HB 9 — COMMUNITY SOLAR ACT

e e n d 18 (3) may be co-located with energy storage;

and = = l ] 19 (4) shall have at least ten subscribers.subscribers;

aand l(5) rshall inot 20be B.owned or operated by an investor-owned utility.

B.

t e a t (1) register with the commission and keep its m m 21 e d r e 2217 registration in good standing in order to participate in the ce e rn cd 2318 community solar program;

and e= a= nl b] 2419 (2) make at least fortysixty percent of the total ua [l r i 20 generating capacity of a community solar facility available in .215739.3t -e 5a -t subscriptions of twenty-five kilowatts or less.

m m 21 e d C.

r e 22 c e r c 23 (1) be attributed to a location in the same e a n b 24 qualifying utility service territory where the community solar u [ facility is located;

.217171.3 - 5 - HENRC/HB 9 (2) be sized to supply no more than one hundred twenty percent of the average annual consumption of electricity by the subscriber at the location to which the subscription is attributed;attributed, with a deduction for the amount of any existing solar facilities located at the physical location;

(3) account for no more than sixtyforty percent of the generating capacity of the community solar facility;

and (4) be transferable and portable, and may be retained by the subscriber if the subscriber moves within the same qualifying utility service territory.territory;

and (5) include a termination clause.

A customer with a premise-sited renewable energy distributed generation facility may subscribe to a community e e 17 solar facility.

e e n d 18 E.

AnThe investor-ownedcommission electricshall publicprovide utilityexemptions mayto =the =requirements lof ]this 19section ownfor orcommunity operatesolar afacilities communitye solare facility17 subjectlocated toon allthe alands lof rIndian inations, 20tribes requirementsor ofpueblos thee Communitye Solarn Act;d 18 serving subscribers on those lands.

provided= that= tl e] a19 tF. investor-owned electric public utility community solar m m 21 e d r e 22 facilities shall:

cNothing ein the Community Solar Act shall a l r ci 2320 (1)preclude inan theIndian initialnation, phased-intribe periodor throughpueblo from hosting a t e a nt bcommunity 24solar Decemberfacility 31,on 2023,the constituteland noof morethe thanIndian tennation, percentm ofm u21 [e programd capacity;tribe or pueblo in partnership with a third-party entity or r e 22 c e r c 23 subscribers.

ande .215739.3a -n 6b -24 (2)SECTION after4. December 31, 2023, be subject to the annual statewide capacity cap applicable to investor-owned electric public utilities, if adopted by the commission.

F.[NEW MATERIAL ] COMMUNITY SOLAR PROGRAM u [ ADMINISTRATION--BILL CREDITS--ENVIRONMENTAL ATTRIBUTES.-- .217171.3 - 6 - HENRC/HB 9 A.

The commission shall provide exemptions to the requirements of this section for community solar facilities located on the lands of Indian nations, tribes or pueblos serving exclusively subscribers on those lands.

G.

Nothing in the Community Solar Act shall preclude an Indian nation, tribe or pueblo from hosting a community solar facility on the land of the Indian nation, tribe or pueblo in partnership with a third-party entity or subscribers.

SECTION 4.

[NEW MATERIAL ] COMMUNITY SOLAR PROGRAM ADMINISTRATION--BILL CREDITS--ENVIRONMENTAL ATTRIBUTES.-- A.

(1) provide a bill credit to a subscriber's e e 17 subsequent monthly electric bill for that proportion of the e e n d 18 output of a community solar facility attributable to that = = l ] 19 subscriber and generated in the previous cycle.

The bill a l r i 20 credit shall be calculated by multiplying the subscriber's t e a t portion of the kilowatt-hour electricity production from the m m 21 e d r e 22 community solar facility by the applicable bill credit rate, c e r c 23 which shall be the qualifying utility's total aggregate retail e a n b 24 rate minus a commission-approved distribution cost rate.

Any u [ amount of the bill credit that exceeds the subscriber's monthly .215739.3 - 7 - bill shall be carried over and applied to the next month's bill.

(2) apply bill credits to subscriber bills within one billing cycle following the cycle during which the e e 17 energy was generated by the community solar facility;

e e n d 18 (3) provide bill credits to a community solar = = l ] 19 facility's subscribers for not less than twenty-five years from a l r i 20 the date the community solar facility is first interconnected;commercially t e a t operational;

and m m 21 e d (4) on a monthly basis and in a standardized r e 22 c e r c 23 electronic format, provide to the subscriber organization a e a n b 24 report indicating the total value of bill credits generated by u [ the community solar facility in the prior month as well as the .217171.3 - 7 - HENRC/HB 9 amount of the bill credit applied to each subscriber.

