Income taxes:

12 Months Ended

Dec. 31, 2011

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

Note 10 — Income taxes:

A reconciliation of federal statutory income tax provision to the Company’s actual provision for the years ended December 31, 2011 and 2010, respectively, are as follows:

	2011			2010
Benefit at federal statutory tax rate	$	(1,420,000	)	$	(649,000	)
Unbenefited operating losses		1,420,000			649,000
Provision for state income taxes		-			14,730
Income tax provision	$	-		$	14,730

The components of net deferred tax assets recognized in the accompanying balance sheets at December 31, 2011 and 2010, respectively, are as follows:

	2011			2010
Net operating loss carryforwards	$	7,248,000		$	5,896,090
Accrued expenses and other		703,000			316,000
Depreciation		(1,071,000	)		(1,257,000	)
		6,880,000			4,955,090
Valuation allowance		(6,880,000	)		(4,955,090	)
Net deferred tax asset	$	-		$	-

As of December 2011, the Company has federal and state loss carryforwards of approximately $19,038,000 and $14,801,000, respectively, which may be used to offset future federal and state taxable income, expiring at various dates through 2031. Included in these net operating losses is $1,022,000 of excess stock compensation deductions, related to the amount of tax deductions on restricted stock, in excess of book compensation expense. Management has determined that it is more likely than not that the Company will not recognize the benefits of the federal and state deferred tax assets and as a result has recorded a valuation allowance against the entire net deferred tax asset. If the Company should generate sustained future taxable income, against which these tax attributes may be recognized, some portion or all of the valuation allowance would be reversed.

The Company adopted accounting for uncertain tax positions effective January 1, 2007. The adoption of this statement had no effect on the Company’s financial position. The Company has no uncertain tax positions as of either the date of the adoption, or as of December 31, 2011.

In 2011, the Company received $189,000 in grant awards from the US Treasury Department, or Treasury, under 1603 of the 2009 American Recovery and Reinvestment Act, or the Act. The Act authorizes the treasury to make payments to eligible persons who place in service qualifying renewable energy property. The grants are paid in lieu of investment tax credits. All of the proceeds from the grants were used and recorded as a reduction in the cost basis of the applicable project assets. If the Company disposes of the property, or the property ceases to qualify as specified energy property within five years from the date the property was placed in service, then the prorated portion of the Section 1603 payments must be repaid. For tax purposes, the section 1603 payments are not included in federal and certain state taxable income and the basis of the property is reduced by 50% of the payment received.