HomeMy WebLinkAboutOrdinance 2022-586ORDINANCE NO. 2022 - r
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH,
FLORIDA, AMENDING CHAPTER 251 "PROPERTY ASSESSED CLEAN ENERGY
(PACE) PROGRAM" OF THE CITY OF SUNNY ISLES BEACH CODE OF ORDINANCES;
PROVIDING FOR CLARIFICATION OF TERMS; REVISING PROGRAM STANDARDS;
PROVIDING FOR REPEALER; PROVIDING FOR SEVERABILITY; PROVIDING FOR
CODIFICATION; PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, the State of Florida has declared it the public policy of the State to develop
energy management programs aimed at promoting energy conservation and wind resistance or
'hardening' programs achieving hurricane and wind damage mitigation; and
WHEREAS, Section 163.08, Florida Statutes authorizes local governments, such as the City
of Sunny Isles Beach ("City") or a separate legal entity created pursuant to F.S. § 163.01(7) ("PACE
Local. Government"), to establish and administer financing programs pursuant to which owners
of real property may voluntarily obtain funding for qualifying improvements and repay such
funding through non -ad valorem assessments, levied upon the improved property pursuant to
financing agreements between the property owner and the PACE Local Government; and
WHEREAS, pursuant to the aforementioned statutes, on November 15, 2018, the City
adopted Ordinance No. 2018-533, establishing a Property Assessed Clean Energy Program in the
City ("PACE Program"), which is codified in Chapter 251 of the City's Code of Ordinances ("Code");
and
WHEREAS, in developing its PACE Program, the City created program standards that have
proven too onerous, and have become a barrier to PACE Local Governments providing services
in the City, especially with respect to commercial PACE transactions ("C -PACE"); and
WHEREAS, in the interest of increasing participation in the PACE Program, the City's
program standards need to be clarified so that select consumer protection measures are applied
solely to residential properties participating in the PACE Program, and commercial transactions
are not subject to said standards; and
WHEREAS, C -PACE transactions are negotiated with a great degree of sophistication and
frequently with benefit of legal representation, thus the need for stringent consumer protection
measures is not present for C -PACE, as it is for residential PACE transactions ("R -PACE"); and
WHEREAS, following an analysis of Chapter 251 of the City's Code, it was determined that
certain language needed to be updated, in order to correct and clarify language within the
Ordinance; and
WHEREAS, the City Commission believes the following amendments to the City's Code
are in the best interests of the health, safety, and welfare of the citizens of the City, and are in
furtherance of the City's E -Committed Policy.
02022-586 Amending PACE Ord Page 1 of 13
NOW THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF SUNNY ISLES
BEACH, FLORIDA, AS FOLLOWS:'
Section 1. Incorporation of Recitals. The foregoing "WHEREAS" clauses are hereby ratified
and confirmed as being true and correct and are hereby made a specific part of this Ordinance
upon adoption hereof.
Section 2. Amending Chapter 251 of the Code of Ordinances. Chapter 251 of the City Code
is hereby amended to read as follows:
Chapter 251 PROPERTY ASSESSED CLEAN ENERGY (PACE) PROGRAM
ARTICLE I Establishing Property Assessed Clean Energy (PACE) Program
§ 251-1. Findings of fact.
D. It is within the best interests of the citizens of the City of Sunny Isles Beach to authorize a
PACE Program through the adoption of an ordinance that sets uniform consumer
protections that apply to all PACE Local Governments who implement and manage PACE
Programs in the City of Sunny Isles Beach. ^A^' ip +hese munieipalities within the City „�
cuRny Isles Beach ...he cheese to ept iRte the PFGgFaFq
§ 251-5. PACE program boundaries.
The PACE Program shall be available to Eligible Participants FesidiRg owning property within the
City of Sunny Isles Beach.
§ 251-7. PACE program standards.
At a minimum, PACE Local Governments shall comply with each of the following standards:
A. General.
(1) Qualifying Improvements: All Qualifying Improvements shall be properly permitted
and must comply with Florida and local codes. PACE Local Governments shall
finance only Qualifying Improvements that are permanently affixed to the Property.