A subscriber organization shall provide to the e e 17 qualifying utility:

e e n d 18 (1) on a monthly basis and in a standardized = = l ] 19 electronic format, a subscriber list indicating the a l r i 20 proportional output of a community solar facility attributable t e a t to each subscriber.

Subscriber lists may be updated monthly to m m 21 e d r e 22 reflect canceling subscribers and to add new subscribers;

and c e r c 23 (2) real-time production data to facilitate e a n b 24 incorporation of the community solar facility into the u [ utility's operation of its electric distribution system.

.215739.3 - 8 - C.

On an annual basis, a subscriber organization shall provide the qualifying utility allocation e e 17 instructions for distributing excess community solar bill e e n d 18 credits to subscribers.

Excess community solar bill credits = = l ] 19 that are not reallocated shall be considered unsubscribed a l r i 20 electricity and shall be purchased by the qualifying utility at t e a t its commission-approved avoided cost of energy.

m m 21 e d D.

All environmental attributes associated with a r e 22 c e r c 23 community solar facility, including renewable energy e a n b 24 certificates, shall be considered the property of the u [ subscriber organization.

At the subscriber organization's .217171.3 - 8 - HENRC/HB 9 discretion, the environmental attributes may be sold, accumulated, retired or transferred to subscribers or to a e e 17 qualifying utility.

A qualifying utility may develop, and file e e n d 18 with the commission, a standard offer to purchase renewable = = l ] 19 energy credits from community solar facilities to help meet the a l r i 20 state's renewable portfolio standard.

t e a t SECTION 5.

[NEW MATERIAL ] COMMUNITY SOLAR FACILITY-- m m 21 e d r e 22 LOCATION LIMITATIONS.-- c e r c 23 A.

An entity, affiliated entity or entities under e a n b 24 common control shall not develop, own or operate more than one u [ community solar facility on the same parcel of land or on .215739.3 - 9 - contiguous parcels of land.

Community solar facilities that are not developed, owned or operated by the same entity, an affiliated entity or entities under common control may be located on the same parcel of land or on contiguous parcels of land.

C.

[NEW MATERIAL ] COMMUNITY SOLAR PROGRAM-- e e 17 COMMISSION RULEMAKING.-- e e n d 18 A.

ByThe November 1, 2020, the commission shall adopt rules establishing a community solar program to provideimplement customers= of= al qualifying] utility19 with the voluntaryCommunity optionSolar ofAct accessing solar energy produced by ano communitylater solarthan facilityJune through30, a2021. subscription process in accordance with the Community Solar Act.

ThisThe a l r i 20 commission shall includesolicit aninput initialfrom phased-inthe programenergy, ofminerals eand t e 17a limitedt scalenatural withresources thedepartment transitionand toother arelevant permanentstate programagencies, bym m 21 e d utilities, low-income stakeholders and disproportionately r e n22 dc 18e Decemberr 31,c 202323 basedenvironmentally onimpacted thecommunities, submissionpotential owners or e a n b 24 operators of thecommunity energy,solar =facilities, =Indian lnations, ]tribes 19u minerals[ or pueblos and naturalany resourcesother department'sinterested finalstakeholders programin aits l.217171.3 r- i9 20- evaluationHENRC/HB and9 recommendations.rulemaking process.

B.

t(1) erequire a tqualifying (1)utility detailto thefile tariffs, agreements or forms mnecessary mfor 21implementation eof dthe rcommunity esolar 22program; required to be filed by a qualifying utility;

c e r c 23 (2) setallocate a datestatewide certainannual forcapacity thecap implementationof efifty amegawatts nalternating bcurrent 24 of the community solar programfacility incapacity theproportionately qualifyingacross utility'sthe ustate's [investor-owned serviceelectric territory;public utilities;

.215739.3provided -that 10native -community (3)solar establishprojects capacityand capscommunity forsolar facilities within the procurementterritory of electricitya fromrural communityelectric solardistribution facilitiescooperative byshall qualifyingnot utilities;be included in the annual capacity caps;

provided(3) thatset nativea communitypublicly solaravailable projects and community solar facilitiesbill withincredit therate territoryfor ofeach ajurisdictional rural electric distributionutility cooperativethat shallensures: not be included in the annual capacity caps.

