Green Building Incentives that Work: Follow the Roadmap

January 4, 2022
by

Chris Van Dalen

category:

Climate change
And
Tools for planners
And
guest author

As part of the MRSC’s Local Climate Response Project, we invite guest authors to share options and ideas for local climate action related to preparing for and adapting to the impacts of climate change. This blog presents a toolkit that local government can use to implement green building incentives in a way that meets the needs of local communities.

Every US city, town, and county is unique, but across the United States many have used green building incentives to improve building quality, promote equity, and take action on climate change. why? Because incentives work.

However, getting it to work is difficult. Many have tried and failed while trying to navigate an extremely complex web of markets, regulations and jurisdictions related to buildings, not to mention all types and sizes of buildings! That’s why Shift Zero has developed the Carbon Zero Building Policy Toolkit (Toolkit), which is packed with insights and resources to help cities, towns, counties, and communities understand and navigate this challenging business.

The toolkit provides a “roadmap” and policy design tool that can be used by local government officials (and even green building advocates) to adapt policy proposals to the unique local context and conditions of each community. No two societies are the same, but there are case studies and model edicts to adapt and learn from, many of which can put you on the right track — and a running start.

Why focus on buildings?

In communities across Washington, buildings represent the first or second largest emitter of greenhouse gases driving climate change, the increasing effects of which present a clear and present danger to all, particularly our most vulnerable populations. At the same time, we stand at the crossroads of accounting for racial inequality, the COVID pandemic, and unprecedented economic and political change. Climate change looms over all of these – not only as an interconnected crisis – but also as an opportunity to take meaningful action on these issues by designing and implementing construction sector policies that increase energy efficiency and reduce emissions.

Fortunately, there are a range of options for green building incentives outlined in the toolkit, including expedited processes, land use incentives, technical assistance, marketing assistance, and/or financial incentives to choose from. When designed to the local context, it has proven to be an effective lure to get builders to “early adopt” what will ultimately be required – the design and construction of healthier, more efficient and resilient buildings – all of which create opportunities for the municipality to accelerate its transition to a just, carbon-neutral building future.

For example, Seattle’s Priority Green Expedited program offers developers expedited permits and density bonuses for certified green buildings, and now more than 70% of new single-family homes in the city hold a green-built certification.

To help communities across Washington, we didn’t just look to Seattle for examples. In San Juan County, Orcas’ Switch It Up Program Offers Power & Light Co-Op to Home Owners pay the bill of the cost of installing energy-saving equipment, with a tariff fee attached to their energy bill. At just 2% of the annual percentage, the program will finance a ductless heat pump, heat pump water heater, electric vehicle charging station, or fiber internet.

Healthy and effective, but for whom?

Critical examinations over the past two years have shown that the benefits of healthy and efficient housing are not evenly distributed, and that the effects of climate change disproportionately affect low-income, black, Indigenous, and Colored communities (BIPOC). The Toolkit emphasizes the importance of a fair construction policy. To this end, incentives associated with affordable housing and existing buildings, especially home rentals, can help improve equity.

The housing design demonstration projects in Bainbridge Island City do not require builders to build only green housing [see Bainbridge Island Municipal Code Sec. 2.16.020(S)], but also to include a variety of housing types and a commitment to keeping home prices affordable for 50 years. Builders can then qualify to receive density bonuses that allow up to 150% more units in a planned development. Results? More than 250 affordable homes have been built taking advantage of this policy.

Follow the roadmap

In addition to incentives, the toolkit offers a variety of other guidelines to help design an integrated building policy that can leverage incentives with current and future mandates, financing instruments, and green building certification systems. The primary theme of the toolkit is to create your own roadmap to a carbon-neutral future. By following the Roadmap, it provides a wealth of tools and resources that can help your community chart its unique course and navigate the complex web of building policies in pursuit of our common goal – a healthier and more prosperous future!

Shift Zero encourages all types of communities to follow the Roadmap, so they invite you to use the Carbon Zero Building Policy Toolkit and Policy Design Tool (downloadable spreadsheet) Free. If you do, please send your feedback to Shift Zero on how you have used it so they can document and share your success and lessons learned!

If you have any questions or need support on how to use the toolkit, contact Shift Zero.

MRSC is a private, non-profit organization serving local governments in Washington State. Eligible Washington state government agencies may use the free, individual Ask MRSC service to get answers to legal, policy, or financial questions.