The good news: Texas is the leading producer of wind energy in the United States, and the current boom in green energy has created explosive growth of wind farms in Texas. This growth has been profitable landowners and producers, and now taxing entities have begun to see increased tax bases as a result.
The bad news: For many school districts experiencing heavy capital investments in wind energy, the additional tax money would be sent to the state under the Robin Hood plan. Rather than seeing the money sent away, many districts are entering into abatement agreements with the producers and then immediately agreeing to Payment in Lieu of Tax (PILOT) agreements. The cumulative effect? So far 44 school districts have granted $700 million in abatements and will receive back $248 million over the next ten years.
Is this a good thing? That probably depends on your perspective. You can read the full Associated Press article by Danny Robbins here.
Josh Estes
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