14.50.050 C-PACER financing.

(1)    C-PACER financing, under Chapter 36.165 RCW, is to be provided by capital providers through a financing agreement entered into with the owner of an eligible property to fund a qualified project.

(2)    The C-PACER financing may include:

(a)    The cost of materials and labor necessary for installation or modification of a qualified improvement;

(b)    Permit fees;

(c)    Inspection fees;

(d)    Financing or origination fees;

(e)    Program application and administrative fees;

(f)    Project development and engineering fees;

(g)    Third-party review fees, including verification review fees;

(h)    Capitalized interest;

(i)    Interest reserves;

(j)    Escrow for prepaid property taxes and insurance; or

(k)    Any other fees or costs that may be incurred by the property owner incident to the installation, modification, or improvement on a specific or pro rata basis.

(3)    Prior to entering into a financing agreement, the capital provider must receive written consent from every holder of a lien, mortgage, or security interest in the real property that will be subject to the assessment and C-PACER lien agreeing that the property may participate in the program and that the C-PACER lien will take precedence over all other liens except for a lien for taxes. Additionally, prior to entering into a financing agreement on an eligible property that is a multifamily residential property with five or more dwelling units, the program administrator must also receive written consent from any holder of affordable housing covenants, restrictions, or regulatory agreements in the real property as a condition precedent to the participation in the program by the property agreeing that the property may participate in the program and that the C-PACER lien will take precedence over all other liens except for a lien for taxes.

(4)    The proposed C-PACER financing for a qualified project may authorize the property owner to:

(a)    Purchase directly the related equipment and materials for the installation or modification of a qualified improvement; and

(b)    Contract directly, including through lease, power purchase agreement, or other service contract, for the installation or modification of a qualified improvement. (Sec. 1 of Ord. 2021-10-04)