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Administrator warns HAPO solar/battery project may be unaffordable if federal tax incentive is lost

3779640 · June 12, 2025
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Summary

County administration told commissioners the HAPO solar and battery project could become unaffordable without a projected federal tax credit; the board requested legal review and indicated a decision will be needed before the next meeting.

County Administrator Mr. Danzel told commissioners June 11 that Franklin County must decide soon whether to proceed with a solar and battery project partnered with McKinstry because the county’s ability to use a federal tax incentive may be ending.

Danzel said the county’s potential tax incentive “may be going away, and that we probably aren't gonna be able to reach that goal. ... In my way of looking at it, the project becomes unaffordable if we're not able to enjoy that tax credit from the federal government.” He asked the board for guidance and said McKinstry needs notice of the county’s direction if the county intends to pursue the project.

Commissioners noted they expect a legal review next week; one commissioner later said they were inclined not to move forward given uncertainty under the current federal administration, but asked for the written legal analysis before final action.

No binding decision was made at the June 11 meeting. Administration said staff will obtain legal advice and return to the board with recommendations; commissioners emphasized the timetable, saying a decision likely must be made before the next meeting to preserve options.