The proposed General Assembly Raised Bill No. 5442 seeks to amend the property tax exemption provisions for Class I renewable energy sources by repealing and replacing subdivision (57) of section 12-81 of the 2026 supplement to the general statutes. Key insertions include clarifying that exemptions apply to Class I renewable energy sources, hydropower facilities, and geothermal energy resources installed for residential or farm use, contingent upon meeting specific conditions such as installation dates and production limits. The bill also allows municipalities to abate up to 100% of property tax for certain renewable energy installations, with the exemption extending to equipment generating electricity from assessment years starting on or after October 1, 2026, while explicitly stating that the exemption applies only to the equipment and not the real property.

Additionally, the bill introduces a requirement for individuals claiming the exemption to submit a written application by November 1 of the assessment year, detailing the energy source's estimated load and production, with late filings resulting in a waiver of the exemption. It also allows municipalities to enter into agreements that freeze or stabilize taxes for owners of solar photovoltaic systems, effective July 1, 2026, which will supersede existing tax obligations. The bill repeals subsection (h) of section 12-121dd and replaces it with these new provisions, while also permitting municipalities to amend their grand lists for the assessment year commencing October 1, 2025, to reflect these changes.