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.
*sb0783*
SENATE BILL 783
C5, M5, Q1 4lr2521
CF HB 1435
By: Senators Elfreth, Augustine, Beidle, Brooks, Feldman, Guzzone, Hester,
Hettleman, and Kagan
Introduced and read first time: February 1, 2024
Assigned to: Education, Energy, and the Environment and Budget and Taxation
Committee Report: Favorable with amendments
Senate action: Adopted
Read second time: March 16, 2024
CHAPTER ______
AN ACT concerning 1
Renewable Energy – Net Energy Metering Aggregation, Solar Renewable 2
Energy Credits Certified SRECs and Compliance Fees, Labor Requirements , 3
and Taxes on Solar Energy Generating Systems 4
(Brighter Tomorrow Act) 5
FOR the purpose of requiring that certain home improvement contracts for the installation 6
of a solar energy generating system on the roof of a building include the installation 7
of a certain wildlife barrier under certain circumstances; altering the maximum 8
generating capacity authorized for certain net metered generating facilities; 9
authorizing an eligible customer–generator participating in certain meter 10
aggregation to receive excess generation from more than one generating system; 11
altering the expiration date of renewable energy credits; requiring the Public Service 12
Commission to establish a Small Solar Energy Generating System Incentive 13
Program to provide certain certified systems with a certain additional percentage of 14
renewable energy credits certain certified SRECs that may be put toward meeting 15
the renewable energy portfolio standard for solar energy; providing that a certified 16
system is eligible to receive an additional percentage of renewable energy credits for 17
the life cycle of the system certain certified SRECs for a certain period of time; 18
requiring an owner of a certain solar energy generating system to pay a certain fee 19
to the Commission; increasing the duration of a certain renewable energy credit 20
under certain circumstances; requiring that certain prevailing wage provisions apply 21
to the construction of a certain certified solar energy generating system unless the 22
system is subject to a certain project labor agreement; requiring a certain percentage 23
of proceeds received by the Maryland Strategic Energy Investment Fund from 24 2 SENATE BILL 783
certain compliance fees to be credited to a certain account for certain purposes; 1
extending for a certain number of years a certain personal property tax exemption 2
for certain community solar energy generating system projects; exempting certain 3
nonresidential solar generating systems from the State or local real or personal 4
property tax; authorizing a county or municipal corporation to reduce or eliminate 5
an assessment on certain real property on which a certain solar energy generating 6
system is located; requiring a county to enter into a certain payment in lieu of taxes 7
agreement with an owner of a certain ground–mounted solar generating facility 8
under certain circumstances; and generally relating to renewable energy facilities 9
and contracts and tax provisions for renewable energy facilities. 10
BY repealing and reenacting, without amendments, 11
Article – Business Regulation 12
Section 8–501(a) 13
Annotated Code of Maryland 14
(2015 Replacement Volume and 2023 Supplement) 15
BY adding to 16
Article – Business Regulation 17
Section 8–501(f) 18
Annotated Code of Maryland 19
(2015 Replacement Volume and 2023 Supplement) 20
BY repealing and reenacting, with amendments, 21
Article – Public Utilities 22
Section 7–306(g) and (i), 7–709(d), and 7–712 23
Annotated Code of Maryland 24
(2020 Replacement Volume and 2023 Supplement) 25
BY adding to 26
Article – Public Utilities 27
Section 7–306(i) and, 7–709.1, and 7–714 28
Annotated Code of Maryland 29
(2020 Replacement Volume and 2023 Supplement) 30
BY repealing and reenacting, without amendments, 31
Article – State Government 32
Section 9–20B–05(a) through (c) 33
Annotated Code of Maryland 34
