By Myrna Trauntvein
sPower’s desire to construct a solar facility west of Mona came one step closer to meeting requirements in order to move forward with construction.
On Monday, an interlocal agreement was approved by the Juab County Commission and the Juab County Community Reinvestment Agency for the Clover Creek Community Reinvestment Area.
Brent Boswell, county economic development director, Amanda Smith, Vice President, Public Policy and Senior Counsel at sPower; Brandy Grace, CEO with the Utah Association of Counties; Carter Livingston, sPower project community relations/ public affairs consultant were all at attendance at both meetings.
“There is some urgency to get the agreement in place,” said Byron Woodland, commissioner. “I would make the motion that we approve the agreement and authorize you, Richard Hansen, as commission chairman pro tempore, to sign the agreement.”
After discussion, both commissioners voted in favor.
Commissioners closed the commission meeting, entered the Community Reinvestment Agency where Woodland made the same motion and Hansen seconded it and both voted in favor.
They then officially left the Reinvestment Agency and returned to commission meeting.
In the commission segment, the commission, by way of approval of the agreement, consented that the agency will be paid 45 percent of the commission tax increment generated within the project area.
“You will need to adopt the interlocal agreement as a commission and then will need to go into the Reinvestment Agency,” said Ryan Peters, county attorney.
sPower is working to get all in order for the development of the Clover Creek Solar energy project to bring energy to cities within the Utah Municipal Power Association (UMPA).
Peters read the agreement into the record of the meeting.
The Agency anticipates allocating up to 10 percent of such funds for housing in accordance with regulations and in retaining 1 percent of such funds as an administration fee.
“The agency is authorized to begin collection of the Commission Tax Increment from a particular parcel upon written notice to the commission prior to the beginning of the tax year for which the agency desires to collect the Commission Tax Increment,” Peters read
.“I wanted a graduated rate,” said Hansen.
“That would not be to the best advantage of the county,” said John Crippen, county administrator. “It would be better for sPower if we did that.”
“Notwithstanding anything to the contrary herein, the agency may collect 100 percent of the Commission Tax Increment generated from each tax parcel within the project area for a period of not more than 20 years,” states the agreement.
“For purposes of this agreement, the tax increment generated from each tax parcel includes taxes generated from and assessed against the real property and any personal property located on such parcel,” read Peters. “If the agency collects 100 percent of the commission tax increment, the agency shall transfer to the commission an annual rebate amount of 55 percent of the Commission Tax Increment received by the agency no later than three months following the agency’s receipt thereof from the county treasurer.”
“The years for which the agency collects tax increment from a tax parcel must be consecutive; in other words, once the agency begins tax increment from a tax parcel (also known as ‘triggering’ tax increment collection) the agency may not cease collection of the tax increment from such tax parcel and later resume the collection of tax increment from such tax parcel even if the total number of years for which the agency would collect tax increment from such tax parcel would be less than the 20-year limit set forth herein.”
The agreement is entered into by and between Juab County Community Reinvestment Agency, a political subdivision of the State of Utah, and Juab County Commission, also a political subdivision of the State of Utah.
The agency was created under the state under the Limited Purpose Local Government Entities—Community Reinvestment Agency Act, of Utah Code.
“The Agency is authorized to conduct urban renewal, economic development, and community development activities within Juab County,” said Peters.
“Whereas,” read Peters, “the Agency created the Clover Creek solar Community Reinvestment Project Area and adopted the Clover Creek Solar Project Community Reinvestment Project Area Plan for the Project Area...pursuant to which the Agency desires to encourage promote and provide for development of the Project area.”
“Whereas the Commission and the Agency have determined that it is in the best interests of the Commission to provide certain financial assistance through the use of Tax Increment in connection with the development of the Project Area as set forth in the Project Area Plan.”
Under terms of the agreement, the agency anticipates providing a portion of the tax increment as defined in Utah Code generated from development within the project area as provided in the project area plan, he said.
UCA (Utah County Association) authorized the commission to consent to the payment to the Agency of a portion of the commission’s share of tax increment generated.
It was also agreed that the agency may apply the tax increment collected to encourage development within the project area to, but not limited to the cost and maintenance of public infrastructure and other improvements located within or benefiting the project area, incentives to developers or participants within the project area, administrative, overhead, legal and other operating expenses of the agency.