Board authorizes town manager to sign renewable-auction agreement promising $400,000; amendment set if payment delayed

Winchester's Board of Selectmen voted unanimously Thursday to authorize Town Manager Paul Harrington to sign a municipal beneficial accounts service agreement with Treetech Americas, a solar developer, that would assign the town's municipal electric loads to a solar project bidding into Connecticut's nonresidential renewable energy solutions program (NRESP/SAM). The board approved an amendment specifying that if payment is made after June 30, 2026 the contract price will be $450,000 rather than $400,000.

The vote follows a presentation by Robert Ives, who identified himself as a representative of Treetech Americas, and an extended question-and-answer session with selectmen and the town manager about timing, auction mechanics and payment timing. Ives described the NRESP as the successor to virtual net metering (VNM) and said developers bid municipal "beneficial accounts" into state-run auctions administered under the program. He said Treetech had offered Winchester $400,000 payable within one year of a project's commercial operation date if the town's historic five-year high loads are assigned to the bid.

Board members pressed Ives and staff on timing and contingencies. Ives said auctions run twice yearly (a February auction closing about March 15 and one in August) and that a completed project needs permission to operate (PTO) before the agreement's payment clock begins. He told the board Treetech has at least one built project that can be bid into the NRESP when it achieves PTO and that municipalities have received payment within roughly 365 days of commercial operation in previous agreements.

Selectmen asked about what happens if the payment does not arrive before Winchester's fiscal-year close. Ives acknowledged the firm had offered a discounted $400,000 payment for an earlier schedule and said the full contract amount would be $450,000 if the town received payment after the June 30, 2026 deadline. He said Treetech and the town manager could seek contract language clarifying the adjustment; the presenter agreed to pursue contract language changes with counsel if necessary.

Town Manager Harrington told the board he and the town attorney had reviewed the agreement; Harrington said the town attorney found no legal objection and compared the form to agreements used by nearby municipalities. After discussion the board moved to authorize Harrington to execute the municipal beneficial accounts service agreement with an amendment to section 2.2 to reflect a $450,000 payment if payment occurs after June 30, 2026. The motion carried unanimously.

The board and Treetech representatives also discussed how assigning Winchester's loads to an NRESP project is a "paper transaction," meaning credits and auction awards are assigned on paper and do not change a municipality's physical electric procurement or in-town rooftop/behind-the-meter solar projects. Ives said the program's statutory/regulatory rules allow developers to assess a municipality's five-year highest loads when compiling benefits and that some projects bid for loads in different parts of the state; he emphasized the developer must secure municipal load documentation before placing a bid.

The board voted to authorize the manager to sign the agreement with the described amendment and directed Harrington to work with Treetech and counsel on the contract language. The vote was unanimous; the motion and the amendment were recorded as passed. The board did not identify a formal escrow or additional guarantees beyond the contract language discussed at the meeting.

Next steps noted by staff and the presenter include finalizing the amended contract language with counsel and confirming which auction (likely August) the developer will bid Winchester's loads into. The town will receive the executed agreement and any updated schedule from the manager's office.