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General Assembly Substitute Bill No. 6106
January Session, 2021
AN ACT CONCERNING TH E PROPERTY TAX EXEMP TION FOR
CERTAIN RENEWABLE EN ERGY SOURCES AND NON RESIDENTIAL
HYDROPOWER FACILITIE S.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:
Section 1. Subdivision (57) of section 12-81 of the general statutes is 1
repealed and the following is substituted in lieu thereof (Effective October 2
1, 2021, and applicable to assessment years commencing on or after October 1, 3
2021): 4
(57) (A) (i) Any Class I renewable energy source, as defined in section 5
16-1, or hydropower facility described in subdivision (21) of subsection 6
(a) of section 16-1, installed for the generation of electricity where such 7
electricity is intended for private residential use or on a farm, as defined 8
in subsection (q) of section 1-1, provided (I) such installation occurs on 9
or after October 1, 2007, [and further provided] (II) the estimated annual 10
production of such source or facility does not exceed the estimated 11
annual load for the location where such source or facility is located, 12
where such load and production are estimated as of the date of 13
installation of the source or facility as indicated in the written 14
application filed pursuant to subparagraph (F) of this subdivision, and 15
(III) such installation is for a single family dwelling, a multifamily 16
dwelling consisting of two to four units or a farm; [,] (ii) any passive or 17
active solar water or space heating system; [,] or (iii) any geothermal 18 Substitute Bill No. 6106
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energy resource. In the case of clause (i) of this subparagraph, the 19
utilization of or participation in any net metering or tariff policy or 20
program implemented by the state or ownership of such source or 21
facility by a party other than the owner of the real property upon which 22
such source or facility is installed shall not disqualify such source or 23
facility from exemption pursuant to this section. In the case of clause (ii) 24
or (iii) of this subparagraph, such exemption shall apply only to the 25
amount by which the assessed valuation of the real property equipped 26
with such system or resource exceeds the assessed valuation of such real 27
property equipped with the conventional portion of the system or 28
resource; 29
(B) For assessment years commencing on and after October 1, 2013, 30
any Class I renewable energy source, as defined in section 16-1, 31
hydropower facility described in subdivision (21) of subsection (a) of 32
section 16-1, or solar thermal or geothermal renewable energy source, 33
installed for generation or displacement of energy, provided (i) such 34
installation occurs on or after January 1, 2010, (ii) such installation is for 35
commercial or industrial purposes, (iii) the nameplate capacity of such 36
source or facility does not exceed the load for the location where such 37
generation or displacement is located, and (iv) such source or facility is 38
located in a distressed municipality, as defined in section 32-9p, with a 39
population between one hundred twenty-five thousand and one 40
hundred thirty-five thousand; 41
(C) For assessment years commencing on and after October 1, 2013, 42
any municipality may, upon approval by its legislative body or in any 43
town in which the legislative body is a town meeting, by the board of 44
selectmen, abate up to one hundred per cent of property tax for any 45
Class I renewable energy source, as defined in section 16-1, hydropower 46
facility described in subdivision (21) of subsection (a) of section 16-1, or 47
solar thermal or geothermal renewable energy source, installed for 48
generation or displacement of energy, provided (i) such installation 49
occurs between January 1, 2010, and December 31, 2013, (ii) such 50
installation is for commercial or industrial purposes, (iii) the nameplate 51 Substitute Bill No. 6106
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capacity of such source or facility does not exceed the load for the 52
location where such generation or displacement is located, and (iv) such 53
source or facility is not located in a municipality described in 54
subparagraph (B) of this subdivision; 55
(D) For assessment years commencing on and after October 1, 2014, 56
any (i) Class I renewable energy source, as defined in section 16-1, (ii) 57
hydropower facility described in subdivision (21) of subsection (a) of 58
section 16-1, or (iii) solar thermal or geothermal renewable energy 59
source, installed for generation or displacement of energy, provided (I) 60
such installation occurs on or after January 1, 2014, (II) is for commercial 61
or industrial purposes, (III) the nameplate capacity of such source or 62
facility does not exceed the load for the location where such generation 63
or displacement is located or the aggregated load of the beneficial 64
