Keeping PACE in Texas (“KPT”) is a non-profit business association organized for the purpose of promoting Property Assessed Clean Energy (“PACE”) financing programs throughout the state of Texas. KPT’s first goal – the enactment of PACE-enabling legislation – was accomplished on June 14, 2013, with the passage of The Property Assessed Clean Energy Act.
KPT is now focused on assisting counties and municipalities with the creation, design, and implementation of locally-administered PACE programs. To this end, KPT organized a group of more than 100 stakeholders (property owners, lenders, energy service companies, industry trade associations, local governmental authorities, and others) in a collaboration to create uniform standards, documentation, and best practices for PACE financing programs in Texas.
The result is a tool kit, known as “PACE in a Box” containing everything a county or municipality requires to establish effective PACE programs at the local or regional level throughout the state. On April 15, 2014, KPT issued the final draft of PACE in a Box along with a Request For Information (“RFI”) on the model program. The coalition’s next steps are to finalize PACE in a Box and distribute it at no charge to local governments throughout Texas. PACE in a Box will accelerate the implementation of uniform, user-friendly, sustainable and scalable PACE financing programs. Please click on the PACE in a Box tab for more details.
What is PACE?
PACE is an innovative financing program that enables owners of commercial and industrial properties to obtain low-cost, long-term loans for water conservation, energy-efficiency improvements, and renewable retrofits. The PACE statute, SB 385, authorizes municipalities and counties in Texas to work with private sector lenders and property owners to finance qualified improvements using contractual assessments voluntarily imposed on the property by the owner. The term of a PACE loan may extend up to 20 years, resulting in utility cost savings that exceed the amount of the assessment payment. As a result, improvements financed through PACE generate positive cash flow upon completion with no up-front, out-of-pocket cost to the property owner. If the property is sold before the full amount of the PACE loan is repaid, the repayment obligation automatically transfers to the next owner because the lien securing the PACE assessment follows title to the property.
For information about joining KPT, please click here.
To join the volunteer effort to implement PACE in a Box, please click here.