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d) Approve the Amended and Restated Joint Exercise of Powers Agreement Relating to the California <br />Statewide Communities Development Authority. <br />FUNDING REQUIREMENTS: <br />There is no fiscal impact to the City for this action. <br />DISCUSSION: <br />There are multiple Property Assessed Clean Energy (PACE) programs in California. The City adopted <br />the HERO program on July 9, 2013 as its first PACE program. As a PACE program, HERO allows <br />property owners in participating cities and counties to finance renewable energy and water efficiency <br />types of projects on their property. If a property owner chooses to participate, the installed improvements <br />will be financed by the issuance of bonds by the respective joint powers authority. The bonds are secured <br />by a voluntary contractual assessment levied on the owner's property, with no recourse to the City of <br />Newport Beach. Participation by property owners in a PACE program is 100% voluntary. Property <br />owners who wish to participate in the program agree to repay the amount borrowed through the voluntary <br />contractual assessment collected together with their property taxes. To date HERO has received 62 <br />applications from residents in the City of Newport Beach with 17 applications approved for financing <br />$500,000 in energy conservation projects. <br />Representatives from two additional PACE programs, Figtree PACE Program ( Figtree) and CaliforniaFirst, <br />have invited the City of Newport Beach to join both their respective programs. If the City Council adopts <br />both recommended resolutions then the City will have three different PACE programs providing an <br />alternative funding source to residential and commercial property owners. Allowing three different PACE <br />programs to operate in the City fosters a competitive market place for the community. <br />FIGTREE PACE PROGRAM <br />Founded in 2011, the FIGTREE PACE Program is sponsored by California Enterprise Development <br />Authority (CEDA), a joint powers authority comprised of 115 different City and County agencies. While the <br />HERO Program primarily finances improvements to residential properties, the FIGTREE PACE Program <br />concentrates on commercial, industrial, retail, and multi - family properties. To date, FIGTREE has provided <br />$1.5 million in PACE financing to California businesses. <br />To participate in the Figtree Pace Program the City must become an Associate Member of the California <br />Enterprise Development Authority (CEDA). The California Enterprise Development Authority is a joint <br />powers authority with the goal to issue industrial bonds for small to medium -sized California <br />manufacturers. <br />CALIFORNIAFIRST PROGRAM <br />The CaliforniaFIRST Program has been established by California Communities to allow property owners in <br />participating cities and counties to finance renewable energy, energy efficiency and water efficiency <br />improvements. The improvements are financed by the issuance of bonds by California Communities which <br />levies "contractual assessments" on the owner's property to repay the portion of the bonds issued to <br />finance the improvements. California Communities has selected Renewable Funding LLC to provide <br />administration and financing for the program. <br />California Communities is a joint powers authority sponsored by the League of California Cities and the <br />California State Association of Counties. The member agencies of California Communities include 57 <br />counties and more than 400 other local agencies throughout California, including the City of Newport <br />Beach. To participate in the CaliforniaFirst program the City must approve an amended joint powers <br />agreement to become a member of the California Statewide Communities Development Authority. <br />4 -2 <br />