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Consideration of request by Sustainability Manager for approval of a new annual permit fee waiver program to incentivize solar panel installation on residential and commercial buildings
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Submitted by:
Megan Conway, Sustainability Manager
Department:
Department of Public Works
A. Issue
In order to meet the goal of community carbon neutrality by 2050 adopted in the 2020 City of Wauwatosa Energy Resolution, renewable energy generation on privately owned residential and commercial buildings will need to significantly expand.
Between 2019 and 2024, Wauwatosa’s community greenhouse gas (GHG) emissions have decreased nearly 20%, but there is still significant progress needed to reach the 2050 goal. In 2024, approximately 55% of community GHG emissions in Wauwatosa were from electricity use in residential and commercial buildings (Source: Wauwatosa Sustainability Committee 2024 Annual Report). Increased adoption of on-site renewable electricity through solar panel installation can substantially support the City’s sustainability targets.
B. Background/Options
Solar energy development on residential and commercial properties supports Wauwatosa’s goal of achieving community carbon neutrality by 2025. Continued expansion of existing residential and commercial solar will further reduce community GHG emissions, improve air quality, increase electricity grid resilience, and provide opportunities for residents and business owners to lessen energy costs.
In recent years, there has been steady but slowly increasing interest in solar energy, evidenced by permits collected for residential and commercial installation (see table below).
Year |
Residential Permits |
Commercial Permits |
Total Permits |
Total Permit Fees Collected |
2022 |
19 |
0 |
20 |
$3,000 |
2023 |
25 |
1 |
26 |
$3,900 |
2024 |
27 |
3 |
30 |
$4,500 |
2025 (as of 4/9/25) |
10 |
0 |
10 |
$1,500 |
Wauwatosa has already been recognized for leadership in solar energy through designation as a SolSmart community (link: <https://solsmart.org/designee/wauwatosa>), achieving Silver level in 2019 and Gold level in 2021. SolSmart’s program includes guidance and technical assistance for local governments to continue building support for solar energy. Waiving fees for solar permit applications is a recommended strategy in the SolSmart program (link: <https://solsmart.org/wp-content/uploads/2025/02/SolSmart-Standard-Pathway-Program-Guide-CLEANED-3.25-FINAL.pdf>, page 18).
Staff recommends creating a program of first-come-first-served permit fee waivers for the first fifteen (15) residential solar permits (currently $150) and first five (5) commercial solar permits (currently $150) each year. Staff also recommends consideration of an increase in volume of permit fee waivers available in future years based on first year performance and feedback from Wauwatosa residents and businesses. We are recommending that the program commence shortly after Common Council approval for 2025 and continue in subsequent years through the budget review and approval process.
Informing residential and commercial property owners, as well as potential developers, of the solar permit fee waiver program each year will allow for regular opportunities to raise awareness of the environmental benefits and cost saving potential of solar energy. The first-come-first-served model is intended to encourage urgency and momentum for renewable energy infrastructure adoption in Wauwatosa.
C. Strategic Plan (Area of Focus)
Priority Area One: Economic Development and Financial Resilience
Priority Area Five: Quality of Life
D. Fiscal Impact
The existing permit fee for solar installation is $150 for both residential and commercial solar permits. If all proposed permit fee waivers are claimed, the program would reduce permit fee cost recovery by a maximum of $3,000 annually.
Ideally, the program will build momentum for solar panel installation in Wauwatosa to increase permits beyond available fee waivers, but the future volume of solar permits is unknown.
E. Recommendation
Approve program for annual permit fee waivers for the first fifteen (15) residential solar permits and first five (5) commercial solar permits and associated outreach to residents, businesses, and developers to inform them of the program to commence upon Common Council approval of the program.