August 13, 2019
Dear Members of the Authority:
Passage and Enactment of HB3501
As some of you may remember, after six months of failed Commercial Property Assessed Clean Energy (“C-PACE”) implementation across the state, the Authority adopted a Resolution in February of 2018 indicating its desire to develop comprehensive C-PACE financing options for counties and municipalities. As a result of Authority outreach to industry stakeholders and local economic development officials, the Authority successfully pursued legislative changes to the Property Assessed Clean Energy Act (50 ILCS 50/1, et seq.) (the “PACE Act”) that granted the Authority a seat at the table. Based on lessons learned from other states, an implementation plan was then created and in doing so, the Authority further recognized that the PACE Act needed to be brought up to standard with comparable Illinois special assessment laws. In collaboration with the Authority’s environmental partners at the Environmental Law & Policy Center, Rep. Natalie A. Manley (D-Romeoville), and Senator Melinda Bush (D-Grayslake) introduced HB3501, a comprehensive technical rewrite of the PACE Act. HB3501 unanimously passed both the House and Senate earlier this summer and on July 29, 2019, Governor Pritzker officially signed House Bill 3501 into state law (Public Act 101-0169).
Effective immediately, HB3501 incorporates certain public health and natural disaster protections to the PACE Act and eliminates ambiguity, providing the market with a clear and comprehensive path to the successfully financed C-PACE transactions.
C-PACE is a cornerstone of the Authority’s Transformation Initiative and an integral component to the Authority’s anticipated revenue earnings for the Fiscal Year 2020 budget. The passage and enactment of this legislation is not only a testament to the Authority’s dedication to pursuing the goals of Governor Pritzker’s Executive Order on climate change but also to Vice President Brad Fletcher’s hard work throughout this elongated process.
The Authority thanks Governor Pritzker, the General Assembly, the Environmental Law & Policy Center, and our dedicated partners for their continued support. Their efforts were critical to the passage of this legislation. We believe C-PACE will play a huge role in facilitating growth across the state and look forward to working with stakeholders that align with the Authority’s mission.
Welcome Rush University Medical Center
The Authority is pleased to welcome Rush University Medical Center Obligated Group to our agenda this month. Proceeds will be loaned to Copley Memorial Hospital, a member of the obligated group. Bonds will be used to assist in the modernization and expansion of surgical suites and installing new equipment, among other uses. Copley owns and operates an acute care hospital located in Aurora, Illinois. Rush University System for Health is an academic health system whose mission is to improve the health of the individuals and diverse communities it serves and the system has 2,026 full time employees. We are excited to present this project for consideration by the Members.
Agriculture Update from Charles Myart
Providing access to low-cost capital to diverse farm and agri-businesses across Illinois has been a part of the Authority’s core mission since its origination. The Authority believes the agriculture sector is essential for our state’s growth and is always looking for ways to better assist the agriculture community. VP of Loans & Guarantees, Charles Myart, has taken an in-depth look into how the Authority can continue to facilitate support for the agricultural sector and will be providing an update on what he has found.
As always, I look forward to continuing to work with you in support of jobs and financing capital expansion projects throughout our state.
Christopher B. Meister