An Act To Modernize Maine's Solar Power Policy and Encourage Economic Development
Maine Legislature, Session 127, LD 1649
Committee Amendment CA_A_H666 (House)

COMMITTEE AMENDMENT "A" to H.P. 1120, L.D. 1649, Bill, "An Act To 
Modernize Maine's Solar Power Policy and Encourage Economic Development" 
Amend the bill in section 4 in §3471-A in subsection 4 in the 4th line (page 3, line 15 
in L.D.) by striking out the following: "this section the beneficial use of the output of the 
resources" and inserting the following: 'section 3478 the beneficial use of the output' 
Amend the bill in section 4 in §3471-A by striking out all of subsection 6 (page 3, 
lines 18 to 27 in L.D.) and inserting the following: 
'6. Micro-combined heat and power system. "Micro-combined heat and power 
system" means a system that produces heat and electricity in a manner as defined by 
commission rule.' 
Amend the bill in section 6 in §3476 in subsection 3 in paragraph B in the last line 
(page 5, line 37 in L.D.) by striking out the following: "3479" and inserting the following: 
'3480' 
Amend the bill in section 6 in §3476 in subsection 3 in paragraph C in the last line 
(page 5, line 39 in L.D.) by inserting after the following: "pursuant to" the following: 
'section 34 78, subsection 8 and' 
Amend the bill in section 6 in §3478 in subsection 8 by striking out all of the last 4 
lines (page 8, lines 13 to 16 in L.D.) and inserting the following: 
'The commission shall establish a mechanism to allow a subscriber to a large-scale 
community solar distributed generation resource under this section to purchase renewable 
energy credits equivalent to those the subscriber has sold to the standard solar buyer at a 
price equal to 80% of market value.' 
Amend the bill in section 6 in §3480 in subsection 2 by striking out all of the next to 
the last blocked paragraph (page 11, lines 9 to 14 in L.D.) and inserting the following: 
'In meeting the procurement targets in section 3475, subsection 4, the commission shall 
set rates at levels designed to ensure insofar as possible that total annual contract 
payments for new distributed generation resources procured under this section do not 
COMMITTEE AMENDMENT 
f.,, 
I. 
~o"is 
COMMITTEEAMENDMENT"~"to H.P.1120, LD.1649 
exceed $10,500,00 per year through 2022. For the purposes of setting these rates, the 
commission shall assume system performance of solar distributed generation resources 
that reflects the best available data on actual performance of solar distributed generation 
resources in the State, assuming an export rate of 50%, and may not include the effect of 
the adjustment mechanism in subsection 3. Rates set under this subsection may be 
constant or increase over the term of the contract.' 
Amend the bill in section 6 in §3480 by striking out all of subsection 3 (page 11, lines 
to 23 in L.D.) and inserting the following:: 
'3. Rate adiustment mechanism. The commission shall establish an adjustment 
mechanism to ensure that the procurement targets established under section 3475 can be 
met under reasonable future assumptions by automatically increasing rates for new 
customers by a specified amount if the total solar distributed generation resource capacity 
installed by residential and small business customers under this section is less than 85% 
of the applicable target established in section 3475, subsection 4. The evaluation to 
determine whether this adjustment is triggered must occur at 6-month intervals.' 
Amend the bill in section 6 in §3480 in subsection 4 in the first line (page 11, line 24 
in L.D.) by striking out the following: "section" and inserting the following: 'subsection' 
Amend the bill in section 6 in §3480 in subsection 7 in the first paragraph by striking 
out all of the last sentence (page 12, lines 8 and 9 in L.D.) and inserting the following: 
'Notwithstanding the limitation on facility size under subsection 1, the commission shall 
establish a process to permit customers eligible under this subsection to enter into 
contracts and receive payments under subsections 1 and 2.' 
Amend the bill in section 6 in §3480 in subsection 7 in the first blocked paragraph in 
the first line (page 12, line 10 in L.D.) by striking out the following: "A customer" and 
inserting the following: 'Notwithstanding the limitation on facility size under subsection 
1, a customer' 
Amend the bill in section 6 in §3480 by striking out all of subsection 11 (page 12, 
lines 42 and 43 and page 13, lines 1 to 26 in L.D.) and inserting the following: 
'11. Program review. By one year after the effective date of rules adopted pursuant 
to subsection 10, or when 14 megawatts of capacity have been installed by residential and 
small business customers pursuant to this section. whichever is earlier, the commission 
shall initiate an expedited proceeding to determine whether: 
A. The procurement targets in section 3475, subsection 4 are likely to be met through 
2022;and 
B. The total cost to all customers is likely to be less than if the procurement targets in 
section 3475, subsection 4 were installed under the commission's net energy billing 
rules. 
