Contractor Recruitment and Management

Contractor Recruitment and Management

Contractors will be the ones to market, sell, and implement your program. They also can build a business around increased business thanks to on-bill finance / beneficial electrification measures. They need to be trustworthy, responsive, and quality installers to deliver a program properly and leave program participants satisfied. To help build trust and communication with the contractors that will serve your program, engage with them throughout the entire process, from initial program design to program launch and beyond. Utility-hosted breakfast listening sessions (before contractors venture out to their job sites) can be a great way to foster communication.

To better develop and manage a local network of contractors, consider the five-step process below.

Step 1: Assess Local Workforce

In some markets, Home Performance contractors that specialize in whole house retrofits and residential solar installers have become well established. In other markets, this expertise will need to be cultivated. The first step to developing a network of local contractors to support your program is identifying the capacity of the local workforce.

Consider the following questions:

• Is the local workforce of sufficient size and skill level to provide energy efficiency and renewable energy installation services for your customers?

• Do you already have an existing rebate program and a network of local contractors?

If the local workforce is too small or lacks specialized training, you may want to partner with a local community college to develop a workforce training program. Consider organizing a specialized certification or training program. You can also share your program goals with local contractors in the hope that it spurs them to seek out additional training or bring aboard new hires. While you wait for a specialized workforce to build up in your area, it may force you to initially limit the scope of your program.

Step 2: Contractor Recruitment

Make sure contractors are aware of your program and understand the benefits of getting involved in the program. Marketing materials and organizational partnerships will help get the word out. Organizations that could help you promote your program include:

• State contractor licensing organizations

• Trade organizations such as the American Society of Heating, Refrigeration and Air-Conditioning Engineers (ASHRAE), and the Air Conditioning Contractors of America (ACCA)

Events, such as a general information session will help explain to contractors the benefits of your program. Host an event to solicit feedback and ideas on program design, contractor participation rules, and outreach to customers. Contractors work closely with customers and have a wealth of information to share that could improve program design. Additionally, participating contractors who are familiar with the program guidelines will be effective partners in seeing that they are followed.

Key tip: Contractors contribute to the success of your program—work with them to help market and strengthen your program.

Step 3: Screening and Selection of Contractors

In most cases, contractors do the actual installation and service delivery for beneficial electrification measures, so having robust screening procedures in place will help to ensure quality installation work and customer satisfaction. When screening tradespeople for partnership opportunities, a utility can use the following criteria to set standards:

• Time in business

• Annual sales or net worth

• Possession of required state licenses

• Customer or trade references

• Good standing with the Better Business Bureau

• Liability insurance

• Accurate completion of program applications

• Successful completion of required program trainings

Step 4: Contractor Participation Requirements

Program managers must decide what level of oversight to provide related to contractor participation requirements. Some programs have no requirements for contractors to participate other than they operate under current state and federal labor and tax laws. Others require background checks for any crew members that will be at project work sites.

Step 5: Develop a Contractor Manual

Depending on the size and resources of the beneficial electrification program, a contractor liaison may assist with managing contractor relations. Also, it is good practice to develop a contractor manual that fully describes the program and its procedures to ensure transparency, quality, and customer satisfaction. Manuals may cover the following topics:

• Program guidelines and administrative processes

• Eligible program equipment and measure descriptions

• Process for issuing incentives/rebates