20 - Intent to Establish the City of Paris Texas Property Assessed Clean Energy (PACE) Program

Home Browse Search

SECTION 6, THE BENEFITS OF PACE TO CONTRACTORS, ENGINEERS, AND MANUFACTURERS. PACE loans provide attractive sources of financing for water and energy saving retrofits and upgrades, thereby encouraging property owners to make substantial investments in existing commercial and industrial buildings. As a result, PACE will unlock business opportunities for contractors, engineers, and manufacturers throughout the commercial and industrial sectors. SECTION 7. ADMINISTRATION OF THE PACE PROGRAM. Under the PACE Act, the establishment and operation of the program are considered to be governmental functions. The PACE Act further authorizes City to enter into a contract with a third party to provide administrative services for the PACE Program (the "Program Administrator "). For the Pilot Project, Grayson Path, City Manager (or his successor or designee), is designated as the initial "Authorized Representative" of the City for the PACE Program, and will have the authority to enter into written contracts on behalf of City with property owners and lenders in connection with the PACE Program. City will require the lender for the Pilot Project to agree to handle all ongoing administrative requirements of City with respect to the Pilot Project. Going forward, City may delegate administration of the PACE Program to a qualified organization that can administer the program at no cost to City ("Program Administrator"). The Program Administrator will be funded by transaction fees paid by the parties, charitable grants or other sources of revenue. The Program Administrator will not receive compensation or reimbursement from City. City may contract with the Program Administrator to provide administrative services. City may designate the Program Administrator as the Authorized Representative of City with the authority to enter into written contracts on behalf of City with property owners and lenders in connection with the PACE Program, which will further reduce administrative burdens on City staff. SECTION 8. ELIGIBLE LENDERS. The PACE Act does not set criteria for financial institutions or investors to be PACE lenders. City will follow best practices of other PACE Programs by recommending that lenders be: • Any federally insured depository institution such as a bank, savings bank, savings and loan association and federal or state credit union; • Any insurance company authorized to conduct business in one or more states; • Any registered investment company, registered business development company, or a Small Business; • Small business investment company; • Any publicly traded entity; or -5-