Bass, Berry & Sims attorney Jay Moneyhun presented on two separate projects at the March 30, 2017, Industrial Development Board meeting in Morristown, Tennessee. An overview of each project was provided by the Citizen Tribune. The first involved Rockline Industries and its construction of a new manufacturing facility to be operated by a newly formed subsidiary, Iatric Manufacturing Solutions, that is expected to bring more than 250 new jobs to Hamblen County. The Board approved the financing between it and First Tennessee for the construction of the initial construction phase of the facility and also approved the lease of the facility from the Board to the Rockline subsidiary. Jay described the financing and lease arrangement as follows “Rockline in entering the lease, is agreeing to pay monthly rent payments equal to the debt service due on the loan. Inside the [lease] is a tax abatement incentive to Rockline (PILOT: payment-in-lieu-of-taxes). The total term of [the lease and] financing is about 16 years, with a one-year period for construction and a 15-year financing once complete.” This project was outlined in the Citizen Tribune article, “Rockline Brings Respect, Integrity, Teamwork, Excellence to Morristown,” published April 2, 2017, and available online.
Jay also presented to the Board requesting a date adjustment to the tax increment financing (TIF) for the Cherokee Crossing development in East Tennessee. The request was approved by the Board. As Jay pointed out for the article, “all we are doing is extending the maturity of the note to April 26, 2026 instead of 2025, so they will get that last year of TIF on the back end to pay off the loan. Economically, it has no effect on the tax rolls.” The full article, “Industrial Board Recommends Property Sale in ETPC,” was published April 2, 2017, in the Citizen Tribune and is available online.