The(a) commissiononly shalldistribution establish:costs are e e 17 subtracted from the total aggregate retail rate;

(a)and ane initiale statewiden capacityd cap18 of(b) twothe hundredsuccessful megawattscreation, alternatingfinancing current= of= communityl solar] facility19 capacity through December 31, 2023, allocated proportionately by retail sales for each investor-owned electric public utility and upaccessibility toof ancommunity additionalsolar tenfacilities megawattsin alternatinga currentway for each qualifying utility that isa notl anr investor-ownedi electric20 publicencourages utility,robust withconsumer eachparticipation qualifyingacross utility required to reserve thirty percent of the initialutility's capacityt cape fora low-incomet projects;customer classes;

andm (b)m following21 the community solar e ed 17(4) programestablish reviewa andrequest evaluationfor recommendationsproposals pursuantprocess tor e e22 nc de 18r Sectionc 1123 of the Community Solar Act, a statewide annual = = l ] 19 capacity cap for the number of megawatts of community solar afacilities lthat ris iadministered 20by capacityan ine eacha yearn afterb December24 31,independent 2023;evaluator and that:

tu e[ a(a) tuses (4)clear, establishquantifiable reasonable,and uniform,.217171.3 efficient- m10 m- 21HENRC/HB e9 dobjective rqualifications e 22 and non-discriminatoryevaluation standards,criteria feesfor proposals and processesincludes for the cweight egiven r c 23 interconnection of community solar facilities that allow a e a n b 24 qualifying utility to recover reasonable interconnection costs u [ for each communitycriterion; solar facility;

.215739.3(b) -ensures 11that -thirty (5)percent establishof demonstrablethe andannual verifiablestatewide projectcapacity developmentis milestonesallocated in order for subscriber organizations to submitlow-income projectsprojects; to participate in the community solar program;

(6)and allow(c) aincludes qualifyingeligibility utilityrequirements that include demonstrable and verifiable initial project maturity development milestones in order for subscriber organizations to recoversubmit reasonableprojects coststo ofparticipate administeringin the community solar program;

(7)(5) encourageestablish robusta developmentprocess to guarantee participation for Indian nations, tribes or pueblos in the service territory of communityrural solarelectric facilitiescooperatives andafter communityconsideration solarof programa accessrural forelectric allcooperative's customerexisting classes;contractual obligations.

(8)This provideprocess consumer protections for subscribers, including a uniform disclosure form that identifies the information that shall beconsider providedopt-out byoptions aonly subscriberafter organization to a potentialrural subscriber,electric incooperative's bothself- English and Spanish, and when appropriate, native or indigenous languages, to ensure fair disclosure of future costs and benefits of subscriptions, key contract terms and other e e 17 relevantgeneration butlimits reasonableare informationreached; pertaining to the e e n d 18 subscription;

e e n d 18 (6) establish reasonable, uniform, efficient = = l ] 19 (9)and includenon-discriminatory astandards, listfees ofand approvedprocesses low-incomefor the a l r i 20 servicesinterconnection orof nonprofitcommunity servicesolar providersfacilities that mayallow pre-qualifya t e a t individualsqualifying orutility familiesto asrecover low-incomereasonable customers;interconnection costs m m 21 e d for each community solar facility;

m m 21 e d r e 22 (10) establish criteria to qualify an c e r c 23 affordable(7) housingallow providera forqualifying participationutility into arecover low-income e a n b 24 project,reasonable includingcosts consideration of whetheradministering the affordable u [ housing provider passes specific, identifiable and quantifiable .215739.3 - 12 - long-term benefits of participation in a community solar facilityprogram; to its tenants or residents;

(11)u provide[ a(8) processidentify for the commission to receive and publishallow onfinancial itsincentives websiteor information.217171.3 on- community11 solar- facilitiesHENRC/HB that9 aremechanisms seekingto: subscribers and any additional relevant information about the community solar program;

and(a) (12)encourage ensurerobust investor-owneddevelopment electricof publiccommunity utilitiessolar dofacilities notand unfairly limit community solar projectprogram developmentaccess andfor interconnectionall bycustomer subscriberclasses; organizations.

