Figtree Energy Resource Co. has issued a $725,000 Property Assessed Clean Energy (PACE) bond that will fund energy efficiency and renewable energy projects in four California cities.
Money raised by the bond will fund seven energy efficiency and renewable energy projects in Fresno, Palm Springs, Clovis and Exeter.
‘The taxable municipal bond was sold to the capital markets without any state or federal funding assistance – a 100 percent private program,’ notes Mahesh Shah, CEO of Figtree.
According to Figtree, this is the state's first successful issuance of a multi-jurisdictional land-secured municipal bonds under Assembly Bill 81. Under this legislation California property owners in special assessment districts may enter into voluntary contractual assessments against their properties to finance energy- and water-efficiency products, the company explains. The financed amount incurred by the property owner is repaid over time through annual property tax assessments, with the charge appearing as a line item on the property tax bill.