Going green: Galt?

Just south of Sacramento is conservative Central Valley Galt. It is challenged with nearly 20% of the population under the poverty line and median income for a household in the city was $45,052 according to the 2000 census. Yet Galt may be going green using the Berkeley financing approach:

Here's how the Galt plan would work:

• Residents sign up for solar panels or other improvements, such as double-pane windows or efficient air conditioners.

• The city sells bonds and pays for the installation, taking bids from contractors and overseeing the construction.

• Residents pay back the debt over a period of up to 20 years.

The mayor says advantages are:

• The city can finance solar panels cheaper than residents, who, if they take out a loan, pay high interest rates.

• If a homeowner installs solar but moves in five or 10 years, the panels stay with the house and the next owner assumes the debt.

• Grants could allow the city to operate the program without using any general fund money.