Capitalizing on a third wave of federal investment : reenvisioning an energy efficiency retrofit strategy for Oakland, California

Abstract

For some time, Oakland, California has suffered the cruel misfortune of persistently negative challenges, including high unemployment, poverty, and slow economic growth. Oakland leaders believe that the American Recovery and Reinvestment Act of 2009 can help relieve the city of these ailments. Thus far, the City has received over $200 million in Stimulus awards from the government. Over one third of the grant total is designated for workforce and economic development as well as the promotion of energy efficiency. This thesis explores the role of federal investment in local economic development in Oakland. The research first evaluates the effects of two prior periods of government funding in the City - the injection of federal funds to finance the war industries during World War Il and the Economic Development Administration's City Rebuilding Program during the 1960s - and then contrasts how the current flow of stimulus dollars represents a third installment of federal investment that offers a new opportunity for sustained, equitable, and green economic development. Through comparative analysis with similar efforts in Seattle, Washington and Portland, Oregon I argue that in its current form, Oakland's Weatherization and Energy Retrofit Loan Program relies upon a weak finance structure, provides no guarantees for disadvantaged workers, and fails to consider how the age of the city's building stock, income distribution, and racial spread influence where the City should focus retrofit services. By amending these aspects of its retrofit program Oakland can realize its own goals of improved economic, environmental and social equity, and fulfill the promise of the Recovery Act. Therefore, Oakland could serve as a model displaying how cities with nascent energy retrofit programs can improve them to achieve a triple-bottom line of economic, social, and environmental benefits.