Solar farms take next step

Rose Gold Solar and Sun Chief Solar are nearly ready to go.

Jay County Council approved economic development agreements and tax abatements with both Leeward Renewable Energy and Scout Clean Energy on Wednesday. Both agreements and abatements for their planned solar farms are subject to Jay County Commissioners’ approval Nov. 22.

Council also allocated $400,000 in economic development funds to local municipalities and discussed paying for insurance increases for 2022.

Leeward’s plans for Rose Gold Solar are a $150 million, 150-megawatt facility located on about 1,340 acres north of Dunkirk. Scout — the same company operating Bitter Ridge Wind Farm in southwest Jay County — is planning Sun Chief Solar, a $100 million, 100-megawatt facility on about 1,200 acres near the existing wind farm northeast of Redkey.

County attorney Bill Hinkle explained both economic development agreements and tax abatements are similar to those approved with sustainable energy company Invenergy for its proposed Skycrest Solar farm, with a few exceptions. (Invenergy’s plans call for a $150 million, 155-megawatt facility located on about 2,500 acres in Penn and Jackson Townships.

The company will pay about $1.75 million to the county over the course of four years, along with an estimated $40 million total paid to participating landowners.)

During Invenergy and the county’s negotiations in the spring, Hinkle explained, there was legislation moving through the Indiana Senate that ultimately changed how counties would assess land used by solar farms. The tax rate for Skycrest was negotiated between Invenergy and the county. With Leeward and Scout’s project, the land will be assessed at a tax rate established by the Department of Local Government Finance for solar projects in the northern district.

About $13,000 per megawatt of each farm will be given in payments to the county, with Leeward paying $1.95 million over a four-year period and Scout contributing about $1.3 million paid in five installments.

“We think that this is a good agreement for both the county and the company,” said Nick Weber, a consultant for Leeward through firm Faegre Drinker.

In October, council learned Rose Gold Solar is expected to generate just under $42 million in property taxes over its 35-year life. Leeward will save about $7 million in property taxes with the abatement. It is expected to ultimately result in an additional $68.1 million in assessed value as well as reduced tax rates around the county.

Sun Chief Solar — the construction project less extensive because it will be connected to the same transmission line as Bitter Ridge — will generate more than $24 million in property taxes over its 35-year life. Scout will save about $3.8 million in property taxes with the proposed abatement, and its facility will result in an additional $38.9 million in assessed value.

When the floor opened for public comment Wednesday, the room was silent.

Council members Jeanne Houchins, Ted Champ, Ray Newton, Mike Rockwell, Faron Parr and Matt Minnich, absent Harold Towell, then approved both agreements and abatements.

Scout still needs to be found compliant by Jay County Plan Commission of the solar ordinance enacted in 2019 in order to move forward with its project. Plans are for the company to seek approval from plan commission in December.

Council allocated $400,000 in monies generated from Bitter Ridge Wind Farm to local municipalities, an idea prompted by commissioner Chad Aker. Commissioners approved the decision on Monday, allocating $100,000 to Portland and Dunkirk and $50,000 to Redkey, Pennville, Salamonia and Bryant. (Commissioners previously made similar allocations with economic development funds from Bluff Point Wind Energy Center.)

Cities and towns will need to seek both council and commissioners’ approval before spending those dollars. Municipalities have until Dec. 31, 2024, to use the funding.

Also Wednesday, county officials discussed potentially having the county contribute most of the rising costs for insurance in 2022.

Jessica Clayton of One Digital explained to commissioners Monday that because of some large claims, monthly premiums will increase by about 11%. There will also be a 4% increase for dental, vision and life insurance.

Commissioners will review figures at their next meeting and decide if the county will cover most of that extra cost. (Last year, the county paid roughly $80,000 monthly for its portion of insurance bills.) If the county decides to foot most of next year’s increase, county employees’ insurance rates will likely not rise by much more than $1 or $2 per pay period.

“I’d kinda like to see this so the employees aren’t getting more (taken) out of their check,” Rockwell said.

“Well, and if we don’t do this, then we’ve given them a raise that once again, we take for insurance,” Houchins added.

(County employees’ wages will be increasing next year between 2% and 6% depending on the worker’s classification.)

Also, council agreed to begin meeting at 6 p.m. the second Wednesday of each month through the winter. It previously met at 7 p.m. 

In other news, council:

•Made $24,560 in additional appropriations for a Jay County Health Department grant. 

•Approved several transfers, including $20,000 for Jay County Jail utilities, $15,000 for Jay County Highway Department wages and $6,855.27 for Jay County Sheriff’s Office wages.

•Tabled a $10,000 additional appropriation to pay overtime and holiday pay at the jail, along with a $2,500 transfer for the telephone bill at the sheriff’s department.

•Amended the 2021 salary ordinance for clarification purposes.