By Bill Short
The Millington Board of Mayor and Aldermen has unanimously approved an amendment to the Economic Impact Plan for the proposed Millington Farms Mixed-Use Planned Development.
Board members took the action during their Aug. 9 regular monthly meeting on a motion offered by Alderman Jon Crisp and seconded by Alderman Don Lowry.
The Millington Industrial Development Board previously submitted an EIP regarding the development of 103.74 acres east of the Shoppes of Millington Farms and Lowe’s Home Improvement Warehouse. It will include retail, office and hotel components, as well as multi-family housing facilities.
At its Aug. 2 meeting, the IDB conducted a public hearing regarding the amendment and provided the Board of Mayor and Aldermen a summary of the comments received.
A resolution adopted by the city board states that, pursuant to Chapter 53, Title 7 of the Tennessee Code Annotated, the amended EIP will permit certain Tax Increment Financing to be provided through the IDB’s issuance of bonds, notes and other obligations.
The resolution states that the proceeds of the TIF will be used to pay the costs of eligible public improvements related to the project development.
Under the EIP, the incremental property tax revenues that result from the development will be allocated to the IDB to pay debt service of the TIF.
The IDB will issue the TIF to a lender or lenders to finance the TIF eligible costs. And it will pledge the TIF revenues to the lender(s) to apply to the debt service on the TIF.
The resolution states that the TIF will not “represent or constitute” a debt or pledge of the “faith and credit” or the taxing power of the IDB, the city or Shelby County.
During discussion shortly before the vote, then-City Finance Director John Trusty said the developers “basically” had a new EIP evaluated and proposed, which will allow the project to proceed.
“The impact of this is that we will still receive all the dollars of the tax rate that goes to fund our debt service, as we did in the past,” he noted. “Beyond that, it’s changing some of the internal financing of the rest of the dollars that comes from the increment caused by the project.”
Trusty said the amended EIP would have to be submitted to the County Commission for approval.
The Board of Mayor and Aldermen approved the original EIP at its March 2020 meeting, along with an Outline Plan for the MUPD, which shows how the development will occur and where everything will be located.
Charles Goforth, planning consultant for the city, has said the Outline Plan includes a Site Plan and a Phasing Plan, as well as plans for landscaping, grading, drainage, utilities and the conditions stating what uses and densities will be permitted.
Phases 1 and 2 will consist of apartment units, and Phases 3-5 will be General Commercial uses.
Phase 6 will be a senior care facility, and Phases 7-12 are uses permitted “by right” in B-2, General Commercial, zoning.
Phase 13 will be for open space and stormwater detention.