Energy Efficient Manufactured Housing Act of 2009 (S. 1320)

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Policy Summary
Manufactured Home

On August 5, 2010, Senator John Tester’s (D-Mont.) Energy Efficient Manufactured Housing Act of 2009 (S. 1320) passed the Committee on Energy and Natural Resources. This bill aims to upgrade the manufactured housing stock by providing financial incentives to replace older, inefficient manufactured homes with Energy Star-qualified homes. By focusing on low-income Americans, the bill would bring home efficiency to a cash-strapped set of homeowners, for whom long-term energy bill savings would make a real difference.

Legislative Summary

The Energy Efficient Manufactured Housing Act would provide rebates of up to $7,500 for manufactured homeowners seeking to replace older manufactured homes with Energy Star-qualified manufactured homes. To qualify, the manufactured home being replaced must have been constructed before 1976, and must be used as a primary residence on a year-round basis. The bill also requires that the new home be placed in the same general location as the previous home, which is to be retired with appropriate recycling. Further, the household income of those receiving the rebate may not exceed twice the Federal poverty income level of the area.

The program would be administered by state agencies, and states may choose to supplement the federal $7,500 rebate with additional funds from the state or private donors.

The Senate bill does not specify a funding amount for the program, but the House-passed bill (H.R. 5019, below) would appropriate $1 billion over three years.

Impacts

As a result of the home age and primary residency requirements, the homes that the bill would replace are among the most inefficient on the market, and the potential year round energy savings are substantial. According to the Manufactured Housing Institute, this bill could save participating households $1,800 per year on energy costs, and create more than 51,000 U.S. jobs by generating more than $8 billion in construction related spending.;

Prospects

In the House of Representatives, a modified companion bill (H.R. 1749) was added to the Home Star Energy Retrofit Act of 2010 (H.R. 5019), which passed the House on May 6, 2010. In the Senate, the committee-passed Energy Efficient Manufactured Housing Act could be added to comprehensive energy legislation, added to a Home Star proposal, or moved as a standalone bill.