The Commercial Appeal

How Ford funds will be divided

Most of $269M total will go to Haywood County

- Omer Yusuf

The Megasite Authority of West Tennessee board of directors voted Thursday to distribute $269 million in future payment-in-lieu-of-taxes incentives to local industrial boards as part of Ford Motor Co.’s Blueoval City $5.6 billion project in Haywood County.

Ford and joint venture partner SK On plan to create 5,800 jobs through the Electric Vehicle Center and Blueoval SK battery plants in Stanton, about 40 miles northeast of Memphis. Production

is expected to begin in 2025.

Recipients of the future PILOT funds generated from the 30-year agreement include the Industrial Developmen­t Board of Brownsvill­e and Haywood County, Fayette County Industrial Developmen­t Board and a future regional wastewater board.

The state Economic and Community Developmen­t team previously negotiated the PILOT agreement between Ford and SK On.

Here’s a breakdown of what each entity will receive.

$213 million in PILOT funds to Haywood County

With 2,973 acres — or 94% — of the Blueoval City site located in Haywood

County, that meant the county would receive the largest prorated share of future PILOT funds.

The Megasite Authority voted to distribute the $213 million in PILOT funds over 30 years to the county’s Industrial Developmen­t Board, which will decide how to spend the money at a later date.

$16 million in PILOT funds to Fayette County

The remaining 206 acres of the Blueoval City campus — or 6% — is located in Fayette County. Fayette is the only other county apart from Haywood that will directly receive PILOT funds.

The Fayette County Industrial Devel

opment Board will also decide how to allocate the $16 million in PILOT funds over the next 30 years in the future.

$40M for future regional wastewater board

Beginning in the PILOT’S 10th year, the Megasite Authority voted to reduce the amount Haywood’s and Fayette’s industrial developmen­t boards receive each year by a combined $2 million. That $40 million allocated over years 11 through 30 of the PILOT will go toward a future regional wastewater board.

The $40 million will be distribute­d by the future regional wastewater board to address infrastruc­ture and wastewater issues in West Tennessee.

It’s a concern some local elected officials feel needs to be addressed to fully capitalize off Blueoval City’s long-term impact.

Omer Yusuf covers the Ford project in Haywood County, residentia­l real estate and tourism for The Commercial Appeal. He can be reached via email Omer.yusuf@commercial­appeal.com or followed on Twitter @Omerayusuf.

 ?? PROVIDED BY FORD ?? Structural steel is erected less than one year after Ford and SK On announced their $5.6 billion investment to build a revolution­ary all-new electric truck and advanced batteries for future Ford and Lincoln vehicles in West Tennessee.
PROVIDED BY FORD Structural steel is erected less than one year after Ford and SK On announced their $5.6 billion investment to build a revolution­ary all-new electric truck and advanced batteries for future Ford and Lincoln vehicles in West Tennessee.

Newspapers in English

Newspapers from United States