As seen in Maine Partners for Cool Communities "Cool News April 2010"

A bill recently passed by the Legislature will make clean energy more affordable for Maine homeowners and businesses. LD 1717: An Act to Increase the Affordability of Clean Energy for Homeowners and Businesses, sponsored by Rep. Patsy Crockett of Augusta, will help to establish an innovative financing program for much needed energy efficiency and clean energy improvements in communities across the state.

The program known as PACE or Property Assessed Clean Energy, allows property owners to borrow money to pay for energy improvements. Unlike a loan, PACE financing is paid back over a 20 year period as an assessment on the property tax bill (or similar method) and would stay with the property throughout the life of the loan. Those individuals that pay for energy improvements are the ones benefiting from the savings generated. There are no up front costs and the program is voluntary.

The PACE legislation authorizes municipalities to establish a loan program to provide financing for clean energy improvements to property owners via local ordinance. The legislation authorizes municipalities to enter into PACE agreements with property owners, provide financing, and collect PACE assessments to repay the loans. Municipalities will be able to use federal grants or other "funds available for this purpose" to establish PACE programs.

Thank you to all who helped pass this important bill. PACE financing will greatly help us increase our weatherization efforts and get us to the scale we need to reach the state's goal of weatherizing every Maine home by 2030. The next step is for municipalities to establish local programs. Not all local governments in Maine will choose to offer PACE financing. Cool Community groups are encouraged to contact their local government to find out if it has or intends to establish a PACE financing program.