Amends TCA Title 7, Chapter 53, Part 3; Title 9, Chapter 23; Title 67, Chapter 4, Part 20 and Title 68, Chapter 212, Part 2.

This bill makes several changes and additions to present law concerning redevelopment of brownfield properties. Present law authorizes an economic development corporation located in a municipality in which an urban brownfield redevelopment project is located to submit to the municipality for approval an economic impact plan for an urban brownfield redevelopment project. Generally, an economic impact plan for an urban brownfield redevelopment project may allocate a portion of local taxes to fund that is used to pay to pay expenses of the corporation in furtherance of economic development in the municipality, to pay or reimburse qualified costs, or to pay debt service on bonds or other obligations issued by the corporation to finance. Under present law, "urban brownfield redevelopment project": (1) Means the development or redevelopment of all or a portion of a parcel or parcels of contiguous, adjacent, or related properties that are located in a redevelopment zone and contain: (A) At least one brownfield site; or (B) A site of at least 10 acres that has remained vacant or substantially unoccupied for at least five years and, at any time within 20 years prior to June 1, 2011, included manufacturing, industrial, distribution, or retail facilities, in total, containing at least 1,000,000 square feet; and (2) Includes a project that an industrial development corporation is authorized under present law to acquire, improve, maintain, equip, and furnish and any publicly or privately owned or operated retail, commercial, industrial, or mixed-use facility, including a visitor center, recreation, or entertainment facility and all related hotels, convention center facilities, administrative facilities, offices, restaurants, and other amenities constructed or acquired as part of the project. This bill removes various present law qualifications that limit the location of brownfield redevelopment projects to economically disadvantaged areas and urban areas so that all brownfield sites may be considered for redevelopment projects. This bill also expands the definition of "brownfield site" to include property that has been the subject of mitigation as a brownfield project (instead of only property that has been subject to investigation or remediation as a brownfield project). This bill adds the following to the list of qualified costs on which brownfield redevelopment fund funds may be spent: (1) Costs of acquisition of the project site; and (2) Costs of improvements to the project site, including, but not limited to, demolition, clearing, grading, utility connections to public or private utilities, buildings constructed on the project site, landscaping for the project site, and stormwater facilities on the project site. This bill authorizes a credit against the franchise and excise taxes equal to the remediation costs for a brownfield property for a qualified development project in a tier 3 or tier 4 enhancement county; provided, however, that the credit must not exceed $500,000, and provided, further, that the credit, together with any carry forward taken on a franchise and excise tax return must not exceed 100 percent of the combined franchise and excise tax liability shown on the return before a credit is taken. An unused credit may be carried forward in a tax period until the credit is taken; provided, however, that the credit may not be carried forward for more than 15 years. The full text of this bill specifies the process by which taxpayer may apply for the tax credit. This bill establishes the brownfield redevelopment area fund to assist this state's communities with the redevelopment of brownfield sites. The fund will consist of appropriations, donations, and grants. This bill requires the department of environment and conservation to administer the fund and use proceeds in the fund to administer a brownfield redevelopment area grant program. This bill authorizes the department to award grants to eligible entities for the remediation costs and reasonable administrative expenses relative to the redevelopment of brownfield sites. Administrative expenses must not exceed 5 percent of a grant awarded. An eligible entity shall not be awarded a grant exceeding $500,000 from the fund in a fiscal year. The full text of this bill specifies various administrative functions that the department must perform in connection with the grant program, such as developing guidelines and making an annual report.