Table 11 is used to compare all tax strategies on a consistent basis. If a county were to dramatically increase its tax capacity then it is likely that it would be given a reduced allocation of school tax equalization funds. In Lake Benton, where the school district represents a very significant proportion of the overall taxing districts, this re-allocation could reduce the net financial benefit of wind farm development under almost all of the scenarios presented here. It is unclear whether school funds would be affected by revenues generated from a flat payment. The legislature would have to clarify how flat payment revenues would be allocated.
Many possibilities exist.
For example, in the 1970s the legislature enacted a statute that distributed taxes on transmission lines half to the general revenue fund of the county and 40 percent to the general school fund of the county. Minnesota Statutes 1994. This kind of distribution formula would change the present situation where a single school district reaps the vast majority of the benefits from power plants.