Schoharie County’s plans to set a $20,000 per-megawatt minimum for solar PILOTs could jeopardize the benefits and jobs those projects could bring.
That’s what industry, union, and business reps told IDA officials at a public hearing held to consider changes to the tax deal.
“The policy you’re considering puts the benefits that could be brought [by solar] to local communities at risk,” said Kris Scornavacca, project developer for NextEra Energy Resources, which got the state’s go-ahead in January for a 50-megawattt project in the Town of Sharon.
The project will mean 175 construction jobs, Mr. Scornavacca said, in addition to other revenue.
“We believe it brings a lot of positives to the community,” and any PILOT—payment in lieu of taxes—needs to take that into consideration, he said.
Joe Foskett of The New York State Business Council, said much the same.
Solar is critical to job creation and economic development in upstate New York, he said, and the IDA needs to “look at the long game.”
Setting a $20,000 per-megawatt minimum for solar PILOTs could well force New York into a bidding war with neighboring states, Mr. Foskett said, with projects sited elsewhere and opportunities lost.
“It’s important to signal to developers that this county is open for business,” he said.
Which is exactly the point, argued Don Airey, chairman of supervisors’ Energy Committee, and supervisors’ chair Bill Federice.
Mr. Airey said he didn’t disagree with Mr. Foskett—“except on the amount of fair compensation.”
The $20,000 per-megawatt figure is “deeply discounted,” he said, solar doesn’t create any long-term jobs, and developers are already in line for taxpayer-funded state incentives.
“This is definitely a developer-friendly PILOT rate,” Mr. Airey said, and one that’s been endorsed by all 16 supervisors not once, but twice.
Mr. Federice echoed Mr. Airey’s point that solar doesn’t create long-term jobs—historically a reason for PILOTs—and said land lost to it will mean lost opportunities for real jobs.
“To say that $20,000 is a bit high…I beg to differ,” Mr. Federice said. “…home-rule is being usurped. We have to consider what the people of our county want—not outside investors.
“We’re not saying no. We’re not saying anything like that. We are trying to negotiate what’s in the best interest of our county.”
Again to the point of the construction jobs, John Shaul of Middleburgh and Laborers’ Local 157 said his union supports “reasonable, renewable” solar development and the high-quality jobs it brings.
If it doesn’t create local jobs, he said, “…we believe they should pay more. If it does, then the IDA should work with them.”
Written comments will be taken on the PILOT amendments until April 14; the IDA expects to act on the changes at its next meeting, Wednesday, April 21, at 9:30am.
“I urge the IDA to complete this fair and equitable process…” Mr. Airey said.
“County taxpayers have placed their trust in your agency.”