(b) support the successful creation, financing and accessibility of community solar facilities in a way that encourages robust consumer participation and a sustainable market-based community solar program;

(c) encourage participation by a diversity of subscriber types, especially low-income customers;

and (d) subsidize low-income customers' participation in a community solar facility;

(9) establish a low-income subsidy fund;

(10) provide consumer protections for subscribers, including a uniform disclosure form that e e 17 identifies the information that shall be provided by a e e n d 18 subscriber organization to a potential subscriber, in both = = l ] 19 English and Spanish, and when appropriate, native or indigenous a l r i 20 languages, to ensure fair disclosure of future costs and t e a t benefits of subscriptions, key contract terms and other m m 21 e d relevant but reasonable information pertaining to the r e 22 c e r c 23 subscription;

e a n b 24 (11) include a list of approved low-income u [ services or nonprofit service providers that may pre-qualify .217171.3 - 12 - HENRC/HB 9 individuals or families as low-income customers;

(12) establish criteria to qualify affordable housing providers for participation in low-income projects, including consideration of whether the affordable housing providers pass specific, identifiable and quantifiable long- term benefits of participation in a community solar facility to their tenants or residents;

and (13) provide a process for the commission to receive and publish on its website information on community solar facilities that are seeking subscribers and any additional relevant information about the community solar program.

C.

By no later than November 1, 2025, the commission shall develop a report in consultation with the appropriate state agencies and provide the report to the appropriate interim legislative committees that address energy e e 17 issues.

The report shall:

e e n d 18 (1) incorporate information submitted as part = = l ] 19 of a qualifying utility's annual status report;

a l r i 20 (2) address the status of the development of t e a t community solar facilities in accordance with the Community m m 21 e d Solar Act, including participation by low-income customers and r e 22 c e r c 23 low-income service organizations in each qualifying utility's e a n b 24 community solar program;

u [ (3) evaluate the effectiveness of existing .217171.3 - 13 - HENRC/HB 9 mechanisms to support the participation by a diversity of subscriber types, especially low-income customers;

(4) evaluate the effectiveness of existing mechanisms to support successful creation, financing and accessibility of community solar facilities in a way that encourages robust consumer participation and a sustainable market-based community solar program;

(5) identify siting, implementation and interconnection challenges;

(6) identify mechanisms to promote the geographic diversity of projects across both urban and rural areas;

(7) evaluate the effectiveness of the current request for proposals process;

(8) assess whether current annual capacity is meeting consumer demand;

e e 17 (9) in consultation with the consumer and e e n d 18 environmental protection division of the office of the attorney = = l ] 19 general, assess the adequacy of existing consumer protection a l r i 20 measures;

and t e a t (10) evaluate the overall effectiveness of the m m 21 e d commission's rules to implement the Community Solar Act and any r e 22 c e r c 23 recommended changes.

e a n b 24 SECTION 7.

[NEW MATERIAL ] QUALIFYING UTILITY--FILING u [ REQUIREMENTS--REPORT.-- .217171.3 - 14 - HENRC/HB 9 A.

A qualifying utility shall file with the commission any tariffs, agreements or forms necessary for the implementation of the community solar program in its service territory as prescribed by the commission.

WithinA onequalifying hundredutility eightyshall daysnot ofremove thea publicationcustomer offrom the commission'scustomer's finalotherwise rules,applicable qualifyingcustomer utilitiesclass shallas begina creditingconsequence subscriberof accounts.the customer subscribing to a community solar facility.

SECTIONC. 7.

[NEWOn MATERIALan ]annual QUALIFYINGbasis, UTILITY--FILINGcommencing REQUIREMENTS--REPORT.--no A.later than two years after the commission's adoption of rules creating the community solar program, a qualifying utility shall submit to the commission, and make publicly available, a status report on the qualifying utility's implementation of the community solar program.

A qualifying utility shall file with the e e 17 commission any tariffs, agreements or forms necessary for the e e n d 18 implementation of the community solar program in its service = = l ] 19 territory as prescribed by the commission.

a l r i 20 B.

A qualifying utility shall not remove a customer t e a t from the customer's otherwise applicable customer class as a m m 21 e d r e 22 consequence of the customer subscribing to a community solar c e r c 23 facility.

e a n b 24 C.

