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HomeMy WebLinkAboutITEM X B. WLGCC GHG PlaybookWisconsin Local Government Greening the Grid Playbook Install renewable energy on municipal buildings and properties Purchase off-site renewable energy Incentivize green buildings RAMPING UP: RENEWABLE ENERGY PROCUREMENT AND GREEN BUILDING POLICIES START HERE: PROMOTING COMMUNITY-WIDE RENEWABLE ENERGY DEPLOYMENT Sponsor solar group buy programs Streamline renewable energy processes Promote existing programs to incentivize and finance renewable energy deployment Wisconsin Local Government Greening the Grid Playbook This playbook outlines high-impact actions that Wisconsin local governments can take to support the decarbonization of the electric grid by deploying renewable energy at various scales. The playbook is informed by input from Wisconsin Local Government Climate Coalition members and provides step-by- step guidance on actions that are organized into three tiers: Start Here, Ramping Up, and Full Speed Ahead. FULL SPEED AHEAD: COORDINATION AND ENGAGEMENT WITH ELECTRIC UTILITIES AND GRID DECISION-MAKERS Build relationships with electric utilities Partner on community programs and projects Submit public comments to regulators Engage at the legislature i Acknowledgements The Wisconsin Local Government Climate Coalition would like to thank the WLGCC members who participated in focus groups and reviewed the draft playbook during spring and summer 2025. The playbook was developed by the Great Plains Institute. This project has been funded in part by the United States Environmental Protection Agency under assistance agreement XA-00E03850 to WLGCC. The contents of this document do not necessarily reflect the views and policies of the Environmental Protection Agency, nor does the Environmental Protection Agency endorse trade names or recommend the use of commercial products mentioned in this document, as well as any images, video, text, or other content created by generative artificial intelligence tools, nor does any such content necessarily reflect the views and policies of the Environmental Protection Agency. i Table of Contents Introduction ..................................................................................................................................................... 1 Playbook Structure .................................................................................................................................................................... 1 Playbook Purpose ...................................................................................................................................................................... 2 Why Focus on Electricity? .................................................................................................................................................... 2 Tier 1 — Start Here: Promoting Community-wide Renewable Energy Deployment ............... 5 1.1 Start Here: Sponsor solar group buy programs ................................................................................................ 5 1.2 Start Here: Streamline renewable energy processes .................................................................................. 9 1.3 Start Here: Promote existing programs to incentivize and finance renewable energy deployment .................................................................................................................................................................................. 13 Tier 2 – Ramping Up: Renewable Energy Procurement and Green Building Policies .......... 16 2.1 Ramping Up: Install renewable energy on local government buildings and properties ... 16 2.2 Ramping Up: Purchase off-site renewable energy ................................................................................... 22 2.3 Ramping Up: Incentivize green buildings ....................................................................................................... 25 Tier 3 – Full Speed Ahead: Coordination and Engagement with Electric Utilities and Grid Decision-Makers .......................................................................................................................................... 29 Who Shapes the Grid? ......................................................................................................................................................... 29 Coordinate with Electric Utility ................................................................................................................................. 30 3.1 Full Speed Ahead: Build relationships with electric utilities ................................................................ 32 3.2 Full Speed Ahead: Partner on community programs and projects ............................................... 35 Engage Grid Decision-Makers to Advance Clean Energy Goals ....................................................... 38 3.3 Full Speed Ahead: Submit public comments to regulators ................................................................. 41 3.4 Full Speed Ahead: Engage at the legislature ................................................................................................ 43 1 Introduction This playbook is intended to help Wisconsin local governments through different stages of decarbonizing the electric grid by providing step-by-step guidance on high- impact actions that support renewable energy deployment at various scales. It is focused on local government implementation actions—the concrete steps that municipalities can take to reduce greenhouse gas emissions across their communities and beyond. The playbook is informed by interviews, focus groups, and other input from Wisconsin Local Government Climate Coalition members. Playbook Structure Actions within this playbook are divided into three tiers, designed to make navigating this playbook and choosing actions easier. However, communities can and should select actions from any and all tiers depending on their local priorities, available resources, and previous actions. 1. Start Here: These actions might be considered “low-hanging fruit” and generally require fewer resources in terms of funding or staff time. They primarily focus on municipal operations and making it easier for residents and businesses to install renewable energy. 2. Ramping Up: These actions are a step up from Tier 1 actions and may require additional resources. Similar to Tier 1 actions, they focus on municipal operations and policy to encourage renewable energy deployment among residents and businesses. 3. Full Speed Ahead: These actions are higher effort and higher impact and may result in policy changes that benefit a municipality beyond its own borders. They are focused on engaging with utilities and regulators to expand emissions reductions impacts. The playbook features step-by-step guidance on actions that local governments can use to advance change—actions that include leading by example, providing programs and incentives, updating siting and zoning rules, and advocating for change at the state, regional, and federal level. The playbook provides real-world community examples of implementation and success, cost considerations, action-specific resources and assistance, as well as additional implementation considerations such as staff time required, department roles, county roles, and potential external partners. “Power Boost” denotes opportunities to go above and beyond a given action. 2 If your municipality has a sustainability staff person, it is assumed that they will be involved in every action, so they are not listed. Other departments are listed but may have another name or be structured differently depending on the municipality; use your best judgment about who should be involved in implementing each action. Playbook Purpose WHY FOCUS ON ELECTRICITY? The electricity sector is the highest emitting sector in the State of Wisconsin and in many communities.1 In Madison, for instance, electricity emissions are 1.5 times greater than those from transportation, solid waste, water and wastewater, agriculture, forestry, and land use combined.2 As energy demand increases due to electrification, data center growth, and new manufacturing, the sector’s emissions impact will only grow. Currently, three-quarters of Wisconsin’s in-state electricity generation comes from gas and coal; as such, electricity presents an opportunity for local governments to make significant emissions reductions through renewable energy deployment and energy efficiency actions.3 To decarbonize the electricity sector, communities and other actors need to make changes across the entire electric grid. The electric grid, or ‘the grid’, is the collection of electricity generation resources and wires that power a community. The grid consists of five major components: utility-scale generation, transmission, distribution, end uses, and distributed generation. 1 “Wisconsin Emission Reduction Roadmap,” Environmental Protection Agency, Wisconsin Department of Administration Office of Sustainability and Clean Energy, accessed September 10, 2025, https://www.epa.gov/system/files/documents/2024-03/wi-emission-reduction-roadmap.pdf. 2 “2018 & 2022 Inventory of Community–wide Greenhouse Gas Emissions ,” City of Madison, accessed September 16, 2025, https://www.cityofmadison.com/sustainability/documents/Madison%2020182022%20Community- Wide%20Greenhouse%20Gas%20Emissions_Final%20%28reduced%29.pdf. 3 “Wisconsin State Energy Profile,” U.S Energy Information Administration, September 19, 2024, https://www.eia.gov/state/print.php?sid=WI. Planning and engagement actions are not within the scope of this playbook and therefore are not detailed here. However, community-focused climate and/or energy planning can be a useful tool for communities who want a cohesive, unifying path toward decarbonization. Near-term (less than ten years out), actionable work plans are recommended to focus municipal efforts and lead to meaningful outcomes. There are many online resources to help municipalities develop an equitable climate or clean energy work plan, including the Community Energy Resource Guide from RMI and the Tool Kit for Equity & Justice in Local Climate Action Planning from Wisconsin Climate Table. 