Minnesota Housing Finance Agency energy conservation, decarbonization, and climate resiliency grants

How it works

Section 462A.05, subdivision 15b authorizes the Minnesota Housing Finance Agency to make grants for existing owner-occupied housing to support energy conservation, decarbonization, climate resiliency, and other qualified projects.

What the money covers

The statute lists examples that can be funded, including:

• insulation,
• storm windows and doors,
• furnace or space heater repair, cleaning, or replacement,
• chimney construction or improvement,
• weatherstripping and caulking, and
• structural or other directly related repairs or installations essential for these projects.

Amounts and repayment

The grant to any household may not exceed $2,000.

Emergency grants

For an emergency energy conservation, decarbonization, and climate resiliency grant, the household must be certified as eligible to receive emergency residential heating assistance under either the federal or state program. In addition, the household must meet one of these two tests:

• the household’s heating cost for the preceding heating season exceeded 120% of the regional average for that energy source, as determined by the commissioner of employment and economic development, or
• the household is eligible for a federal energy conservation grant but cannot receive it because it needs directly related repairs that the federal program will not pay for.

The agency must make a reasonable effort to determine whether other state or federal loan and grant programs are available and adequate to finance the intended improvements. The statute also says an emergency energy conservation grant may be combined with grants or loans from other state or federal programs that pay for needed rehabilitation work.

Program interaction

Receiving a grant under this subdivision does not affect eligibility for other Minnesota Housing Finance Agency loan or grant programs.