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IDA, Chamber form new bond
Development authority enters into professional services agreement with Chamber
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Patrick Donahue
Editor
Updated: Jul 12, 2008, 9:01 AM
Published: Jun 20, 2008, 9:22 PM

The nature of the relationship between the Effingham Industrial Development Authority and the Chamber of Commerce is changing, and it’s changing for the better, members of the two groups said.

The IDA has entered into a professional services agreement with the Chamber and in the process, the Chamber will be responsible for its own payroll, pension and employee benefits.

“The agreement that’s been in place for a very long time is subject to criticism,” IDA Chairman Chap Bennett said.

“There has been a lot of time spent on this by both boards. There’s been a lot of discussion over the last 90 days. I think it is a big improvement over the past agreement.

“It just bring clarity to who pays what. It’s really just a work order for the Chamber.”

The IDA’s relationship with the Chamber is now akin to its dealings with engineers, attorneys and accountants, Chief Executive Officer John Henry said.

“We can gauge it annually and adjust it accordingly,” Henry said.

Bennett said the financial relationship between the two entities has often been a number that has been hard to pin down and it’s been hard to determine what the IDA got out of that.

“Even on the Chamber side, this is going to help us out,” said outgoing Chamber president Freddy Long. “It helps us to identify, to spell out, what’s going on. We’re actually adding to the services we offer the IDA.”

While the IDA’s responsibility is to recruit new industries, the Chamber’s goal is to foster small businesses and the Chamber can continue to provide services to the prospects the IDA brings in.

“We’re getting bigger and bigger and busier and busier and we’re essentially a two-man operation. We need to hire some of those functions out,” Henry said. “We have a lot of services we can provide, but we don’t have the means to gauge those needs.”

Said Long: “Together, we’re bringing in those businesses and industries. We are going to see that they are welcome when they get here, and now it’s spelled out.”

As such, the IDA will pay the Chamber $75,000 a year for its services.

“There is an accountability component,” Henry said. “You can see what was done and who is responsible to whom. This agreement clarifies who is accountable for what.”

IDA attorney Marvin Fentress said there’s no question this pact is superior to the one it replaces.

“This agreement spells out what you expect to get in return,” he said.

Long lauded the IDA’s help and guidance for the Chamber.

“We as a Chamber can’t function without the IDA,” he said.

IDA member Arthur Rud issued his longstanding concerns about the IDA and Chamber relationship.

“We went through this a couple of years ago. We were supposed to be separating from the Chamber,” he said. “Now we’re getting closer.”

Countered Henry: “The Chamber has been one of our best allies.”

While there are changes to the coordination between the two, Henry said, it’s not the end of the relationship but rather a beginning of a different one. He said IDA board members don’t often see what Chamber and IDA staffers do for each other to help each other out.
Effingham Schools Approve Property Tax Rate Increase
School Property Tax Rate Increase
Comparison of the property tax impact for Effingham County homeowners under the approved millage rate increase, showing the difference from fiscal year 2025 to 2026.
Updated: Sep 19, 2025, 12:52 AM
Published: Sep 19, 2025, 12:53 AM

SPRINGFIELD, Ga. — The Effingham County Board of Education unanimously approved raising the property tax rate from 16.5 to 18.45 mills. For a homeowner with a $350,000 property, that’s about $22 more per month. The vote was 5-0.

Why the Increase is Needed
District officials said the adjustment is necessary to cover rising costs and remain competitive in attracting and retaining teachers and staff. More than 87% of the district’s budget goes to salaries and benefits for employees ranging from classroom teachers to bus drivers, nurses, counselors, paraprofessionals, and administrators.

Most of the increase is tied to an $8 million spike in required contributions to state benefit plans.

The state’s health and retirement benefits for certified employees — teachers — are going up 7% in 2026, finance director Lauren Cain, said. Benefits for non-certified employees — staff — are rising 36%. That’s a total of $8 million more in health and retirement benefits the district will have to cover.

Although the state is increasing funding to Effingham schools by $4 million, it will cover only about half the benefits hike, she said.

As of July 1, premiums for the State Health Benefit Plan (SHBP) have nearly doubled since FY2023, jumping from $945 to $1,885 per month per employee. In addition, the district’s contribution rate to the Teachers Retirement System (TRS) has increased from 20.78% to 21.91%.  

To help offset those rising costs, the district voted to raise the millage rate.

Millage Rate

Balancing Costs & Education
Superintendent Yancy Ford previously called the increase “an investment in every child’s future.” He said, “Smaller class sizes, highly qualified teachers, and strong support staff are all proven to raise student achievement. This millage rate increase allows us to continue building on our successes and to make sure every child in Effingham County has the opportunity to reach their fullest potential.”

Ford also acknowledged the strain on taxpayers. “We don’t want to put the taxpayers in this position next year,” he said. He promised to “dissect the budget” and search for ways to “lower costs” while still doing what’s best for students. “We know people are feeling it,” he added.

Fiscal Accountability & Academic Record
While the millage rate itself rises about 11.5%, higher property values mean overall revenue collections will increase nearly 26%. School leaders say the additional funds will help preserve Effingham’s strong academic record, which includes a 90.7% graduation rate, above-average reading scores in elementary grades, and SAT results that top both state and national averages.

Ford  emphasized accountability in managing taxpayer funds. Every dollar from this millage rate increase is an investment directly tied to student learning, he said.

Effingham Schools recently earned a 4.5 Financial Efficiency Star Rating from the Georgia Department of Education, ranking fourth out of 180 school systems statewide.

Public Concerns
About 20 residents attended the final public hearing before the vote. Several property owners, retirees on fixed incomes, and business owners voiced frustration over rising appraisals, cost of living increases, and tax abatements for industry.

Historical Millage Rate Chart

Looking Ahead: ESPLOST Vote

Looking ahead, the district is preparing to ask voters in November to approve another ESPLOST (Education Special Purpose Local Option Sales Tax). If passed, funds would go toward capital projects such as facility upgrades and technology improvements.