ACWA Supports Property Assessed Clean Energy Programs
ACWA submitted comments to the Federal Housing Finance Agency urging adoption of a rule that would allow residential property assessed clean energy programs to continue.
These programs have been temporarily frozen by FHFA’s preliminary ruling that residential PACE programs pose a financial risk to Fannie May and Freddie Mac. California and other states sued FHFA to overturn this decision. As a result of the lawsuit, FHFA is putting forward a proposed rule on PACE programs. However, FHFA continues to claim that PACE programs increase the risk a homeowner will default on his mortgage.
ACWA strongly disputed this claim in a comment letter submitted Sept. 13. The letter noted that ACWA member agencies' experience with PACE programs directly contradicts this assertion.
"ACWA encourages the Federal Housing Finance Agency (FHFA) to rethink the (proposed rule) and allow PACE to proceed,” the letter said.
The full text of ACWA’s letter can be viewed below.