Retention Incentive Pilot Policy Manual Addendum - Updated 11/14/2025 - Review Updated Pilot Details

Sep 12, 2026

Retention Incentive Pilot Policy Manual Addendum outlines Minnesota’s Weatherization Assistance Program (WAP) implementation for PY25, renewing a retention and sign-on incentive opportunity for local Service Providers addressing workforce challenges. It specifies $25,000 allocations for internal staff and contractor retention incentives, defines contractor eligibility tied to meeting a 15% US DOE unit production goal benchmark, and provides sign-on and multi-year retention incentive schedules. It also details agency staff eligibility, service-length calculations, funding release expectations, and tracking in WAPLink plus qualitative monitoring for future strategy.

LanguageEnglish

CategoryGeneral

FormatPDF

Pages4

Reading Time2 min

AccessFree to download

Program Overview

Service Provider Allocations

Overview of Incentives

Incentive Types

Contractor Retention Incentive

Eligibility Criteria for Contractors

Agency Staff Incentives

Financial Considerations and Funds Release

Tracking and Monitoring

WAPLink Updates

Crew Incentive Tracking

FAQs

Retention Incentive Pilot Policy Manual Addendum Updated 11/14/2025 In PY24, Minnesota’s WAP State Plan included a new opportunity for local Service Providers to address workforce challenges with contractors and internal staff through the implementation of retention and sign-on incentives. This document serves to outline implementation. The program is being renewed for PY25 with a few additions. Please review this document for updated pilot details. Service Provider Allocations Service Providers are each eligible for $25,000 for internal staff and contractor retention incentive distribution. Overview of Incentives A significant barrier to expansion of weatherization services or addition of new measures is the recruitment of staff and contractors. To address this concern in Minnesota, the Weatherization Assistance Program (WAP) program looked to other WAP programs for models. Based on what Minnesota learned from reviewing models from other states, we are implementing the following activities that support weatherization and the successful expansion of leveraging efforts. Contractor Retention Incentive The weatherization program aims to attract new contractors and retain existing contractors by offering retention incentives. Contractors, whether existing or new to the program, will be eligible for incentives based on their duration of service in WAP. Retention Incentives: Contractors may receive incentives based on the duration of their length of service in WAP: • Sign--on incentive: one--time payment of up to $300 • 1-Year Incentive: $500 • 3-Year Incentive: $1,000 • 5-Year+ Incentive: $1,500 Eligibility Criteria for Contractors To qualify for a retention incentive, a contractor must complete work orders on a minimum of 15% of the US DOE unit production goal amount outlined in the state plan for the current program year. Incentives may not be released to a contractor until their 15% benchmark is reached. Contractors are awarded an incentive as an organization, not individual staff within the contracting organization. Contractors serving multiple Service Providers will only receive one incentive. Service Providers will be able to check WAPLink to determine if a contractor has already been awarded by reviewing the contractor entry details. Agency Staff Incentives All staff, including administration, crews, Energy Auditor (EA), and Quality Control Inspector (QCI) serving in a WAP-funded role at minimum of 30% or more are eligible for a sign-on or retention incentive. These incentives may be granted after the successful inspection and completion of the Service Provider’s first US DOE unit for the program year. Calculation of length of service may include experience from other professional WAP roles outside of the current role. To motivate staff, we offer the following incentives. Sign-On Incentives: Staff will receive a $250 sign-on incentive upon joining an agency. Service Providers will include a retention policy in place for the incentive. Retention Incentives: Staff will receive an incentive based on longevity with the program. Incentives are higher for longer service to encourage and foster technical credential-building and deep programmatic knowledge. • 12-Month Incentive: $500 • 2-Year Incentive: $750 • 5-Year+ Incentive: $1,250 Financial Considerations and Funds Release The incentives will be factored into program operations and contribute to the ACPU. Service Providers have been provided $25,000 for incentives. SPs participating in the incentive program must update their DOE program budget in WAPLink and may budget up to $25,000 for the incentives in the “staff and contractor incentive” line item. Service Providers participating in the incentive program should allocate funds by December 15, 2025. A Service Provider may choose to offer incentives to internal staff or contractors, or both. Service Providers may choose to offer less than the amounts listed in the State

FAQs

What changes were added for PY25 in the retention incentive pilot?

PY25 adds a contractor sign-on incentive, adds flexibility in calculating years of service, and allows Service Providers to move funds into the incentive line item in WAPLink instead of opting out of the program.

How does the retention incentive program affect ACPU?

Yes. Incentives are calculated into the average cost per unit (ACPU).

How are contractor and incentive distributions tracked to prevent duplicate awards?

Tracking occurs in WAPLink so contractors do not receive more than one incentive. After a contractor retention incentive is issued, Service Providers must update the contractor entry screen with a date field indicating the incentive was received in the current program year.

Sep 12, 2026

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