Earlier this month, Vashon United Methodist Church on Vashon Island in Washington State received a special guest from the U.S. Department of the Treasury. Ronald “Ronnie” Newman, the department’s senior advisor on implementing the Inflation Reduction Act (IRA), visited to further ongoing discussions to make it easier for non-profits like churches to navigate tax rebates with the Internal Revenue Service (IRS).
In September 2023, Vashon UMC received a $129,704 grant from the Washington State Department of Commerce to fund a solar and battery backup storage system to increase community resiliency. The project, now installed, allows the sanctuary to serve as a 24/7 emergency shelter in the event of a prolonged power outage.
A small group of United Methodists has been working at the national level to solve initial problems churches are experiencing with filing for the 30% tax rebate payment from the IRS related to installing solar projects. A workgroup including Rev. Jenny Phillips (Director of Environmental Sustainability, General Board of Global Ministries), Leticia Wright (Deputy General Counsel, General Council on Finance and Administration), Bill Innes (Lay member, Mt Lebanon UMC, Wilmington, DE) and Eric Walker (Lay member, Vashon UMC) has been working with the Treasury and the IRS to prevent church filings from being rejected by the IRS.
On August 13th, Rev. Phillips attended the White House Faith Leaders Convening on Climate, Clean Energy and Environmental Justice Conference. During that gathering, Phillips met Ronnie Newman. Later, Newman contacted her to recommend a church in the Seattle area to visit while he was in the region for a conference. Phillips suggested Vashon UMC and connected Newman to Walker, who shared the following about their visit.
“Ronnie was in Seattle for a conference and asked Jenny if he could visit a church using the 30% tax credit. He is trying to visit one non-profit in each of the 50 states. Jenny suggested Vashon UMC, and we scheduled a visit.
Newman rode the Water Taxi from downtown, and I picked him up at the ferry dock. We met (Vashon UMC) Pastor Pat Longstroth and Mary Walker at the church and gave him a tour, during which he learned about our recently completed solar + storage project and other ministries. It just so happened that the volunteers making sandwiches for partner organization Vashon Youth & Family Services’ summer lunches in the park program for kids were in our kitchen, creating a fun moment. Ronnie remarked, “This isn’t just church but church plus!”
Ronnie and I then spent an hour discussing the issues with the tax forms and how they are processed. He appreciated his visit and promised to stay in touch. I took him back to the Water Taxi in time for him to return to his conference.“
Moving forward with projects
Opportunities remain for churches and other non-profits to partner with and benefit from local, state, and federal initiatives related to green energy. In June, we shared the news of two PNW local churches (Edmonds and Federal Way) receiving climate-related grants to fund renewable energy projects and some of the support available. On Sunday, Edmonds UMC celebrated the completion of their solar project which will generate 100% of their annual electricity usage.
Last week, the Washington State Department of Commerce announced that it was awarding grants totaling $37 million to 46 clean energy projects. Methow Valley United Methodist Church in Twisp was among the recipients, with the state allocating $667,135 to support a new solar project paired with battery energy storage. Like the project in Vashon, this installation will power a community resilience hub, providing shelter during extreme heat and cold events.
While applying for grants can be daunting, United Methodist churches interested in exploring these possibilities are not alone. Leaders are working behind the scenes with government liaisons to ease the processes. Local folks like the ad-hoc PNW Solar Grant Support Group continue to monitor solar and green energy funding opportunities and can offer advice along the way. Churches in the PNW Conference with questions can contact Eric Walker at egwalker72@gmail.com.
For more information
To learn more about IRA funds and tax credits:
- Tax-Exempt Organizations – Elective Pay
- Clean Energy Tax Incentives: Elective Pay Eligible Tax Credits
- Clean Energy Tax Incentives for Individuals
You can learn more about Washington State climate-related programs at climate.wa.gov. Earth Ministry / Washington Interfaith Power & Light is also an excellent resource.
The Oregon-Idaho Conference is partnering with the Interfaith Solar Campaign to help congregations navigate solar opportunities in Oregon.
While there are no current state-level programs for non-profits to fund solar projects in Idaho, Federal programs still exist, and local municipalities and energy providers may have incentives to explore. There is an opportunity to receive project funding through the Mtn Sky Conference in partnership with the University of Colorado – Boulder. Click here for additional grant information and click here for information on the conference’s Creation Care Shepherds Program.
