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OLR Bill Analysis
sHB 5168 (as amended by House "A" and "C")*
AN ACT CONCERNING SOLAR INSTALLATIONS IN
CONDOMINIUMS AND COOPERATIVES.
SUMMARY
This bill requires common interest communities to assess a unit
owner for any increase in common expenses (e.g., maintenance, repair,
or insurance costs) that result from the owner’s addition, alteration, or
improvement. (Common interest communities include condominiums,
cooperatives, and planned communities.)
Separately, the bill prohibits enforcing any provisions in a
condominium or planned community declaration or bylaws that
unreasonably restrict solar generating systems (i.e., solar panels) on the
roofs of single-family detached units or that otherwise conflict with the
bill’s solar panel requirements, beginning January 1, 2025. It also
establishes (1) a solar panel approval process for unit owners and these
associations to follow; (2) terms to which the unit owner must agree
(e.g., to assume certain costs and indemnify the association); and (3) a
period during which associations may opt out of the bill’s solar panel-
related requirements. In doing so, the bill repeals a current, narrower
provision that restricts planned community associations (but not
condominiums or cooperatives) from barring solar panels on units that
do not share a roof.
The bill additionally authorizes associations to install solar panels on
any common elements for all unit owners’ use and develop rules for
their use. It also makes minor and conforming changes.
*House Amendment “A” makes two changes in the bill’s provisions
on solar panels installed in associations. It (1) deems applications
approved if an association requests additional information and does not
issue a decision within 30 days of receiving the information and (2) 2024HB-05168-R01-BA.DOCX
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allows associations to require unit owners to remove any solar panels
before selling their units if the prospective buyers do not agree to take
over any solar panel leasing agreements (and correspondingly requires
sellers to notify buyers of this).
*House Amendment “C” excludes cooperatives from the bill’s
provisions on panels installed on single-family detached units in
associations.
EFFECTIVE DATE: January 1, 2025, except the provision on increases
in common assessments is effective October 1, 2024.
APPROVAL PROCESS
The bill requires condominium or planned community unit owners
to get their association’s approval to install solar panels on single-family
detached units. The unit owner must apply with the association’s
executive board and do so in the form and way directed by the board.
Upon receiving the unit owner’s application, the board must
acknowledge receipt in writing within 30 days and issue a written
decision within 60 days, unless it requests additional information. If the
board asks the owner to provide additional information about the
proposal, it has up to 30 days after receiving the information to deny it.
The application is deemed approved if the board does not deny it in
writing within these timeframes.
The board must process these applications in the same way
applications for additions, alterations, or improvements are processed
under the association’s bylaws or declaration. And it may not
unreasonably withhold approval if the unit owner complies with the
bill’s requirements.
AGREEMENT TERMS AND OWNER RESPONSIBILITI ES
Under the bill, if the application is approved or deemed approved,
the unit owner and association must enter a written agreement. The
agreement may be recorded in the land records of the town or towns in
which the association is located. The agreement must require the unit
owner to: 2024HB-05168-R01-BA.DOCX
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1. comply with the declaration or bylaws regarding additions,
alterations, or improvements as applicable;
2. hire a registered and insured contractor to install the solar panels
who must, within 14 days after the unit owner and association
execute the agreement, (a) provide a certificate of insurance for at
least $1 million of liability coverage for the association, its
manager, and the unit owner; (b) provide proof of any legally
required workers’ compensation insurance; and (c) give the
association a mechanic’s lien waiver in its favor;
3. pay any installation costs (e.g., increased master policy
premiums, the association’s attorney’s fees, fees for engineers
and other professionals, and fees for permits and zoning
compliance requirements);
4. indemnify other unit owners and the association, its executive
board, officers, directors, and managers for any damage, loss, or
financial obligation the solar panels cause; and
5. assume full responsibility, including sole financial responsibility,
for maintaining, repairing, and replacing the unit’s roof.
The bill makes the unit owner, or any successive owner who assumed
the unit’s title and the owner’s duties under the bill, responsible for
certain costs, including costs to:
1. repair, maintain, or replace the solar panels;
2. repair damage to the association’s common elements or units due
to installing, using, maintaining, repairing, removing, or
replacing the panels;
3. repair the roof after the panels are removed; and
4. cover common expenses for losses due to the solar panels that are
uninsured under the association’s master policy.
Under the bill, the association may also assess the unit owner for any 2024HB-05168-R01-BA.DOCX
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uninsured portion of a loss (including deductibles) it incurs due to the
panels. The association may do so regardless of whether it submits an
insurance claim.
Regulatory Requirements
The bill explicitly requires the solar panels to comply with all
applicable state, federal, and local health and safety standards and
requirements.
Attorney’s Fees
Under the bill, if the association initiates a legal action to enforce
compliance with the written agreement or any of the bill’s related
requirements, the prevailing party must be awarded reasonable
attorney’s fees.
SUCCESSIVE OWNERS AND BUYERS
The bill requires the unit owner, or any successive owner, to disclose
to any prospective buyers the (1) existence of the solar panels and any
related agreements with the association; (2) unit owner’s responsibilities
associated with the solar panels; and (3) requirement that the buyer will
own the solar panels or take over any agreement the unit owner has with
the panel owner (e.g., a lease agreement), unless they are removed
before the sale.
The association may require the unit owner to remove the panels
before the sale if the buyer does not agree to (1) take over ownership of
the solar panels or any leasing or other agreement for them; (2) be bound
by the indemnification agreement; and (3) be responsible for the full
costs of maintaining, repairing, and replacing the unit’s roof.
OPT-OUT
Associations formed by January 1, 2025, may opt out of the bill’s solar
panel prohibition and requirements if they do so by December 31, 2026.
To opt out, at least 75% of the association’s board of directors must vote
to do so. Within 30 days after the favorable vote to opt out, the
association must record notice of it in the land records of the town or
towns in which the association owns real property (e.g., land or 2024HB-05168-R01-BA.DOCX
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buildings).
COMMITTEE ACTION
Planning and Development Committee
Joint Favorable Substitute
Yea 21 Nay 0 (03/15/2024)
Judiciary Committee
Joint Favorable
Yea 35 Nay 0 (04/12/2024)