Elgin gets $1 million grant to help residents become energy efficient

Corporations, construction firms and cities - they all have landed their share of federal stimulus money.

Now, Elginites also can get their slice of the pie - depending on just how inefficient their homes are.

The city of Elgin recently received $1 million in energy efficiency grants and $250,000 of that will be used to create a revolving zero-interest loan program to help homeowners replace inefficient and aging furnaces, windows and other household infrastructure.

"We figure there will be a rush to get into the program for the first few years," said Jennifer Fritz-Williams, the city's historic preservation planner.

Applications will be accepted on the city's Web site, cityofelgin.org, from April 1 through April 30.

Each will receive a free environmental audit examining the scope and cost of the work as well as how much money will be saved each year.

The projects that can save the most on energy costs will move up on the list.

The city of Elgin will pay upfront costs for each project and the property owners will be charged in installments on their water bills.

How long the money is repaid depends on how much energy the project itself saves.

For example, Fritz-Williams said, if a project costs $5,000 to complete and saves $1,000 a year, the homeowner must repay the zero-interest loan in five years.

City officials expect to exhaust the $250,000 this year, but people repaying their loans in subsequent years will help fund projects for years to come.

"We believe it will be very competitive," Fritz-Williams said.

So far, the city has received several waves of stimulus money for a variety of uses, including paving roads, buying and renovating foreclosed homes and replanting trees.

"This is an opportunity for residents to benefit directly from stimulus funds," city spokeswoman Sue Olafson said.

City officials are also formulating a business grant program and should have applications on their Web site by mid-April.

For details, call (847) 931-6004 or e-mail fritz-williams j@cityofelgin.org.