20140521 AM2MIAMI BEACH
City Commission Meeting
ADDENDUM MATERIAL 2
City Hall, Commission Chambers, 3rd Floor, 1700 Convention Center Drive
May 21, 2014
Mayor Philip Levine
Vice-Mayor Micky Steinberg
Commissioner Michael Grieco
Commissioner Joy Malakoff
Commissioner Edward L. Tobin
Commissioner Deede Weithorn
Commissioner Jonah Wolfson
City Manager Jimmy Morales
City Attorney Raul Aguila
City Clerk Rafael E. Granado
Visit us at www.miamibeachfl.gov for agendas and video "streaming" of City Commission Meetings.
ATTENTION ALL LOBBYISTS
Chapter 2, Article VII, Division 3 of the City Code of Miami Beach entitled "Lobbyists" requires the
registration of all lobbyists with the City Clerk prior to engaging in any lobbying activity with the City
Commission, any City Board or Committee, or any personnel as defined in the subject Code
sections. Copies of the City Code sections on lobbyists laws are available in the City Clerk's office.
Questions regarding the provisions of the Ordinance should be directed to the Office of the City
Attorney.
ADDENDUM AGENDA
R9 • New Business and Commission Requests
R9M Discussion Regarding Permanent Closing Of Ocean Drive To Street Traffic.
(Requested by Commissioner Jonah Wolfson)
R9N Discussion Regarding Creating A Property Assessed Clean Energy (PACE) Program By
Resolution And Joining The Existing lnterlocal Agreement Between By Harbor Islands,
Biscayne Park, And Surfside.
(Requested by Commissioner Jonah Wolfson)
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MIAMI BEACH
OFFICE OF THE MAYOR AND COMMISSION MEMORANDUM
To: Jimmy Morales, City Manager
From: Jonah Wolfson, Commissioner
Date: May19,2014
Re: Commission Agenda Discussion Item
Please place on the May 21, 2014, Commission Agenda a Discussion Item the
following issue for discussion:
Permanent closing of Ocean Drive to street traffic.
JW
We are committed to providing excellent public service and safety to all who live, work, and play in our vibrant, tropical, l''''~"r Mmmunih'
Agenda Item
Date 2
THIS PAGE INTENTIONALLY LEFT BLANK
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MIAMI BEACH
OFFICE OF THE MAYOR AND COMMISSION MEMORANDUM
To: Jimmy Morales, City Manager
From: Jonah Wolfson, Commissioner
Date: May 19, 2014
Re: Commission Agenda Discussion Item
Please place on the May 21, 2014, Commission Agenda a Discussion Item the
following issue for discussion:
Creating a Property Assessed Clean Energy (PACE) program by resolution and
joining the existing lnterlocal agreement between Bay Harbor Islands, Biscayne Park,
and Surfside.
Please see attached Resolution, Draft lnterlocal Agreement, and program information.
JW
We are committed lo providing excellent public service and safety to all who live, work, and play in our vibrant, tropical, /,:01~,;r mmmunih1
Agenda Item Rq tJ
Date S'-zj-/lf . 4
RESOLUTION 13-__ _
A RESOLUTION OF THE COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, CREATING A PROPERTY
ASSESSED CLEAN ENERGY PROGRAM AND JOINING
THE TOWN OF BAY HARBOR ISLANDS, THE TOWN OF
SURFSIDE, AND THE VILLAGE OF BISCAYNE PARK IN
CREATING THE CLEAN ENERGY COASTAL CORRIDOR
PROGRAM IN ACCORDANCE WITH SECTION 163.08,
FLORIDA STATUTES; ADOPTING AN INTERLOCAL
AGREEMENT PURSUANT TO SECTION 163.01, FLORIDA
STATUTES RELATING TO THE CORRIDOR;
PROVIDING FOR AUTHORIZATION; AND PROVIDING
FOR AN EFFECTIVE DATE.
WHEREAS, in 2010, the Florida Legislature adopted HB 7179 (Section 163.08,
F.S.)(the "Bill"), which allows local govermnents to create Property Assessed Clean Energy
(PACE) programs in order to provide the upfront financing for energy conservation and
efficiency (i.e. energy-efficient heating, cooling, or ventilation systems), renewable energy (i.e.
solar panels), wind resistance (i.e. impact resistant windows) and other improvements that are
not inconsistent with state law (the "Qualifying Improvements"); and
WHEREAS, PACE programs not only assist residents and business owners in reducing
their carbon footprint and energy costs, but also stimulate the local economy by the creation of
needed construction jobs; and
WHEREAS, the Bill authorizes local governments that create PACE programs to enter
into a paiinership in order to provide more affordable financing for the installation of the
Qualifying Improvements; and
WHEREAS, given the wide spread energy and economic benefits of PACE programs,
the Commission desires to join the Town of Bay Harbor Islands in creating the Clean Energy
Coastal ColTidor in order to provide the upfront financing to property owners for Qualifying
Improvements and to enter into an interlocal with other municipalities for the purpose of
financing such improvements; and
WHEREAS, the Commission finds that this Resolution is in the best interest and welfare
of the residents of the Miami Beach.
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE
MIAMI BEACH, FLORIDA, AS FOLLOWS:
Section 1. Recitals. The above recitals are true and correct and are incorporated
herein by this reference.
