AZ SB1271

Establishes a state solar grants program fund administered by the Department of Education to provide grants to school districts for solar education programs and demonstration projects in schools using solar technology.

Requires school districts to install solar technology in schools and establish solar school funds to collect revenues from net metering, with distribution priority given to new facilities first, then existing facilities starting with smaller schools.

Imposes a new electricity consumption tax of 0.05-0.07 cents per kilowatt hour on electricity delivered to residential, commercial, and industrial customers (exempting electricity from renewable sources), with revenues deposited into the solar school grant program fund.

Directs the Arizona Commerce Authority to disburse fund monies beginning March 1, 2015, allocating up to 1% or $250,000 annually to the Department of Education for solar education grants, with remaining funds distributed to school districts on a per-pupil basis.

The tax and program terminate when the state board of education notifies the Arizona Commerce Authority that all schools in all school districts have converted to solar technology.