Borough officials lay foundation for energy program

Published Monday, May 5, 2008

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Fairbanks North Star Borough officials plan to set up a new program to manage more than $8 million in state money aimed at helping make existing homes more energy efficient.

The borough hopes to declare a public emergency — stemming from the skyrocketing cost of heating buildings and fueling cars — at a special meeting Thursday night, when Mayor Jim Whitaker and Borough Assembly member Kelly Brown will also propose setting aside $1.3 million, a combination of borough general funds and state aid, for a large-scale alternative energy project.

Public officials estimate the cost of space heating, electricity and transportation have more than doubled, collectively, for businesses and residents over the past four years, an issue Brown and Whitaker refer to in an ordinance scheduled to be heard Thursday as a “crisis of generational proportions.”

“Borough citizens and businesses have struggled valiantly to pay for these life-sustaining necessities and the ... community cannot continue to pay these current rates, much less those anticipated in the immediate future,” Brown and Whitaker wrote.

Whitaker later added that agencies need to move quickly to stop the bleeding from high energy costs and protect the community against any future economic punches.

The borough is in line to get around $8.2 million from the Alaska Housing Finance Corp. to prepare to help reduce energy costs in homes, Whitaker said. The money will go toward training energy-raters and contractors in advance of a state-run effort this summer to reimburse property owners who take identified steps to boost their energy-efficiency at home, he said.

Thursday’s ordinance would create a borough-based Residential Energy Cost Reduction Program to help manage the money coming from the housing corporation and a separate program to help manage the energy project.

The assembly would redirect almost $300,000 from an old state grant — money the assembly set aside in January — and add another $1 million in general funds for a huge energy project aimed at converting coal and biomass to synthetic gas and liquid fuel. The Fairbanks Economic Development Corp. is reviewing proposals for the project.

Whitaker said he would report to the assembly biweekly with accounting figures under the programs.

Thursday’s special meeting is scheduled to begin one hour before the assembly’s 6 p.m. regular meeting.

Contact staff writer Christopher Eshleman at 459-7582.

Comments

  1. Bugger
    5/5/2008, 6:51 a.m.
    Suggest removal

    I'm from the government , and I am here to help you. $8,000000.00 to go "toward training energy-raters and contractors". PLEASE dont think we are that STUPID. We are going to "train" people to "rate" energy?? This will sure help me with my fuel bill this winter, as they pass another law outlawing wood stoves... but spending money makes them feel good so spend they will,, get out your pocketbook...

  2. LadyNYC
    5/5/2008, 6:54 a.m.
    Suggest removal

    This is excellent news! My thanks to the Borough, AHFC and FEDC for stepping up to the plate, and thanks for acknowledging that high energy costs are very much affecting many others besides low-income residents. I'll be at that meeting on Thursday.

  3. Fairbanksgas
    5/5/2008, 7:19 a.m.
    Suggest removal

    Let's follow the money. The legislature appropriated $300,000,000.00 dollars for this program. Of this $300 million, Fairbanks gets $8 million? Now we are going to spend $8.2 million to train energy raters to administer the program. How about giving homeowners $1000 gift cards to Home Depot or Lowe's and have you send in the receipt to prove that it was used on energy upgrades. I will be amazed if more than 1,000 people ever see anything from this program.

  4. 5050
    5/5/2008, 7:56 a.m.
    Suggest removal

    Something about this does not make sense. It is hard to believe over six million would be dedicated to training.

    Lets assume that there will be an improbable 100 new energy testers trained. Six million divided by 100 is $60,000 dollars each.

    EACH!

    You could send a kid to college for four years for that much money.

    A copy of the AHFC homebuilders energy book could be had for, what, $25 bucks each, and given to each 'trainee' who are told to read it, and pass a written test at the end...

    That would cost about $2,500 dollars. (100 x $25).

    None of this is making any sense.

    Maybe Chris could post his thoughts.

  5. suomi
    5/5/2008, 8:05 a.m.
    Suggest removal

    Someone needs to let the assembly in on the fact the State refused to declare Juneau an emergency status based on the reason for the emergency was a economic issue -- high fuel cost. It appears that the good old boys club is at it again with creating more government jobs. Home energy efficiency test are done by Golden Valley for about $40 a household. How many do you think the borough can do for $8 million?
    Maybe energy testers is just another term for "particulate testers" who will enforce more restrictions on the people of this borough. By the way Mr. Whitaker when is the IM testing ending, I could use the money to heat my house.

  6. h2os
    5/5/2008, 8:48 a.m.
    Suggest removal

    There is a difference between the GVEA energy audit (how you use energy) and an energy rating (a blower door test to determine where heat loss occurs). An energy rating is what gives you the "stars" on your home's energy efficency. That being said, I agree that the average Fairbanksan is getting screwed by the state. If I had $5,000 sitting around to buy energy efficient appliances or install new windows, why wouldn't I keep that for my fuel tank? If I purchased $10,000 worth of upgrades on credit, and the state take a year to reimburse me, who pays the finance charges? Who pays for the initial energy rating? Paying money to get money sounds too much like a get rich quick infomercial.