(2) Licensed Contractors: Any contractor constructing or installing a Qualifying
Improvement shall be properly licensed'and insured.
(3) Materials: PACE Local Governments shall fund, and contractors and qwReF b,
shall construct or install, only Qualifying Improvements. PACE Local Governments
shall establish an "Eligible Measures List" that identifies the types and specifications
of Qualifying Improvements, using efficiency standards 'for materials and
installation established by the U.S. Department of Energy, the U.S. Environmental
Protection Agency, or Florida state agencies, as applicable. The Eligible Measures
List shall be regularly updated and made publicly available. The City shall have the
right to review that list annually to assure compliance with this article.
1 Additions to existing text are shown by underline, changes to existing text on second reading are shown by
double underline, and deletions are shown as stFik R
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(4) Data Security and Consumer Privacy: PACE Local Governments shall take security
measures to protect the security and confidentiality of consumer records and
information to the extent permitted by law. In addition, a privacy policy must be in
place that complies with state and federal law and, in particular, shall provide a
property owner the ability to opt -out of having the property owner's information
shared with third parties, except where expressly required by state and federal law.
PAGE Gevern.m.ents shall have ffiR pla-- V ...... b R-de_r, -;;Ad- eRfArr-LQmPnt
., ri.•.,.-.,.d Gh-,Fges
(65) Protected classes: The PACE program and the program administrator shall not
discriminate on the grounds of race, color, religion, sex, gender identity or
expression, genetic information, national origin, age, disability, familial status,
marital status, or sexual orientation. Additionally, The PACE program and the
program administrator shall specifically develop and implement a program that
validates the understanding of the PACE program and the terms of such financing
by any property owner who is 65 years of age or older.
(:7) 9stimated ERergy eF InsuFaRGe Savings DiSGIe_1;1_,re- PAGE I Ar -;;l Gevernments, shall
rr rr
e.,+ +h -,+ Eligible RaFt*Gi.,ants.,fthin fell.,..,i.,.,•
ti le"+rr , ine } f ff' (if liGable)
mvca g- �e�-rrc-rrFE+CiREy--^vj�tf@{'}S�i-r--appriccvrcT--ci•vn=rs
in drrwy hos+ r G+irees;
,
Improvements;
(e) if energy improvements aFe-uRdeFt-akeia:
i. Tie—beRefits of in -tolling eneFgy afflE+eneyimprevernents be#eFe
eempa,=aIalePFe^raFn, and any available -ineentivepFeg s; and
Eests of the €eeFgy Audit —are eligible—f9F f+naneiRg as paFt the
Wit-
(8) NetieetePF9peFtVQAvne_r- PriA-rteerGentempeFaneE)uslyw4thenter*i;goRtea PACE
with a sepaFate written natice .diselesing the fell.,.. eRg items,
()The tetal amort eTt-kx ebtrrc-1 di g�x� a est;
(b) T --fay 1^C-€—A.ssess e.pt and payment test# at- deer -net
o..�.,a„ 1 +he life, .,f +he i.,, encs•
,
that aGtual SaviRgs will depend en usage patteFAs, seasenal ;Mariatiep and
..r�,ath.,r utility r -,+or -,..,d +r.,r..ds aR d ., .,,dr r,.+ s GifiGati.,.,�•
d) he +hree_,day Fight to eaneel e PAC g-Ag� +
rirc cr�rcc as Fight t € Fi-r}at�sFt} C1eii�E4-lr
(e) IdIfeRtifire-i-AiRBIR Ref ffepayment fees 9F ,
(f,,) The -P.A.C-€-Assessmen will appeaF en the ff9peFty ewner's-taX bill;
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PFOpeFty owneF PF69F +n n+n sly with the pFoper+.. .meJ�
cir,ninr. of any legally enferr•eahle deeuments , Rder+he DACE n
i
the PFegFam AdrAiRistFateF will
Fewest the--pFepeFty eWRer tedesErhe the Qualifying I..,nrn..nrr encs hniRg
i
m rJerr•+-+.�rl.- n -. r•L.� ewl edger the fnllnwir,...
