NORTH FULTON COUNTY, Ga. — A significant shift in local governance has unfolded with the signing of House Bill 155, which grants north Fulton County cities increased economic autonomy while curtailing the powers of the county’s key development authority.
This legislation, enacted on May 12, mandates that the Development Authority of Fulton County must now obtain municipal approval before purchasing properties for tax incentives, a move that local leaders believe will foster more collaborative economic development.
The Development Authority of Fulton County, established in 1973, has played a pivotal role in the regional economy, issuing over $25 billion in bonds and facilitating the establishment, renovation, and expansion of more than 450 businesses throughout the years.
According to Kwanza Hall, Chairman of Develop Fulton, since 2017, the authority has successfully retained over 14,600 jobs and generated approximately $1.4 billion in investments, alongside contributing nearly $77 million in new tax revenue for north Fulton County.
Notable projects influenced by the authority include the Town Center in Johns Creek, Southern Post in Roswell, and the Avalon development in Alpharetta.
Despite these successes, some city officials contend that the development authority has at times exceeded its mandate, resulting in disputes over local decision-making.
A case in point occurred in 2013 when the Development Authority awarded North American Properties $550 million in tax abatements over a decade for the Avalon project, a deal reportedly costing Alpharetta approximately $1 million in tax revenue.
Jim Gilvin, the Mayor of Alpharetta, recalled a sense of surprise and frustration among city officials when they first learned about the tax abatement through media coverage, having been cut out of the negotiation process.
“We were not happy about that,” Gilvin remarked, expressing a desire for better communication and involvement in such significant projects.
While he acknowledges the success of Avalon, Gilvin emphasizes the importance of understanding the associated costs and benefits of large-scale developments for the city, stating, “If you’re doing a hundreds of millions project, you’d like to know what your costs and the benefits are.”
With the passage of House Bill 155, Mayor Gilvin believes Alpharetta can now engage more effectively in future economic development endeavors.
“It gives each city a choice,” he remarked, highlighting the newfound authority that local governments possess.
Johns Creek’s Mayor, John Bradberry, echoed similar sentiments, appreciating the enhanced opportunity for local input in Fulton County decisions.
“Any time the city or local community can get more say in a Fulton County decision it is a good thing,” Bradberry stated, noting that increased autonomy is always a goal for local leaders.
The Development Authority has also attracted significant businesses like Boston Scientific and influenced projects such as Medley.
However, the potential implications of development deals on local tax revenue have caused concern among city officials, underscoring the necessity of having a voice in these decisions.
“These things can kind of hollow out your tax digest,” Bradberry cautioned, reinforcing the necessity for cities to maintain a degree of oversight on development authorities.
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