The State has created a $10 million reserve fund to reimburse mortgage lenders. The fund would repay the lenders if people who finance clean energy projects through property tax payments default on their loans.
Evan Westrup with Governor Jerry Brown's office says the Federal Housing Finance Agency prohibited mortgage lenders Freddie Mac and Fannie Mae from accepting additional liens for homeowners who wished to finance PACE projects.
"The main concern of the Federal Government was around the financial liability and potential cost if these properties fell into foreclosure," says Westrup.
Jonathan Gemma is with Aztec Solar in Sacramento. He says solar companies have lost business because mortgage lenders wouldn't agree to additional liens to repay clean energy projects.
"Now if there is this reserve fund in place was able to ease concerns of that mortgage lender that there is some backing to this," he says, "they would allow the PACE financing to go and this opens up the opportunity to more people to be able to finance energy efficient equipment."
Besides solar panels, eligible equipment under the PACE program includes low-flow toilets, insulation, and energy-efficient light fixtures.
The mortgage loss reserve program will be run by the California Alternative Energy and Advanced Transportation Financing Authority.
About 2,000 people are expected to help remove trash along Sacramento's American River Parkway this Saturday. The Great American River Cleanup is part of Coastal Cleanup Day, the state's largest annual volunteer event held in mid-September.
The U.S. Environmental Protection Agency today added an historic Amador County gold mine to the list of the nation's worst toxic sites. Argonaut Mine is located west of downtown Jackson. It operated from the 1850s to the early 1940s.
A new study shows fire-fighting foam containing highly fluorinated chemicals is contaminating drinking water supplies around many of the nation's military bases, airports and industrial sites.
Update 8:00 p.m. Sunday: Crews are making "good progress" on the Cold Fire in Yolo County, now at 60% containment. In Monterey County, the Soberanes Fire remains at 45% containment with wind creating an additional challenge for firefighters.
The Soberanes Fire near Big Sur is burning in a rugged area that hasn't "seen fire in decades." The wildfire is 45 percent contained at 57,500 acres.