ShoreBank: A Key To Green Jobs

If you ask people on the street (outside of Chicago) if they have ever heard of ShoreBank, the answer would likely be “no.” While ShoreBank isn’t a Goldman Sachs, a Bank of America, or a JP Morgan, to the Progressives, this “little” bank is in many ways every bit as big and important as the aforementioned “large banks.”

Why?

One of the core components of President Obama’s fundamental change for America is to create clean energy jobs, also known as “green jobs”. During his campaign and as recently as his State of the Union Address, President Obama continues to talk about the need “green” jobs. In fact, during his State of the Union 2010 speech, the President stated, “We should put more Americans to work building clean energy facilities — and give rebates to Americans who make their homes more energy-efficient, which supports clean energy jobs. ”

In a speech given by the President in Virginia on Dec. 15, 2009, he said, “The simple act of retrofitting these buildings to make them more energy-efficient — installing new windows and doors, insulation, roofing, sealing leaks, modernizing heating and cooling equipment — is one of the fastest, easiest and cheapest things we can do to put Americans back to work while saving families money and reducing harmful emissions.”

In the stimulus package last year, President Obama devoted nearly $60 billion of his plan for building a new green-based economy.

Retro-fitting older homes to save money on heating and cooling costs is a great idea; but in today’s economy, how many people can afford to spend that kind of money up front? And if people aren’t buying green building materials, like replacement windows, how will any of this create green jobs? If there isn’t an increase in green jobs, then the billions spent in stimulus money would be a waste — and the President can’t let that happen.

Enter ShoreBank.

ShoreBank has been active in helping homebuyers with making their homes more energy efficient for years. In 2005, then-governor Rod Blagojevich “announced a $10 Million Homeownership Initiative to Revitalize Homes in Chicago’s South and West Sides.” This venture was administered by ShoreBank, which also provided homebuyers with education on “how to choose energy-efficient products…..”

ShoreBank’s own website states, “In Chicago, borrowers are rated on types of windows and light bulbs used, and a free energy audit is often required before a loan is granted.”

Recently, ShoreBank received $35 million in “new market tax credits” to finance green buildings and other projects in Chicago, Detroit and Cleveland — the communities it serves.

Now what if you just had a product that needed to be made by green jobs that could be sold by a bank? Enter Serious Windows, made by Serious Materials.

Serious Windows took over the Republic Windows and Door Factory in Chicago. They make energy efficient windows which have been selected by the Community and Economic Development Association of Cook County to be used in their low-income multifamily dwellings that qualify under the Illinois Home Weatherization Assistance Program. This Assistance Program was awarded $242.5 million in the ARRA stimulus money.

Serious Windows must be important windows in the Obama Master Plan. The company has been singled out (in speeches made by the administration) as being the best windows in America. And Serious Materials received $548,100 in Recovery Act Advanced Energy Manufacturing Tax Credits for clean energy manufacturing projects — while no other window company received this same credit.

Now you have all the pieces in place to put together a plan to create green jobs. You have a window manufacturer (Serious Windows) receiving government money. You have a weatherization project, also government funded, awarded to the Community and Economic Development Association of Cook County. And then there’s the Midwest Energy Efficiency Alliance, which recommends Serious Windows, trains energy auditors and develops certified contractor lists. And finally, there’s ShoreBank, a bank with long ties to the Progressives that has also received government money. ShoreBank requires that an energy audit be completed before a home loan is approved. (Oh, and did I mention that one of the board members for Midwest Energy Efficiency Alliance works for ShoreBank? Joel Freehling is the Manager of Triple Bottom Line Innovations at ShoreBank, whose “… primary task is the creation of innovative financial products to promote energy efficiency and green development in urban markets, such as ShoreBank’s Homeowners’ Energy Conservation Program.” )

If ShoreBank can loan money to people to buy homes and recommend Serious Windows (which creates green jobs), it will be a win-win for the green jobs stimulus project. Is it any wonder that Senator Dick Durbin and Rep. Jan Schakowsky are applying pressure as they ask for a $100 million bail out of ShoreBank?