By SANDI SWITZER

Replacing old windows can be a win-win proposition for homeowners who want to save money on their utility bills and qualify for federal tax credits.

The American Recovery and Reinvestment Act of 2009 – also known as the stimulus bill – extends tax credits to homeowners who make energy-efficiency improvements to their primary residences from February 19, 2009 (when the bill was signed into law) through December 31, 2010.

Consumers who purchase and install windows with specific energy-efficiency ratings can receive tax credits for 30 percent of the cost, or a maximum benefit of $1,500. Other items including doors, insulation, skylights, roofs, and heating and cooling systems may qualify as well.

Rich Day, owner of Countryside Glass Corp., based in Rutland, said homeowners who know about the stimulus package have become increasingly interested in replacing their old windows in order to take advantage of the tax credits.

The problem, he said, is that many consumers aren’t aware of the program.

“I don’t think a lot of people know about it, but a homeowner who purchases windows that meet a certain criteria can receive up to 30 percent of the cost of the product back as a tax credit,” Day said.

Countryside Glass – a family-owned and operated glass shop serving the central and southern Vermont region – has windows that conform to the American Recovery and Reinvestment Act requirements.

“A homeowner can replace all the windows in the home or purchase one or two windows if they have a limited budget,” Day said.

The home improvements must have a Manufacturer Certification Statement in order to qualify for the tax credits. Countryside Glass will provide consumers with the paperwork and labels required, according to Day.

Beyond the tax credit, consumers will most likely enjoy saving money on their utility bills.

“It’s hard to tell exactly how much someone will save, but windows rank right behind insulating your attic and replacing doors for savings on energy consumption,” Day said.

The owner of Countryside Glass cautioned consumers that not all windows meet federal guidelines for tax credits.

“Consumers need to be leery of people going door-to-door trying to sell windows that may not qualify. It’s very important to be sure you ask the dealer to see the Manufacturer’s Certification,” Day said.

Lori Harrison, owner of Mountain Glass and Lock in Rutland, said in order to qualify windows must have a U-factor less than or equal to .30. The U-factor, which measures how well a product prevents heat from escaping, can be found on the National Fenestration Rating Council (NFRC) labels attached to windows.

“The windows that we have always carried meet those requirements,” Harrison said. “There’s a lot of suppliers out there scrambling to upgrade their windows, and if I were a consumer, that would be a concern for me, but my company has always met the criteria.”

Consumers are becoming more aware of the tax credit and want to take advantage of it before the program expires, she indicated.

“If you have a window that is going to cost you $250 and you get $75 back, that’s a real savings,” Harrison said.

Mountain Glass and Lock will obtain exact measurements of the windows in a home for custom-built units. “We come out and field measure for windows built specifically for your house. Right now, it takes about three weeks, but as you go into the fall the lead times expand,” Harrison said.

Window replacement generally occurs within a single day with little inconvenience for the homeowner, she added.

“Most installations start at eight in the morning and we’re done by five. It’s not even that disruptive to your life: the only thing you have to do is move the furniture and curtains and we go to town,” Harrison said.

Mountain Glass even removes the old windows. “We take all the trash away: the homeowner isn’t going to be facing going to the dump or this big stack of windows,” she added.

Roger Desabrais, owner of Middlebury-based Desabrais Glass, said the energy tax credit of 30 percent applies to the cost of windows but not the installation fees.

“It’s a pretty good deal for customers because they can get a really top-notch window for less money than a regular run-of-the-mill window before it went into effect,” Desabrais said.

A homeowner who purchased a $400 window would receive an additional $120 in a federal tax refund; if the homeowner owed federal taxes, the $120 would reduce that liability, he explained.

The tax credits extend to primary residences only and don’t apply to second homes or businesses. Homeowners in the Middlebury area seem to be aware of the program, and Desabrais Glass has installed between 60 and 80 windows that qualify for the tax breaks, the business owner said.

“People seem to be pretty in tune to it, and we will do all the paperwork for them” he added.

Desabrais said he would visit a consumer’s home to measure openings for custom-made windows and offer energy-saving tips.

“The nice thing is, you can do just a couple of windows or the whole house. The energy tax credit is not related to how many you do, and it is good for 2009 and 2010. But, there is a $1,500 limit,” Desabrais said.

Homeowners should be aware that just because a window is Energy Star rated doesn’t mean it conforms to federal guidelines.

“You don’t want to pay for the window – and when you go to file your taxes on April 15 you find out the air infiltration rate is not the right one and the federal government won’t give you the rebate,” Desabrais said.

To learn more about the American Recovery and Reinvestment Act of 2009 visit www.energystar.gov.