2023 Tennessee Code › Title 6 - CITIES AND TOWNS (§§ 6-1-101 — 6-59-107) › MUNICIPAL GOVERNMENT GENERALLY (§§ 6-51-101 — 6-59-107) › Chapter 54 - MUNICIPAL POWERS GENERALLY (§§ 6-54-NEW — 6-54-1018) › Part 1 - GENERAL PROVISIONS (§§ 6-54-NEW — 6-54-148) › Section 6-54-148 - Energy siting agreements

(a)
As used in this section, unless the context otherwise requires:
(1)
"Energy project" means energy infrastructure improvements, whether composed of real or personal property, or both, for clean energy or renewable energy as those terms are defined in § 7-51-2401, including all sources listed in §§ 7-51-2403 and 7-51-2404; and
(2)
"Energy siting agreement" means a voluntary agreement by and between a municipality and a developer of energy infrastructure improvements approving the siting in the municipality of one (1) or more energy projects upon a finding that such an agreement is in the best interest of the municipality.
(b)
A municipality may enter into an energy siting agreement with a developer of an energy project, which agreement takes effect upon approval of the municipal legislative body by resolution and execution by the developer of the energy project.
(c)
An energy siting agreement shall specify the following:
(1)
The duration of the energy siting agreement;
(2)
The proposed tract or tracts of land on which the energy project is proposed to be located;
(3)
A description of the proposed energy project together with the nature of any allowable modifications to the described or depicted design of the energy project; and
(4)
Any additional terms determined to be necessary by the municipality and the developer.
(d)
An energy siting agreement may include reductions in setbacks, vegetative buffers, or other visual screening or fencing requirements that would otherwise be imposed on the energy project under existing applicable municipal ordinances or resolutions based upon site-specific conditions or a written waiver of such requirements by a landowner or landowners of property adjoining the affected tract of land where the energy project is proposed to be located.
(e)
Because the characteristics of energy projects may be consistent with agricultural uses, an energy siting agreement may authorize the siting of an energy project in a zoning district intended to be used primarily for agricultural or similar uses or in other rural areas upon a finding by the legislative body of the municipality that the proposed energy project is consistent with present or future agricultural uses in the surrounding area.
(f)
Modifications of design standards or conditions included in an energy siting agreement are binding during the vested period on all municipal agencies, boards, and commissions with the power to recommend, approve, or disapprove applications for a special exception, use permitted on appeal, conditional use permit, site plan, building permit, or another similar permit or approval required to site, construct, or operate an energy project in the municipality.
(g)
This section does not authorize a municipality to take any action that would constitute a de facto prohibition, as that term is used in § 7-51-2202, of any form of energy project based solely on the failure of an energy project to be the subject of an energy siting agreement.
(h)
Except to the extent expressly authorized in this section or another law, an energy siting agreement does not relieve any public agency of actual and timely performance of any obligation or responsibility imposed upon it by law.
Added by 2024 Tenn. Acts, ch. 814,s 10, eff. 6/1/2024.