To: Martin L. Cousineau, Finance Committee Chairperson
From: Deborah L. Cherry, Treasurer
.title
RE: Approval to amend the Genesee County PACE Program and adoption of the amended PACE report
.recommendation
BOARD ACTION REQUESTED:
Approve the amended Genesee County PACE program and adopt the amended PACE Report.
BACKGROUND:
The Board of Commissioners adopted Resolution 14-440 approving the establishment of a property assessed clean energy program, PACE and creating a PACE district. The PACE Program as described in the Genesee County PACE report provides a property owner a method of financing and funds for projects, including owner-arranged financing from a commercial lender, with funds being secured and repaid by assessments on the property benefited.
DISCUSSION:
The Board amended the PACE Program and PACE report by Resolution 2021-1095, adopted December 1, 2021. Public Act 270 of 2010 was recently amended with the passage of Senate Bills 302 & 303 of 2023, it has been determined the Genesee County PACE Program and PACE Report require amendment to be in compliance with the amended statute.
IMPACT ON HUMAN RESOURCES:
N/A
IMPACT ON BUDGET:
N/A
IMPACT ON FACILITIES:
N/A
IMPACT ON TECHNOLOGY:
N/A
CONFORMITY TO COUNTY PRIORITIES:
The PACE program falls within the County priority of Healthy, Livable & Safe Communities and Community Growth. The PACE program allows property owners the ability to rehab properties with energy efficient to reduce energy cost and reduce greenhouse gas emissions. Projects that utilize the PACE program will stimulate the economy, improve property values and bring employment to the County.
resolution
TO THE HONORABLE CHAIRPERSON AND MEMBERS OF THE GENESEE COUNTY BOARD OF COMMISSIONERS, GENESEE COUNTY, MICHIGAN
LADIES AND GENTLEMEN:
WHEREAS, the Board of County Commissioners of Genesee County, Michigan, (this “Board”) previously adopted Resolution 14-440, a Resolution approving the establishment of a property assessed clean energy program ("PACE Program") and creating a PACE district pursuant to Act No. 270, Public Acts of Michigan, 2010, as amended ("PACE Statute"), for the purpose of promoting the use of renewable energy systems and energy efficiency improvements by owners of certain real property; and
WHEREAS, this Board conducted a public hearing on September 17, 2014, to receive comments on the proposed PACE Program and PACE Program Report referenced in Section 9(1) of Act 270 (the "PACE Report"); and
WHEREAS, this Board established a PACE Program as described in the PACE Report so as to provide a property-owner based method of financing and providing funds for projects, including owner-arranged financing from a commercial lender, which funds and financing shall be secured and repaid by assessments on the property benefited, with the agreement of the record owners, such that no County funds, general County taxes, or County credit of any kind whatsoever shall be pledged, committed, impaired, or used in connection with any project as required by, and subject to, the Pace Statute; and
WHEREAS, this Board hereby finds that financing PACE projects is a valid public purpose because it stimulates economic development, improves property values, reduces energy costs, reduces greenhouse gas emissions, and increases employment in the County; and
WHEREAS, the types of projects that may now be financed under the PACE Program include, but are not limited to: insulation in walls, roofs, floors, foundations, or heating and cooling distribution systems; storm windows and doors; multi-glazed windows and doors; heat-absorbing or heat-reflective glazed and coated window and door systems; additional glazing, reductions in glass area, and other window and door system modifications that reduce energy consumption; automated energy control systems; heating, ventilating, or air-conditioning and distribution system modifications or replacements; caulking, weather-stripping, and air sealing; replacement or modification of lighting fixtures to reduce the energy use of the lighting system; energy recovery systems; day lighting systems; installation or upgrade of electrical wiring or outlets to charge a motor vehicle that is fully or partially powered by electricity; measures to reduce the usage of water or increase the efficiency of water usage; any other installation or modification of equipment, devices, or materials approved as a utility cost-savings measure by the Board of Commissioners; a fixture, product, device, or interacting group of fixtures, products, or devices on the customer's side of the meter that use one or more renewable energy resources to generate electricity. Renewable energy resources include, but are not limited to: biomass; solar and solar thermal energy; wind energy; geothermal energy; and methane gas captured from a landfill; and
WHEREAS, this Board amended the PACE Program and PACE Program Report by Resolution 2021-1095, adopted December 1, 2021; and
WHEREAS, Public Act 270 of 2010 has been recently amended with the passage of Senate Bills 302 & 303 of 2023; and
WHEREAS, the projects that may now be financed under the PACE Program have been amended to provide the option for property owners of retrofits or rehab projects to waive the energy savings guarantee; for new construction, the energy savings guarantee is no longer required; require that new construction be built above Michigan’s energy code; allow for the financing of environmental hazard projects including mitigation of lead, heavy metal, or PFAS contamination in potable water systems; mitigation of lead paint contamination; mitigation of the effects of floods or drought; and increase the resistance of property against severe weather; and
WHEREAS, it has been determined that the PACE Program and PACE Report approved in 2014, and amended in 2021, require amendment to be consistent with the amended statute; and
WHEREAS, an amended PACE Program Report has been prepared and reviewed.
NOW, THEREFORE, BE IT RESOLVED, that this Board of County Commissioners of Genesee County, Michigan, hereby amends Resolution No. 14-440 approving amendments to the Genesee County PACE Program and adopts the amended PACE Program Report attached to this resolution.
BE IT FURTHER RESOLVED, that all other provisions of the PACE Program and PACE Report not amended herein shall remain in full force and effect.
BE IT FURTHER RESOLVED, that all resolutions and parts of resolutions are, to the extent of any conflict with this resolution, hereby rescinded.