CaliforniaFIRST Program

Renewable Energy Assessment Districts

What is this all about?

In August 2008, the California Governor signed Assembly Bill 811 into law enabling cities and counties to establish Renewable Energy Assessment Districts in which property owners may voluntarily assess their properties as a re-payment instrument on loans used to increase energy efficiency or install renewable energy projects on their property.  In October 2009, the Governor signed Assembly Bill 474 into law adding water efficiency improvements to the voluntary assessment districts list of projects.


Why is this instrument beneficial to property owners?

By using a property tax bill to repay these property improvements, repayment of the property improvement remains with the property benefitting from the improvement.  If the original owner sells the property, the new owner becomes liable for the assessment.  The assessments are amortized over 10 to 20 years, depending on the improvement.  This is just one more instrument to help property owners improve their property, but each owner must decide whether this works for them.  Paying cash, refinancing, and equity loans are among other instruments available to property owners wishing to improve their property.


Will Encinitas property owners be eligible for this financing?

On January 20, 2010 City Council voted unanimously to join the CaliforniaFIRST Program and this will make Encinitas property owners eligible to take advantage of this financing program, subject to program guidelines.  CaliforniaFIRST is a program provided by California Communities, a joint powers authority in which Encinitas is a member.  California Communities has hired Renewable Funding to administer the program, and Royal Canadian Bank to issue the bonds to finance the program.  This program is evolving and at last estimate, applications will be available on-line in summer 2010.  Interested property owners are encouraged to keep informed at the following website:  http://www.californiafirst.org/.