3 Large-scale generation resources that often power a community. High-voltage wires that carry electricity across long distances from utility-scale generation to distribution lines. Low-voltage wires that carry electricity across short distances from transmission lines to end uses. Electricity uses. Small-scale generation resources, also referred to as distributed energy resources, often installed at end uses and connected to distribution lines. As end users, local governments have the most influence over the electricity usage and distributed generation components. However, by engaging with electric utilities and other decision-makers, they can influence other components of the grid. The following table illustrates the changes to the grid that various actors need to take to decarbonize the electricity sector (“Grid Decarbonization Action”), what role local governments can play to advance those changes (“Role of Local Government”), and where local governments can find guidance on each topic within this playbook and other resources (“Resources for Guidance”). FIGURE 1: GRID DECARBONIZATION ACTION Grid Decarbonization Action Role of Local Government Resources for Guidance Utility-Scale Generation Decommission fossil fuel resources Invest in wind and solar resources Invest in battery storage, enhanced geothermal, and other “clean firm” resources to supplement wind and solar when the wind doesn’t blow or the sun doesn’t shine. Engagement with utilities and grid decision-makers Tier 3 4 Transmission Increase transmission capacity to build new renewable resources, maximize outputs, and connect communities with renewable resources in other parts of the country when local outputs are limited. Engagement with utilities and grid decision-makers Tier 3 Distribution Increase distribution capacity to build new distributed generation and send excess power from distributed generation across the grid. Engagement with utilities and grid decision-makers Tier 3 End Uses Lower electricity demand through energy efficiency measures. Shift electricity demand to coincide with wind and solar peaks. Programs and Incentives Siting and Zoning Lead by Example Engagement with utilities and grid decision-makers Tiers 1-3 WLGCC’s Resilient & Efficient Building Municipal Support Program Resources Distributed Generation Accelerate distributed solar and storage installations to lower demand on the grid and supply excess power to neighboring uses and communities. Programs and Incentives Siting and Zoning Lead by Example Engagement with utilities and grid decision-makers Tiers 1-3 5 Tier 1 — Start Here: Promoting Community-wide Renewable Energy Deployment There are two primary ways that local governments can reduce emissions: (1) by changing their own internal policies, infrastructure, and energy consumption to reduce emissions from municipal operations; and (2) by encouraging action by residents, businesses, and other private sector entities across the community. The latter is often an easier place to start, so these Tier 1 actions focus on how local governments can support renewable energy deployment by non-municipal entities. 1.1 Start Here: Sponsor solar group buy programs Installing rooftop solar can be a daunting prospect for residents or small business owners, both because of the process and its cost. Group buy programs allow residents and businesses to pool their collective buying power and purchase rooftop solar arrays as part of a group; solar companies gain a cost advantage by providing bulk products and services, thereby lowering the costs for customers and decreasing the amount of decisions that must be made to install solar.4,5 With limited effort and cost, local governments are well positioned to support these programs and increase distributed solar deployment. How It Works A local jurisdiction or nonprofit runs a procurement process to identify a solar installer. Then, the solar installer and the municipality work together to recruit residents and businesses that want to install solar. It’s a win-win situation—installers save resources by doing multiple installations in the same city at a time, and property owners secure a lower cost for their installations. Municipalities can coordinate a group buy process on their own or join an existing program like Midwest Renewable Energy Association’s Grow Solar. Joining an existing program is cheaper and requires significantly less staff time but provides fewer opportunities for customization. 4 “What is Group Buy,” Grow Solar, accessed September 16, 2025, https://www.growsolar.org/what-is-a- group-buy/#how-it-works. 5 “Empowering Your Business and Save Money: The Benefits of Collective Buying,” Padon Alliance, December 28, 2025, https://www.pandionalliance.com/who-we-are/newsroom/empower-your- business-and-save-money-the-benefits-of-collective- buying#:~:text=What%20is%20Collective%20Buying?,and%20fostering%20long%2Dterm%20growth. 6 STEP-BY-STEP GUIDANCE COMMUNITY EXAMPLES Solar group buy programs have been very successful in Wisconsin. The Village of Shorewood has been participating in solar group buy programs for a decade, and is now part of the Grow Solar Milwaukee-Waukesha group buy region, which has resulted in 339 solar installations since 2013. When a group buy is ongoing, the village promotes it via their communication channels. Likewise, Grow Solar Central Wisconsin, sponsored by the City of Stevens Point, has resulted in 238 solar installations totaling 1,619 kW since 2017. The City of Madison designed its own group buy program, called MadiSUN, in 2016. The program has evolved over the years but currently provides residential solar group Identify which group buy pathway is the best fit for your community. To inform this decision, consider your community’s desired outcomes and available resources. Joining an existing program Check if there is an existing group buyprograminyourarea(another localgovernmentmayhavesponsoredonethatworksbeyondtheirmunicipalborders). If a group buy program exists in your area,reach out to the organizing entity.If not,contact MREA’s Grow Solar program oranotherorganizationtodiscussstartingagroupbuyprograminyourregion. Once joined, promote the group buy program. Creating a new program Identify priorities for the group buy program.Consider which residents will be served,which types of renewable energy will be included,and a timeline. Reach out to potential partnerorganizations. Run a procurement process to identify asolarinstaller. Administer and promote the group buy. Evaluate success and determine timelineforfuturegroupbuys. 7 buys and solar grants for community organizations. The city pays a local nonprofit approximately $100-$120k annually to run the program, and it now requires little input from city staff. City staff estimate that they only spend about 50 hours per year administering the program, or .5 FTE. Since 2016, the program has helped 353 households install solar and pushed the city closer to its 2050 net-zero goal.6 RESOURCES + ASSISTANCE Procurement Guidance–Solarize: This resource, from the American Cities Climate Challenge Renewables Accelerator, provides step-by-step guidance on developing and managing a solar group buy program and includes specific strategies to make solar more accessible to low-income residents. The Solarize Guidebook: Developed by the National Renewable Energy Laboratory (NREL), this report provides several case studies of municipal solar group buy programs and includes lessons learned from each. Starting on page 16, the report highlights specific considerations for designing a program, including pricing, financing, and partnership guidelines. Installer Request for Proposal (RFP) Template: This RFP template, from New York State, is a good starting point for a municipality seeking a solar installer for a group buy. METRICS AND DATA To measure success of a solar group buy program, consider collecting the following data: • # of individuals reached through marketing campaigns • # of homes with solar installed through program • kW/MW of solar installed through program • $ saved through group buy vs. individual installations ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Minimal to Moderate 6 Gregg May (Sustainability Program Coordinator, City of Madison) in discussion with authors, June 11, 2025. 8 Staff Time Municipalities that joined an existing program reported that minimal staff time was necessary to establish the partnership and promote the program–less than .25 FTE while establishing the partnership, and significantly less in subsequent years.7 Communities designing their own group buy program will need more available staff time; however total time required will be dependent on the scope of the program and partnerships. Municipalities should also expect that an ongoing program will take much more time in the first year than it will in subsequent years. Cost Joining an existing group buy program is generally free to the municipality. Creating a new program may not incur direct costs if all work is completed by city staff. (Again, consider the balance of staff time and payments to partner organizations.) The City of Madison pays a local nonprofit approximately $100-$120k per year to run their group buy program. Departments Involved Economic development, planning, legal County Role Counties can sponsor solar group buy programs just like cities. They may have more success because they can administer the program across a broader geographic area, reaching more people and bringing solar costs down even further. La Crosse County partnered with the City of La Crosse and City of Onalaska to sponsor a Grow Solar group buy. Similarly, Dane County helps to sponsor MadiSUN so that it is available to households beyond the City of Madison’s borders. Partners To join an existing program, municipalities must partner with a group buy provider like MREA’s Grow Solar program. To create their own program, municipalities may wish to partner with a consultant or local nonprofit that can assist with program design, outreach, functionality, and equitable program delivery. 7 Adam Kuhn (Associate Planner and Zoning Administrator, City of Stevens Point) in discussion with authors, June 23, 2025.; Rebecca Ewald (Village Manager, Village of Shorewood) in discussion with authors, June 10, 2025. 9 Power Boost Consider adding additional incentives to get residents involved or offer grants for low-income households or community-based organizations to install solar. If funding allows, these actions will increase solar deployment, further reduce greenhouse gas emissions, and ensure the program is equitable and accessible to more residents. 1.2 Start Here: Streamline renewable energy processes Many municipalities are not aware that their ordinances, zoning code, and permitting processes present significant barriers to renewable energy deployment. Addressing these barriers and creating a more supportive regulatory environment for renewable energy—especially rooftop solar—is a key action to increase deployment. STEP-BY-STEP GUIDANCE Streamlining renewable energy processes is less about a step-by-step formula and more about identifying key actions that will address specific issues within your municipality’s zoning code or permit requirements. Therefore, the actions listed below are highly recommended, but not all will be necessary for every community. Furthermore, the alphanumerical labels do not indicate any order of prioritization or ranking and are solely for organizational and identification purposes. Actions marked with a star symbol are considered especially important, so consider tackling those first. Resources and templates are linked for each action when available. Zoning and Ordinance Actions 1. Conduct a zoning review to identify barriers to solar and battery storage deployment. SolSmart’s Solar Energy Toolkit provides helpful information, and all communities that join the SolSmart program receive a free zoning review. 2. Revise zoning ordinance to remove barriers to solar and battery storage deployment. Consider using this model ordinance from Dane County as a guide. Recommended revisions include: a. Allow accessory use solar by-right in all major zones b. Reduce aesthetic or performance standards, screening requirements, limits to visibility, excessive restrictions to system size or rooftop coverage, glare or glint regulations, and subjective design reviews. Wisconsin state law prohibits municipalities from enacting renewable energy regulations that are not related to health or safety.8 c. Prohibit new homeowner associations from enacting renewable energy regulations that are stricter than municipal standards. 8 “Wisconsin Laws and Polices,” University of Wisconsin-Madison, accessed September 16, 2025, https://energyonwi.extension.wisc.edu/reset/wisconsin-laws-and-policies/. 