With a new year ahead of us, we want to provide an update on Fannie Mae’s Green Measurement and Verification (M&V) Service. The Green M&V Service is an exclusive benefit for Properties financed with a Green Rewards Mortgage Loan or a Mortgage Loan secured by a Property with an eligible Green Building Certification. We have contracted with Bright Power to facilitate the collection and reporting of utility data to satisfy the annual reporting requirement for Green Mortgage Loans.
Current Measurement Requirements
Measurement is the collection and reporting of annual energy and water consumption and cost required for all Green Mortgage Loans. We’ve learned that the long delay between loan closing and Measurement can create confusion and increase the lag time for getting assistance, so we’ve updated the timing requirement. Starting November 12, 2021, Green Mortgage Loan Borrowers must enroll with Bright Power within 60 days of the Mortgage Loan Origination Date. While the enrollment requirement has been accelerated, the Measurement service is unchanged since it was originally implemented in 2019. There are a number of resources available to help you and your Borrowers navigate the Measurement process, including a Timeline for Borrowers and a Guide to Measurement. Learn more about measurement requirements and available resources here.
Verification Service Updates
Verification is the inspection of the energy and water efficiency measures (EWEMs) installed at a Green Rewards Mortgage Loan Property, as agreed to by the Borrower. Beginning in 2021, Servicers have taken back the responsibility for Green Rewards Verification, although Bright Power and its subcontractors are still completing some inspections that were backlogged due to COVID-19. We have also added a new type of inspection, Verification Impact Inspections, for a small sample of Properties to aid with program controls and continuous improvement. The cost of Impact Inspections is covered by Fannie Mae. You can find more information here.
These changes to Measurement and Verification will streamline the experience for your Borrowers. We continue to develop and update resources to assist you with the Green Measurement and Verification Service and its requirements. You can learn more here. Please reach out to [email protected] with questions.
Karyn Sper and Dave Miller