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ENERGY PROJECT ASSESSMENT DISTRICTS

ePADCHP POLICY SUB-COMMITTEE MEETING

AUGUST 14, 2014

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• Nonprofit economic development agency– Public-Private Partnership

• Energy Efficiency Services– Education/Outreach– Project Management– Financing Solutions

• Total regional investment: $42 million

GREATER CINCINNATI ENERGY ALLIANCE

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WHAT IS ePAD?

ENERGY PROJECT ASSESSMENT DISTRICT

• Clean energy finance tool– Energy efficiency, renewable energy, and water efficiency

upgrades

• Works through property tax assessment– All assessments are voluntary

• Based on special improvement district model– With a few changes . . .

• Creates revenue stream to leverage third party capital

WHO CAN USE ePAD?

• Commercial Building Owners• Industrial facilities• Multi-family building (>4 units)• Agricultural buildings and processes• Not-for-profits & Government buildings

– Organizations that do not pay taxes are eligible

– Every building is listed on tax rolls

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ADVANTAGES TO ePAD

Barriers to EE/RE Upgrades ePAD Solutions

1. Lack of funds

2. No lenders

3. Poor ROI – Short term

funding

4. Debt limitations

5. Might sell property

6. Split incentives

1. 100% external source

2. Unlimited private capital

3. Positive cash flow – Long

term funding up to 30 yrs

4. Tax treatment as operating

expense

5. Transfers to new owner

6. Tenants share

cost/savings

ePAD PROGRAMS TODAY

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225 Projects Closed - $75 mil - Pipeline of $275+ million

PACE programs with funded projects

Early stage PACE program development

Launched PACE programs

PACE enabled

ePAD LEGISLATIVE PROCESS

• HB 404 adopted by Kentucky House in March– Session ended before approved by Senate

• Back before the legislature in January

• Kentucky ePAD Council is a multi-year effort to support the adoption and implementation of ePAD in Kentucky

CONTACT INFO

GREATER CINCINNATI ENERGY ALLIANCE200 W. 4TH ST., SUITE 600CINCINNATI, OH 45202W: 513.621.GCEA (4232) WWW.GREATERCEA.ORGWWW.GCPACE.ORG

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JEREMY FAUSTBUSINESS DEVELOPMENT DIRECTORJFAUST@GREATERCEA.ORG