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Industrial Development Boards

Pursuant to Tenn. Code Ann. § 7-53-304, each Industrial Development Board (IDB) must maintain an aggregate listing of its current debt, including conduit debt obligations, in accordance with guidelines approved by the State Funding Board.  Each IDB must file the listing annually and must file notice of default of any of its debt obligations.  The State Funding Board has approved guidelines that must be followed by IDBs when preparing and submitting the required information.  Please see the documents below for further instruction and assistance. 

For assistance please contact LGF@cot.tn.gov

Annual Reporting Information

Notice of Default Form 

We get this question a lot. IDBs are required to report more detailed information on individual debt transactions soon after issuance; however, because many IDBs issue debt infrequently, many are not aware of that requirement and the information we have is incomplete. Legislation was passed in 2018 (Tenn. Code Ann. § 7-53-304) that requires annual reporting of key contact information and a listing of all debt issued and outstanding. Prior to this legislation it was difficult to establish and maintain consistent contact with IDBs. This law enables our office to maintain annual contact with IDBs, and more importantly, the aggregate report provides transparency to both state and local lawmakers as well as the public. In addition, since the annual reporting began, we have also been able to identify several IDBs that were unaware of audit requirements.

Information Shared With the State Funding Board

Industrial Development Boards, also referred to as Industrial Development Corporations, are defined in Tenn. Code Ann. Title 7, Chapter 53 as: …public corporations to finance, acquire, own, lease, or dispose of properties, to the end that such corporations may be able to maintain and increase employment opportunities, increase the production of agricultural commodities, and increase the quantity of housing available in affected municipalities by promoting industry, trade, commerce, tourism and recreation, agriculture and housing construction by inducing manufacturing, industrial, governmental, educational, financial, service, commercial, recreational and agricultural enterprises to locate in or remain in this state and further the use and production of its agricultural products and natural resources…

Tennessee Secretary of State – Incorporation and Annual Corporate Reporting

Tenn. Code Ann. Title 7, Chapter 53 is the enabling legislation that provides the path to create and operate an Industrial Development Board (IDB):

IDBs must incorporate through the Secretary of State and file annual reports.

Comptroller of the Treasury – Reporting Requirements

Division of Local Government Finance

·         Annual Debt Report  (see prior tab)

·         Notice of Default (see prior tab)

State Board of Equalization

·         Payment-In-Lieu of Taxes (PILOT) 

·         Tax Increment Financing (TIF)

Division of Local Government Audit

·         Annual Financial Statements

Contact the Department of Economic & Community Development  for information concerning available assistance for your County or Municipality.

Development Districts

Development Districts are planning and economic development organizations owned and operated by its counties and municipalities. The districts foster intergovernmental cooperation on growth and development issues of regional and statewide concern. We have included a list of the development districts and the counties they serve below.