ASSEMBLY BILL NO. 5264
(First Reprint)
To the General Assembly:
Pursuant to Article V, Section I, Paragraph 14 of the New Jersey Constitution, I am returning Assembly Bill No. 5264 (First Reprint) with my recommendations for reconsideration.
Assembly Bill No. 5264 (First Reprint) would create a “State Smart Solar Permitting Platform” (the “Smart Platform”) in New Jersey, developed and implemented by the Department of Community Affairs (“DCA”), that would be available to local enforcing agencies, private plan-review and inspection agencies, and solar-panel contractors 24 hours a day, to review applications to install residential solar panels for compliance with the State Uniform Construction Code (“UCC”) and instantly release permits for applications determined to comply with the UCC. The bill would require local enforcing agencies to allow individuals to submit permit applications through the Smart Platform or to adopt an alternative automated solar permitting platform that meets the bill’s requirements. Local enforcing agencies that elect to use the Smart Platform would be obligated to reduce their fees for permits to install residential solar projects. Additionally, DCA would be required to fully implement the Smart Platform within 12 months of enactment, provide training opportunities to local enforcing agencies on the Smart Platform, and adopt rules and regulations implementing the bill’s requirements.
I applaud the bill sponsors’ commitment to evaluating and seeking to adopt innovative digital tools designed to make applying for, tracking, and issuing construction permits simpler. Automated construction permitting systems such as the Smart Platform that this bill would implement may help to improve government efficiency by streamlining application reviews and reducing administrative delays. At a time when expanding access to renewable energy sources is essential to meeting climate, resiliency, and energy-savings goals, faster and more consistent permitting will accelerate our residents’ ability to install critical infrastructure on their homes such as residential solar panels.
While I share my legislative partners’ desire to implement modern solutions to streamline the residential solar permitting process, I have reservations that the bill’s requirements for the Smart Platform are insufficient to ensure that the proposed automated system employs a careful and consistent application of the UCC and complies with other statutory requirements governing the submission of construction permits. New Jersey’s UCC, which applies Statewide, is among the strongest in the nation and demonstrates our State’s commitment to enforcing firm health, welfare, and safety standards that protect the public from preventable harm. Automated permitting systems must be designed to uphold those important safeguards by ensuring that permit applications and their accompanying plan documents are submitted by the appropriate licensed professionals and approved only after they have demonstrated full compliance with the UCC.
With careful consideration of these key interests, I am recommending revisions to Assembly Bill No. 5264 (First Reprint) to allow DCA to stipulate requirements for the Smart Platform in a Request for Proposal (“RFP”) that includes, at a minimum, requiring the automated system to use the UCC as the basis for compliance review and to issue approval for only code-compliant plans and documents, which local enforcing agencies will use during inspections to ensure proper solar panel installation. In addition, the automated system must issue permits to construct a residential solar energy system only upon confirmation that the application was submitted by a licensed contractor, licensed architect, or licensed engineer and that licensed professionals prepare the application materials, as required by the UCC, that are within their discipline under relevant law or regulation. The Smart Platform must also be able to make timely updates as necessary to conform with changes to the UCC and other applicable State laws. My recommendations also direct DCA to consult with the Board of Public Utilities and the Office of Innovation during the RFP process and the implementation of the selected platform. Finally, I am recommending delaying the effective date from 12 to 18 months following enactment to provide DCA sufficient time to comply with the bill’s requirements.
Therefore, I herewith return Assembly Bill No. A5264 (First Reprint) and recommend that it be amended as follows:
Page 3, Section 2, Line 30: Delete “consistent with” and insert “uses”
Page 3, Section 2, Line 31: Before “automates” insert “to conduct a compliance review,”
Page 3, Section 2, Line 32: Delete “produces a” and insert “issues approval for only”
Page 3, Section 2, Line 32: Delete “approval” and insert “plans”
Page 3, Section 2, Line 33: Delete “in response to” and insert “upon”
Page 3, Section 2, Lines 33-34: Delete “an acceptable” and insert “a code-compliant”
Page 3, Section 2, Line 45: Delete “12th” and insert “18th”
Page 4, Section 2, Line 12: Delete “produce” and insert “issues approval for only code-compliant”
Page 4, Section 2, Line 17: After “system” insert “only upon automated confirmation that the permit application was submitted by a licensed contractor, licensed architect, or licensed engineer and that accompanying materials, including, but not limited to, plans and computations, were prepared by licensed individuals as required under relevant law or regulation, including licensed architects, licensed contractors, or licensed engineers, where required and as applicable, and are ”
Page 4, Section 2, Line 32: Delete “electronic” and insert “digital”
Page 4, Section 2, Line 32: After “signatures” insert “, stamps, seals, or certifications”
Page 4, Section 2, Line 35 Delete “and”
Page 4, Section 2, Line 39: After, “derates” insert “; and (j) be able to make updates as necessary to conform with changes to the State Uniform Construction Code or other applicable State law”
Page 4, Section 2, Line 46: Delete “one year” and insert “18 months”
Page 5, Section 2, Line 13: Delete “18th” insert “24th”
Page 5, Section 2, Line 24: Delete “the” insert “any”
Page 5, Section 2, Lines 25-26: Delete “The local enforcing agency shall maintain this revision in future fee schedules.”
Page 7, Section 2, Line 13: After “to” insert “physical”
Page 7, Section 2, Line 17: After “permit” insert “as long as the permit application contains a digital signature, stamp, seal, or certification”
Page 7, Section 2, Line 41: Insert “m. The Department of Community Affairs, in consultation with the Board of Public Utilities and the Office of Innovation or successor agency, shall issue a request for the development of the State Smart Solar Permitting Platform consistent with the requirements of subsection b. of this section. In addition to any other requirements that the Department of Community Affairs may deem appropriate, the request for proposal shall: (1) incorporate the standards developed pursuant to subsection b. of this section; and (2) require all bidders to demonstrate experience in the development of one or more Internet-based automated permit review platforms.”
Respectfully,
[seal]
/s/ Philip D. Murphy
Governor
Attest:
/s/ Kate E. McDonnell
Chief Counsel to the Governor