Renewable Funding to Finance and Administer San Francisco's Energy Efficiency and Renewable Energy Retrofit Program

On Monday, the City and County of San Francisco announced that it would be launching a Property Assessed Clean Energy (PACE) program, called San Francisco Sustainable Financing, or SF Squared, in early 2010. Oakland-based Renewable Funding, the nation’s leading financier of PACE programs, will administer the program and provide capital to fund the projects. San Francisco-based Stone & Youngberg and Backstrom McCarley Berry & Co. are serving as bond underwriters.

The program will allow San Francisco private property owners to finance water conservation, energy efficiency and renewable energy improvements through a voluntary property tax assessment. Each assessment will be paid in full within 20 years.

“We are honored to work in partnership with the City on this innovative new program,” said Cisco DeVries, president of Renewable Funding. “We are all concerned about the impact greenhouse gas emissions are having on our environment. San Francisco is providing an important service to its residents by enabling them to reduce their energy use and save money.”

The PACE model was developed in Berkeley, California by Mr. DeVries, who was then serving as chief of staff to Berkeley Mayor Tom Bates. The concept is rapidly expanding across the country; New York State became the 17th state to authorize PACE programs when it passed legislation that authorizes PACE programs in November. President Obama, Vice President Biden, and key members of Congress have also lauded the model as a key tool that will be used to help the United States to meet its goals for reducing greenhouse gas emissions.

“We are pleased to be working with Renewable Funding to implement the innovative SF2 program,” said San Francisco Mayor Gavin Newsom. “We expect this program to fuel the next wave of green job creation, energy and water efficiency and renewable energy development in San Francisco.”

Renewable Funding recently announced it will administer a PACE program for Los Angeles County. The company is working to set up, administer and finance PACE programs covering 200 local governments across the country in 2010.

About Renewable Funding and PACE Financing (www.renewfund.com)

Renewable Funding is the nation’s leader in providing financing and administration for property assessed solar and energy efficiency improvements. Renewable Funding provided both administration and financing for Berkeley’s pioneering program, which launched in November 2008. Renewable Funding is now working with communities across the country on similar programs.

A UC Berkeley study published earlier this year in Environment Magazine found the potential for $280 billion in financing for PACE-type programs and reduction of up to a gigaton of greenhouse gas emissions as PACE programs expand nationally. The PACE model was recently named as one of the top 20 ideas that can change the world by Scientific American magazine.