www.mymanatee.org
Manatee County Government Administrative Center Commission Chambers, First Floor 9:00 a.m. - June 20, 2017
June 20, 2017 - Regular Meeting
Agenda Item #54


Subject
Property Assessed Clean Energy (PACE) Program for Manatee County

Briefings
None

Contact and/or Presenter Information

Jan Brewer, Director, Financial Management, x 3726



Action Requested

Motion for staff to bring back implementing documents to allow the Property Assessed Clean Energy (PACE) Program to operate in the unincorporated areas of Manatee County. Procurement methodology and minimum standards established by Hillsborough County will be used and Manatee County will facilitate “piggyback” procurement.



Enabling/Regulating Authority

Florida Statute 168.03(2)(a)



Background Discussion

Property Assessed Clean Energy (PACE) provides financing for property owners to make qualifying improvements to their businesses or homes.  Improvements may be made in the form of energy efficiency, renewable energy, and/or wind resistance. 

Property owners voluntarily opt into a non-ad valorem assessment program to finance these improvements.  Repayments of these improvements are paid annually through the property tax bill. The value of the improvement and the obligation to repay the annual assessment lies within the property so if the property changes ownership the obligation stays with the property.

Florida Statute 163.08 authorizes local governments to create PACE Programs and provides the overall framework within which to administer the program. Under this statute, the county may (1) establish a self-funded and/or self-administered PACE Program or (2) enter into an agreement with one or more local governments for the purpose of providing and financing qualifying improvements. In addition, the County may elect to use a third-party PACE Program provider for the administration of the program. Third party providers provide multiple services such as determination of loan eligibility, loan application processing, underwriting, and contractor selection. 

Based upon review by our Financial Advisers, Public Resources Advisory Group (PRAG), it is recommended that Manatee County follow the second option of entering into an agreement with one or more local governments for the purpose of providing and financing qualifying improvements. It is recommended to enter into an agreement with existing PACE providers within the State and access a third-party provider to administer the program. After further review, PRAG has recommended we use Hillsborough County’s existing procurement method established for PACE within their community.

Hillsborough County issued an Invitation for Bid (IFB) and established minimum criteria which must be met in order for a PACE program to operate within their county. Program requirements which were used but were not limited to:

  • PACE program is turnkey and addresses all aspects
  • PACE program is established within the State of Florida
  •  PACE program is self-funded
  • The bond issuing agency has an acceptable credit rating by a recognized agency
  • PACE provider will indemnify the County against liability
  • All contractors must possess and maintain required licenses and insurance
  • PACE program has a comprehensive customer feedback and complaint resolution process

By selecting this model, Manatee would quickly be able to allow PACE providers to begin working within our County. The model by Hillsborough County would provide for existing selected providers to work in Manatee County. Current providers are

  • The Florida Green Finance Authority
  • The Florida PACE Funding Agency
  • The Green Corridor Property Assessment Clean Energy (PACE) District
  • The Florida Resiliency and Energy District

Hillsborough County procurement method does not prevent future PACE providers from applying to work within Manatee County. Instead, it establishes the minimum criteria that must be met before the Board will enter into an agreement for bringing a new PACE program within our County.

By electing to use the Hillsborough model, the next steps would involve three items. First, a Resolution will be drafted to be brought back before the Board which enables PACE to be enacted within unincorporated Manatee County. Second, staff would need to begin working with the existing providers selected by Hillsborough County to establish agreements. Last, a process for evaluation of criteria for any future PACE providers wishing to work within unincorporated Manatee County. 

Staff will begin to create the enacting Resolution, Agreements, and future selection procedure, which will be brought back before the Board for approval.



County Attorney Review
Not Reviewed (No apparent legal issues)

Explanation of Other


Reviewing Attorney
N/A

Instructions to Board Records
N/A


Cost and Funds Source Account Number and Name
N/A

Amount and Frequency of Recurring Costs
N/A