News Talk 94.1/AM 1600 Where The Upper Cumberland Talks
Officials with Aphena Pharma Solutions approached the attorney for the Cookeville Industrial Development Board about the ramifications of a possible proposal to sell.
Attorney Kent Moore reported on the subject to the board at its quarterly meeting Wednesday. Moore said in looking at the agreement with the city and county that there would be a “neutral effect” on the agreement.
“The entities, there are a couple of different ones, they stay on the hook so that they’re the fallback if the new entity can’t meet the number of jobs can’t meet the numbers and there’s a clawback in terms of tax incentives,” Moore said.
No Aphena official attended the meeting Wednesday. Officials told News Talk 94.1 they do not believe plans are imminent for Aphena to sell. Further, the interest which sparked the original discussion with the board’s attorney might have been less than concrete in nature. Moore said he was unaware of how viable the potential deal was and was simply asked if such an action required IDB approval.
Cookeville Putnam CEO Amy New told the board a possible investor could mean positive things for the company as well as the city and county.
“Apparently it is very advantageous for them to purchase because of the opportunities within that building to expand which in my opinion is good for us,” New said. “Because there is lots of room to expand in that building right now.”
Moore said that based on the PILOT agreement documents, Aphena is allowed to execute this without direct approval from Industrial Development Board. He said there is an equipment lease and a facility lease involved with the PILOT.
Moore said the company would have to send the board executed documents acknowledging the agreement with the city and the county. He said until 2030, there is a 100 percent abatement for facility and equipment subject to clawbacks.