On an annual basis, commencing no later than two u [ years after the commission's adoption of rules creating the .215739.3 - 13 - community solar program, a qualifying utility shall submit to the commission, and make publicly available, a status report on the qualifying utility's implementation of the community solar program.

e e 17 (2) the total number of community solar e e n d 18 facilities, low-income projects and native community solar = = l ] 19 projects and associated project capacity, reported in a l r i 20 alternating current;

t e a t (3) the number of participating low-income m m 21 e d customers, affordable housing providers, low-income service r e 22 c e r c 23 organizations and Indian nations, tribes andor pueblos and their e a n b 24 entities and tribal members;members and residents;

u [ (4) the total program capacity subscribed by .217171.3 - 15 - HENRC/HB 9 low-income customers, affordable housing providers, low-income e e 17 service organizations and Indian nations, tribes andor pueblos e e n d 18 and their entities and tribal members;members and residents;

= = l ] 19 (5) the number of co-located energy storage a l r i 20 projects;

t e a t (6) the average number of days between m m 21 e d r e 22 interconnection of a community solar facility and the date on c e r c 23 which subscribers start to receive bill credits;

and e a n b 24 (7) interconnection costs paid by subscriber u [ organizations.

.215739.3 - 14 - SECTION 8.

Subscriber organizations, or the subscribers to a community solar facility, shall not be considered public utilities subject to regulation by the commission under the Public Utility Act solely as a result of their ownership e e 17 interest in, operation of or subscription to a community solar e e n d 18 facility.

= = l ] 19 B.

Rates paid for subscriptions shall not be a l r i 20 subject to regulation by the commission.

t e a t SECTION 9.

[NEW MATERIAL ] RURALUTILITY ELECTRICLOADS DISTRIBUTIONAND COOPERATIVES--EXEMPTION.--ARESOURCE ruralm electricm distribution21 cooperativee mayd requestr ane exemption22 fromTABLES--INTEGRATED theRESOURCE requirementsPLANS.--A ofqualifying theutility Communityshall: Solar Act for a period of three years by submitting a waiver request to the commission if the rural electric distribution cooperative:

ec e 17r c 23 A.

isinclude limitedcommunity insolar itsfacilities abilitypursuant to participate in the e ea n db 1824 communitythe solarCommunity programSolar becauseAct ofin theits amountloads ofand generationresources ontables, =u =[ lintegrated ]resource 19planning itsprocesses system and theintegrated ruralresource electric.217171.3 distribution- cooperative's16 a- lHENRC/HB r9 iplans; 20 generation provider;

and t e a t B.

provides a justification of the reasons it m m 21 e d r e 22 cannot accommodate community solar facilities and proposes when c e r c 23 it will be able to accommodate community solar facilities and e a n b 24 participate in the community solar program.

u [ SECTION 10.

[NEW MATERIAL ] UTILITY LOADS AND RESOURCE .215739.3 - 15 - TABLES--INTEGRATED RESOURCE PLANS.--A qualifying utility shall:

A.

include community solar facilities pursuant to the Community Solar Act in its loads and resources tables, integrated resource planning processes and integrated resource plans;

SECTION 11.10.

[NEWSection MATERIAL62-17-10 ]NMSA ENERGY,1978 MINERALS(being ANDLaws NATURAL2005, RESOURCESChapter DEPARTMENT--COMMUNITY341, SOLARSection PROGRAM10) MANAGEMENTis ANDamended REVIEW.--to A.read:

Three"62-17-10. years after the commission adopts rules e e 17 pursuant to Section 6 of the Community Solar Act, the energy, e e n d 18 minerals and natural resources department shall review the = = l ] 19 implementation of the community solar program.

aINTEGRATED lRESOURCE rPLANNING.--Pursuant ito 20the B.commission's rulemaking authority, public utilities supplying electric or natural gas service to customers shall periodically file an integrated resource plan with the commission.

TheUtility integrated resource plans shall evaluate renewable energy, mineralsenergy efficiency, load management, distributed generation, e e 17 community solar facilities and naturalconventional supply-side e e n d 18 resources on a consistent and comparable basis and take into = = l ] 19 consideration risk and uncertainty of fuel supply, price a l r i 20 volatility and costs of anticipated environmental regulations t e a t departmentin shallorder determineto identify the effectivenessmost ofcost-effective theportfolio of m m 21 e d rresources eto 22supply commission's rules and the communityenergy solarneeds program.of customers.

InThe r e 22 c e r c 23 measuringpreparation the effectiveness of theresource communityplans solarshall program,incorporate thea public e a n b 24 departmentadvisory shall:process.

