EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
[Brackets] indicate matter deleted from existing law.
Underlining indicates amendments to bill.
Strike out indicates matter stricken from the bill by amendment or deleted from the law by
amendment.
Italics indicate opposite chamber/conference committee amendments.
*hb0908*
HOUSE BILL 908
C5, M5 (3lr0688)
ENROLLED BILL
— Economic Matters/Education, Energy, and the Environment —
Introduced by Delegates Clippinger, Amprey, Boafo, Charkoudian, Cullison,
Ebersole, Feldmark, Fennell, Foley, Fraser –Hidalgo, Kaufman, Kerr,
R. Lewis, J. Long, Lopez, Pasteur, Qi, Queen, Ruth, Shetty, Smith, Stewart,
Terrasa, Valderrama, Vogel, Watson, and Woods
Read and Examined by Proofreaders:
_______________________________________________
Proofreader.
_______________________________________________
Proofreader.
Sealed with the Great Seal and presented to the Governor, for his approval this
_______ day of _______________ at ______________________ __ o’clock, ________M.
______________________________________________
Speaker.
CHAPTER ______
AN ACT concerning 1
Electricity – Community Solar Energy Generating Systems Program and 2
Property Taxes 3
FOR the purpose of making permanent the Community Solar Energy Generating Systems 4
Pilot Program; requiring a community solar energy generating system under the 5
Program to serve a certain percentage of its kilowatt–hour output to low–income and 6
moderate–income subscribers under certain circumstances; authorizing a 7
subscription coordinator to act on behalf of a subscriber organization; altering 8
requirements related to the siting and size of certain community solar energy 9
generating systems projects; authorizing the use of consolidated billing for certain 10
subscription charges; prohibiting a subscriber organization or subscription 11
coordinator from charging an LMI subscriber a certain subscription rate; requiring 12 2 HOUSE BILL 908
an electric company to provide certain data to a subscriber organization or 1
subscription coordinator; authorizing an electric company to charge a certain fee for 2
the use of consolidated billing; requiring a person constructing or operating a 3
community solar energy generating system to address critical area, climate 4
resilience, and forest conservation concerns in a certain manner; requiring the Public 5
Service Commission to establish a stakeholder workgroup related to the 6
development of certain regulations; requiring the Commission to adopt certain 7
regulations making the pilot program permanent, allowing for the use of 8
consolidated billing, and implementing the provisions of this Act; requiring the 9
Commission to consider and implement certain methodologies to allow tenants of 10
master–metered residential facilities to participate in the Program; repealing 11
provisions related to maintenance of subscriptions if a subscriber has a change of 12
address; prohibiting certain subscription rates and charges from being set at more 13
than a certain amount; establishing certain prevailing wage or labor requirements 14
for developers of certain community solar energy generating system projects; 15
creating a full–time position within the Commission for a certain purpose; altering 16
the personal property tax exemption for certain community solar energy generating 17
systems; and generally relating to the Community Solar Energy Generating Systems 18
Program community solar energy generating systems. 19
BY repealing and reenacting, with amendments, 20
Article – Public Utilities 21
Section 7–306.2 22
Annotated Code of Maryland 23
(2020 Replacement Volume and 2022 Supplement) 24
BY repealing and reenacting, with amendments, 25
Article – Tax – Property 26
Section 7–237 27
Annotated Code of Maryland 28
(2019 Replacement Volume and 2022 Supplement) 29
(As enacted by Chapters 38, 415, 658, and 659 of 2022) 30
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 31
That the Laws of Maryland read as follows: 32
Article – Public Utilities 33
7–306.2. 34
(a) (1) In this section the following words have the meanings indicated. 35
(2) “AGRIVOLTAICS” MEANS THE SIMULTANEO US USE OF AREAS OF 36
LAND FOR BOTH SOLAR POWER GENERATION AND AGRICULTURE : 37
HOUSE BILL 908 3
(I) RAISING GRAINS , FRUITS, HERBS, MELONS, MUSHROOMS , 1
NUTS, SEEDS, TOBACCO, OR VEGETABLES ; 2
(II) RAISING POULTRY , INCLUDING CHICKENS A ND TURKEYS , 3
FOR MEAT OR EGG PROD UCTION; 4
(III) DAIRY PRODUCTION , SUCH AS THE RAISING OF MILKING 5
COWS; 6
(IV) RAISING LIVESTOCK , INCLUDING CATTLE , SHEEP, GOATS, 7
OR PIGS; 8
(V) HORSE BOARDI NG, BREEDING, OR TRAINING; 9
(VI) TURF FARMING ; 10
(VII) RAISING ORNAMENTAL S HRUBS, PLANTS, OR FLOWERS , 11
INCLUDING AQUATIC PL ANTS; 12
