HOUSING
A worker from the Central New Mexico Housing Corporation blows insulation in the attic of an eligible home.
Overview of Housing Projects Funded by the Recovery Act
The Recovery Act provides a boost to the housing market and people who need help getting back on their feet.
Nearly $113 million will come to New Mexico for tribal housing projects, homelessness prevention, public housing and other projects.
The largest investment by far is more than $47 million from the Tax Credit Exchange Program, which will develop several affordable housing projects in northern and southern New Mexico. These projects were previously stalled from a lack of investors in the affordable housing market.
These projects will create jobs in the construction industry and help diversify the New Mexico real estate market.
HOUSING PROJECT
NM Energy$mart Weatherization Program
Funding Recipient: New Mexico Mortgage Finance Authority
Award: $26.8 million
Location: Statewide
Funding Agency: U.S. Department of Energy
For the last 12 years, MFA has administered about $5 million a year for New Mexico Energy$mart, New Mexico's weatherization program. Under the American Recovery and Reinvestment Act of 2009, MFA will receive an additional $26.8 million for weatherization services throughout the state. The new funding means that more than 2,100 homes will be weatherized every year for the next three years, which is almost double the number of homes previously weatherized
In addition, families at or below 200 percent of the federal poverty level – $44,100 for a family of four – will now be eligible to apply for assistance, up from 150 percent. Also, the federal dollars will allow MFA's service providers to perform up to $6,500 in weatherization services in each home, up from the previous limit of $3,000.
Families that have their homes weatherized can expect to save about 32 percent in gas heating costs and 15 percent in energy costs per year. The savings will be particularly important to low-income families, who typically spend about 14 percent of their income on utility expenses compared to 5 percent in middle-income families. Based on an evaluation of the home, weatherization services may include replacing broken windows, installing insulation, repairing or replacing heating units, replacing high-energy consuming refrigerators, weather-stripping and caulking around doors and windows and replacing incandescent light bulbs with compact fluorescent lamps.
MFA anticipates that stimulus funding will allow its four service providers to hire 34 new weatherization technicians and retain 56 existing positions. In addition, an estimated 95 new sub-contractors will be hired by service providers and 24 current sub-contractors will be retained.
Source: New Mexico Mortgage Finance Authority
RECOVERY DOLLARS AT WORK
For more than a decade, contractor David Bates had more work than he could handle. Then the Great Recession hit. Work slowed down, and he started looking for options other than house building.
Bates lives in Taos County in Northern New Mexico. The construction business has taken a hit, he says, and his company is no exception.
But thanks to the Recovery Act, Bates and his company – Ecosphere, Inc. – have been able to stay afloat with weatherizing homes and making them more energy efficient.
“Basically, it put us all to work,” Bates said of the Recovery Act.
On a recent day in March 2010, seven workers were out in the field weatherizing homes in Northern New Mexico. After homeowners qualify for the program, an inspector from the nonprofit Los Amigos E.R.C. arrives to assess the energy efficiency needs of each home. (Los Amigos manages the weatherization program in northern New Mexico.) After this assessment, crews from Ecosphere arrive to perform a variety of weatherization jobs. Examples include replacing doors and windows, installing insulation, replacing light bulbs and sealing the house from air leaks to make it more energy efficient.
Bates is clearly proud of the work his company is doing, not only because it employs skilled craftsmen out of work, but because it makes America and Northern New Mexico more energy efficient and independent.
New Mexico will receive about $26.8 million to weatherize homes.
In addition to the seven workers that travel to weatherize homes, Bates has hired an office manager. Bates said nine people – including himself – are employed now largely due to the Recovery Act.
“We were all kind of saved financially with Los Amigos,” Bates said of the nonprofit that manages this program in Northern New Mexico.
To find out more about the weatherization program in New Mexico, click here.
Mamie Pascoe of Albuquerque is ready for winter.
First, she applied to the New Mexico Energy$mart program. Next, a big truck and a crew of men in hardhats arrived at her home.
The crew from the Central New Mexico Housing Corporation insulated her attic first. Next, they applied weather stripping to her front door, which used to blow open when the wind picked up.
“We're just happy all over,” Pascoe said. And, much to her surprise, Pascoe qualified for a new refrigerator as part of the package. She didn't pay a cent for anything. “I think it's great,” Pascoe said. “How could you not be happy about that?”
The New Mexico Energy$mart program is managed by the New Mexico Mortgage Finance Authority, which will receive $26.8 million in stimulus funds over the next three years. This investment from the American Recovery and Reinvestment Act means that roughly 1,000 more New Mexico homes can be weatherized annually.
Stimulus funds have nearly doubled the number of homes that can be weatherized per year – from about 1,100 before the stimulus to 2,100 now. The Recovery act also increases the maximum award per home, from $3,000 to $6,500. A family of four making up to $44,100 may qualify. Click here for more information.
