Registration Required!   Call Bonin Architects at 603-504-6009

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 If you are thinking of building a home or are purchasing a home in Sunapee, New London, Newbury, or another surrounding town that needs a renovation, call to register to attend our next Open House near Sunapee Harbor on scenic Lake Sunapee!

Not only will you be able to tour a beautiful custom home, you’ll be able to interview area green building experts at a Q&A discussion.  Gather your questions and ideas for Green Architect Jeremy Bonin of Bonin Architects & Associates, Custom Builder Everett Pollard of Northcape Design / Build, and Dan O’Halloran of Colby Real Estate!  Ask about:

Green building materials – Local construction costs – Green home design & why it is important

Solar and geothermal heating – Metal roofs vs. asphalt shingles – Shoreland Protection Act guidelines

and more!

Jeremy Bonin, AIA NCARB LEED AP:

Jeremy is a principal partner of Bonin Architects & Associates, award-winning architect, and the author of TIMBER FRAMES: Designing Your Custom Home.  Jeremy has a special interest in sustainable design and green building.  

Everett Pollard, AIA assoc.,  AIBD, CGP, CGR:

 For over thirty years Everett has been designing and building award-winning custom homes in the Lake Sunapee area. As a Certified Green Builder, Everett’s  priorities are successfully balanced between preserving the environment and providing superior customer service to his clients.

Dan O’Halloran:

Dan is a high-energy realtor who specializes in residential real estate and uses the most current marketing and advertising technology and techniques available in the real estate industry to achieve maximum visibility for every client.  His background in finance and marketing rounds out his qualifications and enhances his skills he offers.

Really?   That’s what President Obama said when promoting new tax credits for energy efficiency. He was talking about the so-called “Cash for Caulkers” program (more officially known as Homestar). It’s a program that’s been proposed by both venture capitalist John Doerr and former President Bill Clinton that would offer homeowners money for weatherization as part of another stimulus package. The program would give tax breaks to pay for upgrades and energy audits.

It’s a great idea — it creates business, therefore creates jobs and makes homes more efficient. People like to talk about building more energy efficient homes, but the reality is that even building every one of the 500,000 or so homes being built more efficiently will make only a tiny dent in energy usage compared to the potential of upgrading the millions of existing homes. Supporters of the program, which is apparently being considered at the White House, say it would lead to retrofits of 5.9 million homes and create 500,000 jobs.

The Home Star program — or “Cash for Caulkers” as some have dubbed it — could provide a big boost to home energy efficiency through billions in tax credits and other incentives over two years. President Obama came out in favor of the program in December as part of the administration’s plan to drive job creation, but the final approval has to come from Congress. The exact size of the program is uncertain, but Efficiency First, a trade association started in early 2009 for home energy-efficiency contractors that helped craft Home Star, put the price tag at about $23 billion.

What would the money go for? Here’s how Efficiency First breaks it down:

•$6 billion in funding for homeowner incentives for those who do at least two significant weatherization projects from a list of 10 eligible project types such as air sealing or insulation. Completing two projects would result in up to $2,000 in subsidies and completing four could earn $3,500, capped at 50 percent of project cost.

•$12 billion for homeowners who undertake a weatherization project that reduces energy consumption by at least 20 percent. A 20 percent reduction would earn a $4,000 subsidy and each additional 5 percent would result in another $1,500 subsidy, with funding capped at 50 percent of project cost.

•$2 billion for program administration, including audits of some projects to confirm they’re meeting the energy improvements

•$3 billion in incentives to encourage retailers to support the program to build awareness and educate consumers

Efficiency First says the program would result in 5.9 million residential energy retrofits and create more than 500,000 jobs new jobs in construction and related industries. “Unemployment in the construction industry is double the rest of the economy,” says Matt Golden, founding president of Efficiency First. “Considering the underreporting in this industry, it’s probably really up in the 20s. These really are smart jobs, because they’re long-term.”

The National Association of Home Builders estimates that 11,000 jobs; $527 million in wages and salaries; and $300 million in business income are generated by every $1 billion in new remodeling and home improvement activity. “That’s a huge impact just in the short run, and in the long run, the energy savings for participating homeowners can be quite significant,” says NAHB Chairman Joe Robson.

