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Residential Central Pellet Heating Program Program Manual

Posting Date: November 25, 2014 Updated: December 23, 2015

The Massachusetts Clean Energy Center (“MassCEC”) has authorized $30 Million in funding to support a suite of Clean Heating & Cooling programs through 2020. As part of this suite of programs, MassCEC provides rebates for the installation of high-efficiency, low emissions central pellet boilers and furnaces (“Central Heater”) in residential applications through the Residential Central Pellet Heating Program (“Residential Central Pellet Heating Program” or the “Program”). Through the Program, MassCEC supports efficient and high-quality clean heating and cooling technologies that provide consumer cost savings while reducing greenhouse gas (“GHG”) emissions. In the interest of increasing access to these technologies to all residents of Massachusetts, MassCEC offers increased incentives for households that earn less than 120% of the state median income.

This Residential Central Pellet Heating Program Manual (the “Program Manual”) describes the process for applying for a rebate, the eligibility requirements, and the rebate levels. The capitalized terms used in the Program Documents (Program Manual, Participant’s Agreement, Application, and Award Letter (the “Program Documents”)), including key definitions and definitions pertaining to eligible technologies, are listed in Section 4 of the Program Manual. Program Documents and further Program information are located on the Program webpage (http://www.masscec.com/residential/clean-heating-and-cooling).

Table of Contents 1. How to Participate in the Program ....................................................................................................... 2

2. Eligibility & Requirements ..................................................................................................................... 6

3. Rebate Structure ................................................................................................................................. 12

4. Program Definitions ............................................................................................................................ 14

5. General Conditions ............................................................................................................................. 16

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1. How to Participate in the Program

Homeowners interested in central wood pellet heating systems for their homes can learn more about the technology at About Biomass Heating, determine eligibility through this Program Manual, and locate eligible installers on the Program webpage. Residents are encouraged to work closely with an installer to determine if a system would work in their home. If a central pellet heating system is a good fit, installers will work with homeowners to confirm eligibility for rebates and will assist with the rebate application process.

All Standard Rebate applications must be submitted and approved by MassCEC before the installation process begins in order to be eligible for a rebate. For information on emergency replacement rebates, please see Section 1.2 below.

Once the homeowner has decided to move forward with a central pellet heating system, the Primary Installer should work with the resident to apply for a rebate.

1.1. How to Apply for Standard Rebate Step 1-Check Funding Availability: Annual funding may be limited and is available on a first-come, first-served basis. MassCEC will provide three months’ notice on the Program webpage if it is anticipated that funds will become unavailable in the given fiscal year. If funds are exhausted, additional funding may be added at MassCEC’s discretion. Throughout the duration of the Program, MassCEC reserves the right to modify and decrease the amount of program incentives in future iterations of the program.

Step 2-Understand Program Requirements: The System Owner and Primary Installer (together the “Applicant Parties”) should read this Program Manual prior to submitting an Application. The Applicant Parties must determine if the Project will meet program requirements specified in Section 2 in order to qualify for a rebate, including site eligibility and project technology requirements.

Step 3-System Owner determines eligibility for the Income-Based Rebate Adder and, if applicable, applies for income verification: See Section 2.4 for information on Income-Based Rebate Adder Eligibility. The 80% Income-Based Rebate Adder is only available to System Owners that are replacing or supplementing existing electric resistance, oil, or propane heating systems. If applying for the additional rebate available through the Income-Based Rebate Adder, the System Owner should verify their income as described in Section 2.2. System Owners who use MassCEC’s Income Verification portal should complete the income verification process before their Primary Installer submits their rebate Application. System Owners who are using an electric bill or fuel assistance letter should submit those documents with the Application.

Step 4-Application Evaluation and Awarding: Upon receiving the Application, MassCEC program staff will send an email confirming the Application has been received. After detailed application review, A second email will indicate one of the following Application statuses:

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• the Application is complete and has been accepted. The Award Letter and Project Completion Form will be attached to this email;

• the Application was incomplete and further information is needed; or • the proposed Project is ineligible and has been rejected.

