovery Act The Federal Perspective Production v 765, 000 homes weatherized § § § Max: 32, 397 homes (Dec. 2011) Min: ~6 homes (April 2009) Now: 14, 787 homes (Jun 2012) Spending v $4. 7 billion spent § § § Max: $196. 97 million (Dec. 2010) Min: $2. 98 million (April 2009) Now: $44. 96 million (Jul. 2012) v 217, 500 multi-family units completed § 28% of total production Jobs Supported Energy and Cost Savings 1 v $7. 84 billion in energy cost savings* § $410. 53 million saved annually v 440. 7 million MBtus in heating and cooling energy savings* § 22. 19 million MBtus saved annually v 5 th largest job creator in entire Recovery Act portfolio § § 6, 195 jobs supported in Q 2 of 2012 Max: 15, 440 jobs supported in Q 4 2010 *These figures represent savings over the 20 year life of the measures. Cost savings are expressed in 2008 dollars. 1 Source: Oak Ridge National Laboratory TM-2010/66 (http: // weatherization. ornl. gov/pdfs/ORNL_TM 2010 -66. pdf) 2 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

2012 Allocations The Federal Perspective • In the 2012 Consolidated Appropriations Act, Congress provided $65 million for allocation to WAP grantees • Congress also provided the Secretary of Energy with the authority in PY 2012 to use a methodology other than the formula established in regulation to distribute the available funding • The PY 2012 allocation uses a results oriented strategy that considers remaining fund balances grantees may have from the ARRA and prior year DOE Appropriations to distribute the Fiscal Year (FY) 2012 WAP Appropriations • The 2012 Allocation was based on the following criteria: – Use of an appropriation amount of $210 million as the base “PY 12 Target Allocation” for establishing funding for each grantee 3 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

2013 Projection The Federal Perspective • Current FY 2013 budget request allocations are as follows: – OMB: $139 million – House: $54. 56 million – Senate: $145 million – All request allocations included $3. 3 million set aside for HQ T&TA • What CR Means • Similarities for allocation between 2012 and 2013 4 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

Program Updates The Federal Perspective • EBL/Refrigerators – 42 USC 6862 (9): The term "weatherization materials" means – • caulking and weatherstripping of doors and windows; • furnace efficiency modifications, including, but not limited to – – replacement burners, furnaces, or boilers or any combination thereof; – devices for minimizing energy loss through heating system, chimney, or venting devices; and – electrical or mechanical furnace ignition systems which replace standing gas pilot lights; • • clock thermostats; ceiling, attic, wall, floor, and duct insulation; water heater insulation; storm windows and doors, multiglazed windows and doors, heat-absorbing or heat-reflective window and door materials; cooling efficiency modifications, including, but not limited to, replacement airconditioners, ventilation equipment, screening, window films, and shading devices; solar thermal water heaters; wood-heating appliances; and such other insulating or energy conserving devices or technologies as the Secretary may determine, after consulting with other federal agencies 5 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

The Weatherization Workforce The Federal Perspective Installer/ Technician Auditor Crew Leader Inspector http: //www 1. eere. energy. gov/wip/certifications. html 6 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

IG Report Status and Trends 7 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

IG Report Status and Trends The Federal Perspective • Status of Audit Reviews and Reports – Total number of WAP IG/GAO Audits = 28 – Total number Reports Released = 20 (Audits Complete) – Total number in Process = 8 • 6 Subgrantee audits • 2 Grantee audits • No Plans to Initiate Additional Audits 8 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

IG Report Status and Trends The Federal Perspective • IG/GAO Audit Follow-Up – DOE Resolves items by individual finding – Tracked on a quarterly basis – Remain open until resolved • Additional IG Items – Hotline Complaints • Total – 40 – Improper use of regulation – Mismanagement of Recovery Act Funds – Alleged Fraud 9 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

IG Report Status and Trends The Federal Perspective • General IG/GAO Findings: – Substandard performance in weatherization workmanship – Substandard performance in initial home assessments • Assessments that called for inappropriate weatherization measures • Assessments overlooked key measures to make homes more energy efficient – Inadequate oversight of contractors – Inaccurate documentation for contractor billing – Homes failing final inspection – Inadequate recordkeeping – Incomplete client files – Funds not in an interest bearing account – Not returning interest earned 10 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov

IG Report Status and Trends The Federal Perspective • Next Steps – Improve Quality – Improve Documentation – Improve Tracking Systems – Establish Procedures 11 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012 eere. energy. gov