A development agreement between Solargen Energy and San Benito
County would set requirements for the company such as mandates to
make annual
”
additional public benefit compensation
”
for 20 years, indemnify taxpayers in the event of litigation,
create a
”
decommissioning fund
”
for costs to return the site to prior uses, and make efforts to
encourage hiring locally for the project, according to the
document.
A development agreement between Solargen Energy and San Benito County would set requirements for the company such as mandates to make annual “additional public benefit compensation” for 20 years, indemnify taxpayers in the event of litigation, create a “decommissioning fund” for costs to return the site to prior uses, and make efforts to encourage hiring locally for the project, according to the document.
That development agreement, which goes beyond the standard obligations in the planning process, is on the agenda for consideration by the San Benito County Planning Commission at its meeting tonight. Commissioners were set to make a recommendation on the agreement and also to decide on Solargen’s use permit, said Planning Director Gary Armstrong.
Next, both items are headed to supervisors in perhaps the last hurdles for Solargen, proposing a 399-megawatt solar farm on 4,800 acres in Panoche Valley, with about 2,400 acres set aside as open space. The 37-page development agreement lays out details in the proposed project, which already has an approval on its environmental impact report, as well as the additional requirements.
Some of the key components in the development agreement include the following:
Employing locally: With the proposal estimated to create 50 full-time jobs and 150 to 200 construction jobs, Solargen must “use its best efforts to include in its construction and support services contracts a requirement that each contractor hiring employees for the Project include provisions that will require that they acknowledge the County’s goal and give preference to hiring permanent San Benito County residents while still providing the contractor with the ability to hire as employees the job applicants with the most experience and best qualifications.”
Solargen also will be required to sponsor two job fairs in San Benito County, conducted by the One Stop Career Center, to inform the public about job opportunities and training through the project.
Additional public benefit compensation: With Solargen exempt from paying property taxes on the value of fixture improvements and equipment installed there, the company would pay 0.14 percent of the assessed value of the property. It would be paid annually with an Aug. 31 deadline.
Additionally, Solargen is agreeing to pay an amount, not to exceed $50,000, to be used at the county’s discretion for solar energy demonstrations and improvements to a county-owned facility or facilities.
Another component of the “Additional public benefit compensation” section includes the development of a program to facilitate visits to the site from college students, and elementary through high school students would have access to the site for field trips.
Decommissioning agreement: In the event that the owner can’t complete the expected 20-year lifespan of the project, Solargen plans to establish a decommissioning fund to pay for full restoration of the property. In line with a Pacific Gas & Electric study, Solargen would pay $26,500 per megawatt, but in phases as the project is built out.
Indemnification: Solargen would cover costs of third-party litigation brought against the county, employees or agents.
The San Benito County Planning Commission meeting is set for 6 p.m. at the County Administration Building, 481 Fourth St.
