Business FinancesQuestion 322 of 690

California's PACE (Property Assessed Clean Energy) program allows a property owner to finance energy-efficiency or water-conservation improvements and repay the cost through:

a.A reduction in the contractor's license bond
b.A deduction from the contractor's payroll taxes
c.An assessment added to the owner's property tax bill
d.A grant that never has to be repaid

Explanation

Under a PACE program, the financing for qualifying efficiency improvements is repaid as a special assessment on the property owner's annual property tax bill. It is governed by the California Financial Code, not by a grant.

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