(Reprinted with amendments adopted on April 18, 2025) FIRST REPRINT A.B. 493 - *AB493_R1* ASSEMBLY BILL NO. 493–COMMITTEE ON GROWTH AND INFRASTRUCTURE (ON BEHALF OF THE JOINT INTERIM STANDING COMMITTEE ON GROWTH AND INFRASTRUCTURE) MARCH 24, 2025 ____________ Referred to Committee on Growth and Infrastructure SUMMARY—Revises provisions relating to the collection, disposal and retirement of certain types of waste. (BDR 40-424) FISCAL NOTE: Effect on Local Government: May have Fiscal Impact. Effect on the State: Yes. ~ EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted. AN ACT relating to waste; requiring certain owners of a distributed generation system to file certain plans relating to the disposal of the distributed generation system with the Division of Environmental Protection of the State Department of Conservation and Natural Resources; requiring facilities that recycle materials from a distributed generation system or utility-scale solar project to file a report with the Division; requiring a surplus retirement plan to include certain information relating to the retirement of a utility-scale solar project; and providing other matters properly relating thereto. Legislative Counsel’s Digest: Existing law sets forth certain requirements for agreements for the lease or 1 purchase of a distributed generation system and for the purchase of the output of a 2 distributed generation system. (NRS 598.9801-598.9822) Section 33 of this bill 3 requires the owner of a distributed generation system that has been leased or from 4 which a customer is purchasing the output to file with the Division a plan for the 5 disposal of the distributed generation system at the end of the useful life of the 6 system. Section 37 of this bill requires an agreement for the lease of a distributed 7 generation system to include a description of any obligation the lessor has 8 regarding the disposition of the distributed generation system in accordance with 9 the plan. 10 – 2 – - *AB493_R1* Existing law requires certain electric utilities to file a surplus asset retirement 11 plan with the Public Utilities Commission of Nevada for each asset classified as 12 surplus and sets forth certain requirements for the plan. (NRS 704.734) Section 38 13 of this bill requires a surplus asset retirement plan for certain utility-scale solar 14 projects to include certain information relating to the decommissioning of a site of 15 such a project and the restoration of the land. 16 Section 36.5 of this bill requires each facility that recycles a distributed 17 generation system or utility-scale solar project or a component thereof to submit a 18 written report to the Division with certain information relating to the materials 19 received, recycled and recovered by the facility. 20 THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS: Section 1. (Deleted by amendment.) 1 Sec. 2. (Deleted by amendment.) 2 Sec. 3. (Deleted by amendment.) 3 Sec. 4. (Deleted by amendment.) 4 Sec. 5. (Deleted by amendment.) 5 Sec. 6. (Deleted by amendment.) 6 Sec. 7. (Deleted by amendment.) 7 Sec. 8. (Deleted by amendment.) 8 Sec. 9. (Deleted by amendment.) 9 Sec. 10. (Deleted by amendment.) 10 Sec. 11. (Deleted by amendment.) 11 Sec. 12. (Deleted by amendment.) 12 Sec. 13. (Deleted by amendment.) 13 Sec. 14. (Deleted by amendment.) 14 Sec. 15. (Deleted by amendment.) 15 Sec. 16. (Deleted by amendment.) 16 Sec. 17. (Deleted by amendment.) 17 Sec. 18. (Deleted by amendment.) 18 Sec. 19. (Deleted by amendment.) 19 Sec. 20. (Deleted by amendment.) 20 Sec. 21. (Deleted by amendment.) 21 Sec. 22. (Deleted by amendment.) 22 Sec. 23. (Deleted by amendment.) 23 Sec. 24. (Deleted by amendment.) 24 Sec. 25. (Deleted by amendment.) 25 Sec. 26. (Deleted by amendment.) 26 Sec. 27. (Deleted by amendment.) 27 Sec. 28. (Deleted by amendment.) 28 Sec. 29. (Deleted by amendment.) 29 Sec. 30. (Deleted by amendment.) 30 Sec. 31. (Deleted by amendment.) 31 Sec. 32. (Deleted by amendment.) 32 – 3 – - *AB493_R1* Sec. 33. Chapter 444 of NRS is hereby amended by adding 1 thereto a new section to read as follows: 2 1. In addition to any other requirement set forth in title 58 3 relating to the disposal of a distributed generation system, an 4 owner of a distributed generation system that is being leased to a 5 customer or from which a customer purchases the output, shall 6 file with the Division of Environmental Protection of the State 7 Department of Conservation and Natural Resources a written plan 8 for the disposal of the distributed generation system at the end of 9 the useful life of the distributed generation system. The plan must: 10 (a) In lieu of disposal, provide for the reuse, refurbishment or 11 recycling of any solar photovoltaic panels; and 12 (b) Include, without limitation: 13 (1) The name of the person that will be responsible for the 14 disposal of the distributed generation system; 15 (2) The extent and methods by which the distributed 16 generation system will be recycled, refurbished or reused; and 17 (3) For any solar photovoltaic panels that will be recycled, 18 the percentage rate of the material recovery in weight. 