The Texas PACE Act, signed into legislation in 2013, requires oversight and administration of Commercial Property Assessed Clean Energy (C-PACE) programs established by cities and counties. Despite the critical role played by a program administrator in ensuring an effective and successful project, there tends to be confusion around the role companies like Lone Star PACE play in the process.
Put simply, the program administrator facilitates the C-PACE project by acting as a liaison between the project sponsor and the capital provider on behalf of the city or county. Our primary purpose is to ensure projects are adhering to the Texas PACE Act legal requirements and guidelines outlined by local governments.
As a program administrator, we oversee the application and financing process, we provide guidance and support to property owners in terms of eligibility, financing options and technical requirements, and we are responsible for monitoring compliance with technical standards, energy savings and financial agreements.
A little bit about what we don’t do: Contrary to popular belief, the program administrator does not act as a lender. While we collaborate with the capital provider to ensure the financing agreement and the assessment lien meet statutory requirements, we do not supply the money that funds the C-PACE improvements. That is the role of the capital provider, who underwrites the deal, supplies the upfront capital and is responsible for collecting annual payments.
A critical role of the program administrator is to perform public awareness and outreach. Lone Star PACE engages with key stakeholders — including members of local government, EDCs and Chambers of Commerce; property owners; contractors; and capital providers — on a regular basis to educate about the benefits and requirements of the program.
C-PACE is a nuanced program, and understanding the players can be confusing. We are always happy to answer any questions you have about the program, the role we play as an administrator and how you can use C-PACE to your advantage. For more information, schedule a meeting today.