FLORIDA GREEN FINANCE AUTHORITY REGULAR BOARD MEETING MARCH 2, 2017 2:00 P.M.
A. Call to Order AGENDA FLORIDA GREEN FINANCE AUTHORITY Town of Lantana 500 Greynolds Circle Lantana, FL 33462 REGULAR BOARD MEETING March 2, 2017 2:00 p.m. B. Proof of Publication..Page 1 C. Establish Quorum D. Additions or Deletions to Agenda E. Comments from the Public for Items Not on the Agenda F. Approval of Minutes 1. December 1, 2016 Regular Board Meeting Minutes.Page 4 G. Status/Program Update Information Report..Page 9 H. Old Business I. New Business Update on Composition of Board Program Update on RenewPace Residential Program Update on Tax Collector Agreements 1. Consider Resolution No. 2017-01 Authorizing Agreements between FGFA the Tax Collector and Property Appraiser...Page 15 2. Consider Resolution No. 2017-02 Electronic Approval Process and Authorized Signatories...Page 16 3. Consider Request for FGFA Attorney Rate Increase J. Administrative Matters K. Board Member Comments L. Adjourn
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MINUTES FLORIDA GREEN FINANCE AUTHORITY REGULAR BOARD MEETING DECEMBER 1, 2016 A. Call to Order Authority Manager Todd Wodraska called the December 1, 2016, Regular Board Meeting of the Florida Green Finance Authority to order at 2:09 p.m. at the Town of Mangonia Park Municipal Center, 1755 East Tiffany Drive, Mangonia Park, FL 33407. B. Proof of Publication Proof of publication was presented showing that notice of the Regular Board Meeting had been published in The Palm Beach Post on November 18, 2016, as legally required. C. Establish Quorum A quorum was established with the following Supervisors present: Supervisor Chair David Thatcher Vice Chair Sarita Johnson (arrived at 2:33pm) Jeff Green Sean McLendon (via phone) Jurisdiction Town of Lantana City of Mangonia Park City of West Palm Beach Alachua County Others present at the meeting were: Staff Member Todd Wodraska Keith Davis Mitty Barnard Devesh Nirmu Annie Henderson Jack McWilliams Company/Agency Special District Services, Inc. Corbett, White & Davis PA Corbett, White & Davis PA Renew Financial Renew Financial Lewis Longman & Walker D. Additions or Deletions to the Agenda None. Page 4
E. Comments from the Public for Items Not on the Agenda There were no comments from the public for items not on the agenda. F. Approval of Minutes 1. September 1, 2016, Regular Board Meeting & Public Hearing There was a motion made by Mr. Green, seconded by Mr. Thatcher, to approve the minutes of the September 1, 2016, Regular Board Meeting & Public Hearing, as presented. Upon being put to a vote, the motion carried unanimously. G. Status/Program Update 1. Update Regarding Residential Program, Member Jurisdictions and Tax Collector Agreements Mr. Devesh Nirmu provided a handout with the most current statistics on applications and funding projects since the inception of the residential program, noting that $1.5 million have been funded to date. Ms. Mitty Bernard provided an update on the Tax Collector Agreements with the participating counties and also provided an updated account of member jurisdictions. She noted that the list is constantly growing. Mr. Jeff Green had some questions about the numbers of withdrawn applications and also requested information that would be specific to contractors and projects within West Palm Beach. 2. Resolution No. 2016-16 Amending and Approving Documents for Renew PACE Non-Residential Program a. Master Trust Indenture or Bond Indenture b. Master Debt Obligation c. Aggregation Account Agreement d. Financing Agreement Mr. Wodraska presented Resolution No. 2016-16, entitled: RESOLUTION NO. 2016-16 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY SUPPLEMENTING RESOLUTION NO. 2016-11, ADOPTED ON SEPTEMBER 1, 2016, WITH RESPECT TO THE AUTHORITY S NON-RESIDENTIAL PROGRAM, APPROVING THE FORM OF FINANCING AGREEMENT, MASTER DEBT OBLIGATIONS AGREEMENT, AGGREGATION ACCOUNT AGREEMENT AND MASTER INDENTURE, EACH AS FURTHER DESCRIBED HEREIN; AUTHORIZING THE EXECUTION AND DELIVERY OF SUCH INSTRUMENTS IN CONNECTION WITH THE ISSUANCE OF DEBT OBLIGATION OR BONDS, AS THE CASE MAY BE, FROM TIME Page 5
