Wind PILOT must protect property values
THURSDAY, FEBRUARY 24, 2011
Jefferson County legislators may soon have to approve a payment-in-lieu-of-taxes agreement for the St. Lawrence Wind Project in Cape Vincent. In the rush to embrace economic development, tax revenue and the purported advantages of wind power, the county better ensure there is some provision to protect landowners from potential property devaluation.
The wind industry has gone to great lengths to claim wind turbines will not devalue nearby, nonparticipating properties. On the other side of the debate, however, leading professional appraisers and realtors demonstrated losses of 25 percent and more for distances up to two miles from turbines. My intention is not to settle this argument, but to only conclude there is uncertainty and with uncertainty there is risk.
For most north country residents our homes represent our biggest financial investment and asset. If we were informed by our local bank that they were going to change their savings program so there would be no FDIC insurance and that there may also be a possibility for a loss in our savings of 25 percent or more, how would we react? My guess is that most of us would say no way and probably pull savings out for the mere mention of the idea.
What makes sense for our bank savings makes sense for our property value as well. From my understanding, zoning laws and land use planning are intended to prevent "significant" negative impacts on property values and the use and enjoyment of our property. Massive industrial scale wind development definitely has the potential for "significant" negative impacts.
One way to guard against property devaluation and mitigate any potential loss in value is with a property value guarantee, the equivalent of FDIC insurance for our bank deposits.
The best endorsement for a property value guarantee comes from Ben Hoen, the wind industry's property guru who stated, "I think one of the things that often happens is that (wind) developers put our report forward and say look property values aren't affected, and that's not what we would say specifically. On the other hand, they have little ground to stand on if they say we won't guarantee that." Hoen is right, how can wind developers claim no devaluation, but not guarantee it?
I hope that county legislators agree and that when they negotiate new wind PILOT agreements they insist on a property value guarantee. After all they have experience with this type of property protection — they did it with the Rodman landfill.
Clif Schneider
Cape Vincent
