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Renewables Ready Communities Award
Renewables Ready Communities Award
The Renewables Ready Communities Award (RRCA) is a one-time payment that local governments can receive for hosting and/or permitting eligible large-scale renewable energy projects. Local governments can apply as soon as an eligible energy project is permitted, and award payment is made when construction on the project begins.
For an energy project to be eligible, it must be:
- A grid-connected wind, solar, battery storage, or hybrid project;
- Rated for a nameplate capacity of at least 50 megawatts (or 100 megawatts if wind is involved);
- Locally permitted after Sept 30th, 2023, most commonly through special use or site plan approval. (Projects sited through MPSC certification are not eligible.)
Continue reading for full application details.
Renewables Ready Communities Award Summary Dashboard
This dashboard provides an overview of the awarded municipality with the eligible renewable energy projects, award amount, the intended use of their award, and additional details.
Launch the dashboard Download the datasetEligibility requirements
Any municipality involved as host or permitter of an eligible project may apply.
An eligible project is a grid-connected wind, solar, or energy storage project in Michigan which received a local permit (e.g. a land use permit or site plan approval) after September 30th, 2023.
All projects must be at least 50 megawatts (MW), unless any wind energy is involved, in which case a project must be at least 100 MW. All capacity values refer to nameplate capacity in alternating current.
Funding amount
The Renewables Ready Communities Award offers a local government up to $5,000 per MW for their portion of an eligible energy project.
For example, if a township permitted 20 MW of an eligible 100 MW solar project, they may apply for a 20 MW RRCA. The award amount is $4,000/MW with a potential 25% increase (+$1,000/MW) if a satisfactory Project Labor Agreement (PLA) is in place for the energy project’s construction. If host and permitter are separate (such as with a county permitting and a township hosting), each local unit may apply for half of the award (e.g., $2,500 per MW with a satisfactory PLA, or $2,000 per MW without.)
Please consult the Request for Proposals (RFP) at the bottom of this page for more details on determining award amount and eligibility.
Project labor agreements
A Project Labor Agreement (PLA) is established and managed by the energy project developer, not the local government.
Since terms and conditions for private employment are not involved in municipal zoning and permitting, applicants are encouraged to discuss the likelihood of a satisfactory PLA with the project developer after making permitting decisions in consideration of the baseline $4,000/MW or $2,000/MW award.
Additional information about this requirement, such as the definition of a satisfactory PLA, can be found in the RFP. Please contact the Renewables Ready Communities Award managers for further questions.
Award use
EGLE has no requirements on how Renewables Ready Communities Award dollars are spent. Prior RRCAs have supported a wide range of local priorities such as township hall repairs, new recreation equipment, roadwork, cemetery upgrades, rooftop solar installations, consulting services for master plan updates, contributions to fire department equipment purchases, and more.
To receive payment when the energy project begins construction, an awarded local government:
- An Award Use Plan, following a designated template
- A resolution of approval for the Award Use Plan, issued by the municipality’s legislative body at a public meeting.
- A Proof of Construction form, attesting that construction on the energy project has started.
- A satisfactory PLA must also be submitted to receive the 25% increased award payment. Please read the Requests for Proposals (RFP) or contact the RRCA managers to learn more.
After this single and final payment is completed, the award agreement between EGLE and the municipality will be concluded. The local government will administer the award dollars as described in their legislatively-approved Award Use Plan, without any further requirements from EGLE. However, EGLE appreciates learning how communities put their RRCA payments to use and will ask past awardees to participate in follow-up surveys.
Application
Please review the Request for Proposals (RFP) and application first to prepare the following documents in advance:
- A copy of the energy project’s permit
- A Developer Questionnaire completed by the project developer
Contact the Renewables Ready Communities Award managers
- Ian O'Leary at OLearyI@Michigan.gov
- Asia Patterson at PattersonA18@Michigan.gov