About Us
Colorado Commercial Property Assessed Clean Energy Program
C-PACE enables owners of eligible commercial and industrial buildings to finance up to 100% of energy efficiency, renewable energy and water conservation eligible improvements. Financing is provided by private capital providers at competitive rates with repayment terms up to 25 years.
How C-PACE Financing Works
Building owners are empowered to modernize building energy infrastructure, lower energy costs, increase building comfort and asset value – with no upfront costs while enjoying positive cash flow. C-PACE projects also advance public policy goals to create local jobs, reduce greenhouse gas emissions and increase renewable energy deployment.
C-PACE Assessment and Repayment
C-PACE financing repayment is facilitated through the County property tax assessment process. A voluntary assessment (similar to a sewer district assessment) is placed on the building owner’s property tax bill. The assessment is repaid over the financing term (up to 25 years) and the annual energy cost savings will, in most cases, exceed the annual assessment payment, thereby enabling capital intensive equipment upgrades. Because the C-PACE assessment obligation runs with the property, the assessment can transfer to the next owner when the property is sold.
Program Administration Fee
Colorado C-PACE is designed to be self-sustaining. To ensure that the program fees charged to program participants are sufficient to cover the operating costs associated with administering the program, a one-time fee equal to 2.5% of the project finance amount (not to exceed $75,000 per project, with a minimum fee of $5,000 per project) will be assigned to each C-PACE project. The program administration fee is typically included in the total financed amount.
County Servicing Fee
Each Colorado county that participates in the C-PACE program has agreed to collect the C-PACE assessment payments from participating property owners via the property tax collection system and then remit those funds to the District (or its designated fiduciary) for distribution to the private capital provider that financed the project. The county will levy a C-PACE assessment servicing fee of up to 1% of the PACE assessment amount, included on the building owners property tax bill. This county servicing fee, to cover the county tax assessors support services, is paid by the property owner over the term of the C-PACE financing in the normal course of paying their property tax bill.