TO TIME; AFFIRMING AND RATIFYING THE EXECUTION AND DELIVERY OF THAT CERTAIN COUNSEL FEE LETTER AMONG THE AUTHORITY, RENEW FINANCIAL GROUP LLC AND SPECIAL COUNSEL, LEWIS, LONGMAN & WALKER, P.A., PROVIDING FOR CERTAIN OTHER MATTERS IN CONNECTION THEREWITH; PROVIDING AN EFFECTIVE DATE, AND FOR OTHER PURPOSES. Mr. Jack McWilliams explained that this resolution is intended to clearly delineate the differences between the non-residential and residential PACE projects that will be funded by Renew Financial via the FGFA. He recommended approval of the resolution, which would also approve the documents that are listed as exhibits. There was a motion made by Mr. Green, seconded by Ms. Johnson, Resolution No. 2016-16 Amending and Approving Documents for Renew PACE Non-Residential Program, as presented. Upon being put to a vote, the motion carried unanimously. H. Public Hearing 1. Proof of Publication Proof of publication was presented showing that notice of the Regular Board Meeting had been published in The Palm Beach Post on the following dates, as legally required: November 3, 2016 November 10, 2016 November 17, 2016 November 24, 2016 2. Receive Public Comments on Intent to Utilize the Uniform Method of Levying, Collecting and Enforcing Non-Ad Valorem Assessments There were no comments. 3. Consider Resolution No. 2016-17 Intent to Utilize the Uniform Method of Levying, Collecting and Enforcing Non-Ad Valorem Assessments Mr. Wodraska presented Resolution No. 2016-17, entitled: RESOLUTION 2016-17 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY EXPRESSING ITS INTENT TO UTILIZE THE UNIFORM METHOD OF LEVYING, COLLECTING AND ENFORCING NON AD VALOREM ASSESSMENTS WHICH HEREAFTER MAY BE LEVIED BY THE AUTHORITY IN ACCORDANCE WITH THE PROVISIONS OF SECTION 197.3632, F.S.; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. Page 6
There was a motion made by Mr. Green, seconded by Mr. McClendon, Resolution No. 2016-17 Intent to Utilize the Uniform Method of Levying, Collecting and Enforcing Non-Ad Valorem Assessments, as presented. Upon being put to a vote, the motion carried unanimously. I. Old Business No Old Business J. New Business 1. Consider Resolution No. 2016-18 Ratifying the Second Amended and Restated Interlocal Agreement Mr. Wodraska presented Resolution No. 2016-18, entitled: RESOLUTION 2016-18 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY FINDING RATIFICATION OF THE SECOND AMENDED AND RESTATED INTERLOCAL AGREEMENT; PROVIDING AN EFFECTIVE DATE; AND FOR OTHER PURPOSES. Ms. Bernard explained the need for the resolution and reviewed the different member jurisdictions that would need to agree to the restated Interlocal Agreement. She recommended approval. There was a motion made by Mr. Green, seconded by Mr. Thatcher, Resolution No. 2016-18 Ratifying the Second Amended and Restated Interlocal Agreement, as presented. Upon being put to a vote, the motion carried unanimously. 2. Consider Resolution 2016-19- Adopting a Fiscal Year 2015/2016 Amended Budget Mr. Wodraska presented Resolution No. 2016-19, entitled: RESOLUTION NO. 2016-19 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY AUTHORIZING AND ADOPTING AN AMENDED FINAL FISCAL YEAR 2015/2016 BUDGET ( AMENDED BUDGET ), PURSUANT TO CHAPTER 189, FLORIDA STATUTES; AND PROVIDING AN EFFECTIVE DATE. There was a motion made by Ms. Johnson, seconded by Mr. Green approving Resolution No. 2016-19 Adopting an Amended Budget for FY 2015/2016, as presented. Upon being put to a vote, the motion carried unanimously. Page 7
K. Administrative Matters None. L. Board Member Comments Mr. Thatcher thanked the staff for all of their hard work and wished everyone a Happy Holiday season. M. Adjourn The meeting was adjourned at 3:01 p.m. There were no objections. Chairman/Vice Chair Secretary/Asst. Secretary Page 8
