The Michigan House recently approved Rep. Bronna Kahle’s bipartisan plan to provide clarity, consistency and predictability for families and small businesses installing solar panels and other clean energy systems on their properties.

Kahle’s plan also would prevent higher property taxes from being charged because of such installations, as has happened in some communities due to inconsistent rules from location to location.

“Families and small businesses deserve to have consistent and clear taxation rules related to energy-efficient investments – no matter where they live in our great state,” said Kahle, of Adrian. “Our friends and neighbors should not be punished with higher property taxes when they’re making changes to lower utility bills and help the environment. As a state, we’ve already decided we want to increase the use of clean and renewable energy sources. This legislation is another step in the right direction.”

The plan would treat solar panel installation the same as replacing a furnace, installing a generator or buying a more energy efficient hot water heater – none of which result in higher property taxes.

The importance of Kahle’s legislation was highlighted earlier this year when three Lenawee area residents testified in support of the plan during a House Tax Policy Committee meeting. All three installed solar systems on their properties only to be surprised with higher tax bills.

“Higher taxes – especially when unexpected and inconsistently applied – undermine the goals of installing solar panels and other clean energy systems,” Kahle said. “This legislation will end the surprises and bring about much-needed consistency.”

House Bills 4069 and 4465 are headed to the Senate for further consideration.

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