PACE of MN financing is available in any city or county across the state.
PACE financing is now available across the state of Minnesota, thanks to more than two years of work by Eutectics, the St. Paul Port Authority, the Minnesota Department of Commerce, Bremer Bank and others.
Through a streamlined process, any city or county can join PACE of MN through a Joint Powers Agreement with the St. Paul Port Authority. After the City Council or County Board approval of the Joint Powers Agreement, the St. Paul Port Authority will provide a turnkey service as the PACE Administrator.
Eutectics initiated this new PACE structure for Minnesota to remove most of the barriers to implementing PACE projects all across the state. With nearly one thousand hours invested in pro bono consulting services to build the statewide platform, we are delighted to be working with the St. Paul Port Authority to fund eligible energy efficiency and renewable energy projects for owners ranging from large industrial facilities to very small businesses – and every size in between.
PACE of MN is a financing tool that allows property owners to access competitive private financing through a partnership with local governments and the St. Paul Port Authority. Building owners who use PACE financing for their energy improvements pay back the financing through through property taxes, as a voluntary special assessment.
Eutectics is uniquely positioned to help contractors and building owners access PACE financing.
In 2010, three of Eutectics’ leadership team played key roles in establishing PACE financing for clean energy improvements in the state. Eutectics’ CEO and founder Jeremy Kalin chief-authored the PACE enabling legislation in 2010 and has been engaged in subsequent updates to the statute. In 2012, Eutectics facilitated the state’s first PACE-financed energy efficiency project at Salut Bar American in Edina – which was also the first community bank-funded PACE project in the country. In 2014, Eutectics facilitated the first PACE applications to the new PACE of MN platform, with two projects in the City of Minneapolis.
Eutectics has completed PACE projects in multiple communities in Minnesota. We have secured the required Lender Acknowledgement signatures for every project that has needed it – including from challenging government entities like the Small Business Administration. Eutectics has facilitated PACE financing for lighting retrofits, whole building mechanical replacements, and for rooftop solar projects.
Here’s how PACE of MN works:
1) Cities and Counties sign a Joint Powers Agreement with the St. Paul Port Authority to participate in PACE of MN.
2) Eutectics works with project owners and contractors to create all required materials for a complete project application (including all due diligence materials and a signed Lender Acknowledgement Notice) to PACE of MN.
3) Eutectics works with PACE of MN to ensure timely response and approval for PACE projects.
4) The local City or County formally approves the assessment, upon notice of approval by PACE of MN.
5) PACE of MN funds the project, and project owners repay the PACE assessment via their property taxes twice a year.
Contact Eutectics today to learn more about bringing PACE financing to your community – or to fund your clean energy project via PACE!