10 d. For specific battery storage ordinance guidance, refer to the following resources: i. Zoning Practice: Battery Energy Storage Systems from the American Planning Association ii. Planning and Zoning for Battery Energy Storage Systems: A Guide for Michigan Local Governments from the University of Michigan Graham Sustainability Institute’s Center for Empowering Communities iii. Model Ordinance: Utility-Scale Battery Energy Storage Systems from American Clean Power 3. Optional: Create a large-scale solar siting ordinance that addresses the above considerations, plus co-benefits opportunities like agrivoltaics. In Wisconsin, local governments can regulate solar projects under 100 MW. a. This webinar from Solar@Scale and Solar@Scale: A Local Government Guidebook for Improving Large-Scale Solar Development Outcomes provide more guidance for developing a large-scale solar siting ordinance. Permitting Actions 1. Post an online permitting checklist for accessory use and large-scale solar. 2. Reduce turnaround time for residential rooftop solar permit applications. 3. Require no more than one permit application form for a small rooftop solar PV system. 4. Ensure that permit fees are reasonable and not prohibitive. a. Commercial permit fees for solar should be based on cost-recovery and capped at a reasonable level. Fees should not be a net revenue source. b. Consider exempting or waiving fees for residential solar PV permit applications. Otherwise, ensure they are low enough to be accessible for all residents seeking solar permits. Inspection Actions 1. Require no more than one inspection for small rooftop solar PV and reduce unnecessary inspection delays. 2. Post solar and battery storage inspection requirements online, including the inspection process and what details inspectors will review. 3. Train fire and safety staff on solar and storage systems. 11 COMMUNITY EXAMPLES The City of Sun Prairie joined the SolSmart program to streamline their solar processes in fall 2023. The sustainability and resilience manager formed an internal team with members of all relevant departments to help push the process forward; the team met biweekly to coordinate and completed “homework” in between meetings. With SolSmart’s free technical assistance, Sun Prairie updated their zoning ordinance to remove barriers to solar, adopted SolarAPP+ to speed up the permitting process, and increased transparency by posting a solar landing page on their website. Within eight months, the city achieved SolSmart Platinum designation. RESOURCES + ASSISTANCE Free technical assistance and various trainings and templates are available from SolSmart. Notable resources include the following: Permitting and Inspection Training: This recorded training, developed for La Crosse County, provides strategies for streamlining permitting processes and improving solar inspections. Permitting and inspection staff should watch the video and consider how to implement best practices in their work. Planning and Zoning Training: This recorded training, developed for La Crosse County, provides strategies for incorporating solar into plans and ordinances. Planning staff should watch the video and consider how to implement best practices with local development priorities. METRICS AND DATA To measure success of streamlining solar processes, consider collecting the following data and comparing before and after process updates: • kW/MW of solar installed • Number of solar permits issued • Average solar permit turnaround time 12 ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Moderate Staff Time Dependent on actions taken and the amount of interdepartmental coordination required. Many communities that pursue these actions through the SolSmart program take 4-6 months to complete. To complete all actions listed above, we estimate 100 hours of staff time. Cost None Departments Involved Planning, permitting. May also require coordination with facilities management, building inspection, city/county executive, and/or fire department. County Role Counties have limited jurisdiction over solar permitting, inspection, and planning. However, counties may still support municipal efforts by providing resources like a permitting checklist template, hosting trainings, and facilitating county-wide conversations. Regardless of their land use jurisdictions, counties can get support with these actions through SolSmart. Partners The SolarAPP+ Foundation can help communities access free instant permitting software. Potential Challenges and Solutions Wisconsin municipalities cannot regulate solar developments above 100 MW; those projects are approved and permitted by the Public Service Commission (PSC). However, local governments can still pass a large-scale solar siting ordinance to address setbacks, screening, ground cover (i.e., native pollinator habitat), etc. for projects below 100 MW. Additionally, the PSC may take local priorities into account when permitting a large-scale solar project, so having a record of community priorities (e.g., an ordinance) could be useful. Power Boost Adopt SolarAPP+ or another instant permitting software (like Symbium) to speed up permit turnaround times and reduce burden on permitting staff. Both SolarAPP+ and Symbium are free to municipalities. 13 1.3 Start Here: Promote existing programs to incentivize and finance renewable energy deployment Local governments can encourage residents, businesses, and other private entities to implement renewable energy, energy efficiency, and electrification upgrades by promoting existing financing and funding programs. This may be an easier initial step than creating new policies (discussed in Tier 2). Incentive programs—like those offered by Focus on Energy and various utilities—can help residents, businesses, and other private entities pay for rooftop solar, energy efficiency upgrades, electric appliances, and more. Some utilities also offer demand response programs that enable customers to save money by reducing their energy use during peak hours of the day and green pricing programs that allow customers to support utility investments in renewable energy by paying a slight premium (e.g., Madison Gas and Electric’s Green Power Tomorrow program). Local governments can promote existing incentives and other programs via social media, at events, and through newsletters and websites. Communities should work with their utility to ensure that educational materials are accessible to groups such as renters, non-English speakers, and people living in multi-family housing. Program availability will differ by region and utility. See below for a non-exhaustive list of programs offered by Focus on Energy and Wisconsin utilities: Renewable Energy Programs Madison Gas and Electric Programs and Offers Alliant Energy Renewable Energy Programs Wisconsin Public Service Electric Services and Programs We Energies Renewable Energy Opportunities Xcel Energy All Rebates and Incentives Solar for Homes Rebates Wisconsin IRA Home Energy Rebates Focus on Energy Energy Efficiency Rebates Central WI Electric Coop 14 Property-assessed clean energy (PACE) financing can help more businesses access clean energy. Per the program’s website, “PACE is an innovative program that enables property owners to obtain low-cost, long-term loans for energy efficiency, renewable energy, and water conservation improvements. Projects financed using PACE can generate positive cash flow upon completion with no up-front, out-of-pocket cost to property owners—eliminating the financial barriers that typically prevent investment in revitalizing aging properties.” The program works by matching open-market lenders with building owners. Building owners pay a PACE Special Charge to access the low-cost financing, and the financing travels with the property if it is sold. Eligible property types include commercial, multi- family housing, non-profit, agriculture, warehouses, hospitals, industrial, and hospitality, among others. More program details are available on the PACE Wisconsin website, including guidance on how communities can participate. STEP-BY-STEP GUIDANCE More than half of Wisconsin’s counties have already enabled PACE financing in their jurisdictions.9 However, PACE program staff report that since it was enabled so long ago in some cases, county staff members may not be aware of the program. Even if your county has already enabled PACE, consider working to promote the program as detailed in the steps below. 9 “Participating Communities,” PACE Wisconsin, accessed September 16, 2025, https://www.pacewi.org/participating-communities.html. For Counties Pass a resolution authorizing execution of PACE Joint Powers Agreement. Pass the model PACE ordinancethroughcountyboardorsupervisors. Sign the Joint Powers Agreement. Promote the PACE program to local building owners and developers. For Cities/Villages Encourage county government to enable PACE financing. Promote the PACE program to local building owners and developers. 15 COMMUNITY EXAMPLES PACE has been used across Wisconsin to finance energy efficiency, water conservation, and renewable energy upgrades at properties ranging from hotels and apartments to ice rinks and dairies. See project examples on the PACE Wisconsin website. RESOURCES + ASSISTANCE Slipstream, an energy efficiency and climate solutions focused nonprofit organization, administers PACE Wisconsin. They can provide educational materials for county officials and assistance in enacting PACE governance documents. Contact Slipstream PACE staff at info@pacewi.org. ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Minimal Staff Time Minimal Cost Enabling PACE and promoting existing programs is free for local governments. Departments Involved Legal, county board of supervisors, economic development, communications County Role Counties have the authority to enable PACE financing if it isn’t already enabled and can promote the program to eligible entities. Partners PACE Wisconsin administrator Slipstream, chambers of commerce and other business organizations, Focus on Energy, utilities, clean energy nonprofits 16 Tier 2 – Ramping Up: Renewable Energy Procurement and Green Building Policies While Tier 1 actions focus on how local governments can encourage climate action among residents and businesses, Tier 2 actions focus on concrete ways that local governments can reduce their own emissions through on-site and off-site renewable energy procurement as well as policies that can further incentivize private sector clean energy deployment. These actions tend to require more funding and staff time but are still achievable steps toward grid decarbonization. 2.1 Ramping Up: Install renewable energy on local government buildings and properties Adding solar panels, energy efficiency measures, ground-source or air-source heat pumps, distributed wind turbines, or battery storage to existing municipal buildings and/or municipally owned land can reduce greenhouse gas emissions and energy costs. Many local governments have achieved significant savings by installing solar on city halls, recreational centers, wastewater treatment plants, fire stations, and other facilities. STEP-BY-STEP GUIDANCE Step 1: Conduct a feasibility study to find optimal sites. Before installing renewable energy projects, it is important to understand which buildings or lots have the ideal characteristics for a given technology. For solar energy production, significant tree cover or a north-facing roof may not allow enough sunlight to access panels; south-facing roofs and non-shaded areas are ideal. Likewise, distributed wind turbines require large open spaces, and ground-source heat pumps are most feasible in sites with ample land and certain types of soils. Determining which factors are relevant to the technology you hope to install and what criteria must be met for installation happens during a feasibility study. Remember that renewable energy can be installed in places besides existing buildings; consider how underutilized space like parking lots, vacant land, brownfields, or closed landfills may be good locations. Depending on the technology you hope to install, it may also be important to identify the nearest point of interconnection to the distribution grid or know the site’s energy usage. Many communities hire engineering firms to conduct feasibility studies, but there are resources available for municipalities that want to do it themselves including the REopt and PVWatts tools from NREL and Google’s Project Sunroof. Solar installers may also be willing to help you identify the best locations, especially if they are local. 