(a) The ng ImprePementsbeiRg installedarefinanGed by thePregFam;
cents;
=E1 The date the first tax payment will he .J, e
d) ThnteRn eft.he PFOgFaFR fiRaRGiRgj
oid either .Jiro..+I.. +o the � Rty tax eeller•+er's nffir•o er +hro„r.h his or her
me Ftga ee i nd ar:eewn+•
lio n. -++he Dreher+., until paid;
(g) That -they aFe able tem.eet the i R e rea sedpFepeFty ta)( pay m eRt;
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Baa=• -
-;+r'
PFOpeFty owneF PF69F +n n+n sly with the pFoper+.. .meJ�
cir,ninr. of any legally enferr•eahle deeuments , Rder+he DACE n
i
the PFegFam AdrAiRistFateF will
Fewest the--pFepeFty eWRer tedesErhe the Qualifying I..,nrn..nrr encs hniRg
i
m rJerr•+-+.�rl.- n -. r•L.� ewl edger the fnllnwir,...
(a) The ng ImprePementsbeiRg installedarefinanGed by thePregFam;
cents;
=E1 The date the first tax payment will he .J, e
d) ThnteRn eft.he PFOgFaFR fiRaRGiRgj
oid either .Jiro..+I.. +o the � Rty tax eeller•+er's nffir•o er +hro„r.h his or her
me Ftga ee i nd ar:eewn+•
lio n. -++he Dreher+., until paid;
(g) That -they aFe able tem.eet the i R e rea sedpFepeFty ta)( pay m eRt;
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(h) Questiens en tax be.me#itsA-F ded-uE +b, ity--must be d+rested to a tax
p Fefessi .nal,
(i) hem^oss*1 � 'jF-that the assessment may- (a)Temain en the-RFepertyj eF (b) be
PFepekyj
(j) The thFeeday Fight caneea the fnane+ng.
(-1 6) PACE Financing Agreement: The PACE Local Government shall enter into a
voluntary written agreement with each Eligible Participant which shall include, at a
minimum, the following:
(a) The full legal description of the Property subject to the PACE Assessment.
(b) The amount of funding to be provided to the Eligible Participant.
(c) Statement of express voluntary consent by the Eligible Participant to accept the
non-ad valorem assessment collection process, set forth in Section 197.3632,
Florida Statutes.
(d) The length of time for the Eligible Participant to repay the non-ad valorem
assessment, which shall not exceed 30 years.
(e) Statement that the Eligible Participant is responsible for assuring the Qualifying
Improvements are completed as reflected in the approved application
documents; consent by the Eligible Participant to providing the PACE Local
Government with access to the Property to verify that the Qualifying
Improvements have been completed as proposed in the application.
(f) Statement that at the time of a transfer of Property ownership (except a
transfer resulting from foreclosure), the past due balances of any non-ad
valorem assessment may be due for payment, but future payments may
continue as a lien on the Property, if the buyer and the mortgagor, if any, agree.
(g) Statement that at or before the execution of a contract for the sale and
purchase of any Property for which a non-ad valorem assessment for the PACE
Program has been levied and any unpaid financed-balance-is due, the-seller
must-give-the prospective purchaser a Notice of the lien.
(h) In bold face caps, in a font larger than the rest of the Agreement, a statement
of the risks associated with participating in the PACE Program, including risks
related to the failure of the Eligible Participant to make payments, the risk that
they may not be able to refinance the home or sell the home unless the PACE
Assessment is paid off in full first, and the risk of issuance of a tax certificate
and loss of the Property pursuant to Chapter 197, Florida Statutes.
(i) Description of the Qualifying Improvements and their cost.
(j) Notice of the non-ad valorem assessment shall be recorded in the public
records for the Property.
(k) In bold face caps, in a font larger than the rest of the Agreement, a statement
of the interest rate to be charged, including points, as well as any and all fees
or penalties that may be separately charged to the Eligible Participant,
including potential late fees. The subsequent charging or collecting of any
additional fees that were not specifically disclosed in the written agreement
with the property owner is prohibited.
