JDA approves tax break for Chico’s

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Friday, July 29. 2011

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The Joint Development Authority of Winder-Barrow County on Wednesday morning approved a new tax break for Chico’s Distribution Services LLC.

The vote means the company will not pay the full amount of personal property taxes on its new $10 million in data center equipment for seven years.

Based on a 2001 tax agreement between the county and the JDA, the company this year will pay five percent of the $40,000-50,000 in taxes that would be due if there were no abatement.

The amount of the abatement will gradually decline over the next six years until the company in the seventh year pays the full tax obligation.

For the company to be eligible for the tax break, the JDA technically owns the equipment and is leasing it to the company. While the tax break will cost the county government hundreds of thousands of dollars in potential tax revenues over the next seven years, it was one of the major incentives used to convince the Florida-based company to make the additional investment in Barrow County.

The authority previously approved the issuance of $10 million in revenue bonds to help the company obtain lower-cost financing for the equipment.

Four members of the JDA attended Wednesday’s meeting. Voting in favor of the tax abatement were Barrow County Commission Chairman Danny Yearwood, Winder Mayor Chip Thompson, Winder businessman Tommy Sanders and JDA chairman David Smith.

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#1 Anonymous on 07/29/11 at 06:48 AM [Reply]

How can they justify this? The citizens of Barrow have just been put on notice that THEY will be getting a tax INCREASE and yet a company that bring in 10 (YES JUST TEN) new jobs gets a HUGE tax break.

If Chico's were bring in 100 jobs then yes maybe, but 10!!!! And you announce this right after telling me my taxes ARE GOING UP?????

So they pay $2,000 - $2,500 instead of $40,000 - $50,000.

#1.1 Check again on 07/29/11 at 08:09 AM [Reply]

Where did you see 10 jobs would be created???

When this was announced several months ago an article in the Athens Banner Herald quoted an executive with Chico's saying there would be NO local hiring for this data center.

This is just like the abatement they did for the empty building near I-85 several years ago. No jobs and no investment with that one, they just took a $12 million dollar property off the tax rolls for a developer.

Barrow citizens need to wake up and look at these tax give away progams!

#1.1.1 In the Know on 07/29/11 at 08:35 AM [Reply]

They call these a tax abatement to fool the average citizen about what is really happening.

This is a tax shift...Chico's pays less and every property owner pays more in order to make up for the "tax break" given to Chico's.

The JDA needs to explain the Chico's history of tax breaks. When they first moved here they got a 7 year tax abatement. Seven years later when it ran out they got another 7 year tax abatement, and now they get another tax abatement????

Exactly when is Chico's going to pay taxes like the rest of us property owners here in Barrow County?

BTW they needed to locate this data center (large coumputer) outside of a hurricane prone area. The JDA says they were competing with a Florida location for this project(Chico's headquarters obviously).

Hmmm...did it really cost over $200,000 in property tax give aways to convince them we do not have hurricanes in Barrow County.

Sorry none of this passes the smell test!

#1.1.2 Anonymous on 07/29/11 at 04:39 PM [Reply]

My bad - hubby corrected me, it was 10 REMOTE jobs dialing into the Barrow County Center. More high paying jobs shipped off shore at the expense of tax paying Americans

#2 Jess on 07/29/11 at 08:27 AM [Reply]

This county can't afford to buy textbooks for all of the students but they are cutting taxes for a business? Maybe I should employ a few people around my house, would they give me a tax break if I did?

On the other hand, is this some sort of lure to get other business interested in Barrow? I don't think that is a wise financial decision. It sounds like we're saying 'Hey, come to Barrow and open a business. We will give you a huge tax break if you hire a couple of locals.'

#3 Now wait a minute on 07/29/11 at 08:41 AM [Reply]

Chico's gives big money to the EDC and Chamber every year. Of course they should get a huge break on property taxes. It all makes sense now.

The JDA gives away our property tax dollars so the Chamber and EDC can collect their money from Chico's

Just need to connect the dots...and follow the money $$$

#4 Dorothy on 07/29/11 at 08:50 AM [Reply]

Time for every member of this JDA to GO!

We need to replace them with people that will be good stewards of our tax dollars!

#5 Anonymous on 07/29/11 at 09:44 AM [Reply]

IF this was Chico's FIRST entrance into Barrow County AND they could point to bringing in a large number of jobs; then yes the tax break would be justified. Given that they have been in the county for some time, they don't deserve this special treatment.

Perhaps I could be supportive of a modest 10% reduction for one or two years, but only if it brought in more jobs than its costing in tax breaks.

Another example of local politicians giving their citizens a raw deal and handing them the bill for their pet deals.

#6 Fortitude on 07/29/11 at 10:53 AM [Reply]

Good ol' boys at work again. If you citizens do not wake up and vote new members in that have not lived here for more than 15yrs, you will get the same results

#6.1 Beth on 07/29/11 at 01:02 PM [Reply]

NO MORE GOOD OLE BOYS!!!!!! Elect only those that are NOT from this county, and that did NOT receive a "Barra County Education"

#6.1.1 Pop Eye on 07/29/11 at 01:07 PM [Reply]

Dream on, interloper! If you don't like Barrow natives running things, go back whence you came. Your mindless hatred is as unattractive as Olive Oyl.

