SEDA seeks $1 million increase to its line of credit

The Shoals Economic Development Authority has requested a $1 million increase to its line of credit in order to buy land associated with Project Tiger and to cover any other anticipated expenses for the project.

The request was made to the Shoals Industrial Development Committee during a meeting Wednesday to discuss SEDA's operating budget for the upcoming year.

"We're asking to increase the line of credit by $1 million to purchase the Colbert County property and be reimbursed for property purchases," said Forrest Wright, executive director of SEDA.

Project Tiger was the code name given to National Alabama Corp., which officially broke ground Thursday on a railcar plant that will employ 1,800 people when it's fully operational. The code name was used while plant officials were in negations with local and state leaders.

Wright said SEDA's board has approved and adopted an operating budget of $614,000 for the coming fiscal year, with an additional $20,000 request reserved for an industrial park sign.

"We set aside an amount of funds we use for industrial park improvement," Wright said.

Florence Mayor Bobby Irons, who is a member of the industrial development committee, said SEDA's proposed budget is similar to the previous one.

"SIDC will be funding the operating budget for SEDA through the half-cent sales tax," Irons said.

At a recent Colbert County Commission meeting, the commission agreed to make 309 acres at Barton Riverfront Industrial Park available to SEDA for $325,791, which is land SEDA will use to lease to National Alabama Corporation.

"These are the other expenses SEDA has or will be incurring in association with Project Tiger," Wright said.

He said SEDA asked the Shoals Industrial Development Committee to increase SEDA's line of credit by $1 million for a total of $5.5 million in order to buy the Colbert County land and any properties associated with the railcar plant.

"With the sale of the county's land to SEDA, SEDA will own all the property that (National Alabama Corp.) will lease," said SEDA attorney Jimmy Hughston.

TimesDaily Staff Writer Kenda Williams can be reached at 740-5720 or kenda.williams@timesdaily.com.