The Lowndes County Board of Supervisors Friday voted to amend the KiOR in-lieu agreement to include two additional properties on its campus. New Jersey-based Matheson TRIGAS and Air Products and Chemicals of Allentown, Pa., are the latest companies to receive a tax deduction of 66 percent of their investment.
“To receive in-lieu status, you have to be a company with an investment of at least $100 million,” said Lowndes County Tax Collector/Asessor Greg Andrews. “When we did the SeverCorr (Severstal) agreement a few years ago, the attorney general ruled the companies on the campus of Severcore could receive the in-lieu status, as well. We added seven companies that qualified at the time.”
Andrews said the amendment was needed because of an oversight.
“There was some kind of lack of communication on KiOR’s part and we taxed them in 2011,” Andrews. “The agreement had to be amended so the other companies could receive the in-lieu status. This means they are tax-exempt from 66 percent of their investment for 10 years. They are fully-taxed on 33 percent of the investment.”
KiOR will officially come on the tax roll in February 2013. This will mean additional revenues for the county, the City of Columbus and the Lowndes County School District.
“KiOR, which is an investment of $222 million, will pay about $1,000,391 in taxes in February,” said Andrews. “This means the county schools will get about $530,000. The city will get about $435,000 and the county will receive $426,000. This is a pretty good amount of revenue. This doesn’t include the taxes from Matheson TRIGAS and Air Products and Chemicals.”
KiOR, which was completed in May 2012, turns biomass into fuel. Biomass — bark, leaves, wood chips, forest residue and thinnings — is converted into renewable crude oil in one-second reactions; the product then is hydrotreated and upgraded into renewable fuel.
Jeff Clark was previously a reporter for The Dispatch.
You can help your community
Quality, in-depth journalism is essential to a healthy community. The Dispatch brings you the most complete reporting and insightful commentary in the Golden Triangle, but we need your help to continue our efforts. In the past week, our reporters have posted 36 articles to cdispatch.com. Please consider subscribing to our website for only $2.30 per week to help support local journalism and our community.
You can help your community
Quality, in-depth journalism is essential to a healthy community. The Dispatch brings you the most complete reporting and insightful commentary in the Golden Triangle, but we need your help to continue our efforts. In the past week, our reporters have posted 36 articles to cdispatch.com. Please consider subscribing to our website for only $2.30 per week to help support local journalism and our community.
