A significant shift in Michigan law has arrived for community associations. On July 8, 2024, Governor Whitmer signed Public Act 68 of 2024, known as the Homeowners’ Energy Policy Act (HEPA). This law, which became effective on April 1, 2025, creates new rights for homeowners regarding energy-saving improvements and imposes strict new requirements on Homeowners’ Associations (HOAs).
The most pressing item for HOA Boards? The Act requires all associations to adopt a written solar energy policy within one year of the effective date.
The Deadline: April 1, 2026
Under Section 9 of the Act, every Michigan HOA must adopt and provide its members with a written solar energy policy statement no later than April 1, 2026.
If an association fails to adopt this policy by the deadline, a member may proceed with installing a solar energy system without the association’s approval, and the HOA is prohibited from imposing fines or penalties for that installation.
Key Requirements for Your Solar Policy
The Act is very specific about what a policy must include, and what it cannot include. To remain compliant, your association’s written policy should address:
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Aesthetic & Placement Limits: You may impose "reasonable" conditions, but you cannot prohibit panels on a roof face or require specific technology (like solar shingles instead of traditional panels).
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Cost & Efficiency Protections: Any standards enforced by the HOA cannot increase the installation cost by more than $1,000 or reduce the system's energy production by more than 10%.
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Application Process: The policy must outline a clear application process. Once the policy is adopted, the HOA has 30 days to approve or deny a request.
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Standard Disclosures: The policy must explicitly state that adjacent owner approval is not required and that the HOA will not inquire into a member's energy usage or require post-installation reporting.
Beyond Solar: Other Energy-Saving Improvements
While the written policy mandate focuses on solar, the Act also invalidates HOA prohibitions on several other "energy-saving improvements," including:
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Clotheslines and rain barrels.
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Heat pumps (air and ground source).
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Reflective roofing and energy-efficient windows.
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EV charging equipment (Electric Vehicle Supply Equipment).
Proactive Steps for HOA Boards
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Draft Your Policy Soon: Do not wait until the 2026 deadline. Drafting now allows for legal review and proper member notification.
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Website Posting: Once adopted, the Act requires the policy to be posted on the association’s website (if one exists) and provided to all members within 30 days.
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Review Governing Documents: Any provision in your existing bylaws or CC&Rs that prohibits these energy-saving improvements is now invalid and unenforceable under state law.
If your Association needs assistance ensuring compliance with the Homeowners’ Energy Policy Act, contact our office at (517) 349-5584 to set up a consultation with one of our attorneys.