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Section 2. Creation of PACE Program. The Commission hereby creates a PACE
Program pursuant to Section 163.08, Florida, for the purpose of providing upfront financing to
property owners for Qualifying Improvements.
Section 3. Adoption of Interlocal Agreement. The Commission hereby approves
an interlocal agreement pursuant to Section 163.01, Florida Statutes between the Town of Bay
Harbor Islands and other municipalities, in substantially the form attached hereto as Exhibit "A,"
relating to the Clean Energy Coastal Corridor (the "Interlocal Agreement").
Section 4. Authorization. The City Manager or designee is hereby authorized to
execute the Interlocal Agreement.
Section 5.
adoption.
Effective Date. This Resolution shall take effect immediately upon
PASSED and ADOPTED this ___ day of _______ , 2013.
Attest:
CITY CLERK
APPROVED AS TO FORM AND
LEGAL SUFFICIENCY:
CITY ATTORNEY
Moved By:
Seconded By:
FINAL VOTE AT ADOPTION:
PHILIP LEVINE, Mayor
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DRAFT COPY
INTERLOCAL AGREEMENT
BETWEEN
THE TOWN OF BAY HARBOR ISLANDS, FLORIDA,
THE VILLAGE OF BISCAYNE PARK, FLORIDA,
AND THE TOWN OF SURFSIDE, FLORIDA
This lnterlocal Agreement is entered into between the Town of Bay Harbor
Islands, Florida, a Florida municipal corporation, hereinafter referred to as "the Town;"
and the Village of Biscayne Park, Florida, a Florida municipal corporation; and the
Town of Surfside, Florida, a Florida municipal corporation, (Collectively, the "Parties")
RECITALS
WHEREAS, Section 163.01, Florida Statutes, the "Florida lnterlocal Cooperation
Act of 1969," authorizes local government units to enter into interlocal agreements for
the mutual benefit of governmental units; and
WHEREAS, Section 163.01 (7), Florida Statutes, allows for the creation of a
"separate legal entity" constituted pursuant to the terms of the interlocal agreement to
-carry out the purposes of the interlocal agreement for the mutual benefit of the
governmental units; and
WHEREAS, the Parties desire to enter into an interlocal agreement creating a
separate legal entity entitled the Clean Energy Coastal Corridor, hereinafter referred to
as the "Authority;" and
WHEREAS, Section 166.021, Florida Statutes, authorizes the Parties to exercise
any power for municipal purposes, except when expressly prohibited by law; and
WHEREAS, Section 163.08, Florida Statutes, provides that a "local government,"
defined as a county, municipality, a dependent special district as defined in Section
189.403, Florida Statutes, or a separate legal entity created pursuant to Section
163.01 (7), Florida Statutes may finance energy related "qualifying improvements"
through voluntary assessments; and
WHEREAS, Section 163.08, Florida Statutes, provides that improved property
that has been retrofitted with energy-related qualifying improvements receives the
special benefit of alleviating the property's burden from energy consumption and assists
in the fulfillment of the state's energy and hurricane mitigation policies; and
WHEREAS, Section 163.08(5), Florida Statutes, provides that local governments
may enter into a partnership with one or more local governments for the purpose of
providing and financing qualifying improvements; and
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WHEREAS, the Parties to this lnterlocal Agreement have expressed a desire to
enter into this lnterlocal Agreement in order to authorize the establishment of the
Authority as a means of implementing and financing a qualifying improvements program
within the Authority; and
WHEREAS, the Parties have determined that it is necessary and appropriate to
create the Authority and to clarify various obligations for future cooperation between the
Parties related to the financing of qualifying improvements within the Authority; and
WHEREAS, the Parties have determined that it shall serve the public interest to
enter into this lnterlocal Agreement to make the most efficient use of their powers by
enabling them to cooperate on a basis of mutual advantage to provide for the financing
of qualifying improvements within the Authority.
NOW, THEREFORE, in consideration of the terms and conditions, promises and
covenants hereinafter set forth, the Parties agree as follows:
Section 1. Recitals Incorporated. The above recitals are true and correct and
incorporated herein.
Section 2. Purpose. The purpose of this lnterlocal Agreement is to consent to
and authorize the creation of the Authority, pursuant to Section 163.08, Florida Statutes
in order to facilitate the financing of qualifying improvements for property owners within
the Authority. The Authority shall be a separate legal entity, pursuant to Section
163.01 (7), Florida Statutes.
Section 3. Qualifying Improvements. The Authority shall allow the financing of
qualifying improvements as defined in Section 163.08, Florida Statutes in addition to
any other improvements or services not inconsistent with state law.
Section 4. Enabling Ordinance or Resolution. The Parties to this lnterlocal
Agreement agree to approve and keep in effect such resolutions and ordinances as
may be necessary to approve, create and maintain the Authority. Said ordinances and
resolutions shall include all of the provisions as provided for in Sections 163.01 and
163.08, Florida Statutes, for the creation of a partnership between local governments as
a separate legal entity. The Authority shall be created upon the execution of this
lnterlocal Agreement by the Parties hereto and the adoption of an ordinance or
resolution of support by the Parties establishing the Authority. Additional local
governments may join in and enter into this lnterlocal Agreement by approval of the
Board (as defined in Section 6 below), execution of this lnterlocal Agreement and
adoption of an ordinance or resolution of support establishing the Authority. -,
Section 5. Authority Boundaries. The boundaries of the Authority shall be the
legal boundaries of the local governments that are Parties to this lnterlocal Agreement.
