HomeMy WebLinkAboutenergy-efficiency-and-conservation-block-grant-eligible-activities-and-programEECBG PROGRAM NOTICE 23-01
EFFECTIVE DATE: April 25, 2023
SUBJECT: GUIDANCE FOR ELIGIBILITY OF ACTIVITIES UNDER THE ENERGY EFFICIENCY AND
CONSERVATION BLOCK GRANT PROGRAM
Contents
PURPOSE .......................................................................................................................................2
SCOPE ............................................................................................................................................2
LEGAL AUTHORITY AND BACKGROUND ...........................................................................................2
GUIDANCE .....................................................................................................................................2
ELIGIBLE ACTIVITY CATEGORIES ......................................................................................................6
Category (1) Strategy Development and Implementation ................................................................7
Category (2) Retaining Technical Consulting Services .......................................................................8
Category (3) Residential and Commercial Building Audits .............................................................. 10
Category (4) Financial Incentives for Energy Efficiency ................................................................... 12
Category (5) Energy Efficiency Retrofit Grants for Government Agencies and Nonprofit
Organizations ............................................................................................................................... 14
Category (6) Energy Efficiency and Conservation Programs for Buildings and Facilities ................... 16
Category (7) Conservation of Transportation Energy ..................................................................... 18
Category (8) Building Codes and Inspection Services ...................................................................... 20
Category (9) Energy Distribution Technologies .............................................................................. 22
Category (10) Material Conservation Programs ............................................................................. 24
Category (11) Reduction, Capture, and Use of Landfill Gases ......................................................... 25
Category (12) Replacement of Traffic Signals and Street Lighting ................................................... 26
Category (13) On-site Renewable Energy On or In a Government Building ..................................... 28
Category (14) Programs for Financing, Purchasing, and Installing Energy Efficiency, Renewable
Energy, and Zero-emission Transportation (and associated infrastructure) Measures and Capital
Investments, Projects, and Programs for Leveraging Public and Private Sector Funds ..................... 30
LIMITATIONS ON THE USE OF EECBG PROGRAM FUNDS ................................................................ 33
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PURPOSE
To provide guidance on the eligibility of activities under the Department of Energy’s (DOE) Energy
Efficiency and Conservation Block Grant (EECBG) Program.
SCOPE
The provisions of this guidance apply to recipients of Infrastructure Investment and Jobs Act (IIJA) and
American Recovery and Reinvestment Act (ARRA) EECBG Program funds.
LEGAL AUTHORITY AND BACKGROUND
The EECBG Program is authorized under Title V, Subtitle E of the Energy Independence and Security Act
of 2007 (EISA), as amended,1 and signed into Public Law (PL 110-140) on December 19, 2007. All awards
made under this program shall comply with applicable laws and regulations including, but not limited to,
the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
at 2 CFR Part 200 and 2 CFR Part 910 and Section 40552 of IIJA.
GUIDANCE
The purpose of the EECBG Program is to assist eligible state, local, and tribal governments (collectively
referred to as “eligible entities”) in implementing strategies to:
• Reduce fossil fuel emissions in a manner that is environmentally sustainable and, to the
maximum extent practicable, maximizes benefits for local and regional communities;
• Reduce the total energy use of the eligible entities;
• Improve energy efficiency in the transportation sector, the building sector, and other
appropriate sectors;2
• Build a clean and equitable energy economy that prioritizes disadvantaged communities and
promotes equity and inclusion in workforce opportunities and deployment activities, consistent
with the Justice40 Initiative.
These stated purposes describe the overall intent of the EECBG Program. Entities may develop various
programs and projects that address one or more of the purposes and each activity an entity undertakes
is not required to meet all the stated purposes. Entities may choose from a range of eligible activities, as
defined in Section 544 of EISA3 as amended by Section 40552(a) of the IIJA (Public Law 117-58).
DOE updated this guidance from the version issued in 2011 (EECBG Program Notice 10-021) to reflect
the changes Congress made to EISA when it signed IJJA into law. This updated version provides guidance
to EECBG Program grantees regarding the types of eligible activities that are considered allowable use of
funds under one or more of the 14 eligible activity categories for the EECBG Program.4 Recipients of
EECBG Program grants (including entities receiving sub-grants) or vouchers can use this guidance to
determine eligible activities that support EECBG Program goals and implementation strategies. The
1 42 U.S.C. 17151 et seq.
2 42 U.S.C. 17152(b).
3 42 U.S.C. 17154
4 This guidance only addresses categories 1-14 outlined in Section 544 of EISA. Category 15 is defined in law as
“any other appropriate activity, as determined by the Secretary, in consultation with the Administrator of the Environmental Protection Agency, the Secretary of Transportation, and the Secretary of Housing and Urban
Development.”
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guidance also identifies activities that are prohibited or where limitations on use of funds exist, as
established by the EECBG statute or determined by DOE. This guidance is not intended to be exhaustive.
If an eligible entity has a question regarding the eligibility of a specific activity, the eligible entity should
contact the EECBG Program at eecbg@hq.doe.gov or their Project Officer.
In general, the overall objective of each eligible activity should be the attainment of, or the plan to
attain, increased energy efficiency and conservation, or fossil fuel reduction. These activities should bear
in mind an equitable distribution of community investment and projects serving disadvantaged
communities, in line with the Justice40 Initiative.
Projects related to regular maintenance or repairs are not eligible. Eligible entities may apply their funds
to one or more projects, as long as each project falls within one of the 14 categories of eligible uses of
funds.
Equity and Environmental Justice
Per President Biden’s Executive Order 14008, the Federal Government has established the goal that 40
percent of the overall benefits of certain Federal investments flow to disadvantaged communities5
(“DACs”).6 This government-wide effort is called the Justice40 Initiative. The EECBG Program is a
Justice40-covered program and thus contributes to the goal that 40 percent of the overall benefits of
federal investments in clean energy and climate solutions flow to DACs. DOE has released General
Guidance on Justice40 Implementation designed to help eligible entities and other interested parties
incorporate Justice40 Initiative goals into DOE-funded projects.7
DOE has identified the following benefits that can flow to DACs as a result of EECBG Program funding.
Specifically, benefits include, but are not limited to measurable direct or indirect or positive project
outcomes that achieve or contribute to the following in DACs:
1) a decrease in energy burden;
2) a decrease in environmental exposure and burdens;
3) an increase in access to low-cost capital;
4) an increase in job creation, the clean energy job pipeline, and job training for individuals;
5) increases in clean energy enterprise creation and contracting (e.g., minority-owned or
disadvantaged business enterprises);
6) increases in energy democracy, including community ownership;
7) increased parity in clean energy technology access and adoption; and
8) an increase in energy resilience.
5 Also referred to as underserved, overburdened, and frontline communities.
6 Pursuant to Executive Order (EO) 14008, “Tackling the Climate Crisis at Home and Abroad,” January 27, 2021, and
the Office of Management and Budget’s Interim Justice40 Implementation Guidance M-21-28, DOE recognizes
DACs as defined and identified by the White House Council of Environmental Quality’s Climate and Economic
Justice Screening Tool (CEJST), which can be located at https://screeningtool.geoplatform.gov/.
7 Final DOE Justice40 General Guidance 072522.pdf (energy.gov)
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Further, the EECBG Program encourages eligible entities to include the participation of underserved
communities8 and underrepresented groups in the activities they undertake with EECBG Program funds.
