Solar Legislation By Michael D. Klemm, Dougherty, Molenda, Solfest, Hills & Bauer P.A.
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n 2014, bills were introduced in the Minnesota House and Minnesota Senate attempting to limit associations’ authority to regulate solar energy systems. The Community Associations Institute Minnesota Legislative Action Committee (CAI-MN LAC) advocated for the interests of community associations at the state capitol, and ultimately the proposed legislation was defeated. This article will provide an in-depth look at proposed solar legislation from the 2014 Minnesota session, the national context, and CAI’s public policies relevant to this hot topic.
Minnesota Solar Bill As introduced in 2014, House File 2918 proposed the following general rule: (a) A private entity may not prohibit or refuse to permit installation, maintenance, or use of a roof-mounted solar energy system by the owner of a single-family house or townhouse. (b) A covenant, restriction, or condition contained in a deed, security instrument, homeowners association document, or other instrument affecting the transfer or sale of, or an interest in, real property that prohibits or has the effect of prohibiting the owner of a single-family house or townhouse from installing, maintaining, or using a roof-mounted solar energy system is void and unenforceable. As introduced, HF 2918 would have allowed an association to require that: (1)
a licensed contractor install a solar energy system;
(2) a roof-mounted solar energy system not extend above the peak or beyond the edge of the roof; (3) the owner or installer of a solar energy system indemnify or reimburse the private entity or its members for loss or damage caused by the installation, maintenance, use, repair, or removal of a solar energy system; (4) the owner and each successive owner of a solar energy system list the private entity as a certificate holder on the homeowner’s insurance policy; (5) the owner and each successive owner of a solar energy system be responsible for removing the system if reasonably necessary for the repair, maintenance, or replacement of common elements or limited common elements, as defined in section 515B.1-103;
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Minnesota Communit y Living
(6) A solar energy system must meet applicable standards and requirements imposed by the state and by governmental units, as defined in section 462.384; and (7) A solar energy system for heating water must be certified by the Solar Rating Certification Corporation (SRCC) or other nationally recognized certification agency. A solar energy system for producing electricity must meet all applicable safety and performance standards established by the National Electrical Code, the Institute of Electrical and Electronics Engineers, and accredited testing laboratories, such as Underwriters Laboratories and, where applicable, rules of the Public Utilities Commission regarding safety and reliability. As introduced, HF 2918 also would have allowed an association to impose other reasonable restrictions on the installation, maintenance, or use of solar energy systems, provided that those restrictions would not increase the cost of a solar water heating installation more than 20 percent above the system cost as originally specified and proposed, or decrease the system’s expected production by more than 20 percent; and provided that those restrictions would not increase the cost of a solar photovoltaic installation more than $2,000 above the system cost as originally specified and proposed. As noted above, the proposed legislation to limit the authority of associations to regulate solar energy systems in Minnesota was defeated in 2014.
National Context According to CAI’s Government & Public Affairs Committee, 25 states prohibit or offer the ability to prohibit covenants or restrictions that prevent the installation of solar panels and associated devices, and 15 states (including Minnesota) have laws that recognize solar easements without having an express solar rights law (see Minn. Stat. § 500.30). Detailed information including a national map and excerpts from state laws is available on CAI’s website, in the article titled Solar Rights and Easements by State.
CAI Public Policies CAI’s Government & Public Affairs Committee has developed public policy positions on key issues that affect CAI members. Relevant to associations’ authority to regulate solar systems are the following CAI public policies: … on Conservation, Sustainability and Green Issues CAI supports environmental and energy-efficiency policies that