INFORMATION REPORT DATE: MARCH 2, 2017 FGFA PROGRAM: RENEWPACE PROPERTY ASSESSED CLEAN ENERGY PROGRAM PURPOSE: I. UPDATE ON COMPOSITION OF BOARD II. UPDATE ON RENEWPACE RESIDENTIAL PROGRAM III. UPDATE ON TAX COLLECTOR AGREEMENTS IV. CONSIDERATION OF A RESOLUTION EVIDENCING THE INTENT TO ENTER INTO THE TAX COLLECTOR AGREEMENT WITH FUTURE PARTIES BOARD MEMBERS: DAVID THATCHER, LANTANA SARITA JOHNSON, MANGONIA PARK JEFFREY GREEN, WEST PALM BEACH KEN CORNELL, ALACHUA COUNTY KEITH WILKINS, CITY OF PENSACOLA 1 Page 9
Background: RenewPACE is a Program of the Florida Green Finance Authority (the Authority ) designed to offer communities, property owners and capital providers a multitude of options for investing in community improvements that save both energy and money. The Board of Supervisors ( Board ) of the Authority is being asked to hear or consider several items for the RenewPACE residential and non-residential programs, as well as administrative items related to the management of the Authority: 1. Update on Composition of the Board, 2. Update on RenewPACE Residential Program, 3. Update on Tax Collector Agreements, and 4. Consideration of a Resolution Evidencing the Intent to Enter into the Tax Collector Agreement with Future Parties. Discussion: I. Update on Composition of the Board Commissioner Ken Cornell has officially replaced Sean McClendon as the Board member for Alachua County. Alachua County currently holds the Suwannee River Water Management District Board seat, which expires on July 8, 2019. The City of Pensacola officially accepted the Northwest Florida Water Management District Board seat on December 21, 2016. On January 23, 2017, the Florida Green Finance Authority was notified that Keith Wilkins had been appointed as the City of Pensacola s representative on the Board. II. Update on RenewPACE Residential Program Program Application Statistics The program is contributing to the local goals of creating jobs and saving energy. Jobs created: over 95 Utility bill savings: $457,982 lifetime Lifetime energy savings: o kwh saved: 2,342,530 o Therms saved: 170,719 2 Page 10
Below is a summary of program application statistics. *Inclusive of funded projects As of 2/21/17 # Applications 1358 Total Assessment Value $30,763,636 Average Assessment Value $22,653 Approved (#/$) 264*/$5,317,572 Funded (#/$) 202/$3,687,881 # Contractors Submitting Apps 107 # Counties Submitting Apps 14 Applications have been submitted for a range of products including air source heat pumps, insulation, duct replacement, water heaters, windows, wind-resistant shingles, storm windows, storm shutters, doors, central air conditioners, exterior shading, solar, and roofs. Program Policy Updates Renew Financial will make updates to the program policies based on the first six months of program operations and feedback from the market. Per Exhibit A of the Third-Party Administration Services Agreement section I.3.a.ii and I.3.a.iii, Renew Financial is responsible for maintaining Assessment Underwriting Criteria and a List of Qualifying Improvements. The following is a brief summary of the proposed updates. Renew Financial will provide an opportunity for review of the policy details to the standard working group that includes SDS, legal counsels, and key partners prior to implementing any new policy. Streamlining of Underwriting Criteria: The Florida statute and certain local ordinances call out specific requirements for underwriting. The RenewPACE program goes further with additional underwriting criteria. Based on delinquency reports, we have determined that some underwriting rules may be revised to allow for a larger population to receive financing while not increasing the risk to investors. Simultaneously, we will implement a basic Ability to Pay rule that will address the repayment risk to a customer that may be low or fixed income. Streamlining of Minimum Eligibility Criteria: Section 163.08, F.S. specifies that a product must save or generate energy. It does not dictate the minimum criteria, but indicating a specific minimum eligibility criteria is a best practice in the industry. Renew Financial will be updating the minimum eligibility criteria to better align with Department of Energy standards and the Florida building code. Expansion of Eligible Products List: Renew Financial will be expanding the list to include more measures that qualify for financing under Section 163.08, F.S. New measures will include appliances and interior window treatments (such as shutters and custom blinds). 3 Page 11