(2021 Replacement Volume and 2023 Supplement) 35
BY adding to 36
Article – State Government 37
Section 9–20B–05(g–1) 38
Annotated Code of Maryland 39
(2021 Replacement Volume and 2023 Supplement) 40
SENATE BILL 783 3
BY repealing and reenacting, without amendments, 1
Article – Tax – Property 2
Section 1–101(j) 3
Annotated Code of Maryland 4
(2019 Replacement Volume and 2023 Supplement) 5
BY repealing and reenacting, with amendments, 6
Article – Tax – Property 7
Section 7–237(c) 8
Annotated Code of Maryland 9
(2019 Replacement Volume and 2023 Supplement) 10
BY adding to 11
Article – Tax – Property 12
Section 7–249, 7–250, and 7–522 Section 7–249 and 7–250 13
Annotated Code of Maryland 14
(2019 Replacement Volume and 2023 Supplement) 15
SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 16
That the Laws of Maryland read as follows: 17
Article – Business Regulation 18
8–501. 19
(a) A home improvement contract that does not comply with this section is not 20
invalid merely because of noncompliance. 21
(F) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION , A 22
HOME IMPROVEMENT CON TRACT FOR THE INSTAL LATION OF A SOLAR EN ERGY 23
GENERATING SYSTEM ON THE ROOF OF A BUILDI NG SHALL INCLUDE THE 24
INSTALLATION OF A BA RRIER THAT MEETS IND USTRY STANDARDS TO P REVENT 25
WILDLIFE INTRUSION A ND DAMAGE TO THE SOL AR ENERGY GENERATING SYSTEM 26
OR THE UNDERLYING RO OF. 27
(2) A HOME IMPROVEMENT CON TRACT FOR THE INSTAL LATION OF A 28
SOLAR ENERGY GENERAT ING SYSTEM ON THE RO OF OF A BUILDING IS NOT 29
REQUIRED TO INCLUDE THE INSTALLA TION OF A BARRIER AS SPECIFIED UNDER 30
PARAGRAPH (1) OF THIS SUBSECTION I F THE CUSTOMER HAS W AIVED THE 31
INSTALLATION OF THE BARRIER AFTER BEING INFORMED OF THE COST OF THE 32
BARRIER AND THE RISK S OF NOT INSTALLING A WILDLIFE BARRIER . 33
Article – Public Utilities 34
7–306. 35
4 SENATE BILL 783
(g) (1) Except as provided in paragraphs [(6) and (7)] (6), (7), AND (8) of this 1
subsection, the generating capacity of an electric generating system used by an eligible 2
customer–generator for net metering may not exceed 2 megawatts. 3
(2) An electric generating system used by an eligible customer–generator 4
for net metering shall meet all applicable safety and performance standards established by 5
the National Electrical Code, the Institute of Electrical and Electronics Engineers, and 6
Underwriters Laboratories. 7
(3) The Commission may adopt by regulation additional control and testing 8
requirements for eligible customer–generators that the Commission determines are 9
necessary to protect public safety and system reliability. 10
(4) An electric company may not require an eligible customer–generator 11
whose electric generating system meets the standards of paragraphs (2) and (3) of this 12
subsection to: 13
(i) install additional controls; 14
(ii) perform or pay for additional tests; or 15
(iii) purchase additional liability insurance. 16
(5) An eligible customer–generator or the eligible customer–generator’s 17
assignee shall own and have title to all renewable energy attributes or renewable energy 18
credits associated with any electricity produced by its electric generating system. 19
(6) The Commission may not prohibit the construction or operation of 20
multiple net metered solar energy generating facilities located on separate contiguous lots 21
that are owned by a local government solely because the capacity of the combined net 22
metering systems exceeds the limit established under paragraph (1) of this subsection, if: 23
(i) the net metered solar energy generating facilities are intended to 24
be used solely for the benefit of the local government; 25
(ii) the total capacity of the net metered solar energy generating 26
facilities on the contiguous lots does not exceed 5 megawatts; 27
(iii) the contiguous lots were not subdivided for the purpose of 28
circumventing the limit established under paragraph (1) of this subsection; and 29
(iv) the utility serving the net metered solar energy generating 30
