Lebanon council approves Wilson Farms road deal, approving $1.2 million in city funds for SR‑109 improvements

Lebanon City Council voted to authorize a development agreement and related budget and escrow measures to fund safety and roadway improvements at State Route 109 and First Avenue that are part of the Wilson Farms development, councilors and staff said.

The council approved the development agreement (item 257177) and three linked first‑reading budget and escrow measures — a budget amendment for the SR‑109/First Avenue improvements (item 257178), an escrow agreement with Wilson Bank & Trust as escrow agent (item 257179) and a separate first‑reading budget amendment authorizing city funds for the project (item 257178) — after about three hours of discussion that focused on the project’s public cost, developer contributions and traffic safety.

Why it matters: The measures commit the city to help pay for a traffic signal, turn lane and other improvements at the State Route 109 corridor that city staff and the Tennessee Department of Transportation say are needed for safety and to enable new commercial access. Proponents said the improvements have been sought for 15 years and the proposed retail development will increase sales tax revenue. Opponents said the city should not front significant taxpayer funds for infrastructure primarily serving a large private developer and a national retailer.

Council debate and staff explanations

Councilor Ashley raised questions about who requested city funding and whether the developer or Walmart asked for it, saying, “I don't know that we front $1,200,000 in taxpayer money for the largest corporation in the country and probably the city's largest developer.” Sarah Hasten, the city’s economic development director, told the council that Walmart did not request public funds but that traffic requirements and TDOT approval made signal and curb‑cut changes necessary; she said the city took multiple design options to the state and the option the city now proposes is one TDOT accepted.

Christian Rice, capital projects director, and Jeff Baines (public services) framed the project as both a long‑standing TDOT safety priority and an opportunity tied to new commercial development. Rice and other supporters pointed to crash data and high traffic volumes on SR‑109, and to prior council infrastructure investments that later produced tax revenue. Councilor Crowell said crash data show frequent left‑turn crashes and injuries at the intersection; Kristen (city staff) reported about 20 crashes in the past three years with many left‑turn collisions and several critical injuries.

Several councilors said the project includes a developer contribution and that the city is not alone in funding the work; Hasten and other staff noted the developer contribution is roughly $900,000 (amount discussed in the meeting) and the city’s proposed contribution is about $1.2 million, with the expectation that future sales tax from new commercial activity would repay the city over time. Councilor Morehead summarized the fiscal case by estimating, based on current Walmart sales‑tax receipts, a payback on the city’s outlay could be measured in months to a couple of years after the new store opens.

Formal actions and outcome

The council voted to approve the development agreement for public infrastructure between Wilson Farms 109 LP and the city (item 257177). Council then approved the first‑reading budget amendments tied to the SR‑109/First Avenue Wilson Farms project (items 257178 and the related budget item), and authorized the escrow agreement with Wilson Bank & Trust (item 257179). All four items were approved on voice votes after discussion.

What the approvals do — and what remains unclear

City staff said the agreements condition city payment on construction completion: the developer receives no remaining funds until the city accepts the completed work. Hasten and public works staff described the plan as a TDOT‑accepted solution that addresses safety, crash patterns and access needed for the development. Opponents on the council urged clearer policies for when the city uses taxpayer dollars to support privately led development and asked whether small local businesses would receive similar opportunities for infrastructure concessions.

Next steps and context

Staff said the project is tied to TDOT approval and will return with bid documents and further details; the council approved the measures in first reading where applicable and approved the escrow and related budget moves needed to proceed. Councilors also discussed the related timeline for Walmart opening and the developer’s broader site plan, and asked for follow‑up about the project schedule and conditionality of payments.

Votes at a glance (selected)

- Item 257177, development agreement (Wilson Farms) — motion approved (motion; second by Councilor Morehead). - Item 257178, budget amendment for SR‑109/First Avenue improvements — motion approved (motion by Councilor Crowell; second by Councilor Morehead). - Item 257179, escrow agreement with Wilson Bank & Trust — motion approved (mover not specified; second by Councilor Krowl; second recorded with Councilor Brian).

Council commentary ended with supporters pointing to long‑standing safety concerns on SR‑109 and the expectation of increased sales tax revenue from new retail; opponents reiterated concerns about using general fund dollars to subsidize infrastructure for large private developers without a formal city policy describing how similar requests would be handled in the future.