24 Pa. Stat. § 785.3

Current through Pa Acts 2024-53, 2024-56 through 2024-127
Section 785.3 - Solar for schools grant program
(a) Establishment.--The Solar for Schools Grant Program is established in the department to award grants to eligible applicants on a competitive basis to the extent that money is appropriated for this purpose.
(b)Use of grants.--A grant awarded under this section shall be used by the eligible applicant for eligible project costs related to a solar energy project.
(c)Duties of department.--The department shall have the following powers and duties to the extent that money is appropriated for such purposes:
(1) To establish guidelines necessary to implement this act.
(2) To establish the process through which eligible applicants may apply for grant money.
(3) To develop standards for the conduct of a solar facility site assessment.
(4) To provide technical assistance to eligible applicants as appropriate, including, but not limited to, maintaining a list of qualified providers.
(5) To develop educational materials about using, purchasing, financing and maintaining solar energy projects.
(6) To develop a financial risk and savings report that all solar energy projects approved under this act shall utilize and update monthly, to be used by the eligible applicant. The following apply:
(i) The report shall be submitted quarterly and posted on the publicly accessible Internet website of the Department of Education.
(ii) The report shall include, but not be limited to, the following:
(A) The total cost of the solar energy project before any deductible amounts.
(B) The total cost of the solar energy project after any deductible amounts.
(C) An analysis of energy and cost savings, including a calculation of the kilowatts produced by the solar energy project multiplied by the current cost of electricity per kilowatt hour, subtracted from the total cost of electricity during the same billing period from the previous year.
(D) Solar renewable energy credit sales and savings.
(E) Operations and maintenance costs.
(7) To provide information related to funding opportunities through the Inflation Reduction Act.

(8) To ensure that a qualified provider that performs a solar facility site assessment for an eligible applicant may not contract with the eligible applicant to complete the solar energy project.
(d)Application.--An eligible applicant shall submit an application on a form and in a manner as determined by the department. The following apply:
(1) The application shall include the result of a solar facility site assessment conducted by a qualified provider.

(2) The application shall include an affidavit to ensure that a contractor or subcontractor performing construction, reconstruction, demolition or repair on a solar energy project funded under this act meets all of the following requirements:
(i) Maintains all valid licenses, registrations or certificates required by the Federal Government, the Commonwealth or a local government entity that is necessary to do business or perform applicable work.
(ii) Maintains compliance with the act of June 2, 1915 (P.L.736, No.338), known as the Workers' Compensation Act, the act of December 5, 1936 (2nd Sp.Sess., 1937 P.L.2897, No.1), known as the Unemployment Compensation Law, and bonding and liability insurance requirements as specified in the contract for the solar energy project.
(iii) Has not defaulted on a project, declared bankruptcy, been debarred or suspended on a project by the Federal Government, the Commonwealth or a local government entity within the previous three years.
(iv) Has not been convicted of a misdemeanor or felony relating to the performance or operation of the business of the contractor or subcontractor within the previous 10 years.
(v) Has completed a minimum of the United States Occupational Safety and Health Administration's 10-hour safety training course or similar training sufficient to prepare workers for any hazards that may be encountered during their work.
(3) Prior to the time period established by the department to submit an application, the department shall solicit and fulfill requests for technical assistance from eligible applicants.

