Madelyn Lazorchak
09/26/2024
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The list of acronyms seems endless. So does the list of rules, requirements and funding for environmentally sustainable housing  —  housing that reduces the owner or renter's carbon footprint through construction, appliances, energy resources and more.

Students go in depth during the boot camp.NeighborWorks America’s goal? To make sure nonprofit practitioners have the know-how to access the funding that has not yet been disbursed by exploring the Inflation Reduction Act and beyond.

Fred Dodson, chief operating officer and executive vice president of real estate for DreamKey Partners, a NeighborWorks network organization in Charlotte, North Carolina, says his staff was finally ready to make the move to more sustainable affordable housing. But they needed strategic help. NeighborWorks provided that help by pairing his organization with Housing Sustainability Advisors (HSA) to take the next step.

Now, Dodson is waiting to hear whether he’ll get the grant HSA identified – a grant that will help his nonprofit fund a new power-source for Anita Stroud Senior Apartments. The property, which includes more than 80 homes, was in great shape, Dodson explains. “But it wasn’t all electric; it was served by a gas-powered boiler.” NeighborWorks’ assistance helped Dodson’s team apply for the grant — “not an easy application” — and support them through the prerequisites, including an environmental assessment.

Fred Dodson smiles at the camera.While staff wait to hear about the grant, DreamKey is working with HSA on other projects in their pipeline. “Not only are they helping us determine which solar incentives work for our future projects, but they’re also helping us size the installations,” Dodson says. “They’re helping us maximize the credit and maximize the energy generated for a new pipeline for multifamily homes. They’ll also look at our existing portfolio — about 3,000 units — and help us determine what retrofits will improve energy efficiency and take advantage of the new solar incentives.”

Before the sustainability work started, Dodson says, he had to convince construction staff and others on his team that it made sense, particularly when talking about solar. Some of the questions staff asked him: 

“Even though solar has been around for decades, there were still a lot of questions,” Dodson says. “But we’re beyond that now.” 

Dodson spoke during a course at a NeighborWorks Training Institute that focused on sustainability funding. As part of a peer-learning panel, he was also a student during the two-day course, part of what NeighborWorks billed as a “boot camp” for NeighborWorks network community lenders and affordable housing professionals working to understand Inflation Reduction Act opportunities. 

“I don’t know everything yet,” Dodson explains. “I’m still learning.”

So were the other participants. One student explained he had spent hour upon hour analyzing regulations related to the Green and Resilient Retrofit Program offered by the U.S. Department of Housing and Urban Development (HUD). “If someone could take 48 pages and condense them down to four,” he said, “that would help.”

Jared Lang, head of HSA and instructor in one of the two boot camps, said that was the point: To make the information attainable and to let community development nonprofits know there is money in this space that can make a difference for their communities and the planet. 

“I want to shout it from the rooftops,” he said.

Nora Cronin, director of real estate development for DevNW, came from Oregon to take the class along with her organization’s executive director. “I’m trying my best to understand the funding that’s available and make sure it doesn’t whiz past us.” She wants to tap into that funding to help with improvements for existing developments – and to help with new developments as well. “We deal with homeownership and we want to make our new homes energy efficient. But we also do multifamily rentals as well,” she explained.

Lang says there can be confusion about some of the opportunities available – and about how to stack those opportunities. 

Down the hall, a cohort of single-family lenders examined some of the rules on the lending side of the Inflation Reduction Act. These participants had just completed an eight-week course, delving into the subject. 

Eric Hangen, who taught that portion of the class, said he was impressed by the thoughtfulness that the participants in the “Green Home Improvement Lending” boot camp have put into developing their business plans. 

“They have been thinking through and making progress on a host of issues including how to advise homeowners on the best ways they can make their homes safer, more comfortable and more energy efficient; how to support contractors so they are able to meet the demand; and how to structure loan products that achieve equitable community impacts while sustaining the work of the organization,” he said. “Many have taken concrete steps to operationalize their programs such as forming new partnerships or applying for EPA funding."

During the NeighborWorks training, the network organizations examined their portfolios, filled in spreadsheets and filled in blanks. “We really want to figure out how to go after this,” Lang explained.

It's clear this type of funding, and access to it, will help many organizations fulfill their missions. And NeighborWorks intends to continue these key trainings and peer-learning opportunities at the next NTI in February 2025 in Pittsburgh. The training staff will also offer an updated community engagement course, Taking Green Action in Your Community and the Multifamily Clean Energy Investment Playbook.

Lee Anne Adams, NeighborWorks’ senior vice president, National Initiatives, says not every type of project or funding will work for every organization. “But if it can make sense — and help improve affordability, sustainability and health outcomes for low-income and disadvantaged communities — let’s figure out a way to make it work. NeighborWorks wants to help you navigate the web of opportunities.”

In September, NeighborWorks America announced another $700,000 in grants to support lenders and developers as they continue their readiness and planning for IRA resources.