facilities is not an electric cooperative or municipal electric utility. 31
(7) The generating capacity of a community solar energy generating system 32
established under § 7–306.2 of this subtitle that is used for net metering may not exceed 5 33
megawatts. 34 SENATE BILL 783 5
(8) THE GENERATING CAPACI TY OF A NET METERED FACILITY THAT 1
IS METER AGGREGATED UNDER § 7–306.3 OF THIS SUBTITLE MAY NOT EXCEED 5 2
MEGAWATTS . 3
(I) NOTWITHSTANDING THE G ENERATING CAPACITY LIMITS E STABLISHED 4
IN SUBSECTION (G) OF THIS SECTION , AN ELIGIBLE CUSTOMER –GENERATOR 5
PARTICIPATING IN MET ER AGGREGATION UNDER § 7–306.2 OR § 7–306.3 OF THIS 6
SUBTITLE MAY RECEIVE EXCESS GENERATION FR OM MORE THAN ONE GEN ERATING 7
SYSTEM, INCLUDING IF THE COMBINED GENE RATING CAPACITY OF A LL NET 8
METERED FACILITIES T HAT ARE METER AGGREG ATED EXCEEDS 5 MEGAWATTS . 9
[(i)] (J) On or before November 1 of each year, the Commission shall report to 10
the General Assembly, in accordance with § 2–1257 of the State Government Article, on the 11
status of the net metering program under this section, including: 12
(1) the amount of capacity of electric generating facilities owned and 13
operated by eligible customer–generators in the State by type of energy resource; 14
(2) based on the need to encourage a diversification of the State’s energy 15
resource mix to ensure reliability, whether the rated generating capacity limit in subsection 16
(d) of this section should be altered; and 17
(3) other pertinent information. 18
7–709. 19
(d) (1) Except as PROVIDED IN § 7–709.1 OF THIS SUBTITLE AND 20
authorized under paragraph (2) of this subsection, a renewable energy credit shall exist for 21
3 5 years from the date created. 22
(2) A renewable energy credit may be diminished or extinguished before 23
the expiration of 3 5 years by: 24
(i) the electricity supplier that received the credit; 25
(ii) a nonaffiliated entity of the electricity supplier: 26
1. that purchased the credit from the electricity supplier 27
receiving the credit; or 28
2. to whom the electricity supplier otherwise transferred the 29
credit; or 30
(iii) demonstrated noncompliance by the generating facility with the 31
requirements of § 7–704(f) of this subtitle. 32 6 SENATE BILL 783
7–709.1. 1
(A) (1) IN THIS SECTION THE F OLLOWING WORDS HAVE THE MEANINGS 2
INDICATED. 3
(2) “BROWNFIELD” HAS THE MEANING STAT ED IN § 7–207 OF THIS 4
TITLE. 5
(3) “CERTIFIED SREC” MEANS A SOLAR RENEWA BLE ENERGY 6
CREDIT GENERATED BY A CERTIFIED SYSTEM . 7
(4) “CERTIFIED SYSTEM ” MEANS A SOLAR ENERGY GENERATING 8
SYSTEM CERTIFIED BY THE COMMISSION AS ELIGIBLE TO RECEI VE ADDITIONAL 9
CREDITS UNDER THE PROGRAM UNDER THE PROGRAM TO GENERATE C ERTIFIED 10
SRECS WITH THE COMPLIANC E VALUE SPECIFIED IN SUBSECTION (C) OF THIS 11
SECTION. 12
(3) (5) “PROGRAM” MEANS THE SMALL SOLAR ENERGY 13
GENERATING SYSTEM INCENTIVE PROGRAM. 14
(B) THE COMMISSION SHALL ESTA BLISH A SMALL SOLAR ENERGY 15
GENERATING SYSTEM INCENTIVE PROGRAM. 16
(C) UNDER THE PROGRAM, SOLAR ENERGY GENERAT ING SYSTEMS THAT 17
ARE CERTIFIED BY THE COMMISSION IN ACCORDA NCE WITH THIS SECTIO N SHALL 18
BE ELIGIBLE TO RECEI VE ADDITIONAL SOLAR RENEWABLE ENERGY CRE DITS AS 19
PROVIDED IN THIS SEC TION. 20
(C) (1) UNDER THE PROGRAM, A CERTIFIED SYSTEM S HALL GENERATE 21
CERTIFIED SRECS. 22
(2) EXCEPT AS PROVIDED IN PARAGRAP H (3) OF THIS SUBSECTION , 23
THE PROVISIONS OF TH IS SUBTITLE RELATING TO RENEWABLE ENERGY CREDITS 24
SHALL APPLY TO CERTI FIED SRECS. 25
(3) A CERTIFIED SREC SHALL HAVE A COMPLIA NCE VALUE OF 150% 26
FOR ELECTRICITY SUPP LIERS TO PUT TOWARD MEETING THE RENEWABLE ENE RGY 27
PORTFOLIO STANDARD F OR ENERGY DERIVED FR OM SOLAR ENERGY UNDE R § 7–703 28
OF THIS SUBTITLE. 29
(D) TO BE ELIGIBLE FOR CE RTIFICATION UNDER TH E PROGRAM, A SOLAR 30
ENERGY GENERATING SY STEM SHALL: 31
SENATE BILL 783 7
(1) BE LOCATED IN THE STATE; 1
(2) BE ELIGIBLE FOR INCL USION IN MEETING THE RENEWABLE 2
ENERGY PORTFOLIO STA NDARD; 3
(3) HAVE A GENERATING CA PACITY OF 2 5 MEGAWATTS OR LESS , AS 4