  7. LadyNYC
    5/5/2008, 9:05 a.m.
    Suggest removal

    Way to shoot down an idea before it's even been developed, folks! On one hand, I think it's great that people are criticizing, and I think that the people developing these programs need to hear your criticism. On the other hand, I'm dismayed by the negativity shown in this thread. While I'm no great fan of the Borough, give them credit where credit is due. They're the first governmental agency to step forward and address how this issue is affecting us in this region.

    Think of all the critiques you can, and SHOW UP at that meeting to let your voice be heard. Rip their ideas to shreds at the meeting, or afterwards . . .

    But at least listen to what they have to say, and let them hear what you have to say. Otherwise you're just blowing a bunch of negative hot air.

  8. suomi
    5/5/2008, 9:23 a.m.
    Suggest removal

    LadyNYC, for years the Interior Housing Weatherization Program program has been conducting home tests and helping low income families make their homes energy efficient. The idea and people doing something about it has been in Fairbanks a long time. This program already has testers. The assembly members may want to ask this program how much it cost to train a tester and share information on how the program works and at what cost.

  9. DistantThunder
    5/5/2008, 11:26 a.m.
    Suggest removal

    My apologies for building many of the 1970-76 vintage stick-framed homes in Fairbanks..
    but it was nearly the best we could do at the time.

    Nowadays I'm fond of AAC-concrete for building in Alaska..
    it's an old technology from Europe, but only recently catching on in America.
    Alaska has all of the resources to make AAC-concrete here, and would do well to benefit from the material's great arctic performance.
    goog--> AAC-concrete

    If I was in the market to buy another house in Fairbanks, I'd reject more than half of the houses on the market, maybe buy them for tear-downs.

  10. AlaskaCub
    5/5/2008, 12:44 p.m.
    Suggest removal

    So after 8 million dollars has been spent training testers exactly how will people get relief from the crunch of home energy prices? What if your in a 5 Star energy efficient house and you still are burning a half a mortgage's worth in heating oil each month, exactly what the heck is an energy rater gonna do for that???????

  11. honeyhi
    5/5/2008, 12:47 p.m.
    Suggest removal

    We just FULLY remodeled our home to make it prettier and more energy efficient. Does that mean I am out of luck with any help? The last time our house was remodeled was awhile back, as some of the parts and pieces we threw away had price stickers on them that said "Pay & Save". When did that store go out of business?

  12. citizenfbx
    5/5/2008, 2:20 p.m.
    Suggest removal

    It sounds like there are a lot of questions about this article. According to the article the 8 million is "in advance of a state-run effort" that will start this summer. It is only a small portion of the funding Fairbanks will receive for energy efficiency and weatherization. According to last Thursday’s Energy Focus article much of the 300 million is specifically for the existing weatherization program, which will be run by Interior Weatherization. From what I understand the 8 million dollars is to set a new program in motion for Fairbanksans who don't qualify for the existing low income weatherization funding.

    I think that it is great that our borough is trying to do something now before next winter comes.

  13. realdeal
    5/5/2008, 8:18 p.m.
    Suggest removal

    Well done Chritopher Eshleman, for looking at the alternatives, and reporting on them. You have more opininion than you know. touchee.

  14. realdeal
    5/5/2008, 8:30 p.m.
    Suggest removal

    I meant that as a compliment for reporting on a difficult issue. Chris

  15. st
    5/5/2008, 9:17 p.m.
    Suggest removal

    Would it be worth it to convert my oil-burning furnace to burn coal? Is the cost of heating with coal significantly less? I'll do it, if the result will be that I'll be able to afford to heat my house in the winter...

  16. Fairbanksgas
    5/5/2008, 9:26 p.m.
    Suggest removal

    The cost per million BTU's for coal is $4 compared to $30 for heating oil. I don't think that it is possible to convert an oil furnace to burn coal though. Coal furnaces and stoves could quickly pay for themselves if heating oil stay above $4 a gallon next winter.

  17. st
    5/6/2008, 6:38 a.m.
    Suggest removal

    Thanks for answering my question, Fairbanksgas. Coal is beginning to look awfully gold to me...

  18. Bugger
    5/6/2008, 7:14 a.m.
    Suggest removal

    Coal, did you say COAL?? Is that the black stuff that mountians are made of? But wait, what about acid rain, bla, bla, bla. How many years did America rule the world in manufacturing using COAL.. but we destroyed the world and put Al ( the internet inventor) Gore in charge and now COAL is a dirty word..so pay the price and be quiet

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