LoanSTAR Revolving Loan Program

Background
The Texas Comptroller of Public Accounts administers the LoanSTAR (Saving Taxes and Resources) Revolving Loan Program through its State Energy Conservation Office. The program finances energy-related cost-reduction retrofits for eligible public sector institutions. Low interest rate loans are provided to assist those institutions in financing their energy-related cost reduction efforts.
The program’s revolving loan mechanism allows a Successful Applicant (hereinafter also referred to as a “Borrower”) to repay loans through the stream of energy cost savings realized from the projects.

Work Details
The program allows applications to be submitted from the time of issuance until Aug. 30, 2024. Eligible public sector institutions include state agencies, public junior colleges, institutions of higher education, units of local government, public school districts, or political subdivisions of the state of Texas.
Projects funded under the LoanSTAR Revolving Loan Program may be implemented using Design-Build, Design-Bid-Build, energy savings performance contracts (“ESPCs”) or Commissioning approaches. Projects must have a composite simple payback of fifteen (15) years or less.
Utility dollar savings are the number one criterion for determining if the measure can be considered an eligible utility cost reduction measure (UCRM). Examples of acceptable projects include building and mechanical system commissioning and optimization, energy management systems and equipment control automation, high-efficiency heating, ventilation and air conditioning systems, high-efficiency lighting fixtures and lamps, building shell improvements, load management projects, energy recovery systems, low-flow plumbing fixtures, high efficiency pumps, renewable energy efficiency projects such as installation of distributed technology like rooftop solar water and space heating systems.

Period of Performance
Applications may be submitted anytime during the open enrollment period until Aug. 30, 2024.