ALLEN TWP. — The Allen Township Board approved a 20-year tax abatement for a portion of a large-scale solar project July 14, locking in a lower, fixed payment despite concerns about lost revenue and environmental impacts.
Officials voted unanimously to approve a payment-in-lieu-of-taxes, or PILOT, agreement for Heartwood I Solar developed by Ranger Power. The 400-megawatt project is nearing completion in Allen and Fayette Township, with 18 megawatts in the former and 382 megawatts in the latter.
The project covers roughly 119.3 acres in Allen Township, with land leases dating to 2021.
The abatement establishes a flat annual payment of $9,084.60 for equipment installed in Allen Township, with landowners still responsible for property taxes on the leased land. Officials said the arrangement provides “guaranteed money,” compared with an estimated starting $12,000 that’s expected to decline over time as equipment depreciates.
The decision followed a standing-room-only meeting, with residents raising concerns about tax revenue, wildlife disruption and long-term impacts of the project.
Officials said their authority is limited under state law, citing Public Act 223 and oversight from the Michigan Public Service Commission. They said local governments have little ability to block or significantly alter utility-scale solar projects.
Hillsdale County Commissioner Mark Wiley warned the agreement could set a dangerous precedent.
“What happens here tonight could be repeated by other solar companies in other townships,” he said.
Trustees said the meeting’s turnout was among the largest they’d ever seen, despite solar projects being discussed locally for at least five years with relatively low public participation.
— Contact reporter Corey Murray at cmurray@hillsdale.net or follow him on X, formerly Twitter, at @cmurrayhdn.
This article originally appeared on Hillsdale Daily News: Allen Township cites PA 233 in approving abatement for Heartwood Solar
Reporting by Corey J. Murray, Hillsdale Daily News / Hillsdale Daily News
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By Corey J. Murray, Hillsdale Daily News | USA TODAY Network
