Energy SIDs & PACE Financing Resource Center
Ohio recently joined seventeen other states and enacted property assessed clean energy (PACE) legislation. PACE laws allow property owners to borrow money through governmental loans or bonds to pay for energy improvements to their properties.
Bricker & Eckler is a leader in PACE Financing (Property Assessed Clean Energy aka Advanced Energy Financing) and its implementation in Ohio. We work with private property owners and political subdivisions in their efforts to help Ohio develop its clean energy resources. Bricker & Eckler assists by acting as counsel to (1) the assessing political subdivision; (2) the Special Improvement District (SID) where the facility is located; or (3) the developer and installer of the advanced energy facility. In addition, Bricker & Eckler’s Public Finance Attorneys can act as structuring counsel and help create the SID, draft the SID plan, and advise the SID Board. We can also act as bond counsel for any temporary or permanent financing.
Ohio’s PACE authority is contained in Ohio House Bill 1, enacted on July 17, 2009, and Ohio Senate Bill 232, enacted on June 4, 2010 and effective June 17, 2010. HB 1 allows Ohio municipalities and townships to assist property owners in financing solar improvements benefiting their properties. By requesting a special assessment from a municipality or township and cooperating with the municipality or township, a property owner can finance solar photovoltaic and solar thermal systems, including roof-top and ground-mounted solar arrays and solar water heating systems. A special financing district called a “special improvement district” or “SID” must be created within each municipality or township to facilitate solar improvement financing.
Ohio Senate Bill 232 expanded Ohio’s PACE legislation beyond solar to include wind, geothermal, biomass, gasification and energy efficiency technologies that “reduce energy consumption or support the production of clean, renewable energy . . . . “ As with Solar SIDs, participating municipalities or townships must pass legislation to establish an Energy SID and to determine what improvements qualify as “alternative energy technologies.” In addition, as a result of SB 232, utility companies that are required by Ohio law to meet certain energy efficiency and peak demand reduction benchmarks are authorized to credit certain of the energy efficiency gains from Energy SID projects to the satisfaction of those benchmarks.
Bricker and Eckler LLP is excited to share its knowledge about Energy SIDs and PACE financing with Ohio’s alternative energy community. We have launched this Resource Center to help explain Energy SIDs and PACE financing and to show how these tools can help your local government, your industry, your business or your home in achieving your green energy goals.
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