Applications will be evaluated to ensure that the Project will meet the Eligibility and Project Requirements stated in this Program Manual. MassCEC reserves the right to accept, assign inspections, or reject Applications based on completeness, qualitative criteria, and available funding; to make no Awards; to award less than the Applicant requests; and/or to award less than the maximum amount of funds potentially available through this Program. MassCEC will notify Applicants of their Application status within four weeks of receipt of a complete Application barring extenuating circumstances. If the Application meets all requirements of this Program and funding remains available, MassCEC will issue an Award Letter to the System Owner via email which will provide details on the Award amount, and address to which the payment will be sent. MassCEC will also attach a Project Completion Form, which will be submitted to MassCEC upon Project Completion. Step 5-Complete Project: Project installation may commence only after receipt of the Award Letter. Projects must be completed within four (4) months of the Award Date on the Award Letter for Projects at existing buildings and within six (6) months for Projects at new construction buildings. Upon Project Completion, the Primary Installer in cooperation with the System Owner will complete and submit the Project Completion Form and supporting documentation to MassCEC, including:

1. Project Completion Form; and 2. Pictures of the new Pellet Central Heater and pellet bulk storage system installed.

This documentation should be submitted by email to biomassthermal@masscec.com with “CPH Application: System Owner Surname” in the subject line. Step 6-Receive Rebate Payment: Rebates can be paid to the System Owner, Primary Installer, or manufacturer/distributor provided that the System Owner provides permission in the Application. Upon approval of the Project Completion Documentation, payment will be made to the designated Payee within four (4) weeks.

1.2. How to Apply for an Emergency Replacement Rebate The Emergency Replacement Rebate process allows eligible Primary Installers to install eligible Central Heaters at eligible Project Sites, without first receiving an Award from MassCEC. The Emergency Replacement Rebate option is only available at Project Sites where the current heating system cannot safely function or the Primary Installer believes that for safe and reliable operation the system has to be replaced within 30 days. Under this option, the Primary Installer will charge the System Owner a price

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discounted by the estimated MassCEC rebate, and, if MassCEC determines that the Project meets all of the requirements outlined in this Program Manual; the Primary Installer will receive the rebate. If, for any reason, MassCEC determines that the Project is not eligible, the Primary Installer cannot seek to recover the estimated price of the MassCEC rebate from the System Owner. **Note: While the base rebate must go to the Primary Installer for Emergency Replacement, if the System Owner applies for an Income-Based Rebate Adder that portion of the rebate will go directly to the System Owner.**

Step 1-Determine Primary Installer Eligibility: Only Primary Installers who have had two successful inspections by MassCEC with no unsatisfactory issues identified are eligible to apply for this type of rebate. Primary Installers must submit and have approved an Emergency Replacement Primary Installer Agreement prior to applying for an Emergency Replacement Rebate. See Section 2.3 for more details.

Step 2-The Primary Installer Will Determine Project Eligibility and Understand Program Requirements: Project Sites are eligible for the Emergency Replacement rebate only if their current heating system cannot safely function or the Primary Installer believes that for safe and reliable operation the system has to be replaced within 30 days. Because the installation for Emergency Replacement projects will occur before MassCEC reviews the Application, it is the responsibility of the Primary Installer to ensure that the Project Site is eligible (see Section 2.1), the project design and installation meets all of MassCEC’s Project Requirements (see Section 2.4), and to review the Program webpage for any upcoming funding deadlines. MassCEC’s rebate for Emergency Replacement projects will only be paid to the Primary Installer.