EECBG Program eligible entities are highly encouraged to include contractors and sub-contractors from
historically underrepresented groups9,10 in their project scoping. Further, Minority Serving Institutions,11
Minority Business Enterprises, Minority Owned Businesses, Woman Owned Businesses, Veteran Owned
Businesses, or entities located in an underserved community that meet EECBG Program eligibility
requirements are encouraged to be considered as sub-recipients for proposed EECBG Program-funded
projects.
Blueprints and Technical Assistance
DOE has developed or identified resources to assist EECBG Program recipients with development of
their energy efficiency and conservation strategies and project implementation plans, including
Blueprints and Technical Assistance available from the EECBG Program and other DOE programs. These
resources are intended to supplement the award funding received through either a formula or
competitive award from DOE.
Blueprints are step-by-step roadmaps of energy project and programs that guide EECBG Program
entities to success. While not an exclusive list, the blueprints highlight a select number high-impact
projects and programs based on proven practices that entities can choose to follow. Though entities
may use their EECBG Program funds for a wide array of energy-related activities, those that choose to
spend their EECBG Program funds exclusively on “key activities” listed in the blueprints should expect a
streamlined and expedited application review because these key activities fall within eligible uses of
EECBG Program funds, and most of the blueprint activities are covered by NEPA Statements of Work.
8 The Office of Management and Budget Interim Implementation Guidance for Justice40 defines a disadvantaged community as either: (1) a group of individuals living in geographic proximity (such as census tract), or (2) a
geographically dispersed set of individuals (such as migrant workers or Native Americans), where either type of
group experiences common conditions.
9 According to the National Science Foundation’s 2019 report titled, “Women, Minorities and Persons with
Disabilities in Science and Engineering”, women, persons with disabilities, and underrepresented minority
groups— blacks or African Americans, Hispanics or Latinos, and American Indians or Alaska Natives—are vastly
underrepresented in the STEM (science, technology, engineering, and math) fields that drive the energy sector. For
example, in the U.S., Hispanics, African Americans and American Indians or Alaska Natives make up 24 percent of
the overall workforce, yet only account for 9 percent of the country’s science and engineering workforce. DOE
seeks to inspire underrepresented Americans to pursue careers in energy and support their advancement into
leadership positions. https://www.energy.gov/articles/introducing-minorities-energy-initiative
10 Note that Congress recognized in section 305 of the American Innovation and Competitiveness Act of 2017,
Public Law 114-329: “[I]t is critical to our Nation’s economic leadership and global competitiveness that the United
States educate, train, and retain more scientists, engineers, and computer scientists; (2) there is currently a
disconnect between the availability of and growing demand for STEM-skilled workers; (3) historically,
underrepresented populations are the largest untapped STEM talent pools in the United States; and (4) given the
shifting demographic landscape, the United States should encourage full participation of individuals from
underrepresented populations in STEM fields.”
11 Minority Serving Institutions (MSIs), including Historically Black Colleges and Universities/Other Minority
Institutions as educational entities recognized by the Office of Civil Rights (OCR), U.S. Department of Education,
and identified on the OCR's Department of Education U.S. accredited postsecondary minorities’ institution list.
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The blueprints span a wide variety of topic areas: energy planning, energy efficiency, renewable energy,
transportation infrastructure, workforce development, and financing. For more information, see the
Blueprints webpage.
Blueprint Topics:12
• Blueprint 1. Energy Planning
• Blueprint 2A. Energy Efficiency - Energy Audits and Building Upgrades
• Blueprint 2B: Energy Efficiency and Electrification in Buildings - Energy Savings
Performance Contracts:
• Blueprint 2C: Building Efficiency & Electrification Campaign
• Blueprint 2D: Building Performance Standards & Stretch Codes
• Blueprint 3A: Solar + Storage Power Purchase Agreements and Direct Ownership
• Blueprint 3B: Community Solar
• Blueprint 3C: Solarize Campaign
• Blueprint 3D: Renewable Resource Planning
• Blueprint 4A: Electric Vehicles for Fleets and Fleet Electrification
• Blueprint 4B: Electric Vehicle Charging Infrastructure for the Community
• Blueprint 5: Unlocking Sustainable Financing Solutions for Energy Projects and Programs
- Revolving Loan Funds
• Blueprint 6: Workforce Development Community
National Environmental Protection Act Requirements
DOE must comply with the National Environmental Policy Act (NEPA) prior to authorizing the use of
Federal funds. DOE must also consider the effects on historic properties, pursuant to Section 106 of the
National Historic Preservation Act (NHPA). Additionally, DOE must consider the impacts to floodplains
and wetlands, pursuant to 10 CFR Part 1022—Compliance with Floodplain and Wetland Environmental
Review Requirements. To streamline these required reviews, DOE carries out each of these reviews
under the umbrella of its NEPA review. Grantees should review and follow the NEPA determination (the
form that DOE uses to document NEPA reviews) in their award documents for restrictions, and the list of
activities that have been categorically excluded from further NEPA review.
NEPA Statements of Work (SOW) have been created and placed on the EECBG Program Formula
Application Hub webpage to provide expedited reviews of blueprints and other activities. The NEPA
SOWs apply to different applicants and include either ground disturbing activities or nonground
disturbing activities. Applicants should review the SOWs to ensure the correct one is selected, if
applicable. SOWs with ground disturbing activities require quarterly reporting for all activities. DOE staff
will require submission of an Environmental Questionnaire (EQ1) for a NEPA review through the Project
Management Center (PMC) if a NEPA SOW is not utilized.
12 This list shows proposed Blueprints by topic area as of April 2023. Blueprint topic areas may be added or revised,
based on grantee and stakeholder interests, and effectiveness in achieving program goals. For additional
information, visit the Blueprints webpage.
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ELIGIBLE ACTIVITY CATEGORIES
EISA, as revised by Section 40552 of IIJA, specifies 14 categories of eligible uses of EECBG Program funds.
DOE is providing guidance below regarding the types of eligible activities that are covered by the 14
categories, including examples of eligible activities, technical assistance opportunities, and items for
consideration. This guidance on eligible activities is not intended to be comprehensive. If an eligible
entity has a question regarding the eligibility or allowability of a specific activity, the eligible entity
should contact their Project Officer, or email the EECBG Program at eecbg@hq.doe.gov.
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Category (1) Strategy Development and Implementation
STATUTORY LANGUAGE
Development and implementation of an energy efficiency and conservation strategy
PROGRAM GUIDANCE
• This category only applies to eligible local and tribal governments. State governments are
ineligible to apply their EECBG Program funds to strategy development.
• The activity must be for the development, in support of the development, or in support of the
implementation of either a strategy submitted pursuant to the EECBG Program or a general
strategy that outlines goals for energy efficiency or conservation.
EXAMPLE ELIGIBLE ACTIVITIES
• Development of an energy efficiency and conservation strategy if one is not submitted with
application
• Development of the energy efficiency and conservation elements of an energy-related plan such
as a climate action plan or local or tribal government’s sustainability plan
• Expansion of an existing strategy to address new goals
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint 1: Energy Planning
• The National Renewable Energy Laboratory (NREL) is providing interested EECBG Program
grantees one-on-one technical assistance and customized support to develop their Energy
Efficiency and Conservation Strategies. Grantees can sign up by emailing NREL directly at:
EECS_TA@nrel.gov. Funding is limited; requests will be considered based on available funding
and type of support requested.
