The City of Crossett has taken the second step in the process to bring a massive solar farm — and with it, hundreds of construction jobs — to the area.
The City Council adopted Jan. 21 an ordinance that stated that the city intends to finance the construction, expansion, and equipping of industrial facilities through the issuance of industrial revenue bonds. The obligation to pay the bonds will fall to the company.
The ordinance also acknowledges and approves that RES Americas — the company that plans to construct the solar farm — and the City of Crossett have entered into a payment in lieu of taxes (PILOT) agreement .
In 2019, Crossett Economic Development Director Mike Smith spoke to the city council about working with RES Americas in attempt to build an 800-acre, $150 million dollar solar farm south of Crossett.
In November, city officials determined that the city of Crossett would need to annex the property and then enter into a PILOT agreement in order to move forward after meeting with representatives of the company .
The PILOT agreement calls for a 65 percent tax abatement during the time period that the company is paying off the bond issued to finance the project.
RES has already secured a power purchase agreement with the Arkansas Electric Cooperative Corporation.
A representative from RES said the solar farm will be able to power approximately 18,300 residential customers when it is completed.
The project will be located on Highway 133 of Crossett, but a projected start date for construction was not discussed when the ordinance was adopted.
Company officials have also projected that the construction of the project could generate anywhere from 400 to 600 construction jobs.