Nothing in this section shall prohibit u [ (1)public consider:utilities from implementing cost-effective energy .217171.3 - 17 - HENRC/HB 9 efficiency and load management programs and the commission from approving public utility expenditures on energy efficiency programs and load management programs prior to the commission establishing rules and guidelines for integrated resource planning.

.215739.3The -commission 16may -exempt (a)public informationutilities submittedwith asfewer partthan offive athousand qualifyingcustomers utility'sand annualdistribution-only statuspublic report;utilities from the requirements of this section.

(b)The thecommission effectivenessshall oftake existinginto mechanismsaccount toa supportpublic theutility's participationresource byplanning arequirements diversityin ofother subscriberstates types,and especiallyshall low-incomeauthorize subscribers;utilities that operate in multiple states to implement plans that coordinate the applicable state resource planning requirements.

(c)The requirements of this section shall take effect one year following the effectivenesscommission's adoption of existingrules mechanismsimplementing tothe supportprovisions successfulof creation,this financingsection." and- accessibility18 of- communitye solare facilities17 ine e n d 18 = = l ] 19 a wayl thatr encouragesi robust20 consumert participatione anda t m m 21 e d r e 22 c e r c 23 e a sustainablen market-basedb community24 solaru program;[ .217171.3

(d) siting, implementation and interconnection challenges;

(e) performance of utility-owned community solar projects;

(f) the effectiveness and ability for community solar facilities to meet the renewable portfolio e e 17 standard;

e e n d 18 (g) the geographic diversity of projects = = l ] 19 across both urban and rural areas;

and a l r i 20 (h) consumer protection measures, to be t e a t assessed in consultation with the consumer and environmental m m 21 e d r e 22 protection division of the office of the attorney general;

c e r c 23 (2) make the details of the program evaluation e a n b 24 public and use an inclusive and transparent process to solicit u [ feedback, including in-person meetings with groups that may not .215739.3 - 17 - have the ability to participate in a formal process and a process for interested persons to submit public comments to the department;

and (3) no later than December 31, 2023, submit a comprehensive evaluation report, including findings of the program's effectiveness and stakeholder feedback, to the commission and the appropriate interim legislative committee.

The report shall contain recommendations for program continuation as-is or adjustment through commission rulemaking, including recommendations for:

(a) an appropriate annual statewide capacity cap after December 31, 2023;

(b) the percentage of annual statewide capacity allocated to low-income projects after December 31, 2023;

(c) continued participation of investor- e e 17 owned electric public utilities as subscriber organizations e e n d 18 and, if appropriate, the percentage of annual statewide = = l ] 19 capacity allocated to community solar projects owned by a l r i 20 investor-owned electric public utilities after December 31, t e a t 2023;

m m 21 e d r e 22 (d) mechanisms or program rule changes c e r c 23 to facilitate the participation by a diversity of subscriber e a n b 24 types and eliminate barriers to participation;

u [ (e) mechanisms or program rule changes .215739.3 - 18 - to facilitate the development of low-income projects and native community solar projects;

(f) mechanisms and program rule changes to facilitate the geographic diversity of projects across both urban and rural areas;

and (g) mechanisms to support the successful creation, financing and accessibility of community solar facilities in a way that encourages robust consumer participation and a sustainable market-based community solar program.

C.

Within one hundred eighty days of receiving the energy, minerals and natural resources department's report, the commission shall propose adjustments to its rules to address recommendations made by the department.

SECTION 12.

[NEW MATERIAL ] COMMUNITY SOLAR ASSISTANCE FUND--CREATED.-- e e 17 A.

The "community solar assistance fund" is created e e n d 18 in the state treasury.

The fund consists of appropriations, = = l ] 19 gifts, grants and donations.

Money in the fund at the end of a a l r i 20 fiscal year shall not revert to any other fund.

The energy, t e a t minerals and natural resources department shall administer the m m 21 e d r e 22 fund, and money in the fund is appropriated to the energy, c e r c 23 minerals and natural resources department to facilitate low- e a n b 24 income customer subscriptions to community solar facilities as u [ provided in this section.

Disbursements from the fund shall be .215739.3 - 19 - made by warrant of the secretary of finance and administration pursuant to vouchers signed by the secretary of energy, minerals and natural resources or the secretary's designee.

B.

