As the owner of a third-generation statewide building company, I encourage Deschutes County to authorize a Commercial Property Assessed Clean Energy (CPACE) ordinance. Neil Kelly recently used CPACE to fund a major renovation on our Portland headquarters. We installed a 30-kilowatt solar array, performed significant seismic work, updated lighting and other efficiency measures and installed six EV chargers. The project solved existing structural issues and significantly reduced energy and water demand. CPACE was the right package for the project, but it is not yet available in Deschutes County. We hope to be able to put solar on our Bend office in the future, and CPACE availability drastically increases the likelihood of us moving forward.

Deschutes County Commissioners are currently considering whether to adopt a CPACE program or wait for a statewide program which could take years; it took New Jersey seven years. In the height of an economic and environmental crisis, Deschutes County should not miss this opportunity to create private market solutions for private property investments in cost saving sustainable improvements and resiliency measures. Deschutes County can make this program available for commercial property owners and developers now based on local rule with local stakeholder input.

CPACE is not a new concept. It is an expansion of the special assessment process which allows commercial property owners and developers to voluntarily finance projects that result in a public benefit, like fire protection and sewer improvements. In 2008, the federal government added utility savings to the special assessment process. Although the financing and servicing for CPACE comes from the private market rather than bonds, it is secured by a benefit assessment lien similar to a local improvement district. The catch is, a state has to enable it and a local government has to authorize it before a commercial property owner can take advantage. Oregon has enabled it and Deschutes County should authorize it.

Authorizing CPACE would give developers and commercial property owners access to private funding for building performance improvements like: energy efficiency, water conservation, building envelopes, renewable energy, battery back-up, EV charging, seismic hardening. Many counties are allowing CPACE to be used for other resiliency measures like seismic hardening and storm water management. The pandemic creates more urgency to address older HVAC systems and improvements to indoor air quality. Unfortunately, most businesses are already pinched by the economic crisis and need additional tools to help fund these essential improvements.

CPACE is an effective tool to reduce waste and emissions and mitigate and prepare for climate and health related disasters. It has bi-partisan support with availability in 37 states participating, and new programs springing up county by county. In just 10 years, there have been more than 2,560 CPACE projects nationally, with exponential growth in the last five years. It has proven to be an invaluable tool for new construction and renovations and we would like Deschutes County Commissioners to authorize CPACE for Deschutes County.

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