VITAL POLICY – Jefferson Alliance Formed as Economic Development Agent for Jefferson County

Organizational Meeting Held September 22, 2022

Jefferson Alliance will serve as the new economic development agent for all of Jefferson County, an organization whose activities are subject to the open meetings and open records laws of Tennessee. The group was organized as a public benefit non-profit corporation enabling it to employ economic development professionals to recruit industry to the county. According to its attorney Mark Manantov, a typical 1101 committee that would normally drive economic development activities cannot have employees.

The Jefferson Alliance committee is comprised of the county mayor, city mayors from the municipalities of Jefferson County, a representative of the electrical power cooperative, the chair of each industrial development board in the county, one major county employer, and one landowner. Jefferson County and its municipalities contribute funding to the organization along with certain private investors.

For years, county residents have insisted that economic development activities be open to the public and transparent because of the potential impact that such activities could have on communities and because those activities require taxpayer funding. On the flip side of that, many economic development practitioners falsely claim that economic development activities must be conducted in secret to be successful. They overlook the fact that Tennessee law has 538 exceptions to open records requirements, including certain exceptions for economic development, enabling “economic development professionals” to maintain confidentiality with potential industrial recruits until taxpayer money is committed for incentives and public infrastructure.

T.C.A. § 5-1-130 provides for limited confidentially when local county governments seek to recruit employers. T.C.A. § 6-54-142 provides the same for municipalities. Copies of the code sections can be found here. (Code Below)

Many county residents will be watching with great interest to see if the Jefferson Alliance undertakes its mission by seeking public opinion, reaching public consensus on development projects, plans development for appropriate locations, and provides access to records and meetings, elements that will be required to sustain public support.

exceptions to tennessee open records laws economic development

David Seal is a retired Jefferson County educator, recognized artist, local businessman, 917 Society Volunteer, and current Chairman of the Jefferson County Republican Party. He has also served Jefferson County as a County Commissioner and is a lobbyist for the people on issues such as eminent domain, property rights, education, and broadband accessibility on the state level.