If at the time of a proceeding under this subsection the commission concludes that there is 
not sufficient information to conduct an evaluation of the conditions under paragraphs A 
and B. the commission may defer the evaluation for an additional 6 months. 
COMMITTEE .AMENDMENT 
~o-<is 
COMMITTEE AMENDMENT 'ft" to H.P. 1120, L.D. 1649 
If the commission concludes that both conditions under paragraphs A and B will be met, 
the rules established pursuant to subsection 10 remain in effect, and net energy billing 
pursuant to section 3209-A is not available to new customers in the future. 
If the commission concludes that the condition under paragraph A or B will not be met, 
the commission shall make findings regarding the reasons the condition will not be met 
and provide a report summarizing its conclusions to the joint standing committee of the 
Legislature having jurisdiction over utility matters within 30 days of the start of the First 
Regular Session of the 129th Legislature. If the commission determines that the rules 
adopted under this section can be modified to enable the program to meet procurement 
targets or reduce costs so that the conditions under paragraphs A and B are likely to be 
met in the future, it shall make and submit such changes to the First Regular Session of 
the 129th Legislature. If the commission determines that these rules cannot be modified 
to meet these targets or reduce costs, the commission shall review its net energy billing 
rules or recommend alternative mechanisms to support distributed generation in a manner 
that benefits all ratepayers. If the commission does not propose changes to the rules 
adopted pursuant to subsection 10 or new rules are not adopted within 60 days of the 
adjournment of the First Regular Session of the 129th Legislature, net energy billing 
pursuant to section 3209-A must be made available to new customers beginning 60 days 
after adjournment of the First Regular Session of the 129th Legislature.' 
Amend the bill in section 7 in the first line (page 13, line 40 in L.D.) by striking out 
the following: "Siting of solar distributed generation resources." and inserting the 
following: 'Report; siting of solar distributed generation resources on pre-existing 
impervious surfaces or brownfields.' 
Amend the bill by adding after section 7 the following: 
'Sec. 8. 
Report; siting of solar distributed generation resources on 
farmland. 
By January 1, 2017, the Department of Agriculture, Conservation and 
Forestry shall submit to the joint standing committee of the Legislature having 
jurisdiction over energy and utilities matters and the joint standing committee of the 
Legislature having jurisdiction over agricultural matters a report that evaluates what 
actions can be taken to ensure that any new solar distributed generation resource procured 
pursuant to the Maine Revised Statutes, Title 35-A, sections 3477 to 3479 and proposed 
to be built on farmland designated as "prime farmland" or "farmland of statewide 
importance" by the United States Department of Agriculture, is designed and built in a 
manner that does not remove topsoil or otherwise permanently impair the suitability of 
that land for future agricultural use. The report must also include an evaluation of what 
actions can be taken to ensure that the decommissioning of solar distributed generation 
resources procured pursuant to Title 35-A, sections 3477 to 3479 on farmland that is 
designated as "prime farmland" or "farmland of statewide importance" occurs in a 
manner that enables the farmland to be returned to agricultural use. The report may 
include recommendations for legislation that may be necessary to address these issues. 
The joint standing committees may each report out a bill to the First Regular Session of 
the 128th Legislature based on the report. The Public Utilities Commission may not 
contract for a new solar distributed generation resource pursuant to Title 35-A, sections 
3477 to 3479 if it is to be sited on farmland designated as "prime farmland" or "farmland 
COMMITTEE AMENDMENT 
~ o1s 
COMMITTEE AMENDMENT "fl "to H.P. 1120, L.D. 1649 
of statewide importance" by the United Stat4~S Department of Agriculture until 90 days 
after the First Regular Session of the 128th Legislature. 
Sec. 9. Appropriations and allocations. The following appropriations and 
allocations are made. 
AGRICULTURE, CONSERVATION AND FORESTRY, DEPARTMENT OF 
Geological Survey Z237 
Initiative: Provides funds to hire a consultant to assist the department in preparing a 
report related to solar distributed generation resources proposed to be built on certain 
farmland. 
GENERAL FUND 
All Other 
GENERAL FUND TOTAL 
AGRICULTURE, CONSERVATION AND 
FORESTRY, DEPARTMENT OF 
DEPARTMENT TOTALS 
GENERAL FUND 
DEPARTMENT TOTAL-ALL FUNDS 
2015-16 
$0 
$0 
2015-16 
$0 
$0 
2016-17 
$10,000 
$10,000 
2016-17 
$10,000 
$10,000 
PUBLIC UTILITIES COMMISSION 
Public Utilities - Administrative Division 0184 
Initiative: Establishes one Utility Analyst - Public Services Coordinator III position and 
one Staff Attorney - Public Services Coordinator III position. 
