Explanation
BACKGROUND: This ordinance authorizes the Finance and Management Director to modify a not-for-profit service contract with the Columbus Region Green Fund to amend the Scope of Services by expanding the financing services provided and to extend the contract until funds are expended.
The Columbus Region Green Fund (“The Fund”) is a 501(c)(3) nonprofit and dedicated finance entity that uses innovative financing techniques to connect clean energy and energy efficiency projects in the Columbus Region with low-cost capital.
The Fund supports growth of the clean energy and energy efficiency industry by providing access to commercial, public and philanthropic capital to finance energy projects that would otherwise struggle to secure capital. Additional financing services that help secure capital for clean energy generation and storage assets and energy efficiency improvements for both residential and commercial projects will include but are not limited to clean energy technology solutions, clean energy storage solutions (including battery storage), energy efficient improvements in new construction and retrofit projects, and high energy efficient improvements in new construction and retrofit projects.
No additional funds shall be expended under this modification. The addition of these financing services will best position community sustainability impact in a rapidly shifting Federal environment that has new priorities and limited funding availability, which was not anticipated at the time of the contract award. The Fund was created to be an innovative and impactful energy financing organization, and it is in the best interest of the City and our community to efficiently evolve the offerings of the Fund to position Columbus for success and economic prosperity. These additional services align with current community projects that would be cost prohibitive or unavailable elsewhere.
The City released its first-ever Columbus Climate Action Plan, our community roadmap for achieving carbon neutrality by 2050, a 45% reduction in emissions by 2030, and imparting environmental justice. In order to achieve these ambitious goals, financial barriers in the local clean energy market need addressed. To tackle this issue, the Columbus Region Green Fund was created to address these financial barriers, while becoming a new equitable lever for funding to address key strategies within the Columbus Climate Action Plan. These services additionally support the City’s strategic roadmap and housing and prosperity goals.
FISCAL IMPACT: This ordinance authorizes the modification of the not-for-profit service contract authorized by ordinance 3462-2022 and does not authorize any additional funds.
EMERGENCY DESIGNATION: This ordinance is being submitted as an emergency in order to prevent a lapse in financing for community energy efficiency projects that support the City’s affordable housing and sustainability needs, utilize Federal tax incentives that are ending in 2025 as well as extend the contract before its December 31, 2025, expiration.
Title
To authorize the Director of the Department of Finance and Management to modify a not-for-profit service contract with the Columbus Region Green Fund for implementation of additional energy saving services; to extend the not-for-profit service contract with the Columbus Region Green Fund until funds are expended; and to declare an emergency. ($0.00)
Body
WHEREAS, Columbus Region Green Fund is a 501(c)(3) nonprofit dedicated to use of innovative financing techniques to connect clean energy and energy efficiency projects in the Columbus Region with low-cost capital; and
WHEREAS, the Columbus Region Green Fund provides financing services for projects that support the sustainability, housing and prosperity goals of the City of Columbus; and
WHEREAS, Columbus Region Green Fund will expand its service offerings to best support community goals and to assist in attracting additional capital investment; and
WHEREAS, the current contract expires December 31, 2025 and requires any undisbursed funds to be returned to the City within ten (10) business days of completion or termination of the contract and the City wishes to continue services with the Columbus Region Green Fund using the previously appropriated funding; and
WHEREAS, an emergency exists in the usual daily operation of the Department of Finance and Management in that it is immediately necessary to authorize the Director to modify a not-for-profit service contract with Columbus Region Green Fund, without delay to prevent a lapse in financing for community energy efficiency projects that support the City’s affordable housing and sustainability needs and utilize Federal tax incentives that are ending in 2025 as the current contract expires December 31, 2025, all for the immediate preservation of the public health, peace, property, safety and welfare; and NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS, OHIO:
SECTION 1. That the Director of the Department of Finance and Management is hereby authorized to modify the not-for-profit service contract with Columbus Region Green Fund authorized by ordinance 3462-2022 to expand services and extend the contract length.
SECTION 2. That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this Ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.