(47) Within five days after execution of the PACE Financing Agreement, the PACE Local
Government shall record, or cause to be recorded, the following notice in the public
records along with appropriate contact information for property owner inquiries:
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QUALIFYING IMPROVEMENTS FOR ENERGY EFFICIENCY, RENEWABLE ENERGY, OR
WIND RESISTANCE. This property is located within the jurisdiction of a PACE Local
Government that has placed an assessment on the property pursuant to Section
163.08, Florida Statutes. The assessment is for a Qualifying Improvement to the
property relating to energy efficiency, renewable energy or wind resistance.
(128) Prepayment:
(a) The PACE Local Government shall provide to the Eligible Participant
information as to any accrued interest that may be due upon early payment.
(b) No prepayment penalties may be charged or allowed on residential projects.
The PACE Local Government shall provide a mechanism for re-amortization of
PACE assessments to account for partial pre-payment, particularly for
application of tax credits, rebates, or other incentives.
(c) For non-residential properties, prepayment penalties may be charged or
imposed to the extent permitted by applicable law, as negotiated with the
property owner, and providing all financial impacts of such penalties are clearly
disclosed and agreed to by the property owner in writing.
(139) Financing: The PACE Local Government may offer residential property owners only
fixed simple interest rates and payments that fully amortize the obligation. Variable
of eNegative amortization financing terms are not permitted. Capitalized interest
included in the original balance of PACE financing does not constitute negative
amortization.
(4410) Project Completion: The PACE Local Government shall require property
owner verification of work and sign -off on project completion to owner's
satisfaction before issuance of final payment to any contractor(s).
(47511) Property Owner Consent: PACE Local Governments are required to obtain
written consent from the listed property owner to enter into the PACE Financing
Agreement. If property is owned by multiple owners (i.e., joint tenancy, tenancy by
the entirety, etc.), PACE Local Governments shall be required to obtain written
consent of all owners prior to the execution of the PACE Financing Agreement.
(3rk12) Lender notification: The PACE Local Government shall obtain from the
property owner a verified copy or other proof of lender notification of intent to
enter into the Financing Agreement, consistent with Section 163.08(13), Florida
Statutes.
(1:7) f entraGter Management. PACE r_e„err,ments rh;;ll.
(a) Te the extent a ailabl„, r ,it andappFA-Ve I,.,.-,I .PtFa tGFS;
!11 GOn dUCt 106al r Uitment eff.,rt.-.
,
"Cede 2
fegrarn and eensumeF I@Feterztiens;
(d) TRAP all PAGE pFegFaFn er.tFaGAGF6 an the r ulatiens related to the PACE
fggFam and the Cede of Ceraduet•
(e) Ens lre that all remrartero hr.l.d r y liGeRses and ince r inro•
,
eensurner
.,lair,ts Re .,ther indiGatiens of lack of reempliaRee.
,
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(g) Remove +r-„-+Ars fr„� . the PAGE
rs��«���oo� sen��a��o�� ��o��� ���� PAGE pregram whe ne tenser meetpFegFam
Gri+nri- , . have net met n nts OF fail +e nn+ OR ed faith-to
timely Feselve eensw m er Ee,FRPlamtsj and
(h) PACE PFGgFams 9F pFegFaFn Shall have -and shall stFiGtly eRfGFGe
ane etaFy incentives to EentFaEtersinr-exehange fer—F-related to m
ra-A-At-rarat-A-r heing ended- ,. erl, W nrler PAGE rregFam, ening payment fer
the G9AtFaGt9-F'S in-stall-a+ien of eligible im nnts
(19) Custemer Seeirvdr--ea- PACE LeGal GevemmeRts shall ppevide a high level Af r--i-stemer
se�Ee, in,s
h. he
r;
(b) A detailed welasite with spercifir- refere-Ar.-te te the City ef gunny isles Bp;;r--h PAGE
a m d reselutien by beth the nen+rnnter and the PAGE I er-+I Gevnrmmen+
F. A .deeumen+ eutlining then plaint preeess shall be nleaFl., available e
the PAGE I e..-,I Geyernmen+..,ehci+e and n yi.de.d to G stemers
