What's Happening?
The city of Aurora is evaluating the implementation of a lending program aimed at facilitating sustainability upgrades for commercial properties. This initiative, discussed by the Aurora City Council's
Rules, Administration and Procedure Committee, involves the Illinois Finance Authority's Commercial Property Assessed Clean Energy (C-PACE) financing program. The program, available statewide since 2017, requires local government approval for use within their jurisdictions. The proposed C-PACE program would allow loans to cover up to 100% of project costs, with a cap at 25% of the property's total value. Eligible upgrades include energy efficiency improvements, renewable energy installations, water conservation systems, and electric vehicle charging stations. The loans, which are repaid through a special assessment lien on the property, offer fixed, low interest rates and terms ranging from 10 to 40 years. The program is designed to support economic development and sustainability, potentially increasing property values and reducing operating costs.
Why It's Important?
The introduction of the C-PACE program in Aurora could significantly impact the local economy and environment. By facilitating energy-efficient upgrades, the program supports the city's sustainability goals and reduces greenhouse gas emissions. It also encourages the reuse of older buildings, potentially creating jobs for local contractors and trades. The program's structure, which ties loan repayment to the property rather than the owner, offers a flexible financing option that can be transferred upon property sale. This could attract more property owners to invest in sustainable upgrades, thereby enhancing the city's infrastructure and contributing to long-term economic development. Additionally, the program aligns with broader state efforts to promote clean energy and sustainability, potentially positioning Aurora as a leader in environmental initiatives.
What's Next?
The C-PACE program proposal has been recommended for approval by the Aurora City Council's Rules, Administration and Procedure Committee. It will next be reviewed by the Committee of the Whole before being presented to the full Aurora City Council for final approval. If approved, the program could be implemented soon, providing a new financing tool for property owners in Aurora. The city plans to receive regular updates from the Illinois Finance Authority, which will manage the program's operations. Aurora staff are also exploring similar programs for residential properties and small businesses, indicating a broader commitment to sustainable development across the city.
