1. 1 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov The Federal Perspective – Part 1 WEATHERIZATION ASSISTANCE PROGRAM – September 2012 Weatherization Funding Levels Program Updates IG/GAO Audit Update Weatherization Accomplishments : National Evaluation

2. 2 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov Production  765,000 homes weatherized  Max: 32,397 homes (Dec. 2011)  Min: ~6 homes (April 2009)  Now: 14,787 homes (Jun 2012)  217,500 multi-family units completed  28% of total production Spending  $4.7 billion spent  Max: $196.97 million (Dec. 2010)  Min: $2.98 million (April 2009)  Now: $44.96 million (Jul. 2012) Energy and Cost Savings 1  $7.84 billion in energy cost savings*  $410.53 million saved annually  440.7 million MBtus in heating and cooling energy savings*  22.19 million MBtus saved annually *These figures represent savings over the 20 year life of the measures. Cost savings are expressed in 2008 dollars. Jobs Supported  5 th largest job creator in entire Recovery Act portfolio  6,195 jobs supported in Q2 of 2012  Max: 15,440 jobs supported in Q4 2010 Status of Recovery Act 1 Source: Oak Ridge National Laboratory TM-2010/66 (http:// weatherization.ornl.gov/pdfs/ORNL_TM-2010-66.pdf) The Federal Perspective

3. 3 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov 2012 Allocations In the 2012 Consolidated Appropriations Act, Congress provided $65 million for allocation to WAP grantees Congress also provided the Secretary of Energy with the authority in PY 2012 to use a methodology other than the formula established in regulation to distribute the available funding The PY 2012 allocation uses a results oriented strategy that considers remaining fund balances grantees may have from the ARRA and prior year DOE Appropriations to distribute the Fiscal Year (FY) 2012 WAP Appropriations The 2012 Allocation was based on the following criteria: –Use of an appropriation amount of $210 million as the base “PY12 Target Allocation” for establishing funding for each grantee The Federal Perspective

4. 4 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov 2013 Projection Current FY 2013 budget request allocations are as follows: –OMB: $139 million –House: $54.56 million –Senate: $145 million –All request allocations included $3.3 million set aside for HQ T&TA What CR Means Similarities for allocation between 2012 and 2013 The Federal Perspective

5. 5 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov Program Updates EBL/Refrigerators –42 USC 6862 (9): The term "weatherization materials" means – caulking and weatherstripping of doors and windows; furnace efficiency modifications, including, but not limited to – –replacement burners, furnaces, or boilers or any combination thereof; –devices for minimizing energy loss through heating system, chimney, or venting devices; and –electrical or mechanical furnace ignition systems which replace standing gas pilot lights; clock thermostats; ceiling, attic, wall, floor, and duct insulation; water heater insulation; storm windows and doors, multiglazed windows and doors, heat-absorbing or heat-reflective window and door materials; cooling efficiency modifications, including, but not limited to, replacement air- conditioners, ventilation equipment, screening, window films, and shading devices; solar thermal water heaters; wood-heating appliances; and such other insulating or energy conserving devices or technologies as the Secretary may determine, after consulting with other federal agencies The Federal Perspective

6. 6 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov The Weatherization Workforce Installer/ Technician Auditor Crew LeaderInspector http://www1.eere.energy.gov/wip/certifications.html The Federal Perspective

7. 7 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov IG Report Status and Trends

8. 8 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov Status of Audit Reviews and Reports –Total number of WAP IG/GAO Audits = 28 –Total number Reports Released = 20 (Audits Complete) –Total number in Process = 8 6 Subgrantee audits 2 Grantee audits No Plans to Initiate Additional Audits IG Report Status and Trends The Federal Perspective

9. 9 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov IG/GAO Audit Follow-Up –DOE Resolves items by individual finding –Tracked on a quarterly basis –Remain open until resolved Additional IG Items –Hotline Complaints Total – 40 –Improper use of regulation –Mismanagement of Recovery Act Funds –Alleged Fraud IG Report Status and Trends The Federal Perspective

10. 10 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov General IG/GAO Findings: –Substandard performance in weatherization workmanship –Substandard performance in initial home assessments Assessments that called for inappropriate weatherization measures Assessments overlooked key measures to make homes more energy efficient –Inadequate oversight of contractors –Inaccurate documentation for contractor billing –Homes failing final inspection –Inadequate recordkeeping –Incomplete client files –Funds not in an interest bearing account –Not returning interest earned IG Report Status and Trends The Federal Perspective

11. 11 | WEATHERIZATION ASSISTANCE PROGRAM – September 2012eere.energy.gov Next Steps –Improve Quality –Improve Documentation –Improve Tracking Systems –Establish Procedures IG Report Status and Trends The Federal Perspective