Seeing the Light – At a Steep Cost (To Taxpayers)

Back in 2010 when the DeCotiis law firm suckered the Union County freeholder board into bonding to put up solar panels at what was supposed to be no cost then-freeholder Daniel Sullivan was more than eager to reward his political patrons by signing taxpayers up for this boondoggle:
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Today he admitted as much to Bloomberg:

Solar Credit Crash Leaves New Jersey County Stuck With Debt Bill
2018-10-19 15:20:47.708 GMT
By Martin Z. Braun (Bloomberg) —

Taxpayers in Union County, New Jersey, have paid $3.5 million to bail out bondholders who helped finance the installation of solar panels at schools and municipal buildings.

Residents are still on the hook for more than $8 million. The debt, issued by the Union County Improvement Authority, is guaranteed by the county, which has paid the annual October principal payment since 2015. The county — the home of Elizabeth, Summit and Westfield — started supporting the debt after the price of state solar tax credits, which provided revenue to pay off the securities, collapsed. Principal payments are about $1 million a year.

The county made this year’s payment and intends to budget enough money in 2019 to pay investors, according to a securities filing. “Sad to say that’s probably the future right through 2026, when the bonds are paid off,” said Daniel Sullivan, executive director of the Union County Improvement Authority. The authority’s sale of more than $15 million of taxable bonds in 2011 financed 70 percent of the cost of installing panels at more than 40 local government facilities in the county, including New Providence High School, Rahway city hall and Union County College.

Tioga Energy, a venture capital-funded solar developer, built, operated, and maintained the panels and was supposed to repay the debt with energy sales to local governments and proceeds from the sale of solar-energy tax credits. However, the price of the credits plunged and Tioga dissolved in 2013. The authority made debt service payments for the next two year from reserves.

Union County has tried to sell or lease the solar power system but there aren’t any buyers, said Sullivan. “The problem with our system is that it’s really too small for a buyer to consider,” he said.

Full video from 2010:
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One response to this post.

  1. Posted by readslikeamafiabook on October 20, 2018 at 4:02 pm

    “Union County has tried to sell or lease the solar power system but there aren’t any buyers, said Sullivan. ‘The problem with our system is that it’s really too small for a buyer to consider,’ he said.”
    No Sullivan, the problem is that not only is there absolutely no financial benefit to buy or lease the solar power system, but it’s a fu*king disaster. A disaster that the DeCotiis law firm and the rest of the pay-to-play schemers made money off of to the detriment of taxpayers.

    Taxpayers should sue this f*cking lying lawyer scumbag:

    Reply

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