(Adapted from an article in Professional Remodeler Magazine)

According to the Department of Energy, hydronic systems average 26 percent less air leakage and a 40 percent reduction in energy usage versus forced air heating systems. Because the system heats from the ground-up, lower temperatures are found at ceiling height, resulting in lower heat loss through ceilings or ceiling penetrations.

The ultimate goal of hydronic heating is to keep and maintain a constant core temperature in the home. There are a variety of retrofit installation options that include panel, slab, thin-slab, snap-panel and heat transfer plates, all of which can deliver hot water via PEX tubing in either “wet-mass” (i.e. concrete) systems or non-concrete “dry-mass” installations.

Thick concrete slab systems have a high heat capacity and are ideal for storing heat from solar energy systems, which have a fluctuating heat output. The downside of the thick slabs is the slow thermal response time. Most experts recommend maintaining a constant temperature in homes with these heating systems. Other installations, such as snap panels, are a dry-mass approach. Snap panels are aluminum panels heated by 3/8- or ½-inch tubing. Most measure five to six inches wide and less than two feet in length. These offer a lower up-front material cost than some wet mass systems and are easier to install in many instances.

The Other Side

While hydronic systems are mostly made for a whole-home approach, electric radiant heating methods can be an equally viable alternative in the right application. Electric radiant floors, also known as dry installations, typically consist of electric cables or mats built into the floor. Systems that feature mats of electrically conductive plastic are also available and are mounted onto the subfloor below a floor covering such as tile. These are pre-built like an electric blanket and are divided into sections, then wired to a central location. Many systems consume a mere 10–20 watts per square foot at full power consumption and can be set to pulse on and off to maintain the temperature the homeowner sets. Given the relatively high cost of electricity in the winter, the most common application for ERH is kitchens and master bathrooms and you can even install a timer so it is only on during those times that you are likely to to be using the bathroom or kitchen.

Does it matter which type of floor you have?

Ceramic tile and wood plank flooring are the most common and effective floor covering for radiant floor heating, but you can also use vinyl, linoleum or carpeting. But remember, any floor covering (say, a thick carpet) that helps to insulate the floor from the room will decrease the effectiveness of the heating system.

The best way to create a smooth transition from indoors to outdoors is proper choice in materials. Wall finishes, flooring, paint colors and fixtures can and should all be carried from the interior space to the outdoor living areas. For example, repeating a granite or stone slab material that was chosen for the kitchen counter or interior wet bar to the exterior fireplace surround will create a feeling of continuity. Wall treatments such as Italian plaster, natural stone and faux finishes can also be used indoors as well as outdoors to further add to continuity of design.

Today’s outdoor rooms are not your average backyard spaces. They incorporate televisions, integrated audio/visual systems, fireplaces, wet bars and outdoor kitchens. These spaces should be considered as part of the bigger picture. This integration of outdoor living rooms, kitchens, televisions and entertainment systems, bars and outdoor showers is a critical component in creating a lifestyle experience to which most homeowners aspire.

Comfortable seating is a must as is a functional and relaxing dining area. Choices in furnishings and colors to coordinate with the interior of the home will further a feeling of connectedness, making the outdoor living space feel like an extension of the interior.  Thoughtful planning and design incorporating architectural overhangs, heating, lighting and comfortable, durable materials are the foundation of effective outdoor rooms.

At Northcape Design, we offer our customers a full line of outdoor cabinetry and appliances.   Atlantis outdoor cabinetry is weatherproof, meaning it is capable of being exposed to sun, rain, snow, and extreme high and low temperatures without being effected. All cabinetry boxes (and some doors and drawers) are made from solid marine-grade polymer Perma-Panel, which gives Atlantis cabinetry its weatherproof qualities. It can be placed poolside, or on a deck or patio without covering and can stand up to anything Mother Nature can dish out.  Solid wood doors and drawer heads are available in Teak, Cypress and Bamboo, three wood species often used in outdoor furniture and other outdoor applications.