Consumer Complaints Renew Financial tracks consumer complaints. All complaints have been addressed through outreach to the property owner(s) and contractor. Complaints were resolved in an average of 9 calendar days. Renew Financial makes every effort to address and resolve issues quickly. Delays in resolution may occur depending on availability of the parties and degree of the complaint. Resolution resulted in a variety of actions including, but not limited to, additional training of contractor, confirmation of key terms with property owner, withdraw of application at request of property owner, and refund of portion of cost to the property owner by the contractor. Below is a brief summary of complaints: Number of complaints since program launch: 6 Contractors involved in complaints: 3 General categories of complaints: Program Misrepresentation, Workmanship 4 Page 12
Jurisdictional Update The Program is currently being offered in the following jurisdictions: ALACHUA BROWARD (cont d) MARTIN Alachua Archer Gainesville Hawthorne High Springs La Crosse Micanopy Newberry Waldo Unincorporated County BREVARD Parkland* Pembroke Park* Pembroke Pines Plantation* Pompano Beach Sea Ranch Lakes* Southwest Ranches* Sunrise* Tamarac* Weston* West Park* Wilton Manors* Unincorporated County* Unincorporated County Stuart MIAMI-DADE Doral Miami Beach Miami Springs ORANGE Orlando Satellite Beach CHARLOTTE PALM BEACH BROWARD Coconut Creek* Cooper City* Coral Springs* Dania Beach Davie* Deerfield Beach* Hallandale Beach* Hillsboro Beach* Hollywood Lauderdale-by-the-Sea* Lauderdale Lakes* Lauderhill* Lazy Lake* Lighthouse Point* Margate Miramar North Lauderdale* Oakland Park* Unincorporated County ESCAMBIA Unincorporated County Century Pensacola INDIAN RIVER Fellsmere Sebastian LEVY Williston MARION Boynton Beach Delray Beach Lake Worth Lantana Mangonia Park North Palm Beach Tequesta West Palm Beach PASCO Unincorporated County St. Leo Zephyrhills PINELLAS Gulfport Unincorporated County 1 Those jurisdictions denoted with an asterisk became Parties to the Authority through the County s Interlocal Agreement. 2 Please note that with regard to Martin County, Sebastian and Stuart that while they are signed onto the Original ILA, we are currently in extended discussions with these three jurisdictions about signing onto to the updated Second Amended and Restated ILA. Until we finalize these discussions we have verbally agreed not to activate residential PACE in the jurisdictions of Martin County or Sebastian until those discussions have concluded. 5 Page 13
III. Update on Tax Collector Agreements Uniform Collection Agreements are currently in place with the following county Tax Collector s offices: Alachua, Broward, Escambia, Indian River, Orange, Palm Beach, and Pasco. Agreements are currently being negotiated with Brevard, Charlotte, Levy, Marion, Martin, Miami Dade, and Pinellas. IV. Consideration of a Resolution Evidencing the Intent to Enter into the Tax Collector Agreement with Future Parties During negotiations with the Miami Dade County Tax Collector s office on the Tri-Party Collection Agreement (including the Authority, Property Appraiser and Tax Collector), the County requested we provide a Resolution authorizing the Authority to enter into the Agreement. Given that this request may surface again in the future with other local governments, we have provided a broad Resolution authorizing execution of such agreements with all Tax Collectors and Property Appraisers in the future. 6 Page 14