(VIII) AQUACULTURE ; 13
(IX) SILVICULTURE ; OR 14
(X) ANY OTHER ACTIVITY R ECOGNIZED BY THE DEPARTMENT 15
OF AGRICULTURE AS AN AGRICULTURAL ACTI VITY. 16
(3) “Baseline annual usage” means: 17
(i) a subscriber’s accumulated electricity use in kilowatt–hours for 18
the 12 months before the subscriber’s most recent subscription; or 19
(ii) for a subscriber that does not have a record of 12 months of 20
electricity use at the time of the subscriber’s most recent subscription, an estimate of the 21
subscriber’s accumulated 12 months of electricity use in kilowatt–hours, determined in a 22
manner the Commission approves. 23
[(3)] (4) “Community solar energy generating system” means a solar 24
energy system that: 25
(i) is connected to the electric distribution grid serving the State; 26
(ii) is located in the same electric service territory as its subscribers; 27
(iii) is attached to the electric meter of a subscriber or is a separate 28
facility with its own electric meter; 29 4 HOUSE BILL 908
(iv) credits its generated electricity, or the value of its generated 1
electricity, to the bills of the subscribers to that system through virtual net energy 2
metering; 3
(v) has at least two subscribers but no limit to the maximum number 4
of subscribers; 5
(vi) does not have subscriptions larger than 200 kilowatts 6
constituting more than 60% of its [subscriptions] KILOWATT–HOUR OUTPUT ; 7
(vii) has a generating capacity that does not exceed 5 megawatts as 8
measured by the alternating current rating of the system’s inverter; [and] 9
(viii) may be owned by any person; AND 10
(IX) WITH RESPECT TO COMMUNITY SOLAR ENER GY 11
GENERATING SYSTEMS C ONSTRUCTED UNDER THE PROGRAM, SERVES AT LEAST 12
40% OF ITS KILOWATT –HOUR OUTPUT TO LMI SUBSCRIBERS UNLESS T HE SOLAR 13
ENERGY SYSTEM IS WHO LLY OWNED BY THE SUBSCRIBERS TO T HE SOLAR ENERGY 14
SYSTEM A NONPROFIT ORGANIZA TION THE SUBSCRIBERS TO T HE SOLAR ENERGY 15
SYSTEM. 16
(5) “CONSOLIDATED BILLING ” MEANS A PAYMENT MECH ANISM THAT 17
REQUIRES AN ELECTRIC COMPANY TO , AT THE REQUEST OF A SUBSCRIBER 18
ORGANIZATION OR SUBS CRIPTION COORDINATOR : 19
(I) INCLUDE THE MONTHLY SUBSCRIPTION CHARGE OF A 20
SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION COORDINATOR ON THE MON THLY 21
BILLS RENDERED BY TH E ELECTRIC COMPANY F OR ELECTRIC SERVICE AND SUPPLY 22
TO SUBSCRIBERS ; AND 23
(II) REMIT PAYMENT RECEIVED FOR THOSE CHARGES TO THE 24
SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION COORDINATOR . 25
(6) “CRITICAL AREA” HAS THE MEANING STATED IN § 8–1802 OF THE 26
NATURAL RESOURCES ARTICLE. 27
(7) “LMI SUBSCRIBER” MEANS A SUBSCRIBER T HAT: 28
(I) IS LOW–INCOME; 29
(II) IS MODERATE–INCOME; OR 30
(III) RESIDES IN A CENSUS TRACT THAT IS AN: 31 HOUSE BILL 908 5
1. OVERBURDENED COMMUNI TY; AND 1
2. UNDERSERVED COMMUNIT Y. 2
(8) “LOW–INCOME” MEANS: 3
(I) HAVING AN ANNUAL HOU SEHOLD INCOME THAT I S AT OR 4
BELOW 200% OF THE FEDERAL POVER TY LEVEL; OR 5
(II) BEING CERTIFIED AS E LIGIBLE FOR ANY FEDE RAL, STATE, 6
OR LOCAL ASSISTANCE PROGRAM THAT LIMITS PARTICIPATION TO HOU SEHOLDS 7
WHOSE INCOME IS AT O R BELOW 200% OF THE FEDERAL POVER TY LEVEL. 8
(9) “MODERATE–INCOME” MEANS HAVING AN ANNU AL HOUSEHOLD 9
INCOME THAT IS AT OR BELOW 80% OF THE MEDIAN INCOME FOR MARYLAND. 10
(10) “OVERBURDENED COMMUNIT Y” HAS THE MEANING STATED IN § 11
1–701 OF THE ENVIRONMENT ARTICLE. 12
(11) “PILOT PROGRAM ” MEANS THE PROGRAM ES TABLISHED UNDER 13
THIS SECTION BEFORE OCTOBER JULY 1, 2023, AND EFFECTIVE UNTIL THE START 14
OF THE PROGRAM ESTABLISHED U NDER SUBSECTION (D)(20) OF THIS SECTION. 15
[(4)] (12) “Program” means the Community Solar Energy Generating 16
Systems [Pilot] Program. 17
(13) “QUEUE” MEANS: 18
(I) THE PILOT PROGRAM QU EUE AN ELECTRIC COMP ANY IS 19
REQUIRED TO MAINTAIN UNDER COMAR 20.62.03.04; AND 20
(II) A QUEUE AN ELECTRIC COMPANY MAY BE REQUIRED TO 21
MAINTAIN UNDER THE PROGRAM. 22
[(5)] (14) “Subscriber” means a retail customer of an electric company that: 23
(i) holds a subscription to a community solar energy generating 24
system; and 25
(ii) has identified one or more individual meters or accounts to which 26
the subscription shall be attributed. 27
[(6)] (15) “Subscriber organization” means: 28
6 HOUSE BILL 908
(i) a person that owns or operates a community solar energy 1
generating system; or 2
(ii) the collective group of subscribers of a community solar energy 3
generating system. 4
[(7)] (16) “Subscription” means the portion of the electricity generated by 5
a community solar energy generating system that is credited to a subscriber. 6
(17) “SUBSCRIPTION COORDINA TOR” MEANS A PERSON THAT : 7
(I) MARKETS COMMUNITY SO LAR ENERGY GENERATIN G 8
SYSTEMS OR OTHERWISE PROVIDES SERVICES RE LATED TO COMMUNITY S OLAR 9