The array of outdoor appliances including built-in grills, side burners, ventilation hoods, refrigerators, cocktail/beer stations and ice machines add flair and convenience to outdoor cooking and entertaining. Atlantis Outdoor Kitchens offers the finest appliances made especially for outdoor living from trusted names such as Lynx, Marvel and Vermont Castings.

Sounds nice, doesn’t it!  Please contact us – We would be happy to give you some ideas on enhancing your outdoor living spaces.

HVAC Systems

The American Recovery and Reinvestment Act’s energy-efficiency tax credits include HVAC systems. Installers should recommend a system based on several factors, including the orientation and shading of the house, the window coverings, and the homeowner’s lifestyle.

Remodelers and homeowners should also consider the effect of the HVAC installation on the home’s air quality and comfort, especially when planning an addition or a major remodel.

Efficiency Levels

The efficiency level for qualifying HVAC equipment is high — in most cases higher than current Energy Star standards — and comes with a premium price tag. HVAC contractor Jim Firszt, HVAC consultant with Mid-American Heating & Air Conditioning, in Spring Grove, Ill., says that customers who have just begun to understand Energy Star ratings may be confused about the tax credit standards. Some experts say that the higher cost of stricter-than-Energy-Star equipment is limiting.

Manufacturers and contractors say that due to the coverage and promotion of the larger stimulus package, homeowners are generally aware of tax incentives for energy-related improvements. Before the tax credits, most homeowners who chose high-efficiency equipment were owners of large custom houses. Now, for many people who are ready to do projects, it’s getting them to make the jump to the next level. The $1,500 credit takes a big bite out of the $6,000 to $7,000 cost of an average system.

Bob Swilik, senior manager of residential and light commercial systems product strategy for Carrier Corp., in Farmington, Conn., says that, on average, the high-efficiency equipment might cost 30% to 40% more than less-efficient equipment but the efficiency trade-off is worth the premium. He says that upgrading from a 13 SEER to a 16 SEER air conditioner provides about 25% better efficiency. “But, when you’re replacing a system, you are typically replacing an existing 8 SEER or 10 SEER. Then you’re looking at a 40% to 50% saving on utility bills,” Swilik says.

In addition to the tax credits, homeowners can also take advantage of HVAC manufacturer rebates and contractor discounts and incentives.

ADVANCED MAIN AIR CIRCULATING FANS: The IRS has yet to clarify an issue with this item, which is listed as qualified for the tax credit. An advanced main air circulating fan, also known as an ECM fan, is a variable-speed blower fan used in gas, propane, or oil furnaces.

For 2009, the advanced air circulating fan is still listed as a separate item that qualifies for the 30% credit under the $1,500 cap. However, says Charlie McCrudden, vice president of government relations for the Air Conditioning Contractors of America (ACCA), some homeowners could claim that an 80% AFUE furnace equipped with the ECM fan qualifies for a credit of the full 30% of the cost of the furnace up to the $1,500 cap.

In response to a question about this on its website, Energy Star says: “If the fan is qualified, but the furnace is not, you will most likely NOT be able to take 30% off the cost of the entire furnace. This FAQ will be updated as soon as the IRS issues guidance on this issue.”

ACCA has also asked the IRS for clarification on whether homeowners can claim the full invoice for an HVAC installation, even if some of the equipment does not qualify. If a contractor installs a qualified furnace but unqualified A/C, does the IRS need an itemized invoice? How does the taxpayer treat the situation with multiple installations, some qualified, some not qualified?

This could happen for certain geographic locations. For example, in Michigan where it is cold, it makes sense to install a 95% AFUE furnace, but an owner might not choose to pair it with a 16 SEER A/C. Most HVAC contractors provide a single invoice for the full installation and may want to avoid itemization. However, another option is to create two separate invoices. The tax credit applies to both the materials and installation of HVAC systems.

Many manufacturer websites have lists of qualifying equipment. In addition, the Air-Conditioning, Heating, and Refrigeration Institute has a directory (www.ahri.org) where contractors can enter specifications and confirm that equipment meets the standard.

