Maryland Energy Administration

Solar Energy Grant Program

Program Update January 6, 2010:

Davis-Bacon Act – prevailing wage requirement removed for residential installations:

On December 30, 2009 the US Department of Energy released a memo making a final determination that rebates to individual homeowners for energy efficiency and renewable energy improvements to an individual’s home are no longer subject to Davis-Bacon Act prevailing wage requirements. As a result, applicants who are individual homeowners are no longer required to submit contractor’s payroll forms with their PV or solar hot water Completion Certificate (Attachment B) in order to receive an MEA solar grant.  Applicants who are registered businesses, organizations and/or government entities will still need to ensure that Davis-Bacon Act requirements are met and will have to produce certified payroll forms to be eligible for an MEA grant.

Maryland Historic Trust Review

State and Federal law provides for a review of projects that have the potential to impact properties deemed historically significant if they are funded in whole or in part by public funds.  Projects funded by Maryland’s solar energy grant program qualify for review by the Maryland Historical Trust (MHT).   Review the Maryland Historical Review Guidance Document prior to submitting an application.

If your site is on a local, state, or national Register of Historic Properties, please contact the Maryland Historical Trust prior to submitting an application to MEA so that MHT can work with the installer on system design. 

If your site is within a Historic District or the structure is more than 50 years old, and the proposed installation would be clearly visible from the front façade of the building, please contact the Maryland Historical Trust prior to submitting an application to MEA so that MHT can work with the installer on system design.

If your site meets any of the above criteria, submit the Maryland Historical Trust Project Review Form along with a map, photographs of the project site, and a brief description of the proposed work to MHT.  The Maryland Historical Trust will respond with either confirmation that the work will not be adverse or with detailed comments about how to proceed.   Contact Jonathan Sager at jsager@mdp.state.md.us with any questions regarding the Project Review Form or Maryland Historical Trust review in general.

If your site is less than 50 years old and not in a Historic District or the proposed installation would not be visible from the front façade(s) of the building, you do not need to submit a Maryland Historical Trust Project Review Form.  However, you must submit an ariel photo with sketch of proposed project location (Google image acceptable) or photos of site including building facades along with the MEA grant application to qualify for an expedited historic review. For more information please review Maryland Historic Trust Review Guidance

Program Structure:

Solar Photovoltaic:

• $1.25/ watt for the first 2,000 watts of capacity
• $0.75/ watt for watts 2,001 - 8,000
• $0.25/ watt for watts 8,001 - 20,000

System must be under 20kW to be eligible; maximum grant amount is $10,000.

Solar Hot Water:

• 30% of the installed cost up to $2,000 maximum grant.

How to Apply:

Applicants must take the following steps before submitting an application package:

• Complete, sign, and date the Pre-Qualification Form
• Complete, sign, and date the:
  • 2-page Application Form (PV); or
  • 2-page Application Form (Solar Hot Water)
• Review, sign, and date
  • The Solar Grant Program Terms and Conditions Revised Jan 2010 (Attachment A for PV); or
  • The Solar Grant Program Terms and Conditions Revised Jan 2010 (Attachment A for SHW)
  • As well as read the ARRA Addendum – Special Terms and Conditions for ARRA-Funded Grants Revised Jan 2010
• Complete, and submit a Maryland Historical Trust Project Review Form (only if property is located within a Historic District or structure is more than 50 years old)
• Obtain:
  • A signed cost estimate, purchase order, or letter of intent from your installer (If you are performing a self-install you will still need to fill this requirement)
  • A system schematic or line drawing exhibiting the roof dimensions, including angle, length, and width (if installed on a roof); and the orientation and tilt of collectors or array.
  • A shading analysis (if the system will be shaded between 9:00 a.m. and 3:00 p.m. at any time of year)
  • Site map exhibiting the location of collectors or modules on the roof or location of collectors or modules on the property (image from Google Earth/Maps, or digital/print photograph is preferable, will satisfy MHT review supporting documentation)

Allocation of Grants

MEA anticipates sending out approximately 50 grant approvals at the beginning of each month for the remainder of FY 2010, or until all funds are fully committed. Please see Schedule of Grant Apprvoals to see when MEA anticipates approving your previously submitted application.

