Oklahoma Municipal Energy Independence Act (SB 598)

• Creates the Oklahoma Municipal Energy Independence Act allowing municipalities to establish municipal energy district authorities to finance renewable energy and energy efficiency projects for property owners.

• Authority structure consists of five trustees: the mayor (chair), two municipal governing board members, and two appointed residents who are not elected officials, with three trustees required for a quorum.

• Trustees authorized to make loans to willing property owners for distributed-generation renewable energy installation, energy-efficient improvements, building energy audits, and financial incentive programs, with funding from bonds, public/private lenders, and grants.

• Eligible improvements must be permanently affixed to residential, commercial, or industrial property on which property taxes are current; loans constitute liens on the property and may be collected through property tax systems.

• Municipal energy district authorities may make grants to nonprofit organizations for energy audits and retrofits on tax-exempt property, with participants required to conduct energy audits and meet Energy Star ratings.