Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Decommissioning topic
No spam. Unsubscribe anytime.
Plattekill board weighs requiring escrow or Treasury-backed funds for project decommissioning
Summary
A board member proposed an ordinance to require cash or U.S. Treasury-backed escrow for projects that must be decommissioned, citing past bond failures and the town's limited ability to pursue long-term cleanups; the board asked staff and counsel to draft language and schedule a public hearing.
A Town of Plattekill board member urged the board to require that future projects with decommissioning obligations post full escrowed funds in cash or U.S. Treasury securities rather than relying on commercial bonds, arguing that bond issuers can become insolvent and leave taxpayers to cover cleanup costs.
"I'd prefer to bet with US government and Uncle Sam in order to protect our little town," the board member said, describing bonds as "a minimum premium" that often never pays out when companies fail. The speaker cited prior local cleanup problems and said escrowed funds would ensure money is available to decommission hazardous components, including battery storage systems.
Board members discussed federal involvement if a site becomes contaminated. One member noted the U.S. Environmental Protection Agency can undertake cleanup in certain toxic-waste cases, but others said relying on EPA could delay remediation and that local financial certainty would let the town act quickly.
The board did not vote on an ordinance. Members agreed the proposal would require drafting formal language, review by town counsel and a public hearing before adoption. The board asked staff to prepare a draft ordinance for consideration at a future meeting so the public can comment.
Why it matters: Projects such as solar arrays or sites with battery storage can create long-term decommissioning obligations that may include hazardous components. The board's proposal aims to ensure funds are available for removal and remediation without relying on corporate bonds that may fail over decades.
Next steps: The board requested counsel-drafted ordinance language and scheduled the matter for a subsequent meeting and public hearing; no final action or timetable was specified.
