The Chautauqua County Industrial Development Agency has approved tax break incentives for a new solar project to be constructed in the town of Sheridan.

Erie Coast Solar LLC was approved by the county IDA for a 20-year Payment In Lieu Of Taxes agreement for a 2.2 megawatt solar project on 30 acres off of New Road, Sheridan.

Rosemarie Strandberg with the county IDA said this is a $7.15 million project.

She noted the tax agreement will provide direct payments of about $300,000 to the impacted taxing jurisdictions.

The town of Sheridan will receive direct payments through a host community benefit agreement. County IDA Attorney Milan Tyler said the IDA has been made aware of that agreement, but was not involved in the negotiations for that. He added that most solar projects receive some sort of direct payments outside of any PILOT agreement.

The Sheridan Town Board has already given its approval for the project.

Eamon Riley with East Coast Solar previously noted this is a community solar project. “Community solar, for those who are unfamiliar, will supply energy directly to the local grid, the local distribution network, so all the energy produced by this project will stay local and serve local residents,” he said last month.

Riley said all of the panels will be made in the United States, specifically North Dakota.

A decommissioning plan has also been submitted and approved by the Sheridan Town Board. The bond is $178,000.