T -he deGument shall m;;kp elear that the City ef SuRny Isles R-eaeh
epefat+Rg or ad-n ipisteriRg-the PACE PFOgFaFnin any way and that pill
renr•ernS -,beut the PregFarn sheul.d be ad dressed directly +e the PAGE
I e al r_eyernmen+ with nle-,r ,. n+nn+ infer..,,atien r. ,i.de.J
W. .4.11 r-,emplaints and reselutiens ShaISI-hhe-legged, with thefea�.g
infeFinatien at -a MIdate -;;md- tif .ea A-f-Ee",,,pla m, eusterner;,d
,.en+r-.,.+er infermn+ien .details of remnlain+ when and what arstiens weFe
taken by beth the RACE 6eealGePe ent-;;nd- the-EentfaEtei", anal
rnr,nl„t•nn
W. All disputes and reemplaints Shall be investigated --.Pd- reselved- iR a timely
rrmnnnnr Pn r+r shall be .i.de.d +e+he PAGE Pr m Ge r.di at8
Fequest, to e1-lst re that the pvpeFty-ewnerwRderstands the teen. rns—^and
enteriRg iRte a PAGE ri. aRreiRg Agreement
(4913) Marketing: Neither PACE Local Governments nor their contractors, shall
use facsimiles of the City, Property Appraiser, or Tax Collector logos in their
marketing materials. Marketing materials shall not state that PACE: (i) is a free
program; (ii) is administered by the City; (iii) does not involve a financial obligation
by the property owner; (iv) is a form of public assistance. Marketing practices for a
PACE program that are or could appear to be unfair, deceptive, abusive, or
misleading, orthat violate laws or regulations, orthat are inappropriate, incomplete
or are inconsistent with the program's purpose are prohibited.
(2914) Reporting:
(a) Each PACE program shall provide a report to the city on a quarterly calendar
basis, which shall include, at a minimum, the following information:
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i. Dates of reporting period;
ii. List of PACE projects started during the reporting period, separated by
building type (e.g., single-family, multifamily, retail, office, industrial, etc.);
iii. List of PACE projects completed during the reporting period, separated by
building type (e.g., single-family, multifamily, retail, office, industrial, etc.).
For each completed project, specify: (1) the qualifying improvements
made; (2) project start date and completion date; (3) the projected energy
savings and/or amount of potential renewable energy to be generated
(may be based on averages for type of improvement); (4) financial
information such as cost per kWh saved/generated; (5) other resource
savings if data is available; and (6) audits performed detailing the audit
results, if applicable to the project;
iv. Number of jobs (actual or estimated) created during the reporting period;
v. Number of applications declined during the reporting period;
vi. Unresolved complaints or contractor issues and status;
vii. Description of the standardized third -party methodologies and supporting
assumptions used to verify data, and any changes in the methodologies
and assumptions from the previous reporting period.
(b) If the PACE Local Government does not currently have the ability to provide
reports that contain this minimum reporting information, it should modify its
data collection and maintenance -procedures and systems within one-year of
the effective date of its PACE Interlocal in order to comply. The City of Sunny
Isles Beach reserves the right to publish reports on program progress and
results and PACE Local Government compliance.
(c) PACE Local Governments will respond to requests from the PACE Program
Coordinator for information related to the Program in a timely manner and
shall provide sufficient documentation as requested by the PACE Program
Coordinator to ensure that the requirements of this Article and the State
statutes are being met.
(d) The PACE Local Government shall retain sufficient books and records
demonstrating compliance with the Agreement and State and City
requirements for a minimum period of seven years from the initial date of each
non -ad valorem assessment and shall allow City representatives access to such
books and records upon request.
(2415) Amendments: City reserves the right to amend this ordinance to revise
Program standards.
