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State Legislature may require notice about local tax incentive deals BY DYANA BAGBY dyanabagby@reporternewspapers.net
The role municipal and county development authorities play in handing out tax incentives to corporations and how they can work together is expected to be reviewed in the General Assembly in the upcoming session. State Sen. Elena Parent (D-Atlanta), whose district includes Brookhaven, said she is considering proposing legislation to promote discussions on how the various development authorities communicate.
We don’t want a sideshow of county versus city. I have talked with the schools and the county. Good governments do this to have good institutional relationships. That’s what people expect so governments can work. BROOKHAVEN CITY MANAGER CHRISTIAN SIGMAN
“We do have a problem with jurisdictions coming out ahead by raiding other [jurisdictions],” she said. In June, the city of Brookhaven granted a $36 million tax abatement to the At-
lanta Hawks for its state-of-the-art training center now under construction in Executive Park. The type of abatement from Brookhaven is a payment in lieu of taxes, known as a PILOT fee. The Hawks are paying the city’s Development Authority $302,900 a year for 15 years in exchange for the abatement and EMORY HEALTHCARE The city of Brookhaven in April approved a $36 million tax abatement for the Atlanta Hawks to build a state-of-thethe end result is art practice facility in Executive Park. The facility is a partnership between the Hawks and Emory Healthcare. the county and the DeKalb School Disently did not factor in the cost of city serlicly voicing their concerns that the detrict are out milvices. velopers for the Brookhaven/Oglethorpe lions of dollars of property taxes during Mayor John Ernst said in July that MARTA mixed-use development project that time. disagreements with the county over the are intending to seek tax incentives from DeKalb Commissioner Jeff Rader in Brookhaven deal would likely have to be the city’s development authority and say July sponsored a resolution passed by brought up by the state Legislature. And they want to bring the county and school the Board of Commissioners “to oppose that is where Rader and the Board of district into the conversation. However, city development authority tax abateCommissioners have taken their case. rezoning for the project has not yet been ment transactions without all developRader said he is working with Parent approved and no official request from ment authorities agreeing to be bound on possible legislation that would require MARTA has been made to the city. by a consolidated, consistent and equicity and county development authorities Brookhaven City Manager Christian table abatement policy.” The resolution to talk to each other before abatements Sigman downplayed any conflicts bespecifically denounced the annual payare approved. Parent said she is specifitween the Decide DeKalb Development ments to the Brookhaven Development cally concerned about the school system Authority and the city. He said the city Authority. losing tax money in such deals. has a good working relationship with In 2015, the Decide DeKalb Develop“What we’re looking to do is put in the county development authority and ment Authority surprised Brookhaven place not a veto authority, but to open up school district. officials by granting tax abatements to conversations with the school system be“We don’t want a sideshow of county Source One Direct at 1500 Northeast Excause their interests should be representversus city,” he said. pressway and also an office tower going ed,” she said. “Right now, they have no “I have talked with the schools and up at 4004 Perimeter Summit Parkway. say and the deals are taking away monthe county. Good governments do this The city part of the tax breaks totals ey from them.” to have good institutional relationships. $537,000 and, while the developments in Brookhaven Councilmembers Joe That’s what people expect so governtheory will boost city coffers more than Gebbia and Bates Mattison are also pubments can work.” that, the abatement calculation appar-
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