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Como-Pickton CISD board members Jim Murray (left) and JJ Cummings listen to and read reports related to the Pine Forest solar farm project. Staff photo by Todd Kleiboer
District revenue to total $8.7 million over time
The Como-Pickton CISD board approved a 10-year value limitation agreement for Telios Corporation’s proposed $285 million Pine Forest solar farm project Monday night, a major step toward bringing it online.
PUBLIC HEARING
During the public hearing related to the project, nearby landowners Mark and Lyn Russell spoke out against it and stated they had only learned about it recently.
“It [the solar farm] backs up to my property,” Mark Russell said. “I’m kind of concerned to why I’m just now being notified.”
CPCISD’s legal counsel Rick Lambert said public hearing notices had been posted in the local newspaper, and landowners near the project were sent notices in October 2019 for a community meeting about the solar farm. About 30 people were at the meeting.
Lyn Russell claimed land values for surrounding properties could be negatively affected. Jordan Christman from property tax consultant firm KE Andrews said there was no evidence for lowered land values. A 2018 study done by University of Texas at Austin surveyed residential home assessors and found “that the majority of respondents believe that proximity to a solar installation has either no impact or a positive impact on home values.”
Lyn Russell also claimed damaged solar panels could cause negative environmental effects by leaking “lead” or “carcinogenic cadmium.” Christman said in her experience, solar farms used silicon-based technology. According to the Department of Energy, silicon panels make up 90% of modules sold today.
Lambert added any issue of damaged panels would be the company’s responsibility.
Nerly Ramirez-Mejia asked of any potential health effects living near the solar farm, stating her family is looking to build a house. Lambert said there should not be any negative effects. A study done by North Carolina State University concurs, writing, “photovoltaic (PV) technologies and solar inverters are not known to pose any significant health dangers to their neighbors.”
THE PROJECT
The solar farm project boundaries sit within a 1,853-acre reinvestment zone bordering the Pine Forest community near Pickton, according to board documents. The total investment from Telios amounts to $285 million.
Three hundred temporary construction jobs will be created initially by the project, according to Christman, and according to Lueng, two permanent jobs will be created for project oversight and maintenance. Christman said construction could take “a little over a year.”
According to the Texas Comptroller’s office, the project is in the best interest of the state and school district, and the agreement is vital for the project to remain in Pine Forest. Other locations in Oklahoma, Louisiana and New Mexico are being evaluated, according to comptroller documents.
“Based on the comptroller’s 25-year projection, the project is likely to generate tax revenue to sufficiently offset the M&O [maintenance and operation] loss as a result of the agreement,” Shelly Leung with law firm Powell, Youngblood and Taylor said.
M&O revenue refers to the revenue generated from property taxes collected within the district.
According to an analysis by Region 12, the district will receive a $3.2 million over 15 years as revenue outside of taxes from the project, and tax revenue will amount to $5.5 million under the agreement. The company will see a savings of $8.5 million.
Part of the district’s revenue is calculated based on number of students attending, and due to that, the district could see more or less revenue. Leung said the district expects growth, but according to TEA documents, the district has seen a slight decline in the average number of students attending in the past few years.
The tax value limitation agreement ends Dec. 31, 2031, and under the agreement, the company has to maintain its presence for another five years.
BOARD ACTION
Before consideration of any action on the application, board members disclosed if they had any conflicts of interest related to the project.
Mark Humphrey disclosed a conflict of interest, saying he was adjacent to the project, and Brittany Smith also disclosed her conflict of interest because she is directly involved with the project. Both abstained from voting on any item related to the project.
After approving the tax limitation agreement, the board accepted an application for an amendment. The amendment reassigns the project and its responsibilities from Telios Corporation to Pine Forest Solar I, LLC.
“The amendment, which has to do with the assignment from Telios to Pine Solar, is the only change,” Lambert said. “There’s no other change of any type with regard to the project.”
Pine Forest Solar shares the same mailing address as Telios Corporation and was registered with the Texas Secretary of State Oct. 31, 2019, according to the state comptroller’s office.
The amendment application will go to the state comptroller’s office for another analysis, and the amendment’s approval will be decided on by the board in the future.