As contemplated in this lnterlocal Agreement, the Authority will levy voluntary
assessments on the benefitted properties within the boundaries of the Authority to help
finance the costs of qualifying improvements for those individual properties. Upon
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petition by the landowners of individual properties desiring to be benefited, those
properties receiving financing for qualifying improvements shall be assessed from time
to time, in accordance with the applicable law. Notwithstanding a Parties termination of
participation within this lnterlocal Agreement, those properties that have received
financing for qualifying improvements shall continue to be a part of the Authority, until
such time that all outstanding debt has been satisfied.
Section 6. Governing Board of the Authority. The Authority shall be governed
by a governing board (the "Board") which shall be comprised of property owners within
the jurisdictional boundaries of the Parties to this lnterlocal Agreement and one at large
property owner from within the Authority. The maximum number of members of the
Board serving at any given time shall be no more than seven (7) and the minimum
number of members shall be not less than three (3), except for the initial Board meeting,
which may consist of two (2) members and shall be held for the sole purpose of
initiating the bond validation proceeding and ratifying the assignment of the Third Party
Administrator agreement. Notwithstanding the foregoing, the maximum number of
members on the Board may be increased by a majority vote of the Board. The initial
Board shall serve for an initial four (4) year term and shall consist of one (1)
representative appointed by each of the Parties from within their jurisdictional
boundaries. The initial at large member of the Board shall be appointed by a majority
vote of the Board. All subsequent renewal terms shall be for four (4) years. In the
event a Board member is no longer eligible to serve on the Board, that Party to this
lnterlocal Agreement shall appoint a replacement to fulfill the remaining term of that
member. The Board's administrative duties shall include all duties necessary for the
conduct of the Board's business and the exercise of the powers of the Authority as
provided in Section 11.
Section 7. Decisions of the Board. Decisions of the Board shall be made by
majority vote of the Board. The Board may adopt rules of procedure. In the absence of
the adoption of such rules of procedure, the fundamental parliamentary procedures of
Roberts Rules of Order shall apply.
Section 8. Authority Staff and Attorney. The Town of Bay Harbor Islands
Manager shall serve as the staff to the Authority and the Town of Bay Harbor Islands
Attorney shall serve as the counsel to the Authority, unless otherwise determined by the
Board.
Section 9. Financing Agreement. The Parties agree that the Authority shall
enter into a financing agreement, pursuant to Section 163.08(8), Florida Statutes, with
property owner(s) who obtain financing through the Authority.
Section 10. Procurement. The Parties agree and understand that the Town has
selected Ygrene Energy Fund, Florida, LLC as the initial Third Party Administrator for
the Authority(the "TPA"). The Parties further agree and understand that the selection of
the TPA is exempt from competitive solicitation as the TPA was competitively procured,
awarded and contracted by the Town of Cutler Bay, Florida (Request for Proposal 10-
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05). The Town will enter into an agreement with the TPA, which will be assigned to the
Authority and ratified by the Board.
Section 11. Powers of the Authority. The Authority shall exercise any or all of
the powers granted under Sections 163.01 and 163.08, Florida Statutes, as may be
amended from time to time, which include, without limitation, the following:
a. To finance qualifying improvements within the Authority boundaries;
b. In its own name to make and enter into contracts;
c. To employ agencies, employees, or consultants;
d. To acquire, construct, manage, maintain, or operate buildings, works, or
improvements;
e. To acquire, hold, or dispose of property;
f. To incur debts, liabilities, or obligations which do not constitute the debts,
liabilities, or obligations of any of the Parties to this lnterlocal Agreement;
g. To adopt resolutions and policies prescribing the powers, duties, and
functions of the officers of the Authority, the conduct of the business of the
Authority, and the maintenance of records and documents of the Authority;
h. To maintain an office at such place or places as it may designate within
the Authority or within the boundaries of a Party to this lnterlocal
Agreement;
i. To cooperate with or contract with other governmental agencies as may
be necessary, convenient, incidental, or proper in connection with any of
the powers, duties, or purposes authorized by Section 163.08, Florida
Statutes, and to accept funding from local and state agencies;
j. To exercise all powers necessary, convenient, incidental, or proper in
connection with any of the powers, duties, or purposes authorized in
Section 163.08, Florida Statutes; and
k. To apply for, request, receive and accept gifts, grants, or assistance funds
from any lawful source to support any activity authorized under this
Agreement.
Section 12. Quarterly Reports. Upon the first financing agreement being
funded by the Authority, a quarterly report of the Authority shall be completed in
accordance with generally accepted Government Auditing Standards by an independent
certified public accountant. At a minimum, the quarterly report shall include a balance
sheet, statement of revenues, expenditures and changes in fund equity and combining
statements. prepared in accordance with generally accepted accounting principles. All
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records such as, but not limited to, construction, financial, correspondence, instructions,
memoranda, bid estimate sheets, proposal documentation, back charge documentation,
canceled checks, reports and other related records produced and maintained by the
Authority, its employees and consultants shall be deemed public records, and shall be
made available for audit, review or copying by a Party to this lnterlocal Agreement upon
reasonable notice.