accounts for any Class I renewable energy source participating in virtual 65
net metering pursuant to section 16-244u, and (IV) in the case of clause 66
(iii) of this subparagraph, such exemption shall apply only to the 67
amount by which the assessed valuation of the real property equipped 68
with such source exceeds the assessed valuation of such real property 69
equipped with the conventional portion of the source; 70
(E) For assessment years commencing on and after October 1, 2021, 71
any (i) Class I renewable energy source, as defined in section 16-1, (ii) 72
hydropower facility described in subdivision (21) of subsection (a) of 73
section 16-1, or (iii) solar thermal or geothermal renewable energy 74
source, installed for generation or displacement of energy, provided (I) 75
such installation occurred on or after January 1, 2014, (II) such 76
installation is for nonresidential purposes, (III) the estimated annual 77
production of such source or facility does not exceed the estimated 78
annual load for the location where such generation or displacement is 79
located or the aggregated load of the beneficial accounts for any Class I 80
renewable energy source participating in virtual net metering pursuant 81
to section 16-244u, where such load and production are estimated as of 82
the date of installation of the source or facility as indicated in the written 83
application filed pursuant to subparagraph (F) of this subdivision, and 84 Substitute Bill No. 6106
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(IV) in the case of clause (iii) of this subparagraph, such exemption shall 85
apply only to the amount by which the assessed valuation of the real 86
property equipped with such source exceeds the assessed valuation of 87
such real property equipped with the conventional portion of the 88
source; 89
[(E)] (F) Any person claiming the exemption provided in this 90
subdivision for any assessment year shall, on or before the first day of 91
November in such assessment year, file with the assessor or board of 92
assessors in the town in which such hydropower facility, Class I 93
renewable energy source, solar thermal or geothermal renewable 94
energy source or passive or active solar water or space heating system 95
or geothermal energy resource is located, a written application claiming 96
such exemption. Such application shall be made on a form prepared for 97
such purpose by the Secretary of the Office of Policy and Management, 98
and shall include, but not be limited to, a statement of the estimated 99
annual load and production of a source or facility described in clause (i) 100
of subparagraphs (A) and (E) of this subdivision as of the date of the 101
installation of such source or facility. Said secretary shall make such 102
application available to the public on the Internet web site of the Office 103
of Policy and Management. Failure to file such application in the 104
manner and form as provided by [such assessor or board] the secretary 105
within the time limit prescribed shall constitute a waiver of the right to 106
such exemption for such assessment year. Such application shall not be 107
required for any assessment year following that for which the initial 108
application is filed, provided if such hydropower facility, Class I 109
renewable energy source, solar thermal or geothermal renewable 110
energy source or passive or active solar water or space heating system 111
or geothermal energy resource is altered in a manner which would 112
require a building permit, such alteration shall be deemed a waiver of 113
the right to such exemption until a new application, applicable with 114
respect to such altered source, is filed and the right to such exemption is 115
established as required initially. In the event that a person owns more 116
than one such source or facility in a municipality, such person may file 117
a single application identifying each source or facility; 118 Substitute Bill No. 6106
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[(F)] (G) For assessment years commencing on and after October 1, 119
2015, any municipality may, by vote of its legislative body or, in a 120
municipality where the legislative body is a town meeting, by vote of 121
the board of selectmen, abate up to one hundred per cent of the property 122
taxes due for any tax year, for not longer than the term of the power 123
purchase agreement, with respect to any Class I renewable energy 124
source, as defined in section 16-1, that is the subject of such power 125
purchase agreement approved by the Public Utilities Regulatory 126
Authority pursuant to section 16a-3f; 127
This act shall take effect as follows and shall amend the following
sections:
Section 1 October 1, 2021, and
applicable to assessment
years commencing on or
after October 1, 2021
12-81(57)
Statement of Legislative Commissioners:
Changes initially made in Subpara. (D) were incorporated into new
Subpara. (E) to clarify applicability of changes to exemption.
PD Joint Favorable Subst. -LCO