Step 3 (Optional)- System Owner determines eligibility for the 80%-120% Income-Based Rebate Adder and, if applicable, applies for income verification: If applying for the additional rebate amount available through an Income-Based Rebate Adder, the System Owner must demonstrate that their household income is either between 80% and 120% of the SMI. While the base rebate must go to the Primary Installer for Emergency Replacement, if the System Owner applies for an Income-Based Rebate Adders that portion of the rebate will go to them, and the risk of failing to qualify for the Income-Based Rebate Adder will be borne by the System Owner. See Section 2.2 for more information on the Income-Based Rebate Adders. **Note: The Income-Based Rebate Adder for households earning less than 80% of the SMI is not available for the Emergency Replacement option.** Step 4-Complete Project: Project installation may commence before an Award from MassCEC. Upon Project Completion, the Primary Installer in cooperation with the System Owner will complete and submit all documents required for the Standard Rebate (as stated in Section 1.1), as well as:

1. Emergency Replacement Participation Agreement (in lieu of standard Participation Agreement) signed by the System Owner and Primary Installer; and

2. Emergency Replacement Project Completion Form (in lieu of the standard Project Completion Form) signed by the System Owner and Primary Installer.

These documents are available at http://www.masscec.com/residential/clean-heating-and-cooling.

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This documentation should be submitted by email to biomassthermal@masscec.com with “CPH Emergency Replacement Application: [System Owner Surname]” in the subject line.

Step 5-Receive Rebate Payment: If MassCEC determines that the Project meets all requirements in this Program Manual, an Award will be made. If the Project is not selected for inspection, the rebate will be paid to the Primary Installer within four (4) weeks. If the Project is selected for inspection and no issues that require correction are found, the rebate will be paid to the Primary Installer within six (6) weeks.

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2. Eligibility & Requirements System Owners, Primary Installers, and Projects must meet the following eligibility requirements.

2.1. Project Site Eligibility Project Sites must be residential properties; new or existing single family homes or buildings with up to four units are eligible for this program. Project Sites must be occupied year-round. The rebate may be combined with any other local, state or federal incentive and Applicants are encouraged to do so where possible. Grantees must declare this rebate if applying for a MassSave HEAT Loan. For the Standard Rebate, Project installation may not commence until after the Application has been approved by MassCEC and System Owner has received an Award Letter; projects that have already commenced construction are not eligible for the rebate. Project Sites are eligible for the Emergency Replacement rebate only if their current heating system cannot safely function or the Primary Installer believes that for safe and reliable operation the system has to be replaced within 30 days. Project Site Utility Service Projects may be installed in residences that fall under one of the two following categories:

• The Project Site is in a utility territory that contributes to the Renewable Energy Trust. This includes the Massachusetts service territory of National Grid, Eversource, Unitil, and municipal light plants that have elected to pay into the Renewable Energy Trust (please see http://www.masscec.com/municipal-lighting-plant-communities for more information).

• The Project Site is located in the service territory of a municipal light plant that has not elected to pay into the Renewable Energy Trust, but the Project will be replacing or supplementing an existing electric resistance heating system (not including an existing cold-climate ASHP).

Project Site Energy Efficiency Audit Requirement All existing residences must have an energy efficiency audit completed within the past 48 months or have an efficiency audit scheduled to occur and completed within six months of Project Completion. MassCEC highly recommends that priority recommendations from the audit are implemented. For qualifying locations, free residential energy audits can be scheduled through MassSave at www.masssave.com. New construction residences do not require an energy audit, although an energy audit is still recommended.

2.2. Income-Based Rebate Adder Eligibility In the interest of increasing access to clean heating and cooling technologies such as high-efficiency, low emissions central pellet boilers and furnaces to all residents of Massachusetts, MassCEC offers additional incentives for households with income below 80% and 120% of the state median income (SMI). The 80% Income-Based Rebate Adder is only available to System Owners that are replacing or supplementing existing electric resistance, oil, or propane heating systems. Eligibility thresholds are determined based on household size, as shown in the table below.

