TL;DR

Utah HB 340, signed into law in 2025 and effective May 1, prohibits HOAs and local governments from banning or unreasonably restricting rooftop solar panels and battery storage systems. Restrictions are allowed only if they don't reduce system efficiency or increase costs by more than 10%. The law closes loopholes from previous solar protections and explicitly extends to integrated solar-plus-storage systems.

What Is Utah HB 340?

Official name: Homeowners' Solar Access Amendments

Legislative details:

• Bill number: House Bill 340
• Sponsor: Rep. Steve Handy
• Legislative session: 2025 General Session
• Status: Enacted (effective May 1, 2025)
• Codified in: Utah Code §§ 10-9a-510 and 17-50-403

The law amends existing Utah statutes to establish clearer, more enforceable standards for solar installations on residential property.

Why Was This Law Needed?

Utah's residential landscape is heavily shaped by homeowners' associations (HOAs), and those associations have historically wielded broad authority over property modifications—including solar installations.

The problem:

• Many Utah neighborhoods have strict aesthetic covenants that HOAs interpreted broadly
• Before 2023, some HOAs denied or significantly delayed solar approvals
• Reasons ranged from vague "visual impact" concerns to excessive permitting fees
• Homeowners challenging these decisions faced costly legal battles

The prior attempt: Utah passed HB 411 in 2023, which provided initial solar protections by prohibiting outright bans. However, gaps remained. The law didn't explicitly protect battery storage systems, and HOAs still had room to impose restrictions that effectively blocked solar projects without technically banning them.

The solution: HB 340 closes those loopholes, defines what counts as a "reasonable" restriction with objective numerical standards, and explicitly includes solar-plus-storage systems under protection.

What Does HB 340 Actually Do?

Prohibits:

• Outright bans on solar energy systems by HOAs or municipal governments
• Blanket restrictions that prevent homeowners from pursuing solar

Allows only "reasonable" restrictions—defined as restrictions that:

• Do not reduce energy output by more than 10%, AND
• Do not increase system cost by more than 10%

These are the only two criteria. If a proposed HOA restriction meets both conditions, it's legal. If it violates either one, the HOA cannot enforce it.

Defines "solar energy system" to include:

• Photovoltaic (PV) panels (standard rooftop solar)
• Solar thermal collectors (hot water systems)
• Battery storage integrated with solar systems (this is the major addition vs. HB 411)

Requires timely permitting: Local governments must process solar permits efficiently and cannot use bureaucratic delays as a de facto restriction tool.

Who Does HB 340 Apply To?

Covered entities:

• Homeowners' associations (HOAs)
• City and county governments

Covered homeowners:

• Owners of single-family homes with solar rights
• Townhome or condo owners with exclusive roof rights
• Any homeowner with legal authority to modify their roof

Does not apply to:

• Renters (unless explicitly authorized by landlord)
• Shared-roof situations with no exclusive use by any single owner
• Commercial properties (separate rules apply)

What Can HOAs Still Do?

The law doesn't strip HOAs of all authority—it narrows and defines it.

Examples of permitted restrictions:

• Requiring panels on the rear roof slope instead of the front—if solar access remains sufficient and efficiency doesn't drop more than 10%
• Setting neutral color standards (e.g., dark or matte finishes) to minimize visual contrast
• Requiring specific screening in historic districts—if documented and meeting the 10% efficiency/cost threshold
• Enforcing safety standards if a roof is near end-of-life

What HOAs cannot do:

• Require panels be positioned where they won't work effectively
• Impose special fees or processing charges that increase your total cost by more than 10%
• Delay approval without a written, legally defensible reason
• Use vague aesthetic objections without quantifiable impact analysis
• Create blanket rules that apply to solar but not to other roof modifications

The key: If an HOA restriction crosses the 10% threshold for efficiency loss or cost increase, it's illegal, period.

How HB 340 Compares to Prior Laws

The progression shows Utah's increasing commitment to solar access—each law addresses gaps in the previous one.

What Should Homeowners Do Now?

Before submitting a solar proposal:

• Review your HOA covenants and bylaws
• Check your title report for any restrictions specific to your property
• Understand your roof's solar potential and optimal panel placement

If your HOA challenges your proposal:

• Request a written explanation of their objections (this is now legally required)
• Cite HB 340 (2025) in your response
• Ask your solar installer for a formal impact analysis showing:
  • Exact percentage reduction (or increase) in system efficiency if repositioned
  • Actual cost difference for alternative placements
• If the impact analysis shows you're within the 10% thresholds, you have legal grounds to dispute the HOA's restriction

Document everything:

• Keep all correspondence with your HOA in writing
• Retain quotes and cost estimates from solar installers
• Save any documentation about your roof's solar potential

Escalation path (if needed):

• Contact your HOA in writing with HB 340 language
• If the HOA still refuses, reach out to the Utah Division of Community Development for guidance
• Consult a real estate attorney if you believe the HOA is acting in bad faith

Key Takeaways

1. HOAs cannot ban solar under any circumstances as of May 1, 2025
2. Restrictions must be specific and quantified—the 10% efficiency and cost thresholds are now law
3. Battery storage is protected under the same standards as solar panels
4. Written justification is required if an HOA objects
5. Local governments must process permits efficiently without bureaucratic delays

Resources

• Full text of Utah HB 340 (2025) – Utah Legislature
• Utah Code § 10-9a-510 – State statute
• Utah Division of Community Development – Land Use Programs – Official guidance
• Utah Solar Energy Association – Advocacy and resources

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