Sumter County council approves Nova Molecular expansion and amended tax-incentive agreement
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Summary
Sumter County Council voted 5–2 on Jan. 23 to amend a fee-in-lieu-of-taxes agreement to accommodate a proposed $17 million expansion by Nova Molecular, a company that has already invested about $29.6 million in the county. Opponents at the public hearing argued the special-source revenue credits are excessive relative to jobs created.
Sumter County Council on Jan. 23 approved third reading of Ordinance 23-991, amending a fiscal incentive agreement to allow an expansion and adjusted special-source revenue credits for Nova Molecular’s Racetrack Road facility.
County Attorney Johnathan Bryan told the council the original agreement required at least $14,742,000 in investment and 25 jobs; the company has since invested about $29,600,000 and reported 23 of the required 25 jobs as of June 30, 2023. Nova Molecular proposes an additional $17,000,000 in new real property and equipment and expects to create 10 more jobs. Under the amendment presented, the county would extend the investment period and change the special-source revenue credit for new property and equipment to a 25% credit for years two through 20.
During a public hearing, Dr. Elayne Brunson, speaking on behalf of the Black Chamber of Commerce, urged council to table or deny the amendment, saying “$17,000,000 of revenue credit is not appropriate for 10 jobs” and expressing concern that small minority-owned businesses face unresolved licensing issues. Company counsel Will Johnson responded that the $17,000,000 is the proposed capital investment, not the amount of any special-source revenue credit.
Council debate included a motion by Councilman Carlton B. Washington to carry over third reading until the next meeting; that motion failed. Councilman Charles T. Edens moved to grant third reading and Councilman Artie Baker seconded. The final roll call recorded five ayes — Artie Baker, James R. Byrd Jr., James T. McCain Jr., Vivian Fleming McGhaney and Charles T. Edens — and two nays — Eugene R. Baten and Carlton B. Washington. The ordinance was adopted on third reading and will proceed under the amended terms.
The amendment as described on the record would extend the investment period (from five to 10 years) and alter the special-source revenue credit schedule on new property and equipment. Company representatives stated the project would produce an estimated $39,000,000 in payroll over 15 years and that average wages at the expanded facility would be about $32 per hour.
No additional formal conditions or amendments were recorded on the ordinance at the Jan. 23 meeting. The council did not take further action to change or delay the agreement after the vote.
The county clerk’s office will include the adopted ordinance in the official minutes; the council did not identify a separate follow-up hearing date for implementation details on the record.