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Table 1. Income-Based Rebate Adder Thresholds by Household Size Household Size 80% of State Median Income 120% of State Median Income

1 $44,168 $66,252 2 $57,759 $86,638 3 $71,348 $107,022 4 $84,939 $127,408 5 $98,529 $147,794 6 $112,119 $168,178 7 $114,667 $172,000 8 $117,216 $175,824 9 $119,764 $179,646

10 $122,312 $183,468 11 $124,860 $187,290 12 $127,408 $191,112 13 $129,956 $194,934 14 $132,504 $198,756 15 $135,052 $202,578 16 $137,600 $206,400 17 $140,149 $210,224

To receive the Income-Based Rebate Adder, the System Owner must complete one of the following three income verification methods:

1. Electric Bill: Provide MassCEC with a copy of an Electric Bill with a low-income rate code from within the last six months. National Grid, Unitil, and Eversource’s low-income rate code is R2.

2. Fuel Assistance Letter: Provide MassCEC with a copy of a LIHEAP Fuel Assistance Letter of Acceptance from within one year showing the date, System Owner’s name, and Project Site address. An example Fuel Assistance Letter can be found on the Program webpage.

3. MassCEC Income Verification: Complete a free income verification through MassCEC’s Income Verification portal (http://massceciverify.com). The income verification process requires submission of a completed IRS Form 4506‐T for each adult tax filing (single, married filing jointly, married filing separately, and/or head of a household) within the household.

a. System Owners that are going through MassCEC’s income verification portal should select “MassCEC Income Verifier Approval” as the income verification method on their Application.

b. MassCEC’s Income Verification portal process takes approximately one week to verify income.

c. Income verification should be completed prior to the Application and will be valid for a period of one year.

d. Once the income verification process is completed, MassCEC and the System Owner will receive an email confirming the System Owner is eligible for the Income-Based Rebate

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Adder. Once the System Owner has received the email confirmation, the rebate Application can be submitted to MassCEC. MassCEC is automatically notified of all System Owners who are eligible for the Income-Based Rebate Adder.

e. Note: MassCEC’s income verification portal is run by an independent third-party that meets stringent security standards. MassCEC will never have access to any Applicant’s financial information or tax documents.

System Owners that are using MassCEC’s Income Verification portal should complete the income verification process before their Primary Installer applies for the cold-climate ASHP rebate. System Owners that are using an electric bill or fuel assistance letter should submit those documents with the Application.

2.3. Primary Installer Requirements Installer Accreditation Prior to submitting Applications, Primary Installers participating in the Program must read and submit a signed copy of the Primary Installer Agreement (available at http://www.masscec.com/residential/clean-heating-and-cooling) and provide MassCEC with a letter or certificate from the Central Heater manufacturer or distributor verifying that they have successfully completed training for the products they plan on installing under the program. Primary Installers may submit additional brand certifications throughout the Program. Design Review MassCEC may elect to consult an independent Third-Party Inspector to review a Project’s design and ask the Primary Installer to describe the sequence of operations including all actions that initiate demand for heat (space heating, domestic hot water, etc.) and all actions that shut off operations. Installation Inspections MassCEC will send a Third-Party Inspector to inspect a minimum of two completed projects for each Primary Installer. MassCEC reserves the right to inspect subsequent Project Completions at random or due to suspected issues. If the inspector detects an issue with a heating system installation, MassCEC will withhold payment until the issue is resolved by the Primary Installer. Furthermore, MassCEC reserves the right to suspend current Applications and/or stop accepting Applications from that Primary Installer and/or its subcontractors.

Emergency Replacement Eligibility A Primary Installer is only eligible to participate in the Emergency Replacement Rebate option as outlined in Section 1.2 after they have had two successful inspections by MassCEC with no unsatisfactory issues identified, submitted Emergency Replacement Primary Installer Agreement to MassCEC, and received notice from MassCEC that they have been approved to participate in the Emergency Replacement Rebate program.

