2 0 1 7 N O R A A N N U A L R E P O R T | 3 01
NATIONAL OILHEAT RESEARCH ALLIANCE, INC.
NOTES TO FINANCIAL STATEMENTS
DECEMBER 31, 2017 AND 2016
NOTE 5 - PROGRAM SERVICES (continued)
Heating Oil Efficiency and Upgrade
The NORA Public Law 113-79 requires the Alliance to ensure not less than 15 percent of the assessments collected for
each calendar year under the NORA Public Law 113-79 are used by qualified state associations or the Alliance to carry
out programs to assist consumers (i) to make cost-effective upgrades to more fuel efficient heating oil systems or
otherwise make cost-effective modifications to an existing heating system to improve the efficiency of the system, (ii) to
improve energy efficiency or reduce energy consumption through cost-effective energy efficiency programs for
consumers, or (iii) to improve the safe operation of a heating system.
In 2017, the Alliance granted or expended $1,331,227 for the heating oil efficiency and upgrade program, including
$96,997 in grants and spending of past years assessments revenue. The Alliance also budgeted $100,000 in additional
national spending from 2017 assessments revenue to be spent subsequent to year-end for the heating oil efficiency and
upgrade program, making the total for 2017, 15 percent of net assessments revenue. Additionally, unallocated state
rebates of 2017 assessments revenue will be used for the heating oil efficiency and upgrade program.
Consumer Education, Safety, and Training
The NORA Public Law 113-79 requires the Alliance to ensure not more than 30 percent of the assessments collected for
each calendar year under the NORA Public Law 113-79 are used (i) to conduct consumer education activities relating to
oilheat fuel, including providing information to consumers on energy conservation strategies, safety, new technologies
that reduce consumption or improve safety and comfort, the use of biofuel blends, and federal, state, and local programs
designed to assist oilheat fuel consumers, (ii) to conduct worker safety and training activities relating to oilheat fuel,
including energy efficiency training, (iii) to carry out other activities recommended by the Secretary of Energy, or (iv) to
establish a data collection process to track equipment, service, and related safety issues to develop measures to improve
safety.
In 2017, the Alliance granted or expended $2,665,042 for the consumer education, safety, and training program,
including $40,409 in grants and spending of past year's assessments revenue. The Alliance also budgeted $286,007 in
additional national spending from 2017 assessments revenue for the consumer education, safety, and training program,
of which $30,691 remained unspent as of December 31, 2017, making the total for 2017, 30 percent of net assessments
revenue.
Unallocated State Rebates
In addition to the specific program commitments discussed previously, the Alliance has committed $1,818,717, which is
21 percent of net 2017 assessment revenue, for state rebates that have not yet been allocated to a program specified in
the NORA Public Law 113-79. The Alliance plans to allocate these state rebates to the research, development, and
demonstration and/or heating oil efficiency and upgrade programs. State organizations develop detailed plans for use of
the rebates to do work under these programs. These funds will be allocated between programs in accordance with the
requirements of NORA Public Law 113-79 as discussed previously.