File #: 25-2422    Name:
Type: Written Report Status: Agenda Ready
File created: 9/5/2024 In control: City Council Legislative Meeting
On agenda: 10/8/2024 Final action:
Title: Introduction and First Reading. Consideration. Passage on First Reading of an ordinance to amend and reordain Chapter 7 (Commercial Property Assessed Clean Energy (C-PACE) Financing Program) of Title 7 (PLANNING AND DEVELOPMENT) of the Code of the City of Alexandria, Virginia, 1981, as amended.
Attachments: 1. 25-2422 - Attachment 1 - Cover, 2. 25-2422 - Attachment 2 - Ordinance, 3. 25-2422 - Attachment 3 - Exhibit 1 to Ordinance, 4. 25-2422 - Attachment 4 - Exhibit 2 to Ordinance
City of Alexandria, Virginia
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MEMORANDUM



DATE: OCTOBER 2, 2024

TO: THE HONORABLE MAYOR AND MEMBERS OF CITY COUNCIL

THROUGH: JAMES F. PARAJON, CITY MANAGER

FROM: RYAN FREED, CLIMATE ACTION OFFICER

DOCKET TITLE:
TITLE
Introduction and First Reading. Consideration. Passage on First Reading of an ordinance to amend and reordain Chapter 7 (Commercial Property Assessed Clean Energy (C-PACE) Financing Program) of Title 7 (PLANNING AND DEVELOPMENT) of the Code of the City of Alexandria, Virginia, 1981, as amended.
BODY
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ISSUE: Consideration of an ordinance to adopt the model Statewide Commercial Property Assessed Clean Energy Financing Program and Program Agreement.

RECOMMENDATION: That the City Council adopt the C-PACE ordinance on first reading and schedule a second reading and public hearing on the ordinance on October 19, 2024, and after public hearing, adopt the ordinance.

BACKGROUND: The City approved the operation of a Commercial Property Assessed Clean Energy (CPACE) program in 2020 and made amendments to that program in 2022. Projects financed under the current ordinance in Alexandria are subject to an Alexandria-specific Program Agreement and is not aligned with the Statewide CPACE program requirements, potentially limiting interest from financing institutions for projects in the City. In conversations with the Viriginia PACE Authority, they have indicated that it is unlikely that financial institutions will be interested in executing projects in Alexandria that have requirements that differ from the statewide program.

DISCUSSION: In consultation with the Virginia PACE Authority, the Office of Climate Action, Department of Finance, and City Attorney's Office have determined that the changes included in the ordinance do not materially impact the City's operation and do not increase risk or financial exposure for the City. With the increase in projects that are a...

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