HB 2618
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ARIZONA HOUSE OF REPRESENTATIVES
Fifty-sixth Legislature
First Regular Session
House: NREW DP 6-2-1-1
HB 2618: decommissioning; solar and wind; standards
Sponsor: Representative Griffin, LD 19
House Engrossed
Overview
Requires county approval for permits to install solar or wind energy power plants and outlines
requirements for the plant's location, site preparation, financial assurances, liability insurance,
repairing damage to the plant, decommissioning the plant and transferring or selling the plant.
History
Counties may form planning and zoning commissions to plan for land uses within the county.
Districts may be zoned for various classes of residential, business and industrial uses.
Additionally, county zoning ordinances must take into account access to incident solar energy
(A.R.S. § 11-811).
A county board of supervisors may adopt a comprehensive plan to guide and coordinate
development within the county. For counties with more than 125,000 people, these plans must
include consideration for access to incident solar energy for all general categories of land uses.
The comprehensive plans for counties with fewer than 125,000 people are not required to include
this consideration (A.R.S. § 11-804).
A county building permit is required for any major construction or additions that occur outside of
the boundaries of municipalities with building permit ordinances. In particular, counties must adopt
certain standards for issuing permits to build solar panel systems that will connect to a utility
system. These standards require:
1) The system's location to be indicated on the construction plans, including the roof plan
and elevation;
2) The panel mounting details be included in the installation plans;
3) Electrical diagrams with one-line and three-line diagrams; and
4) A cutsheet and listing for inverters when conversions from direct current to alternating
current occur.
A county may not require a professional engineer's stamp for a solar panel system unless the
county deems it necessary (A.R.S. §§ 11-321 and 11-323).
Provisions
Local Government Requirements (Sec. 1)
1. Authorizes a county, city or town to adopt zoning standards, site specific conditions and
permitting requirements and procedures for solar energy power plants and wind energy power
plants within its jurisdiction.
2. Directs an applicant for a solar energy power plant or wind energy power plant to comply with
the procedures adopted by the county, city or town where the plant will be located.
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Transfer and Sale (Sec. 1)
3. Prohibits the transfer of a solar or wind energy power plant or special use permit or the sale
of the entity owning the plant without written acceptance by the transferee of the obligations
required under this act.
4. Specifies that the transfer or sale does not eliminate the applicant's liability or responsibility
(or that of any other party) for acts or omissions occurring before transfer or sale.
5. Authorizes a city, town or county to reassess the amount of financial assurance required when
a transfer of unit ownership occurs and directs the plant owner or operator to reimburse any
reasonable costs incurred by the city, town or county to obtain the reassessment.
Curing Damage and Cessation of Use (Sec. 1)
6. Directs the solar or wind energy power plant owner or operator to cure any damage or
deficiency within 90 days of written notice from the city, town or county if any part of the plant
is damaged or violates a permit condition.
7. Requires, if it is not possible for the owner or operator to cure the damage or deficiency within
90 days of receiving the notice, to provide the city, town or county with a plan to cure the
damage or deficiency as soon as reasonably possible.
8. Instructs the applicant or any successors or assigns to remove the solar or wind energy power
plant and restore the site at its own expense (consistent with a decommissioning and site
restoration plan) if the plant remains continuously nonfunctional or inoperative of over a year.
9. Requires, if it is not possible for the owner or operator to restore the plant to operation within
a year, to provide the city, town or county with a plan to restore the plant as soon as reasonably
possible.
10. States that these requirements apply to a solar or wind energy power plant that began
commercial operations before, on or after this act's effective date.
Decommissioning and Site Restoration Plan (Sec. 1)
11. Requires a solar or wind energy power plant owner or operator to include a decommissioning
and site restoration plan.
12. Mandates the decommissioning and site restoration plan indicate how the solar or wind energy
power plant will be decommissioned and include:
a) An estimate of the decommissioning and restoration costs, net salvage value;
b) Financial resources that will be used for the decommissioning and restoration and
c) Appropriate financial assurances.
13. Directs a solar or wind energy power plant owner or operator to remove the plant and restore
the site as prescribed by this act unless the city, town or county determines that a required
provision is unnecessary.
14. Requires the removal of a solar or wind energy power plant include all above ground
components and comply with certain criteria, including that the removal must be completed
within 18 months unless otherwise approved by the city, town or county.
15. Prescribes requirements for site restoration including:
a) Minimizing ground disturbance and restoring the original ground contours, if possible;
b) Reasonably restoring and re-establishing disturbed on-site soils and vegetation using
native seed mix and appropriate soil nutrients;
c) Restoring paved roads to their original condition;
d) Allowing access roads, fencing, drainage improvements and other minor improvements to
remain with the landowner's consent; and HB 2618
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e) Removing and remediating any hazardous materials.
16. Authorizes the county to enter the site after providing reasonable notice to the property owner
to complete the decommissioning plan.
17. Requires, after the solar or wind energy power plant owner or operator completes
decommissioning and site restoration:
a) The owner or operator to notify the city, town or county within 30 days after the date when
the decommissioning and restoration is complete and
b) The city, town or county to certify to the owner or operator that decommissioning and site
restoration is complete within 30 days after receiving this notice.
18. States that after a city, town or county certifies that decommissioning and site restoration are
complete:
a) The owner or operator is released from any obligation prescribed by this act and
b) The city, town or county must return or release any remaining financial assurance.
19. Clarifies that these decommissioning and site restoration requirements apply to a solar or
wind energy power plant that began commercial operations before, on or after this act's
effective date.
Financial Assurance (Sec. 1)
20. Requires the plant owner or operator to continuously maintain financial assurance, which
includes a bond or parent guarantee, starting on a date determined by a city, town or county.
21. Specifies that the amount of this financial assurance must be equal to the cost to
decommission and restore the site of a solar or wind energy power plant, net salvage value,
as determined by the city, town or county.
22. Instructs the owner or operator to update this cost estimate every 10 years.
23. Allows the county to use the financial assurance for the costs of correcting other acts of
noncompliance associated with this act's requirements.
24. Requires, if the solar or wind energy power plant is sold to a public service corporation, the
plant's owner to notify the city, town or county.
25. Directs the city, town or county, within 15 days of receiving this notice, to waive the financial
assurance requirements and return or release any financial assurance provided back to the
plant owner.
26. Specifies that these financial assurance requirements apply to a solar or wind energy power
plant that began commercial operations before, on or after this act's effective date.
Liability Insurance (Sec. 1)
27. Requires the solar or wind energy power plant owner or operator to maintain an insurance
policy that includes coverage of any reasonable liability of the city, town or county where the
plant is located related to the plant's construction or operation.
28. Requires the solar or wind energy power plant owner or operator to immediately provide
written notice of any change in the insurance policy to the city, town or county.
29. States that these liability insurance requirements apply to a solar or wind energy power plant
that began commercial operations before, on or after this act's effective date.