Community Decarbonization Fund - Financing for Disadvantaged Community Lenders

Description of goods to services to be bid:

NY Green Bank’s RFP 23 for the Community Decarbonization Fund invites regulated and unregulated financial entities (including but not limited to community development financial institutions (CDFIs), insured credit unions and depository institutions, and not-for-profit corporations that perform lending activities) actively deploying capital into clean energy and sustainable infrastructure and related small businesses that benefit disadvantaged communities (DACs) in New York State to submit proposals for NY Green Bank capital at concessionary rates. Responses will be evaluated on a rolling basis while the solicitation is open. Once NY Green Bank determines that sufficient responses have been received to achieve its intended impact, the solicitation will be closed.  

If changes are made to this solicitation notification will be posted on NYSERDA’s website at:
www.nyserda.ny.gov/funding-opportunities 

Eligible Applicant Criteria
Eligible Applicants must be one of the following:
• A certified Community Development Financial Institution ("CDFI"), including:
? Community Development Banks
? Community Development Credit Unions
? Community Development Loan Funds
? Community Development Venture Capital Funds
• A specialty lender, defined as a non-profit organization or government-charted institution or public housing agency with a mission that includes developing, managing, or investing in:
? Affordable housing solutions;
? Cooperatives;
? Clean energy projects; and
? Contractors
• A for-profit subsidiary of any of the categories listed above, provided that the for-profit subsidiary is operating exclusively in support of the tax-exempt or municipal mission of the parent entity.
Eligible Project Criteria
Eligible Applicants must be able to demonstrate that they lend to Eligible Projects which:

2.2 Eligible Project Criteria
Eligible Applicants must be able to demonstrate that they lend to Eligible Projects which:
1 Provide DAC Benefits:
Eligible Projects are deemed to provide DAC Benefits if they satisfy one or more of the following requirements:
(a) Located in a DAC census tract, as defined under the final rules adopted pursuant to New York State’s Climate Leadership and Community Protection Act of 2019 (“CLCPA” or “Climate Act”).
(b) Not located in a DAC census tract but:
i. Project involves a residential building where at least 50% of the housing units are restricted upon initial occupancy to households making 80% AMI or less via a regulatory agreement with a public agency; or
ii. Project involves a building that has a demonstrable impact on households making 80% AMI or less or a vulnerable population (e.g., a facility that predominantly serves such households such as a Federally Qualified Health Center or a multi-service center operated by a non-profit organization).
2 Are located in NYS;
3 Are focused on interventions that follow an efficiency-first approach (e.g., weatherization, load reduction, etc.) that maximize bill savings, improve comfort, and result in healthy, clean, and resilient buildings and communities with consideration to energy affordability or otherwise contribute to GHG emissions reductions in support of NYS clean energy policies, including the CLCPA; and
4 Utilize an Eligible Technology (see Appendix 2: Eligible Technologies)
Eligible Applicants can demonstrate that they lend to Eligible Projects by having:
• Either (i) a successful track record of delivering capital through the origination of successful, performing loans for buildings, businesses, and projects in DACs or (ii) a detailed and credible plan (consistent with the management team’s experience and capabilities) to develop the capacity to participate in Eligible Project lending;
• Efficiency-first building decarbonization and energy affordability aligned offerings that utilize Eligible Technologies and lead to GHG emissions reductions supportive of CLCPA goals;
• Capacity to participate in Eligible Project lending in NYS; and
• Either (i) a pipeline of forward-looking opportunities of Eligible Projects in New York State or (ii) a detailed and credible plan (consistent with the management team’s experience and capabilities) to develop such a pipeline.