OTHER SPECIAL REVENUE FUNDS 
POSITIONS - LEGISLATIVE COUNT 
Personal Services 
All Other 
OTHER SPECIAL REVENUE FUNDS TOT AL 
PUBLIC UTILITIES COMMISSION 
DEPARTMENT TOTALS 
OTHER SPECIAL REVENUE FUNDS 
2015-16 
0.000 
$0 
$0 
$0 
2015-16 
$0 
COMMITTEE AMENDMENT 
2016-17 
2.000 
$203,946 
$11,372 
$215,318 
2016-17 
$215,318 
~o-<is 
COMMITTEE AMENDMENT "1 "to H.P. 1120, L.D. 1649 
DEPARTMENT TOTAL-ALL FUNDS 
SECTION TOTALS 
GENERAL FUND 
OTHER SPECIAL REVENUE FUNDS 
SECTION TOTAL - ALL FUNDS 
SUMMARY 
$0 
2015-16 
$0 
$0 
$0 
$215,318 
2016-17 
$10,000 
$215,318 
$225,318 
This amendment is the majority report of the committee. This amendment does the 
following. 
1. It corrects cross-references in the bill to other sections within the bill and corrects 
terminology for consistency. 
2. It clarifies language regarding rates and the rate adjustment mechanism as they 
relate to the residential and small business segment. 
3. It clarifies that existing net energy customers may enter into contracts even if they 
exceed the facility size limitations in the bill for a residential and small business 
distributed generation resource. 
4. It changes the time frame for program review of the residential and small business 
segment to one year or when 14 megawatts of capacity have been installed, whichever is 
earlier, instead of 18 months or 21 megawatts as in the bill. 
5. It changes the reporting date on the program review from the Second Regular 
Session of the 129th Legislature to the First Regular Session of the 129th Legislature. 
6. It requires the Department of Agriculture, Conservation and Forestry to submit a 
report to the joint standing committee of the Legislature having jurisdiction over energy 
and utilities matters and the joint standing committee of the Legislature having 
jurisdiction over agricultural matters that evaluates what actions can be taken to ensure 
that any new solar distributed generation resource procured pursuant to the Maine 
Revised Statutes, Title 35-A, sections 3477 to 3479 on "prime farmland" or "farmland of 
statewide importance" is designed, built and decommissioned in a manner that retains 
topsoil and enables the farmland to be returned to agricultural use. Each committee is 
authorized to report out a bill to the First Regular Session of the 128th Legislature based 
on the report. 
7. 
It prohibits the Public Utilities Commission from contracting for new solar 
COMMITTEE AMENDMENT 
o~c; 
~ 
COMMITIEE AMENDMENT ·A "to H.P. 1120, L.D. 1649 
distributed generation resources to be sited on farmland designated as "prime farmland" 
or "farmland of statewide importance" until 90 days after the First Regular Session of the 
128th Legislature. 
8. It adds an appropriations and allocations section. 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved: 04/12/16 
;b.?ac:.. 
LD 1649 
LR2731(02) 
An Act To Modernize Maine's Solar Power Policy and Encourage Economic Development 
Fiscal Note for Bill as Amended by Committee Amendment ,A, { #-,l,fo) 
Committee: Energy, Utilities and Technology 
Fiscal Note Required: Yes 
Fiscal Note 
Projections 
Projections 
FY 2015-16 
FY 2016-17 
FY2017-18 
FY 2018-19 
Net Cost (Savings) 
General Fund 
$0 
$10,000 
$0 
$0 
Appropriations/ Allocations 
General Fund 
$0 
$10,000 
$0 
$0 
Other Special Revenue Funds 
$0 
$215,318 
$252,998 
$263,258 
Revenue 
Other Special Revenue Funds 
$0 
$215,318 
$252,998 
$263,258 
Fiscal Detail and Notes 
The bill requires the Public Utilities Commission (PUC) to arrange for a solar power offer, conduct competitive 
solicitations for solar distributed generation resources and initiate a proceeding. The bill establishes one Utility 
Analyst - Public Services Coordinator III position and one Staff Attorney - Public Services Coordinator III position to 
take part in the required proceedings, rulemakings and periodic solicitations and contract evaluations. This bill 
includes an Other Special Revenue Funds allocation of$215,318 in fiscal year 2016-17 for these two positions. The 
PUC will receive $215,318 in Other Special Revenue Funds revenue in fiscal year 2016-17 from increased 
assessments to fund these two new positions. 
The bill also requires the Department of Agriculture, Conservation and Forestry (ACF) to submit a report to the 
Legislature that evaluates what actions can be taken to ensure that any new solar distributed generation resource 
procured and proposed to be built on certain farmland does not remove topsoil or impair the suitabiltiy of that land for 
agricultural use. ACF has indicated the cost to hire a consultant to prepare this report would be $10,000. The bill 
includes a one-time General Fund appropriation in fiscal year 2016-17 for this purpose. 
LR2731 (02) - Fiscal Note - Page 1 of 1