The arrangement in an EID is a special district that would require all of those within the area served by a renewable energy project to participate financially or otherwise in a way that is proportionate to their interest in the project EID’s provide the members with the power to ac-quire, install, and operate community scale renewables in a manner that is consistent with exist-ing state public utility laws. Beexist-ing a member within an EID, allows participants to acquire common space and fund and maintain a solar array, wind turbine or what have you. Another op-tion alternative to acquiring common space, would constitute the EID’s themselves purchasing
Wiseman, H. - Brownin, S. Community-Scale Renewable Energy. p171. 4 San Diego J. Climate & Energy L.
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(2013).
See, 70: Wiseman. Community-Scale Renewable Energy. p172
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and maintaining collectively owned individual equipment for rooftops backyards etc. Partici-pants pay into the EID through a tax based on their energy usage, ability to pay, average of prop-erty ownership, number of end users or any similar criteria. EID’s operate under a resident con-trolled district council with the authority to plan and implement energy projects.
Once certified, an EID would be able to obtain start up funding that would go towards the formation of a council which is tasked with putting together community scale renewable projects. The utilization of shared public space such as schools, parks, and buildings, is one of the key criteria for EID projects . Examples of such projects include; “supporting projects to 77 install solar panels on schools and other community institutions, turn brown-fields into solar farms, or develop community-owned wind farms. 2. An EID could make seed capital available to a worker-owned cooperative that conducts energy audits and retrofits for residences, government facilities, community institutions and small businesses. 3. An EID could offer incentives for clean energy companies to locate within its boundaries if they agree to hire locally and pay living wages. 4. An EID could help build the capacity of residents to engage in energy planning and business development through training and technical assistance.” Mandatory aspects of EID takes care of free rider problem as all members are financially contributing to energy upgrades.
modeled on a business problem that addresses the collective action problem, in the land use con-text business improvement districts (BID) over 1000 BID’s in the U.S. working on improvement of aesthetics and security that go beyond what was provided for by the municipality . 78
In regards to the procedure for establishing a BID, city council members must approve plan that is created: once a bid is established a board of directors is elected to oversee the imple-mentation of the plan and all property owners within the territory are members and must pay tax for the upkeep in the area. Any unwilling members may still be forced to pay these taxes but
Giancatarino, Anthony. Energy Investment Districts (EID’s): Policy Concept Paper. Center for Social Inclusion.
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New York, New York. June, 4, 2014.
Indeed, the ability for neighborhoods to allocate their own resources is seen as one of the greatest benefits
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of the BID form. See, e.g., Richard Briffault, The Business Improvement District Comes of Age, 3 DREXEL L.
REv. 19, 22 (2010) ("[Tlhere is great value in an institutional form that allows neighborhoods to raise addi-tional revenue from property owners or businesses within the community to be used to finance programs for and activities within the community, rather than to depend entirely on city hall for public services").
usually have option to object and are given notice before BID is established. In NYC there are currently 64 BIDS and in these districts, government and non-profit owners pay no fees and resi-dents pay lower fees than business owners. The BID legal model could potentially be a very ef-fective institutional non-commercial model for retrofitting buildings in old neighborhoods in what are called, Block-level Improvement Districts. At present, BLID’s are not authorized on a nationwide basis, but it is an interesting concept that some states and municipalities could ex-plore the legal limitations of this model further . In theory both BIDs and BILDs could provide 79 energy resources themselves: Portland But more productive application would be via the creation of EID’s which would deal exclusively with energy and be authorized explicitly to own energy structures and sell energy.
In 2007, the state of Connecticut issued Ordinance 1077 which, authorized any munici-pality within the state to establish an Energy Improvement District whereas the effort is to in-crease the efficiency and reliability of energy sources and further the interests of commerce and industry. This act allows the board (Mayor, and four members which, he appoints 2 serving 2 80 year terms and 2 serving 4 year terms) to determine the location, type size, and construction of the distributed resources in the district and must be approved by municipal, state and federal agencies . Make plans for developing and operating these resources and for coordinating its 81 facilities with public and private agencies.
In regards to the impact that EID boards have on public buildings, the municipality may allow the board to use, maintain, and operate its property. As of March, 2016, the EID board meeting discussed the renovation of light fixtures in Stamford city schools as well as plans for the installation of combined heat and power. Similarly, the EID in Bridgeport, Connecticut met 82 on March, 27, 2012 to discuss plans for the construction of an aerobic digester and cogeneration
Ellickson, Robert C. New Institutions for Old Neighborhoods, 48 DuKE L.J. 75, p. 77-78 (1998).
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City of Stamford, Connecticut. Ordinance Number 1077 Supplemental Amending Chapter 119, Energy Improve
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-ment District. LR28.061, 11.7.2007.
See, 80. Ordinance Number 1077, Section 2.
81
City of Stamford,Connecticut. Energy Improvement District Board Meeting, 15.03.2016. Stamford Virtual Con
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-ference Room.
system at their West side waste water treatment plant. Likewise, in June, 2010, the city of Ore83 -gon in Northwest Ohio established an Energy Special Improvement District (ESID), acting with-in the authority of Senate Bill 232. The pilot project for this ESID consisted of the with-installation 84 of a geothermal heat pump on the city’s local fire station.