Recently, the Town of Cutler Bay signed a landmark agreement with Ygrene Energy Fund Florida for Ygrene to provide no-risk administration of Florida’s first-ever Property Assessment Clean Energy (PACE) program. WSHPC&B associate Chad S. Friedman provided significant assistance in the creation of the program, under which participating local governments issue financing to property owners who want to make green friendly qualifying improvements to their buildings. Qualifying improvements are defined as:
- energy conservation and efficiency improvements (e.g., installation of energy efficient cooling systems);
- renewable energy improvements (e.g., installation of solar panels); and
- wind resistant improvements (e.g., hurricane shutters)
The financing originates from municipal bonds, and the property owners make payments in the form of an assessment added to their existing property tax. Both residential and commercial property owners may participate in the program. The program has received favorable attention nationwide, including a feature in the New York Times. Cutler Bay’s green initiative is also paving the way for other South Florida municipalities to “go green”; the PACE district also includes South Miami, and is expected to include Miami, Coral Gables, Pinecrest and Palmetto Bay in the near future.
Author(s): Chad S. Friedman & Brooke P. Dolara