IITEMS FOR CONSIDERATION
• Develop strategies around clearly defined, measurable, and ambitious goals for advancing
energy efficiency and clean energy.
• Ensure that strategies are informed by stakeholder feedback and include opportunities for
continued stakeholder engagement, with a particular focus on soliciting feedback from
underrepresented and disadvantaged communities. EECBG Program recipients are encouraged
to actively seek participation and feedback from a diverse range of stakeholders that reflects the
demographics of their community.
• Incorporate equity and environmental justice objectives in developing energy efficiency and
conservation goals and associated implementation strategies.
• Take a holistic approach that incorporates a variety of technologies and addresses the needs of
different populations within the community leveraging tools such as the DOE State and Local
Planning for Energy (SLOPE) Platform, a free, easy-to-use online platform to support data-driven
state and local energy and decarbonization planning.
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Category (2) Retaining Technical Consulting Services
STATUTORY LANGUAGE
Retaining technical consultant services to assist the eligible entity in the development of such a strategy,
including—
A. Formulation of energy efficiency, energy conservation, and energy usage goals;
B. Identification of strategies to achieve those goals—
a. through efforts to increase energy efficiency and reduce energy consumption; and
b. by encouraging behavioral changes among the population served by the eligible entity;
C. Development of methods to measure progress in achieving the goals;
D. Development and publication of annual reports to the population served by the eligible entity
describing—
a. the strategies and goals; and
b. the progress made in achieving the strategies and goals during the preceding calendar
year; and
E. Other services to assist in the implementation of the energy efficiency and conservation strategy
PROGRAM GUIDANCE
• This activity area refers to retaining technical consultant services to assist the eligible entity in
the development and implementation of an energy efficiency and conservation strategy,
including developing methods to measure progress in achieving the goals identified in the
strategy, and developing and publishing annual reports, such as dissemination of energy plans
and progress updates.
• This category is only available to eligible entities that are units of local government or tribes that
received funds under the EECBG Program.
• The activity for which the eligible entity is seeking to retain technical consulting services must
support one or more elements of strategy development and implementation developed under
Category 1.
EXAMPLE ELIGIBLE ACTIVITIES
• Formulation of energy efficiency, energy conservation, and energy usage goals, methods to
achieve those goals or measure progress, and the publication of annual reports discussing
progress
• Identification and development of an equity-centered strategy to achieve 2030 carbon neutral
goals through the energy efficiency and conservation strategy
• Developing a detailed roadmap, as part of the energy efficiency and conservation strategy, to
reduce costs and improve energy efficiency in communities and households with high energy
burdens
• Development of internal metrics and evaluation system for strategies and measures in the
energy efficiency and conservation strategy that address clean energy and climate resiliency
objectives in the community
• Strategic planning for electrification of government transportation fleets
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TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprints 1-6: Each of these blueprints can be used as a guide towards select EECBG Program
activities. The key activities described in each blueprint, including planning and data analysis,
can be conducted either by a member of the EECBG Program grantee’s internal staff or by
external contractors or consultants.
• The National Renewable Energy Laboratory can provide interested EECBG Program eligible
entities with direct technical assistance and customized support around energy planning
including goal development and options analysis. Eligible entities can submit a request for TA by
emailing NREL directly at EECS_TA@nrel.gov. Funding is limited; requests will be considered
based on available funding and type of support requested.
• The technical assistance voucher pathway may also be a good option for entities that are
primarily interested in obtaining technical support services, such as planning, analysis, and
strategy development related to this category.13
• Additional technical assistance around specific technology areas is available through various
DOE offices and national laboratories. For additional information, visit the EECBG Technical
Assistance webpage.
ITEMS FOR CONSIDERATION
• Consider local objectives, staff capacity, and support needs when selecting consultants. Look for
firms with prior expertise and knowledge of local or tribal government energy efficiency,
renewable energy, electrification or sustainability programs, including development of place-
based strategies.
• Consider selecting eligible firms that reflect diversity in their business ownership and staff,
understand local community needs, and are experienced in place-based approaches.
• Engage underrepresented or underserved groups to ensure that their needs are considered and
addressed during technical consultant service delivery (e.g., community input sessions,
equitable access to programs and financial opportunities.)
13 For formula-eligible local governments and tribes only. Entities must select either a grant or voucher for their
EECBG formula award.
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Category (3) Residential and Commercial Building Audits
STATUTORY LANGUAGE
Conducting residential and commercial building energy audits
PROGRAM GUIDANCE
• The activity should be for conducting energy audits of residential and commercial buildings;14,15
• The activity must occur within the jurisdiction of the eligible entity; and
• Upgrades or improvements to buildings associated with the audits are an eligible use of funds.
EXAMPLE ELIGIBLE ACTIVITIES
• Energy assessments to understand usage patterns in a portfolio of buildings and benchmark
performance, including benchmarking building energy performance in the ENERGY STAR®
Portfolio Manager Tool
• Installing energy upgrades in homes or commercial businesses recommended as the result of an
audit
• Any activities that support or facilitate the conduct of energy assessments of residential or
commercial buildings
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint #2A: Energy Efficiency - Energy Audits and Building Upgrades
• The federal government maintains several tools to assist with building energy efficiency, which
are described in the blueprint, including ENERGY STAR® Portfolio Manager, DOE Building Energy
Asset Score, and Home Energy ScoreTM, which are online platforms to collect, organize and
analyze energy data for commercial and residential buildings, and identify and prioritize energy
efficiency improvements. In addition, DOE developed the Energy Data Management Guide
designed to support state and local governments in developing a data-driven approach to
energy management.
ITEMS FOR CONSIDERATION
• Consider ensuring that energy assessments are implemented in communities that have
traditionally experienced energy injustice or have disproportionate energy burdens by using
14 Energy audits include assessments of residential and commercial buildings to evaluate the energy performance of the building, and identify and prioritize energy savings opportunities, including operational or behavioral changes. Assessments may include recommendations for installation of energy efficiency measures, renewable energy and/or grid-interactive systems, such as battery storage, and energy monitoring systems.
15 For the purpose of eligibility under the EECBG Program, “building” generally means a usually roofed and walled
structure built for permanent use. Commercial buildings include all buildings in which at least half of the of floor
space is used for a purpose that is not residential (used as a dwelling for one or more households),
manufacturing/industrial (used for processing or procurement of goods, merchandise, raw materials or food) or
agricultural (used for the production, processing, sale, storage, or housing of agriculture process, including livestock), so they include building types that might not traditionally be considered “commercial,” such as schools,
correctional institutions, and building uses for religious worship.
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tools such as the Climate and Economic Justice Screening Tool and Low-Income Energy
Affordability Data (LEAD) Tool and partnering with relevant community stakeholders.
• Coordinate energy assessment activities with existing federal, state, local, and utility energy
efficiency programs, as well as existing and anticipated sources of additional funding. Many
utilities offer free or discounted energy assessments (i.e., ‘audits’) for residential and
commercial buildings. Energy assessments can serve as a first step to further energy-saving,
clean energy, and electrification measures that could be otherwise publicly funded.
• Coordinate energy assessment activities with energy efficiency and conservation elements of
any existing or planned energy-related plan, such as a climate action plan or local or tribal
government’s sustainability plan. Factor in the energy impacts of long-lifetime building
upgrades, and their implications for existing climate or sustainability plans.
• Consider conducting an initial energy assessment to better understand energy usage patterns
across a given portfolio of buildings and identify and prioritize buildings for further assessment.
