PROPERTY ASSESSED CLEAN ENERGY (PACE) Programs Available in Emeryville
The City of Emeryville has authorized California Statewide Communities Development Authority (CSCDA) Open PACE "commercial" projects. "Commercial" includes multi-family properties with four or more units. Visit CSCDA for information about approved commercial PACE providers.
What is property assessed clean energy financing?
Property Assessed Clean Energy, or PACE, financing allows property owners to fund energy efficiency, water efficiency and renewable energy projects with little or no up-front costs. In Emeryville, commercial property owners can finance up to 100% of their project and pay it back over time as a voluntary property tax assessment through their existing property tax bill.
Why use PACE financing?
First, by offering up to 100% financing on qualifying improvements, PACE can eliminate the need to pay out of pocket for your project. Second, depending upon the type of improvements installed, repayment may be amortized for a period of up to 20 years, keeping your monthly payments low enough that your utility savings may exceed your payment, creating a net positive cash flow. Third, the interest may be tax deductible. Finally, because PACE ties the loan to the property and not an individual, the loan may transfer upon sale or refinancing of the property. In other words, you may not need to be concerned about recouping the cost of your improvements if you decide to sell the property before the loan is repaid.
What products and improvements can be financed with PACE?
Eligible products that can be financed with PACE may vary by individual PACE providers and administrators. In general, most products that can be permanently affixed to a property and reduce on-site electric, gas or water consumption will be considered eligible. Some examples include attic insulation, heating, ventilation and air conditioning replacements; solar photo-voltaic and thermal systems, and low-flow toilets. For questions regarding specific product eligibility, contact the PACE Provider that have been approved by the City of Emeryville.
What is the history of PACE in Emeryville?
In California, the first PACE programs were established in 2008. The City of Emeryville authorized its first PACE provider in 2010. In 2018, the City Council opted to restrict PACE to commercial properties, citing concerns about homeowners' financial risks. However, multi-family properties of four or more units are still eligible as commercial properties.
For more details, read Residential and Commercial Property Assessed Clean Energy (PACE) Financing in California, a report prepared for CSE under the U.S. Department of Energy’s Rooftop Solar Challenge Program.The Department of Energy (DOE) published Best Practice Guidelines For Residential Pace Financing Programs (updated 7/16/16), which provides additional insight into effective PACE program design and consumer protection.