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Albany County to pursue Rocky Mountain Power grant, apply for federal direct pay for Search and Rescue solar project
Summary
The Albany County Commissioners authorized staff to pursue a Rocky Mountain Power Blue Sky grant that would cover 40% of a proposed solar-and-storage system for the Search and Rescue building and to apply for the federal direct-pay incentive, leaving an estimated county share of about $62,162 if both awards are received.
The Albany County Board of Commissioners voted to pursue a Rocky Mountain Power Blue Sky grant that would cover 40% of a proposed solar-and-battery installation for the county Search and Rescue building and to apply for the federal direct-pay incentive that would cover 30%, leaving an estimated county responsibility of roughly $62,162 if both awards are realized.
The proposal matters because, with the incentives described to the board, the county’s consultant said the project’s estimated payback would be roughly 12 to 14 years, shorter than the expected service life of the solar panels. "With the incentives, I believe that the payback in the proposal that we came up with was about 12 to 14 year payback," the project representative Leo told commissioners. The county would also see ongoing bill reductions once the system is net-metered to the grid; the speaker estimated the county would be responsible only for an interconnection fee of about $30 per month once operational.
Commissioners and staff pressed for specifics about cost, warranties and siting. Commissioner Hoff asked, "Is it going to pay for itself within the 20 year warranty of the panels, the batteries, and the entire system?" Leo answered that the project materials have a roughly 25-year panel warranty and a 15-year battery warranty and that, with current incentive assumptions, the system should pay for itself before the panels reach the end of their expected life.
Project details presented to the board include: an estimated net system cost to the county of $62,162 if the Blue Sky grant (Rocky Mountain Power) and the federal 30% direct-pay incentive are both awarded; an estimated annual net savings line in the packet of $22,008.86; an approximate annual energy offset for the Search and Rescue building of about 16% based on provided utility bills; a plan for ground-mounted arrays sited north of the building to avoid roof issues; and a note that Rocky Mountain Power requires batteries as part of the proposed install. Leo also described an optional utility program (Watts Smart) that could pay the county for use of stored battery energy and could modestly improve return on investment.
Commissioner Jones and other board members raised program risk questions related to the federal incentive. Leo said industry sources expect the federal commercial investment tax credit (ITC) for commercial-type projects to remain at roughly 30% through 2028 and to phase down thereafter, but he cautioned that program details can change and noted "safe-harbor" provisions that typically protect projects installed within a given tax year.
The board did not take a formal binding appropriation vote at the meeting. Instead commissioners directed staff to move forward with the option that uses 40% from Rocky Mountain Power and to explore applying for the 30% federal direct-pay incentive; staff said they would report back and proceed with the application process with Rocky Mountain Power.
Next steps: county staff will follow up with Rocky Mountain Power and with the firm that provided the proposal to proceed with grant application and federal incentive paperwork if available. Final approval of project funding and any required contract or budget adjustments will return to the board for formal action if and when awards are confirmed.
