Summary:

 House Bill 213 (HB 213) creates the School Solar Income Tax Credit and the School Solar Corporate Income Tax Credit to incentivize the installation of photovoltaic systems on public school and post-secondary educational institution properties. The credit is equal to 40% of installation costs and applies to taxable years prior to January 1, 2037. 

Legislation Overview:

 House Bill 213 (HB 213) establishes a new tax credit for taxpayers installing photovoltaic systems on public school or post-secondary educational institution properties. The tax credit covers 40% of installation costs, including labor, permitting, interconnection, and battery storage. The credit amount is based on either the actual cost of installation or the appraised value of the system used for federal tax credit purposes.

The bill requires applicants to obtain certification from the Energy, Minerals, and Natural Resources Department (EMNRD). Taxpayers may sell or transfer the credit, and any unused portion is refundable. The program’s total funding is capped at $300 million, with a maximum of $100 million per year before 2028.

Implications
HB 213 is likely to encourage the installation of solar systems at schools, reducing energy costs and promoting renewable energy use. The credit will reduce state tax revenues, and administrative costs will be incurred by the EMNRD to verify eligibility and track credit issuance. The ability to transfer credits may increase participation.
 

Current Law:

 No current tax credits exist specifically for solar installations at schools. HB 213 introduces financial incentives for educational institutions to adopt solar power, aligning with broader renewable energy initiatives.