T&E ITEM #1
July 8, 2013
Transportation, Infrastructure, Energy, and Environment Committee
Amanda Mihill, Legislative
Worksession: Bill 11-13, Commercial Property Assessed Clean Energy Program
Bill 11-13, Commercial Property Assessed Clean Energy Program - Established, sponsored by
Councilmember Berliner, was introduced on April 23, 2013. A public hearing was held on June
11. There were no speakers.
Bill 11-13 would establish a commercial property assessed clean energy (PACE) program to
assist qualifYing commercial property owners to make energy improvements and establish a
revolving loan fund to provide property owners loans under the Program.
Fiscal and Economic Impact Statements
OMB's fiscal impact statement (©8) indicates that Bill
11-13 would have a fiscal impact, but it would depend on the size and scope of the program.
According to the statement, DEP cannot implement the program without retaining a consultant to
design a program suitable for the County, which would cost $100,000-$150,000. Elements that
would contribute to the fiscal impact include financing costs, startup costs (marketing and
outreach, develop web infrastructure), and ongoing program costs.
The fiscal impact statement notes that the fiscal impact to the County would be lessened if the
commercial PACE program employed owner-arranged or quasi-government financing. A bill
that would allow this type of financing was introduced in the 2013 General Assembly session,
but was not enacted.
The State does not currently have a commercial PACE program. State law
authorizes political subdivisions to establish clean energy loan programs for residential and
commercial property owners to finance energy efficiency projects and certain renewable energy
Experience in other jurisdictions.
A number of jurisdictions in other areas of the country have
adopted commercial PACE programs. According to PACENow, an advocate organization that
assists jurisdictions in setting up programs, commercial PACE programs were pioneered in