February 2025 CT

DON’T MISS OUT! Hidden Savings on Energy Efficiency Upgrades By Michael Mezzo, CPA, MBA, WilkinGuttenplan

“...the concept of “going green” can open the door to certain state operated incentive programs.”

F or those board members who have survived the last few budget cycles, the thought of undertaking a large capital project can make you start to sweat. Not only have operating costs significantly increased in recent years, but the cost of construction materials and labor have experienced the same increases. Homeowners have likely seen increases in monthly fees and possibly even new special assessments. While we cannot predict where costs are headed, the good news is that there are financial incentives available for those communities tasked with undertaking large capital projects in the near future. This could make undertaking such a project more palatable for those communities already struggling to balance their budget. “Going green” has been a phrase commonly used in recent years, referring to an effort to raise environmental awareness by reducing pollution and waste. When it comes to community associations, the concept of “going green” can open the door to certain state operated incen tive programs. If your community is due for a large capital project such as boilers, HVAC systems, windows, etc., it

is likely that the new components installed will be signifi cantly more efficient than the existing equipment. To help incentivize such improvements, the State of New Jersey has created multiple programs to provide financial assistance to customers undertaking such improvement projects. Most incentive programs intended for multi-dwelling residential buildings and communities are offered through New Jersey’s Clean Energy Program (“NJCEP”). The NJCEP’s website offers a list of 30 programs available to a wide variety of users. Examples of projects covered under these programs include HVAC systems, insulation and air sealing, LED lighting upgrades, boilers, chillers, windows, and many others. The list below summarizes those programs that are commonly utilized by community associations:

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Electric Vehicle (“EV”) Charging Programs:

The NJCEP program offers multiple incentives for the installation of EV chargers. Of these programs, the “Multi Unit Dwelling EV Charger Incentive” is designed to encour

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FEBRUARY 2025