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Falls Church adopts commercial CPACE program to boost private financing for green building upgrades
Summary
The Falls Church City Council voted 7–0 to adopt TO25‑20, a commercial PACE ordinance that lets local property owners access financing through the Virginia PACE Authority for energy and resilience upgrades. Staff said the program shifts approval of individual projects to the authority and will be promoted to eligible commercial owners.
The Falls Church City Council voted unanimously to adopt TO25‑20, establishing a commercial Property Assessed Clean Energy (CPACE) financing program that will let commercial property owners access long‑term capital for energy‑efficiency and other green building improvements through the Virginia PACE Authority.
Kurt Lawrence, the city’s environmental sustainability coordinator, told council the second‑reading staff report mirrors the version heard at the first reading on Dec. 8, 2025, and that the program enables local owners to use the Virginia PACE Authority (VPA) to process and approve projects. "The staff report in front of you today is very similar to the report that was in front of you on first reading on 12/08/2025," Lawrence said during the presentation.
Under the ordinance, property owners and lenders will work with the VPA on project applications and approvals. During council questions staff recommended structuring delinquency enforcement on a project‑by‑project basis and allowing the lender to enforce agreed terms, which staff said avoids unnecessary administrative steps for the city.
No members of the public spoke during the required public hearing. After clarifying questions about how the city will respond if the state changes the CPACE program and on whether the council will receive periodic reporting, Councilmember Schneider moved adoption; Miss Connolly seconded. The clerk recorded a roll‑call vote and the ordinance passed 7–0.
Staff said the Virginia PACE Authority can provide promotional materials and assistance to help the city translate program details for property owners so that eligible commercial buildings are aware of the financing option.
Next steps: City staff will finalize implementation paperwork and coordinate outreach with VPA to inform local property owners and lenders about the new program.