MEASURED BY THE ALTE RNATING CURRENT RATI NG OF THE SYSTEM ’S INVERTER; 5
AND 6
(4) BE PLACED IN SERVICE BETWEEN JULY 1, 2024, AND JANUARY 1, 7
2028, INCLUSIVE; AND 8
(5) BE ONE OF THE FOLLOW ING TYPES OF SYSTEMS : 9
(I) A SYSTEM WITH A GENE RATING CAPACITY OF 20 KILOWATTS 10
OR LESS, AS MEASURED BY THE A LTERNATING CURRENT R ATING OF THE SYSTEM ’S 11
INVERTER; 12
(II) A SYSTEM WITH A GENERATING CA PACITY OF 2 MEGAWATTS 13
OR LESS, AS MEASURED BY THE A LTERNATING CURRENT R ATING OF THE SYSTEM ’S 14
INVERTER, IF THE SYSTEM IS USE D FOR AGGREGATE NET METERING; OR 15
(III) A SYSTEM WITH A GENE RATING CAPACITY OF B ETWEEN 20 16
KILOWATTS AND 5 MEGAWATTS, AS MEASURED BY THE A LTERNATING CURRENT 17
RATING OF THE SYSTEM ’S INVERTER, IF THE SYSTEM IS LOC ATED ON A ROOFTOP , A 18
PARKING CANOPY , OR A BROWNFIELD . 19
(E) EXCEPT AS PROVIDED IN SUBSECTION (F) OF THIS SECTION , THE 20
COMMISSION, AT THE TIME OF CERTI FYING A SOLAR ENERGY GENERATING SYSTEM 21
AS A TIER 1 RENEWABLE SOURCE , SHALL CERTIFY THE SY STEM AS ELIGIBLE TO 22
RECEIVE CERTIFIED SRECS IN ACCORDANCE WITH SUBSECTION (C) OF THIS 23
SECTION IF THE APPLI CANT SUBMITS WITH IT S APPLICATION FOR CE RTIFICATION 24
AS A TIER 1 RENEWABLE SOURCE : 25
(1) A FORM REQUESTING TO BE CERTIFIED TO RECE IVE CERTIFIED 26
SRECS WITH THE VALUE SPE CIFIED IN SUBSECTION (C) OF THIS SECTION; 27
(2) A COPY OF THE INTERCONNECTION AGREEMENT BETWEEN TH E 28
APPLICANT AND THE AP PLICANT’S ELECTRIC COMPANY I NDICATING THAT THE S IZE 29
OF THE SYSTEM IS ELI GIBLE; 30
(3) IF SEEKING CERTIFICA TION AS A SYSTEM LOC ATED ON OR OVER A 31
ROOF, PARKING LOT, OR PARKING STRUCTURE , A COPY OF THE FINAL APPROVAL OF 32
THE LOCAL BUILDING P ERMIT; 33 8 SENATE BILL 783
(4) IF SEEKING CERTIFICA TION AS A SYSTEM LOC ATED ON A 1
BROWNFIELD , DOCUMENTATION DEMONS TRATING THAT THE SYS TEM IS LOCATED 2
ON A BROWNFIELD ; 3
(5) IF SEEKING CERTIFICA TION BASED ON AGGREG ATED NET 4
METERING, A COPY OF THE AGGREG ATED NET ENERGY METE RING RIDER 5
SUBMITTED WITH THE I NTERCONNECTION AGREE MENT; AND 6
(6) ANY OTHER INFORMATIO N REQUIRED BY THE COMMISSION. 7
(F) (1) THE OWNER OF A SOLAR ENERGY GENERATING SY STEM MAY 8
APPLY TO THE COMMISSION TO BE CERTIFIED UNDER THE PROGRAM IF THE 9
SYSTEM MEETS THE REQ UIREMENTS UNDER SUBS ECTION (D) OF THIS SECTION. 10
(2) THE OWNER OF A SOLAR ENERGY GENERATING SY STEM THAT IS 11
PLACED IN SERVICE BE TWEEN JULY 1, 2024, AND JANUARY 1, 2025, MAY APPLY TO 12
THE COMMISSION: 13
(I) BEFORE JANUARY 1, 2025, FOR CERTIFICATION AS A TIER 1 14
RENEWABLE SOURCE ; AND 15
(II) ON OR AFTER JANUARY 1, 2025, FOR CERTIFICATION 16
UNDER THE PROGRAM. 17
(E) (G) THE TOTAL AMOUNT OF I N–STATE GENERATING CAPA CITY FOR 18
CERTIFIED SYSTEMS , AS MEASURED BY T HE ALTERNATING CURRE NT RATING OF 19
THE SYSTEMS’ INVERTERS, UNDER THE PROGRAM MAY NOT EXCEE D: 20
(1) 330 300 MEGAWATTS FOR SYSTEM S WITH A GENERATING 21
CAPACITY OF LESS THA N 20 KILOWATTS, AS MEASURED BY THE A LTERNATING 22
CURRENT RATING OF TH E SYSTEM’S INVERTER; AND 23
(2) 300 270 MEGAWATTS FOR SYSTEM S WITH A GENERATING 24
CAPACITY OF BETWEEN 20 KILOWATTS AND 2 5 MEGAWATTS , AS MEASURED BY THE 25
ALTERNATING CURRENT RATING OF THE SYSTEM ’S INVERTER. 26
(F) (1) THE OWNER OF A SOLAR ENERGY GENERATING SY STEM MAY 27
APPLY TO THE COMMISSION TO BE CERT IFIED UNDER THE PROGRAM. 28
(2) THE OWNER OF A CERTIF IED SYSTEM SHALL PAY A ONE–TIME FEE 29
OF $100 TO THE COMMISSION AT THE TIM E OF THE CERTIFICATI ON. 30
SENATE BILL 783 9
(H) (1) AT THE TIME A SOLAR E NERGY GENERATING SYS TEM IS 1
CERTIFIED AS A TIER 1 RENEWABLE SOURCE, THE OWNER OF THE SYS TEM SHALL 2
PAY TO THE COMMISSION A ONE –TIME FEE OF: 3
(I) UP TO $50 FOR EACH SYSTEM WITH A GENERATING 4
CAPACITY OF LESS THA N 20 KILOWATTS, AS MEASURED BY THE A LTERNATING 5
CURRENT RATING OF TH E SYSTEM’S INVERTER; AND 6
(II) UP TO $200 FOR EACH SYSTEM WITH A GENERATING 7
CAPACITY OF MORE THA N 20 KILOWATTS, AS MEASURED BY THE A LTERNATING 8
CURRENT RATING OF TH E SYSTEM’S INVERTER. 9
