County Gives Wind Farm Tax Abatement
At a called meeting Feb. 7, Glasscock County’s Commissioners’ Court granted a ten-year property tax abatement to Airtricity Panther Creek Wind Farm, LLC. The abatement is for 60 percent of taxes during the first five years and 40 percent during the second five years of the agreement. Construction is to begin by June 1, 2008 and completion is planned by Jan. 1, 2009. The tax abatement will begin on Jan. 1 of the next tax year after the project is completed.
The project is expected to add taxable value of approximately $320 million to the county, according to County Treasurer Alan Dierschke. The exact amount is still undetermined, and will ultimately depend on appraisals.
The wind farm will include 23,000 surface acres and approximately 111 turbines in northeastern Glasscock County. Some 27 turbines in the project will be in Howard County and 6 in Sterling County, according to Bobby Blount of Airtricity. He said the turbines are made by General Electric and are capable of generating 1.5 megawatts each.
‘Reasonable Efforts’ to Use Locals Promised
Attorney Alan Carmichael of Sweetwater was the county’s primary negotiator for the abatement agreement. Some of the agreements’ terms follow.
The agreement states that the company will create at least six permanent full-time jobs at the project and make reasonable efforts to employ persons who are residents of Glasscock County, provided they are equally or more qualified than nonresident applicants and will work for terms and/or salaries comparable to nonresident applicants. The company will provide some training.
Further, Airtricity agrees that it and its contractors will use reasonable commercial efforts to maximize its use of Glasscock County businesses in the construction, operation and maintenance of the improvements on the project. These goods and services must be similar in quality and on terms, conditions and prices to those provided by nonresidents. Comparable price is considered as less than or equal to 105 percent of the non-resident price.
Coordinator of Local Services
Airtricity or its construction contractor will designate a coordinator of local services who will act as a liaison between individuals, businesses and contractors residing or doing business in Glasscock County who are interested in obtaining information about providing goods or services related to the construction of the project. Also, the company is to advertise in local newspapers for local contractors to perform work on the construction of the project.
The county granted Airtricity permission to use the following county roads for planning, construction and operation of the project: Hamby Road, Longshore Road, Phillips Road, Overton Road, Sherrod Road and Schafer Road and all other county roads located in the Panther Creek Wind Farm.
Annual Contribution to County Organizations
In addition, Airtricity agrees to make a contribution totaling $10,000 to Glasscock County charitable organization(s) designated by “ County Authorities” during each year of the agreement. County Judge Wilburn Bednar said he believes the contribution will be made to the Glasscock County Lion’s Community Center and Historical Foundation, a 501c-3 (tax-exempt) organization, whose board will determine how the money is distributed.
Blount told the court that Glasscock County has strong possibilities for other wind farms, and that Airtricity is looking at other locations in the county. He said Reagan County is “ripe for picking,” but is hurt by a lack of transmission lines, a problem that also hampers wind farm development in the Texas Panhandle. He said if federal production tax credits, which expire at the end of 2008, are extended with equally favorable terms, his company will continue to expand their operations.
Editor’s Note: The entire tax abatement agreement is available to the public in the county clerk’s office in the courthouse.
In other action, the court approved a bond for Hortensia Jones, who has been hired to replace Susie Hillger as deputy county clerk.