WASHINGTON -- Approximately 25,000 apartment units will become more energy efficient as the result of approximately $250 million in grants and loans being offered today by the U.S. Department of Housing and Urban Development . The funding, being made available through the American Recovery and Reinvestment Act of 2009  (Recovery Act), which was signed into law by President Obama on Feb. 17, is designed to create thousands of 'green collar jobs' as workers retrofit older federally assisted multi-family apartment developments with the next generation of energy efficient technologies.
HUD's new Green Retrofit Program for Multifamily Housing  will offer up to $15,000 per residential unit to reduce energy costs, cut water consumption, and improve indoor air quality. Eligible applicants must already be HUD assisted, either through Section 8 project-based rental assistance or the Department's Section 202 (elderly) and Section 811 (disabled) programs. Applications for funds are being accepted beginning June 15, 2009.
"The funding that we make available today will not only improve our housing stock, but will lower energy costs and create green jobs in the process," said HUD Secretary Shaun Donovan. "This Administration is working overtime to ensure that Recovery Act funding will not only jump start America's economy, but will also put us on a path toward energy independence while improving living conditions for tens of thousands of lower income families."
Grants and loans provided through this program will help private landlords and property management companies to cut heating and air conditioning costs by installing more efficient heating and cooling systems and to reduce water use by replacing faucets and toilets. These Recovery Act funds will also produce other environmental benefits by encouraging the use of recycled building materials, reflective roofing, and low-VOC products to reduce potentially harmful 'out gassing.' Initially, applicants will be assessed based on their financial health prior to more thorough underwriting and an physical evaluation of the property itself.
The Recovery Act includes $13.61 billion for projects and programs administered by HUD, nearly 75 percent of which was allocated to state and local recipients only eight days after President Obama signed the Act into law. The remaining 25 percent of funds will be awarded through a competitive grant process in the coming months. HUD is committed to implementing Recovery Act investments swiftly and effectively as they generate tens of thousands of jobs, modernize homes to make them energy efficient, and help the families and communities hardest hit by the economic crisis.
In addition, Secretary Donovan and the Department are committed to providing the highest level of transparency possible as Recovery Act funds are administered. It is vitally important that the American people are fully aware of how their tax dollars are being spent and can hold their federal leaders accountable. Every dollar of Recovery Act funds HUD spends can be reviewed and tracked at HUD's Recovery Act website . The full text of HUD's funding notices and tracking of future performance of these grants is also available at HUD's Recovery Act website.
Housing Giants' Exclusive Interview with Shaun Donovan
HousingZone.com's Housing Stimulus Coverage