(3) (2) THE COMMISSION SHALL USE THE FEES COLLECTED U NDER 10
PARAGRAPH (2) (1) OF THIS SUBSECTION T O PAY FOR COSTS ASSOCI ATED WITH 11
ADMINISTERING THE PROGRAM. 12
(G) (1) A CERTIFIED SYSTEM UND ER THE PROGRAM SHALL RECEIVE : 13
(I) FOR SYSTEMS WITH A G ENERATING CAPACITY O F UP TO 2 14
MEGAWATTS , AS MEASURED BY THE A LTERNATING CURRENT R ATING OF THE 15
SYSTEM’S INVERTER, 150% CREDIT TOWARD MEETIN G THE RENEWABLE ENER GY 16
PORTFOLIO STANDARD F OR ENERGY DERIVED FR OM SOLAR; AND 17
(II) FOR SYSTEMS WITH A G ENERATING CAPACITY O F UP TO 2 18
MEGAWATTS , AS MEASURED BY THE A LTERNATING CURRENT R ATING OF THE 19
SYSTEM’S INVERTER, THAT ARE LOCATED ON A ROO FTOP, A PARKING CANOPY , OR A 20
BROWNFIELD , 200% CREDIT TOWARD MEETIN G THE RENEWABLE ENER GY 21
PORTFOLIO STANDARD F OR ENERGY DERIVED FR OM SOLAR. 22
(2) A CERTIFIED SYSTEM IS ELIGIBLE TO RECEIVE THE PERCENTAGE 23
CREDIT SPECIFIED IN PARAGRAPH (1) OF THIS SUBSECTION F OR THE ENTIRE 24
LIFE CYCLE OF THE SY STEM. 25
(H) NOTWITHSTANDING § 7–709(D)(1) OF THIS SUBTITLE , A CREDIT 26
CREATED BY A CERTIFI ED SYSTEM UNDER THE PROGRAM SHALL EXIST F OR 5 YEARS 27
FROM THE DATE CREATE D. 28
(I) THE DEVELOPER OF A CE RTIFIED SYSTEM UNDER THE PROGRAM THAT 29
HAS A GENERATING CAP ACITY OVER 1 MEGAWATT , AS MEASURED BY THE 30
ALTERNATING CURRENT RATING OF THE SYSTEM ’S INVERTER, SHALL ENSURE THAT 31
WORKERS ARE PAID NOT LESS THAN THE PREVAI LING WAGE RATE DETER MINED 32
UNDER TITLE 17, SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT 33
ARTICLE, UNLESS THE SYSTEM IS SUBJECT TO A PROJECT LABOR AGREEMENT 34
THAT: 35 10 SENATE BILL 783
(1) BINDS ALL CONTRACTOR S AND SUBCONTRACTORS ON THE 1
SYSTEM THROUGH THE I NCLUSION OF SPECIFIC ATIONS IN ALL RELEVA NT 2
SOLICITATION PROVISI ONS AND CONTRACT DOCUMENTS ; 3
(2) ALLOWS ALL CONTRACTO RS AND SUBCONTRACTOR S TO COMPETE 4
FOR CONTRACTS AND SU BCONTRACTS ON THE PR OJECT WITHOUT REGARD TO 5
WHETHER THEY ARE OTH ERWISE PARTIES TO CO LLECTIVE BARGAINING 6
AGREEMENTS ; 7
(3) ESTABLISHES UNIFORM TERMS AND CONDITIONS OF 8
EMPLOYMENT FOR ALL C ONSTRUCTION LABOR EM PLOYED ON THE PROJEC TS; 9
(4) GUARANTEES AGAINST S TRIKES, LOCKOUTS, AND SIMILAR JOB 10
DISRUPTIONS; 11
(5) ESTABLISHES MUTUALLY BINDING PROCEDURES F OR RESOLVING 12
LABOR DISPUTES ; AND 13
(6) INCLUDES ANY OTH ER PROVISIONS NEGOTI ATED BY THE PARTIES 14
TO PROMOTE SUCCESSFU L DELIVERY OF THE SY STEM. 15
(I) (1) A CERTIFIED SYSTEM SHA LL CONTINUE TO BE EL IGIBLE TO 16
RECEIVE CERTIFIED SRECS FOR 15 YEARS AFTER THE DATE OF CERTIFICATION BY 17
THE COMMISSION, OR JANUARY 1, 2025, WHICHEVER IS LATER , AFTER WHICH THE 18
SYSTEM SHALL BE ELIG IBLE TO RECEIVE NONC ERTIFIED SOLAR RENEW ABLE 19
ENERGY CREDITS AS LO NG AS THE SYSTEM MEE TS THE REQUIREMENTS AS A TIER 1 20
RENEWABLE SOURCE UND ER THIS SUBTITLE. 21
(2) THE COMMISSION SHALL : 22
(I) ON OR BEFORE JANUARY 1, 2025, BEGIN DETERMINING 23
ELIGIBILITY OF SOLAR ENERGY GENERATING SY STEMS TO BE CERTIFIE D UNDER 24
THE PROGRAM; AND 25
(II) ON OR BEFORE JULY 1, 2026, IMPLEMENT A REVISED 26
SYSTEM TO REVIEW AND ENSURE COMPLIANCE WI TH THE RENEWABLE ENE RGY 27
PORTFOLIO STANDARD . 28
(3) AN ELECTRICITY SUPPLI ER MAY APPLY THE CER TIFIED SRECS 29
GENERATED IN ACCORDA NCE WITH THIS SECTIO N TOWARD THE RENEWAB LE 30
ENERGY PORTFOLIO STA NDARD STARTING W ITH THE 2025 COMPLIANCE YEAR . 31
SENATE BILL 783 11
(4) NOTWITHSTANDING ANY O THER LAW, THE COMMISSION SHALL 1
ALLOW ELECTRICITY SU PPLIERS TO DEMONSTRA TE COMPLIANCE WITH T HE 2
RENEWABLE ENERGY POR TFOLIO STANDARD FOR THE 2025 COMPLIANCE YEAR BY 3
SUBMITTING INFORMATI ON BETWEEN JULY 1, 2026, AND DECEMBER 31, 2026, 4
USING THE REVISED SY STEM DEVELOPED IN AC CORDANCE WITH PARAGR APH (2)(II) 5
OF THIS SUBSECTION . 6
7–712. 7
Subject to § 2–1257 of the State Government Article, on or before December 1 of each 8
year the Commission shall report to the General Assembly on the status of implementation 9
of this subtitle, including: 10
(1) the availability of Tier 1 renewable sources[,]; 11
(2) projects supported by the Fund[,]; 12