17 Step 2: Reach out to your utility to discuss the project. Generally, the renewable energy installer will engage with the utility to coordinate interconnection, if necessary, but it is never a bad idea to build a stronger relationship between your municipality and the utility. Municipalities can reach out to their utility directly or contact their Focus on Energy advisor to discuss solar and energy efficiency measures. (See Full Speed Ahead: Building relationships with electric utilities for guidance on engaging with utilities more broadly.) Additionally, ask the utility about interconnection timelines, if applicable. There are often significant delays in the interconnection queue, so it is good to know in advance what to expect. The utility may also have suggestions for financing and funding options or data that could be useful in determining feasibility and impact. Step 3: Identify potential financing, funding, and rebate options. Installing renewable energy and energy efficiency projects can require significant initial investment. The project’s “payback period” is an important measure of its financial feasibility. Payback period “refers to the length of time required before the system has paid for itself and all future power produced is free.”10 Payback periods vary by technology, installation cost, project size, and incentives. On average, solar payback periods in the United States are less than 10 years; payback periods for air-source heat pumps are less than 20 years but can have significant variation.11 Financing options for a renewable energy project depend heavily on ownership models. Three ownership models are detailed below; generally, these models can be used for solar photovoltaic installations, air-source heat pumps, energy efficiency upgrades, distributed wind projects, and battery storage, though options may vary slightly based on technology and location. 10 “How Much Money Can I Save With Solar Energy,” U.S Department of Energy, August 1, 2024, https://www.energy.gov/eere/solar/articles/how-much-money-can-i-save-solar-energy. 11 Wilson, Eric J.H. et al. “Heat pumps for all? Distributions of the costs and benefits of residential air- source heat pumps in the United States,” Joule, Volume 8, Issue 4, April 17, 2024, https://www.cell.com/joule/fulltext/S2542-4351(24)00049- 7?_returnURL=https%3A%2F%2Flinkinghub.elsevier.com%2Fretrieve%2Fpii%2FS2542435124000497%3F showall%3Dtrue. 18 FIGURE 2: RENEWABLE ENERGY OWNERSHIP MODELS Direct Ownership Performance Contracting Municipal Lease Description The municipality owns the installation from day one and is responsible for all aspects of the project. Municipality owns all RECs and can count them towards emissions accounting. Municipality enters an energy savings performance contract (ESPC) with an energy service company (ESCO) wherein energy savings are guaranteed to equal or exceed the cost of the payments for the installation. Similar to direct ownership, but municipality leases installation from the installer until it is paid off. This is contracted through a tax-exempt equipment lease. Municipality owns installation after it is paid off. Funding and Financing Options Bond financing, tax revenue, or grant funding. Little-to-no upfront funding required. Payments may be funded through bond financing, tax revenue, grant funding, or energy cost savings. Little-to-no upfront funding required. Payments may be funded through bond financing, grant funding, or tax revenue. While not a financing tool, net metering is another way that municipalities can reap the financial benefits of their investment. Consider all potential ownership models and funding opportunities carefully to determine which model best aligns with community priorities and available funding. Some funding sources, like utility rebates, may require relinquishing the renewable energy credits (RECs) produced by the installation. This is important for local governments to be aware of, because if they do not own the RECs, they cannot count the emissions reductions from the installation toward its greenhouse gas inventory. 19 Step 4: Run a procurement process. Issue a Request for Proposals (RFP) to identify a company to install your project. Ensure your RFP aligns with and specifies your preferred ownership model. There are many model RFP templates for renewable energy procurement, including these from American Cities Climate Challenge and Clean Energy Resource Teams. Step 5: Construction. Build the project. Municipal involvement will vary based on the ownership model. For direct ownership, municipal staff will need to manage contractors and the construction process. For other ownership models, this step may not require much from the municipal government except oversight and responding to any community concerns that arise. Step 6: Operations and Maintenance. Municipalities with renewable energy installations should have a plan for operations and maintenance. Municipalities can contract with the installer or another entity for ongoing maintenance or identify an entity that can provide these services as needed. Maintenance may be automatically included in an energy savings performance contract or lease. For ground-mount solar or distributed wind projects, there are additional considerations: at the end of its service (25-30 years), the installation will need to be decommissioned.12 The system owner is typically responsible for decommissioning. Vegetation maintenance will be necessary throughout the installation’s lifespan; consider how this might be accomplished (by city staff or contracting an outside entity) and if sheep grazing or native pollinator habitat might align with community land use priorities. For battery storage installations, municipalities must engage in fire planning and prepare for incident response. Battery fires require different fire response protocols for effective management; ensure that local fire departments are trained accordingly. Visit the Environmental Protection Agency’s website to learn more about battery storage safety considerations. Step 7: Evaluation. Have a plan in place to measure the success of the project. Standard inverters track solar and wind production; municipalities can get monthly production data from the utility or install a more advanced inverter that sends to-the- minute data to a webpage. The latter allows local officials and residents to see the impact of the project. 12 Emily Walker, Casey McDevitt, “How long do solar panels last?,” Energy Sage, August 14, 2025, https://www.energysage.com/solar/how-long-do-solar-panels-last/. 20 COMMUNITY EXAMPLES The City of La Crosse, WI installed solar on several municipal facilities, including fire stations, the main library, the municipal service center, and park facilities. The city partnered with Johnson Controls through an energy savings performance contract and used both tax-exempt equipment leases and bond financing for different projects. Learn more about this case study here. The following cities offer example project costs: • The City of Sun Prairie, WI installed a 67 kW rooftop solar array on their city hall in December 2018. Based on the past six years of solar production data, the system is on track to pay for itself within 21 years. (This calculation does not include any incentives or rebates).13 • The City of Wauwatosa, WI installed a 389 kW rooftop solar array on their city hall complex, which includes the civic center and library. The project cost $740,000.14 • The City of Stevens Point, WI installed an 8 kW solar canopy at a local park. The project, which includes one EV charger powered by solar arrays cost $85,000.15 RESOURCES + ASSISTANCE Focus on Energy provides rebates and discounts for many energy efficiency and renewable energy technology installations. Additionally, many utilities offer rebates for interconnected renewable energy installations. Check with your utility to learn more. Note: Sometimes receiving a utility rebate for a renewable energy project, like a solar installation, requires the recipient to relinquish any RECs produced by the project to the utility. Depending on your municipality’s goals, this may or may not be an issue. (For example, an entity must own the RECs produced by their renewable energy project to count the project towards emissions reduction goals.) Read the fine print carefully before accepting a rebate and ensure any stipulations align with municipal goals. 13 Rose Daily (City Administrator, City of Sun Prairie) in discussion with the authors, June 2025. 14 “Wisconsin town offsets 50% of municipal energy use with rooftop solar,” University of Wisconsin- Extension, February 23, 2022, https://fyi.extension.wisc.edu/cwsn/2022/02/23/wisconsin-town-offsets-50- of-municipal-energy-use-with-rooftop-solar/. 15 Morgan Johnson, “Solar canopy shelter installed at new Stevens Point Park,” WIFW, June 26, 2024, https://www.wjfw.com/news/solar-canopy-shelter-installed-at-new-stevens-point- park/article_81945486-33c2-11ef-b8d5-071613020ebf.html. 21 On-Site Solar Procurement Guidance from American Cities Climate Challenge. This resource provides step-by-step guidance and templates for procuring municipal solar. Performance Contracting and Energy Service Agreements from the Environmental Protection Agency (EPA). This resource explains performance contracting and how municipalities can use it to finance renewable energy projects. Energy Equipment Leases from the EPA. This resource explains energy equipment leases and how municipalities can use them to finance renewable energy projects. ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Moderate to Significant Staff Time Staffing is highly variable and depends on how much work is done by a contractor (engineering firm or installer) and how much is done by municipal staff. Generally, determining feasibility takes 3- 6 months, based on conversations with municipalities that have conducted feasibility studies. It can take up to a year to have an operational installation. Construction is typically the quickest part of this process, taking just days; installer timelines, utility interconnection delays, worker availability and supply chain delays make up the rest. Cost Costs may vary depending on technology and ownership model. Energy savings performance contracts or leases may not incur additional charges beyond average utility costs before the installation. Solar panel installations cost an average of $3.03 per watt in Wisconsin (as of September 11, 2025).16 Large installations tend to be somewhat cheaper than smaller installations. Departments Involved Facilities management, planning, building inspection, city/county executive, economic development, emergency management County Role Counties can implement renewable energy projects on county- owned properties. 