By Dan McCue

CHARLESTON -- Charleston County Council has approved a fee-in-lieu-of-taxes agreement with a mystery company that will soon be investing $38 million, including $9.7 million for a new manufacturing plant to be located in the Palmetto Commerce Park in North Charleston.

The project, code named "Project SG Ventures," is described in council documents as a leading U.S.-based manufacturer that has been activity engaged in discussions with county Economic Development Director Steve Dykes since February, and chose the commerce park site after considering a number of locations throughout the Southeast.

The company plans to employ as many as 80 people here at an average salary of $24 an hour. The council documents describe the company as having an annual payroll of about $3.84 million.

"This is a big opportunity," said Dykes, who declined to disclose any further information about the company, citing confidentiality agreements. "It's a manufacturer, requiring a healthy head count of employees, paying good salaries and committing to making a significant capital investment in our community."

In order to facilitate the relocation of the firm, Dykes committed to the use of fee-in-lieu-of-taxes, a "multi-county park" designation for the project, and a special source revenue credit to the owner/landowner, an industrial contractor currently identified only as "Project Gwinn."

The fee-in-lieu-of-taxes agreement for Project SG Ventures features an assessment ratio of 6%, with millage fixed at the current rate of 253.6 over the next 20 years. Council was told the tax revenues from the project are estimated to be $5.22 million during that time period.

A related fee-in-lieu-of taxes agreement with Project Gwinn will also feature an assessment ratio of 6% over the next 20 years.

Also provided is a special source revenue credit equal to 6.8% of fee-in-lieu-of-taxes revenues for Project Gwinn to address several public infrastructure, site and building construction costs. This special source revenue credit applies to the first four years that fee-in-lieu-of-taxes payments are received and has been capped at $357,000.

Although Tuesday’s action effectively commits the county to the agreements, the council will have to revisit the matter in the form of a formal ordinance shortly before construction on the project begins.

Dykes predicted the company’s identity would likely be revealed sometime in the fall, although he hastened to add that at this point, that was only a guess.