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2.4. Project Requirements In order to be eligible for a rebate, Projects must meet the following requirements: Equipment Requirements: Central Heaters must meet MassCEC’s Central Wood Pellet Heating System Requirements (posted on the Program webpage), which detail testing and qualification requirements. Emissions must be determined by an accredited third-party testing laboratory such as EPA, ANSI in the United States or alternatively approved and recognized by authorities having jurisdiction in the United States, Canada, and/or the European Union. For each qualifying Central Heater, manufacturers must submit Central Heater emissions test result data to biomassthermal@masscec.com for verification by MassCEC staff. MassCEC may require submission of additional documentation that the proposed Central Heater meets the following Equipment Requirements. MassCEC will use this documentation to determine efficiency, emissions, and modulation levels for purposes of evaluating eligible equipment. MassCEC will post a list of eligible equipment manufacturers listed at http://www.masscec.com/residential/clean-heating-and-cooling. This list is not comprehensive and additional Central Heaters can be added at any time.

1. The Central Heater must have a Particulate Matter of 2.5 micrometers or less (PM2.5) emissions rate of no greater than 0.08 lb PM2.5/MMBTUinput at nominal output (equivalent to <0.10 lb PM2.5/MMBTUoutput at 80% thermal efficiency).

2. The Central Heater must have a thermal efficiency of 80% or greater. 3. The Central Heater must be capable of automatic startup in response to a demand for heat

(electronic ignition). 4. The Central Heater must automatically modulate to lower output and/or turn itself off when the

heating load decreases or is satisfied. 5. The Central Heater must have a multi-pass heat exchanger. 6. The pressurized portion of the Central Heater must be ASME certified. 7. The Central Heater must be designed for installation in a weatherproof, insulated space inside

the residence, either in a basement or a room designed specifically to accommodate the heating system, although if space does not permit, it may be installed in a separate structure. Central Heaters designed for outdoor installation or tested to or designed for EPA test method 28 are not permitted.

8. The heating system must include a positive closure and/or fire extinguishing device and/or emergency disconnection device between the burn chamber and the bulk storage device to keep fire from reaching the pellet storage area and a grounded or anti-static fuel pipe connecting the boiler or furnace to the storage bin.

9. The system must adhere to all applicable federal, state and local building codes and regulations, safety standards and certifications.

10. Steam boilers are not eligible for this Program. 11. Central Heaters that are capable of burning multiple fuel types are not eligible for this Program. 12. Pellet burners that are installed on existing boilers are not eligible for this program.

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Thermal Storage Requirements

13. All boiler Projects must incorporate thermal storage unless they have submitted and had approved by MassCEC independent third-party test results documenting that the heating system is designed for and capable of:

a. Modulating below 20% of full capacity; b. Maintaining a PM2.5 emissions rate of no greater than 0.08 lb PM2.5/MMBTUinput at

nominal output (equivalent to <0.10 lb PM2.5/MMBTUoutput at 80% thermal efficiency); and

c. Maintaining thermal efficiency of 80% or greater at minimum capacity. 14. All furnace Projects must incorporate thermal storage unless they have submitted and had

approved by MassCEC independent third-party test results documenting that the heating system is designed for and capable of:

a. Modulating below 35% of maximum capacity; b. Maintaining an average emissions rate of less than 0.08 lb PM2.5/MMBTUinput

(equivalent to <0.10 lb PM2.5/MMBTUoutput at 80% thermal efficiency) for the averaged value of all tested capacities;

c. Maintaining emissions rate of less than 0.12 lb PM2.5/MMBTUinput (equivalent to <0.15 lb PM2.5/MMBTUoutput at 80% thermal efficiency) at the system’s minimum tested capacity; and

d. Maintaining thermal efficiency (HHV) of ≥80% at the system’s minimum tested capacity. Note: Furnaces may only be installed in buildings with ductwork. Furnaces may not be installed to indirectly support hydronic or steam distribution systems.

15. The thermal storage system must have a minimum of 80 gallon capacity and an additional one (1) gallon of capacity per 1,000 BTU/hr of nameplate heating capacity being installed over 80,000 BTU/hr up to 119 gallons. For example, a 65,000 BTU/hr heater would require 80 gallons of thermal storage. A 100,000 BTU/hr heater would require 100 gallons of thermal storage, and a 140,000 BTU/hr heater would require 119 gallons of thermal storage.

