-
The Stampede Solar project boundaries lie in eastern Hopkins County near Saltillo. Nearby roads include FM 900 and Highway 67, and it is situated just south of Stouts Creek. Courtesy/Stampede Solar
Would bring estimated $5.3 million to district over 15 years
The details are in for the $192.8 million investment made by Stampede Solar inside Saltillo ISD’s boundaries as part of a larger solar farm project that will generate 250 megawatts of power once operational.
“Stampede Solar was formed for the express purpose of developing a photovoltaic solar energy facility that could help bring significant economic development to the area,” the application read. “Enel [who owns Stampede Solar] identified Texas, and in particular Hopkins County and Saltillo ISD, for its strong solar energy resources, access to available transmission capacity and the ERCOT market.”
The full application for a value limitation agreement was posted online on the Texas Comptroller’s website Feb. 19 after the SISD board accepted the application in January. The application is not a commitment. Only after an extensive study by the Comptroller and a third party, which may take months, will the board make a decision to approve the agreement.
On the application, Stampede estimated the board would ratify or reject the final agreement in the third quarter of 2021. At the January board meeting, SISD legal counsel Rick Lambert said the agreement should be ready for a July decision.
“Stampede Solar Project, LLC is currently in a period of evaluation to determine whether the identified site in Saltillo ISD represents the best location or whether redeployment of its development resources and capital to other power markets in the United States is more advisable,” the application read. “As such, the development resources necessary to advance the planned 250 MW Stampede Solar could be redeployed to other renewable energy development projects in other power markets in the United States.”
The project will span 1,300 acres, all inside Hopkins County, and of the 250 MWs to be generated, 200 will be generated inside SISD. The rest of the project lies inside Mount Vernon ISD’s boundaries.
According to maps included in the application, the project boundaries touch the Hopkins-Franklin County line and FM 900. They stop just short of Highway 67 to the south and extend north until Stouts Creek. Stampede Solar may not necessarily develop land inside the boundaries.
If approved, the construction should start in the first quarter of 2022, according to the application, and should finish within a year. During that time, 150 full-time, temporary jobs will be created. Stampede Solar predicts the solar farm should be online by the fourth quarter of 2022.
Once the farm is operational, seven permanent technician jobs will created for maintenance and service. The agreement usually stipulates by law the creation of 10 permanent jobs, but Stampede Solar is submitting a waiver. The number of pledged jobs is higher compared to other solar projects in Hopkins County, which only pledge two permanent jobs.
“Typically, Enel’s solar PV projects base their number of employees, for any given project, off the ratio of one field technician per every 35 MWs installed,” the application read.
At the January meeting, Enel representatives said most of the jobs should be locally sourced with a manager brought in from another site. The jobs’ annual wage should be around $43,000.
Finally, there is the tax value limitation itself. The farm will be taxed by both SISD and Hopkins County, and the following estimations calculated by the News-Telegram only apply to SISD’s tax rate. Details on Hopkins County’s actions will be published in upcoming editions.
SISD currently has a total tax rate of 0.93 cents per $100 that will apply to the solar farm’s taxable value, and if the farm was taxed at its full value over 15 years, the district would collect roughly $13.2 million in revenue over 15 years.
However, the application includes a 10-year value limitation that caps the taxable value at $15 million, but the Stampede Solar would pay $50,000 annually for 15 years in addition to the revenue. Under the agreement, the district would collect roughly $5.3 million. Savings to Stampede Solar and Enel would amount to an estimated $7.9 million.