C-PACER

What is the C-PACER program?

C-PACER (Commercial Property Assessed Clean Energy and Resiliency) is a financing program that enables commercial property owners and developers to access private capital for energy efficiency, clean energy, water conservation, and property resiliency improvements. Financing is repaid via a special assessment lien (a charge) imposed on the property.

What types of properties are eligible for C-PACER financing?

Eligible properties include those used or zoned for residential, commercial, industrial, or other uses excluding residential property containing less than five (5) dwelling units located in a municipality or county that has adopted a C-PACER ordinance. Eligible property may be owned by any type of business, corporation, individual, or nonprofit organization permitted by state law.

What kinds of improvements can be financed?

Qualified improvements include clean energy systems (like solar), energy efficiency upgrades (like insulation or HVAC), resiliency measures (like flood mitigation), and water conservation systems (like lead abatement and low-flow fixtures).

How much can be financed through C-PACER?

The financing amount can be up to 35% of the appraised property value (as stabilized or as complete), and may include equipment, materials, labor, engineering, permit, and financing costs.

Is consent needed from current mortgage lenders?

Existing mortgage holder consent is required before a C-PACER lien can be recorded.

What happens if the property is sold? 

If a property owner sells the property before the assessment is fully paid, the assessment lien runs with the property, and transfers to the next owner unless paid off upon the sale of such property.

How does a municipality or county participate in the C-PACER program?

Municipalities or counties must adopt a C-PACER Ordinance or Resolution, establish a C-PACER District, and enter into a Participation Agreement with the NH BFA.

What responsibilities does a municipality or county have once enrolled?

Primary duties include executing and recording the assessment and lien documents and certifying payment in full. Municipalities and counties then assign the assessment and lien to the relevant capital provider, at which time they can also delegate billing and collections responsibilities.

Will municipalities or counties be responsible for the enforcement of loan default provisions?

Municipalities and counties will have no responsibility or liability in this instance. Delinquent payments are handled by the capital provider under RSA 479 procedures, including foreclosure if needed.

Who can be a capital provider?

Eligible capital providers include banks, credit unions, and specialty finance firms approved by the NH BFA. All providers seeking to become eligible must submit a qualification form and comply with reporting and good practice standards.

What is the priority of a C-PACER lien?

A C-PACER assessment lien has the same priority status as a lien for any other ad valorem tax, except that it shall be junior to any lien for property tax or other taxes or assessments by the county/municipality.

Are there reporting requirements for capital providers?

Capital providers must submit annual reports that include statistics on loan volume, project locations, delinquency rates, and other performance metrics.

Can C-PACER be used for projects that are already complete?

Retroactive financing is allowed for qualified improvements installed and became operational no more than 36 months prior to submission of an application. Verification of project completion by a licensed professional will be required in this instance.