16. The thermal storage tank must have controls integrating the Central Heater and decrease the number of Central Heater starts and stops.

17. Thermal storage tanks must have a minimum of R12 insulation. 18. Horizontal thermal storage tanks are not permitted.

Bulk Pellet Storage and Delivery Requirement

19. The system must have an indoor or outdoor bulk pellet storage unit that automatically supplies the boiler or furnace with pellets by pneumatic hose or auger. Indoor units must be sized to contain between 3 and 5 tons of pellets. Outdoor units must have a minimum capacity of 3 tons; there is no maximum capacity for outdoor units. The bulk storage unit must be capable of receiving bulk delivery via pneumatic hose from a delivery truck. The delivery point must be located 80 feet or less from the street or driveway and accessible to bulk pellet delivery trucks. Purchased pellet storage silos as well as site built pellet storage units are acceptable. Site built

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bulk pellet storage units will require a Professional engineer stamp and approval by the local building inspector. Outdoor pellet silos designed specifically for the purpose of storing wood pellets are permitted.

20. Grantees must take bulk delivery. 21. Pellets must be premium wood pellets certified to the Pellet Fuels Institute (PFI) Standards

Program or ENPlus and in accordance with Central Heater manufacturer fuel specifications. Using poor quality fuel can decrease efficiency and boiler/furnace lifetime as well as void the manufacturer warranty.

22. Site-built and outdoor pellet bulk storage units must be labelled with clearly visible, permanent signs at access points stating that access may only be made by qualified professionals.

23. Access points to site-built or outdoor pellet bulk storage units must be locked at all times when the storage unit is not being accessed.

24. Only professionals utilizing appropriate safety procedures should enter pellet bulk storage units. Residents should never enter the unit.

Heat Load Calculation and Sizing Requirements 25. The Central Heater may not be sized with a building peak heating capacity (kBTU/hr) greater

than 120% of the building’s heat load, as calculated using the Air Conditioning Contractors of America (ACCA) Manual J building heat load calculation method.

26. Primary Installers must submit the summary page of the Manual J heat load calculation of the building’s peak heat load at the 99% dry bulb heating design temperature for the nearest ACCA location. All listed Massachusetts locations and their heating design temperatures are provided below. Heating set temperatures may be between 68 and 72 degrees Fahrenheit.

Table 2. Heating Design Temperature for Massachusetts

Massachusetts Location

Heating Design Temperature in Degrees Fahrenheit

Boston 12 Clinton 2

East Falmouth 14 Fall River 9

Framingham 6 Gloucester 5 Greenfield -2 Lawrence 0

Lowell 1 New Bedford 9

Pittsfield -3 Springfield 0

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Taunton 9 Weymouth 11 Worcester 5

Warranty

27. The Primary Installer must provide the System Owner with a one year full cost warranty including labor, repair or replacement of defective components or systems, and an additional two year parts warranty.

Monitoring

28. To be eligible for an Award under this Program, the System Owner must agree to allow metering and monitoring to be conducted on their Project for up to 24 months after installation, if requested. Upon request, the System Owner will be required to submit utility and fossil fuel bills for two years prior to installation (for existing buildings) and for the duration of the performance monitoring. Monitoring equipment will be paid for and installed directly by contractors to MassCEC with no direct cost to the System Owner. Data will be collected and analyzed for program evaluation purposes and will not impact the Award received by the Grantee.

3. Rebate Structure Annual funding may be limited and is available on a first-come, first-served basis. If funds are exhausted, additional funding may be added at MassCEC’s discretion. MassCEC will strive to provide three months’ notice if it is anticipated that funds will become unavailable in the given fiscal year. MassCEC reserves the right to modify program incentives in future iterations of the program.