16 “The cost of solar panels in Wisconsin (2025),” Energy Sage, September 9, 2025, https://www.energysage.com/local-data/solar-panel-cost/wi/. Costs may change with impending tariffs. 22 Power Boost Consider how local government owned solar paired with battery storage can provide resilience benefits; some government buildings with solar panels may be able to serve as resilience hubs in case of natural disasters or grid outages. Conduct a resilience assessment to understand who may be at risk in your community and then work with the emergency management department to ensure they are aware of the potential benefits of installing a solar + storage system at critical municipal facilities. 2.2 Ramping Up: Purchase off-site renewable energy Installing solar on local government-owned sites is an ideal emissions reduction strategy because it leads to net-new renewable energy generation and increases energy reliability and community resilience. However, some communities may not have available space to install solar panels, or they may not have appropriate funding. In these cases, purchasing off-site renewable energy is an alternative option to reduce municipal emissions, especially as an interim action while preparing for on-site solar projects. Before purchasing off-site renewable energy, ensure your local government understands the trade-offs, as it can have important implications for greenhouse gas emission accounting. STEP-BY-STEP GUIDANCE There are multiple ways to purchase off-site renewable energy, and some are more impactful than others. Two options are provided below, with additional information and caveats to consider. Preferred Option: Purchase renewable energy from a utility through a green tariff program. These programs allow larger retail customers (often including municipalities) to purchase renewable energy from utilities. The utility will build renewable energy generation or procure renewable energy for you at an agreed-upon rate that is usually comparable to the standard rate. Currently Alliant Energy, We Energies, Madison Gas and Electric, and Xcel Energy offer green tariff programs in Wisconsin. Talk to your utility to understand options for your municipality. Note: Some utilities offer all customers (including residents) the option to pay an additional fee for renewable energy (e.g., Alliant Energy’s Second Nature program). This action does not refer to those programs, but rather to programs that allow large customers specifically to purchase significant amounts of renewable energy. 23 Alternative Option: Purchase renewable energy credits. Municipalities may be able to purchase RECs from their utility, independently, or through a virtual power purchase agreement (VPPA) (also called a financial PPA). Purchasing through a utility is preferred because it requires less verification by the municipality. Important caveats to consider: 1. RECs should always be bundled. Bundled RECs include the electricity that is produced by renewable generation, while unbundled RECs are environmental benefits sold separately from the generated electricity. Unbundled RECs cannot be counted in a municipality’s GHG inventory and are not recommended. Learn more about REC purchasing guidelines from ICLEI. 2. RECs have important implications for GHG accounting. Bundled RECs can be counted in a municipality’s GHG inventory, but only if another emissions inventory excluding RECs is also provided. 3. VPPAs are not yet commonly used by Wisconsin municipalities, but they provide a legal off-site renewable energy alternative for communities without the ability to install their own solar panels. COMMUNITY EXAMPLES The cities of Madison and Sun Prairie, WI purchased RECs to meet their clean energy goals. About a third of Madison’s 100% renewable energy goal is met with RECs purchased through OneEnergy Renewables, while 22% of the city’s electricity is provided through Madison Gas Electric’s green tariff program—the Renewable Energy Rider program.17 RESOURCES + ASSISTANCE Buying Clean Electricity: How Cities Benefit from Power Purchase Agreements from the Center for Climate and Energy Solutions This report provides a detailed overview of PPA models and how cities can take advantage of them. This is a general resource and does not include Wisconsin-specific legal context. A Local Government’s Guide to Off-Site Renewable PPA Risk Mitigation from RMI This report highlights the potential risks of virtual PPAs and how local governments can navigate them. While virtual PPAs should not be viewed as scary or risky, they can be somewhat complex, so this is a good read for any local government staff considering this method of clean energy procurement. 17 “Renewable Energy,” City of Madison, accessed September 16, 2025, https://www.cityofmadison.com/sustainability/energy/renewable-energy. 24 METRICS AND DATA To measure the success of purchasing off-site renewable energy, consider collecting the following data: • kW/MW of renewable energy purchased and the percent of municipal energy use this comprises • Where is the purchased renewable energy produced? ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Minimal Staff Time Depends on chosen pathway, but generally minimal. Cost Purchasing renewable energy from your utility is a great strategy because it does not typically require significant additional investment. Utilities may charge slightly more per kWh for renewable energy through a green tariff program, but these costs may be easily absorbed into the municipal budget. Purchasing RECs may not incur significant additional costs either, but the financial mechanisms can be more complicated— especially if a municipality is entering into a virtual PPA. Departments Involved Facilities management (or whichever department coordinates with utilities) County Role Counties can take the same renewable energy procurement actions as cities and villages. Partners A utility or electricity producer (i.e., solar developer) if pursuing a virtual PPA. Potential Challenges and Solutions Wisconsin state law does not explicitly address third-party renewable energy, but utilities have argued that it would infringe on their monopoly rights. The PSC has previously weighed in on the issue, but it remains tied up in litigation. As such, third- party renewable energy options like physical PPAs are not currently feasible. Virtual PPAs are an option, but are more complicated and it may take more time to get local government officials on board. 25 Additionality is another key challenge and consideration. When purchasing off-site renewable energy—and especially when a municipality is doing so to meet clean energy goals—it is important that the renewable energy is being produced because the municipality purchased it and would not have been produced otherwise. This ensures that new renewable energy is being added to the grid to meet broader climate goals. Additionality is complex. To learn more, check out the resources below: Green Tariffs and Additionality: Do Voluntary Renewable Programs Accelerate the Energy Transition? from the NC Clean Energy Technology Center Indicators of Clean Electricity Procurement That Drives New Supply from the Center for Resource Solutions 2.3 Ramping Up: Incentivize green buildings To encourage renewable energy deployment in private development, local governments can create incentives for developers who construct highly energy efficient or solar-ready buildings. “Solar-ready buildings” are buildings that are designed for solar installation—though the solar may not be installed during construction.18 They have features like ample available roof space for solar panels, an appropriate roof type, and an orientation toward the sun. These design considerations are inexpensive if included in early building design and enable solar development later in the building’s lifespan. This is important because it is much easier and less expensive to ensure a building is solar-ready during construction than to retrofit it later. Note: The resources developed through WLGCC’s Resilient & Efficient Buildings Municipal Support Program provide more in-depth information about how local governments can promote more resilient and efficient private building development through local policy. This playbook only covers solar-ready development. 18 Watson, Andrea et al., “Solar Ready: An Overview of Implementation Practices,” National Renewable Energy Laboratory, January 2012, https://docs.nrel.gov/docs/fy12osti/51296.pdf. 26 STEP-BY-STEP GUIDANCE Below provides guidance on enacting policies to incentivize renewable energy. Step 1: Create a policy development team and prepare. Offering incentives will likely require policy development, which can be a long process.19 Consider what would make this process more streamlined within your municipal government; creating a “task force” to conduct research on potential options and make recommendations to city council might be one solution. Step 2: Define terms. Before designing incentives, consider what the terms “solar-ready,” “sustainable building,” and “energy efficient” mean to your municipality. Create definitions with specific parameters for each applicable term; these parameters will serve as the criteria by which developers qualify for incentives. For instance, if you plan to incentivize solar-ready development, establish a minimum available roof space and designate appropriate roof types and orientation measures that a development must meet to qualify for incentives. For guidance, check out: 1. Sustainable Development Code’s Solar-Ready Construction Code 2. The City of La Crosse, WI Solar Ready Guide 3. The City of La Crescent, MN Solar Ready Home Certification 4. U.S. Green Building Council’s LEED Standards Step 3: Decide which incentives you will offer. There are several possible mechanisms to encourage sustainable or solar-ready buildings, including: 1. Waive or discount permitting fees for new developments and retrofits that meet criteria. 2. Expedite review or permitting processes for new developments and retrofits that meet criteria. 3. Offer density bonuses for new developments that meet criteria. 19 “Powers of Municipalities FAQ 2,” League of Wisconsin Municipalities, accessed September 16, 2025, https://www.lwm-info.org/1243/Powers-of-Municipalities-FAQ-2. It is illegal in Wisconsin for municipalities to set building code requirements that are more stringent than the state code (i.e., stretch codes are not allowed). However, local governments can encourage solar- ready or more energy efficient buildings through incentives, as this action describes. As a note, property tax abatement is often prescribed as a sustainable building incentive, but waiving or reducing property taxes is also prohibited by Wisconsin law. 27 a. Density bonuses are an incentive tool that allows developers to exceed the maximum allowed development on a given property (e.g., add more floors or more units than code allows) if they meet specific goals that benefit the public. 4. Set additional requirements for tax increment financing (TIF) policies that address energy efficiency, resilience, and/or sustainability. 