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Category (4) Financial Incentives for Energy Efficiency
STATUTORY LANGUAGE
Establishment of financial incentive programs for energy efficiency improvements
PROGRAM GUIDANCE
• The activity must be for a financial incentive program, such as a rebate, loan, energy savings
performance contracts, or other financing program.
• The financial incentive program must be for the purpose of improving energy efficiency; and
• The financial incentives must be limited to resident, non-profits, government entities, or
businesses within the jurisdiction of the eligible entity.
• The activity may include financial incentive programs established by states, including sub-grants
from states to local governments or tribes, such as a revolving loan fund.
• For local governments and Indian tribes only: there is a limitation on utilizing EECBG Program
formula grant funds for the development and capitalization of a Revolving Loan Fund of the
greater of 20% of the award allocation or $250,000. Eligible entities may contribute grant
funding to an existing revolving loan fund – they need not establish a new one.
• EECBG Program funds used for financing programs must be tracked and reported separately
from non-EECBG Program funds, including other federal financing programs, such as the Energy
Efficiency Revolving Loan Fund Capitalization Grant Program available to States.
• While this Category addresses financial incentives specifically for energy efficiency, financing for
renewable energy systems may be an eligible activity under Category 14.
EXAMPLE ELIGIBLE ACTIVITIES
• Energy Savings Performance Contracts (ESPCs)
• Loan programs such as: revolving loan funds, loan guarantees, loan-loss reserves or credit
enhancements, on-bill financing, and energy efficient mortgage programs
• Non-loan financial assistance programs such as: grants, rebates, tax credits, tax exemptions, fee
waivers, interest rate buydowns, bonds
• Other financial incentive program for energy efficiency improvements, such as formulation of
501(c)3 Green Bank Entities
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint #2B: Energy Efficiency and Electrification in Buildings - Energy Savings Performance
Contracts
• Blueprint #2C: Building Electrification Campaign
• Blueprint #5: Unlocking Sustainable Financing Solutions for Energy Projects and Programs –
Revolving Loan Funds
ITEMS TO CONSIDER
• Financial incentive programs should be designed to be self-sustaining.
• Consider opportunities to leverage or coordinate EECBG formula funds with rebates, financial
incentives and financing programs funded by the IIJA or Inflation Reduction Act (IRA), such as
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SEP Revolving Loan Funds, Home Energy Rebates, and the U.S. EPA’s Greenhouse Gas Pollution
Reduction Fund.
• Leverage private capital to achieve greater impact by partnering with non-profit Green Banks or
other sources of private capital.
• Coordinate financial incentive activities with energy efficiency and conservation elements of any
existing energy-related plan, such as a climate action plan or local or tribal government’s
sustainability plan. Factor in the energy impacts of long-lifetime building upgrades, and their
implications for existing climate or sustainability plans.
• Seek to design programs to mitigate historical inequities in access to capital and financing to
further environmental justice by addressing barriers to accessing capital, such as credit score
and debt-to-income ratios. See the State and Local Solution Center for program design
resources and examples, such as:
o Clean Energy for Low-Income Communities Accelerator (CELICA) Toolkit;
o State and Local Planning for Energy (SLOPE) Platform; and
o Energy Efficiency Financing for Low- and Moderate-Income Households: Current State of
the Market, Issues, and Opportunities.
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Category (5) Energy Efficiency Retrofit Grants for Government Agencies and Nonprofit
Organizations
STATUTORY LANGUAGE
The provision of grants to nonprofit organizations and governmental agencies for the purpose of
performing energy efficiency retrofits
PROGRAM GUIDANCE
• The activity is for energy efficiency retrofits performed by government agencies or nonprofit
organizations (these retrofits may be in residential buildings as long as the government or
nonprofit is performing the retrofit). The retrofit may be of equipment (e.g., an HVAC system
and associated controls, appliances, or lighting) or a building;
• The retrofit must result in energy savings (e.g., kwh/BTUs) or improved energy efficiency;
• The activity must not be for new construction or non-replacement equipment;
• The activity must occur within the jurisdiction of the eligible entity.
EXAMPLE ELIGIBLE ACTIVITIES
• Energy efficiency retrofit measures, including weatherization, installation of efficient heating
and cooling systems and appliances, cool roofs, and water efficiency measures
• Energy management systems, including grid-interactive equipment such as smart thermostats,
battery storage systems, and building energy management systems
• Building electrification measures, including the installation of heat pumps, heat pump water
heaters, residential or commercial cooking equipment, and associated wiring and panel
upgrades
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint #2A: Energy Efficiency - Energy Audits and Building Upgrades
• Blueprint #2B: Energy Efficiency and Electrification in Buildings - Energy Savings Performance
Contracts
• Blueprint #5: Unlocking Sustainable Financing for Energy Projects and Programs – Revolving
Loan Funds
ITEMS TO CONSIDER
• Take a whole-building approach to retrofits that recognizes the interactive effects and co-
benefits of different technologies, rather than focusing on a specific technology or end use.
• Consider coordinating (also referred to as ‘braiding’) EECBG Program grant funding with other
local, state, and federal programs such as the Better Buildings Initiative, Weatherization
Assistance Program, U.S. Environmental Protection Agency’s Climate Pollution Reduction
Grants, IRA Home Energy Rebates (forthcoming), federal tax incentives or USDA’s Community
Facilities Program; or utility energy efficiency programs, including financing and incentives for
energy efficiency improvements.
• Consider the energy impacts of long-lifetime building retrofits and their broader implications for
existing climate or sustainability plans. Perform energy assessments and retrofits in
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communities that have traditionally experienced energy injustice or have disproportionate
household energy burdens by using tools such as the Climate and Economic Justice Screening
Tool and Low-Income Energy Affordability Data (LEAD) Tool and partnering with relevant
community stakeholders.
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Category (6) Energy Efficiency and Conservation Programs for Buildings and Facilities
STATUTORY LANGUAGE
Development and implementation of energy efficiency and conservation programs for buildings and
facilities within the jurisdiction of the eligible entity, including—
A. Design and operation of the programs;
B. Identifying the most effective methods for achieving maximum participation and efficiency
rates;
C. Public education;
D. Measurement and verification protocols; and
E. Identification of energy efficient technologies
PROGRAM GUIDANCE
• The activity must be for the development and/or implementation of an energy efficiency or
energy conservation program. An eligible use of funds may include the design and operation of
the program and installation of energy efficiency equipment, including building energy
management systems and controls.
• The activity must be related to buildings or facilities;16 and
• The activity must impact buildings or facilities within the jurisdiction of the eligible entity.
EXAMPLE ELIGIBLE ACTIVITIES
• Workforce development/training programs supporting eligible activities, such as training
community members on green technology installation or residential and commercial energy
audits
• Programs for public education including training or workshops
• Development and implementation of building performance standards, including benchmarking
and disclosure requirements for the purpose of promoting energy efficiency in commercial
buildings
• Development and implementation of measures and verification protocols
• Programs to partner with local non-profits and community organizations to support
weatherization, efficiency retrofits and technologies, and installations
• Programs to promote architecture, design, and engineering work for energy efficient buildings
• Non-capital strategies to improve facility efficiency through an Energy Data Management
Program and/or operations and maintenance strategies such as Strategic Energy Management
(or similar methods)
• Development of an energy rating, disclosure and/or labeling system for the purpose of
promoting energy efficiency in residential or commercial buildings
16 For the purpose of eligibility under the EECBG Program, “facility” generally means an installation, building, group
of buildings, or group of structures designed to support a related purpose.