ENERGY GENERATING SY STEMS UNDER ITS OWN BRAND NAME ; 10
(II) PERFORMS ANY ADMINIS TRATIVE ACTION TO AL LOCATE 11
SUBSCRIPTIONS , CONNECT SUBSCRIBERS WITH COMMUNITY SOLAR ENERGY 12
GENERATING SYSTEMS , OR ENROLL CUSTOMERS IN THE PROGRAM; OR 13
(III) MANAGES INTERACTIONS BETWEEN A SUBSCRIBER 14
ORGANIZATION AND AN ELECTRIC COMPANY OR ELECTRICITY SUPPLIER RELATING 15
TO SUBSCRIBERS . 16
(18) “UNDERSERVED COMMUNITY ” HAS THE MEANING STAT ED IN § 17
1–701 OF THE ENVIRONMENT ARTICLE. 18
[(8)] (19) “Unsubscribed energy” means any community solar energy 19
generating system output in kilowatt–hours that is not allocated to any subscriber. 20
[(9)] (20) “Virtual net energy metering” means measurement of the 21
difference between the kilowatt–hours or value of electricity that is supplied by an electric 22
company and the kilowatt–hours or value of electricity attributable to a subscription to a 23
community solar energy generating system and fed back to the electric grid over the 24
subscriber’s billing period, as calculated under the tariffs established under [subsection] 25
SUBSECTIONS (e)(2), (F)(2), AND (G)(2) of this section. 26
(b) The General Assembly finds that: 27
(1) community solar energy generating systems: 28
(i) provide residents and businesses, including those that lease 29
property, increased access to local solar electricity while encouraging private investment in 30
solar resources; 31
HOUSE BILL 908 7
(ii) enhance continued diversification of the State’s energy resource 1
mix to achieve the State’s renewable energy portfolio standard and Greenhouse Gas 2
Emissions Reduction Act goals; and 3
(iii) provide electric companies and ratepayers the opportunity to 4
realize the many benefits associated with distributed energy; and 5
(2) it is in the public interest that the State enable the development and 6
deployment of energy generation from community solar energy generating systems in order 7
to: 8
(i) allow renters and low–income and moderate–income retail 9
electric customers to own an interest in a community solar energy generating system; 10
(ii) facilitate market entry for all potential subscribers while giving 11
priority to subscribers who are the most sensitive to market barriers; and 12
(iii) encourage developers to promote participation by renters and 13
low–income and moderate–income retail electric customers. 14
(c) A community solar energy generating system, [including a] subscriber [or], 15
subscriber organization [associated with the community solar energy generating system], 16
OR SUBSCRIPTION COOR DINATOR is not: 17
(1) an electric company; 18
(2) an electricity supplier; or 19
(3) a generating station if the generating capacity of the community solar 20
energy generating system does not exceed 2 megawatts. 21
(d) (1) (i) The Commission shall establish [a pilot program for] AND 22
MAINTAIN a Community Solar Energy Generating [System] SYSTEMS Program. 23
(ii) The structure of the [pilot program] PROGRAM is as provided in 24
this subsection. 25
(2) All rate classes may participate in the [pilot program] PROGRAM. 26
(3) Subscribers served by electric standard offer service, community choice 27
aggregators, and electricity suppliers may hold subscriptions to the same community solar 28
energy generating system. 29
(4) A subscriber organization OR SUBSCRIPTION COOR DINATOR 30
ACTING ON BEHALF OF A SUBSCRIBER ORGANIZ ATION shall: 31
8 HOUSE BILL 908
(i) determine how to allocate subscriptions to subscribers; and 1
(ii) notify an electric company and, if applicable, a relevant 2
electricity supplier about THE ALLOCATION OF SU BSCRIPTIONS IN ACCOR DANCE WITH 3
the regulations the Commission adopts under subsection (e) of this section. 4
(5) An electric company shall use the tariff structure under [subsection] 5
SUBSECTIONS (e)(2), (F)(2), AND (G)(2) of this section to provide each subscriber with the 6
credits. 7
(6) A subscriber may not receive credit for virtual net excess generation 8
that exceeds 200% of the subscriber’s baseline annual usage. 9
(7) Any unsubscribed energy generated by a community solar energy 10
generating system that is not owned by an electric company shall be purchased under the 11
electric company’s process for purchasing the output from qualifying facilities at the 12
amount it would have cost the electric company to procure the energy. 13
(8) An electric company shall use energy generated from a community solar 14
energy generating system to offset purchases from wholesale electricity suppliers for 15
standard offer service. 16
(9) All costs associated with small generator interconnection standards 17
under COMAR 20.50.09 are the responsibility of the subscriber organization. 18