5. Partner with a lending institution (like a local credit union) to offer low-interest loans for residential energy efficiency upgrades and/or rooftop solar. a. This action is a great complement to enabling PACE financing, which is only available for commercial properties. b. Example: The City of Milwaukee offers low-interest loans for residential solar (MKE Shines) and energy efficiency improvements (ME2) in partnership with Summit Credit Union. Step 4: Enact incentive(s) via appropriate legislative process. Step 5: Conduct outreach among developers and property owners to let them know about the available incentive(s). COMMUNITY EXAMPLES Local government solar-ready incentive mechanisms for buildings: • The City of Northbrook, IL offers permit fee rebates based on LEED certification level. • The City of Middleton, WI offers a maximum height allowance for net zero- ready buildings. The Village of McFarland, WI allows extra height for buildings with solar.20 RESOURCES + ASSISTANCE Government Policy Tracker: This database developed for WLGCC’s Resilient & Efficient Buildings Municipal Support Program shares examples of sustainable building policies and incentives from across the country. Incorporating Building Efficiency, Resilience and Sustainability into Wisconsin TIF Policies: WLGCC commissioned this report to highlight how other Wisconsin municipalities have used TIF to incentivize sustainable building development. Tax Incremental Financing Wisconsin Policy Basics: WLGCC resource that provides more information about how TIF works in Wisconsin. 20 “Resilient and Efficient Buildings Program Government Policy Tracker,” Wisconsin Local Government Coalition, accessed September 16, 2025, https://wlgcc.org/reci-resources-policy-tracker. 28 ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Moderate to Significant Staff Time Depending on how supportive city leadership is of the initiative, this action may require significant staff time in advance of enactment. After the policies are adopted, staffing required for implementation may vary depending on the type of policy and community context. Cost These actions do not cost anything outright, but waiving or reducing permitting fees may lead to a slight decrease in municipal revenue. Departments Involved Legal, city/county executive, planning, permitting, finance County Role Counties can utilize many of the strategies included in this action. Policies involving permitting fees may not be particularly relevant or impactful for counties, but they can draft model policies for cities and towns and serve as a thought leader. 29 Tier 3 – Full Speed Ahead: Coordination and Engagement with Electric Utilities and Grid Decision-Makers Local governments have limited control or authority over most components of the electric grid. However, local governments are large electricity users with the authority to implement energy programs, policies, and plans. These characteristics make them well-positioned to build trusted partnerships with electric utilities and provide unique input to local, state, and regional decision-makers that shape the grid, thereby resulting in greater emissions reductions than if local governments worked alone. Who Shapes the Grid? The grid that powers a community spans far beyond a single utility service area and even beyond a single state, meaning several entities are involved in shaping the grid. In Wisconsin, the following entities have jurisdiction over the grid: Electric Utilities An electric utility serves as the sole electricity provider for its service territory, which may be confined to a single municipality, but often spans multiple municipalities. There are three types of electric utilities: investor-owned utilities, municipal utilities, and rural electric cooperatives. Communities can learn which type of utility they have by using the PSC’s electric service territories tool. A utility owns and procures electricity generation resources to meet the needs of its service territory and owns and manages the local distribution grid. Utility Regulator Utilities are regulated by a state commission or local boards. These entities regulate utilities by setting minimum standards for service and reviewing utilities’ proposals to increase or decrease electricity customer rates. In Wisconsin, utilities are regulated as follows: The PSC also approves or rejects proposals to build utility-scale generation and transmission projects in the state, even those proposed by rural electric cooperatives or independent companies.21 State Legislature Utilities and utility regulators must comply with state legislation. 21 Wis. Stat. § 196.491 https://docs.legis.wisconsin.gov/statutes/statutes/196/491/3. PSC Board Investor-owned utility X Municipal utility X Rural electric cooperative X 30 Regional Transmission Organization A utility must comply with rules set by its regional transmission organization (RTO)— a non-profit, independent entity responsible for operating and planning the transmission grid and maintaining reliable and affordable electricity across the region. Utilities and transmission companies in Wisconsin are members of the Midcontinent Independent System Operator (MISO), the RTO for 15 states across the Midwest and Southern U.S. Federal Commission MISO is regulated by the Federal Energy Regulatory Commission (FERC)—an independent federal agency. The remainder of this section provides guidance on how local governments can best engage each of these entities to achieve their objectives. Coordinate with Electric Utility In Wisconsin and in most states across the country, one electric utility serves as the sole electricity provider for its service territory.22 Through this jurisdiction, utilities own or control several components of the grid, making them critical to decarbonizing the electricity sector. Utilities are key to increasing distributed and utility-scale clean energy resources for the following reasons: Utilities own, or procure through other sources, the generation resources that largely power a community. Utilities control the make-up of the local generation mix. Utilities both own generation resources and secure power from independent power producers through power purchase agreements. Only utilities can sponsor community solar projects in Wisconsin. Community solar projects allow multiple subscribers to access distributed solar, even if it is off-site. These projects are critical to serving electricity users that cannot install distributed solar because they are renters, cannot afford the full cost of installations, or lack suitable land for solar. 22 “Community Choice Aggregation,” Environmental Protection Agency, accessed September 15, 2025, https://www.epa.gov/green-power-markets/community-choice-aggregation. Rural electric cooperatives and generation resources Most communities served by rural electric cooperatives are served by distribution cooperatives, which do not own generation resources. Instead, these cooperatives purchase power from generation and transmission cooperatives, such as Dairyland Power Cooperative. While distribution cooperatives do not make investment decisions themselves, they are part- owners of generation and transmission cooperatives and contribute to their decision-making. 31 The State of Wisconsin, as is common in most states across the country, does not have community solar enabling legislation, meaning only electric utilities can sponsor community solar projects.23 Utilities establish net-metering rules. Net-metering is a billing mechanism through which distributed energy resource (DER) owners can sell excess power back to their utility. Strong net-metering policies can provide a financial incentive to electricity users to install DERs and allow utilities to defer or avoid some large-scale generation investments.24 The PSC requires all municipal and investor-owned utilities to allow net-metering, but utilities are responsible for setting the rates at which they buy back electricity. A utility’s net-metering rules can be found in their net metering tariff, which can be accessed through the PSC’s utility tariffs webpage. While rural electric cooperatives are not required to establish net-metering rules, they can and often do set their own rules. Utilities establish DER interconnection rules Before DERs can be installed and connected to the distribution grid, they must be studied and approved by the local utility through a DER interconnection process. DER interconnection processes impact the speed and scale at which DERs can be installed. The PSC requires all municipal and investor-owned utilities to set minimum standards for DER interconnection, but utilities can go beyond those standards. While rural electric cooperatives are not required by the PSC to establish DER interconnection rules, they can and often do set their own rules. Local governments can coordinate with their electric utilities in two key ways: 1. Build relationships 2. Partner on community projects and programs 23 David Sarkisian, “Where Community Solar Stands Across the States in Early 2025,” DSIREinsight, May 29, 2025, https://www.dsireinsight.com/blog/2025/5/29/where-community-solar-stands-across-the- states-in-early-2025. 24 “Review of Recent Cost-Benefit Studies Related to Net Metering and Distributed Solar,” U.S. Department of Energy, May, 2018, https://www.energy.gov/sites/prod/files/2020/06/f75/ICF%20NEM%20Meta%20Analysis_Formatted%20FI NAL_Revised%208-27-18.pdf. 32 3.1 Full Speed Ahead: Build relationships with electric utilities STEP-BY-STEP GUIDANCE By building strong relationships with their electric utility, local governments can identify partnership opportunities and deepen their understanding of grid issues. Step 1: Meet with utility to discuss shared objectives. Most utilities have a designated staff person to manage relationships with local governments. Local governments can contact this person to schedule an initial meeting to discuss shared objectives. Local governments and utilities may seek to achieve several objectives, including the following: 1. Provide community solar, energy efficiency incentives, and other projects and programs to the public 2. Improve education and outreach for energy programs 3. Alleviate barriers to DER installations 4. Discuss utility proposals at the PSC 5. Share data on relevant programs, policies, and plans Step 2: Develop plan to meet shared objectives. Local governments and utilities should develop a plan to meet shared objectives and decide on the following: 1. Should you establish regular meetings or schedule meetings as needed? 2. Is a formal coordination agreement necessary to ensure objectives are met? 3. Would city or county leadership benefit from a presentation from the utility? Step 3: Ensure meetings are productive. Before meetings, ensure the agenda is clear and determine which local government and utility staff are needed for the discussion. For example, if the intention of the meeting is to discuss a utility’s net-metering policy, utility staff with knowledge of the policy should be present. COMMUNITY EXAMPLES The approach a local government takes to establish a working relationship with their utility depends on their utility context. Here are two different approaches local governments may consider. All five of Wisconsin’s investor-owned utilities have carbon reduction goals. Local governments play a key role in holding utilities accountable to their publicly announced GHG emission reduction goals. All five of Wisconsin’s investor-owned utilities have carbon reduction goals. Local governments can publicly celebrate utilities when they make progress on their goals and express concerns when utilities make decisions that may be counter to their goals. 