[Adopted 4-17-2018 by L.L. No. 2-2018[1]]
[1]
Editor’s Note: This local law also repealed former Art.
I, Energize NY Benefit Financing Program, adopted 8-12-2014 by L.L.
No. 3-2014.
This L.L. No. 2-2018 was repealed 7-16-2019 by L.L. No. 2-2019 and subsequently reestablished 6-16-2020 by L.L. No. 1-2020.
A.
It is the policy of both the Town of Cortlandt and the State of New
York to achieve energy efficiency and renewable energy goals, reduce
greenhouse gas emissions, mitigate the effect of global climate change,
and advance a clean energy economy. The Town of Cortlandt finds that
it can fulfill this policy by providing property assessed clean energy
financing to property owners for the installation of renewable energy
systems and energy efficiency measures. This chapter establishes a
program that will allow the Energy Improvement Corporation ("EIC"),
a local development corporation, acting on behalf of the Town of Cortlandt
pursuant to the municipal agreement to be entered into between the
Town of Cortlandt and EIC pursuant to Article 5-G of the New York
General Municipal Law (the "municipal agreement"), to make funds available
to qualified property owners that will be repaid by such property
owners through charges on the real properties benefited by such funds,
thereby fulfilling the purposes of this article and fulfilling an
important public purpose.
B.
The Town of Cortlandt is authorized to implement this Energize NY
Benefit Financing Program pursuant to the Municipal Home Rule Law
and Article 5-L of the New York General Municipal Law.
C.
This article shall be known and may be cited as the "Energize NY
Benefit Financing Program Law of the Town of Cortlandt."
For purposes of this article, and unless otherwise expressly
stated or unless the context requires, the following terms shall have
the meanings indicated:
The New York State Energy Research and Development Authority,
as defined by Subdivision 2 of § 1851 of the Public Authorities
Law, or its successor.
The Energy Improvement Corporation, a local development corporation,
duly organized under § 1411 of the Not-For-Profit Corporation
Law, authorized hereby on behalf of the Town of Cortlandt to implement
the Energize NY Benefit Financing Program by providing funds to qualified
property owners (as defined in this article) and providing for repayment
of such funds from monies collected by the Town of Cortlandt tax collecting
officer as a charge to be levied on the real property and collected
in the same manner and same form as the Town of Cortlandt taxes.
A formal evaluation or assessment of the energy consumption
of a permanent building or structural improvement to real property,
conducted by a contractor certified by the Authority, or certified
by a certifying entity approved by the Authority, for the purpose
of identifying appropriate energy efficiency improvements that could
be made to the property.
Any renovation or retrofitting of a building to reduce energy
consumption, such as window and door replacement, lighting, caulking,
weatherstripping, air sealing, insulation, and heating and cooling
system upgrades, and similar improvements, determined to be cost-effective
pursuant to criteria established by the Authority, not including lighting
measures or household appliances that are not permanently fixed to
real property.
An owner of residential or commercial real property located
within the boundaries of the Town of Cortlandt that is determined
to be eligible to participate in the Energize NY Benefit Financing
Program under the procedures for eligibility set forth under this
article.
An energy-generating system for the generation of electric
or thermal energy, to be used primarily at such property, except when
the qualified property owner is a commercial entity, in which case
the system may be used for other properties in addition to the subject
property, by means of solar thermal, solar photovoltaic, wind, geothermal,
anaerobic digester gas-to-electricity systems, fuel cell technologies,
or other renewable energy technology approved by the Authority, not
including the combustion or pyrolysis of solid waste.
A written study, conducted by a contractor certified by the
Authority, or certified by a certifying entity approved by the Authority,
for the purpose of determining the feasibility of installing a renewable
energy system.
A.
An Energize NY Benefit Financing Program is hereby established by
the Town of Cortlandt, whereby EIC acting on its behalf pursuant to
the municipal agreement, may provide funds to qualified property owners
in accordance with the procedures set forth under this article, to
finance the acquisition, construction and installation of renewable
energy systems and energy efficiency improvements and the verification
of the installation of such systems and improvements.
B.
For funds provided to a qualified property owner which is a commercial
entity, not-for-profit organization, or entity other than an individual,
EIC shall have the authority to impose requirements on the maximum
amount of funds to be provided, which may consider factors, including
but not limited to the property value, projected savings, project
cost, and existing indebtedness secured by such property.
C.
For financings made to a qualified property owner who is an individual,
the funds provided shall not exceed the lesser of:
(1)
Ten percent of the appraised value of the real property where the
renewable energy systems and/or energy efficiency improvements will
be located; or
(2)
The actual cost of installing the renewable energy systems and/or
energy efficiency improvements, including the costs of necessary equipment,
materials, and labor and the cost of verification of such systems
and improvements.
