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Arizona Rep. David Marshall Proposes Legislation to Increase Renewable Energy Projects' Tax Contributions

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Published on January 22, 2026
Arizona Rep. David Marshall Proposes Legislation to Increase Renewable Energy Projects' Tax ContributionsSource: Wikipedia/Gage Skidmore, CC BY-SA 3.0, via Wikimedia Commons

State Representative David Marshall introduced HB 2918 and HB 2915 to change how large-scale renewable energy projects contribute to local communities in Arizona. HB 2918 would eliminate the current property tax subsidy that allows these projects to be assessed at only 20 percent of their depreciated value, making them pay full property taxes like other properties, according to the Arizona House of Representatives.

HB 2915 proposes giving fifty percent of new property taxes from these projects to residents living within 300 feet of a project, addressing potential impacts on nearby property values. Marshall’s bills aim to increase funding for local services and ensure communities near renewable energy projects receive direct compensation, as reported by the Arizona House of Representatives.

Marshall has proposed bills that would increase property tax revenue for rural counties and provide co`mpensation to residents affected by renewable energy projects. He criticized the industry, saying it has benefited disproportionately, stating, "After benefiting from massive tax breaks for years," and added, "It’s time these projects pay their fair share and give back to the communities they affect." A similar effort, the "solar royalties bill" in 2024, aimed to impose a royalty on utility-scale solar projects but did not pass. HB 2915 and HB 2918 instead adjust existing property tax laws without creating new taxes. Marshall represents Legislative District 7 and is involved in shaping the state’s energy policy, as stated by the Arizona House of Representatives.