SB5312 – Creates a residential property assessed clean energy and resiliency (R-PACER) program. (Dead.)
Prime Sponsor – Senator Lovelett (D; 40th District; Anacortes) (Co-Sponsor Jeff Wilson – R)
Current status – Had a hearing in the Senate Committee on Local Government, Land Use & Tribal Affairs January 31st. Still in committee by cutoff.
Next step would be – Dead bill.
Legislative tracking page for the bill.

Summary –
The bill would create a residential property assessed clean energy and resiliency program (an R-PACER program) that jurisdictions could choose to implement. These would allow loans for improvements to be repaid through a lien on the property assigned to a capital provider; the obligation to repay the debt would remain with the property if ownership was transferred. They’d be available to owners of single-family residences, and multifamily residential properties with four or fewer dwelling units, for improvements including energy efficiency, water conservation, clean and renewable energy, and resiliency projects. (The state has already established a C-PACER program for commercial property.)

Counties could choose to participate in a statewide program that the Department of Commerce would establish, or create their own programs. Programs might make any services the program may chose to offer to property owners, such as estimating energy savings, overseeing project development, or evaluating alternative equipment installations, priced separately and open to purchase by the property owner from qualified third-party providers; make properties participating available for offers of impartial terms from qualifying third-party capital providers; allow financial underwriting and evaluation to be performed by capital providers; and work in a collaborative process with capital providers and other stakeholders to develop the program.

Programs would be required to set uniform criteria for determining whether projects qualified for the loans, including determining if investments would reduce greenhouse gas emissions; reduce energy demand or replace nonrenewable energy with renewable energy; be appropriate to meet seismic risks; reduce stormwater or pollution to provide significant public benefit; or reduce the risk of wildfire, flooding, or other disasters. There are detailed requirements for creating guidebooks about programs. Loans could cover fees and interest as well as the costs of material and labor. Commerce would be authorized to provide grants to counties to assist in developing and implementing programs.

Applicants would have to demonstrate that a project would provide a public benefit in the form of energy or water resource conservation, reduced public health risk, or reduced public emergency response risk. If energy or water usage improvements were proposed for existing buildings, a licensed professional engineer, registered architect, or other professional would have to certify that the proposed improvements would result in more efficient use or conservation of energy or water, the reduction of greenhouse gas emissions, the addition of renewable sources of energy or water; or result in improved resilience. For new construction, a professional would have to certify that the proposed improvements would enable the project to exceed the energy efficiency, water efficiency, renewable energy or renewable water, or resilience requirements of the current building code. Programs could charge an application fee to cover the costs of establishing and conducting the application review process. Applicants would have to provide written verification, as defined in the guidebook, stating that projects were properly completed and operating as intended.

The bill includes procedures counties would follow in adopting a program and in recording liens, and detailed provisions about the legal status of the liens and provisions for enforcing them without the direct involvement of the counties, designed to avoid potential conflicts with the Washington Constitution’s provisions.