Stockbridge officials presented their tax allocation district to county officials at the May 2 board meeting. The city’s plan seeks to encourage downtown development, such as new apartments and commercial space.
For the tax allocation district to be effective, the county must join on. The city is asking Henry County to commit up to 30 years in future tax collections.
Stockbridge Tax District
The Stockbridge council adopted their tax allocation district (TAD) before the end of 2022. The next steps are to seek county approval for it. This includes both county commissioners and the school board. The city manager, mayor and their consultant presented the plan to the board of commissioners on May 2. A previous called meeting in April to discuss the plan didn’t happen after city officials didn’t show.
Commissioners did not appear to be in any rush to sign away up to thirty years of tax collections. Questions from board members focused on when Stockbridge will enact a property tax — the city does not presently levy one — and the proposed development the TAD would bring. Next steps between the county and city are to further negotiations, such as the terms of a possible agreement. The agreement would govern how the city could use county tax collections, if Stockbridge can win over the commissioners to sign off on it.
The city must also seek similar approval from Henry County Schools. City staff have not presented to the school board at this time.
If the city gains county approval, then the proposed TAD is intended to spur development in the downtown district. The plan identified five primary location where new housing could build. The first location Stockbridge is looking to partner with a private developer is across the street from city hall. The city owns three acres between city hall and the railroad.
Other locations are along North Henry Blvd and the proposed Rock Quarry Road extension.
What is a TAD?
The proposed tax allocation district would be the first within Henry County. The TAD is a financial mechanism which allows future growth in tax collections following new development to pay for infrastructure improvements now. An example could be if an area is undeveloped due to a lack of sewer service or internet connectivity. The TAD could pay for that infrastructure then accept future repayments following new construction. They are also used to spur redevelopment in blighted areas.
Stockbridge proposes to bond up to $30 million if they gain county approval for its TAD. They would then give up to 40% of this in direct economic incentives to private developers. Other funds could go to road improvements, park space, assistance with building parking decks and / or housing rehab. The full plan is on the city website (PDF link – 70 pages).
Featured image shows possible development sites in the Stockbridge downtown area. Stockbridge photo.
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