OT: Continental Tire Plant

Hoover Dawg

Redshirt
May 16, 2016
1,584
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Clarion Ledger article. They make mention of $230 million in tax incentives. Can anyone explain where this comes from? From my vantage point, the land wasn't generating hardly any tax revenue by sitting vacant. So where is the huge loss that is coming from the 'taxpayers'?? It's perceived revenue, not actual revenue. Considering that, there is no way this can be anything but a huge net plus for the state and Jackson metro particularly. Then the article has an undertone that CT has ONLY spent $230,000 in Mississippi. So short sighting, that will multiply 7xs over in terms of the money already spent, and money to be spent on those same items in the future (hotel, restaurants, etc.).

This is somewhat a rant against people who are anti-this sort of thing, fresh off the Joe Max Higgins topic a few weeks ago. It's not like we are robbing Peter to pay Paul either, at least not domestically. These companies are coming from overseas.
 

johnson86-1

All-American
Aug 22, 2012
15,271
5,807
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Clarion Ledger article. They make mention of $230 million in tax incentives. Can anyone explain where this comes from? From my vantage point, the land wasn't generating hardly any tax revenue by sitting vacant. So where is the huge loss that is coming from the 'taxpayers'?? It's perceived revenue, not actual revenue. Considering that, there is no way this can be anything but a huge net plus for the state and Jackson metro particularly. Then the article has an undertone that CT has ONLY spent $230,000 in Mississippi. So short sighting, that will multiply 7xs over in terms of the money already spent, and money to be spent on those same items in the future (hotel, restaurants, etc.).

This is somewhat a rant against people who are anti-this sort of thing, fresh off the Joe Max Higgins topic a few weeks ago. It's not like we are robbing Peter to pay Paul either, at least not domestically. These companies are coming from overseas.

There is a huge difference in how you structure the incentives. Smart incentive plans basically offer a reduction in future taxes paid and minimize the actual upfront costs incurred and risks borne by the State/county/municipality. No clue about the Continental Tire Package, but I understand why people get concerned if they don't know what it is. $230M in future ad valorem tax exemptions is a lot different from guaranteeing a $230M bond issuance.
 
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