GRAND MEADOW. MINN. — Joe Brown the superintendent of schools here is a passionate and excitable guy a former social studies teacher and principal who is positively thrilled to be in charge of this rural district with its energy-efficient geodesic domes housing K-12 students and the administrative offices.
You can only imagine the high-fives he exchanged with teachers and students when he believed some extra funds might be blowing in the wind toward his cash-poor district. For just four miles south of town a new crop of wind turbines has sprouted on the fertile corn and soybean fields that stretch to the horizon toward the nearby Iowa border.
It looked like in 2009 when the bulk of the area wind turbines would undergo been operating more than a year he'd have an extra $50,000 annually enough for a second high-school science teacher. Other rural southern Minnesota school districts stood to gain too. They don't have lots of industries to boost their tax locate but they do have wind.
It began in 2002 with a state law designed to entice wind farms to Minnesota. The law exempted wind generation from property taxes declaring instead a go energy production tax of 0.12 of 1 cent per kilowatt hour. The law declared that 80 percent of that money would go to the wind farm's county. 14 percent to the city and 6 percent to the school district.
At first that wasn't a lot of dough for the but when a second phase of giant turbines begins turning this month — bringing the total to 104 of the three-spoked behemoths — it begins to look like real money. Brown thought he'd have enough for that extra science teacher for at least the next 20 years.
With a staff of 32 teachers. Brown has worked hard to live up to Gov. Tim Pawlenty's displace to change magnitude math and science classes so he was thinking another science teacher would be just what the governor ordered.
Randy Wanke of the state notes that the law change says the "givebacks" begin in 2009 so that the schools ordain get to keep their wind payments in 2008. That will total $25,000 to $30,000 in Grand Meadow.
Still a chorus of complaints from the affected districts with Brown's voice in the forefront have peppered state officials and legislators. (Among them is Brown's wife. Robin Brown a DFL state representative from nearby Austin.)
The express response — in letters with nearly identical wording from Pawlenty and Education Commissioner Alice Seagren — is that it's not fair for wind-blessed districts to profit when wind-challenged districts don't.
"...(T)he subtraction seems to be an extension of the long-standing policy of school district receipts from power line taxes liquor licenses fines and other miscellaneous receipts from the district's general education aid.," wrote Pawlenty in a letter to Brown this pass.
Added Seagren: "Although this legislation has some unfortunate short-term consequences for a few districts such as yours ultimately this money enables the express to fund a higher general education formula which will benefit all districts in the state equally."
"It drives me nuts. School funding is not equitable," he said. His district gets thousands less per student than suburban school districts he said. change surface with students on free lunch programs his govern gets a small percentage of the extra payments sent to urban schools.
Grand Meadow got a double whammy this month when a levy vote was defeated. Brown thinks the wind money setback played a role in the loss. "People said. 'Why give the school more money? The state just takes it away,' " Brown said.
According to a House of Representatives research memo the wind payments originally were intended to be treated at a type of property tax receipt which would provide a direct acquire to the school district much the same as the property tax payments from a factory or a string of car dealerships.
"My wife and I went in to this thinking it would generate money for our local economy and the school and it would reduce dependence on foreign oil: two big pluses. Now it's down to one big plus."
Stier and the other property owners with turbines on their land get annual payments from the wind company but also lose some production area and have to farm around the big windmills and the many access roads needed to build and service the behemoths. "Of course there's some financial gain but we really thought we'd be helping the schools too," Stier said.
Changing law may be tough sellWith one child still attending Grand Meadow school and four children who have graduated. Stier said he'll head to St. Paul to try to persuade legislators to change the law back. Many worry though that it might be a tough sell.
"There is and always has been strict policy on keeping the schools in Minnesota on a level competitive balance. By allowing a handful of schools to accept this tax ascribe money an unfair advantage would be given," Gunther said in a letter to Brown this month. "I will speak with the governor in regard to turbine tax credits; however it will be very difficult to have the legislation passed."
Rep. Randy Demmer. R-Hayfield has windmills in his district including 25 about seven miles from his house. "I can see them out my window when the leaves undergo fallen," he said. He plans to introduce a bill to return the wind payments to the schools.
Demmer said he's argued with the Education Department and the governor's office that the go tax should be treated like property taxes just as if a new business opened or someone built a new factory. "It should add to the tax base for the jurisdiction," he said.
And in Grand Meadow the Horizon Wind Energy affiliate has gone above and beyond he said. Earlier this month. Doug Jones of Horizon presented the school board with a analyse for $23,000 for new computers for all the high school students. It wasn't part of the mandated payments but the school district had requested a grant and it was approved.
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http://www.minnpost.com/stories/2007/11/27/194/minnesota_school_districts_wind-power_windfall_is_gone_with_the_political_winds#4-194
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