Section 13. Term. This lnterlocal Agreement shall remain in full force and
effect from the date of its execution; provided, however, that prior to commencement of
legal proceedings to validate the Authority program, any Party may terminate its
involvement in the Authority and its participation in this lnterlocal Agreement upon ten
(10) days' written notice to the other Parties. Should a Party terminate its participation
in this lnterlocal Agreement, be dissolved, abolished, or otherwise cease to exist, the
Authority and this lnterlocal Agreement shall continue until such time as all remaining
Parties agree to terminate. Thereafter, the Authority and this lnterlocal Agreement,
shall continue for a period of seven years and shall automatically renew for successive
seven (7) year terms. After the initial term, any Party may terminate its involvement in
the Authority and its participation in this lnterlocal Agreement upon 90 days notice.
Section 14. Consent. This lnterlocal Agreement and any required resolution or
ordinance of an individual Party shall be considered the Parties' consent to the creation
of the Authority as required by Sections 163.01 and 163.08, Florida Statutes.
Section 15. Liability. The Parties hereto shall each be individually and
separately liable and responsible for the actions of its officers, agents and employees in
the performance of their respective obligations under this lnterlocal Agreement. Except
as specified herein, the Parties shall each individually defend any action or proceeding
brought against their respective agency pursuant to this lnterlocal Agreement and shall
be individually responsible for all of their respective costs, attorneys' fees, expenses
and liabilities incurred as a result of any such claims, demands, suits, actions, damages
and causes of action, including the investigation or the defense thereof, and from and
against any orders, judgments or decrees which may be entered as a result thereof.
For any action or proceeding brought against the Authority pursuant to this lnterlocal
Agreement, the Parties shall each contribute equally for all costs, attorneys' fees,
expenses and liabilities incurred as a result of any such claims, demands, suits, actions,
damages and causes of action, including the investigation or the defense thereof, and
from and against any orders, judgments or decrees which may be entered as a result
thereof. The Parties shall each individually maintain throughout the term of this
lnterlocal Agreement any and all applicable insurance coverage required by Florida law
for governmental entities. Nothing in this Agreement shall be construed to affect in any
way the Parties' rights, privileges, and immunities, including the monetary limitations of
liability set forth therein, under the doctrine of "sovereign immunity" and as set forth in
Section 768.28 of the Florida Statutes.
Section 16. Notices. Any notices to be given hereunder shall be in writing and
shall be deemed to have been given if sent by hand delivery, recognized overnight
courier (such as Federal Express), or it must be given by written certified U.S. mail, with
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return receipt requested, addressed to the Party for whom it is intend.ed, at the place
specified. For the present, the Parties designate the following as the respective places
for notice purposes:
If to Town:
With a Copy to:
If to ---
If to ---
Ronald J. Wasson
Town Manager
9665 Bay Harbor Terrace
Bay Harbor Islands, FL 33154
Craig B. Sherman, Esq.
Sherman & Sherman, P.A.
Town Attorney
Bank of America Building
2000 Glades Road, Suite 204
Boca Raton, FL 33431
Section 17. Amendments. It is further agreed that no modification, amendment
or alteration in the terms or conditions herein shall be effective unless contained in a
written document executed by the Parties hereto and the Authority.
Section 18. Filing. It is agreed that this lnterlocal Agreement shall be recorded
as required by Section 163.01 (11 ), Florida Statutes.
Section 19. Joint Effort. The preparation of this lnterlocal Agreement has been
a joint effort of the Parties hereto and the resulting document shall not, solely as a
matter of judicial construction, be construed more severely against one of the Parties
than the other.
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Section 20. Merger. This lnterlocal Agreement incorporates and includes all
prior negotiations, correspondence, agreements or understandings applicable to the
matters contained herein; and the Parties agree that there are no commitments,
agreements or understandings concerning the subject matter of this lnterlocal
Agreement that are not contained in this document. Accordingly, the Parties agree that
no deviation from the terms hereof shall be predicated upon any prior representations or
agreements w~ether oral or written It is further agreed that no change, amendment,
alteration or modification in the terms and conditions contained herein shall be effective
unless contained in a written document executed with the same formality and of equal
dignity herewith by all Parties to this lnterlocal Agreement.
Section 21. Assignment. The respective obligations of the Parties set forth in
this lnterlocal Agreement shall not be assigned, in whole or in part, without the written
consent of the other Parties hereto.
Section 22. Records. The Parties shall each maintain their own respective
records and documents associated with this lnterlocal Agreement in accordance with
the requirements for records retention set forth in Chapter 119, Florida Statutes.
Section 23. Governing Law and Venue. This lnterlocal Agreement shall be
governed, construed and controlled according to the laws of the State of Florida. Venue
for any claim, objection or dispute arising out of the terms of this lnterlocal Agreement
shall be proper exclusively in Miami-Dade County, Florida.
Section 24. Severability. In the event a portion of this lnterlocal Agreement is
found by a court of competent jurisdiction to be invalid, the remaining provisions shall
continue to be effective.
Section 25. Effective Date. This lnterlocal Agreement shall become effective
upon the execution by the Parties hereto and the recordation of the Agreement within
the applicable county.
[Remainder of page intentionally left blank.]
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IN WITNESS WHEREOF, the Parties hereto have made and executed this
lnterlocal Agreement on this __ day of , 2013.
