PACE
An innovative financing arrangement pioneered in Berkeley, California, and Palm Springs, lends money to a homeowner for a solar system, to be repaid via an additional tax assessment on the property for 20 years. This allows installation of the solar system at "relatively little up-front cost to the property owner." Now known as PACE, for Property Assessed Clean Energy, it is available in 28 states. Freddie Mac and Fannie Mae have objected to the repayment of solar loans being senior to mortgage loans, and some states have relegated PACE loans to junior loans. HR 2599 was introduced to prevent interference with the PACE program by other lenders. The principle feature of the program is that the balance of the loan is transferred to the new owners in the event the property is sold, and the loan is paid for entirely through electric bill savings. Unlike a mortgage loan, no funds are transferred when the property is sold - only the repayment obligation is transferred.
PACE programs are currently operating in eight states, California, Colorado, Florida, Maine, Michigan, Missouri, New York, and Wisconsin, and are on hold in many others, pending resolution of the Freddie Mac, Fannie Mae objection.
Read more about this topic: Solar Power In The United States
Famous quotes containing the word pace:
“Moving, yet still.
So they run on,
Until, with a falter,
A flicker soon gone
Their pace starts to alter....”
—Philip Larkin (1922–1986)
“Come, blunt your spear with us,
our pace is hot.”
—Hilda Doolittle (1886–1961)
“We judge a horse not only by its pace on a racecourse, but also by its walk, nay, when resting in its stable.”
—Michel de Montaigne (1533–1592)