33 Signing a Formal Agreement with the Utility The Cities of Eau Claire, La Crosse, and Madison all have Memorandums of Understanding (MOUs) with their electric utilities, through which they identified areas of common interest and agreed to collaborate. All three MOUs include plans to develop a list of deliverables, minimum requirements for how often parties will meet, and agreements to seek necessary regulatory approvals in a cooperative manner. Writing a Letter to the Utility The City of Milwaukee is served by We Energies—the largest electric utility in the State of Wisconsin.25 In order to establish an open line of communication with We Energies, the City of Milwaukee partnered with other large electricity users with aligned goals—the County of Milwaukee, Milwaukee Metropolitan Sewerage District, and Milwaukee Area Technical College—to increase their leverage. In 2018, leaders from all four entities wrote a joint letter to the CEO of We Energies to express their objectives, which led to a meeting that initiated a working relationship amongst the five entities. RESOURCES + ASSISTANCE Memorandum Of Understanding Between City of Madison and Madison Gas and Electric: MOU between the City of Madison and Madison Gas and Electric. Utilizing City-Utility Partnership Agreements to Achieve Climate and Energy Goals: This working paper from the World Resources Institute provides information on the value of city-utility partnerships, guidance on how to structure formal agreements, and examples of communities that have formed city-utility partnerships. ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Minimal Staff Time Minimal staffing is needed. Cost None Departments Involved Legal, city/county executive County Role Counties can also build relationships with their utilities and include cities and villages in the conversations, as appropriate. Partners Utility, large utility customers 25 “Contact us,” We Energies, accessed September 16, 2025, https://www.we- energies.com/secure/ssl/contact. 34 Potential Challenges and Solutions Challenge: Smaller communities may face challenges when trying to establish regular meetings with utilities. Solution: Utilities may be more responsive to meeting if other large customers are involved. Local governments can identify other large customers of their electric utility with overlapping goals, which may include other local governments, colleges, or industrial users. Power Boost Deepen understanding of utility motivations by joining peer learning cohorts that focus on utility or grid issues. Examples Wisconsin Local Government Climate Coalition MISO Cities and Communities Coalition Urban Sustainability Directors Network Unsure who your utility’s largest electric customers are? All public utilities are required to file a list of their twenty largest customers to the Federal Energy Regulatory Commission (FERC) by January 31 of every year. A utility's list, called Form 566, can be accessed as follows: Navigate to FERC's e-library > Input “January 1-Feburary 1” of the given year under “Select Data Range” > Input “Form 566 of [Insert Utility Here]” under Keyword Seach > Enter “Search” Tip: Utilities file under their publicly registered company name, which can be found through the PSC Electric Service Territories tool. 35 3.2 Full Speed Ahead: Partner on community programs and projects Local governments may partner with their utility on a variety of community programs and projects. A community solar project is one key example of such a partnership. In the State of Wisconsin, only utilities can own and operate community solar. However, local governments still have the following roles to play to develop community solar projects: Landowner Local governments can lease city or county-owned land for community solar projects. Coordinator and champion Utilities may not be motivated to develop community solar on their own. Local governments can use their influence as large electricity customers and governing bodies to champion community solar projects. STEP-BY-STEP GUIDANCE Step 1: Meet with utility. Determine the utility’s level of interest in developing a community solar project and/or sharing information to support a feasibility study. For a feasibility study, local governments will require data on the distribution grid to determine where there is existing capacity and where there are potential points of interconnection for new community solar projects. Step 2: Identify suitable city- or county-owned land. Suitable land includes parcels that are undeveloped and are unlikely to be used for other purposes, such as brownfields or closed landfills. Sites should be 5-50 acres, as community solar projects typically require 5-10 acres/MW and tend to be 1-5 MW total. A local government’s path to identifying potential sites depends on whether datasets are readily available and whether there is support from GIS staff and other departments to identify suitable sites. Local governments with limited available data or staffing support may identify potential sites in the following way: 1. Access city or county-owned land parcel data from city or county assessor’s site or through the county’s records of deeds. 2. Use city or county land use map to identify vacant land parcels. 3. Use FEMA floodplain maps to exclude parcels susceptible to flooding. 36 Step 3: Conduct a feasibility study. Feasibility studies can take considerable expertise. To conduct a feasibility study with minimum cost and staffing, communities can either apply for technical assistance or conduct a basic feasibility study on their own. Option 1: Apply for technical assistance To conduct a comprehensive, no-to-low cost feasibility study, communities can apply for grants or free programs to receive technical assistance from NREL or other experienced agencies or engineering firms. Option 2: Conduct a basic feasibility study Opportunities for free-to-no cost feasibility studies may not always be available. Communities can make a rough estimate of solar feasibility by utilizing NREL’s REopt and PVWatts tools. Step 4: Share results of feasibility study with utility. If the utility is interested in developing the project, local governments can draft a leasing agreement and coordinate on project development. See the City of Milwaukee for one example of a solar lease agreement. If the utility is not interested in developing a project at this time, maintain results of the feasibility study in case future opportunities arise. COMMUNITY EXAMPLES The City of Eau Claire partnered with its utility, Xcel Energy, to develop the Solar* Connect Community Solar Garden—a 1 MW community solar project on a seven-acre, city-owned closed landfill. In addition to the City of Eau Claire, the University of Wisconsin-Eau Claire served as an early subscriber to the project. The feasibility study for the city-owned site was conducted by NREL and funded through a grant awarded by the EPA. The Wisconsin Department of Natural Resources provided support to secure the grant. RESOURCES + ASSISTANCE Free trainings on how to use NREL’s solar feasibility tools: • PVWatts Calculator • Introduction to the REopt Web Tool | REopt | NREL 37 ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Moderate Staff Time Staffing time depends on whether local governments receive technical assistance for feasibility studies and how proactive their utility is in bringing the project to fruition. Cost Cost may vary and depend on level of support from utility and staff time required. Departments Involved Planning, economic development, finance, city/county executive County Role Counties can partner with their utility on projects in the same way that cities and villages can. Partners Utility; large utility customers; NREL or other entity that can provide technical assistance on feasibility study; third-party, such as state agency or non-profit, may be needed to secure grant Potential Challenges and Solutions Challenge: Smaller communities may not have sufficient leverage or land to initiate community solar projects Solution: Identify other large customers of your electric utility who may also be interested in partnering on a community solar project. 38 Engage Grid Decision-Makers to Advance Clean Energy Goals In addition to engaging electric utilities directly, local governments can engage decision-making entities that shape the grid.26 All major investor-owned utilities in Wisconsin have voluntary goals to reach carbon neutrality by 2050.27 However, as of 2025 the state does not have a clean energy standard in place that mandates the achievement of these goals. This puts the achievement of local clean energy goals at risk. Engaging grid decision-makers about how broader decisions can impact local goals is an important strategy to increase awareness and keep utilities and regulators accountable to the communities they ultimately serve. The following table illustrates how each entity can impact local governments’ objectives related to different components of the grid. 26 This playbook does not provide guidance on engaging rural electric cooperative boards because each rural electric cooperative is unique. Local governments can learn more about their rural electric cooperative governance structure by checking out the Rural Power Coalition Co-Lab series. The second module “Co-op Governance & Scorecards” can help local governments determine how open and transparent their cooperative board’s decision-making process is. 27 “Strategic Energy Assessment,” Public Service Commission of Wisconsin, November 2022, https://apps.psc.wi.gov/ERF/ERFview/viewdoc.aspx?docid=451939. 39 FIGURE 3: GRID DECISION-MAKERS’ IMPACT ON LOCAL GOVERNMENTS PSC State Legislature MISO Utility-Scale Generation Rejects or approves proposals to build large- scale generation projects Implements laws regarding planning, siting, and approval of utility-scale generation resources Sets Renewable Portfolio or Clean Energy Standard Passes legislation that can impact the PSC’s authorities and utility requirements Facilitates wholesale energy markets, which determine what generation resources power a community second- to-second Sets rules that impact the expected rate of return for different types of generation resources Studies and approves utility-scale generation resources through its interconnection queue Transmission Approves or rejects proposals to build transmission lines Can pass legislation to speed up permitting process for transmission siting Plans transmission lines to meet the needs of the future energy system Distribution Implements laws regarding planning of distribution lines Can pass legislation to require utilities to plan distribution lines in advance to meet future increases in distributed generation End-Uses Sets scope for Focus on Energy, the state’s energy efficiency program Determines whether retail customers can participate in MISO’s wholesale markets through aggregations of demand-response Can pass legislation to establish energy efficiency programs and update energy codes Sets rules that determine how much utilities get paid to implement energy efficiency or demand-response programs Distributed Generation Sets minimum standards for utilities’ net-metering policies and DER interconnection queue rules Can pass legislation to enable community solar and third-party solar financing Sets rules that determine the degree to which distributed generation can participate in wholesale energy markets 40 Further Reading Wisconsin’s Roadmap to Net Zero by 2050, pages 18-20 Detailed Summary Maps - DSIRE The Impacts of Wholesale Market Rules and Policies on Clean Energy Goals - World Resources Institute MISO Cities and Communities Coalition Each entity plays a key role in shaping the grid and can impact other entities’ decisions. The following table illustrates one example of how each entity can shape the grid and how local governments can influence their decision-making. FIGURE 4: HOW EACH ENTITY CAN CONTRIBUTE TO THE CONSTRUCTION OF A GAS PLANT (EXAMPLE) MISO FERC Utility PSC State Legislature Action MISO proposes a rule that