We've been hearing a lot about Property-Assessed Clean Energy (PACE), and Green Home Energy Programs Local governments and non-profits have been holding workshops to explain it all and I attended one recently. The idea sounds great -- jump-start the green economy with solar panel installations that provide meaningful jobs for at-risk youth plus new careers for seasoned employees in transition. Vocational colleges have popped up to offer classes in connection with the Solar Living Institute, Building Performance Institute and other non-profits. Some people can even get financial aid that covers the entire training.
So what's the controversy? There are several concerns.
FUNDING The proposed funding for PACE projects would have come from selling bonds, which would be paid off through special tax assessments for the homes on which the panels were installed. These assessments would run with the land, not with the owner. That means you could borrow the money to install solar panels and sell the house before you paid them off. The next owner would just finish paying for them. This approach is commonly used for municipal improvements, like streets. But that puts another creditor in line ahead of all the lenders. And panels on your home do not constitute a municipal improvement. Nice Try! Unfortunately, Fannie Mae and Freddie Mac have advised against granting loans on homes encumbered by PACE assessments. As a result, most PACE programs are now on hold, and some of the training is on hold as well.
TRAINING It should be called Green Job (singular) Training, because it's so narrowly focused on solar PV installation. In states like California, where solar PV doesn't really pencil out, it's hard to make sense of that approach -- especially in this economic environment. In addition, the training lasts about 5 weeks but does not count toward or prepare trainees for taking the state contractor's license test. To do this work, you must have a contractor's license or work for a company that has one.
EMPLOYMENT Another controversy is over how many trainees will be gainfully employed doing PV installation. A speaker from a well-known solar installation firm said his company looks for people with building trades experience. Unless forced to do otherwise, these companies will probably just hire the construction pros who are out of work right now -- people who are over-qualified for these particular jobs. But there is still hope -- if cities adopt plans like Richmond implemented, and require these jobs be given to their own at-risk youth and displaced workers who need retraining.
TAKE ACTION We must write letters and talk to our county and city representatives, and ask them to follow Richmond's example. Otherwise, the green jobs we think will provide hope for our at-risk youth and people whose jobs were sent offshore -- those green jobs will be a long time coming.











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