Psst, units of local government! If you can save energy, Kane County can save you a healthy chunk of money.
Kane County has $3,089,684 in unused Qualified Energy Conservation Bonds — and its making that volume cap allocation available to units of local government within Kane County for qualified projects. Examples of eligible projects include — but are not limited to — the following:
- Governmental projects, including capital projects in publicly owned buildings and facilities that reduce energy consumption by at least 20 percent.
- “Green community programs” that meet IRS Revenue Code requirements.
- Mass commuting facilities and related facilities that reduce the consumption of energy.
- Specific initiatives that support energy conservation as outlined in IRS Revenue Code.
- Public education campaigns to promote energy efficiency.
Greater detail on qualifying projects can be found in the IRS Revenue Code.
There are two types of QECB’s: those that provide a “tax credit” to the bond owners and those that provide a “direct pay subsidy” to the bond issuers.
Owners of QECB’s that provide a “tax credit” will earn a federal tax credit instead of a portion of interest payable on the bonds. Issuers of QECB’s that provide “direct pay subsidies” will earn a rebate from the U.S. Treasury Department of 70 percent of the interest paid to the bondholders.
If you have an interest in the QECB program, please make a formal request in writing to:
Joe Onzick, Executive Director of Finance, Kane County Government Center, 719 S. Batavia Ave., Geneva, IL 60134. Onzick can be reached at 630-208-5113 or firstname.lastname@example.org.
Please include in your request the amount of QECB allocation needed, along with a brief outline of the details of your project and how it meets the requirements of a qualified QECB project as supported by the written opinion of qualified bond counsel.
The eligible issuer will assume all liability as bond issuer and will be required to meet the requirements of the QECB program as outlined in the IRS Revenue Code.
All requests will be considered on a first-come-first-served basis until the county’s QECB allocation of $3,089,684 is depleted. Each allocation will require Board approval of an Ordinance that will cede all or a portion of the County’s QECB allocation to the eligible requestor(s). Please consult your bond counsel, underwriter, or financial advisor for further guidance and information on the QECB program.
SOURCE: Kane County Finance Department press release