Magnet Mills discussed; City okays funds for ACCAC
Magnet Mills is under contract and will be sold to a “community conscious” Knoxville developer, according to the City of Clinton.
According to City Manager Roger Houck, he and other city officials are “cautiously optimistic.”
The contract was signed the last week of September for $1.7 million. It is, however, contingent on the sale of another piece of property owned by the developer, according to Houck.
During Monday night’s city council meeting, councilman Zach Farrar asked multiple questions related to the deal.
“I’d like to see a resume of their past projects,” he said. “I’d want to know if they had a development plan, letters of commitment or letters of intent, who their architect is, their contractor. Where will the cash flow come from? What’s his liquid position? … They may be serious, but are they realistic? Does this property owner have a history of litigation?”
Farrar acknowledged that the city couldn’t control everything the developer does and has a limit on what it can do. Houck told The Courier News that the developer would have to come before council to have projects approved, however. Plans would have to be in compliance with zoning and codes ordinances.
The developer does plan on using the site as a mixed-use property, according to Houck, which would include residential, commercial and retail space.
Clinton Mayor Scott Burton said during the council meeting that the city is “full speed ahead on the slum ordinance.”
That ordinance would still be in place once the developer closes on the property, according to Houck.
The Courier News will report in-depth on the Magnet Mills and water tower projects in next week’s paper.
Clinton City Council also voted during Monday’s meeting to give the Anderson County Community Action Committee half of the money they owe in back taxes, as discussed last month. Anderson County Commission voted at their last meeting to donate the other half.
That decision was also not without contention, as the question was asked what percentage of people the ACCAC serves are from Clinton, as Clinton taxpayers would essentially pay toward the bill twice since they pay city and county taxes.
The decision to donate the funds passed 3-2.
Ron Young, interim director of Anderson County Community Action Committee, told Clinton City Council last month that the nonprofit owes back taxes to the tune of over $31,000, but were able to negotiate it down to around $15,000.
According to Young, payroll taxes have not been paid since 2014, and ACCAC was not in a position to pay. Young was quick to acknowledge that changes needed to be made in management, and ETHRA will take over the program.