ATTEST:
BY: -----
Town Clerk
(Affix Seal)
Approved by Town Attorney
as to form and legal sufficiency
Town of Bay Harbor Islands, a municipal
corporation of the State of Florida
BY: ----------
Town Manager
Town Attorney
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CLEAN ENERGYf1
COAST.Al CORRIDOR
by Ygrene
CLEAN ENERGY COASTAL CORRIDOR
PR A IDELINES
CLEAN ENERGY COASTAL CORRIDOR
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In order to apply for financing under the Clean Energy Coastal Corridor (the "District") Program (the
"Program") the property owner must read, accept, and comply with the terms provided herein (the
"Program Terms").
These Program Terms, along with the documents property owners execute in connection with the
Program (the "Program Documents"), establish the terms of the District Program. Property owners
should become familiar with and understand the provisions of the Program Terms. By executing the
Program Documents, the property owner agrees to all of the Program Terms. The District reserves the
right to amend these Program Terms from time to time as described below. The District has contracted
with Ygrene Energy Fund Florida, LLC (the "Administrator") to administer the program. The District will
share information with the Administrator and other third parties as necessary to administer the
Program.
1. Purpose of the Program
The Program is intended to assist property owners in the District in financing the installation of
energy efficiency, wind resistance and renewable energy improvements as defined in Section
163.08, Florida Statutes (the "Qualifying Improvements"). The financing and the costs of
administering the Program will be repaid through non-ad valorem special assessments added to the
property tax bills paid by only those property owners who voluntarily choose to participate in the
Program. There may be other types of financing available to property owners and the District does
not guarantee that the Program is the best financing option. Property owners should obtain help in
selecting the option that is most appropriate for their particular situation.
2. Summary of the Program Process
As discussed in more detail below, in order to receive funding from the Program, property owners
must complete the following steps for all property types:
a. Determine that they meet the eligibility requirements. (see "Eligibility" below).
b. Apply online or submit a paper application for the Program. (see "Application" below).
c. Agree to these Program Terms and pay an application fee as part of the application process.
d. At least 30 days before entering into a financing agreement (the "Financing Agreement"), the _
property owner shall provide to the holders or loan servicers of any existing mortgages
encumbering or otherwise secured by the property a notice of the owner's intent to enter into a
Financing Agreement together with the maximum principal amount to be financed and the
maximum annual assessment necessary to repay that amount. Depending on the location of the
property, the local governmental entity may require that the consent of the mortgage holder be
obtained. The Program Administrator will advise you if this is the case.
e. The Administrator must approve the completed application.
f. A contractor certified (the "Certified Contractor") through the Program must be selected by the
property owner to install the Qualifying Improvements. The Certified Contractor must submit a
bid for the installation of Qualifying Improvements on the property
g. The District will record the signed Finance Agreement or a summary memorandum of such
agreement within 5 days of signing. Upon disbursement of funds, the District will record an
addendum to the Financing Agreement indicating the final amount financed which will be
annually assessed (the "Settlement Statement").
h. The District will authorize the release of funds to the property owner after project completion.
Property owners may choose to assign payment directly to their Certified Contractor.
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i. Pay the special assessments in the amounts and at the times specified in the Settlement
Statement.
3. Eligibility
The Program is available to all privately owned property within the District. The financing terms and
conditions set forth in these Program Terms are applicable to financings for the installation of
Qualifying Improvements in residential and non-residential properties (as determined by guidelines
established by each member municipality of the District). In order to participate in the Program, a
property owner must meet and complete the following requirements and steps:
a. The property to be improved with the Qualifying Improvements must be located within the
District.
b. All holders of fee simple title to the subject property or, for corporate owners their designee(s),
must sign the Program Documents. Therefore, before submitting an application, property owners
must ensure that all property owners will agree to participate in the Program on the terms set
forth in these Program Terms.
c. In the case of renewable energy and energy efficiency retrofits, the property owner must agree to
provide the Certified Contractor or an energy auditor with access to the property's utility usage
history and information to enable the Program to analyze energy savings.
d. All property taxes and any other assessments levied on the same bill as property taxes must be
paid and have not been delinquent for the preceding 3 years or the property owner's period of
ownership, whichever is less. There shall be no involuntary liens, including, but not limited to,
construction liens on the property. There shall be no notices of default or other evidence of
property-based debt delinquency recorded during the preceding 3 years or the property owner's
period of ownership, whichever is less. The property owner must be current on all mortgage debt
on the property, with no more than one late payment in the past 12 months. Property owner must
not have any notices of bankruptcy for the past twelve months.
e. The total debt of the property, including mortgages and equity lines of credit, secured by the
property, must not exceed 90% of the fair market value of the property.
f. It is critical to the health of the Program that property owners pay their special assessments and
other property-related obligations in full on a timely basis. Consequently, the District reserves the
right, in its sole discretion, to request supplemental information from owners and to deny
applications based on any negative reports.