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TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint 2A: Energy Efficiency – Energy Assessments and Building Upgrades
• Blueprint 2B: Efficiency for portfolio of government buildings: Energy Saving Performance
Contracts
• Blueprint 2C: Building Electrification Campaign
• Blueprint 3: Building Performance Standards and Stretch Codes
• Blueprint 5: Unlocking Sustainable Financing Solutions for Energy Projects and Programs -
Revolving Loan Funds
• In addition to providing one-on-one customized technical assistance for governments pursuing
building code updates, the DOE Building Energy Codes Program also provides technical
assistance for jurisdictions interested in exploring Building Performance Standards programs.
• The federal government maintains several tools to assist with building energy efficiency, which
are described in the blueprints, including ENERGY STAR® Portfolio Manager and DOE Building
Energy Asset Score which are online platforms to collect and organize building energy data. In
addition, DOE developed the Energy Data Management Guide designed to support state and
local governments in developing a data-driven approach to energy management.
ITEMS TO CONSIDER
• Achieve a double bottom line of economic justice and energy justice by prioritizing
disadvantaged communities in workforce development training programs.
• Design programs that can leverage other local, state, and federal funding, such as the DOE
Better Buildings Initiative, Weatherization Assistance Program, and EPA Climate Pollution
Reduction Grants.
• Coordinate buildings and facilities programs with energy efficiency and conservation elements
of any existing energy-related plan such as a climate action plan or local or tribal government’s
sustainability plan. Factor in the energy impacts of long-lifetime building upgrades and their
implications for existing climate or sustainability plans.
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Category (7) Conservation of Transportation Energy
STATUTORY LANGUAGE
Development and implementation of programs to conserve energy used in transportation, including—
A. Use of flex time by employers;
B. Satellite work centers;
C. Development and promotion of zoning guidelines or requirements that promote energy efficient
development;
D. Development of infrastructure, such as bike lanes and pathways and pedestrian walkways;
E. Synchronization of traffic signals; and
F. Other measures that increase energy efficiency and decrease energy consumption
PROGRAM GUIDANCE
• The activity must result in or support the conservation of transportation fuel within the
jurisdiction of the eligible entity.
• Conservation of transportation fuel may be for the population (e.g., privately owned vehicles)
within the jurisdiction of the eligible entity or for government purposes (e.g., government fleets)
• Eligible alternative fuel vehicles (AFVs) can span a range of transportation fuel conservation
technologies and fuel types (e.g., light and medium duty electric vehicles (EVs) and hybrid
vehicles).
• A reduction in greenhouse gas emissions that result from transportation fuel may also be
considered conservation of transportation fuel.
EXAMPLE ELIGIBLE ACTIVITIES
• Improvement of energy efficiency of government vehicle fleets through the purchase of electric,
hybrid, or alternative fuel vehicles such as buses, recycling / waste collection vehicles, etc.
• Micromobility programs, devices and associated facilities, including conventional bicycles, e-
bicycles, e-scooters, and other personal transport devices for public use17
• Addition of bike lanes, pathways, or other alternative transportation infrastructure
• Geomapping for ideal placement of electric vehicle charging stations and infrastructure
• Purchase and installation of electric vehicle charging stations and equipment
• Enhancing commuter lots to encourage increased use of public transportation
• Strategies to reduce vehicle miles travelled, including the use of satellite offices, flex time,
telecommuting policies, and implementation of carpooling or vanpooling strategies
• Development and promotion of zoning and siting guidelines or requirements that promote
energy efficient development
• Implementing planning measures to improve transportation efficiency, including the
development and promotion of alternative transportation infrastructure, synchronizing traffic
17 For more information on micromobility devices and transportation systems, see:
https://highways.dot.gov/public-roads/spring-2021/02# and
https://nap.nationalacademies.org/catalog/26386/transit-and-micromobility
P a g e | 19
signals, and mapping the ideal placement of vehicle charging and other alternative fueling
infrastructure
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint #5: Unlocking Sustainable Financing Solutions for Energy Projects and Programs –
Revolving Loan Funds
ITEMS TO CONSIDER
• For a project to qualify for EECBG Program funds under Category 7, its focus must be for the
conservation of transportation fuel within the jurisdiction of the eligible entity.
• Consider equity and environmental justice in determining placement of EV charging stations and
ensure stations are affordable and accessible to all residents (including multifamily households),
to promote equitable access to electric vehicle charging infrastructure.
• An alternative fuel vehicle (AFV) refers to a vehicle that does not rely on traditional gasoline, but
rather other power sources, including battery electric vehicles (BEVs), plug-in hybrid vehicles
(PHEVs) and hybrid vehicles. Vehicles utilizing biodiesel, ethanol, or natural gas are also
considered alternative fuel vehicles.18 When determining AFVs for purchase, be sure to consider
which have the lowest carbon emissions and operational costs.
• Complementary federal funding for transportation efficiency and electrification measures may
become available from additional programs, including grant programs administered by DOE, the
DOE/DOT Joint Office of Energy and Transportation, the U.S. Department of Transportation, and
the U.S. Environmental Protection Agency.
• Many current state and federal programs offer funds for the development and placement of
electric vehicle charging. Efforts to place additional alternative fueling infrastructure should be
in coordination with these programs to ensure rural and disadvantaged communities and
households not yet being served are prioritized.
18 For additional information on alternative fuel vehicles by fuel type and technology, visit the Alternative Fuels
Data Center at: https://afdc.energy.gov/.
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Category (8) Building Codes and Inspection Services
STATUTORY LANGUAGE
Development and implementation of building codes and inspection services to promote building energy
efficiency
PROGRAM GUIDANCE
• The activity must be for the development, adoption and/or implementation of building codes,
inspection services or trainings/workshops to promote building energy efficiency.
• Programs for development, adoption and implementation of stretch codes that exceed baseline
energy codes, such as green building standards, are eligible under this category.
• The development of energy efficiency rating and/or labeling systems for the purpose of
promoting energy efficient devices, equipment, or buildings are eligible under this category.
• The activity must occur within the jurisdiction of the eligible entity.
EXAMPLE ELIGIBLE ACTIVITIES
• Adoption and implementation of building energy codes, including supporting the adoption and
implementation of model building energy codes or stretch codes for energy efficient residential
and commercial buildings
• Training and certification support for architects, builders, building inspectors, code officials, and
other stakeholders that are responsible for implementing building codes
• Development, adoption, and implementation of a Building Performance Standard, including
benchmarking and disclosure requirements
• Conducting an energy code field study, which would document typical design and construction
practices, target areas for improvement through workforce education and training initiatives,
and quantify energy efficiency and environmental impacts in buildings
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint #2D: Building Performance Standards & Stretch Codes
• The Office of Energy Efficiency and Renewable Energy (EERE) provides technical assistance
grants to support the implementation of updated building energy codes to encourage more
efficient and resilient buildings. For more information on EERE funding opportunities and
resources available to support implementation of updated building energy codes, visit: the EERE
Building Codes webpage.
• The Office of State and Community Energy Programs (SCEP) plans to provide technical assistance
grants to assist states and units of local government that have authority to adopt and
implement the latest model energy codes (i.e., 2021 IECC & ASHRAE Standard 90.1-2019), zero
energy building codes, or other codes or standards that achieve equivalent or greater energy
savings. Up to $1 billion in funding is available, through 9/30/29.
