Sumter County approves FILOT for Project White Palmetto; formally identifies Project Kerrigan for negotiation

Sumter County Council voted Jan. 14, 2025 to grant second reading to Ordinance 24-1014, authorizing a Fee-In-Lieu of Ad Valorem Taxes (FILOT) and a Special Source Revenue agreement for Project White Palmetto, and adopted a resolution to identify Project Kerrigan as a prospective FILOT project.

County Attorney Johnathan Bryan summarized Exhibit D of the White Palmetto agreement, saying the Net FILOT payment is structured by the project’s final output. Exhibit D states: “The amount of the Net FILOT Payment is based upon the assumption that the Project will generate 200 MWac of Final Output and will pay $4,500 per MWac of Final Output for the term of the Fee Agreement, or $900,000, beginning on the Commencement Date. If the Final Output of the Project is greater or lesser than 200 MWac, the Net FILOT Payment that the Sponsor shall be required to make shall equal $4,500 per MWac multiplied by the actual Final Output.”

Marshall Cooper, speaking for developer Treaty Oak Clean Energy, said the company will donate $200,000 to the Rembert-Rafting Creek Community Center to support construction of a new gymnasium. Councilman Carlton B. Washington commended the developer for engaging District 1 and noted the project was brought to the county in a manner he considered exemplary.

Separately, Council approved Resolution R-25-01 identifying Project Kerrigan as an inducement project under the state Economic Development Act. The resolution states Project Kerrigan is anticipated to involve approximately $45,000,000 in taxable real and personal property investment and to create roughly six full-time equivalent jobs; Council directed the chairman and clerk to execute the resolution and allowed staff to proceed with negotiations and required subsequent ordinances in accordance with South Carolina law.

Council also introduced by first reading Ordinance 25-1016, authorizing a FILOT and incentive agreement for Project Kerrigan, and Ordinance 25-1017 authorizing the sale of 1.19 acres near Diebold Drive (first readings were granted by unanimous motion). Under Old Business, Council granted second reading to Ordinance 24-1015 approving the sale of 0.03 acre on US 378 to SCDOT for $15,200 to facilitate intersection improvements at Dabbs Crossroad; the county retained an easement to protect the fire station’s drainage.

Council members voted unanimously on the listed economic development items and land sales; staff will proceed with required contract paperwork, and additional ordinances will return for subsequent readings where required.