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4. Application
All property owners interested in applying to the Program must submit the initial application
documents listed below along with the required application fee. At the time of application, property
owners must agree to the Program Terms. Project applications will receive an administrative point of
contact from the Administrator, who will assist in the process.
a. Application Form, either submitted online or printed and signed, and application fee.
b. Upon review of the application by the Administrator, applicants will receive either a Notice of
Approval or a Notice of Denial.
c. Upon receipt of a Notice of Approval, applicants must obtain Lender Notification forms, available
either on-line or from the Administrator, and submit them to their lender(s). Property owners will
be required to provide to the Administrator a Proof of Mailing for Lender Notification forms. This
process can actually be done by the property owner before applying; however, this is left to the
discretion of the property owner. Depending on the location of the property, the local
governmental entity may require that the consent of the mortgage holder be obtained. The
Program Administrator will advise you if this is the case.
d. Upon receipt of a Notice of Approval, applicants can proceed to submit their proposed project for
approval (See "Project Approval" below).
e. Should an application be denied, the notice will include recommend remedial action that may be
available to the applicant.
5. Qualifying Improvements; Certified Contractors; Maximum Funding
The following general provisions apply to all projects submitted for funding under the Program:
a. Program financing may only be used to finance those improvements that are described in the
list of Qualifying Improvements (see appendix I). Property owners are responsible to ensure that
improvements installed on their property qualify under the program.
b. The Program is a financing program only. Neither the District nor the Administrator is
responsible for installation of the Qualifying Improvements or their performance.
c. The Qualifying Improvements must be affixed to the building or facility that is part of the property
and shall constitute an improvement to the building or facility or a fixture attached to the building
or facility. Appliances built-in to cabinetry qualify, but freestanding units do not. Built-in lighting
fixtures qualify, but replacement of light bulbs alone cannot be financed. Questions regarding
Qualified Improvements should be directed to the Administrator.
d. Qualifying Improvements must be installed by Certified Contractors who meet the eligibility
criteria set forth for the specific category of work being financed, and who are listed on the
Certified Contractors list that may be obtained on-line or from the Administrator.
e. The Program requires a minimum funding request of $2,500.
f. The Program will approve maximum funding requests in an amount such that the aggregate
amount of any fixed assessment liens on the property and the amount of the proposed project to
be completed do not exceed 100% of the fair market value of the property. Maximum financing
is initially set at the lesser of 20% of the just value of the property determined by the property
appraiser or 15% of fair market value. For proposed commercial projects, the Certified
Contractor must submit evidence that the project provides either an SIR of one or greater or a
Benefits-to-Cost Ratio (BCR) of one or greater. The Program Administrator can provide
guidance and software to the Certified Contractor to assist in calculating these ratios. The
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Program will not provide financing for any costs in excess of the maximum amounts allowed
under FL law.
6. Project Approval
Upon receipt of a Notice of Approval of a Program application and following verification of lender
notification being sent, the property owner may proceed to apply for project funding. Following are
the steps required to obtain authorization for funding under the Program:
a. Select a Certified Contractor from the Certified Contractor List. This list is available on-line and/or
from the Administrator. Applicants may wish to obtain bids and advice from more than one
Certified Contractor.
b. Work with Certified Contractor(s) to determine the scope and cost of your project, and verify that
the proposed work qualifies for funding under the Program. Once Qualifying Improvements are
selected, obtain a formal bid from one or more Certified Contractors.
c. Following review of the project bid(s) select a Certified Contractor to coordinate the project with
the Program Administrator.
d. Upon review of the proposed project and the bid(s) submitted for the work, the Administrator will
issue either a Project Approval Letter or a Project Denial Letter. This communication will be
provided by email unless directed otherwise by the applicant.
e. Once the project is approved, applicants will be required to execute the Financing Agreement.
This is the contract that authorizes the Administrator and the District to record on the property tax
record the assessment that will secure the project financing. The Financing Agreement must be
recorded prior to commencement of construction.
f. Once the Financing Agreement is recorded, applicants will receive a Notice to Proceed. Upon
receipt of this notice, applicants can authorize commencement of the project. If construction
begins prior to receipt of a Notice to Proceed, applicants run the risk of not qualifying for
Program funding.
g. If the project is denied, the Project Denial Letter will outline remedial action that may be available
to the applicant.
h. In the event that the property owner cancels the project after recording of the documents, all
expenses incurred by the Program for recording documents, underwriting, and release of liens
will be the responsibility of the property owner.
7. Funding
a. Once the Certified Contractor has completed installation of the Qualifying Improvements,
property owners must submit a funding request and the project verification documents. Contact
the Administrator for a complete list of required forms and agreements. Property owner may
request that the Certified Contractor receive payment directly from the Administrator.
b. If the funding request is not submitted to the Administrator within 7 calendar days after
transmittal of the final Program forms, the interest rate may be reset (See "Financing Costs;
Interest Rate below).
c. Upon review of the project record the Administrator will confirm its eligibility for funding and
calculate the final assessment details. Prior to the issuance of checks, the property owner must
approve and sign the final Settlement Proforma Statement.
d. In the event a property owner cancels financing after submitting a request for funding, all
expenses incurred by the Program for recording documents, preparing bond documents and
releasing any liens will be the responsibility of the property owner. Property owners may be
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responsible for expenses incurred by Certified Contractors according to their contracts. The
District has no responsibility to release funds to property owners or Certified Contractors for work
that has not been completed for any reason.