(10) A subscriber organization may petition an electric company to 19
coordinate the interconnection and commencement of operations of a community solar 20
energy generating system after the Commission adopts regulations required under 21
subsection (e) of this section. 22
(11) A subscriber organization may contract with a third party for the third 23
party to finance, build, own, or operate a community solar energy generating system. 24
(12) A municipal utility or cooperative utility may participate in the [pilot 25
program] PROGRAM. 26
(13) (I) [Equipment for] EXCEPT AS PROVIDED IN SUBPARAGRAPH 27
(II) OF THIS PARAGRA PH, a community solar energy generating system may not be [built] 28
LOCATED on [contiguous parcels of land unless the equipment is installed only on building 29
rooftops] THE SAME OR AN ADJAC ENT PARCEL OF LAND A S AN EXISTING OR 30
PROPOSED COMMUNITY S OLAR ENERGY G ENERATING SYSTEM IF THE TOTAL 31
INSTALLED CAPACITY O F ALL COMMUNITY SOLAR ENER GY GENERATING SYSTEMS 32
ON THE SAME OR ADJAC ENT PARCEL WOULD EXC EED 5 MEGAWATTS . 33
(II) THE PROHIBITION UNDER SUBPARAGRAPH (I) OF THIS 34
PARAGRAPH DOES NOT A PPLY TO PROJECTS CONSTRUCTED : 35 HOUSE BILL 908 9
1. ON THE ROOFTOPS OF B UILDINGS; 1
2. IN AREAS THAT ARE ZO NED FOR INDUSTRIAL U SE; 2
3. ON BROWNFIELDS LOCAT IONS AND CLEAN FILL SITES; 3
4. OVER PARKING LOTS OR ROADWAYS; 4
5. ON MULTILEVEL PARKIN G STRUCTURES ; 5
6. ON OR OVER TRANSPORT ATION OR PUBLIC 6
RIGHTS–OF–WAY; 7
7. AT AIRPORTS; 8
8. ON LAND THAT: 9
A. WAS PREVIOUSLY ZONED FOR INDUSTRIAL USE O R IS 10
ECOLOGICALLY COMPROM ISED; AND 11
B. IS NOT TARGETED FOR MITIGATION OR 12
RESTORATION ; OR 13
9. IN ANY LOCATION IF: 14
A. THE COMBINED CAPACIT Y OF ALL COMMUNITY SOLAR 15
ENERGY GENERATING SYSTEMS O N THE SAME OR ADJACE NT PARCEL DOES NOT 16
EXCEED 10 MEGAWATTS ; AND: 17
B. A. AT LEAST 75% OF THE AGGREGATE CAP ACITY OF THE 18
CO–LOCATED COMMUNITY SO LAR ENERGY GENERATIN G SYSTEMS SERVES LMI 19
SUBSCRIBERS OR; 20
B. FOR A SITE WITHOUT A COMMUNITY SOLAR ENER GY 21
GENERATING SYSTEM IN STALLED BEFORE THE S TART OF THE PROGRAM UNDER 22
PARAGRAPH (20) OF THIS SUBSECTION , ALL OF THE COMMUNITY SOLAR ENERGY 23
GENERATING SYSTEMS I NSTALLED AFTER THE S TART OF THE PROGRAM ARE USED 24
FOR AGRIVOLTAICS ; OR 25
C. FOR A SITE WITH A CO MMUNITY SOLAR ENERGY 26
GENERATING SYSTEM IN STALLED BEFORE THE S TART OF THE PROGRAM UNDER 27
PARAGRAPH (20) OF THIS SUBSECTION , EACH NEW COMMUNITY S OLAR ENERGY 28 10 HOUSE BILL 908
GENERATING SYSTEM IN STALLED AFTER THE ST ART OF THE PROGRAM IS USED FOR 1
AGRIVOLTAICS . 2
(14) A SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION COORDINATOR 3
MAY ELECT FOR A SUBS CRIBER OR A COMMUNITY SOLAR ENER GY GENERATING 4
SYSTEM REPRESENTED B Y THE SUBSCRIBER ORG ANIZATION OR SUBSCRI PTION 5
COORDINATOR TO PARTICIPATE IN CO NSOLIDATED BILLING . 6
(15) AN ELECTRIC COMPANY S HALL PROVIDE ACCESS TO CUSTOMER 7
BILLING AND USAGE DA TA TO A SUBSCRIBER O RGANIZATION OR SUBSCRI PTION 8
COORDINATOR IF THE C USTOMER PROVIDES TO THE ELECTRIC COMPANY 9
AFFIRMATIVE CONSENT THAT IS ACCOMPANIED BY A WRITTEN OR ELEC TRONIC 10
SIGNATURE. 11
(16) (I) AN ELECTRIC COMPANY M AY REQUIRE A REASONABLE FEE 12
FOR SUBSCRIBER ORGAN IZATIONS OR SUBSCRIPTION COOR DINATORS THAT USE 13
CONSOLIDATED BILLING . IF THE FEE DOES 14
(II) THE FEE UNDER SUBPARA GRAPH (I) OF THIS PARAGRAPH 15
MAY NOT EXCEED 1% OF THE BILL CREDIT VALUE TO THE SUBSCRIBER UNLESS THE 16
COMMISSION DETERMINES A HIGHER FEE IS JUST AND REASONABLE BASED ON 17
SUBSTANTIAL EVIDENCE PRESENTED BY THE ELE CTRIC COMPANY . 18
(III) AN ELECTRIC COMPANY M AY ADJUST THE FEE UN DER 19
SUBPARAGRAPH (I) OF THIS PARAGRAPH NO T MORE THAN ONCE PER YEAR. 20
(IV) THE FEE FOR CONSOLIDA TED BILLING ASSESSED TO A 21
SUBSCRIBER ORGANIZATION OR SUBSCRIPTION COORDIN ATOR MAY NOT EXCEED 22
THE FEE THAT WAS IN EFFECT WHEN THE SUBS CRIBER ORGANIZATION OR 23
SUBSCRIPTION COORDIN ATOR ELECTED FOR THE COMMUNITY SOLAR ENER GY 24
GENERATING SYSTEM RE PRESENTED BY THE SUB SCRIBER ORGANIZATION OR 25
SUBSCRIPTION COORDINATOR TO PARTICIPATE IN CO NSOLIDATED BILLING . 26
(17) A SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION COORDINATOR 27
MAY NOT PROHIBIT A S UBSCRIBER FROM ENROL LING WITH AN ELECTRI CITY 28
SUPPLIER FOR ELECTRI C SERVICE OR SUPPLY . 29
(18) A COMMUNITY SOLAR E NERGY GENERATING SYS TEM ON AN 30
ELECTRIC COMPANY QUE UE UNDER THE PILOT P ROGRAM ON SEPTEMBER 30, 2023, 31
SHALL RETAIN THE QUE UE POSITION UNDER TH E PROGRAM. 32
(19) IN CONSTRUCTING OR OP ERATING A COMMUNITY SOLAR ENERGY 33
GENERATING SYSTEM , A PERSON SHALL ADDRE SS CRITICAL AREA , CLIMATE 34
RESILIENCE, AND FOREST CONSERVAT ION CONCERNS BY COMP LYING WITH THE 35 HOUSE BILL 908 11
FOREST CONSERVATION ACT AND OTHER RELEVAN T STATE AND LOCAL 1
