[07/02/02]Vicksburg officials unanimously approved a tax incentive package worth up to $900,000 for a Home Depot-centered retail development Monday in the face of objections raised by residents and potential competitors at a public hearing Friday.

“This is about leadership,” said Mayor Laurence Leyens.

Ergon Properties is the developer of the project on South Frontage Road land, some of which is residential and some of which is undeveloped. The site also includes the former Halls Ferry school, which Ergon purchased for $451,000 from the Vicksburg Warren School District.

The funds for grading and roads, drainage and traffic signals will be generated from a bond issue that will be repaid through increased taxes on the property once it is developed at a rate of $75,000 to $100,000 per year for 10 years.

Warren County was also asked to participate, but declined. The $900,000 figure includes the $25,000 that had been sought from supervisors. Leyens lashed out at the county board members last week, accusing them of not participating because they knew “the city was going to do the right thing.” President Richard George said the project was presented to the board as a “done deal” and so no public financing was apparently needed.

During Friday’s public hearing, most commenting were against city participation in the $17.7 million development.

James Burnett, owner of MidSouth Lumber & Supply, had asked city officials to commission an independent economic impact study before voting on the request, saying that’s what other communities had done. On Monday, Burnett told the mayor and aldermen that he had collected the names of 278 voters who agreed.

“I feel that the numbers you have have been skewed by Home Depot and by a professional firm hired to get this money,” Burnett said.

The board, however, voted against any delay.

Gouras Planning Consultants numbers show the 250,000-square-foot home improvement store will employ about 200 people and ring up about $20 million in sales a year. The chain’s nearest store is in west Jackson.

Total tax payments to the city, county and public schools are estimated at $515,000.

City board members pass the first year of their four-year terms in office today and the Home Depot proposal has been among the more hotly debated items. “I’m not going to sit up here for the next three years and make decisions based on my next campaign,” Leyens said.

He said that since the hearing, officials have gotten more information from Home Depot, but he could not disclose that information. He said that he was satisfied that the company was stable and that the investment will help grow the local economy.

He also said that since the public hearing, most public comments have been in favor of the tax increment financing. Many of the objections raised during the hearing were from owners of local businesses that will compete with Home Depot.

“You’re asking us to help this city grow, but you’re asking us to help this city grow as long as it doesn’t affect me,” said North Ward Alderman Gertrude Young.

Several who objected said they didn’t mind the competition, just the city’s enthusiasm for a new business that might close them down.

TIF has been used often by city and county boards for multiple projects, including River Region Medical Center, Vicksburg Factory Outlets and Wal-Mart SuperCenter.