WEBSTER CENTRAL SCHOOL DISTRICT Brian Freeman, Assistant Superintendent for Business 119 South Avenue, Webster, NY 14580 (585) 216-0017 brian_freeman@webstercsd.org
3/4/2025 To: Brian Neenan, Superintendent From: Brian Freeman, Assistant Superintendent for Business Re: Updated Resolution for Solar Energy Systems Cc: Board of Education In August 2017, the district approved a resolution under Real Property Tax Law 487, allowing municipalities to exclude certain solar or wind energy system projects from a 15-year real property tax exemption within their boundaries. The district elected to adopt this resolution and “opt-out” of the law, meaning any company undertaking such a project must pay school taxes based on the real property assessment. Without an “opt-out" in place, these projects would be exempt from real property taxes, and the district would have the right to request that the company enter into a Payment in Lieu of Taxes (PILOT) agreement. This request must be made within 60 days of the notice letter that the company is required to send to the school district. In subsequent years, the law was amended to include additional energy-generating systems, such as hydroelectric and fuel cell technologies, among others. As technology continues to evolve in this area, the business office and our school attorney recommend adopting an updated resolution to “opt out” of Real Property Tax Law 487 once again, ensuring that these legislative changes do not impact the district’s ability to collect tax revenue or receive a fair and appropriate percentage of PILOT payments from wind or solar projects. The “opt-out” will apply to any projects commenced after the effective date of the resolution adopted by the Board of Education. By adopting this resolution, the Board retains leverage to negotiate with developers on the terms and conditions of PILOT agreements. If an agreement cannot be reached, the developer would be required to pay 100% of its property tax bill. Attached is the proposed resolution for the district to “opt out.” If approved, we must file it with the Commissioner of the NYS Department of Taxation and Finance and the NYS Energy Research and Development Authority. Additionally, we will provide copies to the assessors for all four towns within the district for reference. Please let me know if you have any questions. Thank you.
RESOLUTION OPTING OUT OF EXEMPTION UNDER SECTION 487 OF REAL PROPERTY TAX LAW WHEREAS, Section 487 of the Real Property Tax Law provides a tax exemption for real property which includes certain solar and wind energy systems, farm waste energy systems, and other alternate energy systems; and WHEREAS, Section 487(8) of the Real Property Tax Law authorizes school districts to opt out of this exemption; and WHEREAS, the Board of Education previously opted out of tax exemptions under Section 487 of the Real Property Tax Law in August 2017; and WHEREAS, the Board of Education of the Webster Central School District has determined that it would be in the best interest of the School District to opt out of exemptions offered under this statute. NOW, THEREFORE, BE IT RESOLVED THAT; 1.
No tax exemption made available by Section 487 of the Real Property Tax Law shall be applicable within the jurisdiction of the Webster Central School District with respect to any solar or wind energy system or farm waste energy system constructed subsequent to the effective date of this Resolution.
2.
No tax exemption made available by Section 487 of the Real Property Tax Law shall be applicable within the jurisdiction of the Webster Central School District with respect to any micro-hydroelectric energy system, fuel cell electric generating system, micro-combined heat and power generating equipment system, electric energy storage equipment or electric energy storage system, or other systems identified under the law and constructed subsequent to the effective date of this Resolution.
3.
The Superintendent of Schools is authorized to take any other necessary and proper action to implement this Resolution.
4.
This Resolution shall take effect immediately.
The question of the adoption of the foregoing Resolution was duly put to a vote, which resulted as follows:
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The Resolution was thereupon declared adopted.
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____________________________________ School District Clerk Webster Central School District