California Code of Regulations › Title 4 - Business Regulations › Division 13 - California Alternative Energy and Advanced Transportation Financing Authority › Article 7 - Gogreen Affordable Multifamily Energy Financing Program › Section 10093.4 - Eligible Efficiency Agreements

Current through Register 2024 Notice Reg. No. 28, July 12, 2024
(a) The
				agreement must be for improvements to an existing building and may not be for
				the construction or purchase of a building.
(b) The agreement must meet the definition of
				one of the following products:
(1) "Eligible
				Lease" or "Eligible Equipment Financing Agreement" is an agreement that
				provides the Eligible Affordable Multifamily Customer with the use of Energy
				Saving Measures in exchange for payments in amounts that are due according to a
				schedule established in the agreement. The payments must result in full
				satisfaction of the obligation. Such payments are made to the Finance or
				Service Entity or its assignee for a specified term. Title to the equipment may
				transfer at the beginning or end of the term.
(2) "Eligible Loan" is an agreement that
				provides the Eligible Affordable Multifamily Customer with ownership of Energy
				Saving Measures in exchange for payments in amounts that are due according to a
				schedule established in the agreement. Such payments must result in full
				satisfaction of the obligation. Such payments are made to the Finance or
				Service Entity or its assignee for a specified term. Eligible Loans must be
				closed-end loans; no revolving lines of credit will qualify.
(3) "Eligible Savings-Based Payment
				Agreement" is an agreement that provides the Eligible Affordable Multifamily
				Customer with the use of Energy Saving Measures in exchange for regular
				payments to the Finance or Service Entity or the Finance or Service Entity's
				assignee. The term may be specified by a number of months or may run until
				payments have reached a specified amount. The agreement must satisfy each of
				the following criteria:
(A) Savings will be
				measured and verified no less than annually;
(B) Total monthly energy and efficiency
				charges for the Eligible Affordable Multifamily Customer must be projected to
				be "cash flow positive," based on industry-accepted estimates, allowing for
				seasonal variations, the combined monthly energy expense (gas and electric)
				along with all projected monthly Eligible Savings-Based Payment Agreement
				charges is projected to be less than the Eligible Affordable Multifamily
				Customer's pre-project monthly energy expense;
(C) The Eligible Affordable Multifamily
				Customer will share in benefits if actual savings exceed projected savings;
				and
(D) The Eligible Affordable
				Multifamily Customer does not bear risk in the event that savings are less than
				projected.
(4) "Eligible
				Service Agreement" is an agreement that provides the Eligible Affordable
				Multifamily Customer with the use of Energy Saving Measures as well as ongoing
				service and maintenance of that equipment in exchange for regular payments to
				the Finance or Service Entity or the Finance or Service Entity's assignee for a
				specified term. Title does not transfer to the Affordable Multifamily Customer
				during the term of the agreement. The agreement must include either:
(A) A guarantee of functionality for any
				Energy Saving Measures and Non-ESMs; or
(B) A guarantee of energy savings. Equipment
				functionality or energy savings must be measured no less than
				annually.