PROPERTY ASSESSED PAYMENT ENERGY RETROFIT ( PAPER) ---- PROPERTY ASSESSED CLEAN ENERGY (PACE)

PAPER/ PACE is powerful financial mechanism designed as a reaction to the upfront capitol cost and long term paybacks associated with energy retrofits for most home owners . Check out this example , a random link that explains how PACE could be applied, thus incentivizing a HVAC system . http://southlandac.com/pace-program/ The UBCM has passed two resolutions thus far in support of PAPER/PACE The Municipality of North Cowichan's 2014 UBCM resolution B 64 : B64 Local Improvement Charge for Energy Efficiency Retrofits.................................................... 74 B64 Local Improvement Charge for Energy Efficiency Retrofits WHEREAS energy efficiency and renewable energy retrofits in existing buildings offer the best opportunities to reduce community energy use and greenhouse gas emissions in the medium and short term; AND WHEREAS a lack of suitable financing options are a key barrier to residential and commercial building energy efficiency and renewable energy retrofits: THEREFORE BE IT RESOLVED that the Province: 1. Amend the BC Community Charter, the City of Vancouver Charter and other legislation as required to enable local governments to use local improvement financing mechanisms for energy efficiency and renewable energy improvements on residential and commercial private properties in BC. 2. Work together with BC local governments and energy utilities to develop standards and guidelines for effective municipally-run residential and commercial energy retrofit financing programs. RESPONSE: Ministry of Community, Sport and Cultural Development The Province of British Columbia is interested in supporting local governments to reduce community-wide and corporate greenhouse gas emissions and energy use. Legislative amendments to enable the use of current or additional financing mechanisms for energy efficiency and renewable energy improvements on private property would require significant and careful analysis and are not being considered at this time. The Province encourages local governments and energy utilities to work together to develop financing mechanisms for energy efficiency and renewable energy improvements on residential and commercial private properties in BC. B19 Local Improvement Charge for Municipally-financed Green Powell River City Energy Technologies WHEREAS in May 2016, the Halifax Regional Municipality approved a three-year extension of the Solar City program which provides the opportunity for property owners to save money and reduce their environmental impact by offering property owners a municipal service to procure and install three solar energy technology options for solar photovoltaic, solar hot air and solar hot water; AND WHEREAS the Halifax Regional Municipality is recovering 100 per cent of the program costs through a local improvement charge, as authorized by provincial legislation; AND WHEREAS municipal local improvement charges in British Columbia cannot currently include the provision of cost recovery for municipal services on private property: THEREFORE BE IT RESOLVED that UBCM request the Province of British Columbia to approve enabling legislation to allow the cost recovery of municipally-financed green energy technologies on private properties through municipal local improvement charges. Not presented to the Association of Vancouver Island and Coastal Communities UBCM Resolutions Committee recommendation: Endorse UBCM Resolutions Committee comments: The Resolutions Committee notes that the UBCM membership endorsed resolution 2014-B64, which requested the provincial government to: · amend legislation to enable local governments to use local improvement charges for energy efficiency and renewable energy improvements on residential and commercial private properties; and · work with local governments and energy utilities to develop standards and guidelines for municipally-run residential and commercial energy retrofit financing programs. In response to the resolution the provincial government stated that it was not considering legislative amendments “to enable the use of current or additional financing mechanisms for energy efficiency and renewable energy improvements on private property.” Instead, the Province encouraged local governments and energy utilities to work together to develop financing mechanisms for such energy efficiency and renewable energy improvements. RESPONSE To Powell River The Ministry is very interested in working with local governments to support local climate action and continues to collect input and develop ideas in partnership with UBCM and other provincial ministries. However, given the complexity and fundamental policy questions that the LIC approach raises (most specifically related to public borrowing for private acquisitions), the Ministry is not taking this idea forward as a priority for legislative changes or policy development at this time. We did talk to our colleagues to consider how existing tools could be applied to encourage energy retro-fits for private residences in your community. These tools include revitalization tax exemptions, grants or rebate programs for energy efficient upgrades to homes. There are some very effective ways to use these existing tools and ministry staff are available to talk about this with you or your staff. Please let us know if you would like to set up a call. Thanks again for your email and for touching base on this. We appreciate your leadership and interest in climate action and reducing emissions in your community and we look forward to continued conversations. http://www.fcm.ca/Documents/reports/PCP/2015/National_Measures_Report_2015_Local_Climate_Action_Across_Canada_EN.pdf Page 13 of 57 • Create municipal incentives for building retrofits: Offer homeowners and commercial building owners upfront loans with convenient repayment schemes. Two common mechanisms are on-bill financing, in which monthly payments are collected through utility bills (with retrofit costs offset by energy savings), and local improvement charges, in which the cost of retrofits are tied to the property and repaid through property taxes. Programs can also include permit based incentives, such as expedited processing and fee-bates, or tax exemptions. Nearly 80 per cent of plans include measures to improve the energy performance of new developments through a combination of regulatory standards and incentives. The most common types of action are: • Adopt green building standards or bylaws that require new developments to exceed the construction and performance standards under existing building codes. It would appear that the Federation of Canadian Municipalities is already reached a conclusion that this (PAPER/PACE , local improvement charges) is the policy /direction that we should head towards . Warmest regards Dion

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