Prelim work on Skycrest can start

Preliminary work on Skycrest Solar Farm’s site may begin before the end of the year.

Jay County Plan Commission OK’d a request Thursday for Invenergy to begin limited construction on its prospective solar farm in Jay County.

Also during a nearly two-hour meeting, the plan commission approved an economic development plan and resolution to create three tax increment financing (TIF) districts encompassing prospective solar farms, OK’d a one-year extension for New Jay Solar Farm to begin construction and preliminarily agreed to several amendments to the county’s solar and wind ordinances. 

Invenergy is planning Skycrest Solar, a $150 million, 155-megawatt facility on 2,500 acres in Penn and Jackson townships in northwest Jay County. John Hemmelgarn, Jay/Portland Building and Planning director, explained the company recently filed a request for a limited construction permit. Invenergy hopes to treat the limited construction permit differently from the construction permit required to begin the full construction project.

Erin Saal, renewable development senior associate with Invenergy, shared hopes for the company to start preliminary site preparation before the end of the year. (Invenergy’s agreements with the county require it to begin construction on the project by the end of 2026, with solar panels to go online by Dec. 31, 2028.) Plans are to install inverter piles at nine locations along Indiana 18 just west of county road 750 West.

Saal explained that inverters are one of the main components for solar farms.

“All the solar modules are in blocks around inverters,” she said. “Inverters are the piece of equipment that take the direct current electricity that is produced by the modules and switch it to alternating current … that AC electricity is what we use in our homes and appliances.”

Inverters sit on steel beam foundations with concrete pads. 

She said the work serves as preparation for the full commencement of construction later in 2026. Plans are for farmers to continue using the overall project area for agricultural purposes for next year’s growing season before full construction starts.

Hemmelgarn and several plan commission members pointed out the company benefits from federal solar tax credits if it begins the project before 2026, saying that’s the reason Invenergy wants to start some construction early. Michael Hill of Invenergy noted the company only receives the credits if the project is later completed in full and begins generating electricity.

“This is an opportunity for us to position Skycrest for success in Jay County, it is an economic benefit that will make this project much more attractive as we work to contract it,” Saal said.

Hemmelgarn voiced concerns about the potential for more delays in the project and additional extension requests. He referenced adjoining landowners and uncertainty regarding the purchase or sale of property amid the project’s development. He suggested the company should have to pay an additional fee for the preliminary permit, proposing $27,125, which is 10% of the company’s full construction permit cost. (It will still need to pay the full $271,250 — it’s calculated per megawatt of the project — when it applies for the full construction permit next year.)

Commission member Steve McIntosh argued the company’s plans fall under the full construction permit requirements, pointing to foundational work. 

Jay County Building and Planning assistant director Pati McLaughlin read from county zoning ordinance, pointing out that permits are needed for construction work, whether plans are for permanent or temporary structures. Entities have one year to complete the work once permits are filed.

Questions also surfaced about whether the work will impact plans to establish new TIF districts around the solar farms. County attorney Wes Schemenaur said representatives from law firm Barnes & Thornburg have assured the county that as long as it creates the TIF districts by the end of the year, there will be no impact to revenue.

Commission members Steve Ford, Jeanne Houchins, Scott Hilfiker, Chad Aker, Matt Minnich, Casey Wagner and Brad Daniels agreed to the preliminary work. Commission member Todd Skirvin dissented. (McIntosh serves as a non-voting member, but he also expressed his disagreement, saying he believes the project should be considered as the full start of construction.)

Also Thursday, the plan commission approved legislation to move toward creating three new TIF districts.

Jay County Redevelopment Commission is in the midst of creating TIF districts encompassing four prospective solar farms — Skycrest Solar in northwest Jay County, Sun Chief Solar northeast of Redkey, Rose Gold Solar north of Dunkirk and New Jay Solar east of Dunkirk.

The economic development plan says the four solar projects represent a potential $473 million in new private investment in rural Jay County. Eligible uses for TIF dollars per the plan could include projects for educational purposes, transportation enhancement and utility infrastructure, a proposed broadband project with Mainstream Fiber Networks, Jay County Highway Department garage improvements, Jay County Solid Waste Management District's new building, a new public safety building or the 68-acre infrastructure project on the western edge of Portland.

Next steps include approval from Jay County Commissioners at their Nov. 24 meeting.

Also, the plan commission OK’d an amendment to New Jay Solar’s development plan regarding construction commencement and completion dates, shifting the dates back by one year.

Hodson Energy is planning a 39-megawatt, 311-acre farm in Richland Township, just east of Dunkirk.

Maura Hoff, an attorney representing Hodson Energy, explained supply chain and development issues have led to setbacks for the project. (Other solar farm companies planning projects in Jay County have cited similar problems and also sought and received extensions.) Jay County Council and Jay County Commissioners approved the extension in July.

The company’s original timeline set construction to begin no later than June 30, 2026, with the facility to begin generating electricity by Dec. 31, 2027. That timeline has now shifted, with a completion date no later than Dec. 31, 2028. 

The plan commission also OK’d amended drafts of the solar and wind ordinances.

Jay/Portland Building and Planning has been working on edits to the ordinances for months. McLaughlin pointed to a few minor changes Thursday, including a new requirement that developers meet for a pre-project consultation with the building and planning department before starting the process. Other new additions include a $2,500 filing fee for companies to apply for an amendment as well as a fee (25% of the total construction permit fee cost) for companies to start with limited construction, such as Invenergy’s request Thursday.

Commission members will need to host a public hearing before adopting the amendments next month.