Low-Interest Solar and Energy Storage Loan Program

The City of Pasadena, through Pasadena Water and Power (PWP), is requesting proposals from qualified local banks and credit unions to design and administer a Low-Interest Solar and Energy Storage Loan Program under RFP, with proposals due August 21, 2026, and questions due August 10, 2026 at 3:00 p.m. Proposers must maintain physical branch locations in Los Angeles County — a core eligibility filter.

The program targets low-income PWP residential electric customers enrolled in Electric Utility Assistance Programs (EUAP, CARES, CARES Plus, LIHEAP), financing solar photovoltaic systems and energy storage/battery systems with maximum principal loan amounts of $65,000 per customer and repayment terms between 10 and 15 years. PWP will subsidize interest rates through Public Benefit Fund buydowns to achieve a target range of 0% to 3% APR. The selected bank or credit union must originate and service loans while PWP provides the buydown subsidy. Proposers must submit detailed financial models demonstrating how buydowns achieve target rates across five credit tiers (Exceptional, Excellent, Good, Fair, Sub-580/Alternative Metrics) and itemize administrative fees and marketing budgets separately. An optional component encourages proposers to present similar loan offerings for PWP's regular, non-low-income customers.

The Public Benefit Fund allocation is $3 million over the initial three-year period, with PWP's goal to fund 175 customer loans. The contract term is three years from execution, with two optional one-year extension periods subject to City Manager approval. Technical proposals are limited to 50 pages (12-point font, standard 8"×11" pages) and must be submitted separately from price proposals through the City's eProcurement portal.

Evaluation criteria are weighted as follows: Organizational Capability and Experience (15%), Loan Program Administration and Underwriting (20%), Buydown Mechanism and Financial Model Efficiency (20%), Data Security, Portal Interface, and Reporting (15%), Cost Proposal (20%), Local Pasadena Business preference (5%), and Small/Micro-Business certification (5%). Proposers must complete a Relevant Experience Form documenting five prior projects, comply with the Pasadena Living Wage Ordinance and Equal Employment Opportunity requirements, provide a Unique Entity Identifier (UEI) from SAM.gov, and submit conflict-of-interest and disqualification disclosures under California Public Contract Code Section 10162.