Energy Efficiency for Affordable Housing Act

Increased credit for energy-efficient buildings: For existing buildings that achieve enhanced energy performance, rehabilitation expenditures will be taken into account at 130 percent of the actual costs. This provides more financial incentive for energy efficiency (Section 2(a)).

Flexibility for achieving energy goals: Buildings can meet the "enhanced energy performance" requirement either through advanced building construction standards set by the Secretary of Energy or through a qualified retrofit plan. This allows for different ways to qualify for the increased credit (Section 2(a)).

Additional support for high-cost areas: For buildings in high-cost areas that achieve enhanced energy performance, the rehabilitation expenditures taken into account can be increased to 160 percent of the expenditures (Section 2(b)).

Compliance requirements for retrofit plans: To use a qualified retrofit plan, a taxpayer must have a written plan prepared and stamped by a qualified professional, such as a licensed architect or engineer. This professional must certify baseline energy usage and the expected reduction in energy intensity (Section 2(a)).

Strict energy reduction thresholds: For a retrofit plan to be considered qualified, the modifications must be expected to reduce the building's site energy usage intensity by 50 percent or more compared to the baseline (Section 2(a)).