(e)Payment.--If a grant is awarded to an eligible applicant for the construction, rehabilitation, renovation or site work on a school facility, the eligible applicant shall ensure that all contractors and subcontractors engaged during the on-site construction, renovation, rehabilitation, reconstruction, demolition, alteration and repair work, other than maintenance work, on any segment of work at the school facility pay to their workers not less than the prevailing minimum wage and benefit rates for all crafts or classifications, as determined by the Department of Labor and Industry under the act of August 15, 1961 (P.L.987, No.442), known as the Pennsylvania Prevailing Wage Act.
(f) Project delivery.--The following apply:
(1) An eligible applicant that is approved for a solar energy project grant under the program shall use the contracting procedure under the act of May 1, 1913 (P.L.155, No.104), referred to as the Separations Act, or under the guaranteed energy savings act for a solar energy project contemplated by the program, either separately or together with other energy efficiency improvements contemplated by the guaranteed energy savings act. A grant recipient that elects to use contracting procedures under the guaranteed energy savings act may calculate energy-related cost savings as defined in 62 Pa.C.S. § 3752 (relating to definitions) based upon the cost of the project as reduced by the amount of the grant received under the program. If an eligible applicant elects to use contracting procedures under the guaranteed energy savings act for an approved solar energy project, the eligible applicant shall be exempt from the contracting requirements under the separations act with regard to that approved solar energy project.
(2) If the department or the Department of Labor and Industry determines that an eligible applicant that received a grant under the program failed to comply with the Pennsylvania Prevailing Wage Act, the eligible applicant shall refund to the department the total amount of grants awarded for the solar energy project.
(3) As used in this subsection, the term "guaranteed energy savings act" shall mean 62 Pa.C.S. Ch. 37 subch. E (relating to guaranteed energy savings contracts).
(g) Grant limits.--An eligible applicant may receive a grant of up to 50% of the eligible project costs for the solar energy project.

(h)Reimbursement.--In the event that an eligible entity that received a grant under the program sells, transfers or conveys the school facility where the solar energy project is located, the eligible entity that received the grant shall notify the department and the new owner of record shall reimburse the department the amount of the grant related to the solar energy project at the school facility as follows:
(1) If the school facility where the solar energy project is located is sold, transferred or conveyed to a new owner of record within five years from the date of the award of the grant, the new owner of record shall reimburse the department in an amount equal to 80% of the amount of the grant.
(2) If the school facility where the solar energy project is located is sold, transferred or conveyed to a new owner of record more than 5 years but less than 10 years after the date of the award of the grant, the new owner of record shall reimburse the department in an amount equal to 60% of the amount of the grant.
(3) If the school facility where the solar energy project is located is sold, transferred or conveyed to a new owner of record more than 10 years but less than 15 years after the date of the award of the grant, the new owner of record shall reimburse the department in an amount equal to 40% of the amount of the grant.
(4) If the school facility where the solar energy project is located is sold, transferred or conveyed to a new owner of record more than 15 years but less than 20 years after the date of the award of the grant, the new owner of record shall reimburse the department in an amount equal to 20% of the amount of the grant.
(i)Grant awards.--The department shall develop a rubric to prioritize grant awards under this section. The rubric shall consider all of the following:
(1) The geographical dispersement of grants throughout this Commonwealth based on applications received. The department shall establish three regions of equal population within this Commonwealth under this paragraph and allocate an equal percentage of available funds to each region.
(2) Whether the eligible applicant is seeking funding under the inflation reduction act.
(3) Whether the applicant is within 50 miles of a coal-powered electric generation plant that has closed or will close within one year of the effective date of this paragraph.
(4) The amount of solar energy projected to be produced relative to the existing energy usage at the school facility proposed for the solar energy project.
(5) Whether the eligible applicant qualifies for the low-income communities bonus credit program established under the inflation reduction act.
(6) Whether the equipment, including photovoltaic or solar thermal devices, related to the solar energy project is being produced or manufactured in the United States. For the purpose of this paragraph, equipment shall be considered produced or manufactured in the United States if at least 75% of the articles, materials and supplies are produced or manufactured in the United States if available.
(j) Limitations.--A grant award received under this act by a school district shall not be included when calculating the amount to be paid under section 1725-A of the act of March 10, 1949 (P.L.30, No.14), known as the Public School Code of 1949.
(k) Guidelines.--Within 90 days of the effective date of this section, the department shall publish the guidelines required by subsection (c)(1) on the department's publicly accessible Internet website.

(l) Administrative fee.--The department may use up to 3% of the money appropriated for the program to pay for the direct costs associated with the administration of the program, including providing technical assistance to eligible applicants.

24 P.S. § 785.3

Added by P.L. (number not assigned at time of publication) 2024 No. 68,§ 3, eff. 7/17/2024.