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5/7/2013 - Cloud County Commission Reviews Cost-Benefit Analysis of Grain Belt Express Clean Line Project - Click here to print this information

The Cloud County Commission met on Monday and received a tax abatement cost-benefit analysis report of the Grain Belt Express Clean Line transmission project for Cloud County completed by Municipal Consulting, LLC of Pittsburg, Kansas and provided by the North Central Regional Planning Commission.

The Grain Belt Express Clean Line is a 700-mile overhead, high voltage direct current transmission line that will deliver 3,500 megawatts of low-cost wind power from Kansas to Missouri, Illinois, Indiana and states farther east.

The report, which assumes 33-miles of transmission line to be constructed in Cloud County, shows a projected 1.81 actual benefits to actual costs ratio, which is higher than the 1.3 ratio generally sought by a public entity in order to grant a tax abatement and/or other incentives.

The report also estimates the impact of construction material costs while the transmission line project is under construction. According to the report, Cloud County could expect over $1.2 million in construction materials to be purchased locally, resulting in over $12,000 in sales tax generated in each year of the construction phase.

During this same time period, Cloud County is also estimated to receive over $7,000 in additional sales tax revenue based on expected spending of construction workers. Those construction workers requiring overnight lodging would also generate an estimated $12,000 a year in transient guest tax dollars while construction is taking place.

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