In this week’s Rome-Floyd County Joint Services Committee meeting Floyd Commissioner Irwin Bagwell questioned the proposed tax break offered to Duke Hospitality for its proposed Courtyard by Marriott Hotel on West Third Street.
The property is located in a Tax Allocation District, meaning taxes increases due to development may be redirected over a period of time. For the hotel, officials said that the project would not be financially doable without a 12 year tax break. The break would result in close to $2.5 million in TAD assistance.
Bagwell is quoted to say that he is concerned that the time period had gone from a 5 year span to now a decade or more. He added that the Floyd County Commission would need to re-evaluate the ‘economic benefits’ and see if the county still wishes to participate.
If approved, the TAD cut would cost the county close to $56,000 a year in taxes.
Sammy Rich said that the TAD financing is much like tax abatements given to new or expanding industries. He added that with the creation of the motel, Rome/Floyd County would not only have close to 30 new jobs, but the it would also see a boost in hotel/motel and sales taxes.
The Rome Redevelopment Agency is set to meet the around December 14 to formalize a TAD agreement. It will have to be approved by both the city and county commissions.
City officials said last month that they would withdraw TAD financing if there is no movement on construction by the end of this January.
The Committee also discussed a new $25,000 public dog park that would be funded by money set aside from the 2013 SPLOST. The city of Rome is offering a 10-acre site at East Fourth Street and East First Avenue.