The base rebate is 45% of qualifying project costs (“Eligible Project Costs”) or up to $10,000, whichever is less. For households at or below 120% of the state median income, as defined in Table 1 above, the rebate level is 55% of Eligible Project Costs, up to $12,500. For households at or below 80% of the state median income, as defined in Table 1 above, the rebate level is 65% of Eligible Project Costs, up to $14,500. All projects that are required to install or choose to install thermal storage that meet the requirements outlined in Section 2.4 are eligible for the Thermal Storage Adder of the lesser of the installed cost of the thermal storage unit or $2,000.

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Table 3. Rebate amounts and limits Base Rebate Amount Thermal Storage Adder Maximum Total

Rebate Base Rebate 45% of Eligible Project

Costs, limited to $10,000

100% of Thermal Storage Unit Installed Cost, limited to $2,000

$12,000

80%-120% of SMI Income-Based Rebate Adder

55% of Eligible Project Costs, limited to $12,250

100% of Thermal Storage Unit Installed Cost, limited to $2,000

$14,250

<80% of SMI Income-Based Rebate Adder

65% of Eligible Project Costs, limited to $14,500

100% of Thermal Storage Unit Installed Cost, limited to $2,000

$16,500

Eligible Project Costs include the equipment costs and any installation work for the Central Heater, the bulk pellet storage unit (and engineering or site built storage units) including the pellet conveyance system from the bulk storage unit to the boiler/furnace, piping from the boiler/furnace to the thermal storage system, and piping from the boiler/furnace to the thermal storage system to the distribution system pumps, less any non-MassCEC rebates, grants, or tax credits. Distribution system pumps, distribution equipment and upgrades, and demolition and disposal of existing equipment are not eligible project costs. Please contact the Program for clarification of what qualifies as Eligible Project Costs. Primary Installers will be asked to provide a project cost summary on the Project Completion Form and legally certify that the rebate amount is based on Eligible Project Costs. MassCEC has the right to audit project cost claims throughout the Program on a random basis or if issues are suspected. MassCEC will give Projects 15 days of notice prior to audit. Primary Installers that have misrepresented Eligible Project Costs will be barred from future participation in the Program. Contact Information: For questions on the Residential Central Pellet Heating Program, please visit the Program website at http://www.masscec.com/residential/clean-heating-and-cooling, email the Program mailbox at biomassthermal@masscec.com, or call 617-315-9357.

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4. Program Definitions 80% Income-Based Rebate Adder: The increased incentive level for which System Owners with household incomes less than 80% of the state median income are eligible.

80 - 120% Income-Based Rebate Adder: The increased incentive level for which System Owners with household incomes between 80% and 120% of the state median income are eligible.

Applicant: The Applicant is the Primary Installer who prepares and submits the Application on behalf of the System Owner. The Primary Installer is responsible to work with the System Owner to prepare and submit the Application. Applicant Parties: The Primary Installer and the System Owner, who together are responsible for providing the content of and signing the Application.

Application: Application submitted on behalf of System Owner by Primary Installer for an Award.

Award: Rebate funding awarded to a System Owner under the Program based on a submitted Application that has been approved by MassCEC.

Bulk Pellet Delivery: Delivery of biomass pellets in high-volume, typically 3 to 5 tons for residential applications. Delivery is typically provided by a truck with a pneumatic hose directly into the bulk pellet storage hopper.

Eligible Project Costs: These costs refer to costs directly associated with the biomass central heating system but do not include elements of the distribution system or other heating systems. Please see Section 3 for further details.

Grantee: The System Owner once the Award is made.

kBTU/hr: this common unit of thermal power capacity represents the 1,000 British Thermal Units (BTUs) of thermal energy delivered per hour.

Manual J Heat Load Calculation: The calculation of a building’s heat load using the Air-Conditioning Contractors of America (ACCA) Manual J methodology. This heat load represents a building’s heating and cooling capacity needed for a heating and/or cooling unit under design conditions.

Payee: The Payee is the designee to receive the rebate for a Project that has achieved Project Completion. A System Owner may choose to have its Award paid directly to the Primary Installer. Payment is made for the work performed on the Project and does not convey ownership rights to the installed system.