ENVIRONMENT AL LAWS AND REGULATI ONS PERTAINING TO TH E CRITICAL AREA , 2
CLIMATE RESILIENCE , AND FOREST CONSERVAT ION. 3
[(14)] (20) The [pilot program] PROGRAM shall[: 4
(i)] begin on the earlier of: 5
[1.] (I) the date of submission of the first petition of a 6
subscriber organization under paragraph (10) of this subsection after the Commission 7
adopts the regulations required under subsection [(e)] (F) of this section; or 8
[2.] (II) 6 months after the Commission adopts those 9
regulations[; and 10
(ii) end 7 years after the beginning date, but not sooner than 11
December 31, 2024. 12
(15) The Commission shall limit the pilot program in such a way that the 13
Commission may conduct a meaningful study of the pilot program and its results, including: 14
(i) the appropriate number of community solar energy generating 15
systems to be included in the pilot program; 16
(ii) the appropriate amount of generating capacity of the community 17
solar energy generating systems to be included in the pilot program and the annual capacity 18
limits for each program category, each of which should increase throughout the duration of 19
the pilot program; and 20
(iii) a variety of appropriate geographical areas in the State for 21
locating community solar energy generating systems to be included in the pilot program]. 22
(e) On or before May 15, 2016, the Commission shall adopt regulations to 23
implement this section, including regulations for: 24
(1) consumer protection; 25
(2) a tariff structure for an electric company to provide a subscriber with 26
the kilowatt–hours or value of the subscriber’s subscription, as the Commission determines; 27
(3) a calculation for virtual net energy metering as the Commission 28
determines; 29
(4) a protocol for electric companies, electricity suppliers, and subscriber 30
organizations to communicate the information necessary to calculate and provide the 31 12 HOUSE BILL 908
monthly electric bill credits and yearly net excess generation payments required by this 1
section; and 2
(5) a protocol for a subscriber organization to coordinate with an electric 3
company for the interconnection and commencement of operations of a community solar 4
energy generating system. 5
(F) (1) SUBJECT TO SUBSECTION (H) OF THIS SECTION , TO IMPLEMENT 6
THE PROGRAM, THE COMMISSION SHALL , ON OR BEFORE OCTOBER 1, 2024 7
JANUARY 1, 2025, ADOPT REVISIONS TO T HE REGULATIONS ADOPT ED UNDER 8
SUBSECTION (E) OF THIS SECTION FOR THE PILOT PROGRAM , INCLUDING REVISIONS 9
THAT: 10
(I) REMOVE ALL PROGRAM CATEGORIES , PROJECT 11
GENERATING CAPACITY LIMITS, YEARLY PROGRAMMATIC AND ELECTRIC 12
COMPANY–SPECIFIC CAPACITY LIMITS , AND SUNSET DATES SO THAT THE TOTAL 13
NUMBER AND CAPACITY OF COMMUNITY SOLAR E NERGY GENERATING SYS TEMS IS 14
SUBJECT ONLY TO THE OVERALL LIMITATION F OR ALL NET METERING PROJECTS 15
ESTABLISHED UNDER § 7–306(D) OF THIS SUBTITLE; 16
(II) AUTHORIZE ALL COMMUNITY SOLAR ENERGY GENERATING 17
SYSTEMS, INCLUDING THOSE CONS TRUCTED DURING THE P ILOT PROGRAM , TO 18
OPERATE AND GENERATE SUBSCRIPTION CREDITS UNTIL THE COMMUNITY SOLAR 19
ENERGY GENERATING SY STEM IS DECOMMISSION ED; 20
(III) ADJUST CO–LOCATION RESTRICTION S TO COMPLY WITH 21
SUBSECTION (D)(13) OF THIS SECTION; 22
(IV) ALLOW A CUSTOMER SUBSCRIBER ORGANIZAT ION OR 23
SUBSCRIPTION COORDIN ATOR TO VERIFY, WHEN SUBSCRIBING TO A COMMUNITY 24
SOLAR ENERGY GENERAT ING SYSTEM, THE INCOME OF A PROSPECTIVE SUBSCRIBER 25
FOR ELIGIBILITY AS A N LMI SUBSCRIBER UNDER THE PROGRAM BY USING ONE OF 26
THE FOLLOWING METHOD S: 27
1. SELF–ATTESTATION BY THE PROSPECTIVE 28
SUBSCRIBER THAT DOES NOT NEED T O BE UNDER OATH OR P ENALTY OF PERJURY ; 29
2. PROVIDING REQUIRING THE PROSPECTIVE 30
SUBSCRIBER TO PROVID E EVIDENCE OF ELIGIBIL ITY FOR OR ENROLLMEN T IN AT 31
LEAST ONE OF THE FOL LOWING GOVERNMENT AS SISTANCE PROGRAMS : 32
A. THE MARYLAND ENERGY ASSISTANCE PROGRAM; 33
HOUSE BILL 908 13
B. THE SUPPLEMENTAL NUTRITION ASSISTANCE 1
PROGRAM; 2
C. MEDICAID; 3
D. HEAD START; 4
E. FREE AND REDUCED PRI CE SCHOOL MEALS ; 5
F. THE FEDERAL LOW INCOME HOME ENERGY 6
ASSISTANCE PROGRAM; 7
G. EMPOWER MARYLAND LOW – OR 8
MODERATE–INCOME INCENTIVES ; 9
H. TELEPHONE LIFELINE S ERVICE; 10
I. THE FUEL FUND OF MARYLAND; OR 11
J. ANY ADDITIONAL FEDER AL, STATE, OR LOCAL 12
ASSISTANCE PROGRAM T HAT THE COMMISSION DETERMINES WILL FURTHER THE 13
PURPOSES OF THE PROGRAM; 14
3. PAY STUBS; 15
4. INCOME TAX DOCUMENTS ; 16
5. PROOF OF RESIDENCE I N AN AFFORDABLE HOUSING 17
FACILITY; 18
6. PROOF OF RESIDENCE W ITHIN A CENSUS TRACT THAT 19
IS: 20
A. AN OVERBURDENED COMM UNITY; AND 21
B. AN UNDERSERVED COMMU NITY; 22
7. ANY VERIFICATION MET HOD THAT WAS AVAILAB LE 23
UNDER THE PILOT PROG RAM; OR 24