Please note, grant approvals will only be dispersed if MEA receives a signed and dated Grant Program Terms and Conditions (Attachment A) signifying that you fully understand the ARRA Addendum – Special Terms and Conditions for ARRA-Funded Grants, as well as passed Maryland Historical Trust review.

Information for Installers

In order to be eligible for funding for the remainder of the current fiscal year, applicants (if a business, organization or government entity) must demonstrate that their installation was or will be performed in compliance with Federal prevailing wage rate requirements (Davis-Bacon Act). 

Contractors or subcontractors must generate certified prevailing-wage rate/payroll documents to be submitted along with an applicant’s Completion Certificate (Attachment B).  For an example of an acceptable form, please see: http://www.dol.gov/esa/whd/forms/wh347.pdf. For instructions on how to complete certified prevailing-wage rate/payroll form please see: http://www.dol.gov/whd/forms/wh347instr.htm.

In addition, MEA has revised its Completion Certificate (Attachment B) to include mandatory reporting requirements, which MEA will need to submit to the federal government on a monthly basis to comply with Federal Stimulus Act terms and conditions.  Some of these additional requirements are:

• Applicant’s legal name, address and any “doing-business-as” (DBA) name;
• Applicant’s congressional district (can be found at http://www.house.gov/zip/ZIP2Rep.html);
• All contractor and subcontractor names, addresses and DUNS numbers (to request a DUNS number please see http://fedgov.dnb.com/webform);
• Project number assigned by contractor to the grant applicant (if applicable);
• Project start date and installation date;
• Estimated annual kilowatt-hour production attributed to the installed system (PV)
• Number of Full-Time Employee Equivalents (FTEs) created or retained (for guidelines on how to calculate FTEs created/retained please read Guidelines for Jobs Reporting)
• A description of all services provided to the applicant by the contractors and subcontractors.

More Information:

• ARRA Compliance Frequently Asked Questions - Currently being updated
• Working With ARRA
• Guidelines for Jobs Reporting

Application Information

• Pre-Qualification Form
• Solar Water Heating Application Form
• Photovoltaic Solar Grant Application Form
• Maryland Historical Trust Project Review Form ***NEW***
• Revised Grant Program Terms & Conditions—Solar Water Heating (3 pages) ***Revised January 2010***
• Revised Grant Program Terms & Conditions—Photovoltaics (3 pages) ***Revised January 2010***

ARRA Information

• ARRA Addendum – Special Terms and Conditions for ARRA-Funded Grants.

Completion Information

• Solar Water Heating Completion Certificate (3 pages) ***Revised January 2010***
• Photovoltaic Solar Completion Certificate (3 pages) ***Revised January 2010***

Application Update Information (for previously submitted applications)

• Application Update Form

Additional Incentives

• Federal Tax Incentives
  • Solar PV and Solar Hot Water systems placed in service after January 1, 2009 are eligible for a Federal Income Tax Credit equal to 30% of the total installed cost.
• Maryland Net Energy Metering Statute
• County Incentives

Solar-Renewable Energy Credits (SRECs)

Owners of solar photovoltaic (PV) systems can earn and sell credits based on the amount of electricity their system produces.

• Solar Renewable Energy Credits Information

Tax Status of Solar Grants

• Grants and 1099 tax forms

Technical Information

• Solar Water Heating
  • Quick Reference
  • Complete Consumer Guide
• Photovoltaic Solar Energy
  • Quick Reference
  • Complete Consumer Guide
• Solar Water Heaters – How They Work
  For a link to the US Department of Energy’s Web information on solar water heating click here.
• How Small Solar Electric Systems Work
  For a link to the US Department of Energy’s Web information on solar electric systems click here.
• Estimate Your PV System's Output with PV WATTS
  To calculate your PV system's potential output using the estimator provide by the National Renewable Energy Laboratory (NREL) click here.

Local Solar Industry Contacts

Peter Lowenthal, Director
Maryland, DC, Virginia - Solar Energy Industries Association (MDV-SEIA)
4707 Elmhirst Lane
Bethesda, MD 20814-3954
Phone/fax: 301-530-5343
Email: info@mdv-seia.org
Web site: www.mdv-seia.org

Professional Solar Installers -Solar Estimate www.solar-estimate.org