B. Additional Program standards for residential properties: In addition to requirements set
forth in F.S. § 163.08, PACE Local Governments that finance PACE Qualifying Improvements
on residential properties within the City of Sunny Isles Beach shall, at a minimum, comply
with at least one of the following additional standards for projects affecting residential
properties with four residential units or fewer:
(1) Financing limits: PACE Local Governments shall ensure that the total amount of any
annual property taxes and assessments do not exceed five percent of the Property's
fair market value, determined at the time financing is approved and ensure that the
total amount of annual PACE Assessments do not exceed four percent of the total
annual gross income of the Property owner in the prior calendar or fiscal year,
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based upon an affidavit or attestation by the Property owner of the owner's total
annual gross income. Fair market value shall be that value determined by the
Miami -Dade County Property Appraiser, or by a credentialed commercial property
appraiser or licensed realtor, or by an automated valuation service or model from
a reputable third -party source; or
(2) Mortgage Holder Consent or Escrow: PACE Local Governments shall verify that each
prior mortgage or financing instrument holder has consented to any proposed
Financing Agreement and PACE Assessment, or that the prior mortgage or financing
instrument holder or loan servicer has consented to escrow sufficient funds to
ensure payment of the annual assessment with each year's tax bill; or
(3) Insurance or Energy Savings: PACE Local Governments shall verify that the total cost
of the PACE Assessment is equal to or less than the projected savings to the
property owner based upon the projected energy savings in a written statement
from a Certified Energy Auditor, certified by the Association of Energy Engineers,
the Residential Energy Services Network, or the Building Performance Institute, or
the projected insurance savings in a written statement from the property owner's
insurer.
(4) Contractor Pricing: Within six months of entering into an Interlocal agreement,
PACE Local Governments shall have in place pricing rules and enforcement
mechanisms to ensure property owners are protected from excessive or unjustified
prices and charges.
(5) Estimated Energy or Insurance Savings Disclosure: PACE Local Governments shall
include in the "Code of Conduct" (referenced below) and in contractor training the
requirement that contractors inform Eligible Participants of the following:
(a) Estimate of energy savings, insurance cost savings (if applicable) and return on
investment, including the range of efficiency options (if applicable) using
industry best practices;
(b) Available rebates or incentives associated with Qualifying Improvements;
(c) If energy improvements are undertaken:
i. The benefits of installing energy efficiency improvements before
renewable energv to reduce costs overall:
ii. The benefits of a full Energy Audit of their property, names of energy audit
professionals qualified through the Residential Energy Services Network,
Building Performance Institute, Association of Energy Engineers, or other
comparable program, and any available incentive programs; and
iii. Costs of the Energy Audit are eligible for financing as part of the
assessment.
(6) Notice to Property Owner: Prior to or contemporaneously with entering into a PACE
Financing Agreement, PACE Local Governments shall provide the property owner
with a separate written notice disclosing the following items:
(a) The total amount of the debt, including interest;
(b) The maximum annual PACE Assessment and payment term that does not
exceed the useful life of the improvements;
(c) For energy efficiency and renewable energy Qualifying Improvements, tThe
estimated savings from the Qualifying Improvements, including a statement
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that actual savings will depend on usage patterns, seasonal variation and
weather, utility rates and trends and product specifications;
(d) The three-day right to cancel the PACE Financing Agreement;
(e) Identification of prepayment fees or penalties;
(f) The PACE Assessment will appear on the propertV owner's tax bill;
(g) There is no discount or penalty for paying the PACE Assessment early;
(h) The PACE Assessment will be collected in the same manner as real estate taxes;
that failure to pay the PACE Assessment may cause a tax certificate to be issued
against the propertV; and that failure to pay may result in the loss of property
subject to the PACE Assessment, including homestead property, in the same
manner as failure to pay property taxes;
(i) The installation of Qualifying Improvements may or may not affect the overall
market value of the Property;
(11 The PACE Assessment may affect the sale or refinance of the Property;
(k) The propertV owner may be required to pay any PACE assessment in full at the
time of refinance or sale of the property;
(1) If the property owner is using an escrow or impound account to pay property
taxes, he/she should contact his/her lender immediately to ensure that the
escrow payments are adjusted correctly so that the property owner is aware of
and prepared for the increased payment amount; and
(m) The notice shall be signed and dated by the propertV owner to acknowledge
that they understand these conditions. Subsection (6)(c) above may be
provided in a separate document without propertV owner signature if
necessary. If the PACE Local Government does not currently have the ability to
include subsection (6)(c) above, it should modify its procedures in order to
comply within one year of the effective date of its PACE Interlocal Agreement.
