Property Assessed Clean Energy
In the past couple of years, communities all around the country have been trying to develop ways to reduce overall energy consumption and increase the use of renewable energy sources. There are a few new ideas that may increase the incentives and help reduce the often prohibitive up-front costs of home energy retrofits. One of these innovative methods (already legal in Wisconsin as of May 2009) is called PACE, or Property Assessed Clean Energy.
PACE is a financing mechanism that allows individual homeowners to opt-in for an opportunity to invest in home energy retrofits through a line-item on their property tax bill. This means that only those taking advantage of the program have to pay for it, even though it will work like most other special assessments on a tax bill. This will help to ensure that public funds are protected from risk in the case of foreclosure, as line items on the tax bill will take precedence over other claims on a property.
Once a fund is established, homeowners can borrow money from their local or county government (at low interest rates) to upgrade efficiency and install renewable energy systems on their property. The amount of money homeowners save on their energy bills is more than the annual payment they make to cover the cost of the upgrades. Don't know where you'll live in five years? No problem! Since the payment is tied to the property, any remaining payments transfer to the new property owners (along with the upgrades) if a home is sold. For more information about PACE initiatives, visit PACE NOW.
If you'd like to provide input or get involved in setting up a PACE program in our area, contact the Alliance at 715-682-1189.
PACE is a financing mechanism that allows individual homeowners to opt-in for an opportunity to invest in home energy retrofits through a line-item on their property tax bill. This means that only those taking advantage of the program have to pay for it, even though it will work like most other special assessments on a tax bill. This will help to ensure that public funds are protected from risk in the case of foreclosure, as line items on the tax bill will take precedence over other claims on a property.
Once a fund is established, homeowners can borrow money from their local or county government (at low interest rates) to upgrade efficiency and install renewable energy systems on their property. The amount of money homeowners save on their energy bills is more than the annual payment they make to cover the cost of the upgrades. Don't know where you'll live in five years? No problem! Since the payment is tied to the property, any remaining payments transfer to the new property owners (along with the upgrades) if a home is sold. For more information about PACE initiatives, visit PACE NOW.
If you'd like to provide input or get involved in setting up a PACE program in our area, contact the Alliance at 715-682-1189.