To align with the New York State Climate Leadership and Community Protection Act, the HCR Multifamily Finance 9% RFP includes an additional incentive for projects demonstrating commitment to carbon reduction. The Clean Energy Incentives for High Performance Projects is in its demonstration phase for projects who can access up to $12,500 per unit in additional funding who commit to higher sustainability standards.
Eligible projects include new or adaptive reuse projects with 200 units or less who can demonstrate a gap in financing to achieve HCR stretch sustainability standards. These standards include commitment to an all-electric carbon neutral ready building design with the use of high performance heat pumps for heating, cooling, and hot water systems, and extra efficiency in the building. Projects must either be submitting to the HCR 9% round of the HFA 4% bond financing programs and be able to demonstrate a gap in financing to achieve these high performance standards.
The projects must commit to certifying to Energy Star Multifamily New Construction with additional energy savings or to Passive House standards. As a sustainability partner with a mix of project experience, Sustainable Comfort and help teams decide whether their projects are a fit for this new program. Contact us today to see how your project may gain access to this program.
Frequently Asked Questions
+ Why we recommend teams first try to achieve NYSERDA New Construction - Housing standard offering program prior to accessing these Clean Energy Incentives?
- This extra clean energy incentive is only available to a select number of projects, they’ve indicated a minimum of 4 projects from this round may be selected. This may mean a highly competitive selection process for which projects qualify. We suggest trying to demonstrate you can meet the stretch sustainability standards using NYSERDA standard offering programs to achieve carbon neutral ready first.
- In order to qualify the current design must either be designed using fossil fuels, have partial electrification, or demonstrate a gap in financing. Therefore, this may only be available for projects who cannot meet the definitions of carbon neutral ready without additional incentives. NYSERDA already offers $4,000/unit in their standard Tier 4, and with HCR awarding 5 points for this pathway, projects that can meet the Tier 4 and cover the cost of increase may not be eligible for any gap funding.
- The team would be committing to enhanced design development oversight from HCR which could add time and oversight in design and slow permitting.
- Any existing NYSERDA New Construction or Buildings of Excellence Award would be removed from the project, so we suggest first attempting to fill the increased gap using the Tier 3 or 4 incentives currently available before requesting the additional clean energy gap funds.
+ Who should consider applying?
- Projects who can demonstrate a gap in costs above the standard NYSERDA NC-Housing Incentives to achieve Carbon Neutral Ready. This may include rehab projects where cost of upgrading equipment and envelopes is more costly.
- Projects who do not have the time to redesign their submission to meet these definitions, but would be willing to update their design to carbon neutral ready post award.
+ What is Carbon Neutral Ready?
- The term “Carbon Neutral Ready” refers to projects utilizing all electric systems for heating, hot water, and appliances (laundry, cooking, etc). The only allowance would be for gas generators, otherwise all systems need to be electric. Pairing with high efficiency envelopes, air-tight buildings, energy recovery ventilation, and on-site energy generation provides efficient operations, reduced utility costs, and more durable projects.
+ Why is the state doing this and what else do you get from these programs?
- New York has committed to one of the most stringent greenhouse gas reduction goals to meet the Paris Climate Accord. Eliminating fossil fuels is a core part of this goal, as is reducing energy use, and providing equitable access to clean, healthy, and affordable housing. Efficient buildings can be healthier for tenants, quieter, more durable, as well as more efficient.