- Community Climate Action Fund
Apply for Community Climate Action Fund
The City of Edina’s Community Climate Action Fund is a cost share program where the City reimburses residents and businesses for some of the costs to:
- Complete high-impact energy-efficiency projects based on a recent building audit, or
- Install on-site solar after completing energy efficiency improvements
Review savings from the 2022 Federal Inflation Reduction Act to further reduce costs on these projects.
Available Cost Share Amounts for 2023
Residential properties, single-family through 4-unit buildings
|Eligible projects||Base cost-share amount||Bonus cost-share amount**|
|Add air sealing and insulation to attic||100% utility rebate match||150% utility rebate match|
|Add wall insulation||150% utility rebate match||200% utility rebate match|
|High-efficiency electric appliance installation*||Base cost-share amount for natural gas appliance replacement||Bonus cost-share amount**|
|Install cold-climate air source heat pump (ducted or ductless)||$2,000, +$250 if you add air sealing and insulation||$2,500, +$250 if you add air sealing and insulation|
|Install heat pump water heater||$800||$1,000|
|Install induction stove||$500||$750|
|Install ground source heat pump||$2000, +$250 if you add air sealing and insulation||$2,500, +$250 if you add air sealing and insulation|
*Residents with existing electric appliances are eligible for this rebate. Residents receiving an Xcel energy rebate for replacing existing electric appliances with high-efficiency electric options will receive the listed cost-share amount, minus the Xcel energy rebate amount. For example, if a resident replaces an electric furnace with a cold-climate air source heat pump, they are eligible to receive the Xcel rebate up to $450, plus the CAP Fund cost-share at $1,550.
** Bonus Cost-share amounts are available to residents living in census tracts identified by the U.S. Department of Energy as experiencing energy justice challenges. In Edina, those tracts include an area just south of Excelsior Boulevard and another south of the Crosstown Highway (Minnesota Highway 62) between France and Xerxes avenues. Visit https://energyjustice.egs.anl.gov/ to learn more and see exact tracts by entering Edina, MN in the search.
Commercial and industrial private properties or multifamily (5+ units) buildings
- 50% utility rebate match up to $2,500 for energy efficiency projects (not including natural gas systems)
- Up to $2,500 cost share for electrification/fuel switching projects where natural gas infrastructure or appliances are removed and electric systems are added
- Up to 10% solar cost share for residents, businesses or organizations
- You must complete energy efficiency projects to become eligible for the solar cost-share. See the "solar bonus guidelines" for more detail.
- Projects applying for the cost share program must be a privately-owned existing residential (1-4 units), commercial, multifamily (5+ units) or industrial property located within the City of Edina.
- Energy Efficiency projects on new buildings or additions that completed construction within the past 12 months are not eligible for cost share funds.
- Applications limited to one project per master (tax) parcel. If you are applying for multiple projects on different master parcels, fill out a separate application for each project.
- An eligible Energy Assessment must be performed within 36 months of and prior to commencing any work eligible for cost sharing funds. The dated Energy Assessment report must be attached to the pre-approval application.
- Projects related to natural gas infrastructure or appliances are not eligible for cost share funds unless the project replaces such appliances with efficient electric alternatives.
- Applicant must be the property owner or manager.
- Buildings subject to Edina’s Efficient Buildings Ordinance must be in compliance to be eligible for cost share funds.
- Any necessary permits must be received after Jan. 1, 2023.
Sign up for a personalized energy assessment. Assessments must have been completed in the last 36 months. Eligible energy assessments include:
- Residential properties 1-4 units: Home Energy Squad ($50 or free depending on household income)
- Ask Home Energy Squad about opportunities to replace natural gas appliances with efficient electric alternatives such as heat pumps or induction technology
- Multi-family residential properties 5+units: Multi-family Building Efficiency (free)
- Commercial properties 25,000 square feet or less: Energy Smart (free)
- Commercial properties greater than 25,000 square feet: Joint Xcel & Centerpoint Commercial Energy Audit ($500 value, no cost to Efficient Buildings Ordinance compliant buildings in 2022.) Contact Grace Hancock, Sustainability Manager, to schedule.
Review energy assessment report to identify opportunities for improvement and explore financing options, such as:
- Federal Investment Tax Credit
- Federal Inflation Reduction Act
- Depreciation (MACR)
- Property Assessed Clean Energy (PACE) financing
- Trillion BTU financing
- Solar financing from Center for Energy and Environment
- Weatherization Assistance Program
- Edina Deferred Home Improvement Loan
- Xcel Energy Solar Rewards
- Xcel Energy rebates (see your energy assessment report for options)
- Centerpoint Energy rebates (see your energy assessment report for options)
Before applying for cost-sharing from the Community Climate Action Fund, you must apply for any necessary building and electrical permits for your project(s), whether for energy efficiency or solar.
Important information about solar
Applicants are strongly encouraged to complete any energy conservation and efficiency measures prior to installing solar. Reducing energy demand makes renewable energy more affordable, shrinking the size of the solar array needed to power the building. City cost-share funding for onsite solar is only available after energy efficiency projects have been completed. See the "Solar Bonus Guidelines" section below for more details.
