PACE (Property Assessed Clean Energy)
Category: Energy Incentives
PACE is a financing tool that helps for profit businesses do energy efficiency retrofits on their property. The premise of the program is that the business does not see a decrease in net profits—and once the loan is repaid, the business realizes the savings on their operating costs.
Program objectives:
- Improve business bottom line through the utilization of "green energy" systems
- No increase in net operating costs realzied throughout the repyament period
- Reduction in carbon footprint
- Increased property value
Program requirements:
- Property must be classified as Commercial or Residential
- Applicant(s) is/are the legal owner of the property described in the application
- Property must be located in the 18-county RMEB Area
- Property owner is current on all mortgages
- The property owner is not in bankruptcy and the property is not an asset in a bankruptcy
- There are no federal or state income liens, judgment liens, or similar involuntary liens on the Property
- Must have an Energy Audit performed by an approved energy auditor. Must show significant cost savings
- Minimum PACE loan will be $5,000
- Maximum PACE loan will be up to 20% of the assessed property value or $100,000
- Maximum of 20 years to repay loan. Loan terms must not exceed estimated life expectancy of improvement
- Interest rate determined by RMEB Review Committee
For more information on this program, call Robin Weis at the Southwest Regional Devleopment Commission office in Slayton who administers the loan program -- 507-836-1638 -- click here to access the brochure, application, and energy audit process!