Half True Harris

I attended an interesting meeting last week of the Committee of 100. I'm not exactly sure what this organization mission is but last week's meeting was to sing the praises of the Loudon County Economic Development Agency, EDA, and it's director, Jack Qualls. The loudest singer at the meeting was Loudon mayor, Jeff Harris. I assume the meeting was in response to the county voting to withdraw funding from the obsolete organization.

Harris was apparently the keynote speaker. He came armed with all kinds of information, facts and figures of how valuable Mr. Qualls and the EDA are. The problem is, he would just tell part of the story, but conveniently left many of the good parts out. 

At the meeting, he mentioned an email I sent him pertaining to Mr. Qualls, but he forgot to mention that he sent me an email, which he never does, and I was just responding back to him. It was his way to poke at me about the EDA.

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Aug. 1, 10:44 am
Commissioner Shaver,
 
I have attached a Press Release announcing Project Washington, a Korean Company, locating their facility here in Loudon. I would appreciate it if you could post on your website. Our EDA department did an outstanding job recruiting and closing the deal on this well-respected company in the industry locating here in Loudon County.

Thank you.
 

Jeff Harris
Loudon City Mayor
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Aug. 1, 9:09 pm

Jeff,

Thanks, Buddy sent it to the commission earlier today.

If history is any marker, I suspect Jack had very little to do with any of it except of course giving away taxes. If I remember, back in September, Jack told your council a PILOT would be required. Did your council pass a PILOT for the project? What are the details of that PILOT

This one has a lot of the same sound of John Deere. How'd that turn out?

Van
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And yes, a PILOT, tax break, was granted by the city giving away millions of city and county tax dollars. The mayor didn't bother to explain the downside of PILOTs and the negative impact giving away property taxes has on local governments.

Harris claimed the funding split is required by state law. This is not correct. The funding split can be whatever the interlocal agreement says it is. 

The mayor read a lot of the interlocal agreement that established the EDA and participation requirements but he stopped reading before he got to the part where the county has the right to withdraw from the EDA.

8. DURATION: This agreement shall continue from and after the date hereof, except that by mutual agreement of all of the parties hereto, this agreement may be terminated at any time. In addition, after three years from the date of the agreement’s execution, any party to the agreement may in writing, at least two years prior to a proposed withdrawal date established in the notice, withdraw from the agreement. If only one party elects to withdraw under the provisions of this agreement, such party shall not be entitled to reimbursement or distribution of the withdrawing party’s share of any assets the Agency may have accumulated. If two parties withdraw, dissolution shall proceed as provided in section 9 therein.
EDA Interlocal Agreement 2008

He mentioned that the county is the largest funding source but didn't mention just how large compared to the cities.

Currently

  • Loudon County pays 68.8%

  • Loudon City pays 15.3%

  • Lenoir City pays 13.9% with 1.9% coming from the Committee of 100.

In dollar amounts that comes to;

  • Loudon County paying: $177,174.00

  • Loudon City paying: $39,345.00

  • Lenoir City paying: $35,744.00

  • Committee of 100: $4,886.00

Total contributions- $257,148.00

Harris couldn't praise Jack Qualls enough in pledging support for the EDA. But as you can see from the numbers above, the mayor doesn't support them enough to increase the city's funding for the organization.

I want to be clear, I'm not accusing Harris of lying, just not quit telling the whole story. Like so many politicians, he just likes to provide information that suits his cause without giving the whole story.

Other's speaking to support the EDA were Lenoir City mayor, Tony Aikens. Of course you can see Lenoir City pays the least of the three governments.

The Loudon County Chamber president, Rodney Grugin, spoke in support. The chamber contributes $0 to the EDA.

A Lenoir City School staff member spoke in support. The Lenoir City Schools contributes $0 to the EDA.

Committee Of 100 chairman, John Evans spoke in support. Committee Of 100 contributes $4,886.00 to the EDA.

It always seems the Committee Of 100 only allows one side of the story.   

All the county has ever asked is that all three governments pay an equal share to support the EDA. The city mayors claim the EDA does so much for them why not put their money where their mouths are.

Why is it the responsibility of county tax payers, who get nothing from the EDA except loss of tax dollars, to pay five times more than the cities who's mayors claim to get all the benefits?   

Equal Pay For EDA

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8/14/23