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Audit of the Massachusetts Department of Energy Resources—Green Communities Division Overview of Audited Entity

This section describes the makeup and responsibilities of the Massachusetts Department of Energy Resources—Green Communities Division.

Table of Contents

Overview

The Department of Energy Resources (DOER) was established in accordance with Chapter 25A of the Massachusetts General Laws within the Executive Office of Energy and Environmental Affairs (EEA). DOER is administered by a commissioner, who is appointed by the Secretary of EEA, with the approval of the Governor.

According to DOER’s website,

[DOER] develops and implements policies and programs aimed at ensuring the adequacy, security, diversity, and cost-effectiveness of the Commonwealth’s energy supply to create a clean, affordable and resilient energy future for all residents, businesses, communities, and institutions.

Five divisions carry out DOER’s mission: the Emerging Technologies Division, the Energy Efficiency Division, the Energy Policy Planning and Analysis Division, the Renewable Energy Division, and the Green Communities Division (GCD).

For fiscal years 2019 and 2020, DOER received state appropriations totaling $4,978,014 and $4,437,101, respectively, to fund its operations. During our audit period, DOER had 66 employees.

GCD

GCD was created by the Green Communities Act (Chapter 169 of the Acts of 2008) to help municipalities become more sustainable in terms of their energy needs, control rising energy costs, and facilitate the use of clean energy technologies (e.g., solar). GCD disseminates information about clean energy resources on its website and has four regional coordinators who provide direct support to cities and towns.

To be designated as a green community, a city or town must apply to DOER to be designated as such and demonstrate that it has done the following:

  • adopt and maintain a local zoning bylaw or ordinance that allows as-of-right siting1 for renewable and/or alternative energy generation, research and development, or manufacturing facilities
  • adopt and maintain an expedited application and permit process for as-of-right energy facilities
  • establish a municipal energy use baseline and develop and implement a plan to reduce energy use by 20% within five years
  • purchase only fuel-efficient vehicles for municipal use whenever they are commercially available and practical
  • set and maintain requirements to minimize lifecycle energy costs for new construction.

Green Communities Designation and Grant Program

To encourage communities to use clean energy, Section 10 of Chapter 25A of the General Laws requires GCD to offer grant opportunities to municipalities designated as green communities. These designation grants are targeted to help municipalities reduce their carbon footprints and lower their energy costs. Designation grant money can be used to fund energy-related programs and activities, such as energy efficiency programs for municipal light plants; funding for municipalities to hire energy managers; clean energy projects at drinking water and wastewater facilities; and funding of independent third parties to help municipalities, regional school districts, or water and wastewater districts study, negotiate, develop, and/or manage clean energy projects. Designation grants are capped at $200,000 per community. During our audit period, DOER awarded the following designation grants, totaling $9,916,438, to 61 Massachusetts cities and towns:

Green Community Designation Grants
Fiscal Years 2019 through 2020

Fiscal Year

Designation Grants Awarded

2019

$ 4,866,648

2020

  5,049,790

Total

$ 9,916,438

 

Once a municipality is designated as a green community, it must submit to GCD annual reports that contain, among other things, information that substantiates that the municipality continues to meet the five criteria above. DOER uses the information in these reports to produce its own annual report for the state Legislature, which is required by Section 10 of Chapter 25A of the General Laws.

As of November 2020, 271 of the 351 cities and towns in the Commonwealth had been designated as green communities.

1.     According to DOER’s “Model As-of-Right Zoning Bylaw: Allowing Use of Large-Scale Ground-Mounted Solar Photovoltaic Installations,” as-of-right siting means that development of a site may proceed without the need for a special permit, variance, amendment, waiver, or other discretionary approval.

Date published: November 10, 2021

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