EFFICIENCY LEVELS: HVAC consultant Jim Firszt points out that air conditioning equipment must meet both the SEER and EER to qualify. “If it meets 13 EER, it will automatically meet 16 SEER. But not the other way around,” he says.

FURNACE CHOICE: According to Firszt, the 95% efficiency level for a gas furnace is easiest to reach, but it’s not always the best choice, based on climate. “In the northern states, [clients] get their money back sooner, but for southern states, A/C or heat pumps are better.”

SYSTEM COMBINATIONS: Contractors need to install the right combination of HVAC equipment to meet the efficiency levels. For example, matching the A/C condenser outside with the right furnace or air handler inside.

SPACE CONSIDERATIONS: John Hurst, vice president of product management with Richardson, Texas–based Lennox, says that many product installations have space constraints, particularly for the furnace and air handler. Local codes governing chimney size for venting and make-up air will also affect installation parameters. Frederick Air sales manager John Poyle offers an example: “If my house has a 3-ton air conditioner, and I want a 20 SEER unit, a manufacturer will say, this unit comes up to 20 SEER. But I may need a 5-ton coil to get that 20 SEER efficiency from the unit. But that coil is massive and won’t fit in my basement because of the low ceiling.”

To choose the best solution for the customer, make sure that the HVAC contractor reviews existing conditions, including the orientation of the house, shading, and existing insulation, as well as lifestyle considerations such as how the customer uses the system and what changes they plan for the future.

Water Heaters

In many homes frequent and liberal hot water use is essential, but reducing energy consumption is becoming a priority. Homeowners who want to upgrade equipment when those paths cross will have several tax credit–friendly options available.

Tankless units are likely lead water heater retrofits, simply by virtue of availability. Few gas storage tank or condensing water heaters on the market currently qualify for tax credits. “Most tankless models qualify, but few manufacturers have a conventional-style product that qualifies,” says David Chisolm, brand manager for AO Smith. The company is one that does offer a residential storage-type water heater that meets the legislation’s thermal efficiency requirements.

Natural gas, propane, or oil residential water heaters with an energy factor of at least 0.82 qualify (higher is better). Some units may alternatively be measured by thermal efficiency, which must be at least 90% to qualify. These requirements apply to storage-style or tankless heaters. Electric heat pump water heaters with an energy factor of 2 or higher are also eligible. Homeowners can claim the standard tax credit and recoup 30% of the cost, including labor, up to $1,500.Doing

While many storage water heaters meet Energy Star’s 0.67 energy factor requirement, units must meet a higher energy factor of 0.82 to be tax credit–eligible. Currently, no Energy Star–rated storage water heaters meet that specification.

Some storage models do meet a different tax credit requirement of having 90% thermal efficiency. Energy Star does not give consideration to thermal efficiency, which is traditionally used to rate commercial units. Manufacturers stress that commercial water heaters should not be installed residentially, for safety reasons. According to the Consortium on Energy Efficiency, commercial units are not required to have flammable vapor ignition resistance (FVIR) features, which provide safety in residential settings.

That said, there do exist storage water heaters that are measured by thermal efficiency and that meet all necessary residential codes. Two models are in AO Smith’s Vertex line. “The technical definition of a ‘residential’ unit is a water heater operating at 75,000 BTU and below,” explains brand manager David Chisolm. “Our models in this category are over 75,000 BTUs, which is why they are rated with thermal efficiency instead of energy factor. However, they were designed specifically for residential applications, and meet all codes to be installed residentially.”

Chisolm adds that while the company’s Vertex products do not feature FVIR, neither do many tankless water heaters. Tankless units and others like the Vertex models use advanced heat exchangers that place them in different categories from traditional storage tank water heaters, and thus have different safety requirements.

Venting is particularly important with installation, for functionality and cost reasons. Jack Banker, tankless product manager for Rheem, says that the stainless steel venting used with most tankless units often increases the cost. Homeowners will notice this increase when they compare it to tank models they see in stores, which cost less and use less expensive PVC for venting.

