The Hill County Commissioners Court met in regular session Tuesday, July 9, and approved a reinvestment zone and the proposed form of a tax abatement agreement for Hubbard Energy Storage II, LLC.
The reinvestment zone involves 10 acres east of Bynum that will be used for 100 megawatt battery storage of energy.
Renewable energy battery storage systems are designed to improve the overall reliability of the electrical grid, storing power that can be provided when the sun goes down or when wind turbines aren’t in use.
The company’s projected capital investment for the battery project is $115 million, and it is expected to be operational by the first quarter of 2026.
Designating an area as a reinvestment zone is a step that must be taken before the court can consider offering a tax abatement for a project.
County Judge Justin Lewis emphasized once again that the county has no authority to stop renewable energy projects. The Texas attorney general’s office confirmed last year that Texas law doesn’t give county governments such authority.
“Our best deal is to negotiate the best position we can,” Lewis said.
The judge has said that the county is using the tax abatement agreements to bring the companies to the table and negotiate road use agreements, which specify which county roads can be used by the companies and their responsibility to repair any damage. Other requirements, such as vegetation barriers for neighboring landowners, are also included.
There were no comments during a public hearing on the reinvestment zone’s creation, and the motion passed with only Precinct 1 Commissioner Jim Holcomb voting against it.
The court then unanimously approved the proposed form of a tax abatement agreement that will be sent to other taxing entities and voted on after a public hearing.
With its proposed investment for the project, Hubbard Energy Storage is eligible for a partial county tax abatement that starts at 50% and is reduced by 5% each year until the 10th and final year of the abatement. The company would not receive a break on FM lateral taxes, which fund roads and bridges.
In other action, the court continued discussing the creation of a culvert policy for new developments. Lewis said that the policy is one of the last steps that needs to be taken before new subdivision rules are finalized, and he asked for commissioners to provide input.
The court discussed having a central location for issuing permits and offering them online. A commissioner would meet with the owner to determine the size and location of the culvert pipe, and the commissioner would inspect the installation after it is completed to ensure it meets requirements.
The court also discussed requiring concrete or steel safety ends on certain sizes of tin horns to prevent them from being crushed.
The requirements would only apply to new culverts; existing property entrances would not have to be changed.
Commissioners are expected to vote on the policy after the suggestions are incorporated into the policy.
The annual audit and financial statements for Emergency Services District (ESD) 2 were observed and recorded by the court. The district had a clean audit with no material findings.
A communication system agreement between the county and Itasca Independent School District was approved. The agreement allows the district to utilize the county’s new public safety radio system.
Commissioners approved a preliminary plat for the Mayspring Subdivision. The development includes 10 lots just outside of Mount Calm. A replat was also approved for Cottonwood Ranch in Precinct 3.
The court also approved meeting dates for the coming fiscal year, including weekly meetings in August and September during the annual budget process.
A special meeting was set for Tuesday, July 16, for consideration of health insurance proposals and other special agenda items.
The next regular meeting date is Tuesday, July 23, at 8 a.m. in the Hill County Courtroom of the courthouse.
The Lakelander 