Muskogee board approves tax-incentive plan for proposed Project Scissor Tail data center

The Muskogee Board of Education voted to approve a tax‑incentive agreement tied to “Project Scissor Tail,” a multi‑phase data center development planned off Peak Boulevard that the presenter said would be built in at least three phases and paid through fees in lieu of property taxes.

Project Scissor Tail is described in board materials as a phased development, with each phase estimated to include approximately 300,000 square feet of data‑center space and each phase representing roughly $1 billion in private investment, according to the presentation to the board. The presenter told the board that taxing entities would receive annual payments over a 25‑year period once buildings on the relevant parcels are completed.

Why it matters: The agreement structures how revenue from the development will be distributed among taxing jurisdictions for up to 25 years and may shift the typical timing and amount of property tax receipts to a long‑term fee schedule tied to construction milestones. Board members were told Hilldale Public Schools would receive an example payment stream beginning in 2028 and that Muskogee Public Schools would receive a comparable share once the district’s parcel is developed.

Details presented to the board note that phase 1 is expected to be constructed first on property within the Hilldale school district, with subsequent phases on property within the Muskogee Public Schools boundary. The presenter said each phase must commence within a required timeframe in order to preserve the later phases’ portion of the incentive district; if phase 1 does not commence within two years of final project approval, the plan could be terminated for that phase. If phase 1 is completed but phase 2 has not commenced within 10 years, the incentive district for phases 2 and 3 would terminate.

Board action: A motion to approve the agreement was made, seconded, and approved by voice vote. The public packet will include the contract once finalized, the presenter said.

What the board did not specify: The board packet and the presentation included projected multi‑year payment examples for Hilldale schools but did not provide a definitive annual dollar schedule for Muskogee Public Schools over the 25‑year term; the presenter said those figures depend on future development timing and therefore were not shown for Muskogee. The presentation also did not provide a final signed contract in the meeting; board members were told the contract would be made public after the vote.

Next steps and conditions: The presenter said the project team and other taxing jurisdictions (the city, county and port authority) will consider the same agreement and that payments to each taxing entity begin only after the developer builds on the respective parcels. Board members asked no substantive follow‑up questions during the public portion of the agenda and the motion carried by voice vote.