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OregonHB 40292026 Regular SessionHouse

Relating to solar energy systems; and prescribing an effective date.

Sponsored By: Sponsor information unavailable

Signed by Governor

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Bill Overview

Analyzed Economic Effects

6 provisions identified: 6 benefits, 0 costs, 0 mixed.

Clearer costs for home solar buyers

For residential solar contracts over $1,000, the law requires clear upfront disclosures, limited to four pages with at least 10-point type. Contracts must match the sales promises and language, identify contractors and licenses, and be provided in full when signed. Disclosures must list total costs, fees, payment milestones, lender dealer fees, and loan interest, annual percentage rate, repayment schedule, and security. Contracts must state cost per watt, explain differences from sales disclosures, and separately describe, price, and invoice required roof work. Prominent, initialed notices must explain cancellation rights and warn buyers to obtain loan approval before signing because payments can start before operation.

Clearer solar lease and payment terms

Solar leases and agreements to buy solar power must disclose applicable payments, fees, and contract-transfer terms before signing. Lease disclosures include the term, first-year monthly payments, scheduled increases and their start date, and estimated payment count and total. Disclosures must explain billing, due dates, and applicable late, processing, connectivity, removal, and security-filing fees. They must also explain any recorded security claim on the installed equipment and transfer limits when the home is sold.

Clearer solar savings and outage warnings

Solar disclosures must describe equipment, storage, declining output, maintenance duties and costs, warranty coverage, and any production guarantees. First-year output estimates must use a nationally recognized tool, reflect the site and monthly changes, and stay within the inverter's rated performance. Savings estimates must explain current utility rates, assumed increases, fixed charges, excess-power payments, and unused energy credits. Disclosures must identify who receives tax credits, explain eligibility and noncash limits, and warn that incentives, rates, savings, and property taxes can change. Contracts must warn about losing power during outages unless the system has qualifying equipment designed and installed for backup power.

Licensed workers and utility solar checks

The law takes effect on the 91st day after final adjournment of Oregon's 2026 regular legislative session and applies prospectively. For covered residential solar contracts over $1,000, contractors, sales agents, and people doing covered work must hold appropriate Oregon licenses. Utilities must approve grid-connection applications before installation, unless they waive advance approval for contractors they certify as qualified. Contractors must fix rejected designs, report design or major-component changes, and follow manufacturer instructions, building and electrical codes, and utility standards. Sales agents or contractors must submit the resident-signed disclosure with utility application materials and identify who must obtain connection and operating approval.

Solar warranties and customer claims survive

Covered contractor or installer warranties transfer to later homebuyers and remain valid for the rest of their stated terms. This includes provided warranties for property repairs caused by installing or removing solar equipment. A buyer or new holder of a covered solar contract remains liable for customer claims and subject to customer defenses against the seller. Sellers must give new contract holders a prominent notice of that responsibility. Deceptive statements about solar costs, financing, or terms—and sales agents' or contractors' failures to follow the law's requirements—are unlawful trade practices.

Three business days to cancel solar

You can cancel a covered solar installation contract within three business days after signing. The seller cannot charge or collect money while that window remains open. After timely cancellation, the seller cannot enforce the contract, charge for labor or materials, or impose a cancellation fee. Recorded security interests or liens must be released within 20 days after receipt of written notice by email or certified mail. Sellers may wait until the cancellation window closes to begin work or order equipment and materials.

Sponsors & Cosponsors

Sponsors

There is no primary sponsor on record.

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 97 • No: 5

Senate vote • 2/25/2026

Third reading. Carried by Broadman. Passed.

Yes: 25 • No: 4

Senate vote • 2/23/2026

Energy and Environment: Heard and Reported Out

Yes: 4 • No: 1

House vote • 2/12/2026

Rules suspended. Third reading. Carried by Gamba. Passed.

Yes: 57 • No: 0

House vote • 2/10/2026

Climate, Energy, and Environment: Heard and Reported Out with Amendments

Yes: 11 • No: 0

Actions Timeline

  1. Chapter 11, (2026 Laws): Effective date June 5, 2026.

    3/17/2026House

  2. Governor signed.

    3/5/2026House

  3. President signed.

    2/27/2026Senate

  4. Speaker signed.

    2/26/2026House

  5. Third reading. Carried by Broadman. Passed.

    2/25/2026Senate

  6. Second reading.

    2/24/2026Senate

  7. Recommendation: Do pass the A-Eng. bill.

    2/24/2026Senate

  8. Public Hearing and Work Session held.

    2/23/2026Senate

  9. Public Hearing Cancelled.

    2/18/2026Senate

  10. Referred to Energy and Environment.

    2/16/2026Senate

  11. First reading. Referred to President's desk.

    2/16/2026Senate

  12. Rules suspended. Third reading. Carried by Gamba. Passed.

    2/12/2026House

  13. Second reading.

    2/12/2026House

  14. Recommendation: Do pass with amendments and be printed A-Engrossed.

    2/11/2026House

  15. Work Session held.

    2/10/2026House

  16. Public Hearing held.

    2/3/2026House

  17. Referred to Climate, Energy, and Environment.

    2/2/2026House

  18. First reading. Referred to Speaker's desk.

    2/2/2026House

Bill Text

  • HCEE Amendment -3 (Adopted)

    2/10/2026

    PDF

  • HCEE Amendment -2 (Proposed)

    2/5/2026

    PDF

  • HCEE Amendment -3 (Proposed)

    2/5/2026

    PDF

  • HCEE Amendment -2 (Proposed)

    2/3/2026

    PDF

  • A-Engrossed

    PDF

  • Enrolled

    PDF

  • House Amendments to Introduced

    PDF

  • Introduced

    PDF

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