Here's how Greer plans to pay for new $100 million, four development initiative.

This week Greer city council voted on how they would fund its $100 million "ForGreer" project, a four-development initiative to accommodate the city’s growth and improve residents' quality of life.

The council voted unanimously on their first reading to fund the project through an installment purchase revenue bond which uses various streams of revenue generated by the city to pay off a debt. It is not known yet when the second reading will take place. The city will decide annually which revenue it plans to use for the bond.

"We really have an incredible opportunity to do something over the next four, five years and even to change the trajectory of where we are now,” Greer Mayor Rick Danner said at the council meeting Tuesday.

The "ForGreer" project includes four different developments the city is pursuing over the next four years. A police and fire training facility, a new fire station, a 500-plus space parking garage, and a $60 million sports and entertainment complex.

Greer's $100 million project: Greer mayor announces fourth and final piece of $100 million city project

How will the city pay the bond off?

The city is mainly targeting revenue generated from hospitality and accommodation taxes, ad valorem taxes, revenue brought in from the sports and entertainment complex and excess funds at the end of each fiscal year.

Greer City Administrator Andy Merriman said the city is using an installment purchase revenue bond because it’s flexible and typically fast to pay off. Greer used the same type of bond to fund its city hall, municipal courts and the city park, Merriman said.

"We went with the IPRB route because one, the city's used it in the past so we're familiar with it, but just as I've mentioned, there is the flexibility that we have with the use of utilizing different revenue sources," Merriman said.

Merriman said that the ad valorem tax, based on the value of a property, will be tied to the millage rate in Greer but at a flexible rate. He said that the millage rate will fluctuate depending on the money generated from other forms of revenue paid toward the bond.

"The intent is to utilize as many sources of revenue as possible to ensure little to no tax burden to pay this debt. The goal is to effectively have this facility generate the revenue necessary to minimize the public investment," Merriman said.

During the council meeting Tuesday, council members also mentioned the possibility of using impact fees, a fee paid by developers to municipalities, from future developments to pay off the bond.

"We just need to do all we can to make sure we’re not laying this development on the backs of our citizens that exist now, Councilman Jay Arrowood said.

Merriman said that the city will grow and that officials predict the new facilities will make returns on their investments. During the meeting, Merriman said the sports and event complex will pay for itself by year two after it opens. An estimated $17-$20 million gained in economic impact is expected after three to five years, he said.

"It'll catch the sports tourism dollars that we know are coming to our area and it will also meet the recreation needs of our of our population that's rapidly growing," Merriman said.

Terry Benjamin II covers public safety and breaking news for The Greenville News and can be reached at tbenjamin@gannett.com or on X @Terrybenji2.

This article originally appeared on Greenville News: Greer plans to use revenue bond to pay for $100 million project