Number
090376
Version
SUBSTITUTE 1
Reference
Sponsor
ALD. ZIELINSKI, KOVAC AND WITKOWSKI
Title
A substitute ordinance establishing an energy efficiency improvement fund and loan program.
Sections
304-26.5 cr
Analysis
This ordinance establishes an energy efficiency improvement fund and loan program to address the barrier of a high upfront cost of installing energy savings improvements and renewable resource applications. This revolving loan fund allows homeowners to pay back, as a special charge, payable in installments through the property tax, 100% of the approved expenses of installing energy efficiency improvements to their property. Section 66.0627, Wis. Stats., establishes a process for initiating energy efficiency improvement loans and allows a special charge to be imposed and collected in installments even if the special charge is not delinquent.
The program will administer loans from a minimum of $3,000 to a maximum of $20,000, with installment payments on the tax roll for 5 to 15 years. The loans will be underwritten at prime rate or the cost of funds, whichever is higher, plus 2%, inclusive of 0.5% for loan administration and 1.5% to fund a bad debt reserve.
..Body
The Mayor and Common Council of the City of Milwaukee do ordain as follows:
Part 1. Section 304-26.5 of the code is created to read:
304-26.5. Energy Efficiency Improvement Loan Program. 1. PURPOSE. It is the purpose of this section to establish an energy efficiency improvement fund and loan program to address the barrier of a high upfront cost of installing energy savings improvements. It is furthermore the purpose of this section to enable a property owner to make or install an energy efficiency improvement or a renewable resource application to the resident’s principal residential property, occupied by the property owner, and allow the city to collect the loan repayments as a special charge on a property owner’s tax bill.
2. STATE COMPLIANCE. All special ch...
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