Financing Program Summary
The California Pollution Control Financing Authority (CPCFA) provides financial assistance in a variety of forms, including tax exempt bonds for qualifying waste and recycling facilities, grants and loans to clean up contaminated lands, small business loan assistance and tax exempt bonds for certain industrial facilities.
Tax-Exempt Waste/Recycling Bonds
CPCFA provides tax-exempt bond financing for pollution control projects. Their Tax-Exempt Bond Financing Program gives California businesses help with acquisition or construction of qualified pollution control, waste disposal, or recycling facilities, and the acquisition and installation of new equipment. Typically, tax-exempt bond issues exceed $2.5 million.
Brownfields Assessment and Redevelopment:
CPCFA is administering a new $60 million program to provide grants or loans for the cleanup of contaminated property that results in housing. Loans and grants of between $50,000 and $5 million are available. The California Recycle Underutilized Sites (CALReUSE) Program also has loan money available for site assessments.
Small Business Loans
The California Capital Access Program (CalCAP) helps small-business borrowers obtain loans through participating financial institutions. CalCAP contributes to the loan loss reserves of a financial institution, thereby allowing the lender to provide loans to business which might otherwise not be able to obtain financing. While the requirements of the participating lenders can vary, the maximum size of a CalCAP loan is $2.5 million. There is no minimum size and some lenders are providing loans as low as $500.
Industrial Development Bonds
CPCFA provides tax-exempt Industrial Development Bonds for qualified manufacturing and processing companies. CPCFA Industrial Development Bonds that meet statutory and regulatory requirements can be used for a variety of pollution control, solid waste and recycling facilities. Generally, Industrial Development Bonds are issued for projects costing at least $1 million up to a maximum of $10 million. More information on these types of bonds can be found at the California Industrial Development Financing Advisory Commission.