8. ANY ADDITIONAL METHO DS APPROVED BY THE 25
COMMISSION TO VERIFY INCOME; 26
(V) REQUIRE ALL ELECTRIC COMPANIES TO USE : 27 14 HOUSE BILL 908
1. BILL CREDITS APPLIED AS A REDUCTION IN ME TERED 1
KILOWATT–HOURS; OR 2
2. MONETARY BILL CREDITS THAT PROVIDE NOT LESS 3
THAN THE VALUE TO THE SUBSCRIBER OF THE CREDIT HAD IT BE EN APPLIED TO THE 4
SUBSCRIBER’S BILL AS A REDUCTIO N IN METERED KILOWAT T–HOURS; AND 5
(VI) ESTABLISH PROCEDURES FOR THE COMMISSION TO : 6
1. COLLECT DATA FROM SU BSCRIBER ORGANIZATIO NS, 7
WHEN APPLYING TO THE COMMISSION FOR ADMISSION T O THE PROGRAM, ON: 8
A. THE TYPE AND QUANTIT Y OF FOREST COVER ON THE 9
SITE OF A PROPOSED C OMMUNITY SOLAR ENERG Y GENERATING SYSTEM ; AND 10
B. ANY ANTICIPATED IMPA CTS THAT THE 11
CONSTRUCTION OF THE PROPOSED COMMUNITY S OLAR ENERGY GENERATING 12
SYSTEM WILL HAVE ON TREES AND FOREST COV ER AT THE SITE OF TH E PROPOSED 13
COMMUNITY SOLAR ENER GY GENERATING SYSTEM ; AND 14
2. MAKE THE DATA COLLEC TED UNDER ITEM 1 OF THIS 15
ITEM AVAILABLE TO TH E PUBLIC IN A FORMAT AGGREGATED BY COUNTY . 16
(2) ON OR BEFORE OCTOBER 1, 2024 JULY 1, 2025, THE COMMISSION 17
SHALL APPROVE ELECTR IC COMPANY TARIFF MO DIFICATIONS THAT ARE 18
CONSISTENT WITH THE REGULATIONS ADOPTED UNDER THIS SUBSECTIO N. 19
(G) (1) SUBJECT TO SUBSECTION (H) OF THIS SECTION , ON OR BEFORE 20
APRIL JULY 1, 2025, THE COMMISSION SHALL ADOP T REGULATIONS THAT : 21
(I) IMPLEMENT CONSOLIDAT ED BILLING BY ELECTR IC 22
COMPANIES THAT MUST BE IN EFFE CT BY JANUARY 1, 2026, INCLUDING PROTOCOLS 23
FOR PURCHASE OF RECEIVAB LES PROTOCOLS OR NET CREDITING ; 24
(II) REQUIRE ALL ELECTRIC COMPANI ES TO REPORT BILLING 25
AND CREDITING ERRORS TO THE COMMISSION ON A REGUL AR SCHEDULE ; 26
(III) IMPOSE SPECIFIC TIMI NG REQUIREMENTS FOR 27
APPLICATION OF BILL CREDITS TO SUBSCRIBE R BILLS AND APPLICAT ION OF 28
ROLLOVER CREDITS ; 29
(IV) IMPLEMENT DATA EXCHANGE PROTOC OLS FOR ELECTRIC 30
COMPANIES, SUBSCRIBER ORGANIZAT IONS, AND SUBSCRIPTION COO RDINATORS, 31 HOUSE BILL 908 15
INCLUDING REQUIRED D ATA FIELDS FOR ELECT RIC COMPANY ALLOCATI ON 1
REPORTS; 2
(V) FOR SUBSCRIBERS ENRO LLED IN BUDGET BILLI NG, 3
REQUIRE ELECTRIC COM PANIES TO APPLY COMMUNITY S OLAR CREDITS TO THE 4
MONTHLY AMOUNT DUE R ATHER THAN THE UNDER LYING BALANCE ; 5
(VI) REQUIRE ALL ELECTRIC COMPANIES TO SHOW AP PLIED AND 6
BANKED CREDITS ON EA CH BILL RENDERED TO A SUBSCRIBER; AND 7
(VII) IMPLEMENT ANY ADDITI ONAL CHANGES THE COMMISSION 8
DETERMINES WILL IMPR OVE BILLING AND CRED ITING PROCESSES FOR 9
SUBSCRIBERS , SUBSCRIBER ORGANIZAT IONS, AND SUBSCRIPTION COO RDINATORS. 10
(2) ON OR BEFORE APRIL 1, 2025 JANUARY 1, 2026, THE 11
COMMISSION SHALL APPR OVE ELECTRIC COMPANY TARIFF MODIFI CATIONS THAT 12
ARE CONSISTENT WITH THE REGULATIONS ADOP TED UNDER THIS SUBSE CTION. 13
(H) THE COMMISSION SHALL CONV ENE A STAKEHOLDER WO RKGROUP TO 14
PROVIDE RECOMMENDATI ONS REGARDING THE RE GULATIONS TO BE ADOP TED BY 15
THE COMMISSION UNDER SUBS ECTIONS (F) AND (G) OF THIS SECTION. 16
(I) THE COMMISSION SHALL CONS IDER AND IMPLEMENT M ETHODOLOGIES 17
TO ALLOW THE TENANTS OF MASTER –METERED RESIDENTIAL FACILITIES TO 18
PARTICIPATE IN THE PROGRAM AND BENEFIT D IRECTLY FROM ANY ASS OCIATED 19
ELECTRIC BILL SAVING S. 20
[(f)] (J) (1) Subject to regulations or orders of the Commission, a contract 21
relating to a community solar energy generating system [or], subscriber organization, OR 22
SUBSCRIPTION COORDIN ATOR that is entered into during the pilot program OR THE 23
PROGRAM shall remain in effect according to the terms of the contract, including after the 24
termination of the pilot program OR THE PROGRAM. 25
(2) [(i) This paragraph applies to electric companies, electric 26
cooperatives, and municipal utilities that participate in the Program. 27
(ii) A subscriber who has a change in the service address associated 28
with the subscriber’s subscription may maintain the subscription for the new address if the 29
new address is within the same electric territory as the old address. 30
(iii) An electric company or a subscriber organization may not 31
terminate a subscriber’s subscription due to a change of address for the service address 32
associated with the subscription if the requirements under subparagraph (ii) of this 33
paragraph are met. 34
16 HOUSE BILL 908
(iv) An electric company shall make any changes necessary to 1
accommodate a subscriber’s change of address on notification by a subscriber organization. 2
(g) (3) After termination of the pilot program,] ON AND AFTER OCTOBER 1, 3
2023, in accordance with the operational and billing requirements in subsection (d) of this 4
section: 5
[(1)] (I) a subscriber organization may continue the operation of a 6
community solar energy generating system that began operation during the pilot program, 7