(Exerpted from Remodeling Magazine)

Windows & Doors

Just how much energy do “energy-efficient” doors and windows save? Claims vary, but sealing leaks with caulk or weatherstripping could be the first step. On the other hand, replacing windows might be the answer. Everything depends on the house, and every house is different.

According to the U.S. Department of Energy (DOE), heat loss through windows can account for anywhere from 10% to 25% of a homeowners’ heating bill. In climates where air conditioning is in steady use, the DOE says that energy-efficient windows can reduce electricity consumption by 10% to 15%.

But, if the house is an obvious candidate for new windows and doors. What exactly does “energy efficient” mean?

Before the American Recovery and Reinvestment Act of 2009 was passed, “energy efficient” meant Energy Star–qualified. That qualification is and was based on ratings certified by the National Fenestration Rating Council. NFRC’s ratings take into account some or all of five criteria: U-factor, solar heat gain coefficient, visible light transmittance, air leakage, and condensation resistance.

In 2006 and 2007, “Energy Star–qualified” meant a window was eligible for the $200 federal tax credit available at the time. Many windows qualified. According to the DOE, Energy Star–qualified windows have a 53% share of market. One reason is that Energy Star takes a flexible approach: It qualifies windows by matching NFRC ratings with one of four specified climate zones.

But to be “energy efficient” enough to qualify for the federal tax credit under the ARRA, climate zones are beside the point and only the U-factor and solar heat gain coefficient matter:

U-factor measures resistance to heat flow on a 0 to 1.2 scale. The lower the rating, the greater the resistance. To qualify for tax credits, a window or door’s U-factor must be 0.30 or less, regardless of climate zone.

Solar heat gain coefficient measures how well the window blocks heat gain from the sun. SHGC is measured as a number between 0 and 1. The closer to zero, the more efficient the window. To qualify for credits, the SHGC of the unit must be 0.30 or less.

The “0.30 / 0.30” standard is stringent. So stringent, in fact, that skylights, which make up between 2% to 3% of the total fenestration market, have been all but eliminated for tax credits.

As for storm doors and storm windows, some manufacturers assume their products qualify because they did so under the 2006/2007 act. Others are more cautious.  A final IRS ruling is expected later this year.

And when it comes to windows, it is estimated that only between 15% to 20% of available product types qualify for tax credits using 0.30 / 0.30. But, for homeowners, the low cost of a window job relative to more expensive renovations means that tax credits are a powerful incentive. If it’s a $5,000 project and they’re getting $1,500 back, that could really influence a decision.

To ensure that the door or window you are ordering qualifies, check for the NFRC label or check the NFRC’s directory of certified products.  Another place to look is your door or window supplier’s website. Many provide rating information for indiv­idual products.

Some, such as Ohio door maker ProVia Door, feature downloadable NFRC labels. When the homeowner goes to file IRS form 5695 [PDF], they will need to submit that label. The supplier may also offer a letter certifying that the windows or doors qualify for tax credits under the ARRA. Those letters are recommended but are not required by the IRS.

The tax credit is applied to the amount of the sale minus installation cost, so homeowners need to know that installation cost. Some window replacement companies already post those costs on their websites. For example, 1-800-Hansons, a windows and siding company in Madison Heights, Mich., states on its site that “16% of the contract price of Hansons’ installation jobs is typically allocated to installation labor.” So for a $10,000 job, the tax credit would be applied to $8,400, and result in a $1,500 credit.

Insulation and Weatherization

Dollar for dollar, insulation and weatherization deliver more bang for their energy-efficiency buck than almost any home improvement. Happily for homeowners, the American Recovery and Reinvestment Act’s $1,500 tax credit can be applied, in theory, to a broad array of materials and methods — batts, spray foam, loose-fill; wraps, sealants, tapes, and flashing; even structural insulated panels — that are primarily designed to reduce the heat loss or gain of the nation’s estimated 80 million under-insulated homes.

On its surface, the insulation provision is simple: Homeowners can take a tax credit of 30% of the cost of materials only, to a maximum of $1,500, for insulation work performed this year and next. That’s triple the credit available since 2005. The sum of the resulting “insulation material used in layers” must meet the R-values prescribed by the 2009 International Energy Conservation Code (IECC).  The recovery bill is a great opportunity to move forward toward a more energy-efficient housing stock.

