25 LC 55 0584S The House Committee on Energy, Utilities and Telecommunications offers the following substitute to HB 249: A BILL TO BE ENTITLED AN ACT To amend Article 1 of Chapter 3 of Title 46 of the Official Code of Georgia Annotated,1 relating to generation and distribution of electricity generally, so as to revise provisions2 relating to solar power facility agreements; to revise provisions relating to the waiver of3 certain requirements of such agreements; to authorize the Environmental Protection Division4 of the Department of Natural Resources to issue cease and desist orders; to provide civil5 penalties; to provide an exception; to revise and provide for definitions; to provide for an6 effective date; to provide for related matters; to repeal conflicting laws; and for other7 purposes.8 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:9 SECTION 1.10 Article 1 of Chapter 3 of Title 46 of the Official Code of Georgia Annotated, relating to11 generation and distribution of electricity generally, is amended by revising Part 5, relating12 to solar power facility agreements, as follows:13 H. B. 249 (SUB) - 1 - 25 LC 55 0584S "Part 514 46-3-67.15 As used in this part, the term:16 (1) 'Commercial operations date' means the date on which a solar power facility17 generates electrical energy for sale to an electric supplier. Such term does not include the18 generation of electrical energy or other operations conducted before that date for purposes19 of maintenance or testing.20 (2) 'Division' means the Environmental Protection Division of the Department of Natural21 Resources.22 (3) 'Electric supplier' has the same meaning as provided in Code Section 46-3-3.23 (3)(4) 'Financial assurance' means a surety or performance bond that:24 (A) Renews automatically; and25 (B) Is issued by a company that is:26 (i) Licensed as an insurance company under Title 33; and27 (ii) Listed listed on the United States Department of the Treasury's List of Certified28 Companies and that has a financial strength rating of at least an 'A' as rated by A.M.29 Best Company, Inc.; Moody's Investors Service, Inc.; Standard and Poor's30 Corporation; or a similar rating agency.31 (4)(5) 'Grantee' means a person who leases property from a landowner and who operates32 a solar power facility on said property.33 (5)(6) 'Solar energy device' means a solar energy collector or solar energy system that34 provides for the collection of solar energy or the subsequent use of such energy as35 thermal, mechanical, or electrical energy.36 (6)(7) 'Solar power facility' means a solar energy device that does not meet the definition37 of solar technology pursuant to Code Section 46-3-62, or the integrated collection of such38 devices, together with any equipment or other personal property and improvements under39 H. B. 249 (SUB) - 2 - 25 LC 55 0584S common ownership that are used to support the operation of such a solar energy device40 or solar energy devices, including, but not limited to, underground or aboveground41 electrical transmission or communications lines, electric transformers, battery storage42 facilities, telecommunications equipment, roads, meteorological towers, and maintenance43 yards.44 (7)(8) 'Solar power facility agreement' means any lease agreement for real property in45 this state between a grantee and a landowner that authorizes the grantee to operate a solar46 power facility on the leased property.47 46-3-68.48 (a) The provisions of this part shall only apply to solar power facility agreements that are49 executed or renewed on or after July 1, 2024.50 (b) Any Except as provided in subsection (e) of Code Section 46-3-69, any provision in51 a solar power facility agreement that purports to waive a right or exempt a grantee from a52 liability or duty established by this part shall be void.53 (c) Any person who is harmed by a violation of this part shall be entitled to appropriate54 injunctive relief to prevent further violation of this part.55 (d) The provisions of this Code section are not exclusive. The remedies provided in this56 Code section are in addition to any other procedures or remedies provided by law.57 46-3-69.58 (a) A solar power facility agreement shall provide that the grantee shall be responsible for59 removing the grantee's solar power facilities from the landowner's property upon the60 termination of the lease and that the grantee shall, in accordance with any other applicable61 laws or regulations, safely:62 H. B. 249 (SUB) - 3 - 25 LC 55 0584S (1) Clear, clean, and remove from the property all grantee owned or leased solar energy63 devices and all grantee owned or leased equipment, personal property, and improvements64 used to support such devices;65 (2) For each foundation of a solar energy device, transformer, or substation installed on66 the property by the grantee:67 (A) Clear, clean, and remove the foundation from the ground to a depth of at least three68 feet below the surface grade of the land in which the foundation is installed; and69 (B) Ensure that each hole or cavity created in the ground by such removal is filled with70 soil of the same type or a similar type as the