#6.1.1.1 Fortitude on 07/29/11 at 01:21 PM [Reply]

The sad thing is most of us moved here for this reason, cheaper land, no big city rush and the community spirit. This began to change after the "big rush" development and our leaders began to get greedy. If you want to stay in the old times, where the education is sub par, high degree of low income while your taxes go up, go ahead. If you "old boys" didnt screw up our land value, we might be able to move out, but since we're stuck, might as well try and change it for the better. Most you "old folk" are on your death bed anyway, so why not let us that can take care of the Barrow aka "Barra" for generations to come

#6.1.1.1.1 Been Here Years on 07/29/11 at 02:49 PM [Reply]

What have you been smokin', This isn't "New" there is not this great "NEW" Greed, there has been Greedy Leaders that have been holding Barrow & Winder back for Decades. Service First then Personal Profit? HA HA... Many Leaders of the Past (I mean long before the boom) were the Business Owners in Winder (there wasn't anything in the rest of the County then) and they would work to KEEP THE OUTSIDE BUSINESS OUT, because they saw it as protecting their own businesses against competition... That passed and we THEN we started this Massive Growth, now the Newer Current Leaders and descendents of those before are trying to profit off of every square inch, all about their MONEY and again not SERVING the People. There ARE GOOD NATIVE PEOPLE who would fill those spots, it's just SO Hard to Beat the Money People for the Spots, Those who are about SERVING YOU haven’t spent every waking moment profiting off of you. I SAY ELECT SOMEONE WHO IS FROM BARROW, LOVES BARROW, WILL PROTECT BARROW and It's People AND IS NOT OUT TO PROFIT BUT SERVE.

For that person to get elected, YOU would have to BACK THEM, Contribute, AND Campaign for them....(You would have to HELP, DO some Work) OR, OR You will get what you always got before and complain about now, a Profiteer who Has Money to make more with and maybe take your call once in awhile...

#6.1.1.1.1.1 Bobby Jo on 07/30/11 at 01:39 PM [Reply]

We have had your local boys in charge for years ... and look where that has got us.

#6.1.1.1.2 Croesus on 07/30/11 at 07:17 AM [Reply]

Gotta love the self-professed "smart" people like this character and Beth, who admit they are "stuck" here (meaning head over heels in debt) while a dumb ol' Barrow native like myself owns home, land, cars & cash and is 100% debt free. Yet "brains" like the above want to "improve" things. You are deluded if you believe that folks like myself are on our "death bed" and/or work at McDonald's. BTW, I wouldn't even sell any of my acreage to dopes like you; I don't need the money.

#6.1.1.1.2.1 George on 07/30/11 at 06:41 PM [Reply]

Croesus,not hard to have your trailer paid for is it? Talk is cheap. I don't believe you one bit. When people have to brag ... they usually are insecure and don't have what they say. I doubt you are any different.

#6.1.1.2 Odins eye on 07/29/11 at 01:53 PM [Reply]

I agree...Time for a change is at hand.

Get used to it Pop Eye, things change.
Unlike your adult diaper

-Hopt

#6.1.1.3 Beth on 07/29/11 at 02:51 PM [Reply]

I WOULD if you "Barra Couny Good ole boys" hadn't TANKED the local housing market. THIS is what happens when a bunch of ignorant idiots try to run a county.
Like Fortitude I, too, came here with the hope of a better, more laid-back lifestyle for my children.....
Little did I know what I know now or I would have RUN the other way as fast as i can!
Face it Pop Eye: You old Codgers are on your way OUT!!!!
And it is WAY past time!

#6.1.1.3.1 Allah Akbar on 07/29/11 at 02:58 PM [Reply]

Beth,

You are the reason, along with Fortitude, the bubble burst. Paying inflated prices for land. You should have kept your carpet-bagging self away from Barrow County. Solutions, not vitriol idiocy, is needed. Stay off the net.

#6.1.1.3.1.1 Tom on 07/30/11 at 11:15 AM [Reply]

Allah you are the reason we can't tell anyone where we are from. If we do they always laugh.

#6.1.1.3.2 BTW on 07/30/11 at 11:09 AM [Reply]

Beth I agree with you. Get the housing prices back up and half of barrow county would move. I know I would. You can keep the good ole boy and let them raise your taxes. If I have to pay this much I would rather live in Athens and Lawrenceville. The have a better class of people.

#6.1.2 Allah Akbar on 07/29/11 at 02:50 PM [Reply]

Shut up Beth! The only thing regrettable is your internet connection paid out of my wallet. Get off the couch and go to work.

#6.1.2.1 Beth on 07/29/11 at 02:59 PM [Reply]

Well thank You Akbar...That is very sweet of you to offer to pay my internet bill! but I'm good. I make enough each week to pay ALL of my bills, and probably TWICE as much as you make at Mickey D's! As far as the couch goes: I don't own one. I bought a fabulous loveseat and divan from Rhodes last year with my hard earned PAYCHECK!