(3) INFORMATION REGARDIN G THE STATUS OF THE SMALL SOLAR 13
ENERGY GENERATING SYSTEM INCENTIVE PROGRAM ESTABLISHED U NDER § 14
7–709.1 OF THIS SUBTITLE , INCLUDING THE TOTAL AMOUNT OF GENERATING 15
CAPACITY OF THE SYST EMS CERTIFIED UNDER THE PROGRAM; and 16
(4) other pertinent information. 17
7–714. 18
THE DEVELOPER OF A SO LAR ENERGY GENERATIN G SYSTEM THAT HAS A 19
GENERATING CAPACITY OVER 1 MEGAWATT , AS MEASURED BY THE A LTERNATING 20
CURRENT RATING OF TH E SYSTEM’S INVERTER, SHALL ENSURE THAT WO RKERS ARE 21
PAID NOT LESS THAN T HE PREVAILING WAGE RATE D ETERMINED UNDER TITLE 17, 22
SUBTITLE 2 OF THE STATE FINANCE AND PROCUREMENT ARTICLE, UNLESS THE 23
SYSTEM IS SUBJECT TO A PROJECT LABOR AGRE EMENT THAT: 24
(1) BINDS ALL CONTRACTOR S AND SUBCONTRACTORS ON THE 25
SYSTEM THROUGH THE I NCLUSION OF SP ECIFICATIONS IN ALL RELEVANT 26
SOLICITATION PROVISI ONS AND CONTRACT DOC UMENTS; 27
(2) ALLOWS ALL CONTRACTO RS AND SUBCONTRACTOR S TO COMPETE 28
FOR CONTRACTS AND SU BCONTRACTS ON THE PR OJECT WITHOUT REGARD TO 29
WHETHER THEY ARE OTH ERWISE PARTIES TO CO LLECTIVE BARGAI NING 30
AGREEMENTS ; 31
(3) ESTABLISHES UNIFORM TERMS AND CONDITIONS OF 32
EMPLOYMENT FOR ALL C ONSTRUCTION LABOR EM PLOYED ON THE PROJEC TS; 33 12 SENATE BILL 783
(4) GUARANTEES AGAINST S TRIKES, LOCKOUTS, AND SIMILAR JOB 1
DISRUPTIONS; 2
(5) ESTABLISHES MUTUALLY BINDING PROCEDURES F OR RESOLVING 3
LABOR DISPUTES ; AND 4
(6) INCLUDES ANY OTHER P ROVISIONS NEGOTIATED BY THE PARTIES 5
TO PROMOTE SUCCESSFU L DELIVERY OF THE SY STEM. 6
Article – State Government 7
9–20B–05. 8
(a) There is a Maryland Strategic Energy Investment Fund. 9
(b) The purpose of the Fund is to implement the Strategic Energy Investment 10
Program. 11
(c) The Administration shall administer the Fund. 12
(G–1) UP TO 10% OF THE PROCEEDS RECE IVED BY THE FUND FROM 13
COMPLIANCE FEES UNDE R § 7–705(B)(2)(I)2 OF THE PUBLIC UTILITIES ARTICLE 14
SHALL BE CREDITED TO A N ADMINISTRATIVE EXP ENSE ACCOUNT FOR COS TS 15
RELATED TO THE ADMIN ISTRATION OF THE FUND. 16
SECTION 2. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 17
as follows: 18
Article – Tax – Property 19
1–101. 20
(j) (1) “Department” means the State Department of Assessments and 21
Taxation. 22
(2) “Department” includes, unless the context requires otherwise, a 23
supervisor. 24
7–237. 25
(c) (1) (i) In this subsection the following words have the meanings 26
indicated. 27
(ii) “Agrivoltaics” means the simultaneous use of areas of land for 28
both solar power generation and agriculture. 29 SENATE BILL 783 13
(iii) “Brownfield” means: 1
1. a former industrial or commercial site identified by federal 2
or State laws or regulations as contaminated or polluted; or 3
2. a closed municipal or rubble landfill regulated under a 4
refuse disposal permit by the Department of the Environment. 5
(iv) “Community solar energy generating system” has the meaning 6
stated in § 7–306.2 of the Public Utilities Article. 7
(v) “Electric company” has the meaning stated in § 1–101 of the 8
Public Utilities Article. 9
(2) This subsection applies through the life cycle of a community solar 10
energy generating system that: 11
(i) is placed in service after June 30, 2022; and 12
(ii) has been approved on or before December 31, [2025] 2030, by 13
the Public Service Commission under § 7–306.2 of the Public Utilities Article. 14
(3) Personal property is exempt from county or municipal corporation 15
property tax if the property is machinery or equipment that is part of a community solar 16
energy generating system that: 17
(i) has a generating capacity that does not exceed 2 5 megawatts as 18
measured by the alternating current rating of the system’s inverter; 19
(ii) provides at least 50% of the energy it produces to low– or 20
moderate–income customers at a cost that is at least 20% less than the amount charged by 21
the electric company that serves the area where the community solar energy generating 22
system is located; and 23
(iii) 1. is used for agrivoltaics; or 24
