ARIZONA HOUSE OF REPRESENTATIVES

Fifty-sixth Legislature

Second Regular Session

HB 2281: solar royalties fund; county residents

Sponsor: Representative Biasiucci, LD 30

Committee on Natural Resources, Energy & Water

Overview

Requires each county Board of Supervisors (BOS) to establish a County Resident Solar Royalties Fund (Fund).

History

Counties are required to adopt the standards for issuing permits for the use of certain solar energy devices. Various specifications must be met depending on if the solar energy device is used for: 1) construction with solar photovoltaic systems that are intended to connect to a utility system; or 2) solar water heating systems (A.R.S. § 11-323).

Provisions

1. Requires the BOS of each county to establish a Fund to be administered by the county treasurer. (Sec. 1)

2. States that the Fund will be funded by each owner or operator of a solar panel in that county whose solar panel:

a) is located in the relevant county; and

b) is not:

i. owned by a public service corporation that is regulated by the Arizona Corporation Commission (ACC) or by a public power entity that has service territory in Arizona; and

ii. subject wholly to an exclusive power purchase agreement with either a public service corporation regulated by the ACC or a public power entity that has service territory in Arizona. (Sec. 1)

3. Requires the private owner or operator of a solar panel not owned by a public service corporation to pay the county where the solar panel is located 12.5% of every $1 that is received in revenues from the sale of kilowatt-hours from the solar panel. (Sec. 1)

4. Specifies these monies must be deposited in the Fund. (Sec. 1)

5. Requires the county treasurer to:

a) determine the total amount of monies in the Fund and the total number of qualified individuals who live in the county;

b) use monies in the Fund for administrative costs that do not exceed 10% of the monies in the Fund;

c) pay, by check, each qualified resident of the county an equal distribution of the total amount of monies available in the Fund, after administrative costs are paid. (Sec. 1)

6. States that the requirements of the Fund do not apply to solar panels that:

a) produce power for only on-site use by a commercial or industrial user;

b) does not export power to the grid; or

c) is a rooftop solar power system, regardless of whether the system exports power to the grid. (Sec. 1)

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g) HB 2281

h) Initials EB Page 0 Natural Resources, Energy & Water

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