Power Forward Communities is a nonprofit coalition that was awarded a $2 billion National Clean Investment Fund (NCIF) grant from the Environmental Protection Agency (EPA) to offer financing for residential carbon emission-reduction projects. It provides loans to homeowners and developers to replace appliances and make other upgrades to homes to make them more energy efficient. 1
Background
Power Forward Communities is a nonprofit organization founded in 2023 by Enterprise Community Partners, Rewiring America, Habitat for Humanity International, Local Initiatives Support Corporation (LISC), and United Way Worldwide (United Way). It is a coalition of nonprofit organizations, private companies, municipalities, housing developers, financial institutions, labor unions, and utility companies that advocate for publicly funded carbon emissions-reduction efforts that would replace appliances with newer ones and reduce use of conventional energy. 2
In April 2024, Power Forward Communities announced that it was awarded a $2 billion National Clean Investment Fund (NCIF) grant from the Environmental Protection Agency to finance residential decarbonization efforts. It reports that the funding is focused on low-income and alleged “disadvantaged communities.” In the press release announcing the funding, Power Forward Communities claimed to have 321 member organizations, including 156 municipalities across 46 states. 3
National Clean Investment Fund Grant
The National Clean Investment Fund is a $14 billion grant program made by the Environmental Protection Agency through funding under the Biden administration’s Inflation Reduction Act. In April 2024, Power Forward Communities was awarded a $2 billion NCIF grant to subsidize energy efficiency home improvement and development projects. Grantees are also required to provide seven dollars in private capital for each dollar in grant money received. 4
Using NFIC funding, Power Forward Communities will offer loans to fund home improvement and development projects in the name of decarbonization, claiming to offer loans at a below-market-rate. It also states that it will negotiate the cost of decarbonization projects on behalf of consumers and represent them in communications with contractors and local governments. 5
Power Forward Communities reports that it plans on creating online tools for homeowners and housing developers to view relevant regulations and incentives available for residential emissions-reduction projects. 6
Leadership
Ari Matusiak founded Power Forward Communities in October 2023 and is the co-chair of the board. He also is the founder and CEO of Rewiring America, which is an organization that advocates for public programs that would fund home improvement projects to address environmental issues. Beginning in April 2024, Matusiak also is also an advisor to Systemiq Capital, an investment firm that funds environmentalist technology initiatives. 7
Timothy Mayopoulos is the CEO of Power Forward Communities and has led numerous major financial institutions, having been managing director and senior deputy general counsel for Credit Suisse, managing director and general counsel of Deutsche Bank, and executive vice president and general counsel for Bank of America. Notably, Mayopoulos was executive vice president, chief administrative officer, general counsel, and corporate secretary for Fannie Mae from 2009 to 2012 before becoming president and CEO of Fannie Mae from June 2012 to 2018. In an article by United Way, a Power Forward Communities co-founding organization, Mayopoulous advocated for the use of government funding to subsidize loans made by private companies as a means to address environmental issues. 8 9
References
- “Power Forward Communities.” Power Forward Communities. Accessed July 15, 2024. https://powerforwardcommunities.org/press-release.
- “Power Forward Communities.” Power Forward Communities. Accessed July 15, 2024. https://powerforwardcommunities.org/.
- “Power Forward Communities.” Power Forward Communities. Accessed July 15, 2024. https://powerforwardcommunities.org/press-release.
- “Biden-Harris Administration Announces $20 Billion in Grants to Mobilize Private Capital and Deliver Clean Energy and Climate Solutions to Communities Across America.” EPA. Accessed July 15, 2024. https://www.epa.gov/newsreleases/biden-harris-administration-announces-20-billion-grants-mobilize-private-capital-and.
- “Power Forward Communities.” Power Forward Communities. Accessed July 15, 2024. https://powerforwardcommunities.org/press-release.
- “Power Forward Communities.” Power Forward Communities. Accessed July 15, 2024. https://powerforwardcommunities.org/press-release.
- “Ari Matusiak.” LinkedIn, Accessed July 15, 2024. https://www.linkedin.com/in/arimatusiak/details/experience/.
- United Way. “Power Forward Communities Awarded $2 Billion as Part of the National Clean Investment Fund to Decarbonize American Homes.” LinkedIn, April 8, 2024. https://www.linkedin.com/pulse/power-forward-communities-awarded-2-billion-part-64xme/.
- “Timothy Mayopoulos.” LinkedIn, Accessed July 15, 2024. https://www.linkedin.com/in/timothy-j-mayopoulos-56972a45/details/experience/.