including the creation and trading of subscriptions; and 8
[(2)] (II) in accordance with the tariffs established under [subsection] 9
SUBSECTIONS (e)(2), (F)(2), AND (G)(2) of this section, an electric company shall continue 10
to facilitate the operation of a community solar energy generating system that began 11
operation during the pilot program. 12
[(h)] (K) The cumulative installed nameplate capacity under the pilot program 13
AND THE PROGRAM shall count toward the overall limitation for all net metering projects 14
established under § 7–306(d) of this subtitle. 15
(L) (1) (I) A SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION 16
COORDINATOR MAY NOT REQUIRE AN LMI SUBSCRIBER TO UNDERG O A CREDIT 17
CHECK OR PAY A SIGN –UP FEE TO SUBSCRIBE TO A COMMUNITY SOLAR ENERGY 18
GENERATING SYSTEM . 19
(II) A SUBSCRIBER ORGANIZATION OR SUBS CRIPTION 20
COORDINATOR SHALL : 21
1. VERIFY THE ELIGIBILI TY OF AN LMI SUBSCRIBER IN 22
ACCORDANCE WITH SUBS ECTION (F)(1)(IV) OF THIS SECTION; AND 23
2. RETAIN RECORDS OF EA CH DETERMINATION OF 24
ELIGIBILITY FOR AN LMI SUBSCRIBER TO BE MAD E AVAILABLE TO THE 25
COMMISSION ON REQUEST . 26
(2) A SUBSCRIBER WHO A SUB SCRIBER ORGANIZATION DETERMINED 27
WAS ELIGIBLE TO PART ICIPATE AS A LOW –INCOME OR MODERATE –INCOME 28
SUBSCRIBER UNDER THE PILOT PROGRAM SHALL REMAIN ELIGIBLE AS A N LMI 29
SUBSCRIBER UNDER THE PROGRAM. 30
(3) (I) A COMMUNITY SOLAR ENER GY GENERATING SYSTEM 31
CONSTRUCTED UNDER TH E PILOT PROGRAM IN A CATEGORY REQUIRING T HAT AT 32
LEAST 30% OF ITS KILOWATT –HOUR OUTPUT SERVE LO W–INCOME OR 33
MODERATE–INCOME SUBSCRIBERS S HALL CONTINUE TO SER VE AT LEAST 30% OF 34 HOUSE BILL 908 17
ITS KILOWATT –HOUR OUTPUT TO LOW –INCOME OR MODERATE –INCOME 1
SUBSCRIBERS . 2
(II) A COMMUNITY SOLAR ENER GY GENERATING SYSTEM 3
CONSTRUCTED UNDER TH E PILOT PROGRAM IN A CATEGORY REQUIRING T HAT AT 4
LEAST 51% OF ITS KILOWATT –HOUR OUTPUT SERVE LO W–INCOME OR 5
MODERATE–INCOME SUBSCRIBERS S HALL CONTINUE TO SER VE AT LEAST 51% OF 6
ITS KILOWATT –HOUR OUTPUT TO LOW –INCOME OR MODERATE –INCOME 7
SUBSCRIBERS . 8
(M) (1) A SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION COORDINATOR 9
MAY NOT CHARGE : 10
(I) A RESIDENTIAL SUBSCR IBER WHO IS NOT PARTICIPATING IN 11
CONSOLIDATED BILLING A SUBSCRIPTION RATE THAT IS MORE THAN TH E 12
MONETARY VALUE OF TH E BILL CREDIT ON A B ILL ISSUED BY THE EL ECTRIC 13
COMPANY TO THE SUBSC RIBER FOR ELECTRIC S ERVICE; OR 14
(II) AN LMI SUBSCRIBER A SUBSCRI PTION RATE THAT IS M ORE 15
THAN 90% OF THE MONETARY VALU E OF THE BILL CREDIT ON A BILL ISSUED BY THE 16
ELECTRIC COMPANY TO THE SUBSCRIBER FOR E LECTRIC SERVICE . 17
(N) (2) A SUBSCRIBER ORGANIZAT ION OR SUBSCRIPTION COORDINATOR 18
THAT ELECTS FOR A SU BSCRIBER TO PARTICIP ATE IN CONSOLIDATED BILLING MAY 19
NOT SET A SUBSCRIPTI ON CHARGE THAT IS MO RE THAN THE MONETARY VALUE OF 20
THE BILL CREDIT ON A BILL ISSUED BY THE E LECTRIC COMPANY TO T HE 21
SUBSCRIBER. 22
(O) (N) THE DEVELOPER OF A CO MMUNITY SOLAR ENERGY GENERATING 23
SYSTEM WITH A GENERA TING CAPACITY OVER 1 MEGAWATT , AS MEASURED IN 24
ALTERNATING CURRENT , SHALL ENSURE THAT WO RKERS ARE PAID NOT L ESS THAN 25
THE PREVAILING WAGE RATE DETERMINED UNDE R TITLE 17, SUBTITLE 2 OF THE 26
STATE FINANCE AND PROCUREMENT ARTICLE, UNLESS THE COMMUNITY SOLAR 27
ENERGY GENERATING SYSTEM IS SUBJECT TO A PROJECT LABOR AGREEMENT THAT : 28
(1) BINDS ALL CONTRACTOR S AND SUBCONTRACTORS ON THE 29
COMMUNITY SOLAR ENER GY GENERATING SYSTEM THROUGH THE INCLUSIO N OF 30
SPECIFICATIONS IN AL L RELEVANT SOLICITAT ION PROVISIONS AND C ONTRACT 31
DOCUMENTS; 32
(2) ALLOWS ALL CONTRACTO RS AND SUBCONTRACTOR S TO COMPETE 33
FOR CONTRACTS AND SU BCONTRACTS ON THE PR OJECT WITHOUT REGARD TO 34
WHETHER THEY ARE OTH ERWISE PARTIES TO CO LLECTIVE BARGAINING 35
AGREEMENTS ; 36 18 HOUSE BILL 908
(3) ESTABLISHES UNIFORM TERMS AND CONDITIONS OF 1
EMPLOYMENT FOR ALL C ONSTRUCTION LABOR EM PLOYED ON THE PROJEC TS; 2
(4) GUARANTEES AGAINST S TRIKES, LOCKOUTS, AND SIMILAR JOB 3
DISRUPTIONS; 4
(5) ESTABLISHES MUTUALLY BINDING PROCEDURES F OR RESOLVING 5
LABOR DISPUTES ; AND 6
(6) INCLUDES ANY OTHER P ROVISIONS NEGOTIATED BY THE PA RTIES 7
TO PROMOTE SUCCESSFU L DELIVERY OF THE CO MMUNITY SOLAR ENERGY 8
GENERATING SYSTEM . 9
Article – Tax – Property 10
7–237. 11
(a) Except as provided in subsection (b) of this section, personal property is 12
exempt from property tax if the property is machinery or equipment used to generate: 13
(1) electricity or steam for sale; or 14
(2) hot or chilled water for sale that is used to heat or cool a building. 15
(b) Subject to § 7–514 of this title, and except as provided in subsection (c) of this 16