In order to meet the requirements for low-income projects, subscriber organizations may apply to the community solar assistance fund with a proposal to use money from the fund to reduce participation barriers and increase financial benefits for low-income customers.

C.

The energy, minerals and natural resources department shall create a stakeholder process with electric utilities, low-income and environmental justice stakeholders, appropriate state agencies, potential subscriber organizations and other interested persons to:

(1) identify financing options, financial incentives, education and outreach programs, workforce development and community engagement strategies to meet e e 17 program participation goals for low-income customers, low- e e n d 18 income service organizations and low-income affordable housing = = l ] 19 providers through the community solar assistance fund;

and a l r i 20 (2) establish processes for the award of the t e a t community solar assistance funds to the subscriber m m 21 e d r e 22 organizations of low-income projects.

c e r c 23 D.

The energy, minerals and natural resources e a n b 24 department may prioritize applications for projects that:

u [ (1) serve Indian nations, tribes and pueblos .215739.3 - 20 - and their entities and tribal members, including projects sited in partnership with or otherwise controlled by Indian nations, tribes or pueblos or demonstrably benefiting Indian nations, tribes or pueblos;

(2) are sited in or provide direct benefits to environmental justice communities as long as these communities are meaningfully involved in the decision-making process;

(3) maximize savings for low-income customers;

(4) are owned and operated by nonprofit or community-based organizations;

(5) involve nonprofit or community-based organizations to facilitate subscriber enrollment, education and management;

(6) provide subscription terms favorable to subscribers, for example, minimum contract lengths, no up-front fees or no termination fees;

e e 17 (7) incorporate job training and workforce e e n d 18 development;

and = = l ] 19 (8) meet program goals for low-income a l r i 20 customers, low-income service organizations and affordable t e a t housing participation.

m m 21 e d r e 22 SECTION 13.

Section 62-17-10 NMSA 1978 (being Laws 2005, c e r c 23 Chapter 341, Section 10) is amended to read:

e a n b 24 "62-17-10.

INTEGRATED RESOURCE PLANNING.--Pursuant to the u [ commission's rulemaking authority, public utilities supplying .215739.3 - 21 - electric or natural gas service to customers shall periodically file an integrated resource plan with the commission.

Utility integrated resource plans shall evaluate renewable energy, energy efficiency, load management, distributed generation, and conventional supply-side community solar facilities resources on a consistent and comparable basis and take into consideration risk and uncertainty of fuel supply, price volatility and costs of anticipated environmental regulations in order to identify the most cost-effective portfolio of resources to supply the energy needs of customers.

The preparation of resource plans shall incorporate a public advisory process.

Nothing in this section shall prohibit public utilities from implementing cost-effective energy efficiency and load management programs and the commission from approving public utility expenditures on energy efficiency programs and load management programs prior to the commission e e 17 establishing rules and guidelines for integrated resource e e n d 18 planning.

The commission may exempt public utilities with = = l ] 19 fewer than five thousand customers and distribution-only public a l r i 20 utilities from the requirements of this section.

The t e a t commission shall take into account a public utility's resource m m 21 e d r e 22 planning requirements in other states and shall authorize c e r c 23 utilities that operate in multiple states to implement plans e a n b 24 that coordinate the applicable state resource planning u [ requirements.

The requirements of this section shall take .215739.3 - 22 - effect one year following the commission's adoption of rules implementing the provisions of this section." SECTION 14.

APPROPRIATIONS.-- A.

Ten million dollars ($10,000,000) is appropriated from the general fund to the community solar assistance fund for expenditure in fiscal year 2021 and subsequent fiscal years for the energy, minerals and natural resources department to carry out the purposes of the community solar assistance fund, including development and administration of the community solar program, facilitation of necessary stakeholder processes and funding of low-income subsidization.

Any unexpended or unencumbered balance remaining at the end of a fiscal year shall not revert to the general fund.

B.

One hundred thousand dollars ($100,000) is appropriated from the general fund to the public regulation commission for expenditure in fiscal year 2021 for the public e e 17 regulation commission to hire a full-time employee to assist e e n d 18 the commission in implementing the Community Solar Act.

Any = = l ] 19 unexpended or unencumbered balance remaining at the end of a l r i 20 fiscal year 2021 shall revert to the general fund.

t e a t - 23 - m m 21 e d r e 22 c e r c 23 e a n b 24 u [ .215739.3