#6.1.2.1.1 Allah Akbar on 07/29/11 at 03:38 PM [Reply]

At least I'm not unoriginal.

#6.1.2.1.2 Allah Akbar on 07/30/11 at 06:41 AM [Reply]

Beth,

Accept my apology. You are cultured indeed. Being a new resident of Winder-Barrow County you would have been better served spending that money at Bob's Furniture or another local store.

#6.1.2.1.2.1 Beth on 07/30/11 at 12:33 PM [Reply]

Allah(LOL)
I never said I was a NEW resident of Barrow County, I said I was not FROM Barrow County. I do not believe YOU are from here, so therefore why would you call ME a "Carpetbagger" and an "interloper?"
IF you were a "good ole boy" then you would know it is not "Winder-barrow County, it is Barrow County, and There is NO Bob's furniture.
Obviously it is YOU who is at home on the couch with nothing better to do than troll the blogs and find someone to insult and argue with. We understand that it makes you feel tough and important. We understand that is the ONLY sad existence you have, but really now, we are actual taxpaying citizens with jobs and lives and families who are trying to come up with solutions to "big boy" problems.

Please understand and be able to contribute to the subject matter before posting. Living in your mama's basement doesn't count as you having to pay property taxes.
@Croesus: No need to worry-You couldn't GIVE AWAY that half an acre of Daddy's land!

#6.1.2.1.2.1.1 MGJ on 07/30/11 at 01:35 PM [Reply]

Tell him Beth!!

#6.1.2.1.2.1.1.1 Cooter on 07/30/11 at 06:26 PM [Reply]

Beth, just finish your quart of ice cream in your dark room and go to bed

#6.1.2.1.2.1.1.1.1 Anonymous on 07/30/11 at 06:29 PM [Reply]

Cooter ... now that is a perfect name for someone from winder. Is Gomer over there too? Tell Andy hello for me.

#7 Fashion girl on 07/29/11 at 08:17 PM [Reply]

Allah, is the tax abatement issue over your head?

#7.1 Allah Akbar on 07/30/11 at 06:33 AM [Reply]

Fashion Girl,

No...it's not over my head. Look around the state and southeast. What attracts businesses? Low or no taxes, right to work states, etc. Bottom line is do you want to attract business or not? Stop looking the gift-horse in the mouth. The "Good Old Boys", as the carpetbaggers so eloquently put it, are putting forth the effort; trying to attract businesses to Winder-Barrow County. I recommend those that criticize the most put that energy into attending meetings and working on solutions.

#7.1.1 BTW on 07/30/11 at 11:01 AM [Reply]

Allah you sound like a DAMN yankee. Go home dude. Or shut up ... your choice.

#8 citizen on 07/29/11 at 10:07 PM [Reply]

Either you want business or you don't. Make up your damn minds people. This company hires lots of people who earn wages and it is spent in the community. The works pay taxes. What a bunch of crying babies. Besides, the company gives back a lot helping the community by supporting the United Way of which several agencies in Barrow receive funding. Go on and keep your heads up your butt and run the business to Clarke and Gwinnett. They will be glad to take more business for growth. Continue to have your area nothing but residential homes and no commercial business. What smart citizens of Barrow.

#8.1 Troof on 07/30/11 at 07:05 AM [Reply]

Posted by a company pimp. First, it's an outright lie that the "company hire lots of people." Second the United Way has been proven to be a fraudulent crock that feathers the nest of its hired upper level execs.

#8.1.1 citizen on 07/30/11 at 05:27 PM [Reply]

No, I'm not a company pimp. First, Chico's does hire a lot of people. Second, check your facts about your local United Way before you speak. I know first hand our local United Way. I know first hand how our local agency spends their money as I serve on a group that administers the funding. Agencies have to prove their needs. Also, out local United Way is only run by 4 people. You need to get your facts together before you tell lies like a damn Democrat. You sound like Harry or Nancy.

#8.1.1.1 Bob on 08/03/11 at 02:43 PM [Reply]

I would like you to recheck YOUR facts, considering that Barrow County is serviced by the United Way of NE Georgia, that has a staff of at least 5 and divides the money between Clarke, Barrow, Jackson, Oconnee, Oglethorpe, Madison, Franklin and Morgan Counties. The majority of the programs supported by the United Way are not in Barrow, the only one I can think of is the Tree House.

#9 mark my words on 07/30/11 at 06:49 AM [Reply]

The truth is, over many years, Barrow's "leaders" (LOL) have turned the county into such a hell hole and joke, that you damn near have to bribe people to bring business here.

HOWEVER, 5%? And JDA "owns the equipment and leases it back to the company"?

Jesus H. Christ. What a sham!

#10 sheesh on 07/30/11 at 03:54 PM [Reply]

I can only imagine how much worse these rants would be if the article was announcing that failure to reach an agreement on taxes resulted in the company relocating to another county and taking their jobs with them.

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JDA approves tax break for Chico’s

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