19 2. Except as otherwise provided in this subsection, the 20 percentage rate of the material recovery in weight for any solar 21 photovoltaic panels that will be recycled at the end of the useful 22 life of a distributed generation system must not be less than 90 23 percent. The State Environmental Commission may, by 24 regulations adopted pursuant to subsection 3, prescribe alternative 25 methods to measure the recycled content of a solar photovoltaic 26 panel that will be recycled. 27 3. The State Environmental Commission shall adopt 28 regulations to carry out the requirements of this section. 29 4. As used in this section: 30 (a) “Distributed generation system” means a system or facility 31 directly installed on or at a residence that uses solar energy to 32 generate electricity. 33 (b) “Residence” means any dwelling in which title to the 34 individual unit is transferred to the owners. 35 Sec. 34. (Deleted by amendment.) 36 Sec. 35. (Deleted by amendment.) 37 Sec. 36. (Deleted by amendment.) 38 Sec. 36.5. Chapter 444A of NRS is hereby amended by adding 39 thereto a new section to read as follows: 40 1. On or before March 1 of each year, each facility that 41 recycles a distributed generation system or utility-scale solar 42 project, or a component thereof, shall submit to the Division of 43 Environmental Protection of the State Department of 44 Conservation and Natural Resources, in the form prescribed by 45 – 4 – - *AB493_R1* the Division, a written report for the previous calendar year 1 containing: 2 (a) The total volume or tonnage of materials received by the 3 facility; 4 (b) The total volume or tonnage of materials recycled; and 5 (c) The recovery rates of materials recycled from a distributed 6 generation system or utility-scale solar project by the facility in 7 this State. 8 2. As used in this section: 9 (a) “Distributed generation system” has the meaning ascribed 10 to it in section 33 of this act. 11 (b) “Utility-scale solar project” has the meaning ascribed to it 12 in section 38 of this act. 13 Sec. 37. NRS 598.9811 is hereby amended to read as follows: 14 598.9811 An agreement for the lease of a distributed 15 generation system must include, without limitation, the following 16 information in at least 10-point font: 17 1. The name, mailing address, telephone number and number 18 of the contractor’s license of the solar installation company. 19 2. The name, mailing address and telephone number of: 20 (a) The lessor of the distributed generation system; and 21 (b) The name, mailing address and telephone number of the 22 person responsible for all maintenance of the distributed generation 23 system, if different from the solar installation company. 24 3. An estimated timeline for the installation of the distributed 25 generation system. 26 4. The length of the term of the lease. 27 5. A general description of the distributed generation system. 28 6. The amounts due at the signing for and at the completion of 29 the installation or any inspection of the distributed generation 30 system. 31 7. A description of any warranties. 32 8. The amount of the: 33 (a) Monthly payments due under the lease; and 34 (b) Total payments due under the lease, excluding taxes. 35 9. A description of any other one-time or recurring charges, 36 including, without limitation, a description of the circumstances that 37 trigger any late fees. 38 10. A description of any obligation the lessor has regarding the 39 installation, repair or removal of the distributed generation system. 40 11. A description of any obligation the lessor has regarding 41 construction of and insurance for the distributed generation system. 42 12. A description of any: 43 (a) Taxes due at the commencement of the lease; and 44 – 5 – - *AB493_R1* (b) Estimation of taxes known to be applicable during the term 1 of the lease, subject to any change in the state or local tax rate or tax 2 structure. 3 13. A copy of the warranty for the distributed generation 4 system. 5 14. A disclosure notifying the lessee of the transferability of 6 the obligations under the warranty to a subsequent lessee. 7 15. A description of any obligation the lessor has regarding 8 the disposition of the distributed generation system in accordance 9 with the plan filed pursuant to section 33 of this act. 10 16. The identification of any state or federal tax incentives that 11 are included in calculating the amount of the monthly payments due 12 under the lease. 13 [16.] 17. A description of the ownership of any tax credits, tax 14 rebates, tax incentives or portfolio energy credits in connection with 15 the distributed generation system. 16 [17.] 18. Any terms for renewal of the lease. 17 [18.] 19. A description of any option to purchase the 18 distributed generation system before the end of the term of the lease. 19 [19.] 