8. Financing Costs; Interest Rate
a. In order to receive funding, property owners agree to pay special assessments in an amount
equal to (i) the principal amount received from the Program, (ii) interest on the principal amount
received from the Program and (iii) initial and on-going administrative expenses (see Appendix
11 ).
b. Principal. This is the total of all financed project costs. These may include costs associated with
implementing the project such as closing fees, permits, audit expenses, application fees and
capitalized interest (see "Capitalized Interest" below).
c. Interest Rate. The rate of interest charged on the amount funded will be fixed for the full term of
the assessment. The rate will be set for 90 days on the date that the Finance Agreement is
prepared by the Administrator. Property owners can monitor interest rates on the Program
website or by contacting the Administrator.
d. Capitalized Interest. Because of administrative delays involved in placing assessments on
County tax rolls, capitalized interest will be added to the assessment for the time period between
funding and the due date of the first property tax bill on which the assessment will appear.
9. Repayment Terms; Special Assessments
a. Repayment Terms. Following placement of the assessment on the tax roll, the property owner
will be obligated to pay the special assessments specified in the Project Approval.
b. Prepayment Terms: The Special Assessment can be paid off at any time. There is a 5%
prepayment penalty which will be owed on any outstanding principal balance at the moment the
prepayment is made.
c. Special Assessments. A property owner must pay the agreed-upon special assessment
regardless of personal financial circumstances, the condition of the property, or the performance
of the Qualifying Improvements. Property owners should not apply for financing if they are not
certain they can meet the assessment obligations. The failure to pay property taxes in full or
in part will result in financial repercussions including penalties, interest, the sale of a tax
certificate on the property, and possible lost of the property. If property owners use an
escrow account to pay their property taxes, they must notify the escrow company of the special
assessment. In such cases, property owners will need to increase monthly payments to the
escrow account by an amount equivalent to the annual assessment payments, divided by 12
months.
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10. Compliance with Existing Mortgages
Recordation of the assessment on the tax roll will establish a continuing lien as security for the
obligation to pay the special assessments. In accordance with Florida law, the lien securing the
obligation to pay the special assessments will be senior to all private liens, including existing
mortgage(s). Many mortgage and loan documents limit the ability of a property owner to place senior
liens on property without the consent of the lender, or authorize the lender to obligate borrowers to
prepay the senior obligation. Recently, the Federal Housing Finance Agency has issued policy
guidelines that question the validity and assessment status of PACE assessments. Program
participants should confirm with their lender(s) that participation in the Program does not adversely
impact their rights with respect to any existing loan documents. Property owners are required to
notify their lenders prior to a funding request and to provide the Administrator with a copy of the
letter and proof of mailing. The Administrator will provide required forms for lender notification,
but ultimate responsibility for addressing issues with existing lenders remains with property
owners.
11. Transfer or Resale of the Subject Property
Special Assessments run with the property. In the event of a sale, unless other arrangements are
made prior to closing, the annual payments will appear on the new owner's tax bill. The property
owner must be aware of the fact that the Federal Housing Finance Agency has made a statement
indicating that they will not give a mortgage to a potential buyer of a residential property if the
property has a PACE special assessment recorded against it. If this is the case, the assessment
can be prepaid at the time of sale (see "Repayment Terms; Special Assessments" above).
Ownership of any funded Qualifying Improvements (including light bulbs) transfer to the new owner.
and may not be removed from the property. Program participants agree to make all legally required
disclosures regarding the existence of the assessment lien on the property in connection with any
sale.
At or before the time a purchaser executes a contract for the sale and purchase of any property for
which a non-ad valorem assessment has been levied and has an unpaid balance due, the seller
shall give the prospective purchaser a written disclosure statement in the following form, which shall
be set forth in the contract or in a separate writing:
QUALIFYING IMPROVEMENTS FOR ENERGY EFFICIENCY, RENEWABLE ENERGY, OR WIND
RESISTANCE-The property being purchased is located within the jurisdiction of a local
government that has placed an assessment on the property pursuant to s. 163. 08, Florida Statutes.
The assessment is for a qualifying improvement to the property relating to energy efficiency,
renewable energy, or wind resistance, and is not based on the value of property. You are
encouraged to contact the county property appraiser's office to learn more about this and other
assessments that may be provided by law.
12. Rebates and Taxes
Participation in this Program does not reduce rebates available through federal, state, utility
sponsored and District rebate programs. More information on available programs can be found on-
line or through Certified Contractors and other vendors. Participants should consult with their tax
advisors with respect to the state and federal tax benefits and consequences of participating in the
Program. Neither the District nor the Administrator is responsible for the tax considerations of
participating in the Program.
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13. Changes in State and Federal Law
The District's ability to continue to finance the Program is subject to a variety of state and federal
laws. If those laws or the judicial interpretation thereof changes after a property owner applies for the
Program, but before the District fulfills the funding request, the District may be unable to fulfill the
request. In such event, the District shall have no liability as a result of any such change in law or
judicial interpretation.
14. Changes in Program Terms
The District reserves the right to change the Program Terms at any time without notice. However, no
such change will affect a participant's obligation to pay special assessments as set forth in the
Settlement Statement. Participation in the Program will be subject to the Program Terms in effect
from time to time.
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APPENDIX I
QUALIFYING IMPROVEMENTS
The following list represents improvements that will be Qualifying Improvements under the District
PACE Program. Additional and/or alternative measures may be approved on a case-by-case basis
and/or as the list is modified from time to time in compliance with State Law or instructions from the
District.