Primary Installer: The Primary Installer is the primary entity responsible for the installation of the Project. The Primary Installer is directly responsible for turnkey project management, submission of the Application, and installation work, although aspects of the installation work may be sub-contracted.

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Program Documents: The Program Documents consist of the Program Manual, Application, Participation Agreement, and Award Letter.

Project: The Central Heater system.

Project Site: The residential building being served by the Project.

Project Completion: The status of a Project at the stage when major Project components have been fully installed. Supplemental service or modifications do not change the Project Completion status.

Project Completion Date: The date when major components have been fully installed. Supplemental service or modifications do not change the original Project Completion Date.

System Owner: An individual who, together with the Primary Installer, applies to MassCEC for a Program rebate. The System Owner is the owner of the Project that is supported by the Program rebate.

Thermal Storage: A system which stores thermal energy for use in supplementing or offsetting heating system output.

Third-Party Inspector: An independent third-party engaged by MassCEC to inspect completed projects and review project designs.

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5. General Conditions MassCEC reserves the right to reject any Applications or Projects.

5.1 Notice of Public Disclosure

5.1.1 General Statement on Public Records As a public entity, MassCEC is subject to Massachusetts’ Public Records Law, codified at Chapter 66 of the Massachusetts General Laws (“Public Records Law”). Applicants acknowledge and agree that any documentary material, data, or other information submitted to MassCEC are presumed to be public records. An exemption to the Public Records Law may apply to certain records, including materials that fall under certain categories under a statutory or common law exemption, including the limited exemption at Massachusetts General Laws Chapter 23J, Section 2(k) regarding certain types of confidential information submitted to MassCEC by an applicant for any form of assistance. By submission of an application, Applicants acknowledge and agree that MassCEC, in its sole discretion, shall determine whether any particular document, material, data or other information is exempt from or subject to public disclosure. Thus, MassCEC urges Applicants to carefully consider what documents, materials, data and other information is submitted to MassCEC in connection with this Program.

In line with Public Records Law requirements, MassCEC generally considers the following types of information as exempt:

• Personal email addresses • Personal phone numbers • Electric bills • LIHEAP Fuel Assistance Letter of Acceptance • Eligibility letter for MassCEC’s Income-Based Rebate Adders

5.1.2 Open Checkbook System Owner agrees and acknowledges that MassCEC shall have the right to disclose the name of any Grantee, the amount of the payment under the Program and any other information it may deem reasonably necessary on Open Checkbook, the Commonwealth of Massachusetts’ online database of state spending.

5.2 Contractual Requirements The Participation Agreement defines the legal terms that will govern the Award and sets forth the respective roles and responsibilities of the parties specifically as they relate to the Project that is the subject of the Award. The Participation Agreement is designed to be executed upon submitting an Application. This contract language is non-negotiable.

No grant funds may be used to pay rebates for Projects that reach Project Completion prior to the program launch date or after the program deadline.

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5.3 Waiver Authority MassCEC reserves the right, at its sole discretion, to waive minor irregularities in submittal requirements, to request modifications of the Application, to accept or reject any or all Applications received, and/or to cancel all or part of this Program at any time prior to Awards.

5.4 Disclaimer This Program Manual does not commit MassCEC to award any funds, pay any costs incurred in preparing an Application, or procure or contract for services or supplies. MassCEC reserves the right to accept or reject any or all Applications received, negotiate with all qualified Applicants, cancel or modify the Program Manual in part or in its entirety, or change the Application guidelines, when it is in its best interests.

5.5 Changes/Amendments to the Program Manual The requirements listed herein are subject to change without notice to potential Applicant Parties. This Program Manual has been distributed electronically using MassCEC’s website. It is the responsibility of Applicant Parties to check MassCEC’s website for any addenda or modifications to the Program Manual to which they intend to respond. MassCEC, the Commonwealth of Massachusetts, and its subdivisions accept no liability and will provide no accommodation to Applicants who submit an Application based on an out-of date Program Manual and/or related document.