Supes sign onto Costco TIF
Madison County has signed onto the Renaissance Phase III Tax Increment Financing as Ridgeland officials await a report from developers to start issuing bond monies.
Ridgeland Alderman-at-Large D.I. Smith said he expects officials to start issuing bonds soon on the Renaissance Phase III TIF as soon as the developers are ready to present their first year of tax information.
“It will be in the near future,” Smith said. “It is in the developer's court and I do not know when they will try to convince us that they have the sales tax receipts to go ahead.”
Smith said they could hear from the developers as early as the next meeting on May 4, but that it could be as far away as the opening of a Chick-fil-a set for the development between the fuel center and the Wendys.
An interlocal agreement between the county and city approved at the April 20 meeting of the Ridgeland Mayor and Board of Aldermen means the county will divert tax money to the TIF. The county’s contributions will exclude ad valorem taxes collected on the Costco building anchoring the development. Bonds can be issued up to $12.5 million.
A TIF is a creative financing mechanism that diverts a portion of sales and property taxes generated by a development to debt service. The money will be invested in the area’s infrastructure.
The Renaissance Phase III TIF was approved in December 2016 by the board with Butler Snow as bond counsel, Jerry Mills as counsel to the city and Government Consultants Inc., as the municipal advisors.
In December 2020 the area eligible for TIF money was expanded to include the 9 acres across the street from the Costco known as Renaissance Phase IV that currently includes a fuel center, Wendys and the site of the future Chick-fil-a.
Construction has already started on the Chick-fil-a after the site plan and architectural review were approved in April of this year.