• The DOE Building Energy Codes Program provides $225 million in technical assistance grants to
support building code development and implementation, as well as promoting alignment about
building codes and performance standards.
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ITEMS TO CONSIDER
• The legal authority for local government entities to develop, adopt, or implement more
stringent building energy codes varies by state, with some states prohibiting or limiting local
code adoption, whereas others delegate code adoption to local jurisdictions. Other states may
provide either a uniform model Stretch Energy Code for municipal adoption, or Reach Codes,
which provide optional standards for energy efficiency that exceed the state’s mandatory code
requirements.19 The DOE Building Energy Codes Program (BECP) provides information on state
and local code adoption, including information on the status of code adoption by state20 and
state code adoption laws (which also includes status of code adoption by jurisdiction).21 BECP
has also developed stretch code modules based on technologies, measures, or practices (or
optimized combinations) that can be adopted as a stretch code or directly into state and local
building energy codes.22
• Due to the limited capacity of local code enforcement officials, eligible entities may consider
energy codes with alternative compliance pathways or explore strategies to reduce building
officials’ workload, such as third-party enforcement procedures.
• Prioritize resources to increase inspection capacity in historically energy-burdened and
disadvantaged communities as identified using the Justice40 tools, such as CEJEST.
19 For additional information on stretch and reach codes, see Stretch Codes (Advanced Codes) - New Buildings Institute. https://newbuildings.org/code_policy/stretch-codes-advanced-codes/
20 BECP Status of State Energy Code Adoption: https://www.energycodes.gov/state-portal
21 BECP Municipal Building Energy Policies: https://public.tableau.com/views/Top100MetroDatabase-
PrimaryCityCode-V4/MetroResidentialCodeMinandHR_1?:language=en-
US&:display_count=n&:origin=viz_share_link
22 BECP Stretch Codes: https://www.energycodes.gov/stretch-codes
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Category (9) Energy Distribution Technologies
STATUTORY LANGUAGE
Application and implementation of energy distribution technologies that significantly increase energy
efficiency, including—
A. Distributed resources; and
B. District heating and cooling systems
PROGRAM GUIDANCE
• The application and implementation of energy distribution technologies that significantly
increase energy efficiency, including distributed resources and district heating and cooling
systems.
• The activity must result in a significant increase in energy efficiency within the jurisdiction of the
eligible activity.
EXAMPLE ELIGIBLE ACTIVITIES
• Microgrid technologies
• District heating and cooling systems
• Combined heat and power systems (CHP)
• Cogeneration systems
• Energy Storage systems
TECHNICAL ASSISTANCE OPPORTUNITY
• Blueprint: Solar + Storage: Power Purchase Agreements and Direct Ownership
• Blueprint 6: Unlocking Sustainable Financing for Energy Projects and Programs - Revolving Loan
Funds
• Resources around CHP are available from DOE Better Buildings Program can be found here.
• Resources around grid modernization are available through the DOE Grid Deployment Office
can be found here.
• Additional technical assistance around specific technology areas may be available through
various DOE offices and national laboratories. For the latest, visit the EECBG Technical
Assistance webpage.
ITEMS TO CONSIDER
• Renewable energy, storage, and CHP can provide revenue streams while grid-connected, and
these energy and cost savings may lower the overall cost of a microgrid and allow for the
incorporation of additional microgrid components. When integrated into a microgrid,
distributed energy technologies can also increase survival time during a grid outage when fuel
supplies are limited.
P a g e | 23
• Implementing energy efficiency measures in conjunction with renewable energy, storage,
and/or CHP can reduce the cost of each of these systems by allowing a smaller system to meet
the reduced energy needs of the facility.
• Leverage federal tax incentives where feasible, such as the Inflation Reduction Act Home Energy
Credits.
• CHP technologies are most applicable to sites that have a reliable gas supply and steady thermal
and electric loads such as industrial operations; commercial operations such as hospitals,
nursing homes, or hotels; and institutional and residential sites such as schools, universities,
prisons, or multi-family buildings. If CHP with gas is considered, be sure to consider the expected
lifetime of the CHP system and how it aligns with broader jurisdictional goals in existing climate
and/or sustainability plans.
• Consider district heating configurations that further reduce emissions, such as combined
renewable energy configurations (e.g., solar, wind, steam, sustainably sourced fuels) and power
systems or geothermal district heating.
• Prioritize sites that directly serve the community and that provide one or more infrastructure
and services to the community, such as community centers, water and wastewater treatment
facilities, police and fire stations, schools, libraries, and other facilities. These sites could benefit
from microgrid, CHP and/or storage systems by lowering energy costs and enhancing
community resilience, such as providing backup power or emergency shelter in the event of a
natural disaster or extended power outage, especially when combined with onsite renewable
investments described in Category 14.
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Category (10) Material Conservation Programs
STATUTORY LANGAUGE
Activities to increase participation and efficiency rates for material conservation programs, including
source reduction, recycling, and recycled content procurement programs that lead to increases in
energy efficiency
PROGRAM GUIDANCE
• The activity must be for the purpose of increasing the participation in and/or the efficiency rates
of a material conservation program (e.g., source reduction, recycling, and recycled content
procurement programs); and
• The activity must occur within the jurisdiction of the eligible entity.
• If the activity is a recycled content procurement program within the jurisdiction of the eligible
entity, there must be an associated increase in energy efficiency and/or conservation of fuel.
EXAMPLE ELIGIBLE ACTIVITIES
• The cost of vehicles required for a materials conservation/recycling program, such as recycling
trucks
• Municipal waste reduction programs, including education and outreach
• Establishing or expanding policies and programs for materials reuse and recycling, including
equipment and facilities and associated tracking and reporting systems.
• Organic and food waste recovery and recycling via food waste recovery programs, and organics
recycling, such as composting, and anaerobic digesters for clean renewable electricity
generation)
• Expanding infrastructure and/or participation in existing recycling programs
ITEMS TO CONSIDER
• Consider the energy consumption associated with producing and recycling different materials,
as well as the environmental implications of their disposal.
• Consider coordination with other local jurisdictions to develop facilities that can serve multiple
jurisdictions.
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Category (11) Reduction, Capture, and Use of Landfill Gases
STATUTORY LANGUAGE
The purchase and implementation of technologies to reduce, capture, and, to the maximum extent
practicable, use methane and other greenhouse gases generated by landfills or similar sources
PROGRAM GUIDANCE
• The activity must be for the purchase and implementation of technology, for the purpose of
reducing, capturing, or using methane or other greenhouse gases generated by landfills or
similar sources; and
• The activity must occur within the jurisdiction of the eligible entity.
EXAMPLE ELIGIBLE ACTIVITIES
• Reducing the carbon emissions of landfills or similar waste-related sources, including
wastewater treatment plants, operations producing food waste, dairy farms, and other animal
operations, through measures to reduce, capture and use methane and other greenhouse gases
• Anaerobic digestion systems
• Utilization of landfill gas for electricity generation
• Direct use of landfill gas to offset the use of other fuels
• Conversion of landfill gas to renewable natural gas
ITEMS TO CONSIDER
• Activities in this category may present an opportunity to lessen the burden of environmental
regulatory requirements through the reduction, capture, and use of landfill gases.
• Cogeneration systems, like those discussed in Category 9 of this document, can use landfill gas
to generate electricity and thermal energy.
