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County evaluates battery storage, separate participation agreements for Hunter and Horn Shadow solar projects
Summary
Staff told the CRA that battery storage components often require separate participation agreements when backed by different investors; Hunter’s battery is contained within the original plan while Horn Shadow seeks a 47-acre expansion and a 40% increment request, prompting commissioners to request financials and further review.
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Agency staff updated commissioners on recent developer requests tied to solar projects and battery storage. Brandy Grace, speaking for UAC, said Hunter’s battery replacement was contemplated in the original project-area plan and does not require additional increment or boundary change, while Horn Shadow is seeking a 47-acre expansion to site battery storage and is requesting the same 40% increment previously negotiated for the solar component.
"Some of the projects as they came in with their original solar developments, technology was still kind of evolving around the battery storage piece and now that some of that has come online ... battery storage has been a key piece to that technology and we're seeing that come on on really all of these projects throughout the state now," Grace said. Commissioners clarified that when a separate investor/LLC backs storage, the county typically needs a separate participation agreement for that parcel and that keeping personal property outside the project area can redirect tax increment to taxing entities rather than to a developer.
The board also discussed implications for tax rate stability, noting rapid depreciation schedules on certain renewable assets can depress values in early years then cause rates to rebound; placing value inside a project area can smooth tax-base effects. Commissioners requested copy of Horn Shadow’s budget and financials before acting on any increment or boundary amendment.