predominant soil found on the property;71 (3) For each cable, including power, fiber-optic, and communications cables, installed72 underground by the grantee:73 (A) Clear, clean, and remove the cable from the ground to a depth of at least three feet74 below the surface grade of the land in which the cable is installed; and75 (B) Ensure that each hole or cavity created in the ground by such removal is filled with76 soil of the same type or a similar type as the predominant soil found on the property;77 and78 (4) Clear, clean, and remove from the property each overhead power or communications79 line installed on the property by the grantee.80 (b) A solar power facility agreement shall provide that, at the request of the landowner, the81 grantee shall:82 (1) Clear, clean, and remove each road constructed on the property by the grantee; and83 (2) Ensure that each hole or cavity created in the ground by such removal is filled with84 soil of the same type or a similar type as the predominant soil found on the property.85 (c) A solar power facility agreement shall provide that, at the request of the landowner, the86 grantee shall:87 (1) Remove from the property all rocks more than 12 inches in diameter excavated88 during the decommissioning or removal of the grantee's solar power facilities; and89 H. B. 249 (SUB) - 4 - 25 LC 55 0584S (2) Ensure that:90 (A) Each hole or cavity created in the ground by such decommissioning or removal is91 filled with soil of the same type or a similar type as the predominant soil found on the92 property; and93 (B) The surface is returned, as near as reasonably possible, to the same condition as94 before the grantee dug holes or cavities, including, but not limited to, by reseeding95 pastureland with native, naturalized, and introduced grasses and legumes prescribed by96 an appropriate governmental agency, if any in accordance with the Manual for Erosion97 and Sediment Control in Georgia published by the State Soil and Water Conservation98 Commission.99 (d) A landowner shall make any request provided by a solar power facility agreement100 pursuant to subsection (b) or (c) of this Code section no later than 12 months after the later101 of:102 (1) The date on which the solar power facility is facilities are no longer capable of103 generating electricity in commercial quantities, except when such inability to generate104 electricity is the result of an event of force majeure or when the grantee is in the process105 of repairing the solar power facility facilities, provided that, in either case, the solar106 power facility resumes facilities resume generating electricity in commercial quantities107 within 180 days;108 (2) The date the landowner receives written notice of intent to decommission the solar109 power facility facilities from the grantee; or110 (3) The date the solar power facility agreement is terminated.111 (e) The requirements of this Code section applicable to a solar power facility agreement112 may be waived or modified through a written, notarized agreement between the grantee and113 landowner, which may be the solar power facility agreement if such waiver or modification114 is clearly denoted; provided, however, that no such agreement shall waive or modify the115 grantee's obligation to remove the grantee's solar power facilities from the landowner's116 H. B. 249 (SUB) - 5 - 25 LC 55 0584S property upon the termination of the solar power facility agreement. Any such agreement117 shall be recorded with the clerk of the superior court of the county where the solar power118 facility is facilities are located.119 46-3-69.1.120 (a) A solar power facility agreement shall provide that:121 (1) The grantee shall obtain and deliver to the landowner and record with the clerk of the122 superior court of the county where the solar power facility is facilities are located123 evidence of financial assurance that conforms to the requirements of this subsection to124 secure the performance of the grantee's obligation to remove the grantee's solar power125 facilities located on the landowner's property and, if applicable, to restore the property126 to the conditions described in pursuant to Code Section 46-3-69;127 (2) The amount of the financial assurance shall be:128 (A) At least equal to the estimated cost of removing the solar power facilities from the129 landowner's property and, if applicable, restoring the property to the conditions130 described in Code Section 46-3-69:131 (i) Minus the salvage value of the solar power facilities; and132 (ii) Plus any portion of the value of the solar power facilities pledged to secure133 outstanding debt; and134 (B) Determined by an independent, third-party professional engineer licensed in this135 state;136 (3) The grantee shall deliver to the landowner an updated estimate, prepared by an137 independent, third-party professional engineer licensed in this state, of the removal costs138 and the salvage value of the solar power facilities required amount of financial assurance139 under subparagraph (A) of paragraph (2) of this subsection:140 (A) No later than 20 years after the commercial operations date of the solar power141 