City Commission Considering Tax Incentive Program for Publix Developer
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Updated: 9:07 PM Jun 16, 2009
City Commission Considering Tax Incentive Program for Publix Developer
The developer, Aranov, discovered that the site for one of the new Publix stores at Highway 53 and Ross Clark Circle is contaminated and must be cleaned up.
Posted: 7:53 PM Jun 16, 2009
Reporter: Lisa Blackwell
Email Address: lisa@wtvy.com
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The developer, Aranov, discovered that the site for one of the new Publix stores at Highway 53 and Ross Clark Circle is contaminated and must be cleaned up.

It's a vacant lot with a past. The Cottonwood corners site at Ross Clark Circle and Highway 53 was once industrial property and has traces of contamination to show for it.

Developers are looking for tax relief under the Alabama 2004 Brownfield tax abatement act. Under the act, they will save $63,000 annually over 20 years in city county and state taxes.

Matt Parker, president of Dothan Chamber of Commerce, says “The thing with this investment is if we get a $16 million investment in there, we're going to realize about $41,000 a year in property tax paid, where right now were at about $2300 a year so even with the abatements that's a significant amount of money.’

This isn't the first time Dothan has approved an application under the Brownfield act. The site of the new Slocomb National Bank was contaminated and had to be cleaned up that developer sought tax relief to help pay for the cost of cleanup. Also under this act, the developer would not have to pay sales tax for construction materials.

Parker said, “It's a good program because it's self controlled, it's audited by the department of revenue to make sure that all the taxes are supposed to be paid are paid and those that are exempted are exempt.”

Officials say once the complex is complete; it will be a win win for the residents of Dothan.

District 3 City Commissioner Paul Lee said, “It will be generating sales tax for the city of Dothan, we also will have it as a customer for utilities, a customer for us from now on and also it's the privilege and opportunity for everyone living there for there convenience.”

City officials say Dothan is the only city in Alabama to take advantage of the Brownfield act. Commissioners will vote on the approval at the next meeting on Wednesday, June 24th.

Officials are expecting construction at this site to be complete by May of 2010.

Officials say zoning and planning for the other Publix site on Highway 84 west is complete and they're now working on a tenant base. That project is expected to be complete by the summer of 2010.


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