Press Releases

U.S. Representatives Matt Cartwright (D-PA) and Brian Fitzpatrick (R-PA) introduced bipartisan legislation on Wednesday that would help nonprofit organizations become more energy efficient.

The Nonprofit Energy Efficiency Act would establish a pilot grant program at the U.S. Department of Energy to provide nonprofits with the resources they need to improve energy efficiency in their buildings. Under the proposal, nonprofits could apply for grants that would cover up to 50% of the total cost of their energy efficiency programs, with a cap of $200,000.

“This bipartisan bill will allow nonprofits to devote more resources to serving their communities, while making energy efficiency upgrades in their buildings,” said Rep. Cartwright. “Nonprofits are often unable to afford the upfront investment costs of improving energy efficiency. Consuming less energy will allow these groups to save money in an environment-friendly way.”

Non-residential buildings consume more than $200 billion in annual energy costs, and commercial buildings account for approximately 20% of primary energy consumption in the United States. To ensure the owners and tenants in these commercial buildings are consuming energy in a smart way, the federal government has created programs to support and incentivize energy efficiency improvements, usually in the form of tax credits and rebates.

However, non-profits like houses of worship, Boys & Girls Clubs, YMCAs, nonprofit hospitals, and museums are unable to take advantage of these programs due to their tax-exempt status. In fact, the Environmental Protection Agency estimates that congregations could reduce their energy costs by one third through energy efficiency improvements.

The Nonprofit Energy Efficiency Act would initially make $10 million available in grants every year, from FY2020 through FY2024. The bill is supported by several national organizations, including the Orthodox Union, the Association of Art Museum Directors, General Conference of Seventh-day Adventists, Interfaith Power & Light, The Jewish Federations of North America, New Evangelical Partnership for the Common Good, United States Conference of Catholic Bishops, and the YMCA of the U.S.A.

“Thousands of America’s churches, synagogues, and other nonprofits have needed to upgrade their buildings for many years, but haven’t had the funds to do so,” said Nathan Diament, executive director for public policy for the Orthodox Union. “This legislation is a win-win because it will enable houses of worship, schools and other nonprofits to allocate more of their resources to programs that help their communities while at the same time becoming more energy efficient.”

Companion legislation was introduced in the Senate in February by Senator Amy Klobuchar (D-MN) and Senator John Hoeven (R-ND).

“Energy efficiency upgrades save money and resources that can be used to support the mission of nonprofits,” said Sen. Klobuchar. “Our bipartisan legislation would help ensure that nonprofit organizations, including places of worship, no longer have to choose between providing important community services and investing in energy efficiency improvements that both save money and provide environmental benefits.”

###