It is recommended that you review the Minnesota Department of Labor and Industry's solar photovoltaic systems and the state building code fact sheet (PDF) before applying. Many buildings and garages will require structural improvements to support a solar array. Installation of a solar energy system on the roof of a structure adds weight to the structure, commonly referred to as “dead load.” This additional weight must be accounted for to ensure that the building can safely bear the weight of the solar installation. When a solar array is added to existing buildings, the cost and complexity of adding weight to the roof vary depending on the structure of the building and roof.
See the Building Permits & Resources page or contact the Buildings Inspections Division by email or 952-826-0372
You will be notified of your application status within 15 business days of receipt.
- After your application has been approved and you have been awarded a cost share, you must begin design and/or construction no more than 120 days after receiving a program acceptance email. If you don't communicate delays of more than 120 days to the City, the City will reallocate the funding to another project.
- All solar installations must have reached substantial completion by Dec. 31, 2023.
- To claim your cost share reimbursement, submit required documentation to the Sustainability Manager ([email protected]) by Dec. 31, 2023. If more than one contractor is used, there must be complete sets of documents for each contractor. The required documents are:
- Proof of final approved inspection by the City of Edina for any work requiring a City permit.
- Final paid invoice from the contractor or vendor showing the total project cost.
- Copy of utility rebate check (not required for electrification projects)
- Cost share payment will be issued to the property owner within 60 business days of receipt of required documentation.
Note: The City of Edina is not liable for funds promised to property owners because of a contractor misrepresenting this cost share program.
Before going solar, your property should be energy efficient. By reducing your energy consumption, you will get an even better financial investment out of your solar installation. After you have completed eligible energy efficiency and electrification projects, you can apply for solar reimbursement.
How to apply for solar cost-share:
- Apply for the Climate Action Fund cost share and indicate your interest in the solar bonus.
- Staff will review your application and be in touch about next steps.
- After you complete your eligible Climate Action Fund energy efficiency project(s), you will be preapproved for a bonus solar reimbursement.
- After completing energy efficiency project(s) that increase your home’s Home Energy Score* by 5 – 15 points
- 10% solar cost share
- For a home that receives Home Energy Score of 95+
- 5% solar cost share
For businesses and organizations:
- After completing energy efficiency project(s) resulting in a 5% – 15% greenhouse gas reduction for your property
- 10% solar cost share
*Home Energy Scores will be included in your Home Energy Squad report, required for Climate Action Fund participation
The City of Edina reserves the right to revoke the funding if the property owner or contractor violates program rules and procedures.
- All work must meet City of Edina, state, regional and national zoning, building and fire codes.
- Construction permits must be received after Jan. 1, 2023.
- The City of Edina cannot recommend specific contractors.
- Project costs include all costs required for design and construction of the solar array itself. Any structural improvements required to support the load of a solar array and any optional project additions (such as skirts or snow guards) will be excluded from the cost sharing calculation.
- Funds are allocated based on what’s approved in the application. In the event project scope or solar system size increases or decreases, the applicant is responsible for working with their developer to submit updated documents to the city. Any additional cost share funds must be approved by the City's Sustainability Division.
- For solar projects, cost share funds can only be used to compensate for the installation cost of the system.
- All solar installations must have reached substantial completion by Dec. 31, 2023. If for any reason the solar installation is not substantially complete by Dec. 31, 2023, the property owner agrees that any approved cost share funds will be forfeited and a new application can be considered in 2024.
- The applicant is responsible for arranging all upfront project financing.
- The applicant is responsible for ensuring that product purchases, equipment purchase, installation or other work proposed have been completed satisfactorily before paying the contractor(s).
- The applicant is strongly encouraged to verify the installer’s qualifications. The installation of racking, placing and securing modules, and the installation of all electrical wiring and electrical equipment, must be performed by a licensed electrical contractor and its licensed or registered employees. Make sure the installer and the licensed electrical contractor are in good standing with the Minnesota Department of Labor and Industry (DLI). To verify the status of licenses, visit the Department of Labor and Industry's website or call DLI at 651-284-5069.
- Check with your tax preparer to find out if there are tax implications of receiving cost share funds.
- Check with your property insurer to find out if solar panels are covered under your insurance policy.
- Is there a cap on the funding amount available per project?
There is no cap on the funding amount at this time. The City Manager approves annual fund allocations.
- Who receives the cost share funds?
The property owner receives the funds.
- Can I stack incentives?
Yes! Applicants can receive cost-share funds related to energy efficiency and electrification at the same time. Solar installations are eligible for cost-share funds after energy efficiency projects have been completed. Participating in Edina's Climate Action Fund does not affect your ability to receive tax credits or rebates from the federal government through the Inflation Reduction Act.
- What if I have to wait for an Energy Audit? Can I go ahead and apply for the CAP Fund if I know what projects I want to do?
No, an energy audit from the last 36 months is required to access Climate Action Funds.
- I want to apply for a solar cost-share, but do not wish to undertake any energy efficiency projects. Can I still apply?
o Homes that already receive a score of 95+ can seek a solar cost-share without additional energy efficiency projects. Email [email protected] to submit your home energy audit showing a score of 95+ in order to receive the solar cost-share application.
o Businesses that do not have any energy efficiency recommendations in their energy audit report can seek a solar cost-share without additional energy efficiency projects. Email [email protected] to receive the solar cost-share application.