The Shelby County Commission (SCC) today (11.19.18) passed a resolution 9-2 approving the Economic Impact Plan for the Lakeland Commons Development at U.S. Highway 70 and Seed Tick Road.
The approval follows unanimous approval by the Lakeland IDB (Industrial Development Board) and Lakeland (BOC) Board of Commissioners a week ago (11.12.18) of the $5.4 million in TIF revenue for the $48.9 million planned development with no cost to the City of Lakeland.
Link to story about the TIF and development: https://lakelandcurrents.com/tif-financing-approved-for-lakeland-commons-with-no-cost-to-city/
Shelby County Commissioner Mick Wright said the resolution was approved 9-2 with Commissioners Amber Mills and Eddie S. Jones, Jr. voting against. Two abstained for conflicts of interest: Tami Sawyer and David Bradford. “I’m looking forward to this project beginning early next year, followed by 700+ jobs and $60+ million in economic activity,” said Commissioner Wright.
Shane Horne, Lakeland city planner, today said the next step is for loan documents to be drawn up. “The IDB would reconvene most likely for a special meeting in December to review and consider. The developer will need to submit a Land Disturbance Permit that will need staff and MPC review.”
Simmons Bank, which will service the loan for the developer, emphasized both to the SCC and both Lakeland boards there will be no expense to Lakeland or its citizens.
Al Bright, IDB attorney, said last week there is no debt being assigned to the City. “There is no debt being assumed by the City,” said Mr. Bright. “There is no pledge by the IDB, City or Shelby County. It is all on the developer. The developer owns the parcel and he’s asking for approval of the economic development plan.”
The project is time-sensitive, according to bank officials, because it has loan approval through the end of 2018. After that, the process must start anew and possibly not be approved. If the project is re-started, pricing goes up and approval might not be granted.
The resolution was sponsored by Commissioner Wright who represents District 3 which includes Lakeland.
Mayor-elect Cunningham and Commissioner-elect Richard Gonzales both spoke to SC Commissioners, asking for a two-week delay on approving the TIF funding.
Other citizens stood before Commissioners asking for a two-week delay until Mr. Cunningham and Mr. Gonzales can be sworn in Dec. 6th. They included Judy Payne, DeeDee Tipler, Martha Higdon and David Abbott.
One of the County Commissioners noted that two weeks would be Dec. 3rd and not Dec. 6th.
Commissioner Wright said he would be more than happy to consider a delay on the TIF under ordinary circumstances, but added that he does not believe this is a normal circumstance. He pointed out there is a Dec. 31 deadline on the loan approval for the Lakeland Commons project and that other work must be done between now and then to close the loan. “I’d hate to kill this by delay.” He added he forwarded documents to Mayor-elect Mike Cunningham that were furnished to the County Commission several weeks ago, but did not hear back from him.
Mr. Cunningham, in response to a question from another commissioner on whether he has reviewed the documents on the TIF, said he has been out of town and has not been able to review the documents.
The theme of the delay requests seemed to center on financial concerns which might impact the City of Lakeland and its citizens and the belief there has been a lack of transparency and a rushed consideration on the TIF.
Several commissioners said they did not believe those speaking in opposition to the TIF had a full understanding of how TIFs work.
Commissioner Edmund Ford, Jr. thanked those who had sent him messages regarding the Lakeland Commons TIF. He said he had talked to the banker on the project and heard his concerns about timing being critical on the TIF. He asked Mr. Cunningham if he thought those concerns about time sensitivity were true.
Mr. Cunningham said, “I have to take that at face value.” He said he needed to review the documents, discuss the matter with the Lakeland City attorney and satisfy himself that he and Mr. Gonzales understand the matter. “We will make a decision on Dec. 6 on whether to move forward. There has been no transparency in Lakeland and this didn’t pass the smell test.”
Michele Dial, who is awaiting final disposition of provisional ballots in the Nov. 6 election, but currently holds the lead for the second commissioner spot with 13 votes, also spoke to the County Commissioners. She explained there is a misunderstanding about the TIF revenues and a perceived financial burden on the City.
“The City does not take on the debt, the developer does that.” Mrs. Dial said the new administration in Lakeland will have the opportunity to steer the project along as it comes back for approval of detailed plans. She said opponents have gotten all of the documents on the project that they asked for.
The SCEC (Shelby County Election Commission) said it began counting the provisionals today and says results will not be available until Nov. 21st at the earliest. According to state law, the results of the election must be certified by the Shelby County Election Commission by the third Monday after an election, which is Nov. 26 this year.
On the drawing board since 2015, the project is expected to start construction in spring 2019 and open a year later with restaurants, office space, boutique retail and multi-family residential.
Anticipated impact from the project to the community:
- $6.9 million in new property tax
- $1.05 million in sales and local tax
- 736 new jobs
- $30.7 million in new wages
- $63.3 million economic impact
The SCC meeting was livestreamed and Commissioners moved the Lakeland Commons resolution up on the agenda to accommodate those wishing to speak and not stay for the entire Commission meeting.