Things start to get sticky with the IECC. Published by the International Code Council (ICC) and based on goals set by the U.S. Department of Energy, the 2009 IECC will produce 15% in energy-efficiency gains over the 2006 version, according to the DOE.

Regarding insulation, the 2009 IECC is considerably tougher than the previous version, particularly in colder parts of the country, where R-values (thermal resistance) are now as high as 21 for wood frame walls, 38 for floors, and 49 for ceilings and attics. The new code requirements make it tough for builders to do things as usual and still meet the code.  This is especially true in remodeling, when insulation is sometimes compressed into small cavities, potentially compromising R-value.

Numerous products meet the specified R-values, including fiberglass and cotton batt insulation with ratings of R-21 or higher that can be installed in a 2×6-framed wall cavity, plus several loose-fill products using fiberglass, cellulose, or other materials that can be installed behind netting in open framing or used to fill cavities in existing walls.  Such products likely won’t be as inexpensive as the old mainstays, however, or necessarily prove as easy to find, at least based on a few calls to building supply retailers.

In some cases, in fact, meeting the prescribed R-values becomes almost cost-prohibitive. Ironically, it may even deter homeowners from choosing what many green remodeling advocates believe are the best (but most expensive) insulating products: water-based spray foams that expand to fill gaps and holes.

There are also concerns about the labor component of the ARRA — more specifically, the absence of a labor component.  Why the tax credit doesn’t cover labor costs mystifies some industry sources. It’s still a wonderful credit, but insulation materials don’t get to the effective R-value without labor.

Perhaps more importantly, from the safety and efficacy perspectives, insulating existing homes is different from insulating new homes, where there are no obstructions or hidden conditions. The wrong product can be selected for the wrong location, or placed too close to the recessed lights, or not blown to the specified depth. Gaps, cracks, and openings are left unsealed. Inadequate ventilation can allow harmful substances to build up. Installers have to be a lot more attentive when they’re doing retrofit work. Besides having enough knowledge to be able to specify the right insulation product — and even know about new products — insulating in conjunction with remodeling work takes more time, and the right kind of person.

The federal tax credit is 30% of the cost of materials only, up to $1,500, per household for insulation and other improvements combined. Labor is excluded, so the invoice should separate materials and labor. It must be installed between Jan. 1, 2009 and Dec. 31, 2010 and must meet the specifications of the 2009 IECC. The materials’ primary purpose must be to insulate, and must be expected to remain in use for at least five years or have a minimum two-year warranty. Check with manufacturers for eligibility and to obtain certifications for record-keeping.

Roofing: Tax credits can offset upgrades to energy-efficient metal and asphalt roofs

 From mechanical equipment in the basement to insulation in the walls, there are plenty of opportunities for homeowners to invest in building products that will help them earn tax credits.  At the top of the list, in many situations, are high-efficiency roofing materials. The American Recovery and Reinvestment Act (ARRA) legislation may inspire homeowners to upgrade their roofs because they want to — not because they have to.

For the purposes of the 2009 ARRA tax credit legislation, qualified roofing materials include metal roofing and asphalt shingles treated with coatings or cooling granules specifically designed to reduce heat gain.

Materials must be “placed in service” between Jan. 1, 2009 and Dec. 31, 2010, and must be expected to last for at least five years.  Taxpayers may claim only materials costs for the tax credit. Labor is not included. All eligible products must meet Energy Star requirements for roofing materials, and all Energy Star roofing materials in the metal and asphalt categories qualify.

The energy efficiency of reflective asphalt shingles and metal roofing is built into the products themselves. Manufacturers say that installation for these materials is the same as with standard roofing products. Metal roofing can be installed over existing shingle roofs, eliminating the waste created by roof tear-outs. Metal roofing has a misperception of being very heavy.  It’s actually one-third the weight of an asphalt roof in many cases. And by installing metal over an existing asphalt roof, it can be very environmentally friendly. It’s estimated that 22 billion pounds a year of asphalt shingles are put into landfills.”