• Additional information, including tools and resources for reducing or avoiding landfill methane
emissions, is available from the U.S. EPA’s Landfill Methane Outreach Program (LMOP).
Additional information on renewable natural gas systems and a database of renewable natural
gas projects are available from the Alternative Fuels Data Center and the Renewable Natural Gas
Database.
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Category (12) Replacement of Traffic Signals and Street Lighting
STATUTORY LANGUAGE
Replacement of traffic signals and street lighting with energy efficient lighting technologies, including—
A. Light emitting diodes; and
B. Any other technology of equal or greater energy efficiency
PROGRAM GUIDANCE
• The activity must be for the replacement of traffic signals, street lights23 or street signs;
• The replacement of traffic signals or street lights must be light emitting diodes (LEDs) or other
technology of equal or greater energy efficiency. Traffic signals and street light replacements
may include solar panels that power the street lights so long as the panels are part of a
replacement effort that installs LEDs or other technology of equal or greater efficiency for
lamps;
• Generally, only the cost of replacement lamp is eligible unless replacement/upgrade of
supporting structure (e.g., posts) is necessary to support the replacement of the lamps.
• The activity must occur within the jurisdiction of the eligible entity.
EXAMPLE ELIGIBLE ACTIVITIES
• LEDs and any other technology of equal or greater energy efficiency
• Computerized traffic management systems, installed on street lights, to minimize vehicle-based
traffic congestion during peak driving hours
TECHNICAL ASSISTANCE OPPORTUNITY
• The Better Buildings Outdoor Lighting Accelerator Toolkit provides tools and resources,
including a decision tree for upgrading or replacing public outdoor lighting systems, technical
support resources, and lessons learned.
• The Municipal Solid-State Street Lighting Consortium (MSSLC) helps local governments make
informed decisions on the purchase of LED street lighting and maximize the energy savings.
Resources include lighting specifications, financing resources, technical reports, presentations,
and FAQs on outdoor street lighting, including resources on lighting selection and design
considerations.
ITEMS TO CONSIDER
• The replacement of a lighting fixture, an arm, a pole, or any part of a light is an eligible use of
funds if the more efficient lighting technology necessitates such a replacement. However,
regular maintenance is an ineligible cost. For example, EECBG Program funds cannot be used to
replace a rotten pole due to insufficient maintenance. LED lights should be procured with strong
23 A “street light” is an outdoor source of light that is raised and that is intended to provide functional illumination
to the area below the light.
P a g e | 27
warranty terms and meet certifications (e.g., ENERGY STAR or otherwise) to ensure energy
performance, longevity and lighting quality over time.
• When considering which locations to make street light improvements, consider incorporating
approaches to ensure equitable access to street light improvements, such as scoring criteria that
consider equity, safety, and access.
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Category (13) On-site Renewable Energy On or In a Government Building
STATUTORY LANGUAGE
Development, implementation, and installation on or in any government building of the eligible entity of
onsite renewable energy technology that generates electricity from renewable resources, including—
A. Solar energy;
B. Wind energy;
C. Fuel cells; and
D. Biomass.
PROGRAM GUIDANCE
• The activity must be for the development, implementation, and installation of onsite renewable
energy technology (e.g., solar energy, wind energy, fuel cells, or biomass);
• The installation of the renewable energy technology must be on, in or under a government
building24 of the eligible entity (the renewable technology is considered installed on a
government building if it is installed on a government-owned site and connected to the
government building behind the meter); and
• The renewable energy technology must be for the generation of electricity, or result in more
efficient heating/cooling. The renewable energy source need not provide a building’s entire
electricity usage and not all of the electricity needs to physically go into the government
building.
• The installation of renewable energy technologies on commercial buildings, or other non-
government buildings or sites, is not an eligible use of funds under Category 13. Renewable
energy technologies, however, are eligible for installation on non-governmental buildings under
Category 14, as part of programs for financing and installing energy efficiency, renewable
energy, and zero emissions transportation systems, including financing programs, grants,
incentives or rebates.25
EXAMPLE ELIGIBLE ACTIVITIES
• Financing mechanisms that enable this activity such as power purchase agreements for solar PV
installations on multiple government buildings
24 For the purpose of eligible under the EECBG Program, “government building of the eligible entity” generally
means a building built by or for the use of the government that is the grantee/recipient of award funds. This
includes buildings owned or leased by the eligible entity. This does NOT include state, Federal, or other
government buildings that are not government buildings of the eligible entity.
In the case of tribal governments, exclusions from the definition of tribal government buildings are privately
owned tribal housing and commercial buildings; facilities owned by 501(c) (3) entities (unless the organization was
chartered and delegated by the Tribe to act on its behalf); and those owned by a Federal Agency (e.g., U.S.
Department of Housing and Urban Development, U.S. Department of the Interior, Bureau of Indian Affairs, etc.) 25 Entities proposing to purchase and install renewable energy technologies on government buildings may include
the proposed activities under either Category 13 or 14.
P a g e | 29
• Installation of renewable energy technologies (e.g., solar energy, wind energy, fuel cells, or
biomass) at or on government property
TECHNICAL ASSISTANCE OPPORTUNITY
• Blueprint 4A: Solar + Storage - Power Purchase Agreements and Direct Ownership
• Blueprint 4D: Renewable Resource Planning
• National Renewable Energy Lab provide technical assistance to Local Governments around
Waste-to-Energy
• Additional technical assistance around specific technology areas, including solar, may be
available through various DOE offices and national laboratories. For the latest, visit the EECBG
Technical Assistance webpage.
ITEMS TO CONSIDER
• In addition to locational and structural characteristics (such as roof conditions, shading,
orientation, etc.), considering the projects’ proximity to electrical infrastructure is critical for
solar and wind projects (behind-the-meter projects exempted).
• Leveraging eligible energy efficiency and conservation activities can reduce the cost of on-site
renewable energy investments by meeting a government building’s energy requirements with
less on-site generation capacity.
• Activities under this category should align with the local policy context, including siting
limitations; utility-specific requirements for interconnections; state policies and programs such
as renewable energy credits, rebates, and net metering; and available federal incentives,
including tax credits.26
• Prioritize sites that directly serve the community and that provide one or more infrastructure
and services to the community. For example, consider community centers, water and
wastewater treatment facilities, police and fire stations, schools, libraries, and other facilities
that could benefit from on-site renewable energy systems by lowering energy costs, and
enhancing community resilience, such as providing backup power or emergency shelter in the
event of a natural disaster or extended power outage (including when combined with energy
storage systems, as described in Category 9).
26 Consider exploring siting resources provided by the National Renewable Energy Laboratory, such as the Clean
Energy to Communities Program.
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Category (14) Programs for Financing, Purchasing, and Installing Energy Efficiency, Renewable
Energy, and Zero-emission Transportation (and associated infrastructure) Measures and Capital
Investments, Projects, and Programs
STATUTORY LANGUAGE
Programs for financing energy efficiency, renewable energy, and zero-emission transportation (and
associated infrastructure), capital investments, projects, and programs, which may include loan
programs and performance contracting programs, for leveraging of additional public and private sector
funds, and programs that allow rebates, grants, or other incentives for the purchase and installation of
energy efficiency, renewable energy, and zero-emission transportation (and associated infrastructure)
measures
PROGRAM GUIDANCE
• This category may include the purchase and deployment of energy efficiency, renewable energy,
and zero emissions technologies. This may include technologies that promote the electrification
of buildings and transportation.
