Extends green residential building grant program until 2018

Title of bill

An act to amend chapter 631 of the laws of 2008 amending the public authorities law relating to establishing a green residential building grant program, in relation to extending the application period for such grant program

Purpose

This bill would extend the "green residential building" grant program to encourage the construction of new homes, and the renovation of existing homes, consistent with green residential building standards established by the New York State Energy Research and Development Authority (NYSERDA).

Summary of provisions

Section 1 of this bill would extend the NYSERDA green residential building grant program to October 31, 2018.

Section 2 is the effective date.

Justification

In 2008, the state enacted the green residential building grant program to help encourage the construction of green residential buildings. This bill would extend the program to October 31, 2016.

The design, construction and maintenance of residential buildings can have a significant impact on our environment and natural resources. It has been estimated that buildings are responsible for approximately 40% of greenhouse gas emissions produced in the United States. Residential buildings account for approximately 20% of total U.S. greenhouse gas emissions, as well as 74% of water use and 21% of energy consumption nationwide.

Green building practices can reduce the production of greenhouse gases, lower energy costs, and reduce the use of natural resources. They can also lower material costs, reduce waste, improve indoor air quality, and reduce indoor and outdoor pollution.

This bill extends the green residential building grant program to continue to provide incentive payments to owners that will encourage the use of green building practices both in new home construction and also in the renovation of existing residences. The financial incentives will help offset the added costs of integrating "green" or "sustainable" features, which typically increase construction costs by approximately five percent. A greater reliance on green products will also strengthen the demand for these products and benefit our economy.

NYSERDA administers this grant program and develops the standards for it. The amount of the grants are based on a number of considerations, including the size and the type of the residential structure, but may not exceed $7,500 for one-family and two-family homes, $11,250 for residential buildings with three to six dwelling units, and $15,000 for residential buildings with more than six dwelling units. In addition to these limitations, no single owner, such as a developer of multiple qualified residential buildings who is a qualified owner, may receive more than $120,000 in incentive payments during any calendar year.

Fiscal implications

The bill will not have an impact on the State budget because the costs of the program will be covered by NYSERDA. The total cost to NYSERDA will depend upon the number of applications received and the size of the financial incentives awarded.

Effective date

This act shall take effect immediately.