The consumer notice described in this section must be delivered to the property
owner by the program administrator and must be signed and dated by the
property owner prior to or contemporaneously with the property owner's
signing of any legally enforceable documents under the PACE program.
Confirmation of Terms: PACE Local Governments must confirm, by telephone with
the propertV owner, each Program financing term listed below before the propertV
owner signs the PACE Financing Agreement. Such telephonic confirmation shall be
recorded. A voicemail shall not satisfy this requirement. When confirming terms of
a Program Financing Agreement with a homeowner, the Program Administrator will
request the property owner to describe the Qualifying Improvements being
financed using the Program financing, and will ascertain that the propertV owner
understands or acknowledges the following:
(a) The Qualifying Improvements being installed are financed by the Program;
(b) The total estimated annual payment, including estimated annual collection
costs;
(c) The date the first tax payment will be due;
(d) The term of the Program financing;
(e) The payments will be made through the property owner's property taxes and
paid either directly to the county tax collector's office or through his or her
mortgage impound account;
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(f) A notice of assessment summarizing the financing agreement executed in
connection with the Qualifying Improvements will be recorded and appear as
a lien against the Property until paid;
(g) That they are able to meet the increased property tax payment;
(h) Questions on tax benefits or deductibility must be directed to a tax
professional;
(i) The possibility that the assessment may: (a) remain on the Property; or (b) be
required to be paid off if the homeowner sells or refinances the Property; and
(il The three-day right to cancel the financing.
(8) Contractor Management: PACE Local Governments shall:
(a) To the extent available, recruit and approve local contractors;
(b) Conduct local recruitment efforts;
/,.\ c..a., L.I:.. L. .. �I!`...J ,. ..F !`...,..J. ...a�� aL..,a ..,.�.. ,. ...... .J .. �.J .. L.... ...., ..a:,.:..... a.:.., ......... .......a......
as licensing, advertising and marketing, accurate representation of the
program, and consumer protections;
(d) Train all PACE program contractors on the regulations related to the PACE
program and the Code of Conduct;
(e) Ensure that all contractors hold necessary licenses and insurance;
(f) Confirm contractor qualifications at least annually and as necessary based upon
consumer complaints or other indications of lack of compliance;
(g) Remove contractors from the PACE program who no longer meet program
criteria; have not met program requirements or fail to act in good faith to
timely resolve consumer complaints; and
(h) PACE programs or program administrators shall have and shall strictly enforce
anti -kickback policies and procedures that prohibit direct financial or other
monetary incentives to contractors in exchange for or related to such
contractor being awarded work under a PACE program, excepting payment for
the contractor's installation of eligible improvements.
(9) Customer Service: PACE Local Governments shall provide a high level of customer
service, including:
(a) Access to customer service representatives by email and phone during normal
business hours;
(b) A detailed website with specific reference to the City of Sunny Isles Beach PACE
Program;
(c) A transparent customer feedback and complaint process with quick response
and resolution by both the contractor and the PACE Local Government.
i. A document outlining the complaint process shall be clearly available on
the PACE Local Government website and provided to customers.
ii. The document shall make clear that the Citv of Sunnv Isles Beach is not
operating or administering the PACE Program in any way and that all
concerns about the Program should be addressed directly to the PACE
Local Government, with clear contact information provided.
iii. All complaints and resolutions shall be logged, with the following
information at a minimum: date and time of complaint, customer and
contractor information. details of complaint. when and what actions were
@BCL@B80CDC07.docx Page 11 of 13 67
taken by both the PACE Local Government and the contractor, and final
resolution.
iv. All disputes and complaints shall be investigated and resolved in a timely
manner. Reports shall be provided to the PACE Program Coordinator upon
request and an annual summary provided automatically.
