County cancels reinvestment zone, abatement for wind farm

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The Scurry County Commissioners’ Court voted to cancel a reinvestment zone and tax abatement agreement with Fluvanna Renewable Energy Project, LLC, and voted to establish a new reinvestment zone during today’s meeting.
On July 2, 2013, the county agreed to a one-year tax abatement agreement with the proposed wind farm, and established a reinvestment zone. One year later, Fluvanna Renewable Energy had not started construction and the county extended the agreement for another year.
In 2015, the county amended the agreement. Recently, developers of the wind farm announced plans to change their business plan.
“Our attorney met with their attorneys,” County Judge Ricky Fritz said. “There were going to be two phases to their plan, now there’s only going to be one phase. It will all be in Scurry County and they’re going to change their footprint so it will be expanded. We could either amend for a third time, or just scrap it and start over and establish a new reinvestment zone. We would then come back at a later date and do another tax abatement agreement based on the zone.”
To create a new reinvestment zone, a public hearing must be held. Pct. 1 Commissioner Terry Williams made a motion to cancel the previous reinvestment zone and tax abatement agreement with Fluvanna Renewable Energy.
A motion was also made to give the county attorney the authority to post a notice of the new reinvestment zone, as well as the authority to set the date of the public hearing. Both motions passed 4-0.
Commissioners voted 3-1 in favor of seeking competitive proposals from other solar energy companies for the proposed solar panels at the law enforcement center. The only commissioner opposed was Pct. 2 Commissioner Marianne Randals, who said she believed the county should stand by its most recent budget, which included no capital projects or purchases.
The county has received an offer from energy company SolarCity, though no contract has been signed. If the county were to agree to the 20-year deal, the county’s energy cost could be cut by two-tenths of a cent per kilowatt, per hour.
Commissioners agreed to receive other proposals and review them during a Jan. 19 meeting.
The court took no action on the adoption of the updated guidelines and criteria for tax abatements.
Pct. 3 Commissioner David Harrell said he wanted more clarification on the guidelines, which state property in a reinvestment zone that is owned or leased by a member of a governing body, planning board or commissioners’ court cannot benefit from a tax abatement, before taking any action.
There were no line-item transfers or budget amendments presented for approval.