House committee recommends bill limiting HOA bans on residential solar panels

Representative Tim Owens introduced House Bill 119, saying the bill would change how homeowners associations (HOAs) may restrict residential solar panels on detached houses.

The bill would require a two-thirds vote of association members to enact a restriction that completely bans solar panels, while allowing lesser changes to HOA rules by a simple majority. It also prohibits HOA restrictions that would increase a system’s cost or decrease its production by more than 5% and applies to new or future restrictions; existing HOA prohibitions are not required to be changed, Owens said. "This is a hopefully small bill that concerns HOA's restrictions, ability to restrict the placement of solar panels on detached houses," Owens told the committee.

The measure is intended to align HOA rules with an earlier 2017 change to a neighboring code section affecting community or neighborhood associations. "I would default to say this was the change that was put on condo associations or at least community associations. It's trying to track that same change that was done a few years ago," Owens said, adding that the bill preserves traditional HOA authority over visual, safety and health concerns while carving out additional homeowner autonomy for on-site power generation.

During committee questions, Representative Tuscher asked why solar panels should be treated differently from other HOA restrictions: "Like, why solar panels, in particular, should be on that side that you need 2 thirds versus any other restriction that an HOA might have?" Owens answered that the bill follows the earlier change for community associations and said there is a public interest in supporting on-site, low-carbon energy and home charging for electric vehicles.

Representative Miller asked whether an association with an existing prohibition would have to re-vote. "It's for going forward. They can still change it, but there's no requirement to change an existing restriction," Owens said. Committee discussion also clarified that language proposed for lines 103–106 is intended to permit HOA restrictions so long as they do not increase cost or reduce output by more than 5%.

Representative Bennion moved that the committee recommend House Bill 119 favorably. The motion passed by unanimous voice vote; no roll-call counts were provided on the record. Representative Bennion said he supported the bill in part because it respects property rights and might prompt dormant HOAs to meet and address members’ concerns. Representative Simbelens waived further summation.

The committee recorded that item number 2 had been pulled at the sponsor's request earlier in the meeting. With HB119 recommended favorably, the committee concluded its business.

The committee record shows the bill was reported out of committee with a favorable recommendation.