DEP webinar explains MORE grant and loan for municipal energy-efficiency projects

The Pennsylvania Department of Environmental Protection (DEP) hosted a webinar to explain the MORE program, a state-backed financing and grant pathway for municipal energy-efficiency projects. DEP speakers and program partners summarized how the MORE grant and MORE loan work, what applicants must submit and what compliance rules apply.

The MORE grant "can be used for level 2 energy audits, energy conservation measure or ECM project design, and interest rate buy down on a MORE loan," Elena Schmieder, an energy program specialist with DEP who works with the Pennsylvania Energy Development Authority, said during the presentation. She added that the MORE grant application window ran from June to December and that awards have already been made.

Why it matters: the MORE package pairs technical assessments (an ASHRAE level 2 energy audit) with financing to help municipalities pay for recommended upgrades. For local governments that lack capital to implement efficiency measures, an interest-rate buy-down tied to the loan can materially reduce project costs, the presenters said.

Program basics and eligibility

Colleen Unruh, a William Hannah Penn Fellow in DEP’s policy office and Energy Programs Office, said the MORE grant round has closed but that leftover funds might be offered later; interested parties may be added to a distribution list for any future brief window of funding. DEP requires quarterly reports within five days of the end of each quarter and a final report within 30 days of project completion for grant recipients.

Elena Schmieder explained that the MORE loan pays for upgrades selected after a level 2 energy audit. Eligible applicants are local governments that did not receive Energy Efficiency and Conservation Block Grant (EECBG) awards directly; DEP conducted outreach last year to about 42 cities and counties that were EECBG-eligible, she said. The MORE loan is market-rate but may be bought down to as low as 0% through remaining grant or program funds.

Level 2 energy audits and project scope

Scott Albrecht, a senior energy auditor at Richards Energy Group, described what an ASHRAE level 2 audit includes: an on-site inventory and measurement of annual energy use across fuels and systems, identification of energy conservation measures (ECMs) prioritized by high-energy users, estimated installation costs, projected energy savings and expected payback periods. Albrecht said level 2 audits produce "investment-grade recommendations" with installation cost estimates and payback calculations and that audits also support comfort, sustainability reporting (for example via ENERGY STAR) and ongoing tracking of carbon reductions.

Loan structure, underwriting and contractor requirements

Trey Moffitt, senior director of business development at the National Energy Improvement Fund (NEIF), which administers the MORE loan, said NEIF provides equipment-secured financing and can structure terms to customer needs. He said underwriting is credit-based and that, to date, municipalities have generally been approved; typical underwriting turnaround after submission of required documents is about three to five business days.

Moffitt said NEIF requires a final contractor scope and cost (distinct from the audit recommendations) uploaded with the application, the level 2 audit itself, and a filled application form. NEIF’s minimum financed amount is $2,000; terms normally range from 1–7 years but the MORE program can provide terms up to 15 years. Loan funds can be used to pay a portion of contractor invoices up front and the remainder at project completion after confirmation with the program administrator.

Contractors must be approved by NEIF. Requirements cited in the webinar include at least three years in business, required licensing and insurance per state rules, and basic checks for business legitimacy. Moffitt said contractor approval usually takes about one to two weeks, though underwriting can proceed in parallel.

Compliance and federal requirements

Schmieder reminded attendees that the MORE program uses federal funds and therefore carries compliance obligations, including the Davis-Bacon requirements, Build America Buy America requirements, Section 106 review with the State Historic Preservation Office where applicable, and National Environmental Policy Act reviews as required. DEP and NEIF staff said they will help applicants navigate those obligations during the application and contractor-approval process.

Questions from participants

During the question-and-answer portion, DEP staff clarified that grant recipients may reallocate MORE grant budget line items (for example, shifting grant money awarded for audits toward project design) as long as the overall awarded budget remains unchanged and the grantee submits the required budget-change form. Presenters also said recordings and slide materials would be posted on DEP’s Energy Programs Office website and that participants would be notified when the recording is available.

Takeaway and next steps

DEP officials encouraged municipalities and other eligible entities to complete or obtain a level 2 energy audit, assemble a contractor scope and contact NEIF to begin the application process. Elena Schmieder offered to add interested entities to a distribution list for any future grant opportunities if funds remain at the end of the grant performance period.

The webinar closed with DEP staff inviting follow-up conversations and offering technical-assistance programs such as the Local Climate Action Plan program and the Shared Energy Manager program to help jurisdictions plan and implement projects.