Last Updated:March 06. 2007 11:57PM
Published: March 07. 2007 3:30AM

TUSCUMBIA -- Colbert County commissioners took the first step Tuesday in creating a fund that will provide money for economic development in the Shoals.



The commission voted 4 to 1 in favor of a resolution that asks the state Legislature to allow the county to enact a half-cent sales tax that would provide revenue for an economic development incentive fund.



The tax, which is estimated to generate more than $6 million a year, would be used to help lure industries to the Shoals and provide other economic development incentives.



Lauderdale County commissioners will address the resolution during its regular meeting next week.



Colbert commissioners Rex Burleson, Troy Woodis, Howard Keeton and James Bingham voted in favor of the resolution while Commissioner Emmitt Jimmar voted against it.



Commissioner Charles "Duck" Douthit was unable to attend Tuesday's meeting.



Jimmar stated that he voted against the resolution for three reasons.



He said the creation of an authority that will approve expenditures from the fund amounts to political control of the Shoals Economic Development Authority because it is composed of government officials.



That authority, which would be called the Shoals Industrial Development Committee, would include the mayors of Muscle Shoals, Florence, Tuscumbia and Sheffield, one appointment from the Colbert County Commission, the chairman and an appointee of the Lauderdale County Commission.



The mayors of Cherokee, Littleville and Leighton will serve rotating two-year terms as at-large members.



The mayors of Anderson, Killen, Lexington, Rogersville, St. Florian and Waterloo would at-large for one-year terms.



Jimmar said he the mayors should serve the same terms as the other members. He also said the makeup of SIDC provides little opportunity for women to serve and does not provide opportunities for African-Americans to serve on the authority.



"I think we have a stake in this, too," he said.



Burleson, who is Colbert commission chairman, said SIDC's roll would be to approve expenditures brought to it by SEDA.



The resolution also states that SEDA can request up to 10 percent of the fund's annual revenue for its operating budget. Burleson said that would free money currently provided to SEDA by local county and municipal governments.



The remaining revenue would be utilized for the creation of non-retail job opportunities, according to the resolution.



Woodis and Keeton said people they spoke to in the community were in favor of the fund, but wanted some type of accountability for the money. Woodis said the SIDC would provide that accountability.



After reading and discussing a draft of the resolution, Lauderdale County commissioners agreed to add the resolution to Monday's regular meeting agenda.



Commissioners Larry Irons, D.C. Thornton and Ronnie Brown, along with commission chairman Dewey Mitchell and county attorney Chris Smith discussed the resolution for almost two hours during Tuesday's work session. Commissioner William Smith was out of town.



Mitchell said the resolution puts specific limitations on how the money can be used.



Those include to provide inducements for recruitment of new industry, acquisition and development of land to be utilized as industrial parks, construction of buildings for lease to industries, support for expansion of existing industry and funding SEDA operations.





Thornton suggested that the 10-member SIDC board be expanded to 12 to include another Lauderdale County mayor and a Colbert County commissioner.



Thornton also suggested that the county allow the mayors of the smaller entities to get together and make the appointment. "But overall, I think (the resolution) is fair,'' he said.



Irons said he believes the public understands what the sales tax increase will mean.



"The general public is ready for this area to complete (for jobs),'' Irons said. "They understand incentives are the only way.''



Mitchell said financial incentives are not only critical but mandatory in recruiting industry.



"To say we're open for business, you've got to have incentives,'' he said.



Russ Corey can be reached at 740-5738 or russ.corey@timesdaily.com.



TimesDaily Senior Staff Writer Tom Smith contributed to this report.