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Developer pitches $90 million solar field for Parlier, warns July 4 tax-credit deadline
Summary
At the May 7 Parlier City Council meeting, developer Dennis Bleakian proposed a $90 million solar field on 60 city-owned acres near the wastewater plant and urged the city to meet a July 4 ‘‘safe-harbor’’ deadline to preserve tax credits; staff will review feasibility and meet with the developer.
Dennis Bleakian told the Parlier City Council on May 7 that his company is prepared to invest $90 million to build a solar field on about 60 acres the city owns next to the wastewater treatment plant.
"My company is willing to invest $90 million into this site to develop a solar field," Bleakian said, adding that the project could eliminate annual "true-up" penalties the city has incurred for underproducing contracted power. He said the city faces a tight safe-harbor deadline of July 4 to preserve federal tax credits tied to the project and requested expedited staff review and site activity to hold those credits.
The proposal included an offer to perform limited site work, pay engineering costs and, if the project does not proceed, restore the land to its original condition. Consultant Joe Ramirez said the immediate priority is minimal site work to preserve the Investment Tax Credit (ITC) window: "Getting this site work done and the ITC preserved...holds our seat at the table," Ramirez said.
Council members and staff did not commit to the project at the meeting. Mayor Pro Tem Sabrina Rodriguez and other members asked Bleakian and his team to meet with the city manager, city engineer and the city attorney so staff can assess land availability, contractual terms and potential community benefits; staff said the matter could be placed on a future agenda for presentation and review.
Bleakian said the project could also provide community-sited solar opportunities and negotiate with utilities to offset or eliminate a previously cited $72,000 annual penalty; he added anearlier comment that he had "heard as high as $200,000," which he described as background on past true-up figures rather than a city staff calculation.
Next steps: the developer will provide detailed materials to the city manager and city engineer and requested an expedited meeting with the attorney; staff will evaluate land-use constraints and return with a recommendation or agenda item if appropriate.
