Michigan鈥檚 Renewables Ready Communities Awards聽recently announced its third round聽of funding: nearly $4.9 million to seven local units of government that chose to host new utility-scale renewable energy projects.聽The program鈥檚 first round聽was announced in October and the second round聽in December.
The RRCA supports communities that approve and host large-scale wind, solar, and energy storage projects at the local level. The program provides flexible funding to local governments to help fund community improvements and services such as local road and bridge repairs, public safety systems, park and playground enhancements, accessibility accommodations, upgrades to grounds and facilities, energy for public buildings, and streetlights. The grants are in addition to tax revenue and other community benefits already received by host communities.
Communities are eligible for one-time awards of up to $5,000 per megawatt (MW) of a project鈥檚 size for permitting and hosting projects. So far, the program has announced awards of $12.43 million 鈥� over one-third of its $30 million budget allocation 鈥� to 23 counties, cities, and townships (listed below) in rural and urban areas across Michigan鈥檚 two peninsulas. The projects supported by RRCA will generate enough solar power and battery storage to power nearly 2.5 million households.
Here are a few of the awardees and their plans for using the funds:
Coldwater Township, in Branch County, has secured three awards through the RRCA, totaling $991,250.
Township Supervisor Donald E. Rogers said the community is considering investing in road improvements that have been on hold for lack of funds, accessible park playground equipment, and an expansion of the township鈥檚 office space to benefit residents conducting business there. 鈥淭hese awards will significantly enhance our financial bottom line,鈥� Rogers said. 鈥淚t was very important to work with the renewable energy companies to have these projects in our township, keeping in mind the impact they may have on our residents.鈥�
While state law added an optional track to approve renewable energy project siting through the Michigan Public Service Commission, the township chose to work with developers to negotiate all facets of the projects to follow local ordinances. 鈥淲e kept the projects under local control, alleviating the need for them to bypass local control,鈥� he said. 鈥淎n added benefit to these projects was the EGLE RRCA grant program, which we took advantage of.鈥�
Ecorse, in Wayne County, qualified for $1 million through the RRCA 鈥� equivalent to 5% of the city鈥檚 annual budget, Mayor Lamar Tidwell said. It鈥檚 an opportunity to step up youth enrichment efforts.
鈥淭his award will allow the city to bring much-needed outdoor recreational activities to the community,鈥� Tidwell said. He said it was important to the community to approve the Redstart Energy Storage project in the wake of the 2021 closure of the coal-fired DTE Energy River Rouge power plant.
Evergreen Township, in Montcalm County, will receive $330,000 after approving the Fish Creek Solar project.
鈥淭his is a very significant amount compared to our annual budget,鈥� said Township Supervisor Andy Ross. 鈥淥ur annual income is聽$427,000, of which approximately聽$270,000 comes from聽state revenue sharing and $157,000 comes from other sources聽such as聽millages, special assessments,聽etc.鈥�
Ross said it was challenging but worth the effort to navigate the project鈥檚 approval amid opposition from some township residents. 鈥淭he reason the Township Board went in the direction聽of approving聽the solar project was聽because we believe聽in property rights,鈥� he said.聽鈥淲e did not want to waste taxpayer聽money on attorney fees and legal battles聽opposing聽the project. Also,聽we understood the economic聽impact to the community. We knew that the tax revenue聽would help out the community聽as a whole.鈥� He added that the grant was an added bonus.
The RRCA was unexpected and will help improve local roads and the township鈥檚 hall and fire barn.
Belknap Township, in Presque Isle County, secured a $152,500 award 鈥� comparable to the township鈥檚 average annual general fund and roads budget 鈥� after agreeing to host the Little Trout Solar project.
鈥淭his award program appears to be one of the most straightforward grants that I have ever worked with,鈥� said Township Supervisor Toby Kuznicki. 鈥淚t will allow funding for projects that have transformational impacts to the community.鈥� One such project will be reconstructing Claus Road, currently designated by the township as a failed road. Also planned are a disaster preparedness project and replacement of outdated equipment in the township hall.
Trenton, in Wayne County, will receive $1.1 million in RRCA funding following its approval of the Trenton Channel Energy Center project. The city plans to use this award to improve its West Road streetscape and enhance downtown placemaking opportunities.
鈥淭he Renewables Ready Communities Award will make these projects attainable for our city budget, where we otherwise have not had adequate funding opportunities,鈥� said Mayor Steven Rzeppa. 鈥淲hen these projects are initiated and completed, they will greatly improve the quality of life for our residents, the walkability of our community, and opportunities for our small businesses.鈥�
The state allocated $30 million for the RRCA in the 2024 budget 鈥� funding that helped secure an additional $129.1 million to expand the RRCA program and other efforts through the U.S. Environmental Protection Agency鈥檚 Climate Pollution Reduction Grants.
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