NYSERDA has issued for comment a Commercial Property Assessed Clean Energy (PACE) Guidance Document. With this document, NYSERDA is providing guidance on implementing PACE in New York State, as required by New York State General Municipal Law Article 5-L for NYSERDA. NYSERDA will accept comments for a period of 60 days ending on April 10, 2017.
This Guidance Document is for commercial and multifamily buildings only. While certain portions of this guidance may be applicable in the single-family residential sector, NYSERDA does not suggest that this guidance be used for single-family residential PACE financing. NYSERDA may issue additional guidance in the future regarding PACE in the single-family residential sector.
What is PACE Financing?
PACE financing programs use authority given to a municipality to offer financing for property owners to fund energy efficiency and renewable energy projects on existing commercial structures. The property owner voluntary agrees to repay the financing through a special assessment or special tax charge placed on their annual property tax bill. This provides financing for these types of improvements over time without requiring the property owner to make a large upfront investment.