NARROWSBURG — The construction of a solar farm along Route 97 in Narrowsburg was scheduled to be under way by now, but New York State's demand that the contractors be paid prevailing wage has stalled it.

Town of Tusten officials are negotiating with the NYS Dept. of Labor (NYSDOL), which told them last month that even though the developers and owners of the solar array are private companies, the town's participation as the sole beneficiary of the electricity produced on what is town-owned land requires those building the 360-panel array to be paid the prevailing rate for the area, which is higher than what they otherwise would be paid.

“The [NYSDOL's] Bureau of Public Work was asked to make a determination on June 2,” affirmed NYSDOL spokesman Cullen Burnell, not disclosing who asked for that decision.

“A determination was made within one business day that the proposed solar power project is a public works project subject to the prevailing wage,” he continued. “On June 4, the Town of Tusten requested and received an appropriate wage schedule.”

The 81-page document lists the current wages and benefits that tradespeople must be paid on any public works project in the region.

That could ultimately raise the fees the developer plans to charge the town for the generated electricity, potentially reducing any estimated savings.

Sullivan County itself is in a similar situation with a planned 2.5-megawatt solar array to serve the Adult Care Center in Liberty, affirmed County Manager Josh Potosek.

The county has not yet finalized its power purchase agreement with developer SolarCity but is anticipating costs could rise if prevailing wages must be paid.

“I wish we had known this up front,” Potosek remarked, “because it's changed the whole financial picture.

“Some of the smaller projects may not even be viable,” he noted of the statewide impact.

Tusten's contract with developer Renewable Edge has become a focus of controversy, as residents like Rick Lander and Town Councilman Ned Lang feel the town can get a better deal, while Supervisor Carol Wingert and Tusten Energy Committee Chair Brandi Merolla insist the town will realize savings.

According to Merolla, Renewable Edge does not plan to back out of its deal with Tusten, even though it's estimating the projected $290,000 in savings may be reduced by $30,000 if prevailing wages must be paid.

The Town of Rockland is also looking into the solar farm concept, but Supervisor Rob Eggleton said the town's request for proposals are just now coming due.

“We are not sure on the issue of solar and prevailing wage,” he explained. “It will probably depend on whether or not it's located on municipal land.”