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Old Dominion Freight Line
Project Number: 20130602
Pilot Type: Standard/Basic
Status: Approved
Parcel ID:
County Commission District: 11 | City Council District: 3
Pilot Type: Standard/Basic
Status: Approved
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 Payroll:
$8,800,000
Annual Retained Direct 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
(75%)
County:
$2,823,383
(75%)
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
2
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)