1. Energy Efficiency
a. Air Sealing and Ventilation
• Air Filtration
• Building Envelope
• Duct Leakage and Sealing
• Bathroom, ceiling, attic, and whole house fans
b. Insulation
• Defect Correction
• Attic, floor, walls, roof, ducts
c. Weather-Stripping
d. Home Sealing
e. Geothermal Exchange Heat Pumps
f. HVAC Systems
g. Evaporative Coolers
• Cooler must have a separate ducting system from air conditioning and heating ducting
system
h. Natural gas storage water heater
• Energy Star listed
i. Tankless water heater
j. Solar water heater system
k. Reflective insulation or radiant barriers
I. Cool roof
m. Windows and glass doors
• U value of 0.40 or less and solar heat gain coefficient of 0.40 or less
n. Window filming
o. Skylights
p. Solar tubes
q. Additional building openings to provide addition natural light
r. Lighting
• Energy Star listed (only retrofits)
s. Pool equipment
• Pool circulating pumps
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2. Other Non-Residential Building Measures
The following measures are allowed for commercial and non-residential buildings, in addition to all
applicable energy efficiency measures listed above:
a. Occupancy-Sensor Lighting Fixtures
• SMART Parking Lot Bi-Level Fixture
• SMART Parking Garage Bi-Level Fixtures
• SMART Pathway Lighting
• SMART Wall Pack Fixtures
b. Task Ambient Office Lighting
c. Classroom Lighting
d. Refrigerator Case LED Lighting with Occupancy Sensors
e. Wireless, daylight lighting controls
f. Kitchen Exhaust Variable Air Volume Controls
g. Wireless HVAC Controls & Fault Detection
3. Solar Equipment
a. Solar thermal hot water systems
b. Solar thermal systems for pool heating
c. Photovoltaic systems (electricity)
d. Emerging technologies -following the Custom Measures Track
4. Wind Resistance Measures
a. Wind hardening measures can be deployed through this Program. The measures described
qualify.
b. Improving the strength of the roof deck and foundation attachment.
c. Creating a secondary water barrier to prevent water intrusion.
d. Installing wind-resistant shingles or other roofing.
e. Installing gable-end bracing.
f. Reinforcing roof-to-wall connections.
g. Installing storm shutters.
h. Installing perimeter-opening protections.
i. Raising building elevations.
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5. Custom Measures
The Custom Measures Track is a process by which the Energy Center Manager and/or staff can
evaluate and approve funding for projects that are not "off the shelf" improvements listed in the
Qualifying measures. These custom projects may involve large scale industrial or commercial energy
efficiency improvements; processing or industrial mechanical systems; and renewable energy
generation from sources such as geothermal and fuel cells. The following are examples of custom
measures that will be considered for Clean Energy Coastal Corridor funding:
a. Custom Energy Efficiency Measures
• Building energy management controls
• HVAC duct zoning control systems
• Irrigation pumps and controls
• Lighting controls
• Industrial and process equipment motors and controls
• Electric Vehicle Charging Equipment
b. Custom Energy Generation Measures
• Fuel Cells
• Wind turbine power system
• Natural gas
• Hydrogen fuel
• Other fuel sources (emerging technologies)
• Co-generation (heat and energy)
6. Water Conservation
a. Faucet aerators
b. Core plumbing system
c. Gray-water system
d. Instantaneous hot-water heater
e. Recirculation hot-water system
f, Hot-water pipe insulation
g. Irrigation-control system
h. Irrigation system
i. Rainwater cistern
j. Demand initiated hot-water system
k. Low-flow showerhead
I. High-efficiency toilets
m. Demand water softener
n. Whole-house water-manifold system
0. Cooling-condensate reuse
p. Cooling-tower conductivity controllers
q. De ionization
r. Filter upgrades
s. Foundation drain water
t. Industrial-process water-use reduction
LI. Pre-rinse spray valves
v. Recycled water source
w. Urinals
x. Waterless urinals
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APPENDIX II
ADMINISTRATIVE FEES AND CLOSING COSTS*
-RESIDENT~
Application Fee $50.00
Processing & Underwriting Fee $125.00
Jurisdiction Cost Recovery Fee** See Table 1
Recording & Dispersement Fee $100.00
Escrow Fee $90.00
Energy Pro Fee $50.00
Application Fee $250.00
Processing & Underwriting Fee $250.00
Jurisdiction Cost Recovery Fee** See Table 1
Recording & Dispersement Fee $250.00
Escrow Fee $90.00
Energy Pro Fee See Table 2
Table 1
Project Size Fee
RESIDENTIAL < $62,500 $125.00
;:: $62,500 $75 + (.0008 x Project Size)
COMMERCIAL < $250,000 $225.00
;:: $250,000 $75 + (.0008 x Project Size)
Table 2
PRO ~:c'6MMERCIAL PROJ~c
Project Size Fee
~ $100,000 $450.00
$100,001 -$200,000 $600.00
$200,001 -$300,000 $750.00
;:: $300,001 + $900.00
*A $37 administrative fee will be added to the assessment in relation to tax collection, and in Miami-Dade
County, the tax collector may add a 1% collection fee along with the special assessment.
** In Broward County, the jurisdiction cost recovery fee will be $40 more than what is shown above due to
administrative fees charged by the Broward County Tax Collector.
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