(d) Language Translation Services. PACE Local Governments shall provide language
translation services to assist property owners seeking to participate in the PACE
Finance program. The language translation services shall be provided, upon
request, to ensure that the property owner understands the terms and
conditions when entering into a PACE Financing Agreement.
§ 251-16. Notice to purchaser.
A. Property owners must comply with F.S. § 163.08(14) regarding providing a written
disclosure statement to a prospective purchaser.
B. Failure to provide the notice referenced above to a purchaser of the Property shall have no
effect on either the validity of any PACE Assessment or any obligation of a Property owner.
Section 3. Repealer. All ordinances, or parts of ordinances in conflict herewith be, and the
same, are hereby repealed.
Section 4. Severability. If any section, subsection, clause or provision of this Ordinance is
declared invalid or unconstitutional by a court of competent jurisdiction, the remainder shall not
be affected by such invalidity.
Section 5. Inclusion in the Code. It is the intention of the City Commission, and it is hereby
ordained that the provisions of this Ordinance shall become and made a part of the Code of
Ordinances of the City of Sunny Isles Beach; that the sections of this Ordinance may be
renumbered or re -lettered to accomplish such intentions; and that the word "Ordinance" shall
be changed to "Section" or other appropriate word, as required.
Section 6. Effective Date. This Ordinance will become effective ten (10) days after adoption
at second reading.
14
i
PASSED AND ADOPTED on first reading this day of May 2022.
PASSED AND ADOPTED on second reading this Ay of June 2022.
Dana Robin Goldman, Mayor
@BCL@B80CDC07.docx Page 12 of 13 68
ATTEST
Mau 'cio Beta cur, CMC, City Clerk
APPROVED AS TO FORM
AND LEGAL SUFFICIENCY:
DIZ 2 k �
Edward A. Dion, City Attorney
First Reading Second Reading
Motion:/// Motion:(�x-�C��
Second:Second:Iz/L�
Vote on First Reading:
Mayor Goldman (Yes) (No)
Vice Mayor Viscarra (Yes) (No)
Commissioner Joseph Yes) (No)
Commissioner Lama (Yes) (No)
Commissioner Stuyvesant (Yes) (No)
Vote on Second Reading:
Mayor Goldman (Yes) (No)
Vice Mayor Viscarra (Yes) (No)
Commissioner Joseph (Yes) (No)
Commissioner Lama7(("
Yes) (No)
Commissioner Stuyvesant Yes) (No)
@BCL@B80CDC07.docx Page 13 of 13 69
c,rp as sw+
City of Sunny Isles Beach
18070 Collins Avenue
Sunny Isles Beach, Florida 33160
(305) 947-0606 City Hall
(305) 949-3113 Fax
MEMORANDUM
TO: Honorable Mayor and City Commissioners
FROM: Stan Morris, City Manager
DATE: June 16, 2022
RE: Ordinance Amending Chapter 251 "Property Assessed Clean Energy Program
RECOMMENDATION:
staff recommends adoption of this Ordinance.
REASONS:
On November 15, 2018, the City adopted Ordinance No. 2018-533, establishing a Property Assesses
Clean Energy Program in the City ("PACE Program"), which is codified in Chapter 251 of the City's Cod
of Ordinances ("Code"). The stated purpose of the City's PACE Program is to allow a property owner tc
voluntarily finance energy efficient, renewable energy, or wind resistant improvements through a non -
ad valorem assessment implemented and managed by a PACE Local Government and repaid througf
the annual tax bill.
In developing its PACE Program, the City created program standards that have proven too onerous
and have become a barrier to PACE Local Governments providing services in the City, especially witl
respect to commercial PACE transactions ("C -PACE"). In the interest of increasing participation in the
PACE Program, the City's program standards need to be clarified so that select consumer protectior
measures are applied solely to residential properties participating in the PACE Program, thereby
allowing commercial transactions to not be governed by or subject to said standards. C -PACE
transactions are negotiated with a great degree of sophistication and frequently with benefit of legal
representation, thus the need for stringent consumer protection measures is not present for C -PACE,
as it is for residential PACE transactions.
ATTACHMENTS:
Ordinance
Item Number: 9.0
56