The Gulch. Image via Wikimedia Commons.
Atlanta Public Schools (APS) reached an agreement today with the city of Atlanta settling issues regarding the validation of the Gulch’s development bonds.
The deal strikes a balance between the city’s economic development within the tax allocation districts (TAD) in question with the needs of Atlanta’s public school students. According to city materials, the proposed agreement has four major components:
- APS will continue its participating partnership in the Westside TAD through 2038, including by joining with the City and the State of Georgia in the support for the Atlanta Gulch Project;
- The city government will agree to a $10 million reimbursement of educational and infrastructure development costs incurred by APS on completed projects in the Westside TAD and an additional $1.25mm each year from 2020 to 2023, bringing the total reimbursement of such costs to $15 million;
- APS will agree to a participating partnership in Atlanta’s four commercial TADS for 30 years. The four TADS are Campbellton Road TAD, Hollowell/M.L. King TAD, Metropolitan Parkway TAD and the Stadium TAD. APS’ participation provides enhanced and more immediate financial viability to the TAD incentives that can be provided in these areas of the City.
- The city government will pay off bonds on the Eastside TAD; COA will then make annual payments in lieu of taxes of APS’ portion of increment through the remaining life of the Eastside TAD. COA will continue to accept and review applications for funding for development projects within the Eastside TAD.
The city and APS will both present this proposed agreement to their respective legislative bodies on Monday, Jan. 7, according to city materials. This will coincide with the city council’s first full meeting of 2019.