There are a variety of projects that are perfect for municipal lease financing!

HVAC systems: The primary purpose of heating, ventilation, and air conditioning (HVAC) systems in commercial buildings is occupant comfort and productivity. But a new report finds that the objective of most changes to HVAC systems in the next five years will be to dramatically decrease energy cost. Because of rising energy prices and the drive to reduce greenhouse gas (GHG) emissions, municipalities are now managing energy costs as potential assets or found savings, rather than a fixed cost. And of course the equipment and technology options are multiplying as well!  More details >

Energy-efficient lighting systems: Wide use of energy efficient lighting technologies are already in use today, leading to huge energy savings for many municipalities. A range of government incentives and other programs currently exist to encourage lighting retrofits in many types of buildings such as municipal offices and schools, as well as to lead planners to spec efficient lighting in new building projects.  More details >

Monitoring and control technology: Today's 'Smart' technology expertly manages large HVAC Systems for big cost savings and reduced demand during off-peak times. Your on-site staff can control HVAC functions with easy to use and customize features, which allow for high-efficiency comfort, reduced equipment service and operating costs.  More details >

Energy-efficient fleet vehicles: Municipal car fleets, public transport and school buses, and energy-efficient clean-diesel heavy duty vehicles. These are just a few of the ever-growing number of applications currently in wide use. These are vehicles that are on the road today, helping communities achieve some important goals such as dramatic fuel savings, long-term reliability, and reduced emissions.  More details >

Energy production and cogen facilities: America is already a success story for cogeneration resulting in dramatic savings for schools and municipalities. Cogeneration (cogen), or combined heat and power (CHP), is the simultaneous production of electricity and useful heat from the same fuel or energy. Facilities with cogen systems use them to produce electricity, and use the waste heat for process steam, hot water heating, space heating, and other thermal needs. Fuels commonly used in cogeneration include natural gas, oil, diesel fuel, propane, coal, wood, wood-waste and biomass.  More details >

Municipal services and infrastructure improvements: Tight budgets shouldn't stop your district from improving it's energy infrastructure. MLC lease financing can help you modernize your power network, plants, and distribution system; gas pipelines, storage and distribution terminals; steam or hot water production; and distribution networks for district heating systems. MLC can even help you finance fueling stations for your green car and bus fleet and heavy duty vehicles, including clean natural gas (CNG), biodiesel, E85 ethanol, and electric vehicle charging stations.  More details >

Energy-efficient building upgrades: A professional energy audit by a company such as TRANE can identify areas where you can cut utility costs with guaranteed savings. Those guaranteed savings can then be used to secure lease finance funding for the necessary improvements. Examples include upgraded interior and exterior lighting; modern HVAC systems and control tech; energy-efficient windows, doors, roofing, and supplemental insulation; and installing newer, more efficient plumbing systems.  More details >

Here are some of the great benefits and advantages of MLC lease financing:

Powerful Leverage: Annual appropriations can be disbursed today, dollar-for-dollar, or can be "leveraged" by 3, 4 or 5 times when the same amount is allocated to lease payments! For example: A $25,000 budget appropriation, may provide enough "buying power" to place $100,000–125,000 of new equipment into service, today!

The equipment and technology you need — NOW! All of the equipment is delivered quickly and your vendor is paid upon the contract closing. But the best part is, the repayment amounts are spread over multiple payment/budget periods that you select. Our leases have no residual; your school, district, or municipality owns the equipment from the day it is delivered. Further, "the lease" can be paid off, in full at any time, re-financed at a future date (with future bond issue proceeds, or when other grant funds are received, for example), or terminated in the event funds are not appropriated.

Protect existing borrowing capacity. A municipal lease is not considered debt. So you can conserve your available capital, minimize your lease deposit and get the low payments that fit your current budget situation.

Quicker and easier other forms of public debt. Significantly faster and less complicated, much less expensive, with a streamlined approval process. Documentation is straightforward and only a one-page application is required for transactions under $100,000. Most leases are approved in one day, signed and finalized within one week. Compare this to a bond issue or other forms of public debt... a process which can seem to drag on forever!

A lease is not treated as debt. Nor does a municipal lease contribute to your debt ceiling. The obligation is a current expense subject to the annual appropriation of funds. Because of the inclusion of "non-appropriation" language in the lease, payments are treated as current operating expenses. This is not "public debt," in most states. And unlike public debt, municipal lease financing does not require voter approval.

Leases Vs. Bonds: A very big difference! Funds provided by bonds are guaranteed by the "full faith and credit" of your city and must be paid back, unlike municipal leases which are subject to the annual appropriation of funds. A bond issuer (city) guarantees to pay back the bond "ad velorem." A bond issuer guarantees to collect additional taxes if necessary, to make each and every bond payment to the bondholders — that guarantee is backed by the real and personal property of every resident — a bond obligation has the ability to "reach into the pocket" of each and every taxpayer in the jurisdiction should the budget ever come up short. That's one of the reasons bonds require public referendums, extensive legal reviews and "mountains" of paperwork.

100% Financing. No cash down payment is required with a municipal lease.

Cash flow friendly. Municipal leasing matches the cost of new equipment with the benefits and/or saving associated with that equipment, over a period of years. Why pay in advance with lump sum payments out of any single appropriation?

Deferred payment options. Take delivery now, pay the vendor now with leases payments commencing at your next fiscal/budget period.

Unmatched Flexibility. Pick your own payment schedule-Monthly, Quarterly, Semi-Annually or Annually, in advance or arrears.

Overcome capital budgeting restrictions/freezes!Today, even some of the most financially healthy municipalities are facing "freezes." Equipment acquired under municipal leases is generally treated as operating expenses, rather than capital expenses.

Protecting Equipment from Obsolescence: Trade-in, add-on, and upgrade capabilities can be written into a lease. Also, more than one vendor may be processed on a single lease agreement.

Excellent Tax Advantages:Depending on the option at lease-end, you may be able to expense 100% of the monthly lease payments or capitalize and depreciate the equipment.

As a proud part of MLC's ENERGY STAR partnership we have committed to:

• Measure, track, and benchmark energy performance and help our clients improve their overall energy efficiency while reducing energy-based operating costs.
  
  
• Develop and implement a plan to improve energy performance, adopting the ENERGY STAR strategy to secure and implement proven energy-efficient and cost-effective technology and equipment.
  
  
• Together with our energy audit partners, recommend, specify, secure leasing financing for, and deliver the right equipment and technology for our client's needs and budgetary situation.
  
  
• Educate the entire MLC staff and the public about our partnership and our achievements with ENERGY STAR, with the goal of bringing our successful solutions to more communities.
  
  
• Contact our municipal leasing solutions team today to discuss your upcoming project.

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