NC S781

Reduces the property tax exclusion for nonresidential solar energy electric systems from 80% to 60% (effective July 1, 2018), then 40% (effective July 1, 2019), then 20% (effective July 1, 2020), and eliminates the exclusion entirely for nonresidential systems after July 1, 2021.

Maintains the 80% property tax exclusion for residential solar energy electric systems throughout all phases of the phase-out.

Requires counties to direct the additional tax revenue generated from nonresidential solar systems to public school construction, repairs, renovations, school hardening for safety purposes, and associated debt service.

Appropriates $50,000 to the Department of Revenue for fiscal year 2018-2019 to study the number of affected solar systems and calculate additional county revenue resulting from the tax changes.

Department of Revenue must report findings to the Joint Legislative Oversight Committee on Agriculture and Natural and Economic Resources by January 1, 2019.