Energy (Solar)

This bill introduces two new taxes on large wind farms and solar facilities in Kansas, targeting those with a capacity of at least 5,000 kilowatts. The first tax is a $4 annual fee per kilowatt of capacity, while the second is a $0.001 per kilowatt-hour tax on electricity produced, both payable by the year 2027. Revenue from these taxes will be placed in a new state fund designated for property tax relief, which will then be transferred to support school district financing. The legislation also amends existing school tax laws to allow for a reduction in the statewide property tax levy for schools using these funds.

SB 173 requires county commissioners to approve commercial wind or solar energy projects before any related lease or easement agreement becomes binding. It directly affects facility owners (those developing projects with at least one megawatt capacity for sale) and landowners, as these agreements cannot take effect until county approval is secured. The bill mandates that counties with zoning regulations must issue a building or development permit, while counties without such regulations must enter a development agreement. This requirement applies to all new agreements filed on or after July 1, 2025, and does not affect leases recorded before July 1, 2011.