The Harrison Hills City School District, as well as Harrison County and its villages and townships, will share $31 million over 15 years as a result of a donation agreement reached with the developer of a $1 billion power plant to be constructed in Cadiz.
An announcement of the agreement was made by Nick Homrighausen, Harrison County’s Executive Director of Community & Economic Development, on Tuesday evening.
The agreement is commonly called a PILOT agreement – Payment in Lieu Of Taxes – whereby the developer agrees to make contributions to local political subdivisions while receiving an exemption from paying property taxes on the plant. In this case, Harrison County provided a 15 year tax exemption as an incentive to attract this billion dollar investment into the county.
According to the agreement, payments are to be $2.5 million in each of the first two years, and then $2 million each in the third through 15th years. Construction of the plant is to begin this fall, beginning operation in 2021. Under that schedule, payments would also begin in 2021.
Of the $31 million, 45 percent – a total of almost $14 million – will go to the Harrison Hills City School District, which by law, agreed to the tax abatement.Continue the article by clicking here.
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