Title
Resolution to Establish an Energy Financing District and a Property Assessed Clean Energy (PACE) Program
Memorandum
This resolution establishes the City of Ann Arbor’s Property Assessed Clean Energy (PACE) program, including the setting of boundaries for the PACE financing district, designation of the City Official, amendment procedures and incorporation of the “Report” for implementation procedures. The City has consistently provided support for advancing energy efficiency and the use of renewable sources of energy in government operations, businesses and residences. This PACE program continues City support and encouragement for the community to become more energy efficient by offering special assessments on commercial and industrial properties for certain energy projects.
Previously, the City has acted to support state enabling PACE legislation (Resolution R-10-321), authorized grant funds to be used for program development (Resolution R-09-501), and established a loan loss reserve fund to leverage private funding for PACE projects at a lower interest rate (R-11-085). The projects may be financed over a longer term, up to 10 years, than typical bank financing.
The resolution of intent approved by City Council on September 19, 2011 found that financing of energy projects is a valid public purpose because it furthers essential public and governmental purposes, including, but not limited to, reduced energy costs, reduced greenhouse gas emissions, economic stimulation and development, improved property valuation, and increased employment.
The PACE program report being adopted in this resolution covers all aspects of the program, as required by Public Act 270 of 2010.
This resolution also establishes amendment procedures. The PACE program requires that a new public hearing be conducted for substantive changes only.
This establishment of the PACE program and financing district is a foundational component in the creation of a strong community energy pro...
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