Hartsville/Trousdale County Approves Incentive Program
Apr 1 2022
The Trousdale County Commission adopted a set of procedures for a new payment in lieu of taxes (PILOT) policies, during its regular-scheduled meeting on Monday evening.
It passed unanimously.
The move delegates to the Trousdale County Industrial Development Board the authority to negotiate terms with potential corporate suitors for development in the county. It gives the board the discretion and authority to accept the agreement so long as “any such action by the board is deemed to be in furtherance of the it’s public purpose” of promoting economic development in Trousdale County.
“I feel like it is an essential tool to lure manufacturing and industrial business to our community that will produce job prosperity for our citizens,” said Bryan King, chairman of the industrial development board. “Without this sort of tool we are at a great disadvantage to our neighbors who have PILOTs at their disposal.
“This move will make us more competitive with companies who are looking at locating in the Trousdale County area.”
Commission Chairman Dwight Jewell indicated that the measure had been vetted by the steering committee as well as the budget committee.
“I appreciate everyone’s hard work on putting this together,” Jewell said at the meeting.
The property tax incentive program was established so that Trousdale County could consider and evaluate economic and business development opportunities on a case-by-case basis. There is no obligation to grant tax exemption for any applicant.
The board will apply multiple principles as guidelines for application evaluation when considering the PILOT program. Those principles are public interest and an increase in available employment opportunities
Part of that consideration concerns the sheer number of new jobs created as a result of the project, as well as consideration on the quality of those jobs, specifically how well it pays employees. Capital investment from the development, such as land, buildings and equipment is also considered.
The approved document outlines eligible projects for property tax incentives. Those include “industrial projects constructed to manufacture, assemble, process, fabricate and distribute agriculture, mining or manufactured products (and) distribution facilities constructed to receive and forward final goods.”
As a result of the passage, any other resolutions or actions previously taken by the county commission that conflict with those provisions are repealed.
Each lease agreement reached through the PILOT program will contain certain commitments relating to job creation, wage levels and capital investment. The closing fee for the incentive transaction is $500 but includes an additional 0.0005% of the total incentive.