Lawyers may get involved in drafting documents for financing community solar, on a project or subscriber level. This section provides model agreements for a loan from a municipal utility to subscribers to cover most of the customer subscription fee for the solar project.
The loan by the municipal utility is used to pay for the community solar project Customer Subscription Fee, subject to a $67 down payment per panel purchased. The term of the loan is not specified in the model agreement. Interest is assessed at 4% annually. Annual installments of principal and interest are added as a special charge to the borrower’s real estate tax statement. Documents provide a Loan Application, Loan Agreement, and Promissory Note.