Virgin Islands Buys #BD-26-270-2702-3392

VIEO seeks a lending partner for subsidized residential energy-efficiency loans

The U.S. Virgin Islands is seeking a financial institution to help homeowners finance energy-efficiency improvements through subsidized loans. - Government buyer: Government of the U.S. Virgin Islands, through the Virgin Islands Energy Office (VIEO), Office of the Energy Efficiency Program Director; solicitation administered by the Department of Property and Procurement. - OEMs and vendors: No OEMs or individual vendors are named. Eligible lending partners include banks, credit unions, and Community Development Financial Institutions (CDFIs); energy audits may be conducted by VIEO or an approved third-party vendor. - Requested services: One lending partnership to originate, underwrite, and service residential energy-efficiency loans; collect payments, manage delinquencies, coordinate eligibility checks with VIEO, and report loan performance. The program also provides certified energy audits, including fully subsidized audits for qualifying low-income households. - Loan parameters: Expected loans are $5,000–$50,000 per project, with terms up to 15 years. VIEO will make a lump-sum interest-rate buy-down payment intended to reduce the borrower’s rate to 4%; alternate buy-down approaches may be proposed for VIEO approval. - Eligible work and requirements: Improvements must be recommended by a certified energy audit and be life-cycle cost-effective. Examples include insulation and air sealing, efficient HVAC and heat-pump water heaters, smart thermostats, energy-management systems, lighting and appliance upgrades, indoor-air-quality improvements, and resilience measures. Solar or photovoltaic systems qualify only when paired with storage or designed to operate during grid outages. Borrowers must meet program requirements, including U.S. Virgin Islands residency and home ownership. - Program funding: The DOE-funded program totals $576,170, with at least $373,553 allocated for lender interest-rate reductions, up to $144,000 for audit subsidies, and up to $57,617 for administration. These are program allocations, not a stated guaranteed contract value. - Selection considerations: Proposals will be assessed on lending experience, proposed rates and terms, underwriting, ability to implement the buy-down, reporting capability, qualifications, approach, references, and cost.

Description

The Virgin Islands Energy Office seeks proposals from qualified banks, credit unions, and Community Development Financial Institutions to partner in its Energy Efficiency Revolving Loan Fund Interest Rate Buy Down Program. The selected lender will originate and service loans for eligible residential energy-efficiency projects, while VIEO makes lump-sum payments to reduce borrowers’ interest rates. Anticipated loan amounts are $5,000 to $50,000 per project, with loan terms up to 15 years. The solicitation identifies at least $373,553 for interest-rate reduction payments; proposals will be evaluated on factors including lending experience, proposed terms, underwriting, implementation, and reporting capabilities.

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