2. is installed on a rooftop, brownfield, parking facility 25
canopy, landfill, or clean fill. 26
(4) On or before October 1 each year, the Department shall report to the 27
Senate Budget and Taxation Committee and the House Ways and Means Commi ttee, in 28
accordance with § 2–1257 of the State Government Article, on the number and location of 29
projects that, in the immediately preceding taxable year, have received the exemption 30
under this subsection. 31
7–249. 32 14 SENATE BILL 783
(A) THIS SECTION APPLIES ONLY TO NONRESIDENTIAL SOLAR ENERGY 1
GENERATING SYSTEMS T HAT ARE APPROVED BY THE PUBLIC SERVICE COMMISSION 2
UNDER § 7–207 OR § 7–207.1 OF THE PUBLIC UTILITIES ARTICLE ON OR AFTER 3
JULY 1, 2024. 4
(B) NONRESIDENTIAL SOLAR ENERGY GENERATING SY STEMS THAT ARE 5
CONSTRUCTED ON THE R OOFTOPS OF BUILDINGS OR ON PARKING FACILI TY 6
CANOPIES ARE NOT SUB JECT TO VALUATION OR TO PROPERTY TAX . 7
7–250. 8
(A) THIS SECTION APPLIES ONLY TO REAL PROPERT Y THAT INCLUDES A 9
PARKING FACILITY ON WHICH A SOLAR ENERGY GENERATING SYSTEM HA S BEEN 10
CONSTRUCTED ON ITS C ANOPY IF THE SOLAR E NERGY GENERATING SYS TEM HAS 11
BEEN APPROVED BY THE PUBLIC SERVICE COMMISSION UNDER § 7–207 OR § 12
7–207.1 OF THE PUBLIC UTILITIES ARTICLE ON OR AFTER JULY 1, 2024. 13
(B) THE GOVERNING BODY OF A COUNTY OR MUNICIPA L CORPORATION MAY 14
REDUCE OR ELIMINATE , BY LAW, THE PERCENTAGE OF TH E ASSESSMENT OF ANY 15
REAL PROPERTY THAT I S SUBJECT TO THE COU NTY OR MUNICIPAL COR PORATION 16
PROPERTY TAX UNDER T HIS ARTICLE IF THE R EAL PROPERTY INCLUDE S A PARKING 17
FACILITY ON WHICH A SOLAR EN ERGY GENERATING SYST EM HAS BEEN 18
CONSTRUCTED ON ITS C ANOPY. 19
(B) (C) (1) A COUNTY OR MUNICIPAL CORPORATION THAT RED UCES 20
OR ELIMINATES THE PE RCENTAGE OF ASSESSME NT OF TAXABLE REAL P ROPERTY 21
UNDER SUBSECTION (A) (B) OF THIS SECTION SHAL L SUBMIT A COPY OF T HE LAW TO 22
THE DEPARTMENT . 23
(2) IF THE DEPARTMENT RECEIVES A COPY OF THE LAW ON O R 24
BEFORE MAY 1, THE CHANGE WILL BE E FFECTIVE FOR THE TAX ABLE YEAR 25
FOLLOWING THE DATE T HE LAW IS ENACTED . 26
(C) (D) IF ANY REAL PROPERTY IS EXEMPT UNDER SUBS ECTION (B) (C) OF 27
THIS SECTION FROM COUNT Y PROPERTY TAX BUT I S SUBJECT TO MUNICIP AL 28
CORPORATION PROPERTY TAX, THE DEPARTMENT OR THE SUP ERVISOR SHALL 29
PROVIDE THE MUNICIPA L CORPORATION WITH T HE ASSESSMENT OF THE REAL 30
PROPERTY. 31
(D) (E) THE DEPARTMENT MAY ADOPT REGULATIONS TO IM PLEMENT 32
THIS SECTION. 33
7–522. 34 SENATE BILL 783 15
THE GOVERNING BODY OF A COUNTY SHALL EXEMP T OR PARTIALLY EXEMP T 1
A GROUND–MOUNTED SOLAR ENERGY GENERATING SYSTEM FR OM THE COUNTY 2
REAL OR PERSONAL PRO PERTY TAX IF THE OWN ER OF THE SYSTEM AND THE 3
COUNTY ENTER INTO A PAYMENT IN LIEU OF TAXES AGREEM ENT, APPROVED BY 4
ORDINANCE OF THE LEG ISLATIVE BODY OF THE COUNTY, THAT SPECIFIES: 5
(1) THAT THE OWNER OF TH E SYSTEM SHALL PAY T O THE COUNTY 6
EACH YEAR IN LIEU OF THE PAYMENT OF COUNT Y REAL OR PERSONAL P ROPERTY 7
TAXES DURING THE TER M OF THE AGREEMENT THE SU M OF $2,500 PER MEGAWATT 8
OF GENERATING CAPACI TY OF THE SYSTEM , AS MEASURED BY THE A LTERNATING 9
CURRENT RATING OF TH E SYSTEM’S INVERTER; 10
(2) THE TERM OF THE AGRE EMENT; AND 11
(3) THAT EACH YEAR AFTER THE EXPIRATION OR TE RMINATION OF 12
THE AGREEMENT , FULL REAL AND PERSON AL PROPERTY TAXES SH ALL BE PAYABLE 13
ON THE PROPERTY . 14
SECTION 3. AND BE IT FURTHER ENACTED, That the Laws of Maryland read 15
as follows: 16
Article – Public Utilities 17
7–306. 18
(g) (1) Except as provided in paragraphs [(6) and (7)] (6), (7), AND (8) of this 19
subsection, the generating capacity of an electric generating system used by an eligible 20
customer–generator for net metering may not exceed 2 megawatts. 21
(2) An electric generating system used by an eligible customer–generator 22
for net metering shall meet all applicable safety and performance standards established by 23
the National Electrical Code, the Institute of Electrical and Electronics Engineers, and 24
Underwriters Laboratories. 25
