Are you a business owner, farmer, manager of a multifamily housing building, nonprofit organization, or responsible for a place of worship? If you're interested in improving energy efficiency or incorporating renewable energy sources such as solar, there's an innovative financing option available to support your goals. It's called Property Assessed Clean Energy (PACE), and it can provide the necessary resources to help you make progress in these areas.
How Does PACE Work?
With PACE financing, you repay the loan through an assessment on your property tax bill over a fixed period of time. This means you don't have to worry about upfront costs because PACE offers affordable, long-term financing. PACE differs from traditional loans in several ways: it doesn't heavily depend on your credit history, the assessment remains with the property instead of transferring to the owner, and the repayment terms are often more flexible and extended compared to what banks typically offer.
What Can You Do with PACE?
You can use PACE financing to fund various building improvements such as install solar arrays, upgrade HVAC systems, switch to LED lighting, install condensing boilers, implement digital controls, improve insulation, upgrade to variable-frequency drive motors, install building automation systems, and implement other water and energy conservation measures.
How is PACE funded?
The Saint Paul Port Authority offers the PACE funding and handles all program administration. The county's involvement is limited to placing the assessment on the property, collecting annual payments, and transferring the funds back to the Saint Paul Port Authority.