• Projects and programs in this category include efforts to develop and/or implement programs
that encourage and promote the use of energy efficiency, renewable energy, and zero emissions
technologies. These programs may also include financing and loan programs to support energy
efficiency, renewable energy, and zero emissions transportation.
• Projects may leverage public and private funds, including partnerships with third-party lenders,
co-lending, third-party administration of loans, loan loss reserves, and partnerships with
utilities.
• Equipment acquisitions and installations for infrastructure projects will be subject to restrictions
and review as outlined in statute under the National Environmental Protection Act (NEPA). NEPA
will apply to equipment acquisition and installation, and to all other activities outlined in the
Administrative and Legal Requirements Document.
• Equipment acquisitions and installations may also be subject to restrictions and review as
outlined in statute under the Build America, Buy America Act (BABA). When necessary,
exemptions under BABA may be possible.
EXAMPLE ELIGIBLE ACTIVITIES:
Transportation:
• Infrastructure development to support electric vehicles (EV), EV charging stations, rural EV
infrastructure, and increasing EV charging access in underserved communities and communities
with high energy burdens
• The purchase or lease of zero-emission vehicles, including electric buses, bikes, and scooters, as
well as the acquisition, construction, and leasing of required supporting facilities
Energy Efficient & Renewable Technology
• Pre-development planning costs for further energy efficiency and conservation projects and
programs.
P a g e | 31
• Infrastructure improvements to support the deployment of energy efficiency measures,
renewable energy, and sustainable transportation
• The purchase, deployment, and infrastructure development of energy efficient and renewable
energy technologies, including projects occurring in or on non-government buildings or privately
owned land and facilities.
• The purchase and deployment of a battery storage system if combined with a renewable energy
generation system and/or energy efficiency at government and/or non-government buildings or
facilities
• Grid modernization efforts necessary to support renewable energy and electrification initiatives,
such as upgrading metering infrastructure, grid-interactive equipment and appliances, and
interconnection of local renewable energy systems (e.g., community solar systems, wind
turbines and other renewable energy systems)
Clean Energy Programs
• Loan programs, such as revolving loan funds, on-bill financing programs, energy savings
performance contracting, or solar lending programs
• Credit enhancements, such as loan loss reserves and financial incentives, interest rate buy
downs, or rebates
• Programs for public education, training, workshops, technical assistance, measurement and
verification, and energy management systems to support the use of energy efficiency,
renewable energy and zero emissions transportation
• Innovative deployment and financing models for renewable energy, including community solar
and solarize campaigns
TECHNICAL ASSISTANCE OPPORTUNITIES
• Blueprint 2A: Energy Efficiency – Energy Assessments and Building Upgrades
• Blueprint 2B: Efficiency and Electrification of Buildings -- Energy Savings Performance Contracts
• Blueprint 2C: Building Electrification Campaign
• Blueprint 3A: Solar + Storage - Power Purchase Agreements and Direct Ownership
• Blueprint 3B: Community Solar
• Blueprint 3C: Solarize Campaign
• Blueprint 3D: Renewable Resource Planning
• Blueprint 4A: Electric Vehicles and Fleet Electrification
• Blueprint 4B: EV Charging Infrastructure for Communities
• Blueprint 5: Unlocking Sustainable Financing Solutions for Energy Projects and Programs –
Revolving Loan Funds
• Blueprint 6: Workforce Development
• Additional technical assistance may be available through various DOE offices and national
laboratories. For the latest, visit the EECBG Technical Assistance webpage.
P a g e | 32
ITEMS TO CONSIDER
• Community solar projects mitigate some of the physical and siting barriers to solar installation
by enabling multiple subscriber customers to receive bill credits for electricity generated from
solar power without having to host a solar installation on their property. DOE resources for
community solar projects are available through the National Community Solar Partnership.
• Seek opportunities to leverage EECBG Program funds with private capital or design programs to
deliver ongoing energy savings by reinvesting funds from loans or energy savings (e.g., a
municipal revolving loan fund or energy savings performance contracting).
• Larger-scale installation projects may require extended time to go through the NEPA review and
approval process. Be sure to schedule in ample time for this important process.
• Entities pursuing EV charging projects under this category should consider strategies to ensure
equitable distribution of EV infrastructure to disadvantaged communities. Likewise, EV charging
placement would ideally align with other state and federal efforts per category 7 above.
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LIMITATIONS ON THE USE OF EECBG PROGRAM FUNDS
There are several limitations on the use of EECBG Program funds. Eligible entities must consult their
award agreements for more information about those limitations.
Limitations for funds:
Local and tribal governments:
• Use up to 20 percent or $250,000, whichever is greater, of the grant funds for the establishment
of revolving loan funds.
• Use up to 20 percent or $250,000, whichever is greater, of grant funds for the provision of sub-
grants to nongovernmental organizations for the purpose of assistance with overseeing,
establishing, and monitoring the EECBG Program activities of the applicant.
Sub-granting Requirements & Notes:
o This limitation applies only to subgrants. Sub-contracts to address specific needs of the
recipient to fully implement its energy efficiency and conservation strategy are not
bound by this limitation, subject to approval by DOE. However, recipients must ensure
that the majority of the grant funding is used to achieve the objectives of their EECBG
Program grant.
o In addition, funding that is intended to be used for implementation of measures
described in the recipients EECS and / or grant award may be passed-through a support
subgrantee without counting against the limitation on subgrants.
o All pass-through entities are responsible for administration of sub-granted funds,
including flow-down requirements (i.e., award special terms & conditions), monitoring
and oversight and reporting on sub-grantee activities.27
• Use up to 10% or $75,000 of their funds for administrative expenses (excluding the cost of the
reporting requirements).28
States and territories:
• Are required to subgrant not less than 60% of the amount provided to the State to ineligible
local governments within the state.
o American Samoa, Guam, Hawaii, the Commonwealth of the Mariana Islands, the District
of Columbia, and the U.S. Virgin Islands are exempt from the 60% sub-grant
requirement.
• Use up to 10% of their funds for administrative expenses.
27 Requirements for pass-through entities may be found in 2 CFR 200.332.
28 Grantees should use their established definitions of “administrative expenses”. States may not use more than 10
percent of amounts provided under the program for administrative expenses (42 USC 17155 (c)(4)). Units of local
government and Indian tribes may not use more than 10 percent or $75,000, whichever is greater, for
administrative expenses (42 USC 17155 (b)(3)(A)). EECBG funds may be used for compensation of employees or
contractors. Whether or not the administrative cost cap applies depends on the nature of the responsibilities of
the staff hired. Administrative activities are those that cannot be identified with any single program but are necessary to the general conduct of the activities of the entity organization; this could include such items as the
overall direction of the organization, record keeping, budgeting, and business management.
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Programs or Activities Using American Recovery and Reinvestment Act (ARRA) funds:
For recipients that are administering programs or activities through EECBG Program funds received
under ARRA, such as financing programs, the ARRA prohibitions on use of funds still apply. Specifically,
ARRA prohibits, without exception, the use of funds for any casino or other gambling establishment,
aquarium, zoo, golf course, or swimming pool. Any buildings or infrastructure supporting the above
establishments are also ineligible.
Questions regarding the eligibility of a specific activity, measure, or program under the EECBG Program
should directed to the EECBG Program Project Officer assigned to your award.
Michael Li
Acting Deputy Director, Community Energy Programs
Office of State and Community Energy Programs
/s/ Michael Li