AK HB312

Establishes a low-interest loan program administered by the Alaska Housing Finance Corporation for homeowners to convert homes from oil, coal, or wood heating to natural gas, propane, biomass, electric heating, or district heat.

Requires homeowners to obtain an energy inspection by an approved energy rater or registered mechanical contractor at their own expense to determine energy efficiency improvements and cost savings.

Eligible homes must be owner-occupied, single-family dwellings or duplexes used as permanent residences located in Alaska with no more than 25 percent commercial use; excludes homes to be destroyed, abandoned, or converted within 12 months or where the new energy source is unavailable.

Loans carry a one percent interest rate, ten-year repayment term, no income limitations, and maximum amount of $7,500 or the actual cost of equipment, whichever is less; each homeowner may receive only one loan.

Loan repayments are recycled for future loans or administrative costs, while interest revenue is deposited in the general fund for the program or other public purposes.