20. A description of all options available to the host 20 customer in connection with the continuation, termination or 21 transfer of the lease in the event of the: 22 (a) Sale of the property to which the distributed generation 23 system is affixed; or 24 (b) Death of the lessee. 25 [20.] 21. A description of any restrictions that the lease 26 imposes on the modification or transfer of the property to which the 27 distributed generation system is affixed. 28 [21.] 22. The granting to the lessee of the right to rescind the 29 lease for a period ending not less than 3 business days after the lease 30 is signed. 31 [22.] 23. An estimate of the amount of electricity that could be 32 generated by the distributed generation system in the first year of 33 operation. 34 [23.] 24. A signature block that is signed and dated by the 35 lessor and the lessee of the distributed generation system. 36 Sec. 38. NRS 704.734 is hereby amended to read as follows: 37 704.734 1. For each asset which has been classified as 38 surplus by an electric utility pursuant to NRS 704.7338 or 39 reclassified as surplus by the Commission pursuant to NRS 40 704.7339, each electric utility which owns all or part of the asset 41 shall file a surplus asset retirement plan with the Commission within 42 120 days after the asset has been classified or reclassified as surplus. 43 Such a plan is subject to the approval of the Commission. 44 2. A surplus asset retirement plan must include: 45 – 6 – - *AB493_R1* (a) A brief description of the asset, including without limitation, 1 its generating capacity, its current condition and any details 2 regarding ownership. 3 (b) A plan for the decommissioning of the site, including 4 without limitation, the closure of any remaining operational 5 activities, any required environmental remediation, the removal and 6 disposal of any physical assets deemed unsuitable for 7 redevelopment and remediation, as determined by the Division of 8 Environmental Protection of the State Department of Conservation 9 and Natural Resources pursuant to NRS 704.7318, or, if 10 decommissioning is underway or completed, a full description of the 11 decommissioning program. 12 (c) A marketing plan for the sale of the asset, prepared in 13 consultation with the Office of Economic Development, which must 14 disclose any environmental issues or other restrictions and 15 emphasize the value of the asset in its marketplace. 16 (d) A timeline for implementation of the plan, including without 17 limitation, key dates for completion of benchmarks including a final 18 sale date. To the extent reasonably possible, the timeline must 19 indicate a final sale date that is within 30 months after 20 commencement of the plan. 21 (e) For each utility-scale solar project with a nameplate 22 capacity of 70 megawatts or more: 23 (1) The name, address and contact information of the 24 landowner on which the utility-scale solar project is sited, if the 25 owner is not the electric utility or an independent power producer; 26 (2) A narrative description of how the decommissioning of 27 the site will be conducted, including, without limitation, the 28 sequencing of the decommissioning, the disposition of any 29 materials used for the decommissioning, including, without 30 limitation, any materials used for the disposition, reuse or 31 recycling of equipment; 32 (3) A schedule for completion of the decommissioning; 33 (4) A narrative description of how the land will be returned 34 to a substantially similar state of the land as it existed before 35 construction of the utility-scale solar project; 36 (5) Any equipment relating to the utility-scale solar project 37 that is proposed to be salvaged; 38 (6) An estimate of the costs of decommissioning, including, 39 without limitation, any costs of recycling, and restoring the land; 40 and 41 (7) A description of the manner in which the surplus asset 42 retirement plan will be funded in accordance with NRS 704.870. 43 3. As used in this section: 44 – 7 – - *AB493_R1* (a) “Independent power producer” means a generating facility 1 that is connected to the system but is not owned by a public utility. 2 The term includes any qualifying cogeneration or small power 3 production facility subject to 18 C.F.R. Part 292 and any exempt 4 wholesale generator, as that term is defined in 15 U.S.C. § 79z-5a, 5 that is connected to the system but is not owned by a public utility. 6 The term does not include distributed generation. 7 (b) “Utility-scale solar project” means a ground-mounted 8 photovoltaic project capable of generating 70 megawatts or more 9 that is directly connected to an electric transmission system. The 10 term includes, without limitation, solar arrays, accessory 11 buildings, battery storage facilities, transmission facilities and any 12 other infrastructure necessary for the operation of the project. 13 Sec. 39. 1. This section and sections 1 to 32, inclusive, 34, 14 35, 36 and 38 of this act become effective on October 1, 2025. 15 2. Sections 33, 36.5 and 37 of this act become effective on 16 January 1, 2028. 17 H