section, personal property that is machinery or equipment described in subsection (a) of 17
this section is subject to county or municipal corporation property tax on: 18
(1) 75% of its value for the taxable year beginning July 1, 2000; and 19
(2) 50% of its value for the taxable year beginning July 1, 2001 and each 20
subsequent taxable year. 21
(c) (1) (i) In this subsection the following words have the meanings 22
indicated. 23
(ii) “Agrivoltaics” means the simultaneous use of areas of land for 24
both solar power generation and agriculture. 25
(iii) “Brownfield” means: 26
1. a former industrial or commercial site identified by federal 27
or State laws or regulations as contaminated or polluted; or 28
HOUSE BILL 908 19
2. a closed municipal or rubble landfill regulated under a 1
refuse disposal permit by the Department of the Environment. 2
(iv) “Community solar energy generating system” has the meaning 3
stated in § 7–306.2 of the Public Utilities Article. 4
(v) “Electric company” has the meaning stated in § 1–101 of the 5
Public Utilities Article. 6
(2) This subsection applies through the life cycle of a community solar 7
energy generating system that: 8
(i) is placed in service after June 30, 2022; and 9
(ii) has been approved on or before December 31, 2025, by the Public 10
Service Commission under § 7–306.2 of the Public Utilities Article. 11
(3) Personal property is exempt from county or municipal corporation 12
property tax if the property is machinery or equipment that is part of a community solar 13
energy generating system that: 14
(i) [as defined in regulation of the Public Service Commission, is 15
part of a community solar generating system that: 16
1.] has a generating capacity that does not exceed 2 17
megawatts as measured by the alternating current rating of the system’s inverter; [and 18
2.] (II) provides at least 50% of the energy it produces to 19
low– or moderate–income customers at a cost that is at least 20% less than the amount 20
charged by the electric company that serves the area where the community solar energy 21
generating system is located; and 22
[(ii)] (III) 1. is used for agrivoltaics; or 23
2. is installed on a rooftop, brownfield, parking facility 24
canopy, landfill, or clean fill. 25
(4) [Personal property that receives an exemption under this subsection is 26
exempt from county or municipal corporation property tax for each taxable year in which 27
the property continues to meet the requirements for the exemption under paragraph (3) of 28
this subsection. 29
(5) The supervisor of a county or municipal corporation may not accept an 30
application from a property owner for the exemption under this subsection after December 31
31, 2024. 32
20 HOUSE BILL 908
(6)] On or before October 1 each year, the Department shall report to the 1
Senate Budget and Taxation Committee and the House Ways and Means Comm ittee, in 2
accordance with § 2–1257 of the State Government Article, on the number and location of 3
projects that, in the immediately preceding taxable year, have received the exemption 4
under this subsection. 5
SECTION 2. AND BE IT FURTHER ENACTED, That a P osition Identification 6
Number shall be created in the Public Service Commission for a full–time position that will 7
focus only on implementing and administering the Community Solar Energy Generating 8
Systems Program under § 7–306.2 of the Public Utilities Article, as enacted under Section 9
1 of this Act. 10
SECTION 3. AND BE IT FURTHER ENACTED, That, notwithstanding any other 11
law, all regulations adopted under § 7–306.2(e) of the Public Utilities Article for the 12
operation of the Community Solar Energy Generating Systems Pilot Program before the 13
effective date of this Act shall continue in effect until amended or repealed. 14
SECTION 4. AND BE IT FURTHER ENACTED, That the prevailing wage and 15
project labor agreement required under § 7–306.2(o) § 7–306.2(n) of the Public Utilities 16
Article, as enacted by Section 1 of this Act, shall be construed to apply only prospectively 17
and may not be applied or interpreted to have any effect on or application to any community 18
solar energy generating system, as defined in § 7–306.2(a)(4) of the Public Utilities Article, 19
as enacted by Section 1 of this Act, that received a queue position in the Pilot Program, as 20
defined in § 7–306.2(a)(11) of the Public Utilities Article, as enacted by Section 1 of this Act, 21
before January 1, 2025. 22
SECTION 4. 5. AND BE IT FURTHER ENACTED, That this Act shall take effect 23
October July 1, 2023. 24
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
Speaker of the House of Delegates.
________________________________________________________________________________
President of the Senate.