With respect to the new legislation, upgraded roofing carries a green message, since a properly installed energy-efficient roof can reduce a home’s heating and cooling requirements. However, one aspect of the ARRA legislation that is not clear is whether other types of cool-roof products qualify for tax credits. Manufacturers GAF and CertainTeed, as well as many others, supply rolled roofing materials such as TPO membranes and other cool-roof products for installation on flat and low-slope roofs. The materials, which are often white, can be highly reflective and reduce roof and attic temperatures.

Because the legislation specifically calls out asphalt shingles and metal roofs, industry organizations such as the International Code Council, which developed the International Energy Conservation Code, say that those are the only categories eligible for the credit of 30%, up to $1,500.

That said, Diane Gola, marketing communications manager for GAF, recommends visiting the Resources page of the Cool Roof Rating Council’s website at www.coolroofs.org. The site’s Codes & Programs page lists states where local tax credits or utility rebates may be available for cool-roofing materials beyond the asphalt shingles and metal roofing products outlined by the ARRA 2009 legislation.

(Exerpted from Remodeling Magazine)

But what, exactly, does the legislation say? Do the credits apply only to principal residences? Can owners of condominiums or cooperatives qualify? Does the Internal Revenue Service define “cost” to include labor as well as materials? And what kind of documentation is required to claim the credits?

The posts our section on the Stimulus answer these and a host of other questions relating to the ARRA. Our posts will include a detailed description of requirements in three major categories:

1. Building envelope (roofing, insulation, and window and door replacement)
2. HVAC systems (boilers and furnaces, biomass stoves, and water heaters)
3. Renewable energy systems (geothermal heat pumps, and solar-, wind-, and fuel cell–powered electricity generators).

The chart summarizes requirements for each category, which are treated in more detail in separate sections. Expanded coverage, including IRS rules updates and interpretations, can be found at www.thestimulussource.com. 

Used properly, the ARRA gives remodelers a way to jump-start their businesses while helping you, the homeowner, to not only save money but create a more energy-efficient future.

(Excerpted from an article from Remodeling Magazine)

Here are some thoughts to help you cope:

·        Good communication prevents most problems, so make sure you and your remodeler agree on a system for staying in touch.  Often the lead carpenter or foreman is the best contact person.  Some contractors provide a box or folder where everyone can leave notes or change orders.  Make sure that you communicate with the designated contact person.  A single worker or subcontractor will not have the information or authority necessary to make changes or assess how it might impact the project as a whole.

·        Share your concerns with the contact person immediately.  What is a minor adjustment now might be a major expense later.

·        Don’t panic!  If you discover what you think is a major problem, get all of the facts and discuss them with your remodeler.  A good remodeler knows there will be problems, and knows how to solve them.

·        Expect that the project feels like it is taking too long.  After the initial demolition and framing, there will be times when it seems like not much is happening.  It is difficult to schedule a project seamlessly without any down time.  All of the subcontractors have other projects to finish before they can start yours and if one phase of your project takes longer than expected for whatever reason, it can impact the schedule.  Discuss this with your contractor.  Most remodelers factor in some down time in every project. 

·        Expect good quality work, but remember that remodeling is an art and even the finest remodeling project will not be perfect.  Finishes applied today may not match older finishes.  Your contractor will strive to blend his new construction with the less-than-perfect conditions that may be present in your home.

·        Your remodeler will appreciate your prompt payment of bills as specified in the contract, instead of having to ask for it.  Most remodelers are working on a smaller profit margin than you might imagine and need to make timely payments to suppliers and subcontractors to get their professional discounts.

·        After the project has been completed, you may notice something that doesn’t seem right.  Contact your contractor and, if you did not pick the “low-bidder”, you should expect a prompt response during the warranty period and after!

Finally, if you did your homework and chose wisely, you can expect to pleased by the end result.  The added comfort, convenience and space will enhance your lifestyle for years to come.

All contracts should include:

·        A detailed description of the work.

·        A list of the specific materials to be used.