increases the expected return on investment for gas plants. FERC reviews MISO’s proposed rule and decides to approve, modify, or reject. Utility announces a plan to build a gas plant due to MISO’s changing rules, data center growth, or other factors The PSC reviews the utility’s proposal to construct a gas plant and decides whether to approve, modify, or reject. State legislature considers a bill to require investor-owned and municipal utilities to file integrated resource plans, which would allow local governments to provide input to utilities before a generation resource is announced. Opportunity for Local Governments to Engage Submit comments Submit comments Meet with utility Submit public comments or intervene in docket to offer testimony Lobby or offer legislative education Reason to Engage at this Stage Once MISO sets rules, it is difficult to challenge utility proposals that cite them. Engaging at this stage allows local governments to address potential threats to local goals early in the process. If MISO does not satisfy the requests from local governments, they can engage FERC as an alternate strategy. Through discussions with their utility, local governments can express their needs and clarify the rationale behind utility proposals Local governments can engage the PSC to advocate that their clean energy goals, as well as the utility’s, are considered when reviewing a gas plant proposal. Local governments can provide education to state legislators on the value of integrated resource planning, or if a bill is filed, local governments can lobby the state legislature to approve it. 41 Local governments can engage entities in two key ways: 1. Submit public comments to the PSC, MISO, and FERC 2. Lobby the state legislature 3.3 Full Speed Ahead: Submit public comments to regulators Local governments can submit public comments on proceedings at the PSC, MISO, and FERC. STEP-BY-STEP GUIDANCE Step 1: Determine whether individual or collective comments are most strategic. Local governments may choose to submit comments individually or as part of a coalition. In certain circumstances, it may be to a local government’s benefit to do both—contribute to collective comments as well as submit individual comments. Option 1: Join a coalition Most local governments do not have dedicated staff to track and study proposals, attend meetings, and craft public comments. However, local governments can join coalitions to share resources and work with staff that are dedicated to tracking and researching grid issues and understanding regulatory processes. Relevant coalitions include: 1. Wisconsin Local Government Climate Coalition (WLGCC): This group participates in stakeholder processes at the PSC. 2. MISO Cities and Communities Coalition (MISOCCC): This group participates in stakeholder processes at MISO and FERC and is supported by staff at the Great Plains Institute. Through joint comments, local governments can illustrate to decision-makers that a proposal will impact many communities, not just one community or a certain type of community. Option 2: Submit comments individually Any party, including local governments, may submit comments to the PSC, MISO, and FERC. The comments can take the form of a simple letter expressing local goals, experiences, and project or program examples. However, submitting more substantial comments or direct testimony can require a significant investment of labor or hired professional representation to understand the proceeding and craft comments that will have influence with decision-makers. Option 3: Do both As noted above, coalition comments offer strength in numbers. However, it could make sense for a local government to contribute both to coalition comments and to 42 submit its own comments, depending on the circumstances and the importance of the issue to the local government. Offering individual comments allows a local government to expand on its individual experience—highlighting local examples and information that may not be as common across a broader coalition. Of course, it is important that the collective and individual comments are aligned around similar goals to have the most positive and impactful outcome. COMMUNITY EXAMPLES Local Government Collaboration on Data Needs Local governments require data from their electric utilities to carry out a variety of energy programs and planning processes, but utilities can be reluctant to share that data. In 2024, WLGCC requested that the PSC host a roundtable discussion between local governments and the state’s five investor-owned utilities. The discussion not only allowed communities to articulate their needs but also allowed utilities to hear from other utilities who have data-sharing agreements with their member communities. Following the roundtable, WLGCC successfully collected community data aggregated at the sector level from all five investor-owned utilities to develop greenhouse gas inventories for its members. The success of the roundtable provides an example of how local governments can maximize advocacy efforts through collective action and engage the PSC to bring multiple stakeholders to the table. Local Government Collaboration on PSC Utility Cases In 2023, two investor-owned utilities—Madison Gas Electric and Alliant Energy— proposed significant changes in rate case filings to their net metering offerings. Both WLGCC and individual local governments—the County of Dane, the City of Madison, and the City of Middleton intervened in these cases. WLGCC intervened given the potential impact of these proposals and the precedent- setting nature that the Commission’s decisions could have for other utility decisions across the state. By intervening separately, Dane County, Middleton, and Madison were also able to speak to their individual experiences and the local impacts of the proposals. WLGCC also coordinated with other intervening non-profit organizations that aligned with members’ priorities. Ultimately, the Commission decided to reject the utilities’ proposals and opened a new investigation to explore net metering on a statewide basis, as WLGCC recommended. 43 ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Minimal to Moderate Staff Time 1-3 hours/month Cost None Departments Involved City/county executive County Role Counties can join coalitions and submit comments. Counties can also play a facilitation role by convening cities and villages to discuss regulatory engagement. Partners WLGCC, MISOCCC, local governments served by same utility Potential Challenges and Solutions Challenge: By joining a coalition, local governments can save considerable time on tracking and understanding proposals. However, local governments still require a basic understanding of the PSC, MISO, and FERC activities to feel comfortable signing onto comments, and may still face a learning curve to understanding these topics. Solution: Local governments can stay up to date and deepen their understanding of grid issues by joining coalitions like WLGCC or MISOCCC. These groups track regulatory cases and relevant legislation, identify opportunities for members to collectively provide comments, and coordinate with other groups or non-profits involved in these topic areas. Power Boost Local government staff may require approval from city or county leadership to submit public comments. Given the quick turnaround of some comment periods, local governments may consider passing a resolution to provide staff with authority to submit comments without requiring approvals from city or county leadership. Example City of Minneapolis Energy and Climate Action Policy: Comments to State Agencies 3.4 Full Speed Ahead: Engage at the legislature Local governments may also consider providing education on legislative issues or working with an in-house liaison, third-party lobbyist, or member-based organization to lobby the state legislature directly. 44 STEP-BY-STEP GUIDANCE Step 1: Track issues. Organizations like WLGCC track and provide education on bills at the state legislature that may impact local clean energy objectives. Step 2: If interested in lobbying or providing legislative education, consider the best pathway. Staff working on sustainability initiatives have different pathways for engaging at the state legislature depending on their community’s size, governance structure, and available funding. The following table provides information on the various pathways and the benefits and challenges associated with each. FIGURE 5: PATHWAYS FOR ENGAGING WITH THE LEGISLATURE Benefits Challenges Utilize in-house liaison: Larger communities have intergovernmental affairs staff that advocate for local interests at the legislature No cost Governance structure or lack of support from leadership may hinder sustainability staff participation in legislative priority discussions Hire third-party lobbyist: Local governments can hire a third-party firm to lobby on their behalf Allows lobbyist to work on a single issue Requires funding Work with city or county associations: The League of Wisconsin Municipalities and Wisconsin Counties Association advocate on behalf of communities at the legislature Good option for those that do not have in- house liaisons or face challenges engaging at the legislature Diverse membership may limit ability of group to advance sustainability priorities Utilize intergovernmental partnerships: Local governments can form partnerships, like the Milwaukee County Intergovernmental Cooperation Council, to hire a lobbyist or coordinate lobbying efforts Good option for smaller communities that neighbor a large city Diverse membership may limit ability of group to advance sustainability priorities 45 Step 3: Continue to explore impacts of potential legislation. Local governments may face barriers to engaging at the state legislature due to the challenges outlined in the preceding table. However, local governments should remain informed on the impacts of potential legislation and continue to include legislative priorities in climate action plan updates for the following reasons: Local governments can speak publicly on policy impacts. Local staff or officials may be asked by legislators, advocates, or the press for their opinion on certain energy-related bills or policy concepts. Providing education and input can help other organizations determine their legislative priorities and help legislators understand the local effects of energy policies. Prepare for opportunities. Staff may face challenges to participating in legislative priority discussions due to a variety of circumstances. However, circumstances can always change and new opportunities may arise that will allow staff to join discussions in the future. By developing a summary of policy impacts and talking points to use in discussions with leadership or legislators, local governments can save time later on. COMMUNITY EXAMPLES The City of Milwaukee’s Environmental Collaboration Office has repeatedly added items to the city’s legislative priorities. For example, the city supported community solar-enabling legislation in the 2021-22 legislative session.28 ADDITIONAL IMPLEMENTATION CONSIDERATIONS Degree of Difficulty Minimal to Moderate Staff Time 1-10 hours/year plus time spent on legislative education or lobbying Departments Involved City/county executive, intergovernmental affairs County Role Counties can engage at the legislature themselves and can play a facilitation role by convening cities and villages to discuss legislative engagement. 28 “2021-22 Legislative Session Summary,” City of Milwaukee, accessed September 16, 2025, 211905 - 2021- 22 Legislative Wrap Up final.