(3) The Commission may adopt by regulation additional control and testing 26
requirements for eligible customer–generators that the Commission determines are 27
necessary to protect public safety and system reliability. 28
(4) An electric company may not require an eligible customer–generator 29
whose electric generating system meets the standards of paragraphs (2) and (3) of this 30
subsection to: 31
(i) install additional controls; 32
(ii) perform or pay for additional tests; or 33 16 SENATE BILL 783
(iii) purchase additional liability insurance. 1
(5) An eligible customer–generator or the eligible customer–generator’s 2
assignee shall own and have title to all renewable energy attributes or renewable energy 3
credits associated with any electricity produced by its electric generating system. 4
(6) The Commission may not prohibit the construction or operation of 5
multiple net metered solar energy generating facilities located on separate contiguous lots 6
that are owned by a local government solely because the capacity of the combined net 7
metering systems exceeds the limit established under paragraph (1) of this subsection, if: 8
(i) the net metered solar energy generating facilities are intended to 9
be used solely for the benefit of the local government; 10
(ii) the total capacity of the net metered solar energy generating 11
facilities on the contiguous lots does not exceed 5 megawatts; 12
(iii) the contiguous lots were not subdivided for the purpose of 13
circumventing the limit established under paragraph (1) of this subsection; and 14
(iv) the utility serving the net metered solar energy generating 15
facilities is not an electric cooperative or municipal electric utility. 16
(7) The generating capacity of a community solar energy generating system 17
established under § 7–306.2 of this subtitle that is used for net metering may not exceed 5 18
megawatts. 19
(8) THE GENERATING CAPACI TY OF A NET METERED FACILITY THAT 20
IS METER AGGREGATED UNDER § 7–306.3 OF THIS SUBTITLE MAY NOT EXCEED 5 21
MEGAWATTS . 22
(I) NOTWITHSTANDING THE G ENERATING CAPACITY L IMITS ESTABLISHED 23
IN SUBSECTION (G) OF THIS SECTION , AN ELIGIBLE CUSTOMER –GENERATOR 24
PARTICIPATING IN MET ER AGGREGATION UNDER § 7–306.2 OR § 7–306.3 OF THIS 25
SUBTITLE MAY RECEIVE EXCESS GENERATION FR OM MORE THAN ONE GEN ERATING 26
SYSTEM, INCLUDING IF THE COM BINED GENERATING CAP ACITY OF ALL NET 27
METERED FACILITIES T HAT ARE METER AGGREG ATED EXCEEDS 5 MEGAWATTS . 28
[(i)] (J) On or before November 1 of each year, the Commission shall report to 29
the General Assembly, in accordance with § 2–1257 of the State Government Article, on the 30
status of the net metering program under this section, including: 31
(1) the amount of capacity of electric generating facilities owned and 32
operated by eligible customer–generators in the State by type of energy resource; 33
SENATE BILL 783 17
(2) based on the need to encourage a diversification of the State’s energy 1
resource mix to ensure reliability, whether the rated generating capacity limit in subsection 2
(d) of this section should be altered; and 3
(3) other pertinent information. 4
SECTION 3. 4. AND BE IT FURTHER ENACTED, That a presen tly existing 5
obligation or contract right may not be impaired in any way by this Act. 6
SECTION 4. 5. AND BE IT FURTHER ENACTED, That Section 2 of this Act shall 7
be applicable to all taxable years beginning after June 30, 2024. 8
SECTION 6. AND BE IT FURTHER ENACTED, That Section 3 of this Act shall take 9
effect January 1, 2025. 10
SECTION 5. 7. AND BE IT FURTHER ENACTED, That , except as provided in 11
Section 6 of this Act, this Act shall take effect June 1, 2024. 12
Approved:
________________________________________________________________________________
Governor.
________________________________________________________________________________
President of the Senate.
________________________________________________________________________________
Speaker of the House of Delegates.