Senate Bill 2772

AN ACT TO AMEND SECTION 27-31-104, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT PROPERTY THAT IS SUBJECT TO A FEE IN LIEU OF TAXES AGREEMENT SHALL CONTINUE UNDER AGREEMENT ONLY WHILE THE PROJECT DOES NOT DETERIORATE IN VALUE; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 27-31-104, Mississippi Code of 1972, is amended as follows:

27-31-104. County boards of supervisors and municipal authorities are hereby authorized and empowered to grant a fee in lieu of taxes, including taxes levied for school purposes, for projects totaling over One Hundred Million Dollars ($100,000,000.00). In addition to those new enterprises enumerated in Section 27-31-101, Mississippi Code of 1972, the term "projects," as used in this section, shall include a private company (as such term is defined in Section 57-61-5, Mississippi Code of 1972) having a minimum capital investment of One Hundred Million Dollars ($100,000,000.00).

The fee in lieu shall be negotiated by and given final approval by the Department of Economic Development.

The minimum sum allowable as a fee in lieu shall not be less than one-third (1/3) of the ad valorem levy, including ad valorem taxes for school district purposes, and the sum allowed shall be apportioned between the county or municipality, as appropriate, and the school districts in such amounts as may be determined by the county board of supervisors or municipal governing authority, as the case may be, however, from the sum allowed the apportionment to school districts shall not be less than the school districts' pro rata share based upon the proportion that the millage imposed for the school districts by the appropriate levying authority bears to the millage imposed by such levying authority for all other county or municipal purposes. The agreement shall be for a term of not more than ten (10) years.

It is the further intent of the Legislature that the project that is subject to a fee in lieu agreement should continue to benefit from the fee in lieu agreement during the term of the agreement only as long as the project maintains a true value on the tax rolls of at least One Hundred Million Dollars ($100,000,000.00).

SECTION 2. This act shall take effect and be in force from and after its passage.