Vermont PACE Financing
Congratulations, Vermont property owners! You live in a state that supports property tax solar financing.
How does Vermont municipal financing work?
Vermont authorizes municipalities to set up respective “clean energy assessment districts” for the financing of renewable energy and energy efficiency projects within each district. Property owners can install solar systems and make energy efficient improvements to their buildings, and repay with the energy savings over 10-20 years through an assessment on their property tax bill. Financing may not exceed 15% of assessed property value, and the combined amount of assessment and outstanding mortgages may not exceed 90% of assessed property value.
That sounds great! How is Vermont able to do this?
Thanks to Vermont’s S. 54 bill, municipalities that set up financing districts can offer loan programs to pay back investments in renewable energy systems through property tax payments.
Is solar financing available now?
S. 54 just passed in late May 2009 and cities and counties have yet to implement their own property tax financing programs.