RESOLUTION NO. 2017-01 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY, AUTHORIZING THE CHAIRMAN OF THE BOARD OF SUPERVISORS TO EXECUTE CERTAIN AGREEMENTS WITH COUNTY TAX COLLECTORS AND PROPERTY APPRAISERS; PROVIDING AN EFFECTIVE DATE, AND FOR OTHER PURPOSES. WHEREAS, the Florida Green Finance Authority ( Authority ) is required under Section 197.3632(2), F.S. to enter into written agreements with Property Appraisers and Tax Collectors for the purposes of providing for the reimbursement of administrative costs; and WHEREAS, the Authority has already entered into agreements with several county Tax Collectors (Alachua, Broward, Escambia, Indian River, Orange, Palm Beach, and Pasco) and county Property Appraisers (Palm Beach); and WHEREAS, the Authority s desire to enter into agreements with additional Tax Collectors and Property Appraisers, and to authorize the Chairman to execute such agreements is evidenced by the adoption of this Resolution; and WHEREAS, the Board of Supervisors of the Authority believes that it is in the best interests of the Authority and its member jurisdictions to authorize the Chairman to execute such agreements in the future so that the Authority and its member jurisdictions may benefit from such agreements. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY AS FOLLOWS: SECTION 1. The Board of Supervisors of the Florida Green Finance Authority hereby authorizes the Chairman of the Board of Supervisors to enter into agreements with additional county Tax Collectors and county Property Appraisers as the need arises in order to provide for reimbursement of administrative costs in such counties as the Authority s jurisdiction expands therein. SECTION 2. This Resolution shall become effective immediately upon its passage and adoption. PASSED AND ADOPTED this 2 nd day of March, 2017. FLORIDA GREEN FINANCE AUTHORITY ATTEST: By: David Thatcher, Authority Chairman Todd Wodraska, Authority Secretary Approved as to form and legal sufficiency Keith W. Davis, Authority General Counsel Page 15
RESOLUTION NO. 2017-02 A RESOLUTION OF THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY, AUTHORIZING THE ESTABLISHMENT OF A DISTRICT CHECKING/OPERATING ACCOUNT, DESIGNATING DISTRICT OFFICIALS AND/OR AUTHORIZED STAFF TO REVIEW, APPROVE AND ISSUE PAYMENT OF EXPENDITURES, SELECTING THE SIGNATORIES THEREOF; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, The Florida Green Finance Authority ("District") has established a District checking/operating account in order for the District to expend public funds of the District as authorized and required; and WHEREAS, the Board of Supervisors (the Board ) of the District shall designate authorized staff and/or District officials to approve expenditures, via electronic or non-electronic approval processes, from the checking/operating account; WHEREAS, the Board of the District has selected Todd Wodraska, Jason Pierman, Patricia LasCasas, Lennart Lindahl and to serve as the signatories, as required, on the District checking/operating account; and WHEREAS, all resolutions or parts thereof of the District in conflict with the provisions contained herein are to the extent of any such conflict, hereby superseded and repealed. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF SUPERVISORS OF THE FLORIDA GREEN FINANCE AUTHORITY, AS FOLLOWS: Section 1. Section 2. The above recitals are hereby adopted. Each expenditure from the checking/operating account will require a minimum of two (2) approvals and a designated member of the Board, by an electronic approval procedure, will have an opportunity to review the District s expenditure(s) prior to release of payment(s). Section 3. When necessary to write checks, the signatures of two (2) of the designated signatories named herein will be required on all District checks tendered from the District checking/operating account, as approved. PASSED, ADOPTED and becomes EFFECTIVE this 2 nd day of March, 2017. ATTEST: FLORIDA GREEN FINANCE AUTHORITY By: Secretary/Assistant Secretary By: Chairperson/Vice Chairperson Page 16