After a motion by Magistrate Rick Nelson and a second by Magistrate Larry Lawrence, Trigg County Fiscal Court members voted unanimously to approve a resolution for the sale of Industrial Revenue Bonds at their Monday evening meeting.
On hand to discuss how IRBs work was Christian County Attorney Mike Foster, who is also a consultant for the Cadiz/Trigg County Economic Development Commission. He said the bonds will be used to purchase equipment for a new line of trailers the expansion that was announced earlier this year, and he added that they are a great incentive for a company that wants to exand.
“When the bank, if you will, or the financier, does not have to pay as much taxes on the income of those taxes, then they can reduce the interest rates,” said Foster. “When you’re talking about millions of dollars, debt service can be substantial, and when you can reduce that debt service, it makes the company more viable, allows them hopefully to … make money and keep employing people in Trigg County and elsewhere.”
Foster indicated that G.E. Capital is already interested in purchasing the bonds as soon as they hit the market.
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