The Mortgagee must:
- review each Property at the time of foreclosure referral to determine if the Property is encumbered with a Property Assessed Clean Energy (PACE) obligation;
- confirm that any identified PACE obligation may only become subject to an enforceable claim (i.e., a lien) for delinquent regularly scheduled PACE special assessment payments and otherwise complies with the eligibility and acceptability criteria for Properties with a PACE obligation. See the Property Eligibility and Acceptability Criteria (Section II.A.1.b.iv(A)(6)) in Handbook 4000.1; and
- contact the HUD National Servicing Center for guidance if a noncompliant PACE obligation is identified.
Additional questions may be directed to the HUD National Servicing Center at (877) 622-8525.
For policy information see Handbook 4000.1 III.A.2.t.i(H) available at: https://www.hud.gov/program_offices/administration/hudclips/handbooks/hsgh