All Roll Calls
Yes: 311 • No: 100
TexasSB 103689th Legislature Regular SessionSenateWALLET
Relating to the regulation of residential solar retail transactions; requiring an occupational registration; authorizing fees; providing civil and administrative penalties.
Sponsored By: Drew Darby, Judith Zaffirini (Democratic)
Became Law
Business & Commerce--Trade PracticesCivil Remedies & LiabilitiesConsumer ProtectionEnergy--SolarOccupational Regulation--Other Trades & ProfessionsUtilities--ElectricRESIDENTIAL SOLAR RETAILER REGULATORY ACTELECTRICIANS & ELECTRICAL CONTRACTORSCONSUMER CREDIT COMMISSIONER, OFFICE OFLICENSING & REGULATION, TEXAS COMMISSION OFLICENSING & REGULATION, TEXAS DEPARTMENT OFPUBLIC UTILITY COMMISSION
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Bill Overview
Analyzed Economic Effects
7 provisions identified: 5 benefits, 2 costs, 0 mixed.
Solar buyers gain cancellation and refunds
For covered contracts signed on or after September 1, 2025, buyers and lessees can cancel without penalty or further obligation. Written notice is due by the fifth business day after signing. Agreements must state the deadline and a mailing or email address; without an address, any reasonable notice method is allowed. Beginning September 1, 2026, state regulators may order cancellation and refunds after notice, a hearing, and a finding of violations. Refunds cannot exceed amounts paid, and injured customers can still seek other damages or court relief.
Solar contracts must protect buyers
Covered solar agreements must identify the retailer and salesperson by name and registration number. They must name the licensed electrical contractor or provide an approved list from which the buyer selects one. Agreements must provide for required permits and approval to connect to the serving utility, cooperative, or city utility. If a third-party lender is affiliated with or referred by the retailer, contracts must require loan cancellation after timely solar cancellation. Sellers must also provide their names and registration numbers on request; contractors must provide their names and license numbers.
Solar customers gain stronger sales safeguards
Solar sellers cannot intentionally, knowingly, or recklessly make deceptive claims, falsely claim government or utility ties, or omit required information. They cannot allow unlicensed installation or solicit at homes with no-solicitation signs unless an occupant directs otherwise. Sellers must follow applicable conduct codes, consumer laws, the Truth in Lending Act, and state financing and disclosure laws. By June 1, 2026, the licensing commission must adopt rules on sales practices, disclosures, agreement forms, insurance, and salesperson renewal training. It must consult the consumer credit commissioner on disclosures and forms; the utility commission must create consumer materials, with seller distribution required only by rule.
Solar violations face state enforcement
Beginning September 1, 2026, state regulators can use administrative penalties and orders stopping conduct that threatens public health or safety. Optional warning letters can direct corrections before penalties; electrical contractors also face applicable licensing penalties and sanctions. Civil penalties are capped at $2,500 per violation and $50,000 total for similar violations. If a court finds harm to someone over age 65 when the violation occurred, caps rise to $10,000 and $100,000. Regulators may also consider harm to someone over age 65 when setting administrative penalties for prohibited conduct; penalties are not guaranteed customer payments.
Solar businesses get targeted compliance exemptions
Electrical contractors using employees to sell solar are exempt from this chapter's retailer registration and insurance requirements. Those employees are also exempt from registration when selling on the contractor's behalf. When the contractor is the seller or lessor, the specified installation-contract and cancellation protections still apply. Solar retailers cannot be required to complete continuing education to renew registration; this exemption does not cover solar salespeople.
Some solar deals fall outside protections
The chapter excludes systems sold or leased before September 1, 2025, and systems tied to new residential construction. It also excludes temporary or emergency systems, single-appliance systems, and systems totaling less than 1 kilowatt peak output per property. Commercial systems and systems for multifamily buildings exceeding four units or four stories are excluded. Out-of-state property is excluded unless the solar retail transaction occurs in Texas. The chapter overrides conflicting city rules on the same conduct and conflicting Business & Commerce Code Chapters 115 and 601.
Solar businesses face registration and fees
Beginning September 1, 2026, nonexempt paid solar salespeople must register and work for registered retailers. Applicants must meet registration requirements and pay reasonable, necessary fees that cover regulation; the law sets no fee amounts. Retailers must show required insurance and list salespeople and controlling persons, including holders of at least 25% of voting securities. The licensing department may check criminal histories, and specified violations or past occupational discipline can lead to registration denial or nonrenewal. Retailers must promptly report salesperson authorizations and changes, reasonably supervise salespeople, address known or reasonably discoverable violations, and answer for covered violations.
Sponsors & Cosponsors
Sponsors
Drew Darby
House
Judith Zaffirini
Democratic • Senate
Cosponsors
César Blanco
Democratic • Senate
Juan "Chuy" Hinojosa
Democratic • Senate
José Menéndez
Democratic • Senate
Roll Call Votes
House vote • 5/23/2025
Record vote
Yes: 94 • No: 37
House vote • 5/22/2025
Record vote
Yes: 100 • No: 36
Senate vote • 4/7/2025
Record vote
Yes: 25 • No: 5
Senate vote • 4/7/2025
Record vote
Yes: 22 • No: 8
Senate vote • 4/7/2025
Record vote
Yes: 22 • No: 8
Senate vote • 4/7/2025
Record vote
Yes: 25 • No: 5
Senate vote • Unknown
Committee vote: Business & Commerce
Yes: 10 • No: 0
House vote • Unknown
Committee vote: State Affairs
Yes: 13 • No: 1
Actions Timeline
See remarks for effective date
6/20/2025HouseFiled without the Governor's signature
6/20/2025HouseSent to the Governor
5/27/2025HouseSigned in the House
5/26/2025HouseSigned in the Senate
5/26/2025SenateReported enrolled
5/23/2025SenateHouse passage reported
5/23/2025SenateStatement(s) of vote recorded in Journal
5/23/2025HouseRecord vote (RV#3312)
5/23/2025HousePassed
5/23/2025HouseRead 3rd time
5/23/2025HouseStatement(s) of vote recorded in Journal
5/22/2025HouseRecord vote (RV#3215)
5/22/2025HousePassed to 3rd reading
5/22/2025HouseRead 2nd time
5/22/2025HousePlaced on General State Calendar
5/21/2025HouseConsidered in Calendars
5/19/2025HouseCommittee report sent to Calendars
5/15/2025HouseCommittee report distributed
5/15/2025HouseComte report filed with Committee Coordinator
5/15/2025HouseReported favorably w/o amendment(s)
5/12/2025HouseConsidered in formal meeting
5/12/2025HouseLeft pending in committee
5/9/2025HouseTestimony taken/registration(s) recorded in committee
5/9/2025HouseConsidered in public hearing
5/9/2025House
Bill Text
Engrossed
Enrolled
House Committee Report
Introduced
Senate Committee Report
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