DBRS Finalizes U.S. PACE Securitizations Methodology, PACE Exhibits to Operational Risk Assessment for U.S. ABS Servicers & Originators and the Appendix to Master U.S. ABS Surveillance Methodology

DBRS, Inc. (DBRS) has today finalized the methodologies it will use to rate and monitor U.S. Property Assessed Clean Energy (PACE) securitizations. The following methodologies have been finalized following the conclusion of the Request for Comment period on September 8, 2015:

-- A new methodology, “Rating U.S. Property Assessed Clean Energy (PACE) Securitizations” (the Methodology). The Methodology provides an analytical framework for reviewing PACE securitizations in the United States.
-- The PACE Exhibits to the existing “U.S. Operational Risk Assessment for ABS Servicers” and “U.S. Operational Risk Assessment for ABS Originators.”
-- The PACE Appendix to the existing “DBRS Master U.S. ABS Surveillance Methodology.”

No comments were received during the comment period and therefore the final versions contain no changes to the initial versions of the methodologies.

The Methodology provides a discussion of the following:

-- Industry overview,
-- Collateral description,
-- Legal considerations,
-- Typical PACE origination and servicing practices,
-- Collateral analysis,
-- Transaction capital structure,
-- Cash flow analysis and
-- Legal structure and opinions.

DBRS criteria and methodologies are publicly available on its website www.dbrs.com under Methodologies.