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The Fairbanks North Star Borough shall, to the extent funds are available and appropriated by the Assembly, offer a voluntary heating oil to natural gas or propane conversion program to help offset the costs of removing, replacing, and/or converting an appliance designed to use heating oil and replacing or converting it to an appliance designed to use natural gas or propane. This program shall be subject to the following eligibility requirements, conditions, and criteria:

A. General Requirements.

1. Application. An application approved by the division and signed by all property owner(s) must be submitted along with any documentation required by the division. Applicants must fully comply with the division’s inspection process which shall verify the existence of a qualifying heating oil appliance and/or existing SFBA.

2. Priority Ranking. Applications may be prioritized and may be limited by the division in its discretion based on geographical location and the overall air quality benefit from the proposed conversion.

3. Eligibility. The program is limited to properties within the nonattainment area. If an SFBA is installed on the property, the SFBA must meet the requirements for a four-year NOASH waiver in Table 7.12-5 of the State Air Quality Control Plan Vol. II: III.D.7.12 Fairbanks Emergency Episode Plan as amended and adopted November 18, 2020. If an application is approved for the program, the applicant will be given up to 90 days to meet all of the requirements. Applicants must have no delinquent property tax or penalty or interest owing at the time of application and at completion of the program requirements. Applicants must be in compliance with any applicable local, state, or federal air quality regulations.

B. Additional Requirements. In addition to the general requirements set forth in this section, applicants must also meet the following requirements:

1. Fully comply with the inspection process required by the division that shall ensure that the existence of the qualifying heating oil appliance is properly documented.

2. Removal or upgrade of appliance.

3. Delivery of appliance to an authorized decommission station, if applicable.

4. Certificate of destruction delivered to the division, if applicable.

5. Final installation or upgrade of a qualified appliance visually verified.

6. The qualified appliance must be properly installed by a Borough-listed installer attesting to proper installation of the appliance based on manufacturer’s installation manual, compliance with any building code requirements, and that the appliance is properly sized for the building in question.

7. Applications shall include a signed recordable document, enforceable by the agency with jurisdiction, restricting future installations of SFBAs and requiring appropriate notice to purchasers in the seller’s disclosure statement.

8. All aspects of this section may be performed by Borough-approved personnel or a Borough-approved vendor.

9. Fully comply with all applicable local, state, and federal regulations, and meet all requirements of the funding source.

C. Payments. Applicants will be eligible for reimbursements or, at the option of the applicant, payment may be made directly to a Borough-listed installer. Reimbursements and payments shall be available as follows:

1. Conversion of an existing appliance using heating oil to an appliance using natural gas or propane, up to $2,500 for parts, labor, gas line, hookup fees, and other associated fees.

2. Removal and replacement of an existing appliance using heating oil with an appliance using natural gas or propane, up to $7,500 for removal of old appliance, new appliance, parts, labor, gas line, hookup fees, and other associated fees.

D. Combination SFBA and Heating Oil to Gas Change Out Programs.

1. If allowable by the funding source, a combination of SFBAs and heating oil appliances (up to three appliances total) may be replaced with a single natural gas or propane heating appliance that meets the requirements as outlined by both programs. Applications for both programs must be submitted, and all requirements for both programs must be met.

2. The reimbursement and payment schedule for each individual device being replaced will be combined to determine the maximum possible final reimbursement amount, with final reimbursement not to exceed the actual purchase and installation cost of the new gas or propane heating appliance. (Ord. 2022-69 § 3, 2023; Ord. 2022-17 § 2, 2022; Ord. 2019-45 § 2, 2019.)