Biomass Plant for Fort Drum One Step Closer To becoming a Reality

  June 5^th In a 13 to 0 vote  Jefferson County lawmakers approved a tax break  for Albany-based ReEnergy Holdings LLC.  ReEnergy acquired the Black River Generation facility at Fort Drum with plans to convert the facility to use biomass material as a primary fuel source, creating new jobs and a renewable energy source in the North Country.

  During the PILOT negotiations last month, town of LeRay officials advocated a two-year PILOT instead, so that the town could garner more sales tax revenue by placing the property — (which will be tax exempt over the span of the PILOT) — back on the tax roll sooner. The county doles out the towns’ share of the local sales tax revenue based on assessment valuation .

The five-year PILOT plan will take effect in 2013, and the plant’s $32 million property assessment will be fully taxable in 2018. The following payment schedule will start in 2013 and end in 2017: 40 percent of an assessed property value of $28 million; 45 percent of $29 million; 50 percent of $30 million; 55 percent of $31 million and 60 percent of $32 million.
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On a related matter
In early April ,Upstate New York Power Corp developer of the proposed Galloo Island Industrial Wind Complex, told the state Public Service Commission it could not justify the additional cost of running transmission lines under Lake Ontario to Scriba, and suggested the lines should, instead, hit landfall in Hounsfield and run to the Coffeen Street substation of National Grid. The president of Upstate New York Power also suggested in his letter to the PSC that his company will try to sell its power to the Army to power Fort Drum. However , Fort Drum is being wooed by ReEnergy Holdings, the company that bought the old co-generation plant that used to provide Fort Drum with steam.
 This may be the last resort for Upstate as of yet they do not have a Power Purchase Agreement for the Galloo Island  wind project.
Upstate NY Power  had applied for a contract through NYPA’s request for proposals, unfortunately NYPA’s board agreed to suspend the process of awarding contracts for electricity for offshore wind turbines in the waters of Lake Erie and Lake Ontario because of the price.

Upstate Power Corp's idea of selling power to fort Drum or anyone else appears to be another wind Fairy tale...
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Sources:
County approves tax break for biomass facility
By BRIAN AMARAL
Watertown TIMES STAFF WRITER
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Five-year PILOT for Fort Drum biomass plant to be proposed to municipalities
By TED BOOKER
WATERTOWN TIMES STAFF WRITER
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Watertown Times Editorial Treading water in a cold lake by
PERRY WHITE ~ TIMES CITY EDITOR
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New York Power Authority won’t reconsider buying power from Galloo Island Wind Farm
By NANCY MADSEN
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Former WATERTOWN TIMES STAFF WRITER
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ReEnergy Holdings acquires Black River Generation facility at Fort Drum The
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Mountaineer Online