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By Alec Dickinson For the Tidings May 08. 2015 4:56PM Ashland budget proposal says solar power could attract investment A proposal backers say could eventually lead to the construction of a 10-megawatt solar farm on Ashland city property received impassioned public support at Thursday’s Budget Committee meeting. The project could eventually put the city in the game of running a municipal solar utility with the capacity to provide Ashland with about 25 percent of its power, backers said. For now, however, supporters of the project are requesting $75,000 from the City Economic Development Fund to pay for preparation of a request for proposal to attract investors to what would potentially be a $40 million dollar facility. Councilwoman Carol Voisin, the proposal’s sponsor, says the funds for the RFP would be a one-time expenditure. “Now understand, this is not an (Ashland Fiber Network) or a waste treatment plan that comes with a huge public debt. This is not that. This is a proposal to attract investors who will build and pay for a $40 million solar park. They will build and maintain the park. Not the city.” The city of Ashland would, under the proposal, take ownership of the solar park after a term to be specified in a lease, tentatively 15 to 20 years. The city could then decide whether to operate a municipal solar utility or to explore other options, such as selling the facility or leasing it out again. According to the proposal, solar panels and the framework for installing them has a 30-year warranty, which would leave the City with at least 10 years of operation before being liable for replacing panels. But in order to attract investors, Voisin says, the city must have enough information to allow potential investors to make informed decisions. She says geotechnical information regarding the slope of the land, water features, vegetation and soil type are key components that must be quantified, along with solar aspects, site access and access to transmission lines. Voisin says it is urgent to move quickly if the city wishes to attract investors, since a federal program providing a 30-percent tax credit for renewable energy projects expires in December 2016. Voisin says state and federal tax incentives are a particularly important part of the equation for investors, who stand to recoup up to 50 percent of their total investment costs through such programs. Voisin also noted that the cost of borrowing money for potential developers is at historic lows and that if the project is not added to the current budget, the city’s biennial budget process would preclude reexamining the proposal for another two years. She says time is already short to develop the project in time to take advantage of federal incentives, but that it is still possible. If a solar farm were built on the site, investors could recoup their costs and turn a profit through a number of avenues, proposal backers said. Carbon credits and the sale of power to regional power grids could account for much of the profitability of such a facility. It is estimated the project could generate 100 to 200 jobs during a construction period of six to 12 months. Additional technical and maintenance jobs would continue for the life of the project. Two sites on the City’s 864 acre Imperitrice property, located east of Interstate 5 and abutting Eagle Mill Road, have been identified as potential solar farm locations. About 50 acres would be required for solar farm development. Voisin touted the prospects of solar energy in the area, saying if one-third of the property were put under solar arrays, it would provide enough electricity to completely supply Ashland’s peak electrical usage of 35 megawatts. Voisin says that after receiving proposals, the city would hire an expert in municipal solar energy to guide the City through what she acknowledges would be a complex lease process. She also said the city would “be in the driver seat,” and could back out of the process at any point. Voisin says the project would reduce the community’s carbon footprint as much as the equivalent of removing nearly 2,5000 cars from area roads. “We are not ideologues who have a wild idea. We are not presenting something that is pie in the sky," she said. "This is real. What motivates us to be here is the moral imperative that we must act now and do anything we can to stop and slow the destruction of our planet, and to secure a renewable energy source for our future.” The proposal has been submitted to the Budget Committee as an "add-on" item, one of several such requests for funding in this budget cycle not included in the draft budget. The Budget Committee will hear add-on proposals at its next three meetings and make a determination regarding which projects to fund, if any, ahead of the new fiscal year beginning July 1. The next meeting starts at 6 p.m. Monday, May 11, in the city council chambers at 1175 E. Main St. The meeting will focus on portions of the budget involving administration, the city recorder, fire, electric and Internet services. Alec Dickinson is a freelance writer living in Ashland. http://www.dailytidings.com/article/20150508/news/150509811 © 2016 Copyright © 1995-2011 Crain Communications Inc. All Rights Reserved. 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