facilities; and142 H. B. 249 (SUB) - 6 - 25 LC 55 0584S (B) At least once every five years after the commercial operations date of the solar143 power facilities for the remainder of the term of the agreement;144 (4) The grantee shall be responsible for ensuring that the amount of the financial145 assurance remains sufficient to cover the amount required by paragraph (2) of this146 subsection, consistent with the updated estimates required by paragraph (3) of this147 subsection;148 (5) The grantee shall be responsible for the costs of obtaining financial assurance and149 costs of determining the estimated removal and, if applicable, restoration costs and the150 salvage value described in paragraph (2) of this subsection and the costs of updating such151 estimates pursuant to paragraph (3) of this subsection; and152 (6) The grantee shall deliver the financial assurance not later than the commercial153 operations date of the solar power facilities.154 (b) No county or municipal corporation shall impose on a grantee who has entered into a155 solar power facility agreement that conforms to the requirements of this Code section156 financial assurance requirements relating to the removal or decommissioning of solar157 power facilities.158 (c) No grantee shall cancel the financial assurance delivered to the landowner pursuant to159 this Code section before the date the grantee has completed the grantee's obligation to160 remove the grantee's solar power facilities located on the landowner's property in the161 manner provided by this part, unless the grantee provides the landowner with replacement162 financial assurance at the time of or before such cancellation. In the event of a transfer of163 ownership of the grantee's solar power facilities, the financial assurance provided by the164 grantee shall remain in place until the date on which evidence of substitute financial165 assurance meeting the requirements of this part is provided delivered to the landowner.166 H. B. 249 (SUB) - 7 - 25 LC 55 0584S 46-3-69.2.167 (a)(1) Prior to the commercial operations date of any solar power facilities that are168 installed or otherwise constructed on the property of a landowner pursuant to a solar169 power facility agreement, the grantee shall provide to the division evidence that it has170 delivered to the landowner the financial assurance required under the solar power facility171 agreement and that meets the requirements of Code Section 46-3-69.1.172 (2) The division shall have the authority to issue a cease and desist order to any grantee173 that:174 (A) Fails to provide evidence to the division, as required under paragraph (1) of this175 subsection, that it has delivered to the landowner the financial assurance required under176 the solar power facility agreement before the commercial operations date of the solar177 power facilities; or178 (B) Otherwise violates the provisions of Code Section 46-3-69.1.179 (3) If a cease and desist order is issued to a grantee by the division pursuant to paragraph180 (2) of this subsection, the grantee shall, upon being served with such cease and desist181 order, immediately cease operations of all solar power facilities located on the property182 of the landowner and shall not resume such operations until such cease and desist order183 is rescinded by the division upon its determination that the reason or reasons for the184 issuance of the cease and desist order have been cured by the grantee or upon such cease185 and desist order being overturned by a court of competent jurisdiction.186 (4) The issuance of a cease and desist order by the division pursuant to paragraph (2) of187 this subsection shall constitute a final order subject to judicial review under Chapter 13188 of Title 50, the 'Georgia Administrative Procedure Act.'189 (b)(1) Any grantee that operates any solar power facilities in violation of paragraph (3)190 of subsection (a) of this Code section shall be subject to a civil penalty of $1,000.00 per191 day until the earlier of:192 H. B. 249 (SUB) - 8 - 25 LC 55 0584S (A) The date on which the division rescinds the cease and desist order issued to the193 grantee; 194 (B) The date on which the issuance of the cease and desist order is overturned by a195 court of competent jurisdiction; or196 (C) The date the grantee ceases operations of all solar power facilities located on the197 property of the landowner.198 (2) The civil penalty provided for in paragraph (1) of this subsection may be assessed by199 the division against a grantee through an administrative consent order or after notice and200 hearing as provided by Chapter 13 of Title 50, the 'Georgia Administrative Procedure201 Act.' Any such civil penalty that is finally assessed against a grantee shall be recoverable202 by civil action brought in the name of the division in the superior court of the county203 where the solar power facilities are located."204 SECTION 2.205 This Act shall become effective upon its approval by the Governor or upon its becoming law206 without such approval.207 SECTION 3.208 All laws and parts of laws in conflict with this Act are repealed.209 H. B. 249 (SUB) - 9 -