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Alabama shifts additional $15.5 million toward industrial site development

MONTGOMERY, Ala. — The Renewal of Alabama Commission has allocated more than $15.5 million toward the development of industrial sites in just the latest example of the state’s push toward attracting more capital investment, Alabama Gov. Kay Ivey announced Monday.

The more than $15.5 million will be available as tax credits for Alabamians who make contributions to one of seven economic development organizations as part of the state’s Growing Alabama program, which awards tax credits for those who contribute to eligible projects.

“We’ve been on a long winning streak when it comes to economic development, but we need to replenish our inventory of available industrial sites across the state to stay in the game,” Ivey said in a statement. “The Growing Alabama program is helping us do just that.”

Communities benefiting from this most recent allocation of Growing Alabama program funds include Auburn, Brundidge, Enterprise, Fort Payne and Greene, Coosa and Walker counties.

All seven of the economic development organizations currently have ongoing industrial site development projects, with the future contributions going toward the completion of said projects.

  • The Industrial Development Board of the City of Auburn: $2.76 million for site work and public infrastructure at Auburn Technology Park.
  • The City of Brundidge: $473,275 for site work and public infrastructure at North Industrial Park.
  • The Industrial Development Board of the City of Enterprise: $2.9 million for site work and public infrastructure at Enterprise Commerce Park.
  • The City of Fort Payne: $1.07 million for site improvements at the Jacoway Industrial Site.
  • The Greene County Industrial Development Authority: $1.31 million for site work and public infrastructure at Crossroads of America Industrial Park.
  • The Lake Martin Area Industrial Development Authority: $2.5 million for site improvements at Lake Martin Regional Industrial Park.
  • The Walker County Economic & Industrial Development Authority: $4.71 million for site work and public infrastructure at Heritage Industrial Park.

Alabama has seen record capital investment in recent years, pulling in around $67 billion in new capital investment since 2012, and posting a record $10.1 billion in investment in 2022. 

The state’s inventory of available industrial sites currently down 30% from its peak. Ellen McNair, secretary of the Alabama Department of Commerce, the agency that administers the Growing Alabama program, said the tax credit was an essential tool in helping the state expand its availability of industrial sites, and with it, further investments.

“The Growing Alabama program is a powerful tool to accelerate the development of shovel-ready sites, which are critically needed today as we compete for high-impact economic development projects that bring significant job creation,” McNair said Monday in a statement.

“This round of Growing Alabama allocations will make a real difference for these communities.”

Including the newly announced $15.5 million, a total of $23 million is available under the Growing Alabama program this calendar year.

In 2023,  lawmakers passed the Site Evaluation and Economic Development Strategy Act, or SEEDS Act.

Under the SEEDS Act, local municipalities would be eligible for matching state grants for the development of industrial-ready sites, with the first round of funding authorized in February at $30 million.

That initial round of funding, McNair previously told Alabama Daily News, has led to the development of 14 active industrial site projects, projects that are currently competing for $13.5 billion in capital investment and more than 5,000 jobs.

A second round of SEEDS was opened for bidding in July, potentially up to $30 million, the results of which will be announced by the State Industrial Development Authority in early 2025.

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