Wind power bill loses steam

Committee to study state's incentives for energy companies

? A Senate committee chairman backed away Wednesday from his proposal to eliminate a property tax exemption for companies that build wind farms for generating electricity.

The Assessment and Taxation Committee took no action on a bill from Chairman David Corbin or an alternative he offered that would require wind farms to make annual payments to counties in lieu of taxes.

Kansas law exempts all property used regularly to generate electricity from renewable sources, such as solar, wind or water power. The exemption became available for 1999.

Some residents of the Flint Hills oppose proposals to build wind turbines there, arguing that the construction would disturb pristine prairie, spoil views of the landscape and hurt tourism.

“You’re not going to do a trail ride to ride by 400-foot turbines,” said Alan Cobb, a lobbyist for Flint Hills ranchers.

But Corbin, R-Towanda, said his main concern was that the exemption for wind farms was permanent. He noted that counties cannot grant exemptions to other businesses for more than 10 years.

“We’re getting the impression in the press that I want to kill wind energy,” Corbin said during the committee’s meeting. “That’s not the case.”

Committee members said they wanted to study other states’ incentives for wind energy and consider other ideas for changing the law. For example, Sen. Janis Lee, D-Kensington, wondered whether the state could leave decisions about granting such tax exemptions to individual counties, as it does for other businesses.

Sen. Tim Huelskamp, R-Fowler, who does not serve on the tax panel, told its members that even discussing the tax break created uncertainty for companies interested in building wind farms. Huelskamp’s district has a 170-turbine wind farm in Gray County.

Corbin said he would broach the issue again later in the session.

Elimination of wind farms’ tax exemption is SB 85.