Funds set aside for incentives

The Columbia County Commission recently set aside $2 million for economic incentives.

Transferred from excess funds in the county's landfill budget, the money could be used to pay for infrastructure improvements for industries and businesses considering the county for a new factory, retail outlet or office.

"Maybe they needed $200,000 for some sewer improvements," explained county Deputy Administrator Scott Johnson. "What we would do is look at all their numbers and ask, 'What would the benefit to the county be?' "

To better assess potential benefits, county officials developed an instrument to gauge rewards vs. expense.

Mr. Johnson said a new store projected to generate $500,000 in sales tax revenue and $100,000 in property taxes in its first year could be worth a $200,000 infrastructure investment.

Other factors include job creation, potential increase in area wages and the community value added.

Incentive packages could also include tax abatements, a waiver of certain development fees, and economic grants.

"If you're going to do economic incentives, you have to be able to fund them," Mr. Johnson said.

Reach Donnie Fetter at (706) 868-1222, ext. 115, or donnie.fetter@augustachronicle.com.