Taxes, Ad Valorem - As introduced, creates the commercial development board; with respect to new commercial property developed by private entities in certain taxing jurisdictions, authorizes the private entities to enter into agreements for payments in lieu of ad valorem taxes and leases with the commercial development board. - Amends TCA Title 4; Title 5; Title 6; Title 7; Title 9; Title 13; Title 48 and Title 67.

SB 220 creates a Commercial Development Board to facilitate "payments in lieu of ad valorem taxes" (PILOTs) for new commercial properties developed by private entities in Tennessee counties where property tax rates exceed $5.50 per $100 assessed value. Private developers leasing publicly owned commercial property under this bill would pay PILOTs equal to 10% of the property’s appraised value annually for up to 10 years, instead of regular property taxes. The Board collects these payments and distributes them to local taxing jurisdictions, while requiring annual reports on property values, PILOT amounts, and compliance. This bill directly affects private developers, local governments, and communities seeking economic development incentives in high-tax areas.