The City of Dublin, CA, recently joined the CaliforniaFIRST program to assist in financing energy projects for private property owners. Coordinated by California Communities and launching in Summer 2010, the CaliforniaFIRST program will provide residential and commercial property owners with a lower-cost option to finance renewable energy, energy efficiency, and water efficiency improvements on their properties. Dublin property owners can borrow $5K to $75K for projects over a 5 to 20 year period. Property owners will be able to repay the loan through a parcel-specific assessment on their property tax bills. California Communities will issue bonds to provide the financing for these projects.

Qualified residents can benefit from the CaliforniaFIRST program in many ways. CaliforniaFIRST will likely offer property owners a lower financing rate than they otherwise would get through private financing companies. Additionally, payment for the CaliforniaFIRST loans will be collected along with the property tax, so property owners will enjoy the convenience of making semi-annual payments for their energy efficiency projects. The CaliforniaFIRST financing program is also unique in that assessment obligation transfers with the sale of the property, so the loan does not have to be paid in full as part of the property sale process. In fact, CaliforniaFIRST will assess a 5% prepayment penalty to discourage property owners from paying back their loans early.

Not all residents can qualify for this program. Applicants must have good creditworthiness to be eligible for selection in the CaliforniaFIRST program. Additionally, statewide demand for the loan must reach at least $10M before a bond can be issued to fund property owner projects. If the amount of loan from qualified applicants for the entire State of California does not reach $10M, California Communities will not issue the bond. CaliforniaFIRST will be holding workshops and providing consultations for interested property owners in the near future as part of an outreach effort to evangelize the benefits of this financing program.