·        A schedule of progress payments showing how much you pay at the outset and when further payments are due.

·        An explanation of the change order which deals with changes or extras not included in the original agreement.

·        A procedure for handling disputes between the contractor and the owner.

·        It may include a description of what is not included, such as “the homeowner is responsible for carpet installation” or “the homeowner is responsible for removing personal items and furnishings from the work areas”.

·        A federally mandated recision clause, enabling you to cancel the agreement within three days of signing it.

The next step is often a pre-construction conference with you, the remodeler, the lead carpenter or foreman, the designer (if any), and perhaps the major subcontractors.  The purpose of this meeting is to discuss the project schedule and ground rules.  This is the time to decide what parts of the house are to be work or material storage areas, and what areas are off limits.  Review your remodeler’s policies on crew behavior and let him know what you expect.  While most have clear guidelines concerning things like smoking (not allowed inside), radio use (low volume), phone use (local calls only), bathroom use (port-a-potty) and daily cleanup, these may be modified to reflect your needs.

This is also the time to address concerns about safety and security.  Construction sites are dangerous, especially to children and pets.  Be sure that you are satisfied with measures to separate the work areas from the rest of the house and secure the house during non-work times.  Make sure that you remove all personal items and furnishings from the work area.  No matter how careful and neat the workmen are, there will be dust, debris and the potential for damaging anything left in the work area.  In fact, the constant vibration from the project can cause items outside the work area to shift and fall.  Check that valuable items on shelves in the rest of the house are secured or moved. 

·        They return phone calls promptly.

·        They arrive for appointments on time – or call in plenty of time to explain and reschedule.

·        They are polite, considerate and careful around your home and furnishings.

·        They have vehicles and equipment that reflect positively on their professionalism and work ethics.

·        They carry contractor’s liability insurance and worker’s compensation insurance if they have employees.

·        They can provide references and examples of previous work.

·        They will be able to give you before the job starts, a schedule of when it will start and approximately when it will end.

·        They will provide written specifications and a contract that spell out the scope of work.

·        They will not proceed with any work outside the contract without a written change order that includes a description of the changes, the cost, and the impact of the changes on the schedule.

·        Their contract should include a procedure to resolve disputes between the owner and the contractor.

So, where do you find someone like that?  Your friends and neighbors are your best resource.  Try to find homeowners whose projects were similar to yours.  Most homeowners are more than happy to recommend a remodeler that did a good job for them.  And they are also happy to warn you about contractors that they would not hire again, and why!  Ask specific questions:  Did the remodeler show up on time and complete the job at the agreed-upon price?  Was there a problem that needed correcting and did it get done in a timely manner?  Was the workmanship satisfactory?  Did the contractor honor the warranty?  For how long and how quickly did they respond?

For more recommendations, call the Home Builders & Remodelers Association of New Hampshire (603-228-0351).  Ask for a list of members in your area.  Association membership, while not a guarantee, is an indicator that the remodeler is a serious professional.  Lumberyards, real estate agents, interior decorators and bankers are other sources to contact for recommendations.  

Choose several remodelers and make appointments to discuss your project.  The conventional, but flawed, wisdom is to get at least threes bids or estimates.  We think that this method for choosing a contractor almost always backfires.  In fact, a big difference between bids usually means that one of the bidders has misunderstood something important or made a major mathematical error.  Choosing a contractor with a very low bid is just asking for trouble down the road and may lead to an unsuccessful, premature conclusion of your project.  I’ll write more about this in another post.

Many established contractors, including a large percentage of design/build firms, don’t bid on jobs at all.  Why not?  Preparing a detailed bid takes many, many hours of unpaid work, not only for the contractor, but for all of the subcontractors as well.  The companies that you would like to construct your project, the ones with the great references and high standards, are almost never the low bidders.  Sometimes, you really do get what you pay for!  These contractors generally provide ballpark estimates, then negotiate an agreement after the design has been completed.

In the final analysis, choose a remodeler that you feel comfortable with and can trust.  You will have a long term relationship with this firm, so make sure that they will pay attention to your concerns and respond to your personal style.