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Pastor Calvin Glass of the Lord of Lords Ministry in Detroit installed 26 solar panels at his church after discovering his neighborhood received an “F” grade for pollution. With the help of the Michigan Technical Assistance Center (TAC), he was able to secure over $13,000 in reimbursements from the IRS under the federal Inflation Reduction Act of 2022. TAC aims to assist other tax-exempt organizations in investing in renewable energy, helping them to lower their electric bills and receive a tax refund.
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Pastor’s Quest to Boost Detroit Church’s Energy Efficiency Serves as Beacon for Statewide Nonprofits
In Detroit, Pastor Calvin Glass of the Lord of Lords Ministry felt a strong need to address the environmental concerns plaguing his neighbourhood when it received an alarming “F” grade for pollution in a United States Environmental Protection Agency survey five years ago. Determined to take a stand, Glass began a journey of educating his community about environmental stewardship.
In a significant stride towards sustainability, the pastor installed 26 solar panels at his church two years ago, shifting all its energy needs to solar power. This move saw the Lord of Lords’ electricity bill drop from $300-$500 to a mere 86 cents to $5, according to Glass.
But the journey towards adopting clean energy wasn’t without its hurdles. Seeking to cover the cost of his solar investment, Glass turned to the Elective Pay provision under the federal Inflation Reduction Act of 2022. The provision allows tax-exempt organizations like his church to receive direct cash reimbursements from the IRS for clean energy investments.
However, securing the reimbursement proved challenging until Glass connected with the newly-launched Michigan Technical Assistance Center (TAC) in the Michigan Infrastructure Office. With TAC’s help, Glass managed to secure a refund of just over $13,000. This refund, Glass said, was a “breath of fresh air” for his small church in a disadvantaged community where even running regular programs had been challenging.
TAC: An Ally for Nonprofits in the Push for Renewable Energy
Established through an appropriations act in 2022, TAC aims to assist nonprofits, faith organizations, schools, municipalities, and other statewide entities that don’t typically file taxes, in investing in renewable energy and receiving tax refunds from the IRS. According to Kris Brady, the director of TAC, many of these organizations don’t know about the program because they don’t file taxes and don’t think it’s applicable to them. Therefore, TAC is reaching out across the state to inform these organizations about the program.
TAC launched its Elective Pay program at the beginning of 2025, conducting webinars and conferences across the state to promote the opportunity to invest in renewable energy, thereby saving on electricity bills and securing a refund.
However, recent legislation changes have impacted the Elective Pay program. The Federal Budget Reconciliation bill, recently passed, has introduced tighter deadlines for implementing renewable energy to receive refunds and scrapped some opportunities altogether. This has led to apprehension among organizations considering making investments, Brady noted.
In particular, the federal law has ended the tax credit for electric vehicle purchases after September 30. This change will affect school districts who have been contemplating investing in electric school buses, Brady warned. Even though the electric vehicle credit was among the smallest, it still holds an impact. On a positive note, popular initiatives in Michigan such as geothermal and battery storage projects are unaffected by the new federal law, said Cassie Rowlands, the Elective Pay Program Manager for TAC.
The Road Ahead for Organizations Looking to Invest in Renewable Energy
In light of the legislative changes, TAC is working to inform their clients and potential clients about the varying timelines and regulations. Brady strongly advises organizations considering investment in renewable energy to act “the sooner the better”. For those interested, TAC’s Elective Pay website offers information on the eligibility criteria for tax refunds and details on how to initiate the refund process.
The beneficial impacts of investing in renewable energy go beyond the environment. For instance, the Lord of Lords Ministry used the money saved from electricity bills and the $13,000 tax refund towards purchasing two vacant buildings nearby, which they plan to make energy-efficient. Glass strongly encourages other nonprofits to utilize TAC and Elective Pay.
In another success story, the Humane Society of Huron Valley in Ann Arbor installed 474 solar panels on their buildings in 2022 and secured a $100,000 tax refund from the IRS. This has led to savings of nearly $30,000 in energy costs per year, which is projected to add up to $850,000 in 25 years. These savings have freed up funds for paying veterinarians and taking care of animals.
TAC is striving to get the word out about these opportunities, hoping that other eligible organizations will follow in these footsteps. “If you do clean energy work, we want to help you get the money that you should get back,” Brady stated.
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