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Old Dominion Freight Line

Project Number: 20130602
Project Type: Standard/Basic
Parcel ID:
County Commission District: 11 | City Council District: 3

Summary

Old Dominion Freight Line was approved for an amendment to its June 2013 PILOT to enable the company to create 160 new jobs and invest more than $36 million for the construction of a new facility located at Airways Boulevard and State Line Road.

The PILOT will create more than $8 million in new tax revenue for Memphis and Shelby County over the 9-­year term.

Old Dominion was approved for a 9-­year PILOT in June of 2013 that called for the company to invest $31 million and create 188 new jobs with an average annual salary of $52,000.

Under the amended PILOT, Old Dominion will raise its average annual salary commitment to $55,000 and reduce its job creation total from 188 to 160 new jobs in the first two years.

The company says that it still anticipates creating the total 188 new jobs in the first five years of the project, however all EDGE-­approved PILOTs are required to meet job commitments in the first two years of the project.

The amended PILOT will create benefit/cost ratio of $1.71 of new tax revenue for every $1.00 of taxes abated. The benefit/cost ratio of the previously approved PILOT was $1.60 for every $1.00 of taxes abated.

Old Dominion is a leading less-­than-­truckload motor carrier providing transportation services throughout the United States.

The PILOT will allow Old Dominion to construct a 229-door cross dock facility, line haul and related shop.

PILOT Term:

9 years

Projected New Jobs:

160

Projected Retained Jobs:

Not applicable

Total Jobs:

160

Projected Average Payroll of New Jobs:

$55,000

Projected Average Payroll of Retained Jobs:

Not applicable

Annual New Direct/Indirect Payroll:

$20,176,855

Annual Retained Direct/Indirect Payroll:

Not applicable

Total Capital Investment:

$36,014,804
Real Property Investment:
Not applicable

Personal Property Investment:
Not applicable

Community Reinvestment Credit (CRC):
Not applicable

Capital Investment not in PILOT:
Not applicable

Projected Tax Revenue:

$8,565,528

Projected Taxes Abated:

$5,014,890
City: $2,191,507
County: $2,823,383

Benefit/Cost Ratio:

1.71

Projected MWBE/LOSB Spending:

$6,300,059

Incentive Provided:

$5,014,890

Compliance Information

Not applicable

Approved

8/20/2014

Ramp up Period

Not applicable

Closing

12/31/2014 (Real)

Effective

12/31/2014

Lease Begins

12/31/2014 (Real)

Lease Expires

12/31/2023 (Real)

Amended

Not applicable

Property Details

Lease Began

12/31/2014 (Real)

Lease Expires

12/31/2023 (Real)

Old Dominion Freight Line

2102 Spirit of 76 Dr., Memphis, TN 38116