A.
Any property owner in the Town of Cortlandt may submit an application
to EIC on such forms as have been prepared by EIC and made available
to property owners on the website of EIC and at the Town of Cortlandt
offices.
B.
Every application submitted by a property owner shall be reviewed by EIC acting on behalf of the Town of Cortlandt, which shall make a positive or negative determination on such application based upon the criteria for making a financing enumerated in § 156-5 of this article. EIC may also request further information from the property owner where necessary to aid in its determination.
C.
If a positive determination on an application is made by EIC acting on behalf of the Town of Cortlandt, the property owner shall be deemed a qualified property owner and shall be eligible to participate in the Energize NY Benefit Financing Program in accordance with the procedure set forth under § 156-6 of this article; provided that in no case shall a property owner that has received funds from another municipal corporation for the acquisition, construction and installation of energy efficiency improvements and/or renewable energy systems be deemed a qualified property owner.
Upon the submission of an application, EIC, acting on behalf
of the Town of Cortlandt, shall make a positive or negative determination
on such application based upon the following criteria for the making
of a financing:
A.
The proposed energy efficiency improvements and/or renewable energy
systems are determined to be cost effective based on guidelines issued
by the Authority;
B.
The property owner may not be in bankruptcy, and the property may
not constitute property subject to any pending bankruptcy proceeding;
C.
The amount financed under the Energize NY Benefit Financing Program
shall be repaid over a term not to exceed the weighted average of
the useful life of renewable energy systems and energy efficiency
improvements to be installed on the property as determined by EIC;
D.
Sufficient funds are available from EIC to provide financing to the
property owner;
E.
The property owner is current in payments on any existing mortgage;
F.
The property owner is current in payments on any existing real property
taxes and has been current on real property taxes for the previous
three years; and
G.
Such additional criteria, not inconsistent with the criteria set
forth above, as the Town of Cortlandt, or EIC acting on its behalf,
may set from time to time.
A.
A qualified property owner may participate in the Energize NY Benefit
Financing Program through the execution of an Energize NY Finance
Agreement made by and between the qualified property owner and EIC,
acting on behalf of the Town of Cortlandt (the "Energize NY Finance
Agreement").
B.
Upon execution of the Energize NY Finance Agreement, the qualified property owner shall be eligible to receive funds from EIC, acting on behalf of the Town of Cortlandt, for the acquisition, construction, and installation of qualifying renewable energy systems and energy efficiency improvements; provided the requirements of § 156-7 of this article have been met.
A.
No funds shall be made available for energy efficiency improvements unless determined to be appropriate through an energy audit, as defined in § 156-2.
B.
No funds shall be made available for a renewable energy system unless determined to be feasible through a renewable energy system feasibility study, as defined in § 156-2.
C.
The cost of such energy audit and/or renewable energy system feasibility
study shall be borne solely by the property owner but may be included
in the financed amount if the work is approved.
The Energize NY Finance Agreement between the qualified property
owner and EIC, acting on behalf of the Town of Cortlandt, shall set
forth the terms and conditions of repayment in accordance with the
following:
A.
The principal amount of the funds paid to the qualified property
owner hereunder, together with the interest thereon, shall be paid
by the property owner as a charge on his or her Town of Cortlandt
tax bill and shall be levied and collected at the same time and in
the same manner as Town of Cortlandt property taxes, provided that
such charge shall be separately listed on the tax bill. The Town of
Cortlandt shall make payment to EIC or its designee in the amount
of all such separately listed charges within 30 days of the date the
payment is due to be made to the Town of Cortlandt.
B.
The term of such repayment shall be determined at the time the Energize
NY Finance Agreement is executed by the property owner and EIC, provided
that in no case shall the term exceed the weighted average of the
useful life of the systems and improvements as determined by EIC acting
on behalf of the Town of Cortlandt.
C.
The rate of interest for the charge shall be fixed by EIC acting
on behalf of the Town of Cortlandt at the time the Energize NY Finance
Agreement is executed by the property owner and EIC.
D.
The charge shall constitute a lien upon the real property benefited
by the Energize NY Benefit Financing Program as set forth in Article
5-L of the General Municipal Law and shall run with the land. A transferee
of title to the benefited real property shall be required to pay any
future installments, including interest thereon.
A.
EIC shall be responsible for verifying and reporting to the Town
of Cortlandt on the installation and performance of renewable energy
systems and energy efficiency improvements financed by such program.
B.
The Town of Cortlandt shall verify and report on the installation
and performance of renewable energy systems and energy efficiency
improvements financed by the Energize NY Benefit Financing Program
in such form and manner as the Authority may establish.
