Warren Co. enacts law that bans tax breaks on solar and wind-power farms

QUEENSBURY | In a split vote, the Warren County Board of Supervisors enacted a local law April 21 that bars granting tax breaks on county property taxes for new large-scale local solar energy and wind-power developments within their jurisdiction. The law would also ban agreements for payments in lieu of taxes, commonly known as PILOT agreements. The law would not apply to solar and wind power projects already under development, or those whose developers have issued notices that they are seeking such exemptions or PILOTs, or for projects for which tax breaks have already been secured. The new law is to be effective when it is filed with state authorities. A lengthy discussion on the local law preceded the vote, with a number of the supervisors saying they didn't understand the measure. Local tax exemptions granted by cities and towns would not be affected by this law, Elmen said. The law does not apply to homeowners who pursue solar projects, but only applies to energy systems monitored by the state — primarily solar farms and wind farms. Elmen and Queensbury at-large supervisor Mike Wild said that without the law, solar and wind power developers could automatically receive full exemption from local taxes for solar or wind farms if local municipalities did not respond within 60 days to notices issued by such projects' developers. Because the law was passed, new solar and wind power projects will no longer be negotiated on a one-on-one basis with the county, Elmen said, adding that such developments would be taxed on their full assessed value of the property and its improvements. Contrary to Elmen's statements, Queensbury Supervisor John Strough contended that the law preserved the right of the county to negotiate such agreements, which was refuted by Elmen. However, this law does not prohibit the Warren-Washington Counties Industrial Development Agency from negotiating such agreements under their statutory authority, Elmen said. The towns and school districts that do not adopt a similar law have not only the ability but the obligation to negotiate tax exemptions, reductions and PILOT agreements if the energy developer requests them, county officials said. Queensbury Supervisor at-large Michael Wild suggested tabling the law until the supervisors' contradictions and confusion over the law were resolved. Strough and Queensbury at-large supervisor Brad Magowan agreed. Wild, Magowan, Strough, Glens Falls Ward 2 Supervisor Peter McDevitt and town of Chester Supervisor Craig Leggett voted to table the law until more research could be conducted on its provisions and consequences, but the motion failed. Queensbury at-large supervisor Doug Beaty contended that solar power developments created "zero jobs," didn't pay sales tax — and if they weren't financially viable on their own, they shouldn't be incentivized by tax breaks and PILOT agreements. "These are private businesses — if their business model doesn't allow them to make money without Warren County coughing up money, then so be it, it's not a good business model," he said. "I am against county taxpayers footing the bill." Strough countered that developing solar farms was "extremely expensive," and needed tax breaks to be financially viable. He also noted these installations were often situated on land that wasn't suitable for development including brownfields and atop landfills, and the solar and wind farms provided important environmental benefits, as well as generating tax revenue after PILOTs expire. Wild made an impassioned final plea for the county to secure the opportunity to negotiate such tax breaks, citing that the supervisors represent not only their older constituents but also the younger generation who support environmental initiatives and were more likely to drive electric vehicles, requiring more clean power generation. Glens Falls Ward 3 Supervisor Claudia Braymer said she was "100 percent" behind solar energy, but she supported enacting the law because the prohibition on negotiations under the law could be bypassed with certain legal maneuvers, and the county itself could develop its own solar farms — and she would be proposing this latter initiative at the next meeting of the county's Environmental Concerns Committee, which she chairs. On the vote to ban county tax exemptions, the opposition softened, leaving Wild, Strough and Leggett the only supervisors opposing the law.

Signup for our newsletter

Warren Co. enacts law that bans tax breaks on solar and wind-power farms

COMPANY

CUSTOMER SUPPORT

SUBMISSION FORMS

BEYOND THE NEWS